First Regular Session
Sixty-second General Assembly
LLS NO. 99-0527.01 Dan Cartin SENATE BILL 99-235
STATE OF COLORADO
BY SENATOR Powers;
also REPRESENTATIVE George.
TRANSPORTATION
APPROPRIATIONS
A BILL FOR AN ACT
101 CONCERNING THE DISPOSITION OF EXCESS STATE HIGHWAY RIGHT-OF-WAY
102 BY THE DEPARTMENT OF TRANSPORTATION TO CERTAIN QUALIFIED
103 TAX-EXEMPT ENTITIES.
Bill Summary
(Note: This summary applies to this bill as introduced and does
not necessarily reflect any amendments that may be subsequently
adopted.)
Defines a "qualifying entity" as a tax-exempt nonprofit or
charitable organization.
Authorizes the department of transportation, subject to an
approving resolution of the transportation commission, to dispose of any
excess right-of-way by means of a sale or exchange or to lease such
excess right-of-way for nominal consideration if such sale, exchange, or
lease is made to or with a qualifying entity and if:
In the opinion of the chief engineer, such excess
right-of-way is not needed for transportation purposes;
The department determines that such excess right-of-way
is of use to the qualifying entity;
The total area of such excess right-of-way does not exceed
5 acres;
The qualifying entity holds title to the real property that
abuts all or a portion of or that is accessed by all or a
portion of, or both, such excess right-of-way; and
The qualifying entity demonstrates that such excess
right-of-way will be utilized in conjunction with the
purposes, functions, and activities of the qualifying entity.
Requires that, in any such sale or exchange of excess right-of-way,
the department of transportation retain a possibility of reverter to the state
in the event that the qualifying entity abandons the right-of-way or if the
[ ] denotes HOUSE amendment. { } denotes SENATE amendment.
Capital letters indicate new material to be added to existing statute.
Dashes through the words indicate material to be deleted from existing statute.
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right-of-way is used or conveyed primarily for any purpose other than in
conjunction with the purposes, functions, and activities of the qualifying
entity.
Specifies that any such sale, exchange, or lease of such excess
right-of-way shall be upon the terms and conditions as the commission
and chief engineer, with the approval of the governor, may fix, and that
are reasonably consistent with the purposes, functions, and activities of
the qualifying entity. Directs that any moneys received from such sale,
exchange, or lease be deposited with the state treasurer to the credit of the
state highway supplementary fund.
1 Be it enacted by the General Assembly of the State of Colorado:
2 SECTION 1. 43-1-210 (5) (a) (I), Colorado Revised Statutes, is
3 amended to read:
4 43-1-210. Acquisition and disposition of property.
5 (5) (a) (I) EXCEPT AS OTHERWISE PROVIDED IN SECTION 43-1-210.3, the
6 department of transportation is authorized subject to approving resolution
7 of the transportation commission, to dispose of any property or interest
8 therein in the manner specified in this section which THAT, in the opinion
9 of the chief engineer, is no longer needed for transportation purposes.
10 Subject to the provisions of this section, any sale or exchange of such
11 property or interest shall be upon the terms and conditions as the
12 commission and chief engineer, with the approval of the governor, may
13 fix. Title to such property shall be transferred by appropriate instruments
14 of conveyance, without warranties, and any moneys received shall be
15 deposited with the state treasurer to the credit of the state highway
16 supplementary fund.
17 SECTION 2. Part 2 of article 1 of title 43, Colorado Revised
18 Statutes, is amended BY THE ADDITION OF A NEW SECTION to
19 read:
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1 43-1-210.3. Disposition of excess right-of-way - charitable and
2 nonprofit organizations - legislative declaration. (1) THE GENERAL
3 ASSEMBLY HEREBY FINDS, DECLARES, AND DETERMINES THAT:
4 (a) NONPROFIT AND CHARITABLE ORGANIZATIONS BENEFIT THE
5 PEOPLE AND ECONOMY OF COLORADO;
6 (b) PROPERTY USED BY NONPROFIT AND CHARITABLE
7 ORGANIZATIONS IS PRESUMED TO BE OWNED AND USED SOLELY AND
8 EXCLUSIVELY FOR CHARITABLE PURPOSES;
9 (c) THE SALE OR LEASE BY THE STATE OF EXCESS STATE HIGHWAY
10 RIGHT-OF-WAY TO A NONPROFIT OR CHARITABLE ORGANIZATION, FOR
11 NOMINAL CONSIDERATION, AFTER TAKING INTO ACCOUNT THE HISTORIC
12 AND PROSPECTIVE ECONOMIC BENEFIT AND IMPACT OF SUCH AN
13 ORGANIZATION TO THE CITIZENS OF THE STATE IS APPROPRIATE WHEN SUCH
14 RIGHT-OF-WAY IS UTILIZED IN CONJUNCTION WITH THE ACTIVITIES OF SUCH
15 AN ORGANIZATION; AND
16 (d) SUCH A SALE OR LEASE FOR NOMINAL CONSIDERATION IS A
17 TRANSFER OF PROPERTY BY THE STATE TO A PRIVATE ORGANIZATION THAT
18 FURTHERS A VALID PUBLIC PURPOSE BY ENSURING THAT THE CITIZENS OF
19 COLORADO, AS WELL AS THE ORGANIZATION PERFORMING THE PUBLIC
20 ACTIVITIES AND SERVICES, ENJOY THE BENEFITS OF THE USE OF SUCH
21 RIGHT-OF-WAY AND IS OTHERWISE CONSISTENT WITH SECTION 2 OF
22 ARTICLE XI OF THE STATE CONSTITUTION AND THE PUBLIC PURPOSE
23 EXCEPTION TO SUCH SECTION.
24 (2) AS USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE
25 REQUIRES:
26 (a) "EXCHANGE" SHALL HAVE THE SAME MEANING AS PROVIDED IN
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1 SECTION 43-1-210 (5) (d).
2 (b) "QUALIFYING ENTITY" MEANS A NONPROFIT OR CHARITABLE
3 ORGANIZATION ENTITLED TO TAX EXEMPTION UNDER SECTION 501 (c) (3)
4 OF THE FEDERAL "INTERNAL REVENUE CODE OF 1986", AS AMENDED.
5 (3) THE DEPARTMENT OF TRANSPORTATION IS AUTHORIZED,
6 SUBJECT TO AN APPROVING RESOLUTION OF THE TRANSPORTATION
7 COMMISSION, TO DISPOSE OF ANY EXCESS RIGHT-OF-WAY BY MEANS OF A
8 SALE OR EXCHANGE OR TO LEASE SUCH EXCESS RIGHT-OF-WAY FOR
9 NOMINAL CONSIDERATION TO A QUALIFYING ENTITY, AFTER TAKING INTO
10 ACCOUNT SUCH ENTITY'S HISTORICAL AND PROSPECTIVE ECONOMIC
11 BENEFIT AND IMPACT TO THE CITIZENS OF THE STATE, IF:
12 (a) IN THE OPINION OF THE CHIEF ENGINEER, SUCH EXCESS
13 RIGHT-OF-WAY IS NOT NEEDED FOR TRANSPORTATION PURPOSES;
14 (b) THE DEPARTMENT DETERMINES THAT SUCH EXCESS
15 RIGHT-OF-WAY IS OF USE TO SUCH QUALIFYING ENTITY;
16 (c) THE TOTAL AREA OF SUCH EXCESS RIGHT-OF-WAY DOES NOT
17 EXCEED FIVE ACRES;
18 (d) SUCH QUALIFYING ENTITY HOLDS TITLE TO THE REAL PROPERTY
19 THAT ABUTS ALL OR A PORTION OF OR THAT IS ACCESSED BY ALL OR A
20 PORTION OF, OR BOTH, SUCH EXCESS RIGHT-OF-WAY. IF SUCH REAL
21 PROPERTY AND EXCESS RIGHT-OF-WAY WOULD BE CONSIDERED TO BE
22 ABUTTING BUT FOR THE FACT THAT SUCH REAL PROPERTY AND EXCESS
23 RIGHT-OF-WAY ARE SEPARATED BY A STREET OR THOROUGHFARE, FOR THE
24 PURPOSES OF THIS PARAGRAPH (d), SUCH REAL PROPERTY AND EXCESS
25 RIGHT-OF-WAY ARE DEEMED TO BE ABUTTING.
26 (e) SUCH QUALIFYING ENTITY DEMONSTRATES THAT SUCH EXCESS
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1 RIGHT-OF-WAY WILL BE UTILIZED IN CONJUNCTION WITH THE PURPOSES,
2 FUNCTIONS, AND ACTIVITIES OF THE QUALIFYING ENTITY.
3 (4) IN ANY SALE OR EXCHANGE OF EXCESS RIGHT-OF-WAY
4 PURSUANT TO THIS SECTION, THE DEPARTMENT OF TRANSPORTATION SHALL
5 RETAIN A POSSIBILITY OF REVERTER TO THE STATE IN THE EVENT THAT THE
6 QUALIFYING ENTITY ABANDONS SUCH RIGHT-OF-WAY OR IF SUCH
7 RIGHT-OF-WAY IS USED OR CONVEYED PRIMARILY FOR ANY PURPOSE
8 OTHER THAN IN CONJUNCTION WITH THE PURPOSES, FUNCTIONS, AND
9 ACTIVITIES OF THE QUALIFYING ENTITY.
10 (5) (a) SUBJECT TO THE PROVISIONS OF THIS SECTION, ANY SALE,
11 EXCHANGE, OR LEASE OF SUCH EXCESS RIGHT-OF-WAY SHALL BE UPON THE
12 TERMS AND CONDITIONS AS THE COMMISSION AND CHIEF ENGINEER, WITH
13 THE APPROVAL OF THE GOVERNOR, MAY FIX, WHICH TERMS AND
14 CONDITIONS SHALL BE REASONABLY CONSISTENT WITH THE PURPOSES,
15 FUNCTIONS, AND ACTIVITIES OF THE QUALIFYING ENTITY.
16 (b) FOR ANY SALE OR EXCHANGE OF SUCH EXCESS RIGHT-OF-WAY,
17 TITLE SHALL BE TRANSFERRED BY APPROPRIATE INSTRUMENTS OF
18 CONVEYANCE, WITHOUT WARRANTIES.
19 (c) ANY LEASE OF SUCH EXCESS RIGHT-OF-WAY SHALL BE
20 SPECIFIED IN APPROPRIATE INSTRUMENTS DESIGNATING THE DEPARTMENT
21 OF TRANSPORTATION AS LESSOR AND THE QUALIFYING ENTITY AS LESSEE.
22 (d) ANY MONEYS RECEIVED FROM SUCH SALE, EXCHANGE, OR
23 LEASE SHALL BE DEPOSITED WITH THE STATE TREASURER TO THE CREDIT
24 OF THE STATE HIGHWAY SUPPLEMENTARY FUND.
25 SECTION 3. Safety clause. The general assembly hereby finds,
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1 determines, and declares that this act is necessary for the immediate
2 preservation of the public peace, health, and safety.