This information is prepared as an informational service only and should not be relied upon as an official record of action taken by the Colorado General Assembly.

SENATE JOURNAL

Sixty-second General Assembly

STATE OF COLORADO

First Regular Session

31^st Legislative Day Friday, February 5, 1999

Call to By the President at 9:00 a.m.

Order

Prayer By the chaplain, Reverend Dr. Marjorie Lewis, New Hope Baptist Church of Denver.

Roll Call Present--Total, 31.

Absent/Excused--Blickensderfer, Feeley, Thiebaut, Powers--Total, 4.

Present later--Thiebaut.

Quorum The President announced a quorum present.

Reading of On motion of Senator Evans, reading of the Journal of February 4^th was

Journal dispensed with and the Journal stands approved as corrected by the Secretary.

SENATE SERVICES REPORT

Senate Correctly enrolled: SJR 99-9; also SR 99-5.

Services

COMMITTEE OF REFERENCE REPORTS

Business After consideration on the merits, the committee recommends that SB99-170 be

Affairs amended as follows and, as so amended, be referred to the Committee of the Whole with

and Labor favorable recommendation:

Amend printed bill, page 3, strike lines 14 and 15 and substitute the following:

"RAMIFICATIONS RESULTING FROM YEAR 2000 FAILURES ASSOCIATED WITH ELECTRONIC COMPUTING DEVICES.".

Page 4, after line 2, insert the following:

"(2) (a)  "YEAR 2000 FAILURE" MEANS, WITH RESPECT TO AN ELECTRONIC COMPUTING DEVICE, ANY FAILURE, INCLUDING AN ELECTRICAL OR TELECOMMUNICATIONS FAILURE, THAT PREVENTS SUCH ELECTRONIC COMPUTING DEVICE FROM ACCURATELY INTERPRETING, PRODUCING, COMPUTING, GENERATING, ACCOUNTING FOR, PROCESSING, CALCULATING, COMPARING, OR SEQUENCING DATE OR TIME DATA:

(I)  FROM, INTO, OR BETWEEN:

(A)  THE TWENTIETH AND TWENTY­FIRST CENTURIES; OR

(B)  THE YEARS 1999 AND 2000; OR

(II)  WITH REGARD TO LEAP YEAR CALCULATIONS.

(b)  "YEAR 2000 FAILURE" INCLUDES ANY INABILITY OF A BUSINESS TO PERFORM AN INTENDED OR REQUESTED FUNCTION BECAUSE OF THE SYSTEM FAILURE OF AN OUTSIDE PARTY, INCLUDING, BUT NOT LIMITED TO, THE FAILURE OF A GOVERNMENTAL BODY TO PROVIDE DATA, TRANSPORTATION DELAYS, ENERGY FAILURES, OR COMMUNICATION FAILURES.";

strike lines 3 through 26 and substitute the following:

"13­21­604.  Individual's right to affirmative defense based on year 2000 failure. (1)  AN INDIVIDUAL SHALL HAVE AN AFFIRMATIVE DEFENSE TO ANY CLAIM OR ACTION BROUGHT AGAINST THE INDIVIDUAL IF THE INDIVIDUAL ESTABLISHES THAT THE INDIVIDUAL'S DEFAULT, FAILURE TO PAY, BREACH, OMISSION, OR OTHER VIOLATION THAT IS THE BASIS OF THE CLAIM AGAINST HIM OR HER WAS CAUSED, IN WHOLE OR IN PART, BY A YEAR 2000 FAILURE ASSOCIATED WITH AN ELECTRONIC COMPUTING DEVICE, AND, IF IT WERE NOT FOR THE YEAR 2000 FAILURE, THE INDIVIDUAL WOULD HAVE BEEN ABLE TO SATISFY THE OBLIGATIONS THAT ARE THE BASIS OF THE CLAIM.

(2)  IF AN INDIVIDUAL ESTABLISHES AN AFFIRMATIVE DEFENSE AS SET FORTH IN SUBSECTION (1) OF THIS SECTION, THEN THE PERSON OR ENTITY MAKING THE CLAIM AGAINST THE INDIVIDUAL SHALL NOT REASSERT THE CLAIM AS TO WHICH THE AFFIRMATIVE DEFENSE WAS ASSERTED FOR A PERIOD OF THIRTY DAYS FROM THE DATE ON WHICH THE AFFIRMATIVE DEFENSE IS GRANTED BY THE COURT. ANY STATUTE OF LIMITATIONS APPLICABLE TO THE CLAIM SHALL BE TOLLED FOR FORTY­FIVE DAYS UPON THE GRANTING OF THE AFFIRMATIVE DEFENSE UNDER THIS SECTION.

(3)  THIS SECTION SHALL APPLY ONLY TO ACTIONS ACCRUING ON OR AFTER JANUARY 1, 2000.".

Page 5, strike lines 1 through 10.

Renumber succeeding subsections accordingly.

Page 5, strike lines 15 and 16 and substitute the following:

"(5)  THE GRANTING OF THE AFFIRMATIVE DEFENSE UNDER THIS SECTION SHALL NOT IMPAIR, EXTINGUISH, DISCHARGE, SATISFY, OR OTHERWISE AFFECT THE UNDERLYING OBLIGATION THAT IS THE BASIS OF THE CLAIM AGAINST WHICH THE AFFIRMATIVE DEFENSE WAS ASSERTED; EXCEPT THAT, THE INABILITY OF A PARTY TO BRING THE CLAIM BASED UPON THE OBLIGATION SHALL BE DELAYED AS SET FORTH IN SUBSECTION (2) OF THIS SECTION.";

strike lines 25 and 26.

Renumber succeeding C.R.S. section accordingly.

Business After consideration on the merits, the committee recommends that SB99-153 be

Affairs amended as follows and, as so amended, be referred to the Committee on Appropriations

and Labor with favorable recommendation:

Amend printed bill, page 2, strike lines 5 through 16 and substitute the following:

"declaration. (1)  THE GENERAL ASSEMBLY FINDS, DETERMINES, AND DECLARES THAT NATURAL GAS SERVICE IS ESSENTIAL TO THE HEALTH AND WELL­BEING OF ALL COLORADO NATURAL GAS CUSTOMERS. THE GENERAL ASSEMBLY FURTHER FINDS, DETERMINES, AND DECLARES THAT NATURAL GAS IS TRADED IN COMPETITIVE MARKETS AT THE WELLHEAD AND IN DOWNSTREAM MARKETS FOR SALE TO UTILITIES, INDUSTRIAL CUSTOMERS, AND LARGE COMMERCIAL CUSTOMERS AND THERE MAY BE THE POTENTIAL FOR NATURAL GAS ALSO TO BE TRADED COMPETITIVELY FOR SALE TO ALL OTHER CLASSES OF CONSUMERS. AS A RESULT, IT MAY BE PREDICTED THAT COMPETITION IN THE NATURAL GAS SUPPLY MARKET MAY INCREASE THE CHOICES AVAILABLE TO CONSUMERS AND REDUCE THE PRICE OF SUCH SERVICE. ACCORDINGLY, IT IS THE POLICY OF THE STATE OF COLORADO TO ENCOURAGE COMPETITION AFTER A REASONABLE TRANSITION PERIOD DURING WHICH CONSUMERS ARE EDUCATED ABOUT CHOICES IN NATURAL GAS SUPPLY THAT ARE NOW AVAILABLE OR WILL BE AVAILABLE IN THE FUTURE. THE COMMISSION IS AUTHORIZED TO APPROVE VOLUNTARY PLANS CONSISTENT WITH THIS SECTION THAT SEPARATE THE SALE OF NATURAL GAS TO RETAIL CUSTOMERS INTO NATURAL GAS DELIVERY AND NATURAL GAS SUPPLY AND, AFTER A TRANSITION PERIOD, DEREGULATE THE CHARGE FOR NATURAL GAS SUPPLY WHERE THE COMMISSION FINDS THAT THE PLAN PROVIDES CUSTOMERS WITH ADEQUATE CHOICES, ENSURES THE PROVISION OF RELIABLE NATURAL GAS SUPPLY ON A FALLBACK BASIS ON TERMS AND CONDITIONS THAT ARE JUST AND REASONABLE TO ALL CUSTOMERS, PROMOTES THE DEVELOPMENT OF A COMPETITIVE MARKET FOR GAS SUPPLY, LIMITS THE UNREASONABLE EXERCISE OF MARKET POWER, AND RETAINS AND ENHANCES PROGRAMS TO SUPPORT LOW­INCOME CONSUMERS.";

strike lines 24 through 26.

Page 3, strike lines 1 through 3 and substitute the following:

"(b)  ANY NATURAL GAS PUBLIC UTILITY PROVIDING FOR INDIVIDUAL CONSUMER CHOICE BETWEEN COMPETING SUPPLIERS SHALL IMPLEMENT A SEPARATELY STATED DISTRIBUTION CHARGE, APPLICABLE TO ALL CUSTOMERS REGARDLESS OF THE IDENTITY OF THE NATURAL GAS SUPPLIER AND DENOTED AS A "PUBLIC BENEFITS CHARGE", TO HELP DEFRAY THE COSTS ASSOCIATED WITH FUNDING LOW­INCOME ENERGY ASSISTANCE PROGRAMS SUCH AS BILL ASSISTANCE AND WEATHERIZATION FOR RESIDENTIAL ENERGY CONSUMERS IN COLORADO, SUBJECT TO THE FOLLOWING CONDITIONS:";

strike line 6 and substitute the following:

"OF THE REAL DOLLAR EQUIVALENT OF EACH UTILITY'S 1998 NOMINAL­DOLLAR REGULATED GAS REVENUES RECEIVED FOR THE GEOGRAPHIC AREA OR GROUP OF CUSTOMERS THAT IS SUBJECT TO THE PLAN. ADDITIONALLY, WITHIN ONE YEAR FOLLOWING THE IMPLEMENTATION OF THE FIRST NATURAL GAS SUPPLIER CHOICE PROGRAM BY A NATURAL GAS UTILITY THAT AFFECTS A SIGNIFICANT NUMBER OF LOW­INCOME HOUSEHOLDS, THE PUBLIC BENEFITS CHARGE SHALL BE SET AT A LEVEL SUFFICIENT TO RAISE AN ADDITIONAL SUM OF ONE HUNDRED FIFTY THOUSAND DOLLARS TO FUND THE STUDY PROVIDED FOR IN SUBSECTION (11) OF THIS SECTION;";

line 8, strike "SERVICE." and substitute the following:

"SERVICE IN THE SAME MANNER AND WITH THE SAME PROMINENCE AS IS THE CHARGE TO DEFRAY THE UTILITY'S TRANSITION COSTS; AND

(III)  THE PUBLIC BENEFITS CHARGE SHALL BE IMPOSED ON ALL NATURAL GAS DELIVERED BY THE UTILITY IN A MANNER THAT IS COMPETITIVELY NEUTRAL AND NON­BYPASSABLE.";

strike lines 22 and 23 and substitute the following:

"(d) (I)  IF THE GOVERNING BODY OF A MUNICIPALITY".

Page 4, after line 15, insert the following:

"(e)  THE COMMISSION OR OTHER GOVERNING BODY SHALL RETAIN THE AUTHORITY TO ESTABLISH GUIDELINES REGARDING GAS TRANSPORTATION SERVICE. SUCH GUIDELINES MAY INCLUDE, BUT ARE NOT LIMITED TO, PROVISIONS CONCERNING THE ESTABLISHMENT OF RATES, TERMS, AND CONDITIONS FOR THE PROVISIONING OF GAS TRANSPORTATION SERVICES BY A NATURAL GAS PUBLIC UTILITY, REGARDLESS OF WHETHER THE UTILITY HAS AN APPROVED VOLUNTARY PLAN.".

Page 5, line 5, strike "SERVICE" and substitute "SERVICE, OTHER THAN FALLBACK SERVICE,";

line 7, strike "BASIS." and substitute "BASIS WITHOUT AN OBLIGATION TO SERVE.";

line 14, after "THAT", insert "ALL";

line 15, strike "CONSUMERS" and substitute "CONSUMERS, INCLUDING THOSE WHO ARE CURRENTLY TRANSPORTATION CUSTOMERS OF THE NATURAL GAS PUBLIC UTILITY,";

line 19, strike "CONSUMERS;" and substitute "CONSUMERS, INCLUDING ENSURING NONDISCRIMINATORY ACCESS TO UPSTREAM CAPACITY AND STORAGE SERVICES BY ALL COMPETITORS;";

after line 19, insert the following:

"(III)  ESTABLISHES SAFEGUARDS TO ELIMINATE THE UNREASONABLE EXERCISE OF MARKET POWER BY ANY PERSON TO THE DETRIMENT OF CONSUMERS OR COMPETITORS;".

Renumber succeeding subparagraphs accordingly.

Page 6, line 5, strike "SERVICE" and substitute "SERVICE, ON A FIRM BASIS WITH ADEQUATE BACKUP,";

line 9, strike "MAY" and substitute "SHALL";

strike lines 14 and 15 and substitute the following:

"PRICES FOR THOSE CUSTOMERS WHO DO NOT RECEIVE SUPPLY OFFERS, DO NOT SELECT A COMPETITIVE NATURAL GAS PROVIDER, WHO ARE REFUSED SERVICE BY A SUPPLIER, WHOSE SERVICE IS CANCELED BY A SUPPLIER, WHO NEED SERVICE WHILE MOVING OR DURING OTHER TRANSITIONS, OR WHOSE SUPPLIER FAILS TO SUPPLY SERVICE. IF A UTILITY PROVIDES REGULATED FALLBACK SERVICE, THE UTILITY".

Page 7, line 7, after "LOW­INCOME", insert "ENERGY ASSISTANCE";

line 22, strike "GAS;" and substitute the following:

"GAS, INCLUDING, WITHOUT LIMITATION, TERMS AND CONDITIONS THAT ADDRESS THE FOLLOWING ISSUES:

(A)  THE MANNER IN WHICH PRICE AND TERMS AND CONDITIONS SHOULD BE DISCLOSED;

(B)  THE EXTENT TO WHICH NATURAL GAS UTILITIES AND SUPPLIERS ARE OBLIGATED TO SERVE ALL CUSTOMERS;

(C)  APPROPRIATE CREDIT AND COLLECTION PRACTICES;

(D)  THE TERMS UNDER WHICH SERVICE MAY BE DISCONTINUED;

(E)  HOW PARTIAL PAYMENTS ARE ALLOCATED;

(F)  PROTECTING CUSTOMER PRIVACY;

(G)  PROHIBITING UNFAIR AND DECEPTIVE MARKETING PRACTICES; AND

(H)  THE DEGREE OF ACCESS TO CUSTOMER INFORMATION NEEDED BY SUPPLIERS TO PROMOTE COMPETITION;";

strike lines 24 and 25 and substitute the following:

"NO CONSUMER'S NATURAL GAS SUPPLIER MAY BE CHANGED WITHOUT THE CONSUMER'S".

Page 8, line 5, after "PROCEDURES.", add "THE COMMISSION SHALL ALSO ESTABLISH AND DETERMINE THE EXTENT TO WHICH A SUPPLIER WHO CAUSES CONSUMERS TO BE CHANGED WITHOUT THEIR CONSENT IS LIABLE TO THOSE CONSUMERS AND THEIR CHOSEN PROVIDERS.";

line 7, strike "PER UNIT OF GAS";

line 8, strike "DELIVERED", and, after "CUSTOMERS,", insert "AS DETERMINED BY THE COMMISSION,";

line 13, strike "1998." and substitute "1998 ASSOCIATED WITH THE SALE OF NATURAL GAS SERVICE FROM THE GEOGRAPHIC AREA OR GROUP OF CUSTOMERS AFFECTED BY THE PLAN.";

after line 17, insert the following:

"(4)  THE DEPARTMENT OF REVENUE IS HEREBY AUTHORIZED TO COLLECT FUNDING FOR THE COMMISSION AND THE OFFICE OF CONSUMER COUNSEL IN ACCORDANCE WITH SUBPARAGRAPH (XI) OF PARAGRAPH (c) OF SUBSECTION (3) OF THIS SECTION.".

Renumber succeeding subsections accordingly.

Page 8, line 19, strike "UTILITIES OR BOTH," and substitute "UTILITIES OR GAS SUPPLY COMPANIES,";

line 20, after "CERTIFICATION," insert "REQUIREMENTS, TERMS, AND CONDITIONS FOR GAS SUPPLY SERVICE, AND REQUIREMENTS FOR".

Page 9, line 2, strike "RULES," and substitute "RULES AND STANDARDS OF CONDUCT,";

strike lines 4 through 6 and substitute the following:

"(6) (a)  THE COMMISSION SHALL PERMIT EACH NATURAL GAS PUBLIC UTILITY RECOVERY, THROUGH ITS TARIFF RATES FOR DELIVERY OF NATURAL GAS, OF ALL OR A PORTION OF THE UTILITY'S TRANSITION COSTS AS MAY BE JUST AND REASONABLE IF SUCH RECOVERY, FOR TRANSITION COSTS OTHER THAN COSTS IDENTIFIED IN SUB­SUBPARAGRAPH (G) OF SUBPARAGRAPH (II) OF PARAGRAPH (b) OF THIS SUBSECTION (6), DOES NOT INCREASE THE ANNUAL CHARGES FOR REGULATED GAS DELIVERY SERVICE IN EXCESS OF ONE PERCENT OF THE UTILITY'S JURISDICTIONAL GAS REVENUES BOOKED OR RECORDED IN CALENDAR YEAR 1998. TO THE EXTENT THE COMMISSION APPROVES THE RECOVERY OF TRANSITION COSTS IDENTIFIED IN SUB­SUBPARAGRAPH (G) OF SUBPARAGRAPH (II) OF PARAGRAPH (b) OF THIS SUBSECTION (6), THOSE COSTS SHALL BE RECOVERED OVER A REASONABLE PERIOD OF TIME, AS DETERMINED BY THE COMMISSION.";

line 7, strike "(5)," and substitute "(6),";

line 10, after "COLORADO" insert "WHICH ARISE FROM OR ARE RELATED TO CONTRACTS, INVESTMENTS, OR OTHER OBLIGATIONS EXISTING";

line 21, after "COSTS", insert "INCURRED BEFORE, ON, OR AFTER THE DATE OF IMPLEMENTATION OF THE VOLUNTARY PLAN AND THAT ARE".

Page 11, strike line 4 and substitute the following:

"(c)  EXCEPT TO THE EXTENT PROVIDED IN PLAN PROVISIONS OR RULES ADOPTED BY THE COMMISSION GOVERNING THE RELATIONSHIP BETWEEN THE PUBLIC UTILITY AND ITS AFFILIATES, THE COMMISSION SHALL NOT IMPOSE ON A NATURAL GAS";

strike lines 10 and 11 and substitute the following:

"(7)  THE PUBLIC BENEFITS CHARGE AND ITS FUNDING METHOD SHALL CONTINUE IN EFFECT UNTIL AT LEAST DECEMBER 31, 2005, AND SHALL REMAIN IN EFFECT THEREAFTER UNTIL AND UNLESS REPLACED WITH A DIFFERENT LEGISLATIVELY ADOPTED FUNDING MECHANISM FOR STATEWIDE LOW­INCOME ENERGY ASSISTANCE PROGRAMS THAT ASSURES THE AVAILABILITY OF ADEQUATE RESOURCES AND THAT IS CONSISTENT WITH THE RECOMMENDATIONS OF THE 1998 GOVERNOR'S ENERGY ASSISTANCE REFORM TASK FORCE FOR THE PURPOSE OF DEFRAYING THE COSTS OF LOW­INCOME ENERGY ASSISTANCE. ON OR BEFORE DECEMBER 1, 2004, THE COLORADO ENERGY ASSISTANCE FOUNDATION, WHICH IS THE ENTITY CREATED UNDER SECTION 40­8.5­104, OR ITS SUCCESSOR, IN CONJUNCTION WITH ANY INTERESTED NATURAL GAS UTILITY OR NATURAL GAS SUPPLIER, SHALL RECOMMEND SUCH A DIFFERENT FUNDING MECHANISM FOR LOW­INCOME ENERGY ASSISTANCE PROGRAMS TO THE GENERAL ASSEMBLY FOR ADOPTION.";

line 19, strike "PLANS." and substitute "PLANS AND WHETHER TO INITIATE A RULE­MAKING TO PROVIDE FOR CONSISTENT CONSUMER PROTECTION MECHANISMS FOR ALL NATURAL GAS CUSTOMERS FOR THOSE ISSUES ADDRESSED IN SUBPARAGRAPH (VIII) OF PARAGRAPH (c) OF SUBSECTION (3) OF THIS SECTION AND REQUIREMENTS, TERMS, AND CONDITIONS OF GAS SUPPLY SERVICE.".

Page 12, line 3, strike "(X)" and substitute "(XI)";

line 5, after "AUTHORIZED", insert "AT ITS SOLE DISCRETION";

line 6, strike "SECTION." and substitute "SECTION, INCLUDING, BUT NOT LIMITED TO, STANDARDS OF CONDUCT, UNFAIR AND DECEPTIVE MARKETING PRACTICES, AND CONSUMER PROTECTIONS.";

strike lines 7 through 26.

Page 13, strike lines 1 through 25 and substitute the following:

"(11)  NOTWITHSTANDING THE ESTABLISHMENT OF THE PUBLIC BENEFITS CHARGE AS A MEANS OF DEFRAYING THE COST OF LOW­INCOME ENERGY ASSISTANCE PROGRAMS IN COLORADO, THE GENERAL ASSEMBLY BELIEVES IT PRUDENT TO SEPARATELY EVALUATE THE EFFECTS OF NATURAL GAS SUPPLIER CHOICE ON THE LOW­INCOME POPULATION. THEREFORE, THE COLORADO ENERGY ASSISTANCE FOUNDATION WHICH IS THE ENTITY CREATED UNDER SECTION 40­8.5­104, OR ITS SUCCESSOR SHALL, WITHIN ONE YEAR FOLLOWING THE IMPLEMENTATION OF THE FIRST NATURAL GAS SUPPLIER CHOICE PROGRAM BY A NATURAL GAS UTILITY TO AFFECT A SIGNIFICANT NUMBER OF LOW­INCOME HOUSEHOLDS, CONTRACT WITH A PRIVATE PARTY TO STUDY THE EFFECTS OF GAS SUPPLIER CHOICE ON COLORADO'S LOW­INCOME POPULATION. THE PRIVATE PARTY CONDUCTING THE STUDY SHALL GIVE NATURAL GAS UTILITIES AND SUPPLIERS, NATURAL GAS CUSTOMERS, THE PUBLIC UTILITIES COMMISSION, AND OTHER INTERESTED PARTIES AN OPPORTUNITY TO COMMENT ON THE RESULTS OF THE STUDY ONCE COMPLETED. THE COLORADO ENERGY ASSISTANCE FOUNDATION SHALL REPORT THE RESULTS OF THE STUDY, TOGETHER WITH ANY RECOMMENDATIONS TO ALLEVIATE ANY ADVERSE IMPACTS ON NATURAL GAS SUPPLIER CHOICE ON COLORADO'S LOW­INCOME POPULATION TO THE GENERAL ASSEMBLY ON OR BEFORE TWO YEARS FOLLOWING THE IMPLEMENTATION OF THE FIRST NATURAL GAS SUPPLIER CHOICE PROGRAM BY A NATURAL GAS UTILITY TO AFFECT A SIGNIFICANT NUMBER OF LOW­INCOME HOUSEHOLDS.".

Page 14, line 5, strike "(11)" and substitute "(12)";

strike lines 13 through 20.

Page 1, strike line 102 and substitute the following:

"FOR NATURAL GAS.".

Business After consideration on the merits, the committee recommends that SB99-110 be

Affairs amended as follows and, as so amended, be referred to the Committee on Appropriations

and Labor with favorable recommendation:

Amend printed bill, page 10, strike lines 21 and 22;

line 23, strike "CONSTRUED IN AGREEMENT" and substitute "ELEMENTS" AND "FACILITIES" SHALL BE DEFINED IN ACCORDANCE";

strike lines 25 and 26.

Page 11, strike line 1;

line 2, strike "A" and substitute "TO THE EXTENT REQUIRED BY FEDERAL LAW OR BY AN ORDER OF THE COMMISSION THAT IS CONSISTENT WITH FEDERAL LAW, A";

line 5, after "ELEMENTS,", insert "INCLUDING COMBINATIONS OF NETWORK ELEMENTS,".

Page 12, line 24, strike "RATES," and substitute "RATES IN A GEOGRAPHIC AREA,";

line 26, strike "ELEMENTS," and substitute "ELEMENTS IN THAT GEOGRAPHIC AREA,".

Page 13, line 2, strike "ELEMENTS." and substitute "ELEMENTS IN THAT GEOGRAPHIC AREA.";

strike lines 15 through 26.

Strike page 14.

Page 15, strike lines 1 through 10.

Renumber succeeding sections accordingly.

Page 15, line 14, strike "SURCHARGES,";

strike lines 15 through 21, and substitute the following:

"INTRASTATE SURCHARGE APPROVED BY THE COMMISSION FOR THE HIGH COST SUPPORT MECHANISM SHALL BE IMPOSED ON RESIDENTIAL BASIC SERVICE.

(B)  NOTHING IN THIS ARTICLE SHALL BE CONSTRUED TO".

Business After consideration on the merits, the committee recommends that SB99-065 be

Affairs amended as follows and, as so amended, be referred to the Committee on Appropriations

and Labor with favorable recommendation:

Amend printed bill, strike everything below the enacting clause, and substitute the following:

"SECTION 1.  4­9­401 (1) (b) (I) (B) and (1) (b) (II), Colorado Revised Statutes, are amended, and the said 4­9­401 (1) (b) (I) is further amended BY THE ADDITION OF A NEW SUB­SUBPARAGRAPH, to read:

4­9­401.  Place of filing ­ erroneous filing ­ removal of collateral. (1) (b) (I)  The proper place to file in order to perfect a security interest is as follows:

(B)  In all other cases, ON OR BEFORE DECEMBER 31, 1999, in the office of the secretary of state or in the office of the county clerk and recorder of any county;

(C)  IN ALL OTHER CASES, ON OR AFTER JANUARY 1, 2000, IN THE OFFICE OF THE CENTRAL FILING OFFICER.

(II)  This paragraph (b) is effective July 1, 1996.

SECTION 2.  Part 4 of article 9 of title 4, Colorado Revised Statutes, is amended BY THE ADDITION OF THE FOLLOWING NEW SECTIONS to read:

4­9­401.5.  Central filing officer ­ definitions ­ powers and duties. (1)  AS USED IN THIS PART 4, UNLESS THE CONTEXT OTHERWISE REQUIRES:

(a)  "CENTRAL FILING OFFICER" MEANS THE SECRETARY OF STATE OR HIS OR HER DESIGNEE.

(b)  "FILING OFFICER" MEANS EITHER THE CENTRAL FILING OFFICER OR THE COUNTY CLERK AND RECORDER OF ANY COUNTY.

(2)  EFFECTIVE JANUARY 1, 2000, THE CENTRAL FILING OFFICER SHALL:

(a)  RECEIVE DOCUMENTS PRESENTED FOR FILING PURSUANT TO THIS PART 4 AND ARTICLE 9.5 OF THIS TITLE;

(b)  CONCLUDING NO LATER THAN JULY 1, 2000, ASSEMBLE A COMPLETE CENTRAL DATABASE OF CENTRAL FILING SYSTEM EFFECTIVE FINANCING STATEMENTS, "UNIFORM COMMERCIAL CODE" DOCUMENTS, AND RELATED INFORMATION TOGETHER WITH AN ACCOMPANYING INDEX, PURSUANT TO SECTION 4­9­414;

(c)  MAINTAIN THE CENTRAL DATABASE AND THE CENTRAL INDEX AND CARRY OUT ALL OTHER DUTIES AND FUNCTIONS OF THE CENTRAL FILING OFFICER UNDER THIS PART 4 AND ARTICLES 9.3 AND 9.5 OF THIS TITLE; AND

(d)  CHARGE FEES, WHICH SHALL BE DETERMINED AND COLLECTED PURSUANT TO SECTION 4­11­102, FOR FILING DOCUMENTS AND MAKING CERTIFICATES AS REQUIRED WHEN ACTING PURSUANT TO THIS PART 4 AND ARTICLES 9.3 AND 9.5 OF THIS TITLE.

(3)  EFFECTIVE JANUARY 1, 2000, THE CENTRAL FILING OFFICER SHALL HAVE THE SOLE AND EXCLUSIVE AUTHORITY TO EXERCISE THE POWERS AND CARRY OUT THE DUTIES SET FORTH IN SUBSECTION (2) OF THIS SECTION AND TO CERTIFY THE CONTENTS OF THE CENTRAL FILING OFFICER'S FILES AND OF THE CENTRAL INDEX PURSUANT TO SECTION 4­9­407.

4­9­401.6.  Fees ­ central filing office cash fund. (1)  THE CENTRAL FILING OFFICER SHALL NOT FILE FOR RECORD ANY DOCUMENT OR DO ANY SUCH OFFICIAL WORK UNTIL THE FEE OR SUM ESTABLISHED TO BE COLLECTED THEREFOR HAS FIRST BEEN PAID.

(2)  THE CENTRAL FILING OFFICER IS AUTHORIZED TO MAINTAIN AN ACCOUNTS RECEIVABLE SYSTEM FOR THE COLLECTION OF FEES CHARGED FOR PAPERS OFFICIALLY EXECUTED AND ALL OTHER OFFICIAL WORK THAT MAY BE DONE WHILE ACTING AS THE CENTRAL FILING OFFICER UNDER THIS PART 4 AND ARTICLES 9.3 AND 9.5 OF THIS TITLE.

(3) (a) (I)  THE CENTRAL FILING OFFICER SHALL ADJUST ITS FEES SO THAT THE REVENUE GENERATED FROM THE FEES APPROXIMATES ITS DIRECT AND INDIRECT COSTS INCURRED IN CARRYING OUT THE DUTIES OF THE CENTRAL FILING OFFICER UNDER THIS PART 4 AND ARTICLES 9.3 AND 9.5 OF THIS TITLE; EXCEPT THAT NOTWITHSTANDING THE AMOUNT SPECIFIED FOR THE FEE IN SECTION 4­11­102, THE CENTRAL FILING OFFICER BY RULE OR AS OTHERWISE PROVIDED BY LAW MAY REDUCE THE AMOUNT OF THE FEE IF NECESSARY PURSUANT TO SECTION 24­75­402 (3), C.R.S., TO REDUCE THE UNCOMMITTED RESERVES OF THE CENTRAL FILING OFFICE CASH FUND TO WHICH ALL OR ANY PORTION OF THE FEE IS CREDITED. AFTER THE UNCOMMITTED RESERVES OF THE CENTRAL FILING OFFICE CASH FUND ARE SUFFICIENTLY REDUCED, THE CENTRAL FILING OFFICER BY RULE OR AS OTHERWISE PROVIDED BY LAW MAY INCREASE THE AMOUNT OF THE FEE AS PROVIDED IN SECTION 24­75­402 (4), C.R.S.

(II)  ALL FEES COLLECTED BY THE CENTRAL FILING OFFICER SHALL BE TRANSMITTED TO THE STATE TREASURER, WHO SHALL CREDIT THE SAME TO THE CENTRAL FILING OFFICE CASH FUND, WHICH FUND IS HEREBY CREATED. ALL MONEYS CREDITED TO THE CENTRAL FILING OFFICE CASH FUND SHALL BE USED AS PROVIDED IN THIS SECTION AND SHALL NOT BE DEPOSITED IN OR TRANSFERRED TO THE GENERAL FUND OF THIS STATE OR ANY OTHER FUND. THE MONEYS CREDITED TO THE CENTRAL FILING OFFICE CASH FUND SHALL BE AVAILABLE FOR APPROPRIATION BY THE GENERAL ASSEMBLY TO THE CENTRAL FILING OFFICER IN THE GENERAL APPROPRIATION BILL.

(b)  BEGINNING JULY 1, 2000, AND EACH JULY 1 THEREAFTER, WHENEVER MONEYS APPROPRIATED TO THE CENTRAL FILING OFFICER DURING THE PRIOR FISCAL YEAR ARE UNEXPENDED, SAID MONEYS SHALL BE MADE A PART OF THE APPROPRIATION TO THE CENTRAL FILING OFFICER FOR THE NEXT FISCAL YEAR, AND SUCH AMOUNT SHALL NOT BE RAISED FROM FEES COLLECTED PURSUANT TO THIS SECTION. IF A SUPPLEMENTAL APPROPRIATION IS MADE TO THE CENTRAL FILING OFFICER FOR ITS ACTIVITIES, THE FEES OF THE CENTRAL FILING OFFICER SHALL BE ADJUSTED BY AN ADDITIONAL AMOUNT THAT IS SUFFICIENT TO COMPENSATE FOR SUCH SUPPLEMENTAL APPROPRIATION. FUNDS APPROPRIATED TO THE CENTRAL FILING OFFICER IN THE GENERAL APPROPRIATION BILL FROM THE CENTRAL FILING OFFICE CASH FUND SHALL BE DESIGNATED AS CASH FUNDS AND SHALL NOT EXCEED THE AMOUNT ANTICIPATED TO BE RAISED FROM FEES COLLECTED PURSUANT TO THIS SECTION.

SECTION 3.  4­9­403 (1), (2), (3), and (4), Colorado Revised Statutes, are amended, and the said 4­9­403 is further amended BY THE ADDITION OF A NEW SUBSECTION, to read:

4­9­403.  What constitutes filing ­ duration of filing ­ effect of lapsed filing ­ duties of filing officer. (1) (a)  Presentation for filing of a financing statement and tender of the filing fee or acceptance of the statement by the filing officer constitutes filing under this article.

(b)  ON AND AFTER JANUARY 1, 2000, THE CENTRAL FILING OFFICER SHALL ENSURE THAT DOCUMENTS MAY BE PRESENTED FOR FILING BY FACSIMILE TRANSMISSION. AFTER FILING, ALL DOCUMENTS SO PRESENTED SHALL BE RETAINED IN A FORM THAT FACILITATES LOCATION AND REPRODUCTION OF A TRUE COPY OF ANY SUCH DOCUMENT.

(c)  ON AND AFTER JANUARY 1, 2000, THE CENTRAL FILING OFFICER SHALL ENSURE THAT PRESENTATION FOR FILING MAY BE ACCOMPLISHED ELECTRONICALLY, WITHOUT THE NECESSITY FOR THE PRESENTATION OF A PHYSICAL ORIGINAL DOCUMENT OR THE IMAGE THEREOF, IF ALL REQUIRED INFORMATION IS INCLUDED AND READILY RETRIEVABLE FROM THE DATA TRANSMITTED. ALL ELECTRONIC FILINGS SHALL BE RETAINED IN A FORM THAT FACILITATES LOCATION OF THE INFORMATION SO FILED AND PRODUCTION OF A TRUE AND ACCURATE PHYSICAL PRINTOUT OR OTHER REPRESENTATION OF THE INFORMATION SO FILED.

(d)  TO FACILITATE THE FILING OF DOCUMENTS, INCLUDING BUT NOT LIMITED TO FILINGS THAT ARE MADE ELECTRONICALLY OR VIA THE DIGITAL TRANSMISSION OF IMAGES, THE CENTRAL FILING OFFICER IS HEREBY SPECIFICALLY AUTHORIZED TO ESTABLISH PREPAID ACCOUNTS, AN ELECTRONIC DEBIT SYSTEM, A SYSTEM FOR THE ACCEPTANCE OF CREDIT CARDS OR ELECTRONIC FUNDS TRANSFERS, OR ANY COMBINATION THEREOF.

(e)  TO FACILITATE THE FILING OF DOCUMENTS IN THE OFFICE OF THE CENTRAL FILING OFFICER ELECTRONICALLY OR BY FACSIMILE TRANSMISSION, THE CENTRAL FILING OFFICER IS HEREBY SPECIFICALLY AUTHORIZED TO ADOPT, BY RULE, TECHNICAL STANDARDS GOVERNING SUCH FILINGS AND TO REJECT DOCUMENTS THAT DO NOT COMPLY WITH SUCH STANDARDS. SUCH STANDARDS MAY INCLUDE, WITHOUT LIMITATION, THE SPECIFICATION OF COMMERCIALLY AVAILABLE SOFTWARE OR THE DISSEMINATION OF SOFTWARE COMPATIBLE WITH THE CENTRAL FILING OFFICER'S RECEPTION, STORAGE, AND RETRIEVAL SYSTEM. WHERE NATIONAL STANDARDS ARE AVAILABLE AND HAVE BEEN PROMULGATED BY A RECOGNIZED PROFESSIONAL ORGANIZATION, THE CENTRAL FILING OFFICER SHALL CONSIDER AND MAY USE SUCH NATIONAL STANDARDS AS THE BASIS FOR THE RULES.

(f)  NOTHING IN THIS SECTION SHALL BE CONSTRUED TO IMPLY THAT AN EFFECTIVE FILING MAY NOT BE MADE BY THE PRESENTATION OF A HARD COPY OF THE FINANCING STATEMENT, IN PROPER FORM, TO THE CORRECT FILING OFFICER. IT IS THE GENERAL ASSEMBLY'S INTENT THAT ELECTRONIC FILING BE AVAILABLE IN ADDITION TO, BUT NOT TO THE EXCLUSION OF, FILING BY TRADITIONAL METHODS.

(2)  Except as provided in SECTION 4­9­412 AND IN subsection (6) of this section, a filed financing statement is effective for a period of five years from the date of filing. The effectiveness of a filed financing statement lapses on the expiration of the SUCH five­year period OR, IF APPLICABLE, THE FIVE­YEAR PERIOD SPECIFIED IN SECTION 4­9­412, unless a continuation statement is filed prior to the lapse IN THE FILING OFFICE SPECIFIED IN SECTION 4­9­401 AS THE FILING OFFICE THAT IS APPROPRIATE AS OF THE DATE THE CONTINUATION STATEMENT IS FILED. If a security interest perfected by filing exists at the time insolvency proceedings are commenced by or against the debtor, the security interest remains perfected until termination of the insolvency proceedings and thereafter for a period of sixty days or until expiration of the five­year period, whichever occurs later. Upon lapse the security interest becomes unperfected unless it is perfected without filing. If the security interest becomes unperfected upon lapse, it is deemed to have been unperfected as against a person who became a purchaser or lien creditor before lapse.

(3) (a)  Subject to section 4­9­412 and paragraph (b) of this subsection (3), a continuation statement may be filed by the secured party within six months prior to the expiration of the five­year period specified in subsection (2) of this section. Any such continuation statement must identify the original statement by filing office, file number, and date of filing. Upon timely filing of the continuation statement, the effectiveness of the original statement is continued for five years after the last date to which the filing was effective OR, IF APPLICABLE, THE FIVE­YEAR PERIOD SPECIFIED IN SECTION 4­9­412, whereupon it lapses in the same manner as provided in subsection (2) of this section unless another continuation statement is filed prior to such lapse. Succeeding continuation statements may be filed in the same manner to continue the effectiveness of the original statement. Unless a statute on disposition of public records provides otherwise and except as provided in subsection (6) of this section, the filing officer may remove a lapsed statement from the files and destroy it or a microfilm or other photographic record thereof after one year after the lapse. The filing officer shall so arrange matters, WHETHER by physical annexation of financing statements to continuation statements or other related filings or by other means, SO AS TO ENSURE that if he or she THE FILING OFFICER physically destroys the financing statements of a period more than five years past, those which have been continued by a continuation statement or which are still effective under subsection (6) of this section shall be retained. No continuation statement filed pursuant to this paragraph (a) on or after July 1, 1995, shall be ineffective solely because it failed to include a statement that the original financing statement is still effective.

(b)  Any continuation statement filed on or after July 1, 1996, AND BEFORE JANUARY 1, 1998, including one that was perfected by filing with both the offices of the secretary of state and a county clerk and recorder, continues the perfection in all of the collateral listed on the filing. WITH RESPECT TO CONTINUATION STATEMENTS FILED ON OR AFTER JULY 1, 1996, AND BEFORE JANUARY 1, 1998, the filing of a single continuation statement shall maintain the effectiveness of financing statements that name identical collateral but have been filed in multiple locations.

(4)  Except as provided in subsection (7) of this section, a filing officer shall mark each statement with a file number and with the date and hour of filing and shall hold the statement or a microfilm or other photographic TRUE copy OR DIGITALLY STORED IMAGE thereof for public inspection. In addition, the filing officer shall index the statement according to the name of the debtor and shall note in the index the file number and the address of the debtor given in the statement.

(5)  EFFECTIVE JANUARY 1, 2000, A FINANCING STATEMENT FILED BEFORE JANUARY 1, 2000, MAY BE CONTINUED ONLY BY FILING A CONTINUATION STATEMENT IN THE FILING OFFICE IN WHICH SUCH FINANCING STATEMENT IS REQUIRED TO BE FILED ON OR AFTER SAID DATE PURSUANT TO SECTION 4­9­401 (1) (b).

SECTION 4.  Part 4 of article 9 of title 4, Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW SECTION to read:

4­9­403.5.  Filing officer's authority to reject certain records ­ definitions. (1)  THE CENTRAL FILING OFFICER SHALL, AND ANY FILING OFFICER MAY, REFUSE TO ACCEPT A RECORD FOR FILING ON ANY BASIS SET FORTH IN SUBSECTION (2) OF THIS SECTION. THE LIST OF BASES FOR REFUSAL SET FORTH IN SUBSECTION (2) OF THIS SECTION IS EXCLUSIVE.

(2)  FILING DOES NOT OCCUR WITH RESPECT TO A RECORD THAT A FILING OFFICER REFUSES TO ACCEPT BECAUSE:

(a)  THE RECORD IS NOT COMMUNICATED BY A METHOD OR MEDIUM OF COMMUNICATION AUTHORIZED BY THE FILING OFFICER;

(b)  AN AMOUNT EQUAL TO OR GREATER THAN THE APPLICABLE FILING FEE IS NOT TENDERED;

(c)  THE FILING OFFICER IS UNABLE TO INDEX THE RECORD BECAUSE:

(I)  IN THE CASE OF AN INITIAL FINANCING STATEMENT OR AN AMENDMENT THAT PROVIDES A NAME OF A DEBTOR THAT WAS NOT PREVIOUSLY PROVIDED IN THE FINANCING STATEMENT TO WHICH THE AMENDMENT RELATES, THE RECORD DOES NOT PROVIDE A NAME AND MAILING ADDRESS FOR THE DEBTOR;

(II)  IN THE CASE OF AN AMENDMENT, THE RECORD:

(A)  DOES NOT IDENTIFY THE FILE NUMBER OF THE INITIAL FINANCING STATEMENT, THE FILING OFFICE IN WHICH THE INITIAL FINANCING STATEMENT WAS FILED, AND THE NAME OF AT LEAST ONE OF THE DEBTORS OF RECORD; OR

(B)  IDENTIFIES AN INITIAL FINANCING STATEMENT WHOSE EFFECTIVENESS HAS LAPSED UNDER SECTION 4­9­403, 4­9­412, OR 4­9.5­106;

(d)  IN THE CASE OF AN INITIAL FINANCING STATEMENT AND AN AMENDMENT THAT ADDS A SECURED PARTY OF RECORD, THE RECORD DOES NOT PROVIDE A NAME AND MAILING ADDRESS FOR THE SECURED PARTY OF RECORD;

(e)  IN THE CASE OF AN ASSIGNMENT REFLECTED IN AN INITIAL FINANCING STATEMENT OR AN AMENDMENT, THE RECORD DOES NOT PROVIDE A NAME AND ADDRESS FOR THE ASSIGNEE; OR

(f)  IN THE CASE OF A CONTINUATION STATEMENT, THE RECORD IS NOT FILED WITHIN THE SIX­MONTH PERIOD SPECIFIED IN SECTION 4­9­403, 4­9­412, OR 4­9.5­106, AS APPLICABLE.

(3)  FOR PURPOSES OF THIS SECTION:

(a)  "RECORD" MEANS INFORMATION THAT IS INSCRIBED IN A TANGIBLE MEDIUM OR THAT IS STORED IN AN ELECTRONIC OR OTHER MEDIUM AND IS RETRIEVABLE IN PERCEIVABLE FORM;

(b)  A RECORD DOES NOT PROVIDE INFORMATION IF THE FILING OFFICER IS UNABLE TO DECIPHER THE INFORMATION;

(c)  A RECORD THAT DOES NOT INDICATE THAT IT IS AN AMENDMENT OR IDENTIFY AN INITIAL FINANCING STATEMENT TO WHICH IT RELATES IS AN INITIAL FINANCING STATEMENT; AND

(d)  IF A FILING OFFICER REFUSES TO ACCEPT A RECORD FOR FILING, THE FILING OFFICER SHALL COMMUNICATE THE FACT OF AND REASON FOR SUCH REFUSAL TO THE PERSON THAT PRESENTED THE RECORD. SUCH COMMUNICATION SHALL BE MADE AT THE TIME AND IN THE MANNER PRESCRIBED BY THE FILING OFFICER BUT IN NO EVENT MORE THAN TWO BUSINESS DAYS AFTER THE FILING OFFICER RECEIVES THE RECORD.

SECTION 5.  4­9­407 (2), Colorado Revised Statutes, is amended to read:

4­9­407.  Information from filing officer. (2) (a)  Upon request of any person, the filing officer shall issue his A certificate showing whether there is THE FILING OFFICER HAS on file on OR HAS RECEIVED FOR FILING PURSUANT TO A TRANSFER UNDER SECTION 4­9­414, AS OF the date and hour stated therein, any presently effective financing statement naming a particular debtor, any other statement, and any federal tax lien notice, and if there is, giving the date and hour of filing of each such statement or notice and the names and addresses of each secured party or grantee therein. Upon request the filing officer shall furnish a copy of any filed financing statement, any other statement, or any tax lien notice.

(b)  AS USED IN THIS SUBSECTION (2), A PRESENTLY EFFECTIVE FINANCING STATEMENT MEANS A FINANCING STATEMENT THAT HAS NOT BEEN TERMINATED PURSUANT TO SECTION 4­9­404 AND HAS NOT BEEN RENDERED INEFFECTIVE BY THE FAILURE TO FILE A CONTINUATION STATEMENT REQUIRED BY SECTION 4­9­403 OR 4­9­412.

SECTION 6.  Part 4 of article 9 of title 4, Colorado Revised Statutes, is amended BY THE ADDITION OF THE FOLLOWING NEW SECTIONS to read:

4­9­414.  Transfer of files. (1) (a)  AFTER JANUARY 1, 2000, AND IN ANY EVENT NO LATER THAN JULY 1, 2000, THE CENTRAL FILING OFFICER SHALL HAVE THE POWER AND DUTY TO OBTAIN FROM EACH COUNTY CLERK AND RECORDER, WORKING IN COOPERATION WITH EACH AND TO THE EXTENT THE CENTRAL FILING OFFICER DEEMS NECESSARY, ORIGINALS OR TRUE COPIES OF THE FOLLOWING RECORDS FOR PURPOSES OF ASSEMBLING A COMPLETE, CENTRAL DATABASE OF "UNIFORM COMMERCIAL CODE" DOCUMENTS, EFFECTIVE FINANCING STATEMENTS, AND RELATED INFORMATION AND AN ACCOMPANYING INDEX:

(I)  ALL RECORDS FILED ON OR AFTER JULY 1, 1996, AND BEFORE JANUARY 1, 2000, IN THE "UNIFORM COMMERCIAL CODE" RECORDS OR CENTRAL FILING SYSTEM RECORDS OF THE SECRETARY OF STATE OR OF ANY COUNTY CLERK AND RECORDER;

(II)  ALL RECORDS FILED ON OR AFTER JULY 1, 1996, AND BEFORE JANUARY 1, 2000, IN THE OFFICE OF THE SECRETARY OF STATE OR OF ANY COUNTY CLERK AND RECORDER THAT INDICATED THAT THEY WERE TO BE FILED IN THE "UNIFORM COMMERCIAL CODE" RECORDS OR CENTRAL FILING SYSTEM RECORDS, REGARDLESS OF WHERE THEY WERE ACTUALLY FILED;

(III)  EXCEPT AS OTHERWISE PROVIDED IN PARAGRAPH (c) OF THIS SUBSECTION (1), ALL FINANCING STATEMENTS AND EFFECTIVE FINANCING STATEMENTS, REGARDLESS OF WHEN FILED, THAT ARE REFERENCED IN AMENDMENTS, ASSIGNMENTS, TERMINATION STATEMENTS, STATEMENTS OF RELEASE, AND CONTINUATION STATEMENTS THAT, ON OR AFTER JULY 1, 1996, AND BEFORE JANUARY 1, 2000, EITHER:

(A)  WERE FILED IN THE "UNIFORM COMMERCIAL CODE" RECORDS OR CENTRAL FILING SYSTEM RECORDS OF THE SECRETARY OF STATE; OR

(B)  WERE FILED, OR INDICATED THEY WERE TO BE FILED, IN THE "UNIFORM COMMERCIAL CODE" RECORDS OR CENTRAL FILING SYSTEM RECORDS OF ANY COUNTY CLERK AND RECORDER.

(IV)  AS TO ALL RECORDS DESCRIBED IN SUBPARAGRAPHS (I) TO (III) OF THIS PARAGRAPH (a), AN ACCOMPANYING INDEX SUFFICIENT TO PERMIT LOCATION OF EACH FILING BY DEBTOR NAME, SOCIAL SECURITY OR TAXPAYER IDENTIFICATION NUMBER, OR FILE NUMBER.

(b)  THE CLERK AND RECORDER OF EACH COUNTY SHALL CONTINUE TO MAINTAIN RECORDS OF FINANCING STATEMENTS FILED IN THE REAL ESTATE RECORDS OF THE OFFICE OF THE COUNTY CLERK AND RECORDER. IT IS THE INTENT OF THE GENERAL ASSEMBLY THAT FINANCING STATEMENTS AND OTHER DOCUMENTS HERETOFORE FILED ONLY IN THE REAL ESTATE RECORDS OF EACH COUNTY CONTINUE TO BE SO FILED, BUT THAT ALL DOCUMENTS OF THE TYPE DESCRIBED IN PARAGRAPH (a) OF THIS SUBSECTION (1) SHALL BE FILED WITH THE CENTRAL FILING OFFICER ON AND AFTER JANUARY 1, 2000.

(c)  NOTWITHSTANDING SUBPARAGRAPH (III) OF PARAGRAPH (a) OF THIS SUBSECTION (1), IT SHALL NOT BE THE DUTY OF THE CENTRAL FILING OFFICER TO OBTAIN AN ORIGINAL OR TRUE COPY OF ANY FINANCING STATEMENT FILED WITH A COUNTY CLERK AND RECORDER PURSUANT TO SECTION 4­9­401 (1) (b) (I) (A). THE CENTRAL FILING OFFICER SHALL HAVE DISCRETION TO RECEIVE SUCH ORIGINAL OR TRUE COPIES IF SUCH A TRANSFER IS NECESSARY TO ACHIEVE THE COMPLETE AND EFFICIENT TRANSFER OF ALL RECORDS THAT THE CENTRAL FILING OFFICER HAS A DUTY TO OBTAIN UNDER PARAGRAPH (a) OF THIS SUBSECTION (1).

(2)  BETWEEN JULY 1, 1999, AND JANUARY 1, 2000, EACH COUNTY CLERK AND RECORDER, IN CONSULTATION WITH THE CENTRAL INFORMATION SYSTEM BOARD ESTABLISHED IN SECTION 4­9.3­103, SHALL ADOPT SUCH PROCEDURES AS SUCH CLERK AND RECORDER SHALL DEEM REASONABLE AND APPROPRIATE TO NOTIFY PERSONS FILING FINANCING STATEMENTS OR OTHER LIEN DOCUMENTS THAT, ON AND AFTER JANUARY 1, 2000, ALL RECORDS OF THE TYPE DESCRIBED IN PARAGRAPH (a) OF SUBSECTION (1) OF THIS SECTION ARE TO BE FILED WITH THE CENTRAL FILING OFFICER.

4­9­415.  Performance testing ­ adequacy of resources ­ self­audits ­ reports to general assembly. (1)  AS AN INTEGRAL PART OF THE DESIGN AND IMPLEMENTATION OF THE CENTRAL FILING SYSTEM AND THE CENTRAL INDEX, THE CENTRAL FILING OFFICER SHALL INCLUDE THE CAPABILITY FOR PERIODIC, INTERNAL AUDITS TO DETERMINE THE ACCURACY AND COMPLETENESS OF THE INDEX, THE ACCURACY AND THE COMPLETENESS OF THE INFORMATION­GATHERING PROCESS PURSUANT TO SECTION 4­9­414, THE TIME LAG, IF ANY, BETWEEN THE PRESENTATION OF A DOCUMENT FOR FILING AND THE APPEARANCE OF THE DOCUMENT IN THE CENTRAL FILING OFFICER'S RECORDS AND IN THE CENTRAL INDEX, AND OTHER FACTORS BEARING ON THE PERFORMANCE OF THE CENTRAL FILING SYSTEM AND THE CENTRAL INDEX AND THE ACCURACY OF THE CENTRAL FILING OFFICER'S CERTIFICATIONS PURSUANT TO SECTION 4­9­407.

(2)  ON OR BEFORE NOVEMBER 1, 1999, AND QUARTERLY THEREAFTER, TO AND INCLUDING NOVEMBER 1, 2000, THE CENTRAL FILING OFFICER SHALL REPORT TO THE LEGISLATIVE AUDIT COMMITTEE ON THE RESULTS OF INTERNAL AUDITS CONDUCTED PURSUANT TO SUBSECTION (1) OF THIS SECTION.

(3)  NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, THE CENTRAL FILING OFFICER IS AUTHORIZED TO HIRE ALL NECESSARY PERSONNEL AND PROCURE ALL NECESSARY EQUIPMENT TO ASSIST THE CENTRAL FILING OFFICER IN EXERCISING THE POWERS AND CARRYING OUT THE DUTIES SET FORTH IN THIS PART 4 AND IN ARTICLES 9.3 AND 9.5 OF THIS TITLE, INCLUDING WITHOUT LIMITATION ACQUIRING THE CAPABILITY TO RECEIVE ELECTRONIC FILINGS; EXCEPT THAT, IF THE CENTRAL FILING OFFICER FAILS TO HIRE PERSONNEL OR PROCURE EQUIPMENT ADEQUATE TO THESE TASKS ON OR BEFORE JANUARY 1, 2000, THE CENTRAL INFORMATION SYSTEM BOARD, CREATED IN SECTION 4­9.3­103, IS HEREBY AUTHORIZED TO DO SO ON THE CENTRAL FILING OFFICER'S BEHALF, WITH OR WITHOUT THE CENTRAL FILING OFFICER'S CONSENT.

SECTION 7.  4­9.3­102, Colorado Revised Statutes, is amended to read:

4­9.3­102.  Definitions. As used in this article, unless the context otherwise requires:

(1)  "Board" means the central indexing INFORMATION system board.

(2)  "CENTRAL FILING OFFICER" MEANS THE SECRETARY OF STATE OR HIS OR HER DESIGNEE.

SECTION 8.  The introductory portion to 4­9.3­103 (1) (a) and 4­9.3­103 (3) (b) and (3) (f), Colorado Revised Statutes, are amended to read:

4­9.3­103.  Central information system board ­ director ­ duties. (1) (a)  There is hereby established in the department of state, by a type 1 transfer, a central indexing INFORMATION system board which shall consist of the following eleven members:

(3)  In performing its duties pursuant to this article, the board has the power AND DUTY to:

(b)  Adopt, rescind, modify, or amend rules, orders, and resolutions for the exercise of its AND THE CENTRAL FILING OFFICER'S powers and duties, including but not limited to rules lowering or increasing the amount of the surcharge imposed pursuant to section 4­9.3­105 (3), subject to article 4 of title 24, C.R.S.;

(f)  Determine which filings to perfect security interests and notices of agricultural liens and other liens created by law shall be indexed in the central indexing system;

SECTION 9.  4­9.3­104, Colorado Revised Statutes, is amended to read:

4­9.3­104.  Central information system. (1)  On the earliest practical date, the board CENTRAL FILING OFFICER shall implement the central indexing INFORMATION system under the supervision of a designee of such THE board.

(2)  The indexing of a document pursuant to this article shall not constitute notice for purposes of section 38­35­109, C.R.S.

SECTION 100  4­9.3­105, Colorado Revised Statutes, is amended to read:

4­9.3­105.  Central information system cash fund ­ creation. (1)  The surcharge on filings and recordings made pursuant to subsection (3) of this section shall fund the hardware, software, programming, maintenance, and other related costs needed to allow for the electronic filing and retrieval of lien index data under the central indexing INFORMATION system Effective July 1, 1996, moneys in the fund shall be appropriated by the general assembly to the board only for AND FOR OTHER purposes recommended by the board to the joint budget committee. For purposes of this article, "filing or recording" means the performance of any service by a clerk and recorder whether or not a specific statute uses the phrase, and includes any service performed by a clerk and recorder for a fee whereby a document becomes a public record. Notwithstanding any provision of this subsection (1) to the contrary, "filing or recording" does not mean the filing of a marriage license, the recording of a veterans' discharge certificate, or the recording of a duplicate motor vehicle title. The board may exempt other filings or recordings from the surcharge, as deemed appropriate.

(2)  The surcharges collected by the board pursuant to subsection (3) of this section shall be transmitted to the state treasurer who shall credit the same to the central indexing system cash fund, which fund is hereby created. The moneys in such fund shall be subject to annual appropriation by the general assembly to the board for the purposes described in subsection (1) of this section.

(3) (a)  A one­dollar surcharge shall be imposed on any and all filings and recordings made with the division of commercial recordings in the office of the secretary of state or any office of a county clerk and recorder, regardless of the statute under which the filing or recording is made; except that such surcharge shall not be imposed on filings and recordings for which there is no charge.

(b)  Notwithstanding the amount specified for the surcharge in paragraph (a) of this subsection (3), the board by rule or as otherwise provided by law may reduce the amount of the surcharge if necessary pursuant to section 24­75­402 (3), C.R.S., to reduce the uncommitted reserves of the fund to which all or any portion of the surcharge is credited. After the uncommitted reserves of the fund are sufficiently reduced, the board by rule or as otherwise provided by law may increase the amount of the surcharge as provided in section 24­75­402 (4), C.R.S.

(3.4)  Revenues collected by the board CENTRAL FILING OFFICER from the operation of the central indexing INFORMATION system with the exception of revenues derived from the surcharge described in subsection (3) of this section, shall be transmitted to the state treasurer, who shall credit the same to the central indexing INFORMATION system cash fund, WHICH FUND IS HEREBY CREATED IN THE STATE TREASURY. Such revenues shall be subject to annual appropriation by the general assembly to the board for the purposes described in subsection (1) of this section and in section 4­9.3­103. The board may allocate a share of such revenues to the governmental agencies that provide database information to the central indexing INFORMATION system for public access purposes.

(3.5) (a) There is hereby created within the central indexing INFORMATION system cash fund a county clerk's technology fund. The secretary of state shall transmit the following revenues to the state treasurer, who shall credit them to such fund:

(I)  Three dollars from the filing of each financing statement and each amendment, continuation, assignment, release, or termination of a financing statement, collected pursuant to section 24­21­104 (3) (f) (II), C.R.S.

(II)  Any revenue in the central indexing system cash fund not used for the continuing operation of the board or the central indexing system or otherwise allocated pursuant to subsection (3.4) of this section.

(b)  The board shall determine, and may establish subcommittees to recommend, formulae pursuant to which moneys in the county clerk's technology fund shall be allocated among the county clerks. It is the intent of the general assembly that moneys in the fund be distributed directly to each county clerk in an amount equal to the allocation determined by the board and that such distribution not be considered a transfer to a county's general fund or subject to appropriation by a county commission.

(4)  Subsections (1), (2), and (3) of this section and this subsection (4) are repealed, effective December 31, 2000. ALL EQUIPMENT, SOFTWARE, AND OTHER PROPERTY PURCHASED WITH MONEYS FROM THE COUNTY CLERK'S TECHNOLOGY FUND SHALL BECOME THE PROPERTY OF THE RESPECTIVE COUNTIES IN WHICH SUCH PROPERTY EXISTS AS OF DECEMBER 31, 1999. THE BOARD SHALL DETERMINE, AND MAY ESTABLISH SUBCOMMITTEES TO RECOMMEND, FORMULAE PURSUANT TO WHICH ANY UNEXPENDED, UNENCUMBERED MONEYS REMAINING IN THE COUNTY CLERK'S TECHNOLOGY FUND AS OF DECEMBER 31, 1999, SHALL BE ALLOCATED AMONG THE COUNTY CLERKS. IT IS THE INTENT OF THE GENERAL ASSEMBLY THAT MONEYS IN THE FUND BE DISTRIBUTED DIRECTLY TO EACH COUNTY CLERK IN AN AMOUNT EQUAL TO THE ALLOCATION DETERMINED BY THE BOARD AND THAT SUCH DISTRIBUTION NOT BE CONSIDERED A TRANSFER TO A COUNTY'S GENERAL FUND OR SUBJECT TO APPROPRIATION BY A COUNTY COMMISSION.

SECTION 110  4­9.3­106 (1.5), (2), and (3), Colorado Revised Statutes, are amended to read:

4­9.3­106.  Duties of filing officer ­ repeal. (1.5)  Except as authorized by section 38­35­202, C.R.S., a filing officer shall not reject a document submitted for filing under this title unless:

(a)  The filing party has failed to submit the proper fee; or

(b)  The filing officer determines that the document is illegible and cannot be indexed by the debtor's name.

(2)  For purposes of this section, "timely manner" means that:

(a)  Filings received before noon on any business day will be transmitted to the central indexing INFORMATION system no later than the end of the following business day;

(b)  Filings received after noon will be transmitted to the central indexing INFORMATION system no later than the end of the second business day following the day of receipt.

(3)  This section shall take effect July 1, 1996 IS REPEALED, EFFECTIVE JANUARY 1, 2000.

SECTION 120  4­9.3­107 (1), Colorado Revised Statutes, is amended to read:

4­9.3­107.  Immunity. (1)  Except in cases of willful misconduct or bad faith, the department of revenue STATE and central indexing INFORMATION system board contractors and contractors' employees shall be exempt from personal liability as a result of an error or omission in receiving, entering, storing, or providing information or performing their duties as required by this title.

SECTION 130  4­9.5­103 (3), (7) (b), (7) (f), (7) (j), and (12), Colorado Revised Statutes, are amended, and the said 4­9.5­103 is further amended BY THE ADDITION OF A NEW SUBSECTION, to read:

4­9.5­103.  Definitions. As used in this article, unless the context otherwise requires:

(2.5)  "CENTRAL FILING OFFICER" MEANS THE SECRETARY OF STATE OR HIS OR HER DESIGNEE.

(3)  "Central filing system" means a system for filing effective financing statements or notice of such financing statements on a statewide basis and which has been certified by the secretary of the United States department of agriculture pursuant to section 1324 of the "Food Security Act of 1985". IT IS THE INTENT OF THE GENERAL ASSEMBLY THAT, EFFECTIVE JANUARY 1, 2000, THE FILING SYSTEM ESTABLISHED BY SECTION 4­9­401 SHALL CONSTITUTE THE CENTRAL FILING SYSTEM.

(7)  "Effective financing statement" means a statement that:

(b)  Is signed, unless the statement is filed by electronic transmission, and filed with the office of the board or its designee CENTRAL FILING OFFICER by the secured party;

(f)  Remains effective for a period of five years from the date of filing, subject to extensions for additional five­year periods by filing a continuation statement within six months before the expiration of the current APPLICABLE five­year period, as provided in section 4­9.5­106;

(j)  Is accompanied by the requisite filing fee, established pursuant to article 9.3 of this title SECTION 4­11­102;

(12)  "Registrant" or "registered buyer" means any buyer of farm products, commission merchant, or selling agent, who has registered with the board CENTRAL FILING OFFICER pursuant to section 4­9.5­104 (4).

SECTION 140  4­9.5­104 (1), the introductory portions to 4­9.5­104 (2) and (3) (a), and 4­9.5­104 (4), (5) (a), (6), and (7), Colorado Revised Statutes, are amended to read:

4­9.5­104.  Central filing system. (1)  The board shall be responsible for the design, implementation, and operation of a central filing system for effective financing statements. The system shall provide a means for filing effective financing statements or notices of such effective financing statements WITH THE CENTRAL FILING OFFICER. The system shall include requirements:

(a)  That an effective financing statement be filed in the office of the board or its designee. In the case of a secured party filing a notice of effective financing statement by computer modem access with the office of the board or its designee, the effective financing statement may be filed with the same office of the county clerk and recorder or the secretary of state where the security interest is filed, pursuant to section 4­9­401 CENTRAL FILING OFFICER;

(b)  That the board or its designee or, pursuant to paragraph (a) of this subsection (1), the county clerk and recorder or the secretary of state CENTRAL FILING OFFICER record the date and hour of the filing of effective financing statements; and

(c)  That the board or its designee or, pursuant to paragraph (a) of this subsection (1), the county clerk and recorder or the secretary of state shall CENTRAL FILING OFFICER assign a file number to each effective financing statement.

(2)  The board or its designee CENTRAL FILING OFFICER shall compile all such statements or notices into a master list:

(3) (a)  The board or its designee CENTRAL FILING OFFICER shall cause the information on the master list to be published in lists:

(4)  All buyers of farm products, commission merchants, selling agents, and other persons may register with the board or its designee CENTRAL FILING OFFICER to receive lists described in subsection (3) of this section. Any buyer of farm products, commission merchant, selling agent, or other person conducting business from multiple locations may be considered as one entity, at its option. Such registration shall be on an annual basis. except that the first registration shall be for calendar years 1988 and 1989. The board or its designee shall provide the form for registration which THAT shall include the name and address of the registrant and the list or lists described in subsection (3) of this section which THAT such registrant desires to receive. A registration shall not be completed until the form provided is properly completed and received by the board or its designee CENTRAL FILING OFFICER accompanied by the proper fee for the desired list or lists.

(5) (a)  The lists as identified pursuant to subsection (3) of this section shall be distributed by the board or its designee CENTRAL FILING OFFICER and shall reflect all then effective filings, calling attention to new filings, changes, and terminations since the last list, and shall be in writing or printed AND SHALL ALSO BE STORED IN microfiche and computer­readable forms. The board or its designees shall determine the frequency with which the lists identified pursuant to subsection (3) of this section shall be distributed. Such lists may be distributed on an annual basis with three quarterly cumulative supplements reflecting all new filings, changes, and terminations since the last list, if it is cost­effective, requested by registered buyers, and permitted by applicable federal law. The board shall also provide for the distribution by the board or its designee CENTRAL FILING OFFICER of the lists in direct computer access form and establish reasonable charges therefor pursuant to article 9.3 of this title. The board may also develop other forms in which to distribute lists and establish charges therefor pursuant to article 9.3 of this title. The distribution shall be made by first­class mail, postage prepaid. A registrant is deemed to be registered only as to those products, counties, and crop years for which the registrant requests a list. If the name of the seller of a farm product is not on a list requested and received by a registrant, the registrant shall have no liability under this article except as to those farm products for which the registrant has received direct notification of the existence of security interests pursuant to sections 1324 (e) (1) and (g) (2) (A) of the federal "Food Security Act of 1985". The registrant may rely on the representation of the seller as to the seller's identity, so long as the reliance is in good faith.

(6)  The board or, its designee AT THE BOARD'S DIRECTION, THE CENTRAL FILING OFFICER, shall remove lapsed and terminated effective financing statements or notices of such financing statements from the master list prior to preparation of the lists required to be distributed by subsection (5) of this section.

(7)  The board shall apply no later than January 1, 1989, to the secretary of the United States department of agriculture for certification of the central filing system.

SECTION 150  4­9.5­105 (1) and (5), Colorado Revised Statutes, are amended to read:

4­9.5­105.  Confirmations. (1)  Oral and written inquiries regarding information provided by the filing of effective financing statements may be made at the office of the board's designee CENTRAL FILING OFFICER between the hours of 8:30 a.m. and 5 p.m. on business days.

(5)  A buyer of farm products, whether or not registered, may rely conclusively on an oral or written confirmation received pursuant to this section, regardless of any errors or omissions committed by the board or its designee CENTRAL FILING OFFICER in the preparation or issuance of the confirmation. If the board or its designee CENTRAL FILING OFFICER confirms orally or in writing to such buyer that the name of the seller is not on the list for a specified product, such buyer shall have no liability under this article and the buyer may rely on the representation of the seller as to his THE SELLER'S identity, so long as the reliance is in good faith.

SECTION 160  4­9.5­107 (1) and (2) (b), Colorado Revised Statutes, are amended to read:

4­9.5­107.  Notice of termination. (1)  Whenever there is no outstanding secured obligation and no commitment to make advances, incur obligations, or otherwise give value, the secured party shall, within thirty days, file with the board or its designee CENTRAL FILING OFFICER a notice of termination of the effective financing statement and provide notice to the debtor of such filing, unless the debtor otherwise requests. If the affected secured party fails to file a termination statement within the thirty­day period, he THE SECURED PARTY shall be liable to the debtor for one hundred dollars, and, in addition, for any loss caused to the debtor by such failure.

(2) (b)  Termination shall be effective as of the date and hour of filing the notice with the board or its designee CENTRAL FILING OFFICER.

SECTION 170  4­9.5­108 (1), Colorado Revised Statutes, is amended to read:

4­9.5­108.  Filings generally. (1)  The board or its designee or, pursuant to section 4­9.5­104 (1) (a), the county clerk and recorder or the secretary of state CENTRAL FILING OFFICER shall accept for filing all filings pursuant to this title during regular business hours. The board or its designee or, pursuant to section 4­9.5­104 (1) (a), the county clerk and recorder or the secretary of state CENTRAL FILING OFFICER shall record the date and hour of the filing of such statements. In the event of an electronic filing made other than during regular business hours, the county clerk and recorder or the secretary of state CENTRAL FILING OFFICER shall record the date of filing as follows: If an electronic filing is made other than during the regular business hours of the filing office, the date of filing shall be the day on which such office next commences business, and the hour of filing shall be the commencement of business on such day. All filings made pursuant to this title that are filed as paper documents and not electronically shall be filed in duplicate, and one copy of the statement shall be returned to the filing party stamped to show the time of receipt thereof OF THE FILING. All filings shall be submitted for filing on forms prescribed by the board. NOTHING IN THIS SECTION SHALL BE CONSTRUED TO REQUIRE THE CENTRAL FILING OFFICER TO ACCEPT FOR FILING ANY RECORD THE REJECTION OF WHICH IS REQUIRED OR PERMITTED UNDER SECTION 4­9­403.5.

SECTION 180  4­9.5­110, Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW SUBSECTION to read:

4­9.5­110.  Fees ­ rules and regulations. (4)  ON OR BEFORE JULY 30, 1999, THE BOARD SHALL APPLY TO THE UNITED STATES SECRETARY OF AGRICULTURE FOR CERTIFICATION THAT THE CENTRAL FILING OFFICER AND THE CENTRAL FILING SYSTEM, AS MODIFIED BY LEGISLATIVE ENACTMENTS EFFECTIVE JANUARY 1, 2000, CONTINUE TO COMPLY WITH THE REQUIREMENTS OF THE FEDERAL "FOOD SECURITY ACT OF 1985".

SECTION 190  4­11­102 (1), (3), and (4), Colorado Revised Statutes, are amended to read:

4­11­102.  Fees for filing, indexing, and furnishing data. (1)  The filing officer shall charge a uniform fee in accordance with the following schedule:

(a)  For filing, indexing, and furnishing filing data for an original financing statement, pursuant to section 4­9­403 OR AN ORIGINAL EFFECTIVE FINANCING STATEMENT PURSUANT TO SECTION 4­9.5­108: Fifteen dollars.

(a.5) (I)  For filing a continuation statement between July 1, 1996, and December 31, 1997: Five dollars.

(II)  For filing, indexing, and furnishing filing data for a continuation statement, except between July 1, 1996, and December 31, 1997: Fifteen dollars.

(b)  For filing and indexing a separate statement of assignment pursuant to section 4­9­404 (1) OR 4­9.5­108: Fifteen dollars.

(c)  For filing and indexing a termination statement pursuant to section 4­9­404 (2) OR 4­9.5­107: Fifteen dollars.

(d)  For filing, indexing, and furnishing filing data for a financing statement indicating an assignment of a security interest in the collateral described in the statement, pursuant to section 4­9­405 (1) OR 4­9.5­108: Fifteen dollars.

(e)  For filing, indexing, and furnishing filing data for a separate written statement of assignment, pursuant to section 4­9­405 (2) OR 4­9.5­108: Fifteen dollars.

(f)  For filing and noting a statement releasing all or a part of any collateral described in a filed financing statement, pursuant to section 4­9­406 OR 4­9.5­108: Fifteen dollars.

(g) (I)  For issuance of a certificate, pursuant to section 4­9­407 (2): Five dollars for the first year searched, plus two dollars for each additional year searched.

(II)  For furnishing a copy of any filed financing statement or other statement, pursuant to section 4­9­407 (2): One dollar AND twenty­five cents per page, plus one dollar for certifying such copy and affixing the seal thereto.

(h)  (Deleted by amendment, L. 91, p. 707, - 1, effective July 1, 1991.)

(3)  When a document is not submitted on a standard form established by the central indexing system board CENTRAL FILING OFFICER for such purpose, the filing officer shall charge a five­dollar fee in addition to any other fee imposed pursuant to this section for filing, indexing, and furnishing data pursuant to subsection SUBSECTIONS (1) (a), (1) (a.5) (II), (1) (b), (1) (c), (1) (d), (1) (e), and (1) (f) of this section.

(4)  Notwithstanding the amount specified for any fee in subsection (1) of this section, the secretary of state CENTRAL FILING OFFICER by rule or as otherwise provided by law may SHALL reduce the amount of one or more of the fees if necessary pursuant to section 24­75­402 (3), C.R.S., to reduce the uncommitted reserves of the fund to which all or any portion of one or more of the fees is credited. After the uncommitted reserves of the fund are sufficiently reduced, the secretary of state CENTRAL FILING OFFICER by rule or as otherwise provided by law may increase the amount of one or more of the fees as provided in section 24­75­402 (4), C.R.S.

SECTION 200  14­10­122 (1.5) (c), (1.5) (e) (II), and (1.5) (I), Colorado Revised Statutes, are amended to read:

14­10­122.  Modification and termination of provisions for maintenance, support, and property disposition ­ automatic lien. (1.5) (c)  Lien on personal property other than wages and moneys held by a financial institution as defined by 42 U.S.C. sec. 669 (d) or motor vehicles. (I)  To evidence a lien on personal property, other than wages and moneys held by a financial institution as defined in section 42 U.S.C. sec. 669 (d) or motor vehicles, created pursuant to this subsection (1.5), the state child support enforcement agency shall file a notice of lien with the central indexing system board established pursuant to section 4­9.3­103, C.R.S. CENTRAL FILING OFFICER DESIGNATED IN SECTION 4­9­401.5, C.R.S., by means of direct electronic data transmission. From the time of filing the notice of lien with the central indexing system FILING OFFICER, such lien shall be an encumbrance in favor of the obligee, or the assignee of the obligee, and shall encumber all personal property or any interest of the obligor in any personal property.

(II)  The lien on personal property created by this section shall remain in effect twelve years or until all past­due amounts are paid, including any accrued interest and costs, without the necessity of renewal. Within twenty calendar days after satisfaction of the debt or debts described in the notice of lien, the state child support enforcement agency shall file a release of lien with the central indexing system board FILING OFFICER. The filing of such a release of lien shall be conclusive evidence that the lien is extinguished.

(III)  The state child support enforcement agency shall be exempt from paying a fee for the filing of notices of liens or releases of liens with the central indexing system FILING OFFICER pursuant to this paragraph (c).

(IV)  For purposes of this paragraph (c), "personal property" means property that the child support enforcement agency has determined has a net equity value of not less than five thousand dollars at the time of the filing of the notice of lien with the central indexing system FILING OFFICER.

(e)  Priority of a lien. (II)  A lien on personal property, other than motor vehicles, created pursuant to this section shall be in effect for twelve years or until all past­due amounts are paid and shall have priority from the time the lien is filed with the central indexing system FILING OFFICER DESIGNATED IN SECTION 4­9­401.5, C.R.S., over all unfiled liens and all subsequent filed or unfiled liens, except such liens as may be exempted by regulation of the state board of human services. A lien on personal property arising pursuant to this subsection (1.5) shall expire at the conclusion of twelve years and may not be extended or renewed beyond that period of time.

(I)  No liability. No clerk and recorder, authorized agent as defined in section 42­6­102 (1), C.R.S., financial institution, lienholder, or central indexing system personnel FILING OFFICER, NOR ANY EMPLOYEE OF ANY OF SUCH PERSONS OR ENTITIES, shall be liable for damages for actions taken in good faith compliance with this subsection (1.5).

SECTION 210  24­21­104 (3) (f) (II), Colorado Revised Statutes, is amended to read:

24­21­104.  Fees of secretary of state ­ repeal. (3) (f)  With respect to the moneys collected by the office of the secretary of state pursuant to section 4­11­102 (1) (a), (1) (a.5) (II), (1) (b), (1) (c), (1) (d), (1) (e), and (1) (f), C.R.S.:

(II) (A)  Three of every fifteen dollars shall be transferred to the central indexing INFORMATION system cash fund, created in section 4­9.3­105, C.R.S. Such moneys shall be separately accounted for within such fund and used for revenue sharing purposes with the counties of this state, as determined by the CENTRAL FILING OFFICER IN CONSULTATION WITH THE central indexing INFORMATION system board.

(B)  THIS SUBPARAGRAPH (II) IS REPEALED, EFFECTIVE JANUARY 1, 2000.

SECTION 220  38­25­102 (2), Colorado Revised Statutes, is amended, and the said 38­25­102 is further amended BY THE ADDITION OF A NEW SUBSECTION, to read:

38­25­102.  Federal liens ­ places of filing ­ definition. (2)  Notices of federal liens upon personal property, whether tangible or intangible, for obligations payable to the United States and certificates and notices affecting the liens shall be filed as follows:

(a)  If the person against whose interest the lien applies is a corporation or a partnership whose principal executive office is in this state, as these entities are defined in the internal revenue laws of the United States, in the office of the secretary of state CENTRAL FILING OFFICER;

(b)  If the person against whose interest the lien applies is a trust that is not covered by paragraph (a) of this subsection (2), in the office of the secretary of state CENTRAL FILING OFFICER;

(c)  If the person against whose interest the lien applies is the estate of a decedent, in the office of the secretary of state CENTRAL FILING OFFICER;

(d)  In all other cases, the notice of lien shall be recorded in the office of the county clerk and recorder of the county where the person against whose interest the lien applies resides at the time of recording of the notice of lien.

(2.5)  AS USED IN THIS ARTICLE, UNLESS THE CONTEXT OTHERWISE REQUIRES, "CENTRAL FILING OFFICER" MEANS THE CENTRAL FILING OFFICER DESIGNATED IN SECTION 4­9­401.5, C.R.S.

SECTION 230  38­25­104 (1) (a), the introductory portion to 38­25­104 (2), and 38­25­104 (4), Colorado Revised Statutes, are amended to read:

38­25­104.  Duties of filing officer. (1)  If a notice of federal lien, a refiling of a notice of federal lien, or a notice of revocation of any certificate described in subsection (2) of this section is presented to a filing officer who is:

(a)  The secretary of state CENTRAL FILING OFFICER, then the secretary of state CENTRAL FILING OFFICER shall cause the notice to be marked, held, and indexed in accordance with the provisions of section 4­9­403 (4), C.R.S., as if the notice were a financing statement within the meaning of such section; or

(2)  If a certificate of release, nonattachment, discharge, or subordination of any lien is presented to the secretary of state CENTRAL FILING OFFICER for filing, the secretary of state CENTRAL FILING OFFICER shall:

(4)  Upon request of any person, the filing officer shall issue a certificate showing whether there is on file, or recorded on the date and hour stated therein, any notice of lien or certificate or notice affecting any lien filed under this article, naming a particular person and, if a notice or certificate is on file, giving the date and hour of filing of each notice or certificate. The fee for the issuance of a certificate by the secretary of state CENTRAL FILING OFFICER shall be determined and collected pursuant to section 24­21­104 (3), C.R.S., and the fee for the issuance of a certificate by a county clerk and recorder shall be the same as provided in section 4­11­102 (1) (g) (I), C.R.S. Upon request, the filing officer shall furnish a copy of any notice of federal lien or notice or certificate affecting a federal lien. The fee for furnishing and for certifying such copy and affixing the seal thereto shall be determined and collected pursuant to section 24­21­104 (3), C.R.S., if furnished by the secretary of state CENTRAL FILING OFFICER, and the said fee shall be the same as provided in section 4­11­102 (1) (g) (II), C.R.S., if furnished by a county clerk and recorder.

SECTION 240  38­25­105 (1) (c), Colorado Revised Statutes, is amended to read:

38­25­105.  Fees. (1) (c)  When the filing officer is the secretary of state CENTRAL FILING OFFICER, the fees required by this subsection (1) shall be determined and collected pursuant to section 24­21­104 (3), C.R.S.

SECTION 250  38­25­106, Colorado Revised Statutes, is amended to read:

38­25­106.  Lien not valid until notice filed. Prior to the time of the filing of a notice of lien in the office of the secretary of state CENTRAL FILING OFFICER or the county clerk and recorder, as the case may be, the same LIEN shall not be valid as against any mortgagee, purchaser, or judgment creditor.

SECTION 260  Appropriation. In addition to any other appropriation, there is hereby appropriated, out of any moneys in the central information system cash fund, created in section 4­9.3­105, Colorado Revised Statutes, not otherwise appropriated, to the department of state, for the fiscal year beginning July 1, 1999, the sum of ___ dollars ($     ) and ___ FTE, or so much thereof as may be necessary, for the implementation of this act.

SECTION 270  Effective date. Sections __ of this act shall take effect January 1, 2000, and the remainder of this act shall take effect July 1, 1999.

SECTION 280  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.".

INTRODUCTION OF BILL--FIRST READING

The following bill was read by title and referred to the committee indicated:

SB 99-174 by Senators Grampsas, Teck, Dyer, Musgrave, Powers, Feeley, and Thiebaut; also Representatives Allen, McPherson, and May--Concerning limitations on the disclosure of information by the department of revenue.

Finance

THIRD READING OF BILL--FINAL PASSAGE

On Third Reading, the title of the following bill was publicly read, the reading at length having been dispensed with by unanimous consent:

SB 99-069 by Sen. Arnold; Rep. Johnson--Business Group Of One Health Coverage

The question being "Shall the bill pass?" the roll was called with the following result:

YES 31		NO 0		EXCUSED 4		ABSENT 0
Anderson	Y	Evans	Y	Matsunaka	Y	Tanner	Y
Andrews	Y	Feeley	E	Musgrave	Y	Tebedo	Y
Arnold	Y	Grampsas	Y	Nichol	Y	Teck	Y
Blickensderfer	E	Hernandez	Y	Owen	Y	Thiebaut	E
Chlouber	Y	Hillman	Y	Pascoe	Y	Wattenberg	Y
Congrove	Y	Lacy	Y	Perlmutter	Y	Weddig	Y
Dennis	Y	Lamborn	Y	Phillips	Y	Wham	Y
Dyer	Y	Linkhart	Y	Reeves	Y	Mr. President	E
Epps	Y	Martinez	Y	Rupert	Y

A majority of all members elected to the Senate having voted in the affirmative, the bill

was declared PASSED.

Co-sponsors added: Lamborn, Nichol, Owen, Tebedo, Teck.

__________________________

On motion of Senator Chlouber, and with a two-thirds majority of those elected to the Senate having voted in the affirmative, SB99-041, 99-109, 99-094, 99-112, 99-167, 99-142, 99-091, HB99-1012, HB99-1005 were made Special Orders at 9:15 a.m.

__________________________

Committee The hour of 9:15 a.m. having arrived, Senator Anderson moved that the Senate resolve

of the itself into the Committee of the Whole for consideration of Special Orders and

Whole Senator Anderson was called to the Chair to act as Chairman.

The Committee of the Whole having risen, the Chairman reported that the following bills, reading at length having been dispensed with by unanimous consent, had been considered and action taken thereon as follows:

SPECIAL ORDERS--SECOND READING OF BILLS--9:15 A. M.

SB 99-041 by Sen. Dyer; Rep. Swenson--Bicycle Traffic Regulations

Amendment No. 1, by Senator Dyer

Amend printed bill, page 1, line 9, strike "safety. IN TURNING A" and substitute "safety".

Page 2, strike lines 1 through 3;

line 4, strike "ROADWAY,";

line 5, after the period, add the following:

"THE DRIVER OF A VEHICLE WHICH HAS OVERTAKEN A BICYCLE TRAVELING LAWFULLY ON A SHOULDER, BIKE LANE, OR TRAVEL LANE SHALL NOT MAKE A TURN ACROSS THE PATH OF THE BICYCLIST UNLESS SUCH MOVEMENT CAN BE MADE SAFELY.";

strike line 14 and substitute the following:

"A SAFE DISTANCE AND".

Amendment No. 2, by Senator Tebedo

Amend printed bill, page 3, strike lines 15 through 18 and substitute the following:

"(d)  A person riding a bicycle upon and along a sidewalk shall dismount before entering any roadway and, when crossing any such roadway, shall observe all the rules and regulations applicable to pedestrians.".

As amended, ordered engrossed and placed on the calendar for Third Reading and Final Passage.

SB 99-109 by Sen. Teck; Rep. McElhany--Real Estate Brokerage Relationships

Amendment No. 1, Business Affairs and Labor Committee Amendment

(Printed in Senate Journal, January 27, page 119.)

Amendment No. 2, by Senator Teck

Amend printed bill, page 2, strike line 4.

Amend the committee amendment, as printed in Senate Journal, January 27, page 119, strike lines 21 through 27, and substitute the following:

"strike lines 21 through 26 of the printed bill, and substitute the following:

"(B) THREATENING TO TAKE ANY ACTION AGAINST A BUYER, SELLER, LANDLORD, OR TENANT WHO HAS ESTABLISHED A BROKERAGE RELATIONSHIP WITH A LICENSEE;

(C) COUNSELING A BUYER, SELLER, LANDLORD, OR TENANT WHO HAS A BROKERAGE RELATIONSHIP WITH ANOTHER LICENSEE ON HOW TO TERMINATE OR AMEND AN EXISTING BROKERAGE RELATIONSHIP; OR

(D) ATTEMPTING TO INDUCE A BUYER, SELLER, LANDLORD, OR TENANT TO BREACH AN EXISTING BROKERAGE RELATIONSHIP.

(III) "REFERRAL FEE" MEANS ANY FEE PAID BY A LICENSEE TO ANY PERSON OR ENTITY, OTHER THAN A COOPERATIVE COMMISSION OFFERED BY A LISTING BROKER TO A SELLING BROKER OR VICE VERSA.".

Page 3 of the printed bill, strike lines 1 and 2;

line 8 of the printed bill, strike "CONTRACT." and substitute "RELATIONSHIP.";

line 14 of the printed bill, strike "VIOLATION." and substitute "VIOLATION PLUS REASONABLE ATTORNEY FEES.";

strike lines 15 through 25 of the printed bill, and substitute the following:".".

Amendment No. 3, by Senator Pascoe

Amend the Teck floor amendment, as printed in Senate Journal, February 5, line 20, strike "COUNSELING" and substitute "ENCOURAGING";

line 21, strike "on how".

As amended, ordered engrossed and placed on the calendar for Third Reading and Final Passage.

SB 99-094 by Sen. Feeley--Government Fiscal Data Sharing

Laid over until Monday, February 8, retaining its place on the general orders calendar.

SB 99-112 by Sen. Hernandez; Rep. Johnson--Regulation Of Dogs

Amendment No. 1, Agriculture, Natural Resources and Energy Committee Amendment

(Printed in Senate Journal, January 28, page 128.)

Amendment No. 2, by Senator Hernandez and Dennis

Amend the committee amendment, as printed in Senate Journal, page 128, line 12, strike "through 21." and substitute "through 7.";

strike line 14 and substitute the following:

"Page 3, line 13, strike "(I)";

line 14, strike "TO:" and substitute "TO";

line 15, strike "(A)  CONFINE" and substitute "CONFINE";

strike lines 21 through 26.

Strike page 4.".

As amended, ordered engrossed and placed on the calendar for Third Reading and Final Passage.

SB 99-167 by Sen. Perlmutter; Rep. Smith--Public Trustee Foreclosure Sales

Amendment No. 1, Business Affairs and Labor Committee Amendment

(Printed in Senate Journal, January 28, page 129.)

As amended, ordered engrossed and placed on the calendar for Third Reading and Final Passage.

SB 99-142 by Sen. Evans; Rep. Mitchell--Nursing Home Administrators Board

Ordered engrossed and placed on the calendar for Third Reading and Final Passage.

SB 99-091 by Sen. Hillman--County Land Use Regulation Referendum

Laid over until Monday, February 8, retaining its place on the general orders calendar.

HB 99-1012 by Rep. McKay; Senator Andrews --Adjust Res Real Prop Assessment Ratio

Ordered revised and placed on the calendar for Third Reading and Final Passage.

HB 99-1005 by Rep. Larson; Senator Chlouber--Direct Payment Of Sales & Use Tax

Ordered revised and placed on the calendar for Third Reading and Final Passage.

ADOPTION OF THE REPORT OF THE COMMITTEE OF THE WHOLE

On motion of Senator Anderson, the Report of the Committee of the Whole was adopted and, a majority of all members elected having voted in the affirmative, the following action was taken:

SB99-142, HB99-1012, HB99-1005, declared passed on Second Reading.

SB99-041, as amended, SB99-109, as amended, SB99-112, as amended, SB99-167, as

amended, declared passed on Second Reading.

SB99-094, SB99-091 laid over until Monday, February 8, retaining their place on the

general orders calendar.

CONSIDERATION OF GOVERNOR'S APPOINTMENTS

On motion of Senator Tebedo, the following Governor's appointments were confirmed by a roll call vote:

FIRE AND POLICE PENSION ASSOCIATION

for terms expiring September 1, 2002:

Ronald M. Lappi of Grand Junction, Colorado, to serve as a representative of Colorado municipal employers, reappointed;

Gary E. West of Denver, Colorado to serve as a representative of the business community experienced in personnel, reappointed;

Raymond M. Mitchell of Lakewood, Colorado to serve as a representative of the business community with experience in insurance disability claims, reappointed.

YES 32		NO 0		EXCUSED 3		ABSENT 0
Anderson	Y	Evans	Y	Matsunaka	Y	Tanner	Y
Andrews	Y	Feeley	E	Musgrave	Y	Tebedo	Y
Arnold	Y	Grampsas	Y	Nichol	Y	Teck	Y
Blickensderfer	E	Hernandez	Y	Owen	Y	Thiebaut	Y
Chlouber	Y	Hillman	Y	Pascoe	Y	Wattenberg	Y
Congrove	Y	Lacy	Y	Perlmutter	Y	Weddig	Y
Dennis	Y	Lamborn	Y	Phillips	Y	Wham	Y
Dyer	Y	Linkhart	Y	Reeves	Y	Mr. President	E
Epps	Y	Martinez	Y	Rupert	Y

COMMITTEE OF REFERENCE REPORTS

Education After consideration on the merits, the committee recommends that the following be referred favorably to the Committee on Appropriations: SB99-165

Education After consideration on the merits, the committee recommends that the following be postponed indefinitely: SB99-166

Local After consideration on the merits, the committee recommends that SB99-021 be

Government amended as follows and, as so amended, be referred favorably to the Committee of the Whole with favorable recommendation:

Amend printed bill, page 1, line 6, strike "THAT PROVIDE" and substitute "FOR IMPLEMENTING".

Page 2, line 1, strike "CRITERIA TO BE USED TO IMPLEMENT THOSE";

line 3, strike "SUCH POLICIES SHALL BE";

strike lines 4 and 5;

line 7, strike "EASILY ACCESSIBLE AND AVAILABLE TO THE PUBLIC" and

substitute "AVAILABLE TO APPLICANTS AND PARTICIPANTS.".

Local After consideration on the merits, the committee recommends that the following be

Government postponed indefinitely: SB99-105

Finance After consideration on the merits, the committee recommends that the following be postponed indefinitely: SB99-092

Health, After consideration on the merits, the committee recommends that SB99-120 be

Environment, amended as follows and, as so amended, be referred to the Committee of the Whole with

Welfare and favorable recommendation:

Institutions

Amend printed bill, page 2, strike line 26 and substitute "contained in such prescription.".

Page 3, strike lines 1 through 26, and substitute the following:

"IF A PRESCRIPTION ORDER INCLUDES A DESCRIPTION OF THE PURPOSE FOR THE PRESCRIPTION OR THE SYMPTOMS BEING TREATED, THE PHARMACIST SHALL ASSUME SUCH PRACTITIONER WANTS SUCH INFORMATION TO BE SET FORTH ON THE LABEL OF THE DRUG. ALL DRUGS DISPENSED PURSUANT TO SUCH PRESCRIPTION ORDER SHALL BEAR A LABEL SECURELY ATTACHED TO THE MEDICINE CONTAINER THAT INCLUDES A DESCRIPTION OF THE PURPOSE FOR THE PRESCRIPTION OR THE SYMPTOMS BEING TREATED, UNLESS THE PATIENT, THE PATIENT'S REPRESENTATIVE, THE PATIENT'S CAREGIVER, OR THE PRACTITIONER SPECIFICALLY REQUESTS OTHERWISE. THE PURPOSE FOR THE DRUG LABEL SHALL BE TO ASSIST THE PATIENT OR THE PATIENT'S CAREGIVER IN DISTINGUISHING ONE PRESCRIBED MEDICATION FROM ANOTHER.".

Page 4, strike lines 1 through 6.

Renumber succeeding sections accordingly.

Health, After consideration on the merits, the committee recommends that SB99-114 be

Environment, amended as follows and, as so amended, be referred to the Committee of the Whole with

Welfare and favorable recommendation:

Institutions

Amend printed bill, page 1, strike lines 2 and 3, and substitute the following:

"SECTION 1.  10­8­601.5 (1) (a) (III), Colorado Revised Statutes, is amended, and the said 10­8­601.5 (1) is further amended BY THE ADDITION OF A NEW PARAGRAPH, to read:";

line 5, strike "(b) and (c)" and substitute "(b), and (c), AND (c.5)".

Page 2, line 1, strike "106 125," and substitute "106, 125,";

line 2, after "amended" insert "EXCEPT AS PROVIDED IN PARAGRAPH (c.5) OF THIS SUBSECTION (1)";

after line 2, insert the following:

"(c.5)  A PLAN SHALL NOT BE SUBJECT TO THE SMALL GROUP PROVISIONS OF THIS ARTICLE AND ARTICLE 16 OF THIS TITLE IF THE PREMIUM FOR THE PLAN IS PAID FOR THROUGH A SECTION 125 PLAN OR PROGRAM OF THE FEDERAL "INTERNAL REVENUE CODE OF 1986", AS AMENDED, THE EMPLOYER MAKES NO CONTRIBUTION TO THE SECTION 125 PLAN OR PROGRAM , THE EMPLOYER DOES NOT HAVE IN PLACE AN EMPLOYER SPONSORED HEALTH BENEFIT PLAN, AND THE EMPLOYER DOES NOT PAY FOR ANY PORTION OF THE PREMIUM OR BENEFIT PAID.".

Health, After consideration on the merits, the committee recommends that SB99-023 be

Environment, amended as follows and, as so amended, be referred to the Committee on Appropriations

Welfare and with favorable recommendation:

Institutions

Amend printed bill, strike everything below the enacting clause, and substitute the following:

"SECTION 290  Title 19, Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW ARTICLE to read:

ARTICLE 7

Short­term Out­of­home and

Family Preservation Treatment Act

19­7­101.  Short title. THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED AS THE "SHORT­TERM OUT­OF­HOME AND FAMILY PRESERVATION TREATMENT ACT".

19­7­102.  Legislative declaration. (1)  THE GENERAL ASSEMBLY FINDS THAT MANY PARENTS IN COLORADO HAVE EXPERIENCED CHALLENGING CIRCUMSTANCES BECAUSE THEIR CHILDREN HAVE DEMONSTRATED OUT­OF­CONTROL BEHAVIOR SUCH AS TRUANCY, THREATS OF VIOLENCE, OR CHEMICAL DEPENDENCY OR THEIR CHILDREN ARE HOMELESS OR HAVE RUN AWAY FROM HOME. MANY TIMES PARENTS HAVE BECOME INCREASINGLY FRUSTRATED IN THEIR ATTEMPTS TO NAVIGATE THE VARIOUS GOVERNMENTAL SYSTEMS INCLUDING CHILD WELFARE, MENTAL HEALTH, LAW ENFORCEMENT, JUVENILE JUSTICE, EDUCATION, AND YOUTH CORRECTIONS IN AN ATTEMPT TO FIND HELP FOR THEIR CHILDREN. FREQUENTLY IN THESE SITUATIONS AN ACTION IN DEPENDENCY OR NEGLECT UNDER ARTICLE 3 OF THIS TITLE OR DELINQUENCY UNDER ARTICLE 2 OF THIS TITLE, MAY NOT BE APPROPRIATE OR WARRANTED. IN ADDITION, THE CHILD MAY NOT HAVE A MENTAL ILLNESS DIAGNOSIS THAT WOULD ENABLE THE CHILD TO MEET ELIGIBILITY REQUIREMENTS FOR MEDICAID FUNDED SERVICES THROUGH THE MENTAL HEALTH SYSTEM. ALTHOUGH APPROPRIATE SERVICES, INCLUDING OUT­OF­HOME SERVICES, THAT MAY OTHERWISE BENEFIT THE CHILD MAY BE AVAILABLE THROUGH THE STATE, COUNTY DEPARTMENT OF SOCIAL SERVICES, COMMUNITY MENTAL HEALTH CENTER, OR OTHER COMMUNITY AGENCIES, THE PARENT IS OFTEN PRECLUDED FROM OBTAINING THE APPROPRIATE SERVICES WITHOUT THE FILING OF AN ACTION IN DEPENDENCY OR NEGLECT OR DELINQUENCY, WHICH SOME FAMILIES FIND UNDESIRABLE AND STIGMATIZING.

(2)  THE GENERAL ASSEMBLY FINDS THAT IT IS DESIRABLE TO ASSIST CHILDREN EXPERIENCING SUCH DIFFICULT CIRCUMSTANCES AS THOSE DESCRIBED IN SUBSECTION (1) OF THIS SECTION AND SUCH CHILDREN'S FAMILIES. ACCORDINGLY, THE GENERAL ASSEMBLY DETERMINES THAT IT IS APPROPRIATE TO ADOPT A PROGRAM PURSUANT TO WHICH MENTAL HEALTH SERVICES, AS THAT TERM IS DEFINED IN SECTION 19-1-103 (77.3), WOULD BE PROVIDED TO ELIGIBLE CHILDREN WHO ARE DEMONSTRATING OUT­OF­CONTROL BEHAVIOR AND TO SUCH CHILDREN'S FAMILIES WHEN THE PARENTS OR LEGAL GUARDIANS REQUEST TREATMENT SERVICES, INCLUDING SHORT­TERM OUT­OF­HOME PLACEMENT.

19­7­103.  Short­term out­of­home placement and family preservation treatment program ­ creation. (1)  THE STATE DEPARTMENT IS HEREBY DIRECTED TO ESTABLISH A SHORT­TERM OUT­OF­HOME PLACEMENT AND FAMILY PRESERVATION TREATMENT PROGRAM. THE PURPOSE OF THE PROGRAM SHALL BE TO PROVIDE MENTAL HEALTH SERVICES, AS THAT TERM IS DEFINED IN SECTION 19­1­103 (77.3), INCLUDING SHORT­TERM OUT­OF­HOME PLACEMENT SERVICES, AND FAMILY PRESERVATION TREATMENT SERVICES TO ELIGIBLE CHILDREN WHO ARE AT RISK OF OUT­OF­HOME PLACEMENT AND WHO MEET THE CRITERIA ESTABLISHED BY THE STATE BOARD AND TO SUCH CHILDREN'S FAMILIES. SUCH SERVICES SHALL BE PROVIDED TO ELIGIBLE CHILDREN AND THEIR FAMILIES, SUBJECT TO AVAILABLE APPROPRIATIONS, UPON THE REQUEST OF THE CHILD'S PARENT OR LEGAL GUARDIAN.

(2) (a)  PURSUANT TO THE RULES OF THE STATE BOARD, THE STATE DEPARTMENT SHALL ALLOCATE TO THE GOVERNING BODY OF EACH COUNTY OR CITY AND COUNTY OR GROUPS OF GOVERNING BODIES THE MONEYS APPROPRIATED FOR THE IMPLEMENTATION OF THIS ARTICLE.

(b)  THE GOVERNING BODY OF EACH COUNTY OR CITY AND COUNTY, ALONE OR IN COMBINATION WITH ANY OTHER GOVERNING BODY, SHALL CONTRACT WITH APPROPRIATE SERVICE PROVIDERS IN THE COMMUNITY FOR THE PROVISION OF MENTAL HEALTH SERVICES, AS THAT TERM IS DEFINED IN SECTION 19­1­103 (77.3), AND FAMILY PRESERVATION TREATMENT SERVICES FOR CHILDREN WHO MEET THE CRITERIA FOR SERVICES AS DEVELOPED BY RULE OF THE STATE BOARD PURSUANT TO SECTION 19­7­104 AND SUCH CHILDREN'S FAMILIES IN ORDER TO ACHIEVE CRISIS STABILIZATION IN THAT FAMILY. IN ADDITION TO ANY OTHER COUNTY MONEYS THAT A GOVERNING BODY OR GROUP OF GOVERNING BODIES MAY ELECT TO APPLY TO THE IMPLEMENTATION OF THIS ARTICLE, A GOVERNING BODY OR GROUP OF GOVERNING BODIES MAY NOT EXPEND MORE THAN THE AMOUNT OF MONEYS ALLOCATED TO THE GOVERNING BODY OR THE COMBINED AMOUNT OF MONEYS ALLOCATED TO THE GROUP OF GOVERNING BODIES FOR THE IMPLEMENTATION OF THIS ARTICLE IN ANY FISCAL YEAR.

(3)  EACH GOVERNING BODY OR GROUP OF GOVERNING BODIES SHALL REPORT TO THE STATE DEPARTMENT AS PRESCRIBED BY RULE OF THE STATE BOARD PURSUANT TO SECTION 19­7­104.

(4)  NOTHING IN THIS SECTION SHALL BE CONSTRUED TO CREATE AN ENTITLEMENT PROGRAM FOR CHILDREN OR THEIR FAMILIES.

19­7­104.  Rules. (1)  THE STATE BOARD SHALL PROMULGATE RULES IMPLEMENTING THE PROGRAM. THE RULES SHALL INCLUDE, BUT SHALL NOT BE LIMITED TO, THE FOLLOWING:

(a)  THE CRITERIA THAT A CHILD SHALL MEET IN ORDER TO BE ELIGIBLE TO RECEIVE MENTAL HEALTH SERVICES FROM A SERVICE PROVIDER SELECTED BY A GOVERNING BODY OR GROUP OF GOVERNING BODIES TO PROVIDE MENTAL HEALTH SERVICES AND FAMILY PRESERVATION TREATMENT SERVICES PURSUANT TO THIS ARTICLE, WHICH CRITERIA MAY INCLUDE BUT SHALL NOT BE LIMITED TO:

(I)  THE AGE OF THE CHILD;

(II)  THE BEHAVIOR OF THE CHILD, INCLUDING CONSISTENT ACTING OUT IN AN INAPPROPRIATE MANNER OR BEHAVIOR THAT PLACES THE CHILD BEYOND THE CONTROL OF THE CHILD'S PARENT OR GUARDIAN; OR

(III)  SUCH OTHER BEHAVIOR THAT WOULD DEMONSTRATE THAT CHILD MENTAL HEALTH SERVICES AND FAMILY PRESERVATION TREATMENT SERVICES MAY BE INDICATED;

(b)  THE TYPE OF MENTAL HEALTH SERVICES AND FAMILY PRESERVATION TREATMENT SERVICES TO BE PROVIDED PURSUANT TO THIS ARTICLE;

(c)  THE METHOD OR FORMULA TO BE USED TO ALLOCATE FUNDS TO THE VARIOUS GOVERNING BODIES FOR THE PROVISION OF MENTAL HEALTH SERVICES AND FAMILY PRESERVATION TREATMENT SERVICES PURSUANT TO THIS ARTICLE;

(d)  THE IDENTIFICATION OF A SINGLE, STATEWIDE PROCEDURE BY WHICH EACH GOVERNING BODY OR GROUP OF GOVERNING BODIES, SHALL REPORT ANNUALLY TO THE STATE DEPARTMENT CONCERNING THE NUMBER OF FAMILIES SERVED, THE TYPE OF SERVICES PROVIDED, AND THE NUMBER OF FAMILIES THAT THE GOVERNING BODY WAS UNABLE TO SERVE AND THE BASIS THEREFOR.

19­7­105.  Service fee for mental health services and family preservation services. (1)  IF THE PARENT OR LEGAL GUARDIAN OF THE CHILD RECEIVING SERVICES PURSUANT TO THIS ARTICLE HAS PRIVATE INSURANCE THAT WILL COVER ALL OR A PORTION OF THE COSTS ASSOCIATED WITH THE SERVICES DESCRIBED IN THIS ARTICLE, THEN THAT RESOURCE SHALL BE USED FIRST TO PAY FOR SUCH SERVICES.

(2) (a)  IF THE CHILD OR FAMILY BEING PROVIDED SERVICES PURSUANT TO THIS ARTICLE IS NOT COVERED BY PRIVATE INSURANCE OR IF THE PRIVATE INSURANCE DOES NOT COVER THE ENTIRE COST OF THE SERVICES AND IF THE CHILD OR FAMILY IS NOT ELIGIBLE FOR FEDERAL MEDICAID OR IF FEDERAL MEDICAID FUNDING DOES NOT COVER THE ENTIRE COST OF THE SERVICES, THEN THE SERVICE AGENCY SHALL ASSESS SERVICE FEES.

(b)  THE STATE BOARD SHALL ADOPT RULES TO ESTABLISH SERVICE FEES BASED UPON THE CHILD SUPPORT GUIDELINES SET FORTH IN SECTION 14­10­115, C.R.S., REQUIRING THOSE PERSONS LEGALLY RESPONSIBLE FOR THE CHILD TO PAY FOR ALL OR A PORTION OF THE SERVICES PROVIDED UNDER THIS ARTICLE. THE STATE BOARD IS AUTHORIZED TO PROMULGATE RULES TO IMPLEMENT THE PROVISIONS OF THIS ARTICLE RELATING TO THE ALLOCATION OF FUNDS FOR THE DELIVERY OF MENTAL HEALTH SERVICES.

SECTION 2.  19­1­103 (54), (102), and (103), Colorado Revised Statutes, are amended, and the said 19­1­103 is further amended BY THE ADDITION OF THE FOLLOWING NEW SUBSECTIONS, to read:

19­1­103.  Definitions. As used in this title or in the specified portion of this title, unless the context otherwise requires:

(11.5)  "AT RISK OF OUT­OF­HOME PLACEMENT", AS USED IN ARTICLE 7 OF THIS TITLE, MEANS CIRCUMSTANCES UNDER WHICH A CHILD WHO IS NOT A MENTALLY ILL PERSON, AS DEFINED IN SECTION 27­10­102 (7), C.R.S., AND FOR WHOM IT MAY NOT BE APPROPRIATE OR WARRANTED TO FILE AN ACTION IN DEPENDENCY OR NEGLECT PURSUANT TO ARTICLE 3 OF THIS TITLE OR A DELINQUENCY ACTION PURSUANT TO ARTICLE 2 OF THIS TITLE, BUT WHO IS BEYOND THE CONTROL OF HIS OR HER PARENT OR GUARDIAN AND MAY BE:

(a)  A CHRONIC RUNAWAY;

(b)  A CHRONIC TRUANT;

(c)  HOMELESS; OR

(d)  CHEMICALLY DEPENDENT.

(54)  "Governing body", as used in section 19­3­211 AND AS USED IN ARTICLE 7 OF THIS TITLE, means the board of county commissioners of a county or the city council of a city and county.

(77.3)  "MENTAL HEALTH SERVICES", AS USED IN ARTICLE 7 OF THIS TITLE, MEANS APPROPRIATE SERVICES DIRECTED TOWARD FAMILY STABILITY AND FAMILY PRESERVATION, INCLUDING IN­HOME AND SHORT­TERM OUT­OF­HOME SERVICES OR ANY OF THOSE SERVICES DEFINED IN SECTION 26-5-101 (3), C.R.S., PROVIDED TO A CHILD WHO IS AT RISK OF OUT­OF­HOME PLACEMENT, AS THAT TERM IS DEFINED IN SUBSECTION (11.5) OF THIS SECTION AND WHO MEETS THE CRITERIA SPECIFIED IN SECTION 19­7­104.

(86.5)  "PROGRAM", AS USED IN ARTICLE 7 OF THIS TITLE, MEANS THE SHORT­TERM OUT­OF­HOME AND FAMILY PRESERVATION TREATMENT PROGRAM ESTABLISHED IN A COUNTY OR GROUP OF COUNTIES PURSUANT TO SECTION 19­7­103.

(95.5)  "SERVICE PROVIDER", AS USED IN ARTICLE 7 OF THIS TITLE, MEANS PUBLIC OR PRIVATE AGENCIES THAT ARE DETERMINED BY A GOVERNING BODY, AS THAT TERM IS DEFINED IN SUBSECTION (54) OF THIS SECTION, TO BE QUALIFIED TO PROVIDE THE SERVICES DESCRIBED IN ARTICLE 7 OF THIS TITLE.

(102)  "State board", as used in part 3 of article 3 of this title AND AS USED IN ARTICLE 7 OF THIS TITLE, means the state board of human services.

(103)  "State department", as used in section 19­3­211, and part 3 of article 3 of this title, AND ARTICLE 7 OF THIS TITLE, means the department of human services created by section 24­1­120, C.R.S.

SECTION 3.  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.".

Health, After consideration on the merits, the committee recommends that the following be

Environment, postponed indefinitely: SB99-087

Welfare and

Institutions

Agriculture, After consideration on the merits, the committee recommends that SB99-137 be

Natural amended as follows and, as so amended be referred to the Committee of the Whole with

Resources favorable recommendation:

and Energy

Amend printed bill, page 5, strike lines 18 through 20, and substitute the following:

"THE ANIMAL WAS TAKEN INTO CUSTODY. SUCH BOND SHALL BE FILED WITH THE COURT WITHIN TEN DAYS AFTER THE ANIMAL IS IMPOUNDED. AT THE END OF THE TIME FOR WHICH EXPENSES ARE COVERED BY THE BOND, IF THE OWNER OR CUSTODIAN DESIRES TO PREVENT DISPOSITION OF THE ANIMAL BY THE ANIMAL SHELTER, THE OWNER OR CUSTODIAN SHALL POST A NEW BOND WITH THE COURT WITHIN TEN DAYS AFTER THE PRIOR BOND'S EXPIRATION. HOWEVER, THE COURT SHALL".

______________________________

On motion of Senator Chlouber, and with a majority of those elected to the Senate having voted in the affirmative, the balance of the calendar of Friday, February 5, was laid over until Monday, February 8, retaining its place on the calendar.

______________________________

TRIBUTE--A POINT OF INTEREST

Honoring the Bel Nor Republican Women's Club--by Senators Dennis and Tebedo;

also Representatives Lawrence and Spradley

On motion of Senator Chlouber, the Senate adjourned until 10:00 a.m., Monday,

February 8, 1999.

Approved:

Ray Powers

President of the Senate

Attest:

Patricia K. Dicks

Secretary of the Senate