Colorado Legislative Council Staff



No State General Fund Impact

Drafting Number:

Prime Sponsor(s):

LLS 99-0204

Rep. Berry

Sen. Tebedo


Bill Status:

Fiscal Analyst:

January 21, 1999

House Local Government

Steve Tammeus (866-2756)



Fiscal Impact Summary

FY 1999/2000

FY 2000/2001

State Revenues

General Fund



State Expenditures

General Fund



FTE Position Change

0.0 FTE

0.0 FTE

Other State Impact: None

Effective Date: Upon signature of the Governor

Appropriation Summary for FY 1999-2000: None

Local Government Impact: Revises the general authorities of improvement districts.

Summary of Legislation

            This bill amends the "County Public Improvement District Act of 1968" and the provisions governing special improvement districts to allow districts to operate or maintain public improvements or provide services. The bill:


               allows governing bodies to establish districts wholly or partially within the boundaries of another local government if the local government consents; specifies certain requirements for annexed or incorporated territory and the payment of any outstanding debt;

               amends the provisions governing petitions to organize improvement districts by changing the number of signatures required and authorizes the board under certain conditions to waive the requirements for notice, publication, and a hearing on the petition; authorizes governing bodies to conduct elections on petitions; specifies when such an election may be held and how the governing body declares an improvement district organized;

               authorizes a board of county commissioners to use county sales tax to operate and maintain improvements provided by the county if such improvements are funded by county sales tax; requires that any county election on a district sales tax conform to section 20 of article X of the Colorado constitution (TABOR);

               specifies who may vote in an election to establish local improvement districts; authorizes the board of an improvement district to include the costs of acquiring and maintaining the improvements or works of the district and the costs of providing services of the district in its calculation of the amount of the levy on the taxable property in the district; removes the limitation on the amount of bonds issued by improvement districts and changes the time frames for payment;

               authorizes the board of an improvement district to seek judicial review of its actions in district court; and

               exempts improvement district revenues, bonds, and property from state taxation and assessments; exempts bonds issued by the district from certain provisions of the securities laws.

Local Government Impact

            This bill revises improvement district laws within counties and municipalities to allow communities to provide services. The bill vests the authority to form an improvement district with the electors and vests the administrative authority to construct public improvements, provide services, and oversee tax and debt with the county or municipality. The bill conforms improvement district statutes to TABOR tax and election requirements.

            The bill does not impose any changes to local government revenue or expenditures, but allows local governing bodies to elect to establish improvement districts, provide services, incur debt, levy and collect sales taxes, and charge for services.

State Appropriations

            This fiscal note would imply no new state appropriations are required for FY 1999-2000.

Departments Contacted


            Local Affairs              Judicial           Revenue