Second Regular Session Seventy-third General Assembly STATE OF COLORADO REENGROSSED This Version Includes All Amendments Adopted in the House of Introduction LLS NO. 22-0337.01 Richard Sweetman x4333 HOUSE BILL 22-1092 House Committees Senate Committees Agriculture, Livestock, & Water A BILL FOR AN ACT C ONCERNING THE ISSUANCE OF LOANS BY IRRIGATION DISTRICTS TO101 LANDOWNERS FOR CERTAIN PURPOSES .102 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 .) Section 1 of the bill allows a board of directors of an irrigation district (board) to borrow money, which the irrigation district may use to make loans to landowners to be used to make improvements to private water delivery systems or for other types of projects that improve: ! Water conservation or efficiencies on landowner property; or HOUSE 3rd Reading Unamended March 3, 2022 HOUSE Amended 2nd Reading March 2, 2022 HOUSE SPONSORSHIP Soper and Roberts, Boesenecker, Duran, Hooton, Jodeh, Kennedy, Lontine, Lynch, McCluskie, McCormick, McLachlan, Ricks, Titone, Valdez D. SENATE SPONSORSHIP Bridges and Coram, Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment. Capital letters or bold & italic numbers indicate new material to be added to existing statute. Dashes through the words indicate deletions from existing statute. ! Landowner delivery or drainage systems. An obligation or contract to borrow such money is exempt from the existing requirement that a contract purporting to bind the district to pay any sum in excess of $500,000 must be ratified by a majority of all the votes cast at a general or special election. Additionally, the district cannot assess landowners to raise money to fund the loans. A board may adopt rules concerning the issuance of loans to landowners. Section 2 requires each irrigation district to include in its annual appropriation resolution all amounts payable by landowners to the irrigation district in accordance with loans issued to the landowners and indicate the amount payable by each tract within the irrigation district for which a landowner has received a loan. Section 3 requires a county assessor, in assessing land within an irrigation district, to: ! Apply the information provided in the irrigation district's annual appropriation resolution concerning loans issued to landowners; and ! Assess the additional amount payable for each tract for which the landowner has received a loan. Be it enacted by the General Assembly of the State of Colorado:1 SECTION 1. In Colorado Revised Statutes, 37-42-113, add (5)2 as follows:3 37-42-113. Powers of district - loans for improvements.4 (5) (a) T HE BOARD OF DIRECTORS MAY ENTER INTO ANY OBLIGATION OR5 CONTRACT TO BORROW MONEY , WHICH THE IRRIGATION DISTRICT MAY USE6 TO ISSUE LOANS TO LANDOWNERS :7 (I) T O MAKE IMPROVEMENTS TO PRIVATE WATER DELIVERY8 SYSTEMS; OR9 (II) F OR OTHER TYPES OF PROJECTS THAT IMPROVE :10 (A) W ATER CONSERVATION OR EFFICIENCIES ON LANDOWNER11 PROPERTY; OR12 (B) L ANDOWNER DELIVERY OR DRAINAGE SYSTEMS .13 (b) A N OBLIGATION OR CONTRACT TO BORROW MONEY DESCRIBED14 1092-2- IN SUBSECTION (5)(a) OF THIS SECTION IS NOT SUBJECT TO THE1 REQUIREMENTS OF SUBSECTION (1)(c) OF THIS SECTION.2 (c) T HE BOARD SHALL NOT ASSESS DISTRICT LAND IN ORDER TO3 RAISE MONEY TO ISSUE LOANS PURSUANT TO THIS SUBSECTION (5).4 H OWEVER, THE BOARD, IN ITS DISCRETION, MAY USE OTHER SOURCES OF5 MONEY FOR THE PURPOSE OF ISSUING LOANS AS DESCRIBED IN THIS6 SUBSECTION (5).7 (d) IN CASE OF DEFAULT IN THE PAYMENT OF ANY INSTALLMENT OF8 PRINCIPAL OR INTEREST WHEN DUE, THE COUNTY TREASURER MAY ASSESS9 UPON THE ELIGIBLE REAL PROPERTY A TAX LIEN FOR THE PAYMENT OF THE10 WHOLE OF THE UNPAID INSTALLMENT OF PRINCIPAL AND INTEREST; EXCEPT11 THAT, THE COUNTY TREASURER SHALL NOT ASSESS A TAX LIEN FOR THE12 ENTIRE VALUE OF THE LANDOWNER'S PORTION OF THE IRRIGATION LOAN13 ISSUED BY THE WATER DISTRICT.14 (e) THE BOARD MAY ADOPT RULES CONCERNING THE ISSUANCE OF15 LOANS TO LANDOWNERS PURSUANT TO THIS SUBSECTION (5).16 SECTION 2. In Colorado Revised Statutes, 37-42-125, add (3)17 as follows:18 37-42-125. Fiscal year - appropriation resolution. (3) T HE19 ANNUAL APPROPRIATION RESOLUTION DESCRIBED IN SUBSECTION (2) OF20 THIS SECTION MUST INCLUDE THE AMOUNT OF MONEY NEEDED TO MEET21 LOAN OBLIGATIONS AND ALL AMOUNTS PAYABLE BY LANDOWNERS TO THE22 IRRIGATION DISTRICT IN ACCORDANCE WITH LOANS ISSUED TO THE23 LANDOWNERS PURSUANT TO SECTION 37-42-113 (5) AND SHALL INDICATE24 THE AMOUNT PAYABLE BY EACH TRACT WITHIN THE IRRIGATION DISTRICT25 FOR WHICH A LANDOWNER HAS RECEIVED A LOAN .26 27 1092 -3- SECTION 3. In Colorado Revised Statutes, 37-42-128, amend1 (7) as follows:2 37-42-128. Collection of assessments. (7) THE COUNTY3 TREASURER SHALL RECEIVE IN THE COUNTY TREASURER 'S OFFICIAL4 CAPACITY all such district assessments collected and paid to the county5 treasurer, shall be received by said treasurer in his official capacity, and6 he shall be THE COUNTY TREASURER IS responsible for the safekeeping,7 disbursement, and payment thereof the same OF SUCH ASSESSMENTS as for8 WELL AS other moneys MONEY collected by him as such THE COUNTY9 treasurer. The county treasurer shall receive for the collection of such10 assessments such amount as the board of directors may allow, as provided11 in section 30-1-102; C.R.S. EXCEPT THAT THE TREASURER SHALL RECEIVE12 FIVE DOLLARS PER TRACT ASSESSED PURSUANT TO SECTION 37-42-125 (3)13 FOR LOANS ISSUED TO LANDOWNERS PURS UANT TO SECTION 37-42-113 (5),14 AND THIS FIVE DOLLARS SHALL BE ASSESSED AGAINST EACH15 PARTICIPATING TRACT. Any assessment collected and paid to the county16 treasurer for districts that are defunct or have not been in operation for17 five or more years shall be transferred by the county treasurer to the18 county general fund.19 SECTION 4. Act subject to petition - effective date. This act20 takes effect at 12:01 a.m. on the day following the expiration of the21 ninety-day period after final adjournment of the general assembly; except22 that, if a referendum petition is filed pursuant to section 1 (3) of article V23 of the state constitution against this act or an item, section, or part of this24 act within such period, then the act, item, section, or part will not take25 effect unless approved by the people at the general election to be held in26 1092 -4- November 2022 and, in such case, will take effect on the date of the1 official declaration of the vote thereon by the governor.2 1092 -5-