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Second Regular Session

Sixty-first General Assembly

LLS NO. 98­0069.01 GWF HOUSE BILL 98­1231

STATE OF COLORADO

BY REPRESENTATIVES Tool, Anderson, Dean, Entz, and Sullivant;

also SENATORS J. Johnson, B. Alexander, and Chlouber.

REREVISED

EDUCATION

A BILL FOR AN ACT

CONCERNING AN ASSISTANCE PROGRAM FOR SCHOOL DISTRICT CAPITAL CONSTRUCTION.

Bill Summary

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

Establishes a school construction and renovation fund to be used to make matching grants to school districts for capital construction projects. Allows matching grants only for projects that have been evaluated and included on the prioritized list prepared by the state board of education.

Permits the use of moneys in the school construction and renovation fund for capital construction projects involving instructional facilities, including classrooms, libraries, physical plants, and administrative areas, but does not permit the use of moneys in the fund for athletic, recreational, or other noninstructional facilities.

Requires school districts to submit grant applications to the state board of education no later than July 1 of each year. States that it is the intent of the general assembly that school districts give consideration to the needs of both traditional public schools and charter schools when submitting applications for grants. Directs the state board or its designees to review the applications and to prioritize them based on the relationship of the project to safety concerns, the relative wealth of the school district, the enrollment growth within the district, the efforts of the school district to allocate moneys to its capital reserve fund in excess of the amounts required by law, and whether the project will assist in incorporating technology into the educational environment. Authorizes the state board to prescribe the form of the applications, to request additional information, and to promulgate rules for the implementation of the program. Directs the state board to transmit its prioritized list of eligible projects to the joint budget committee and the education committees of the house of representatives and the senate no later than December 1 of each year. Provides that the joint budget committee shall determine how many of the eligible projects can receive grants of moneys from the fund, that only projects on the prioritized list may receive grants of moneys from the fund, and that the projects shall be funded in the priority determined by the state board.

Provides that the amount of a grant shall be no more than the difference between the school district's assessed valuation per pupil and the statewide average assessed valuation per pupil, expressed as a percentage of the statewide average, multiplied by the cost of the capital construction project.


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

SECTION 1.  Title 22, Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW ARTICLE to read:

ARTICLE 43.7

School District Capital Construction

Assistance Program

22­43.7­101.  Legislative declaration. (1)  THE GENERAL ASSEMBLY HEREBY FINDS AND DECLARES THAT:

(a)  SECTION 2 OF ARTICLE IX OF THE STATE CONSTITUTION REQUIRES THE GENERAL ASSEMBLY TO PROVIDE FOR THE ESTABLISHMENT AND MAINTENANCE OF A THOROUGH AND UNIFORM SYSTEM OF FREE PUBLIC SCHOOLS THROUGHOUT THE STATE;

(b)  THE GENERAL ASSEMBLY DESIRES TO ASSIST SCHOOL DISTRICTS IN ENSURING THAT PUBLIC SCHOOLS IN COLORADO ARE SUFFICIENT TO MEET STUDENTS' FUNDAMENTAL EDUCATIONAL NEEDS; AND

(c)  COLORADO SCHOOL DISTRICTS HAVE DIFFERING FINANCIAL ABILITIES TO MEET STUDENTS' FUNDAMENTAL EDUCATIONAL NEEDS, INCLUDING THE NEED FOR NEW PUBLIC SCHOOLS AND THE NEED FOR RENOVATIONS OF AND CONTROLLED MAINTENANCE AT PUBLIC SCHOOLS.

(2)  THE GENERAL ASSEMBLY FURTHER FINDS AND DECLARES THAT THE ESTABLISHMENT OF A PROGRAM TO PROVIDE MATCHING GRANTS TO SCHOOL DISTRICTS FOR CAPITAL CONSTRUCTION PROJECTS WOULD ASSIST THE DISTRICTS IN MEETING STUDENTS' FUNDAMENTAL EDUCATIONAL NEEDS.

(3)  IT IS THE INTENT OF THE GENERAL ASSEMBLY IN ENACTING THIS ARTICLE TO ESTABLISH A PROGRAM THAT WILL PROVIDE MATCHING FUNDS TO SCHOOL DISTRICTS THAT DESIRE TO UNDERTAKE CAPITAL CONSTRUCTION PROJECTS AND THAT HAVE A NEED FOR FINANCIAL ASSISTANCE IN ORDER TO UNDERTAKE SUCH CONSTRUCTION PROJECTS.

22­43.7­102.  Definitions.  AS USED IN THIS ARTICLE, UNLESS THE CONTEXT OTHERWISE REQUIRES:

(1)  "CAPITAL CONSTRUCTION" SHALL HAVE THE MEANING SET FORTH IN SECTION 24­75­301 (1), C.R.S.

(2)  "FUND" MEANS THE SCHOOL CONSTRUCTION AND RENOVATION FUND CREATED PURSUANT TO THIS ARTICLE.

(3)  "STATE AID" MEANS THAT PORTION OF A SCHOOL DISTRICT'S FINANCIAL BASE OF SUPPORT FOR PUBLIC EDUCATION THAT IS PROVIDED BY THE STATE PURSUANT TO ARTICLE 54 OF THIS TITLE.

(4)  "STATE BOARD" MEANS THE STATE BOARD OF EDUCATION CREATED PURSUANT TO SECTION 1 OF ARTICLE IX OF THE STATE CONSTITUTION.

22­43.7­103.  School construction and renovation fund ­ created ­ purpose. (1)  THERE IS HEREBY ESTABLISHED IN THE STATE TREASURY THE SCHOOL CONSTRUCTION AND RENOVATION FUND. THE FUND SHALL CONSIST OF THE MONEYS TRANSFERRED TO THE FUND PURSUANT TO SECTION 24­75­1102 (1) (a),C.R.S., AS ENACTED BY HOUSE BILL 98­1256, ENACTED AT THE SECOND REGULAR SESSION OF THE SIXTY­FIRST GENERAL ASSEMBLY, AND ANY OTHER MONEYS AS MAY BE MADE AVAILABLE BY THE GENERAL ASSEMBLY.

(2)  SUBJECT TO APPROPRIATION BY THE GENERAL ASSEMBLY, MONEYS IN THE FUND SHALL BE USED TO PROVIDE MATCHING GRANTS TO SCHOOL DISTRICTS THAT ARE UNDERTAKING QUALIFIED CAPITAL CONSTRUCTION PROJECTS AND FOR THE EXPENSES INCURRED BY THE STATE BOARD IN ADMINISTERING THIS ARTICLE.

(3)  MATCHING GRANTS FROM THE FUND SHALL NOT BE AUTHORIZED FOR ANY SCHOOL DISTRICT CAPITAL CONSTRUCTION PROJECT THAT HAS NOT BEEN EVALUATED BY THE STATE BOARD AND INCLUDED ON THE PRIORITIZED LIST PREPARED BY THE STATE BOARD PURSUANT TO THIS ARTICLE.

(4)  ALL INTEREST DERIVED FROM THE DEPOSIT AND INVESTMENT OF MONEYS IN THE FUND SHALL BE CREDITED TO THE FUND. ANY MONEYS NOT APPROPRIATED SHALL REMAIN IN THE FUND AND SHALL NOT BE TRANSFERRED OR REVERT TO THE GENERAL FUND OF THE STATE AT THE END OF ANY FISCAL YEAR.

22­43.7­104.  Eligible projects ­ criteria. (1)  MATCHING GRANTS MAY BE PROVIDED FROM THE FUND PURSUANT TO THIS ARTICLE ONLY FOR SCHOOL DISTRICT CAPITAL CONSTRUCTION PROJECTS INVOLVING INSTRUCTIONAL FACILITIES, INCLUDING CLASSROOMS, LIBRARIES, PHYSICAL PLANTS, AND ASSOCIATED ADMINISTRATIVE AREAS, OR INVOLVING THE INCORPORATION OF TECHNOLOGY INTO THE EDUCATIONAL ENVIRONMENT.

(2)  MATCHING GRANTS SHALL NOT BE PROVIDED PURSUANT TO THIS ARTICLE FOR ANY PORTION OF A SCHOOL DISTRICT CAPITAL CONSTRUCTION PROJECT INVOLVING ATHLETIC, RECREATIONAL, OR OTHER NONINSTRUCTIONAL FACILITIES WITHIN THE DISTRICT, EVEN IF SUCH FACILITIES ARE LOCATED ON A SCHOOL SITE.

22­43.7­105.  Grant application requirements ­ evaluation criteria ­ state board ­ duties. (1)  APPLICATIONS FOR MATCHING GRANTS FROM THE FUND SHALL BE SUBMITTED TO THE STATE BOARD NO LATER THAN JULY 1 OF EACH YEAR FOR THE FOLLOWING FISCAL YEAR. INDIVIDUAL SCHOOLS MAY APPLY FOR MATCHING GRANTS THROUGH THE SCHOOL DISTRICT IN WHICH THE SCHOOLS ARE LOCATED AND THE SCHOOL DISTRICT MAY, IN TURN, APPLY TO THE STATE BOARD FOR SUCH GRANTS PURSUANT TO THIS SECTION.

(2)  THE STATE BOARD OR ITS DESIGNEES SHALL EVALUATE SUCH APPLICATIONS BASED ON THE FACTORS SET FORTH IN THIS SECTION AND SUCH OTHER FACTORS AS THE STATE BOARD MAY ESTABLISH BY RULE. SUCH RULES SHALL BE PROMULGATED IN ACCORDANCE WITH ARTICLE 4 OF TITLE 24, C.R.S.

(3)  IT IS THE INTENT OF THE GENERAL ASSEMBLY THAT SCHOOL DISTRICTS GIVE CONSIDERATION TO THE NEEDS OF BOTH TRADITIONAL PUBLIC SCHOOLS AND CHARTER SCHOOLS ESTABLISHED PURSUANT TO ARTICLE 30.5 OF THIS TITLE WHEN SUBMITTING APPLICATIONS FOR MATCHING GRANTS PURSUANT TO THIS SECTION.

(4)  ALL APPLICATIONS SUBMITTED TO THE STATE BOARD SHALL BE IN A FORM PRESCRIBED BY THE STATE BOARD AND SHALL INCLUDE:

(a)  A DESCRIPTION OF THE SCOPE AND NATURE OF THE CAPITAL CONSTRUCTION PROJECT;

(b)  A DESCRIPTION OF THE ARCHITECTURAL, FUNCTIONAL, AND CONSTRUCTION STANDARDS THAT ARE TO BE APPLIED TO THE FACILITY THAT IS THE SUBJECT OF THE CAPITAL CONSTRUCTION PROJECT;

(c)  THE FORM AND AMOUNT OF FINANCIAL EFFORT THAT WILL BE PROVIDED BY THE SCHOOL DISTRICT FOR THE CAPITAL CONSTRUCTION PROJECT;

(d)  WHETHER AN ELECTION IS REQUIRED BEFORE THE DISTRICT CAN PROCEED WITH THE CAPITAL CONSTRUCTION PROJECT AND, IF SO, THE ANTICIPATED DATE OF THE ELECTION; AND

(e)  SUCH OTHER INFORMATION THE STATE BOARD MAY REQUIRE FOR THE EVALUATION OF THE CAPITAL CONSTRUCTION PROJECT.

(5)  APPLICATIONS THAT DESCRIBE CAPITAL CONSTRUCTION PROJECTS DEEMED ELIGIBLE BY THE STATE BOARD FOR MATCHING GRANTS SHALL BE PRIORITIZED BASED ON THE FOLLOWING CRITERIA, IN DESCENDING ORDER OF IMPORTANCE:

(a)  CAPITAL CONSTRUCTION PROJECTS THAT WILL ADDRESS IMMEDIATE SAFETY HAZARDS OR HEALTH CONCERNS AT EXISTING SCHOOL FACILITIES, CONSIDERING THE AGE OF THE FACILITIES AND ANY PREVIOUS RENOVATION WORK OR CONTROLLED MAINTENANCE THAT HAS BEEN PERFORMED AT THE FACILITIES;

(b)  CAPITAL CONSTRUCTION PROJECTS IN A SCHOOL DISTRICT THAT HAS A LOWER RELATIVE WEALTH COMPARED TO OTHER SCHOOL DISTRICTS IN THE STATE BASED ON THE PER PUPIL ASSESSED VALUATION WITHIN THE DISTRICT AND THE AMOUNT OF STATE AID TO WHICH THE SCHOOL DISTRICT IS ENTITLED RELATIVE TO THE DISTRICT'S TOTAL PROGRAM, AS DEFINED IN SECTION 22­54­103 (6);

(c)  CAPITAL CONSTRUCTION PROJECTS THAT WILL ADDRESS ENROLLMENT GROWTH ISSUES WITHIN A SCHOOL DISTRICT, CONSIDERING THE AMOUNT OF ENROLLMENT GROWTH IN THE SCHOOL DISTRICT AND OTHER STEPS TAKEN BY THE SCHOOL DISTRICT TO ADDRESS ENROLLMENT GROWTH CONCERNS;

(d)  CAPITAL CONSTRUCTION PROJECTS IN A SCHOOL DISTRICT THAT HAS PREVIOUSLY DEMONSTRATED CONSISTENT EFFORTS TO ALLOCATE MONEYS TO THE DISTRICT'S CAPITAL RESERVE FUND IN EXCESS OF THE MINIMUM AMOUNTS REQUIRED PURSUANT TO SECTION 22­54­105 (2);

(e)  CAPITAL CONSTRUCTION PROJECTS THAT ARE DESIGNED TO INCORPORATE TECHNOLOGY INTO THE EDUCATIONAL ENVIRONMENT;

(f)  ALL OTHER CAPITAL CONSTRUCTION PROJECTS.

(6)  FROM THE APPLICATIONS SUBMITTED FOR THE NEXT FISCAL YEAR, THE STATE BOARD SHALL PREPARE A PRIORITIZED LIST OF ELIGIBLE CAPITAL CONSTRUCTION PROJECTS AND SHALL SUBMIT SUCH LIST TO THE JOINT BUDGET COMMITTEE OF THE GENERAL ASSEMBLY NO LATER THAN DECEMBER 1 OF EACH YEAR FOR CONSIDERATION FOR INCLUSION IN THE GENERAL APPROPRIATIONS BILL. SAID LIST SHALL ALSO BE SUBMITTED TO THE EDUCATION COMMITTEES OF THE SENATE AND THE HOUSE OF REPRESENTATIVES NO LATER THAN DECEMBER 1 OF THAT YEAR. THE JOINT BUDGET COMMITTEE SHALL DETERMINE THE NUMBER OF CAPITAL CONSTRUCTION PROJECTS ON THE LIST THAT MAY RECEIVE MATCHING GRANTS FROM MONEYS AVAILABLE IN THE FUND. ONLY CAPITAL CONSTRUCTION PROJECTS ON THE PRIORITIZED LIST MAY RECEIVE MATCHING GRANTS FROM THE FUND, AND THE CAPITAL CONSTRUCTION PROJECTS SHALL BE FUNDED IN THE PRIORITY DETERMINED BY THE STATE BOARD.

(7)  THE STATE BOARD IS AUTHORIZED TO PROMULGATE RULES FOR THE ADMINISTRATION OF THIS ARTICLE. SUCH RULES SHALL BE PROMULGATED IN ACCORDANCE WITH ARTICLE 4 OF TITLE 24, C.R.S.

22­43.7­106.  Amount of grant.   THE STATE BOARD SHALL DEVELOP CRITERIA TO DETERMINE THE STATE'S SHARE OF A SCHOOL DISTRICT'S ELIGIBILITY FOR GRANTS. SUCH CRITERIA SHALL INCLUDE BUT SHALL NOT BE LIMITED TO:

(a)  THE SCHOOL DISTRICT'S RANKING ON ASSESSED VALUE PER PUPIL, INCLUDING WHETHER THE SCHOOL DISTRICT RANKS BELOW THE STATE AVERAGE;

(b)  THE SCHOOL DISTRICT=S MILL LEVY AND DEBT CAPACITY;

(c)  THE PERCENTAGE OF AT­RISK PUPILS IN THE SCHOOL DISTRICT;

(d)  THE PASSAGE OR FAILURE OF BOND ELECTIONS IN THE SCHOOL DISTRICT DURING THE PAST TEN YEARS;

(e)  THE AGE AND CONDITION OF BUILDINGS TO BE REMODELED OR REBUILT; AND

(f)  OTHER CRITERIA AS DEEMED NECESSARY BY THE STATE BOARD.

22­43.7­107.  Technology grants. NOTWITHSTANDING ANY OTHER PROVISION TO THE CONTRARY, FOR THE PURPOSE OF AWARDING GRANTS FOR PROJECTS TO INCORPORATE TECHNOLOGY INTO THE EDUCATIONAL ENVIRONMENT PURSUANT TO SECTION 22­43.7­105 (5) (e), THE STATE BOARD MAY AWARD GRANTS TO SCHOOL DISTRICTS OR OTHER POLITICAL SUBDIVISIONS OF THE STATE FOR APPLICATIONS THAT HAVE BEEN APPROVED BY THE COLORADO ADVANCED TECHNOLOGY INSTITUTE COMMISSION, CREATED IN ARTICLE 11 OF TITLE 23, C.R.S., THROUGH THE COMMUNITY­BASED ACCESS GRANT PROGRAM ESTABLISHED UNDER SECTION 23­11­104.5, C.R.S.

SECTION  2.  Article 11 of title 23, Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW SECTION to read:

23­11­104.5.  Community­based access grant program ­ additional powers and duties of commission. (1) (a)  THE COMMISSION SHALL ESTABLISH A COMMUNITY­BASED ACCESS GRANT PROGRAM UNDER WHICH THE COMMISSION SHALL APPROVE APPLICATIONS FOR GRANTS TO COMMUNITIES SUBMITTING PROPOSALS TO CONNECT PUBLIC OFFICES WITHIN THE COMMUNITY TO THE DIGITAL NETWORK OPERATED BY THE DEPARTMENT OF PERSONNEL PURSUANT TO ARTICLE 30 OF TITLE 24, C.R.S. TO QUALIFY FOR CONSIDERATION UNDER THIS SECTION, PROPOSALS SHALL LIST ALL PUBLIC OFFICES IN THE COMMUNITY AND, AS TO EACH SUCH PUBLIC OFFICE, SHALL SPECIFY WHETHER OR NOT THE PUBLIC OFFICE IS TO BE CONNECTED UNDER THE PROPOSAL. APPROVED APPLICATIONS SHALL BE SUBMITTED TO THE STATE BOARD OF EDUCATION TO BE CONSIDERED FOR A GRANT AWARD PURSUANT TO SECTION 24­43.7­107, C.R.S.

(b) (I)  FOR PURPOSES OF THIS SECTION, THE TERM "PUBLIC OFFICE" INCLUDES EVERY BUILDING, OFFICE, AND FACILITY THAT IS PHYSICALLY LOCATED WITHIN THE GEOGRAPHIC BOUNDARIES OF THE COMMUNITY AND IS OWNED OR OPERATED BY:

(A)  AN AGENCY OR POLITICAL SUBDIVISION OF THE STATE OR OF ANY LOCAL GOVERNMENT; OR

(B)  A NONPROFIT ENTITY ORGANIZED FOR ECONOMIC DEVELOPMENT, LIBRARY, HEALTH CARE, SOCIAL SERVICE, HISTORICAL, EDUCATIONAL, OR CULTURAL PURPOSES.

(II)  "PUBLIC OFFICE" ALSO INCLUDES, BUT IS NOT LIMITED TO, STATE AGENCY OFFICES, PUBLIC SCHOOLS, LIBRARIES, AND COUNTY AND MUNICIPAL GOVERNMENT OFFICES.

(2)  PROPOSALS SUBMITTED FOR CONSIDERATION UNDER SUBSECTION (1) OF THIS SECTION SHALL BE EVALUATED ON A COMPETITIVE BASIS; EXCEPT THAT NO COMMUNITY MAY BE AWARDED MORE THAN ONE GRANT. THE OVERALL PROPOSAL PROCESS SHALL BE CONDUCTED WITH THE GOAL OF SEEING THAT EVERY COMMUNITY RECEIVES A GRANT UNDER THIS PROGRAM WHEN ITS PROPOSAL IS OF HIGH QUALITY AND COMPETITIVE WITH THOSE OF COMMUNITIES OF COMPARABLE SIZE AND CHARACTERISTICS. THE COMMISSION SHALL GIVE FAVORABLE CONSIDERATION TO THOSE COMMUNITIES PROPOSING TO AGGREGATE THE TRAFFIC OF, AND INCLUDE THE HIGHEST PARTICIPATION FROM, THE TOTAL NUMBER OF PUBLIC OFFICES WITHIN THE COMMUNITY.

(3)  GRANTS SHALL BE APPROVED ONLY FOR CAPITAL COSTS OF EQUIPMENT AND SERVICES FOR PROVIDING DEDICATED NETWORK CONNECTIVITY FOR THE PUBLIC OFFICES CONCERNED. END USER EQUIPMENT, APPLICATIONS DEVELOPMENT, MAINTENANCE, TRAINING, AND OTHER SUCH COSTS WILL BE BORNE BY EACH INDIVIDUAL PUBLIC OFFICE OR ORGANIZATION. GRANT MONEYS SHALL BE DISBURSED ONLY TO A FISCAL AGENT THAT IS A POLITICAL SUBDIVISION OF THE STATE.

(4)  THE COMMISSION MAY USE MONEYS MADE AVAILABLE TO THE COMMISSION TO PROVIDE COMMUNITIES WITH SUFFICIENT TECHNICAL ASSISTANCE, TRAINING, ENGINEERING, AND CONSULTING TO PREPARE PLANS, PROGRAM DOCUMENTS, LIFE­CYCLE COST STUDIES, AND OTHER STUDIES ASSOCIATED WITH AND NECESSARY FOR THE DEVELOPMENT OF PROPOSALS UNDER THIS SECTION.

(5)  IN CONSIDERING PROPOSALS AND APPROVING GRANT APPLICATIONS UNDER THIS SECTION, THE COMMISSION SHALL BE GUIDED BY THE FOLLOWING PRECEPTS:

(a)  A COMMUNITY EXISTS AS A WHOLE AND SEAMLESS FABRIC, NOT AS SEPARATE THREADS, AND A WELL­PLANNED APPROACH TO PUBLIC SECTOR CONNECTIVITY SHOULD RECOGNIZE THIS. THEREFORE, SUCCESSFUL PROPOSALS SHOULD ADDRESS ALL PUBLIC SECTORS IN TOTALITY AND NOT SEPARATELY AS INDIVIDUAL PUBLIC SECTORS, INCLUDING, BUT NOT LIMITED TO, TRANSPORTATION, EDUCATION, LOCAL GOVERNMENT, AND HEALTH CARE SECTORS. FURTHER, IN ACCORDANCE WITH THE PRINCIPLE THAT THE MOST EFFECTIVE DECISIONS ARE MADE BY THAT LEVEL OF GOVERNMENT CLOSEST TO THE PEOPLE, THE COMMISSION SHOULD FAVOR PROPOSALS UNDER WHICH IMPLEMENTATION AT THE COMMUNITY LEVEL IS ACCOMPLISHED THROUGH A COMMUNITY­BASED INITIATIVE.

(b)  A PROGRAM TO ADDRESS PUBLIC SECTOR CONNECTIVITY SHOULD NOT ONLY ADDRESS EACH COMMUNITY AS A WHOLE, BUT SHOULD COMPREHENSIVELY ADDRESS ALL COMMUNITIES WITHIN THE STATE. THE GOAL SHOULD BE TO CONNECT PUBLIC OFFICES IN ALL COMMUNITIES DURING ROUGHLY THE SAME PERIOD OF TIME, AVOIDING A SITUATION IN WHICH SOME COMMUNITIES ARE INFORMATION "HAVES" AND OTHERS ARE INFORMATION "HAVE­NOTS".

(c)  FOR EACH COMMUNITY TO BENEFIT FROM ACCESS TO THE INFORMATION INFRASTRUCTURE, THERE SHOULD BE A COMMON NETWORK FOR COMMUNITIES TO CONNECT TO. THE BASIS FOR THIS COMMON NETWORK EXISTS TODAY IN THAT THE STATE HAS ESTABLISHED AND CONTINUES TO DEVELOP DIGITAL NETWORKS WITH NUMEROUS POINTS OF PRESENCE THROUGHOUT THE STATE CAPABLE OF CARRYING TRAFFIC OF NOT ONLY STATE AGENCIES, BUT ALL REMAINING PUBLIC FUNCTIONS OF THE STATE AND ITS POLITICAL SUBDIVISIONS.

(d)  BY AGGREGATING DEMAND, THE STATE AND COMMUNITIES CAN INCREASE THEIR PURCHASING POWER AND THEIR ABILITY TO STIMULATE PRIVATE­SECTOR INVESTMENT IN TELECOMMUNICATIONS INFRASTRUCTURE. SUCH INVESTMENT WILL NOT ONLY MEET THE NEEDS OF THE PUBLIC SECTOR, BUT ALSO PROVIDE RESIDUAL CAPACITY TO BENEFIT PRIVATE CITIZENS AND BUSINESSES. THUS, COMMUNITIES AND THE STATE CAN ACT TOGETHER AS "ANCHOR TENANTS" IN STIMULATING PRIVATE­ SECTOR ACTIVITY IN THIS AREA FOR THE BENEFIT OF ALL.

SECTION 3.  Effective date.  This act shall take effect at 12:01 a.m. on the day following the expiration of the ninety­day period after final adjournment of the general assembly that is allowed for submitting a referendum petition pursuant to article V, section 1 (3) of the state constitution; except that, if a referendum petition is filed against this act or an item, section, or part of this act within such period, then the act, item, section, or part, if approved by the people, shall take effect on the date of the official declaration of the vote thereon by proclamation of the governor.