Second Regular Session
Sixty-first General Assembly
LLS NO. 980103.01 GWF
SENATE BILL 98150
STATE OF COLORADO
BY SENATOR Bishop
EDUCATION
A BILL FOR AN ACT
CONCERNING THE USE OF STATE REVENUES IN EXCESS OF
THE CONSTITUTIONAL LIMITATION ON STATE FISCAL YEAR SPENDING FOR
SCHOOL DISTRICT CAPITAL CONSTRUCTION PROJECTS.
Bill Summary
(Note: This summary applies to this bill as introduced
and does not necessarily reflect any amendments that may be subsequently
adopted.)
Establishes a school district capital construction fund, referred to as the "fund", to provide grants and loans to school districts for the purpose of undertaking capital construction projects. Provides that an amount of revenues from the general fund equal to the amount of state revenues collected by the state in excess of the spending limit imposed by the Taxpayer's Bill of Rights shall be transferred to the fund each year. Specifies that transfers to the fund and grants and loans from the fund shall not be included in state or local government constitutional spending limits.
Permits the use of moneys in the fund for capital construction projects involving instructional facilities, including classrooms, libraries, physical plants, and administrative areas, but does not permit the use of moneys in the fund for athletic, recreational, or other noninstructional facilities.
Requires school districts to submit grant and loan applications to the state board of education by a specified date each year. Directs the state board of education to review the applications and to prioritize them based on specified criteria. Authorizes the state board to adopt procedures for administering the program.
Directs the state board of education to transmit its prioritized list of eligible projects and the amounts and terms of any grants or loans to the joint budget committee and the education committees of the house of representatives and the senate no later than December 1 of each year. Provides that the joint budget committee shall determine how many of the eligible projects can receive grants or loans of moneys from the fund, that only projects on the prioritized list may receive grants or loans of moneys from the fund, and that the projects shall be funded in the priority determined by the state board.
Provides that it is the intent of the general assembly that the amount of a grant shall be no more than the difference between the school district's assessed valuation per pupil and the statewide average assessed valuation per pupil, expressed as a percentage of the statewide average, multiplied by the cost of the capital construction project.
Provides that it is the intent of the general assembly that loans to school districts with assessed valuations per pupil equal to or exceeding 150% of the state average shall have interest rates at least equal to the prime rate. States that it is the intent of the general assembly that a discount off the prime rate based upon a school district's assessed valuation per pupil be provided for districts with assessed valuations per pupil of less than 150% of the state average.
Provides that project costs may not be incurred until all procedures and requirements of the state board of education have been met. Allows the state board to withhold or terminate grants and loans if a sponsor fails to comply with the board's procedures and requirements. Allows the state board to modify the interest rate or repayment schedule on a loan in specified hardship situations.
Requires the state auditor to audit the grant and loan program not less than every 2 years.
Refers the act to the voters for approval at the
1998 general election.
Be it enacted by the General Assembly of the State of Colorado:
SECTION 1. Title 22, Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW ARTICLE to read:
2243.8101. Definitions. AS USED IN THIS ARTICLE, UNLESS THE CONTEXT OTHERWISE REQUIRES:
(1) "CAPITAL CONSTRUCTION" SHALL HAVE THE MEANING SET FORTH IN SECTION 2475301 (1), C.R.S.
(2) "FUND" MEANS THE SCHOOL DISTRICT CAPITAL CONSTRUCTION FUND CREATED PURSUANT TO THIS ARTICLE.
(3) "PRIME RATE" MEANS THE PRIME RATE, AS PUBLISHED BY THE FEDERAL RESERVE, AT THE TIME A LOAN IS MADE BY THE DEPARTMENT.
(4) "STATE AID" MEANS THAT PORTION OF A SCHOOL DISTRICT'S FINANCIAL BASE OF SUPPORT FOR PUBLIC EDUCATION THAT IS PROVIDED BY THE STATE PURSUANT TO ARTICLE 54 OF THIS TITLE.
(5) "STATE BOARD" MEANS THE STATE BOARD OF EDUCATION CREATED PURSUANT TO SECTION 1 OF ARTICLE IX OF THE STATE CONSTITUTION.
2243.8102. School district capital construction fund created purpose. (1) THERE IS HEREBY ESTABLISHED IN THE STATE TREASURY THE SCHOOL DISTRICT CAPITAL CONSTRUCTION FUND. THE FUND SHALL CONSIST OF THE FOLLOWING:
(a) AN AMOUNT TRANSFERRED FROM THE GENERAL FUND EQUAL TO THE AMOUNT OF STATE REVENUES FROM SOURCES NOT EXCLUDED FROM STATE FISCAL YEAR SPENDING THAT ARE IN EXCESS OF THE FISCAL YEAR SPENDING LIMITATIONS IMPOSED UPON THE STATE BY SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION FOR ANY GIVEN FISCAL YEAR. ON OR BEFORE JANUARY 15, 1999, SEPTEMBER 30, 1999, AND SEPTEMBER 30 OF EACH YEAR THEREAFTER, THE STATE AUDITOR SHALL DETERMINE WHETHER ANY SUCH EXCESS REVENUES EXIST FOR THE PRECEDING STATE FISCAL YEAR, CALCULATE THE AMOUNT OF ANY SUCH EXCESS REVENUES, AND NOTIFY THE STATE TREASURER OF THE EXISTENCE AND THE AMOUNT OF SUCH EXCESS REVENUES. UPON RECEIVING NOTICE OF THE EXISTENCE AND THE AMOUNT OF ANY SUCH EXCESS REVENUES FOR THE PRECEDING STATE FISCAL YEAR PURSUANT TO THIS PARAGRAPH (a), THE STATE TREASURER SHALL TRANSFER, WITHIN FIFTEEN DAYS OF RECEIVING SUCH NOTIFICATION, AN AMOUNT EQUAL TO SUCH EXCESS REVENUES FROM THE GENERAL FUND TO THE FUND.
(b) ANY INTEREST OR OTHER CHARGES COLLECTED PURSUANT TO SECTION 2243.8106.
(c) ANY OTHER MONEYS AS MAY BE MADE AVAILABLE BY THE GENERAL ASSEMBLY.
(2) SUBJECT TO APPROPRIATION BY THE GENERAL ASSEMBLY, MONEYS IN THE FUND SHALL BE USED TO PROVIDE GRANTS, LOANS, OR BOTH, AS PROVIDED IN THIS ARTICLE, TO SCHOOL DISTRICTS THAT ARE UNDERTAKING QUALIFIED CAPITAL CONSTRUCTION PROJECTS AND FOR THE EXPENSES INCURRED BY THE STATE BOARD IN ADMINISTERING THIS ARTICLE.
(3) NEITHER GRANTS NOR LOANS FROM THE FUND SHALL BE AUTHORIZED FOR ANY SCHOOL DISTRICT CAPITAL CONSTRUCTION PROJECT THAT HAS NOT BEEN EVALUATED BY THE STATE BOARD AND INCLUDED ON THE PRIORITIZED LIST PREPARED BY THE STATE BOARD PURSUANT TO THIS ARTICLE.
(4) ALL INTEREST DERIVED FROM THE DEPOSIT AND INVESTMENT OF MONEYS IN THE FUND AND FROM ANY INTEREST OR OTHER CHARGES DERIVED FROM MAKING LOANS FROM THE FUND SHALL BE CREDITED TO THE FUND. ANY MONEYS NOT APPROPRIATED SHALL REMAIN IN THE FUND AND SHALL NOT BE TRANSFERRED OR REVERT TO THE GENERAL FUND OF THE STATE AT THE END OF ANY FISCAL YEAR.
(5) REVENUES TRANSFERRED TO THE FUND OR PROVIDED FROM THE FUND IN THE FORM OF GRANTS OR LOANS TO SCHOOL DISTRICTS SHALL NOT BE INCLUDED IN EITHER STATE OR SCHOOL DISTRICT FISCAL YEAR SPENDING FOR PURPOSES OF SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION AND SECTION 2477102 (17), SINCE VOTER APPROVAL OF THIS ARTICLE PURSUANT TO SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION CONSTITUTES VOTER APPROVAL FOR BOTH THE STATE AND ALL SCHOOL DISTRICTS.
2243.8103. Eligible projects criteria. (1) GRANTS AND LOANS MAY BE PROVIDED FROM THE FUND PURSUANT TO THIS ARTICLE ONLY FOR SCHOOL DISTRICT CAPITAL CONSTRUCTION PROJECTS INVOLVING INSTRUCTIONAL FACILITIES, INCLUDING CLASSROOMS, LIBRARIES, PHYSICAL PLANTS, AND ASSOCIATED ADMINISTRATIVE AREAS.
(2) NEITHER GRANTS NOR LOANS SHALL BE PROVIDED PURSUANT TO THIS ARTICLE FOR ANY PORTION OF A SCHOOL DISTRICT CAPITAL CONSTRUCTION PROJECT INVOLVING ATHLETIC, RECREATIONAL, OR OTHER NONINSTRUCTIONAL FACILITIES WITHIN THE DISTRICT, EVEN IF SUCH FACILITIES ARE LOCATED ON A SCHOOL SITE.
2243.8104. Grant and loan application requirements evaluation criteria state board of education duties. (1) APPLICATIONS FOR GRANTS AND LOANS FROM THE FUND SHALL BE SUBMITTED TO THE STATE BOARD NO LATER THAN JULY 1, 1999, AND NO LATER THAN JULY 1 OF EACH YEAR THEREAFTER FOR MONEYS AVAILABLE FROM THE FUND FOR THE NEXT FISCAL YEAR.
(2) THE STATE BOARD SHALL EVALUATE SUCH APPLICATIONS BASED ON THE CRITERIA SET FORTH IN THIS SECTION AND SUCH OTHER CRITERIA AS THE STATE BOARD MAY ESTABLISH BY RULE PURSUANT TO SUBSECTION (7) OF THIS SECTION.
(3) IT IS THE INTENT OF THE GENERAL ASSEMBLY THAT SCHOOL DISTRICTS GIVE CONSIDERATION TO THE NEEDS OF BOTH TRADITIONAL PUBLIC SCHOOLS AND CHARTER SCHOOLS ESTABLISHED PURSUANT TO ARTICLE 30.5 OF THIS TITLE WHEN SUBMITTING APPLICATIONS FOR GRANTS OR LOANS PURSUANT TO THIS SECTION.
(4) ALL APPLICATIONS SUBMITTED TO THE STATE BOARD SHALL BE IN A FORM PRESCRIBED BY THE STATE BOARD AND SHALL INCLUDE:
(a) A DESCRIPTION OF THE SCOPE AND NATURE OF THE CAPITAL CONSTRUCTION PROJECT;
(b) A DESCRIPTION OF THE ARCHITECTURAL, FUNCTIONAL, AND CONSTRUCTION STANDARDS THAT ARE TO BE APPLIED TO THE FACILITY THAT IS THE SUBJECT OF THE CAPITAL CONSTRUCTION PROJECT;
(c) THE FORM AND AMOUNT OF FINANCIAL EFFORT THAT WILL BE PROVIDED BY THE SCHOOL DISTRICT FOR THE CAPITAL CONSTRUCTION PROJECT;
(d) THE FORM AND AMOUNT OF ANY GRANTS OR LOANS BEING REQUESTED;
(e) WHETHER AN ELECTION IS REQUIRED BEFORE THE DISTRICT CAN ACCEPT MONEYS LOANED FROM THE FUND OR PROCEED WITH THE CAPITAL CONSTRUCTION PROJECT AND, IF SO, THE ANTICIPATED DATE OF THE ELECTION; AND
(f) SUCH OTHER INFORMATION THE STATE BOARD MAY REQUIRE FOR THE EVALUATION OF THE CAPITAL CONSTRUCTION PROJECT.
(5) APPLICATIONS THAT DESCRIBE CAPITAL CONSTRUCTION PROJECTS DEEMED ELIGIBLE BY THE STATE BOARD FOR GRANTS, LOANS, OR BOTH SHALL BE PRIORITIZED BASED ON THE FOLLOWING CRITERIA IN DESCENDING ORDER OF IMPORTANCE:
(a) CAPITAL CONSTRUCTION PROJECTS THAT WILL ADDRESS IMMEDIATE SAFETY HAZARDS OR HEALTH CONCERNS AT EXISTING SCHOOL FACILITIES, CONSIDERING THE AGE OF THE FACILITIES AND ANY PREVIOUS RENOVATION WORK OR CONTROLLED MAINTENANCE THAT HAS BEEN PERFORMED AT THE FACILITIES;
(b) CAPITAL CONSTRUCTION PROJECTS IN A SCHOOL DISTRICT THAT HAS A LOWER RELATIVE WEALTH COMPARED TO OTHER SCHOOL DISTRICTS IN THE STATE BASED ON THE PER PUPIL ASSESSED VALUATION WITHIN THE DISTRICT AND THE AMOUNT OF STATE AID TO WHICH THE SCHOOL DISTRICT IS ENTITLED RELATIVE TO THE DISTRICT'S TOTAL PROGRAM, AS DEFINED IN SECTION 2254103 (6);
(c) CAPITAL CONSTRUCTION PROJECTS THAT WILL ADDRESS ENROLLMENT GROWTH ISSUES WITHIN A SCHOOL DISTRICT, CONSIDERING THE AMOUNT OF ENROLLMENT GROWTH IN THE SCHOOL DISTRICT AND OTHER STEPS TAKEN BY THE SCHOOL DISTRICT TO ADDRESS ENROLLMENT GROWTH CONCERNS;
(d) CAPITAL CONSTRUCTION PROJECTS THAT ARE DESIGNED TO INCORPORATE TECHNOLOGY INTO THE EDUCATIONAL ENVIRONMENT; AND
(e) ALL OTHER CAPITAL CONSTRUCTION PROJECTS.
(6) FROM THE APPLICATIONS SUBMITTED FOR THE NEXT FISCAL YEAR, THE STATE BOARD SHALL PREPARE A PRIORITIZED LIST OF ELIGIBLE CAPITAL CONSTRUCTION PROJECTS, INCLUDING THE AMOUNTS AND TERMS OF ANY GRANTS, LOANS, OR BOTH TO BE MADE FROM THE FUND FOR EACH PROJECT. THE STATE BOARD SHALL SUBMIT SUCH LIST TO THE JOINT BUDGET COMMITTEE OF THE GENERAL ASSEMBLY NO LATER THAN DECEMBER 1 OF EACH YEAR FOR CONSIDERATION FOR INCLUSION IN THE GENERAL APPROPRIATION BILL. SAID LIST SHALL ALSO BE SUBMITTED TO THE EDUCATION COMMITTEES OF THE SENATE AND THE HOUSE OF REPRESENTATIVES NO LATER THAN DECEMBER 1 OF THAT YEAR. THE JOINT BUDGET COMMITTEE SHALL DETERMINE THE NUMBER OF CAPITAL CONSTRUCTION PROJECTS ON THE LIST THAT MAY RECEIVE GRANTS, LOANS, OR BOTH FROM MONEYS AVAILABLE IN THE FUND. ONLY CAPITAL CONSTRUCTION PROJECTS ON THE PRIORITIZED LIST MAY RECEIVE GRANTS OR LOANS FROM THE FUND. NO LOAN SHALL BE MADE UNLESS THE TERMS OF SUCH LOAN REQUIRE IT TO BE REPAID WITHIN THE SAME FISCAL YEAR IN WHICH IT IS MADE OR THE SCHOOL DISTRICT ACCEPTING SUCH LOAN HAS RECEIVED VOTER APPROVAL IN ADVANCE FOR SUCH LOAN IN COMPLIANCE WITH SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION. CAPITAL CONSTRUCTION PROJECTS SHALL BE FUNDED IN THE PRIORITY AND IN THE AMOUNTS FOR EACH PROJECT AS DETERMINED BY THE STATE BOARD.
(7) THE STATE BOARD MAY PROMULGATE RULES NECESSARY FOR THE ADMINISTRATION AND ENFORCEMENT OF THIS ARTICLE. SUCH RULES SHALL BE PROMULGATED IN ACCORDANCE WITH ARTICLE 4 OF TITLE 24, C.R.S.
2243.8105. Grants and loans for the construction of school facilities limits. (1) IN DETERMINING THE AMOUNT OF A GRANT MADE PURSUANT TO THIS ARTICLE, IT IS THE INTENT OF THE GENERAL ASSEMBLY THAT THE AMOUNT OF A GRANT MADE PURSUANT TO THIS ARTICLE SHALL BE NO MORE THAN THE DIFFERENCE BETWEEN THE VALUATION FOR ASSESSMENT PER PUPIL WITHIN THE SCHOOL DISTRICT PROPOSING THE CAPITAL CONSTRUCTION PROJECT AND THE AVERAGE VALUATION FOR ASSESSMENT PER PUPIL STATEWIDE, EXPRESSED AS A PERCENTAGE OF THE STATEWIDE AVERAGE, MULTIPLIED BY THE COST OF THE CAPITAL CONSTRUCTION PROJECT.
(2) IN DETERMINING THE RATE OF INTEREST ON A LOAN MADE PURSUANT TO THIS ARTICLE, IT IS THE INTENT OF THE GENERAL ASSEMBLY THAT:
(a) A SCHOOL DISTRICT WITH A VALUATION FOR ASSESSMENT PER PUPIL THAT IS EQUAL TO OR EXCEEDS ONE HUNDRED FIFTY PERCENT OF THE AVERAGE VALUATION FOR ASSESSMENT PER PUPIL STATEWIDE SHALL NOT RECEIVE A LOAN PURSUANT TO THIS ARTICLE WITH AN INTEREST RATE THAT IS LESS THAN THE PRIME RATE; AND
(b) A SCHOOL DISTRICT WITH A VALUATION FOR ASSESSMENT PER PUPIL THAT IS LESS THAN ONE HUNDRED FIFTY PERCENT OF THE AVERAGE VALUATION FOR ASSESSMENT PER PUPIL STATEWIDE SHALL NOT RECEIVE A LOAN WITH AN INTEREST RATE THAT IS LESS THAN THE PRIME RATE DISCOUNTED BY A PERCENTAGE EQUAL TO THE DIFFERENCE BETWEEN THE VALUATION FOR ASSESSMENT PER PUPIL WITHIN THE SCHOOL DISTRICT PROPOSING THE CAPITAL CONSTRUCTION PROJECT AND ONE HUNDRED FIFTY PERCENT OF THE AVERAGE VALUATION FOR ASSESSMENT PER PUPIL STATEWIDE, EXPRESSED AS A PERCENTAGE OF ONE HUNDRED FIFTY PERCENT OF THE STATEWIDE AVERAGE.
2243.8106. Loans for the construction of school facilities contracts with and charges against users. THE STATE BOARD MAY ENTER INTO CONTRACTS TO LOAN MONEYS FROM THE FUND TO ENABLE THE CONSTRUCTION OF ELIGIBLE CAPITAL CONSTRUCTION PROJECTS PURSUANT TO THE TERMS OF THIS ARTICLE WITH ANY SCHOOL DISTRICT IN THIS STATE. ANY SUCH LOAN MAY PROVIDE FOR SUCH CHARGES TO THE USING ENTITY AS, IN THE OPINION OF THE STATE BOARD, ARE NECESSARY AND REASONABLE TO RECOVER THE CAPITAL INVESTMENT FROM THE FUND TOGETHER WITH INTEREST CHARGES OVER THE TERM OF YEARS AGREED UPON BY CONTRACT. INTEREST CHARGES SHALL BE AT A RATE EQUAL TO OR ABOVE THE MINIMUM RATE SPECIFIED IN SECTION 2243.8105 (2) ON THE BASIS OF THE SCHOOL DISTRICT=S ABILITY TO PAY SUCH CHARGES AND THE EXTENT TO WHICH THE PROJECT MEETS THE CRITERIA SET FORTH IN SECTION 2243.8104 (5). ANY SUCH CHARGES COLLECTED PURSUANT TO THIS SECTION SHALL BE CREDITED TO AND MADE A PART OF THE FUND.
2243.8107. Security for loans procedures of state board modification of loan terms. (1) THE STATE OF COLORADO SHALL TAKE A SUFFICIENT SECURITY INTEREST IN PROPERTY OR TAKE SUCH BONDS, NOTES, OR OTHER SECURITIES EVIDENCING AN OBLIGATION, AS WILL, IN THE OPINION OF THE STATE BOARD, ASSURE REPAYMENT OF LOANS MADE AVAILABLE PURSUANT TO THIS ARTICLE. ANY SECURITY INTEREST IN PROPERTY TAKEN UNDER THIS SUBSECTION (1) MAY BE PERFECTED AND ENFORCED IN THE SAME MANNER AS SECURITY INTERESTS UNDER ARTICLE 9 OF TITLE 4, C.R.S., NOTWITHSTANDING ANY PROVISION OF SECTION 49104, C.R.S.
(2) A SCHOOL DISTRICT THAT RECEIVES A GRANT OR LOAN FOR A CAPITAL CONSTRUCTION PROJECT PURSUANT TO THIS ARTICLE SHALL NOT INITIATE OR INCUR COSTS FOR FINAL DESIGNS AND SPECIFICATIONS FOR A PROJECT, NOR SHALL A SCHOOL DISTRICT AWARD A CONTRACT FOR, PROCEED WITH, OR IN ANY MANNER INCUR COSTS FOR CONSTRUCTION OF A PROJECT, UNTIL SUCH SPONSOR HAS COMPLIED WITH ALL PROCEDURES AND REQUIREMENTS OF THE STATE BOARD. IF A SCHOOL DISTRICT FAILS TO COMPLY WITH THE STATE BOARD'S PROCEDURES AND REQUIREMENTS, THE STATE BOARD, AT ITS DISCRETION, MAY WITHHOLD OR TERMINATE ALL OR A PORTION OF THE GRANT OR LOAN FOR A PROJECT, OR THE STATE BOARD MAY REQUIRE SUCH ASSURANCES FROM THE SCHOOL DISTRICT AS THE STATE BOARD DEEMS NECESSARY IN ORDER TO ADEQUATELY PROTECT THE ASSETS OF THE FUND OR TO ENSURE THE PROPER USE OF MONEYS FROM THE FUND.
(3) NOTWITHSTANDING ANY OTHER PROVISION TO THE CONTRARY, THE STATE BOARD MAY ADJUST THE AUTHORIZED INTEREST RATE ON A LOAN FROM THE FUND, EXTEND THE AUTHORIZED REPAYMENT PERIOD FOR SUCH LOAN, AND DEFER ONE OR MORE ANNUAL PAYMENTS IF, IN THE STATE BOARD'S OPINION, THE SCHOOL DISTRICT REQUESTING SUCH ADJUSTMENT, EXTENSION, AND DEFERMENT DEMONSTRATES THAT IT HAS ENCOUNTERED SIGNIFICANT AND UNEXPECTED FINANCIAL DIFFICULTIES AND THAT IT HAS BEEN DULY DILIGENT IN ITS EFFORTS TO COMPLY WITH THE REPAYMENT PROVISIONS OF ITS CONTRACT WITH THE STATE BOARD. NO ADJUSTMENT, EXTENSION, OR DEFERMENT SHALL BE MADE UNLESS ANY ADVANCE VOTER APPROVAL REQUIRED FOR SUCH ADJUSTMENT, EXTENSION, OR DEFERMENT BY SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION HAS BEEN RECEIVED BY THE DISTRICT.
2243.8108. Audit and review. THE STATE AUDITOR OR THE STATE AUDITOR'S DESIGNEE SHALL AUDIT THE GRANT AND LOAN PROGRAM ESTABLISHED IN THIS ARTICLE NOT LESS THAN BIANNUALLY TO MONITOR COMPLIANCE WITH THE TERMS OF GRANTS AND LOANS MADE FROM THE FUND, COMPLIANCE WITH THE REQUIREMENTS SET FORTH IN THIS ARTICLE, AND ANY OTHER PRACTICES AND PROCEDURES AS MAY BE NECESSARY TO ENSURE THAT THE GRANT AND LOAN PROGRAM IS BEING PROPERLY ADMINISTERED.
SECTION 2. 49104, Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW PARAGRAPH to read:
49104. Transactions excluded from article. This article does not apply:
(n) TO A LOAN TO A SCHOOL DISTRICT AUTHORIZED BY ARTICLE 43.8 OF TITLE 22, C.R.S.
SECTION 3. Refer to people under referendum. This act shall be submitted to a vote of the registered electors of the state of Colorado at the next biennial regular general election, for their approval or rejection, under the provisions of the referendum as provided for in section 1 of article V and section 20 of article X of the state constitution, and in article 40 of title 1, Colorado Revised Statutes. Each elector voting at said election and desirous of voting for or against said act shall cast a vote as provided by law either "Yes" or "No" on the proposition: "FOR THE PURPOSE OF MAKING AND ADMINISTERING GRANTS AND LOANS TO SCHOOL DISTRICTS FOR CAPITAL CONSTRUCTION PROJECTS, SHALL THE STATE OF COLORADO BE PERMITTED TO ANNUALLY RETAIN AN AMOUNT EQUAL TO THE STATE REVENUES IN EXCESS OF THE CONSTITUTIONAL LIMITATION ON STATE SPENDING FOR THE 199798 FISCAL YEAR AND FOR EACH FISCAL YEAR THEREAFTER, NOTWITHSTANDING ANY RESTRICTION ON FISCAL YEAR SPENDING, INCLUDING WITHOUT LIMITATION THE RESTRICTIONS OF SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION?" The votes cast for the adoption or rejection of said act shall be canvassed and the result determined in the manner provided by law for the canvassing of votes for representatives in Congress.