§ 32-11-624 — Use of assessments - payment of assessment securities

(1) The
assessments pertaining to any improvement district when levied shall be and shall
remain a lien on the respective tracts assessed until paid as provided in this article.

(2) When the assessments pertaining to the improvement district are
collected (including principal, interest, and any penalty), they shall be placed in a
special fund or special account and as such shall at all times constitute a sinking
fund or sinking account for and be deemed specially appropriated to the payment
of any assessment debentures not funded with bond proceeds and the payment of
the assessment bonds pertaining to the improvement district and the interest
thereon, and shall not be used for any other purpose until such securities and the
interest thereon are fully paid; or if no such securities are issued, all assessments
upon their payment shall be so appropriated and used to defray the cost of the
project.

(3) Any assessment debentures not funded with bond proceeds and the
assessment bonds, including both principal and interest, shall be payable only out
of moneys collected on account of the assessments (including installments thereof,
interest thereon, and any penalties) for the project pertaining to the improvement
district to which such securities pertain, except as provided in this article.

Legislative History

Source: L. 69: p. 795, � 137. C.R.S. 1963: � 89-21-137.