Board can issue bonds - form - legislative declaration.

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(1) To carry out the purposes of this part 5, the board is hereby authorized to issue bonds of the district. Such bonds shall bear interest at a rate such that the net effective interest rate of the issue of bonds does not exceed the maximum net effective interest rate authorized, payable at such times as determined by the board, and shall be due and payable in installments at such times as determined by the board and extending not more than twenty years from date of issuance. The form and terms of said bonds, including provisions for their sale, payment, and redemption, shall be determined by the board. To the extent required by section 20 of article X of the Colorado constitution, such bonds shall not be issued unless first approved at an election held for that purpose in accordance with articles 1 to 13 of title 1, C.R.S. If the board so determines, such bonds may be redeemable prior to maturity, with or without payment of a premium, but no premium shall exceed three percent of the principal thereof. The bonds shall be executed in the name of and on behalf of the district and signed by the presiding officer of the board with the seal of the district affixed thereto and attested by the secretary of the board. Such bonds shall be in such denominations as the board shall determine. Interest coupons, if any, shall bear the original or facsimile signature of the presiding officer of the board. Under no circumstances shall any of said bonds be considered or held to be an indebtedness, obligation, or liability of the counties or municipalities in which the district or any portion thereof is located, and bonds issued pursuant to the provisions of this part 5 shall contain a statement to that effect.

(2) The general assembly finds and declares that:

  1. In performing its duties under section 20 of article X and section 6 of article XI of theColorado constitution, the general assembly must balance the interests of controlling public debt, preserving local control, and reasonably restraining most of the growth of government;

  2. In balancing these constitutional interests through the exercise of its legislative authority, the general assembly has enacted limitations on the ability of county public improvement districts to incur indebtedness;

  3. A statutory restriction has been imposed on the amount of bonded indebtedness thatcounty public improvement districts can incur with voter approval;

  4. From time to time, changes to such limitations imposed on county public improvement districts are necessary in order to keep these constitutional interests properly balanced in light of changing circumstances;

  5. Section 20 (1) of article X of the Colorado constitution prohibits the weakening of"other limits on district revenue, spending, and debt" without future voter approval;

  6. No change in county public improvement district debt occurs by virtue of statutorychanges that increase a limit when the debt would not actually increase without such district voter approval;

  7. Any actual weakening of county public improvement district debt limitation occursonly when such district voter approval is obtained under an increased limit; and

  8. By requiring voters to give approval at the county public improvement district levelfor any weakening of a county public improvement district limit on debt, the voter approval requirement of section 20 (1) of article X of the Colorado constitution is satisfied in a manner achieving a reasonable result through legislative harmonization of constitutional provisions.

Source: L. 68: p. 168, § 21. C.R.S. 1963: § 36-25-21. L. 70: p. 143, § 14. L. 99: Entire section amended, p. 512, § 9, effective April 30.

Editor's note: This section was originally numbered as § 30-20-521 in C.R.S. 1973 but was renumbered on revision in the 1977 replacement volume for ease of location.


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