NOTE: The governor signed this measure on 4/26/2013.
      
      
      SENATE BILL 13-199
      
      
      BY SENATOR(S) Giron, Baumgardner, Schwartz, Newell;
      also REPRESENTATIVE(S) Fischer, Szabo, Vigil, Buckner, Court, Garcia,
      Ginal, Hullinghorst, Lebsock, Melton, Mitsch Bush, Pabon, Priola,
      Rosenthal, Young.
      
      
      Concerning modification of the standard for determining whether
           bonds issued by a state-supported institution of higher
           education qualify for the higher education revenue bond
           intercept program.
       
      
      Be it enacted by the General Assembly of the State of Colorado:
      
           SECTION 1.  In Colorado Revised Statutes, 23-5-139, amend (1)
      (b) introductory portion and (1) (b) (I); and add (1) (c) as follows:
      
           23-5-139.  Higher education revenue bond intercept program.
      (1) (b)  This section applies to revenue bonds issued by an institution
      pursuant to this article on or after June 4, 2008 the effective date of this
      paragraph (b), as amended, and to refunding bonds issued by an
      institution pursuant to article 54, 56, or 57 of title 11, C.R.S., on or after
      June 4, 2008 the effective date of this paragraph (b), as amended, if,
      on the date the bonds are issued:
      
           (I)  The maximum total annual debt service payments of the revenue
      bond issue and any other bonds to which this section applies issued by the
      same institution are one hundred percent or less of the institution's prior
      year fee-for-service contract revenue; The governing body of the
      institution has:
      
           (A)  A credit rating in one of the three highest categories,
      without regard to modifiers within a category, from at least one
      nationally recognized statistical rating organization and, if
      more than one such organization has rated an institution, no
      credit rating that is in a category below the three highest
      categories, without regard to modifiers within a category; and
      
           (B)  A debt service coverage ratio of at least one and
      one-half to one, measured by dividing the institution's net revenue
      available for annual debt service over the total amount of
      annual debt service subject to this article and the annual debt
      service to be issued pursuant to this article; and
      
           (c)  The state treasurer may exempt an institution from the
      requirements of subparagraph (I) of paragraph (b) of this
      subsection (1) if the revenue bonds to be issued are refunding
      bonds that result in cost savings to the institution.
      
           SECTION 2.  Safety clause. The general assembly hereby finds,
      determines, and declares that this act is necessary for the immediate
      preservation of the public peace, health, and safety.
      
      
      
      
      ____________________________  ____________________________
      John P. Morse                         Mark Ferrandino
      PRESIDENT OF                     SPEAKER OF THE HOUSE
      THE SENATE                         OF REPRESENTATIVES
      
      
      
      
      
      
      ____________________________  ____________________________
      Cindi L. Markwell                      Marilyn Eddins
      SECRETARY OF                 CHIEF CLERK OF THE HOUSE
      THE SENATE                         OF REPRESENTATIVES
      
      
      
      
                  APPROVED________________________________________
      
      
      
      
      
                                    _________________________________________
                                    John W. Hickenlooper
                                    GOVERNOR OF THE STATE OF COLORADO