PROJC01055

• Contract/PO #: C153579
• Contractor Name: Highline Buzzard Ditch Company
• Contract Type: Loan
• Water District: 72
• County: Mesa
• Bill Number: SB 90-41
• Loan Projects - Doc Type: Contract Documents

, form 6-AC-02A IR :i1i!.:iJ
iJf'B

PROJECT
CONTRACT
and Promi~~~~~e
THIS CONTRACT. madC' Ihis ~ day o( ~."..z:- 19 9...0, by and between rhe
Stale u( Colorado (or Ihe use and benefil o( IRe [)eparlmenl o( , 1 Na tural Resources
(Colorado ~qater Conservation Board) .
hereinafter J'f'(C'rred to as ,he Slale, and'2 Hiqhline-Buzzard Ditch Companv, Ine.,
Route 1. Box B-42. Co11bran. CO 81624.
herC'ina('e-r referred 10 as the conlraClur /Contractor or Borrower.

Uf-.I'.< W"MI:.N r OR AGI:'NCY ....lJ.\IBI:.R-------;
34-04-00
'(l)'N"TRAcr ROlmN(; NUMBER
'///<;'-/ ,.
$65,000 /Jlcf/-f/9(

WHEREAS. 311thorilY uislS in the Law and Funds have bC'C'n budgeled. approprialed and olhe-rwise made
available and a sufficient unenCUn1bered balance lhereo( remains available (or IJlymenl in fund /'Iiumber 4008 .
GJL Account Number 54 32X ,Colllracl Encumbrance NumberC IcJ.1 ') 7 : and .
ABL Account No. 14320, Org. Unit 77-77-777,
WHEREAS. re4uired approval. c1e:ar:ance and coordinalion has been accomplished (rom and wilh appropriate
"Iencies: and

WHEREAS. pursuant to the provisions of 37-60-119 and
37-60-120, Colorado Revised Statutes. the State is authorized
to loan money for the construction of water projects for the
benefit of the people of the State provided that the Contractor
assures repayment of that money; and

WHEREAS, the Contractor is a duly constituted irrigation
ditch company in the State of Colorado and it wishes to upgrade
its ditch company delivery system. hereinafter sometimes called
the project. for the benefit of its shareholders in Mesa
County. Colorado. at an estimated cost of One Hundred Thirty
Thousand Dollars ($130.000); and

wrIEREAS. the State now desires by this project contract to
loan money for the construction of said project upon mutually
agreeable terms and conditions. subject to the availability of
funding for that purpose; and

WHEREAS. pursuant to the Contractor.' s By-laws, the
Contractor has authority to contract to borrow money provided
that a Resolutioo be duly passed by its Board of Directors and
to levy assessments assuring repayment of the State according
to the terms of the contract; and

WHEREAS. pursuant to section 1 of chapter 32. Session Laws
of Colorado 1987, as ameoded by Senate Bill 41, Fifty-Sixth
General Assembly. the State has been authorized to loan
Sixty-Five Thousand Dollars ($65.000) for construction of the
project.

WHEREAS, the Contractor or Borrower understands that this
Contract is also a promissory note for the repayment of funds
loaned to the Borrower according to the terms set forth herein.

NOW THEREFORE, in consideration of the mutual and
dependent covenants herein contained. it is agreed by the
parties hereto as follows:

A. The Contractor agrees that it shall:

1. Employ an engineering firm (hereinafter referred to as
the Consultant) to prepare project plans and specifications for
the project. Both the Consultant and the project plans and
specifications must be approved in writing by the State before
construction on the project can commence. For purposes of this
paragraph. IIconstructionU includes any real estate and water
rights acquisitions.

2. Contract for the construction of said project to a
responsible and capable firm or firms (hereinafter referred to

2293E*

39S-5Jo01.1014

Pal!e I o(J:.Q pal!es