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Oct-18-2002 10:05am From-USSR WCAO Grand Junction CO 870-248-0601 T-m P 015/017 F-345 United States of America, Deparunent of the lnterior Bureau of Reclamation and Fish and Wildlife Service, the State of Colorado, Department of Natural Resources Division of Parl<s and Outdoor Recreation, and the Grand Valley Water Users Association for Operation of a Pump Station at Highline Lake (MOD) attached hereto and by this reference made apart hereof. (b) The Grantor warrants that Grantor is the sole owner of the real property whereon the above-described perpetual easement lies and that no prior easements and/or lease agreements, except those identified in this Contract, exist that will interlere with the perpetual easement identified in this Contract. (c) It is understood and agreed that the rights to be granted to the United States, as described in paragraph I hereof, shall be free from lien or encumbrances except: (i) coal, oil, gas and other mineral rights reserved to or outstanding in third parties as of the date of this contract, (ii) rights of way for roads, railroads, telephone lines, transmission lines, ditches, conduits, or pipelines on, over, or across said lands in existence on such date; and (iii) court liens, judgments or financial encumbrances, such as Deeds of Tnist, for which a formal consent has been obtained from the court or lien holder. 2. The United States shall purchase said perpetual easement on the terms herein expressed, and on execution and delivery of this Contract, and approval by the proper officials of the United States, it shall cause to be paid to the Gramor as full purchase price the sum of Dollars ($ ) which amount will be credited to the State of Colorado's cost share requirement to the Recovery Program thereby reducing the State's cash contribution to the Recovery Program for fiscal year 2002, as addressed in Article 3 of the attached MOD. 3. The Grantor shall, at his own cost, procure and have recorded all assurances of title and affidavits which the Grantor may be advised by the United States are necessary and proper to show in the Grantor complete fee simple unencumbered title to the property whereon the above- described perpetual easement lies, subject only to the interests, liens, or encumbrances expressively provided for herein. Abstracts or cenificates of title or title insurance will be procured by the United States at its expense. The expense of recording this Contract shall be borne by the United States. The United States shall reimburse the Grantor in an amount deemed by the United States to be fair and reasonable for the following expenses incurred by the Grantor: (a) Recording fees, transfer taxes and similar expenses incidental to granting the easements described herein to the United States; and (b) Penalty cost for prepayment of any pre-existing recorded mortgage entered into in good faith encumbering said real property. The GTantor agrees to furnish the United States evidence that these items of expenses have been billed to and paid by him, and funher agrees tbat the United States alone shall determine the fairness and reasonableness of the expenses to be paid.