House Bill 25-1219 Preamended

A Bill for an Act

• Page 1, Line 101Concerning requirements for metropolitan districts that

• Page 1, Line 102aid the public's understanding of metropolitan

• Page 1, Line 103districts.

Bill Summary

(Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov.)

Under current law, certain metropolitan districts are required to hold annual public meetings at which residents can ask questions about the metropolitan district and financial information about the metropolitan district is shared. The bill requires that, in addition to notice requirements under the Colorado open meetings law, notice of this annual meeting be provided by postcard or letter to residents or by electronic mail to any electronic mailing addresses that the metropolitan district has on file and be posted on the homepage of the metropolitan district's website. The bill also requires that, if the annual meeting is held at a physical location, there be available hard copies of self-nomination and acceptance forms, which are forms required to be filed for an eligible elector to be a candidate for a board position at a special district election.

The bill also requires that metropolitan districts that are required to have a publicly accessible website must establish a system or a process for residents to contact someone associated with the metropolitan district at times when district personnel is otherwise unavailable or unreachable to address any questions or concerns regarding services of the metropolitan district.

For a metropolitan district that is required to have a publicly accessible website, the bill requires the following additional information to be provided on the website:

• The date, time, and location of the annual meeting;
• An explanation of what metropolitan districts are generally and how the metropolitan district operates;
• The services that the metropolitan district provides and, if a service to the metropolitan district's residents is not provided by the metropolitan district, the name of the entity that provides the service;
• The name of the county or municipality with which the metropolitan district must file its annual report; and
• The name and contact information of someone who residents can contact with questions or concerns about the services of the district when district personnel is otherwise unavailable or unreachable.
• The names, terms, and contact information of individuals serving on the board of directors and of any manager of the metropolitan district;
• The date, time, and location of scheduled regular meetings, including the annual meeting;
• The call for nominations for candidates to run for election to the board of directors;
• Information about the services the metropolitan district provides and the services that are provided by other entities; and
• The name and contact information of who residents can contact with questions or concerns about the services of the district when district personnel is otherwise unavailable or unreachable.

The bill also specifies that the following information must be provided on the home page of the metropolitan district's website:

Current law requires that each owner of real property that sells real property that includes a newly constructed residence and that is in the boundaries of a metropolitan district must provide certain disclosures to purchasers of the property including access to the annually required notice to electors and the metropolitan district's service plan; information on the authority the metropolitan district has to issue debt, levy property taxes, and impose fees, rates, tolls, penalties, or other charges; an estimate of property taxes levied by the metropolitan district for collection during the year the sale occurs; and a copy of the most current certificate of taxes due or tax statement to provide an estimate of the sum of additional mill levies levied by other taxing entities that overlap the property. The bill requires this disclosure to be made by all owners of any residential real property, regardless of whether it is new construction, that is located within the boundaries of a metropolitan district organized after January 1, 2000.

The bill also requires an owner of residential real property that is located within the boundaries of a metropolitan district organized after January 1, 2000, that sells the property to provide a hard copy of the explanation of what metropolitan districts are generally and how the metropolitan district operates that is required to be provided on the metropolitan district's website.

• This Unofficial Version Includes Committee

• Amendments Not Yet Adopted on Second Reading

• Page 3, Line 1Be it enacted by the General Assembly of the State of Colorado:

• Page 3, Line 2SECTION 1.  In Colorado Revised Statutes, 32-1-104.5, amend

• Page 3, Line 3(3)(a)(V) and (3)(a)(VIII); and add (3)(a)(X), (3)(a)(XI), (3)(a)(XII), (3)(a)(XIII), (3)(a.5), and (4) as follows:

• Page 3, Line 432-1-104.5.  Audit and budget requirements - election results

• Page 3, Line 5- description on state websites - official websites for metropolitan

• Page 3, Line 6districts - requirement for designated contact person. (3) (a)  Except

• Page 3, Line 7as provided in subsection (3)(d) of this section, within one year of the

• Page 3, Line 8date an order and decree has been issued by a district court for a newly

• Page 3, Line 9organized metropolitan district, or by January 1, 2023, for any

• Page 3, Line 10metropolitan district that has received an order and decree from the

• Page 3, Line 11district court in connection with its organization after January 1, 2000, but

• Page 3, Line 12before January 1, 2022, the metropolitan district shall establish, maintain,

• Page 4, Line 1and, unless otherwise specified, annually update an official website in a

• Page 4, Line 2form that is readily accessible to the public that contains the following information:

• Page 4, Line 3(V)  By January 30 of each year, the date, time, and location of

• Page 4, Line 4scheduled regular meetings of the district's board for the current fiscal

• Page 4, Line 5year and the date, time, and location of the annual meeting, if applicable, required by section 32-1-903 (6);

• Page 4, Line 6(VIII)  A current map depicting the boundaries of the metropolitan district as of January 1 of the current fiscal year; and

• Page 4, Line 7(X)  A general explanation in plain, nontechnical

• Page 4, Line 8language, about what a metropolitan district is, the public

• Page 4, Line 9improvements and services it provides, the amount of debt it can

• Page 4, Line 10incur to provide and pay for public infrastructure, what

• Page 4, Line 11revenue may be used to repay such debt, the maximum mill levy

• Page 4, Line 12it may assess to repay such debt, and how a resident can serve on the board of the metropolitan district;

• Page 4, Line 13(XI)  The names of the governmental entities that overlap the metropolitan district's boundaries;

• Page 4, Line 14(XII)  The name of the county or the municipality with

• Page 4, Line 15which the metropolitan district must file its annual report and

• Page 4, Line 16which may request that money of the metropolitan district be

• Page 4, Line 17withheld pursuant to section 32-1-209 if the annual reporting requirements are not met; and

• Page 4, Line 18     (XIII)  Information regarding the system or process for

• Page 4, Line 19contacting someone associated with the metropolitan district

• Page 4, Line 20during regular business hours and outside of regular business

• Page 4, Line 21hours or when metropolitan district personnel are otherwise

• Page 5, Line 1unavailable or unreachable as required by subsection (4) of this section.

• Page 5, Line 2(a.5)  Information that is required by subsections (3)(a)(I),

• Page 5, Line 3(3)(a)(V), (3)(a)(VI), (3)(a)(XI), and (3)(a)(XIII) of this section must

• Page 5, Line 4be provided on the home page of the metropolitan district's

• Page 5, Line 5website; except that information about the annual meeting must

• Page 5, Line 6be either posted on the home page or accessible by a link on the home page in accordance with section 32-1-903 (6)(c).

• Page 5, Line 7(4)  A metropolitan district that is required to establish

• Page 5, Line 8and maintain an official website pursuant to subsection (3) of

• Page 5, Line 9this section shall establish a system or process for residents

• Page 5, Line 10to contact someone associated with the metropolitan district

• Page 5, Line 11who can address any questions or concerns of a resident

• Page 5, Line 12regarding the metropolitan district during regular business

• Page 5, Line 13hours. The metropolitan district shall also establish a system

• Page 5, Line 14or process for residents to contact someone associated with the

• Page 5, Line 15metropolitan district outside of regular business hours or

• Page 5, Line 16during any times when metropolitan district personnel are

• Page 5, Line 17otherwise unavailable or unreachable to address matters of an

• Page 5, Line 18emergent nature that cannot wait until regular business hours resume.

• Page 5, Line 19SECTION 2.  In Colorado Revised Statutes, 32-1-202, amend (2)(n); and add (2)(o) as follows:

• Page 5, Line 2032-1-202.  Filing of service plan required - report of filing - contents - fee. (2)  The service plan shall contain the following:

• Page 5, Line 21(n)  For a metropolitan district that submits a service plan to one

• Page 5, Line 22or more boards of county commissioners pursuant to this section on or

• Page 6, Line 1after January 1, 2024, the maximum debt that may be issued by the

• Page 6, Line 2district, as determined by the board of county commissioners of each county that is approving the service plan; and

• Page 6, Line 3(o)  For a metropolitan district that submits a service plan

• Page 6, Line 4to one or more boards of county commissioners pursuant to this

• Page 6, Line 5section on or after January 1, 2025, the maximum term for

• Page 6, Line 6imposition of a debt service mill levy on any property developed

• Page 6, Line 7for residential purposes after the initial year of imposition of

• Page 6, Line 8such debt service mill levy, as determined by the board of

• Page 6, Line 9county commissioners of each county that is approving the service plan.

• Page 6, Line 10SECTION 3.  In Colorado Revised Statutes, 32-1-903, amend (6)(c); and add (6)(a.5) as follows:

• Page 6, Line 1132-1-903.  Meetings - definitions. (6) (a.5)  The board shall

• Page 6, Line 12ensure that at an annual meeting that is held in person and is

• Page 6, Line 13held in a year immediately preceding a year in which a regular

• Page 6, Line 14special district election will be held, self-nomination and

• Page 6, Line 15acceptance forms as provided in section 1-13.5-303 are available

• Page 6, Line 16to residents in paper form. The board shall make reasonable

• Page 6, Line 17efforts to ensure that residents are advised that, in accordance

• Page 6, Line 18with section 1-13.5-303 (1) and 1-13.5-303 (4), self-nomination and

• Page 6, Line 19acceptance forms are to be filed with the designated election

• Page 6, Line 20official or, if none has been designated, with the presiding

• Page 6, Line 21officer or the secretary of the board no earlier than January

• Page 6, Line 221 and no later than the normal close of business on the

• Page 6, Line 23sixty-seventh day before the date of a regular special district

• Page 6, Line 24election.

• Page 7, Line 1(c)  Notice of the time and location of an annual meeting required

• Page 7, Line 2by this subsection (6) must be provided in accordance with subsection (2)

• Page 7, Line 3of this section and by mailing the notice, at the lowest cost option,

• Page 7, Line 4to each address of eligible electors within the metropolitan

• Page 7, Line 5district as listed on the list provided by the county assessor as

• Page 7, Line 6of the date that is no more than ninety days prior to the annual

• Page 7, Line 7meeting or by email to any email addresses of eligible electors

• Page 7, Line 8within the metropolitan district that eligible electors have

• Page 7, Line 9provided to the metropolitan district for purposes of receiving

• Page 7, Line 10communications from the metropolitan district, and must be

• Page 7, Line 11either posted on the home page of the metropolitan district's website

• Page 7, Line 12or accessible by a link on the home page of the metropolitan district.

• Page 7, Line 13SECTION 4.  In Colorado Revised Statutes, 38-35.7-110, amend

• Page 7, Line 14(2) introductory portion and (2)(d); repeal (1); and add (2)(c)(V) as follows:

• Page 7, Line 1538-35.7-110.  Disclosure - estimated future property taxes for

• Page 7, Line 16residences within the boundaries of a metropolitan district - rules -

• Page 7, Line 17definition. (1)  As used in this section, "newly constructed residence"

• Page 7, Line 18means a residential improvement as defined in section 39-1-102 (14.3) that:

• Page 7, Line 19(a)  Has not been previously sold to its intended occupant as a place of residence; and

• Page 7, Line 20(b)  Is located within the territorial boundaries of a metropolitan district.

• Page 7, Line 21(2)  On and after January 1, 2022, each an owner of residential

• Page 7, Line 22real property that is located within the boundaries of a

• Page 8, Line 1metropolitan district organized on or after January 1, 2000,

• Page 8, Line 2that sells real the property, that includes a newly constructed residence,

• Page 8, Line 3concurrently with or prior to the execution of a contract to sell the property, shall provide to the purchaser of the property:

• Page 8, Line 4(c)  A statement in writing disclosing that:

• Page 8, Line 5(V)  Actions by the metropolitan district pursuant to its

• Page 8, Line 6authority to issue debt, impose mill levies, and impose fees, rates,

• Page 8, Line 7tolls, penalties, or other charges may increase costs to residents living in the metropolitan district.

• Page 8, Line 8(d) (I)   An estimate of the dollar amount of property taxes

• Page 8, Line 9levied by the metropolitan district that are applicable to the property for

• Page 8, Line 10collection during the year in which the sale occurs, which estimate must

• Page 8, Line 11include any debt service mill levies that are specified in subsection

• Page 8, Line 12(2)(c)(II) of this section and any mill levies for general operating

• Page 8, Line 13expenses that are specified in subsection (2)(c)(III) of this section, shown

• Page 8, Line 14both as the total mill levy as well as the total dollar amount that could be

• Page 8, Line 15collected based upon the purchase price of the property, the residential

• Page 8, Line 16assessment rate, and mill levies that are in effect in the district at the time of the sale; and

• Page 8, Line 17(II)  A seller has complied with subsection (2)(d)(I) of this section

• Page 8, Line 18if the seller provides to the purchaser the mill levy, the residential

• Page 8, Line 19assessment ratio, and a formula by which the purchaser may calculate the estimated property taxes on the property for the current year.

• Page 8, Line 21SECTION 5.  Act subject to petition - effective date. This act

• Page 8, Line 22takes effect at 12:01 a.m. on the day following the expiration of the

• Page 8, Line 23ninety-day period after final adjournment of the general assembly; except

• Page 9, Line 1that, if a referendum petition is filed pursuant to section 1 (3) of article V

• Page 9, Line 2of the state constitution against this act or an item, section, or part of this

• Page 9, Line 3act within such period, then the act, item, section, or part will not take

• Page 9, Line 4effect unless approved by the people at the general election to be held in

• Page 9, Line 5November 2026 and, in such case, will take effect on the date of the official declaration of the vote thereon by the governor.