A Bill for an Act
Page 1, Line 101Concerning authorization for the state treasurer to invest
Page 1, Line 102state money for the creation of affordable for-sale
Page 1, Line 103housing in the state.
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.)
The bill authorizes the state treasurer to invest up to $50 million of state money in bonds that may have below-market interest rates that are issued by a quasi-governmental entity if the proceeds of the bonds are used for the creation of affordable for-sale housing that otherwise would not be created without the state's investment. Money from redemption of such bonds may be reinvested by the state treasurer for the same purpose.
Page 2, Line 1Be it enacted by the General Assembly of the State of Colorado:
Page 2, Line 2SECTION 1. Legislative declaration. (1) The general assembly finds and declares that:
Page 2, Line 3(a) The creation of affordable homeownership opportunities is
Page 2, Line 4essential to ensure the health of Colorado's workforce and the vitality of Colorado's community and thereby serves a public purpose; and
Page 2, Line 5(b) Affordable homeownership opportunities provide housing stability for Colorado's workforce and facilitate intergenerational wealth.
Page 2, Line 6(2) The general assembly further find and declares that there are
Page 2, Line 7fewer sources of public subsidies available for affordable homeownership as opposed to affordable rental housing.
Page 2, Line 8(3) It is therefore the intent of the general assembly to create an
Page 2, Line 9avenue for the state to invest, and reinvest, state money for the creation
Page 2, Line 10of affordable for-sale housing, thereby creating affordable homeownership opportunities within the state.
Page 2, Line 11SECTION 2. In Colorado Revised Statutes, 24-36-113, add (8) as follows:
Page 2, Line 1224-36-113. Investment of state money - limitations.
Page 2, Line 13(8) (a) Subject to the requirements set forth in subsection (8)(b)
Page 2, Line 14of this section, the state treasurer may invest money in bonds
Page 2, Line 15that are issued by quasi-governmental authorities for the
Page 2, Line 16purpose of creating affordable for-sale housing within the
Page 2, Line 17state. Notwithstanding subsection (1)(a) of this section, an
Page 2, Line 18investment allowed pursuant to this subsection (8) may have a
Page 2, Line 19below-market rate of interest.
Page 3, Line 1(b) (I) An investment made as authorized by subsection
Page 3, Line 2(8)(a) of this section must create affordable for-sale housing
Page 3, Line 3within the state that, without such investment, would not otherwise be created.
Page 3, Line 4(II) The initial investment of money that is invested in
Page 3, Line 5accordance with this subsection (8) must not exceed fifty million dollars.
Page 3, Line 6(III) Any assets constructed using proceeds of bonds
Page 3, Line 7invested in pursuant to subsection (8)(a) of this section must be
Page 3, Line 8insured by an industry-recognized entity at levels consistent
Page 3, Line 9with the state treasurer's investment policies and have
Page 3, Line 10reasonable levels of liquidity consistent with the state treasurer's investment policies.
Page 3, Line 11(IV) The state treasurer may reinvest money received
Page 3, Line 12from redemption of an investment made pursuant to this subsection (8) in accordance with this subsection (8).
Page 3, Line 13SECTION 3. Act subject to petition - effective date. This act
Page 3, Line 14takes effect at 12:01 a.m. on the day following the expiration of the
Page 3, Line 15ninety-day period after final adjournment of the general assembly; except
Page 3, Line 16that, if a referendum petition is filed pursuant to section 1 (3) of article V
Page 3, Line 17of the state constitution against this act or an item, section, or part of this
Page 3, Line 18act within such period, then the act, item, section, or part will not take
Page 3, Line 19effect unless approved by the people at the general election to be held in
Page 3, Line 20November 2026 and, in such case, will take effect on the date of the official declaration of the vote thereon by the governor.