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<br />,- <br /> <br />; . WHEREAS. the Colorado River Basin Salinity Control Act <br />. specifies that the Secretary of the Interior may fund "non-federal <br />.entitles to organize lateral owners into organizations with which <br />the Buteau may contract for the long-term operation and <br />mal.nte.'nance of improved lat,erals; and <br /> <br />WHEREAS. ~eclamation has made a $197.436 grant a~ailable to <br />the State. acting through the Colorado Water Conservation Board," <br />pursuant to the COlorado River Basin Salinity Control Act in <br />or'dee, -that the State miqht fund all activities which the <br />Co"nteactor must carry out in order to prepare itself to obtain <br />the ownership of the laterals under its system; and <br /> <br />. WHEREAS, the State, acting through the Colorado Water <br />Conservation Board, has the authority. pursuant to s~ction <br />"3-7-60-106, C.R.S., to foster. encourage. and assist 10c"a1 <br />irrigation entities: and <br /> <br />WHEREAS. the Colorado Water Conservation Board is the lead <br />agency for the State1s participation i~ the Colorado River Basin <br />salinity control program. . <br /> <br />NOW THEREFORE. the State and the Contractor agree that: <br /> <br />1. The -Contractor will perform the fallowing activities <br />preliminary to the conduct of Stage II activities: <br />a. Preparation of estimates of the time and costs that <br />will be incurred to conduct a'review of its legal <br />authorities and accounting procedures and to <br />negotiate a contract with.Reclamation for the <br />long-term operation and maintenance of the laterals <br />to be acquired and improved. <br />b. Negotiation of a contract with the State which will <br />make additional federal funds available to the <br />Contractor to perfor~ the said Stage II activities~ <br />and <br />c. Such other tasks as are necessary to prepare the <br />Contractor to negotiate the said contract with the <br />State. <br /> <br />2. The State shall reimburse and compensate the Contractor <br />for actual expenses paid or incurred in performing the <br />preliminary activities set forth in pa~agraph 1. not to <br />exceed $14.000.00. including the fOllowing, <br />a. Time and expenses of the members of the <br />Contractor IS board of directors. <br />b. Time and expenses of the Contractor1s salaried <br />employees and administrative personnel. and <br />c. Time and expenses of the Contractor1s attorneys and <br />accountants. <br /> <br />The Contractor agrees that these preliminary activities <br />shall be completed within the aforementioned sum. <br /> <br />3. The Contractor shall submit to the State written. <br />certified statements which detail the expenses paid or. <br />incurred for the preliminary activities undertaken by <br />the Contractor pursuant to paragraph 1 for which <br />reimbursement is due the Contractor. The State shall <br />promptly review and process for payment all statements <br />received.' Payment shall be made to the Contractor at <br />the address first above given. <br /> <br />4. The Contractor is an independent contractor. riot an <br />employee of the State. and as such it. its employees. <br />and its agents are not entitled to any of the benefits <br />of the personnel system of the State. <br /> <br />Page 2 of 5 Pages <br />