2023 Colorado Revised Statutes › Title 8 - LABOR AND INDUSTRY (§§ 8-1-101 — 8-88-207) › LABOR III - EMPLOYMENT SECURITY (§§ 8-70-101 — 8-82-105) › Article 71 - DIVISION OF UNEMPLOYMENT INSURANCE (§§ 8-71-101 — 8-71-201) › Part 1 - DIVISION OF UNEMPLOYMENT INSURANCE (§§ 8-71-101 — 8-71-106) › Section 8-71-103 - Organization of division - authority to issue bonds

(1)
(Deleted by amendment, L. 2012.)
(2)
(a)
The division constitutes an enterprise for purposes of section 20 of article X of the state constitution, as long as the division retains authority to issue revenue bonds and the division receives less than ten percent of its total annual revenues in grants, as defined in section
24-77-102(7)
, C.R.S., from all Colorado state and local governments combined. For as long as it constitutes an enterprise pursuant to this section, the division is not subject to section 20 of article X of the state constitution.
(b)
(I)
Except as provided in subparagraph (II) of this paragraph (b), the enterprise established pursuant to this subsection (2) has all the powers and duties authorized by articles
70
to
82
of this title pertaining to unemployment insurance and unemployment compensation. The unemployment compensation fund, created in section
8-77-101
, constitutes part of the enterprise established pursuant to this subsection (2).
(II)
The employment support fund established in section
8-77-109(1)
shall not be included in or administered by the enterprise established pursuant to this subsection (2).
(c)
Nothing in this subsection (2) limits or restricts the authority of the division to expend its revenues consistent with the provisions of articles
70
to
82
of this title.
(d)
(I)
Upon receiving the certifications specified in subsections (2)(d)(III) and (2)(d)(IV) of this section, the division may issue revenue bonds for the same purposes and on the same terms, and levy and apply the proceeds of bond assessments for the same purposes and in the same manner, as the Colorado housing and finance authority may issue bonds and may levy and apply the proceeds of bond assessments under section
29-4-710.7
, substituting references to the division for references to the authority under that section. The state treasurer may advise the division in accordance with section
24-36-121
. Bond assessments levied by the division may be used to pay revenue bonds issued by the division under this subsection (2)(d) or revenue bonds issued by the Colorado housing and finance authority under section
29-4-710.7
.
(II)
Any bonds issued pursuant to this subsection (2)(d) must be executed and delivered by the director of the division and may be in the form, may be sold, and may have the same terms as provided in section
43-4-807(1)(b) and (1)(c)
; may contain the provisions permitted by section
43-4-807(1)(d)
; shall be legal investments for the entities described in, and subject to the terms set forth in, section
43-4-807(3)
; and shall be exempt from taxation and assessments in the state as provided in section
43-4-807(4)
. The division may invest or deposit any proceeds and interest from the sale of such bonds as provided in section
43-4-807(2)
. The division has the power to enter into all other contracts or agreements, which contracts and agreements are not subject to the "Procurement Code", articles
101
to
112
of title
24
, that are necessary or incidental to the exercise of its powers and duties under this subsection (2)(d), including the power to engage the services of consultants, financial advisors, underwriters, bond insurers, letter of credit banks, rating agencies, and agents and other persons whose services may be required or deemed advantageous by the division, and the power to enter into interest rate exchange agreements for bonds that have been issued in accordance with this subsection (2)(d). The amount of outstanding liability for bonds issued pursuant to this subsection (2)(d) or section
29-4-710.7
is not taken into account for purposes of rate setting under article
76
of this title 8. The amount of outstanding liability for bonds issued pursuant to this subsection (2)(d) and financial obligations under section
24-36-121
is not taken into account for purposes of rate setting under article
76
of this title 8.
(III)
The division may not issue its bonds pursuant to this paragraph (d) until the monthly balance in the unemployment compensation fund is equal to or less than nine-tenths of one percent of the total wages reported by ratable employers for the calendar year, or for the most recent available four consecutive quarters prior to the last computation date, and the governor, the state treasurer, and the executive director of the department of labor and employment have each certified in writing to the division:
(A)
That other funding alternatives to the issuance of bonds by the division under this paragraph (d) have been considered and that the issuance of such bonds is the most cost-effective means for the division to maintain adequate balances in the unemployment compensation fund or to repay moneys advanced to the state pursuant to
42 U.S.C. sec. 1321
;
(B)
The amount of money required to maintain adequate balances in the unemployment compensation fund or to repay moneys advanced to the state pursuant to
42 U.S.C. sec. 1321
, or both; and
(C)
The amount of bonds to be issued.
(IV)
In addition to the written certifications specified in subparagraph (III) of this paragraph (d), the executive director of the department of labor and employment shall certify in writing that the issuance of bonds as authorized by law would not result in decertification of Colorado's unemployment insurance program, impact any cap application, affect the receipt of emergency unemployment compensation funds, create an ineligibility for receipt of federal funds, or result in other penalties or sanctions under the federal "Social Security Act", as amended, or the "Federal Unemployment Tax Act", as amended,
26 U.S.C. sec. 3301
et seq.
Amended by 2022 Ch. 224,§1, eff. 5/25/2022.
L. 36, 3rd Ex. Sess.: p. 34, § 10. L. 37: p. 1264, § 8. CSA: C. 167A, § 10. L. 39: p. 573, § 7. L. 41: p. 784, § 10. L. 43: p. 607, § 7. CRS 53: § 82-2-3. C.R.S. 1963: § 82-2-3. L. 86: Entire section amended, p. 487, § 82, effective July 1. L. 2009: Entire section amended, (HB 09-1363), ch. 363, p. 1876, §1, effective July 1. L. 2012: Entire section amended, (HB 12-1120), ch. 27, p. 78, § 5, effective June 1. L. 2012, 1st Ex. Sess.: (2)(b)(I) and (2)(d) amended, (HB 12S-1002), ch. 2, p. 2426, § 4, effective June 1.
The effective date for amendments to this section by House Bill 12-1120 (chapter 27, Session Laws of Colorado 2012) was changed from August 8, 2012, to June 1, 2012, by House Bill 12S-1002 (First Extraordinary Session, chapter 2, p. 2432, Session Laws of Colorado 2012).