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Second Regular Session

Sixty-first General Assembly

LLS NO. 98­0014.01 ABA HOUSE BILL 98­1190

STATE OF COLORADO

BY REPRESENTATIVE Gotlieb;

also SENATOR Ament.

FINANCE

A BILL FOR AN ACT

CONCERNING STATE FUNDING FOR EMERGENCY CAPITAL CONSTRUCTION PROJECTS FOR PUBLIC SCHOOL DISTRICTS.

Bill Summary

(Note: This summary applies to this bill as introduced and does not necessarily reflect any amendments that may be subsequently adopted.)

Allows public school districts to request state funding for emergency capital construction projects on buildings and other physical facilities that have been certified as structurally unsafe. In addition to the current authority of the executive director of the department of personnel with respect to state capital construction projects, authorizes the executive director to review a local building department's certification of a building or physical facility as structurally unsafe. Establishes the procedure for making funding requests through the capital development committee of the general assembly. Provides that state moneys allocated for emergency capital construction projects shall be appropriated to the department of personnel and used to pay costs under contracts and agreements relating to such projects. Provides that the transfer of moneys from the general fund to a special account in the capital construction fund for emergency school district capital construction projects shall not be subject to the limitation on general fund appropriations under section 24­75­201.1, Colorado Revised Statutes. Refers the measure to the electors of Colorado as required by section 20 of article X of the state constitution.


Be it enacted by the General Assembly of the State of Colorado:

SECTION 1.  Article 30 of title 24, Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW PART to read:

PART 20

SCHOOL DISTRICT EMERGENCY

CAPITAL CONSTRUCTION PROJECTS

24­30­2001.  Definitions.  AS USED IN THIS PART 20, UNLESS THE CONTEXT OTHERWISE REQUIRES:

(1)  "CAPITAL CONSTRUCTION PROJECT" MEANS:

(a)  RECONSTRUCTION, REPAIR, REMODELING, OR RENOVATION OF EXISTING BUILDINGS OR OTHER PHYSICAL FACILITIES TO MAKE PHYSICAL CHANGES TO MEET STANDARDS REQUIRED BY APPLICABLE CODES OR TO CORRECT OTHER CONDITIONS THAT ARE HAZARDOUS TO THE HEALTH AND SAFETY OF PERSONS BUT THAT ARE NOT COVERED BY CODES;

(b)  PURCHASE OF THE SERVICES OF ARCHITECTS, ENGINEERS, AND OTHER CONSULTANTS TO PREPARE PLANS, PROGRAM DOCUMENTS, AND OTHER STUDIES ASSOCIATED WITH A PROJECT THAT MEETS THE CRITERIA ESTABLISHED IN PARAGRAPH (a) OF THIS SUBSECTION (1) AND TO SUPERVISE THE CONSTRUCTION OR EXECUTION OF SUCH CAPITAL CONSTRUCTION PROJECTS.

(2)  "EMERGENCY CAPITAL CONSTRUCTION PROJECT" OR "EMERGENCY PROJECT" MEANS A CAPITAL CONSTRUCTION PROJECT, AS DEFINED IN SUBSECTION (1) OF THIS SECTION, THAT HAS QUALIFIED FOR SUCH EMERGENCY DESIGNATION UNDER THE PROVISIONS OF SECTION 24­30­2003.

(3)  "SCHOOL DISTRICT" MEANS ANY PUBLIC SCHOOL DISTRICT ORGANIZED UNDER THE LAWS OF COLORADO, EXCEPT A JUNIOR COLLEGE DISTRICT.

24­30­2002.  Emergency capital construction funds for school districts ­ requests to capital development committee.  (1)  ON OR BEFORE OCTOBER 1 OF EACH YEAR, SCHOOL DISTRICTS MAY SUBMIT REQUESTS TO THE CAPITAL DEVELOPMENT COMMITTEE OF THE GENERAL ASSEMBLY FOR EMERGENCY CAPITAL CONSTRUCTION PROJECT FUNDS. A REQUEST FOR FUNDS SHALL INCLUDE:

(a)  DOCUMENTATION FROM THE DEPARTMENT OF PERSONNEL THAT THE CAPITAL CONSTRUCTION PROJECT HAS QUALIFIED FOR DESIGNATION AS AN EMERGENCY PROJECT UNDER THE PROVISIONS OF SECTION 24­30­2003 INCLUDING THE REPORT PROVIDED TO THE DEPARTMENT OF PERSONNEL FROM THE APPROPRIATE LOCAL BUILDING DEPARTMENT;

(b)  A DESCRIPTION OF THE SCOPE AND NATURE OF THE EMERGENCY PROJECT AND HOW THE EMERGENCY PROJECT ADDRESSES ANY SAFETY OR HEALTH CONCERNS NOTED IN THE DOCUMENTATION PROVIDED BY THE DEPARTMENT OF PERSONNEL;

(c)  THE TOTAL AMOUNT OF FUNDS BEING REQUESTED TO FINANCE THE EMERGENCY PROJECT WITH AN ITEMIZATION OF THE COSTS ASSOCIATED WITH THE EMERGENCY PROJECT;

(d)  EVIDENCE THAT THE SCHOOL DISTRICT DOES NOT HAVE SUFFICIENT MONEYS TO FINANCE THE EMERGENCY PROJECT USING EXISTING REVENUE SOURCES AND THAT THE SCHOOL DISTRICT WOULD BE UNABLE TO INCUR BONDED INDEBTEDNESS TO FINANCE THE EMERGENCY PROJECT;

(e)  SUCH OTHER INFORMATION AS THE CAPITAL DEVELOPMENT COMMITTEE MAY REQUIRE FOR THE EVALUATION OF THE EMERGENCY PROJECT.

(2)  THE CAPITAL DEVELOPMENT COMMITTEE SHALL REVIEW ALL EMERGENCY CAPITAL CONSTRUCTION PROJECT REQUESTS AND DETERMINE THE EMERGENCY PROJECTS THAT SHOULD BE FUNDED. THE COMMITTEE MAY CONSULT WITH ANY DEPARTMENT OF STATE GOVERNMENT THAT MAY PROVIDE EXPERTISE AND INFORMATION CONCERNING A SCHOOL DISTRICT MAKING AN EMERGENCY CAPITAL CONSTRUCTION PROJECT REQUEST. THE COMMITTEE SHALL MAKE A WRITTEN REPORT TO THE JOINT BUDGET COMMITTEE SETTING FORTH ITS RECOMMENDATIONS, FINDINGS, AND COMMENTS ON THE EMERGENCY PROJECTS THAT SHOULD BE FUNDED INCLUDING A RECOMMENDATION ON THE TOTAL AMOUNT OF MONEY THAT SHOULD BE APPROPRIATED BY THE GENERAL ASSEMBLY FOR SUCH EMERGENCY PROJECTS FROM FUNDS AVAILABLE IN THE SCHOOL DISTRICT EMERGENCY CAPITAL CONSTRUCTION PROJECT ACCOUNT IN THE CAPITAL CONSTRUCTION FUND CREATED IN SECTION 24­75­302 (5). THE APPROPRIATION FOR EMERGENCY CAPITAL CONSTRUCTION PROJECTS SHALL BE MADE TO THE DEPARTMENT OF PERSONNEL AND THE EXECUTIVE DIRECTOR OF SAID DEPARTMENT SHALL SUPERVISE AND BE RESPONSIBLE FOR ITS EXPENDITURE PURSUANT TO SECTION 24­30­2004.

24­30­2003.  Department of personnel ­ responsibilities relating to designation of emergency capital construction projects.  (1)  IN ORDER FOR A SCHOOL DISTRICT TO SUBMIT A REQUEST TO THE CAPITAL DEVELOPMENT COMMITTEE FOR EMERGENCY CAPITAL CONSTRUCTION PROJECT FUNDS PURSUANT TO SECTION 24­30­2002, THE SCHOOL DISTRICT MUST HAVE THE CAPITAL CONSTRUCTION PROJECT DESIGNATED AS AN EMERGENCY PROJECT BY THE EXECUTIVE DIRECTOR OF THE DEPARTMENT OF PERSONNEL IN ACCORDANCE WITH THE PROVISIONS OF THIS SECTION. FOR THE EXECUTIVE DIRECTOR OF THE DEPARTMENT OF PERSONNEL TO CONSIDER DESIGNATION OF A CAPITAL CONSTRUCTION PROJECT AS AN EMERGENCY PROJECT, THE SCHOOL DISTRICT MUST SUBMIT A REPORT CERTIFYING THAT THE BUILDING OR PHYSICAL FACILITY THAT IS THE SUBJECT OF THE PROJECT HAS BEEN FOUND TO BE STRUCTURALLY UNSAFE BY THE APPROPRIATE BUILDING DEPARTMENT OF THE COUNTY, TOWN, CITY, OR CITY AND COUNTY WHERE THE BUILDING OR PHYSICAL FACILITY IS LOCATED. UPON RECEIPT OF SUCH REPORT, THE EXECUTIVE DIRECTOR SHALL REVIEW THE FINDINGS IN THE REPORT AND MAY PERFORM AN ACTUAL INSPECTION OF THE BUILDING OR OTHER PHYSICAL FACILITY IF THE EXECUTIVE DIRECTOR DETERMINES SUCH AN INSPECTION IS NECESSARY. BASED UPON THE REPORT AND ANY INSPECTION, THE EXECUTIVE DIRECTOR SHALL DETERMINE WHETHER TO DESIGNATE THE SCHOOL DISTRICT'S CAPITAL CONSTRUCTION PROJECT AS AN EMERGENCY PROJECT.

(2)  FOR PURPOSES OF SUBSECTION (1) OF THIS SECTION, A BUILDING OR PHYSICAL FACILITY SHALL BE CONSIDERED "STRUCTURALLY UNSAFE" IF:

(a)  THE BUILDING OR PHYSICAL FACILITY DOES NOT CONFORM TO THE APPLICABLE BUILDING CODE; AND

(b)  THE NONCONFORMITY TO THE BUILDING CODE RESULTS IN CONDITIONS THAT MAY BE HAZARDOUS TO THE HEALTH OR SAFETY OF PERSONS USING OR OCCUPYING THE BUILDING OR FACILITY.

(3)  DESIGNATION BY THE EXECUTIVE DIRECTOR OF A CAPITAL CONSTRUCTION PROJECT AS AN EMERGENCY PROJECT SHALL BE SOLELY FOR THE PURPOSE OF DETERMINING WHETHER THE SCHOOL DISTRICT MAY REQUEST EMERGENCY CAPITAL CONSTRUCTION PROJECT FUNDS PURSUANT TO THIS PART 20 AND SHALL NOT BE USED FOR ANY OTHER PURPOSE.

24­30­2004.  Department of personnel ­ responsibilities relating to costs of emergency capital construction projects.  THE EXECUTIVE DIRECTOR OF THE DEPARTMENT OF PERSONNEL SHALL SUPERVISE AND BE RESPONSIBLE FOR THE EXPENDITURE OF FUNDS APPROPRIATED BY THE GENERAL ASSEMBLY FOR EMERGENCY CAPITAL CONSTRUCTION PROJECTS FOR SCHOOL DISTRICTS. WHEN A SCHOOL DISTRICT'S EMERGENCY CAPITAL CONSTRUCTION PROJECT IS FUNDED, THE SCHOOL DISTRICT SHALL ENTER INTO AGREEMENTS WITH ARCHITECTS, ENGINEERS, OR CONSULTANTS AND CONSTRUCTION CONTRACTS WITH CONTRACTORS OR CONSTRUCTION MANAGERS NECESSARY FOR COMPLETION OF THE EMERGENCY PROJECT; HOWEVER, SUCH AGREEMENTS AND CONTRACTS SHALL PROVIDE THAT THE EXECUTIVE DIRECTOR OF THE DEPARTMENT OF PERSONNEL OF THE STATE OF COLORADO SHALL BE RESPONSIBLE FOR DISBURSING FUNDS FOR THE PAYMENT OF ALL EXPENDITURES ASSOCIATED WITH THE AGREEMENTS AND CONTRACTS PURSUANT TO THE AUTHORITY GRANTED THE EXECUTIVE DIRECTOR UNDER THIS PART 20.

24­30­2005.  Rule­making authority.  THE EXECUTIVE DIRECTOR OF THE DEPARTMENT OF PERSONNEL IS AUTHORIZED TO PROMULGATE RULES IN ACCORDANCE WITH ARTICLE 4 OF THIS TITLE FOR THE IMPLEMENTATION OF THIS PART 20.

SECTION 2.  2­3­1304 (1), Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW PARAGRAPH to read:

2­3­1304.  Powers and duties of capital development committee.  (1)  The capital development committee shall have the following powers and duties:

(a.7)  TO STUDY EMERGENCY CAPITAL CONSTRUCTION REQUESTS FROM SCHOOL DISTRICTS PURSUANT TO THE PROVISIONS OF PART 20 OF ARTICLE 30 OF TITLE 24, C.R.S.;

SECTION 3. 24­75­302, Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW SUBSECTION to read:

24­75­302.  Capital construction fund ­ capital assessment fees ­ calculation. (5) (a)  THERE IS HEREBY CREATED A SPECIAL ACCOUNT WITHIN THE CAPITAL CONSTRUCTION FUND ESTABLISHED PURSUANT TO SUBSECTION (1) OF THIS SECTION TO BE KNOWN AS THE "SCHOOL DISTRICT EMERGENCY CAPITAL CONSTRUCTION PROJECT ACCOUNT". MONEYS IN THE ACCOUNT SHALL BE APPROPRIATED BY THE GENERAL ASSEMBLY TO THE DEPARTMENT OF PERSONNEL FOR EXPENDITURE FOR SCHOOL DISTRICT EMERGENCY CAPITAL CONSTRUCTION PROJECTS PURSUANT TO PART 20 OF ARTICLE 30 OF THIS TITLE AND SHALL NOT BE AVAILABLE FOR ANY OTHER PURPOSE. ALL MONEYS UNEXPENDED OR UNENCUMBERED IN ANY FISCAL YEAR SHALL REMAIN IN THE ACCOUNT. ALL INTEREST EARNED FROM THE INVESTMENT OF MONEYS IN SAID ACCOUNT SHALL REMAIN IN SAID ACCOUNT AND BECOME A PART THEREOF.

(b) (I)  THE GENERAL ASSEMBLY, ACTING BY BILL, SHALL ANNUALLY DETERMINE AN AMOUNT TO BE TRANSFERRED BY THE STATE TREASURER FROM THE GENERAL FUND TO THE SCHOOL DISTRICT EMERGENCY CAPITAL CONSTRUCTION PROJECT ACCOUNT IN THE CAPITAL CONSTRUCTION FUND. THE AMOUNT TO BE TRANSFERRED SHALL BE AS FOLLOWS: ON JULY 1, 1999, _________ DOLLARS.

(II)  ANY TRANSFER FROM THE GENERAL FUND TO THIS ACCOUNT SHALL NOT BE SUBJECT TO THE LIMITATION ON GENERAL FUND APPROPRIATIONS FOUND IN SECTION 24­75­201.1.

SECTION  4.  Refer to people under referendum.  This act shall be submitted to a vote of the registered electors of the state of Colorado at the next election for which it may be submitted, for their approval or rejection, under the provisions of the referendum as provided for in section 1 of article V and section 20 of article X of the state constitution, and in article 40 of title 1, Colorado Revised Statutes. Each elector voting at said election and desirous of voting for or against said act shall cast a vote as provided by law either "Yes" or "No" on the proposition: "SHALL THE GENERAL ASSEMBLY BE ALLOWED TO TRANSFER MONEYS FROM THE GENERAL FUND TO A SPECIAL ACCOUNT IN THE CAPITAL CONSTRUCTION FUND TO BE EXPENDED FOR EMERGENCY CAPITAL CONSTRUCTION PROJECTS TO REPAIR OR RENOVATE UNSAFE SCHOOL BUILDINGS AND SHALL SUCH TRANSFERS NOT BE SUBJECT TO THE STATUTORY LIMITATION ON STATE GENERAL FUND APPROPRIATIONS?" The votes cast for the adoption or rejection of said act shall be canvassed and the result determined in the manner provided by law for the canvassing of votes for representatives in Congress, and, if a majority of the electors voting on the question shall have voted "Yes", said act shall become law.