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HomeMy WebLinkAbout1975-11-12 (Regular) Meeting Agenda Packet [DRAFT],. -• - .. • • • • - • • • • ' ' Draft of 11/12/75 RESOURCE RECOVERY DISTRICT OF METROPOLITAN DENVER ACT 32-12-101. 32 -12-102. 32-12-103. 32-12-104. 32-12-105. 32-12-106. 3 2 -12-107. 32-12-201. 32-12-202. 32-12-203. 12-12-204. 32-12-205. 32-12-206. 32-12-207. 32-12-208. 32-12-209. 32-12-210. 32-12-211. 32-12-212. 32-12-213. 32-12-214. 32-12-215. 32-12-216. 32-12-217. 32-12-218. 32-12-219. 32-12-220. 32-12-221. 32-12-222. 32-12-223. Part 1 General Provisions Short title Legislative determination. Public purpose. Definitions. Rules of Construction. Liberal construction. Sufficiency of article. Part 2 Administration Creation of district. Boundaries of district. Board of directors. Regular appointments . Initial appointments. Filling vacancies. Organizational meetings. Fidelity bonds. Board's administrative powers. Additional administrative powers. Records of board. Meetings of board. Compensation of directors. Conflicts in interest prohibited. Authorization of facilities. Implementing powers. Additional powers of district. Financial powers of district. Miscellaneous powers. Cooperative powers. Other supplemental powers. Approval of other facilities. Powers of public bodies. Part 3 Taxation and Service Charges 32-12-301. 32-12-302. 32-12-303. 32-12-30 4. 32-12-305. 32-12-306. 32-12-401. 32-12-402. 32-12-403. 32-12-404. 32-12-405 . 32-12-406. 32-12-407. 32-12-408. Levy and collection of taxes. Levies to cover deficiencies. Sinking funds. Levying and collecting taxes. Delinquent taxes. Service charges. Pa rt 4 Elec tions Election s . Election resolution. Conduct of e l ection. Notice of election. Polling places. Election supplies . Election returns. Bond election contests. -i- • • , • • ' • • ' ' Part 5 Indebtedness and Financial Provisions 32-12-501. 32-12-502. 32-12-503. 32-12-504. 32-12-505. 32-12-506. 32-12-507. 32-12-508. 32-12-509. 32-12-510. 32-12-511. 32-12-512. 32-12-513. 32-12-514. 32-12-515. 32-12-516. 32-12-517. 32-12-518. 32-12-519. 32-12-520. 32-12-521. 32-12-522. 32-12-523. 32-12-524. 32-12-525. 32-12-526. 32-12-527. 32-12-528. 32-12-529. 32-12-530. 32-12-531. 32-12-532. 32-12-533. 32-12-534. 32-12-535. 32-12-536. 32-12-537. 32-12-538. 32-12-539. 32-1.2-540. 32-12-541. 32-12-542. 32-12-543. 32-12-544. 32 -12-54 5. 32-12-546. 32-12-547. 32-12-548. 32-1 2-5 49. 32-12-550. 32-12-551. 32-12-552. 32-12-553. 32-12-55 4. 32 -12-555 . 32-12-556 . 32-12-557. 32-12-558. 32-12-559. Forms of borrowing. Limitations upon security. Recourse against district personnel. Repeal of act. Registration of securities. Details of securities. Recital of issuance under act. Additional securities details. Payment without further order. Interest coupons. Execution of securities. Use of facsimiles. Execution by incumbents. Execution with predecessor's facsimile. Repurchase of securities. Use of securities proceeds. Use of surplus proceeds Validity of securities unaffected by project. Employment of experts. Investments and reinvestments. Rights and remedies cumulative. Continuation of liabilities. Temporary bonds. Statement of purpose. Prior redemption calls. Surrender of district securities by state. Notes and warrants. General obligation securities. Special obligation securities. Covenant to pay operation and maintenance expenses. Securities constituting indebtedness. Securities not constituting indebtedness. Election to authorize debt. Limitations upon incurring debt. Interest and prior redemption charges. Recitals in securities. Consolidated bond fund. Securities tax levies. Initial levies. Payments from general fund. Use of other moneys. Appropriation of taxes. Speci al obligation limitations. Purchase price and interest. Public and private sales. Notice of public sale. Contents of sale notice. Bid requirements. Acceptance of best bid. Rej ection of bids. Bond maturities. Prior redemption provisions. Spec~ 1 funds and accounts • Covenants and other provisions. Liens on pledged revenues. R~ghts and powers of securities holders. Receivers. Issuance of interim debentures. Limit tions upon funding and refunding s curities. -ii- • • , - - • • ' • ' 32-12-560. 32-12-561. 32-12-562. 32-12-563. 32-12-564. 32-12-565. 32-12-566. 32-12-567. 32-12-568. 32-12-569. 32-12-570. 32-12-571. 32-12-601. 32-12-602. 32-12-603. 32-12-604. 32-12-605. 32-12-606. 32-12-701. 32-12-702. 32-12-703. 32-12-704. 32-12-705. 32-12-706. 32-12-707. 32-12-708. 32-12-709. 32-12-710. 32-12-711. 32-12-712. 32-12-713. 32-12-714. 32-12-715. 32-12-716. 32-12-717. • • Interim debenture details. Payment of interim debentures. Funding interim debentures. Funding bonds. Refunding bonds. Method of issuing refunding bonds. Conditions for refunding. Disposition of refunding bond proceeds. Administration of escrow or trust. Security for payment of refunding bonds. Combination of bond purposes. Applicability of other statutory provisions. Part 6 Annexation Annexation of lands to district. Petition of fee owners. Petition of electors. Annexation election. Annexation initiated by board. General provisions about annexations. Part 7 Miscellaneous Budgets, accounts and audits. Effect of extraterritorial functions. Early hearings. Decision of board final. Correction of faulty notices. Correction of errors in proceeding. Retention of jurisdiction. Conclusiveness of board's determination. Investments by public bodies. Investments by other persons. Delegated powers. Confirmation of contract proceedings. Tax exemptions. Freedom from judicial process. Misdemeanors. Civil rights. Exemption of district. Section 1 of the bill for the act sets forth the fore- going sections as a new article 12 to title 32, Colorarlo Revised Statutes 1973. Section 2 of the bill provides that the act shall take effect 7 days after its approval. Section 3 of th bill is a standard "safety clause" whereby th e g neral assembly finds, determines, and declares that the act is nee ssary for h imm diate preservation of the public peace , health, and safety . -iii- ---..-.. .) • • ' - • • ' • • ' • BY ________________________ __ __ _______ BILL NO. A BILL FOR AN ACT DESIGNATED AS THE RESOURCE RECOVERY DISTRICT OF METROPOLITAN DENVER ACT; AMENDING TITLE 32, COLORADO REVISED STATUTES 1973, AS AMENDED, BY ADDING A NEW ARTICLE DESIGNATED 12, RELATING TO SOLID WASTE DISPOSAL, RESOURCE RECOVERY, AND THE CONSERVATION OF NATURAL RESOURCES; CREATING THE "RE- SOURCE RECOVERY DISTRICT OF METROPOLITAN DENVER;" STATING LEGISLATIVE FINDINGS AND DETERMINATIONS, A PUBLIC PURPOSE, AND DEFINITIONS; PROVIDING FOR SOLID WASTE DISPOSAL AND RESOURCE RECOVERY PROJECTS AND FOR THE CONDEMNATION, CON- STRUCTION, AND OTHER ACQUISITION, IMPROVEMENT, EQUIPMENT, REPAIR, OPERATION, MAINTENANCE, AND DISPOSAL OF FACILITIES AND PROPERTIES RELATING THERETO; PROVIDING FOR A GOVERNING BODY, OFFICERS, EMPLOYEES, AND OTHER AGENTS FOR THE GOVERN- MENT OF THE DISTRICT; CONCERNING THE ANNEXATION OF ADDI- TIONAL AREAS TO THE DISTRICT AND OTHER MODIFICATIONS OF ITS BOUNDARIES; PROVIDING FOR THE ISSUANCE OF BONDS AND OTHER SECURITIES BY THE DISTRICT; PROVIDING FOR GENERAL (AD VALOREM) TAXES, AND SERVICE AND OTHER CHARGES FOR THE DISTRICT, AND OTHERWISE CONCERNING SUCH PROPERTY TAXES AND OTHER REVENUES OF THE DISTRICT; STATING OTHER PROVISIONS PERTAINING TO SUCH FACILITIES, LOANS, SECURITIES, PRO- PERTY TAXES, OTHER REVENUES, AND FINANCES; PROVIDING FOR AGREEMENTS SECURING FEDERAL AND STATE AID AND COMPLYING WITH CONDITIONS IMP OSED IN CO NNECTION THEREWITH, AND FOR OT HER TYPES OF AGREEMENTS; OT HERWISE STATIN G POWERS, DUTIES, PRIVILEGES, IMMUNITIES, RIGHTS, LIABILITIES, AND DISABILITIES CONCERNING THE DISTRICT AND IN CONNECTION THEREWITH OTHER GOVERNMENTAL BODIES, INCLUDING ANY FEDERAL OR STATE AGENCY, INSTRUMENTALITY, OR CORPORATION, OR ANY -1- ' • • f ...... • • • • • • POLITICAL SUBDIVISION OF THE STATE, AND ANY CORPORATION OR OTHER PERSON; CONCERNING OTHER MATTERS RELATING THERE- TO; PROVIDING MISDEMEANORS, PENALTIES THEREFOR, AND CIVIL RIGHTS FOR DAMAGES; DECLARING AN EMERGENCY; AND PROVIDING THE EFFECTIVE DATE HEREOF. Be it enacted ~ the General Assembly of the State of Colorado: SECTION 1. Title 32, Colorado Revised Statutes 1973, as amended, is amended BY THE ADDITION OF A NEW ARTICLE to read: ARTICLE 12 RESOURCE RECOVERY DISTRICT OF METROPOLITAN DENVER ACT PART I GENERAL PROVISIONS 32-12-101. Short title. This act shall be known and may be cited as the "Resource Recovery District of Metropolitan Denver Act." 32-12-102. Legislative determination. (1) The general assembly hereby finds, determines, and declares: (2) All property to be acquired by the district hereunder shall be owned, operated, admi ni s t e r e d, and maintained for and on behalf of all of t h e peopl e o f t he district. (3) The cre ation of the district hereby enhances the beauty and quality of our environment, c ons e rves and recycles our natural resources, pre vents the sp read o f diseas e and the creation of nui s anc e s , promote s the he alth, comfort, safety, convenience, a n d we lfa r e o f all t he pe opl e of the state , and is of speci a l bene fit to th e inhabi tant s of the d is tri ct and the property therein . (4 ) The provision in this article of the p u rposes , p ow e r s , duties , privil ges , immunitie s , rights , liabilities , and d isab il- ities concerning the district will serve a p u blic u se • -2- • . ' • • t ...... • • ' • (5) The district created hereby is a body corporate and politic, a political subdivision of the state, and a municipal corporation with the powers provided in this article. (6) Any notice provided for in this article for any pur- pose is reasonably calculated to inform each person of interest in any proceedings hereunder which may directly and adversely affect his legally protected interests . (7) The n ecessity for this article results from: (a) The economics and population growth and the improvements in the standard of living of the population in the urban area included within the district in which is located a major por- tion of the state's population; (b) The numerous capital improvements and large amount of improved real property situated within such urban area; (c) The continuing technological progress and improvements in methods of manufacture, packaging, and marketing consumer products, resulting in a large increase in the mass of ma- terial discarded by the users of such products in the dis- trict; (d) The inc r eased industrial production in the district, together with related commercial and agricultural operations, to meet the needs of the individuals within the district; (e) The varied and relatively uncoordinated solutions by public bodies and other persons in the district in the dis- posal of solid waste; (f) The failure or inability before the adoption of this article for p rsons economical ly to recover material and energy resources from solid waste, resulting in the unnessary and sub- stantial waste and depl tion of natural resources in the district; (g) Th progr ssive incr ase in the use of nurn rous 1 nd- fills in the distric and its environs for the disposal of solid waste, h progr ssiv reduction in the are s therein suitab l for such us c , resulting in a progressive increas in r nspor at on and oth r co ts in the disposal of solid waste; -3- ' • • ....... ....... • • ' • • • • (h) Inefficient and improper methods of managing solid waste, creating hazards to public health, causing pollution of air and water resources, constituting a waste of natural resources, having an adverse effect on land values, and creating public nuisances: (i) The division of the urban area in the district into large areas of incorporated areas and unincorporated areas, and the fragmentation and prolif&ration of powers, rights, privileges, and duties pertaining to solid waste disposal . within such urban area among a substantial number of public bodies: (j) The inability of such public bodies and other persons to achieve the economies of scale available to the district in the acquisition of capital improvements and their operation for the recovery of natural resource s and thereby for the disposal of solid waste, which, in turn, shall materially abate such waste and depletion of natural resources, such hazards to public health, such pollution of air and water resources, the depres- sion of land values, and the creation of such public nuisances. (8) A general law cannot be made applicable to the district, and to properties, powers, duties, privileges, immunities, rights, liabilities, and disabilities pertaining thereto as herein provided, becaus e of the number of ~typical factors and special conditions concerning them. (9) The district shall coordinate its activities in the recovery of natural resources and the disposal of solid waste with activities of private persons relating thereto, so a s to achieve the basic objectives of this article through pri- vate enterprise to the extent practicable, but within the restrictions of constitutional limitations pertaining thereto. (10) The powers , privileges , and rights herein granted and the duties, immunities, liabilities, and disabilities h r in -4- • . • • t - • • ' • • "' . • • provided comply in all respects with any requirement or limita- tion imposed by any constitutional provision. (11) For the accomplishment of the purposes provided in this section the provisions of this article shall be broadly construed. 32-12-1 03 . Public purpo se . The exercise of any power authorized in this article by the board upon behalf of the district has been determined, and is hereby declared, to effect a public purpose; and any project authorized in this article shall effect a public purpose. 32-12-104. Definitions. As used in this article, unless the context otherwise requires: (1) "Acquire" or "acquisition" means the purchase, con- struction, reconstruction, lease, gift, transfer, assignment, option to purchase, other contract, grant from the federal government, any public body, or any other person, endowment, bequest, devise , installation, condemnation, and any other acquirement (or any combination thereof) of the facilities, other property, or any inte rest therein, authorized by this article. (2) "Board," or "board of directors," when not otherwise quali- fied, means the board of directors of the metropolitan district. (3) "Chairman," or "chairman of the board," or any phrase of similar import, means the de jure or de facto presiding off icer of the board and the metropolitan district, or his successor in functions , if any. (4) "Commercial bank" means a state or national bank or trust company which is a member of the federal deposit insurance corporation, including , without limitation, any "trust bank" as defined in this section. -5- •. • • - • • • • • (5) (a) "Condemn" or "condemnation" means the acquisition by the exercise of the power of eminent domain of any property for the facilities, or an interest therein, authorized in this article. The board may exercise on behalf of the district the power of eminent domain or dominant eminent domain within or without or both within and without the district in the manner provided in articles 1 to 7 of title 38, C.R.S. 1973, except ·as otherwise provided in this article. The district may take any property necessary to carry out any of the objects or pur- poses hereof, whether such property is already devoted to the same use by any person, other than the federal government in the absence of its consent to any such taking, and may condemn any existing works or improvements of any such person in the district. (b) The power of eminent domain vested in the board shall include the power to condemn, in the name of the district, either the fee simple or any lesser estate or interest in any real property which the board by resolution determines is necessary for carrying out the purposes of this article. Such resolution is prima facie evidence that the taking of the fee simple, easement, or other lesser estate or interest, as the case may be, is necessary. (c) The district shall not abandon any condemnation proceed- ings subsequent to the date upon which it has taken possession of the property being acquired. (d) If any project herein authorized, or any part thereof, makes necessary the removal and relocation of any public utility, whether on private or public right-of-way, or other- wise, the d~strict shall reimburse the owner of such public utility facility for the expense of such removal and reloca- tion, including the cost of any necessary land or rights in land. -6- I • • ' • • . • • (6} (a } "Corporate district" means any school district, j unior colle g e d i strict, conservancy district, drainage dis- trict, metropol i tan district, water district, sanitation dis- trct, water and sanitation district, mosquito control district, s treet imp rovement district, television relay and translator d istrict, publ i c improvement district, general improvement di~- t rict, metropolitan park district, metropolitan recreation and park district, metropolitan water district, hospital district, metropolitan sewage disposal district, urban drainage and flood control district, irrigation district, internal improve- ment district, water conservation district, water conservancy district, regional transportation district, or any other type district constituting a body corporate and politic and a poli- tical subdivision of the state. ' (b) "Corporate district" does not include a "district" or a "metropolitan district" as herein defined. (7} "Cost," or "cost of the project," or any phrase of similar import, means, in addition to the usual connotations thereof, all or any part of the cost of the acqui sition, i m- provement, and equipment (or any combination thereof} of all or any part of a project of the metropolitan district and of all or any property, rights, easements, licenses, privileges, franchises, and other agreements deemed by the district to be necessary or us e ful and convenient therefor or in connection therewi th, and all i n cid e ntal expe n se s p e rtaining thereto, in- elud i n g , without limitation , a t t h e op t i on of the b o ard, and as i t may f r om time to time d e t e rmi n e: (a} The cost of demolishing , removing , or r e l ocat i n g a ny • b ildings , structures , or other faciliti s o n l a nd acquired; (b) The cost of acqu iring any land s to which such bui ld i ngs, s t r uc tu res , o r o t h e r fa cili t ies may be moved or r e l oca t e d; • • • -7- ' • ...... • • • • • (c) The cost of equipment for the district, including any project; (d) The cost of installing or relocating or installing and relocating water lines, storm sewers, sanitary sewers, and other utility lines and services; (e) The costs of restoring any public street, highway, bridge, viaduct or other public right-of-way, stream of water, water course, ditch, flume, pipe line, any utility transmission_line, or other public facilities to their former state of usefulness as nearly as may be; (f) Condemnation costs, including all preliminary expenses and other incidental expenses pertaining to any condemnation; (g) The cost of preliminary plans, other plans, specifica- tions, studies, surveys, estimates of project cost , taxes, and revenues (or any combination thereof), econcomic feasibility reports, and any other expenses necessary or incident to deter- ming the feasibility or practicability of a project; (h) The cost of other estimates, appraising, printing, advice, inspection, and other services rendered by engineers, architects, finan cial consultants, attorneys at law, clerical help, and other employees and agents of the district, and other profes- sional costs; (i) Court costs and other legal expenses; (j) The cost of making, publ ishi ng, posting, mailing, and otherwise giving any not ice and of filing and recording instru- ments; (k) The cost of acquiring any real property, including any easem nt, other right or interest therein, and including the taking of any option; (1) The cost of cont1ngencies, operation and maintenance ex- penses, nd other e xpenses of th district prior to and during -8- ' • • - - • • ' • the acquisition, improvement, and equipment (or any combination thereof) of any facilities, or any properties or any interest therein pertaining to such facilities, and additionally during a period of not exceeding one year after the completion of the p roject, as may be estimated and determined by the board in any resolut ion authorizing the issuance of any district securities or other instrument pertaining thereto, or in any contract with any public body, the federal government, or otherwise; (m) Such provision or reserves or both provision and reserves for working capital, operation and maintenance expenses, replace- ment expenses, or for payment or security of principal of and interest on any district securities during and after the acqui- sition, improvement, and equipment (or any combination thereof) of any project, as the board may determine; (n) Reimbursements to the federal government, the state, or any other public body or other p ~r son of any moneys theretofore expended for the purposes of the district, including such ex- penditures for or in connection with a project; (o) The cost of funding any notes, warrants, or interim deben- tures as herein provided; (p) The preparation of budgets, including, without limitation, the procedure preliminary thereto; (q) The levy, collection, and disposition of taxes; (r) The fixing, collection, and disposition -of revenues; and (s) All such other e xpenses as may be necessary or incident to the financing, acquisition, improvement, equipment, and com- pletion of the facilities, any part thereof, or the placing of the same in operation. (8) (a) "County" means a county in the state of Colorado i n which is situated any property to wh ich the term "county" pertains, including, without limitation, the city and county of De nver; and if such property at any time hereafter is located -9- -----------------------------·------------. • • • ' - • • • • • in more than one county, "county" means each county in which the property is located, so including the city and county of Denver. (b) Whenever the term "county" is used in connection with an election held by the metropolitan district, or taxes levied by the district, or otherwise in connection therewith, the term "county" means each county which the district is located, includ- ing, without limitation, the city and county of Denver. (c) Where the context so indicates, "county" means the geo- graphical area of the county or part thereof designated in this article, including, without limitation, the city and county of Denver. (9) "County assessor" means the de jure or de facto county assessor of each such county, or his successor in functions, if any. (10) "County clerk" means the de jure or de facto county clerk of each such county, or his successor in functions, if any. (11) "County treasurer" means the de jure or de facto county treasurer of each such county, or his successor in functions, if any. (12) "Director" means a de jure or de facto member of the board. (13) "Disposal" or "dispose" means the sale, destruction, raz- ing, burn i ng, burying, loan, lease, grant, transfer, assignment, op tion to sell, other contract, or o ther d~sposition (or any combinat ion thereof) of solid wastes, other material, facilities, other property, or an interest therein, authorized in this article. (14) (a) "District" or "metropolitan district" means the R source Recovery District of Metropolitan Denver created by this article; and, where the contex t so indicates, "district" mean s the geographical area comprising the metropolitan dis- tric • -10- •. ' • • ' - • • • • (b) "District" or "metropolitan district" does not include the term "corporate district" as defined in this section. (15) "District securities" means bonds, temporary bonds, notes, warrants, and interim debentures evidencing loans to or money due from the metropolitan district and authorized to be issued pursuant to the provisions of this article. (16) (a) "Elector," or "elector of the district," or "elector of the metropolitan district," or words of similar import, means a person: (I) Who, at the designated time or event, is qualified to vote in general elections in this state; and (II) Who is a resident of the district or the area to be included in the district at such time or event. (b) Registration pursuant to the laws concerning general elec- tions or any other laws shall not be required. (17) "Equip" or "equipment" means the furnishing of all neces- sary or desirable, related, or appurtenant machinery, furnishings, apparatus, paraphernalia, and other gear, or any combintion thereof, pertaining to any property of the metropolitan district, or any interest therein, herein authorized, or otherwise relat- ing to the district's facilities. (18) (a) "Executive officer" means the de jure or de facto mayor, chairman of the board, president of th~ corporate district, or other titular head or chief official of a "public body" as defined in this section, or his successor in functions, if any. (b) "Executive officer" does not include a city manager, county manager, or other chief administrator of a public body who is not its titular head. (19) "Facilities" means "waste recovery system," as defined i n this section, of the m tropolitan district, consisting of -11- •. • • , - • • • all properties, real, personal, mixed, or otherwise, now owned or hereafter acquired by the district through purchase, construc- tion, or otherwise, and used in connection with such facilities of the district, and in any way pertaining thereto, whether si tuated within or without the limits of the district, or both within and without its limits. (b) The facilities of the distri ct may, as the board from time to time determines, consist of all or any combination of "waste disposal areas," "volume reduct ion plants," other "waste facilities," and other "waste recovery facilities" as such terms are defined in this section. (20) "Federal government" means the United States, or any department, agency, instrumentality, or corporation thereof. (21) "Federal securities" means bills, certificates of in- debtedness, notes, bonds, or similar securities which are direct obligations of the United States, or which securities are unconditionally and fully guaranteed thereby, both as to principal and interest. (22) "Fiscal year" for the purpose of this article means the twelve months commencing on the first day of January of any calendar year and ending on the last day of December of the same calendar year. (23) "Governing body" means the city council, city conunis- sion, board of commissioners, board of trustees, board of directors, or other legislative body of a public body desig- nated in this article in which legislative body the legislative powers of the public body are vested. (24) "Governor" means the de jure or de facto governor of the state of Colorado, or his successor in functions, if any. (25) (a) "Gross revenues" or "gross pledged revenues" means all the "revenues" derived directly or indirectly from lease pay- -12- ' • • , -• ments, "service charges," investment income, and other income sources by the metropolitan district from the operation and use of or otherwise pertaining to the facilities, or any part thereof, whether resulting from repairs, extensions, enlargements, better- ments, or other improvements to the facilities, or otherwise, and includes all "revenues" received by the district from the facili- ties, including, without limitation, all rentals, fees, rates, and other "service charges" for the use of the facilities, or for any service rendered by the district in the operation thereof, or any "revenues" from the lease, sale, or other disposal of any energy, materials, or other product derived from the operation of the district's "waste recovery system," or otherwise pertain- ing thereto, as received by the district and pledged wholly or in part for the payment of any district securities issued here- under, as such terms are defined in this section. (b) "Gross revenues" or "gross pledged revenues" does not include: (I) The proceeds derived from any taxes, (II) Any moneys borrowed and used for the acquisition of capital improvements for or other acquisition of the facilities, and (III) Any moneys received as grants, appropriations, or other gifts from the federal government, the state, or other sources, the use of which is limited by the grantor or donor to the con- struction of capital improvements for or other acquisition of the facilities, except to the extent any such moneys shall be rec ~ved as serv~ce or other charges for the use of or other- wise pertaining to the facilities. (26) "Holder," or any similar term, when used in conjunction with any coupons, any bonds, or any other designated district sec ur ~ties , means the person in possession and the apparent owner of the designated item if such obligation is registered to b arer or is not registered, or th term m ans the regis- -13- • • ]- • • • tered owner of any such security which is registrable for pay- ment if at the time it is registered for payment otherwise than to bearer. (27) "Improve" or "improvement" means the extension, enlarge- ment, betterment, alteration, reconstruction, replacement, and other major improvement (or any combination thereof) of the facilities, any property pertaining thereto, or an interest therein, authorized in this article. ( 28) (a) "Mailed notice," "notice by mail," or any phrase of similar import means the giving by the secretary, any deputy thereof, or other designated individual , as determined by the board or as otherwise provided in this article, of any desig- nated written or printed notice addressed to the designated person at his last-known address, by deposit at least seven days prior to the designated hearing or other time or event, in the United States mails, postage prepaid, as first-class mail. The failure to mail any such notice shall not invalidate any proceed i ngs under this article. (b) The names and addresses of such property owners shall be obta i ned from the records of the county assessor or from such other source or sources as the secretary, any deputy thereof, or other individuals so giving notice deems reliable. (c) Any ma ili n g of any notice required in this article shall be ver ified by the affidavit or certificate of the secretary, the deputy thereof, or other individual mailing the notice, which verification shall be reta ined i n the records of the metropoli- tan district at least twelve months. (29) "Metropolitan district" mean s the "district" as defined in this sec ion • ( 30) (a) "Municipality" means an incorporated town, city and county, or city, whether incorporated and governed under general act or special charter. -14- .• .) ' ' • • t - • • • • (b) "Municipal" pertains to a municipality, but such term has a broader meaning as it is used in section 32-12-102 (5). (31) "Net pledged revenues" or "net revenues" means the gross pledged revenues remaining after the deduction of the "operation and maintenance expenses" as defined in this section. (32) "Newspaper" means a newspaper printed in the English language at least once each calendar week. (33) (a) "Operation and maintenance expenses," or any phrase of similar import, means all reasonable and necessary current expenses of the district, paid or accrued, of operating, main- taining, and repairing the facilities, including, without limi- tation, at the district's option (except as limited by contract or otherwise limited by law): (I) Engineering, auditing, reporting, legal, and other over- head expense of the district directly related to the administra- tion, operation, and maintenance of the facilities; (II) Property and liability insurance and fidelity bond premiums; (III) Payments to pension, retirement, health, and hospitali- zation funds, and other insurance; (IV) The reasonable charges of any paying agent, any copaying ageny, and any other depositary bank pertaining to any project, any bonds, or other district securities, or otherwise relating to other district moneys or to the facilities; (V) Any taxes, assessments, excise taxes, or other charges which may be lawfully imposed on the district or its moneys or operations of the facilities under its control, or any privilege relating to the facilities or their operation; (VI) The costs incurred by th district in the collection of ny taxes and pledged revenues, and in making refunds of any t axes or pledged revenues lawfully due to others; -15- I'- •. ' • • f ....... • • (VII) Expenses in connection with the issuance of district securities e v i dencing any loan to or other obligation of the d i strict; (VIII) The e xpenses and compensat i on o f any trustee, receiver, o r other fiduc i ary under this article, or otherwise; (IX) Contractual services and professional services, salaries, l a bor, and the cost of materials and supplies used for current operation, ord inary and current renta ls o f equipment, or other p roperty ; and (X) Al l other administrative, general, and commerc i al ex- penses p e rtaining to the facilities. (b) "Operati on and maintenance expenses" do not include: (I) Any allowance for depreciation or any amounts for capital replacements, renewals, major repa i rs, and maintenance items (or any comb i nat i on thereof) of a type not recurring annually or at shorter intervals; (II) The costs of extensions, e nlargeme nts , betterments, and other improvements (or any combi nat i on thereo f) , or any reserves therefor; (III) Any reserves for operati on, ma i ntenance, or r e pair of the facilit i e s ; (IV) Any allowance for the redemption of any bond or other dis- trict securi ty evidenc ing a loan to or othe r o~ligation of the dis- trict, or the pay ment of any inte r e st t h e r e on , o r any reserve therefor; (V ) Any l i ab i l ities i n c urred in the acqu isi t ion o r i mprovement of any p r operties pertaining to any project (o r a ny c omb i nat ion thereof) or othe rw ise pertaining to the facilities , or otherwise ; (VI) Any other grounds of legal liability not bas d o n con- tract. (3 4 ) "Ordinance" means th form 1 instrument by the d o pti on o f wh ich a "gov erning body" of any "publ~c body," s d fi n d l n -16- • • ' • • • • this section, takes formal legislative action, whether such in- strument is in the form of an ordinance, resolution, or other . type of document. (35) (a) "Person" means a corporation, firm, other body cor- porate (including the federal government or any public body) , partnership, association, or individual, and also includes an executor, administrator, trustee, receiver, or other represen- tative appointed according to law. (b) "Person" does not include the "metropolitan district" or "district," as defined in th is section. (36) "Pledged revenues" means all or a portion of the gross pledged revenues. The designated term indicates a source of revenues and does not necessarily indicate all or any portion or other part of such revenues in the absence of further quali- fication. (37) "Processing" means classifying, separating, consolidating, or reducing the volume of waste, whether by baling, compaction, shredding, incineration, or other methods. (38) "Program" or "solid waste recovery plan" means the plan adopted by the board pursuant to section 32-12-215. (39) "Project" means an undertaking to construct, otherwise acquire, improve, or equip (or any combination thereof) any facilities of the distri ct, or any part there6f , or any interest therein, as the board determines and authorizes at any one time pursuant to this article and any laws supplemental thereto . (40) "Property" means p rsonal property and "real property," both improved and unimproved, as defined i n this section. (41) (a) "Publication" or "publish" means three consecutiv e weekly publications in at le s one newspaper having general c1rculation in the d1str1ct. (b) It is no nee ss ry that an advertisement b m d on the sam day of th w k 1n ach of the thr e weeks, but no less -17- -.)' • • f - • • • • than fourteen days, excluding the day of first publication but including the day of the last publication, shall intervene be- tween the first publication and the last publication, and publi- cation shall be complete on the date of the last publication. (42) (a) "Public body" means the state of Colorado, or any agency, instrumentality , or corporation thereof, or any county, municipal ity, any corpo rate district, housing authority, urban renewal authority, other type of authority, the regents of the univers ity of Colorado, the state board for community colleges and occupational education, or other body corporate and politic and political subdivision of the state. (b) "Public body" does not include the "federal government," or the "metropolitan district," or the "district," as such terms are defined in this section. (43) "Real property" means: (a) Land, including land under water; (b) Buildings, structures, fixtures, and improvements on land; (c) Any property appurtenant to or used in connection with land; and (d) Every estate, interest, privilege, leasehold, easement, license, franchise, right-of-way, and other right in land, legal or equitable, including, without limitation, the rights-of-way, terms for years, and liens, charges, or encumbrances by way of judgement, mortgage, or otherwise, and the indebtedness secured by such liens. (44) "Recycling" means the reuse of energy or materials re- covered from wastes by "resource recovery" as defined in this section, in a manufacturing process, agriculture, power production, heat production, or any other process or purpose designated to provide an acceptahle reuse of all or a part of wastes. (45) "Resource recovery" means the "processing" or handling of "solid wastes," as d fined in this section , in such a way as -18- • • ' - • • to produce materials or other products which may be used in manufacturing, agriculture, heat production, power production, or other productive processes or purposes designated to reuse materials or products or to conserve natural resources. (46) "Resource recovery facility" means a "waste recovery facility," and designated or operated for "resource recovery," as such terms are defined in this section. (47) "Revenues" means moneys or income received by the dis- trict in whatever form, including, without limitation: (a) "Service charges" as defined in this section; (b) Lease payments; (c) Interest payments from investments; (d) Payments due and owning on account of an instrument, contract, or agreement between the district and the federal government, any "municipality," other "public body," or other "person," as such terms are defined in this section; and (e) Gifts, grants, bestowals, or other moneys or payments to which the district is entitled under this article or other law or under an agreement, contract, or indenture of the dis- trict. (48) "Secretary" means the de jure or de facto secretary of the board and the metropolitan district, or his successor in functions, if any. (49) "Service charges" means the fees, rates, and other charges for the use of the facilit 1 es of th district, or for any ser- vice rendered by the district in the operation thereof, or from the lease , sale, or othe r disposal of any energy, materials, or o ther products derived from the op ration of the district's "w s t e recovery system" a s d f i n d i n this ction, or otherwise pe rtain i ng t o th facil i t i s of h e d i stri c , as mor sp cifi- ca lly provid d in s e cti o n 3 2 -12 -306 and lsewhere in this article. -19-• • - • • (50) (a) "Solid waste" or "waste" means gari. . .:l ge, refuse, sludge of sewage disposal plants, and other discarde-. .solid materials, including, without limitation, solid or serniso~-~ waste rna teri als resulting from i ndustrial, commercial, or other ',_ c ommunity a c tivities. (b) "Solid waste" or "waste" doe s not include agricultural wastes, s e wag e collected and treated i n a sewage system of a public body (other than sludge) , and wastes and other material under the j urisdict i on and c ontrol of the atomic energy commis- sion. (51) "Solid waste recovery plan" means the "program" as de- fined in this section. (52) "Source reduction" means reducing the amount of solid wastes by decreasing the volume and weight of discarded materials. (53) "State" means the state of Colorado; and, where the con- text so indicates, "state" me an s the geograph i cal area comprising the state of Colorado. (54) "Taxes," "taxation" or "tax" means general (ad valorem) taxes. (55) "Treasurer" mean s the de j ure or de facto tre asure r of the board and the metropolitan district, or his succ e ssor i n functions, if any. (56) "Trus t b ank" mean s a "c ommerc i al bank," as defined in this se c tion, which b ank is autho r ized to e x e r ci se and i s exerc i s i n g t r u st powe r s, and also mea n s any b r a n ch of t h e Fede r al Res rve Bank . (57) "United Sta es" m ans where the context so 1nd1ca h Uni ed Stat s of Amer1ca; a n d , s, "Unit d Stat s" ans th go- graphical area cornpr1s1ng he Un1t d States of Am r1ca. (58) "Volurn reduct1on pl n " m ns a fac1l1 y wh1ch lS designated primarily for th purpose of reducing th vol or changing the char ct r o "wast ," as d find in his sec- -20- • ' ' • • - • • • • tion, which waste must be finally disposed of, including, with- out limitation, incinerators, pulverizers, compactors, shredding and baling plants, transfer stations, composting plants, and other plants which accept and process "waste" for "recycling" or "disposal," or both "recycling" and "disposal," as such terms are defined in this section. (59) "Waste" means "solid waste" as defined in this section. (60) "Waste disposal area" means a location utilized for the ultimate disposal of "wastes ," as defined i n this section. (61) "Waste facility" means a "waste disposal area," "volume reduction plant," or other facility, the purpose of which is the "disposal," "processing," or storage of "waste," including, without limitation, loading and transfer facilities or equip- ment used in connection with the processing of "wastes," as such terms are defined in this section. (62) "Waste recovery facility" means all or any combination of a "waste" handling, "disposal," or "resource recovery" area, plant, works, system, facility, component of a facility, "equipment," machinery, or other element of a facility, as such terms are defined in this section, which the district plans, designs or finances under this article, including, without limitation, real estate and improvements thereto and the exten- sion or provision of utilities and other appurtenant facilities deemed necessary by the board for the operation of a facility or portion of a facility , and also including, without limitation, all required property, rights, easements, and interest therein. (63) "Waste recovery project" means an undertaking of the district to construct, otherwise acquire, improve, or equip (or ny comb4nat4on thereof) on or more "waste recovery facLlit4eS" ,s d fln d 1n this section. (64) "Waste r covery services" means the collection, receipt, storage, transportation , or proc ssing for "resource recovery" nd "recycling" of "wastes" or for th ultimate disposal of -21- • • r - • • of "wastes," including, without limitation, the sale of energy, materials, or other products, as such terms are defined in this section. (65) "Waste recovery system" means that portion of the "solid waste recovery plan" of the district specifically designed to deal with the provision of "waste recovery services" and to effect "resource recovery" by means of a network of "resource recovery facilities," as such terms are defined i n this section. 32-12-105. Rules of Construction. This article, except where the context by clear implication otherwise requires, shall be construed as follows: (1) Sections, subsections, paragraphs, and subparagraphs mentioned by number, letter, or otherwise, correspond to the respective articles, sections, subsections, paragraphs, and subparagraphs of this article so numbered o r otherwise so designated. (2) The titles or leadlines applied to sections in this article are inserted only as a matter of convenience and ease in reference and in no way define, limit, or describe the scope or intent of any p rovision of this article. (3) Figures may be used instead of words, and words may be used instead of figures in all notices, proceedings, and other decuments required by this article or otherwise pertaining thereto. 32-12-1 0 6. Liberal con3truction. This article being neces- sary to secure and pr serve the public health, safety, and gen- eral welfare, he rule of strict construction shall have no application to this article, but it shall be liberally construed to effect the purposes and objects for which this article is intended. 32-12-107. Suffic~ency of rticle. (1) This article, without reference to other statutes of the state, except s otherwise expressly provided in this article, shall con- s titute full uthority for the ex rcise of powers granted in -22- • • ....... • • this article, including, without limitation, the financing of any project authorized in this article wholly or in part and the issuance of district securities to evidence loans therefor. (2) No other act or law with regard to the authorization or i ssuance of securiti e s or the exercise of any other power granted in this article that provides for an election, re- quires an approval, or in any way impedes or restricts the carrying out of the acts authorized in this article to be done shall be construed as applying to any proceedings taken under this article or acts done pursuant to t hi s article except as otherwise provided in this article. (3) The provisions of no other law, either general, special or local, except as provided in this article, shall apply to the doing of the things authorized to be done in this article; and no public body shall have authority or j urisdictio n over the doing of any of the acts authorized in this article to be done, except as otherwis e provi ded in this arti cle. (4) No notice, consent, or approval b y any public body or officer thereof shall be require d a s a prerequ i site to the sale or issuance of any district securities or t h e making of any contract or the exercise of any other power under this article, except as provided in thi s artic l e. (5) The powers conferred by this article shall be in addition and supplemental to, and not i n substitution for, and the limi- tations imposed by th i s art i cle s hall not affect the powers conferred by, any other law. (6 ) No part of th is a rt ic l e shall r e p eal o r aff ect any other law o r part the r eof , it being intend e d tha t t hi s art icle shall provide a separate method of ccomplish1ng its ob jectiv es and not an xclus1ve one; and this art1cle shall n o t be constru e d as repealinq, amend ing or cha n ginq any such o the r law . -23-• • ' ....... • • PART 2 ADMINISTRATION 32-12-201. Creation of district. There is hereby created a district to be known and designated as the Resource Recovery District of Metropolitan Denver. 32-12-202. Boundaries of district. The area comprising the district consisting of the lands located in the city and county of Denver and in the counties of Adams, Arapahoe, Boulder, and Jefferson within the boundaries of the district, described as follows: Beginning at the northwest corner of Section 2, T.3 N., R.71 W. of the 6th P.M., said corner being on the Boulder County and Larimer County boundary line; thence easterly along the north line of Sections 2 and 1 of T.3 N., R.71 W.; thence along the north line of Sections 6, 5, 4, 3, 2 and 1 of T.3 N., R.70 W.; thence along the north line of Sections 6, 5 , 4, 3, 2, and 1 of T.3 N., R.69 w., a distance of 14 miles more or less to the northeast corner of Section 1, T.3 N., R.69 W.; thence southerly along the east line of said Section 1, T.3 N., R.69 W. and along the east line of Sections 12, 13, 24, 25 and 36 of T.3 N., R.69 W.; thence continuing southerly along the east line of Sections 1, 12, 13, 24, 25 and 36 of T.2 N., R.69 W.; thence continuing southerly along the east line of Sections 1, 12, 13, 24, 29 and 36 of T.l N. of R.69 w., a distance of 18 miles, more or less, to the southeast corner of said section 36, T.l N., R.69 W., said corner being also the southerwest corner of Section 31, T .l N., R.68 W.; thence easterly along the south line of Sec- tion 31, T.l ., R.68 w., and along the south l~ne of Section s 32, 33, 3 4, 3S and 36 of T.l N., R.68 w.; thenc cont~nuing easterly along he south lin of Sections 31, 32, 33, 34, 35 nd 3 of T.l N., R.67 W.; thence continu~ng easterly a long th s outh l~ne of Sect~ons 31, 32 , 33, 34, 3S and 36 of T.l N., R.66 W.; thence cont~nuing east rly along the south line of Sections 31 nd 32 of T.l N., R.65 W., a distance of 20 miles, more or -24- •. ' • • f ...... • • less, to the southeast corner of said Section 32 of T.l N., R.65 W., said corner being also the northeast corner of Sec- tion 5, T.l s., R.65 W.; thence southerly along the east line of Section 5, T.l S., R.65 W.; thence continuing southerly along the east line of Sections 8, 17, 20, 29 and 32 of T.l S., R.65 W.; thence continuing southerly along the east line of Sections 5, 8, 17, 20, 29 and 32 of T.2 S., R.65 W.; thence continuing southerly along the east line of Sections 5, 8, 17, 20, 29 and 32 of T.3 S., R.65 W.; thence continuing southerly along the east line of Sections 5, 8, 17, 20, 29 and 32 of T.4 S., R.65 W.; thence continuing south erly along the east line of Sections 5, 8, 17, 20, 29 and 32, T.5 S., R.65 W.; a distance of 30 miles, more or less, to the southeast corner of Section 32, T.5 S., R.65 W.; thence westerly along the south line of said Section 32, T.5 S., R.65 w., and along the south line of Section 31, T.5 s., R.65 W.; thence continuing westerly along the south line of Sections 36, 35, 34, 33, 32 and 31 of T.5 S., R.66 W.; thence continuing westerly along the south line of Sections 36, 35, 34, 33, 32, and 31 of T.5 S., R.67 W.; thence continuing westerly along the south line of Sections 36, 35, 34, 33, 32, and 31, a distance of 20 miles, more or less, to the southwest corner of Section 31, T.5 S., R. 68 W., said corner being also the northwest co rner of Sect~on 6, T.6 S., R.68 W.; thence southerly along the west line of Sections 6 , 7, 18, 19, 30 and 31, T.6 s., R.68 w., a distance of 6 miles more or less, o th southwes corner of Section 31, T.6 S., R.68 w., sa~d corn r b ~ng also the northeast corner of Sec- tion 1, T.7 S., R.69 W.; thence westerly along the north line of s id S c ion 1 and long th north lin of Sections 2, 3, 4, 5 and n, T.7 S., R. 9 W.; thenc continuing westerly along he north l~ne of Sect~on 1, T.7 5., R.70 w., a distance of 7 miles, more or -25- •. • • f ...... • • • • ' • less, to the northwest corner of Section 1, T.7 S., R.70 w., said corner being also the southwest corner of Section 36, T.6 S., R.70 W.; thence northerly along the west line of said Section 36 and along the west line of Sections 25, 24, 13, 12 and 1 of T.6 S., R.70 W., and continuing along the west line of Sections 36 and 25, T.5 S., R.70 W., a distance of 8 miles, mo re or less, to the northwest corner of Section 25, T.5 S., R.70 W., said corner being also the northeast corner of Section 26, T.5 s., R.70 W.; thence westerly along the north line of said Section 26, and westerly along the north line of Sections 27, 28, 29 and 30, a distance of 5 miles, more or less, to the northwest corner of Section 30, T.5 s., R.70 w., said corner being also the southwest corner of Section 19, T.5 s., R.70 W.; thence northerly along the west line of said Section 19, and along the west line of Sections 18, 7 and 6 of T .5 s., R.70 W., and along the west line of Sections 31, 30, 19, 18, 7 and 6 of T.4 S., R.70 W.; thence continuing northerly along the west line of Sections 31, 30, 19, 18, 7 and 6 of T.3 s., R.70 W., and continuing northerly along the west line of Sec- tions 31, 30, 19, 18, 7 and 6 of T.2 S., R.70 W., and continuing northerly along the west line of Sections 31 and 30 of T.l s., R.70 W., a distance of 24 miles, more or less, to the northwest corner of Section 30, T.l S., R.70 W., said corner being also the southeast corner of Section 24, T.l S., R.71 W.; thence westerly along the south line of said Section 24 and along the south line of Section 23, a distance of 2.5 miles, more or less, to the southwest corner of Section 23, T.l S, R.71 W.; thence northerly along the west line of said Section 23 and along the west line of Sections 14, 11 and 2 of T.l S., R.71 W., and continuing northerly along the west line of Sec- tions 35, 26 , 23, 14, 11 and 2 of T.l N., R.71 W., and con- tinuing northerly long th west line of Sections 35, 26, 23, -26- ' • • ....... • • • • 14, 11 and 2 of T.2 N., R.71 w., and continuing northerly along the west line of Sections 35, 26, 23, 14, 11 and 2 of T.3 N., R.71 W., a distance of 22 miles, more or less, to the north- west corner of Section 2, T.3 N., R.71 w., said corner being the point of beginning; but excluding that portion of Douglas County situate southeasterly of the common boundary between Douglas County and Jefferson County in T.6 S., R.69 W.; and the described area containing 124 5 sections, more or less. 32-12-203. Board of directors. (1) All powe rs, rights, privileges, and duties vested in or imposed upon the metro- politan district shall be exercised and perfo~med by and through a local legislative body designated as the board of directors. (2) The board of directors of the district may create an executive committee of the board and may delegate and redelegate to such committee such power and authority to act on behalf of the district as the board may determine by resolution. (3) The board may also create such advisory committees as the board deems advisable and delineate each committee 's juris- diction and the scope of its powers, duties, privileges, and rights. (4) The exercise of any and all executive, administrative, and ministerial powers may be del e gated and redelegated by the board to officials and employees of the district. (5) The board shall consist of fifteen directors. (6) (a) Except for the initial appointments of directors, except for any director chosen to fill any unexpired term, and except as otherwise provided in section 32-12-204(1), he erm of each director shall comm nee on the first day of Feb ru ry of a designated year s provided in this article and s hall be for two years . (b) Each director shall be cho n to s rve s uch a two- -27- •. • • f ....... • • • year term ending on the last day of January of the secon~ year ' next following his appointment; and each director whose term so ends and otherwise remains qualified to serve as a director shall serve until his successor has been duly chosen and qualified . 32-12-204. Regular appointments. (1) (a) The mayor of the city and county of Denver shall be ex officio a director; but the mayor at his option may designate, after the second Tuesday in January in each odd-numbered year and by the twentieth day of January in such year, the manager of public works of the city and county of Denver to serve as a director in place of the mayor for such a two-year term. (b) The mayor or manager of public works serving as a direc- tor pursuant to this subsect ion (1) shall remain a director dur- ing his designated term of office only so long as he is mayor or manager of public works of the city and county of Denver, as the case may be. (2) Except as otherwise provided in this article the other directors shall be chosen as provided in this section. (3) (a) Three directors shall be appointed to the board by the city council of the city and county of Denver after the second Tuesday in January in each even-numbered year and by the twentieth day of January in such year. Three directors shall be appointed to the board by such city council during such part of January in e ach odd-numbered year. (b) Each director appointed pursuant to this subsection (3) shall be a member of s uch city co uncil and shall remain a direc- tor during his designated term of office only so long as he is s uch councilman. (4 ) ( ) A director shall be appointed to the board by the board of county commission rs of each of the countries of Adams and Boulder after the second Tuesday in J nuary in each -28- ' • • f ....... • ' • • even-numbered year and by the twentieth day of January in such year. A director shall be appointed to the board by the boards of county commissioners of each of the counties of Arapahoe and Jefferson during such part of January in each odd- numbered year. (b) Each director appointed pursuant to this subsection (4) shall be a member of the board of county commissioners appoint- ing him to be a director and shall remain a director during his designated term of office only so long as he is such a county commissioner. (5) (a) A director shall be appointed to the board by the governor from each of the counties of Arapahoe and Jefferson after the second Tuesday in January in each even-numbered year and by the twentieth day of January in such year. A director shall be appointed to the board by the governor from each of the counties of Adams and Boulder during such part of January in each odd-numbered ye ar. (b) Each director appointed pursuant to this subsection (5) shall be an executive officer of a municipality located wholly or in part in the county from which he is appointed, shall be a resident of such county, and shall remain a director during his designated term of office only so long as he is such an execu- tive officer and such a county resident. (6) Each appointing autho :·1 ty designated in subsections (3) to (5) of this section shall cause each newly appointed director, each other appointing authority, both the mayor and the manager of public works of the city and county of Denver, and, e xcept for the initial appointments pursuant to section 32-12-205, th secretary of he board, to be notified forth- with of each such appointm n (7) If any appointing authority d signated in subsections (3) to (5) of this section fails to ppoint any director to -29- • • , ....... • • • • • the board as therein provided and to cause notification of such appointment to be given pursuant to subsection (6) of this section, at the time, subject to the limitations, and other- wise as provided in said subsections (3) to (5), the governor forthwith shall make such appointment and shall cause notice thereof to be given as provided in said subsections (3) to (5) for the appointing authority. (8) Except as otherwise provided in this article, any incumbent may be reappointed as a director to the board. 32-12-205. Initial appointments. (1) The first board of directors shall be chosen as provided in this section. (2) The mayor of the city and county of Denver shall be ex officio a director; but the mayor at his option may desig- nate, within thirty days from the effective date of this article, the manager of public works of the city and county of Denver to serve as a director in place of the mayor for a term of office ending on the last day of January of the next succeeding odd- numbered year. (3) (a) Within thirty days from the effective date of this article, the city counc i l of the city and county of Denver shall appoint six directors to the board as provided by section 32-12- 204(3), except as otherwise provided in this subsection (3). (b) Each of three directors designated by the city council shall be appointed for a term of office ending on the last day of January of the next succeeding even -numbered year, and thr e directors shall be appo in ted for a term of office end- ing on th last day of January of the next succeeding odd- number d year. (4) ( ) Wi h~n th~r y days from the eff ct~v dat of this ar icl , th board of county commiss~on rs of each of th coun- ies of Adams, Arapahoe, Bould r, and Jefferson shall appoint a dir ctor to th board as provid din section 32-12-204(4), except s otherwis e provid d in this subsection (4). -30- • • f - • • • (b) Each • f the two directors appointed by the boards of county comrnil:isioners of the .. ~·..>unties of Adams and Boulder " shall be appointed for/~i/{erm of office ending on the last day of January in t~next succeeding even-numbered year. Each of the two direc~s appointed by the boards of county commis- sioners of the counties of Arapahoe and Jefferson shall be ap- pointed for a term of office ending on the last day of January in the next succeeding odd-numbered year. (5) (a) Within thirty days from the effective date of this article, the governor shall appoint a director to the board from each of the counties of Adams, Arapahoe, Boulder, and Jefferson as provided by section 32-12-204{5), e xcept as otherwise pro- vided in this subsection {5). {b) Each of the two directors appointed from the counties of Arapahoe and Jefferson shall be appointed for a term of office ending on the last day of January in the next succeeding even-numbered year. Each of the two directors appointed from the counties of Adams and Boulder shall be appointed for a term of office ending on the last day of January in the next succeeding odd-numbered year. {6) The mayor or the manager of public works of the city and county of Denver acting as a director under subsection {2) of this section on the first board of directors shall act as acting chairman and acting secretary thereof until a permanent chairman and a permanent secretary are chosen at the first organizational meting of the board as provided in section 32-12-207. Such director shall give mailed notice of a special meeting fixed by him as the first organizat~onal meeting to be held not earlier than forty day ft r fective dat of this art~cle and not 1 r th n a~x y d ys hereafter. He shall s rve as acting such m t~ng for the calling of th roll of the newly ppo nt d d~r ctor who ar pr sent, for a determination of their -31- • • f ....... • • • • qualifications under section 32-12-207 {2) , and for the selection of a permanent chairman to serve until a successor is selected, qualifies and assumes such office in February of the next suc- ceeding year under subsection {1) of such section. 32-12-206. Filling vacancies. Upon a vacancy occurring in the board by reason of a director's death, resignation, termi na- tion of office as a city councilman, county commissioner, execu- tive officer, or other designated office, as the case may be, in contravention of any provision in sections 32-12-204{3) to {5), or for any other reason, the vacancy for the unexpired term of office of such director upon the creation of such vacancy shall be filled by the authority appointing him by the appointment , forthwith of a successor director to serve for such unexpi~ed term in the manner provided for such appointing authority in section 32-12-204 for regular appointments except as otherwise provided in this section. If a term of office of the manager of public works of the city and county of Denver becomes vacant, the unexpired term of office may be filled by the manager's successor in office or by the mayor of the city and county of Denver at the mayor's option. 32-12-207. Organizational meetings. {1) Except for the first board, each board shall meet once during the first five business days {excluding each Saturday, Sunday, and holiday) in February in each year at a regular place of meeting of the board within the district for the qualification of new directors and for th e selection of new officers. {2 ) Each director, befor ente ring upon his official duties, shall take and subscribe an oath or affirmation before an officer authorized to administer oaths that he will support he constitu 10n of the Uni d S ates and the cons 1 ut on and laws o the state , and ha h w1ll falthfully nd i artially discharge h duties of his offic o the best of his bility, which oa h or affirmation sh ll b fil d 1n h offic of th secre ary of s te. -32- • • ' - • • • • 32-12-208. Fidelity bonds . (1) Each director shall, before entering upon his official duties, give a fidelity bond to the district in the sum of ten thousand dollars with qood and sufficient surety, to be approved by the governor, conditioned for the faithful performance of each and all of the duties of his office, without fraud, deceit, or oppression, and con- ditioned for the accounting for all moneys and property coming into his hands, and the prompt and faithful payment of all moneys and the delivering of all property coming into his custody or cont rol belonging to the district to his successors in office. (2) Premiums on all fidelity bonds provided for in this section shall be paid by the district, and all such bonds shall be kept on file in the office of the secretary of state. 32-12-209. Board's administrative powers. (1) The board, on the behalf and in the name of the district, has the following powers: (a) To fix the time and place at which its regular meetings shall be held within the district and to provide for t .he calling and holding of special meetings; (b) To adopt and amend or otherwise modify bylaws and rules for procedure; (c) To select one director as chairman of the board and of the district, and another director as chairman pro tern of the board and of the district, and to choose a secretary and a treasurer of the board and of the district, each of which two positions may be filled by a person who is, or is not, a director, and both of which positions may, or may not, be filled by one person; (d) To prescr1be by resolution a system of business adminis- ration and to cr ate any and all necessary offices , and to establish and reestablish the powers, duties, and compensa- tion of 11 officers, g nts, employees, and other p rsons contracting with the distr1ct subjec to the provisions of -33- • • I ...... • • • section 32-12-213; but, except as may be otherwise therein provided, such compensation shall be established at prevail- ing rates of pay for equivalent services. 32-12-210. Additional administrative powers. (1) The board also has the following powers for the district: (a) To require and fix the amount of all official fidelity and completion bonds necessary or desirable and convenient in the opinion of the board for the protection of the funds and property of the district, subject to the provisions of section 32-12-208; (b) To prescribe a method of auditing and allowing or re- jecting claims and demands, except as provided in section 32-12-801 and elsewhere in this article; (c) To provide a method for the letting of contracts on a competitive basis or on a negotiated basis, as the board may determine, for the construction of wor s, the facilities , or any interest therein, or the performanc or furnishing of labor, ma- terials, or supplies as required in this article, and to require a contractor's bond in the manner required of a school board and a school district in sections 38-26-101 and 38-26-105 to 38-26-107, C.R.S. 1973; (d) To designate an official newspaper published in the dis- trict and to publish any notice or other instrument in any ad- ditional newspaper when the board deems that it necessary to do so; (e) To make and pass resolutions and orders on behalf of the district, not repugnant to the provisions of this article, necessary or proper for the government and management of the affairs of the district, for the execution of the powers vested in the d istrict, and for carrying i nto eff c the provisions of his article. 32-12-211. Records of bo rd. (1) On all resolutions and ord r s , the roll shall b called, nd the ayes and noes shall -34 - • • , - • • • • • • be recorded. All resolutions and orders, as soon as may be after their passage, shall be recorded in a book kept for that purpose and be authenticated by the signature of the presiding officer of the board and the secretary. (2) Every legislative act of the board of a general or per- manent nature shall be by resolution. (3) The book of resolutions and orders shall be a public record. A record shall also be made of all other proceedings of the board, minutes of the meetings, certificates, contracts, bonds given by officers, employees, and any other agents of the district, and all corporate acts, which record shall also be a public record. (4) The treasurer shall keep strict and accurate accounts of all moneys received by and disbursed for and on behalf of the district, in a permanent record, which also shall be a public r ecord. (5) Any permanent record of the district shall be open for inspection by any elector thereof, by any other interested per- son, or by any representative of the federal government or any public body. (6) All records are subject to audit as provided by law for political subdivisions of the state. 32-12-212. Meetings of board. (1) All meetings of the board shall b e held within the distr ic and shall be open to the public. (2) No business of the board shall be transacted e xcept at a r eg ular or special meeting at wh ich a quorum consisting of at least a majority of the total membersh ip of the board is present. (3) Any action of the board shall require th affirmative vo e of a majority of th directors pres nt and voting excep s oth e rwise provided 1n his article. (4) A smaller numb r of directors than a quorum may adjourn from t1me to time and may compel the a t ndanc of absent mem- -35- • • ' - • • • • • • bers in such manner and under such penalties as the board may provide. 32-12-213. Compensation of directors. (1) Each director shall receive as compensation for his services a sum not in excess of five hundred dollars per annum, as fixed by the board. (2) No director shall receive any compensation as an officer, e ngineer, attorney, employee, or other agent of the district. (3) The board may authorize the reimbursement of any direc- tor of expenses incurred and pertaining to the activities of the district. 32-12-214. Conflicts in interest prohibited. (l) No director, officer, employee, or agent of the district shall be interested in any contract or transaction with the district, except in his official representative capacity or as is provided in his contract of employment with the district, subject to the provisions of section 32-12-213. (2) Neither the holding of any office or employment in the gove rnment of any public body or of the federal government nor the owning of any property within the state, within or without the district, shall be deemed a disqual i fication for membership on the board or employment by the district or a disqualification for compensation for services as a director, officer, employee, or agent of the district, e xcept as provided in section 32-12-213 and elsewhere in this article. 32-12-215. Authorization of facilities. (1) The district, acting by and through the board, may acquire, improve, equip, relocate, maintain, and operate the waste recovery system of the district, or any part thereof, for the benefit of the district and the inhabitants thereof, after the board has made such pre- liminary studies and otherwise taken such action as it determines to be necessary or desirable as preliminaries thereto. (2) When a comprehensive solid waste recovery plan for the cquisi ion of facilities for the district satisfactory to the board is avail ble, such program shall be tentatively adopted • -36- ' • • , • • • • • The program need only describe the proposed facilities in general terms and not in detail. (3) A public hearing on the proposed program shall be sche- duled, and notice of the hearing shall be given by publication. After the hearing and any adjournments thereof which may be ordered, the board may either require changes to be made in the program as the board shall consider desirable, or the board may approve the program as prepared. (4) If any substantial changes to the comprehensive program are ordered at any time, in the original acquisition of the facilities or in any improvement thereto, or otherwise, a further hearing shall be held pursuant to notice which shall be given by publication. (5) Such comprehensive program may consist of one project or of more than one project. A public hearing need not be held on the initation of each such project if it implements such a com- prehensive program on which a public hearing has theretofore been held. 32-12-216. Implementing powers. The board, in connection with the facilities of the district and any waste recovery project, may from time to time condemn, otherwise acquire, improve, equip, operate, maintain, or dispos e of property (or any combination thereof) wi thin or without or both within and without the dis- trict. 32-12-217. Additional powers of district. shall have the following powers: (1) The district (a) To have duties, privileges, immunities , rights, liabilities, and disab ilities pertaining to a body corporate and politic and constitut4ng a municipal corporation and political subdivision o f the s ate established as an 4nstrum ntality exercis4ng public nd essential governmental and proprietary functions to provide ~or the public health, safety , and general welfare; -37- • • ' - • • • • (b) To have perpetual existence and succession; (c) To adopt, have, and use a corporate seal and to alter the same at pleasure; (d) To sue and to be sued and to be a party to suits, ac- tions, and proceedings; (e) To comm e nce, maintain, intervene in , defend, compromise, terminate by settlement, or otherwise, and otherwise participate i n and assume the cost and expense of any and all actions and proceedings now or hereafter begun and pertaining to the district, its board, its officers, agents, or employees, or any of the district's powers, duties, privileges, immunities, rights, liabilities, and disabilities, the facilities, or any project of the district, or any property of the district; (f) To enter into contracts and agreements, including, with- out limitation, contracts with the federal government, the state, or any other public body (or any combination thereof); (g) To trade, exchange, purchase, condemn, otherwise acquire, operate, maintain, and dispos e of real property and personal property, including, without limitation, interests therein, either within or without or both within and without the ter- r itorial limits of the district. 32-12-218. Financial powers of district. shall also have the follow1ng powers: (1) The district (a) To borrow money and o issue district securities , both general obligations and sp cial obligat1ons, evidencing any loan to or amount due by the district, to provide for and secure the payment of any district securities and the rights of the holders thereof, and to purchase, hold, and dispose of district s ecurities, as prov1ded in his r icl : (b) To fund or refund any loan or obligation of the district, nd to issu funding or refunding securities to evid nee such -38- .. • • f ...... • • • • • loan or obligation without any election except as provided in this article; (c) To levy and cause to be collected taxes on and against all taxable property within the district, except that any levy in excess of one-tenth of a mill shall require the favorable vote of a majority of the electors of the district voting on the question, other than any taxes levied to redeem district securities issued or other indebtedness otherwise incurred by the district and theretofore authorized by such a vote, subject to the limitations provided in paragraph (d) of this subsection (1), by certifying, on or before October 15 in each year in which the board determines to levy taxes, or by such other date as provided by the laws of the state, to the governing body having authority to levy taxes within each county wherein the district has any territory, the rate so fixed, with direc- tions that, at the time and in the manner required by law for levying taxes for other purposes, such governing body shall levy such taxes upon the assessed valuation of all taxable property within the district in the county, in addition to such other taxes as may be levied by such governing body, as provided in this section; (d) To levy taxes for any fiscal year, without limitation as to rate or amount, for the payment of any debt of the district authorized by its electors, except as otherwise provided by sec- tions 32-12-564 and 32-12-566, in accordance with section 32-12-533, and evidenced by the district's interim debentures, bonds, or other contract constituting a general obligation of the district, for a term exceeding one year, and between the district and the federal government or any public body (or any combination thereof), as prov~ded ~n h~s articl , but otherwise to levy taxes for any fiscal year subject to the following limitations: -39- • • , • • • Purpose of levy To defray operation and maintenance expenses: To defray costs of capital improvements: Maximum annual non-debt levy: Mill limitation one-half mill two mill~ two and one-half mills: (e) To fix, from time to time increase or decrease, collect, and cause to be collected rates, fees, and other service charges pertaining to the facilities of the district, including, without limitation, minimum charges and charges for availability of the facilities or services relating thereto: to pledge such revenues for the payment of district securities: and to enforce the col- lection of such revenues by civil action or by any other means now or hereafter provided by law: (f) To deposit any moneys of the district in any commercial bank within or without the state and secured in such manner and subject to such terms and conditions as the board may determine with or without the payment of any interest on any such deposit: (g) To invest and reinvest any surplus money in the dis- trict's treasury, including such moneys in a sinking or reserve fund established for the purpose of retiring any district securities, not required for the immediate necessities of the district, in federal securities or in other securities of the federal government, by direct purchase of any issue of such securities, or part thereof, at the original sale of the same, or by the subsequent purchase of such securities, except as otherwise provided in section 32-12-520 or elsewhere in this article: (h) To redeem at maturity and to sell from time to time such securities thus purchased and held, so that the proceeds y be appl1ed to the purpos s for wh ich the money with which ~uch securities were orig1nally purchased was placed in the treasury district: -40- • • , • • • • (i) To reinvest the proceeds of any such sale in federal securities or in other securities of the federal government as provided in paragraph (g) of this subsection (1) and otherwise in this article. 32-12-219. Miscellaneous powers. also have the following powers: (1) The district shall (a) To hire and retain officers, agents, employees, engineers, attorneys, and any other persons, permanent or temporary, neces- sary or desirable to effect the purposes hereof, to defray any expenses incurred thereby in connection with the district, and to acquire office space, equipment, services, supplies, fire and extended coverage i nsurance, use and occupancy insurance, work- men's compensation insurance, property damage insurance, public liability insurance for the district and its officers, agents, and employees, and other types of insurance, as the board may determine; but, no provision in this article authorizing the acquisition of insurance shall be construed as waiving any immunity of the district or any director, officer, or agent thereof and otherwise existing under the laws of the state; (b) To pay or otherwise to defray the cost of a project; (c) To pay or otherwise to defray and to contract so to pay or defray, for any term not e xceeding fifty years, without an election, except as otherwise provided in this article, the principal of, any prior redemption premiums due in connection with , any interest on, and any other charges pertaining to any securities or other obligations of the federal governmen, any public body, or other person incurred in connection with any prop rty thereof subsequently acquired by the district and re- lating to its facili ies; (d) To establish, opera e, nd maintain facilities within the d~strict across or along ny public str et , highway, bridge, v~ duct, or o h r public r~ght-o -w y, or in, upon, under, or -41- ' • • , ....... • • ' • • over any vacant publ ic lands, which public lands now are, or may b ecome , the property of a public body, without first ob- taining a franchise from the public body having jurisdiction over the same; but the d istr ict shall cooperate with any public body having such jurisdiction, shall promptly restore any such street, highway, bridge, viaduct, or other public right-of-way to its former state of usefulness as n early as may be, and shall not use the same in such manner as permanently to i mpa ir com- pletely or materially the usefulness thereof; (e) To adopt, amend, repeal, enforce , and otherwise administer such reason able r eso lutions, rules, regulations, and orders as the distr i ct shall deem necessary or convenient for the operation, maintenance, management, government, and use of the district's facilities and any other r esource recovery facilities under its control, wh ether situated within or without or both within and without the territorial limits of the distric t, including, with- out limitation, regulations as to the types of solid wastes which may be processed and otherwise treated in the facilities of the district, and the types of solid wastes wh ich, in the absence of any treatment for resource recovery in the facilities of the district or other resource r ecove ry facilities, shall not b e disposed of, in the absence of a license or permit issued by the d is tr ict , in a waste disposal area or other wa ste facili ty designated as an approved site or facility by a county or muni- cipality pursuant to sections 30-20-101 to 30-20-115 , or in any other waste disposal a r ea or other waste facility, which is situate in the metropolitan d1strict, regardless of whether the area or facility is also situate in a disposal district formed and operating under sections 30-20-201 to 30-20-205, or any o her law; (f ) (I ) To ado p , am nd, repeal, nforce , and otherwise aw~_,.s + r d r pol i c power such reasonable resolutions, nd ord rs p rtaining to wast recovery -42- • • , • • ' • • services performed by any person relating to resource recovery through the district's facilities or to resource recovery facilities within the d is trict of any public body or other person (other than the federal government) reasonably affecting the preparation of sol id wastes for resource recovery or the operation of resource recovery fac 1l1 1es within the district, or the use of designated wast d1sposal areas or other waste facilities (or any combina 1on h reof ), including, without limitation, variances in the even of a ny practical difficul~ ties or unnecessary hardship and exceptions in the event of appropriate factors, as the board may from time to time deem necessary or convenient. (II) No such resolution, rule, regulation, or order shall be adopted or amended except by action of the board on the behalf and in the name of the district after a public hearing thereon is held by the board, in connection with which any public body owning or authorizing any waste disposal area, other waste facility, or other resource recovery facility, in the area involved or otherwise exercising powers affecting waste disposal or resource recovery therein and other persons of interest have an opportunity to be heard, after mailed notice of the hearing is given by the secretary to each such public body and after notice of such hearing is given by publication by the secretary to persons of interest, both known and unknown. 32-12-220. Cooperative powers. (1) Subject to the provisions of sections 32-12-533 and 32-12-53 4, the district shall also have the following pow rs: (a) To accept contributions or loans from the state and th e fe deral governm nt for the purpos of fin nc1ng the planning , c quisi ion, 1mprovement, equipment, maintenance , and operation o f any nt rprise 1n which the district is authorized to eng ge, nd to en er into contrac s and coop r t with, and ccept -4 3- • • , - • • cooperation from, the state and the federal government in the planning, acquisition, improvement, equipment, maintenance, and operation, and in financing the planning, acquisition, improve- ment, equipment, maintenance, and operation of any such enterprise i n accordance with any legislation which the general assembly or congress may have adopted prior to the adoption of this article or may thereafter adopt, under which aid, assistance, and coopera- tion may be furnished by the state and the federal government in the planning, acquisition, improvement, equipment, maintenance, and operation, or in financing the planning, acquisition, im- provement, equipment, maintenance, and operation of any such enterprise, including, without limitation, costs of engineering, architectural, and economic investigations and studies, surveys, designs, plans, working drawings, specif ications, procedures, and other action preliminary to the acquisit ion, improvement, or equipment of any facilities, or any part the reof, and to do any and all things necessary in order to avail itself of such aid, assistance, and cooperation under any state or federal legis- lation; (b) To enter, without any election, into joint operating or service contracts and agreements; acquisition, improvement, equip- ment, or disposal contracts; or other arrangements for any term not exceeding fifty years, with the federal government, the state, or any other public body, or both the federal government and any public body, concerning the facilities, and any project or property pertaining th e reto , wh e ther acquired or unde rtaken by the district, by the federal governmen , or by any public body; and to accept grants and contributions from th federal government, any public body, or any other person in connection therewith; (c) To n er into and perform wi hou any election , wh n de erm1ned by he bo rd t.o be 1n the public inter st, contracts and agreements, for any t rm no exc ding fifty years, with the federal governm nt, any public body, or any other person for the provision and op r 1on by th dis r1ct of any resource recovery -44 - • • ...... • • ' • • facilities pertaining to such facilities of the district, any part thereof, or any project relating thereto, and the payment periodically thereby to the district of amounts at least suf- ficient, if any, in the determination of the board, to com- pensate the district for the cost of providing, operating, and maintaining such facilities serving the federal government, such public body, or such other person, or otherwise; (d) To enter into and perform, without any election, con- tracts and agr eements with the federal government, any public body, or any other person for or concerning the planning, con- struction, lease, other acquisition, improvement, equipment, operation, maintenance, disposal, and the financing of any property perta ining to the facilities of the district or to any project of the district, including, without limitation, any contract or agreement for any term not exceeding fifty years; (e) To cooperate with and act in conjunction with the federal government or any of its engineers, officers, boards, commissions, or departments, or with the state, or any of its engineers, officers, boards, commissions, or departments, or with any other public body or any other person in the acquisition, improvement, and equipment of any facilities or any thereof authorized for the district or for any other works, acts, or purposes provided for in this article, and to adopt and carry out any definite plan or system of work for any such purpose; (f) To cooperate with the federal government or any public body by an agreement therewith by which the district may: (I) Acquire and provide, without cost to the cooperating entity, the land, easemen s, and rights-of-way necessary for the acquisit~on, improvement, nd eq uipment of any properties; (II) Hold he cooperating entity free from and save it harm- less from any cla1m for damages arising from the acquisition, -45- ' • • f • • • improvement, equipment , maintenance, and operation of any facilities; (III) Maintain and operate any facilities in accordance with regulations prescribed by the cooperating entity; and (IV) Establish and enforce regulations, if any, concerning the facilities and satisfactory to the cooperating entity; (g) To provide, by any contract for any term not exceeding fifty years, or otherwise, without an election: (I) For the joint use of personnel, equipment, and facilities of the district and any public body, including, without limitation, public buildings constructed by or under the super- vision of the board or the governing body of the public body concerned, upon such terms and agreements and within such areas within the district as may be determined, for the promotion and protection of health, comfort, safety, life, welfare, and pro- perty of the inhabitants of the district and any such public body and any other persons of interest, and for waste recovery services; (II) For the joint employment of clerks, stenographers, and other employees pertaining to the facilities or any project, now existing or hereafter established in the district, upon such terms and conditions as may be determined for the equitable apportionment of he expenses therefrom resulting. (h) The board shall provide for comprehensive planning, and where possible, coordinate operations with any and all public bodies pertaining to solid waste disposal and resource recovery that functions wholly or partly within the metropolitan dis- trict • ( i) If single multipurpos servic authority is subsequently crea ed in the Denver me ropolitan area, th pow rs, functions, nd f cilit1 s of th metropolitan distric cr a ed by this article may b r nsferred o such service uthority in ccordanc -4 - ', • • t • • • with article 7, title 32, C.R.S . 1 973, except tha t t h e general assembly may provide for the transfer to other political sub- divisions of any facilities outside the boundaries of such service authority. (j) The board, if possible and feasible, shall promote and cooperate with the federal government, public bodies and other persons for resource recovery from wastes. 32-12-221. Other supplemental powers. (1) The district also has the following powers: (a) To enter upon any land, to make surveys, borings, sound- ings, and examinations for the purpose of the district, and to locate the necessary works pertaining to any project and any roadways and other rights-of-way pertaining to any project au- thor ized in this article; to acquire all property n ecessary or convenient for the acquisition, improvement, or equipment of such works , including, without limitation, works constructed and being constructed by private owners, and all necessary appur- tenances; and also where necessary or convenient to such end, and for such purposes and uses, to acquire and hold the stock of corporations, domestic or foreign, owning facilities, fran- chises, concessions, or rights pertaining to resource recovery facilities, any other property, or any project of the district; (b) To acquire property by agreement, condemnation , or other- wise, and if any street, road, highway, railroad, canal, ditch, or other prop rty subJect or devoted to public use becomes subject to interference by reason of the construction or proposed construction of ny works of the district, the right so to interfer with such prop rty, whether it is publicly or privately owned; but: (I) If uch r1gh 1s cqu1r d by condemn tion proceedings nd if the cour finds that pu lie necessity or convenienc so r quir , th JUdqmen m y d1rec the district to relocate such -47- ' • • , - • • • street, road, highway, railroad, canal, ditch, or other property in accordance with the plans prescribed by the court; (II) If, by such judgment or agreement, the district shall be required to relocate any such street, road, highway, railroad, canal, ditch, or other property subject or devoted to public use, the board has the power to acquire in the name of the district, by agreement or condemnation, all rights-of-way and other property necessary or proper for compliance with the agreement or judgment of condemnation, and thereafter to make such con- veyance of such relocated street, road, highway, railroad, canal, ditch, or other property as may be proper to comply with the agreement or judgment. (c) To carry on technical and other i nvestigations of all kinds, make measurements, collect data, and make analysis, studies, and inspections pertaining to the facilities, any other property, and any project, both within and without the district; (d) To make and keep records in connection with the facilities, any other property, and any project, or otherwise concerning the district; (e) To arbitrate any differences arising in connection with the facilities, any other property, and any project, or other- wise concerning the district; (f) To have the manag e ment, control, and supervision of all business and affairs pertaining to the facilities, any other property, and ny proJec author1zed in this article , or other- wise concerning th district, and of the acquisition, improve- ment, equipment, operation, ma intenance, and disposal of any property perta1ning to th facilities or any such project; (g) To s 11 to any person and otherwise to dispose of, on a negotiated b sis or on comp titiv b sis, as th board ma.y d rmin , he t, other n rgy , m tcr1als, and other products from any resourc recov ry prov1ded by th distr1ct or on its behalf, a nd any by-product or waste th r from, and to enter into nd p r- orm, without h reto for ny ny cl c ion, con racts and agre m nts p rt ining e rm no xce ding fifty years; -48- • • , 1- • • • • (h) To enter into contracts of indemnity and guaranty, in such form as may be approve d by the board, relating to or connected with the performance of any contract or agreement which the district is empowered to enter into under the pro- visions of this article or of any other law of the state; (i) To obtain financial statements, appraisals, economic feasibility reports, and valuations of any type pertaining to the facilities, any property, or any project relating thereto; (j) To adopt any resolution authorizing a project or the issuance of district securities, or both, or otherwise pertain- ing thereto, to the facilities of the district, or otherwise concerning it; (k) To make and execute an indenture or other trust instru- ment p rtaining to any district securities authorized in this a rt1 cle, except as otherwise provided in section 32-12-502 and elsewher in this article; (1) To make all contracts, execute all instruments, and do all things necessa ry or convenient in the exercise of the powers granted in this article, or in the performance of the district's covenants or duties, or in order to secure the payment of dis- trict securities; (m) To have and exercise all rights and powers necessary or incidental to or implied from the specific powers granted in this article, which specific powers shall not be considered as a limitation upon any power necessary or appropriate to carry out the purposes and intent of this article; (n) To exercise all or any part or combination of the powers granted in this article. 32-12-222. Approval of other facilities. (1) No public body or other person (other than the federal government) shall, aft r the ff ctive dat of this rticl , acquire or improve with1n the territorial limits of th distr1ct any waste facil1ty, was e recovery facil1ty, or resourc recovery facility until a proposal for such an acquisition or improvem nt has b en approv d by the board. -49- • • , • • , • (2) If any person (other than the federal government) , after the effective date of this article, acquires or improves any such facilities without such approval, the board may order their modification to meet the reasonable specifications and other requirements of the district. (3) The board shall not approve a proposal for any such acquisit ion or improvement unless the facilities so to be acquired or improved appropriately complements or supplements the facilities of the district, both proposed and acquired, and upon the adoption of a comprehensive program for the acquisition of facilities for the district, as from time to time modified, if modified, pursuant to section 32-11-215, appropriately conforms to such program. (4) The board shall not unreasonably withhold its approval of or disapprove any such proposal unless such facilities to be acquired or approved do not so complement or supplement the district's facilities or do not so conform to such a comprehen- sive program of the district, if any. (5) If any such proposal does not suffic i ently delineate the facilities so to be a cquired or improved for the board to determine whether such facilities so complement or supplement the district's facilities and so conform to such a comprehensive program of the district, if any, the board may order such additional information to b furnished to it as it may deem nece ssary or desirable for it to make such a determination. The board may d lay i t s conside r ation of any such proposal until the addi ~onal informat~on wh ich the board r equ ests is received by 32-12-223. Pow rs of public bodies. (1) The gov e rning body o f n y publ~c body , upon 1ts b half and in its n m , for the p urpo se of iding and cooperat~ng in any project uthorized in h~s rt~cl , upon h terms and with or without consideration nd wi h ~r w~thout n 1 ction, s h gov erning body determines, sh 11 h v pow r und r this article: -so- ' • • , • • • (a) To sell, lease, loan, donate, grant, convey, assign, transfer, and otherwise dispose to the d istrict of any facilities or any other property, or any interest therein, pertaining to any project (or any combination thereof); (b) To make available to the district for temporary use or otherwise to dispose of any machinery, equipment, facilities, and other property, and any agents, employees, persons with pro- fessional training, and any other persons, to effect the purposes of this article. Any such property and persons owned or persons in the employ of any public body while engaged in performing for the district any service, activity, or undertaking authorized in this article, pursuant to contract or otherwise, shall have and retain all of the powers, privileges, immunities, rights, and duties of, and shall be deemed to be engaged in the service and employment of, such public body, notwithstanding such ser- vice, activity, or undertaking is being performed in or for the district ; (c) To enter into any agreement or joint agreement between or among the federal government, the district, and any public bodies (or any combination thereof) extending over any period not exceeding fifty years, which is mutually agreed thereby, notwithstanding any law to the contrary, respecting action or proceedings pertaining to any power granted in this article, and the use or joint use of any facilitie s , or other property authorized in this article; (d) To sell, lease, loan, donate, grant, convey, assign, transfer, or pay over to the distr ict any facilities or any other property authorized in this article, or any part or parts thereof, or any interest in personal property or real property, or any funds available for acquisition, improvement, or quip- m nt purposes, including th proceeds of any securities 1asued for acquisition, improvem nt, or equ1pm nt purposes which may be used by the district in th cquisition, improvem nt, quip- m nt, main enance, and op ration of ny cilities or o h r -51- • ' • • , ]- • • • property authorized in this article (or any combination thereof); (e) To transfer, grant, convey, or assign and set over to the district any contracts which may have been awarded by the public body for the acquisition, improvement, or equipment of any facilities not begun or if begun, not completed; (f) To budget and appropriate, and each public body is hereby required and directed to budget and appropriate, from time to time, the proceeds of taxes, service charges, and other revenues legally available therefor to pay all obligations arising from the exercise of any powers granted in this article as such obligations accrue and become due; (g) To provide for an agency, by any agreement authorized in this article, to administer or execute that or any collateral agreement, which agency may be one of the parties to the agree- ment, or a commission or board constituted pursuant to the agreement; (h) To provide that any such agency shall possess the common power specified in the agreement, and may exercise it in the manner or according to the method provided in the agreement. Such power is subject to the restrictions upon the manner of exercising the power of any one of the contracting parties, wh ich party shall be designated by the agreement; (i) To continue any agreement authorized in this article for a definite term not exceed i ng f i fty years, or until rescinded or terminated, which agreement may prov i de for the method by which it may be rescinded or terminated by any party. PART 3 TAXATION AND SERVICE CHARGES 32-12-30 1. Le vy and c ollect i o n of taxes. (1) To 1 vy and c ollect a x e s , t h e board sh a ll d e termine , in each y ar, the unt of money n eces s ary to b raised by t xation, t king into consideration oth r sourc s of rev nu of th m tropoli- -52- ' • • ' ]- • • • tan district, and shall fix a rate of levy, subject to the provi- sions of section 32-12-218 (1) (c) and (1) (d), which, when levied upon every dollar of assessed valuation of taxable property within the di~tr i ct, and, together with other moneys of the dis- trict, and, together with other moneys of the district, will raise the amount required by the district annually to supply funds for paying expenses of organization and the costs of ac- quiring, improving, equipping, operating, and maintaining any facilities of the district, and any other property, and promptly to pay in full, when due, the principal of, any prior redemp- tion premiums due in connection with, the in terest on, and any other district charges pertaining to the genera l obligation bonds and other general obligation securities of the district and any other debt of the district, and to meet any other ob- ligations of the district payable from taxes, and in the event of accruing defaults or deficiencies, an additional levy may be made as provided in section 32-12-302. (2) Unless the county assessor and the governing body of each county in whi c h the district is located receive prior to October 15, 1976, from the Colorado tax commiss ion formal not ice o f the receipt by i t of a copy of the district's budget required by section 29-1-116, C.R.S. 1973, no such l evy of the district for such year shall be made by any such governing body or certified to any such county assessor. 32-12-302. Levies to cover def iciencies. (1) Th board, in cer ifying annual l e vies, shall take into accoun h matur1ng obl1gations for the ensuing year as provided 1n its contracts, rna uring securities, and interes on secur ities, and any defic1encies and defaults in prior years, and shall make ampl provision for the payment thereof. (2) In cas the moneys pr duced from such 1 v1es, og th r with ny oth r r venues of the district, are no sufficient punctually to pay th annual installm nts of its contr cts -53- • . • • ' • • • • • or securities and interest thereon, and to pay any defaults and deficiencies, the board shall make such additional levies of taxes as may be necessary for such purposes, and notwith- standing any limitations, except the limitations in section 32-12-218 (1) (c) and (1) (d) , the board may levy taxes and may collect revenues for the purpose o f creating a reserve or reserves in such amount as the board may determine, which may be used to meet such general obligations and any other obligations payable from taxes of the district, for operation and maintenance expenses and depreciation charges, and for defraying the cost of any project of the district. 32-12-303. Sinking funds. Whenever any obligations (other than any special obligations not payable from taxes) have been incurred by the district, subject to the limitations in section 32-12-218 (1) (c) and (1) (d), the board may levy taxes and may collect revenues for the purpose of creating a reserve or reserves in such amount as the board may determine, which may be used to meet such general obligations and any other obligations payable from taxes of the district, for operation and maintenance ex- penses and depreciation charges, and for defraying the cost of any project of the district. 32-12-304. Levying and collecting taxes. (1) The body having authority to levy taxes within each county in which the district is situate shall levy the taxes prov i ded in section 32-12-218 (1) (c) and (1) (d), and elsewhere i n this article. (2) All officials charged with the duty of collecting taxes shall collect such ax s 1 vi d by the district at the time and in the form and mann r and wi h like interest and penalties as other taxes are collected and, when collected, shall pay the same to the district. (3) The paym n of such collect1on shall be m d t o the treasurer of th district and paid into th thereof to th credit of the district. ~~~­ d pository (4) All ax s 1 vied und r this rticle, together wi h interest th reon and p nalties or d fault i n paym nt th r of, -5 4- • . • • • • • • • and all costs of ~llecting the same, shall constitute, until pa id , a perpetual _ien on and against the property taxed, and such lien shall b on a parity with the tax lien of other taxes. (1) If the taxes levied are not paid, then de /inquent real propert:r shall be sold at the regular tax sale or the payment of auch taxes, interest, and penalties, in the manner provided by the statutes of the state for selling real property for the nonpayment of taxes. If there are no bids at such tax sale for the property so offered, the property shall be struck off to the county, and the county shall account to the district in the same manner as provided by law for accounting for school, town, and city taxes. (2) Delinquent personal property shall be distrained and sold as provided by law. (3) Nothing in this article, neither the tax limitations in section 32-12-218 (1) (c) and (1) (d) nor otherwise, prevents the collection in full of the proceeds of any and all levies of taxes by the district authorized by this article, including, without limitation, any delinquencies, interest, penalties, and costs. 32-12-306. Service charges. (1) (a) The metropolitan dis- trict, as provided in section 32-12-218 (1) (e) and elsewhere in this article, may fix, modify, and collect, or cause to be col- lected, s rv~c charges for direct or indirect use of, or for the disposal of was e at, or th use of products from, or ser- vices of, h fac1li i s of the distric , includ1ng, without limi- tation, min1mum charges and charges for the availability of the facilities, products derived from heir operation, or services relating th e reto: {b) Such s rvice charges may b charged o and collected in adv nee or otherwis by the distric at any time or from time to tim from ny p rson disposing of w ate at, or p rforming waste -ss- • • , • • • II • • recovery services at, or leasing, purchasing, or otherwise ac- quiring energy, materials, or other products from the facilities, or otherwise pertaining to the facilities; and (c) Such service charges of the district may accrue from any date on which the board reasonably estimates in any reso- lution authorizing th e issuance of any securities or other instrument pertaining thereto or in any contract with any person, that the facilities comprising the system or any part t hereof being acquired or improved and equipped will be available for service or us e. (2) (a) Such service charges, as nearly as the district deems practicable and equitable, shall be reasonable, and shall be uniform throughout the district for the same type, class, and amount of use of, products from, or service of, the district's facilities, and may be based or computed on solid wastes made available for treatment by the facilities of the district, or by any user as approved by the district, or on the acquisition of products from the facilities, or on the capacity of the capital improvements in or on or connected with the facilities, or upon the availability of service or readiness to serve by the facilities, or on any other factors determining the type, class, and amount of use of, or products from, or service of the district's facilities, or on any combination of any such factors. (b) Reasonable penalties may be fixed for any delinquencies, including, without limitat ion, i nterest on delinquent service charges from any date due at a rate of not exceeding one percent per month, or fraction thereof , reasonabl e attorneys' fees, and other costs of collection. (3) (a) The district may prescrib and from time to tim when necessary revise a schedule of such service charges, which sh 11 comply wi h he terms of ny contract of the district, and 1 n ny e v e n shall be suc h rev nues from the service c harg es of the dis rict sh 11 11 tim s at least b dequat , exc pt to th e xtent that the proc ds of a ny t x es nd other revenues (oth r th n servic charg s) r avail bl and used, -56- ' • • , • • • • after an allowance is made for delinquencies accrued and reasonably estimated to accrue by the board in the payment of such service charges, whether resulting from any delinquency of any person or from any other cause: {b) To pay all operation and maintenance expenses; {c) To pay punctually the principal of, any prior redemption premiums due in connection with, and interest on any securities payable from revenues of the district's facilities and issued or to be issued by the district; {d) To maintain reserves and sinking funds therefor; and {e) To pay any expenses incidental to the facilities of the district or any project authorized in this article, any con- tingencies, acquisitions, improvements, and equipment, and any other cost, as may be required by the terms of any contract of, or as may be deemed necessary or desirable by, the district. {4) Such schedule shall thus be prescribed and from time to time revis ed by the district. A public hearing thereon may be, but is not required to be, held by the district at least seven days after such published notice is given, as the district may determine to be reasonable. The district shall fix and deter- mine the time or times when and the place or places where such service c harges shall be due and payable and may require that such service charges shall be paid in advance for period of not more than one year. A copy of such schedule of service charges in effect shall at all times be kept on file at the at the principal office of the district and shall at all rea- sonable times be open to public inspection. {5) The general assembly has determined and does hereby declare that the obligat~ons arising from tim to time of ny person to pay serv ce charg s fixed in conn c ion with th d~s rict's facilities sh 11 constitute general obligations of the public body or oth r p rson charged with their payment; but as such obligations ecru for curren s rvic a and ben - -57- • • , • • • fits from and use of such facilities, the obligations shall not constitute an indebtedness of the public body within the meaning of any constitutional, charter or statutory limitation or other provision restricting the incurrence of any debt. (6) No board, agency, bureau, commission, or official other than the board of the district shall have authority to fix, prescribe, levy, modify, supervise, or regulate the making of service charges, or to prescribe, supervise, or regulate the performance of services pertaining to the district's facili- ties, as authorized in this article; but this subsection (6) is not a limitation on the contracting powers of the district, acting by and through its board. PART 4 ELECTIONS 32-12-401. Elections. Wherever in this article an election of the electors of the metropolitan district is permitted or required, the election may be held separately at a special election or may be held concurrently with any primary or gen- eral election held under the laws of the state; but no elec- tion shall be held at the same time as any regular election of any city, town, or school district any part of the area of which is located within the boundaries of the district. 32-12-402. Election resolution. (1) The board shall call any election by resolution adopted at least thirty days prior to the election. (2) Such resolution shall recite the objects and purposes of the election, the date upon which such election shall be held and the form of the ballot. (3) In the cas of any election not to be held concurr ntly with a primary or general elec t1on, the board shall provid in th elec io n resolut ion o r by supplemental resolution for he ppointment of sufficient judges and clerks of th elec- -sa- -------------------- ' • • , • • • • • tion, who shall be electors of the district, and in such event shall set their compensation. The election resolution or a supplemental resolution shall also then designate the precincts and polling places, but a supplemental resolution may modify such a description of precincts and poll i ng places without repeating such description in full. The description of precincts may be made by reference to any order of the governing body of any county, municipality, or other public body in which the district or any part thereof is situated, or by reference to any previous order or by other instrument of such a governing body, or by detailed description of such precincts, or by other sufficient description. (4) Precincts established by any such governing body may be consolidated in the election resolution by the board for any election not to be held concurrently with a primary or general election. (5) If the election shall be held concurrently with a primary or general election held under the laws of the state, the judges of election for such primary or gene ral e lection shall be designated as the j udges of election for the elec- tion held pursuant to this article, and they shall receive such additional compensation, i f any, as the board shall set by the election resolution. 32-12-403. Conduct of e lection. (1) Except as provided in this article, an election held pursuant to this article shall be opened and conducted in th manner then provided by the laws of the state for the conduct of gener al elections. (2) If an election is held concurrently with a primary or general lection, th elec ion commission of th city and coun y of Denver and th county clerk of each oth r county 1n which the district is located shall perform for the dis- trict lection th cts provided by law to be p rform d by -59- • • , • • • • • • such officials. If an election is not held concurrently with a primary or general election such acts shall be performed by the secretary of the board with the assistance of the elec- tion commission and such other county clerks. The board, the election commission, and such county clerks are authorized to agree among themselves upon the division of such acts and the determination of persons to perform them. (3) Electors of the district may vote in any election by absent voter's ballot under the terms and conditions, and in substantially the same manner insofar as is practicable, as prescribed in article 7 of title 1, C.R.S. 1973, of the "Colorado Election Code of 1963" for general elections, ex- cept as specifically modified in this article. (4) All acts required or permitted therein to be performed by a county clerk or election commission shall be performed by each one respectively in the event of a primary or gen- eral election and by the secretary or assistant secretary of the board in the event of any other election, unless the services of the county clerk and election commission are contracted for, but no oath shall be administered by the secretary or assistant secretary unless he is also an offi- cer authorized to administer oaths. (5) Application may be made for an absent voter's ballot no more than twenty and not less than four days before the election. (6) No consideration shall be given or distinction made with reference to any person's political party affiliation or the lack thereof . (7) Th return envelope for th bs nt vot r's ballot shall have printed on its face an affidavit subst nti lly in he following form: -60- ' • • , • • • • • "State of ----------------------' County of I, ----------------------------------------' being first duly sworn according to law, depose and say that my residence and post office address is ------------------------------------------ that I am a person qualified to vote in general elections in the State of Colorado and am a resident of the Resource Recovery District of Metropolitan Denver therein, at the time of this election. Signature of Voter Subscribed and sworn to before me this day of ------------------' 19 (SEAL) (Signature of notary public, county clerk, or other officer authorized to administer oaths) Title of office" (8) In any such election at which voting machines are used, the board shall provide paper ballots for absentee voters con- taining the same question as is to be submitted to the elec- tors by the voting machines, subject to the provisions of subsection (9) of this section. (9) The district may provide for absent voters to cast their absent voters' ballots on voting machines expressly provided for that purpose, if each absent voter indicates by affidavit that he is qual ified to vote at the election and will be an absent voter, pursuant to section 1-7-110, C.R.S . 7 J, of th "Color do E1 c ion Code of 1963," as from tim to nded, nd all 1 ws supplemental thereto. -61- • . • • f 1--- • • • • 32-12-404. Notice of election. Notice of such election shall be given by publication. No other notice of an elec- tion held under this article need be given unless otherwise provided by the board. A supplemental notice may be given by publication at such times and places as the board may de- termine to be necessary or convenient for correcting or other- wise modifying the original notice of election or otherwise. 32-12-405. Polling places. (1) All polling places desig- nated by resolution for an election shall be within the terri- torial limits of the district; but if an election of the dis- trict is held concurrently with a primary or general election the polling place for each precinct located wholly or partially within the district shall be the polling place for such precinct for the district election regardless of wh ether such polling place is within the district. (2) If the election of the district is not held concurrently with a primary or general election held under the laws of the state, there shall be one polling place in each of the election precincts which are used in the primary and general elections or in each of the consolidated precincts fixed by the board, as the case may b e . 32-12-406. Election supplies. (1) The secretary of the district shall provide at each polling place ballots or bal- lot labels, or both, ballot boxes or voting machines, or both, instructions, elector's affidavits and other material and supplies required for an election by any law; and the secretary may provide ballots and marking devices suitable for voting and for the votes on the ballots to be counted on electronic vote-tabulating devices. (2) Election officials may require the execution of an af- fidavi by any person desiring to vote at any election of the d1strict to evidence his qualifications to vote, which affi- d vit shall be prima facie evidence of the facts stated therein . -62- • . • • I • • • 32-12-407. Election returns. (1) In the case of any election held hereunder which is not held concurrently with a primary or general election, the election officials shall make their returns directly to the secretary of the district for the board. (2) In the case o f any electio n held under this article which i s consolidated with any primary or general election, the return s thereof shall be made and canvassed at the time and in the manner provided by law for the canvass of the returns of suc h primary or general election. Such canvass- ing body shall certify promptly and shall transmit to the s e cre ta ry o f the district for the board a statement of the re s ult of t h e vote upon any propositi on submitted under this ar ticle . (3) Upon receipt by the board of election returns from elect i on officials or upon receipt of such certificate from each such canvassing body, the board shall tabulate and de- clare the results of the election at any regular or special meeting held not earlier than five days following the date of the election. (4) The board shall cause the re s ult s of the election to be published at least one time in at least one newspaper having general circulation in the district. 32-12-4 08. Bond election contests. ( 1) Any election declared to have carried on an author i zation to issue any bonds or other securities , by a p prova l of the securities question, or otherwise t o i ncur a n i nde bte dness by approval of the ques t i on thereon, ma y b e cont e sted b y any elector of the district b y sui t ag ai n s t it as contestee and d e f e ndant in any d istrict court of a n y county , includin g , wi thou t l i mitation, the c i t y nd county of D nv r, i n which the m tropoli t a n d i s- ric t is p rtially situ t ~: (a) Wh e n illegal votes have been receiv e d o r l e gal votes r eject d, t the po l ls in sufficien t n umber to change the r e sults ; -63- • . • • , • • • • • (b) For any error or mistake on the part of any of the judges of election, any county clerk, any election commis- sion, the secretary of the district, or their respective officers and e mployees in counting or declaring the result of the election, if the error or mistake is sufficient to change the result; (c) For malconduct, fraud, or corruption on the part of the judges of election in any precinct, or any county clerk, any election commission, the secretary of the district, and their off icers and employees , if the malconduct, fraud, or corruption is sufficient to change the result; (d) When the bonds, other securities, or other indebtedness is authorized to be issued for an invalid purpose; or (e) For any other cause which shows that the securities or other indebtedness is not validly author ized at the election. (2) The s tyle and form of process, the manner of service of process and papers, the fees of officers, and judgment for costs and execution thereon shall be according to the rules and practices of the court. (3) Before the court shall take jurisdiction of the con- test, the contester shall file with the clerk of the court a bond, with sureties, to be approved by the judge thereof, running to the district as contestee and conditioned to pay all costs in case of failure of the contester to maintain his contest. (4) When the validity of any bond, other securities, or other indebtedness election is contested, the plaintiff or plaintiffs, within thirty days after the returns of the election are can- vassed and the results thereof declared and published, or first published, as the case may be, shall file with the clerk of the cou rt a v rifi d wr itt n complain setting forth specifically: (a) The name of th party contesting the election, and a statement that the plaintiff or each plaintiff is an elector o th district; -64- • . • • , • • • , (b) The proposition or propositions voted on at the elec- tion which are contested, the name of the district as de- fendant and contestee, and the time of the election; and (c) The particular grounds of such contest. (5) No such contest shall be maintained and no election shall be set aside or held invalid unless such a complaint is filed within the period prescribed in this section. (6) Except as otherwise provided i n this article, the election laws pertaining to contested election cases of municipal offices as provided in part 11, article 10 of title 31, C.R.S. 1973, of the Colorado Municipal Election Code of 1965, shall be applicable to bond, other securities, or other indebtedness elections; but any such contest shall be re- garded as one contesting the outcome of the vote on the proposi- tion authorizing the issuance of securities or otherwis e incur- ring the indebtedness rather than election to office, and the district as contestee, rather than a person declared to have been elected to office, shall be regarded as the defendant. (7) If the board declares the bond proposition authorizing the issuance of securities or otherwise incurring the indebted- ness to have carried and no contest is duly filed, or if such a contest is filed, after it is favorably terminated, the board may issue the bonds, or other securities , or otherwise incur the indebtedness vote d at the election at one time or from time to time. PART 5 INDEBTEDNESS AND FINANCIAL PROVISIONS 32-12-501. Forms of borrowing. (1) Upon the conditions and under the circumstances set for h here in , the metropolitan dis- trict, to carry out the purposes h reof, at any tim or from time o time may borrow mon y o defray the cost of any pro) ct d signa d by h e board, or ny part thereof, s the board may de rm1n , nd may issu dis rict secur1ti s or otherwis con- ract o cvid nc such borrowing or oblig tiona oth rwia incurred under his article, as provid d in his r icl . -5- • • f • • (2) The district, may issue, in one series or more, without the district securities being authorized at any election except as otherwise provided in section 32-12-533 and elsewhere in this article, in anticipation of taxes or pledged revenues, or both, and constituting either general obligations or special obligations of the district, any one or more or all of the fol- lowing types of district securities: (a) Notes, e videncing any amount borrowed by the district; (b) Warrants, evidencing the amount due to any person for any services, or supplies, equipment, or other materials fur- nished to or for the benefit of the district and pertaining to a project; (c) Bonds, evidencing any amount borrowed by the district and constituting long-term financing; (d) Temporary bonds, pending the preparation of and exchange- able for definitive bonds of like character and in like principal amount when prepared and issued in compliance with the conditions and limitations provided in this article; and (e) Interim debentures, evidencing any construction loans or other temporary loans of not exceeding five years, in supple- mentation of long-term financing and the issuance of bonds, as provided in sections 32-12-558 to 32-12-563. 32-12-502. Limitations upon security. (1) The payment of distri ct securities or any other obligations of the district shall not be secured by an encumbrance, mortgage, or other pledge of property of the distri ct, e xcept for its pledged revenu s, proceeds of taxes, and any other mon eys pledged for the payment of th e securities or such other obligations. (2) No prop rty of the district, subject to such exception, rhall be liabl to b for elted or taken in payment of any distrlct secur1ti s or oth r obligations of the district. -66- •. • • , • • • • 32-12-503. Recourse against district per~~nnel. No recourse shall be had for the payment of the principal ~.L: .-~nd any prior ...._ redemption premiums due in connection with, and any ~• . .-~rest on, any bonds or other district securities or other obligat ~s of the district evidenced by any other contract or for any clai~ based thereon or otherwise upon the resolution authorizing the issuance of such securities or the incurrence of such other obligations or other instrument pertaining thereto, against any individual director or any officer or other agent of the district, past, present, or future, either directly or indirectly through the board or the district, or otherwise, whether by virtue of any constitution, statute, or rule of law, or by the enforcement of any penalty, or otherwise, all such liability, if any, being by the acceptance of the securities and as a part of the consideration of their issuance or by the making of any other contract specially waived and released. 32-12-504. Repeal of act. (1) The faith of the state is hereby pledged that this article, any law supplemental or other- wise pertaining thereto, and any other law concerning the bonds, other distr ict securities, or other obligations incurred un- der this article, taxes, or the pledged revenues, or any com- bination of such securities, such other obligations, such taxes, and such revenues, shall not be repealed, amended, or otherwise directly or indi r ectly modif ied in such a manner as to impair adversely and materially any outstanding district s ecuri- ties or any such other obligations, until all such securities or other obligations have been discharged in full or provision for their payment and redemption has been fully made, including, without limitation, the known minimum yield from the investment or r ~nves m nt of moneys pl dged therefor in federal securities. (2 ) Th stat~ and ~ s officers, in the district court of the ci y and county of Denver, may sue and be sued by the metropoli- tan district, by any holder of bonds or other s curities issued -67- ' • • , • ]~ · . • • by the district or by any other obligee of the district on any other obligation of it and remaining outstanding and unpaid, or by any trustee therefor, in the event of any breach of the provisions of subsection (1) of this section, for damages or for any other appropriate remedy, as provided in section 32-12-556, or otherwis e. 32-12-505. Registration of securities. (1) Before the board shall delivery any securities under this act, all such securities shall be registered by the treasurer in a book kept in his office for that purpose. (2) The register shall show: (a) The aggregate principal amount of the securities and the denomination of each security; (b) The time of payment of each of the securities; and (c) The rate of interest which each of the securit ies bears. " (3) After registeration by the treasurer, the treasurer shall cause the securities to be delivered to the purchaser or purchasers thereof from the district, upon payment being made therefor on the terms of the sale or sales. 32-12-506. Details of securities. (1) Except as otherwise provided in this act and in any other act the provisions of which are relevant by express reference in this article thereto, any district securities issued under this article, as may be pro- vided by the board in a resolution authorizing their issuance and in any indenture or other proceedings pertaining thereto, may be: (a) In such form, issued in such manner, and issued with such provisions: (I) For the application of any accrued interest and any prem~um from he sale of any bonds or other district securi- t~es und r this article as provided in section 32-12-516; (II) For the registration of the bonds or other securities • • -68- \ I I , • ! • • for payment as to principal only or as to both principal and interest, at the option of any holder of a bond or other sec urity, or for regi stration for payment only in either man- ner designated; (III) For the endorsement of payments of interest on the bonds or other securities or for reconverting the bonds or other securities into coupon bonds or other coupon securities, or both for such endorsement and such reconversion, where any bond or other security is registered for payment as to interest; and where interest accruing on the securities is not represented by interest coupons the securities may provide for the endorsing of payments of interest thereon; (IV) For the endorsement of payments of principal on the bonds or other securities, where any bond or other securities are registered for payment as to principal; (V) For the initial issuance of one or more bonds or other securities aggregating the amount of the entire issue or any portion thereof, and the endorsement of payments of interest or principal or both interest and principal on the securities; (VI) For the manner and circumstances in and under which any such bond or other securities may in the future, at the ze- quest of th e holder thereof, be converted into bonds or other securities of smaller or larger denom i nations, which bonds or other securities of smaller or larger d e nominations may in turn be either coupon bonds or other coupon securities or bonds or other securities registered for payment, or coupon bonds or other coupon sec urities with provisions for registration for pay- ment; (VII) For th r issuance of any outstanding bonds or other securities , dnd h t rms and condit~ons thereof , whether lost, pparcnlly d stroyc , wro ngfully tak n, or for any other reason , !l provid d in the "Uniform Commercial Code--Investm nt S curities ," being rticl 8 of titl 4, C .R.S . 1973, or otherwis -69- -- •. • • , • • (VIII) For the deposit of moneys, federal securities, or other securities of the federal government, or both moneys and all such securities, with and securing their repayment by a commercial bank or commercial banks within or without or both within and without this state; and (IX) For the payment of costs or expenses incident to the enforcement of the securities or of the provisions of the reso- lution or of any covenant or contract with the holders of the securities; and (b) Issued otherwise with such recitals, terms, covenants, conditions, and other provisions as the board may provide. 32-12-507. Recital of issuance under act. A resolution pro- viding for the issuance of bonds or other district securities under this article or an indenture or other proceedings per- taining thereto may provide that the securities contain a re- cital that they are issued pursuant to this "Resource Recovery District of Metropolitan Denver Act," which recital shall be conclusive evidence of their validity and the regularity of their issuance. 32-12-5 08. Additional securities details . (1) As the board may determine, any bonds and other district secur i ties i ssued unde r this article, except as otherwise provide d in this article or in any law supplemental thereto, may: (a) Be of c onvenient denominat i on or denominations; (b) Be fully n e gotiable within the m aning of and for all the purpos e s o f the "Un i form Commercial Code--Investment S e curit i s," b ing article 8 of titl 4, C .R.S 1973; (c ) Mature at such time or serially at such times in regular numer ical o rde r t annua l o r othe r designated intervals in moun s des1g n ted n d f i x d by t h e boa rd; (d) Be r interest a t such r ate or rates fixed by the board, ot x ceed1 ng a m x i mum ne t ffec tive interest rate, if the s ecur i t ies c ons itute a n i nde btedness, stated in the bond -70- •. ' • • , • • • question pertaining to the securities and authorized at an election held in the manner provided in secti on 32-12-533, but otherwise such a rate merely authorized by the board, interest being payable annually, semiannually, or at other designated intervals, but the first interest payment date may be for in- terest accruing for any other period; (e) Be made payable in lawful money of the United States, at the office of the treasurer, any county treasurer, including, without limitation, the manager of revenue of the city and county of Denver, or any commercial bank or commercial banks within or without or both within and without the state as may be provided by the board; and (f) Be printed at such place within or without this state, as the board may determine. (2) The district may elect to issue securities under this article the interest on which is subject to federal income taxation and for that purpose is included in gross income of each holder of the securities for the purpose of chapter 1 of the Internal Revenue Code of 1954. The state by this sub- section (2) expressly consents to the district making each such election, if any. Any securities so issued shall state on their face that the interest thereon is sub ject to federal i ncome taxation and should be included in the gross income of the holder thereof. If the federal government under any federal law contracts wi th the district prior to the issuance of any such securities to pay directly or indirectly a desig- nated amount or portion of such interest, such amount or por- tion of the interest shall be excluded from any computations of the ne ff ctive in res r t of h securities for a de rmination that such ra e do s not xceed the maximum rate fi xed under subsection (1) (d) of this section. -71- • • • f • • 32-12-509. Payment without further order. The principal of, any prior redemption premium due in connection with, and the interest on, any district securities shall be paid as the same become due in accordance with the terms of the securities and any resolut i ons and other proceedings pertaining to their issuance, without any warrant or further order or other preliminaries. 32-12-510. Interest coupons. Any bonds issued hereunder (except temporary bonds) shall have one or two sets of interest coupons, bearing the number of the bond to which they are re- spectively attached, numbered consecutively in regular numeri- cal order, and attached in such manner that they can be re- moved upon the payment of the installments of interest without injury to the bonds, except as otherwise provided in this article. 32-12-511. Execution of securities. Bonds and other district securities issued under this article shall be executed in the name of the district, shall be signed by the chairman of the board, shall be countersigned by the treasurer, and shall be attested by the secretary. All bonds or other securities shall be authenticated by the seal of the district affixed thereto. All coupon shall be signed by the treasurer. Fac- simile signatures may be used on any coupons. 32-12-512. Use of facsimiles. Any bonds or other securi- ties , i nclud i ng, without l i mitation, any certificates endorsed thereon and any coupons attached thereto, may be executed with facsimile signatur es and seals as provid d in sections 11-55-103 and 11-55-10 4 , c .R.S. 1973. 32-12-513. Execution by i ncumbents. The bonds, any coupon s per 1ning h rcto, nd o h r curities, b aring th signatures o f h of icers 1n offic tim of th signing thereof, sh 11 be h valid nd bind1ng obligations of the district, -72- ---------------------- • • • I • • • notwithstanding that before the delivery thereof and payment therefor all of the persons whose signatures appear thereon have ceased to fill their respective offices. 32-12-514. Execution with predecessor's facsimile. Any officer authorized or permitted to sign any bonds, any coupons, or any other securities, at the time of their e xecution and of a signature certificate pertaining thereto, may adopt as and for his own facsimile signature the facsimile signature of his predecessor in office if such facsimile signature appears upon the bonds, coupons, and other s ecurities pertaining thereto, or any combination thereof. 32-12-515. Repurchase of secur ities. Any bonds or other district securities may be repurchased by the board out of any funds available for such purpose at a price of not more than the principal amount thereof and accrued interest, plus the amount of the premium, if any, which might on the next prior redemp- tion date of such securities be paid to the holders thereof if such securities should be called for redemption on such date pursuant to their terms; but if the securities are not callable for prior redemption at the district's option within one year from the date of their purchase, they may be repurchased without limitation as to price. All securities so repurchased shall be canceled. 32-12-516. Use of securities proceeds. (1) All moneys re- ceived from the issuance of any securities authorized in this article shall be used solely for the purpose or purposes for whi c h issued and to defray wholly or in part the cost of the project thereby delineated, e xcept for any funding or refunding securities. (2) Any accrued inter st ~d of he pro) ct, or to th ny premium shall b pplied to paym nt of th ~nterest on or the principal of the securitie , or both interes nd principal, -73- • • f • • or shall be deposited in a reserve therefor, or any combination thereof, as the board may determine. 32-12-517. Use of surplus proceeds. Any unexpended balance of the proceeds of such securities remaining after the comple- tion of the acquisition or improvement of properties pertaining to the project or otherwise the completion of the purpose or purposes for which such securities are issued shall be credited immediately to the account or accounts created for the payment of the interest on or the principal of the securities, or both principal and interest, and shall be used therefor, subject to the provisions as to the times and methods for their payment as stated in the securities and the proceedings authorizing or otherwise pertaining to their issuance, or so paid into a re- serve therefor, or any combination thereof, as the board may determine . 32-12-518. Validity of securities unaffected by project. (1) The validity of any securities shall not be dependent on and not be affected by the validity or r e gularity of any proceedings re- lating to a project or the proper completion of any purpose for which the securities are issued. (2) The purchaser of the securities shall in no manner be responsible for the application of the proceeds of the securi- ties by the d istrict or any of its officers, agents , and em- ployees. 32-12-519. Employment of experts. (1) The board on the b half of the district may employ legal, fiscal, e ng ine ring, and other expe rt services in connection with any project or the fac i lities, or both such project and facilities, and the au horiza 10n, sale, and i suance of bonds and oth r secur ties un r his rt1cle. -74- ------------ • o I ' I • • t ] • • ' • • • (2) The board on the behalf of the district is authorized to enter into any contracts or arrangements, not inconsistent with the provisions of this article, with respect to the sale of bonds or other securities under this article, the employment of engi- nee rs, ar chi tects, financial consultants, and bond counsel, and other matters as the board may determine to be necessary or desirable in accomplishing the purposes of this article. 32-12-520. Investments and reinvestments. (1) The board, subject to any contractual limitations from time to time imposed upon the district by any resolution authorizing the issuance of the district's outstanding securities or by any trust indenture or other proceedings pertaining thereto, may cause to be invested and reinvested any proceeds of taxes, any pledged revenues, any proceeds of bonds or other district securities issued under this article , and any other revenues of the district in federal securities and other securities of the federal government, and may cause such proceeds of taxes, pledged revenues, district securities, other district revenues, federal securities, and other securities of the federal government to be deposited in any trust bank within or without or both within and without this state and secured i n such manner and subject to such terms and conditions as the board may determine, with or with- out the payment of any interest on such deposit, including, without limitation, time deposits evidenced by certificates of deposit. (2) Any federal securities, other secu r ities of the federal government, and any such certificates of deposit thus held may, f rom tim to tim , be sold and the proceeds may be so reinvested nr r e d posited as provided in this section . (3) 5 1 s and redemptions of any federal securities, other ~e cu r iti s of th federal government, and such certificates of d posit thus h ld shall, from time to time, be mad in season -75- . . • • , • • • so that the proceeds may be applied to the purposes for which the money with which such securities and certificates of de- posit were originally acquired was placed in the district treasury. (4) Any gain from any such investments or reinvestments may be credited to any account pledged for the payment of any securities issued under this article, including any reserve therefor, or any other account pertaining to a project or the facilities or the district's general fund, subject to any con- tractual limitations in any proceedings pertaining to outstana- ing district securities, or otherwise. (5) Any commercial bank incorporated under the laws of this state which may act as depository of the proceeds of any securi- ties issued hereunder, any federal securities and other securi- ties of the federal government owned by the district, any pro- ceeds of taxes, any pledged revenues, and any moneys otherwise pertaining to a project or the facilities, or any combination thereof, may furnish such indemnifying bonds or may pledge such federal securities, such other securities issued by the federal government, and such other securities as may be required by the board. 32-12-521. Rights and remedies cumulative. No right or remedy conferred upon any holder of any securities or any coupon per- taining thereto or any trustee for such holder by this article or by any proceedings pertaining to the issuance of such securi- ties or coupon is exclusive of any right or remedy, but ach such right or remedy is cumulative and in addition to ev ry oth r right or remedy and may be exercised without exhausting and without regard to any oth r remedy conferred by this article o r by ny other law. 32-12-522. Continuat~on of liabilities. The f ilur of any holder of any d~s r~c securities or any coupons p rtaining -76- • • f • • • thereto to proceed as provided in this article or in such pro- ceedings shall not relieve the district, the board, or any of the officers, agents, and employees of the district of any liability for failure to perform or carry out any duty, obli- gation, or other commitment. 32-12-523. Temporary bonds. (1) Each temporary bond issued under this article shall set forth substantially the same con- ditions, terms, and provisions as the definitive bond for which it is exchanged. (2) Each holder of a temporary bond shall have all the rights and remedies which he would have as a holder of the definitive bond for which the temporary bond is to be exchanged. 32-12-524. Statement of purpose. The resolution authorizing the issuance of any district securities or any indenture pertain- ing thereto shall describe the purpose or purposes for which the securities are issued at least in general terms and may d escribe any purpose in detail. 32-12-525. Prior redemption calls. (1) Nothing in this article or in any other law of this state permits the board to call, on behalf of the district, bonds or other securities outstanding any time for prior redemption in order to fund or refund such securities or in order otherwise to pay them prior to their stated maturities, unless the right to call such securi- ties for prior redemption wa s specifically reserved and stated in such bonds t the time of their issuance , and all conditions with resp ct to th manner , price, and time applicable to such prior r edemptLon as set forth in the proceedings authorizing the out s tanding securities , are strictly observed. (2) It is th i nte nt ion of th g neral assembly in this see- n o m ke 1t c r in hold r of no outstanding bond or other s curity m y b comp 11 d to surrend er such security -77- • . • • , • • • for funding or refunding or othe r payment prior to its stated maturity or optional date of prior redemption expressly re- served therein, if any, even though such funding or refunding or other payment might result in financial benefit to the dis- trict. 32-12-526. Surrender of distr i ct securities by state. Not- withstanding the provisions of section 32-12-525 or of any other law, this state, acting by and through the state agency authorizing the acquisition of district bonds or other district securities, may agree with the board to exchange any outstanding securities of the district and held by the state, or any agency, corporation, department, or other instrumentality of t hz state, for funding or refunding bonds or other funding securities of the distr ict , or otherwise to surrender at such price and time and otherwise upon such conditions and other terms and in sucia manner as may be mutually agreeable, to the district for funding or refunding or other payment at any time prior to their respec- tive maturities or to any date as of which the district has the right and option to call on its behalf such outstanding securi- ties for prior redemption as expressly provided in the outstand- ing securities and any resolution, trust indenture , or other pro- ceedings authorizing their issuance. 32-12-527. Notes and warrants. (1) Notes and warrants desig- nated in section 32-12-501 (2) may mature at such time or times, not e x ceeding one year from the date or the respective dates of the1.r issuanc , as the board may determ ine . (2) The notes and warrants shall no be extend d or funded e xcept by th 1.ssuance of bonds or int rim d bentur s in com- plianc w1. h n t.hls 1.r 1cl 32-1:!-528 . m y l.SSU s c 1ons 32-12-558 o 32-12-563 and o h r provisions up lem n al th r o. 1.on secur1.t1. s . (1) Th district any of th followi ng yp s of -78- • . • • , J-- • • • district securities, payable from taxes, or payable from taxes and additionally secured as to their payment by a pledge of net revenues or gross revenues, as the board may determine: (a) Notes, (b) Warrants, (c) Interim debentures, (d) Bonds, and (e) Temporary bonds. 32-12-529. Special obligation securities. (1) The district may issue as special obligations any of the following types of district s e curities, in anticipation of n et pledged revenues, but not under any circumstances under their terms and the pro- ceedings authorizing their issuance in anticipation of taxes or in anticipati o n of gross pledged revenues. (a) Notes, (b) Warrants, (c) Interim debentures, (d) Bonds, and (e) Temporary bonds. (2) Such special obligation district securities may be pay- able from, secured by a pledge of, and constitute a lien on net pledged revenues. 3 2-12-530. Covenant to pay op ration and maintenance expenses . Any resolution uthorizing th 1 suanc of gen ral obligation district secur1t1es pay ble from gross r v nu s or any indenture or other proce d i ngs p r a1n1ng of the dis rict that to th o may co n a1n a covenant requ1r d, as provid d herein, h dis ric shall pay operation and main nance xpenses by ap- ro ri~ ion fro 1t~ g n r 1 fund nd hat to th on ys ccount d for her 1n r insuffic1ent for th t purpos h~ di.., r1 sh 11 1 vy ax s h r for , subjec o h limi a- ions p rtaining o such xp n s a nd (1) (d). -79- in s c ion 32-12-218 (1) (c) ' • • , • • 32-12-531. S e curities constituting indebtedness. (1) Any outstanding general obligation bonds, any temporary general ob- ligation bonds to be exchanged for such definitive bonds, and any gener al obligation interim debentures constitute outstand- i ng inde btedn ess of the district and exhaust the debt-incurring power of the district under the d e bt limitation pertaining there- to in 32-12-534 . (2) Any general obligation notes and general obligation war- rants shall be issued within budget limitations and unencumbered appropriations and s hall not constitute i ndebtedness. 32-12-532. Securities not constituting indebtedness. Any other district securities (except general obligation notes and general obligation warrants) constitute special obligations of the d istrict , and all such other securitie s (including all notes and warrant s , general obligations or spec ial obligations, pay- able within one year from date) do not constitute outstanding indebtedness of the district and do not exhaust its debt-incurring power und er any such debt limitation. 32-12-533. Election to authorize debt. Subject to the provi- sions of sections 32-12-564 and 32-12-5 66, no indebtedness shall b e incurred by the issuance of district securities or by any con- tract by which the district agrees to repay as general obligations of the district to the federal government or to any public body over a term not limited to the h e n current fiscal year any pro- jec cos s dvanced thereby under any contract for the acquisi- tion or ~mprov m n of he f cil~ i s or any interest therein, or for any proJect, advanced by he issuance of securities of such a public body to defr y ny cos of th proj ct or of he fa~ili ~or n in h~r 1n h e r eby cquir d and becoming p r o f h d1 ric ·~ dClll 1es, oro herwis advanced, un- ·~~ a p ropoq 1 of issuing th rlis ric 's general obligation bonds or of incurring n ind bt dn ss by he district by m king such a con r c is submi d o he 1 ctors o he distric and -80- ' • • • • • is approved by a majority of such electors voting on the propo sal at an election held for that purpose in accordance with part 4 of this article and with all laws amendatory thereof and sup- plemental the reto. 32-12-534. Limitations upon incurring debt. (1) The aggre- gate amount of indebtedness of the district evidenced by dis- trict securities and otherwise by contract with the federal government or any public body, or otherwis e , shall not at any time exceed three per cent of the valuation for assessment of the taxable prope rty within the district as shown by the last preceding asses5men t for the purposes of taxation, except as otherwise provided in this article. (2) o debt within such debt limitation at the time it is incurred by the issuance of district securities or by otherwise obl1ga ing he district under contract shall become invalid because of any reducti ~n subsequ ntly of the distric 's debt- incurring power for any reason. (3) Nothing in this article authoriz s the creation of an indebtedness by any public body located wholly or in part within the district or elsewh re. 32-12-535. Interest and prior redemption charges . Interest on any district securities or on any moneys directly or in- directly advanc d by the federal government or ny public body and to be repaid by the district under any contract, any prior redemption premiums due in connection with the prepaym nt of ny such s curities, and ny oth r prepayment charg s du from he district under any contract, do not constitute indebtedness under thi s rticle , except as otherwis provided in s ctions 32-12-564 (1) { l and 32-12-566 (3). 32-12-53 . R~c1tals in securiti s. (1) The distr1ct securi- i s issu d h ere under, designated in section 32-12-501 2), and constitut1ng sp c1 1 ob1ig tins, sh 11 r ci in subs ance that -81- • • t • • • • the securities, the interest thereon, and, if relevant, any prior redemption premiums due in connection th e rewith, are payable solely from the net revenues pledged to the payment thereof. (2) District securities issued under this article and con- stituting general obligations shall pledge the full faith and credit of the district for their payment, shall so state, and shall state that they are payable from t3xes. (3) General obligation district securities the payment of which is additionally secured by a pledge of revenues, shall recite in substance, in addition to the statements required by subsection (2) of this section, that the payment of the securi- ties, the interest thereon and, if relevant, any prior redemp- tion premiums due in connection therewith, is additionally se- cured by a pledge of the net revenues or the gross revenues, as the case may be, designated in the securities. 32-12-537. Consolidated bond fund. Payment of the principal of, the interest on, and any prior redemption premiums due in connection with, gener a l obligation bonds may be made from a consolidated bond interest and redemption fund of the district except as otherwise provided in any proceedings pertaining to outstanding district securities or in any other contract. 32-12-538. Securities tax levies. (1) There shall be levied annually a special tax on all taxable property, both real and personal, within the territorial limits of the district, fully suffic1ent, withou regard to any statutory limitations existing now or after the adop ion of this article, except for any notes or warran s, to pay he i nterest on th general obligation dis- trict securities nd o pay and re ire the s me as provided in this article and any law supplem nt hereto. The amount of money to b r is e d by such x h 11 b included in th annual estim te c r u~ ~ for he dis r i for e ch y r for which such t x is u1r d o be 1 v 1 d. Such x sha ll b 1 v1 d and collected m nn r ~nd h e s m tim as other taxes of he dis- ric ar 1 vi d nd coll c ed. (2) Subj c o h provision of s c 1on 32-12-537 h pro- c ds of ny uch x 1 v1 d o p y in on such a curiti -82- • • ' • • • • • of any series shall be kept by the district treasurer in a spe- cial account separate and apart from all other funds, and the proceeds of the tax levied to pay the principal of such securi- ties shall be kept by the treasurer in a special account, se- parate and apart from all other f unds, which two special ac- counts shall be used for no other purpose than the payment of the interest on the securities and the principal thereof, re- spectively , as the same shall fall due, except to the extent pro- vision has been made in the principal account to pay prior redemp- tion premi ums thereafter becoming due. 32-12-539. Initial levies. (1) Such tax shall be levied immediately after the issuance of any general obligation securi- ties issued in accordance with the provisions of this article, at the tim s and in the manner provided by law, and annually thereafter until all of th securities, th e interest thereon, and any prior r demp 1on premi um s due in connection therewith, shall have been fully discharged. (2) Such tax may be f1rst levied after the district, acting by and through the board, has contracted to sell any securities but before th ir issuance. 32-12-540. Payments from general fund. Any sums coming due on any gen ral obligation district securities at any time when there ar no on hand from such tax levy or levies sufficient funds to pay he s me sha ll be promptly paid when due from the gener 1 fund of the district, reimbursement to be made to such general und 1n th sums thus advanced when the taxes provided for 1n hi r 1cle have b en collected. 32-12-541. Use of other moneys. The district may apply any funds (o h r han taxes) tha may b ava1lable for that purpose o h p ym n of th pr1ncipal of, ny prior redemption premiums u i n conn c 10n w1th, or the 1nt rest on, any gener 1 obligation d1 ric s curl 1es, or ny comb1nation th reof, as the sam ly b com du , includ1ng, wi hout limita ion, th p y- m n of g n r l oblig ion bond s provid d in section 32-12-537, -83- • . • • , • • regardless of whether the payment of the general obligation dis- trict securities is additionally secured by a pledge of revenues, and upon such payments, the levy or levies of taxes provided in this article may thereupon to that extent be diminished. 32-12-542. Appropriation of taxes. There is by this article, and there shall be by resolution authorizing the issuance of any indebtedness contracted in accordance with the provisions of this article, specially appropriated the proceeds of such taxes to the payment of the principal thereof, any interest thereon, any any prior redemption premiums or other prepayment charges due in connection therewith; and such appropriations shall not be repealed and the taxes shall neither be postponed nor diminished, except as otherwise expressly provided in this article, until the principal of, any interest on, and any such premiums or charges due in connection with, the district securities evidencing such debt or other indebtedness evidenced by other contract have been wholly paid. 32-12-543. Special obligation limitations. None of the cove- nants, agreements, representations, and warranties contained in any resolution authorizing the issuance of bonds or other dis- trict securities issued under the provisions of this article, designated in section 32-12-501 (2), or other obligations other- wise incurred under this article, and constituting special obli- gations, or in any other instrument pertaining thereto, in the absence of any breach thereof, shall ever impose or be construed as imposing any liability, obligation, or charge against the district (except the special funds pledged therefor) or against the general credit of the district, payable out of the general fund of the district, or out of any funds derived from taxation. 32-12-544. Purchase price and interest. (1) Any district securities designated in section 32-12-501 (2) and otherwise issued und r this article, as m y be provided by th board in a resolution authorizing th ir issuance and in any indenture or other proc edings pertaining ther to, may be issued at, above, or b low par, at a discount not xc eding sev n p r cent of th principal amount of th a curiti s; but they may not -84- • • • • • be issued at a price such that the net effective interest rate of the issue of securities exce e ds the maximum net effective interest rate authorized. (2} Such district securities shall bear interest at a rate or rates such that the net effective interest rate of the issue of securities does not exceed the maximum net effective interest rate authorized. 32-12-545. Public and private sales. sold at public or private sale. (1} Notes may be (2} Warrants may be issued to evidence the amount due to any person furnishing services or materials as provided in this article. (3} Bonds constituting general obligations and bonds consti- tuting special obligations may be sold at public or private sale. (4} Temporary bonds shall be issued to a purchaser of the definitive bonds in anticipation of the exchange of the former for the latter. (5} Inte r i m debentures may b e so l d at public or private sale. 32-12-546. Notice of public sale. (1} Before selling any district securities publicly, the board shall: (a) Cause a notice calling for bids for the purchase of the securities to b e p ublished once a week for four consecutive weeks by four weekly i n se rtions a w ek apart, the first publi- c ation to b no t mor tha n th i rty days nd not less than tw nty- two d a y s n c x p r ced ing th with in t h bound rLes o t h n h r 1n; n d a t e of sale , i n a newspaper published dis nc n d ha v i ng gen e r a l cir c ul a- lb) C use uch oth r n LC 0 ~ v n s the board may i rec -85-• • ' • • • 32-12-547. Contents of sale notice. (l) The notice shall: (a) Specify a place and designate a day and the hour thereof subsequent to the date of the last publication when sealed bids for the purchase of the securities shall be received and opened publicly ; (b) Specify the maximum rate of interest and the maximum net effective interest rate which the securities shall bear; and (c) Require each bidder to submit a bid specifying the lowest rate or rates of interest and premium, if any, at which the bid- der will purchase the securities, at or above par, or, if so per- mitted by the board, below par at a discount not exceeding the maximum discount fixed by the board pursuant to section 32-12-544. 32-12-548. Bid requirements. (l) All bids shall: (a) Be in writing and be sealed; and (b) Except any bid of the federal government, the state, or any board or department thereof, if one is received, be ac- companied by a deposit of an amount of at least two percent of the principal amount of the securities, either in cash, or by cashier's check or treasurer's check of, or by certified check drawn on, a solvent commercial bank in the United States, which deposit shall be returned if the bid is not accepted. 32-12-549. Acceptance of best bid. (l) Subject to the right of the board to reject any and all bids, the securities shall be sold to the responsible bidder making the best bid. (2) If th r are two or more equal bids for the securities and such equal bids are the best bids received nd for not less than the principal amount of the securities and accrued interest, exc pt for any p rmitted discount, the board shall determine which bid h 11 be ace ptcd. -1 -so. _b1 ds. (1) If b1.d is cc pt d, ll c r bl d rs sh 11 b ct 11 d pos1.ts shall b Wl. h. -8 - upon r turn d. re urn d forth- • . • • I • • • • • (2) If the successful bidder fails or neglects to complete the purchase of the securities wi thin thirty days following the acceptance of his bid, or within ten days after the bonds are mad e ready and are tendered by thP. district for delivery, whichever is later, the amount of his deposit shall be for- feited to the district (but no bidder shall forfeit such de- posit wheneve r the securities are not ready and so tendered for delivery within sixty days from the date of the acceptance of his bid) , and the board may accept the bid of the person making the next best bid. (3) If all bids are rejected or if no bid is received, the board may sell the securities at public or private sale. 32-12-551. Bond maturities. (1) General obligation bonds shall mature within not exceeding forty years from their date or respective dates and commencing n o t later than the fifth year thereafter, in such manner as the board may determine. (2) Special obligation bonds shall mature within not exceed- ing fifty years from their date or resp e ctive dates. 32-12-5 52 . Prior redemption provisions. The board may pro- vide for the rede mpt ion prior to maturity at the option of the district of any or all of the bonds or othe r district securi- ties designat d 1n sec t ion 32-12-501 (2), in such order, by lot, or othe rw is , such tim or t i mes, withou or with the paym n o such prem1um or premi ums not e x ceeding seven per cent of the principal amou n of each bond or o h r security so red e med , and otherwise upon such terms as may b provided by the board in th resolution authorizing h issuance of .... it i 2-12-5 3. r o er 1n -87- cr aining o. Th bo rd, 1n any • . • • , • • • • • • resolution authorizing the issuance of bonds or other securi- ties designated in section 32-12-501 (2) or in any instrument or other proceedings pertaining thereto, may create special funds and accounts for the payment of the cost of a project, of operation and maintenance expenses, of the securities, in- cluding the accumulation and maintenance of reserves therefor, of improvements, including the accumulation and maintenance of reserves therefor, and of other obligations pertaining to the securities, any project, the facilities, or any part thereof. 32-12-554. Covenants and other provisions. (l) Any resolu- tion providing for the issuance of any bonds or other district securities under this article payable from plecged revenues, and any indenture or other instrument or proceedings pertain- ing thereto, may at the discret ion of the board contain cove- nants or other provisions, notwithstanding such covenants and provisions may limit the exercise of powers conferred by this article, in order to secure the payment of such securities, in agreement with the holders of such securities, including, with- out limitation, covenants or other provisions as to any one or more of the following: (a) The pledged r even ues and, in the case of general obliga- ions, th taxes to be fixed , charged, or levied, and the col- lection, use, and disposition thereof, including, without limi- tation, the foreclosure of liens for delinquencies, the discon- tinuance of services, !acil1ti s, or use of any properties or facilities, prohibition against fre service , the collection of penalties and collection cos s, and the usc and disposition of any mon ys of the district, derived or to be derived from any d n · h1 • c -88-• • ' • • • • I • • I (b) The acquisition, improvement, or equipmc. L ~f a.: or "' any part of properties pertaining to any project or the faci- lities: (c) The creation and maintenance of reserves or sinking funds to secure the payment of the principal of and interest on any securities or of operation and maintenance expenses of the facilities, or any part th reef, and the source, custody, security, regulation, use, and disposition of any such reserves or funds, including, without lirni a ~on, he powers and duties of any trustee with regard th r o: (d) A fair and reasonab l paym n by he district from its general fund or other available moneys to the account of any designated facilities for services rendered thereby to the district: (e) The payment of the cost of any project by delineating the purpose or purposes to which the proceeds of the sale of securities may be applied, and the custody, security, use, expenditure, application, and disposition thereof; (f) The temporary investment and any reinvestment of proceeds of bonds, other securities, any taxes, or pledged revenues, or any combination thereof, in federal securities and other securities issued by the federal government; {g) The pledge of and the creation of a lien upon pledged revenues or the proceeds of bonds or other district securities pending their application to defray the cost of the project, or both such revenues and proceeds of such securities, to secure the payment of bonds or other securities issued under this article; (h) The payment of the principal of and interest on any securi- ties, and any prior redemption premiums due in connection there- wl h , '' d he ~o urc s and methods h reof, h rank or priority Jf n s~cur ~ s s tc any li n or security for payrn nt, or r~ cc ler t ·on of ny m urity of ny securities , or the issuanc of oth r or additional s curities payable from or -89- • • ' • • • • • • constituting a charge against or lien upon any pledged revenues or other moneys pledged for the payment of securities and the creation of future liens and encumbrances thereagainst; (i) The use, regulation, inspection, management, operation, maintenance, or disposition, or any limitation or regulation of the use , of all or any part of the facilities or any property of the district pertaining thereto; Ul The determination or d efinition of pledged revenues from the facilities or of operation and maintenance expenses of the faciliti es , the use and disposition of such revenues, and the manner of and limitations upon paying such expenses; (k) The creation of special funds and accounts pertaining to any pledged revenues or to the bonds or other securities issued under this article; (l) The insurance to be carried by the distr ict or any person in interest and use and d isposition of insurance moneys, the acquisition of completion, performance, surety , and fidelity bonds pertaining to any project or funds, or both, and the use and disposition of any proceeds of such bonds; (m) Books of account , the inspection and audit thereof, and othe r r ecords pertaining to any project, the facilities, any part thereof, or pledged revenues; (n) The assumption or payment or di scha rge of any obliga- tion, lien, or other claim relating to the fac~lities, any part thereof, any project , or any securitie s having a lien on any part of any pledged revenues or other moneys of the district; (o) Limitations on the powers of the district to acquire or operate, or permit the acquisition or operation of, any ~ ru ur s or p ropPr i s which may comp e e or tend to compete facill s ; tp) h v s ~n q ~n a corporate or other trustee such pro- perty, rights, powers, and duties in trust as the board may determin which may include any or all of the rights, pow rs, -90- • . • • ' • • • and duties of the trustee appointed by the holders of securities, and limiting or abrogating the right of such holders to appoint a trustee, or limiting the rights, duties, and powers of such trustee; (q) Events of default, rights, and liabilities arising there- from, and the rights, liabilities, powers, and duties arising upon the breach by the district of any covenants, conditions, or obligations; (r) The terms and conditions upon which the holders of the securities or any portion, percentage, or amount of them may enforce any covenants or provisions made under this article or duties imposed by this article; (s) The terms and conditions upon which the holders of the securities or of a specified portion, percentage, or amount thereof, or any trustee therefor, shall be entitled to the appointment of a receiveer, which receiver may enter and take possession of any facilities or service, operate and maintain the same, prescribe fe e s, rates, and other service charges, and collect, receive, and apply all revenues thereafter arising therefrom in the same manner as the district itself might do; (t) A procedure by which the terms of any resolution author- izing securities, or any other contract with any holders of securities, including, without limitation, an indenture of trust or similar instrument, may be amended or abrogated, and as to the proportion, percentage, or amount of securities the holders of which must consent thereto, and the manner in which such consent may b e given. (u) Th terms and conditions upon which any or all of the securities shall become or may be declared due before maturity, and as to the terms and conditions upon which such declaration < .. • s C<)n qu n s m..ty b ' "' 1 v d 1 nd v A l such c t s nd t .:.ng s a s ma y b n e cessary or conven- 1 n o r e 1 r bl in ord r to s cure the securities , or in the discr tion of th bo rd t nd to mak the s curities mor -9 1- • . ' • • ' 1- • • • • • marketable, notwithstanding that such covenant, act, or thing may not be enumerated in this article, it being the intention of this article to give the board power to do in the name and on b e half of the district all thi ngs in the issuance of district securit ie s and for their security except as expressly limited in this article. 32-11-555. Liens on pledged revenues. (1) Revenues pledged for the payment of any securities, as received by or otherwise credited to the district, shall immediately be subject to the lien of each such pledge without any physical delivery thereof, any filing, or further act. (2) The lien of each such pledge and the obligation to per- form the contractual provisions made in the authorizing resolu- tion or other instrument pertaining thereto has priority over any or all other obligations and liabilities of the district, except as may be otherwise provided in this article or in the resolut i on or other instrument, and sub j ect to any prior pledges and liens theretofore created. (3) The lien of each such ple dge sha ll be valid and binding as agai nst all persons having claims of any kind in tort, contract, or otherwise against the distri c t irrespective of whether such persons have noti ce thereof. 32-12-556. Rights and powers of securities holders. (1) Subject t o any contrac tual limitations binding upon the holders o f any is su e or series of district securities, or trustee there- for, i n c lud ing , wi t hout limitation, the restriction of the exe r cise o f any remedy to a specified proportion, percentage, or number of s u ch h olde rs, and sub jec t t o a ny pri or or super i or rights of others , any hold er of securities , o r tru stee t herefor, 1 havt: th rtght nd pow , for th qual benefit and pro- ~t~o of a ll hold rs of ~curit~ s similarly situ ated : (a) y mandamus or oth r suit, action, or proceed i n g at law or in quity to enforce his rights against t h e d istr ict , th -92- • • • • • • board, and any other of the officers, agents, and employees of the district, to require and compel the district, the board, or any such officers, agents, or employees to perform and carry out their respective duties, obligations, or other commitments under this article and under their respective covenants and agreements with the holder of any security; (b) By action or suit in equity to require the district, to account as if it is the trustee of an express trust; (c) By action or suit in equity to have appointed a re- ceiver, which receiver may enter and take possession of any facilities and any pledged revenues for the payment of the securities, prescribe sufficient charges derived from the facilities, and collect, receive, and apply all pledged revenues or other moneys pledged for the payment of the securities in the same manner as the district itself might do in accordance with the obligations of the district; and (d) By action or suit in equity to enjoin any acts or things which may be unlawful or in violation of the rights of the holder of any securities and to bring suit thereupon. 32-12-557. Receivers. (1) If ~ resolution of the board authorizing or providing for the issuance of any securities of any series or any other proceedings pertaining thereto con- tains a provision authorized by section 32-12-554(1) (s) and further provides in substance that any trustee appointed pursuant to section 32 -11-554(1) (p) shall have the powers provided therein, then th holders of such securities or such trustee, whether or not all of the bonds or other securities of such series have been declared du and payable, shall be en- titled as of right to th appointm nt of a receiv r of the facili- c pert lnlnl h r o . 1 2 ) Any rece1v r appoi n d as permit d by section 32-12- 5~4(1) (s) may en t er upon and tak possession of the faciliti s and any prop rty pertaining ther to, and subject to any pl dg -93- ' • • 1- • • • • or contract wit1. the holders of such securil es, shall take possession of all moneys and other property derived from or applicabl e to the acquisition, operation, maintenance, improve- ment or equipment, or any combination thereof, of the facilities and proceed with such acquisition, operation, maintenance, improve~ent or equ ipment , or any combination thereof, which the board on the behalf of the district is under any obliga- tion to do, and operate , maintain, improve , and equip , or any combination thereof, th facilities, and fix, charge, collect, e nforce, and rece i v e the service charges and all revenues there- after arising subject to any pl dg thereof or contract with the holders of such securi i s relating the reto and perform the public duties and ca r ry ou the contracts and obligations of the district in the same manner as the board itself might do and under the direction of the court. 32-12-558. Issuance of interim debentures. (1) Notwith- standing any limitation or other provision in this article, whenever the issuance of general obligation bonds for any project has been approved at an election held in accordance with this article, the district is authorized to borrow money without any other election in anticipation of the receipt of the proceeds of taxes, the proceeds of the bonds, the proceeds of pledged revenues, or any other moneys of the district, or any combination thereof, and to issue general obligation interim debentures to evidence the amount so borrowed. (2) The district also is authorized to borrow money without any e l ec tion in anticipation of the proceeds of revenue bonds of the distr ict and of its pledg d revenues, or any combination thereof, but exclud i ng the proc eds of any taxes, and to issue special obligation interim debentures to evidence the amount so borrowed. 32-12-559. Limitations upon funding and refunding securities. (l, Subj c o h provisio s of subs ctions (2) to (4) of h~ • c ion, nothing in his articl authorizes the district l SSU ny di tric sccuriti s cons i uting a d e bt for the purpos of fundin or r funding dis rict s curities const i tu- ting sp ci 1 ob1ig ions and no con stituting an indebtedness. -94- ,._ • • f • • • • • (2) Any special obligation securities of the district per- taining to any project may be fund ed or refunded by general obligation securities pertaining to the pro ) only if the dis- tric is authorized to issue general obl1ga 1on bond& pertaining to the project at an election h ld 1n he manner prov1d d in section 32-12-533. (3) No general obligat1on securities pertaining to the pro- ject and creating an indebtedn ss, by fund1ng or refund i ng spe- cial obligation securit1 s or o herw1s (in contradistinction to funding or refund ing s cur1 1 debtedness formerly ev1d n funded) , shall be issued 1n a debt limitation in secti on 3 -1 -53 4. r ely reevidencing an in- s curi t1es funded or re- al ount exceeding the (4) No bonds of the distri ct shall b refunded by the issuance of its interim debentures, its notes, or its warrants. No in- terim debentures of the district shall be funded by the issuance of its notes or its warrants. 32-12-560. Interim debenture details. (1) Any interim deben- tures may mature at such time or times not exceeding a period of time equal to the estimated time needed to effect the project for which they are issued or for which the bonds are authorized to be issued, but not exceeding five years from the date or respec- tive dates of the interim debentures, as the board may determine. (2) The proceeds of interim debentures shall be used to defray the cost of the project. (3) Any notes or warrants or both may be funded with the pro- ceeds of interim debentures, as well as bonds. (4) Except as otherwise provided in sections 32-12-558 to 32-12-563, interim debentures shall be issued as provided in this article for district securities in sections 32-12-502 to 32-12-557 and 32-12-703 to 32-12-708. 3 -12-561 . ures. (1) Except s othcrw1s prov1d d in section 3 2-12-559, the proceeds of tax s, pledged rev nu s, and other moneys, including, withou limita- -95- ' ' ' • • f • • • tion, proceeds of bonds to be issued or reissued after the issuance of interim debentures, and bonds issued for the pur- pose of securing the payment of interim debentures, or any combination thereof, may be pledged for the purpose of se- curing the payment of interim debentures. But the proceeds of taxes and the proceeds of bonds payable from taxes, or any combination thereof, shall not be used to pay any special ob- ligation interim debentures, and their payment shall not be secured by a pledge of any such general obligation bonds, except as otherwise provided in section 32-12-559. (2) Any bonds pledged as collateral security for the payment of any interim debentures shall mature at such time or times as the board may determine, except as othe rwise provided in sec- tion 32-12-551. (3) No bonds pledged as collateral security shall be issued in an aggregate principal amount exceeding the aggregate prin- cipal amount of the interim debenture or interim debentures secured by a pledge of such bonds, and they shall not bear in- terest at any time which, with any interest accruing at the same time on the interim debenture or interim debentures so secured, exceeds either the maximum interest rate or the maximum net effective interest rate authorized. 32-12-562. Funding interim debentures. No interim deben- tures issued pursuant to the provision s of sections 32-12-558 to 32-1~-561 shall be exte nded or funded except by the issu- ance or reissuance of a bond or bonds in compliance with sec- tion 32-12-563. 32-12-563. Funding bonds. (1) For the purpose of funding any interim deb ntures, except as oth rwis provided in section 32- 12-559, any bonds pl dged as collateral security to secure the ·11 n n r 1m d ur s , u ~n h ir surr nd r s pl dged pr !<-!'" y , n nd ny bonds not nr v1ou y 1s urd u u thor1z d o be i s u d t an 1 ction pur- suant to section 32-12-533, nd ny bonds au horiz d o b issued -96- ' • • \ , I I , " 1 • • • under this article without an election, for a purpose or purposes the same as or encompassing the purpose or purposes for which the interim debentures were issued, may be issued for such a funding. (2) Any such bonds shall mature at such time or times as the board may determine, except as otherwise provided in sec- tion 32-12-551. (3) Bonds for funding, including, without limitation, any such reissued bonds, and bonds for any other purpose or pur- poses may be issued separately or issued in combination in one series or more. (4) Except as herein otherwise provided in section 32-12-559 to 32-12-563, any such funding bonds shall be issued as is pro- vided herein for other bonds. 32-12-564. Refunding bonds. (1) Subject to the provisions of section 32-12-559, any general obligations bonds or special obligation bonds of the district issued in accordance with the provisions of this article or any other law and payable from any pledged revenues, and any general obligation bonds of the district so issued but not payabl e from pledged revenues, may be refunded on behalf of the district by the board, by the adoption of a resolution by the board, and by any trust inden- ture or other proceedings pertaining thereto, authorizing with- out any election the issuance of refunding bonds to refund, pay, and discharge all or any part of such outstanding bonds of any one or more or all outstanding issues: (a) For the acce l e ration, d e e l ration, or other modification of the payment of such obligations, including, without limita- tion, any capitalization of any interest thereon in arrears, or about to becom due for any period not exceeding three years r ~ h d o ~P r efund i n g bond s , i f, i n th case of bonds n 1 d~b e d ~ , th increase in the i nd btedness n 1 c 10n he ld in the manner provided in -9 7- •. • • ' \ t 1-- • • • section 32-12-533, and if the capitalization of interest on the . bonds constituting an indebtedness does not increase the dis- trict debt in excess of the district's debt limitation in sec- tion 32-12-534; or (b) For the purpose of reducing interest costs or effecting other economies; or (c) For the purpose of modifying or eliminating restrictive contractual limitations pertaining to the issuance of additional bonds, otherwise concerning the outstanding bonds, or to any facilities pertaining thereto; or (d) For any combination of such purposes. 32-12-565. Method of issuing refunding bonds. (1) Subject to the provisions of sections 32-12-525 and 526, any such bonds issued for refunding purposes may either be delivered in ex- change for the outstanding bonds being refunded or may be publicly or privately sold. (2) The refunding bonds, or any part thereof, except as limited by section 32-12-568 (2), may be exchanged by the dis- trict for federal securities and other securities of the federal government which have been made available for escrow investment by any purchaser of refunding bonds, upon terms of exchange mutually agreed upon, and any such securities so re- ceived by the district shall be placed in escrow as provided in sections 32-12-567 and 32-12-568. 32-12-566. Conditions for refunding. (1) No such bonds may be refunded under this article , unless they have been outstand- ing for at least one year from the date or respective dates of their d e livery, and unless the holders thereof voluntarily sur- ~r ex~ ng or p~j ~n t , o r unle s s they either mature r r r pr1or fl emptl.on under th i r terms within i te n y r~ fr o m the a of iss u ance of th refunding bonds. -98- • • ·' \ I ' , ! • • Provis ion shall be made for paying the securities within such period of time. (2) No maturity of any bond refunded may be extended over fifteen years, or b eyond one year next following the date of the last outstanding maturity, whichever limitation is later, if any. The rate of interest on such refunding bonds shall be determined by the board. (3) The principal amount of the refunding bonds may exceed the principal amount of the refunded bonds if the aggregate principal and interest costs of the refunding bonds do not exceed such unaccrued costs of the bonds refunded, except to the extent any interest on the bonds refunded in arrears or about to become due is capitalized with the proceeds of the refunding bonds. Principal may also then be increased to that extent. In no event, however, in the case of any bonds constituting a debt, shall the principal of the bonds be in- creased to any amount in excess of the debt limitation in section 32-12-534, or increased unless the increase in the indebtedness is authorized at an election held in the manner provided in section 32-12-533. (4) The principal amount of the refunding bonds may also be less than or the same as the principal amount of the bonds being refunded if provision is duly and sufficiently made for their payment. 32-12-567. Disposition of refunding bond proceeds. (1) Except as otherwise provided in this article, the proceeds of such refunding bonds shall either be immediately applied to the retirement of the bonds to be refunded, or be placed in escrow or trust in any trust bank within or without or both n w1 l.vu is o b applied o he payment of •h .-'""" , bond or hi" rP un d1 ng bond , or both, upon their p~ tation th r for to th xtent, in such priority nd other- wise in he mann r whi ch the board may determine. -99- • • , • • (2) The incidental costs of refunding bonds may be paid by the purchaser of the refunding bonds or be defrayed from any general fund (subject to appropriations therefor as otherwise provided by law) or other available revenues of the district under the control of the board or from the proceeds of the re- funding bonds, or from the interest or other yield derived from the investment of any refunding bond proceeds or other moneys in escrow or trust, or from any other sources legally available therefor, or any combination thereof, as the board may determine. (3) Any accrued interest and any premium pertaining to a sale of refunding bonds may be applied to the payment of the interest thereon or the principal thereof, or to both interest and principal, or may be deposited in a reserve therefor, or may be used to refund bonds by deposit in escrow, trust, or otherwise, or may be used to defray any incidental costs per- taining to the refunding, or any combination thereof, as the board may determine. 32-12-568. Administrat ion of escrow or trust. (1) No such escrow or trust shall necessarily be limited to proceeds of re- funding bonds but may includ other moneys available for its purpose. (2) Any invested or n ys 1.n e c r or rust , pending such use, may be and, in the cas of an scr or r fund1.ng of outstanding dis- trict sp cial o o u no g n ral obligation) securiti s, in oth r a curl. i s 1.aau d by h f d ral government if th resolut1.on au hor1.zing h 1.s uanc of such outstanding dis- trict s curities or any rus 1.nd n ure or other proc ding s 0 y ny uch inve nt or 1n ... uc.'l s ss d by the fed ral governm nt •'I r h n f d r 1 securi i s. (3) Any moneys in escrow or trua may be inv at d or r in- -100- ' • • ' • • invested in federal securities or other securities of the federal government issued in book-entry form on books of the Department of the Treasury, Bureau of Public Debt, or on other books of the federal government. (4) Any trust bank accounting for federal securities and other securities issued by the federal government in such es- crow or trust may place them for safekeeping wholly or in part in any trust bank within or without or both within and without this state. (5) Any trust bank shall continuously secure any moneys placed in escrow or trust and not so invested or reinvested in federal securities and other securities issued by the federal government by a pledge, in any trust bank within or without or both within and without the state, of federal securities in an amount at all times at least equal to the total uninvested amount of such moneys accounted for in such escrow or trust. (6) Such proceeds and investments in escrow or trust, to- gether with any interest or other gain to be derived from any such investment, shall be in an amount at all times at least sufficient to pay principal, interest, any prior redemption premiums due, and any charges of the escrow agent or trustee and any other incidental expenses payable therefrom, except to the extent provision may have been previoualy otherwise made therefor, as such obligations become due at their respective maturities or due at designated prior redemption dates in con- nection with which the board has exercised or is obligated to exerci se a prior redemption option on behalf of the district. (7) The computations made in determining such sufficiency q ~1 ~ vrrif iP by a c r i "pd p ublic ccount nt l i e nsed o r t1c 12-' -~ n th or ~n ny oth r st te . of ref unding bonds. Refund- i ng bonds may be mad payable from any t axes or pledged revenues, -101- . \ ! ! ' • • , • • • • or both taxes and such revenues, which might be legally pledged for the payment of the bonds being refunded at the time of the refunding or at the time of the issuance of the bonds being re- funded, as the board may determine, notwithstanding the taxes, or the revenue sources, or the pledge of such revenues, or any combination thereof, for the payment of the outstanding bonds being refunded is thereby modified, subject to the provisions of section 32-12-559. 32-12-570. Combination of bond purposes. Bonds for refundin and bonds for any other purpose authorized by this article or by any other law may be issued separately or issued in combina- tion in one series or more by the district in accordance with the provisions of this article. 32-12-571. Applicability of other statutory provisions. Except as expressly provided or necessarily implied in sections 32-12-564 to 32-12-570, the relevant provisions elsewhere in this article pertaining generally to the issuance of bonds to defray the cost of any project shall be equally applicable in the authorization and issuance of refunding bonds, including, without limitation, their terms and security, the covenants and other provisions of the resolution authorizing the issuance of the bonds, or other instrument, or proceedings pertaining thereto, and other aspects of the bonds. PART 6 ANNEXATION 32-12-601. Annexation of lands to district. (1) The territorial limits of t he metropolitan district may be enlarged by the anne xat1on of additional real property thereto in the w y t 1 t l on nd con nt o f owner or owners p r u n to s ct1 o ns 32-12-602 nd 32-12-606 ; -102- •. • • • • (b) By petition and approval of the electors resident in the area proposed for annexation pursuant to sections 32-12-603 , 32-12-604 and 32-12-606; and (c) By act i on initiate d by the metropol i tan district pur- suant to sections 32-12-605 and 32-12-606. 32-12-602. Petition of fee owners. (1) The fee owner or owners of any real property contiguous to the territorial limits of the district may f i l e with the board a petition i n writing pray i ng that such property be included in the distr i ct. (2) The petition shall set forth an accurate legal descrip- t i on of the property owned by the petitioners and shall state that assent to the annexation of such property in the district is given by the signers thereto, constituting all the fee owners of such property. (3) The petition must be acknowledged in the same manner required for conveyance of land. (4) There shall be no wi thdrawal from a petition after consideration by the board and no further objections shall be f i led except i n case of f r aud or mi srepresentation. (5) The board shall hear the petiti on at an open meeti ng after the publication of a notice of the filing of such petition, and of the place, time, and date of such meeting, and of the names and addresses of the petitioners, i n a news- paper of genera l ci r c ulation in the county or counties in wh i c h t h e r eal p r o p e r ty p roposed to be annexed is located. (6 ) The boar d shall d ete rm i ne i f s u c h annexati on is f easible and t o the best in t e r e s ts of the d is tri ct. (7) If the board so d termines , the boa r d s h a l l grant t h e n . ( ) If t p~ 1 1 n gr n d to all or any of the r al proper y he r e1n descr 1 bed, the board shall by resolu tion make an order to tha t effect. -103- • • , • • • 32-12-603. Petition of electors. (1) Not less than ten rw r cent or one hundred, whichever number is smaller, of the elec- tors resident in any real property which is contiguous to the district and contains twenty-five thousand or more square feet of land may file a petition with the board in writing praying that such area be annexed to the district; but no single tract or parcel of property, containing ten acres or more, may be in- eluded in any district without the consent of the owner thereof. (2) The petition shall describe the area to be annexed and shall be acknowledged in the same manner as conveyances of land are required to be acknowledged. (3) The secretary of the board shall cause notice of the filing of the petition to be given by publication in a newspaper of general circulati on in the county or counties in which the property is situate d. ( 4) The notice shall state: (a) The fact that such pe ~t ion has been hled; (b) The names of the peti t ~o n e r s ; (c ) The description of the are a desi red t o be i ncluded; (d) The date and place of a hea ring o n t he pr o posed annex- ation; and (e) A statement th a t all p e rsons i nte rested s hall appear at the time and place stated in the notice and show cause in writing why the petition should not be granted. (5) There shall be no withdrawal from a peti t i on after consideration by the board, and no further ob j ect i ons shall be f i led except i n case o f fraud or mi srepre s e ntat i on. (6 ) The b oa r d , a t the t i me and pla ce mentioned i n the n otice , shall proceed to h ar the pe t i t i o n and all written f ,.. . ,... . UJ -- (7) h nd o 1 rM ln 1f such nn x 1on 1s h d~s r~ct . -10 4 - •. • • , • 32-12-604. Annexation election. (l) If the petition is provisionally granted, the board by resolution shall: (a) Make an order to that effect; (b) Direct that the question of inclusion of the area within the district shall be submitted to the electors of the area to be included or annexed; and (c) Order the secretary of the board to give notice by publication of the time and place of the election, to be held, not less than twenty days after first publication of the notice, once a week for three consecutive weeks in a newspaper of general circulation in the area proposed for annexation, commencing at least twenty-one days prior to the election. (2) The annexation election shall be held within the area sought to be annexed and shall be conducted, and the results thereof shall b e determined and declared, in the manner other- wise provided for elections in this article. (3) Only electors resident in such area shall vote on the question. (4) The ballot shall be prepared by the secretary of the district and shall contain the following words: "Shall the following described area (describe it) become a part of the Resource Recovery District of Metropolitan Den- ver? For inclusion ____________________ _ Against inclusion ____________________ _ (5) If a majority of the votes case on the question at such election favor inclusion, the board shall by resolution enter an order making the real property a part of the district. 32-12-605. Annexation initiated by board. (1) At any 10n o dn nn X3tlon 1n1 i t d by the board, 1 by r solution th t r 1 property proposed for nn x 10 (a) Is con iguous to the territorial limits of th district; (b) Cont ina six hundred forty or more acres of land; -lOS- ------------------------ • •. • • , • (c) Has become urbanized by having a population of at least one thousand persons per square mile and having at least five hundred dwelling units per square mile; and (d) Is capable of being served with the facilities of the metropolitan district. (2) Such a resolution shall provisionally order the annex- ation of such area. (3) The secretary of the board shall cause notice of the adoption of the provisional resolution to be given by publication in a newspaper of general circulation in the county or counties in which the property is situated. (4) The notice shall state: (a) The fact that such a provisional resolution has been adopted; (b) The description of the area desired to be included; (c) The date and place of a hearing on the proposed annex- ation; and (d) A statement that all persons interested shall appear at the time and place stated in the notice and show cause in writing why the annexation should not be made final. (5) The board, at the time and place mentioned in the notice, shall proceed to hear all written objections to the proposed annexation and all other matters in the premises. (6) The board shall determine by resolution if such annex- ation is feasible and in the best interest of the district. (7) If the board so determines, the secretary shall furn i sh by mail to the director of the division of local government withln th executi ve department of the state under th seal th t copy o! t prov1sional r esoluti on and ¥esolu 1on anct shall req ue st the director to nn x 10n. -106- ' • • ' • (8) If the director approves the annexation in writing, the board upon the receipt of such approval may by resolution enter its order making the real property a part of the district. 32-12-606. General provisions about annexations. (1) The failure of any person in the metropolitan district or in the area to be annexed to file a written objection to any proposed annexation in a hearing of the board thereon shall be taken as an assent of such person's part to the inclusion in the district of the area described in the notice of the hearing for annexation. (2) The action of the board in its determination that any proposed annexation which it orders is feasible and to the best interests of the district shall be final, conclusive, and not subject to review. ( 3) (a) Whenever the board by resolution enters an order annex ing any r eal property to the metropolitan district, the secretary of the board shall forthw i th file the resolution: (b) With the secretary of state; (c) With the a ttorney general o f th e state ; (d) With the division of local governme nt; and (e) Wi th each the coun ty c lerk, county a sses sor, and county treasurer of the county or counties in whi ch the annexed real property is located. (4) If an order is so entered annexing real property to the metropol i tan distr ict , s uch order shall b e deemed final. The entry of such order shall finally and conclus i vely establish the annexation of the r al p roperty to the district against all persons e x cept the sta e , in a proceed1ng in the nature of quo w rranto , commenced by the attorney gener 1 within thirty .. rt.o lu n r1n uch ord r 1 f1l e d with hlr:l oth 1~1se. Su h n nn x t1on shall no be directly 11 qu st1on i n ny u1 , ction, or proceeding exc pt as expressly u horiz d in h1s sub c 1on (4 ). -107- ' • • f • • (5) After the date of the annexation of such real property to the metropolitan district by the adoption of such resolution, the annexed property shall be liable for its proportionate share of existing bonded indebtedness of the district; but such real property shall not be liable for ~ny taxes or service charges levied or assessed prior to the inclusion of such annexed property in the district, and the entry of the property into the district shall not be made subject to or contingent upon the payment or assumption of any penalty, toll, or charge, other than the taxes and service charges which are uniformly made, assessed, or levied for the entire district except as otherwise expressly provided in this article. (6) The metropolitan district acting by and through the board and the owner or owners of the real property sought to be annexed to the district may enter into an agreement with respect to the terms and conditions on which such property may be annexed. PART 7 MISCELLANEOUS 32-12-701. Budgets , accounts and audits. The district shall adopt a budget for each fiscal year, shall maintain accounts, and shall cause an annual audit to be made perta ining to the financial affairs of the district as respectively provided in the local government budget law of Colorado, the Colorado local government uniform accounting law, and the Colorado local government audit law, being respectively parts 1, 5, and 6 of article 1, title 29, c.R.S. 1973, except as otherwise provided in this ar icle. 32-12-702. Effect of extraterritorial functions. All of ies, r1gh~s , xemptions from p rr.to n, rel1ef, d1sability, w)t n'q c~ nd o herb nefits which apply to th ctivity of o ficers, ag n s, or mployees of th dis r1ct -108- t. ' • • t - • • • or any public body when p e rforming their respective functions within the territorial limits of the respec tive public agencies shall apply to the m the s ame degree and extent while engaged in the performance of any of their functions and duties ex- traterritorially under this article. 32-12-703. Early hearings. (1) All cases in which there may arise a question of validity of any power granted in this arti- cle or of any other provision of this article shall be advanced as a matter of immediate public interest and concern and shall be heard at the earliest practicable moment. (2) The courts shall be open at all times for the purposes of this article. 32-12-704. Decision of board final . The action and decision of the board proceeding under this article as to all matters passed upon by the board in relation to any action, matter, or thing provided in this article shall be final and conclusive i n the abs e nce of fraud. 32-12-705. Correction of faulty notices. In any case where a notice is provided for in this article , if the board or the court finds for any reason that due notice was not given, the board or the court shall not thereby lose jurisdic- tion, and the proceeding in question shall not thereby be void or abated: but the board or court shall order due notice to be given and shall continue any hearing until such time as notice shall be properly given, and thereupon shall proceed as though notice has been properly given in the first instance . 33-12-706. Correction of errors in proceeding. It is the duty of the board, and it sh ll hav th power by any sub- • d1n , t. ... ny mist k s , rrors , or 1n any o h pro ings ment1oned in this -109- •. • • f • • • ( 32-12-707 . Re tention of jurisdiction . (l) Th e board may continue the hearin g upon any petition or resolution or re- • monstrance provided for in this article and shall retain jurisdiction until the same is full y disposed of. (2) The board shall not los e jurisdiction over the acquiring or improving , or acquiring and improving, of any facilities, any part thereof, any project, the levy of any taxes or service charges, th e issuance of any securities, or any other matter provided for i n this article by reason of any adjournment or any delays, errors, mistakes , or irregularities on the part of any director, any district officer, or any other person. 32-12-708. Conclusiveness of board's determination . The determination of the board that the limitations in th is article i mpos ed upon the issuance of bonds or upon the issuance of other securities under this article , both general obligations and special obligations, have been met, shall be conclusive in the absence of fraud or arbitrary and gross abuse of discretion r egardles s of whether the authorizing resolution or the securities thereby authorized contain a recital as authorized by section 32-12-507. 32-12-709. Investments by publ ic bodies. It shall be legal for any public body to invest any permanent state funds or other funds availabl for in v estment in any of the bonds or other securities authorized to be issued pursuant to the provisions of h1s ac if th securities constitute general obligations payable from axes. 32-12-710. Investments by other persons. (1) It is legal for any bank, rus company, banker , savings bank or institution, ~nv hnilrbnn nrt ,,., n 1nq. nd loan ssociation, nd p r on (oth r han public body) usiness, any insur nee company, 1nsur nee assoc1a 1on, or ny oth r p rson (o h r than a public -110- • • • f • • body) carrying on an insurance business, and any executor, adminis- trator, curator, trustee, or any other fiduciary, to invest funds or moneys in their custody in any of the bonds or other securities issued in accordance with the provision of this article . (2) Nothing in this section with regard to legal investments relieves any representative of any corporation or other person of any duty of e xercising reasonable care in selecting securities. (3) It is legal for any general obligation securities issued under this article to be accepted and held as security for the prompt payment of any public d eposits of the state, any agency, instrumentality, or corporation thereof, or any county, city, town, other municipality, school district, other corporate district, or other political subdivision of the state, including, without limita- tion, any authority . 32-12-711. Delegated powers. The officers of the metropolitan district and of each county in which the district is located are authorized and directed to take all action necessary or appro- priate to effectuate the provisions of this article. 32-12-712. Confirmation of contract proceedings. (1) In its discretion the board may file a petition at any time in the di strict court in and for any county in which the metropol itan district is located, praying for a judicial examination and determin ation of any power conferred, or of any securities issued or merely authorized to be issued, or of any taxes or service charges levied or otherwise made or contracted to be levied or otherwise made , or of any other act, proceeding, or contract of the district, whether or not such act, p roceeding, or contract has been taken or e x ecuted , including, without limitation, pro- posed contracts for any project , proposed securities of the di s trict to defray wholly or in part the cost of the project, op c , 1 rov m~n , equ i pment, m a~ntenance, o n o ~ posal of an • prop r ty pe rt ining thereto, or any '-"" t.~on t h of . (2) such petition shall: -111- ' • • • • • (a) Set forth the facts whereon the validity of such power, securities, taxes, charges, act, proceeding, or contract is founded; and (b) Be verified by the chairman of the board. (3) Such action shall be in the nature of a proceeding in rem, and jurisdiction of all parties intere sted may be had by publication and posting, as provided in this article. (4) Notice of the filing of the petition shall be given by the clerk of the court, under the seal thereof, stating in brief outline the contents of the petition and showing where a full copy of any proceeding or contract therein mentioned may be examined. (5) The notice shall be served: (a) By publication at least once a week for five consecutive weeks by five weekly insertions, in at least: (I) A newspaper of general circulation published in the city and county of Denver in the state, and (II) A newspaper of general circulation published in each of the counties of Adams, Arapahoe, Boulder, and Jefferson, and (b) By posting in the office of the district at least thirty days prior to the date fixed in the notice for the hearing on the petition. (6) Jurisdiction shall be complete after such publication and posting. (7) Any owner of property in the district or any other person interested in the proceeding or contract or proposed proceeding or proposed contract or in the premises may appear and move to dismiss or answer the petition at any time prior to the date fixed for the hearing or within such further time as may be allowed by the court. The p titian shall be t ken as confessed by all per- o ppea r. ~on and b sufficient to give the ~ u r 1ur1 d ' 1on , a nd upon he a r i n g th court shall ex mine into and d termine all m tters and things ff cting the qu stion -112- ' • • - • • ( submitted, shall make such findings with reference thereto, and shall render such judgment and decree thereon as the case war- rants. (9) Costs may be divided or apportioned among any contesting parties in the discre tion of the trial court. (10) Review of the judgment of the court may b e had as in other similar cases, except that such review must be applied for within thirty days after the time of the rendition of such judg- ment or within such additional time as may b e allowed by the court within the thirty days. (11) The Colorado rules of civil procedure shall govern in matters of pleading and practice where not otherwise specif- ied in this article. (12) The court shall disregard any error, irregularity, or omission whi ch does not a ffect the substa ntial rights of th parties. (13) All cases in which there may arise a question of the validity of any matter under this section shall be advanced as a matter of immediate public interest and concern and shall be heard at the earliest practicable moment. 32-12-713. Tax exemptions. (1) The effectuation of the powers uthoriz c d in this article a~ in all respect s for the benefit of the people of the state, for the i mprove ment of their health and living condi tions, and for th increas of heir comm rc and prosperity. (2) T h m tropolitan dis rict shall not be rcquir d to pay any tax s upon any prop rty p rtaining o th fac1li ics of th dis- tric or any oth r prop r y author iz d 1n this r icl and u r ht d1 s r1ct's 1n er s 1n ny such ll rt.y. 32 -2-714. (1) xecution or o h r j ud1 c1 1 proc ss shall no 1ns any prop r y -113- • • , • • • ( of the district authorized in this article, and no judgment against the district shall be a charge or lien upon its property. (2) Subsection (1) of this section does not apply to or limit the right of the holder of any district securities, his trustee, or any assignee of all or part of this interest, the federal government when it is a party to any contract with the district, and any other obligee under this article to foreclose, other- wise to enforce, and to pursue any remedies for the enforcement of any pledge or lien given by the district on the proceeds of any taxes, pledged revenues, or any other moneys of the district, or any combination thereof. 32-12-715. Misdemeanors. Any person who wrongfully or purposely fills up, cuts, damages, injures, destroys or in any manner impairs the usefulness of the facil ities of the district, any property pertaining to any project, any part thereof, or any other work, structure, improvement, equipment, or other property acquired under the provisions of this article, or wrongfully and maliciously interferes with any officer, agent, or employee of the district in the proper discharge of his duties, is guilty of a misdemeanor and, upon conviction thereof, shall be punished by a fine of not more than three hundred dollars, or by imprisonment in the county jail for not more than ninety days, or by both such fine and imprisonment. 32-12-716. Civil rights. If the metropolitan district is damaged by any a c t r e f e rred to in section 32-12-715, the distri c t may a lso bring a c iv i l a c tion for damag s sustained by any such a ct , and i n suc h proc eeding the prevai l i ng party shall also b e n titled to r s o n bl at torne ys' fees a nd co s ts of co urt • 0 t t f r1c . A dis rict fo rm d unde r ns 1dc red a p olitical s u bdi v ision c ion R-3-0 4 (12), C.R.S. 1973. -114 ' • • , • • SECTION 2. Effective date. This act shall take effect seven days after its approval. 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. -llS- ·- • • ,