§ 24-10-113 — Payment of judgments

(1) A public entity or designated insurer
shall pay any compromise, settlement, or final judgment in the manner provided in
this section, and an action pursuant to the Colorado rules of civil procedure shall be
an appropriate remedy to compel a public entity to perform an act required under
this section.

(2) The state and the governing body of any other public entity shall pay, to
the extent funds are available in the fiscal year in which it becomes final, any
judgment out of any funds to the credit of the public entity that are available from
any or all of the following:

(a) A self-insurance reserve fund;

(b) Funds that are unappropriated for any other purpose unless the use of
such funds is restricted by law or contract to other purposes;

(c) Funds that are appropriated for the current fiscal year for the payment of
such judgments and not previously encumbered.

(3) If a public entity is unable to pay a judgment during the fiscal year in
which it becomes final because of lack of available funds, the public entity shall
levy a tax, in a separate item to cover such judgment, sufficient to discharge such
judgment in the next fiscal year or in the succeeding fiscal year if the budget of the
public entity has been finally adopted for the fiscal year in which the judgment
becomes final before such judgment becomes final; but in no event shall such
annual levy for one or more judgments exceed a total of ten mills, exclusive of
existing mill levies. The public entity shall continue to levy such tax, not to exceed a
total annual levy of ten mills, exclusive of existing mill levies, but in no event less
than ten mills if such judgment will not be discharged by a lesser levy, until such
judgment is discharged. In the event that more than one judgment is unsatisfied
and a ten-mill levy is insufficient to satisfy the judgments in one year, the proceeds
of the ten-mill levy shall be prorated annually among the judgment creditors in the
proportion that each outstanding judgment bears to the total judgments
outstanding.

Legislative History

Source: L. 71: p. 1209, � 1. C.R.S. 1963: � 130-11-13.