PROJC01292

• Contract/PO #: C153774
• Contractor Name: Pinon Mesa Ranches
• Contract Type: Loan
• Water District: 30
• County: La Plata
• Bill Number: SB 97-008
• Loan Projects - Doc Type: Contract Documents

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AGENCY NAME: Water Conservation Board

AGENCY NUMBER: PDA

ROUTING NUMBER: t{) I 0 I q

$206,000

LOAN CONTRACT

THIS CONTRACT, made this q0. day of (;hD5E~ 1997,
by and between the State of Colorado for the use and benefit of the Department of Natural
Resources, Colorado Water Conservation Board (CWCB), hereinafter referred to as the
STATE, and Pinon Mesa Ranches Community Association, a Colorado nonprofit
corporation, 300 Angus Road, Ignacio, Colorado 81137, hereinafter referred to as the
BORROWER and/or CONTRACTOR.

FACTUAL RECITALS

1. Authority exists in the law, and funds /lave been budgeted, appropriated and otherwise
made available and a sufficient unencumbered balance thereof remains available for
payment in Fund Number 424, Organization YYYY, Appropriation L97, GBL PINN,
Program WTRC, Object Code 5110, Reporting Category: 3774, Contract Encumbrance
Number C153774.

2. Required approval, clearance, and coordination have been accomplished from and with
appropriate agencies.

3. Pursuant to'the provisions of SS 37-60-119 and 37-60-120,15 C.R.S. (1990 and 1996
Supp.) 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 borrower assures repayment of that
money.

4. The' BORROWER is a duly constituted Colorado nonprofit corporation and pipeline
company formed pursuant to and governed by Articles 20 through 29 and Article 43 of
Title 7, C.R.S. (1986 and 1996 Supp.), located in La Plata County, State of Colorado.

5. The BORROWER has applied to the STATE for a loan in the amount of $206,000 to be used
for the construction of a raw water system, hereinafter referred to as PROJECT, which is
estimated to cost approximately $274,250.

6. The STATE has reviewed a feasibility report prepared by Wright Water Engineers, Inc.,
which is incorporated herein by reference, and, based upon this feasibility report, the
STATE determined the PROJECT to be technically and financially feasible.

7. At its January 29, 1997 meeting, the eWCB approved a loan to the BORROWER in an
amount not to exceed $206,000 (75% of the cost of the PROJECT) at an interest rate of
3.75% per annum for a duration of 30 years to finance and/or refinance the oosts of the
PROJECT, which the CWCB and the BORROWER acknowledge and understand shall be a
raw, not potable, water system.

Pinon Mesa Ranches Community Association

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Loan Contract