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<br />, 7. At the November 1992, meeting, the CWCB approved a loan to the District in an amount not to
<br />'. . exceed Eight Million Dollars ($8,000,000). at an interest rate offive percent (50/0) per annl!m;,.alld',for a.
<br />duration thirty (30) years; and . .
<br />
<br />8. Pursuant to Section 1, Chapter 257" Colorado Session Laws, 1988 (Senate Bill 88-030) the
<br />Colorado General Assembly authorized CWCBto loan to the District an amount not to exceed Eight Million
<br />Dollars ($8,000,000) for a term of thirty (30) years for construction ofthe PROJECT in its entirety, and said
<br />loan shall not exceed fifty percent (50%) of the total cost of the,PROJ~.CT; and '.
<br />
<br />9. The amount authorized, $8,000,000 has been reduced to $7,537,500 by the use of funds for
<br />feasibility report contract .#C153489 in the amount of $62,500, and loan contract #C153670 for the
<br />Colorado River Pump Station in the amount of $400,000. This remaining balance of $ 7,537,500 shall be
<br />referred to hereinafter as the MAXIMUM LOAN AMOUNT; and
<br />
<br />10. Pursuant to Article 45, Title 37 CRS, the BORROWER has authority to contract to borrow money
<br />provided that a resolution be duly passed by the Board of Directors of both the conservancy district and
<br />the water enterprise to fix and charge rates, fees, and other charges for water sold and delivered by
<br />BORROWER, which rates, fees, and other charges can be used for repayment of the STATE according to the
<br />terms of this contract; and
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<br />11. Both the STA TE and the BORROWER recognize and understand that the revenues of the BORROWER
<br />are subject to pay its Water Revenue Refunding Bonds, Series 1987, and all previous CWCB loans; and
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<br />12. The STATE understands that the repayment-of the funds loaned, including interest thereon, will
<br />come from revenues pledged for the repayment thereof from rates, fees, and other charges for water sold
<br />and delivered by BORROWER and that this obligation does not constitute a debt of the BORROWER OR DISTRICT
<br />within the meaning of any constitutional or statutory limitations; and
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<br />13. The STATE now desires, by this contract, to loan money to the BORROWER for this PROJECT upon
<br />mutually agreeable terms and conditions.
<br />
<br />NOW THEREFORE, in consideration of the mutual and dependent covenants contained, it is agreed
<br />by the parties as follows: .
<br />
<br />A. The BORROWER agrees as follows:
<br />
<br />1. Construction Fund Program procedures. The following items are procedures the BORROWER will
<br />follow during the construction phase of the PROJECT.
<br />
<br />a. Preparation of plans and specifications. The BORROWER shall employ an engineering firm,
<br />hereinafter referred to as the CONSULTANT, with staff registered in the State of Colorado to prepare
<br />PROJECT plans and specifications for the PROJECT. The CONSULTANT, the BORROWER/CONSULTANT
<br />agreement, and the PROJECT plans and specifications must be approved in writing by the STATE
<br />before construction on the PROJECT can commence. For purposes of this paragraph, construction
<br />also includes any real estate and water rights acquisitions.
<br />
<br />b. Bidding. CWCB staff must be present at bid opening for construction as well as approve
<br />bidding for the PROJECT. BORROWER may prepare the notice of award and the notice to proceed
<br />with construction; however, both notices must be approved by the CWCB staff before they are
<br />issued. The BORROWER shall conduct a pre-construction conference and the CWCB staff will have
<br />the opportunity to review and approve the construction schedule.
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<br />UTE WATER CONSERVANCY DISTRICT
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<br />LOAN CONTRACT
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