§ 22-42-102 — Bonded indebtedness - elections

Colorado § 22-42-102

• Jurisdiction: Colorado
• Title 22: Education
• Art.: Bonded Indebtedness

Text

(1) No debt by loan in any
form shall be contracted by any school district for the purposes specified in
paragraph (a) of subsection (2) of this section, unless the proposition to create the
debt has first been submitted to and approved by the eligible electors of the
district.

(2) (a) The board of education of any school district, at any regular biennial
school election or at a special election called for the purpose, shall submit to the
eligible electors of the district the question of contracting a bonded indebtedness
for one or more of the following purposes:

(I) For acquiring or purchasing buildings or grounds;

(II) For enlarging, improving, remodeling, repairing, or making additions to
any school building;

(III) For constructing or erecting school buildings;

(IV) For equipping or furnishing any school building, but only in conjunction
with a construction project for a new building or for an addition to an existing
building or in conjunction with a project for substantial remodeling, improvement, or
repair of an existing building;

(V) For improving school grounds;

(VI) For funding floating indebtedness;

(VII) For acquiring, constructing, or improving any capital asset that the
district is authorized by law to own;

(VIII) For supporting a district charter school's charter school capital
construction, as defined in section 22-30.5-403 (4), or the land and facilities needs
of a district charter school, as defined in section 22-30.5-403 (3), without title or
ownership of district charter school capital assets being held by the school district
or ownership or use restrictions being placed on the district charter school by the
school district;

(VIII.5) For supporting an institute charter school's charter school capital
construction, as defined in section 22-30.5-403 (4), or the land and facilities needs
of an institute charter school, as defined in section 22-30.5-403 (5.5), by including
the institute charter school, located within the school district, in a bond election
conducted pursuant to section 22-30.5-404.5.

(IX) (A) Subject to the provisions of sub-subparagraph (B) of this
subparagraph (IX), for paying the costs that may be paid from the general fund of
the school district; except that bonded indebtedness may be issued for such
purpose only if amendment 61 is approved by the voters at the general election held
on November 2, 2010, and the eligible electors of the school district approve a
question to create debt for such purpose at an election held on or after November
2, 2010.

(B) The board of education of a district that issues bonded indebtedness
pursuant to sub-subparagraph (A) of this subparagraph (IX) shall deposit any
moneys from such bonded indebtedness into a cash flow deficit restricted reserve
in the general fund of the district. The board of education of such a district may
expend the moneys deposited in the reserve only for the purpose of alleviating the
district's annual temporary cash flow deficit and shall repay, from the property tax
revenues of the district, the total amount expended from the reserve in any fiscal
year on or before June 30 of the applicable fiscal year; except that such board of
education may request that the department of education waive the requirement to
repay the reserve by June 30 of the applicable fiscal year. If the department grants
such a waiver, the board of education of the district shall repay the total amount
expended from the reserve on or before June 30 of the fiscal year following the
fiscal year in which the board expended moneys from the reserve. Notwithstanding
the provisions of this sub-subparagraph (B), if a district that has issued bonded
indebtedness pursuant to sub-subparagraph (A) of this subparagraph (IX) no longer
experiences an annual temporary cash flow deficit, the district shall use the
moneys in the reserve to repay outstanding bonded indebtedness issued pursuant
to this section.

(X) Subject to prior approval by the commissioner of education as provided in
section 22-2-112 (5), for constructing a building that the school district may lease to
a state institution of higher education. If a board of education seeks voter approval
to contract bonded indebtedness for this purpose, the ballot question must
specifically state that the bonded indebtedness is incurred FOR THE PURPOSE OF
CONSTRUCTING A BUILDING THAT THE SCHOOL DISTRICT MAY LEASE TO A
STATE INSTITUTION OF HIGHER EDUCATION.

(b) The purposes specified in paragraph (a) of this subsection (2) shall be
broadly construed, subject to the limitations provided in section 22-42-103.

(c) Any special election called pursuant to this section shall be held on the
general election day in each even-numbered year or on the first Tuesday in
November of each odd-numbered year and shall be conducted pursuant to the
provisions of articles 1 to 13 of title 1, C.R.S.

(d) Repealed.

(3) to (5) (Deleted by amendment, L. 92, p. 839, � 35, effective January 1,
1993.)

(6) (a) The board of education of any school district, having received approval
at an election to issue bonds and having determined that the limitations of the
original election question are too restrictive to permit the advantageous sale of the
bonds so authorized, may submit at another regular or special election the question
of issuing the bonds, or any portion thereof, at a higher principal amount or higher
repayment cost than approved at the original election.

(b) An election held pursuant to this subsection (6) shall be held in
substantially the same manner as an election to authorize bonds initially, except as
may be required for the submission of the limited question or questions permitted
under this subsection (6).

(c) If a majority of those voting at an election held pursuant to this
subsection (6) fails to approve the changes submitted, such result shall not impair
the authority of the board at a later time to issue the bonds originally approved
within the limitations established at the first election.

Legislative History

Source: L. 64: R&RE, p. 547, � 1. C.R.S. 1963: � 123-11-3. L. 70: p. 331, � 2. L. 71: pp. 1148, � 2. L. 73: p. 1249, � 1. L. 77: (1) and (2) amended, p. 1061, � 1, effective June 19. L. 86: (2)(c) added and (3) R&RE, p. 812, �� 3, 4, effective July 1. L. 87: (1) and IP(2)(a) amended, p. 316, � 53, effective July 1. L. 92: (1), IP(2)(a), (2)(c), and (3) to (5) amended, p. 839, � 35, effective January 1, 1993. L. 94: (2)(c) amended, p. 1187, � 81, effective July 1; (2)(d) added, p. 1790, � 4, effective January 1, 1995. L. 2008: (2)(a)(V) and (2)(a)(VI) amended and (2)(a)(VII) added, p. 1211, � 24, effective May 22; (2)(d) repealed, p. 1900, � 79, effective August 5. L. 2009: (2)(a)(VI) and (2)(a)(VII) amended and (2)(a)(VIII) added, (SB 09-176), ch. 247, p. 1117, � 4, effective August 5. L. 2010: (2)(a)(VII) and (2)(a)(VIII) amended and (2)(a)(IX) added, (SB 10-205), ch. 313, p. 1470, � 2, effective May 27; (6)(a) amended, (HB 10-1013), ch. 399, p. 1898, � 4, effective June 10. L. 2016: (2)(a)(VIII) amended and (2)(a)(X) added, (SB 16-209), ch. 235, p. 950, � 2, effective August 10. L. 2024: (2)(a)(VIII) amended and (2)(a)(VIII.5) added, (HB 24-1154), ch. 206, p. 1273, � 3, effective August 7.