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HomeMy WebLinkAbout1.00 General Application Info Kobe Pumping Plant and Pipeline Project Garfield County Location and Extent Review March 27, 2014 Submitted by Bluestone Management Committee Prepared by ICF International Kobe Pumping Plant and Pipeline * Garfield County Location and Extent Review * page 1 March 27, 2014 Fred Jarman, Planning Director Garfield County Building and Planning Department 108 8th Street, Suite 401 Glenwood Springs, Colorado 81601 Re: Revised Request for Location and Extent Review Pursuant to Section 4-111 of the Garfield County 2013 Land Use and Development Code (LUDC) for a proposed water storage facility and fill station to support development of the Kobe Pumping Plant and Pipeline Project. Dear Fred and Members of the Planning Commission: The Bluestone Management Committee, which is acting on behalf of the Colorado River Water Conservation District (Colorado River District) and the Bluestone Water Conservancy District (Bluestone District) (see Exhibit 1), is submitting the attached vicinity maps, site plan, accompanying text, and exhibits for review by the Garfield County Planning Commission. Because the Colorado River District and the Bluestone District are political subdivisions of the State of Colorado, the Applicant qualifies for application by Location and Extent review. This application is being submitted for a proposed water storage facility and fill station at the terminus of the Kobe Pumping Plant and Pipeline Project in Garfield County, the legal description for which is provided on the attached Garfield County Land Use Change Permit Application Form (Exhibit 2) and on the site plan (Exhibit 3). Introduction/Background The Kobe Pumping Plant and Pipeline project was partially constructed in the late 1980s to serve local agricultural and municipal and industrial (oil shale) demands. Construction was suspended when the momentum for oil shale development stalled. The intake in the Colorado River (1989) and the northern 3,704 feet of the 24-inch pipeline, partially in Garfield County, were constructed, approximately four miles north of DeBeque. The water storage facility, fill station, and associated infrastructure are proposed to be located in Garfield County. The pumping plant and the remaining pipeline are in Mesa County. The pumping plant and Phase 1 of the new pipeline were unanimously approved for a conditional use permit by the Mesa Board of County Commissioners (BOCC) on September 21, 2013. Construction on Phase 1 is anticipated to begin in early spring 2014. Phase 2 was unanimously approved by the Mesa County BOCC on February 11, 2014. For purposes of clarity, the project as a whole is described in these submittal materials. More detailed specifics about the water storage facility and fill station are provided as they are the portion of the project located in Garfield County for which the District is requesting approval. Proposed Project The Bluestone Management Committee proposes to construct the Kobe Pumping Plant and Pipeline project, which includes a 1,000 horse power pumping plant on a previously developed site and approximately three miles (21,700 feet) of buried 24-inch and 18-inch water pipeline. The pipeline would be constructed within a 30- to 50-foot permanent right-of-way (ROW) from an existing intake in the Colorado River in Mesa County to an existing pipeline south of Mesa County Road X.5. In addition, the project includes a 1.2-acre water storage facility and fill station Kobe Pumping Plant and Pipeline * Garfield County Location and Extent Review * page 2 in Garfield County. The majority of the project is on privately owned lands, with the exception of a 1,740-foot by 50-foot right-of-way across BLM lands for the proposed pipeline. The majority of the water storage and fill station area is located in Garfield County, with a small portion in Mesa County (Exhibit 3). The water storage area is comprised of eight 500-barrel (42 gallon barrels) tanks; two top fed tanks for sedimentation and six low-profile tanks for storage. All tanks would have isolation valves. Two 30’ x 20’ x 10’ (high) pump stations are located adjacent to the storage tanks. The fill station would be fenced with automatic gates to control access. Fill station customers would enter via Mesa County Road X.5 after opening security gates, connect to metered suction lines fed by the onsite water storage and fill their trucks. Loaded trucks will exit the site onto Garfield County Road 200 (entrance and exit both on North Dry Fork Road) as the county line runs through the fill station. The fill station will have safety lighting designed to operate only when the fill station is in use. The site is accessible from existing roads. Access to the project would originate from Interstate 70 (I-70) at Exit 62 DeBeque, north up Roan Creek Road (also known as Mesa County Road 45), and then west on Mesa County Road X.5 (which turns into Garfield County Road 200). Electric power is available from Roan Creek Road; the project proposes a 10’x10’ transformer on the pad inside the fenced area to power the project elements. Staging for this portion of the project will be combined with staging located in Mesa County or within the footprint of the proposed facility. No other staging areas are proposed for this portion of the project. Construction would begin upon receipt of the necessary agency approvals and permits, with a desired start date in spring 2014. Construction is anticipated to take approximately four to six months. The pumping plant, pipeline, water storage, and fill station would be operated on a year-round basis as demands require. Purpose and Need In addition to the extra water supply and operational flexibility the Kobe Pumping Plant and Pipeline and the water storage area would provide agriculture/irrigation and municipal/domestic users, there are potential customers in the natural gas industry that would rather pump water than truck it. Industrial costs and environmental impacts could be reduced by pumping as it takes approximately 50 acre-feet (af) to 100 af (about 3,000 to 7,500 truckloads) of water to complete one well. The proposed project would allow industry to consider pumping and possibly reduce the amount of truck traffic on Roan Creek Road by establishing a central location for the gas drillers to put their pumps into, allowing them to pump water to their water processing facilities using their own pipelines. Existing Property Description The subject property on which the water storage and fill station area are located is a parcel that contains a total of 1,068.25 acres; however, the proposed project would be confined to a size of approximately 1.2 acres. The property is owned by Chevron and is currently leased for cattle grazing. There is also evidence of oil and gas development on the property, with carsonite markers for existing pipelines and new lathe with flagging, suggesting future pipelines. There are Kobe Pumping Plant and Pipeline * Garfield County Location and Extent Review * page 3 no buildings on this portion of the property. The property also contains some existing fencing to restrict livestock and access. The primary vegetation types along the proposed pipeline route include dryland and irrigated agricultural fields (dominated by agricultural grasses), big sagebrush (Artemisia tridentata) shrubland, and Gambel’s oak (Quercus gambelii)-mixed montane shrublands. The pipeline ROW parallels a number of existing pipeline ROWs and existing roads; therefore, existing surface disturbances are present in the general area. These previous disturbances have resulted in some populations of noxious weeds along the existing roads and ROWs and in existing plant communities in the vicinity of the proposed ROW. Review Criteria – Compliance with the Garfield County Comprehensive Plan 2030 The primary criteria for a location and extent review under Section 4-111 of the Garfield County 2013 LUDC is general compliance with the Garfield County Comprehensive Plan 2030 (adopted November 10, 2010, the Plan). Compliance with the applicable goals and policies is addressed in the following paragraphs. Chapter 2 – Future Land Use The Plan does not specifically address water impoundments, specifically those not required to support residential development. The proposed project is in an area currently designated as Resource Lands. On the future land use map, this area is designated Residential Medium High (RMH), which is described as “small farms, estates, and clustered residential subdivisions.” The proposed project would be consistent with the current and proposed land use designations. The following paragraphs address compliance with specific applicable goals and policies contained in the Plan. Actual text from the Plan is highlighted in bold and italics. Chapter 3 - Plan Elements Section 1 - Urban Growth Areas and Intergovernmental Coordination The County’s vision is to encourage intergovernmental cooperation and continue to provide services and infrastructure where needed. One of the issues raised in this section is that special districts can sometimes provide these services where the County cannot. Specific goals and policies applicable to this project are discussed below. Goal 1 Increase coordination and communication between the municipalities and the county. Response: For purposes of planning and permitting, the proposed project requires coordination among the Colorado River District, the Bluestone District, and the County as well as with Mesa County. The future establishment of a water authority to operate the proposed facility will require additional coordination and communication with the County. Kobe Pumping Plant and Pipeline * Garfield County Location and Extent Review * page 4 Goal 3 (mislabeled 2) Ensure that county land use policies and development approvals are compatible with the existing zoning and future land use objectives of the appropriate municipality Response: The proposed project is in an area currently designated as Resource Lands. On the future land use map, this area is designated Residential Medium High (RMH), which is described as “small farms, estates, and clustered residential subdivisions.” The proposed project would be consistent with the current and proposed land use designations. Goal 7 (mislabeled 6). Regional issues should be solved at a regional level and should include issues such as housing, social services, and water. Response: The proposed project would meet the needs of regional agricultural, municipal and industrial uses now and in the future by providing a reliable source of water readily accessible up the Roan Creek drainage. The Colorado River District and the Bluestone District believe a Water Authority will be the best institutional arrangement to own and operate this project and will pursue forming such an authority after completion of the project. Section 2 - Housing This section is not applicable to this project. This project does not propose any new housing. Its purpose is to support existing and potential agricultural and municipal land uses as well as oil and gas development. There is no further discussion of this section in this submittal. Section 3 – Transportation The County’s vision is to provide a safe, efficient, and well-maintained transportation network. This proposal does not include any specific road or bridge improvements; however, the project intends to reduce heavy truck traffic on County Road 200 and Roan Creek Road, which currently contributes to more rapid deterioration of rural roads and creates a potential public health and safety issue. Goal 1 Ensure that county roads are constructed and maintained on a safe and fiscally sustainable basis. Response: This area has been subject to oil and gas development for years. Changes in technology and recent exploratory successes have resulted in increased activity in the Piceance Basin. Traffic associated with this development fluctuates drastically depending on the stage of well pad construction, drilling, completion, and production; no actual traffic counts have been conducted for this project. Hydraulic fracturing of a typical well targeting the Mancos formation requires ~50 af of water, which equates to ~3,880 water trucks (at ~4,100 gallons per truckload) per well. Currently, water trucks travel from a variety of water sources to support oil and gas development in the area. They travel up Roan Creek Road to Mesa County Road X.5/Garfield County Road 200 to support industry needs west of the project area. They also travel further north on Roan Creek Road to support industry development further north. Kobe Pumping Plant and Pipeline * Garfield County Location and Extent Review * page 5 One purpose of the proposed project is to reduce heavy truck traffic on the southern portion of Roan Creek Road, which would likely increase public safety and potentially reduce the frequency of required road maintenance. By providing a water source located closer to the development, this project could significantly minimize truck traffic on Roan Creek Road and through DeBeque. Policy 3 All new and expanded development must be consistent with applicable IGA’s regarding access control. Response: An access permit would be obtained from the County’s Road and Bridge department for the proposed water storage and fill station area, and a traffic control plan would be developed in conjunction with the County, as necessary. Strategy 7 Explore mechanisms for the County to address increased traffic from new development. Response: The Kobe Pumping Plant and Pipeline Terminal Facility provides for pumping of water to service drilling, completion and operations related to energy development. Some customers, including the projects first customer, may chose to pump water to active development areas from the Kobe Terminal Facility. Additionally, supplemental supply made available by the Kobe Pumping Plant and Pipeline can alleviate senior downstream calls on Roan Creek enabling more junior users to divert water upstream, closer to the end uses. Service to customers via trucking form the Kobe terminal Facility is limited due to facility design and operation limitations. The project could serve approximately six trucks an hour, 24 hours a day for a total of 144 trucks per day. Under this scenario, it would take approximately 27 days to complete a well with water trucked from the Kobe Pumping Plant and Pipeline Project. However, by providing a water source located closer to the development, this project could significantly minimize truck traffic on Roan Creek Road and through DeBeque as oil and gas development in the area continues. Section 4 – Economic, Employment, and Tourism This section is not applicable to this project. The project’s purpose is to support existing and potential agricultural land uses as well as oil and gas development. The project is consistent with current zoning and proposed future land uses. There is no further discussion of this section in this submittal. Section 5 – Recreation, Open Space, and Trails This section is not applicable to this project. The entire project is located on private lands and no conservation easements are affected. The project does not inhibit the County’s vision to preserve and enhance recreation opportunities or access to open space and trails. There is no further discussion of this section in this submittal. Section 6 - Agriculture The County’s vision is to continue to preserve the rural character and agricultural heritage of the area. The proposed ROW is located on privately owned lands that are also leased grazing Kobe Pumping Plant and Pipeline * Garfield County Location and Extent Review * page 6 allotments. These are small ranching operations, typically cow-calf operations and are highly dependent on the forage resources in the allotments for spring, summer, and fall feeding. There are restrictions on the number and kind of livestock allowed. Livestock are rotated to higher elevations as the summer progresses. As stated previously, a short portion of the pipeline ROW also traverses BLM land managed for grazing. The primary vegetation types along the proposed pipeline route include dryland and irrigated agricultural fields (dominated by agricultural grasses), big sagebrush (Artemisia tridentata) shrubland, and Gambel’s oak (Quercus gambelii)-mixed montane shrublands. The ROW parallels a number of existing ROWs and existing roads; therefore, existing surface disturbances are present in the general area. These previous disturbances have resulted in some populations of noxious weeds along the existing roads and ROWs and in existing plant communities in the vicinity of the proposed ROW. A weed management plan is attached as Exhibit 5. A number of natural gas and water pipelines parallel the proposed pipeline. These pipelines have been installed over the past several years and generally require limited maintenance activity. Additional support facilities for the oil and gas industry are evident along the proposed ROW. Specifically, along Mesa County Road V.2, the proposed ROW avoids a pig launching station where the main line heads north, and a spur heads west. Average daily traffic along V.2 Road is approximately 90 vehicles (Town of DeBeque Comprehensive Plan Update 2009). A number of pipelines traverse the subject property; however, none run through directly this area. Currently the water storage and fill station site is also part of a grazing allotment. This site is accessed via Roan Creek Road, which sees heavy truck traffic, and County Road 200, which primarily serves the oil and gas industry. The proposed project would be consistent with existing land uses and would not hinder the continued ranching activities. It is not anticipated that fences and stock watering sources would be affected by the proposed project. The increase in human activity during construction is anticipated to be temporary and would be expected to have a minor impact on grazing livestock. The temporary open trench during pipeline construction could present a hazard to livestock and limit movement within the allotment. Measures will be taken to minimize the hazard to livestock. Livestock would be displaced from the ~-1.5 acre site due to the construction and operation of the water storage area and fill station, which would be fenced. There is sufficient land within the allotment to maintain current ranching activities. Traffic along V.2 Road is only anticipated to increase temporarily during construction of the proposed pipeline. The proposed project will deliver water from the Colorado River to the water storage and fill station site, allowing trucks to withdraw water closer to the sites that require the water. As a result, heavy truck traffic on Roan Creek Road from DeBeque to Garfield County Road 200 is anticipated to decrease (see responses above in Section 3 – Transportation). Goal 1 Promote the continuation and expansion of agricultural uses Kobe Pumping Plant and Pipeline * Garfield County Location and Extent Review * page 7 Response: The proposed project would meet current and future agricultural, municipal and industrial needs. Construction and operation of the project would not interfere with continuation of agricultural uses on or adjacent to the subject property. Goal 2 Preserve a significant rural character in the county Response: There is evidence of the oil and gas industry across the landscape. Construction of the water storage area and fill station adjacent to Garfield County Road 200 would add to that development, but it would not significantly alter the rural character of the area. Section 7 – Water and Sewer Services The County’s goal is to preserve water quality. This section is specifically related to the provision of services to new residential development. As such, it is not applicable to this project, which proposes no new residential development. However, the project is committed to maintaining water quality through use of Best Management Practices (BMPs) during construction. Although there are no specific goals relevant to this project, the Applicant has met the intent of Policy 3, which requires project to show that legal, adequate, dependable and environmentally sound … facilities can be provided. The legal, adequate, and dependable source of water is documented in the Applicant’s water rights or available through storage delivery contracts as provided (http://www.crwcd.org/page_180). Section 8 – Natural Resources The County’s vision is to preserve and enhance important features of the natural environment as well as to protect and improve air and water quality. Some of the issues raised specific to this element and this project are wildlife corridors, riparian habitat, and cutthroat trout. Goal 1 Ensure that natural, scenic, ecological, and critical wildlife habitat resources are protected and/or impacts mitigated No critical wildlife habitat as identified by the US Fish and Wildlife Service exists within the project area. The area is mapped by the Colorado Division of Wildlife (CDOW) (now Colorado Parks and Wildlife) as mule deer winter range. However, the proposed water storage area and fill station are adjacent to Garfield County Road 200, which is a current disruption in movement. The site is located more than 35 feet from the ordinary high water mark of Roan Creek (per county standards) and outside of riparian habitat. No cutthroat trout would be affected by the proposal. Goal 2 Preserve natural drainage patterns Response: The proposed facility has been designed and engineered to preserve natural drainage patterns. Policy 1 The county will encourage and cooperate with the protection of critical habitat including state and federally protected, threatened, or endangered species. Kobe Pumping Plant and Pipeline * Garfield County Location and Extent Review * page 8 Response: There are no known federally protected, threatened, or endangered species within the project area. Construction of the facility would terminate prior to December 1 in order to minimize the impact to mule deer, which is a species of general interest. Policy 2 Garfield County will encourage the protection of watersheds, flood plains, and riparian areas. Response: The water storage area and fill station are located well outside the ordinary high water mark of Roan Creek and is sited outside of riparian habitat. Section 9 – Mineral Extraction The County’s vision is to encourage responsible development with mitigation as necessary. This project will support mineral extraction by supplying the water necessary to support well drilling and completion activities; however, all of those actions are authorized and regulated by other agencies. The water storage area will only hold raw water from the Colorado River. No water will be returned to the area or the river after industrial use. Policy 1 The property rights of mineral lessees must be balanced with the rights of private property owners and the general public. Response: The applicant is working with the property owner to develop the proposal. The Applicant has lease and ROW agreements with the property owner to develop the project as proposed. See Exhibit 6 for a memo detailing the applicant’s efforts in determining a list of mineral owners and their addresses to facilitate notification of the project. Policy 4 Facilities that are appurtenances to oil/gas development activities (compressors, etc.) are considered appropriate in all land uses so long as they meet the respective mitigation requirements of the LUDC to maintain compatibility with surrounding land uses Response: The water storage area and fill station are appurtenances to oil and gas activities. No mitigation is required in the LUDC to maintain compatibility with surrounding land uses. Section 10 – Renewable Energy The County’s vision is to encourage development of renewable energy sources. This section is not applicable to this project. The project’s purpose is to support existing and potential agricultural land uses as well as oil and gas development. The project is consistent with current zoning and proposed future land uses. There is no further discussion of this section in this submittal. Kobe Pumping Plant and Pipeline * Garfield County Location and Extent Review * page 9 Summary The information contained in this application addresses the requirements and applicable criteria for the requested location and extent review as described in Section 4-111 of the Garfield County 2013 Land Use Development Code. The narrative herein also describes how the project complies with the Comprehensive Plan. Therefore, we respectfully request that the Planning Commission grant location and extent review approval for the proposed Kobe Pumping Plant and Pipeline project and associated infrastructure. Sincerely, Lisa Sakata 8310 S. Valley Hwy, Suite 240 ICF International Englewood, CO 80112 Ph: 303.792.7813 (office) 303.513.7131 (cell) lisa.sakata@icfi.com Exhibits: 1 Bluestone Management Committee Authority documents 2 Land Use Change Application 3 Site Plan 4 Vicinity Map(s) 5 Weed Management Plan 6 Memo on mineral owners and addresses 7 Public notice mailing list – adjacent landowners 8 Letter of consent and statement of authority from landowner 9 Pre-application conference summary and update from Kathy Eastley 10 Completeness letter from Glenn Hartmann 11 Extension request from Bluestone 12 Response from Tamra Allen BEATTIE, CHADWICK & HOUPT, LLP Attorneys And Counselors At Law 932 Cooper Avenue Glenwood Springs, CO 81601 Steven M. Beattie Telephone (970) 945-8659 Glenn D. Chadwick facsimile (970) 945-8671 Jefferson V. Houpt Julie S. Hanson jhoupt@bch-law.com M E M O R A N D U M TO: Glenn Hartman, Senior Planner , Garfield County Kelly Cave, Assistant County Attorney FROM: Jefferson V. Houpt DATE: March 27, 2014 RE: Bluestone Management Committee ______________________________________________________________________________ This memo responds to several questions posed at our meeting on March 20, 2014. 1. Authority to Operate Through the Management Committee. The Bluestone Water Conservancy District is a political subdivision of the state and a body corporate with all of the powers of a public or municipal corporation. C.R.S. §37-45-112(7). As such, it is authorized to cooperate and contract with another governmental entity to “provide for the joint exercise of the functions, services, or facilities, including by the establishment of a separate legal entity to do so. C.R.S. §29-1-203(4). This provides the Bluestone Water Conservancy District the authority to contract with the River District to create the Management Committee as a separate entity to manage the water rights. Likewise, the Colorado River Water Conservation District is a body corporate and politic and a political subdivision of the state, C.R.S. §37-46-102(2), and has the authority cooperate and contract with another governmental entity. C.R.S. §29-1-203(4). In addition, the River District is authorized, under its “Cooperative Powers,” to enter into “joint operating or service contracts and agreements … or other arrangements with …any political subdivision…concerning facilities and any project or property pertaining thereto…” C.R.S. 37-46-149(2)(b). Exercising their authority to cooperate, the Districts have entered into a Joint Management Agreement dated March 1, 1983 which generally provides for the cooperative management of certain assets and the formation of a four-person “Management Committee” for that purpose. The Management Committee is composed of two directors from each District and has been given the exclusive right to manage and control the assets. Joint Management Agreement at ¶3. Memo to G. Hartman and K. Cave March 27, 2014 Page 2 of 2 2. The Joint Management Agreement. The Joint Management Agreement provides that it will be recorded. Joint Management Agreement at ¶20. You had requested that we provide you with a copy of the recorded document. We were unable to confirm that the Agreement was previously recorded. Therefore, we have recorded it in Garfield County, and a copy of the recorded document, including the lease attached to the Agreement as Exhibit A, is provided with this memo. Page 1 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. West's Colorado Revised Statutes Annotated Currentness Title 37. Water and Irrigation Water Conservation and Irrigation Districts Conservation and Irrigation Districts Article 45. Water Conservancy Districts (Refs & Annos) § 37-45-101. Short title This article shall be known and may be cited as the “Water Conservancy Act”. § 37-45-102. Legislative declaration (1) It is hereby declared that to provide for the conservation of the water resources of the state of Colorado and for the greatest beneficial use of water within this state, the organization of water conservancy districts and the con- struction of works as defined in this article by such districts are a public use and will: (a) Be essentially for the public benefit and advantage of the people of the state of Colorado; (b) Indirectly benefit all industries of the state; (c) Indirectly benefit the state of Colorado in the increase of its taxable property valuation; (d) Directly benefit municipalities by providing adequate supplies of water for domestic use; (e) Directly benefit lands to be irrigated from works to be constructed; (f) Directly benefit lands now under irrigation by stabilizing the flow of water in streams and by increasing flow and return flow of water to such streams; (g) Promote the comfort, safety, and welfare of the people of the state of Colorado. (2) It is therefore declared to be the policy of the state of Colorado: (a) To control, make use of, and apply to beneficial use all unappropriated waters originating in this state to a di- rect and supplemental use of such waters for domestic, manufacturing, irrigation, power, and other beneficial uses; (b) To obtain from water originating in Colorado the highest duty for domestic uses and irrigation of lands in Page 2 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. Colorado within the terms of interstate compacts; (c) To cooperate with the United States under the federal reclamation laws and other agencies of the United States government for the construction and financing of works in the state of Colorado as defined in this article, and for the operation and maintenance thereof; (d) To promote the greater prosperity and general welfare of the people of the state of Colorado by encouraging the organization of water conservancy districts as provided in this article. (3) It is further declared that: (a) The development, use, and conservation of water within this state is inextricably tied to the development and construction of works as defined in this article; (b) The development and construction of such works shall be deemed to be the development, use, and conserva- tion of water; and (c) Such works are deemed to be a public use essential for the public benefit of the people of this state. § 37-45-103. Definitions As used in this article, unless the context otherwise requires: (1) “Acre-foot” or “acre-feet” may be substituted by any other commonly used unit for the measurement of water when appropriate. (2) “Board” means the board of directors of the district. (3) “Court” means the district court of that judicial district of the state of Colorado wherein the petition for the or- ganization of a water conservancy district shall be filed. (4)(a) “Elector” means a person who, at the designated time or event, is qualified to vote in general elections in this state, and: (I) Who has been a resident of the district or the area to be included in the district for not less than thirty-two days; or (II) Who or whose spouse owns taxable real or personal property within the district or the area to be included in the district. Page 3 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (b) A person who is obligated to pay general taxes under a contract to purchase real property within the district shall be considered an owner within the meaning of this subsection (4). The payment of a specific ownership tax pursuant to law shall not qualify a person as an elector. Taxable property means real or personal property subject to general ad valorem taxes. (c) For all elections and petitions that require ownership of real property or land, a mobile home or manufactured home as defined in section 38-12-201.5(2), 5-1-301(29), or 42-1-102(106)(b), C.R.S., shall be deemed sufficient to qualify as ownership of real property or land for the purpose of voting rights and petitions. (5) “Land” or “property” is used in this article with reference to benefits, appraisals, assessments, or taxes, as po- litical entities, according to benefits received, and public corporations shall be considered as included in such ref- erence in the same manner as “land” or “property”. (6) “Land” or “real estate” means real estate, as “real estate” is defined by the laws of the state of Colorado, and embraces all railroads, tramroads, electrical roads, street and interurban railroads, highways, roads, streets and street improvements, telephone, telegraph, and transmission lines, gas, sewer and water systems, water rights, pipelines, and rights-of-way of public service corporations, and all other real property whether held for public or private use. (7) “Person” means a person, firm, partnership, association, or corporation, other than a county, town, city, city and county, or other political subdivision. Similarly, “public corporation” means counties, city and counties, towns, cities, school districts, irrigation districts, water districts, park districts, subdistricts, and all governmental agencies, clothed with the power of levying or providing for the levy of general or special taxes or special assess- ments. (8) “Property” means real estate and personal property. (9) “Publication” means once a week for three consecutive weeks in at least one newspaper of general circulation in each county wherein such publication is to be made. It shall not be necessary that publication be made on the same day of the week in each of the three weeks, but not less than fourteen days, excluding the day of the first publication, shall intervene between the first publication and the last publication, and publication shall be com- plete on the date of the last publication. (10) “Works” means dams, storage reservoirs, compensatory and replacement reservoirs, canals, conduits, pipe- lines, tunnels, power plants, and any and all works, facilities, improvements, and property necessary or convenient for the supplying of water for domestic, irrigation, power, milling, manufacturing, mining, metallurgical, and all other beneficial uses. § 37-45-104. Name of district--bonds The districts created under this article may be termed “water conservancy districts”, and the bonds which may be Page 4 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. issued under this article may be called “water conservancy bonds”, and such designation may be engraved or printed on their face. § 37-45-105. Liberal construction This article, being necessary to secure and preserve the public health, safety, convenience, and welfare and for the security of public and private property, shall be liberally construed to effect the purposes of this article. § 37-45-106. Constitutional construction clause If the courts of the state or of the United States declare any section, provision, paragraph, clause, sentence, or phrase, or part thereof, of this article invalid or unconstitutional, or in conflict with any other section, provision, paragraph, clause, sentence, or phrase, or part thereof, of this article, then such decision shall affect only the sec- tion, provision, paragraph, clause, sentence, phrase, or part thereof declared to be unconstitutional or unauthorized and shall not affect any other part whatsoever of this article. The general assembly of the state of Colorado de- clares that it would have passed this article and each section, provision, paragraph, clause, sentence, or phrase hereof irrespective of the fact that any one or more of the other sections, provisions, paragraphs, clauses, sen- tences, or phrases, or parts thereof, are declared invalid or unconstitutional. § 37-45-107. Repeal--saving clause All acts or parts of acts conflicting in any way with any of the provisions of this article in regard to the improve- ments or improvement districts, or regulating or limiting the power of taxation or assessments, or otherwise inter- fering with the accomplishment of the purposes of this article according to its terms are declared nonoperative and noneffective as to this article as completely as if they did not exist. But all such acts and parts of acts shall not in any other way be affected by this article. § 37-45-108. Jurisdiction of district courts The district court sitting in and for any county in this state is hereby vested with jurisdiction when the conditions stated in section 37-45-109 are found to exist to establish water conservancy districts which may be entirely within or partly within and partly without the judicial district in which said court is located for conserving, devel- oping, and stabilizing supplies of water for domestic, irrigation, power, manufacturing, and other beneficial uses as provided in this article; but the terms of this article shall not be construed to confer upon such district court ju- risdiction to hear, adjudicate, and settle questions concerning the priority of appropriation of water between dis- tricts organized under this article and ditch companies and other owners of ditches drawing water for irrigation purposes from the same stream or its tributaries, and jurisdiction to hear and determine such questions of law and questions of right growing out of or in any way involved or connected therewith are expressly excluded from this article and shall be determined in the proper county as otherwise provided by the laws of the state of Colorado. § 37-45-109. Petition Page 5 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (1)(a) Except as provided in subsection (2.5) of this section, before any water conservancy district is established under this article having a valuation for assessment of irrigated land, together with improvements thereon within the proposed district, of twenty million dollars or more, a petition shall be filed in the office of the clerk of the court vested with jurisdiction in a county in which all or part of the lands embraced in such proposed water con- servancy district are situated, signed by not fewer than fifteen hundred owners of irrigated land situated within the limits of the territory proposed to be organized into a district but not embraced within the incorporated limits of a city or town; and each tract of land shall be listed opposite the name of the signer, each such tract, together with improvements thereon, to have a valuation for assessment of not less than two thousand dollars. Such petition shall be also signed by not fewer than five hundred owners of nonirrigated land or lands embraced in the incorpo- rated limits of a city or town, all situated in the proposed district; and each tract of land shall be listed opposite the name of the signer, each such tract, together with improvements thereon, to have a valuation for assessment of not less than one thousand dollars. (b) In the event a petitioner signs the petition both as owner of irrigated and nonirrigated land situated within a municipality, his name shall be counted only as an owner of irrigated lands. A signing petitioner shall not be per- mitted, after the filing of the petition, to withdraw his name therefrom. (c) No district shall be formed under this subsection (1) unless the valuation for assessment of irrigated land, to- gether with improvements thereon, within the proposed district, is twenty million dollars or more, and no city, or city and county, having a population of more than twenty-five thousand as determined by the last United States census shall be included within such district unless by and with the written consent of the chief executive officer of such city, or city and county, and with the approval of the legislative body of such municipality, and such con- sent may specify that the rate of taxation on the valuation for assessment of property within said city, or city and county, under section 37-45-122, shall not exceed a maximum rate which may be less than the rates set out in section 37-45-122, and, in such case, the district shall not have power to levy an assessment on the property in said city, or city and county, at a greater rate than that specified in said consent. (2)(a) Except as provided in subsection (2.5) of this section, before any water conservancy district shall be estab- lished under this article having a valuation for assessment of irrigated land, together with improvements thereon, within the proposed district of less than twenty million dollars, a petition shall be filed in the office of the clerk of the court vested with jurisdiction in a county in which all or part of the lands embraced in such proposed water conservancy district are situated, signed by not fewer than twenty-five percent of the owners of irrigated lands to be included in the district but not embraced within the incorporated limits of a city or town; and each tract of land shall be listed opposite the name of the signer, each such tract, together with improvements thereon, to have a valuation for assessment of not less than one thousand dollars. Such petition shall be also signed by not fewer than five percent of the owners of nonirrigated land or lands embraced in the incorporated limits of a city or town, all situated in the proposed district; and each tract of land shall be listed opposite the name of the signer, each such tract, together with improvements thereon, to have a valuation for assessment of not less than one thousand dol- lars. (b) In the event a petitioner signs such a petition both as owner of irrigated and nonirrigated land situated within a Page 6 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. municipality, his name shall be counted only as an owner of irrigated land. A signing petitioner shall not be per- mitted, after the filing of the petition, to withdraw his name therefrom. (c) No district shall be formed under this subsection (2) unless the valuation for assessment of irrigated land, to- gether with improvements thereon, within the proposed district, is less than twenty million dollars, and no city, or city and county, having a population of more than twenty-five thousand as determined by the last United States census shall be included within such district unless by and with the written consent of the chief executive officer of such city, or city and county, with the approval of the legislative body of such municipality, and such consent may specify that the rate of taxation on the valuation for assessment of property within said city, or city and county, under section 37-45-122, shall not exceed a maximum rate which may be less than the rates set out in section 37-45-122, and, in such case, the district shall not have power to levy an assessment on the property in said city, or city and county, at a greater rate than that specified in said consent. (2.5)(a) As an alternative to the procedures set forth in subsections (1) and (2) of this section, a petition for an election on the organization of a water conservancy district may be filed with the clerk of the court vested with ju- risdiction in a county in which all or part of the lands embraced in such proposed district is situated. The petition shall be signed by not less than ten percent or two hundred electors of the proposed special district, whichever number is smaller. The proposed boundary of the special district may include any part or all of any city or city and county of any size. Such petition and the hearing thereon shall otherwise comply with the provisions of this article which are not inconsistent with the provisions of this subsection (2.5). (b) On the day fixed for the hearing, or at a continuance thereof, the court shall first ascertain, from such evidence which may be adduced, that the required number of electors of the proposed district have signed the petition. Upon said hearing, if it appears that the petition for the organization of the district has been signed and presented in conformity with this subsection (2.5) and that the allegations of the petition are true, the court, by order duly entered of record, shall direct that the question of the organization of the water conservancy district shall be sub- mitted at an election to be held for that purpose in accordance with the procedures set forth in sections 37-45-139 to 37-45-141. The court shall exercise all functions which are the responsibility of the board of directors of a wa- ter conservancy district as set forth in said sections. (c) At such election, the voter shall vote for or against the organization of the water conservancy district. If a ma- jority of the votes cast at said election are in favor of the organization, the court shall declare the district organized and give it the corporate name designated in the petition, by which it shall thereafter be known in all proceedings. However, if the proposed district includes any territory within a municipality and a majority of the votes cast by voters residing within that incorporated area are against formation of the district, the governing body of said mu- nicipality may, within thirty days after certification of the election results, petition the court organizing the district for exclusion from the district of all such incorporated territory, and the court shall exclude such territory from the district. Thereupon, the district shall be a political subdivision of the state of Colorado and a body corporate with all the powers of a public or municipal corporation. (3) The petition shall set forth: Page 7 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (a) The proposed name of said district; (b) In cases where an election will not be held on the organization of the district, that property within the proposed district will be benefited by the accomplishment of the purposes enumerated in section 37-45-108; (c) A general description of the purpose of the contemplated improvement and of the territory to be included in the proposed district. The description need not be given by metes and bounds or by legal subdivision, but it shall be sufficient to enable a property owner to ascertain whether his property is within the territory proposed to be or- ganized as a district. The territory need not be contiguous if it is so situated that the organization of a single dis- trict of the territory described is calculated to promote one or more of the purposes enumerated in section 37-45- 108. (d) Whether or not any part of the proposed district is included within the boundaries of a district already in exis- tence under the provisions of this article and, if so, the general description, as defined in paragraph (c) of this sub- section (3), of the overlapping area; (e) The valuation for assessment of all irrigated land within the boundaries of the proposed district if the district is to be organized without holding an election on the question of organization; (f) A general designation of divisions of the district and the number of directors of the district proposed for each subdivision; (g) A prayer for the organization of the district by the name proposed and, in the case of a petition for an election under subsection (2.5) of this section, a request for the holding of an election on the question of the organization of the district. (4) No petition with the requisite signatures shall be declared void on account of alleged defects, but the court may permit the petition to be amended at any time to conform to the facts by correcting any errors in the description of the territory or in any other particular. However, similar petitions or duplicate copies of the same petition for the organization of the same district may be filed and together shall be regarded as one petition. All such petitions filed prior to the hearing on the first petition filed shall be considered by the court the same as though filed with the first petition placed on file. (5) In determining whether the requisite number of landowners have signed the petition, the court shall be gov- erned by the names as they appear upon the tax roll which shall be prima facie evidence of such ownership. § 37-45-110. Bond of petitioners At the time of filing the petition or at any time subsequent thereto and prior to the time of hearing on said petition, a bond shall be filed, with security approved by the court, sufficient to pay all expenses, including any expenses of an election, connected with the proceedings in case the organization of the district is not effected. If at any time Page 8 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. during the proceeding the court is satisfied that the bond first executed is insufficient in amount, it may require the execution of an additional bond within a time to be fixed to be not less than ten days distant, and, upon failure of the petitioner to execute the same, the petition shall be dismissed. § 37-45-111. Notice of hearing on petition (1) Immediately after the filing of such petition, the court wherein such petition is filed, by order, shall fix a place and time, not less than sixty days nor more than ninety days after the petition is filed, for hearing thereon, and thereupon the clerk of said court shall cause notice by publication to be made of the pendency of the petition and of the time and place of hearing thereon; the clerk of said court shall also forthwith cause a copy of said notice to be mailed by United States registered mail to the board of county commissioners of each of the several counties having territory within the proposed district. (2) The district court in and for the county in which the petition for the organization of a water conservancy dis- trict has been filed shall thereafter for all purposes of this article, except as otherwise provided in this article, maintain and have original and exclusive jurisdiction coextensive with the boundaries of said water conservancy district and of land and other property proposed to be included in said district or affected by said district, without regard to the usual limits of its jurisdiction. (3) No judge of such court wherein such petition is filed shall be disqualified to perform any duty imposed by this article by reason of ownership of property within any water conservancy district or proposed water conservancy district or by reason of ownership of any property that may be benefited, taxed, or assessed therein. § 37-45-112. Protests and hearings on petitions (1)(a) At any time after the filing of a petition for the organization of a conservancy district having a valuation for assessment of irrigated land within the proposed district, together with improvements thereon, of twenty million dollars or more, a petition protesting the creation of said district may be filed in the office of the clerk of the court wherein the proceeding for the creation of said district is pending. Such protesting petition shall be filed at least thirty days prior to the time fixed by order of court for the hearing upon the petition to create such district, and not thereafter. (b) Any such protesting petition shall be signed by either: Not fewer than fifteen hundred owners of the irrigated lands in said proposed district, but not embraced within the incorporated limits of a city or town, the aggregate valuation for assessment of which, together with improvements, is not less than two million dollars and also signed by not fewer than five hundred owners of nonirrigated land or lands embraced in the incorporated limits of a city or town, all such situated within the proposed district, the aggregate valuation for assessment of which, to- gether with improvements, is not less than one million dollars; or owners of property subject to ad valorem taxes within the proposed district, regardless of number, the aggregate valuation for assessment of which property is more than fifty percent of the total valuation for assessment of all property subject to ad valorem taxes within the proposed district. Page 9 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (c) The signers of any such protesting petition shall state therein a description of the taxable property owned by each, the value thereof as shown by the last preceding assessment, and that they did not sign the petition for creat- ing the proposed district. (2)(a) At any time after the filing of a petition for the organization of a conservancy district having a valuation for assessment of irrigated land within the proposed district, together with improvements thereon, of less than twenty million dollars, a petition protesting the creation of said district may be filed in the office of the clerk of the court wherein the proceeding for the creation of said district is pending. Such protesting petition shall be filed at least thirty days prior to the time fixed by order of court for the hearing upon the petition to create said district, and not thereafter. (b) Any such protesting petition shall be signed by either: Not fewer than twenty-five percent of the owners of the irrigated lands within said proposed district not embraced within the incorporated limits of a city or town and also signed by not fewer than five percent of owners of nonirrigated lands or lands embraced in the incorporated limits of a city or town, all situated within the proposed district; or owners of property subject to ad valorem taxes within the proposed district, regardless of number, the aggregate valuation for assessment of which property is more than fifty percent of the total valuation for assessment of all properties subject to ad valorem taxes within the proposed district. (c) The signers of any such protesting petition shall state therein a description of the taxable property owned by each, the value thereof as shown by the last preceding assessment, and that they did not sign the petition for creat- ing the proposed district. (3) In the event a petitioner signs such petition both as owner of irrigated and nonirrigated land situated within a municipality, his name shall be counted only as an owner of irrigated lands. (4)(a) Upon the filing of any petition either for or against creation of a district, it is the duty of the clerk of the court to make as many certified copies thereof, including the signatures thereto, as there are counties in which any part of said district extends. (b) The court shall thereupon order the mailing of such copies to the appropriate county treasurers, which order shall include directions to the county treasurers to certify by a day certain such information contained in their offi- cial files as the court may deem necessary to resolve the issues of property ownership and valuation for assess- ment raised in or incidental to the petitions as filed. (5)(a) Upon the day set for the hearing upon the original petition, if it appears to the court from the information furnished by the county treasurers, and from such other evidence as may be adduced by any party in interest, that a protesting petition is not signed by the requisite number of owners of lands and of the requisite values, as appli- cable, the court shall thereupon dismiss said protesting petition and shall proceed with the original hearing as pro- vided in this section. (b) If the court finds from the evidence that a protesting petition is signed by the requisite number of owners of Page 10 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. lands and of the requisite values, as applicable, the court shall order an election on the question of the formation of the district in accordance with the procedure set forth in sections 37-45-139 to 37-45-141. The court shall exercise all functions which are the responsibility of the board of directors of a water conservancy district as set forth in said sections. (c) The finding of the court upon the question of total valuation, the genuineness of the signatures, and all other matters of law and fact incident to such determination shall be final and conclusive on all parties and interests whether appearing or not. (6)(a) Any owner of real property in said proposed district not having individually signed a petition for the organi- zation of a conservancy district may file objection to the organization and incorporation of the district. Such ob- jection shall be limited to a denial of the statements in the petition. (b) The owner of any real property, or interest therein subject to ad valorem taxation, within the proposed district may file a petition with the court stating reasons why said property should not be included therein and praying that said property be excluded therefrom. Such reasons may include, but shall not be limited to, the absence of benefit to the said property derived from the proposed district and the fact that the exclusion will not interfere with the purposes of the proposed district. Such petition shall be duly verified and shall describe the property sought to be excluded. The court shall hear said petition and all objections thereto at the time of the hearing on the petition for organization as an advanced matter and shall determine whether said property should be excluded or included in said district. A final order of the court shall be entered on a petition for exclusion prior to and separately from any final order granting or dismissing the petition for the organization of the district. (c) Any petitions or objections filed under paragraph (a) or (b) of this subsection (6) shall be filed at least thirty days prior to the time fixed by order of court for hearing upon the petition to create said district and not thereafter. (6.5)(a) The only objections or protesting petitions allowed in the case of a petition for an election under section 37-45-109(2.5) shall be those filed under paragraph (b) of subsection (6) of this section and those which protest that such petition for an election has not been signed and presented in compliance with said section. (b) In the event that a petition is amended to request an election, any protesting petitions not allowed under para- graph (a) of this subsection (6.5) shall be dismissed by the court and the proceedings continued as provided in section 37-45-109(2.5). (6.6) Any petition originally filed under section 37-45-109(1) or (2) may, at any time, be amended to request an election on the question of the organization of the district as provided in section 37-45-109(2.5) if the original pe- tition stated that it may be used in the alternative to request an election on the question of the organization of the district. Any such amended petition shall then conform with the petition requirements of section 37-45-109(2.5), and any signers to the petition originally filed shall be considered valid signers on the amended petition so long as such signers meet the requirements of section 37-45-109(2.5). (7) Upon said hearing on a petition filed under section 37-45-109(1) or (2), if it appears that the petition for the Page 11 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. organization of a water conservancy district has been signed and presented in conformity with this article, and that the allegations of the petition are true, and that no protesting petition has been filed, or if filed has been dismissed, by order duly entered of record, the court shall adjudicate all questions of jurisdiction, declare the district organ- ized, and give it a corporate name, by which in all proceedings it shall thereafter be known, and thereupon the dis- trict shall be a political subdivision of the state of Colorado and a body corporate with all the powers of a public or municipal corporation. (8) In such decree the court shall designate the place where the office or principal place of business of the district shall be located, which shall be within the corporate limits of the district and which may be changed by order of court from time to time. The regular meetings of the board shall be held at such office or place of business but for cause may be adjourned to any other convenient place. The official records and files of the district shall be kept at the office so established. (9) If the court determines that a petition for organization of a water conservancy district has not been signed and presented in conformity with this article or that the material facts are not as set forth in the petition, the court shall allow the petitioner thirty days within which to cure any defects as provided in section 37-45-109(4) or to amend the petition as provided in subsection (6.6) of this section to request an election on the question of organizing the district. Any such amendment of a petition shall be valid if amended within said thirty days. If after said thirty days any defects are not cured or the petition is not so amended, the court shall dismiss the proceedings and ad- judge the costs against the signers of the petition in such proportion as it deems just and equitable. No appeal or other remedy shall lie from an order dismissing said proceeding; but nothing in this section shall be construed to prevent the filing of a subsequent petition for similar improvements or for a similar water conservancy district, and the right to renew such proceeding is expressly granted and authorized. (10) If an order is entered establishing the district, such order shall be deemed final and no appeal or other remedy shall lie therefrom, and the entry of such order shall finally and conclusively establish the regular organization of the district against all persons except the state of Colorado, in an action in the nature of quo warranto, commenced by the attorney general within three months after said decree, declaring such district organized as provided in this article, and not otherwise. The organization of such district shall not be directly nor collaterally questioned in any action or proceeding except as expressly authorized in this article. (11) Nothing in this article shall be construed to affect districts organized prior to May 10, 1939, under the provi- sions of this article. § 37-45-113. Provisions for filing and recording decree of incorporation Within thirty days after the district has been declared a corporation by the court, the clerk of the court shall trans- mit to the division of local government in the department of local affairs and to the county clerk and recorder in each of the counties having lands in said district copies of the findings and the decree of the court incorporating said district. The same shall be filed with said division, and copies shall also be recorded in the office of the county clerk and recorder of each county in which a part of the district may be, where they shall become perma- nent records. Page 12 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. § 37-45-114. Appointment of board of directors (1)(a) Within thirty days after entering the decree incorporating said district, the court shall appoint a board of di- rectors of the district with backgrounds reflecting the agricultural, municipal, industrial, and other interests in the beneficial use of water within the district. Such board shall consist of not more than fifteen persons who are resi- dents of the counties in which the water conservancy district is situated, all of whom shall be the owners of real property in said district and knowledgeable in water matters. Directors shall be appointed so as to generally achieve geographical representation. No specific number of directors shall be required to represent any specific in- terest in the beneficial use of water. In order to achieve geographical representation, the court shall appoint a di- rector from each county within the district which contains more than one percent of the total land area of the dis- trict, which person shall be the owner of real property within the district and within said county. Based on the most recent federal census, the court shall appoint the remaining directors, so far as practicable, in the same pro- portion that the population of each county or portion thereof within the district bears to the total population of the district. Said directors shall reside and own real property within each county, or portion thereof within the district, which is entitled to such proportional representation. The district shall maintain, for public inspection at its offices during normal working hours, a current list showing the names, counties of residence, and expiration dates of the terms of each member of the district's board of directors. Not more than sixty days and not less than forty-five days prior to expiration of a director's term, the conservancy district shall publish notice, once in a newspaper of general circulation within the district, that applications for appointment as director will be accepted by the court until thirty days prior to the expiration of the director's term. The notice shall specify the address of the court to which resumes may be sent, shall specify that the applicant must have resided within the district for a period of one year and be the owner of real property within the district, and, when applicable by decree or revised decree, shall specify that the applicant must be the owner of real property within the particular county whose director's term is expiring. If the organizational decree of the district provides criteria for the appointment of board mem- bers, the provisions of this paragraph (a), regarding geographical and population criteria for appointment, shall not apply to districts which were created pursuant to this article prior to July 1, 1985, unless the court enters an order pursuant to paragraph (d) of this subsection (1). (b) At the expiration of their respective terms of office as fixed by the court, appointments of one-third of the board, to the nearest whole number, shall be made by said court for terms of one year; a like number shall be ap- pointed for terms of two years; and the remainder shall be appointed for terms of four years. Thereafter all ap- pointments of directors shall be for terms of four years. The court shall fill, for the duration of the unexpired term, any vacancy which may occur on the board. Each director shall hold office during the term for which he is ap- pointed and until his successor is duly appointed and has qualified and shall furnish a corporate surety bond at the expense of the district, in the amount and form fixed and approved by the court, conditioned for the faithful per- formance of his duties as such director. (c) In the event that any water conservancy district extends into two or more judicial districts, or any parts thereof, the directors of such water conservancy district shall be appointed by the presiding district judges of all such judi- cial districts, who, sitting en banc, shall constitute “the court” for purposes of this paragraph (c) and paragraph (a) of this subsection (1). In the event of a disagreement regarding appointees, the presiding judge of each judicial Page 13 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. district shall appoint the directors from each eligible county within his judicial district. (d) The court which entered the organizational decree of a district created before July 1, 1985, may reopen the or- ganizational decree in accordance with this subsection (1). If a petition to reopen any such organizational decree is filed with the court in which the decree was originally entered, such petition shall be signed by the board of direc- tors in its discretion or by the owners of ten percent of the allocation of a district's water supply or by ten percent of the registered electors who have resided within the district for a period of one year and who are owners of real property within the district. The court shall promptly conduct a hearing for the limited purpose of reviewing and revising the organizational decree, if necessary to meet the criteria of paragraph (a) of this subsection (1), to spec- ify the number of directors from each county according to the criteria of paragraph (a) of this subsection (1). After the initial reopening and revision of a decree under the provisions of this subsection (1), such decree may be re- opened and revised only once every ten years if necessary to reflect the criteria of paragraph (a) of this subsection (1). Any revision to the decree shall take effect upon entry, but no provision of the revised decree shall remove a director then serving prior to the expiration of his term. A director whose term expires after a proper petition has been filed pursuant to this paragraph (d) shall continue to serve, and the court shall make no appointment of a suc- cessor director until such time as a revised organizational decree is entered pursuant to this paragraph (d) or until the court makes a determination that no revision is necessary. The revised decree shall stagger the terms of the di- rectors so that no more than one-third of the terms of the directors shall expire in any given year. (e) Upon petition or upon its own motion, the court may remove any director of a district board for malfeasance, misfeasance, willful neglect of duty, or any other cause which renders such director incapable or unfit to perform the duties of his office. Such action for removal of a director shall occur after notice and a public hearing, unless such notice and hearing is expressly waived in writing by the challenged director. (2) In the event that a petition, signed by not fewer than ten percent of the registered electors residing in a county, or portion of a county entitled to a director, of a water conservancy district, which electors, for the purpose of this subsection (2), are those persons entitled to vote in general elections, praying for the election of a director from that county to fill the term of office of the specified director from that county then about to expire, in lieu of the appointment thereof by the court, shall be filed with the clerk of the court at any time prior to ninety days preced- ing the expiration date of the term of office of such director appointed by the court, the court shall order the hold- ing of an election in the county, or portion of a county entitled to a director, in the district for the purpose of filling the vacancy to be caused by the expiration of the term of office of the director so about to expire in lieu of the ap- pointment of a successor by the court as provided in subsection (1) of this section. (3) Upon the entry of such order by the court, the clerk of the court shall prepare a certified copy of such order and file the same with the board of directors which shall thereafter provide for the holding of such election for the election of such member of the board of directors in accordance with the provisions of section 37-45-139. (4) Any director so elected shall have the qualifications required for members of the board of directors appointed by the court and shall furnish like bond as required of directors appointed by the court under subsection (1) of this section. Page 14 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (5) The call of such election shall be published as required by the provisions of section 37-45-140, and such elec- tion and the canvass of returns thereof shall be held in pursuance of the provisions of section 37-45-141. (6) Repealed by Laws 1985, S.B.141, § 3. § 37-45-115. Organization of the board of directors (1) Before entering upon his official duties each director shall take and subscribe to an oath before an officer au- thorized to administer oaths that he will support the constitutions of the United States and of the state of Colorado and will honestly, faithfully, and impartially perform the duties of his office and that he will not be interested di- rectly or indirectly in any contract let by said district, which oath shall be filed in the office of the clerk of said court in the original case. (2) Upon taking the oath, the board shall choose one of its number chairman of the board and president of the dis- trict and shall elect some suitable person secretary of the board and of the district who may or may not be a mem- ber of the board. Such board shall adopt a seal and shall keep in a visual text format that may be transmitted elec- tronically a record of all of its proceedings, minutes of all meetings, certificates, contracts, bonds given by em- ployees, and all corporate acts, which shall be open to inspection of all owners of property in the district as well as to all other interested parties. (3) Each member of the board shall receive as compensation for the member's service such sum as shall be or- dered by the court, not in excess of two thousand four hundred dollars per annum, payable monthly, and necessary traveling expenses actually expended while engaged in the performance of the member's duties. (4) All special and regular meetings of the board shall be held at locations which are within the boundaries of the district or which are within the boundaries of any county in which the district is located, in whole or in part, or in any county so long as the meeting location does not exceed twenty miles from the district boundaries. The provi- sions of this subsection (4) may be waived only if the following criteria are met: (a) The proposed change of location of a meeting of the board appears on the agenda of a regular or special meet- ing of the board; and (b) A resolution is adopted by the board stating the reason for which a meeting of the board is to be held in a loca- tion other than under the provisions of this subsection (4) and further stating the date, time, and place of such meeting. § 37-45-116. Meetings and records (1) The meetings of the board of directors of a water conservancy district shall be subject to the requirements of part 4 of article 6 of title 24, C.R.S. Page 15 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (2) A majority of the directors shall constitute a quorum, and a concurrence of a majority of those in attendance, in any matter within their duties, shall be sufficient for its determination, except as otherwise provided in this article. (3) The board shall keep written minutes of its proceedings. The minutes of the board, as approved by the board, shall constitute prima facie evidence of the acts of the board recorded therein, and, when duly certified by the board's president or the board's secretary, copies of such minutes shall be received as evidence of the acts of the board in all courts equally and with like effect as the originals. The records of a water conservancy district shall be public records as defined by section 24-72-202(6), C.R.S. § 37-45-117. Employment of agents The secretary shall be custodian of the records of the district and of its corporate seal, and shall assist the board in such particulars as it may direct in the performance of its duties. The secretary shall attest, under the corporate seal of the district, all certified copies of the official records and files of the district that may be required of him by this article, or by any person ordering the same and paying the reasonable cost of transcription, and any portion of the record so certified and attested shall prima facie import verity. The secretary shall serve as treasurer of the district, unless a treasurer is otherwise provided for by the board. The board may also employ a chief engineer who may be an individual, partnership, or corporation; an attorney, and such other engineers, attorneys, and other agents and assistants as may be necessary; and may provide for their compensation which, with all other necessary ex- penditures, shall be taken as a part of the cost or maintenance of the improvement. The chief engineer shall be su- perintendent of all the works and improvements, and shall make a full report to the board each year, or oftener if required by the board, and may make such suggestions and recommendations to the board as he may deem proper. The secretary and treasurer and such other agents or employees of the district as the court may direct, shall furnish corporate surety bonds, at the expense of the district, in amount and form fixed and approved by the court, condi- tioned upon the faithful performance of their respective duties. § 37-45-118. General powers (1) The board has power on behalf of said district: (a) To have perpetual succession; (b)(I)(A) To take by appropriation, grant, purchase, bequest, devise, or lease, and to hold and enjoy water, water- works, water rights, and sources of water supply, and any and all real and personal property of any kind within or without the district necessary or convenient to the full exercise of its powers; (B) To sell, lease, encumber, alien, or otherwise dispose of water, waterworks, water rights, and sources of supply of water for use within the district; (C) To acquire, construct, or operate, control, and use any and all works, facilities, and means necessary or con- venient to the exercise of its power, both within and without the district for the purpose of providing for the use of Page 16 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. such water within the district and to do and perform any and all things necessary or convenient to the full exercise of the powers granted in this paragraph (b). (II) Any works or facilities planned and designed for the exportation of water from the natural basin of the Colo- rado river and its tributaries in Colorado, by any district created under this article, shall be subject to the provi- sions of the Colorado river compact and the “Boulder Canyon Project Act”. Any such works or facilities shall be designed, constructed, and operated in such manner that the present appropriations of water and, in addition thereto, prospective uses of water for irrigation and other beneficial consumptive use purposes, including con- sumptive uses for domestic, mining, and industrial purposes, within the natural basin of the Colorado river in the state of Colorado from which water is exported will not be impaired nor increased in cost at the expense of the water users within the natural basin. The facilities and other means for the accomplishment of said purpose shall be incorporated in and made a part of any project plans for the exportation of water from said natural basin in Colorado. (c) To have and to exercise the power of eminent domain and dominant eminent domain and in the manner pro- vided by law for the condemnation of private property for public use to take any property necessary to the exer- cise of the powers granted in this article; except that such district shall not have or exercise the power of eminent domain over or by means thereof to acquire the title to or beneficial use of vested water rights for transmountain diversion, and in connection therewith such district shall not have the power to carry or transport water in trans- mountain diversion, the title to which has been acquired by any municipality by virtue of eminent domain pro- ceedings against any such vested rights; (d)(I) To construct and maintain works and establish and maintain facilities across or along any public street or highway and in, upon, or over any vacant public lands which public lands are now, or may become, the property of the state of Colorado and to construct works and establish and maintain facilities across any stream of water or watercourse; except that the district shall promptly restore any such street or highway to its former state of useful- ness as nearly as may be and shall not use the same in such manner as to completely or unnecessarily impair the usefulness thereof. The grant of the right to use such vacant state lands shall be effective upon the filing by such district with the state board of land commissioners of an application showing the boundaries, extent, and locations of the lands, rights-of-way, or easements desired for such purposes. (II) If the land, rights-of-way, or easements for which application is made is for the construction of any aqueduct, ditch, pipeline, conduit, tunnel, or other works for the conveyance of water, or for roads, or for poles or towers and wires for the conveyance of electrical energy, or for telephonic or telegraphic communication, no compensa- tion shall be charged the district therefor, unless in the opinion of the state board of land commissioners the con- struction of such works will render the remainder of the legal subdivision through which such works are to be constructed valueless or unsalable, in which event the district shall pay for the lands to be taken and for such por- tion of any legal subdivision which in the opinion of the board is rendered valueless or unsalable, at the rate of two dollars and fifty cents per acre. If the lands for which application is made are for purposes other than the con- struction of roads or works for the conveyance of water or electricity or telephonic or telegraphic communication, such district shall pay to the state for such lands at the rate of two dollars and fifty cents per acre. Page 17 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (III) Upon filing such application, accompanied by map or plat showing the location or proposed location of such works or facilities, the fee title to so much of such state lands as shall be necessary or convenient to enable such district efficiently and without interference to construct, maintain, and operate its works and to establish, maintain, and operate its facilities shall be conveyed to said district by patent. If an easement or right-of-way only over such lands is sought by the district, such easement or right-of-way shall be evidenced by permit or grant executed by or on behalf of the state board of land commissioners. The state board of land commissioners may reserve easements or rights-of-way, in the public, across any lands in such patents, grants, or permits described for streets, roads, and highways theretofore established according to law. Before any such patent, grant, or permit is executed, any com- pensation due to the state under the provisions hereof must be paid. No fee shall be exacted from the district for any patent, permit, or grant so issued or for any service rendered hereunder. (IV) In the use of streets, the district shall be subject to the reasonable rules and regulations of the county, city, or town where such streets lie, concerning excavation and the refilling of excavation, the relaying of pavements, and the protection of the public during periods of construction; except that the district shall not be required to pay any license or permit fees or file any bonds. The district may be required to pay reasonable inspection fees. (e) To contract with the government of the United States or any agency thereof for the construction, preservation, operation, and maintenance of tunnels, reservoirs, regulating basins, diversion canals, and works, dams, power plants, and all necessary works incident thereto and to acquire perpetual rights to the use of water from such works and to sell and dispose of perpetual rights to the use of water from such works to persons and corporations, public and private; (f) To list in separate ownership the lands within the district which are susceptible of irrigation from district sources and to make an allotment of water to all such lands, which allotment of water shall not exceed the maxi- mum amount of water that the board determines could be beneficially used on such lands; to levy assessments as provided in sections 37-45-121 to 37-45-126 against the lands within the district to which water is allotted on the basis of the value per acre-foot of water allotted to said lands within the district; except that the board may divide the district into units and fix a different value per acre-foot of water in the respective units and, in such case, shall assess the lands within each unit upon the same basis of value per acre-foot of water allotted to lands within such unit; (g) To fix rates at which water not allotted to lands, as provided in paragraph (f) of this subsection (1), shall be sold, leased, or otherwise disposed of; but rates shall be equitable although not necessarily equal or uniform, for like classes of service throughout the district; (h) To enter into contracts, employ and retain personal services, and employ laborers; to create, establish, and maintain such offices and positions as shall be necessary and convenient for the transaction of the business of the district; and to elect, appoint, and employ such officers, attorneys, agents, and employees therefor as found by the board to be necessary and convenient; (i) To adopt plans and specifications for the works for which the district was organized, which plans and specifi- cations may at any time be changed or modified by the board. Such plans shall include maps, profiles, and such Page 18 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. other data and descriptions as may be necessary to set forth the location and character of the works, and a copy thereof shall be kept in the office of the district and open to public inspection. (j) To appropriate and otherwise acquire water and water rights within or without the state; to develop, store, and transport water; to subscribe for, purchase, and acquire stock in canal companies, water companies, and water us- ers' associations; to provide, sell, lease, and deliver water for municipal and domestic purposes, irrigation, power, milling, manufacturing, mining, metallurgical, and any and all other beneficial uses and to derive revenue and benefits therefrom; to fix the terms and rates therefor; and to make and adopt plans for and to acquire, construct, operate, and maintain dams, reservoirs, canals, conduits, pipelines, tunnels, power plants, and any and all works, facilities, improvements, and property necessary or convenient therefor and, in the doing of all of said things, to obligate itself and execute and perform such obligations according to the tenor thereof; but the sale, leasing, and delivery of water for irrigation, domestic, and other beneficial purposes as provided in this section, whether the water is developed by the principal district or a subdistrict thereof, shall only be made for use within the bounda- ries of either the principal district or the subdistrict, or both; (k) Repealed by Laws 1987, H.B.1355, § 42. (l) To invest or deposit any surplus money in the district treasury, including such money as may be in any sinking or escrow fund established for the purpose of providing for the payment of the principal of or interest on any con- tract or bonded or other indebtedness, or for any other purpose, not required for the immediate necessities of the district in any legal investment or depository authorized by the provisions of part 6 of article 75 of title 24, C.R.S., and such investment may be made by direct purchase of any issue of such legal investment, or part thereof, at the original sale of the same or by the subsequent purchase of such legal investment. Any legal investment thus made and held may be sold from time to time and the proceeds reinvested in any such legal investment. Sales of any such legal investment thus purchased and held shall be made in season so that the proceeds may be applied to the purposes for which the money with which the legal investments were originally purchased was placed in the treasury of the district. The functions and duties authorized by this paragraph (l) shall be performed under such rules and regulations as shall be prescribed by the board. The board may appoint, by written resolution, one or more persons to act as custodians of the money of the district. Such persons shall give surety bonds in such amounts and form and for such purposes as the board requires. (m) To refund bonded indebtedness incurred by the district under and pursuant to such rules and regulations as shall be prescribed by the board; (n) To borrow money and incur indebtedness and to issue bonds or other evidence of such indebtedness; (o) To adopt bylaws not in conflict with the constitution and laws of the state for carrying on the business, objects, and affairs of the board and of the district; (p) To participate in the formulation and implementation of nonpoint source water pollution control programs re- lated to agricultural practices in order to implement programs required or authorized under federal law and section 25-8-205(5), C.R.S., enter into contracts and agreements, accept funds from any federal, state, or private sources, Page 19 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. receive grants or loans, participate in education and demonstration programs, construct, operate, maintain, or re- place facilities, and perform such other activities and adopt such rules and policies as the board deems necessary or desirable in connection with nonpoint source water pollution control programs related to agricultural practices; (q)(I) To provide park and recreation improvements and services in connection with a reservoir owned by the dis- trict and adjacent land if such improvements and services are not already being provided by another entity with re- spect to the reservoir and adjacent land. (II) Once the board adopts a resolution to provide improvements and services pursuant to this paragraph (q), no other entity may provide park and recreation improvements and services with respect to the reservoir and adjacent land without the consent of the board. (III) The district may exercise any powers that a park and recreation district has in connection with the provision of park and recreation improvements and services, including imposing rates, fees, and charges in connection with the improvements and services. The district may use any district revenues to provide the improvements and ser- vices. (2) Nothing provided in this article shall be construed to grant to the district or board the power to generate, dis- tribute, sell, or contract to sell electric energy except for the operation of the works and facilities of the district and except for wholesale sales of electric energy which may be made both within and without the boundaries of the district or subdistrict. § 37-45-119. Power to acquire rights-of-way Whenever, pursuant to this article, the electors of a water conservancy district have authorized a contract with the United States for construction and acquisition of works and water rights, which contract has obligated the district to acquire rights-of-way therefor to be conveyed by the district to the United States upon reimbursement by the United States, then the district, without further election and through its board of directors, has power to do all acts for acquiring such rights-of-way, including borrowing of and paying interest upon such sums of money as shall be required to make deposits fixed by the court for possession and to pay awards on condemnation of said rights-of- way as well as amounts up to the appraised values of the particular rights-of-way as have been fixed by the ap- praisers for the United States in each instance of negotiated purchases, notwithstanding the sum borrowed shall be greater than the ordinary annual incomes and revenues of the district; and all debts incurred, and interest payments made prior to February 5, 1943, for the aforesaid purposes, are expressly authorized, ratified, and approved. § 37-45-120. Subdistricts (1) Subdistricts may be organized upon the petition of the owners of real property, within or partly within and partly without the district, which petition shall fulfill the same requirements concerning the subdistricts as the pe- tition outlined in section 37-45-109 is required to fulfill, concerning the organization of the main district, and shall be filed with the clerk of the court, and shall be accompanied by a bond as provided for in section 37-45-110. All proceedings relating to the organization of such subdistricts shall conform in all things to the provision of this ar- Page 20 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. ticle relating to the organization of districts; except that not more than a majority of the owners of lands, having one-half or more of the aggregate valuation for assessment of the lands in the proposed subdistrict, shall be re- quired to sign the petition for the creation of a subdistrict and not more than twenty-five percent of the owners of lands in the proposed subdistrict shall be required to sign the protesting petition against the creation of such sub- district. (2) Whenever the court declares and decrees by its order duly entered of record such subdistricts to be organized, the clerk of said court shall thereupon give notice of such order to the directors of the district who shall thereupon act also as directors of the subdistrict. Thereafter, the proceedings in reference to the subdistrict in all matters shall conform to the provisions of this article; except that, in the appraisal of benefits for the purpose of such subdis- tricts, in the issuance of bonds, in levying of assessments, and in all other matters affecting only the subdistrict, the provisions of this article shall apply to the subdistrict as though it were an independent district, and it shall not in these things be amalgamated with the main district. (3) The petition for organization of a subdistrict shall also contain a statement of the amount or quantity of water for which said subdistrict desires to acquire the perpetual use and the amount of money that said subdistrict is willing to pay therefor, and, prior to the entry of its decree organizing any territory into a subdistrict, the court shall obtain the verified consent of the board to furnish such perpetual use of water for the purposes therein speci- fied to such subdistrict at a price and upon the terms mentioned in the petition. The court shall then be authorized to enter its decree of organization of such subdistrict. § 37-45-121. Classification of taxes and assessments--powers (1) In addition to the other means of providing revenue for such districts, the board has the power to levy and col- lect taxes and special assessments for maintaining and operating such works and paying the obligations and in- debtedness of the district by any one or more of the methods or combinations thereof, classified as follows: (a) Class A: To levy and collect taxes upon all property within the district as provided in section 37-45-122; (b) Class B: To levy and collect assessments for special benefits accruing to property within municipalities for which use of water or capacity of works is allotted as provided in section 37-45-123; (c) Class C: To levy and collect assessments for special benefits accruing to property within public corporations for which use of water or capacity of works is allotted as provided in section 37-45-124; (d) Class D: To levy and collect assessments for special benefits accruing to lands for which use of water or ca- pacity of works is allotted as provided in section 37-45-125. § 37-45-122. Levy and collection under class A (1) As to any district formed prior to April 22, 1957, to levy and collect taxes under class A, in each year, the Page 21 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. board shall determine the amount of money necessary to be raised by taxation, taking into consideration other sources of revenue of the district, and shall fix a rate of levy which when levied upon every dollar of valuation for assessment of property within the district and with other revenues will raise the amount required by the district to supply funds for paying expenses of organization, for surveys and plans, and for paying the costs of construction of, operating, and maintaining the works of the district. The rate shall not exceed one-half mill on the dollar, prior to the delivery of water from the works, and thereafter shall not exceed one mill on the dollar of valuation for as- sessment of the property within the district, except in the event of accruing defaults or deficiencies when an addi- tional levy may be made as provided in section 37-45-126. (2)(a) As to any district formed subsequent to April 22, 1957, to levy and collect taxes under class A, in each year, the board shall determine the amount of money necessary to be raised by taxation, taking into consideration other sources of revenue of the district, and shall fix a rate of levy which, when levied on every dollar of valuation for assessment of property within the district and with other revenues, will raise the amount required by the district to supply funds for paying expenses of organization, for surveys and plans, and for paying the costs of construction of and operating and maintaining the works of the district; except that said rate shall not exceed: (I) In the case of a district having a valuation for assessment when formed of not more than twenty million dollars, one and one-half mill on each dollar of valuation for assessment of property within the district prior to the deliv- ery of water from the works and thereafter not to exceed three mills on each dollar of valuation for assessment; (II) In the case of a district having a valuation for assessment when formed of more than twenty million dollars but not more than fifty million dollars, one mill on each dollar of valuation for assessment of property within the district prior to the delivery of water from the works and thereafter not to exceed two mills on each dollar of valuation for assessment; (III) In the case of a district having a valuation for assessment when formed of more than fifty million dollars, not to exceed one-half mill on each dollar of valuation for assessment of property within the district prior to the deliv- ery of water from the works and thereafter not to exceed one mill on each dollar of valuation for assessment of the property within the district. (b) In the event of accruing defaults or deficiencies, a levy in addition to those prescribed in paragraph (a) of this subsection (2) may be made as provided in section 37-45-126. (3) In accordance with the schedule prescribed by section 39-5-128, C.R.S., the board shall certify to the board of county commissioners of each county within the district, or having a portion of its territory within the district, the rate so fixed with directions that, at the time and in the manner required by law for levying of taxes for county purposes, such board of county commissioners shall levy such tax upon the valuation for assessment of all prop- erty within the district, in addition to such other taxes as may be levied by such board of county commissioners at the rate so fixed and determined. (4)(a) Any district may increase the maximum mill levy to no more than nine mills for districts described in sub- paragraph (I) of paragraph (a) of subsection (2) of this section, to no more than six mills for districts described in Page 22 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. subparagraph (II) of paragraph (a) of subsection (2) of this section, and to no more than three mills for districts described in subparagraph (III) of paragraph (a) of subsection (2) of this section, but any such increase in a mill levy shall be made in accordance with the election procedure provided in this subsection (4). (b) Whenever the board of directors of the district, by resolution adopted by a majority of all of the members of the board, determines that the interests of said district and the public interest or necessity demand an increase in the mill levy for such district not greater than the maximum mill levy prescribed in paragraph (a) of this subsec- tion (4) for the purposes therein stated, said board shall order the submission of the proposition to the electors of the district at an election held for that purpose. Any election held for the purpose of submitting any such proposi- tion may be held separately or may be consolidated or held concurrently with any other election authorized by law at which such electors of the district shall be entitled to vote. (c) The declaration of such election may be included within the same resolution, which resolution, in addition to such declaration of public interest or necessity, shall recite the maximum mill levy proposed which shall be no greater than that authorized by paragraph (a) of this subsection (4) for a district of like size. Such resolution shall also fix the date upon which such election shall be held and the manner of holding the same and the method of voting for or against the increase in mill levy. Such resolution shall also fix the compensation to be paid the offi- cers of the election and shall designate the precincts and polling places and shall appoint for each polling place, from each precinct from the electors thereof, the officers of such election, which officers shall consist of three judges, one of whom shall act as a clerk, who shall constitute a board of election for each polling place. The de- scription of precincts may be made by reference to any order of the board of county commissioners of the county in which the district or any part thereof is situated or by reference to any previous order or resolution of the board or by detailed description of such precincts. Precincts established by boards of the various counties may be con- solidated for special elections held under this article. (d) In the event any such election is called to be held concurrently with any other election or is consolidated therewith, the resolution calling the election under this article need not designate precincts or polling places or names of officers of the election but shall contain reference to the act or order calling such other election and fix- ing the precincts and polling places and appointing the election officers therefrom. The resolution shall be pub- lished once a week for two consecutive weeks, the last publication of which shall be at least ten days prior to the date set for said election, in a newspaper of general circulation, printed and published within the district, and no other or further notice of such election or publication of the names of election officers or of the precincts or poll- ing places need be given or made. (e) The election shall be conducted in accordance with the provisions of section 37-45-141 and in the same man- ner as elections held in accordance with the provisions of section 37-45-142. In the event that the increase in the mill levy of the district is approved, the board of directors shall be authorized to levy taxes at the rate authorized in the election. If the proposition of increasing such mill levy is defeated, the board of directors may continue to levy taxes at rates not exceeding those authorized prior to such election. § 37-45-123. Levy and collection under class B Page 23 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (1)(a) To levy and collect special assessments under class B, the board shall make an allotment of water or of ca- pacity of specified works to each petitioning municipality in the district in the manner provided in this article and in such quantity as will in the judgment of the board, when added to the then present supply of water of such mu- nicipality in the case of an allotment of water, or when added to the then present supply of capacity of all other works of such municipality in the case of an allotment of capacity of specified works, make an adequate supply for such municipality and shall fix and determine the rate and the terms upon which such water or capacity of such works shall be sold, leased, contracted for, or otherwise disposed of for use by such municipalities; except that such rates shall be equitable although not necessarily equal or uniform for like classes of services throughout the district and no municipality shall be required to make payments to secure or cover the default or failure of per- formance pertaining to capital debt of any other participating municipality which participates in a project in which the capacity of the specified works has been allotted to two or more participants. (b) The board shall examine all rates charged for like classes of service throughout the district and shall by rule and regulation adjust such rates periodically as needed to make such rates within any such class of service equita- ble. (2) In the event any city, city and county, or town desires to purchase, lease, contract for, or otherwise obtain the beneficial use of waters or capacity of works of the district for domestic, irrigation, or other beneficial purposes, the legislative body of such municipality shall by ordinance authorize and direct its mayor and clerk to petition the board for an allotment of water or capacity of specified works, upon terms prescribed by the board, which petition shall contain, inter alia, the following: (a) Name of municipality; (b) Quantity of water or capacity of works for which an allotment is sought; (c) Rate to be paid; (d) Whether payments are to be in cash or annual installments; (e) Agreement by the municipality to make payments for the beneficial use of such water or capacity of works to- gether with annual maintenance and operating charges and to be bound by the provisions of this article and the rules and regulations of the board. (3) The secretary of the board shall cause notice of the filing of such petition to be given and published once each week for two successive weeks, in a newspaper published in the county in which said municipality is situated, which notice shall state the filing of such petition and give notice to all persons interested to appear at the office of the board, at a time named in said notice and show cause, in writing, if any they have, why the petition should not be granted. (4) The board at the time and place mentioned in said notice or at such time to which the hearing of said petition Page 24 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. may adjourn, shall proceed to hear the petition and objections thereto, presented in writing, by any person show- ing cause why said petition should not be granted. The failure of any person interested to show cause shall be deemed an assent on such person's part to the granting of said petition. At its discretion, the board may accept or reject said petition; but, if it deems it for the best interest of the district that said petition be granted, the board shall enter an order granting said petition, and, from and after such order, the said municipality shall be deemed to have purchased, leased, contracted for, or otherwise acquired the beneficial use of water or capacity of works as set forth in said order. (5) If said petition is granted, the board shall determine the amount of money necessary to be raised by taxation in each year from property within such municipality to pay the annual installments and a fair proportionate amount of estimated operating and maintenance charges for the next succeeding year, as provided in the order granting said petition, and shall prepare a statement showing the tax rate to be applied to all property in such municipality, which rate shall be the rate fixed by resolution of the board, modified to the extent necessary to produce from each such municipality only the amount of money apportioned thereto in said resolution, less any amount paid or un- dertaken to be paid by such municipality in cash or as credited thereto by payments from the general funds of such municipality. Upon receipt by the board of county commissioners of each county, wherein such municipality is located, of a certified copy of such resolution showing the tax rate to be applied to all property in each municipal- ity and showing the municipalities and the property which is exempt therefrom, if any, it is the duty of the county officers to levy and collect such tax in addition to such other tax as may be levied by such board of county com- missioners at the rate so fixed and determined. § 37-45-124. Levy and collection under class C (1)(a) To levy and collect special assessments upon lands under class C, the board shall make an allotment of wa- ter or of capacity of specified works to each of the petitioning public corporations, other than municipalities, within the district in the manner as provided in this section, in such quantity as will in the judgment of the board, when added to the present supply of water of such public corporation in the case of an allotment of water, or when added to the then present supply of capacity of all other works of such public corporation in the case of an allot- ment of capacity of specified works, make an adequate supply for such public corporation and shall fix and de- termine the rate and terms at which such water or capacity of works shall be sold, leased, contracted for, or other- wise disposed of to such public corporation; except that such rates shall be equitable although not necessarily equal or uniform for like classes of services throughout the district. (b) The board shall examine all rates charged for like classes of service throughout the district and shall by rule and regulation adjust such rates periodically as needed to make such rates within any such class of service equita- ble. (2) In the event any such public corporation desires to purchase, lease, contract for, or otherwise obtain the benefi- cial use of waters or capacity of works of the district, the board of such public corporation by resolution shall au- thorize and direct its president and secretary to petition the board for an allotment of water or of capacity of speci- fied works, upon terms prescribed by the board, which petition shall contain, inter alia, the following: Page 25 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (a) Name of public corporation; (b) Quantity of water or capacity of works for which allotment is sought; (c) Rate to be paid; (d) Whether payments are to be made in cash or annual installments; (e) Agreement by such public corporation to make payments for the beneficial use of such water or capacity of works, together with annual maintenance and operating charges, and to be bound by the provisions of this article and the rules and regulations of the board. (3) The secretary of the board shall cause notice of the filing of such petition to be given and published, which no- tice shall state the filing of such petition and give notice to all persons interested to appear at the office of the board at a time named in said notice and show cause in writing why the petition should not be granted. The board at the time and place mentioned in said notice, or at such time to which the hearing of said petition may be ad- journed, shall proceed to hear the petition and objections thereto, presented in writing, by any person showing cause why said petition should not be granted. The failure of any person interested to show cause shall be deemed an assent on such person's part to the granting of said petition. At its discretion, the board may accept or reject said petition; but, if it deems it for the best interest of the district that said petition be granted, the board shall enter an order to that effect granting said petition and, from and after such order, the public corporation or persons therein shall be deemed to have purchased, leased, contracted for, or otherwise acquired the beneficial use of wa- ter or capacity of works as set forth in said order. (4) If said petition is granted, the board shall determine the amount of money necessary to be raised by assessment in each year on lands within such public corporation, less any amount paid or undertaken to be paid by such pub- lic corporation in cash or as credited thereto by payments from the general fund of such public corporation, and shall certify to the county assessor of the county in which the lands of such public corporation are located the amount of the assessment, plus a fair proportionate amount of the estimated operating and maintenance charges for the next succeeding year on each tract of land on or before October 1 of each year, and such county assessor shall extend the amount of such assessment, plus said operating and maintenance charges, on the tax roll as an as- sessment against the lands upon which said assessment is made. § 37-45-125. Levy and collection under class D (1) To levy and collect special assessments upon lands under class D, the board shall make an allotment of water or of capacity of specified works to petitioning owners of lands in the district, upon which water may be benefi- cially used in the manner as provided in this article, in such amount as will in the judgment of the board, together with the present supply of water for such lands in the case of an allotment of water, or when added to the then pre- sent supply of capacity of all other works in the case of an allotment of capacity of specified works, make an ade- quate water supply for such lands and shall fix and determine the rate and the terms at which water or capacity of works shall be sold, leased, contracted for, or otherwise disposed of, for use on said lands. Page 26 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (2) In the event that any person or private corporation elects to purchase, lease, contract for, or otherwise obtain the beneficial use of waters or capacity of works of the district, such person or corporation shall petition the board for an allotment of water or of capacity of specified works, upon terms prescribed by the board, which petition shall contain, inter alia, the following: (a) Name of applicant; (b) Quantity of water or capacity of works for which allotment is sought; (c) Descriptions of lands upon which the water or capacity of works will be used and attached; (d) Rate to be paid; (e) Whether payment will be made in cash or annual installments; (f) Agreement that the annual installments and the charges for maintenance and operating shall become a tax lien upon the lands for which such water or capacity of works is petitioned and allotted and to be bound by the provi- sion of this article and the rules and regulations of the board. (3)(a) In its discretion the board may accept or reject said petition, but, if it deems it for the best interest of the dis- trict that said petition be granted, the board shall enter an order granting said petition, and from and after such or- der, said petitioner shall be deemed to have agreed to the purchase, lease, contract, or other means of acquiring the beneficial use of water or capacity of works under the terms set forth in said petition and order. Such order shall provide for payment on the basis of rate per unit of measure of water allotted in the case of an allotment of water, or on the basis of rate per unit of capacity allotted in the case of an allotment of works to said lands within the dis- trict; except that the board may divide the district into units and fix a different rate in the respective units; and fur- ther except that such rates shall be equitable although not necessarily equal or uniform for like classes of services throughout the district. (b) The board shall examine all rates charged for like classes of service throughout the district and shall by rule and regulation adjust such rates periodically as needed to make such rates within any such class of service equita- ble. (4) The secretary of the board shall cause notice of the filing of such petition to be given and published, which no- tice shall state the filing of such petition and give notice to all persons interested to appear at the office of the board at a time named in said notice and show cause in writing why the petition should not be granted. The board at the time and place mentioned in said notice, or at such time to which the hearing on said petition may be ad- journed, shall proceed to hear the petition and objections thereto, presented in writing, by any person showing cause why said petition should not be granted. The failure of any person interested to show cause shall be deemed an assent on such person's part to the granting of said petition. At its discretion, the board may accept or reject Page 27 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. said petition; but, if it deems it for the best interest of the district that said petition be granted, the board shall enter an order to that effect granting said petition, and, from and after such order, the petitioner or persons interested therein shall be deemed to have purchased, leased, contracted for, or otherwise acquired the beneficial use of wa- ter or capacity of works as set forth in said order. (5) If such petition is granted, the board shall cause a certified copy of the order granting said petition to be re- corded in the county in which said lands are located, and, thereafter, the annual installments and annual operating and maintenance charges shall be a perpetual tax lien upon such lands. On or before October 1 of each year, the board shall certify to the county assessor of the county within the district in which such lands are located the amount of the annual installments, plus a fair proportionate amount of the estimated operating and maintenance charges apportioned to said lands for the next succeeding year, and such county assessor shall extend the amount so certified on the tax roll as a flat special assessment against the lands for which such water is petitioned and al- lotted. § 37-45-126. Levies cover defaults and deficiencies The board, in making the annual assessments and levies, shall take into account the maturing indebtedness for the ensuing year as provided in its contracts or the maturing of bonds and interest on all bonds and deficiencies and defaults of prior years and shall make ample provision for the payment thereof. In case the proceeds of such levies and assessments made under the provisions of this article, together with other revenues of the district, are not suf- ficient to punctually pay the annual installments on its contracts or bonds and interest thereon and to pay defaults and deficiencies, then the board shall make such additional levies of taxes or assessments as may be necessary for such purposes; and, notwithstanding any limitations by contract, order, tax lien, or otherwise, such taxes and as- sessments shall be made and shall continue until the indebtedness of the district is fully paid; except that the addi- tional levies authorized by this section may not be made to cover defaults and deficiencies with respect to evi- dences of indebtedness authorized and issued by a district pursuant to any law if such evidences of indebtedness declare on their faces that they are payable solely from revenues derived from payments made with respect to con- tracts which are entered into pursuant to this article and further except that the amount of such additional levies of taxes under class A shall not in any one year exceed an amount that would be raised by a levy of one-half mill against the valuation for assessment of such property as fixed for general tax purposes and further except that such levies for defaults and deficiencies shall not, at any time, be made to impose upon class A payments in excess of twenty-five percent of the anticipated revenue from all sources to be raised for the specific purpose of payment of existing defaults and deficiencies and further except that, in making such additional levies or assessments, the board shall take into account all sources of revenue and equitably distribute the burden of such defaults and defi- ciencies according to the uses and benefits as provided in this article. § 37-45-127. Objections to assessments--appeal (1) Prior to October 1 of each year in which assessments are made, the board shall appoint a time and place where it will meet within the district for the purpose of hearing objections to assessments, and prior notice of such hear- ing shall be given by publication in two issues, a week apart, in some newspaper of general circulation published in each county; except that, if there is any county in the district in which there is no newspaper published, such Page 28 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. notice shall be published in an adjoining county. Said notice shall notify the owners of property in the district that in the secretary's office may be found and examined a description of the property so assessed, the amount of the assessment thereon fixed by the board, and the time and place fixed by the board for the hearing of objections to such assessments. It shall not be necessary for said notice to contain separate descriptions of the lots or tracts of real estate, but it is sufficient if the notice contains such descriptions as will inform the owner whether or not his real estate is covered by such descriptions, and to inform the owner where can be found of record the amount of assessments. (2) If, in the opinion of any person whose property is assessed, his property has been assessed too high, or has been erroneously or illegally assessed, at any time before the date of such hearing, he may file written objections to such assessments, stating the grounds of such objections, which statement shall be verified by the affidavit of said person or his agent. In such hearing the board shall hear such evidence and arguments as may be offered con- cerning the correctness or legality of such assessment and may modify or amend the same. (3) Any owner of property desiring to appeal from the findings of the board as to assessment, within thirty days from the finding of the board, shall file with the clerk of the court a written notice making demand for trial by the court. The appellant at the same time shall file a bond with good and sufficient security to be approved by the clerk of said court in a sum not exceeding two hundred dollars to the effect that, if the finding of the court is not more favorable to the appellant than the finding of the board, the appellant shall pay the cost of the appeal. The appellant shall state definitely from what part of the order the appeal is taken. In case more than one appeal is taken, upon its showing that the same may be consolidated without injury to the interests of anyone, the court may consolidate and try the same together. (4) The court shall not disturb the findings of the board unless the findings of the board in any case are manifestly disproportionate to the assessments imposed upon other property in the district created under this article. The trial shall be to the court, and the matter shall take precedence before the court and shall be taken up as promptly as may be after the appeal is filed. If no appeal is taken from the findings of the board within the time prescribed in this section, or after the findings of the court in case an appeal is taken from the findings of the board, then the as- sessment shall be final and conclusive evidence that said assessments have been made in proportion to the benefits conferred upon the property in said district by reason of the improvements to be constructed under the provisions of this article, and such assessments shall constitute a perpetual lien upon such property so assessed until paid. § 37-45-128. Officers levy and collect taxes and assessments It is the duty of the officer or body having authority to levy taxes within each county, city and county, or town to levy the taxes and special assessments as provided in this article, and it is the duty of all county or city and county officials charged with the duty of collecting taxes to collect such taxes and special assessments in the time, form, and manner and with like interest and penalties as county or city and county taxes are collected and, when col- lected, to pay the same to the district ordering its levy or collection, and the payment of such collections shall be made through the secretary of the district and paid into the depository thereof to the credit of the district. All taxes and assessments made under this article together with all interest thereon and penalties for default in payment thereof, and all costs in collecting the same, until paid, shall constitute a perpetual lien on a parity with the tax lien Page 29 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. of general, state, county, city, town, or school taxes, and no sale of such property to enforce any general, state, county, city, town, or school tax or other liens shall extinguish the perpetual lien of such taxes and assessments. § 37-45-129. Sale for delinquencies If the taxes or assessments levied are not paid, then the real property shall be sold at the regular tax sale for the payment of said taxes and assessments, interest, and penalties in the manner provided by the statutes of the state of Colorado for selling property for payment of general taxes. If there are no bids at said tax sale for the property so offered under class A and class B, said 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. If there are no bids for the property so offered under class C and class D, said property shall be struck off to the district, and the tax certificate shall be issued in the name of the district, and the board shall have the same power with refer- ence to sale of said tax certificate as vested in county commissioners and county treasurers when property is struck off to the counties. § 37-45-130. Exemptions All property of whatever kind and nature owned by the state and by towns, cities, school districts, drainage dis- tricts, irrigation districts, park districts, water districts, or any other governmental agency within said district shall be exempt from assessment and levy by the board as provided by this article for the purposes of this article. § 37-45-131. Sale of water by contract The board may sell, lease, or otherwise dispose of the use of water by term contracts or by contracts for the per- petual use of such water to public corporations, persons, mutual ditch companies, water users' associations, and other private corporations for irrigation, domestic, or commercial use as shall be provided by contracts, in writing, authorized and entered into by the board; and the board shall require that security be given to secure the payments to be made under such contracts. § 37-45-132. Contracts--security--enforcement (1) To meet the annual installments as provided in contracts for the use of water: (a) A water users' association may bind itself to levy an annual assessment on the use of water and to secure same by liens on land and water rights or in such manner as may be provided by law; (b) A mutual ditch or irrigation company may bind itself by mortgage upon its irrigation works and system or to levy annual assessments upon its stockholders; (c) Any person or corporation landowner may create a mortgage lien upon lands or give other security satisfactory to the board; and all such contracts shall provide for forfeiture of the use of water for nonpayment of assessments Page 30 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. or installments in the same manner and procedure as provided by statute for forfeiture of stock in a mutual ditch company; (d) A public corporation shall meet the annual installments as provided in sections 37-45-123 and 37-45-124. § 37-45-133. Sinking fund Whenever a contract of indebtedness has been created by the district, it shall be lawful for the board to make the annual levy of taxes and special assessments in such amount as will create a surplus of funds to meet the annual installments of indebtedness or the payment of bonds and interest and the necessary maintenance and operating charges, and the board shall cause such surplus funds to be placed in a sinking fund which may be used for the payments of contingencies, defaults, and delinquencies and to pay the future annual installments of indebtedness on contract or bonds and interest. § 37-45-134. Additional powers (1) The board has the following powers concerning the management, control, delivery, use, and distribution of water by the district: (a) To make and enforce all reasonable rules and regulations for the management, control, delivery, use, and dis- tribution of water; (b) To withhold the delivery of water upon which there are any defaults or delinquencies of payment; (c) To provide for and declare forfeitures of rights to the use of water upon default or failure to comply with any order, contract, or agreement for the purchase, lease, or use of water and to resell, lease, or otherwise dispose of water upon which forfeiture has been declared; (d) To allocate and reallocate the use of water to lands within the district; (e) To provide for and grant the right, upon terms, to transfer water from lands to which water has been allocated to other lands within the district and to discharge liens from lands to which the same was theretofore attached and to create liens, as provided in this article, upon lands to which the use of such water is transferred. § 37-45-135. Allotment of water to disabled landowner or administrator Where the landowner in a water conservancy district, organized under this article, is under disability by reason of infancy, insanity, or otherwise, or lands are held under administration, executorship, guardianship, conservator- ship, trusteeship, receivership, or other similar proceeding, the administrator, executor, guardian, conservator, trustee, receiver, or other like officer shall be considered the “landowner” for all purposes within this article; and, when authorized by the court having jurisdiction of the estate or lands, such administrator, executor, guardian, Page 31 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. conservator, trustee, receiver, or other like officer may petition for an allotment of water in such quantity as de- termined by such court as will, together with the present supply of water for irrigation purposes, make an adequate supply for the irrigation of such lands; or, in the event such administrator, executor, guardian, conservator, trustee, receiver, or other like officer has, prior to February 28, 1939, petitioned for a supply of water for irrigation of lands so held, the court having jurisdiction of the estate or lands may ratify or confirm the petition for such quan- tity of water as it may determine will make an adequate supply for the irrigation of such lands, and such petition so made and authorized or ratified and confirmed shall have the same effect and be binding upon all parties inter- ested in such lands to the same extent as though made by a landowner while not under disability. § 37-45-136. Inclusion of lands (1) The boundaries of any district organized under the provisions of this article may be changed in the manner prescribed in this article, but the change of boundaries of the district shall not impair or affect its organization or its rights in or to property or any of its rights or privileges whatsoever, nor shall it affect or impair or discharge any contract, obligation, lien, or charge for or upon which it might be liable or chargeable had such change of boundaries not been made. (2) The owners of lands may file a petition with the board, in writing, praying that such lands be included in the district. The petition shall describe the tracts or body of land owned by the petitioners, and such petition shall be deemed to give the assent of the petitioners to the inclusion in said district of the lands described in the petition, and such petition must be acknowledged in the same manner that conveyances of land are required to be acknowl- edged. The secretary of the board shall cause notice of filing of such petition to be given and published in the county in which the lands are situated, which notice shall state the filing of such petition, names of petitioners, de- scriptions of lands mentioned, and the prayer of said petitioners, giving notice to all persons interested to appear at the office of the board at any time named in said notice and show cause in writing why the petition should not be granted. At the time and place mentioned or at such time to which the hearing may be adjourned, the board shall proceed to hear the petition and all objections thereto, presented in writing by any person showing cause why said petition should not be granted. The failure of any person interested to show cause shall be deemed an assent on his part to the inclusion of such lands in the district as prayed for in the petition. If the petition is granted, the board shall make an order to that effect and file the same with the clerk of the court, and, upon order of the court, said lands shall be included in the district. (3)(a) In addition to the method provided in subsections (1) and (2) of this section, additional areas, either con- tiguous or noncontiguous to the district, and including irrigated lands, nonirrigated lands, towns and cities, and other lands and any one or more of the same, may be included in the district by petition, which petition shall be filed in the district court of the county in which the petition for organization of the original district was filed, signed by not fewer than twenty-five percent of the owners of irrigated lands in said area but not embraced within the corporate limits of a city or town; and each tract of land shall be listed opposite the name of the signer. Each such tract together with the improvements thereon shall have a valuation for assessment of not less than one thou- sand dollars. The petition shall also be signed by not fewer than five percent of the owners of nonirrigated lands or lands embraced within the incorporated limits of a city or town, all situated in the area embraced in said petition; and each tract of land shall be listed opposite the name of the signer. Each such tract together with improvements Page 32 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. thereon shall have a valuation for assessment of not less than one thousand dollars. Said petition shall set forth a general description of the territory in the area sought to be included in the district, the name of the district in which it is sought to be included, and a statement that the property sought to be included will be benefited by the accomplishment of the purposes for which the original district was formed and shall pray for the inclusion of the area in the district. (b) No petition with the requisite signatures shall be declared null and void on account of alleged defects, but the court may permit the petition to be amended at any time to conform to the facts by correcting any errors in the de- scription of the territory or in any other particular. However, similar petitions or duplicate copies of the same peti- tion for the inclusion of the same area may be filed and shall together be regarded as one petition. All such peti- tions filed prior to the hearing on the first petition filed shall be considered by the court the same as though filed with the first petition placed on file. (c) In determining whether the requisite number of landowners has signed the petition, the names as they appear upon the tax roll shall be prima facie evidence of such ownership. (d) At the time of filing the petition or at any time subsequent thereto, and prior to the time of hearing on said peti- tion, a bond shall be filed, with security approved by the court, sufficient to pay all expenses connected with the proceedings in case the inclusion of the area is not effected. If at any time during the proceeding the court is satis- fied that the bond first executed is insufficient in amount, it may require the execution of an additional bond within a time to be fixed to be not less than ten days distant, and, upon failure of the petitioner to execute the same, the petition shall be dismissed. (e) Immediately after the filing of such petition, the court wherein such petition is filed, by order, shall fix a place and time, not less than sixty days nor more than ninety days after the petition is filed, for hearing thereon, and thereupon the clerk of said court shall cause notice by publication to be made of the pendency of the petition and of the time and place of hearing thereon. The clerk of said court shall also forthwith cause a copy of said notice to be mailed by registered mail to the board of county commissioners of each of the several counties having territory within the area proposed to be included within the district. (f) No city, or city and county, having a population of more than twenty-five thousand as determined by the last United States census shall be included within such area proposed to be included within the district unless by and with the written consent of the chief executive officer of such city, or city and county, with the approval of the legislative body of such municipality, and such consent may specify that the rate of taxation on the valuation for assessment of property within said city, or city and county, under section 37-45-122, shall not exceed a maximum rate which may be less than the rates set out in said section 37-45-122, and in such case the district shall not have power to levy an assessment on the property in said city, or city and county, at a greater rate than that specified in said consent. (g) Not less than thirty days prior to the time fixed by order of court for the hearing on said petition, and not there- after, a petition may be filed in the office of the clerk of the court wherein the proceeding for inclusion is pending, signed by not fewer than twenty percent of the owners of irrigated lands in said area but not embraced within the Page 33 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. incorporated limits of a city or town, who have not signed the petition for inclusion, and also signed by not fewer than five percent of the owners of nonirrigated lands or lands embraced in the incorporated limits of a city or town, all situated in said area proposed to be included within the district, who have not signed the petition for in- clusion, protesting the inclusion of said area. The signers of said protesting petition shall state therein the land owned by each and also shall state the value thereof as shown by the last preceding assessment. (h) In the event a petitioner signs such petition both as owner of irrigated and nonirrigated land situated within a municipality, his name shall be counted only as an owner of irrigated lands. (i) Upon the day set for the hearing upon the original petition, if it appears to the court that said protesting petition is not signed by the requisite number of owners of lands and of the requisite value, the court shall thereupon dis- miss said protesting petition and shall proceed with the original hearing as provided in this section. (j) If the court finds from the evidence that said protesting petition is signed by the requisite number of owners of lands, and of the requisite values, the court shall forthwith dismiss the original petition for inclusion. The finding of the court upon the question of such valuation, the genuineness of the signatures, and all matters of law and fact incident to such determination shall be final and conclusive on all parties in interest whether appearing or not. (k) Any owner of real property in said proposed area not having individually signed a petition for the inclusion, and desiring to object to the inclusion, on or before ten days prior to the date set for the cause to be heard, may file objection to the inclusion. (l) Such objection shall be limited to a denial of the statements in the petition and shall be heard by the court as an advanced case without unnecessary delay. (m) Any owner of irrigated land in said proposed area who has not individually signed a petition for the inclusion of the area within the district and who desires to have his irrigated lands excluded from said district, on or before ten days prior to the date set for the cause to be heard, may file a petition in said district court asking to have his irrigated lands excluded therefrom. Any petition so filed shall be heard by the district court on the date set for the hearing of the petition for inclusion of the area, and the district court shall exclude such irrigated lands from the area proposed for inclusion within the district. (n) Upon said hearing, if it appears that a petition for the inclusion has been signed and presented, as provided in this subsection (3), in conformity with this article, and that the allegations of the petition are true, and that no pro- testing petition has been filed, or if filed has been dismissed by order duly entered of record, the court shall adju- dicate all questions of jurisdiction and declare the area included in the district to the same extent and as fully as if said area had been included in the original petition for the organization of the district; except that, prior to the en- try of its decree including such area within the district, the court shall obtain the verified consent of the board of directors of the district to the inclusion of such area, which consent shall set forth the terms and conditions upon which said area shall be included, which terms may include the price and value per acre-foot of water to be allot- ted and contracted for use within said included area and which said terms and conditions shall be embodied in the decree of said court. Page 34 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (o) If the court finds that no petition has been signed and presented in conformity with this section, or that the ma- terial facts are not as set forth in the petition filed, it shall dismiss said proceedings and adjudge the costs against the signers of the petition in such proportion as it deems just and equitable. No appeal or other remedy lies from an order dismissing said proceeding; but nothing in this article shall be construed to prevent the filing of a subse- quent petition for similar purposes, and the right so to renew such proceeding is expressly granted and authorized. (3.5)(a) As an alternative to the procedures set forth in subsections (2) and (3) of this section, a petition for inclu- sion and for an election on inclusion of lands within a water conservancy district may be filed in the district court of the county in which the petition for organization of the original district was filed. The petition shall be signed by not less than twenty-five percent of the owners of agricultural lands of the area embraced by the proposed lands to be included and by not less than ten percent of the electors of said area embraced by the proposed lands to be included. The petition shall show that the board of directors of the district has given its verified approval to the inclusion of such area in the district and shall recite the terms and conditions upon which said area shall be in- cluded, if any, which the board of directors of the district may have required, in its discretion, as a prerequisite to the inclusion. The board of directors of the district may require, as one of the conditions of its approval of the pro- posed inclusion, that the petitioners post a sufficient bond to cover the costs of the election. If no bond is so re- quired, the district shall be deemed to have agreed to pay the costs of the election. The proposed boundary of the lands to be included within the district may include any part or all of any county, city, or city and county of any size. Such petition and the hearing thereon shall otherwise comply with the provisions of this section which are not inconsistent with the provisions of this subsection (3.5). (b) On the day fixed for hearing, or at a continuance thereof, the court shall first ascertain, from such evidence which may be adduced, that the required number of electors of the area to be included in the district have signed the petition and that the board of directors has approved the inclusion of lands in the district. Upon said hearing, if it appears that the petition for inclusion has been signed and presented in conformity with this subsection (3.5) and that the allegations of the petition are true, the court, by order duly entered of record, shall direct that the question of the inclusion of lands in the water conservancy district be submitted at an election, to be held for that purpose, of electors of the area embraced within the inclusion petition. Such election shall be conducted by the board of di- rectors of the district in the same manner set forth in sections 37-45-139 to 37-45-141. (c) At such election the voter shall vote for or against the inclusion of lands in the water conservancy district. If the terms and conditions on inclusion have been set by the board of directors of the district, said terms and condi- tions shall be identified to the electors. If a majority of votes cast at said election are in favor of inclusion, the court, on the motion of the board of directors of the district, shall declare the area included in the district to the same extent and as fully as if said area had been included in the original petition for the organization of the dis- trict; except that, if the proposed inclusion in a district includes any territory within a municipality and a majority of the votes cast by the voters residing within that incorporated area are against inclusion in the district, the gov- erning body of said municipality may, within thirty days after certification of the election results, petition the court for exclusion from the district of such incorporated area, and the court shall exclude such territory from the district. Any order of the court so including lands in a district shall incorporate the terms and conditions, if any, for inclusion which the board of directors of the district has required as a prerequisite to inclusion. Page 35 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (3.6) Whenever a municipality has annexed land into its boundaries and that municipality at the time of annexa- tion previously had lands within its boundaries included within the district, upon consent of the governing body of the municipality, and upon consent by the board of directors of the district, the annexed lands shall be deemed to have been included within the district, subject to terms and conditions as determined by the board of directors of the district that shall not be inconsistent with the terms and conditions of previous applicable inclusion orders re- lating to that municipality. The municipality shall promptly transmit to the district a certified copy of the munici- pality's annexation ordinance. Upon receipt of the municipality's annexation ordinance, the board of directors of the district shall promptly act to grant or deny consent to the inclusion of the newly annexed lands into the district. If the board of directors of the district consents to such inclusion, and the municipality agrees to any terms and conditions to the inclusion adopted by the board of directors of the district, the district shall file with the court a certified copy of the municipality's annexation ordinance and a petition of the district for inclusion of the annexed lands that states the terms and conditions of inclusion as determined by the board of directors of the district. Upon the district's filing of a certified copy of the municipality's annexation ordinance and a petition of the district for inclusion of the annexed lands, the court shall enter an order including such lands within the boundaries of the dis- trict, upon the terms and conditions set forth in the petition. (4) As a part of any order entered establishing the inclusion of lands or areas into the district, the court shall des- ignate the division of the district to which such included lands or areas shall be attached or shall, in combination with or in lieu of the foregoing, create a new division from such included lands or areas and appoint the directors therefor; but the total number of directors of the district shall not exceed fifteen. (5)(a) If an order is entered establishing the inclusion of lands or areas into the district, such order shall be deemed final and no appeal or other remedy lies therefrom, and the entry of such order shall finally and conclusively es- tablish the inclusion of the lands or areas against all persons except the state of Colorado, in an action in the nature of quo warranto commenced by the attorney general within three months after said decree declaring such lands or areas included as provided, and not otherwise. The inclusion of said lands or areas shall not be directly or collater- ally questioned in any suit, action, or proceeding except as expressly authorized in this section. (b) Upon the entry of such decree, the clerk of the court shall transmit, to the division of local government in the department of local affairs and to the county clerk and recorder in each of the counties in which said lands or areas are located, copies of the findings and decree of the court including such lands or areas in the district. The same shall be recorded with said division, and copies shall also be filed in the office of the county clerk and recorder in each county in which a part of the district may be, where they shall become permanent records. § 37-45-137. Exclusion of lands (1)(a) The owner in fee of any lands constituting a portion of any district, regardless of the valuation for assess- ment of such district, or, if the valuation for assessment of an existing district is less than three hundred million dollars, not less than fifteen owners of land in an overlapping area as described in section 37-45-109(3)(d) who are petitioners for the formation of a new district proposed to be organized under the provisions of this article which includes lands within such existing district, may file with the board a petition praying that such lands be ex- Page 36 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. cluded and taken from said district. Petitions shall describe the lands which the petitioners desire to have ex- cluded. Such petition must be acknowledged in the same manner and form as required in case of a conveyance of land and be accompanied by a deposit of money sufficient to pay all costs of the exclusion proceedings. (b) The secretary of the board shall cause a notice of filing of such petition to be published in a newspaper of gen- eral circulation in the county in which said lands, or the major portion thereof, are located, the final publication to be made not less than ten days prior to the date set for the hearing thereon. If such petition has been filed by the proponents of a new district, individual notice shall also be given to those landowners of the existing district whose lands are included in the request for exclusion, by mailing a copy of such notice by registered or certified mail not less than ten days prior to the date set for the hearing thereon to each such landowner at his last-known address, as shown by the records of the treasurer of the county in which the lands are located. The notice shall state the filing of such petition, the names of petitioners, and, if applicable, the name of the proposed new district, descriptions of lands mentioned in said petition, and the prayer of said petitioners, and it shall notify all persons interested to appear at the office of said board at the time named in said notice, showing cause in writing why said petition should not be granted. (c) The board at the time and place mentioned in the notice, or at the time to which the hearing of said petition may be adjourned, shall proceed to hear the petition and all objections thereto, presented in writing, by any person showing cause why the prayer of the petition should not be granted. The filing of such petition shall be deemed an assent by each such petitioner to the exclusion from the district of his lands mentioned in the petition or any part thereof. (d) If the board deems it not for the best interest of the district that the lands mentioned in the petition or some portion thereof are excluded from the district, the board shall order that said petition be denied; but, if the board deems it for the best interest of the district that the lands mentioned in the petition, or some portion thereof, be ex- cluded from the district and, if there are no outstanding bonds of the district, the board may order the lands men- tioned in the petition, or some portion thereof, to be excluded from the district. If such exclusion is granted at the request of a proposed new district, it shall be conditioned to take effect only upon the legal creation of the pro- posed new district. (e) In case contract has been made between the district and the United States or any agency thereof, no change shall be made in the boundaries of the district unless the secretary of the interior assents thereto in writing and such assent is filed with the board. Upon such assent, any lands excluded from the district upon order of the court shall be discharged from all liens in favor of the United States under the contract with the United States or under bonds deposited with its agents. (f) Upon allowance of such petition, the board shall file a certified copy of the order of the board making such change with the clerk of the court, and, upon order of the court, said lands shall be excluded from the district. (2) Following organization of a district under this article at any time prior to authorization for the incurring of bonded or other indebtedness under the election procedures set forth in sections 37-45-139 to 37-45-142 and prior to the execution of a contract with the United States or any of its agencies, the governing body of any city, city Page 37 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. and county, or town, regardless of its population, originally included in the district without consent given in the manner provided in section 37-45-109, and over an express objection made in writing to the court in which the pe- tition for organization has been filed at any time prior to the date upon which the court declares the district organ- ized, may pass an ordinance declaring all property, real and personal, within the limits of said public corporation, to be lands and property excluded from the district. Upon service by registered or certified mail of a certified copy of said ordinance upon the division of local government in the department of local affairs, the board of directors of the district, the court organizing said district, the assessor or treasurer, and the county clerk and recorder of the county in which that public corporation is located, said city, city and county, or town, and all lands and property within its limits, shall forthwith be automatically excluded from the district, and said property and lands within the limits of said public corporation shall thereafter be free of any tax levied by the district; except that, if such exclu- sion occurs after March 15 of any year, said lands and property, and the owners thereof, shall be liable for any ex- isting levy made under section 37-45-122, only for the taxable year of the exclusion, said liability in no event to exceed one-half mill on the dollar of valuation of the property, real and personal, within the limits of said public corporation. (3) Nothing in this section shall be construed to interfere or conflict with or amend any proceeding now pending in any district court in the state of Colorado. § 37-45-138. Board to execute contracts--issue bonds To pay for construction, operation, and maintenance of said works, and expenses preliminary and incidental thereto, the board is authorized to enter into a contract with the United States or any agency thereof, providing for payment in installments or to issue negotiable bonds of the district. If bonds are authorized, the board shall set a maximum net effective interest rate, and such bonds shall bear interest at a rate such that the net effective interest rate of the issue of bonds does not exceed the maximum net effective interest rate authorized. Interest shall be payable annually or semiannually and shall be due and payable not more than fifty years from their dates. The form, terms, and provisions of said bonds, provisions for their payment, and conditions for their retirement and calling, not inconsistent with law, shall be determined by the board, and they shall be issued in payment of the works, equipment, expenses, and interest during the period of construction. When any bonded indebtedness has been authorized pursuant to section 37-45-139, and when the board has entered into a contract with the United States or any agency thereof whereby the United States or any agency thereof has agreed to purchase such bonds, at an interest rate established in such contract, the board may issue interim notes bearing interest at a net effective interest rate not exceeding the maximum net effective interest rate authorized for the bonds, the interim notes to be payable at the termination of such contract, or at such time not exceeding three years after the date of their issu- ance and on such terms and conditions as the board may determine. No interim note may be extended or funded except by the issuance of bonds. Bonds also may be issued to pay interim notes as they become due or may be ex- changed for the interim notes as the board may determine. Said bonds or interim notes shall be executed in the name of and on behalf of the district and signed by the president of the board with the seal of the district affixed thereto and attested by the secretary of the board. Said bonds or interim notes shall be in such denominations as the board shall determine and shall be payable to bearer and may be registered in the office of the county treasurer of the county wherein the organization of the district has been effected, with the interest coupons payable to bearer, which coupons shall bear the facsimile signature of the president of the board. Such bonds and interim notes shall be exempt from all state, county, municipal, school, and other taxes imposed by any taxing authority of Page 38 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. the state of Colorado. Such bonds or interim notes may be sold at par, above par, or below par, but the net effec- tive interest rate to the district, including any discount, but exclusive of any discount payable for costs of the issue, shall not exceed the maximum net effective interest rate authorized for such issue of bonds. Such bonds or interim notes may be used as security for any depository bond or obligation where any kind of bonds or other securities must or may, by law, be deposited as security. Any resolution authorizing, or other instrument appertaining to, any bonds or interim notes under this article may provide that each bond or interim note therein authorized shall recite that it is issued under authority of this article. Such recital shall be conclusive evidence of full compliance with all of the provisions of this article, and all bonds and interim notes issued containing such recital shall be incontest- able for any cause whatsoever after their delivery for value. § 37-45-139. Contracts--submission to electors (1) Whenever the board incorporated under this article, by resolution adopted by a majority of the said board, de- termines that the interests of said district and the public interest or necessity demand the acquisition, construction, or completion of any source of water supply, waterworks, or other improvements or facilities or the making of any contract with the United States or other persons or corporations to carry out the objects or purposes of said district, wherein the annual obligation created will require a greater annual expenditure than the annual income and reve- nue that the district is estimated to permit, said board shall order the submission of the proposition of incurring such obligation or bonded or other indebtedness for the purposes set forth in said resolution to the electors of the district at an election held for that purpose pursuant to the provisions of this section and section 37-45-142; except that no such election shall be required when the evidence of indebtedness evidencing the obligation created ex- pressly states that it is payable solely from revenues derived from payments made with respect to contracts which are entered into pursuant to this article. (2) Any election held for the purpose of submitting any proposition of incurring such obligation or indebtedness may be held separately or may be consolidated or held concurrently with any other election authorized by law at which such qualified electors of the district are entitled to vote. (3) The declaration of public interest or necessity required in this section and the provisions for the holding of such election may be included within one and the same resolution, which resolution, in addition to such declara- tion of public interest or necessity, shall recite the objects and purposes for which the indebtedness is proposed to be incurred, the estimated cost of the works or improvements, as the case may be, the amount of principal of the indebtedness to be incurred therefor, and the maximum net effective rate of interest to be paid on such indebted- ness. Such resolution shall also fix the date upon which such election shall be held and the manner of holding the same and the method of voting for or against the incurring of the proposed indebtedness. Such resolution shall also fix the compensation to be paid the officers of the election and shall designate the precincts and polling places and shall appoint for each polling place, from each precinct from the electors thereof, the officers of such election, which officers shall consist of three judges, one of whom shall act as clerk, who shall constitute a board of election for each polling place. (4) The description of precincts may be made by reference to any order of the board of county commissioners of the county in which the district or any part thereof is situated or by reference to any previous order or resolution of Page 39 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. the board or by detailed description of such precincts. Precincts established by the boards of the various counties may be consolidated for special elections held under this article. In the event any such election is called to be held concurrently with any other election or is consolidated therewith, the resolution calling the election under this ar- ticle need not designate precincts or polling places or the names of officers of election but shall contain reference to the act or order calling such other election and fixing the precincts and polling places and appointing election officers therefrom. § 37-45-140. Publication of call The resolution provided in section 37-45-139 shall be published once a week for two consecutive weeks, the last publication of which shall be at least ten days prior to the date set for said election, in a newspaper of general cir- culation within the district, and no other or further notice of such election or publication of the names of election officers or of the precincts or polling places need be made. § 37-45-141. Conduct of election (1) The respective election boards shall conduct the election in their respective precincts in the manner prescribed by law for the holding of general elections and shall make their returns to the court or secretary of the district, as applicable. At any regular or special meeting of the board held not later than five days following the date of such election, the returns thereof shall be canvassed and the results declared. (2) In the event that any election held under this article is consolidated with any primary or general election, the returns thereof shall be made and canvassed at the time and in the manner provided by law for the canvass of the returns of such primary or general election. It is the duty of such canvassing body to promptly certify and transmit to the board or court, as applicable, a statement of the result of the vote upon the proposition submitted under this article. Upon receipt of such certificate, it is the duty of the board or court to tabulate and declare the results of the election held under this article. § 37-45-142. Bond elections--subsequent elections (1) No debt required by section 37-45-139 to be submitted to the electors of the district shall be incurred unless the proposition to create such debt is first submitted to and approved by the electors of the district. (2) In the event it appears from the returns that the proposition submitted has been approved by a majority of those voting at the election as required under subsection (1) of this section, the district is authorized to incur such in- debtedness or obligations, enter into such contract, or issue and sell such bonds of the district, all for the purpose and object provided for in the proposition submitted under this section and in the resolution therefor and in the amount so provided and at a net effective interest rate not exceeding the maximum net effective interest rate re- cited in such resolution. Submission of the proposition of incurring such obligation or bonded or other indebted- ness at such an election shall not prevent or prohibit submission of the same or other propositions at subsequent elections called for such purpose. Page 40 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (3)(a) The board, having received approval at an election to issue bonds and having determined that the limitations of the original election question are too restrictive to permit the advantageous sale of the bonds so authorized, may submit at another election held for such purpose: (I) The question of issuing the bonds, or any portion thereof, at a higher maximum net effective interest rate than the maximum interest rate or maximum net effective interest rate approved at the original election; or (II) The question of issuing the bonds, or any portion thereof, to mature over a longer period of time than the maximum period of maturity approved at the original election. (b) An election held pursuant to this subsection (3) shall be held in substantially the same manner as an election to authorize bonds initially, except as may be required for the submission of the limited question or questions permit- ted under this subsection (3). (c) If a majority of those voting at an election held pursuant to this subsection (3) fails to approve the changes submitted, such result shall not impair the authority of the board at a later time to issue the bonds originally ap- proved within the limitations established at the first election. § 37-45-143. Confirmation of contract proceedings (1) In its discretion, the board may file a petition in the court at any time, praying for a judicial examination and determination of any power conferred or of any tax or assessment levied or of any act, proceeding, or contract of the district, whether or not said contract has been executed, including proposed contracts for the acquisition, con- struction, maintenance, or operation of works for the district. Such petition shall set forth the facts whereon the validity of such power, assessment, act, proceeding, or contract is founded and shall be verified by the president of the board. Notice of the filing of said petition shall be given by the clerk of the court, under the seal thereof, stat- ing in brief outline the contents of the petition and showing where a full copy of any contract therein mentioned may be examined. The notice shall be served by publication in at least five consecutive issues of a weekly news- paper of general circulation published in the county in which the principal office of the district is located and by posting the same in the office of the district at least thirty days prior to the date fixed in said notice for the hearing on said petition. (2) Any owner of property in the district or person interested in the contract or proposed contract may appear and move to dismiss or answer said petition at any time prior to the date fixed for said hearing or within such further time as may be allowed by the court; and the petition shall be taken as confessed by all persons who fail to appear. (3) The petition and notice shall be sufficient to give the court jurisdiction, and, upon hearing, the court shall ex- amine into and determine all matters and things affecting the question submitted, shall make such findings with reference thereto, and shall render such judgment and decree thereon as the case warrants. Costs may be divided or apportioned among the contesting parties in the discretion of the trial court. Review of the judgment of the Page 41 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. court may be 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 judgment or within such additional time as may be allowed by the court within the thirty days. The Colorado rules of civil procedure shall govern in matters of pleading and practice where not oth- erwise specified in this article. The court shall disregard any error, irregularity, or omission which does not affect the substantial rights of the parties. § 37-45-144. Correction of faulty notices In every case where a notice is provided for in this article, if the court finds for any reason that due notice was not given, the court shall not thereby lose jurisdiction, and the proceeding in question shall not thereby be void or be abated, but in that case the court shall order due notice to be given, and shall continue the hearing until such time as notice shall be properly given, and thereupon shall proceed as though notice had been properly given in the first instance. § 37-45-145. Early hearings All cases in which there arises a question of the validity of the organization of a water conservancy district, or a question of the validity of any proceeding under this article, shall be advanced as a matter of immediate public in- terest and concern and heard at the earliest practicable moment. The courts shall be open at all times for the pur- poses of this article. § 37-45-146. Dissolution of districts Any water conservancy district organized may be dissolved in the manner specified in sections 37-45-146 to 37- 45-152 if such district has not been authorized to incur bonded or other indebtedness under the election proce- dures set forth in sections 37-45-139 to 37-45-142 and such district has not incurred bonded or other indebtedness pursuant to the provisions of any other law; except that, if such district has entered into a contract with the United States or any other agency thereof, no dissolution shall take place unless the secretary of the interior of the United States has first consented thereto. § 37-45-147. Election for dissolution--petition or resolution filed (1) An election submitting the proposition of dissolution of the district may be initiated by the filing of a copy of a resolution adopted by three-fourths of all the members of the board of directors of such district requesting such an election or by the filing of a petition requesting such election. Such resolution or petition shall be filed in the dis- trict court which formed said district. (2) Any such petition so filed shall be accompanied by a good and sufficient bond for five hundred dollars with not less than two sureties approved by the court, and, if a majority of the qualified electors do not vote for dissolu- tion in the election specified in this article, the amount of such bond shall be forfeited to the district, otherwise the same shall be discharged. Page 42 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (3) If the valuation for assessment of irrigated land together with improvements thereon within said district when formed is in excess of twenty million dollars, such petition shall bear signatures of any owners of irrigated land equal in number to two-thirds or more of the number of such type of owners required by section 37-45-109, upon a petition for the formation of such a district. Such irrigated land shall be situated within the limits of the district and shall not be embraced within the incorporated limits of any city or town. Said petition shall also bear the sig- natures of any owners of nonirrigated land or land embraced within the incorporated limits of a city or town equal in number to two-thirds or more of the number of such type of owners required by said section upon a petition for the formation of such a district, said land to be situated within the limits of the district. (4) If the valuation for assessment of irrigated land and improvements thereon within such district when formed is less than twenty million dollars, said petition shall contain the same number and type of signatures required by section 37-45-109 upon petitions for the formation of such a district. In either case the petition shall set forth op- posite each signature the description of the land and the valuation for assessment thereof together with any im- provements. Similar petitions or duplicate copies of the same petition may be filed together and shall be regarded as one petition. No petition with the requisite signatures shall be declared void on account of alleged defects, but the court may permit the petition to be amended from time to time to conform to the facts by correcting errors in descriptions, valuation, or any other particular. § 37-45-148. Notice of election Upon presentation of such petition or resolution, the court shall cause a notice to be published forthwith at least once each week for four consecutive weeks in a newspaper of general circulation in each county where the district or parts thereof lie. Such notice shall recite that a petition or resolution for dissolution of the district has been filed, shall describe generally the territory of the district, and shall further specify the time and places of election, which time shall not be less than sixty days nor more than ninety days after the date of the last publication of the notice. If an objection to the petition or resolution is filed in such court by an owner of land situated within said district within twenty days from the date of the last publication of the notice, the court may, if necessary, continue the election from time to time until all objections are disposed of. Due notice of the time and places of any contin- ued election shall be given in the manner and form prescribed above. § 37-45-149. Objections to resolution or petition Objections to a resolution for an election shall be confined to the question of whether sufficient directors voted in favor of the same. Objections to a petition for such election shall be confined to the question of whether sufficient qualified owners of land situate within the district have signed the petition for such election. Such petition shall be accepted as prima facie evidence of all facts stated therein, and all signatures affixed to such petition shall be pre- sumed to be those of qualified owners residing within the boundaries of the district until the contrary is proven. No signer of a petition shall be permitted to withdraw his name from such petition after it is filed, except for fraud. All objections shall be heard as an advanced case on the docket of the court. Nothing in this section shall be construed to prevent the filing of subsequent resolutions or petitions for the same purpose, but elections on the proposition of dissolution shall not be held more frequently than once every three years. Page 43 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. § 37-45-150. Election procedure--ballot (1) Any election held for the purpose of submitting the proposition of dissolution of a district may be held sepa- rately or may be consolidated or held concurrently with any other election authorized by law. The election shall be conducted by the secretary of the board of directors of such district under the supervision of the court, and the court shall fix the manner of holding the same and shall also fix the compensation to be paid the officers of the election and shall designate the precincts and polling places. The court shall also appoint for each polling place and for each precinct from the electors thereof the officers of such election, which officers shall consist of three judges, one of whom shall act as clerk, who shall constitute a board of election for each polling place. (2) The description of precincts may be made by reference to any order of the board of county commissioners of the county in which the district or any part thereof is situated or by reference to any previous order or resolution of the board or by detailed description of such precincts. Precincts established by the boards of the various counties may be consolidated for special elections held under this article. In the event any such election is called to be held concurrently with any other election or is consolidated therewith, the court order need not designate precincts or polling places or the names of officers of election but shall contain a reference to the act or order calling such other election and fixing the precincts and polling places and appointing election officers therefrom. The election shall be conducted in accordance with the provisions of section 37-45-141. (3) The results of such election shall be certified promptly by the secretary of the board of directors to the court. It is the duty of the secretary of the board of directors of the district to prepare ballots to be used at the election on which shall be inscribed the words “For Dissolution” and “Against Dissolution”. The costs of the election and bal- lots shall be paid by the district under the supervision of the court, and the district shall be authorized, under the supervision of the court, to borrow funds for this purpose. Irrespective of any other provision of this article, the district shall not be required or authorized to hold any election on the proposition of such borrowing. § 37-45-151. Majority vote determines question The electors of the district shall be qualified to vote on the question of dissolving the district. If a majority of votes are for dissolution of the district, the district shall be dissolved as provided in section 37-45-152. Any objections to the election, or proceedings to invalidate the election, must be filed in the court within thirty days from the date of the election. Errors, omissions, and irregularities not affecting substantial rights shall be disregarded. § 37-45-152. Winding up and dissolution--order entered (1) In the event the vote is for dissolution, any qualified signer of the petition for the election, or the board of di- rectors of such district may, within such time as may be fixed by the court, present a written plan for the winding up of the affairs of the district. Such plan may specify that the affairs of the district be wound up by the board of directors of the district or by a receiver appointed by the court for that purpose. On a day fixed by the court, the court shall consider such plan and shall enter an order establishing therefrom a plan for the winding up of such af- Page 44 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. fairs. The court shall retain continuing jurisdiction to modify such plan from time to time and shall supervise such winding up. (2) If no such plan is presented on or before the day set by the court, the court shall appoint a receiver to wind up the affairs of the district under the court's supervision. Upon the appointment of any receiver all authority of the board of directors of the district shall terminate; except that its authority to levy taxes for the payment of the obli- gations of the district and the costs of winding up shall continue until the district is dissolved. Such board shall levy taxes within the limits imposed by this article sufficient to pay expeditiously such obligations and costs, and, if a receiver has been appointed, all tax collections shall be delivered to such receiver. (3) When it appears to the satisfaction of the court that all obligations of the district have been discharged, and the costs of winding up the districts paid, such court shall enter an order dissolving the district, and a certified copy of such order shall be recorded by the clerk of the court in all counties in which the district may be situate. All funds remaining in the hands of such receiver or board of directors after such dissolution shall be divided among the counties comprising any part of such district in proportion to the total valuation of taxable property in such county within the boundaries of such district, as determined by the tax roll of such counties in the treasurer's hands, for the calendar year preceding the year in which such dissolution occurs, and said receiver or members of the board of directors shall thereupon be discharged by the court. § 37-45-153. Validation and recreation of water conservancy districts (1) The following water conservancy districts, originally organized under the provisions of this article, are hereby validated and recreated: Alamosa-La Jara Water Conservancy District; Animas-La Plata Water Conservancy Dis- trict; Badger-Beaver Water Conservancy District; Basalt Water Conservancy District; Battlement Mesa Water Conservancy District; Bluestone Water Conservancy District; Bostwick Park Water Conservancy District; Central Colorado Water Conservancy District; Collbran Water Conservancy District; Conejos Water Conservancy Dis- trict; Costilla County Water Conservancy District; Crawford Water Conservancy District; Dolores Water Conser- vancy District; Florida Water Conservancy District; Fruitland Mesa Water Conservancy District; Grand Mesa Water Conservancy District; Great Northern Water Conservancy District; Groundwater Management Subdistrict, Central Colorado Water Conservancy District; Huerfano County Water Conservancy District; Jackson County Water Conservancy District; Juniper Water Conservancy District; La Plata Water Conservancy District; Lower South Platte Water Conservancy District; Mancos Water Conservancy District; Michigan River Water Conser- vancy District; Middle Park Water Conservancy District; Municipal Subdistrict, Northern Colorado Water Con- servancy District; North Fork Water Conservancy District; North La Junta Water Conservancy District; Northern Colorado Water Conservancy District; Pot Hook Water Conservancy District; Purgatoire River Water Conser- vancy District; Saint Vrain and Left Hand Water Conservancy District; San Luis Valley Water Conservancy Dis- trict; San Miguel Water Conservancy District; Silt Water Conservancy District; Southeastern Colorado Water Conservancy District; Tri-County Water Conservancy District; Trinchera Water Conservancy District; Upper Ar- kansas Water Conservancy District; Upper Gunnison River Water Conservancy District; Upper South Platte Wa- ter Conservancy District; Upper Yampa Water Conservancy District; Ute Water Conservancy District; West Di- vide Water Conservancy District; and Yellow Jacket Water Conservancy District. Page 45 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (2) The territory of such water conservancy districts shall be the same as set forth or established for each such dis- trict by Colorado court orders entered pursuant to this article as of February 23, 1983. (3) The provisions of this article, including changes in territory, shall continue to govern such districts, and the districts shall continue to function in all respects as they did prior to February 23, 1983; except that such districts shall be deemed to have been created by statute, irrespective of any organizational process set forth in this article or the district's method of original organization. (4) All actions undertaken by such districts under or pursuant to the authority or apparent authority of this article prior to February 23, 1983, shall be considered as those of de facto officers and directors and as valid and effec- tive should the original organization of such districts be ruled invalid in any respect. (5) The purpose of this section is to validate and recreate such districts and to continue them in existence as con- stituted prior to February 23, 1983, without interruption in order to provide financial security and stability in water development in this state and to ensure that obligations and projects undertaken, or to be undertaken, by such ex- isting districts under or pursuant to this article are honored and carried out should the original organization of such existing districts be ruled invalid in any respect. END OF DOCUMENT Title 37 -page 295 Colorado River Conservation District 37-46-101 ARTICLE 46 Colorado River Conservation District 37-46-101. Legislative declaration. 37-46-.126. Issuance of general obligation 37-46-102. Definitions. bonds and revenue bonds. 37-46-103. District body corporate -area. 37-46-126.2. Subdistrict's levy of taxes. 37-46-104. Board of directors. 37-46-126.3. Levy and collection of sub- 37-46-105. Compensation of directors. district's taxes. 37-46-!06. Vacancies -secretary and 37-46-126.4. Levies to cover subdistrict treasurer. deficiencies. 37-46-107. General powers. 37-46-126.5. County to levy and collect. 37-46-108. Principal office -meetings. 37-46-126.6. Delinquent taxes. 37-46-109. Authority of board to levy 37-46-127. Maintenance assessment. taxes. 37-46-128. Annual levv limit. 37-46-109.3. Taxes -determination and 37-46-129. Investment· of surplus funds. collection. 37-46-130. Sinking fund. 37-46-109.4. Levies to cover district's deli-37-46-131. Com1 confirmation. cienc1es. 37-46-132. Allocation of water or scr- 37-46-110. Organization. vice. 37-46-133. Election to authorize deht. 37-46-l l l. Rules and regulations. 37-46-134. Definition of elector. 37-46-112. Petition. 37-46-135. Elections. 37-46-113. Notice of hearing on petition. 37-46-136. Election resolution. 37-46-114. Protesting of petitions. 37-46-137. Conduct of election. 37-46-115. Board of directors to prepare 37-46-138. Notice of election. plans. 37-46-139. Polling places. 37-46-116. Appointment of appraisers. 37-46-140. Election supplies. 37-46-117. Compensation of appraisers. 37-46-141. Election returns. 37-46-118. Board bound by financing 37-46-142. Debt election contests. plan. 37-46-143. Covenants and other provi- 37-46-119. Directors may make assess-sions in bonds. men ts. 37-46-144. Liens on pledged revenues. 37-46-120. Improvement district bonds. 37-46-145. Rights -powers of holders of 37-46-12]. Assessments perpetual lien. bonds -trustees. 37-46-122. lnva1id assessments -board 37-46-146. Investments and secmities. remedy. 37-46-147. Rents and charges. 37-46-123. Assessment record as evi-37-46-148. Miscellaneous powers. dence. 37-46-149. Cooperative powers. 37-46-124. Remedies in case of faulty 37-46-150. Joint action entity. notice. 37-46-151. Correlative powers of politi- 37-46-125. Lawful contracts. cal subdivisions. 37-46-101. Legislative declaration. 1n the opinion of the general assembly of the state of Colorado, the conservation of the water of the Colorado river in Colorado for storage. irrigation, mining, and manufacturing purposes and the construction of reservoirs, ditches, and works for the purpose of inigation and reclamation of additional lands not yet inigated. as well as to furnish a supplemental supply of water for lands now under inigation, are of vital importance to the growth and development of the entire district and the welfare of all its inhabitants and that, to promote the health and general welfare of the state of Colorado, an appropriate agency for the conservation, use, and development of the water resources of the Colorado river and its principal tributaries should be established and given such powers as may be necessary to safeguard for Colorado, all waters to which the state of Colorado is equitably entitled under the Colorado 1i"ver compact. Source: L 37: p. 997, § I. CSA: C. 138, § 199(1). CRS 53: § 149-8-1. C.R.S. 1963: § 150-7-1. ' ANNOTATION Law re\'iews. For article, "Water Conser- vancy Districts'', see 22 Rocky Mt. L. Rev. 432 0950). For article, "Legal Classification of Special District Corporate Fonns in Colorado", see 45 Den. L.J. 347 (1968). 37-46-102 Water and irrigation Title 37 ·· page 296 37-46-102. Definitions. As used in this article. unless the cornext otherwise requires: (1 l "Colorado river" is construed to embrace and include any tributaries or streams which flow into the Colorado river which may be found in any part of the tenitory embraced in said district. (2) ''District'. means the ·'Colorado Eiver Water Conservation District ... The district is a body corporate and politic and a political subdivision of the state of Colorado. ( 3) ''Person·· means a person. firm. partnership. association, or corporation. (4) ''Property". as used in sections 37-46-109 (1 ). 37-46-109.3. 37-46-126 (I). and 37-46-126.2 to 37-46-126.6. includes both real and personal property. In other parts of said article relating to special assessments. unless otherwise specified. it means real estate as the words ''real estate·· are defined bv the iaw of the state of Colorado and embraces all railroads. tram roads. elecuic railroads. state and interurban railroads. highways. telephone. telegraph. and transmission lines. water systems. water rights. pipelines. and rights-of-way of public service corporations. m1d all other real property. whether held for public or private use. (5) ··subdistrict" or .. subdivision" embraces and includes the kind or character of special improvement districts created under the provisions of this article. including subdis- llicts organized under the name and style of "Water Users' Association :'.'Jo ..... of the Colorado River Water Conservation District'' and "Special Improvement District l\o ..... of the Colorado River Water Conservation Distiict". A subdistrict or subdivision is a body corporate and politic and a political subdivision of the state of Colorado. Source: L. 37: p. 1025. § 25. CSA: C. 138. § 199(25). CUS 53: § 149-8-25. C.RS. 1963: § 150-7-25. L. 77: (2) and (5) amended. p. l638. § 1. effective June 9. L. 79: <4) amended. p. J 355. § I. effective May 31. 37-46-103. District bod~· corporate -area. There is hereby created a water conser- vation district to be known and designated as the "Colorado River Water Conservation District". Such district is hereby declared to be <i body corporate under the laws of Colorado. Said district shall comprise the following area and teITitory of the state of Colorado: Grand county. Routt county. Moffat county. Rio Blanco county. Ouray county. Mesa county, Garfield county. Pitkin county. Eagle county. Delta county. Gunnison county. Summit county, those parts of Hinsdale <:md Saguache counties lying west and north of the continental divick and within the drainage basin of the Gunnison river. and that part of Montrose county not included in the Southwestern water conservation district as set forth and described in section 37-47-103. Source: L. 37: p. 998. § 2. CSA: C. 138. ~ 199(2). L. 51: p. 691. ~ 1. CRS 53: ~ 149-8-2. L. 55: p. 937. § 1. L. 61: p. 854. § I. C.RS. 1963: § 150-7-2. ANNOTATlON Am. Jur.2d. See 45 Am. Jur.2d. J11igation. ~ 60. C.J.S. See 94 C.J.S .. Waters, §s 543-581. 769, 775-777. Law reviews. For artick ... Highlights of the 1955 Colorado Legislative Session Water ... see 28 Rocky Mt. L. Rev. 58 (1955). 37-46-104. Board of directors. ( 1) The Colorado 1iver water conservation disuict shall be mana£ed and controlled bv a board of fifteen directors. One of said directors shall be from each ()f the respective counties in said district. He shall be selected by the board of county commissioners of the county in which he resides. He may be a member of the board of county commissioners of such county. He shall have been a resident of such countv. or if onlv a part of a coun''' i~ ir:icluded within rhe boundaries of the said district. a resident of such i:1cluded pan fo;-C: pe:.-ioi Dt° al least (WO years prior to the date of his appoimm·.:rn am~ shail t>: a fn::c;·,,;;cic:r -...vho ha:, paici tax·~s in ti1e county of his residence during the calenda: yea:· next ix-::cedi::g hF ::~ppcintrn::m. The members of said board shall hold office for a rerm of thrx yeo.r~ ~".nd U!1t~i :.Iv:ir succ~'s:>ors are appointed and qualified. exce;-H ~;s other1 ..vi"e prnvicc-cl in :hi:o ::i.rtde. "'.'.'r;<.:: reg;,1)a!· term of office of each director shall Title 37 -page 297 Colorado River Conservation District 37-46-106 commence on the third Tuesday of January following his appointment. The board of county commissioners of the county in which a director. whose tenn of office is about to expire. resides shall, at its first meeting in January, appoint a successor who shall take office on the third Tuesday in January following his appointment. (2) The members of the board of directors of said district who are now in office shall hold their respective office for the period of time for which they were selected to serve, and their tenure of office shall not be affected by this amendatory section. Within sixty days after April 7, 1961, each of the boards of county commissioners of the counties of Hinsdale and Saguache shall appoint a director from such county with the qualifications above presc1ibed to serve as a member of the board of directors of the Colorado river water conservation district. The director from Hinsdale county shall hold office until the third Tuesday of January, 1962, and the director from Saguache county shall hold office until the third Tuesday of January, 1963. Upon expiration of the several terms of office of the directors appointed under the tenns of this section. successors shall be appointed as provided in this section to serve for the regular term of three years. Source: L. 37: p. 998, § 3. CSA: C. 138, § 199(3). L. Sl: p. 692, §§ 2, 3. CRS S3: § 149-8-3. L. SS: p. 937, § 2. L. 61: p. 854, § 2. C.R.S. 1963: § 150-7-3. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, lnigation, § 61. C.J.S. See 94 C.J.S., Waters, §§ 543-581, 781-785. 37-46-105. Compensation of directors. The board of directors of said district shall receive as compensation a sum not to exceed seventy-five dollars per day while actually engaged in the business of said district, and, in addition, said directors shall be entitled to their actual traveling and transportation expenses when away from their respective places of residence on district business. Source: L. 37: p. 1026, § 26. CSA: C. 138, § 199(26). CRS 53: § 149-8-26. L. 61: p. 856. § 3. C.R.S. 1963: § 150-7-26. L. 83: Entire section amended, p. 1394, § 1, effective May 26. ANNOTATION C.J.S. See 94 C.J.S., Waters,§§ 781-785. 37-46-106. Vacancies -secretary and treasurer. The office of director shall become vacant when any member ceases to reside in the county from which he was appointed. In the event a vacancy occurs in said office by reason of death, resignation, removal, or otherwise, it shall be filled by the board of county commissioners of the county from which said member originally came. Before entering upon the discharge of his duties, each director shall take an oath to support and defend the constitutions of the United States and of the state of Colorado and to impartially, without fear or favor, discharge the duties of a director of said dist1ict. The board of directors of said district shall appoint a secretary and a treasurer. The same individual may at the election of the board hold both of said offices. The board shall likewise hire such other employees. including engineers and attorneys, as may be required to properly transact the business of the district, and said board is authorized to provide for the compensation of the secretary and treasurer and other appointees. The treasurer shall be required by the board to give bond with corporate surety in such amount as the board may fix and which it deems sufficient to protect the funds in the hands of the treasurer or under his control. Such bond is subject to the approval of the board. Source: L. 37: p. 999, § 4. CSA: C. 138. § 199(4). CRS 53: § 149-8-4. C.R.S. 1963: § 150-7-4. 37-46-107 Water and Irrigation Title 37 -page 298 37-46-107. General powers. (I) In its corporate capacity, the district shall have the power: (a) To sue and be sued in the name of the Colorado 1iver water conservation dist1ict; (b) To acquire, operate, and hold in the name of the district such real and personal property as may be necessary to can·y out the provisions of this article and to sell and convey such property or its products, as provided in this article, or when said property is no longer needed for the purposes of said district; (c) To make surveys and conduct investigations to determine the best manner of utilizing stream flows within the dist1ict and the amount of such stream flow or other water supply, and to locate ditches, irrigation works, and reservoirs to store or utilize water for irrigation, mining, manufacturing, or other purposes, and to make filings upon said water and initiate appropriations for the use and benefit of the ultimate appropriators, and to perform all acts and things necessary or advisable to secure and insure an adequate supply of water, present and future, for irrigation, mining, manufacturing, and domestic purposes within said districts; (cl) To make contracts with respect to the relative rights of said district under its claims and filings and the rights of any other person, association, or organization seeking to divert water from any of the streams within said distiict; (e) To contract with any agencies, officers, bureaus, and departments of the state of Colorado or the United States, including the department of corrections, to obtain services or labor for the initiation, the construction, or any other acquisition of irrigation works, ditches and ditch rights, canals, reservoirs, power plants, or retaining ponds within the district or to acquire, by purchase, rental, lease, or exchange, water, water rights, or electricity (or any combination thereof) from the state or the United States, acting by and through any such agency, officer, bureau, or department, but not to acquire any electricity for sale by the district as a public utility either to the public or to any other user (other than any sale to any subdistrict or to any water conservancy district located wholly or in part within the Colorado river water conservation district and other than any sale of electricity at wholesale to any person or governmental entity): (f) To enter upon any privately owned land or other real property for the purpose of making surveys or obtaining other information, without obtaining any order so to do, but without causing any more damage than is necessary to crops or vegetation upon such land~ (g) To organize special assessment districts at different times for the purpose of establishing effective agencies to secure funds to construct reservoirs or other irrigation works under various types and plans of financing, including, among others, by issuance of revenue warrants only, by the issuance of bonds or revenue obligations constituting a lien up to a specified amount against the lands in said special improvement district, and payable out of special assessments or by general obligations of such special improvement districts; (h) To contract with the United States government, the bureau of reclamation, or other agencies of the United States government for the construction of any such works and the issuance of such obligations as the special improvement districts may have the power to issue in payment of costs of construction and maintenance of said works; (i) To have and exercise the power of eminent domain and, in general, to have and exercise rights and powers of eminent domain conferred upon other agencies as provided in articles 1 to 7 of title 38, C.R.S.: but the district, any subdivision thereof, or the special improvement districts therein shall neither have nor exercise the power of eminent domain against the state or state agencies nor acquire thereby any electric generation facilities, electric distribution Jines, or any conditional or absolute decrees for the use of water; (j) To file upon and hold for the use of the public sufficient water of any natural stream to maintain a constant stream flow in the amount necessary to preserve fish and to use such water in connection with retaining ponds for the propagation of fish for the benefit of the public; (k) To exercise such implied powers and perform such other acts as may be necessary to can-y out and effect any of the express powers hereby conferred upon such district; (I) To participate in the formulation and implementation of nonpoint source water pollution control programs related to agricultural practices in order to implement programs required or authorized under federal law and section 25-8-205 (5), C.R.S., enter into Title 37 -page 299 Colorado River Conservation District contracts and agreements. accept funds from any federal. state. or private sources. receive grants or loans, participate in education and demonstration programs. construct. operate. maintain, or replace facilities. and perform such other activities and adopt such rules and policies as the board deems necessary or desirable in connection with nonpoint source water pollution control programs related to agricultural practices. (2) The board of directors of the district acting as the governing body, in the name and on the behalf of the district, may issue revenue bonds to finance. in whole or in part. the construction or other acquisition of works, reservoirs, or other improvements for the beneficial use of water for the purposes for which it has been or may be appropriated. including. without limitation, the hydrogeneration of electricity. or the acquisition by purchase. rental, lease, or exchange of water. or the purchase or exchange of water rights or electricity and appurtenances (or any combination thereof), and to finance incidental expenses pe1taining thereto, whether or not the interest on such bonds may be subject to taxation. Such revenue bonds shail be issued in such denominations and with such maximum net effective interest rate as may be fixed by the board of directors of the district and shall bear interest such that the net effective interest rate of the bonds does not exceed the maximum net effective interest rate authorized. The board shall pledge only bond proceeds, sale proceeds. rental or lease proceeds, service charges, and other income from such works or other improvements or from the sale. rental, or lease of water or the sale of electricity (or any combination thereof), and the dist1ict shall not be otherwise obligated for the payment thereof. At the time such revenue bonds are issued, the board of directors of the district shall make and enter in the minutes of the proceeding a resolution in which the due dates of such revenue bonds, the rates of interest thereon, the general provisions of the bonds, and a recital that the same are payable only out of bond proceeds, sale proceeds, rental and lease proceeds, service charges, and other income from such works or other improvements and from the sale, rental, lease, or exchange of water or the sale or exchange of electricity (or any combination thereof) are set forth. In addition, the board of directors shall require the payment of rental or lease charges, service charges, or other charges by the political subdivisions or persons who are to use or derive benefits from the water or other services furnished by such works or improvements or otherwise. Such charges shall be sufficient to pay operation and maintenance expenses thereof, to meet said bond payments, to accumulate and maintain reserve and replacement accounts pertaining thereto as set forth in such resolution, and to provide funds sufficient for the further development of water resources for all of the foregoing beneficial purposes. Such resolution shall be irrepealable during the time that any of the revenue bonds are outstanding and unpaid. Except as provided in sections 11-55-101to11-55-106, C.R.S., the revenue bonds shall be signed "Colorado River Water Conservation District, By ............ , President. Attest .................. , Secretary", and they shall be countersigned by the treasurer. Source: L. 37: p. 1000, § 5. CSA: C. 138, § 199(5). CRS 53: § 149-8-5. C.R.S. 1963: § 150-7-5. L. 77: (2) added, p. 1639, § 2, effective June 9; (l)(e) amended, p. 954. § 29, effective August 1. L. 81: IP(l), (l)(e), and (2) amended and (l)(i) R&RE, pp. 176 l, 1762, §§ 1, 2, effective June 19. L. 88: (l )(l) added, p. I 023, § 4, effective April 6. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, hTigation, §§ 63, 67, 68. 71-73. C.J.S. See 29A C.J.S., Eminent Domain. § 21; 9L C.J.S., Waters,§§ 543-581. 786-793. Law reviews. For anicle, "Water for Recre- ation: A Plea for Recognition". see 44 Der;. L.J. 288 (1967). District must make same rievelopmentaI efforts as other appropriators. S1ibsection (l)(c) does not relieve a water district of the requirement to make the same deveiopmental eff011s as required of other approp1iators in or- der to support a finding of reasonable diligence in the development of appropriations under con- ditional water rights. Colorado River Water Conservation Dist~ v. City & County of Denver, 640 P.2d l 139 (Colo. 1982). There is no support in the iaw of CoioradG for <:he proposition that a minimum now of water may be "appropriated" in a natural stream for piscatoriai purposes without diver- sion of any portion of the water "appropriated" 37-46-108 Water and Irrigation Title 37 -page 300 from the natural course of the stream. By the enactment of this section the general assemblv did not intend to b1ing about 'such an extrem~ departure from well established doct1ine, and the supreme court holds that no such departure was brought about by said section. Colorado River Water Conservation Dist. v. Rocky Mt. Power Co., 158 Colo. 331, 406 P.2d 798 (1965). Appropriations for piscatorial purposes without diversion intended. The general as- sembly in the enactment of the second sentence in subsection ( 4) of§ 37-92-103 and subsection ( 1 )(j) of this section intended to have appropria- tions for piscatorial purposes without diversion. Colorado River Water Conservation Dist. v. Col- orado Water Conservation Bel., 197 Colo. 469, 594 P.2d 570 ( 1979). 37-46-108. Principal office -meetings. The board of directors of said district shall designate a place within the district where the principal office is to be maintained and may change such place from time to time. Regular quarterly meetings of said board shalJ be held at said office on the third Tuesday in the months of January, April, July, and October. The board is also empowered to hold such special meetings as may be required for the proper transaction of business. All special meetings of the board shall be held at locations which are within the boundaries of the district or which are within the boundaries of any county in which the district is located, in whole or in part, or in any county so long as the meeting location does not exceed twenty miles from the district boundaries. The provisions of this section governing the location of meetings may be waived only if the proposed change of location of a meeting of the board appears on the agenda of a regular or special meeting of the board and if a resolution is adopted by the board stating the reason for which a meeting of the board is to be held in a location other than under the provisions of this section and further stating the date, time, and place of such meeting. Special meetings may be called by the president of the board or by any three directors. Meetings of the board shall be public, and proper minutes of the proceedings of said board shall be preserved and shall be open to the inspection of any elector of the district during business hours. Source: L. 37: p. 1002, § 6. CSA: C. 138, § 199(6). CRS 53: § 149-8-6. C.R.S. 1963: § 150-7-6. L. 90: Entire section amended, p. 1505, § 20, effective July 1. 37-46-109. Authority of board to levy taxes. (1) (a) In addition to other means of providing revenue for the district, the board of directors has the power to fix the amount of an assessment upon the property within the district, not to exceed two and one-half mills for every dollar of valuation for assessment therein as a level or general levy to be used for the purpose of paying the expenses of organization, for surveys and plans, to pay the salaries of officers and the per diem allowed to directors and their expenses, for the costs and expenses of construction or partial construction of any project designed or intended to accomplish the utilization of water, by storage or otherwise, for any beneficial uses or purposes, and for other incidental expenses which may be incurred in the administration of the affairs of the district. (b) and ( c) Repealed. (d) Upon the receipt of any proceeds of a tax levy made under paragraph (a) of this subsection ( 1 ), if any items of expense have already been paid in whole or in part from any other sources by the district, they may be repaid from receipts of such levy. Such levy may be made, although the work proposed or any part thereof may have been found impractical or for other reasons abandoned. The collection of data and the payment of expenses therefor, including the compensation of engineers and attorneys and clerical assistants, to conserve the water of the district and to enable the district to adopt plans and projects for the orderly development of the district are hereby declared to be a matter of general benefit to the public welfare and such that taxes for said purposes may be properly imposed in the opinion of the general assembly. (e) If this subsection (1) or any clause, phrase, or part thereof is held unconstitutional or invalid by any court of competent jurisdiction, such decision shall not affect the validity or force of any other pait of this section or any other part of this law, and the general assembly hereby declares it would have enacted the remainder of this article without this subsection (1). Title 37 -page 301 Colorado River Conservation District 37-46-109 (2) The board of said dist1ict may. in lieu of the level or general tax authorized by subsection (l) of this section, levy special assessments upon all real estate within the district, except such real estate as is exempted in this article, to raise funds to pay expenses of organization, salaries. expenses, and per diem allowances of officers and directors and to prepare a general plan for the maintenance of constant stream flow and adequate water supplies in all the principal tributaries and the main stream of the Colorado river in said district and provide for future development of the district and insure water therefor. Such assessments shall be made in proportion to the benefits to each piece of real estate accruing by reason of the adoption of a comprehensive plan of development of the natural resources of the district as a whole. The board of directors. if it deems it advisable at any time before levying special assessments, shall appraise the benefits to the several parcels of real estate within the district which shall result from the organization of said district and the general plans and development aforesaid. The board may adopt rules for such purpose and provide inter alia for n'otice and hearing to all persons affected thereby. A permanent record, arranged by counties, of the benefits which will accrue to each tract of land shall be kept, and such benefits shall be apportioned over a series of years, the amount to be collected each year to be in the discretion of the board; but the amount of such assessment to be levied and assessed against the real property in said district in any one year shall not exceed a total of seventy-five hundred dollars, and it is hereby declared that the amount of special benefits accruing annually to the real estate in said district is in excess of such amount. All property owned by the state, counties, cities, towns, school districts, or other governmental agencies shall be exempt from taxation or special levies under this article. (3) Prior to October 15 of each year in which an assessment is made, the board of directors shall appoint a time and place where it will meet within the district for the purpose of hearing objections to assessments at least thirty days prior to the dates so appointed. Notice of such hearing shall be given by posting a notice thereof at or near the door of the treasurer's office in each county in said district and by publishing said notice in a legal newspaper not less than three consecutive times within a period of thirty days, immediately prior to the hearing. The notice posted in each county shall be sufficient if it pertains to the property subject to assessment in said county only and need not contain the description of, or any reference to, property situated in other counties also affected by such assessment. The notice shall contain a description of the real estate so assessed in the county in which said notice is posted and published, the amount of the assessment fixed by the board, and the time and place fixed by the board for the hearing of objections to such assessments. It shall not be necessary for the notice to contain a separate description of the lots or tracts of real estate, but it shall be sufficient if the said notice contains such descriptions as will inform the owner whether or not his real estate is covered by such descriptions, and to inform the owner of the amount of special assessments thereon. (4) If, in the opinion of any person whose real estate is assessed, his property has been assessed too high or has been erroneously or illegally assessed, at any time before the date of such hearing, he may file written objections to such assessments, stating the ground of such objections, which statement shall be verified by the affidavit of said person or some other person familiar with the facts. At such hearing the board shall hear such evidence and argument as may be offered concerning the correctness or legality of such assessment and may modify .or amend the same. Any owner of property desiring to appeal from the finding of the board as to assessments, within thirty days from the finding of the board, shall file with the clerk of the district court of the county in which the property is situated, a written notice making demand for a trial by the court. At the same time, the appellant shall file a bond with good and sufficient security, to be approved by the clerk of said court, in a sum not exceeding two hundred dollars, to the effect that, if the finding of the court is not more favorable to the appellant than the finding of the board, the appellant will pay the costs of the appeal. The appellant shall state definitely from what part of the order the appeal is taken. In case more than one appeal is taken, upon a showing that the same may be consolidated without injury to the interests of anyone, the court may consolidate and try the appeals together. (5) The court shall not disturb the findings of the board unless the finding of the board in any case is manifestly disproportionate to the assessments imposed upon other property 37-46-109 .3 Water and lJTigation Title 3 7 -page 302 in the district created under this article. The trial shall be to the court. and the matter shall take precedence before the court and shall be taken up as promptly as may be after the appeal is filed. If no appeal is taken from the finding of the board within the time prescribed in this section, or after the finding of the district court in case an appeal is taken from the finding of the board, then said assessments shall be final and conclusive evidence that said assessments have been made in proportion to the benefits conferred upon each tract of real estate of said district by reason of the general plans of survey, comprehensive plan of development, and the completion of improvements to be constructed under the provisions of this article, and such assessments shall constirute a perpetual lien as provided in section 37-46-121 upon the real estate so assessed until paid. Source: L. 37: p. 1003, § 7. CSA: C. 138, § 199(7). CRS 53: § 149-8-7. L. 58: p. 323, § 1. C.R.S. 1963: § 150-7-7. L. 69: p. 1235. § l. L. 79: (l)(c) repealed and (l)(d) amended, pp. 1360, 1355, §§ 8, 2, effective May 31. L. 83: (l)(a) and (l)(d) amended and (l)(b) repealed, pp. 1394, 1396, §§ 2, 5, effective May 26. Cross references: For publication of legal notices, see part I of article 70 of title 24: for the definition of "property", as used in subsection (l) of this section, see§ 37-46-102 (4). ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, Irrigation, §§ 71, 72. C.J.S. See 94 C.J.S., Waters,§§ 543-581. 37-46-109.3. Taxes -determination and collection. (1) In addition to other means of providing revenue for the district, the board of directors, in the name of the district, has the power to levy and collect general ad valorem taxes on or against all taxable property within the district, subject to the limitations provided in section 37-46-109 (1 ). (2) To levy and collect general ad valorem taxes, the board shall determine in each year the amount of money to be raised by taxation, including, without limitation, tax levies to retire and pay indebtedness incurred by the district by contract other than the issuance of bonds pursuant to section 37-46-133 and other provisions in this article supplemental thereto, taking into consideration other sources of revenue of the district, and shall fix a rate of levy, without limitation as to rate or amount, but subject to the limitations provided in section 37-46-109 ( 1 ), which, when levied upon every dollar of valuation for assessment of taxable property within the district and together with any other moneys of the district, will raise the amount required by the district annually to supply funds for the payment of costs and expenses specified in section 37-46-109 (1) and this subsection (2). (3) In accordance with the schedule prescribed by section 39-5-128, C.R.S., the board of directors shall certify to the board of county commissioners of each county within the district or having a portion of its territory within the district the rate so fixed in order that, at the time and in the manner required by Jaw for the levying of taxes, such board of county commissioners shall levy such tax upon the valuation for assessment of all taxable property within the district. (4) The body having authority to levy taxes within each such county shall levy the taxes certified to it, and all officials charged with the duty of collecting taxes shall collect such taxes levied by the district in accordance with sections 37-46-126.5 and 37-46-126.6. Source: L. 79: Entire section added, p. 1356, § 3, effective May 31. L. 83~ (2) amended, p. 1395, § 3, effective May 26. Cross references: For the definition of "property", as used in this section, see§ 37-46-102 (4). 37-46-109.4. Levies to cover district's deficiencies. The board of directors, in certi- fying annual levies for the district, shall take into account the maturing indebtedness incurred by the district by contract other than the issuance of bonds for the ensuing year as Title 37 -page 303 Colorado River Conservation District 37-46-111 provided in its contracts and deficiencies and defaults of prior years and shall make ample provision for the payment thereof. In case the moneys produced from such levies, together with other revenues of the district are not sufficient to pay punctually the annual install- ments of such contracts and interest thereon and to pay defaults and deficiencies, the board shall make such additional levies of taxes as may be necessary for such purposes, and such taxes shall be made and shall continue to be levied until the indebtedness of the district is fully paid. Source: L. 79: Entire section added. p. 1356. s 3. effective May 31. 37-46-110. Organization. (]) l\otwithstanding the organization of the district pro- vided for in this section, public iiTigation districts organized under and pursuant to article 4 of chapter 149, CRS 53. and irrigation districts organized under and pursuant to articles 41 and 42 of this title. and any other form or organization designed or intended to acquire. construct, or maintain reservoirs. ditches. and similar works for irrigation or other beneficial purposes under any Jaw of the state of Colorado or of the United States may be organized to cover and include areas within the Colorado river water conservation district and may likewise embrace territory within that district and partly out of the district. The board of directors, whenever in their opinion such form of organization will help promote the local interests or accomplish improvements for any part of said district, may recommend the organization of any such type of organization. (2) In addition to such forms of organization. whenever in the opinion of the board of directors of said district it is feasible and necessary that ditches, canals. reservoirs. or other works which benefit only a part of the district should be constructed, a local improvement district or subdivision, or as many of such local improvement dist1icts as may be necessary, may be created as provided in this article. Said local improvement district, when organized under the provisions of this Jaw, shall be designated as "Water Users· Association No ........ . in the Colorado River Water Conservation Dist1ict", or as "Special Improvement District No ......... in the Colorado River Water Conservation District'". Each subdistrict shall be numbered consecutively as created or organized. The board of directors, the engineers. attorneys, secretary, and other officers. agents, and employees of the district, so far as it may be necessary, shall serve in the same capacity for such subdivisions or subdistricts. A contract and agreement between the main district and the subdistrict may be made in the same manner as contracts and agreements between two districts. Source: L. 37: p. 1008. § 8. CSA: C. 138, § 199(8). CRS 53: § 149-8-8. C.R.S. 1963: § 150-7-8. Editor's note: The public irrigation law, article 4 of chapter 149. CRS 53. refemd to in ( 1) above, was repealed, but the provisions of said article 4 were preserved as to all dist1icts formed under that article prior 1963. (See L. 63, p. 1009.) ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, Irrigation, §§ 58, 60. C.J.S. See 94 C.J.S .. Waters. §§ 543-581, 767-770. 37-46-111. Rules and regulations. The district has the power to make general rules and regulations for the conduct of its business, as well as the conduct of the business of any subdistrict therein, and by such rules and regulations may provide for the rental of water or other services which are to be furnished by said subdistrict. to any municipality, public irrigation district, or irrigation district or other quasi-municipal corporation in this state, and to make contracts for the payment of the rental to be charged for any such water or services. Source: L. 37: p. 1028, § 30. CSA: C. 138. § 199(30). CRS 53: § 149-8-30. C.R.S. 1963: § 150-7-30. 37-46-112 Water and Irrigation ANNOTATION C.J.S. See 94 C.J.S., Waters. §§ 543-581. 769, 786-793. Title 37 -page 304 37-46-112. Petition. (l) Before any subdistrict is established under this article, a petition shall be filed in the ofiice of the clerk of the district court of the county in which the territory to be embraced in said subdistrict, or the greater part thereof is situate. signed by the board of directors of the district or by a majority of the owners of land situate within the limits of the territory proposed to be organized into a subdist1ict. (2) The petition shall set forth: (a) . The proposed name of said subdistrict, whether it shall be designated "Water Users' Association No ..... in the Colorado River Water Conservation District", or "Special Improvement District No ..... in the Colorado River Water Conservation District"; (b) That property within the proposed subdistrict will be benefited by the proposed reservoirs, ditches, canals, works, or other improvements and shall set forth in a general way the nature and estimated cost thereof. together with a general statement of the nature of the anticipated benefits to be derived therefrom; (c) A full description of the territory to be included in the proposed subdistrict. The description need not be given by metes and bounds or by legal subdivision, but it shall be sufficient to enable a property owner to ascertain whether his property is within the territory proposed to be organized in a subdistrict. Such territory need not be contiguous, if it is so situated that the organization as a single subdistrict of the territory described is such as to promote one or more of the objectives of this article as to all parts of the area proposed to be included. (d) A general description of the methods proposed to finance the proposed works or other improvements, whether by revenue warrants pledging the income from the proposed works, special improvement bonds to be paid by special assessments on the property benefited in an amount on each tract of land not in excess of the appraised benefits, contracts of water users or water users' associations creating liens or mortgages on lands within the subdistrict, or general obligation bonds constituting a lien against the real property embraced in such subdistrict, and which indebtedness shall never be an obligation of the distJict itself. If general obligations are proposed, the petition shall allege and show that all lands in the subdistrict will be benefited in an amount not less than the total amount of general obligation bonds to be issued exclusive of interest. (e) If such a petition is filed by the board of directors of the district, it shall contain a statement to the effect that a maj01ity of the landowners of the territory in the proposed subdistrict petitioned the board of directors to organize said subdistrict, and a copy of the petition of said landowners shall be attached as an exhibit to the petition for organization of the subdistrict. (f) The petition shall pray for the organization of a subdistrict by the name proposed. (3) To determine whether a majority of landowners in said district have signed the petition, in the event the petition is signed by landowners, or have petitioned the board of directors of the district, in the event the petition is filed by the board of directors, the court may require the county treasurer of each county in which territory proposed to be included in said subdistrict is situated to furnish a certified list of names of landowners within said area, and the court shall be governed by the names as they appear upon said copy of the tax roll, and the same shall be prima facie evidence of ownership, and, if said tax roll shows a majority of the landowners have signed the main petition or petitioned the district for said organization, the same shall be considered as p1ima facie evidence that a majority of said landowners are in favor of the organization of said proposed subdistrict. Source: L. 37: p. 1009, § 9. CSA: C. 138, § 199(9). CRS 53: § 149-8-9. C.R.S. 1963: § 150-7-9. Title 37 -page 305 Colorado River Conservation District 37-46-114 ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, Irrigation, § 59. C.J.S. See 94 C.J.S., Waters, §§ 543-581, 769-779, 813-818. 37-46-113. Notice of' hearing on petition. (1) Immediately after the filing of such petition, the court wherein such petition is filed, by order, shall fix a place and time, not less than sixty days nor more than ninety days after the petition is filed, for hearing thereon. and thereupon the clerk of said court shall cause notice by publication, which may be substantially the same as provided in section 37-8-101, to be made of the pendency of the petition and of the time and place of the hearing thereon. The clerk of said court shall also forthwith cause a copy of said notice to be mailed by United States registered mail to the board of county commissioners of each of the several counties having territory within the proposed subdistrict and to the board of directors of said district in the event that said petition is filed by the landowners. (2) The district court in and for the county in which the petition for the organization of a subdistrict has been filed, for all purposes of this article, except as otherwise provided in this article, thereafter shall maintain and have original and exclusive jurisdiction coexten- sive with the boundaries of said subdistrict of lands and other property proposed to be included in said subdistrict or affected by said district, without regard to the usual limits of its jurisdiction. (3) No judge of such court wherein such petition is filed shall be disqualified to perform any duty imposed by this article by reason of ownership of property within any subdistrict or proposed subdistrict or by reason of ownership of any property that may be benefited, taxed, or assessed therein. Source: L. 37: p. 1011, § 10. CSA: C. 138, § 199(10). CRS 53: § 149-8-10. C.R.S. 1963: § 150-7-10. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 543-581, 771-779. 37-46-114. Protesting of petitions. ( 1) At any time after the filing of a petition for the organization of a subdistrict, and not less than thirty days prior to the time fixed by the order of the court for the hearing upon said petition, and not thereafter, a protest may be filed in the office of the clerk of the court wherein the proceedings for the organization of such subdistrict is pending, signed by a majority of the owners of the land in said proposed subdistrict protesting the organization or creation of said subdistrict. It is the duty of the clerk of the court forthwith, upon filing of said protest, to make as many certified copies thereof, including the signatures thereto, as there are counties into any part of which said proposed subdistrict extends and forthwith to place in the hands of the county treasurer of each of such counties one of said certified copies. (2) It is the duty of each of such county treasurers to determine from the last tax rolls of his county, and to certify to said district court under his official seal, prior to the day fixed for the hearing, the total number of owners of land situate in such proposed subdistrict within his county and the total number of owners of land situate in such proposed subdistrict within his county who have signed such protest. Such certificate shall constitute prima facie evidence of the facts so stated therein and shall be so received and considered by the court. (3) Upon the day set for the hearing upon the original petition, if it appears to the court from such certificate and from such other evidence as may be adduced by any party in interest that the said protest is not signed by a majority of the owners of land within the proposed subdistrict, the court shall thereupon dismiss said protest and shall proceed with the hearing on the petition. If it appears to the court at said hearing that the protest is signed by any person or corporation who signed the original petition for the organization of said subdistrict, either to the court or to the district, then the signature of any such landowner 37-46-115 Water and Irrigation Title 37 -page 306 upon the protest shall be disregarded and not counted. The board of county commissioners of any county in which any part of said proposed subdistrict is situate, or any owner of real property in said proposed subdistrict who has not signed the petition for the organization of said subdistrict, on or before the date set for the cause to be heard, may file objections to the organization and incorporation of the district. Such objections shall be limited to a denial of the statements in the petition and shall be heard by the court as an advanced case without unnecessary delay. (4) Upon said hearing, if it appears that said petition has been signed and presented in accordance with the requirements of this article and that the allegations of the petition are true. the court shall enter a decree and therein adjudicate all questions of jurisdiction and declare the subdistrict organized and designate the name of said subdistrict, by which in all subsequent proceedings it shall thereafter be designated and known, and thereafter said subdistrict shall be deemed a special improvement district. (5) Such order shall be binding upon the real property within the subdistrict, and no appeal or other remedy shall lie therefrom, and entry of such order shall finally and conclusively establish the regular organization of said subdistrict against all persons except the state of Colorado in an action in the nature of quo warranto to be commenced by the attorney general within three months after said decree is entered and not otherwise. Within ten days after such subdistrict has been declared duly organized by the court, the clerk of said court shall transmit to the county clerk and recorder in each of the counties having lands in said subdistrict copies of the findings and decree of the court establishing said subdistrict. The same shall be recorded in the office of the county clerk and recorder, where they shall become permanent records. Source: L. 37: p. 1012, § 11. CSA: C. 138, § 199(11). CRS 53: § 149-8-11. C.R.S. 1963: § 150-7-11. L. 83: (5) amended, p. 1228, § 14, effective July 1. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 543-581, 778-780. 37-46-115. Board of directors to prepare plans. Upon organization of such subdis- trict, the board of directors of said district, acting as the board of directors of said subdistrict, are authorized and required to prepare and adopt as the official plans for said subdistrict a comprehensive detailed plan showing the nature of the improvements or works, including all canals, reservoirs, and ditches, whether within or without the district, and the estimated cost of each principal part of said system or works. Source: L. 37: p. 1015. § 12. CSA: C. 138, § 199(12). CRS 53: § 149-8-12. C.R.S. 1963: § 150-7-12. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 543-581, 769-774, 786-793. 37-46-116. Appointment of appraisers. As soon as such official plan has been prepared and adopted and is on file in the office of said district, upon petition of the district, the court shall appoint a board of appraisers consisting of three members. The qualifications of said appraisers and all proceedings before them shall be in accordance with the provisions of the law pertaining to the duties and qualifications of appraisers under the conservancy law of Colorado as set forth in article 4 of this title; except that where reference is made in said law to districts, it shall apply to subdistricts organized under this article. Title 37 -page 307 Colorado River Conservation District 37-46-118 Source: L. 37: p. 1015, § 13. CSA: C. 138, § 199(13). CRS 53: § 149-8-13. C.R.S. 1963: § 150-7-13. 37-46-117. Compensation of appraisers. Appraisers when appointed under the pro- visions of this article shall receive a compensation of ten dollars per day during the time that they are engaged in the performance of their duties. Source: L. 37: p. 1017. § 15. CSA: C. 138, § 199(15). CRS 53: § 149-8-15. C.R.S. 1963: § 150-7-15. 37-46-118. Board bound by financing plan. ( 1) The board of directors of the district shall be bound by the plan of financing set forth in the petition for the organization of the subdistrict and approved by decree of the district court. The appointment of appraisers shall not be necessary in the event that the plan adopted provides that general obligations of the subdistrict are to be issued or provides for the issuance of revenue warrants which are a lien and charge upon the rental and income from the irrigation works or reservoirs or other improvements to be constructed under the plan adopted and the rental derived from any such works. (2) The warrants shall be payable in such denominations, with a maximum net effective interest rate which may be fixed by the board of directors of said district pursuant to the order and decree of the court. Such warrants shall bear interest such that the net effective interest rate of the warrants does not exceed the maximum net effective interest rate authorized. The board shall pledge the income and rentals from said irrigation works or water supplied therethrough, and the subdistrict shall not be otherwise obligated for the payment thereof. (3) At the time said revenue warrants are issued, the board of directors of the district shall make and enter in the minutes of the proceeding a resolution in which the due dates of said revenue warrants, the rate of interest thereon, the general provisions of said bonds, and a recital that the same are payable out of rental and income only are set forth and shall require the payment of an assessment or annual rental charge by the persons who are to use or derive benefit from the water or other service furnished through said improvements or works, sufficient to meet said payments, and the resolution shall be irrepealable during the time that any of said revenue warrants are outstanding and unpaid. The revenue warrants shall be signed "Water Users' Association No ..... in the Colorado River Water Conserva- tion District, By .............. ,President. Attest .............. , Secretary" or "Special Improvement District No ..... in the Colorado River Water Conservation District, By .............. , President. Attest .............. , Secretary". They shall be countersigned by the treasurer. (4) General obligation bonds of said subdistrict shall be signed in the same manner as provided in this section for revenue warrants and shall recite that the same are issued pursuant to the provisions of this article and are to be payable at the time and in the manner and with the rate of interest therein specified and that the same were issued under and pursuant to a decree of court and a resolution of the board of directors authorizing the issue of said obligations and referring to the date of said resolution. Said bonds shall further recite that they are payable from funds to be derived by assessments and tax levies against the property in said subdistrict and not otherwise, and that the same are not to be deemed as an obligation of the Colorado river water conservation district but only as an obligation of said subdistrict, and that the district itself is not obligated in any manner for the payment of said bonds. Source: L. 37: p. 1015, § 14. CSA: C. 138, § 199(14). CRS 53: § 149-8-14. C.R.S. 1963: § 150-7-14. L. 70: p. 440, § 7. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 813-818. 37-46-119 Water and lITigation Title 37 -page 308 37-46-119. Directors may make assessments. ( l ) In the event that the plans for the organization of said dist1ict, including the petition and the decree entered thereon, provide for a plan of financing the construction or acquisition of the works, or other improvements proposed, by special assessments to be levied against the appraised benefits to property within said subdistrict, then the board of directors may make assessments from time to time as required, and said board in making said assessments shall be guided by the procedure for the levy of similar assessments under the conservancy law of the state of Colorado and particularly the provisions of said law appearing in sections 37-5-104 to 37-5-106, and the same shall apply to subdistricts created under this article. The board of directors from time to time, as the affairs of the subdistrict may demand, may levy on all property upon which benefits have been appraised an assessment of such ponion of said benefits as may be found necessary by said board to pay the cost of the appraisal. the preparation and execution of the official plan for said subdistrict, superintendence of construction, and administration during the period of construction, plus ten percent of said total to be added for contingen- cies, but not to exceed in the total of principal the appraised benefits so adjudicated. (2) The assessments, to be known as the "construction fund assessment", shall be apportioned to and levied on each tract of land or other property in said district in proportion to the benefits appraised and not in excess thereof, and in case bonds are issued, as provided in section 37-46-120, then the amount of interest which will accrue on such bonds as estimated by said board of directors shall be included in and added to said assessment, but the interest to accrue on account of the issuance of said bonds shall not be construed as a part of the cost of construction in determining whether or not the expenses and cost of making said improvement are or are not equal to or in excess of the benefits appraised. (3) As soon as said assessment is levied, the secretary of the subdistrict, at the expense thereof, shall prepare in duplicate an assessment of the subdistrict. It shall be in the form of a well-bound book endorsed and named ''Construction Fund Assessment Record of Water Users' Association No ..... (or Special Improvement District No ..... ,as the case may be) of the Colorado River Water Conservation District". Said record shall be in the form of similar records for conservancy districts under the laws of this state, particularly as provided by section 37-5-104. Said assessments may be paid in the manner provided by section 37-5-105, relating to conservancy districts under the laws of this state. All proceedings provided in said sections with respect to conservancy districts shall apply to the assess- ments, the records thereof, and the manner of payment of assessments of subdistricts organized under this article. Source: L. 37: p. 1017. § 16. CSA: C. 138, § 199(16). CRS 53: § 149-8-16. C.R.S. 1963: § 150-7-16. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d. Irrigation. § 71. C.J.S. See 94 C.J .S., Waters, §§ 543-581, 806-834. 37-46-120. Improvement district bonds. ( 1) The board of directors of said district may issue as obligations of the subdistrict not as an obligation of the Colorado river water conservation district, improvement district bonds to be paid out of special assessments made by said board of directors against all lands in the subdistrict, not exceeding in the aggregate principal amount of ninety percent of the amount of benefits assessed against said lands and unpaid at the time of issue of said bonds. The bonds shall contain a recital to the effect that they are issued under and in accordance with the provisions of this article as special improvement district bonds and are payable out of special assessments to be levied against the prope11y in said subdistrict as provided in this article, and not otherwise. Such improvement district bonds shall be signed, "Water Users' Association No ..... (or Special Improvement District No ..... , as the case may be) of the Colorado River Water Conserva- tion District, By .............. , President", and countersigned " .............. , Treasurer". (2) Otherwise said bonds shall be in such denominations and become due at such dates. with interest payable either annually or semiannually at such rate subject to a maximum net Title 37 -page 309 Colorado River Conservation District 37-46-122 effective interest rate, and contain such other provisions as may be fixed by the board of directors, if said provisions are not inconsistent with the terms of this article. Except as otherwise expressly modified in this article, the law relating to the form and issuance of bonds of conservancy districts under the laws of this state, pmticularly section 37-5-106, shall apply and govern officers of the district in the issuance and sale of said bonds, and other provisions of said law with respect to the levy of assessments or the payment of said bonds with interest, and particularly section 37-5-110, shall likewise be applicable to the bonds of a subdistrict organized under this article. Source: L. 37: p. 1019, § 17. CSA: C. 138, § (199)17. CRS 53: ~ 149-8-17. C.R.S. 1963: § 150-7-17. L. 70: p. 441, § 8. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, Irrigation, § 68. C.J.S. See 94 C.J.S., Waters, §§ 543-581, 795. 37-46-121. Assessments perpetual lien. All assessments on account of special im- provements against appraised benefits and interest thereon and penalties for default of payment thereof, together with costs of collecting the same, from the date of the filing of the "construction fund assessment" record and the "maintenance fund assessment" record in the office of the county treasurer of the county wherein the lands and property are situate, shall constitute a perpetual lien in an amount not in excess of the benefits severally appraised upon the land and other property against which said assessments have been levied and such benefits appraised to which only the lien of the general, state, county, city, town, or school district taxes shall be paramount, and any sale of such property and the issuance of a tax deed conveying title thereto, to enforce any general, state, county, city, town, or school district tax, or any other lien, shall extinguish the perpetual lien of said assessment. Any landowner at any time may pay the full amount of said assessment, and thereafter the property of any such landowner shall be clear and free from said lien and shall not be subject to assessment for and on account of benefits appraised against any other land or default in the payment of assessments made against any other land. Source: L. 37: p. 1020, § 18. CSA: C. 138, § 199(18). CRS 53: § 149-8-18. C.R.S. 1963: § 150-7-18. L. 79: Entire section amended, p. 1357. § 4, effective May 31. L. 83: Entire section amended, p. 1395, § 4, effective May 26. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, Irrigation, § 71. C.J.S. See 94 C.J.S., Waters, §§ 543-581, 806-818' 823-825. 37-46-122. Invalid assessments -board remedy. If any assessment made under the provisions of this article proves invalid, the board of directors by subsequent or amended acts or proceedings, promptly and without delay, shall remedy all defects or irregularities. as the case may require, by making and providing for the collection of new assessments, or otherwise. Source: L. 37: p. 1021, § 19. CSA: C. 138, § 199(19). CRS 53: § 149-8-19. C.R.S. 1963: § 150-7-19. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, Irrigation, § 71. C.J.S. See 94 CJ .S., Waters, §§ 543-58 L 786-793, 819-822. 37-46-123 \V~1tcr and Irrigation Title 37 -page 310 37-46-123. Assessment record as evidence. The record of assessments contained in the respective assessment records of the district shall be prima facie evidence in all com1s of all matters therein contained. Source: L. 37: p. 1021. § 20. CSA: C. 138. § 199(20). CRS 53: § 149-8-20. C.R.S. 1963: § 150-7-20. 37-46-124. Remedies in case of faulty notice. Whenever in this article notice is provided for, if the court finds that due notice was not given, jurisdiction shall not thereby be lost or the proceedings abated or held void. but the court shall continue the hearing until such time as proper notice may be given and thereupon shall proceed as though proper notice had been given in the first instance. If any appraisement, assessment, levy, or other proceeding relating to said dist1ict is held defective, then the board of directors may file a motion in the cause in which said district was organized to perfect any such defect. and the court shall set a time for hearing thereon. If the 01iginal notice as a whole is held to be sufficient but faulty only with reference to publication as to certain particular lands or as to service as to certain persons. publication of the defective notice may be ordered as to the particular lands, or service may be made 011 the persons not properly served, and said notice is thereby coJTected without invalidating the original notice as to other lands or persons. Source: L. 37: p. 1021. § 21. CSA: C. 138, § 199(21). CRS 53: § 149-8-21. C.R.S. 1963: § 150-7-21. ANNOTATION C.J.S. See 94 C.J.S .. Waters. §§ 543-581, 813-822. 37-46-125. Lawful contracts. ( 1) When the petition for the organization of a sub- district and the decree for such organization so provide. it is lawful for any said subdistrict to make contracts as follows: (a) A water users' association may bind itself to levy an annual assessment for the use of water and to secure same by liens on land and water rights or in such manner as may be provided by law. (b) Any person or corporation landowner may create a mortgage lien upon lands or give other security satisfactory to the board or any other contracting agency, and all such contracts shall provide for forfeiture of the use of water for nonpayment of assessments or installments in the same manner and procedure as provided by statute for forfeiture of stock in a mutual ditch company. Source: L. 37: p. 1023, § 23. CSA: C. 138, § 199(23). CRS 53: § 149-8-213 C.R.S. 1963: § 150-7-23. Cross references: For forfeiture of stock in a ditch company, see § 7-42-104 (4). ANNOTATION C.J.S. See 94 C.J .S .. Waters. §§ 543-581. 786-793. 37-46-126. Issuance of general obligation bonds and revenue bonds. (1) The board of directors of the dist1ict acting as the governing body, in the name and on the behalf of the subdist1ict as provided in section 37-46-110 and not otherwise, when authorized by the plan of organization and decree of court organizing said subdistrict to do so, may issue general obligation bonds or otherwise incur a general obligation indebtedness to finance, in whole or in pan. the construction or other acquisition of works, reservoirs, or other Title 37 -page 31 l Colorado River Conservation District 37-46-126 improvements for the beneficial use of water for !he puqx)ses for which it has been or may be appropriated, including. without limitation. the hydrogeneration of electricity. or the acquisition by purchase. rental. lease. or exchange of water. or the purchase or exchange of water rights or electricity and appurtenances (or any combination thereof). and to finance incidental expenses pertaining thereto. whether or not the interest on such bonds may be subject to taxation. Said obligations shall bear interest at a rate such that the net effective interest rate of the issue does not exceed the maximum net effective interest rate authorized. Interest shall be payable semiannually. but the first installment of interest may evidence interest for not exceeding two years from the date of issue, and said obligations may be issued and made payable in series becoming due over a te1m of not less than five years and not more than fifty years after the date of issue. Such bonds or other indebtedness is to be paid from general ad valorem taxes levied from time to time. as the bonds or other indebtedness and interest thereon become due. against the taxable property in said subdis- trict and not otherwise: but such taxes may be diminished to the extent other revenues are made available to pay such debt service as the same becomes due. The board of directors of the district shall ce11ify to the boards of county commissioners of the several counties in which said subdistrict or any part thereof is located the amount of the levy necessary to pay said bonds or installments of principal of other indebtedness as they mature and also to pay the interest becoming due on all outstanding bonds or other indebtedness, and the procedure for the assessment and collection of revenue or taxes of the county and state are, except as may be otherwise provided in this article, made applicable and are to be followed in the levy of assessments for payment of taxes and collection of p1incipal and interest on such general obligations. (2) The board of directors of the dist1ict acting as the governing body, in the name and on the behalf of the subdistrict. may issue revenue bonds to finance. in whole or in part, the construction or other acquisition of works. reservoirs. or other improvements for the beneficial use of water for the purposes for which it has been or may be appropriated, including, without limitation, the hydrogeneration of electricity, or the acquisition by purchase, rental, lease, or exchange of water, or the purchase or exchange of water rights or electricity and appurtenances (or any combination thereof), and to finance incidental expenses pertaining thereto, whether or not the interest on such bonds may be subject to taxation. Such revenue bonds shall be issued in such denominations and with such maximum net effective interest rate as may be fixed by the board of directors of the subdistrict and shall bear interest such that the net effective interest rate of the bonds does not exceed the maximum net effective interest rate authorized. The board shall pledge only bond proceeds, sale proceeds, rental or lease proceeds, service charges, and other income from such works or other improvements or from the sale, rental, lease, or exchange of water or the sale or exchange of electricity (or any combination thereof), and the subdistrict shall not be otherwise obligated for the payment thereof. At the time said revenue bonds are issued, the board of directors of the subdistrict shall make and enter in the minutes of the proceeding a resolution in which the due dates of such revenue bonds, the rates of interest thereon. the general provisions of the bonds. and a recital that the same are payable only out of bond proceeds, sale proceeds, rental and lease proceeds, service charges, and other income from such works or other improvements and from the sale. rental, lease, or exchange of water or the sale or exchange of electricity (or any combination thereof) are set forth. In addition, the board of directors shall require the payment of rental or lease charges, service charges. or other charges by the political subdivisions or persons who are to use or de1ive benefits from the water or other services furnished by such works' or improvements or otherwise. Such charges shall be sufficient to pay operation and maintenance expenses thereof, to meet said bond payments, to accumulate and maintain reserve and replacement accounts pertaining thereto as set forth in such resolution. and to provide funds sufficient for the further development of water resources for all of the foregoing beneficial purposes. Such resolution shall be in-epealable du1ing the time that any of the revenue bonds are outstand- ing and unpaid. Except as provided in sections 11-55-101 to 11-55-106, C.R.S., the revenue bonds shall be signed "Water Users' Association No ..... in the Colorado River Water Conservation District, By .......... , President. Attest ........... Secretary" or "Special Improve- 37-46-126.2 Wakr and Irrigation Title 37 page 312 ment District No ..... in the Colorado River Water Conservation District. Bv ......... . President. Attest ........... Secretary··, and they shall be countersigned by the treasi.1rcr. Source: L. 37: p. 1022. § 22. CSA: C. 138. § 199(22). CRS 53: § 149-8-22. C.R.S. 1963: § 150-7-22. L. 70: p. 441. § 9. L. 77: Entire section amended. p. 1639. § 3, effective June 9. L 79: (1) amended. p. 1357. § 5. effective May 31. L. 81: Entire section amended. p. 1763. § 3. effective June 19. Cross references: For the definition of "property•·. as used in subsection ( J) of this section. see § 37-46-102 ( 4 ). ANNOTATION Am. Jur.2d. Sec 45 Am. Jur.2d, lnigation. § 68. - C.J.S. See 94 C.1.S .. Waters. §§ 543-581, 795. 37-46-126.2. Subdistrict's levy of taxes. In addition to other means of providing revenue for a subdistrict, the board of directors, in the name of the subdistrict, has the power to levy and collect general ad valorern taxes on or against all taxable property within the subdistrict, subject to the limitations provided in section 37-46-126.3 (1), in part 3 of article 1 of title 29, C.R.S., and in any other Jaw which by its terms is applicable to the subdistrict and which imposes tax limitations or expenditure limitations thereon. Source: L. 79: Entire section added, p. 1358, § 6, effective May 31. Cross references: For the definition of ··property'', as used in this section, see§ 37-46-102 (4). ANNOTATION C.J.S. See 94 C.J.S., Waters,§§ 813-818. 37-46-126.3. Levy and collection of subdistrict's taxes. ( 1) The board of directors, in the name of the subdistrict, after it has been organized, shall determine the amount of money necessary to be raised by a levy on the taxable property in the subdistrict and shall fix a rate of levy, not to exceed five mills. which when levied upon every dollar of valuation for assessment of taxable property within the subdistrict will raise the amount required by the subdistrict during the ensuing fiscal year to supply funds for paying expenses of organization, costs of surveys and plans, salaries of any employees of the subdistrict, per diem allowed to directors and their expenses pertaining to the subdistrict, and other incidental expenses which may be incurred in the administration of the affairs of the subdistiict, paying the costs and expenses of construction of any project designed or intended to accomplish the utilization of water, by storage or otherwise, for any beneficial uses or purposes, and promptly paying in full, when due, all interest on and p1incipal of general obligation bonds and other general obligation indebtedness of the subdistrict, but the limitation of five mills imposed in this section on the amount of levy shall not apply to levies made for the purpose of paying the principal of and interest on the general obligation bonds and other general obligation indebtedness of the subdist1ict. Except for levies to pay such indebtedness, a two-thirds vote of the membership of the board shall be required to fix the amount of each of such levies. (2) To levy and collect general ad valorem taxes. the board shall determine in each year the amount of money necessary to be raised by taxation, taking into consideration other sources of revenue of the subdistrict. and shall fix a rate of levy, without limitation of rate or amount. but subject to the provisions of subsection ( 1) of this section, which. when levied upon every dollar of valuation for assessment of taxable property within the subdistrict and together with any other moneys of the subdistrict, will raise the amount required by the subdistrict annually to supply funds for the payment of the expenses provided in subsection (1) of this section. Title 37 -page 313 Colorado River Conservation District 37-46-126.5 (3) In accordance with the schedule prescribed by section 39-5-128. C.R.S., the board of directors shall certify to the board of county commissioners of each county within the subdistrict, or having a po11ion of its territory within the subdistrict, the rate so fixed in order that, at the time and in the manner required by law for the levying of taxes, such board of county commissioners shall levy such tax upon the valuation for assessment of all taxable property within the subdistrict in such county. (4) Upon the receipt of any proceeds of tax levies made under subsection (1) of this section, if any items of expense have already been paid in whole or in part from any other sources by the subdistrict, they may be repaid from receipts of such levies. Such levies may be made, although the work proposed or any part thereof may have been found impractical or for any other reasons abandoned. The collection of data and the payment of expenses therefor, including the compensation of engineers. attorneys, and clerical assistants, to conserve water of the subdistrict, are hereby declared to be a matter of general benefit to the public welfare and such that taxes for such purposes may be properly imposed in the opinion of the general assembly. (5) The limitations in and other provisions of part 3 of anicle 1 of title 29, C.R.S .. and any other law which by its terms is applicable to the subdistrict and which imposes tax limitations or expenditure limitations thereon, other than the tax limitation in subsection (1) of this section, shall not apply to the subdist1ict until the fifth year after the date on which the subdistrict is created or May 31, 1979. whichever date is later. Source: L. 79: Entire section added, p. 1358, § 6, effective May 31. Cross references: For the definition of "property", as used in this section, see§ 37-46-102 (4). ANNOTATION C.J.S. See 94 C.J.S., Waters,§§ 813-818. 37-46-126.4. Levies to cover subdistrict deficiencies. The board of directors, in certifying annual levies for the subdistrict, shall take into account the maturing indebtedness for the ensuing year as provided in its contracts, maturing bonds and interest on bonds, and deficiencies and defaults of prior years and shall make ample provision for the payment thereof. In case the moneys produced from such levies, together with other revenues of the subdistrict, are not sufficient to pay punctually the annual installments of its contracts or bonds and interest thereon and to pay defaults and deficiencies, the board shall make such additional levies of taxes as may be necessary for such purposes, and such taxes shall be made and shall continue to be levied until the indebtedness of the subdistrict is fully paid. Source: L. 79: Entire section added, p. 1359, § 6, effective May 31. Cross references: For the definition of "property''. as used in this section, see § 37-46-102 (4). ANNOTATION C.J.S. See 94 C.J.S .. Waters,§§ 813-818. 37-46-126.5. County to levy and collect. (1) The body having authority to levy taxes within each county in which the district is situate wholly or in part if it levies taxes to pay expenses or to retire and pay indebtedness incurred by contract other than the issuance of bonds. or both to pay such expenses and to retire and pay such indebtedness, and each county in which a subdistrict is situate wholly or in part if it levies taxes pursuant to sections 37-46-126 (1) and 37-46-126.2 to 37-46-126.4. shall levy the taxes provided in this article. (2) All officials charged with the duty of collecting taxes shall collect such taxes levied by the district or subdistrict as the case may be, at the time and in the fonn and manner and Water and lJTigation Title 37 -page 314 with the interest and penallies as other tax.es are collected and. when collected, shall pay the same to the clistrict or subdistrict levying the tax. (3) The payment of such collection shall be made on or before the tenth day of the next succeeding calendar month to the treasurer of the district or subdistrict levying the taxes and paid into the depository thereof to the credit of such district or subdistrict. (4) All taxes levied under this article. together with interest thereon and penalties for default in payment thereof, and all costs of collecting the same shall constitute, until paid, a perpetuai lien on and against the property taxed, and such lien shaH be on a parity with the tax lien of other general ad valorern taxes. Source: L. 79: Entire section added. p. 1359. § 6, effective May 31. Cross references: For the definition of "propeny". as used in this section. see§ 37-46-102 (4). ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 813-818, 826-834. 37-46-126.6. Delinquent taxes. (1) If the taxes levied are not paid, then delinquent real property shall be sold at the regular tax sale for the payment of such taxes. interest, and penaities in the manner provided by statute 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 or the subdistrict levying the taxes in the same manner as provided by law for accounting for school, town, and city taxes. (2) Delinquent personai property shall be distrained and sold as provided by law. (3) Nothing in this article. neither the tax limitations in sections 37-46-109 (1) and 37-46-126.3 ( 1) nor otherwise, shall be constrned as preventing the collection in full of the proceeds of al I levies of taxes by the district or subdistrict levying the taxes authorized by this article. including, without limitation, any delinquencies, interest, penalties. and costs. Source: L. 79: Entire section added, p. 1360, § 6, effective May 31. Cross references: For the definition of "prope11y'', as used in this section, see§ 37-46-102 (4). ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 813-818, 826-834. 37-46-127. Maintenance assessment. ( l) To maintain, operate, and preserve ditches, canals, reservoirs. or other improvements made pursuant to this article. and to strengthen. repair. and restore the same, when needed. and, for the purpose of defraying any incidental expenses of the subdistrict, upon completion of a works provided for in the plan for any such subdistrict, on or before the first Monday in November of each year thereafter, the board of directors may certify to the board of county commissioners of the county in which said subdist1ict or any pa11 thereof is located an assessment on each tract of land and upon public corporations subject to assessment under this article, for the purpose of raising funds to be used for the maintenance of said improvements. If an appraisal of benefits has been made against the lands in said districL assessments shall be apportioned by the county treasurer and by the board of directors of said distJict against the property therein upon the basi~ of the appraisal of benefits 01iginali y made. If no such appraisal has been made and the form of organization and financing is such that revenue warrants or general obligations of the subdistrict have been issued, then said assessment shall be made on the basis of the valumis::-: for :::ssessmenc of the property subject to assessment in said subdist1ict. Title 37 -page 315 Colorado River Conservation District 37-46-J 28 (2) Such assessment shall not exceed five milis on each dollar of tbe valuatiOJ' for assessment of the prope11y in said subdistrict in any one year, unless the court shall by order authorize an assessment of a larger percentage. The assessment shall be levied by resoiution of the board of directors and shall be enrolled in a well-bound record to be known as the maintenance fund assessment record and shall be substantially the form provided for simiiar records of conservancy districts under the laws of the state of Colorado, particuiariy as provided by section 37-5-107. Assessments so certified shall be levied by the board of county commissioners of the counties in which said subdistrict is situate. on the propeny of said district in their respective counties. to be collected by the treasurers of the severai counties and delivered to the treasurer of the district in like manner and with like effect as is provided for the collection and return of other assessments under this article. The whole assessment shall be due and payable as and when taxes for county purposes levied in the same year are due and payable. The said maintenance assessments shall be in addition to any assessments which have been levied against benefits appraised for and on account of construction. Source: L. 37: p. 1023, § 24. CSA: C. 138. § 199(24). CRS 53: § 149-8-24. C.R.S. 1963: § 150-7-24. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, Irrigation. §§ 71, 72. C.J.S. See 94 C.J .S., Waters. §§ 543-581, 819-822. 37-46-128. Annual levy limit. (1) The district has no power of taxation or right to levy or assess taxes, except as provided in sections 37-46-109 to 37-46-109.4. 37-46-126.5, and 37-46-126.6. The district has no power to contract or incur any obiigation or indebt- edness except as expressly provided in this ai1icle, and then any obligation or indebtedness so contracted or incurred is to be payable out of the funds derived through the limited tax provided in section 37-46-109 (1) and the unlimited tax provided in section 37-46-109.:5 (2) to retire and pay indebtedness incurred by the dist1ict by contract other than the issuance of bonds and not otherwise; except that the district for and in behalf of any subdistricr or improvement district created under this article has the right to issue obligations as expressly authorized in this article and not othe1wise. (2) All assessments under this article shall be collected by the county treasurer of the respective counties in which said real estate is situated at the same time and in t'.1e same manner as is provided by law for the collection of taxes for county anci state purposes. and if said assessments are not paid, then the real estate shall be sold at the regular [~:x sa1e fo;· the payment of said assessments, interest. and penalties in the manner provided by the statutes of the state of Colorado for selling property for the payment of general taxes. If there are no bids at said tax sale for the property so offered, said property siiall be struck off to the district, and the tax certificates shall be issued in the name of the district and the board of directors bas the same power with reference to tbe sale of S<tid tax certificates <:E is vested in county commissioners and county treasurers when property is struck off to the counties. (3) Tax deeds may be issued, based upon said certificates of sale in the same m<:n~1e:· that deeds are executed on tax sales on general state and county taxes. Source: L. 37: p. 1026. § 27. CSA: C. 138. § i99(27). CRS .::;.); ~ 149-g-27. C.R.S. 1963: § 150-7-27. L. 69: p. 1235, 2 2. L. 79~ (1) amended p. 136C, ~ 7. efiect'cv:: May 31. Cross references: For collection of taxes and tax sales, see articles 10 and l l of title ?S. 37-46-129 Water and Irrigation Title 37 -page 316 ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d. lnigation. § 71. C.J.S. See 94 C.J .S., Waters. §§ 543-58 L 806-818. 37-46-129. Investment of surplus funds. The board of directors of said district may invest any surplus funds of the district. including any funds in the construction fund assessment not needed for immediate use to pay the cost of construction of any project in any one of the subdistricts or to pay bonds or coupons or to meet current expenses. in securities meeting the investment reguirements established in part 6 of article 75 of title 24. C.R.S. The board of directors of said district may require any funds of the district. or of any subdistrict. to be deposited with such depository or bank as may be designated by the board and shall likewise have autho1ity to require the treasurer of the district to take from such depository a bond with corporate surety to insure payment of any such deposit or to require such depository to pledge securities of the same kind as those in which the district is authorized to invest its funds to insure payment of any such deposit. Source: L. 37: p. 1027. § 28. CSA: C. 138. § 199(28). CRS 53: § 149-8-28. C.R.S. 1963: § 150-7-28. L. 89: Entire section amended, p. 1123, § 50, effective July 1. ANNOTATION C.J.S. See 94 C.J.S., Waters,§§ 786-793 37-46-130. Sinking fund. Such district may provide for a sinking fund for the ultimate payment of any of the obligations of any subdistrict. Said sinking fund may be invested as provided in section 37-46-129. Source: L. 37: p. 1028, § 29. CSA: C. 138. § 199(29). CRS 53: § 149-8-29. C.R.S. 1963: § 150-7-29. 37-46-131. Court confirmation. ( 1 J (a) In its discretion, the board of directors, on the behalf and in the name of the district or any subdistrict which is a party in interest, may file a petition at any time in the district coun in and for the county in which the distiict's principal office is maintained or, if both the district and one or more subdistricts are parties to the petition, in the district court in and for the county in which any such subdistrict was organized, praying for a judicial examination and dete1mination of any power conferred or of any taxes or rates or other charges levied. or of any act. proceeding, or contract of the district. the subdistrict, or the subdistiicts. or any combination thereof, as the case may be. whether or not said contract has been executed, including, without limitation, proposed contracts for the acquisition, improvement, equipment, maintenance, operation, or disposal of any properties or facilities for the benefit of the district. the subdist1ict, or the subdistiicts. as the case may be. and so including a proposed issue of revenue wan-ants. revenue bonds. special assessment bonds, or general obligation bonds, issued or to be issued on behalf of any such entity. Such petition shall set forth the facts whereon the validity of such power, tax. assessment, charge, act. proceeding. or contract is founded and shall be verified by the president of the board of directors. (b) Such action shall be in the nature of a proceeding in rem, and jurisdiction of all parties interested may be had by publication. mail. and posting, as provided in this article. Notice of the filing of the petition shall be given by the clerk of the courL under the seal thereof. stating in brief outline the contents of the petition and also stating where a full copy of any contract therein mentioned may be examined. The notice sha11 be served by publication at least once a week for live consecutive weeks in a daily or a weekly newspaper of general circulation published in the county in which the principal office of the dist1ict is located, by mailing copies of the notice by registered or certified mail, return receipt requested. to the boards of county commissioners of the several counties in which the Title 37 -page 317 Colorado River Conservation District 37-46-133 parties in interest in such action are located wholly or in part. and by posting the same in the office of the district at least thirty days prior to the date fixed in said notice for the hearing on said petition. Jurisdiction shall be complete after such publication, mailing. and posting. (c) Any owner of property in the district or any subdistrict filing the petition or any person interested in the contract 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 heaiing or within such further time as may be al lowed by the court: and the petition shall be taken as confessed by all persons who fail to appear. (2) The petition and notice shall be sufficient to give the court jurisdiction: and, upon hearing. the court shall examine into and determine all matters and things affecting the question submitted and shall make such findings with reference thereto and render such judgment and decree thereon as the case warrants. Costs may be divided or apportioned among any contesting parties in the discretion of the t1ial court. Review of the judgment of the court may be had as in other similar cases: except that such review must be applied for within thiny days after the time of the rendition of such judgment or within such additional time as may be allowed by the court within thirty days. The Colorado rules of civil procedure shall govern in matters of pleadings and practice where not otherwise specified in this article. The court shall disregard any error, irregularity, or omission which does not affect the substantial rights of the parties. Source: L. 37: p. 1028, § 31. CSA: C. 138, § 199(31). CRS 53: § 149-8-31. C.R.S. 1963: § 150-7-31. L. 77: Entire section R&RE, p. 1640, § 4. effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters,§§ 786-793. 37-46-132. Allocation of water or service. In order to enable a subdistrict organized under the provisions of this article to furnish water to lands which have not been irTigated and had. up to the time of the constrnction of the works to be constructed by said subdistrict, no water supply and, at the same time. to enable other areas within the same subdistrict to obtain a supplemental supply of water or to enable said subdistrict to furnish a complete service to ce11ain lands, certain areas. certain persons. or municipalities within the district and to supplement an existing supply or service to other persons, localities, and munici- palities, prior to the time that an appraisement of benefits is made in any such subdistrict, the board of directors may make a resolution setting forth the amount of water or the kind of service to be allocated to specified classes or areas. and such limitation shall be taken into consideration by the appraisers in the appraisal of benefits with respect to lands affected by any such limitation. Like conditions and restrictions may be provided for payment by certain lands or persons of revenue warrants which pledge the income from the works of said subdistricts, but no such limitation shall govern the payment of any general obligations of any such subdistrict. Source: L. 37: p. 1029, § 32. CSA: C. 138. * 199(32). CRS 53: § 149-8-32. C.R.S. 1963: § 150-7-32. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2.d. lnigation. * 64. C.J.S. Sc<: l)..J. C.J.S .. Waters. ~* 760-76~. 37-46-133. Election to authorize dent. Except fm the issuance of refunding bon,js or other funding or refunding of obligations which does not increase Lile net indebtedness of the district or any subdist1ict so proceedir.g. no indebtedness shc.Il be incurred by the issuance of general obligation bonds of any subdistrict or by any contract by which the 37-46-134 Water and Irrigation Title :n -page 318 district or a subdistrict agrees to repay as general obligations or other obligations cunsti- tuting a "general obligation debt by loan in any form ... as such term is used in section 6 of article Xl of the state constitution. of the district or subdistrict. respectively. to the federal government. the state, any political subdivision. or any person over a tenn not limited to the then current fiscal year any project costs advanced thereby under any contract for the acquisition or improvemem of the facilities or any interest therein. or for any project. advanced by the issuance of securities of such a political subdivision or person to defray any cost of the project or of the facilities or an interest therein thereby acquired and becoming a part of the facilities of the district or subdistrict. or otherwise advanced. unless a proposal of issuing the subdistrict's general obligation bonds or of incrnTing an indebtedness by the district or subdistrict by making such a contract is submitted to the electors of the district or subdistrict. as the case may be. and is approved by a majority of such electors voting on the proposal at an election held for that purpose in accordance with this article and with all Jaws amendatory thereof and supplemental thereto. Source: L. 77: Entire section added. p. 1642. * 5. effective June 9. L. 81: Entire section amended, p. 1764. § 4. effective June 19. ANNOTATION C.J.S. See 94 C.J.S .. Waters. §§ 543-581. 37-46-134. Definition of elector. ( 1 J An "elector·· ... elector of the district". or "elector of the subdist1ict"'. or .any term of sirni lar import. means a person: (a) Who. at the time of the election, is qualified to vote in general elections in this state: and (b) Who is a resident of the district or subdistrict proposing to incur an indebtedness at the time of the election. (2) Registration pursuant to the Jaws concerning general elections or any other laws shall not be required. Source: L. 77: Entire section added. p. 1642. § 5. effective June 9. 37-46-135. Elections. Whenever in this article an election of the electors of the district or a subdistrict therein is permitted or required. the election may be held separately at a special election or may be held concurrently with any primary or general election held under the laws of this state: but no election shall be held at the same time as any regular election of any city, town. or school district if any part of the area thereof is iocated within the boundaries of the district. Source: L 77: Entire section added. p. 1642. § 5. effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters. s~ 543-581. 771-774. 781-785. 37-46-136. Election resolution. (]) The board of directors shall call any election by resolution adopted at least thirty days prior to the election. (2) Such resolution shali recite the objects and pmposes o( the election. the date upon which such election shall be held. and the form of the baliot. (3) In the case of any election not to be he id concurrent] y witi1 a primary or general election, the board of directors shail provide in tne eiection resolution or by supplemental resolution for the appointment of sufficient judges and clerks of the election. who shall be electors of the district or the subdistrict holding the debt election, and in such event shall set their compensation, The eiection resoiution or a supplemental resolution shall also then Title 37 -page 319 Colorado River Conservation District 37-46-137 designate the precincts and polling places. but a supplemental resolution may modify such a description of precincts and polling 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 political subdivision in which the district or subdistrict or any part thereof is situated, or by reference to any previous order or other instrument of such a governing body, or by detailed desc1iption 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 of directors in a sufficient number which it deems expedient for the convenience of the electors 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 this state, the judges of election for such primary or general election shall be designated as the judges of the election for the election held pursuant to this article, and they shall receive such additional compensation, if any, as the board of directors shall set by the election resolution. Source: L. 77: Entire section added, p. 1642, § 5. effective June 9. ANNOTATION C.J.S. See 94 CJ.S., Waters, §§ 543-581, 771-774, 781-785. 37-46-137. Conduct of election. (I) Except as otherwise provided in this article, an election held pursuant to this article shall be opened and conducted in the manner then provided by the laws of this state for the conduct of general elections. (2) If an election is held concurrently with a primary or general election. the county clerk and recorder of each county in which the district or subdist1ict holding the debt election is located shall perform for the district or subdist1ict election the acts provided by law to be performed by 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 district with the assistance of the county clerk and recorders. The board of directors and county clerk and recorders are authorized to agree among themselves upon the division of such acts and the determination of persons to perform them. (3) An elector of the district may vote in any election by absent voter's ballot under such terms and conditions, and in substantially the same manner insofar as is practicable. as prescribed in article 8 of title 1, C.RS., of the "Uniform Election Code of 1992" for general elections, except as specifically modified in this article. (4) All acts required or permitted therein to be performed by a county clerk and recorder shall be performed by each one respectively in the event of a primary or general election and by the secretary or assistant secretary of the board of directors in the event of any other election, unless the services of the county clerk and recorder in each such coumy are contracted for, but no oath shall be administered by the secretary or assistant secretary unless he is also an officer authorized to administer oaths. (5) Application may be made for an absent voter's ballot not more than twenty days and not less than four days before the election. (6) No consideration shall be given nor distinction made with reference to any person's affiliation or the lack thereof. (7) The return envelope for the absent voter's ballot shall have printed on its face an affidavit substantially in the following form: "State of Colorado, County of ........ ., L ............ , 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 Colorado River Water Conservation District or Water Users· Association No ..... or Special Improvement District No ..... in the Colorado River Water Conservation District, as may be appropriate, at the time of this election. 37-46-138 Water and Irrigation Title 37 -page 320 Signature of voter Subsc1ibed and sworn to before me this ... day of.. ........... 20 .. .. (SEAL) {Signature of notary public. county clerk and recorder, or other officer authorized to administer oaths) Title of office" {8) In any such election at which voting machines are used, the board of directors shall provide paper ballots for absent voters containing the same question as is to be submitted to the electors by the voting machines, subject to the provisions of subsection (9) of this section. (9) The district or subdistrict 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 qualified to vote at the election and will be an absent voter, pursuant to section 1-8-209, C.R.S., of the "Unifom1 Election Code of 1992" and all laws supplemental thereto. Source: L. 77: Entire section added, p. 1643, § 5. effective June 9. L. 80: (3) and (9) amended, p. 416. § 33. effective January 1, 1981. L. 92: (3) and (9) amended, p. 924, § 195. effective January 1, 1993. L. 96: (9) amended, p. 1774, § 81, effective July 1. L. 99: (6) amended, p. 164, § 26. effective August 4. Cross references: For the "Unifonn Election Code of 1992", see articles J to 13 of title 1. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 543-581. 771-774. 781-785. 37-46-138. Notice of election. Notice of such election shall be given by publication by three consecutive weekly insertions in at least one newspaper of general circulation in the district or subdistrict holding the election, as determined by the board of directors. No other notice of an election 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 determine to be necessary or convenient for correcting or otherwise modifying the original notice of election or for any other purpose. Source: L. 77: Entire section added, p. 1644, § 5, effective June 9. ANNOTATION C.J.S. See 94 C.J.S .. Waters, §§ 543-581, 771-774. 781-785. 37-46-139. Polling places. (1) All polling places designated by resolution for an election shall be within the territorial limits of the district or subdistrict holding the election: but, if an election of the dist1ict or subdistrict is held concurrently with a primary or general election. the polling place for each precinct located wholly or partially within the district or subdistrict shall be the polling place for such precinct for the district or subdistrict election. Title 37 -page 321 Colorado River Conservation District 37-46-142 regardless of whether or not such polling place is within the district or subdistrict. (2) If the election of the district or subdistrict is not held concun-ently with a primary or general election held under the laws of this state, there shall be one polling place in each of the election precincts wh1ch are used in the primary and general elections or in each of the consolidated precincts fixed by the board of directors. as the case may be. Source: L. 77: Entire section added, p. 1644, § 5. effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 543-581, 771-774, 781-785. 37-46-140. Election supplies. (l) The secretary of the district shall provide at each polling place ballots or ballot labels. or both. ballot boxes or voting machines, or both, instructions, electors' affidavits, and other materials and supplies required for an election by any Jaw; 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 affidavit by any person desiring to vote at any election of the district or subdistrict to evidence his qualifications to vote, which affidavit shall be prima facie evidence of the facts stated therein. Source: L. 77: Entire section added, p. 1645, § 5, effective June 9. ANNOTATION C.J.S. Sec 94 C.J.S., Waters, §§ 771-774, 781-785. 37-46-141. Election returns. (1) In the case of any election held under this article which is not held concun-ently with a primary or general election, the election officials shall make their returns directly to the secretary of the district for the board of directors. (2) In the case of any election held under this article which is consolidated with any primary or general election, the returns thereof shall be made and canvassed at the time and in the manner provided by law for the canvass of the returns of such primary or general election. Such canvassing body shall certify promptly and shall transmit to the secretary of the district for the board of directors a statement of the result of the vote upon any proposition submitted under this article. (3) Upon receipt by the board of directors of election returns from election officials or upon receipt of such certificate from each such canvassing body, the board shall tabulate and declare 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 of directors shall cause the results of the election to be published at least one time in at least one newspaper having general circulation in the district. Source: L. 77: Entire section added, p. 1645, § 5, effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 771-774, 781-785. 37-46-142. Debt election contests. (I) Any election declared to have can-ied on an authmization to issue any bonds, by approval of the bond question, or otherwise to incur an indebtedness by approval of the question thereon may be contested by any elector of the district or subdistrict holding the debt election by suit against it as contestee and defendant 37-46-143 Water and Irrigation Title 37 -page 322 in any district court of any county in which the district or subdistrict holding the election is whoJly or partially situate: (a) When illegal votes have been received or legal votes rejected at the polls in sufficient numbers to change the results: (b) For any enor or mistake on the pa11 of any of the judges of election. any county clerk and recorder. the secretary of the district or their respective officers and employees 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 any of the judges of election, any county clerk and recorder, the secretary of the district, or their respective officers and employees. if the malconduct. fraud. or coITuption is sufficient to change the result; (d) When the bonds or other indebtedness is auth01ized to be issued for an invalid purpose; or (e) For any other cause which shows that the bonds or other indebtedness is not validly autho1ized at the election. (2) The style and form of process, the manner of service of process and papers. 1he 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 contest, the contestor shall file with the clerk of the court a bond, with sureties. to be approved by the judge thereof, running to the dist1ict or subdistrict holding the debt election as contestee and conditioned to pay all costs in case of failure of the contestor to maintain his contest. (4) When the validity of any bond or other indebtedness election is contested, the plaintiff or plaintiffs, within thirty days after the returns of the election are canvassed and the results thereof declared and published, or last published, as the case may be, shall file with the clerk of the court a verified written complaint setting forth specifically: (a) The name of the party contesting the election and a statement that the plaintiff or each plaintiff is an dector of the djstrict or subdistrict holding the election; (b) The proposition or propositions voted on at the election which are contested, the name of the district or the subdistrict as defendant and contestee, and the date 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 subsection (4) of this section. (6) Except as otherwise provided in thi8 article, the election Jaws pertaining to contested election cases of municipal offices as provided in part 13 of article 10 of title 31, C.R.S., of the "Colorado Municipal Election Code of 1965". as from time to time amended, shall be applicable to bond or other indebtedness elections; but any such contest shall be regarded as one contesting the outcome of the vote on the proposition auth01izing the issuance of secmities or otherwise incurring the indebtedness. rather than election to office, and the district or subdistrict as contestee, rather than a person declared to have been elected to office, shall be regarded as the defendant. (7) If the board of directors declares the proposition auth01izing the issuance of bonds or otherwise incuITing the indebtedness to have carried and no contest is duly filed or if such a contest is filed after it is favorably te1minated, the board may issue the bonds or otherwise incur the indebtedness authorized at the election at one time or from time to time. Source: L. 77: Entire section added. p. 1645, § 5. effective June 9. ANNOTATION C.J.S. See 94 C.J.S .. Waters, §§ 771-774. 781-785. 37-46-143. Covenants and other provisions in bonds. (1) Any resolution providing for the issuance of any bonds under this article payable from pledged revenues and any indenture or other instrument or proceedings pe11aining thereto may at the discretion of the Title 37 -page 323 Colorado River Conservation District 37-46-143 board of directors contain covenants or other provisions. notwithstanding that such cov- enants and provisions may limit the exercise of powers confeITed by this article, in order to secure the payment of such bonds, in agreement with the holders of such bonds, including, without limitation. covenants or other provisions as to any one or more of the following: (a) The pledged revenues and. in the case of general obligations, the taxes to be fixed, charged. or levied and the collection, use, and disposition thereof, including. without limitation. the foreclosure of liens for delinquencies. the discontinuance of services. facilities. or use of any properties or facilities. prohibition against free service, the collection of penalties and collection costs. and the use and disposition of any moneys of the district or subdistrict issuing bonds. de1ived or to be derived. from any source designated: (b) The acquisition. improvement, or equipment of all or any part of properties pertaining to any project or any facilities: (c) The creation and maintenance of reserves or sinking funds to secure the payment of the principal of and the interest on any bonds or of the operation and maintenance expenses of any facilities. 0r part thereof, and the source, custody, security, regulation, use, and disposition of any such reserves or funds, including, without limitation, the powers and duties of any trustee with regard thereto: (cl) Limitations on the powers of the district or subdistrict to acquire or operate, or permit the acquisition or operation of, any structures, facilities, or properties which may compete or tend to compete with any facilities; ( e) The vesting in a corporate or other trustee or trustees of such property, 1ights, powers, and duties in trust as the board of directors may determine, which may include any or all of the rights. powers, and duties of the trustee appointed by the holders of bonds, and limiting or abrogating the rights of such holders to appoint a trustee, or limiting the rights, duties, and powers of such trustee; (f) Events of default, rights, and liabilities arising therefrom and the rights, liabilities, powers, and duties arising upon the breach by the district or subdistrict of any covenants, conditions, or obligations; (g) The terms and conditions upon which the holders of the bonds or of a specified portion, percentage, or amount thereof, or any trustee therefor, shall be entitled to the appointment of a receiver, which receiver may enter and take possession of any facilities or service, operate and maintain the same, prescribe fees, rates, and other charges, and collect. receive, and apply all revenues thereafter arising therefrom in the same manner as the district or subdistrict itself might do: (h) A procedure by which the terms of any resolution autho1izing bonds or any other contract with any holders of district or subdistrict bonds, including, without limitation, an indenture of trust or similar instrument, may be amended or abrogated, and as to the proportion. percentage, or amount of bonds the holders of which must consent thereto, and the manner in which such consent may be given; (i) The terms and conditions upon which any or all of the bonds shall become or may be declared due before matmity and as to the terms and conditions upon which such declaration and its consequences may be waived; and (j) All such acts and things as may be necessary or convenient or desirable in order to secure the bonds or, in the discretion of the board of directors, tend to make the bonds more marketable, notwithstanding that such covenant, act, or thing may not be enumerated in this a1ticle, it being the intention of this article to give to the board of directors power to do in the name and on behalf of the district or subdistrict all things in the issuance of district or subdistrict bonds and for their security, except as expressly limited in this article. Source: L. 77: Entire section added, p. 1647, § 5. effective June 9. ANNOTATION CJ.S. See 94 CJ.S., Waters, §§ 543-581. 786-793. 37-46-144 Water and Irrigation Title 37 -page 324 37-46-144. Liens on pledged revenues. (1 l Revenues pledged for the payment of any bonds. as received by or otherwise credited to the dist1ict or subdistrict issuing bonds under this article. shall immediately be subject to the lien of each such pledge without any physical delivery thereof. any filing. or any further act. (2) The lien of each such pledge and the obligation to perform the contractual provisions made in the authorizing resolution or other instrument pertaining thereto shall have p1i01ity over any or all other obi igations or liabilities of the district or subdistrict, except as may be otherwise provided in this article or in the resolution or other instrument, and subject to any prior pledges and liens theretofore created. (3) The lien of each such pledge shall be valid and binding as against all persons having claims of any kind in tort. in contract. or otherwise against the district or subdistrict. iJTespective of whether or not such persons have notice thereof. Source: L. 77: Entire section added, p. 1648, § 5, effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters. §§ 543-581. 786-793. 37-46-145. Rights -powers of holders of bonds -trustees. (1) Subject to any contractual limitations binding upon the holders of any issue or series of bonds of the dist1ict or subdisnict issuing bonds under this article, or the trnstee therefor, including, without limitation, the restriction of the exercise of any remedy to a specified proportion, percentage. or number of such holders. and subject to any prior or superior rights of others, any holder of bonds. or the trustee therefor, shall have the right and power, for the equal benefit and protection of all holders of bonds similarly situated: (a) By mandamus or other suit. action, or proceeding at law or in equity, to enforce his rights against the district subdistrict, or board of directors, or any combination thereof, or any of the officers, agents, and employees of the district or subdistrict to require and compel such district, subdist1ict, or board or any of such officers, agents, or employees to perlorm and carry out their respective duties, obligations, or other commitments under this mticle and their respective covenants and agreements with the holder of any bond; (b) By action or suit in equity, to require the district or subdistrict to account as if it were the trustee of an express trust: (c) By action or suit in equity, to have a receiver appointed, which receiver may enter and take possession of any facilities and any pledged revenues for the payment of the bonds, prescribe sufficient fees, rates, and other charges derived from the facilities, and collect, receive, and apply all pledged revenues or other moneys pledged for the payment of the bonds in the same manner as the district or subdistrict itself might do in accordance with the obligations of the district or subdistrict: 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 bonds and to bring suit thereupon. Source: L. 77: Entire section added, p. 1648, § 5, effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 543-581, 786-793. 37-46-146. Investments and securities. (1) The board of directors of the district or subdist1ict. respectively, issuing bonds under this article. subject to any contractual limita- tions from time to time imposed upon the district or subdistrict by any resolution authorizing the issuance of the outstanding bonds of the dist1ict or subdistrict or by any trust indenture or other proceedings pertaining thereto, may cause to be invested and reinvested Title 37 -page 325 Colorado River Conservation Distnct 37-46-14 7 any proceeds of taxes. any pledged revenues. and any proceeds of bonds issued under this a11icle in securities meeting the investment requirements cstabiished in pan 6 of article 75 of title 24. C.R.S., and may cause such proceeds of taxes. n~venues. district or subdistrict bonds, and secu1ities to be deposited in any trust bank or trust banks within or without or both within and without this state and secured in such manner and subject to such terms and conditions as the board of directors may determine. with or \Vithout the paymem of any interest on such deposit. including. without limitation. time deposits eYidenced by certifi- cates of deposit. (2) Any such securities and any certificates of deposit thus held may. from time to time. be sold, and the proceeds may be so rei1wested or redeposited as provided in this section. (3) Sales and redemptions of any such secu1ities anci certificates of deposit thus held shall, from time to time. be made in season. so that the proceeds may be applied to the purposes for which the money with which such securities and ce11ificates of deposit were originally acquired was placed in the district or subdist1ict treasury. (4) Any gain from any such investments or reinvestments may be credited to any fund or account pledged for the payment of any district or subdistrict bonds issued under this article, including any reserve therefor. or any other fund or account pertaining to a project or any facilities, or the district's or subdistrict's general fund. subject to any contractual limitations in any proceedings pertaining to outstanding district or subdist1ict bonds. (5) It is lawful for any commercial bank incorporated under the laws of this state which may act as depository of the proceeds of any bonds issued under this article, any securities owned by the dist1ict or subdistrict, any proceeds of taxes. any pledged revenues, and any moneys otherwise pertaining to a project or any facilities. or any combination thereof, to furnish such indemnifying bonds and to pledge such securities as may be required by the board of directors. Source: L. 77: Entire section added. p. 1649. § 5. effective June 9. L. 89: (1). (2). (3), and (5) amended, p. 1123, § 51. effective July J. ANNOTATION C.J.S. See 94 C.J.S .. Waters. §§ 543-581. 786-793. 37-46-147. Rents and charges.(] J (a) The district. any subdistrict. and any political subdivision of the state of Colorado contracting with the district or subdistrict and fixing and collecting annual rentals. service charges. and other charges. or any combination thereof, are, in supplementation of the powers provided in this article, authorized to fix and collect rents. rates, fees, tolls, and other charges. in this a11icle sometimes refeJTed to as "service charges", for direct or indirect connection with. or the use or services of, a water system, electrical system, joint system. or other facilities. mcluding, without limitation. connection charges, minimum charges. and charges for the availability of service. (b) Such service charges may be charged to and collecced in advance or otherwise by a district from any political subdivision or person and by any political subdivision from any person contracting for such connection or use or services or from the owner or occupant. or any combination thereof, of any real prope11y which directly or indirectly is or has been or will be connected with any such facilities. and the political subdivision or owner or occupant of any such real property shail be liable for and shall pay such service charges to the district, subdistrict, or political subdivision fixing the service charges at the time when and place where such service charges are due and payable. (c) Such service charges of the district or subdist1ict may accrue from any date on which the board of directors reasonably estimates. in any resolmion authorizing the issuance of any securities or other instrument pertaining thereto or in any contract with any political subdivision or person, that any facilities or project being acquired or improved and equipped will be available for service or use. (2) (a) Such rents. rates, fees, tolls. and other charges. being in the nature of use or service charges, shall, as nearly as the district. subdistrict. or political subdivision fixing the 37-46-J 48 \Nater and lrrigation Title 37 -page 326 service charges shall deem practicable and equitable. be reasonable. and such service charges shall be unifo1111 throughout the district. subdistrict, or political subdivision for the same type. class. and amount of use or service of the facilities and may be based or computed either: On measurements of water. flow devices. or electric meters. duly provided and maintained by the district. subdistrict. or political subdivision. or any user as approved by the district. subdistrict or political subdivision fixing such charges: or on the consump- tion of water or electricity in or on or in connection with the political subdivision, or any person, or real property. making due allowance for commercial use of water and infiltration of ground water and discharge of surface runoff to the facilities. or on the number and kind of water or electric outlets on or in connection with the political subdivision, person, or real property, or on the water or electric fixtures or facilities in or on or in connection with the political subdivision, person, or real property: or on the number of persons residing or working in or on or otherwise connected or identified with the political subdivision, person, or real property, or on the capacity of the improvements in or on or connected with the political subdivision, person. or real propeny: 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 or service of the facilities: or on any combination of any such factors. (b) Reasonable penalties may be fixed for any delinquencies, including, without limitation. interest on delinquent service charges from any date due at a rate of not exceeding one percent per month or fraction thereof, reasonable attorneys' fees, and other costs of collection. (3) The district, subdistrict. or political subdivision fixing the service charges shall prescribe and. from time to time when necessary. revise a schedule of such service charges, which shall comply with the terms of any contract of the district, subdistrict, or political subdivision fixing the service charges. (4) The general assembly has determined and declared that the obligations. arising from time to time, of the district. any subdistrict. any political subdivision, or any person to pay service charges fixed in connection with any facilities shall constitute general obligations of the district. subdistrict. political subdivision. or person charged with their payment; but, as such obligations accrue for current services and benefits from, and the use of, any such facilities. the obligations shall not constitute an indebtedness of the district. any subdistrict, or any political subdivision within the meaning of any constitutional, charter, or statutory limitation or any other provision restricting the incurrence of any debt. (5) No board, agency. bureau. commission. or official, other than the board of directors of the district or subdistrict. respectively, or the governing body of the political subdivision fixing the service charges, has autho1ity to fix, prescribe. levy, modify, supervise, or regulate the making of service charges or to prescribe. supervise. or regulate the pe1forrnance of services pertaining to the facilities thereof, as authorized by this article; but this subsection (5) shall not be construed to be a limitation on the contracting powers of the board of directors of the dist1ict or any subdistrict. respectively, or the governing body of any such political subdivision. Source: L. 77: Entire section added, p. 1650, § 5. effective June 9. ANNOTATION C.J.S. Sec 94 C.J .S .. Waters, §§ 543-58 l. 786-793. 37-46-148. Miscellaneous powers. (1) The district and any subdistrict thereof shall also have the following powers: (a) To pay or otherwise defray and to contract to pay or defray. for any term not exceeding seventy-five 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 government. any subdistrict or the district respectively. any political subdivision, or any Title 37 -page 327 Colorado River Conservation District person which were incmTed in connection with ~my property thereof subsequently acquired by the district or any subdistrict and relating to eithe1-'s facilities: (b) To establish. operate. and maintain facilities within the district or any subdistrict or elsewhere, across or along any public street. highway. bridge. or viaduct or any other public right-of-way or in. upon. under. or over any vacant public lands. which public lands now are. or may become. the property of a political subdivision of this stale. without first obtaining a franchise from the political subdivision having jurisdiction over the same: but the district or subdistrict shall cooperate with any political subdivision having such jurisdiction, shall promptly restore any such public street highway, bridge. or viaduct or any such other public right-of-way to its former state of usefulness as nearly as may be and shall not use the same in such manner as permanently to impair completely or materially the usefulness thereof: ( c) To adopt. amend, repeal, enforce. and otherwise administer such reasonable reso- lutions, rules, regulations, and orders as the district or subdistrict shall deem necessary or convenient for the operation. maintenance. management. government. and use of the facilities of the district or subdistrict. as the case mav be. and any other facilities under its control. whether situated within or without or both v:;ithin and without the teffitorial limits of the district or subdistrict: and (d) (I) To adopt, amend. repeal. enforce. and otherwise administer under the police power such reasonable resolutions. rules. regulations. and orders pertaining to water or electric services perfmmed by any person through the district's or subdistrict's facilities or pertaining to facilities of the district or subdistrict, any political subdivision. or any person. or any combination thereof. reasonably affecting the activities of the district or subdistrict. directly or indirectly, as the board of directors 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 of directors on the behalf and in the name of the district or subdistrict. respectively. after a public hearing thereon is held by the board of directors. in connection with which any political subdivision owning or authorizing any facilities comparable to facilities of the district or subdistrict. as tbe case may be. whether therein or thereout. or both therein and thereom, and other persons of interest have an opportunity to be heard, after mailed notice of the hearing is given at least thirty days prior to the hearing by the secretary to each such political subdivision wholly or partly within the district or subdistrict proceeding under this article, and after notice of such hearing is given by publication at least once a week for three consecutive weeks in at least one newspaper of general circulation in the district or such subdistrict by the secretary to persons of interest. both known and unknown, the first publication to be made at least thirty days p1ior to the hearing. Source: L. 77: Entire section added. p. 1651. § 5. effective June 9. ANNOTATION C.J.S. See 94 C.J .S .. Waters. §§ 543-581. 786-793. 37-46-149. Cooperative powers. ( 1) The district and any subdistrict have the power to utilize and may utilize private industry. by contract. to carry out the design, construction. operation, management, manufacturing. marketing. planning. and research and develop- ment functions of the district or any subdistrict proceeding under this a11icle. unless the district or subdistrict determines that it is in the public interest to adopt another course of action. The district or subdistrict. or both. may enter into long-term contracts with private persons, not exceeding a term of seventy-five years. without an election. for the perfor- mance of any such functions of the district or subdistrict. which. in the opinion of the distiict or subdistrict. can desirably and conveniently be carried out by a private person under contract; but any such contract shall contain such te1ms and conditions as shall enable the district or subdistrict to retain reasonable supervision and control of such functions to be caITied out or performed by such private persons pursuant to such contract. 37-46-149 Water and irrigation Title 37 page 328 (2) Subject to the provisions of section 37-46-i :r~. the dist1·ict and any subdistrict have the following powers: (a) To accept contributions. grants. or ioans from the state and the federal government for the purpose of financing the planning. acquisition. improvement. equipment. mainte- nance. and operation of any enterprise in which the district or subdistrict. or both. are authorized to engage. and to enter into contracts and cooperate with. and accept cooperation from. the federal government. the state. the subdistrict or the district. respectively. any political subdivision. any private firm. and any other person. or any combination thereof. in the planning. acquisition. improvement. equipment. maintenance. and operation and in financing the planning. ilcquic,ition. improvement. ec.i uiprnent. maintenance. and operation of any such enterprise in accordance with any legisiation which the general assembly. congress. the governing body of any political subdivision. the hoard of directors or other governing body of any private firm. any other person. or any combination thereof may have adopted prior to the adoption of this <1rticle or may thereafter adopt. under which aid. assistance. and cooperation may be furnished by such cooperating entity or entities or other persons in the planning. acquisition. improvement. equipment. maintenance. and operation or in financing the planning. acquisition. improvement. equipment. maintenance. and operation of any such ente1vrise, including. \vithout limitation. costs of engineering. architectural. and economic investigations and studies. surveys. designs. plans, working drawings. specifications. procedures. and other action preliminary to the acquisition. improvement, or equipment of any facilities. or any pan thereof. and to do any and all things necessary in order to avail itself of such aid. assistance. and cooperation under any state, federal, or other legislation: (b) To enter inro, without any election. joirn operating or service contracts and agreements: acquisition. improvement. equipment. or disposal contracts: contracts for the purchase. sale. rental. lease. as lessor or iessee. or exchange of water or the purchase. sale. or exchange of water rights or eiectricity I or any combination thereof) but not to acquire any electricity for sale by the district or any subdistrict as a public utility either to the public or to any other user (other than any sale to any subdistrict or the district. respectively. or to any water conservancy district located wholly or in part within the Colorado river water conservation clist1ict and other than any sale of electricity by the district or any subdistrict thereof at wholesale to any person or governmental entity): or other arrangements, for any tenn not exceeding seventy-five years. with the federal government, the state. the subdistrict or the district. respectively, any politicai subdivision. any private firm. or any other person. or any combination thereof. concerning the facilities and ar.y project or property pertaining thereto. whether acquired or undertaken by the district. by the subdistrict. by the federal government. by any political subdivision of this state or any other state. or by any person. and to accept contributions. grants. or Joans from the cooperating entity or entities or other persons in connection therewith: (c) To enter into and perform without any election. when detennined by the board of directors to be in the public interest. contracts and agreements. for any term not exceeding seventy-five years. with the federal government. the subdistrict or the district. respectively, any political subdivision. or any person. or any combination thereof for the provision and operation by the subdistrict or the district. respectively. of any facilities pertaining to such facilities of the district or subdistrict. ilS the case may be. any part thereof. or any project relating thereto. and the payment periodicaliy thereby to the district or subdistrict of amounts at least sufficient if any. in the determination of the board. to compensate the district or subdistrict for the cost of providing. operating. and maintaining such facilities serving the federal government. the subdistricT or the dis[rict. respectively, any political subdivision. or such other person. or any combination thereof. or otherwise: (cl) To enter into and perform. without any election. contracts and agreements. for any term not exceeding seventy-five years. on a public bid basis. a competitive basis. or a negotiated basis. as the board of directors may determine. with the federal government. the subdistrict or the district. respectiveiy. <~ny political subdivision. any private firm. or any other person. or any combination thereof. for or concerning the planning. construction, lease. other acquisition. improvement. equipment. operation. maintenance. lease. other disposal. and financing. or any other combination thereof. of any property pertaining to the Title 37 -page 329 Colorado River Conservation District 37-46-149 faci Ii ties of the district or subdist1ict or to any project of the district or subdistrict. including. without limitation. any contract or agreement. for any term not exceeding seventy-five years, pertaining to the joint ownership of the facilities as tenants in common thereamong or providing for the exchange of water or electric power for backup water or power, the pooling of resources, or the designation of a manager for any such project or facilities supervised by an engineering and operating committee of co-owners or otherwise super- vised. and otherwise to contract with water or power producers or users. or any combination thereof: (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 depa11ments, or with any political subdivision or any person in the acquisition. improvement, and equipment of any facilities or any pan thereof authorized for the district or subdistrict or for any other works, acts, or purposes provided for in this article and to adopt and ccmy out any definite plan or system of work for any such purpose; (f) To cooperate with the federal government, the subdistrict or district, respectively, any political subdivision, or any person, or any combination thereof. by an agreement therewith by which the dist1ict or the subdistrict may: (1) Acquire and provide. without cost to the cooperating entity or entities, the land, easements, and rights-of-way necessary for the acquisition, improvement, and equipment of any prope11ies; (II) Hold the cooperating entity or entities free from and save it or them harmless from any claim for damages arising from the acquisition. improvement, equipment, maintenance, and operation of any facilities; (III) Maintain and operate any facilities in accordance with regulations prescribed by the cooperating entity or entities: and (IV) Establish and enforce regulations, if any, concerning the facilities which are satisfactory to the cooperating entity or entities: (g) To provide, by any contract for any te1m not exceeding seventy-five years. or otherwise, without an election: (I) For the joint use of personnel. equipment, and facilities of the district. the subdis- trict, any political subdivision, or any person. or any combination thereof. including, without limitation, public buildings constructed by or under the supervision of the board of directors, the governing body of the political subdivision, or the board of directors or other governing body of a private firm or other person concerned, upon such terms and agreements and within such areas within the district or subdisuict or otherwise, as may be determined, for the promotion and protection of health, comfort. safety, !if e, welfare. and property of the inhabitants of the district or subdisuict and any such political subdivision and any other persons of interest, and for water or electric services; (II) For the joint employment of clerks, stenographers. and other employees pe1taining to the facilities or any project, now existing or hereafter established, upon such terms and conditions as may be determined for the equitable apponiomnent of the expenses resulting therefrom; (h) To provide for comprehensive planning and, where possible. coordinate operations of the district or subdistrict with the subdistrict or district, respectively. any and all such political subdivisions, p1ivate finns. and other persons, or any combination thereof, per- taining to water conservation and use and to the generation and use of electricity. Source: L. 77: Entire section added, p. 1652, § 5, effective June 9. L. 81: (2)(b) and (2)(d) amended, p. 1765, § 5, effective June 19. ANNOTATION C.J.S. See 94 C.J.S., Waters. §§ 543-581, 786-793. 37-46-150 Water and Irrigation Title 37 -page 330 37-46-150. Joint action entity. ( 1) The district or subdistrict and any other cooper- ating entity or entities relating to any project or facilities in which the district or the subdist1ict is a party in interest may create a joint action entity, a separate body corporate. for the planning, construction. lease. other acquisition, improvement, equipment, operation, maintenance. disposal. and financing of any enterprise or properties relating to such project or such facilities. (2) A joint action entity may exercise the powers granted to the district or the subdistrict by this article. other than the levy or fixing and collection of taxes, assessments. and service charges and the making and revising of rules and regulations under the police power. Source: L. 77: Entire section added. p. 1655, § 5. effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 543-581. 37-46-151. Correlative powers of political subdivisions. Any political subdivision of this state has the correlative powers to enable it to participate in cooperation with the dist1ict or any subdistrict in either's exercise of powers granted thereto by this article or otherwise granted by Jaw. Source: L. 77: Entire section added, p. 1655, § 5, effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters. §§ 543-581. Effective:[SeeTextAmendments] West'sColoradoRevisedStatutesAnnotatedCurrentness Title29.Government--Local GeneralProvisions Article1.BudgetandServices Part2.IntergovernmentalRelationships(Refs&Annos) §29-1-203.Governmentmaycooperateorcontract--contents (1)Governmentsmaycooperateorcontractwithoneanothertoprovideanyfunction,service,orfacility lawfullyauthorizedtoeachofthecooperatingorcontractingunits,includingthesharingofcosts,theimposition oftaxes,ortheincurringofdebt,onlyifsuchcooperationorcontractsareauthorizedbyeachpartytheretowith theapprovalofitslegislativebodyorotherauthorityhavingthepowertosoapprove.Anysuchcontract providingforthesharingofcostsortheimpositionoftaxesmaybeenteredintoforanyperiod,notwithstanding anyprovisionoflawlimitingthelengthofanyfinancialcontractsorobligationsofgovernments. (2)Anysuchcontractshallsetforthfullythepurposes,powers,rights,obligations,andtheresponsibilities, financialandotherwise,ofthecontractingparties. (3)Whereotherprovisionsoflawproviderequirementsforspecialtypesofintergovernmentalcontractingor cooperation,thosespecialprovisionsshallcontrol. (4)Anysuchcontractmayprovideforthejointexerciseofthefunction,service,orfacility,includingthe establishmentofaseparatelegalentitytodoso. (5)Anyseparatelegalentityformedpursuanttotheprovisionsofthispart2maymakeloanstoanygovernment whichentersintoanycontractpursuanttotheprovisionsofthissection,whichloansmaybesecuredbyloan andsecurityagreements,leases,oranyotherinstrumentsuponsuchtermsandconditions,including,without limitation,thetermsandconditionsauthorizedbysection31-35-402(1)(h),C.R.S.,astheboardofdirectorsof suchintergovernmentalentityshalldetermine. (6)Theprovisionsofarticles10.5and47oftitle11,C.R.S.,shallapplytomoneysofsuchseparatelegal entities. CREDIT(S) AmendedbyLaws1988,H.B.1172,§1,eff.April13,1988;Laws1988,S.B.174,§8,eff.April20,1988;Laws C.R.S.A.§29-1-203Page1 ©2014ThomsonReuters.NoClaimtoOrig.USGov.Works. 2005,Ch.300,§1,eff.June3,2005. CurrentwithChapters1-3,5-8,10-12,15-18,21-23,&25 (C)2014ThomsonReuters.NoClaimtoOrig.USGov.Works. ENDOFDOCUMENT C.R.S.A.§29-1-203Page2 ©2014ThomsonReuters.NoClaimtoOrig.USGov.Works. --._ : ~ ' .•. ~ ~. 3, : "j Ji JOINT MANAGEMENT AGREEMENT HIVEJI Wf\HR CONSEflV/\TION DlSTFiiCT THIS JOINT MANAGEMENT AGREEMENT is made and entered into this 1st day of March, 1983, by and between the BLUESTONE WATER CONSERVANCY DISTRICT, hereinafter referred to as "Bluestone," and the COLORADO RIVER WATER CONSERVATION DISTRICT, hereinafter referred to as "River District." RECITALS: A. This Joint Management Agreement relates to the following described conditional water, ditch, and reservoir rights located in Mesa and Garfield Counties, Colorado: 1. Kobe Canal (No. 114), including a conditional Colorado River water right to 50 c.f .s. bearing a priority date of June 30, 1936 (Priority No. 184); 2. Mt. Logan Canal (No. 115), including a conditional water right to 40 c.f.s. bearing a priority date of June 30, 1936 (Priority No. 185); 3. Mt. Logan Dam and Reservoir (No. 116), including a conditional water right for 10 ,000 acre feet of water bearing a priority date of June 30, 1936 (Priority No. 186); 4. Roan Creek a conditional Roan bearing a priority No. 187). Feeder Canal (No. 117), including Creek water right to 75 c.f.s. date of June 30, 1936 (Priority These rights are sometimes collectively referred to herein as the "Water Rights." B. On August 21, 1970, the District Court of Garfield County entered conditional decrees for the Water Rights. On the basis of applications filed in May 1972, May 1976, and April 1980, Bluestone and the River District have obtained Findings of Reasonable Diligence for the Water Rights, thereby preserving the conditional status of the Water Rights to the end of the current di}igence period, April 30, 1984. C. CoincidentaJ,.1y with, the execution of this A9"re·~!}/-~~.t., Bluestone and the River District, as lessors, have entered into a separate Lease with Getty Oil Company and Conoco Shale Oil, Inc., dated February 1, 1983, for the lease of the Water Rights. This Lease is attached hereto as Exhibit "A." '·I"' ', ,· :::. ·:·' In! ~11r_.~:~1 ~:,,~ Fi'lf&l'i'T1C ~'J~ ~~~ ~ ~./1~ ~'J1~1W1 l'•MlJi'lilN~, 1111 I Reception~: 847503 03/24/2014 03:58:50 PM Jean Rlberico 2 of 24 Rec Fee:$126 00 Doc Fee:0.00 GRRFIELD COUNTY CO D. Pursuant to the Lease, Bluestone and the River District have certain rights, obligations, and responsibilities with respect to the Water Rights, including but not limited to: ( 1) the management and accounting of all payments received from lessees; ( 2) a review of the schedule of work proposed to be performed by lessees to satisfy the due diligence requirement to preserve the Water Rights; ( 3) the management and control of 15 cubic feet per second (c.f.s.) of the 50 c.f.s. Kobe Canal water right described above; and (4) the management and control of the Water Rights in the event of the termination or expiration of the Lease. E. Bluestone and the River District each desire to enter into this Agreement for the joint management and control of the Water Rights upon the terms and conditions set forth herein. The major consideration of the parties for the execution of this Agreement is that water will be put to beneficial use, and no precedent is established by this Agreement as to how other water rights owned or to be owned by Bluestone or the River District will be utilized. NOW, THEREFORE, in consideration of the mutual promises set forth below, the parties agree as follows: 1. Formation of Manasrement Committee. Upon the execution of this Agreement, a four-person management committee shall be formed consisting of two members from the Blue stone Board of Directors and two members from the River District Board of Directors. This committee shall hereinafter be referred to as the "Management Committee." The members of the Management Committee shall be appointed by the Bluestone Board of Directors and the River District Board of Directors for a term of two years and until their successors are appointed. None of the members of the Management Corn.mi ttee shall also be employees of Getty Oil Company or Conoco Shale Oil, Inc .• Appointments to fill vacancies created on the Management Committee shall be made by one of the 2 parties hereto, as appropriate, to insure that the Management Committee is always comprised of two members of the Bluestone Board of Directors and two members of the River District Board of Directors. 2. Purpose. The purpose of the Management Committee shall be to develop, manage, maintain, control, and preserve the Water Rights for the benefit of Bluestone throughout the duration of the Lease and in the event of the termination or expiration of the Lease. 3. Powers. Under the direction and control of the Boards of Directors of the respective parties, the Management Committee shall have exclusive right to manage and control the Water Rights. The Management Committee shall also have the power to employ any staff, attorneys, engineers, accountants, consultants, and any other persons it deems necessary to carry out its purpose. 4. Election of Officers. At its first meeting, the Management Committee shall elect a Chairman and a Secretary- Treasurer to serve as committee officers. The person serving as Chairman shall not, at any time, be elected from the same Board of Directors (i.e. the Bluestone Board or the River District Board) as the person serving as Secretary-Treasurer. The Management Committee shall have the authority to elect any other officers it deems necessary to carry out its functions. The officers of the Management Committee shall be elected for a term of one year and until their successors are elected. 5. Funds. All monies paid under the Lease with Getty Oil Company and Conoco Shale Oil, Inc. shall be under the exclusive control of the Management Committee and shall be spent in a reasonable and prudent fiscal manner as the Management Committee determines by majority vote. The Management Committee shall establish a two-party bank account, and all drafts or checks issued to disburse the funds of the Management Committee shall be signed by the Chairman and the Secretary-Treasurer of the 3 1111 w,1r.;~;r.t~~ll11 ~~I~~~ t'i·~l·~·,1, ~.~· N·,·r,~jJl, t'~~ i111~1 11111 Receptiontt: 847503 . 03124/2014 03·58·50 PM Jean Rlber1co 4 of 24 Rec Fee:$126.00 Doc Fee:0.00 GRRF!ELD COUNTY CO Management Committee; provided, however, that the Management Committee has the authority to designate employees or members of the Management Committee to write drafts or checks in order to disburse the funds of the Management Committee. With respect to any monies already received by Bluestone from Getty Oil Company and/or Conoco Shale Oil, Inc., the Management Committee shall, after full review, permit Bluestone to honor previous monetary commitments for such monies. The Management Committee shall reimburse from Management Committee funds any expenses incurred by its members in performing Management Committee functions. Such reimbursable expenses include, without limitation, all expenses for meetings, travel, and postage. The Management Committee may pay the members of the Management Committee a reasonable per diem expense for the time spent in the performance of the duties set forth herein. 6. Benefit. All Water Rights under the control of the Management Committee shall be used for the benefit of the people within the territorial limits of Bluestone. All monies derived from the Lease shall be expended for the benefit of Bluestone. 7. Records. The Secretary-Treasurer of the Management Committee shall maintain a complete and accurate set of books and records, including statements and accounts, concerning the operation of the Management Committee, which records shall be open at all times for the inspection by any of the parties hereto. 8. Reports. The Secretary-Treasurer of the Management Committee shall annually provide a fiscal report and financial statement to the Bluestone Board of Directors and the River District Board of Directors. The Secretary-Treasurer shall also provide a fiscal report or financial statement to Bluestone or the River District at any time upon the request of the Bluestone Board of Directors or the River District Board of Directors. 9. Meetings. The Management Committee shall meet at least once during each calendar year. The Management Committee may 4 meet more frequently upon the request of the Chairman of the Management Committee, after proper notice has been given pursuant to paragraph 13 of this Agreement. 10. Use of Water Rights. a. While the Lease is in effect, the Management Committee, by majority vote, shall determine how the 15 c.f.s. remaining from the Kobe Canal water right under the Lease and the other Water Rights remaining from the Lease are utilized. If the Management Committee determines the best beneficial use of the 15 c.f .s. remaining from the Kobe Canal water right is for supplemental irrigation purposes of the Roan Creek drainage area, Blue stone may designate the point to which the water may be pumped and utilized. b. If the Management Committee cannot reach a decision by majority vote regarding how the 15 c.f.s. remaining from the Kobe Canal water right under the Lease is to be used, such amount will be used for supplemental irrigation purposes in the Roan Creek drainage area, and Bluestone may designate the point to which the water may be pumped and utilized. By majority vote, the Management Committee may at any time change the purposes for which the 15 c.f .s. remaining from the Kobe Canal water right and the other Water Rights remaining from the Lease are used. c. If the entire 15 c. f. s. remaining from the Kobe Canal water right is not necessary for supplemental irrigation purposes upon a determination of the Management Committee to use the 15 c.f .s. for such purposes, the Management Committee shall determine by majority vote how the remainder of the 15 c.f.s. is beneficially used. d. In the event of the termination or expiration of the Lease, the Management Committee shall determine by majority vote how the Water Rights are to be beneficially used. 5 11. Modification and Amendment. This Agreement may be modified or amended only by written and signed agreement of the parties hereto pursuant to specific amending resolutions passed by the majority vote of the Bluestone Board of Directors and the River District Board of Directors. 12. Termination and Dissolution. The Management Committee and the provisions of this Agreement shall continue unless and until terminated or dissolved by written and signed agreement of the parties hereto pursuant to specific amending resolutions passed by the majority vote of the Bluestone Board of Directors and the River District Board of Directors. 13. Notices. All notices and other communications required or permitted to be given shall be in writing and shall be personally delivered with receipt taken therefor or sent by certified mail, postage prepaid and return receipt requested, directed to each party intended at the address set forth below, and shall be effective upon receipt: Bluestone Water Conservancy District: General Delivery DeBeque, Colorado 81630 Attn: President Colorado River Water Conservation District: Post Office Box 1120 Glenwood Springs, Colorado 81602 Attn: Counsel The above-stated addresses for notification purposes may be changed provided notice as defined above is given of such change. 14. Validity. If any provision of this Agreement or the application of such provision to any person or circumstance shall be held invalid, the remainder of this Agreement, or the application of such provision to persons or circumstances other than those as to which it is held invalid, shall not be effected thereby. 15. Binding Agreement. This Agreement shall inure to the benefit of and shall be binding upon the parties hereto and their respective successors and assigns. In the event that Bluestone 6 is dissolved by court decree or legislative act or otherwise by operation of law, and no successor to Bluestone is formed, all interests of Bluestone under this Agreement, including without limitation Blues tone's interest in the Water Right decrees and the assets, monies, bank accounts, and proceeds of the Management Committee, shall become vested in the governmental entities designated by the statutes concerning the dissolution of water conservancy districts. 16. Entire Agreement. This Agreement contains the entire understanding between the parties with respect to the subject matter hereof and supersedes and replaces any and all prior written or oral agreements or understandings made between them at any time respecting such subject matter. There are no representations, agreements, arrangements, or understandings, oral or written, between the parties relating to the subject matter of this Agreement which are not fully expressed herein. 17. Waiver. The failure of any party to insist in one or more cases upon the strict performance or observance of any of the provisions of this Agreement shall not be construed as a waiver or relinquishment in any future case of such provision. No waiver by any party of any provision of this Agreement shall be deemed to have been made unless expressed in writing and signed by such party. 18. Captions. Paragraph titles or captions contained in this Agreement are inserted only as a matter of convenience and for reference and in no way to define, limit, extend, or describe the scope of this Agreement or the intent of any provision thereof. 19. Applicable Law. This Agreement and the application or interpretation thereof shall be governed exclusively by its terms and by the laws of the State of Colorado. 20. Recordation. This Agreement shall be recorded in the official real property records at the office of the County Clerk and Recorder in Mesa and Garfield Counties, Colorado. 7 · 1111 fW.i•~r,t~t,l' ~'1~.~Vi1 1 l'Jif'~U f•:f~~~~ ~,',~.,1 • ~~ iN~, 11111 Receptiontt: 847503 03/24/2014 03·58·50 PM Jean Alberico 8 of 24 Rec Fee:$126.00 Doc Fee:0.00 GARFIELD COUNTY CO .. .. -· to. ': :, .. IN WITNESS WHEREOF, the undersigned have executed this Joint Management Agreement as of the day and year first above written. BLUESTONE WATER CONSERVANCY DISTRICT COLORADO RIVER WATER CONSERVATION DISTRICT The foregoing instrument was acknowledged before me this 25th day of May , 1983, by Lawrence W. St. John as President of the Bluestone Water Conservancy Witness my hand and official seal . . " r.· · M.y. ·commission expires: 2-4-86 . -: .. ;~::~-··'.'..:~:.::·::/~; . . -~:'/. ,fJ\ARr "·{a -.. \':.. .. ..: ""' :. , . ..,.o-Q--0-.';,.., : • : 0. Notary Public District. Address: P. o. Box 40 ; D ..._. Pu·'a·\.: \J·/ o _: ~c (,'\ •. . . .. ,• C) ~~:.. ·-.~··~'.'··~ .. ·· -\-~. ':· .. /' . . .. . . () .·: Grand Junction, Colorado 81502 ·.-. t:. OE c.0\..! .. STAIT'R· ,QF'' COLORADO SS. COUNTY OF MESA The foregoing instrument was acknowledged before me 25th .day of May , 1983, by George M. Anderson ~s·~~Gfetary of the Bluestone Water Conservancy District. ~ ·:-. .'~::.W:f~_riess my hand and official seal . ..... ·~:._<~·: ;· ~0;( .. q.ommission expires: 2-4~86 :.·.~r/ ~u1f~trr ··.:.'.-, ,_. -: _)!'.,,._¢~ :· : -~.; -...--P{j_ B ~\\J / ~ _; '\'.~~~· .. ::::·:;~·~.:;:~~? .. NotarYPlibl"ic v Address: P. o. Box 40 this ··'·>.~OF C \-,./ : .... Grand Ju_n_c~t-i~·o-n~,---=c~o~l-o_r_a_d~o~~g~1~5~0~2..-~ 8 1111 wr~-'tr~ ~--~,rj:'I& Df,ll "N.i':~11rif1 ~,,,, ~':w:·, ~'1~'.i'1'~, 11111 Reception~: 847503 03/24/2014 03:58:50 PM Jean Alberico 9 of 24 Rec Fee:$126.00 Doc Fee:0.00 GARFIELD COUNTY CO STATE OF COLORADO ss. COUNTY OF Colorado The foregoing instrument was acknowledged before me this 7th day of June , 1983, by Rial R. Lake as President of the Colorado River Water Conservation District. Witness my hand and official seal. My commission expires: March 17, 1986 STATE OF COLORADO COUNTY OF Colorado SS. Notary Public Address: 201 Centennial St. Glenwood Srpings, Colorado 81601 The foregoing instrument was acknowledged before me this 7th day of June , 1983, by Roland C. Fischer as Secretary of the Colorado River Water Conservation District. Witness my hand and official seal. My commission expires: March 17, 1986 Notary Public Address: 201 Centennial St. Glenwood Springs, Colorado 9 EXHIBIT '-~-~--- Rccordgd at /(! : ;-{ ';{ o'clock f.'eception No. ;JS1''1'3'1 ~ M. APR 2 5 1~84 MILDRED ALSDORF, RECORDER GARFIELD COUNTY, COLORADO LEASE ~;. (..· "C.. ·-~·. 1( :--t .rf-89 i=4 AGE 6 4-5 JUN 6 iJi33 COLORADO P.IYER WATER cons~r:VATIDN DISTRICT !3'.:1?3-+ l 1)2: 20 f't! APR 1s ... ;1~·4 E.SA~YtF:·~c:LKbRE(: nESA c THIS LEASE is made and entered into as of februaiy 1, 1983, by and between Bl~estone Water Conservancy District, hereinafter referred to as "Bluestone" and Colorado Ri~er ~ater Conservation District, hereinafter referred to as "River District" (the said Bluestone and River District being also ref erred to herein col- lectively as "Lessors"), and Getty Oil Company and Conoco Shale Oil, Inc., hereinafter colletively referred to as "Lessees", WIT!'iESSETH: RECITALS A. Bluestone ano Lessees have heretofore entered into a Lease dated "as of :·1.ay 30, 1982". Upon the execution of this Lease the said lease of May 30, 1982 shall terminate and all rights, privileges, duties, and obligations created thereby shall also terminate and the relationship between ~he parties shall hereafter be governed and determined by the terms and con- ditions of this Lease. Any payment ~ade to Bluestone pursuant to the said lease of ~ay 30, 1982 shall be subject to such obli- gations o~ accounting between 9lues~one and tne River District as rnay be set forth in a separate agree~en~ ~etween the said parties. B. This lease relates to the following ~escri~ed conditional water, ditch and reservoir rights in Colorado: 1. :\obe Canal (~lo. 114) including a conditional Colorado River water right to 50 c.f.s. bearing priority date of June 30, 1936 (No. 184); 2. Mt. Logan Canal (No. 115) inclu'ding a conditional water right to 40 c.f.s. bearing a priority date of June 30, 1936 (No. 185); 3. Mt. Loqan D.;m and Reservoir (No. 116) including the conditionai water right for 10,000 acre feet of water bearing priority date of June 30, 1936 ('.\lo. 186); and 4. Roan Cr-eek feeder Canal (No. 117) including a conditional Roan Creek water right to 75 c.f.s~ bearing a priority date of June 30, 1936 (No. 187). These rights are sometimes collectively referred to herein as the "\'later Rights". ~DOK 1489 PAGE b46 C. Sluestone and River District, coincidentally with the execution hereof, have entered into a se~arate Joint Mana~ernent Agreement dated March 1 , 1983, which agreement, among other things, creates a management committee for the ~anagement of the Waier Rights. Reference hereinafter to the ·~anagement Committee" shall be deemed to be that committee created by the said Joint Management hgreement. D. Lessors and Lessees desire to enter into a Lease for the ~ater Rights upon the terms and conditions set forth herein. C-JOW, '!'SE?.:::FORE, in consideration of the' !_'.lre!Tlises and the covenants herein contained, it is mutually agreed as follows: 1. Lease. Lessors hereby lease to Lessees all of their right, title and interest in and to the ~ater ~ights for use within the boundaries of the Bluestone Hater Conservancy District. 2. Term. T~e term of this Lease shall be ninety-nine (99) years and so long thereafter as Lessees, their successors or assigns are (al beneficially using the ~ater Ri~hts; or (bl such rights are held for beneficial use at a la=er =~~e in connection with development or production of a nacur~~ =e=o~rce. 3. Rental Pavments. A. ~s an initial payment, coincident~~ly with execu- tion of this ~ease, Lessees shall pay Lessors One Hundred Thousand Dollars ($100,000.00). B. Annual rental shall be paid by Lessees to Lessors commencing one y~ar from the date hereof and annually thereafter on the first day of February of each year until the termination hereof. Rental shall be Thirty Thousand Dollars ($30,000.00) .! per year, paid in arrears, for the first five (5) years. fl.t the end of such five (~) year period such amount shall be adjusted for the next succeeding five (5) year period to reflect any increase or decrease in the Consumer Price Index over the preceding five (5) year period. Rent will be so adjusted for 1111 ~11r_,il\'lr':ll1 '~ u~r.~l ~~~~ ~,~,1''~~11·~~r-ll'N!l.'IWN~1 11111 Reception#: 847503 0312412014 03:58:50 PM Jean Alberico 12 of 24 Rec Fee:$126 00 Doc Fee:0.00 GARFIELD COUNTY CO BOOK 1489 PAGE 647 each succeeding five (5) year period thereafter fo~ increases or decreases iri the Consumer Price Index. The following system of adjustment shall be used: The Index for All Urban·Consumers, All Cities, All Items as prepared by the United States Department of Labor shall be used or, in the event such Index is discontinued or the basis for its computation is changed substantially, a com- parable Index shall be used as a basis for computation. Said Index shall be taken for the date which is the end of each fifth (5th) year during the term of the Lease and the Index thus obtained shall be considered the applicable Index for the rent payable during the next five (5) ensuing years. Said Index obtained shall be compared with the Index fioure for February, 1983, or :ebruarv of the fifth (5th) preceding year, and the annual rent shall be increas- ed or decreased in the same ratio as the Index for the period bears to the Index figure of ?ebruary, 1983, or February of the fifth (5th) preceding year. c~ All rental payments shall be remftted by Lessees to the Management Committee. 4. Performance of Dili9ence Requirements. A. On or before June 1, 1983, Lessees shall submit to the Management Committee ~ schedule of work proposed to be per- for~ed by Lessees prior to April 15, 1984, ~hich is reasonably calculated, in the opinicn of Lessees, ':o satisfy the Colorado requirement of due diligence work to prese=ve t~e ~ater Rights for the current diligence ~eriod which ex=ends ~rem ~ay 1, 1980 to April 30, 1984. Any diligence work s~all je ca~~enc~d by Lessees on or prior to August 1, 1983 and reasonably pursued to completion. The ~anagement Committee shall review such schedule of work and shall render a report to the Lessees of its opinion as to whether the schedule of work sa~isfies the requirements of due diligence. Lessees shall not be bound to modify the pro- posed work schedule because of the opinion of the Management Committee. B. Subsequent diligence periods beqin on May 1, 1984, and on ~ay 1st every four years thereaft~r, and end on April 30, 1988, and each four years thereafter, unless changed pursuant to Court Order or leyislative action. ~2ginning :~ay 1, 1984 (which is the oeginning date of the nexc due diligence period) and continuing thereafter so long as any of the Nater Rights are conditional., unless this Lease has been terminated as to such conditional rights, Lessees shall, within the Eirst six (6) months of each due diligence period submit to the Management Committee a plan and schedule of work proposed to be performed by Lessees, if any, which is reasonably calculated, in the opinion of Lessees, to satisfy the Colorado requirement of due diligence work to preserve the \·iater Rights during the then current diligence period. C. Hhenever a schedule of work is submitted to the Management Committee pursuant hereto, the Management Committee shall be privileged to submit suggested changes or additions theret.o. To the extent desired by the Management Committee, a joint conference shall be held with respect thereto. Provided, however, if mutual agreement cannot be reached between Lessees and the Management Committee the program proposed by Lessees shall be a~opt~d. D. If Lessees do not submit such a pl an and schedule for a due dilisence period or if the schedule submitted by Lessees shall omit one or more of the ;-1ater Rights by failing to propose any work on or for the benefit of one or more of the ~ater ~ights, then this Lease shall term~nace as to the particu- lar ~ater Right(sj for which no work was proposEd; subject to the principle, however, that work upon one Water Right forming a part of a system qualifies as work upon all Water ~ights comprising that system. ~. Lessees shall perform such plan and schedule of work in reasonable compliance ~ith the adopted work schedule and quarterly progress reports shall be given by Lessees to the Management Committee . .. F. At any time that the Management Committee is of the opinion that the proposed work schedule is not reasonably calcu- lated to satisfy due diligence requirements upon any or all of the Water Rights as may then be conditional, it may perform such additional work, at its sole expense, as it deems advisable. 1111 W,lf Jl\\,~,«'''~& N~1 l 1Mt f ~'' • ,''1~'-l 'j'~~l·t'll~NI, 11111 Reception#: 847503 03/24/2014 03:58:50 PM Jean Rlberico 14 of 24 Rec Fee:$126.00 Doc Fee:0.00 GRRFIELD COUNTY CO 80GK 1489 PAGE 649 5. Apolications for Finding of Due Diliaence. Each party hereto shall join as co-applicants on necessary Applications for Findings of Due Diligence which shall be ti~ely filed as required by statut~ or Court Order as to each wa~er right which has not been made absolute and as to which this Lease is in force at the time of such application. Sach par~y hereto shall cooperate with all other parties to make available books, records and personnel necessary to prove performance of work to be relied upon for diligence. Failure of any party to properly coop~rate to permit timely filing of such Applica~ions shall not preclude any other party or parties from proceeding in such fashion 35 may be necessary or desirable for protection of rights ~ith respect to the Water Rights. 6. Voluntary Termination. Lessees may, at their option, terminate this Lease as to all or any of t:-ie Water Rights at any time by issuing notice to the ~anagement Committee of intent to do so, but any such termination by Lessees s:-iall not affect the obligation of Lessees to perform the following: A. Pay all accrued rental under ?ara~raoh 3 hereof, with the rental for the current year in whic:-i :·~r:i:in.::::ion occurs to be prorated co ~ace of terminacion, .::nd B. If the terminacion is effec::ive within fif::een (15) ~onths prior to the end of a due diligence ?eriod, Lessees shall complete the plan and schedule of work previously submitted and applicable to the then current d~e diligence period. Only for the purpose of prorating rental pursuant to subpara- graph A above, 90% of the rental payable pursuant to Paragraph 3 shall be attributable to the Kobe Canal wacer right, 10%. shall be attributable to the Roan Creek feeder Canal water right, and no portion thereof shall be attributable to the Mt. Logan Canal or the Mt. Logan Dam and Reservoir water rights. 7. Monetary Commitment. No later than three (3) years after date hereof, Lessees shall expend not less than One Million Five Hundred Thousand Dollars ($1,500,000) towards 1111 w,1r.rr+~~~·~~r+i~ llf•ilt•'ft~~\~WML~1U ~iii,,~, 11111 Reception": 847503 03/24/2014 03:58:50 PM Jean Alberico 15 of 24 Rec Fee:$126.00 Doc Fee:0.00 GARFIELD COUNTY CO [l;::;K G<lS f!GE G06 BOOK ~489 PAGE 650 ?lacing the >·later Rights to beneficial use; ;::irovijed, however, that in the event that contested litigation is t~en pending challenging the ownership or validity of the Water Rights as described in the decrees referred to in ?aragraoh B. 1 through 4 in "Recitals", or any part thereof, such ex2erid iture shall be discretionary with Lessees. Lessees shall account to the Managei11ent Committee for expenditure of such amount within four (4) months after the end of such three (3) year ?eriod. No payment to the Management Committee shall be con~ideied a part of such amount. In the event such amount has not been expended within such time pericd, this Lease shall t~rminate. Lessors acknowledge that Lessees have or ~ay acquire other rights to use of water. The expenditures required by this Para- graph 7 need not necessarily be solely applicable to 9lacing the Water Rights involved herein to beneficial use but ~ay inure to the benefi~ of other rights to use of water owned by Les~ees if such ex;:ienditures also are calculated to !.Jermit 'the Water Rights involved herein to be applied to beneficial use and meet due diligence requirements. 8. Use by Lessors. Lessors shall have c~e following rights, priviieges and obligations: A. ~he Management Committee shall have first call upon the right to use 15 c.f.s. of the 50 c.f.s. ~obe right described above and twenty percent (20%) of the Roan Creek rights winter flow ( '.-love:nber through ~·larch 31 of each winter season) and storage rights not to exceed 2,000 acre feet of the combined winter flow and storage in any water year of the Mt. Logan and Roan Creek rights described above. B. Kobe water shall be delivered at an elevation so that water may flow by gravity to the present points of diver- sion of the Reservoir and Roan Creek Ditch #2 (Town Ditch) north of the Town of DeBeque on Roan Creek. Facilities to utilize the Water Rights constructed by Lessees shall include facilities to acco:nmociate this 15 c.f.s. of the Kobe right and the 2,000 acre -6 - · 1111 W11 r.;n~1'F"fiM~'*~•~' ~'1t 111~, ~,, ~i~~~I ~l'M11'.l'/li1 11 l1 11111 Reception~: 847503 0312412014 03:58:50 PM Jean Alberico 16 of 24 Rec Fee:$126.00 Doc Fee:0.00 GARFIELD COUNTY CO BOOK 1489 PAGE 651 feet of the Mt. Logan and Roan Creek rights, or sepaiate facili- ties may be constructed for the accommodation of such rights devoted to the use of the Management Committee, all without capital cost to the. ~anagement Committee. If separite facili- ties are constructed by Lessees to accommodate the said Water Righ~s devoted to the use of the Management Committee, the construction thereof shall proceed before or coincidentally with the construction of facilities for the Lessees. C. Annually, on February 1 of each year, the Lessees shall submit a statement io the Management Committee for the Committee's proportionate share of operating (including the cost of lifting water to the Reservoir Ditch and Roan Creek Ditc~ 12) and :naintenance expenses for its storage and use ot water speci- fi~d in this para1raph during the preceding calendar year. If such expenses exceed the amount of rent due from Lessees to the Management Committee for the preceding lease year under this Lease, t!1e rental due to the i1anagement Committee from the Lessees for such preceding lease year shall be increased to equal the amount of such expense. Any sum due from the Manage- ment Cc~mittee to the Lessees for the said operating and main- tenance expenses shall be of fsei agains~ any rental then due from t~e Lessees. D. In determining the proportionate share of operating and maintenance expenses for the purposes of the preceding subparagraph, the following rules shall apply: (1) If separate facilities are constructed by Lessees to accommodate the water rights devoted to the use of the Management Committee, then all operating and maintenance expenses shall be attributable to the ;.1anagement Committee. (2) If the facilities which are constructed to accommodate the water rights devoted to the use of the Manage- ment Committee are jointly used by one or both of the Lessees, the operating and maintenance expenses shall be apportioned between the users of such facilities in proportion to the :::"~ G48 i'!GE6CS BOOK 1489 PAGE 652 total volume of water stored or used in or through the facility by each participant. E. Lessees may propose to the Management Committee alternative methods for use of the Water Rights which are reserved hereby for use by th~ Management Committee, but the Management Committee shall have the option to demand that the facilities be constructed as provided above. F. Tbe Management Committee shall use the water speci- fied in this paragraph, using the facilities constructed by Lessees on the above terms, solely for munici?al or irrigation purposes, subject to the next numbered para9raph. 9. Use of :·lanaciement Commit<:ee' s Rights :or Other Than Municical or Irrigation Purposes. The ~anagement Committee shall have the right and privil~ge to sell or lease all or any part of the water specified in Paragraph 8 above, for uses other than muriicipal or irrigation purposes, such as industrial pur- poses related to oil sriale development; provided, however, that if the Management Committee proposes any such sale or lease using any of the facilities constructed by Lessees, in whole or in part, the following conditions shall apply: A. The Purch2ser or Lessee shall be requi=ed to pay its proportionate share of future costs for O?eration, ~ainte- nance and replacement of equipment and facilities relating to the amount of water sold or leased; and B. The terms and conditions of any such sale or lease shall be given to Lessees in writing and Lessees shall have a period of forty-five (45) days to elect to purchase or lease such water under the same and identical terms and provisions. .. Failure to exercise the right to purchase or lease arising pursuant hereto by written notice to the Management Committee of the election so to do within such forty-five (45) a,y period shall be deemed to be a waiver of such right. 10. Reciprocal Rights. During any time that Lessees are not making full use of the Water Rights subject to this Lease 1111 ~,1r.1r&'fltrll1~~~.~ra.1 i~~,n~ ~cmnc,r~, ~, lr~~NI, 11111 Reception#: 847503 0312412014 03:58:50 PM Jean Rlberico 18 of 24 Rec Fee:$126.00 Doc Fee:0.00 GRRFIELD COUNTY CO .BOOK 1489 ~AGE 653 (exluding those eights reserved for use by t~e Management Committee under Paragraph 8), the Management Committee shall have the eight to use the unused water, at its sole cost. During such time as the Management Committee is not making full use of its portion of the Water Rights to which it has the eight of use under Paragraph 8 above, Lessees shall have the eight to use th~ unused water, at their sole cost. Operating expenses related to the Management Committee's use of any.water of Lessees shall not increase the amount of rent ~ayable to the Management Committee by Lessees under Paragraph 3 or as modified ?ursuant to Paragraph B. l l . Use of Initial ?ay~ent. The >'.anagement Committee agrees to expend a substantial portion of ~he One Hundred Thousand Dollars (5100,000) paid at time of execution hereof to study and commence implementation of a domestic rural water system to serve residents within the Bluestone ~~ter Conservancy District. 12. Governmental Cooperation. Bluestone and the River District shall join with Lessees in requesting any ~equired governmental ?ermits, licenses, authorizations, due diligence findings, etc. relatinq to the use of ~he ~ater Rights, includ- ing without limitation by specification, a Cor?S of Sngineers 404 permit. Bluestone and the River District, insofar as allowed by law, shall use their powers of eminent domain, if necessary, to acco~modate the acquisition and construction by Lessees of facilities for utilizing the Water Rights. In the event the Management Committee determines Lessees are not obtaining governmental consent( s) which the Management Committee determines is(are) needed, the Management Committee or Bluestone or the River District may obtain such consent(s) at their sole expense. 13. Chanqe of Water Rights. Lessees, and each of them, shall have the right and privilege to request any change, in whole or in part, in each decree forming a part of the Water · 1111 ~,l~Jt't~r:.~1'~ ~ ~~,~~t,1~ ~~11~:fm~r~1~'1 ti .l\WNI, 11111 Reception#: 847503 0312412014 03:58:50 PM Jean Alberico 19 of 24 Rec Fee:$126 00 Doc Fee:0.00 GARFIELD COUNTY CO :<::x. G-lS f!GE 6.10 ihghts; however, Lessees shall request no chan<Je which would prejudice the application of the Management Committee's 15 ~.f.s. to beneficial use. Lessees shall request such change on ~n alternate basis if the Management Committee shall so request. Notice shall be given to the Management Committee of any such proposed change. 14. Failure to Perform Due Dilioence. Lessees make no warranty to the Management Committee that any work plan or schedule submitted to the Management Committee pursuant to the terms hereof shall ultimately be determined to be sufficient to oermit the Water Court having jurisdiction of due diligence proceedings to enter a findin~ of due diliqence for any aue diligence period during which this Lease is in force and effect. In like manner, in the event that the >·iater ~ights are put to beneficial use and declared absolute, Lessees ma~e no warranty to the Management Committee of continuous use which would there- by prevent any determination that all or any part of the said Water Rights have been abandoned. If Lessees propose a plan and schedule of work but fail in the timely performance thereof {subject to ?ara~raph 20) and the Water Rights or the priority dates thereof are :ost in the next subsequent due diligence proceeding by r~ason ~~ereof, the limit of liability of Lessees shall be the cost of t~e work which was not performed, as if it had been perfor~ea at the scheduled time. 15. Involuntary ~ermination. Provisions are made herein which provide for termination of this Lease agreement. Notwith- standing such provisions, such termination shall not be automa- tic. When any circumstance arises which would invoke the right of termination, the Management Committee shall give notice to Lessees. If the default of the Lessees has been corrected with- in thirty (30) days thereafter the Lease shall continue in full force and effect.·. If the default is such as it cannot be reasonably corrected within the said t::iL-t:i ( 3UJ oays tnen if 1111 w,1 ~.r!'\'lll/¥1,~a ~ii. ~iJ~r 'IJ,i,~~f ~1L'a.1L~l,,1 •1,,,llH 11111 Reception#: 847503 1 1 0312412014 03:58:50 PM Jean Alberico 20 of 24 Rec Fee·$126.00 Doc Fee:0.00 GARFIELD COUNTY CO .. :J'.:'.~Y. G4S f!GE 611 BOOK i4&9 PAGE 655 Lessees shall commence the correccion thereof and diligently pursue the same to completion then this Lease shall remain in full force and effect. If the default has not been corrected within the said thirty (30) days or if the correction has not been commenced and diligently pursued thereafter, the Lease shall terminate thirty (30) days after such notice. 16. Release of Title on Termination. When the rights of the Lessees are terminated as to all or any part of the Water ' ' Rights ?ursuant to the terms of this Lease the Lessees shall execute and deliver a document to the Management Committee, in recordable form, which reflects such termina~ion. 17. Notice. All notices.and other communications required or ?ermitted to be given hereunder shall be in writing and shall be personally delivered with re~eipt taken therefor, or sent by certified mail, postage prepaid and return receipt requested, directed to each party intended at the address se~ forth below, or at such other addresses as may be designated by notice given to the other parties in the manner aforesaid, and shall be effective upon receipt: The Management Committee c/o Colorado River Water Conservation District P. o. aox 1120 Glenwood Springs, Colorado 81602 The Management Committee Bluestone ~ater Conservancy District DeBeque, Colorado 81630 Getty Oil Company Minerals Division 3810 Wilshire Boulevard Los Anoeles, California 90010 Attention: Division General Manager Conoco Shale Oil, Inc. Attention: President 555 17th Street Denver, Colorado 80202 18. Use of Facilities After Termination. ;-ihen all rights of the Lessees as to all or any part of the ~ater Rights has terminated under the terms and conditions of this Lease, any right to the use by the ~anagement Committee or Bluestone or the River District of any facilities constructed by Lessees shall 1111 w,1 ~.r!'\'lll/¥1,~a ~ii. ~iJ~r 'IJ,i,~~f ~1L'a.1L~l,,1 •1,,,llH 11111 Reception#: 847503 1 1 0312412014 03:58:50 PM Jean Alberico 20 of 24 Rec Fee·$126.00 Doc Fee:0.00 GARFIELD COUNTY CO .. :J'.:'.~Y. G4S f!GE 611 BOOK i4&9 PAGE 655 Lessees shall commence the correccion thereof and diligently pursue the same to completion then this Lease shall remain in full force and effect. If the default has not been corrected within the said thirty (30) days or if the correction has not been commenced and diligently pursued thereafter, the Lease shall terminate thirty (30) days after such notice. 16. Release of Title on Termination. When the rights of the Lessees are terminated as to all or any part of the Water ' ' Rights ?ursuant to the terms of this Lease the Lessees shall execute and deliver a document to the Management Committee, in recordable form, which reflects such termina~ion. 17. Notice. All notices.and other communications required or ?ermitted to be given hereunder shall be in writing and shall be personally delivered with re~eipt taken therefor, or sent by certified mail, postage prepaid and return receipt requested, directed to each party intended at the address se~ forth below, or at such other addresses as may be designated by notice given to the other parties in the manner aforesaid, and shall be effective upon receipt: The Management Committee c/o Colorado River Water Conservation District P. o. aox 1120 Glenwood Springs, Colorado 81602 The Management Committee Bluestone ~ater Conservancy District DeBeque, Colorado 81630 Getty Oil Company Minerals Division 3810 Wilshire Boulevard Los Anoeles, California 90010 Attention: Division General Manager Conoco Shale Oil, Inc. Attention: President 555 17th Street Denver, Colorado 80202 18. Use of Facilities After Termination. ;-ihen all rights of the Lessees as to all or any part of the ~ater Rights has terminated under the terms and conditions of this Lease, any right to the use by the ~anagement Committee or Bluestone or the River District of any facilities constructed by Lessees shall ' 1111 W1lrJ~~,~~1l1~, iK1 I W1,t~"'1:1•1 l.1.'1~•1'ik~~,;p !11,,7WINl1 1111 I Reception#: 847503 03/24/2014 03:58:50 PM Jean Rlberico 21 of 24 Rec Fee:$126 00 Doc Fee:0.00 GRRFIELD COUNTY CO ll'.::·r 64.S P!GE 612 ~~!!--/ .Lj <19 ~u~~ iL~C 'PAG~ b56 terminate and Lessees shall have the right and privilege to remove all or any part thereof which may be removed without substantial damage to real property owned by some party other than Lessees; provided, however, the Lessees agree to negotiate in good faith with Lessors, the Management Committee, Bluestone or the River District for the sale and transfer of title to any separate facility which may have been constructed by the Less~es for utilization of rights retained by the Lessors pursuant to Paragraph 8 herein in consideration of payment to Lessors of the net salvage value thereof. 19. Further Assurances. Each of the parties shall execute and deliver all such agreements, instruments, ce~tificates and documents, specifically including, without limitation, a memor- andum of this agreement in recordable form, and do any and all further action and things as may, in the opinion of any of the other parties, be necessary or convenient at any time to carry into effect the purpose· and intent of this agreement. 20. Force Majeure. If a party should be delayed in, or prevented from, performing any of the terms, covenants or condi- tions of this Lease {other than the payment of money), by reason of fire, flood, earthquake, subsidence, ground colla?se or land- slide, interruption or delay in transportation or ?ewer supply, strike, lockout, war, government law, order, regulation or interference, act of God or any other cause beyond such party's reasonable control, then failure of such party to so perform sh~ll not be deemed to be a breach of this Lease and the time within which such party is obliged to so perform shall be extended by the total period of all such delays. The affected party shall use all reasonable diligence to remove the cause of delay or prevention as quickly as possible; provided, however, that it shall not be required to settle any strike, lockout or other labor difficulty if it deems settlement to be inadvisable. The affected party shall notify the other parties forthwith regarding each new cause of delay or prevention resulting in the provisions of this paragraph becoming op~rative, specifying the particulars of such cause and the day upon which the same arose, and shall give like notice forthwith following the date that such cause ceases to exist. 21. Miscellaneous Provisions. The failure df any party to insist in one or more cases upon the strict performance or observance ot any of the covenants, agreements or conditions of this Lease shall not be construed as a waiver or .reli~quishment in any future case of such covenant, agreement or condition. No waiver by any party of any covenant, agreement or condition of this Lease, shall be deemed to have been rnade unless expressed in writing and signed by such party. This Lease cannot be modi- fied orally, but only by an agreement in writing s ign'ed by all parties. If any term or provision of this Lease or any applica- tion thereof is invalid or unenforceable, the remainder of this Lease and any other application of such ter~ or provision shall not be affected thereby. The captions of this Lease are for convenience of reference only, are not a part of this Lease and shall not define or limit any of the terms or provisions hereof. All rights and duties of the parties hereunder ~hall inure to the benefit of and be binding upon their respec=!7e successors and assigns. This Lease constitutes the entire a9reement between and among the parties with respect to the subject matter hereof and supersedes all prior agreements and understandings, written or oral, with respect to such subject matter. This Lease shall be governed by the 1aws of the State of Colorado in all respects, including matters of validity, construction, per- formance and enforcement. Time shall be of the essence of this .. Lease. This Lease shall not be in force or effect or be binding on any party until properly executed by all parties. This Lease may be executed in any number of counterparts, all pf which taken together shall constitute one and the same instrument. 22. Other Miscellaneous Provision. If any prQvision of this Lease, specifically including, without limitation, the · 1111 w,1r.rNl~/rl~,1 i,~, ~'811.I \~IL1';Jr1~,1,~·, ~~r~,"•'*'·j~iN~, 11111 Reception~: 847503 0312412014 03:58:50 PM Jean Rlberico 23 of 24 Rec Fee:$126.00 Doc Fee:0.00 GRRFIELD COUNTY CO .. BOOK 1489 ?AGE 653 ?revision set forth in Paragraph 9B hereof, would otherwise violate the rule against perpetuities or some analogous statu- i:.ory provision, or any other statutory or common law rule impos- ing time limits, then such provision shall continue only until twenty-one years,. less one day, after the death of the survivor of the now living descendants of the president of each party to this Lease, and Anthony w. Williams, Warren L. Turner, Berndt'c. Holmes, J. D. Snodgrass and Bernard A. Buescher, members of the Grand Junction, Colorado firm of Williams, Turner & Holmes, P.C. If any term or provision of the Lease or any application thereof is invalid or unehforceable, the remainder of this Lease and any other application of such term or provision shall not be affected thereby. IN WITNESS \·/HEREOF, the parties have executed this Lease on _J::....::u~n~e'--7;_:_'~~~~~~~' 1983. Attest: :SLUESTONE WATER CONSERVANCY DISTRICT COLORADO RIVER \-i.l\TER CONSERVATION I STRICT JL//-=-t~-'\) 0-._ '--·· I . "'\\ \.!_ .\ '\:i.. ~ ( President GETTY OIL COMPANY Bylli a2lti~ Don A. Nichols, attorney in fact CONOCO SHALE OIL, INC . ' 1111 W1lrJ~~,~~1l1~, iK1 I W1,t~"'1:1•1 l.1.'1~•1'ik~~,;p !11,,7WINl1 1111 I Reception#: 847503 03/24/2014 03:58:50 PM Jean Rlberico 21 of 24 Rec Fee:$126 00 Doc Fee:0.00 GRRFIELD COUNTY CO ll'.::·r 64.S P!GE 612 ~~!!--/ .Lj <19 ~u~~ iL~C 'PAG~ b56 terminate and Lessees shall have the right and privilege to remove all or any part thereof which may be removed without substantial damage to real property owned by some party other than Lessees; provided, however, the Lessees agree to negotiate in good faith with Lessors, the Management Committee, Bluestone or the River District for the sale and transfer of title to any separate facility which may have been constructed by the Less~es for utilization of rights retained by the Lessors pursuant to Paragraph 8 herein in consideration of payment to Lessors of the net salvage value thereof. 19. Further Assurances. Each of the parties shall execute and deliver all such agreements, instruments, ce~tificates and documents, specifically including, without limitation, a memor- andum of this agreement in recordable form, and do any and all further action and things as may, in the opinion of any of the other parties, be necessary or convenient at any time to carry into effect the purpose· and intent of this agreement. 20. Force Majeure. If a party should be delayed in, or prevented from, performing any of the terms, covenants or condi- tions of this Lease {other than the payment of money), by reason of fire, flood, earthquake, subsidence, ground colla?se or land- slide, interruption or delay in transportation or ?ewer supply, strike, lockout, war, government law, order, regulation or interference, act of God or any other cause beyond such party's reasonable control, then failure of such party to so perform sh~ll not be deemed to be a breach of this Lease and the time within which such party is obliged to so perform shall be extended by the total period of all such delays. The affected party shall use all reasonable diligence to remove the cause of delay or prevention as quickly as possible; provided, however, that it shall not be required to settle any strike, lockout or other labor difficulty if it deems settlement to be inadvisable. The affected party shall notify the other parties forthwith regarding each new cause of delay or prevention resulting in the provisions of this paragraph becoming op~rative, specifying the particulars of such cause and the day upon which the same arose, and shall give like notice forthwith following the date that such cause ceases to exist. 21. Miscellaneous Provisions. The failure df any party to insist in one or more cases upon the strict performance or observance ot any of the covenants, agreements or conditions of this Lease shall not be construed as a waiver or .reli~quishment in any future case of such covenant, agreement or condition. No waiver by any party of any covenant, agreement or condition of this Lease, shall be deemed to have been rnade unless expressed in writing and signed by such party. This Lease cannot be modi- fied orally, but only by an agreement in writing s ign'ed by all parties. If any term or provision of this Lease or any applica- tion thereof is invalid or unenforceable, the remainder of this Lease and any other application of such ter~ or provision shall not be affected thereby. The captions of this Lease are for convenience of reference only, are not a part of this Lease and shall not define or limit any of the terms or provisions hereof. All rights and duties of the parties hereunder ~hall inure to the benefit of and be binding upon their respec=!7e successors and assigns. This Lease constitutes the entire a9reement between and among the parties with respect to the subject matter hereof and supersedes all prior agreements and understandings, written or oral, with respect to such subject matter. This Lease shall be governed by the 1aws of the State of Colorado in all respects, including matters of validity, construction, per- formance and enforcement. Time shall be of the essence of this .. Lease. This Lease shall not be in force or effect or be binding on any party until properly executed by all parties. This Lease may be executed in any number of counterparts, all pf which taken together shall constitute one and the same instrument. 22. Other Miscellaneous Provision. If any prQvision of this Lease, specifically including, without limitation, the · 1111 w,1r.rNl~/rl~,1 i,~, ~'811.I \~IL1';Jr1~,1,~·, ~~r~,"•'*'·j~iN~, 11111 Reception~: 847503 0312412014 03:58:50 PM Jean Rlberico 23 of 24 Rec Fee:$126.00 Doc Fee:0.00 GRRFIELD COUNTY CO .. BOOK 1489 ?AGE 653 ?revision set forth in Paragraph 9B hereof, would otherwise violate the rule against perpetuities or some analogous statu- i:.ory provision, or any other statutory or common law rule impos- ing time limits, then such provision shall continue only until twenty-one years,. less one day, after the death of the survivor of the now living descendants of the president of each party to this Lease, and Anthony w. Williams, Warren L. Turner, Berndt'c. Holmes, J. D. Snodgrass and Bernard A. Buescher, members of the Grand Junction, Colorado firm of Williams, Turner & Holmes, P.C. If any term or provision of the Lease or any application thereof is invalid or unehforceable, the remainder of this Lease and any other application of such term or provision shall not be affected thereby. IN WITNESS \·/HEREOF, the parties have executed this Lease on _J::....::u~n~e'--7;_:_'~~~~~~~' 1983. Attest: :SLUESTONE WATER CONSERVANCY DISTRICT COLORADO RIVER \-i.l\TER CONSERVATION I STRICT JL//-=-t~-'\) 0-._ '--·· I . "'\\ \.!_ .\ '\:i.. ~ ( President GETTY OIL COMPANY Bylli a2lti~ Don A. Nichols, attorney in fact CONOCO SHALE OIL, INC . 1111 ~,1r.,~11P'.~1Rl.~ ~,r'11 r.~HIHH111r 1,u1,M~1M~ i~IWNI, 11111 Reception~: 847503 03/24/2014 03:58:50 PM Jean Alberico 24 of 24 Rec Fee:$126.00 Doc Fee:0.00 GARFIELD COUNTY CO !l!J:.JX G4S f'!GE 615 .. aooK l489 PAGE 659 STATE OF CALIFORNIA ss. COUNTY OF LOS ANGELES The foregoing instrument was acknowledged before me this ~day of May, 1983 by Don A. Nichols as attorney in fact for Getty Oil Company. My conunission expires: . My address is: ...3l'dj .Jh.l!.kv...._ ... 5--c....,,.<_ .~,...,,_-CZ.-J~-.:.-~, e..A • OFFICIAL S£AI.. DONNA F. DAVIS NOTARY PUBLIC • CAUFOJ'm!A LOS ANGELES COUNTY My Comm. hpi1H )..,..,. 6. 19!6 STATE OF COLORADO. ~o.u.ur,Y .. OF DENVER Notary Public ss. ... •''' ·.•. c { ,,,,,,,, ... _..-···,.,.. .',.-.. ,_f~····.;Eoregoing instrument was acknowledged before me this / ...,'-' MP,~ y'( Cj'i~ of May , · 19 8 3 by -~M:.::i:..:1:..:f'-'o'-'r'-'d"--'R,,_,_. _,.L,,..e.,.e~-------- i;: ~ s· ~!:ii~e!it and Maraaret Sebastian as ~ ssi st ant ~ :_. ~a-CT-~-M;-:l; pf Conoco Shale OiL. Inc., a corporation. ~ ·-.PU'i?>\;/,"'/ \':.:; ... M~oc;:ommission expires: 3/6/86 j ".,.,,-1rr of ~:i . .."address is: 555 17th Stree . ................... Denver CO 80 "O Ji ' ( '1 : d //7 aC../ .. ,_)·/)~ /1L}'<l'd~ Notaliy Publ'ic STATE OF COLORADO ss. COUNTY OF MESA The foregoing instrument was acknowledged before me this -2.5.t.h. day of May, 1983 by Lawrence W. St. John as President of Bluestone Water Conservancy District and .. ''~~-ci.e M. Anderson as Secretary of Bluestone Water .---r~-.terva1~J\.9.?-strict • ./~/.-·\i.()lrfi:.fl Jc~~fssion expires: 2-4-86 ~'-': ~~dore.ss is: P. o. Box 40 ·l ·~,\.PLJJ3\.\ _/gf. Grand Junction, Colorado 81502 ·:\;.:>~·;··~--~-~~~:::..-·· . (\ __ ~ 0 4. 0. ~LQ "••·• ........ ······ Notary Public ~· STATE OF COLORADO ss. COUNTY OF GARFIELD The foregoing instrument was acknowledged before me this --1.tb day of June ,1983 by -,--'R'-=-i,,,_a_,,,l'--'-R"'""'.,__· L=a-'-'k,_,,e,__ __________ _ as President of Colorado River Water Conservation District and Roland C. Fischer as Secretary of Colorado River Water Conservation District. My-coffi!llission expires: March 17, 1986 ,,&. ... address is: 201 Centennial Street " . .-··~\\IE 'i:>.,,, :". Glenwood Springs, CO 81601 ..... '' ~ ....... ········.'~' ' ......... ·~ : \'·.· •• 1.;<'I ';. • ::<--/./ { : .i f '.u~ .. '\ o TA /7 ,;:. .. .:. \ ..,.,,,ec"-'-l"f..:::........e=-=-=="-"-'="'··,_,·,...,,,"' ........ .::;..,.~:..::,.__,,=----------- § ~; '-<.--<rv-<~: ~ Notary Public \ <t>\ PusD"/" :" ~---:~;~·~:····:::·~~~~-·/ t-t' Exhibit 2 Garfield County Community Development Department 108 81h Street, Suite 401 Glenwood Springs, CO 81601 (970) 945-8212 www.garfield-county.com TYPE OF APPLICATION D Administrative Review D Limited Impact Review D Major Impact Review D Amendments to an Approved LUCP OUR DMIR DsuP D Minor Temporary Housing Facility D Vacation of a County Road/Public ROW Iii Location and Extent Review D Comprehensive Plan Amendment D Major D Minor D Pipeline Development LAND USE CHANGE PERMIT APPLICATION FORM D Development in 100-Year Floodplain D Development in 100-Year Floodplain Variance D Code Text Amendment D Rezoning D Zone DistrictO PUD D PUD Amendment D Administrative Interpretation D Appeal of Administrative Interpretation D Areas and Activities of State Interest D Accommodation Pursuant to Fair Housing Act D Variance D Time Extension (also check type of original application) INVOLVED PARTIES Owner/ Applicant Name: Bluestone Management Committee c/o Colorado River District Phone: ( 970 ) 945-8522 Mailing Address: PO Box 1120 City: Glenwood Springs State: CO Zip Code: 81602 E-mail: rtenney@crwcd.org Representative (Authorization Required) Name: Ray Tenney Phone: (970 ) 945-8522 Mailing Address: PO Box 1120 City: Glenwood Springs State: CO Zip Code: 81602 E-mail: rtenney@crwcd.org PROJECT NAME AND LOCATION Project Name: Kobe Pipeline and Pumping Plant Project Assessor's Parcel Number: 2443 -124 -00 -006 ------------ Physical/Street Address: • Lat= N039° 21' 58.92" • Long = W108° 15' 25.07" Legal Description: Please refer to Exhibit 3 (Site Plan) for complete legal descriptions zone District: Resource Lands Property Size (acres): -1.2ac of 1,068.25ac parcel PROJECT DESCRIPTION -------·------------! Existing Use: Larger subject property is leased for livestock grazing. Pipeline ROW markers also demonstrate existing oil and gas development in Lhe area. Proposed Use (From Use Table 3-403): _w_a_te_r_s_to_ra....;g:....e_a_n_d_fi_ll _st_at_io_n ________________ _ Description of Project: Applicant proposes to construct water storage tanks, a fill station, and the associated infrastructure on private lands in Garfield County to complete a more comprehensive project known as the Kobe Pumping Plant and Pipeline project, which is located primarily on private lands in Mesa County. For clarity, the entire project is described in the submittal materials, with a focus on the portion of the project in Garfield County. Construction is anticipated to begin in early spring 2014. REQUEST FOR WAIVERS Submission Requirements D The Applicant requesting a Waiver of Submission Requirements per Section 4-202. List: Section: Section: Section: Section: Waiver of Standards D The Applicant is requesting a Waiver of Standards per Section 4-118. List: Section: Section: Section: Section: the statements above and have provided the required attached information which is n ccura~of my knowledge. -::::> ~ 3/27/2014 Si Date OFFICIAL USE ONLY .___ ______ _ FileNumber: _______ _ Fee Paid:$ -------------~ I . ---J 1111 w,1~-'it~~~~', ""1~r¥it r~¥1 ~·~~~~~~r~t1 ~1~1'l~ *','~, 11111 Reception~: 847502 . 03/24/2014 03-58·50 PM Jean Alberico 1 of 1 Rec Fee:$i1 .00 Doc Fee:0.00 GARFIELD COUNTY CO SPECIAL POWER OF ATTORNEY I, Dale Albertson, being the Chairman of the Bluestone Management Committee ("Committee"), an intergovernmental entity established pursuant to the Joint Management Agreement dated March 1, 1983 between the Bluestone Water Conservancy District and the Colorado River Water Conservation District, and having been specifically authorized to do so by the affirmative vote of the Committee at a meeting held on March 21, 2014, do make, c~nstitute and appoint Ray Tenney, of the County of Garfield, State of Colorado, to act as the true and lawful attorn~y-in-fact for the Committee for the limited purpose of executing an application to ·Garfield County for authorization to construct, operate and maintain water storage and truck load-out facilities to be located in Section 18, Township 8 South, Range 97 West of the 6th P.M., and any other documents that may be necessary or appropriate in connection with the matter identified above. The Committee's attorney-in-fact is authorized and empowered to complete the items described above upon such terms and conditions as said attorney-in-fact may deem necessary and convenient. The Committee's attorney-in-fact is granted full power and authority to do everything necessary in exercising the powers herein granted as fully as the Committee might or could do if personally present, with full power of substitution or revocation, and the Committee hereby ratifies and confirms all that said attorney-in-fact shall lawfully do or cause to be done by virtue of this Power of Attorney and the powers herein granted. ' This Power of Attorney shall not be affected by disability of the principal. This Power of Attorney shall expire on August 1, 2014. Executed on March 21, 2014. Dale Albertson, Chairman STATE OF COLORADO ) ) SS. COUNTY OF GARFIELD ) The foregoing instrument was acknowledged before me this 21st day of March, 2014 by Dale Albertson, Chairman of the Bluestone Management Committee, the Principal. Witness my hand and official seal. My commission expires: 7-I J-O?Olf> My Commission Expires 07111/2015 \ BEATTIE, CHADWICK & HOUPT, LLP Attorneys And Counselors At Law 932 Cooper Avenue Glenwood Springs, CO 81601 Steven M. Beattie Telephone (970) 945-8659 Glenn D. Chadwick facsimile (970) 945-8671 Jefferson V. Houpt Julie S. Hanson jhoupt@bch-law.com M E M O R A N D U M TO: Glenn Hartman, Senior Planner , Garfield County Kelly Cave, Assistant County Attorney FROM: Jefferson V. Houpt DATE: March 27, 2014 RE: Bluestone Management Committee ______________________________________________________________________________ This memo responds to several questions posed at our meeting on March 20, 2014. 1. Authority to Operate Through the Management Committee. The Bluestone Water Conservancy District is a political subdivision of the state and a body corporate with all of the powers of a public or municipal corporation. C.R.S. §37-45-112(7). As such, it is authorized to cooperate and contract with another governmental entity to “provide for the joint exercise of the functions, services, or facilities, including by the establishment of a separate legal entity to do so. C.R.S. §29-1-203(4). This provides the Bluestone Water Conservancy District the authority to contract with the River District to create the Management Committee as a separate entity to manage the water rights. Likewise, the Colorado River Water Conservation District is a body corporate and politic and a political subdivision of the state, C.R.S. §37-46-102(2), and has the authority cooperate and contract with another governmental entity. C.R.S. §29-1-203(4). In addition, the River District is authorized, under its “Cooperative Powers,” to enter into “joint operating or service contracts and agreements … or other arrangements with …any political subdivision…concerning facilities and any project or property pertaining thereto…” C.R.S. 37-46-149(2)(b). Exercising their authority to cooperate, the Districts have entered into a Joint Management Agreement dated March 1, 1983 which generally provides for the cooperative management of certain assets and the formation of a four-person “Management Committee” for that purpose. The Management Committee is composed of two directors from each District and has been given the exclusive right to manage and control the assets. Joint Management Agreement at ¶3. Memo to G. Hartman and K. Cave March 27, 2014 Page 2 of 2 2. The Joint Management Agreement. The Joint Management Agreement provides that it will be recorded. Joint Management Agreement at ¶20. You had requested that we provide you with a copy of the recorded document. We were unable to confirm that the Agreement was previously recorded. Therefore, we have recorded it in Garfield County, and a copy of the recorded document, including the lease attached to the Agreement as Exhibit A, is provided with this memo. Page 1 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. West's Colorado Revised Statutes Annotated Currentness Title 37. Water and Irrigation Water Conservation and Irrigation Districts Conservation and Irrigation Districts Article 45. Water Conservancy Districts (Refs & Annos) § 37-45-101. Short title This article shall be known and may be cited as the “Water Conservancy Act”. § 37-45-102. Legislative declaration (1) It is hereby declared that to provide for the conservation of the water resources of the state of Colorado and for the greatest beneficial use of water within this state, the organization of water conservancy districts and the con- struction of works as defined in this article by such districts are a public use and will: (a) Be essentially for the public benefit and advantage of the people of the state of Colorado; (b) Indirectly benefit all industries of the state; (c) Indirectly benefit the state of Colorado in the increase of its taxable property valuation; (d) Directly benefit municipalities by providing adequate supplies of water for domestic use; (e) Directly benefit lands to be irrigated from works to be constructed; (f) Directly benefit lands now under irrigation by stabilizing the flow of water in streams and by increasing flow and return flow of water to such streams; (g) Promote the comfort, safety, and welfare of the people of the state of Colorado. (2) It is therefore declared to be the policy of the state of Colorado: (a) To control, make use of, and apply to beneficial use all unappropriated waters originating in this state to a di- rect and supplemental use of such waters for domestic, manufacturing, irrigation, power, and other beneficial uses; (b) To obtain from water originating in Colorado the highest duty for domestic uses and irrigation of lands in Page 2 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. Colorado within the terms of interstate compacts; (c) To cooperate with the United States under the federal reclamation laws and other agencies of the United States government for the construction and financing of works in the state of Colorado as defined in this article, and for the operation and maintenance thereof; (d) To promote the greater prosperity and general welfare of the people of the state of Colorado by encouraging the organization of water conservancy districts as provided in this article. (3) It is further declared that: (a) The development, use, and conservation of water within this state is inextricably tied to the development and construction of works as defined in this article; (b) The development and construction of such works shall be deemed to be the development, use, and conserva- tion of water; and (c) Such works are deemed to be a public use essential for the public benefit of the people of this state. § 37-45-103. Definitions As used in this article, unless the context otherwise requires: (1) “Acre-foot” or “acre-feet” may be substituted by any other commonly used unit for the measurement of water when appropriate. (2) “Board” means the board of directors of the district. (3) “Court” means the district court of that judicial district of the state of Colorado wherein the petition for the or- ganization of a water conservancy district shall be filed. (4)(a) “Elector” means a person who, at the designated time or event, is qualified to vote in general elections in this state, and: (I) Who has been a resident of the district or the area to be included in the district for not less than thirty-two days; or (II) Who or whose spouse owns taxable real or personal property within the district or the area to be included in the district. Page 3 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (b) A person who is obligated to pay general taxes under a contract to purchase real property within the district shall be considered an owner within the meaning of this subsection (4). The payment of a specific ownership tax pursuant to law shall not qualify a person as an elector. Taxable property means real or personal property subject to general ad valorem taxes. (c) For all elections and petitions that require ownership of real property or land, a mobile home or manufactured home as defined in section 38-12-201.5(2), 5-1-301(29), or 42-1-102(106)(b), C.R.S., shall be deemed sufficient to qualify as ownership of real property or land for the purpose of voting rights and petitions. (5) “Land” or “property” is used in this article with reference to benefits, appraisals, assessments, or taxes, as po- litical entities, according to benefits received, and public corporations shall be considered as included in such ref- erence in the same manner as “land” or “property”. (6) “Land” or “real estate” means real estate, as “real estate” is defined by the laws of the state of Colorado, and embraces all railroads, tramroads, electrical roads, street and interurban railroads, highways, roads, streets and street improvements, telephone, telegraph, and transmission lines, gas, sewer and water systems, water rights, pipelines, and rights-of-way of public service corporations, and all other real property whether held for public or private use. (7) “Person” means a person, firm, partnership, association, or corporation, other than a county, town, city, city and county, or other political subdivision. Similarly, “public corporation” means counties, city and counties, towns, cities, school districts, irrigation districts, water districts, park districts, subdistricts, and all governmental agencies, clothed with the power of levying or providing for the levy of general or special taxes or special assess- ments. (8) “Property” means real estate and personal property. (9) “Publication” means once a week for three consecutive weeks in at least one newspaper of general circulation in each county wherein such publication is to be made. It shall not be necessary that publication be made on the same day of the week in each of the three weeks, but not less than fourteen days, excluding the day of the first publication, shall intervene between the first publication and the last publication, and publication shall be com- plete on the date of the last publication. (10) “Works” means dams, storage reservoirs, compensatory and replacement reservoirs, canals, conduits, pipe- lines, tunnels, power plants, and any and all works, facilities, improvements, and property necessary or convenient for the supplying of water for domestic, irrigation, power, milling, manufacturing, mining, metallurgical, and all other beneficial uses. § 37-45-104. Name of district--bonds The districts created under this article may be termed “water conservancy districts”, and the bonds which may be Page 4 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. issued under this article may be called “water conservancy bonds”, and such designation may be engraved or printed on their face. § 37-45-105. Liberal construction This article, being necessary to secure and preserve the public health, safety, convenience, and welfare and for the security of public and private property, shall be liberally construed to effect the purposes of this article. § 37-45-106. Constitutional construction clause If the courts of the state or of the United States declare any section, provision, paragraph, clause, sentence, or phrase, or part thereof, of this article invalid or unconstitutional, or in conflict with any other section, provision, paragraph, clause, sentence, or phrase, or part thereof, of this article, then such decision shall affect only the sec- tion, provision, paragraph, clause, sentence, phrase, or part thereof declared to be unconstitutional or unauthorized and shall not affect any other part whatsoever of this article. The general assembly of the state of Colorado de- clares that it would have passed this article and each section, provision, paragraph, clause, sentence, or phrase hereof irrespective of the fact that any one or more of the other sections, provisions, paragraphs, clauses, sen- tences, or phrases, or parts thereof, are declared invalid or unconstitutional. § 37-45-107. Repeal--saving clause All acts or parts of acts conflicting in any way with any of the provisions of this article in regard to the improve- ments or improvement districts, or regulating or limiting the power of taxation or assessments, or otherwise inter- fering with the accomplishment of the purposes of this article according to its terms are declared nonoperative and noneffective as to this article as completely as if they did not exist. But all such acts and parts of acts shall not in any other way be affected by this article. § 37-45-108. Jurisdiction of district courts The district court sitting in and for any county in this state is hereby vested with jurisdiction when the conditions stated in section 37-45-109 are found to exist to establish water conservancy districts which may be entirely within or partly within and partly without the judicial district in which said court is located for conserving, devel- oping, and stabilizing supplies of water for domestic, irrigation, power, manufacturing, and other beneficial uses as provided in this article; but the terms of this article shall not be construed to confer upon such district court ju- risdiction to hear, adjudicate, and settle questions concerning the priority of appropriation of water between dis- tricts organized under this article and ditch companies and other owners of ditches drawing water for irrigation purposes from the same stream or its tributaries, and jurisdiction to hear and determine such questions of law and questions of right growing out of or in any way involved or connected therewith are expressly excluded from this article and shall be determined in the proper county as otherwise provided by the laws of the state of Colorado. § 37-45-109. Petition Page 5 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (1)(a) Except as provided in subsection (2.5) of this section, before any water conservancy district is established under this article having a valuation for assessment of irrigated land, together with improvements thereon within the proposed district, of twenty million dollars or more, a petition shall be filed in the office of the clerk of the court vested with jurisdiction in a county in which all or part of the lands embraced in such proposed water con- servancy district are situated, signed by not fewer than fifteen hundred owners of irrigated land situated within the limits of the territory proposed to be organized into a district but not embraced within the incorporated limits of a city or town; and each tract of land shall be listed opposite the name of the signer, each such tract, together with improvements thereon, to have a valuation for assessment of not less than two thousand dollars. Such petition shall be also signed by not fewer than five hundred owners of nonirrigated land or lands embraced in the incorpo- rated limits of a city or town, all situated in the proposed district; and each tract of land shall be listed opposite the name of the signer, each such tract, together with improvements thereon, to have a valuation for assessment of not less than one thousand dollars. (b) In the event a petitioner signs the petition both as owner of irrigated and nonirrigated land situated within a municipality, his name shall be counted only as an owner of irrigated lands. A signing petitioner shall not be per- mitted, after the filing of the petition, to withdraw his name therefrom. (c) No district shall be formed under this subsection (1) unless the valuation for assessment of irrigated land, to- gether with improvements thereon, within the proposed district, is twenty million dollars or more, and no city, or city and county, having a population of more than twenty-five thousand as determined by the last United States census shall be included within such district unless by and with the written consent of the chief executive officer of such city, or city and county, and with the approval of the legislative body of such municipality, and such con- sent may specify that the rate of taxation on the valuation for assessment of property within said city, or city and county, under section 37-45-122, shall not exceed a maximum rate which may be less than the rates set out in section 37-45-122, and, in such case, the district shall not have power to levy an assessment on the property in said city, or city and county, at a greater rate than that specified in said consent. (2)(a) Except as provided in subsection (2.5) of this section, before any water conservancy district shall be estab- lished under this article having a valuation for assessment of irrigated land, together with improvements thereon, within the proposed district of less than twenty million dollars, a petition shall be filed in the office of the clerk of the court vested with jurisdiction in a county in which all or part of the lands embraced in such proposed water conservancy district are situated, signed by not fewer than twenty-five percent of the owners of irrigated lands to be included in the district but not embraced within the incorporated limits of a city or town; and each tract of land shall be listed opposite the name of the signer, each such tract, together with improvements thereon, to have a valuation for assessment of not less than one thousand dollars. Such petition shall be also signed by not fewer than five percent of the owners of nonirrigated land or lands embraced in the incorporated limits of a city or town, all situated in the proposed district; and each tract of land shall be listed opposite the name of the signer, each such tract, together with improvements thereon, to have a valuation for assessment of not less than one thousand dol- lars. (b) In the event a petitioner signs such a petition both as owner of irrigated and nonirrigated land situated within a Page 6 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. municipality, his name shall be counted only as an owner of irrigated land. A signing petitioner shall not be per- mitted, after the filing of the petition, to withdraw his name therefrom. (c) No district shall be formed under this subsection (2) unless the valuation for assessment of irrigated land, to- gether with improvements thereon, within the proposed district, is less than twenty million dollars, and no city, or city and county, having a population of more than twenty-five thousand as determined by the last United States census shall be included within such district unless by and with the written consent of the chief executive officer of such city, or city and county, with the approval of the legislative body of such municipality, and such consent may specify that the rate of taxation on the valuation for assessment of property within said city, or city and county, under section 37-45-122, shall not exceed a maximum rate which may be less than the rates set out in section 37-45-122, and, in such case, the district shall not have power to levy an assessment on the property in said city, or city and county, at a greater rate than that specified in said consent. (2.5)(a) As an alternative to the procedures set forth in subsections (1) and (2) of this section, a petition for an election on the organization of a water conservancy district may be filed with the clerk of the court vested with ju- risdiction in a county in which all or part of the lands embraced in such proposed district is situated. The petition shall be signed by not less than ten percent or two hundred electors of the proposed special district, whichever number is smaller. The proposed boundary of the special district may include any part or all of any city or city and county of any size. Such petition and the hearing thereon shall otherwise comply with the provisions of this article which are not inconsistent with the provisions of this subsection (2.5). (b) On the day fixed for the hearing, or at a continuance thereof, the court shall first ascertain, from such evidence which may be adduced, that the required number of electors of the proposed district have signed the petition. Upon said hearing, if it appears that the petition for the organization of the district has been signed and presented in conformity with this subsection (2.5) and that the allegations of the petition are true, the court, by order duly entered of record, shall direct that the question of the organization of the water conservancy district shall be sub- mitted at an election to be held for that purpose in accordance with the procedures set forth in sections 37-45-139 to 37-45-141. The court shall exercise all functions which are the responsibility of the board of directors of a wa- ter conservancy district as set forth in said sections. (c) At such election, the voter shall vote for or against the organization of the water conservancy district. If a ma- jority of the votes cast at said election are in favor of the organization, the court shall declare the district organized and give it the corporate name designated in the petition, by which it shall thereafter be known in all proceedings. However, if the proposed district includes any territory within a municipality and a majority of the votes cast by voters residing within that incorporated area are against formation of the district, the governing body of said mu- nicipality may, within thirty days after certification of the election results, petition the court organizing the district for exclusion from the district of all such incorporated territory, and the court shall exclude such territory from the district. Thereupon, the district shall be a political subdivision of the state of Colorado and a body corporate with all the powers of a public or municipal corporation. (3) The petition shall set forth: Page 7 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (a) The proposed name of said district; (b) In cases where an election will not be held on the organization of the district, that property within the proposed district will be benefited by the accomplishment of the purposes enumerated in section 37-45-108; (c) A general description of the purpose of the contemplated improvement and of the territory to be included in the proposed district. The description need not be given by metes and bounds or by legal subdivision, but it shall be sufficient to enable a property owner to ascertain whether his property is within the territory proposed to be or- ganized as a district. The territory need not be contiguous if it is so situated that the organization of a single dis- trict of the territory described is calculated to promote one or more of the purposes enumerated in section 37-45- 108. (d) Whether or not any part of the proposed district is included within the boundaries of a district already in exis- tence under the provisions of this article and, if so, the general description, as defined in paragraph (c) of this sub- section (3), of the overlapping area; (e) The valuation for assessment of all irrigated land within the boundaries of the proposed district if the district is to be organized without holding an election on the question of organization; (f) A general designation of divisions of the district and the number of directors of the district proposed for each subdivision; (g) A prayer for the organization of the district by the name proposed and, in the case of a petition for an election under subsection (2.5) of this section, a request for the holding of an election on the question of the organization of the district. (4) No petition with the requisite signatures shall be declared void on account of alleged defects, but the court may permit the petition to be amended at any time to conform to the facts by correcting any errors in the description of the territory or in any other particular. However, similar petitions or duplicate copies of the same petition for the organization of the same district may be filed and together shall be regarded as one petition. All such petitions filed prior to the hearing on the first petition filed shall be considered by the court the same as though filed with the first petition placed on file. (5) In determining whether the requisite number of landowners have signed the petition, the court shall be gov- erned by the names as they appear upon the tax roll which shall be prima facie evidence of such ownership. § 37-45-110. Bond of petitioners At the time of filing the petition or at any time subsequent thereto and prior to the time of hearing on said petition, a bond shall be filed, with security approved by the court, sufficient to pay all expenses, including any expenses of an election, connected with the proceedings in case the organization of the district is not effected. If at any time Page 8 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. during the proceeding the court is satisfied that the bond first executed is insufficient in amount, it may require the execution of an additional bond within a time to be fixed to be not less than ten days distant, and, upon failure of the petitioner to execute the same, the petition shall be dismissed. § 37-45-111. Notice of hearing on petition (1) Immediately after the filing of such petition, the court wherein such petition is filed, by order, shall fix a place and time, not less than sixty days nor more than ninety days after the petition is filed, for hearing thereon, and thereupon the clerk of said court shall cause notice by publication to be made of the pendency of the petition and of the time and place of hearing thereon; the clerk of said court shall also forthwith cause a copy of said notice to be mailed by United States registered mail to the board of county commissioners of each of the several counties having territory within the proposed district. (2) The district court in and for the county in which the petition for the organization of a water conservancy dis- trict has been filed shall thereafter for all purposes of this article, except as otherwise provided in this article, maintain and have original and exclusive jurisdiction coextensive with the boundaries of said water conservancy district and of land and other property proposed to be included in said district or affected by said district, without regard to the usual limits of its jurisdiction. (3) No judge of such court wherein such petition is filed shall be disqualified to perform any duty imposed by this article by reason of ownership of property within any water conservancy district or proposed water conservancy district or by reason of ownership of any property that may be benefited, taxed, or assessed therein. § 37-45-112. Protests and hearings on petitions (1)(a) At any time after the filing of a petition for the organization of a conservancy district having a valuation for assessment of irrigated land within the proposed district, together with improvements thereon, of twenty million dollars or more, a petition protesting the creation of said district may be filed in the office of the clerk of the court wherein the proceeding for the creation of said district is pending. Such protesting petition shall be filed at least thirty days prior to the time fixed by order of court for the hearing upon the petition to create such district, and not thereafter. (b) Any such protesting petition shall be signed by either: Not fewer than fifteen hundred owners of the irrigated lands in said proposed district, but not embraced within the incorporated limits of a city or town, the aggregate valuation for assessment of which, together with improvements, is not less than two million dollars and also signed by not fewer than five hundred owners of nonirrigated land or lands embraced in the incorporated limits of a city or town, all such situated within the proposed district, the aggregate valuation for assessment of which, to- gether with improvements, is not less than one million dollars; or owners of property subject to ad valorem taxes within the proposed district, regardless of number, the aggregate valuation for assessment of which property is more than fifty percent of the total valuation for assessment of all property subject to ad valorem taxes within the proposed district. Page 9 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (c) The signers of any such protesting petition shall state therein a description of the taxable property owned by each, the value thereof as shown by the last preceding assessment, and that they did not sign the petition for creat- ing the proposed district. (2)(a) At any time after the filing of a petition for the organization of a conservancy district having a valuation for assessment of irrigated land within the proposed district, together with improvements thereon, of less than twenty million dollars, a petition protesting the creation of said district may be filed in the office of the clerk of the court wherein the proceeding for the creation of said district is pending. Such protesting petition shall be filed at least thirty days prior to the time fixed by order of court for the hearing upon the petition to create said district, and not thereafter. (b) Any such protesting petition shall be signed by either: Not fewer than twenty-five percent of the owners of the irrigated lands within said proposed district not embraced within the incorporated limits of a city or town and also signed by not fewer than five percent of owners of nonirrigated lands or lands embraced in the incorporated limits of a city or town, all situated within the proposed district; or owners of property subject to ad valorem taxes within the proposed district, regardless of number, the aggregate valuation for assessment of which property is more than fifty percent of the total valuation for assessment of all properties subject to ad valorem taxes within the proposed district. (c) The signers of any such protesting petition shall state therein a description of the taxable property owned by each, the value thereof as shown by the last preceding assessment, and that they did not sign the petition for creat- ing the proposed district. (3) In the event a petitioner signs such petition both as owner of irrigated and nonirrigated land situated within a municipality, his name shall be counted only as an owner of irrigated lands. (4)(a) Upon the filing of any petition either for or against creation of a district, it is the duty of the clerk of the court to make as many certified copies thereof, including the signatures thereto, as there are counties in which any part of said district extends. (b) The court shall thereupon order the mailing of such copies to the appropriate county treasurers, which order shall include directions to the county treasurers to certify by a day certain such information contained in their offi- cial files as the court may deem necessary to resolve the issues of property ownership and valuation for assess- ment raised in or incidental to the petitions as filed. (5)(a) Upon the day set for the hearing upon the original petition, if it appears to the court from the information furnished by the county treasurers, and from such other evidence as may be adduced by any party in interest, that a protesting petition is not signed by the requisite number of owners of lands and of the requisite values, as appli- cable, the court shall thereupon dismiss said protesting petition and shall proceed with the original hearing as pro- vided in this section. (b) If the court finds from the evidence that a protesting petition is signed by the requisite number of owners of Page 10 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. lands and of the requisite values, as applicable, the court shall order an election on the question of the formation of the district in accordance with the procedure set forth in sections 37-45-139 to 37-45-141. The court shall exercise all functions which are the responsibility of the board of directors of a water conservancy district as set forth in said sections. (c) The finding of the court upon the question of total valuation, the genuineness of the signatures, and all other matters of law and fact incident to such determination shall be final and conclusive on all parties and interests whether appearing or not. (6)(a) Any owner of real property in said proposed district not having individually signed a petition for the organi- zation of a conservancy district may file objection to the organization and incorporation of the district. Such ob- jection shall be limited to a denial of the statements in the petition. (b) The owner of any real property, or interest therein subject to ad valorem taxation, within the proposed district may file a petition with the court stating reasons why said property should not be included therein and praying that said property be excluded therefrom. Such reasons may include, but shall not be limited to, the absence of benefit to the said property derived from the proposed district and the fact that the exclusion will not interfere with the purposes of the proposed district. Such petition shall be duly verified and shall describe the property sought to be excluded. The court shall hear said petition and all objections thereto at the time of the hearing on the petition for organization as an advanced matter and shall determine whether said property should be excluded or included in said district. A final order of the court shall be entered on a petition for exclusion prior to and separately from any final order granting or dismissing the petition for the organization of the district. (c) Any petitions or objections filed under paragraph (a) or (b) of this subsection (6) shall be filed at least thirty days prior to the time fixed by order of court for hearing upon the petition to create said district and not thereafter. (6.5)(a) The only objections or protesting petitions allowed in the case of a petition for an election under section 37-45-109(2.5) shall be those filed under paragraph (b) of subsection (6) of this section and those which protest that such petition for an election has not been signed and presented in compliance with said section. (b) In the event that a petition is amended to request an election, any protesting petitions not allowed under para- graph (a) of this subsection (6.5) shall be dismissed by the court and the proceedings continued as provided in section 37-45-109(2.5). (6.6) Any petition originally filed under section 37-45-109(1) or (2) may, at any time, be amended to request an election on the question of the organization of the district as provided in section 37-45-109(2.5) if the original pe- tition stated that it may be used in the alternative to request an election on the question of the organization of the district. Any such amended petition shall then conform with the petition requirements of section 37-45-109(2.5), and any signers to the petition originally filed shall be considered valid signers on the amended petition so long as such signers meet the requirements of section 37-45-109(2.5). (7) Upon said hearing on a petition filed under section 37-45-109(1) or (2), if it appears that the petition for the Page 11 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. organization of a water conservancy district has been signed and presented in conformity with this article, and that the allegations of the petition are true, and that no protesting petition has been filed, or if filed has been dismissed, by order duly entered of record, the court shall adjudicate all questions of jurisdiction, declare the district organ- ized, and give it a corporate name, by which in all proceedings it shall thereafter be known, and thereupon the dis- trict shall be a political subdivision of the state of Colorado and a body corporate with all the powers of a public or municipal corporation. (8) In such decree the court shall designate the place where the office or principal place of business of the district shall be located, which shall be within the corporate limits of the district and which may be changed by order of court from time to time. The regular meetings of the board shall be held at such office or place of business but for cause may be adjourned to any other convenient place. The official records and files of the district shall be kept at the office so established. (9) If the court determines that a petition for organization of a water conservancy district has not been signed and presented in conformity with this article or that the material facts are not as set forth in the petition, the court shall allow the petitioner thirty days within which to cure any defects as provided in section 37-45-109(4) or to amend the petition as provided in subsection (6.6) of this section to request an election on the question of organizing the district. Any such amendment of a petition shall be valid if amended within said thirty days. If after said thirty days any defects are not cured or the petition is not so amended, the court shall dismiss the proceedings and ad- judge the costs against the signers of the petition in such proportion as it deems just and equitable. No appeal or other remedy shall lie from an order dismissing said proceeding; but nothing in this section shall be construed to prevent the filing of a subsequent petition for similar improvements or for a similar water conservancy district, and the right to renew such proceeding is expressly granted and authorized. (10) If an order is entered establishing the district, such order shall be deemed final and no appeal or other remedy shall lie therefrom, and the entry of such order shall finally and conclusively establish the regular organization of the district against all persons except the state of Colorado, in an action in the nature of quo warranto, commenced by the attorney general within three months after said decree, declaring such district organized as provided in this article, and not otherwise. The organization of such district shall not be directly nor collaterally questioned in any action or proceeding except as expressly authorized in this article. (11) Nothing in this article shall be construed to affect districts organized prior to May 10, 1939, under the provi- sions of this article. § 37-45-113. Provisions for filing and recording decree of incorporation Within thirty days after the district has been declared a corporation by the court, the clerk of the court shall trans- mit to the division of local government in the department of local affairs and to the county clerk and recorder in each of the counties having lands in said district copies of the findings and the decree of the court incorporating said district. The same shall be filed with said division, and copies shall also be recorded in the office of the county clerk and recorder of each county in which a part of the district may be, where they shall become perma- nent records. Page 12 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. § 37-45-114. Appointment of board of directors (1)(a) Within thirty days after entering the decree incorporating said district, the court shall appoint a board of di- rectors of the district with backgrounds reflecting the agricultural, municipal, industrial, and other interests in the beneficial use of water within the district. Such board shall consist of not more than fifteen persons who are resi- dents of the counties in which the water conservancy district is situated, all of whom shall be the owners of real property in said district and knowledgeable in water matters. Directors shall be appointed so as to generally achieve geographical representation. No specific number of directors shall be required to represent any specific in- terest in the beneficial use of water. In order to achieve geographical representation, the court shall appoint a di- rector from each county within the district which contains more than one percent of the total land area of the dis- trict, which person shall be the owner of real property within the district and within said county. Based on the most recent federal census, the court shall appoint the remaining directors, so far as practicable, in the same pro- portion that the population of each county or portion thereof within the district bears to the total population of the district. Said directors shall reside and own real property within each county, or portion thereof within the district, which is entitled to such proportional representation. The district shall maintain, for public inspection at its offices during normal working hours, a current list showing the names, counties of residence, and expiration dates of the terms of each member of the district's board of directors. Not more than sixty days and not less than forty-five days prior to expiration of a director's term, the conservancy district shall publish notice, once in a newspaper of general circulation within the district, that applications for appointment as director will be accepted by the court until thirty days prior to the expiration of the director's term. The notice shall specify the address of the court to which resumes may be sent, shall specify that the applicant must have resided within the district for a period of one year and be the owner of real property within the district, and, when applicable by decree or revised decree, shall specify that the applicant must be the owner of real property within the particular county whose director's term is expiring. If the organizational decree of the district provides criteria for the appointment of board mem- bers, the provisions of this paragraph (a), regarding geographical and population criteria for appointment, shall not apply to districts which were created pursuant to this article prior to July 1, 1985, unless the court enters an order pursuant to paragraph (d) of this subsection (1). (b) At the expiration of their respective terms of office as fixed by the court, appointments of one-third of the board, to the nearest whole number, shall be made by said court for terms of one year; a like number shall be ap- pointed for terms of two years; and the remainder shall be appointed for terms of four years. Thereafter all ap- pointments of directors shall be for terms of four years. The court shall fill, for the duration of the unexpired term, any vacancy which may occur on the board. Each director shall hold office during the term for which he is ap- pointed and until his successor is duly appointed and has qualified and shall furnish a corporate surety bond at the expense of the district, in the amount and form fixed and approved by the court, conditioned for the faithful per- formance of his duties as such director. (c) In the event that any water conservancy district extends into two or more judicial districts, or any parts thereof, the directors of such water conservancy district shall be appointed by the presiding district judges of all such judi- cial districts, who, sitting en banc, shall constitute “the court” for purposes of this paragraph (c) and paragraph (a) of this subsection (1). In the event of a disagreement regarding appointees, the presiding judge of each judicial Page 13 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. district shall appoint the directors from each eligible county within his judicial district. (d) The court which entered the organizational decree of a district created before July 1, 1985, may reopen the or- ganizational decree in accordance with this subsection (1). If a petition to reopen any such organizational decree is filed with the court in which the decree was originally entered, such petition shall be signed by the board of direc- tors in its discretion or by the owners of ten percent of the allocation of a district's water supply or by ten percent of the registered electors who have resided within the district for a period of one year and who are owners of real property within the district. The court shall promptly conduct a hearing for the limited purpose of reviewing and revising the organizational decree, if necessary to meet the criteria of paragraph (a) of this subsection (1), to spec- ify the number of directors from each county according to the criteria of paragraph (a) of this subsection (1). After the initial reopening and revision of a decree under the provisions of this subsection (1), such decree may be re- opened and revised only once every ten years if necessary to reflect the criteria of paragraph (a) of this subsection (1). Any revision to the decree shall take effect upon entry, but no provision of the revised decree shall remove a director then serving prior to the expiration of his term. A director whose term expires after a proper petition has been filed pursuant to this paragraph (d) shall continue to serve, and the court shall make no appointment of a suc- cessor director until such time as a revised organizational decree is entered pursuant to this paragraph (d) or until the court makes a determination that no revision is necessary. The revised decree shall stagger the terms of the di- rectors so that no more than one-third of the terms of the directors shall expire in any given year. (e) Upon petition or upon its own motion, the court may remove any director of a district board for malfeasance, misfeasance, willful neglect of duty, or any other cause which renders such director incapable or unfit to perform the duties of his office. Such action for removal of a director shall occur after notice and a public hearing, unless such notice and hearing is expressly waived in writing by the challenged director. (2) In the event that a petition, signed by not fewer than ten percent of the registered electors residing in a county, or portion of a county entitled to a director, of a water conservancy district, which electors, for the purpose of this subsection (2), are those persons entitled to vote in general elections, praying for the election of a director from that county to fill the term of office of the specified director from that county then about to expire, in lieu of the appointment thereof by the court, shall be filed with the clerk of the court at any time prior to ninety days preced- ing the expiration date of the term of office of such director appointed by the court, the court shall order the hold- ing of an election in the county, or portion of a county entitled to a director, in the district for the purpose of filling the vacancy to be caused by the expiration of the term of office of the director so about to expire in lieu of the ap- pointment of a successor by the court as provided in subsection (1) of this section. (3) Upon the entry of such order by the court, the clerk of the court shall prepare a certified copy of such order and file the same with the board of directors which shall thereafter provide for the holding of such election for the election of such member of the board of directors in accordance with the provisions of section 37-45-139. (4) Any director so elected shall have the qualifications required for members of the board of directors appointed by the court and shall furnish like bond as required of directors appointed by the court under subsection (1) of this section. Page 14 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (5) The call of such election shall be published as required by the provisions of section 37-45-140, and such elec- tion and the canvass of returns thereof shall be held in pursuance of the provisions of section 37-45-141. (6) Repealed by Laws 1985, S.B.141, § 3. § 37-45-115. Organization of the board of directors (1) Before entering upon his official duties each director shall take and subscribe to an oath before an officer au- thorized to administer oaths that he will support the constitutions of the United States and of the state of Colorado and will honestly, faithfully, and impartially perform the duties of his office and that he will not be interested di- rectly or indirectly in any contract let by said district, which oath shall be filed in the office of the clerk of said court in the original case. (2) Upon taking the oath, the board shall choose one of its number chairman of the board and president of the dis- trict and shall elect some suitable person secretary of the board and of the district who may or may not be a mem- ber of the board. Such board shall adopt a seal and shall keep in a visual text format that may be transmitted elec- tronically a record of all of its proceedings, minutes of all meetings, certificates, contracts, bonds given by em- ployees, and all corporate acts, which shall be open to inspection of all owners of property in the district as well as to all other interested parties. (3) Each member of the board shall receive as compensation for the member's service such sum as shall be or- dered by the court, not in excess of two thousand four hundred dollars per annum, payable monthly, and necessary traveling expenses actually expended while engaged in the performance of the member's duties. (4) All special and regular meetings of the board shall be held at locations which are within the boundaries of the district or which are within the boundaries of any county in which the district is located, in whole or in part, or in any county so long as the meeting location does not exceed twenty miles from the district boundaries. The provi- sions of this subsection (4) may be waived only if the following criteria are met: (a) The proposed change of location of a meeting of the board appears on the agenda of a regular or special meet- ing of the board; and (b) A resolution is adopted by the board stating the reason for which a meeting of the board is to be held in a loca- tion other than under the provisions of this subsection (4) and further stating the date, time, and place of such meeting. § 37-45-116. Meetings and records (1) The meetings of the board of directors of a water conservancy district shall be subject to the requirements of part 4 of article 6 of title 24, C.R.S. Page 15 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (2) A majority of the directors shall constitute a quorum, and a concurrence of a majority of those in attendance, in any matter within their duties, shall be sufficient for its determination, except as otherwise provided in this article. (3) The board shall keep written minutes of its proceedings. The minutes of the board, as approved by the board, shall constitute prima facie evidence of the acts of the board recorded therein, and, when duly certified by the board's president or the board's secretary, copies of such minutes shall be received as evidence of the acts of the board in all courts equally and with like effect as the originals. The records of a water conservancy district shall be public records as defined by section 24-72-202(6), C.R.S. § 37-45-117. Employment of agents The secretary shall be custodian of the records of the district and of its corporate seal, and shall assist the board in such particulars as it may direct in the performance of its duties. The secretary shall attest, under the corporate seal of the district, all certified copies of the official records and files of the district that may be required of him by this article, or by any person ordering the same and paying the reasonable cost of transcription, and any portion of the record so certified and attested shall prima facie import verity. The secretary shall serve as treasurer of the district, unless a treasurer is otherwise provided for by the board. The board may also employ a chief engineer who may be an individual, partnership, or corporation; an attorney, and such other engineers, attorneys, and other agents and assistants as may be necessary; and may provide for their compensation which, with all other necessary ex- penditures, shall be taken as a part of the cost or maintenance of the improvement. The chief engineer shall be su- perintendent of all the works and improvements, and shall make a full report to the board each year, or oftener if required by the board, and may make such suggestions and recommendations to the board as he may deem proper. The secretary and treasurer and such other agents or employees of the district as the court may direct, shall furnish corporate surety bonds, at the expense of the district, in amount and form fixed and approved by the court, condi- tioned upon the faithful performance of their respective duties. § 37-45-118. General powers (1) The board has power on behalf of said district: (a) To have perpetual succession; (b)(I)(A) To take by appropriation, grant, purchase, bequest, devise, or lease, and to hold and enjoy water, water- works, water rights, and sources of water supply, and any and all real and personal property of any kind within or without the district necessary or convenient to the full exercise of its powers; (B) To sell, lease, encumber, alien, or otherwise dispose of water, waterworks, water rights, and sources of supply of water for use within the district; (C) To acquire, construct, or operate, control, and use any and all works, facilities, and means necessary or con- venient to the exercise of its power, both within and without the district for the purpose of providing for the use of Page 16 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. such water within the district and to do and perform any and all things necessary or convenient to the full exercise of the powers granted in this paragraph (b). (II) Any works or facilities planned and designed for the exportation of water from the natural basin of the Colo- rado river and its tributaries in Colorado, by any district created under this article, shall be subject to the provi- sions of the Colorado river compact and the “Boulder Canyon Project Act”. Any such works or facilities shall be designed, constructed, and operated in such manner that the present appropriations of water and, in addition thereto, prospective uses of water for irrigation and other beneficial consumptive use purposes, including con- sumptive uses for domestic, mining, and industrial purposes, within the natural basin of the Colorado river in the state of Colorado from which water is exported will not be impaired nor increased in cost at the expense of the water users within the natural basin. The facilities and other means for the accomplishment of said purpose shall be incorporated in and made a part of any project plans for the exportation of water from said natural basin in Colorado. (c) To have and to exercise the power of eminent domain and dominant eminent domain and in the manner pro- vided by law for the condemnation of private property for public use to take any property necessary to the exer- cise of the powers granted in this article; except that such district shall not have or exercise the power of eminent domain over or by means thereof to acquire the title to or beneficial use of vested water rights for transmountain diversion, and in connection therewith such district shall not have the power to carry or transport water in trans- mountain diversion, the title to which has been acquired by any municipality by virtue of eminent domain pro- ceedings against any such vested rights; (d)(I) To construct and maintain works and establish and maintain facilities across or along any public street or highway and in, upon, or over any vacant public lands which public lands are now, or may become, the property of the state of Colorado and to construct works and establish and maintain facilities across any stream of water or watercourse; except that the district shall promptly restore any such street or highway to its former state of useful- ness as nearly as may be and shall not use the same in such manner as to completely or unnecessarily impair the usefulness thereof. The grant of the right to use such vacant state lands shall be effective upon the filing by such district with the state board of land commissioners of an application showing the boundaries, extent, and locations of the lands, rights-of-way, or easements desired for such purposes. (II) If the land, rights-of-way, or easements for which application is made is for the construction of any aqueduct, ditch, pipeline, conduit, tunnel, or other works for the conveyance of water, or for roads, or for poles or towers and wires for the conveyance of electrical energy, or for telephonic or telegraphic communication, no compensa- tion shall be charged the district therefor, unless in the opinion of the state board of land commissioners the con- struction of such works will render the remainder of the legal subdivision through which such works are to be constructed valueless or unsalable, in which event the district shall pay for the lands to be taken and for such por- tion of any legal subdivision which in the opinion of the board is rendered valueless or unsalable, at the rate of two dollars and fifty cents per acre. If the lands for which application is made are for purposes other than the con- struction of roads or works for the conveyance of water or electricity or telephonic or telegraphic communication, such district shall pay to the state for such lands at the rate of two dollars and fifty cents per acre. Page 17 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (III) Upon filing such application, accompanied by map or plat showing the location or proposed location of such works or facilities, the fee title to so much of such state lands as shall be necessary or convenient to enable such district efficiently and without interference to construct, maintain, and operate its works and to establish, maintain, and operate its facilities shall be conveyed to said district by patent. If an easement or right-of-way only over such lands is sought by the district, such easement or right-of-way shall be evidenced by permit or grant executed by or on behalf of the state board of land commissioners. The state board of land commissioners may reserve easements or rights-of-way, in the public, across any lands in such patents, grants, or permits described for streets, roads, and highways theretofore established according to law. Before any such patent, grant, or permit is executed, any com- pensation due to the state under the provisions hereof must be paid. No fee shall be exacted from the district for any patent, permit, or grant so issued or for any service rendered hereunder. (IV) In the use of streets, the district shall be subject to the reasonable rules and regulations of the county, city, or town where such streets lie, concerning excavation and the refilling of excavation, the relaying of pavements, and the protection of the public during periods of construction; except that the district shall not be required to pay any license or permit fees or file any bonds. The district may be required to pay reasonable inspection fees. (e) To contract with the government of the United States or any agency thereof for the construction, preservation, operation, and maintenance of tunnels, reservoirs, regulating basins, diversion canals, and works, dams, power plants, and all necessary works incident thereto and to acquire perpetual rights to the use of water from such works and to sell and dispose of perpetual rights to the use of water from such works to persons and corporations, public and private; (f) To list in separate ownership the lands within the district which are susceptible of irrigation from district sources and to make an allotment of water to all such lands, which allotment of water shall not exceed the maxi- mum amount of water that the board determines could be beneficially used on such lands; to levy assessments as provided in sections 37-45-121 to 37-45-126 against the lands within the district to which water is allotted on the basis of the value per acre-foot of water allotted to said lands within the district; except that the board may divide the district into units and fix a different value per acre-foot of water in the respective units and, in such case, shall assess the lands within each unit upon the same basis of value per acre-foot of water allotted to lands within such unit; (g) To fix rates at which water not allotted to lands, as provided in paragraph (f) of this subsection (1), shall be sold, leased, or otherwise disposed of; but rates shall be equitable although not necessarily equal or uniform, for like classes of service throughout the district; (h) To enter into contracts, employ and retain personal services, and employ laborers; to create, establish, and maintain such offices and positions as shall be necessary and convenient for the transaction of the business of the district; and to elect, appoint, and employ such officers, attorneys, agents, and employees therefor as found by the board to be necessary and convenient; (i) To adopt plans and specifications for the works for which the district was organized, which plans and specifi- cations may at any time be changed or modified by the board. Such plans shall include maps, profiles, and such Page 18 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. other data and descriptions as may be necessary to set forth the location and character of the works, and a copy thereof shall be kept in the office of the district and open to public inspection. (j) To appropriate and otherwise acquire water and water rights within or without the state; to develop, store, and transport water; to subscribe for, purchase, and acquire stock in canal companies, water companies, and water us- ers' associations; to provide, sell, lease, and deliver water for municipal and domestic purposes, irrigation, power, milling, manufacturing, mining, metallurgical, and any and all other beneficial uses and to derive revenue and benefits therefrom; to fix the terms and rates therefor; and to make and adopt plans for and to acquire, construct, operate, and maintain dams, reservoirs, canals, conduits, pipelines, tunnels, power plants, and any and all works, facilities, improvements, and property necessary or convenient therefor and, in the doing of all of said things, to obligate itself and execute and perform such obligations according to the tenor thereof; but the sale, leasing, and delivery of water for irrigation, domestic, and other beneficial purposes as provided in this section, whether the water is developed by the principal district or a subdistrict thereof, shall only be made for use within the bounda- ries of either the principal district or the subdistrict, or both; (k) Repealed by Laws 1987, H.B.1355, § 42. (l) To invest or deposit any surplus money in the district treasury, including such money as may be in any sinking or escrow fund established for the purpose of providing for the payment of the principal of or interest on any con- tract or bonded or other indebtedness, or for any other purpose, not required for the immediate necessities of the district in any legal investment or depository authorized by the provisions of part 6 of article 75 of title 24, C.R.S., and such investment may be made by direct purchase of any issue of such legal investment, or part thereof, at the original sale of the same or by the subsequent purchase of such legal investment. Any legal investment thus made and held may be sold from time to time and the proceeds reinvested in any such legal investment. Sales of any such legal investment thus purchased and held shall be made in season so that the proceeds may be applied to the purposes for which the money with which the legal investments were originally purchased was placed in the treasury of the district. The functions and duties authorized by this paragraph (l) shall be performed under such rules and regulations as shall be prescribed by the board. The board may appoint, by written resolution, one or more persons to act as custodians of the money of the district. Such persons shall give surety bonds in such amounts and form and for such purposes as the board requires. (m) To refund bonded indebtedness incurred by the district under and pursuant to such rules and regulations as shall be prescribed by the board; (n) To borrow money and incur indebtedness and to issue bonds or other evidence of such indebtedness; (o) To adopt bylaws not in conflict with the constitution and laws of the state for carrying on the business, objects, and affairs of the board and of the district; (p) To participate in the formulation and implementation of nonpoint source water pollution control programs re- lated to agricultural practices in order to implement programs required or authorized under federal law and section 25-8-205(5), C.R.S., enter into contracts and agreements, accept funds from any federal, state, or private sources, Page 19 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. receive grants or loans, participate in education and demonstration programs, construct, operate, maintain, or re- place facilities, and perform such other activities and adopt such rules and policies as the board deems necessary or desirable in connection with nonpoint source water pollution control programs related to agricultural practices; (q)(I) To provide park and recreation improvements and services in connection with a reservoir owned by the dis- trict and adjacent land if such improvements and services are not already being provided by another entity with re- spect to the reservoir and adjacent land. (II) Once the board adopts a resolution to provide improvements and services pursuant to this paragraph (q), no other entity may provide park and recreation improvements and services with respect to the reservoir and adjacent land without the consent of the board. (III) The district may exercise any powers that a park and recreation district has in connection with the provision of park and recreation improvements and services, including imposing rates, fees, and charges in connection with the improvements and services. The district may use any district revenues to provide the improvements and ser- vices. (2) Nothing provided in this article shall be construed to grant to the district or board the power to generate, dis- tribute, sell, or contract to sell electric energy except for the operation of the works and facilities of the district and except for wholesale sales of electric energy which may be made both within and without the boundaries of the district or subdistrict. § 37-45-119. Power to acquire rights-of-way Whenever, pursuant to this article, the electors of a water conservancy district have authorized a contract with the United States for construction and acquisition of works and water rights, which contract has obligated the district to acquire rights-of-way therefor to be conveyed by the district to the United States upon reimbursement by the United States, then the district, without further election and through its board of directors, has power to do all acts for acquiring such rights-of-way, including borrowing of and paying interest upon such sums of money as shall be required to make deposits fixed by the court for possession and to pay awards on condemnation of said rights-of- way as well as amounts up to the appraised values of the particular rights-of-way as have been fixed by the ap- praisers for the United States in each instance of negotiated purchases, notwithstanding the sum borrowed shall be greater than the ordinary annual incomes and revenues of the district; and all debts incurred, and interest payments made prior to February 5, 1943, for the aforesaid purposes, are expressly authorized, ratified, and approved. § 37-45-120. Subdistricts (1) Subdistricts may be organized upon the petition of the owners of real property, within or partly within and partly without the district, which petition shall fulfill the same requirements concerning the subdistricts as the pe- tition outlined in section 37-45-109 is required to fulfill, concerning the organization of the main district, and shall be filed with the clerk of the court, and shall be accompanied by a bond as provided for in section 37-45-110. All proceedings relating to the organization of such subdistricts shall conform in all things to the provision of this ar- Page 20 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. ticle relating to the organization of districts; except that not more than a majority of the owners of lands, having one-half or more of the aggregate valuation for assessment of the lands in the proposed subdistrict, shall be re- quired to sign the petition for the creation of a subdistrict and not more than twenty-five percent of the owners of lands in the proposed subdistrict shall be required to sign the protesting petition against the creation of such sub- district. (2) Whenever the court declares and decrees by its order duly entered of record such subdistricts to be organized, the clerk of said court shall thereupon give notice of such order to the directors of the district who shall thereupon act also as directors of the subdistrict. Thereafter, the proceedings in reference to the subdistrict in all matters shall conform to the provisions of this article; except that, in the appraisal of benefits for the purpose of such subdis- tricts, in the issuance of bonds, in levying of assessments, and in all other matters affecting only the subdistrict, the provisions of this article shall apply to the subdistrict as though it were an independent district, and it shall not in these things be amalgamated with the main district. (3) The petition for organization of a subdistrict shall also contain a statement of the amount or quantity of water for which said subdistrict desires to acquire the perpetual use and the amount of money that said subdistrict is willing to pay therefor, and, prior to the entry of its decree organizing any territory into a subdistrict, the court shall obtain the verified consent of the board to furnish such perpetual use of water for the purposes therein speci- fied to such subdistrict at a price and upon the terms mentioned in the petition. The court shall then be authorized to enter its decree of organization of such subdistrict. § 37-45-121. Classification of taxes and assessments--powers (1) In addition to the other means of providing revenue for such districts, the board has the power to levy and col- lect taxes and special assessments for maintaining and operating such works and paying the obligations and in- debtedness of the district by any one or more of the methods or combinations thereof, classified as follows: (a) Class A: To levy and collect taxes upon all property within the district as provided in section 37-45-122; (b) Class B: To levy and collect assessments for special benefits accruing to property within municipalities for which use of water or capacity of works is allotted as provided in section 37-45-123; (c) Class C: To levy and collect assessments for special benefits accruing to property within public corporations for which use of water or capacity of works is allotted as provided in section 37-45-124; (d) Class D: To levy and collect assessments for special benefits accruing to lands for which use of water or ca- pacity of works is allotted as provided in section 37-45-125. § 37-45-122. Levy and collection under class A (1) As to any district formed prior to April 22, 1957, to levy and collect taxes under class A, in each year, the Page 21 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. board shall determine the amount of money necessary to be raised by taxation, taking into consideration other sources of revenue of the district, and shall fix a rate of levy which when levied upon every dollar of valuation for assessment of property within the district and with other revenues will raise the amount required by the district to supply funds for paying expenses of organization, for surveys and plans, and for paying the costs of construction of, operating, and maintaining the works of the district. The rate shall not exceed one-half mill on the dollar, prior to the delivery of water from the works, and thereafter shall not exceed one mill on the dollar of valuation for as- sessment of the property within the district, except in the event of accruing defaults or deficiencies when an addi- tional levy may be made as provided in section 37-45-126. (2)(a) As to any district formed subsequent to April 22, 1957, to levy and collect taxes under class A, in each year, the board shall determine the amount of money necessary to be raised by taxation, taking into consideration other sources of revenue of the district, and shall fix a rate of levy which, when levied on every dollar of valuation for assessment of property within the district and with other revenues, will raise the amount required by the district to supply funds for paying expenses of organization, for surveys and plans, and for paying the costs of construction of and operating and maintaining the works of the district; except that said rate shall not exceed: (I) In the case of a district having a valuation for assessment when formed of not more than twenty million dollars, one and one-half mill on each dollar of valuation for assessment of property within the district prior to the deliv- ery of water from the works and thereafter not to exceed three mills on each dollar of valuation for assessment; (II) In the case of a district having a valuation for assessment when formed of more than twenty million dollars but not more than fifty million dollars, one mill on each dollar of valuation for assessment of property within the district prior to the delivery of water from the works and thereafter not to exceed two mills on each dollar of valuation for assessment; (III) In the case of a district having a valuation for assessment when formed of more than fifty million dollars, not to exceed one-half mill on each dollar of valuation for assessment of property within the district prior to the deliv- ery of water from the works and thereafter not to exceed one mill on each dollar of valuation for assessment of the property within the district. (b) In the event of accruing defaults or deficiencies, a levy in addition to those prescribed in paragraph (a) of this subsection (2) may be made as provided in section 37-45-126. (3) In accordance with the schedule prescribed by section 39-5-128, C.R.S., the board shall certify to the board of county commissioners of each county within the district, or having a portion of its territory within the district, the rate so fixed with directions that, at the time and in the manner required by law for levying of taxes for county purposes, such board of county commissioners shall levy such tax upon the valuation for assessment of all prop- erty within the district, in addition to such other taxes as may be levied by such board of county commissioners at the rate so fixed and determined. (4)(a) Any district may increase the maximum mill levy to no more than nine mills for districts described in sub- paragraph (I) of paragraph (a) of subsection (2) of this section, to no more than six mills for districts described in Page 22 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. subparagraph (II) of paragraph (a) of subsection (2) of this section, and to no more than three mills for districts described in subparagraph (III) of paragraph (a) of subsection (2) of this section, but any such increase in a mill levy shall be made in accordance with the election procedure provided in this subsection (4). (b) Whenever the board of directors of the district, by resolution adopted by a majority of all of the members of the board, determines that the interests of said district and the public interest or necessity demand an increase in the mill levy for such district not greater than the maximum mill levy prescribed in paragraph (a) of this subsec- tion (4) for the purposes therein stated, said board shall order the submission of the proposition to the electors of the district at an election held for that purpose. Any election held for the purpose of submitting any such proposi- tion may be held separately or may be consolidated or held concurrently with any other election authorized by law at which such electors of the district shall be entitled to vote. (c) The declaration of such election may be included within the same resolution, which resolution, in addition to such declaration of public interest or necessity, shall recite the maximum mill levy proposed which shall be no greater than that authorized by paragraph (a) of this subsection (4) for a district of like size. Such resolution shall also fix the date upon which such election shall be held and the manner of holding the same and the method of voting for or against the increase in mill levy. Such resolution shall also fix the compensation to be paid the offi- cers of the election and shall designate the precincts and polling places and shall appoint for each polling place, from each precinct from the electors thereof, the officers of such election, which officers shall consist of three judges, one of whom shall act as a clerk, who shall constitute a board of election for each polling place. The de- scription of precincts may be made by reference to any order of the board of county commissioners of the county in which the district or any part thereof is situated or by reference to any previous order or resolution of the board or by detailed description of such precincts. Precincts established by boards of the various counties may be con- solidated for special elections held under this article. (d) In the event any such election is called to be held concurrently with any other election or is consolidated therewith, the resolution calling the election under this article need not designate precincts or polling places or names of officers of the election but shall contain reference to the act or order calling such other election and fix- ing the precincts and polling places and appointing the election officers therefrom. The resolution shall be pub- lished once a week for two consecutive weeks, the last publication of which shall be at least ten days prior to the date set for said election, in a newspaper of general circulation, printed and published within the district, and no other or further notice of such election or publication of the names of election officers or of the precincts or poll- ing places need be given or made. (e) The election shall be conducted in accordance with the provisions of section 37-45-141 and in the same man- ner as elections held in accordance with the provisions of section 37-45-142. In the event that the increase in the mill levy of the district is approved, the board of directors shall be authorized to levy taxes at the rate authorized in the election. If the proposition of increasing such mill levy is defeated, the board of directors may continue to levy taxes at rates not exceeding those authorized prior to such election. § 37-45-123. Levy and collection under class B Page 23 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (1)(a) To levy and collect special assessments under class B, the board shall make an allotment of water or of ca- pacity of specified works to each petitioning municipality in the district in the manner provided in this article and in such quantity as will in the judgment of the board, when added to the then present supply of water of such mu- nicipality in the case of an allotment of water, or when added to the then present supply of capacity of all other works of such municipality in the case of an allotment of capacity of specified works, make an adequate supply for such municipality and shall fix and determine the rate and the terms upon which such water or capacity of such works shall be sold, leased, contracted for, or otherwise disposed of for use by such municipalities; except that such rates shall be equitable although not necessarily equal or uniform for like classes of services throughout the district and no municipality shall be required to make payments to secure or cover the default or failure of per- formance pertaining to capital debt of any other participating municipality which participates in a project in which the capacity of the specified works has been allotted to two or more participants. (b) The board shall examine all rates charged for like classes of service throughout the district and shall by rule and regulation adjust such rates periodically as needed to make such rates within any such class of service equita- ble. (2) In the event any city, city and county, or town desires to purchase, lease, contract for, or otherwise obtain the beneficial use of waters or capacity of works of the district for domestic, irrigation, or other beneficial purposes, the legislative body of such municipality shall by ordinance authorize and direct its mayor and clerk to petition the board for an allotment of water or capacity of specified works, upon terms prescribed by the board, which petition shall contain, inter alia, the following: (a) Name of municipality; (b) Quantity of water or capacity of works for which an allotment is sought; (c) Rate to be paid; (d) Whether payments are to be in cash or annual installments; (e) Agreement by the municipality to make payments for the beneficial use of such water or capacity of works to- gether with annual maintenance and operating charges and to be bound by the provisions of this article and the rules and regulations of the board. (3) The secretary of the board shall cause notice of the filing of such petition to be given and published once each week for two successive weeks, in a newspaper published in the county in which said municipality is situated, which notice shall state the filing of such petition and give notice to all persons interested to appear at the office of the board, at a time named in said notice and show cause, in writing, if any they have, why the petition should not be granted. (4) The board at the time and place mentioned in said notice or at such time to which the hearing of said petition Page 24 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. may adjourn, shall proceed to hear the petition and objections thereto, presented in writing, by any person show- ing cause why said petition should not be granted. The failure of any person interested to show cause shall be deemed an assent on such person's part to the granting of said petition. At its discretion, the board may accept or reject said petition; but, if it deems it for the best interest of the district that said petition be granted, the board shall enter an order granting said petition, and, from and after such order, the said municipality shall be deemed to have purchased, leased, contracted for, or otherwise acquired the beneficial use of water or capacity of works as set forth in said order. (5) If said petition is granted, the board shall determine the amount of money necessary to be raised by taxation in each year from property within such municipality to pay the annual installments and a fair proportionate amount of estimated operating and maintenance charges for the next succeeding year, as provided in the order granting said petition, and shall prepare a statement showing the tax rate to be applied to all property in such municipality, which rate shall be the rate fixed by resolution of the board, modified to the extent necessary to produce from each such municipality only the amount of money apportioned thereto in said resolution, less any amount paid or un- dertaken to be paid by such municipality in cash or as credited thereto by payments from the general funds of such municipality. Upon receipt by the board of county commissioners of each county, wherein such municipality is located, of a certified copy of such resolution showing the tax rate to be applied to all property in each municipal- ity and showing the municipalities and the property which is exempt therefrom, if any, it is the duty of the county officers to levy and collect such tax in addition to such other tax as may be levied by such board of county com- missioners at the rate so fixed and determined. § 37-45-124. Levy and collection under class C (1)(a) To levy and collect special assessments upon lands under class C, the board shall make an allotment of wa- ter or of capacity of specified works to each of the petitioning public corporations, other than municipalities, within the district in the manner as provided in this section, in such quantity as will in the judgment of the board, when added to the present supply of water of such public corporation in the case of an allotment of water, or when added to the then present supply of capacity of all other works of such public corporation in the case of an allot- ment of capacity of specified works, make an adequate supply for such public corporation and shall fix and de- termine the rate and terms at which such water or capacity of works shall be sold, leased, contracted for, or other- wise disposed of to such public corporation; except that such rates shall be equitable although not necessarily equal or uniform for like classes of services throughout the district. (b) The board shall examine all rates charged for like classes of service throughout the district and shall by rule and regulation adjust such rates periodically as needed to make such rates within any such class of service equita- ble. (2) In the event any such public corporation desires to purchase, lease, contract for, or otherwise obtain the benefi- cial use of waters or capacity of works of the district, the board of such public corporation by resolution shall au- thorize and direct its president and secretary to petition the board for an allotment of water or of capacity of speci- fied works, upon terms prescribed by the board, which petition shall contain, inter alia, the following: Page 25 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (a) Name of public corporation; (b) Quantity of water or capacity of works for which allotment is sought; (c) Rate to be paid; (d) Whether payments are to be made in cash or annual installments; (e) Agreement by such public corporation to make payments for the beneficial use of such water or capacity of works, together with annual maintenance and operating charges, and to be bound by the provisions of this article and the rules and regulations of the board. (3) The secretary of the board shall cause notice of the filing of such petition to be given and published, which no- tice shall state the filing of such petition and give notice to all persons interested to appear at the office of the board at a time named in said notice and show cause in writing why the petition should not be granted. The board at the time and place mentioned in said notice, or at such time to which the hearing of said petition may be ad- journed, shall proceed to hear the petition and objections thereto, presented in writing, by any person showing cause why said petition should not be granted. The failure of any person interested to show cause shall be deemed an assent on such person's part to the granting of said petition. At its discretion, the board may accept or reject said petition; but, if it deems it for the best interest of the district that said petition be granted, the board shall enter an order to that effect granting said petition and, from and after such order, the public corporation or persons therein shall be deemed to have purchased, leased, contracted for, or otherwise acquired the beneficial use of wa- ter or capacity of works as set forth in said order. (4) If said petition is granted, the board shall determine the amount of money necessary to be raised by assessment in each year on lands within such public corporation, less any amount paid or undertaken to be paid by such pub- lic corporation in cash or as credited thereto by payments from the general fund of such public corporation, and shall certify to the county assessor of the county in which the lands of such public corporation are located the amount of the assessment, plus a fair proportionate amount of the estimated operating and maintenance charges for the next succeeding year on each tract of land on or before October 1 of each year, and such county assessor shall extend the amount of such assessment, plus said operating and maintenance charges, on the tax roll as an as- sessment against the lands upon which said assessment is made. § 37-45-125. Levy and collection under class D (1) To levy and collect special assessments upon lands under class D, the board shall make an allotment of water or of capacity of specified works to petitioning owners of lands in the district, upon which water may be benefi- cially used in the manner as provided in this article, in such amount as will in the judgment of the board, together with the present supply of water for such lands in the case of an allotment of water, or when added to the then pre- sent supply of capacity of all other works in the case of an allotment of capacity of specified works, make an ade- quate water supply for such lands and shall fix and determine the rate and the terms at which water or capacity of works shall be sold, leased, contracted for, or otherwise disposed of, for use on said lands. Page 26 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (2) In the event that any person or private corporation elects to purchase, lease, contract for, or otherwise obtain the beneficial use of waters or capacity of works of the district, such person or corporation shall petition the board for an allotment of water or of capacity of specified works, upon terms prescribed by the board, which petition shall contain, inter alia, the following: (a) Name of applicant; (b) Quantity of water or capacity of works for which allotment is sought; (c) Descriptions of lands upon which the water or capacity of works will be used and attached; (d) Rate to be paid; (e) Whether payment will be made in cash or annual installments; (f) Agreement that the annual installments and the charges for maintenance and operating shall become a tax lien upon the lands for which such water or capacity of works is petitioned and allotted and to be bound by the provi- sion of this article and the rules and regulations of the board. (3)(a) In its discretion the board may accept or reject said petition, but, if it deems it for the best interest of the dis- trict that said petition be granted, the board shall enter an order granting said petition, and from and after such or- der, said petitioner shall be deemed to have agreed to the purchase, lease, contract, or other means of acquiring the beneficial use of water or capacity of works under the terms set forth in said petition and order. Such order shall provide for payment on the basis of rate per unit of measure of water allotted in the case of an allotment of water, or on the basis of rate per unit of capacity allotted in the case of an allotment of works to said lands within the dis- trict; except that the board may divide the district into units and fix a different rate in the respective units; and fur- ther except that such rates shall be equitable although not necessarily equal or uniform for like classes of services throughout the district. (b) The board shall examine all rates charged for like classes of service throughout the district and shall by rule and regulation adjust such rates periodically as needed to make such rates within any such class of service equita- ble. (4) The secretary of the board shall cause notice of the filing of such petition to be given and published, which no- tice shall state the filing of such petition and give notice to all persons interested to appear at the office of the board at a time named in said notice and show cause in writing why the petition should not be granted. The board at the time and place mentioned in said notice, or at such time to which the hearing on said petition may be ad- journed, shall proceed to hear the petition and objections thereto, presented in writing, by any person showing cause why said petition should not be granted. The failure of any person interested to show cause shall be deemed an assent on such person's part to the granting of said petition. At its discretion, the board may accept or reject Page 27 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. said petition; but, if it deems it for the best interest of the district that said petition be granted, the board shall enter an order to that effect granting said petition, and, from and after such order, the petitioner or persons interested therein shall be deemed to have purchased, leased, contracted for, or otherwise acquired the beneficial use of wa- ter or capacity of works as set forth in said order. (5) If such petition is granted, the board shall cause a certified copy of the order granting said petition to be re- corded in the county in which said lands are located, and, thereafter, the annual installments and annual operating and maintenance charges shall be a perpetual tax lien upon such lands. On or before October 1 of each year, the board shall certify to the county assessor of the county within the district in which such lands are located the amount of the annual installments, plus a fair proportionate amount of the estimated operating and maintenance charges apportioned to said lands for the next succeeding year, and such county assessor shall extend the amount so certified on the tax roll as a flat special assessment against the lands for which such water is petitioned and al- lotted. § 37-45-126. Levies cover defaults and deficiencies The board, in making the annual assessments and levies, shall take into account the maturing indebtedness for the ensuing year as provided in its contracts or the maturing of bonds and interest on all bonds and deficiencies and defaults of prior years and shall make ample provision for the payment thereof. In case the proceeds of such levies and assessments made under the provisions of this article, together with other revenues of the district, are not suf- ficient to punctually pay the annual installments on its contracts or bonds and interest thereon and to pay defaults and deficiencies, then the board shall make such additional levies of taxes or assessments as may be necessary for such purposes; and, notwithstanding any limitations by contract, order, tax lien, or otherwise, such taxes and as- sessments shall be made and shall continue until the indebtedness of the district is fully paid; except that the addi- tional levies authorized by this section may not be made to cover defaults and deficiencies with respect to evi- dences of indebtedness authorized and issued by a district pursuant to any law if such evidences of indebtedness declare on their faces that they are payable solely from revenues derived from payments made with respect to con- tracts which are entered into pursuant to this article and further except that the amount of such additional levies of taxes under class A shall not in any one year exceed an amount that would be raised by a levy of one-half mill against the valuation for assessment of such property as fixed for general tax purposes and further except that such levies for defaults and deficiencies shall not, at any time, be made to impose upon class A payments in excess of twenty-five percent of the anticipated revenue from all sources to be raised for the specific purpose of payment of existing defaults and deficiencies and further except that, in making such additional levies or assessments, the board shall take into account all sources of revenue and equitably distribute the burden of such defaults and defi- ciencies according to the uses and benefits as provided in this article. § 37-45-127. Objections to assessments--appeal (1) Prior to October 1 of each year in which assessments are made, the board shall appoint a time and place where it will meet within the district for the purpose of hearing objections to assessments, and prior notice of such hear- ing shall be given by publication in two issues, a week apart, in some newspaper of general circulation published in each county; except that, if there is any county in the district in which there is no newspaper published, such Page 28 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. notice shall be published in an adjoining county. Said notice shall notify the owners of property in the district that in the secretary's office may be found and examined a description of the property so assessed, the amount of the assessment thereon fixed by the board, and the time and place fixed by the board for the hearing of objections to such assessments. It shall not be necessary for said notice to contain separate descriptions of the lots or tracts of real estate, but it is sufficient if the notice contains such descriptions as will inform the owner whether or not his real estate is covered by such descriptions, and to inform the owner where can be found of record the amount of assessments. (2) If, in the opinion of any person whose property is assessed, his property has been assessed too high, or has been erroneously or illegally assessed, at any time before the date of such hearing, he may file written objections to such assessments, stating the grounds of such objections, which statement shall be verified by the affidavit of said person or his agent. In such hearing the board shall hear such evidence and arguments as may be offered con- cerning the correctness or legality of such assessment and may modify or amend the same. (3) Any owner of property desiring to appeal from the findings of the board as to assessment, within thirty days from the finding of the board, shall file with the clerk of the court a written notice making demand for trial by the court. The appellant at the same time shall file a bond with good and sufficient security to be approved by the clerk of said court in a sum not exceeding two hundred dollars to the effect that, if the finding of the court is not more favorable to the appellant than the finding of the board, the appellant shall pay the cost of the appeal. The appellant shall state definitely from what part of the order the appeal is taken. In case more than one appeal is taken, upon its showing that the same may be consolidated without injury to the interests of anyone, the court may consolidate and try the same together. (4) The court shall not disturb the findings of the board unless the findings of the board in any case are manifestly disproportionate to the assessments imposed upon other property in the district created under this article. The trial shall be to the court, and the matter shall take precedence before the court and shall be taken up as promptly as may be after the appeal is filed. If no appeal is taken from the findings of the board within the time prescribed in this section, or after the findings of the court in case an appeal is taken from the findings of the board, then the as- sessment shall be final and conclusive evidence that said assessments have been made in proportion to the benefits conferred upon the property in said district by reason of the improvements to be constructed under the provisions of this article, and such assessments shall constitute a perpetual lien upon such property so assessed until paid. § 37-45-128. Officers levy and collect taxes and assessments It is the duty of the officer or body having authority to levy taxes within each county, city and county, or town to levy the taxes and special assessments as provided in this article, and it is the duty of all county or city and county officials charged with the duty of collecting taxes to collect such taxes and special assessments in the time, form, and manner and with like interest and penalties as county or city and county taxes are collected and, when col- lected, to pay the same to the district ordering its levy or collection, and the payment of such collections shall be made through the secretary of the district and paid into the depository thereof to the credit of the district. All taxes and assessments made under this article together with all interest thereon and penalties for default in payment thereof, and all costs in collecting the same, until paid, shall constitute a perpetual lien on a parity with the tax lien Page 29 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. of general, state, county, city, town, or school taxes, and no sale of such property to enforce any general, state, county, city, town, or school tax or other liens shall extinguish the perpetual lien of such taxes and assessments. § 37-45-129. Sale for delinquencies If the taxes or assessments levied are not paid, then the real property shall be sold at the regular tax sale for the payment of said taxes and assessments, interest, and penalties in the manner provided by the statutes of the state of Colorado for selling property for payment of general taxes. If there are no bids at said tax sale for the property so offered under class A and class B, said 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. If there are no bids for the property so offered under class C and class D, said property shall be struck off to the district, and the tax certificate shall be issued in the name of the district, and the board shall have the same power with refer- ence to sale of said tax certificate as vested in county commissioners and county treasurers when property is struck off to the counties. § 37-45-130. Exemptions All property of whatever kind and nature owned by the state and by towns, cities, school districts, drainage dis- tricts, irrigation districts, park districts, water districts, or any other governmental agency within said district shall be exempt from assessment and levy by the board as provided by this article for the purposes of this article. § 37-45-131. Sale of water by contract The board may sell, lease, or otherwise dispose of the use of water by term contracts or by contracts for the per- petual use of such water to public corporations, persons, mutual ditch companies, water users' associations, and other private corporations for irrigation, domestic, or commercial use as shall be provided by contracts, in writing, authorized and entered into by the board; and the board shall require that security be given to secure the payments to be made under such contracts. § 37-45-132. Contracts--security--enforcement (1) To meet the annual installments as provided in contracts for the use of water: (a) A water users' association may bind itself to levy an annual assessment on the use of water and to secure same by liens on land and water rights or in such manner as may be provided by law; (b) A mutual ditch or irrigation company may bind itself by mortgage upon its irrigation works and system or to levy annual assessments upon its stockholders; (c) Any person or corporation landowner may create a mortgage lien upon lands or give other security satisfactory to the board; and all such contracts shall provide for forfeiture of the use of water for nonpayment of assessments Page 30 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. or installments in the same manner and procedure as provided by statute for forfeiture of stock in a mutual ditch company; (d) A public corporation shall meet the annual installments as provided in sections 37-45-123 and 37-45-124. § 37-45-133. Sinking fund Whenever a contract of indebtedness has been created by the district, it shall be lawful for the board to make the annual levy of taxes and special assessments in such amount as will create a surplus of funds to meet the annual installments of indebtedness or the payment of bonds and interest and the necessary maintenance and operating charges, and the board shall cause such surplus funds to be placed in a sinking fund which may be used for the payments of contingencies, defaults, and delinquencies and to pay the future annual installments of indebtedness on contract or bonds and interest. § 37-45-134. Additional powers (1) The board has the following powers concerning the management, control, delivery, use, and distribution of water by the district: (a) To make and enforce all reasonable rules and regulations for the management, control, delivery, use, and dis- tribution of water; (b) To withhold the delivery of water upon which there are any defaults or delinquencies of payment; (c) To provide for and declare forfeitures of rights to the use of water upon default or failure to comply with any order, contract, or agreement for the purchase, lease, or use of water and to resell, lease, or otherwise dispose of water upon which forfeiture has been declared; (d) To allocate and reallocate the use of water to lands within the district; (e) To provide for and grant the right, upon terms, to transfer water from lands to which water has been allocated to other lands within the district and to discharge liens from lands to which the same was theretofore attached and to create liens, as provided in this article, upon lands to which the use of such water is transferred. § 37-45-135. Allotment of water to disabled landowner or administrator Where the landowner in a water conservancy district, organized under this article, is under disability by reason of infancy, insanity, or otherwise, or lands are held under administration, executorship, guardianship, conservator- ship, trusteeship, receivership, or other similar proceeding, the administrator, executor, guardian, conservator, trustee, receiver, or other like officer shall be considered the “landowner” for all purposes within this article; and, when authorized by the court having jurisdiction of the estate or lands, such administrator, executor, guardian, Page 31 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. conservator, trustee, receiver, or other like officer may petition for an allotment of water in such quantity as de- termined by such court as will, together with the present supply of water for irrigation purposes, make an adequate supply for the irrigation of such lands; or, in the event such administrator, executor, guardian, conservator, trustee, receiver, or other like officer has, prior to February 28, 1939, petitioned for a supply of water for irrigation of lands so held, the court having jurisdiction of the estate or lands may ratify or confirm the petition for such quan- tity of water as it may determine will make an adequate supply for the irrigation of such lands, and such petition so made and authorized or ratified and confirmed shall have the same effect and be binding upon all parties inter- ested in such lands to the same extent as though made by a landowner while not under disability. § 37-45-136. Inclusion of lands (1) The boundaries of any district organized under the provisions of this article may be changed in the manner prescribed in this article, but the change of boundaries of the district shall not impair or affect its organization or its rights in or to property or any of its rights or privileges whatsoever, nor shall it affect or impair or discharge any contract, obligation, lien, or charge for or upon which it might be liable or chargeable had such change of boundaries not been made. (2) The owners of lands may file a petition with the board, in writing, praying that such lands be included in the district. The petition shall describe the tracts or body of land owned by the petitioners, and such petition shall be deemed to give the assent of the petitioners to the inclusion in said district of the lands described in the petition, and such petition must be acknowledged in the same manner that conveyances of land are required to be acknowl- edged. The secretary of the board shall cause notice of filing of such petition to be given and published in the county in which the lands are situated, which notice shall state the filing of such petition, names of petitioners, de- scriptions of lands mentioned, and the prayer of said petitioners, giving notice to all persons interested to appear at the office of the board at any time named in said notice and show cause in writing why the petition should not be granted. At the time and place mentioned or at such time to which the hearing may be adjourned, the board shall proceed to hear the petition and all objections thereto, presented in writing by any person showing cause why said petition should not be granted. The failure of any person interested to show cause shall be deemed an assent on his part to the inclusion of such lands in the district as prayed for in the petition. If the petition is granted, the board shall make an order to that effect and file the same with the clerk of the court, and, upon order of the court, said lands shall be included in the district. (3)(a) In addition to the method provided in subsections (1) and (2) of this section, additional areas, either con- tiguous or noncontiguous to the district, and including irrigated lands, nonirrigated lands, towns and cities, and other lands and any one or more of the same, may be included in the district by petition, which petition shall be filed in the district court of the county in which the petition for organization of the original district was filed, signed by not fewer than twenty-five percent of the owners of irrigated lands in said area but not embraced within the corporate limits of a city or town; and each tract of land shall be listed opposite the name of the signer. Each such tract together with the improvements thereon shall have a valuation for assessment of not less than one thou- sand dollars. The petition shall also be signed by not fewer than five percent of the owners of nonirrigated lands or lands embraced within the incorporated limits of a city or town, all situated in the area embraced in said petition; and each tract of land shall be listed opposite the name of the signer. Each such tract together with improvements Page 32 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. thereon shall have a valuation for assessment of not less than one thousand dollars. Said petition shall set forth a general description of the territory in the area sought to be included in the district, the name of the district in which it is sought to be included, and a statement that the property sought to be included will be benefited by the accomplishment of the purposes for which the original district was formed and shall pray for the inclusion of the area in the district. (b) No petition with the requisite signatures shall be declared null and void on account of alleged defects, but the court may permit the petition to be amended at any time to conform to the facts by correcting any errors in the de- scription of the territory or in any other particular. However, similar petitions or duplicate copies of the same peti- tion for the inclusion of the same area may be filed and shall together be regarded as one petition. All such peti- tions filed prior to the hearing on the first petition filed shall be considered by the court the same as though filed with the first petition placed on file. (c) In determining whether the requisite number of landowners has signed the petition, the names as they appear upon the tax roll shall be prima facie evidence of such ownership. (d) At the time of filing the petition or at any time subsequent thereto, and prior to the time of hearing on said peti- tion, a bond shall be filed, with security approved by the court, sufficient to pay all expenses connected with the proceedings in case the inclusion of the area is not effected. If at any time during the proceeding the court is satis- fied that the bond first executed is insufficient in amount, it may require the execution of an additional bond within a time to be fixed to be not less than ten days distant, and, upon failure of the petitioner to execute the same, the petition shall be dismissed. (e) Immediately after the filing of such petition, the court wherein such petition is filed, by order, shall fix a place and time, not less than sixty days nor more than ninety days after the petition is filed, for hearing thereon, and thereupon the clerk of said court shall cause notice by publication to be made of the pendency of the petition and of the time and place of hearing thereon. The clerk of said court shall also forthwith cause a copy of said notice to be mailed by registered mail to the board of county commissioners of each of the several counties having territory within the area proposed to be included within the district. (f) No city, or city and county, having a population of more than twenty-five thousand as determined by the last United States census shall be included within such area proposed to be included within the district unless by and with the written consent of the chief executive officer of such city, or city and county, with the approval of the legislative body of such municipality, and such consent may specify that the rate of taxation on the valuation for assessment of property within said city, or city and county, under section 37-45-122, shall not exceed a maximum rate which may be less than the rates set out in said section 37-45-122, and in such case the district shall not have power to levy an assessment on the property in said city, or city and county, at a greater rate than that specified in said consent. (g) Not less than thirty days prior to the time fixed by order of court for the hearing on said petition, and not there- after, a petition may be filed in the office of the clerk of the court wherein the proceeding for inclusion is pending, signed by not fewer than twenty percent of the owners of irrigated lands in said area but not embraced within the Page 33 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. incorporated limits of a city or town, who have not signed the petition for inclusion, and also signed by not fewer than five percent of the owners of nonirrigated lands or lands embraced in the incorporated limits of a city or town, all situated in said area proposed to be included within the district, who have not signed the petition for in- clusion, protesting the inclusion of said area. The signers of said protesting petition shall state therein the land owned by each and also shall state the value thereof as shown by the last preceding assessment. (h) In the event a petitioner signs such petition both as owner of irrigated and nonirrigated land situated within a municipality, his name shall be counted only as an owner of irrigated lands. (i) Upon the day set for the hearing upon the original petition, if it appears to the court that said protesting petition is not signed by the requisite number of owners of lands and of the requisite value, the court shall thereupon dis- miss said protesting petition and shall proceed with the original hearing as provided in this section. (j) If the court finds from the evidence that said protesting petition is signed by the requisite number of owners of lands, and of the requisite values, the court shall forthwith dismiss the original petition for inclusion. The finding of the court upon the question of such valuation, the genuineness of the signatures, and all matters of law and fact incident to such determination shall be final and conclusive on all parties in interest whether appearing or not. (k) Any owner of real property in said proposed area not having individually signed a petition for the inclusion, and desiring to object to the inclusion, on or before ten days prior to the date set for the cause to be heard, may file objection to the inclusion. (l) Such objection shall be limited to a denial of the statements in the petition and shall be heard by the court as an advanced case without unnecessary delay. (m) Any owner of irrigated land in said proposed area who has not individually signed a petition for the inclusion of the area within the district and who desires to have his irrigated lands excluded from said district, on or before ten days prior to the date set for the cause to be heard, may file a petition in said district court asking to have his irrigated lands excluded therefrom. Any petition so filed shall be heard by the district court on the date set for the hearing of the petition for inclusion of the area, and the district court shall exclude such irrigated lands from the area proposed for inclusion within the district. (n) Upon said hearing, if it appears that a petition for the inclusion has been signed and presented, as provided in this subsection (3), in conformity with this article, and that the allegations of the petition are true, and that no pro- testing petition has been filed, or if filed has been dismissed by order duly entered of record, the court shall adju- dicate all questions of jurisdiction and declare the area included in the district to the same extent and as fully as if said area had been included in the original petition for the organization of the district; except that, prior to the en- try of its decree including such area within the district, the court shall obtain the verified consent of the board of directors of the district to the inclusion of such area, which consent shall set forth the terms and conditions upon which said area shall be included, which terms may include the price and value per acre-foot of water to be allot- ted and contracted for use within said included area and which said terms and conditions shall be embodied in the decree of said court. Page 34 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (o) If the court finds that no petition has been signed and presented in conformity with this section, or that the ma- terial facts are not as set forth in the petition filed, it shall dismiss said proceedings and adjudge the costs against the signers of the petition in such proportion as it deems just and equitable. No appeal or other remedy lies from an order dismissing said proceeding; but nothing in this article shall be construed to prevent the filing of a subse- quent petition for similar purposes, and the right so to renew such proceeding is expressly granted and authorized. (3.5)(a) As an alternative to the procedures set forth in subsections (2) and (3) of this section, a petition for inclu- sion and for an election on inclusion of lands within a water conservancy district may be filed in the district court of the county in which the petition for organization of the original district was filed. The petition shall be signed by not less than twenty-five percent of the owners of agricultural lands of the area embraced by the proposed lands to be included and by not less than ten percent of the electors of said area embraced by the proposed lands to be included. The petition shall show that the board of directors of the district has given its verified approval to the inclusion of such area in the district and shall recite the terms and conditions upon which said area shall be in- cluded, if any, which the board of directors of the district may have required, in its discretion, as a prerequisite to the inclusion. The board of directors of the district may require, as one of the conditions of its approval of the pro- posed inclusion, that the petitioners post a sufficient bond to cover the costs of the election. If no bond is so re- quired, the district shall be deemed to have agreed to pay the costs of the election. The proposed boundary of the lands to be included within the district may include any part or all of any county, city, or city and county of any size. Such petition and the hearing thereon shall otherwise comply with the provisions of this section which are not inconsistent with the provisions of this subsection (3.5). (b) On the day fixed for hearing, or at a continuance thereof, the court shall first ascertain, from such evidence which may be adduced, that the required number of electors of the area to be included in the district have signed the petition and that the board of directors has approved the inclusion of lands in the district. Upon said hearing, if it appears that the petition for inclusion has been signed and presented in conformity with this subsection (3.5) and that the allegations of the petition are true, the court, by order duly entered of record, shall direct that the question of the inclusion of lands in the water conservancy district be submitted at an election, to be held for that purpose, of electors of the area embraced within the inclusion petition. Such election shall be conducted by the board of di- rectors of the district in the same manner set forth in sections 37-45-139 to 37-45-141. (c) At such election the voter shall vote for or against the inclusion of lands in the water conservancy district. If the terms and conditions on inclusion have been set by the board of directors of the district, said terms and condi- tions shall be identified to the electors. If a majority of votes cast at said election are in favor of inclusion, the court, on the motion of the board of directors of the district, shall declare the area included in the district to the same extent and as fully as if said area had been included in the original petition for the organization of the dis- trict; except that, if the proposed inclusion in a district includes any territory within a municipality and a majority of the votes cast by the voters residing within that incorporated area are against inclusion in the district, the gov- erning body of said municipality may, within thirty days after certification of the election results, petition the court for exclusion from the district of such incorporated area, and the court shall exclude such territory from the district. Any order of the court so including lands in a district shall incorporate the terms and conditions, if any, for inclusion which the board of directors of the district has required as a prerequisite to inclusion. Page 35 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (3.6) Whenever a municipality has annexed land into its boundaries and that municipality at the time of annexa- tion previously had lands within its boundaries included within the district, upon consent of the governing body of the municipality, and upon consent by the board of directors of the district, the annexed lands shall be deemed to have been included within the district, subject to terms and conditions as determined by the board of directors of the district that shall not be inconsistent with the terms and conditions of previous applicable inclusion orders re- lating to that municipality. The municipality shall promptly transmit to the district a certified copy of the munici- pality's annexation ordinance. Upon receipt of the municipality's annexation ordinance, the board of directors of the district shall promptly act to grant or deny consent to the inclusion of the newly annexed lands into the district. If the board of directors of the district consents to such inclusion, and the municipality agrees to any terms and conditions to the inclusion adopted by the board of directors of the district, the district shall file with the court a certified copy of the municipality's annexation ordinance and a petition of the district for inclusion of the annexed lands that states the terms and conditions of inclusion as determined by the board of directors of the district. Upon the district's filing of a certified copy of the municipality's annexation ordinance and a petition of the district for inclusion of the annexed lands, the court shall enter an order including such lands within the boundaries of the dis- trict, upon the terms and conditions set forth in the petition. (4) As a part of any order entered establishing the inclusion of lands or areas into the district, the court shall des- ignate the division of the district to which such included lands or areas shall be attached or shall, in combination with or in lieu of the foregoing, create a new division from such included lands or areas and appoint the directors therefor; but the total number of directors of the district shall not exceed fifteen. (5)(a) If an order is entered establishing the inclusion of lands or areas into the district, such order shall be deemed final and no appeal or other remedy lies therefrom, and the entry of such order shall finally and conclusively es- tablish the inclusion of the lands or areas against all persons except the state of Colorado, in an action in the nature of quo warranto commenced by the attorney general within three months after said decree declaring such lands or areas included as provided, and not otherwise. The inclusion of said lands or areas shall not be directly or collater- ally questioned in any suit, action, or proceeding except as expressly authorized in this section. (b) Upon the entry of such decree, the clerk of the court shall transmit, to the division of local government in the department of local affairs and to the county clerk and recorder in each of the counties in which said lands or areas are located, copies of the findings and decree of the court including such lands or areas in the district. The same shall be recorded with said division, and copies shall also be filed in the office of the county clerk and recorder in each county in which a part of the district may be, where they shall become permanent records. § 37-45-137. Exclusion of lands (1)(a) The owner in fee of any lands constituting a portion of any district, regardless of the valuation for assess- ment of such district, or, if the valuation for assessment of an existing district is less than three hundred million dollars, not less than fifteen owners of land in an overlapping area as described in section 37-45-109(3)(d) who are petitioners for the formation of a new district proposed to be organized under the provisions of this article which includes lands within such existing district, may file with the board a petition praying that such lands be ex- Page 36 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. cluded and taken from said district. Petitions shall describe the lands which the petitioners desire to have ex- cluded. Such petition must be acknowledged in the same manner and form as required in case of a conveyance of land and be accompanied by a deposit of money sufficient to pay all costs of the exclusion proceedings. (b) The secretary of the board shall cause a notice of filing of such petition to be published in a newspaper of gen- eral circulation in the county in which said lands, or the major portion thereof, are located, the final publication to be made not less than ten days prior to the date set for the hearing thereon. If such petition has been filed by the proponents of a new district, individual notice shall also be given to those landowners of the existing district whose lands are included in the request for exclusion, by mailing a copy of such notice by registered or certified mail not less than ten days prior to the date set for the hearing thereon to each such landowner at his last-known address, as shown by the records of the treasurer of the county in which the lands are located. The notice shall state the filing of such petition, the names of petitioners, and, if applicable, the name of the proposed new district, descriptions of lands mentioned in said petition, and the prayer of said petitioners, and it shall notify all persons interested to appear at the office of said board at the time named in said notice, showing cause in writing why said petition should not be granted. (c) The board at the time and place mentioned in the notice, or at the time to which the hearing of said petition may be adjourned, shall proceed to hear the petition and all objections thereto, presented in writing, by any person showing cause why the prayer of the petition should not be granted. The filing of such petition shall be deemed an assent by each such petitioner to the exclusion from the district of his lands mentioned in the petition or any part thereof. (d) If the board deems it not for the best interest of the district that the lands mentioned in the petition or some portion thereof are excluded from the district, the board shall order that said petition be denied; but, if the board deems it for the best interest of the district that the lands mentioned in the petition, or some portion thereof, be ex- cluded from the district and, if there are no outstanding bonds of the district, the board may order the lands men- tioned in the petition, or some portion thereof, to be excluded from the district. If such exclusion is granted at the request of a proposed new district, it shall be conditioned to take effect only upon the legal creation of the pro- posed new district. (e) In case contract has been made between the district and the United States or any agency thereof, no change shall be made in the boundaries of the district unless the secretary of the interior assents thereto in writing and such assent is filed with the board. Upon such assent, any lands excluded from the district upon order of the court shall be discharged from all liens in favor of the United States under the contract with the United States or under bonds deposited with its agents. (f) Upon allowance of such petition, the board shall file a certified copy of the order of the board making such change with the clerk of the court, and, upon order of the court, said lands shall be excluded from the district. (2) Following organization of a district under this article at any time prior to authorization for the incurring of bonded or other indebtedness under the election procedures set forth in sections 37-45-139 to 37-45-142 and prior to the execution of a contract with the United States or any of its agencies, the governing body of any city, city Page 37 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. and county, or town, regardless of its population, originally included in the district without consent given in the manner provided in section 37-45-109, and over an express objection made in writing to the court in which the pe- tition for organization has been filed at any time prior to the date upon which the court declares the district organ- ized, may pass an ordinance declaring all property, real and personal, within the limits of said public corporation, to be lands and property excluded from the district. Upon service by registered or certified mail of a certified copy of said ordinance upon the division of local government in the department of local affairs, the board of directors of the district, the court organizing said district, the assessor or treasurer, and the county clerk and recorder of the county in which that public corporation is located, said city, city and county, or town, and all lands and property within its limits, shall forthwith be automatically excluded from the district, and said property and lands within the limits of said public corporation shall thereafter be free of any tax levied by the district; except that, if such exclu- sion occurs after March 15 of any year, said lands and property, and the owners thereof, shall be liable for any ex- isting levy made under section 37-45-122, only for the taxable year of the exclusion, said liability in no event to exceed one-half mill on the dollar of valuation of the property, real and personal, within the limits of said public corporation. (3) Nothing in this section shall be construed to interfere or conflict with or amend any proceeding now pending in any district court in the state of Colorado. § 37-45-138. Board to execute contracts--issue bonds To pay for construction, operation, and maintenance of said works, and expenses preliminary and incidental thereto, the board is authorized to enter into a contract with the United States or any agency thereof, providing for payment in installments or to issue negotiable bonds of the district. If bonds are authorized, the board shall set a maximum net effective interest rate, and such bonds shall bear interest at a rate such that the net effective interest rate of the issue of bonds does not exceed the maximum net effective interest rate authorized. Interest shall be payable annually or semiannually and shall be due and payable not more than fifty years from their dates. The form, terms, and provisions of said bonds, provisions for their payment, and conditions for their retirement and calling, not inconsistent with law, shall be determined by the board, and they shall be issued in payment of the works, equipment, expenses, and interest during the period of construction. When any bonded indebtedness has been authorized pursuant to section 37-45-139, and when the board has entered into a contract with the United States or any agency thereof whereby the United States or any agency thereof has agreed to purchase such bonds, at an interest rate established in such contract, the board may issue interim notes bearing interest at a net effective interest rate not exceeding the maximum net effective interest rate authorized for the bonds, the interim notes to be payable at the termination of such contract, or at such time not exceeding three years after the date of their issu- ance and on such terms and conditions as the board may determine. No interim note may be extended or funded except by the issuance of bonds. Bonds also may be issued to pay interim notes as they become due or may be ex- changed for the interim notes as the board may determine. Said bonds or interim notes shall be executed in the name of and on behalf of the district and signed by the president of the board with the seal of the district affixed thereto and attested by the secretary of the board. Said bonds or interim notes shall be in such denominations as the board shall determine and shall be payable to bearer and may be registered in the office of the county treasurer of the county wherein the organization of the district has been effected, with the interest coupons payable to bearer, which coupons shall bear the facsimile signature of the president of the board. Such bonds and interim notes shall be exempt from all state, county, municipal, school, and other taxes imposed by any taxing authority of Page 38 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. the state of Colorado. Such bonds or interim notes may be sold at par, above par, or below par, but the net effec- tive interest rate to the district, including any discount, but exclusive of any discount payable for costs of the issue, shall not exceed the maximum net effective interest rate authorized for such issue of bonds. Such bonds or interim notes may be used as security for any depository bond or obligation where any kind of bonds or other securities must or may, by law, be deposited as security. Any resolution authorizing, or other instrument appertaining to, any bonds or interim notes under this article may provide that each bond or interim note therein authorized shall recite that it is issued under authority of this article. Such recital shall be conclusive evidence of full compliance with all of the provisions of this article, and all bonds and interim notes issued containing such recital shall be incontest- able for any cause whatsoever after their delivery for value. § 37-45-139. Contracts--submission to electors (1) Whenever the board incorporated under this article, by resolution adopted by a majority of the said board, de- termines that the interests of said district and the public interest or necessity demand the acquisition, construction, or completion of any source of water supply, waterworks, or other improvements or facilities or the making of any contract with the United States or other persons or corporations to carry out the objects or purposes of said district, wherein the annual obligation created will require a greater annual expenditure than the annual income and reve- nue that the district is estimated to permit, said board shall order the submission of the proposition of incurring such obligation or bonded or other indebtedness for the purposes set forth in said resolution to the electors of the district at an election held for that purpose pursuant to the provisions of this section and section 37-45-142; except that no such election shall be required when the evidence of indebtedness evidencing the obligation created ex- pressly states that it is payable solely from revenues derived from payments made with respect to contracts which are entered into pursuant to this article. (2) Any election held for the purpose of submitting any proposition of incurring such obligation or indebtedness may be held separately or may be consolidated or held concurrently with any other election authorized by law at which such qualified electors of the district are entitled to vote. (3) The declaration of public interest or necessity required in this section and the provisions for the holding of such election may be included within one and the same resolution, which resolution, in addition to such declara- tion of public interest or necessity, shall recite the objects and purposes for which the indebtedness is proposed to be incurred, the estimated cost of the works or improvements, as the case may be, the amount of principal of the indebtedness to be incurred therefor, and the maximum net effective rate of interest to be paid on such indebted- ness. Such resolution shall also fix the date upon which such election shall be held and the manner of holding the same and the method of voting for or against the incurring of the proposed indebtedness. Such resolution shall also fix the compensation to be paid the officers of the election and shall designate the precincts and polling places and shall appoint for each polling place, from each precinct from the electors thereof, the officers of such election, which officers shall consist of three judges, one of whom shall act as clerk, who shall constitute a board of election for each polling place. (4) The description of precincts may be made by reference to any order of the board of county commissioners of the county in which the district or any part thereof is situated or by reference to any previous order or resolution of Page 39 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. the board or by detailed description of such precincts. Precincts established by the boards of the various counties may be consolidated for special elections held under this article. In the event any such election is called to be held concurrently with any other election or is consolidated therewith, the resolution calling the election under this ar- ticle need not designate precincts or polling places or the names of officers of election but shall contain reference to the act or order calling such other election and fixing the precincts and polling places and appointing election officers therefrom. § 37-45-140. Publication of call The resolution provided in section 37-45-139 shall be published once a week for two consecutive weeks, the last publication of which shall be at least ten days prior to the date set for said election, in a newspaper of general cir- culation within the district, and no other or further notice of such election or publication of the names of election officers or of the precincts or polling places need be made. § 37-45-141. Conduct of election (1) The respective election boards shall conduct the election in their respective precincts in the manner prescribed by law for the holding of general elections and shall make their returns to the court or secretary of the district, as applicable. At any regular or special meeting of the board held not later than five days following the date of such election, the returns thereof shall be canvassed and the results declared. (2) In the event that any election held under this article is consolidated with any primary or general election, the returns thereof shall be made and canvassed at the time and in the manner provided by law for the canvass of the returns of such primary or general election. It is the duty of such canvassing body to promptly certify and transmit to the board or court, as applicable, a statement of the result of the vote upon the proposition submitted under this article. Upon receipt of such certificate, it is the duty of the board or court to tabulate and declare the results of the election held under this article. § 37-45-142. Bond elections--subsequent elections (1) No debt required by section 37-45-139 to be submitted to the electors of the district shall be incurred unless the proposition to create such debt is first submitted to and approved by the electors of the district. (2) In the event it appears from the returns that the proposition submitted has been approved by a majority of those voting at the election as required under subsection (1) of this section, the district is authorized to incur such in- debtedness or obligations, enter into such contract, or issue and sell such bonds of the district, all for the purpose and object provided for in the proposition submitted under this section and in the resolution therefor and in the amount so provided and at a net effective interest rate not exceeding the maximum net effective interest rate re- cited in such resolution. Submission of the proposition of incurring such obligation or bonded or other indebted- ness at such an election shall not prevent or prohibit submission of the same or other propositions at subsequent elections called for such purpose. Page 40 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (3)(a) The board, having received approval at an election to issue bonds and having determined that the limitations of the original election question are too restrictive to permit the advantageous sale of the bonds so authorized, may submit at another election held for such purpose: (I) The question of issuing the bonds, or any portion thereof, at a higher maximum net effective interest rate than the maximum interest rate or maximum net effective interest rate approved at the original election; or (II) The question of issuing the bonds, or any portion thereof, to mature over a longer period of time than the maximum period of maturity approved at the original election. (b) An election held pursuant to this subsection (3) shall be held in substantially the same manner as an election to authorize bonds initially, except as may be required for the submission of the limited question or questions permit- ted under this subsection (3). (c) If a majority of those voting at an election held pursuant to this subsection (3) fails to approve the changes submitted, such result shall not impair the authority of the board at a later time to issue the bonds originally ap- proved within the limitations established at the first election. § 37-45-143. Confirmation of contract proceedings (1) In its discretion, the board may file a petition in the court at any time, praying for a judicial examination and determination of any power conferred or of any tax or assessment levied or of any act, proceeding, or contract of the district, whether or not said contract has been executed, including proposed contracts for the acquisition, con- struction, maintenance, or operation of works for the district. Such petition shall set forth the facts whereon the validity of such power, assessment, act, proceeding, or contract is founded and shall be verified by the president of the board. Notice of the filing of said petition shall be given by the clerk of the court, under the seal thereof, stat- ing in brief outline the contents of the petition and showing where a full copy of any contract therein mentioned may be examined. The notice shall be served by publication in at least five consecutive issues of a weekly news- paper of general circulation published in the county in which the principal office of the district is located and by posting the same in the office of the district at least thirty days prior to the date fixed in said notice for the hearing on said petition. (2) Any owner of property in the district or person interested in the contract or proposed contract may appear and move to dismiss or answer said petition at any time prior to the date fixed for said hearing or within such further time as may be allowed by the court; and the petition shall be taken as confessed by all persons who fail to appear. (3) The petition and notice shall be sufficient to give the court jurisdiction, and, upon hearing, the court shall ex- amine into and determine all matters and things affecting the question submitted, shall make such findings with reference thereto, and shall render such judgment and decree thereon as the case warrants. Costs may be divided or apportioned among the contesting parties in the discretion of the trial court. Review of the judgment of the Page 41 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. court may be 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 judgment or within such additional time as may be allowed by the court within the thirty days. The Colorado rules of civil procedure shall govern in matters of pleading and practice where not oth- erwise specified in this article. The court shall disregard any error, irregularity, or omission which does not affect the substantial rights of the parties. § 37-45-144. Correction of faulty notices In every case where a notice is provided for in this article, if the court finds for any reason that due notice was not given, the court shall not thereby lose jurisdiction, and the proceeding in question shall not thereby be void or be abated, but in that case the court shall order due notice to be given, and shall continue the hearing until such time as notice shall be properly given, and thereupon shall proceed as though notice had been properly given in the first instance. § 37-45-145. Early hearings All cases in which there arises a question of the validity of the organization of a water conservancy district, or a question of the validity of any proceeding under this article, shall be advanced as a matter of immediate public in- terest and concern and heard at the earliest practicable moment. The courts shall be open at all times for the pur- poses of this article. § 37-45-146. Dissolution of districts Any water conservancy district organized may be dissolved in the manner specified in sections 37-45-146 to 37- 45-152 if such district has not been authorized to incur bonded or other indebtedness under the election proce- dures set forth in sections 37-45-139 to 37-45-142 and such district has not incurred bonded or other indebtedness pursuant to the provisions of any other law; except that, if such district has entered into a contract with the United States or any other agency thereof, no dissolution shall take place unless the secretary of the interior of the United States has first consented thereto. § 37-45-147. Election for dissolution--petition or resolution filed (1) An election submitting the proposition of dissolution of the district may be initiated by the filing of a copy of a resolution adopted by three-fourths of all the members of the board of directors of such district requesting such an election or by the filing of a petition requesting such election. Such resolution or petition shall be filed in the dis- trict court which formed said district. (2) Any such petition so filed shall be accompanied by a good and sufficient bond for five hundred dollars with not less than two sureties approved by the court, and, if a majority of the qualified electors do not vote for dissolu- tion in the election specified in this article, the amount of such bond shall be forfeited to the district, otherwise the same shall be discharged. Page 42 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (3) If the valuation for assessment of irrigated land together with improvements thereon within said district when formed is in excess of twenty million dollars, such petition shall bear signatures of any owners of irrigated land equal in number to two-thirds or more of the number of such type of owners required by section 37-45-109, upon a petition for the formation of such a district. Such irrigated land shall be situated within the limits of the district and shall not be embraced within the incorporated limits of any city or town. Said petition shall also bear the sig- natures of any owners of nonirrigated land or land embraced within the incorporated limits of a city or town equal in number to two-thirds or more of the number of such type of owners required by said section upon a petition for the formation of such a district, said land to be situated within the limits of the district. (4) If the valuation for assessment of irrigated land and improvements thereon within such district when formed is less than twenty million dollars, said petition shall contain the same number and type of signatures required by section 37-45-109 upon petitions for the formation of such a district. In either case the petition shall set forth op- posite each signature the description of the land and the valuation for assessment thereof together with any im- provements. Similar petitions or duplicate copies of the same petition may be filed together and shall be regarded as one petition. No petition with the requisite signatures shall be declared void on account of alleged defects, but the court may permit the petition to be amended from time to time to conform to the facts by correcting errors in descriptions, valuation, or any other particular. § 37-45-148. Notice of election Upon presentation of such petition or resolution, the court shall cause a notice to be published forthwith at least once each week for four consecutive weeks in a newspaper of general circulation in each county where the district or parts thereof lie. Such notice shall recite that a petition or resolution for dissolution of the district has been filed, shall describe generally the territory of the district, and shall further specify the time and places of election, which time shall not be less than sixty days nor more than ninety days after the date of the last publication of the notice. If an objection to the petition or resolution is filed in such court by an owner of land situated within said district within twenty days from the date of the last publication of the notice, the court may, if necessary, continue the election from time to time until all objections are disposed of. Due notice of the time and places of any contin- ued election shall be given in the manner and form prescribed above. § 37-45-149. Objections to resolution or petition Objections to a resolution for an election shall be confined to the question of whether sufficient directors voted in favor of the same. Objections to a petition for such election shall be confined to the question of whether sufficient qualified owners of land situate within the district have signed the petition for such election. Such petition shall be accepted as prima facie evidence of all facts stated therein, and all signatures affixed to such petition shall be pre- sumed to be those of qualified owners residing within the boundaries of the district until the contrary is proven. No signer of a petition shall be permitted to withdraw his name from such petition after it is filed, except for fraud. All objections shall be heard as an advanced case on the docket of the court. Nothing in this section shall be construed to prevent the filing of subsequent resolutions or petitions for the same purpose, but elections on the proposition of dissolution shall not be held more frequently than once every three years. Page 43 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. § 37-45-150. Election procedure--ballot (1) Any election held for the purpose of submitting the proposition of dissolution of a district may be held sepa- rately or may be consolidated or held concurrently with any other election authorized by law. The election shall be conducted by the secretary of the board of directors of such district under the supervision of the court, and the court shall fix the manner of holding the same and shall also fix the compensation to be paid the officers of the election and shall designate the precincts and polling places. The court shall also appoint for each polling place and for each precinct from the electors thereof the officers of such election, which officers shall consist of three judges, one of whom shall act as clerk, who shall constitute a board of election for each polling place. (2) The description of precincts may be made by reference to any order of the board of county commissioners of the county in which the district or any part thereof is situated or by reference to any previous order or resolution of the board or by detailed description of such precincts. Precincts established by the boards of the various counties may be consolidated for special elections held under this article. In the event any such election is called to be held concurrently with any other election or is consolidated therewith, the court order need not designate precincts or polling places or the names of officers of election but shall contain a reference to the act or order calling such other election and fixing the precincts and polling places and appointing election officers therefrom. The election shall be conducted in accordance with the provisions of section 37-45-141. (3) The results of such election shall be certified promptly by the secretary of the board of directors to the court. It is the duty of the secretary of the board of directors of the district to prepare ballots to be used at the election on which shall be inscribed the words “For Dissolution” and “Against Dissolution”. The costs of the election and bal- lots shall be paid by the district under the supervision of the court, and the district shall be authorized, under the supervision of the court, to borrow funds for this purpose. Irrespective of any other provision of this article, the district shall not be required or authorized to hold any election on the proposition of such borrowing. § 37-45-151. Majority vote determines question The electors of the district shall be qualified to vote on the question of dissolving the district. If a majority of votes are for dissolution of the district, the district shall be dissolved as provided in section 37-45-152. Any objections to the election, or proceedings to invalidate the election, must be filed in the court within thirty days from the date of the election. Errors, omissions, and irregularities not affecting substantial rights shall be disregarded. § 37-45-152. Winding up and dissolution--order entered (1) In the event the vote is for dissolution, any qualified signer of the petition for the election, or the board of di- rectors of such district may, within such time as may be fixed by the court, present a written plan for the winding up of the affairs of the district. Such plan may specify that the affairs of the district be wound up by the board of directors of the district or by a receiver appointed by the court for that purpose. On a day fixed by the court, the court shall consider such plan and shall enter an order establishing therefrom a plan for the winding up of such af- Page 44 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. fairs. The court shall retain continuing jurisdiction to modify such plan from time to time and shall supervise such winding up. (2) If no such plan is presented on or before the day set by the court, the court shall appoint a receiver to wind up the affairs of the district under the court's supervision. Upon the appointment of any receiver all authority of the board of directors of the district shall terminate; except that its authority to levy taxes for the payment of the obli- gations of the district and the costs of winding up shall continue until the district is dissolved. Such board shall levy taxes within the limits imposed by this article sufficient to pay expeditiously such obligations and costs, and, if a receiver has been appointed, all tax collections shall be delivered to such receiver. (3) When it appears to the satisfaction of the court that all obligations of the district have been discharged, and the costs of winding up the districts paid, such court shall enter an order dissolving the district, and a certified copy of such order shall be recorded by the clerk of the court in all counties in which the district may be situate. All funds remaining in the hands of such receiver or board of directors after such dissolution shall be divided among the counties comprising any part of such district in proportion to the total valuation of taxable property in such county within the boundaries of such district, as determined by the tax roll of such counties in the treasurer's hands, for the calendar year preceding the year in which such dissolution occurs, and said receiver or members of the board of directors shall thereupon be discharged by the court. § 37-45-153. Validation and recreation of water conservancy districts (1) The following water conservancy districts, originally organized under the provisions of this article, are hereby validated and recreated: Alamosa-La Jara Water Conservancy District; Animas-La Plata Water Conservancy Dis- trict; Badger-Beaver Water Conservancy District; Basalt Water Conservancy District; Battlement Mesa Water Conservancy District; Bluestone Water Conservancy District; Bostwick Park Water Conservancy District; Central Colorado Water Conservancy District; Collbran Water Conservancy District; Conejos Water Conservancy Dis- trict; Costilla County Water Conservancy District; Crawford Water Conservancy District; Dolores Water Conser- vancy District; Florida Water Conservancy District; Fruitland Mesa Water Conservancy District; Grand Mesa Water Conservancy District; Great Northern Water Conservancy District; Groundwater Management Subdistrict, Central Colorado Water Conservancy District; Huerfano County Water Conservancy District; Jackson County Water Conservancy District; Juniper Water Conservancy District; La Plata Water Conservancy District; Lower South Platte Water Conservancy District; Mancos Water Conservancy District; Michigan River Water Conser- vancy District; Middle Park Water Conservancy District; Municipal Subdistrict, Northern Colorado Water Con- servancy District; North Fork Water Conservancy District; North La Junta Water Conservancy District; Northern Colorado Water Conservancy District; Pot Hook Water Conservancy District; Purgatoire River Water Conser- vancy District; Saint Vrain and Left Hand Water Conservancy District; San Luis Valley Water Conservancy Dis- trict; San Miguel Water Conservancy District; Silt Water Conservancy District; Southeastern Colorado Water Conservancy District; Tri-County Water Conservancy District; Trinchera Water Conservancy District; Upper Ar- kansas Water Conservancy District; Upper Gunnison River Water Conservancy District; Upper South Platte Wa- ter Conservancy District; Upper Yampa Water Conservancy District; Ute Water Conservancy District; West Di- vide Water Conservancy District; and Yellow Jacket Water Conservancy District. Page 45 © 2014 Thomson Reuters. No Claim to Orig. US Gov. Works. (2) The territory of such water conservancy districts shall be the same as set forth or established for each such dis- trict by Colorado court orders entered pursuant to this article as of February 23, 1983. (3) The provisions of this article, including changes in territory, shall continue to govern such districts, and the districts shall continue to function in all respects as they did prior to February 23, 1983; except that such districts shall be deemed to have been created by statute, irrespective of any organizational process set forth in this article or the district's method of original organization. (4) All actions undertaken by such districts under or pursuant to the authority or apparent authority of this article prior to February 23, 1983, shall be considered as those of de facto officers and directors and as valid and effec- tive should the original organization of such districts be ruled invalid in any respect. (5) The purpose of this section is to validate and recreate such districts and to continue them in existence as con- stituted prior to February 23, 1983, without interruption in order to provide financial security and stability in water development in this state and to ensure that obligations and projects undertaken, or to be undertaken, by such ex- isting districts under or pursuant to this article are honored and carried out should the original organization of such existing districts be ruled invalid in any respect. END OF DOCUMENT Title 37 -page 295 Colorado River Conservation District 37-46-101 ARTICLE 46 Colorado River Conservation District 37-46-101. Legislative declaration. 37-46-.126. Issuance of general obligation 37-46-102. Definitions. bonds and revenue bonds. 37-46-103. District body corporate -area. 37-46-126.2. Subdistrict's levy of taxes. 37-46-104. Board of directors. 37-46-126.3. Levy and collection of sub- 37-46-105. Compensation of directors. district's taxes. 37-46-!06. Vacancies -secretary and 37-46-126.4. Levies to cover subdistrict treasurer. deficiencies. 37-46-107. General powers. 37-46-126.5. County to levy and collect. 37-46-108. Principal office -meetings. 37-46-126.6. Delinquent taxes. 37-46-109. Authority of board to levy 37-46-127. Maintenance assessment. taxes. 37-46-128. Annual levv limit. 37-46-109.3. Taxes -determination and 37-46-129. Investment· of surplus funds. collection. 37-46-130. Sinking fund. 37-46-109.4. Levies to cover district's deli-37-46-131. Com1 confirmation. cienc1es. 37-46-132. Allocation of water or scr- 37-46-110. Organization. vice. 37-46-133. Election to authorize deht. 37-46-l l l. Rules and regulations. 37-46-134. Definition of elector. 37-46-112. Petition. 37-46-135. Elections. 37-46-113. Notice of hearing on petition. 37-46-136. Election resolution. 37-46-114. Protesting of petitions. 37-46-137. Conduct of election. 37-46-115. Board of directors to prepare 37-46-138. Notice of election. plans. 37-46-139. Polling places. 37-46-116. Appointment of appraisers. 37-46-140. Election supplies. 37-46-117. Compensation of appraisers. 37-46-141. Election returns. 37-46-118. Board bound by financing 37-46-142. Debt election contests. plan. 37-46-143. Covenants and other provi- 37-46-119. Directors may make assess-sions in bonds. men ts. 37-46-144. Liens on pledged revenues. 37-46-120. Improvement district bonds. 37-46-145. Rights -powers of holders of 37-46-12]. Assessments perpetual lien. bonds -trustees. 37-46-122. lnva1id assessments -board 37-46-146. Investments and secmities. remedy. 37-46-147. Rents and charges. 37-46-123. Assessment record as evi-37-46-148. Miscellaneous powers. dence. 37-46-149. Cooperative powers. 37-46-124. Remedies in case of faulty 37-46-150. Joint action entity. notice. 37-46-151. Correlative powers of politi- 37-46-125. Lawful contracts. cal subdivisions. 37-46-101. Legislative declaration. 1n the opinion of the general assembly of the state of Colorado, the conservation of the water of the Colorado river in Colorado for storage. irrigation, mining, and manufacturing purposes and the construction of reservoirs, ditches, and works for the purpose of inigation and reclamation of additional lands not yet inigated. as well as to furnish a supplemental supply of water for lands now under inigation, are of vital importance to the growth and development of the entire district and the welfare of all its inhabitants and that, to promote the health and general welfare of the state of Colorado, an appropriate agency for the conservation, use, and development of the water resources of the Colorado river and its principal tributaries should be established and given such powers as may be necessary to safeguard for Colorado, all waters to which the state of Colorado is equitably entitled under the Colorado 1i"ver compact. Source: L 37: p. 997, § I. CSA: C. 138, § 199(1). CRS 53: § 149-8-1. C.R.S. 1963: § 150-7-1. ' ANNOTATION Law re\'iews. For article, "Water Conser- vancy Districts'', see 22 Rocky Mt. L. Rev. 432 0950). For article, "Legal Classification of Special District Corporate Fonns in Colorado", see 45 Den. L.J. 347 (1968). 37-46-102 Water and irrigation Title 37 ·· page 296 37-46-102. Definitions. As used in this article. unless the cornext otherwise requires: (1 l "Colorado river" is construed to embrace and include any tributaries or streams which flow into the Colorado river which may be found in any part of the tenitory embraced in said district. (2) ''District'. means the ·'Colorado Eiver Water Conservation District ... The district is a body corporate and politic and a political subdivision of the state of Colorado. ( 3) ''Person·· means a person. firm. partnership. association, or corporation. (4) ''Property". as used in sections 37-46-109 (1 ). 37-46-109.3. 37-46-126 (I). and 37-46-126.2 to 37-46-126.6. includes both real and personal property. In other parts of said article relating to special assessments. unless otherwise specified. it means real estate as the words ''real estate·· are defined bv the iaw of the state of Colorado and embraces all railroads. tram roads. elecuic railroads. state and interurban railroads. highways. telephone. telegraph. and transmission lines. water systems. water rights. pipelines. and rights-of-way of public service corporations. m1d all other real property. whether held for public or private use. (5) ··subdistrict" or .. subdivision" embraces and includes the kind or character of special improvement districts created under the provisions of this article. including subdis- llicts organized under the name and style of "Water Users' Association :'.'Jo ..... of the Colorado River Water Conservation District'' and "Special Improvement District l\o ..... of the Colorado River Water Conservation Distiict". A subdistrict or subdivision is a body corporate and politic and a political subdivision of the state of Colorado. Source: L. 37: p. 1025. § 25. CSA: C. 138. § 199(25). CUS 53: § 149-8-25. C.RS. 1963: § 150-7-25. L. 77: (2) and (5) amended. p. l638. § 1. effective June 9. L. 79: <4) amended. p. J 355. § I. effective May 31. 37-46-103. District bod~· corporate -area. There is hereby created a water conser- vation district to be known and designated as the "Colorado River Water Conservation District". Such district is hereby declared to be <i body corporate under the laws of Colorado. Said district shall comprise the following area and teITitory of the state of Colorado: Grand county. Routt county. Moffat county. Rio Blanco county. Ouray county. Mesa county, Garfield county. Pitkin county. Eagle county. Delta county. Gunnison county. Summit county, those parts of Hinsdale <:md Saguache counties lying west and north of the continental divick and within the drainage basin of the Gunnison river. and that part of Montrose county not included in the Southwestern water conservation district as set forth and described in section 37-47-103. Source: L. 37: p. 998. § 2. CSA: C. 138. ~ 199(2). L. 51: p. 691. ~ 1. CRS 53: ~ 149-8-2. L. 55: p. 937. § 1. L. 61: p. 854. § I. C.RS. 1963: § 150-7-2. ANNOTATlON Am. Jur.2d. See 45 Am. Jur.2d. J11igation. ~ 60. C.J.S. See 94 C.J.S .. Waters, §s 543-581. 769, 775-777. Law reviews. For artick ... Highlights of the 1955 Colorado Legislative Session Water ... see 28 Rocky Mt. L. Rev. 58 (1955). 37-46-104. Board of directors. ( 1) The Colorado 1iver water conservation disuict shall be mana£ed and controlled bv a board of fifteen directors. One of said directors shall be from each ()f the respective counties in said district. He shall be selected by the board of county commissioners of the county in which he resides. He may be a member of the board of county commissioners of such county. He shall have been a resident of such countv. or if onlv a part of a coun''' i~ ir:icluded within rhe boundaries of the said district. a resident of such i:1cluded pan fo;-C: pe:.-ioi Dt° al least (WO years prior to the date of his appoimm·.:rn am~ shail t>: a fn::c;·,,;;cic:r -...vho ha:, paici tax·~s in ti1e county of his residence during the calenda: yea:· next ix-::cedi::g hF ::~ppcintrn::m. The members of said board shall hold office for a rerm of thrx yeo.r~ ~".nd U!1t~i :.Iv:ir succ~'s:>ors are appointed and qualified. exce;-H ~;s other1 ..vi"e prnvicc-cl in :hi:o ::i.rtde. "'.'.'r;<.:: reg;,1)a!· term of office of each director shall Title 37 -page 297 Colorado River Conservation District 37-46-106 commence on the third Tuesday of January following his appointment. The board of county commissioners of the county in which a director. whose tenn of office is about to expire. resides shall, at its first meeting in January, appoint a successor who shall take office on the third Tuesday in January following his appointment. (2) The members of the board of directors of said district who are now in office shall hold their respective office for the period of time for which they were selected to serve, and their tenure of office shall not be affected by this amendatory section. Within sixty days after April 7, 1961, each of the boards of county commissioners of the counties of Hinsdale and Saguache shall appoint a director from such county with the qualifications above presc1ibed to serve as a member of the board of directors of the Colorado river water conservation district. The director from Hinsdale county shall hold office until the third Tuesday of January, 1962, and the director from Saguache county shall hold office until the third Tuesday of January, 1963. Upon expiration of the several terms of office of the directors appointed under the tenns of this section. successors shall be appointed as provided in this section to serve for the regular term of three years. Source: L. 37: p. 998, § 3. CSA: C. 138, § 199(3). L. Sl: p. 692, §§ 2, 3. CRS S3: § 149-8-3. L. SS: p. 937, § 2. L. 61: p. 854, § 2. C.R.S. 1963: § 150-7-3. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, lnigation, § 61. C.J.S. See 94 C.J.S., Waters, §§ 543-581, 781-785. 37-46-105. Compensation of directors. The board of directors of said district shall receive as compensation a sum not to exceed seventy-five dollars per day while actually engaged in the business of said district, and, in addition, said directors shall be entitled to their actual traveling and transportation expenses when away from their respective places of residence on district business. Source: L. 37: p. 1026, § 26. CSA: C. 138, § 199(26). CRS 53: § 149-8-26. L. 61: p. 856. § 3. C.R.S. 1963: § 150-7-26. L. 83: Entire section amended, p. 1394, § 1, effective May 26. ANNOTATION C.J.S. See 94 C.J.S., Waters,§§ 781-785. 37-46-106. Vacancies -secretary and treasurer. The office of director shall become vacant when any member ceases to reside in the county from which he was appointed. In the event a vacancy occurs in said office by reason of death, resignation, removal, or otherwise, it shall be filled by the board of county commissioners of the county from which said member originally came. Before entering upon the discharge of his duties, each director shall take an oath to support and defend the constitutions of the United States and of the state of Colorado and to impartially, without fear or favor, discharge the duties of a director of said dist1ict. The board of directors of said district shall appoint a secretary and a treasurer. The same individual may at the election of the board hold both of said offices. The board shall likewise hire such other employees. including engineers and attorneys, as may be required to properly transact the business of the district, and said board is authorized to provide for the compensation of the secretary and treasurer and other appointees. The treasurer shall be required by the board to give bond with corporate surety in such amount as the board may fix and which it deems sufficient to protect the funds in the hands of the treasurer or under his control. Such bond is subject to the approval of the board. Source: L. 37: p. 999, § 4. CSA: C. 138. § 199(4). CRS 53: § 149-8-4. C.R.S. 1963: § 150-7-4. 37-46-107 Water and Irrigation Title 37 -page 298 37-46-107. General powers. (I) In its corporate capacity, the district shall have the power: (a) To sue and be sued in the name of the Colorado 1iver water conservation dist1ict; (b) To acquire, operate, and hold in the name of the district such real and personal property as may be necessary to can·y out the provisions of this article and to sell and convey such property or its products, as provided in this article, or when said property is no longer needed for the purposes of said district; (c) To make surveys and conduct investigations to determine the best manner of utilizing stream flows within the dist1ict and the amount of such stream flow or other water supply, and to locate ditches, irrigation works, and reservoirs to store or utilize water for irrigation, mining, manufacturing, or other purposes, and to make filings upon said water and initiate appropriations for the use and benefit of the ultimate appropriators, and to perform all acts and things necessary or advisable to secure and insure an adequate supply of water, present and future, for irrigation, mining, manufacturing, and domestic purposes within said districts; (cl) To make contracts with respect to the relative rights of said district under its claims and filings and the rights of any other person, association, or organization seeking to divert water from any of the streams within said distiict; (e) To contract with any agencies, officers, bureaus, and departments of the state of Colorado or the United States, including the department of corrections, to obtain services or labor for the initiation, the construction, or any other acquisition of irrigation works, ditches and ditch rights, canals, reservoirs, power plants, or retaining ponds within the district or to acquire, by purchase, rental, lease, or exchange, water, water rights, or electricity (or any combination thereof) from the state or the United States, acting by and through any such agency, officer, bureau, or department, but not to acquire any electricity for sale by the district as a public utility either to the public or to any other user (other than any sale to any subdistrict or to any water conservancy district located wholly or in part within the Colorado river water conservation district and other than any sale of electricity at wholesale to any person or governmental entity): (f) To enter upon any privately owned land or other real property for the purpose of making surveys or obtaining other information, without obtaining any order so to do, but without causing any more damage than is necessary to crops or vegetation upon such land~ (g) To organize special assessment districts at different times for the purpose of establishing effective agencies to secure funds to construct reservoirs or other irrigation works under various types and plans of financing, including, among others, by issuance of revenue warrants only, by the issuance of bonds or revenue obligations constituting a lien up to a specified amount against the lands in said special improvement district, and payable out of special assessments or by general obligations of such special improvement districts; (h) To contract with the United States government, the bureau of reclamation, or other agencies of the United States government for the construction of any such works and the issuance of such obligations as the special improvement districts may have the power to issue in payment of costs of construction and maintenance of said works; (i) To have and exercise the power of eminent domain and, in general, to have and exercise rights and powers of eminent domain conferred upon other agencies as provided in articles 1 to 7 of title 38, C.R.S.: but the district, any subdivision thereof, or the special improvement districts therein shall neither have nor exercise the power of eminent domain against the state or state agencies nor acquire thereby any electric generation facilities, electric distribution Jines, or any conditional or absolute decrees for the use of water; (j) To file upon and hold for the use of the public sufficient water of any natural stream to maintain a constant stream flow in the amount necessary to preserve fish and to use such water in connection with retaining ponds for the propagation of fish for the benefit of the public; (k) To exercise such implied powers and perform such other acts as may be necessary to can-y out and effect any of the express powers hereby conferred upon such district; (I) To participate in the formulation and implementation of nonpoint source water pollution control programs related to agricultural practices in order to implement programs required or authorized under federal law and section 25-8-205 (5), C.R.S., enter into Title 37 -page 299 Colorado River Conservation District contracts and agreements. accept funds from any federal. state. or private sources. receive grants or loans, participate in education and demonstration programs. construct. operate. maintain, or replace facilities. and perform such other activities and adopt such rules and policies as the board deems necessary or desirable in connection with nonpoint source water pollution control programs related to agricultural practices. (2) The board of directors of the district acting as the governing body, in the name and on the behalf of the district, may issue revenue bonds to finance. in whole or in part. the construction or other acquisition of works, reservoirs, or other improvements for the beneficial use of water for the purposes for which it has been or may be appropriated. including. without limitation, the hydrogeneration of electricity. or the acquisition by purchase. rental, lease, or exchange of water. or the purchase or exchange of water rights or electricity and appurtenances (or any combination thereof), and to finance incidental expenses pe1taining thereto, whether or not the interest on such bonds may be subject to taxation. Such revenue bonds shail be issued in such denominations and with such maximum net effective interest rate as may be fixed by the board of directors of the district and shall bear interest such that the net effective interest rate of the bonds does not exceed the maximum net effective interest rate authorized. The board shall pledge only bond proceeds, sale proceeds. rental or lease proceeds, service charges, and other income from such works or other improvements or from the sale. rental, or lease of water or the sale of electricity (or any combination thereof), and the dist1ict shall not be otherwise obligated for the payment thereof. At the time such revenue bonds are issued, the board of directors of the district shall make and enter in the minutes of the proceeding a resolution in which the due dates of such revenue bonds, the rates of interest thereon, the general provisions of the bonds, and a recital that the same are payable only out of bond proceeds, sale proceeds, rental and lease proceeds, service charges, and other income from such works or other improvements and from the sale, rental, lease, or exchange of water or the sale or exchange of electricity (or any combination thereof) are set forth. In addition, the board of directors shall require the payment of rental or lease charges, service charges, or other charges by the political subdivisions or persons who are to use or derive benefits from the water or other services furnished by such works or improvements or otherwise. Such charges shall be sufficient to pay operation and maintenance expenses thereof, to meet said bond payments, to accumulate and maintain reserve and replacement accounts pertaining thereto as set forth in such resolution, and to provide funds sufficient for the further development of water resources for all of the foregoing beneficial purposes. Such resolution shall be irrepealable during the time that any of the revenue bonds are outstanding and unpaid. Except as provided in sections 11-55-101to11-55-106, C.R.S., the revenue bonds shall be signed "Colorado River Water Conservation District, By ............ , President. Attest .................. , Secretary", and they shall be countersigned by the treasurer. Source: L. 37: p. 1000, § 5. CSA: C. 138, § 199(5). CRS 53: § 149-8-5. C.R.S. 1963: § 150-7-5. L. 77: (2) added, p. 1639, § 2, effective June 9; (l)(e) amended, p. 954. § 29, effective August 1. L. 81: IP(l), (l)(e), and (2) amended and (l)(i) R&RE, pp. 176 l, 1762, §§ 1, 2, effective June 19. L. 88: (l )(l) added, p. I 023, § 4, effective April 6. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, hTigation, §§ 63, 67, 68. 71-73. C.J.S. See 29A C.J.S., Eminent Domain. § 21; 9L C.J.S., Waters,§§ 543-581. 786-793. Law reviews. For anicle, "Water for Recre- ation: A Plea for Recognition". see 44 Der;. L.J. 288 (1967). District must make same rievelopmentaI efforts as other appropriators. S1ibsection (l)(c) does not relieve a water district of the requirement to make the same deveiopmental eff011s as required of other approp1iators in or- der to support a finding of reasonable diligence in the development of appropriations under con- ditional water rights. Colorado River Water Conservation Dist~ v. City & County of Denver, 640 P.2d l 139 (Colo. 1982). There is no support in the iaw of CoioradG for <:he proposition that a minimum now of water may be "appropriated" in a natural stream for piscatoriai purposes without diver- sion of any portion of the water "appropriated" 37-46-108 Water and Irrigation Title 37 -page 300 from the natural course of the stream. By the enactment of this section the general assemblv did not intend to b1ing about 'such an extrem~ departure from well established doct1ine, and the supreme court holds that no such departure was brought about by said section. Colorado River Water Conservation Dist. v. Rocky Mt. Power Co., 158 Colo. 331, 406 P.2d 798 (1965). Appropriations for piscatorial purposes without diversion intended. The general as- sembly in the enactment of the second sentence in subsection ( 4) of§ 37-92-103 and subsection ( 1 )(j) of this section intended to have appropria- tions for piscatorial purposes without diversion. Colorado River Water Conservation Dist. v. Col- orado Water Conservation Bel., 197 Colo. 469, 594 P.2d 570 ( 1979). 37-46-108. Principal office -meetings. The board of directors of said district shall designate a place within the district where the principal office is to be maintained and may change such place from time to time. Regular quarterly meetings of said board shalJ be held at said office on the third Tuesday in the months of January, April, July, and October. The board is also empowered to hold such special meetings as may be required for the proper transaction of business. All special meetings of the board shall be held at locations which are within the boundaries of the district or which are within the boundaries of any county in which the district is located, in whole or in part, or in any county so long as the meeting location does not exceed twenty miles from the district boundaries. The provisions of this section governing the location of meetings may be waived only if the proposed change of location of a meeting of the board appears on the agenda of a regular or special meeting of the board and if a resolution is adopted by the board stating the reason for which a meeting of the board is to be held in a location other than under the provisions of this section and further stating the date, time, and place of such meeting. Special meetings may be called by the president of the board or by any three directors. Meetings of the board shall be public, and proper minutes of the proceedings of said board shall be preserved and shall be open to the inspection of any elector of the district during business hours. Source: L. 37: p. 1002, § 6. CSA: C. 138, § 199(6). CRS 53: § 149-8-6. C.R.S. 1963: § 150-7-6. L. 90: Entire section amended, p. 1505, § 20, effective July 1. 37-46-109. Authority of board to levy taxes. (1) (a) In addition to other means of providing revenue for the district, the board of directors has the power to fix the amount of an assessment upon the property within the district, not to exceed two and one-half mills for every dollar of valuation for assessment therein as a level or general levy to be used for the purpose of paying the expenses of organization, for surveys and plans, to pay the salaries of officers and the per diem allowed to directors and their expenses, for the costs and expenses of construction or partial construction of any project designed or intended to accomplish the utilization of water, by storage or otherwise, for any beneficial uses or purposes, and for other incidental expenses which may be incurred in the administration of the affairs of the district. (b) and ( c) Repealed. (d) Upon the receipt of any proceeds of a tax levy made under paragraph (a) of this subsection ( 1 ), if any items of expense have already been paid in whole or in part from any other sources by the district, they may be repaid from receipts of such levy. Such levy may be made, although the work proposed or any part thereof may have been found impractical or for other reasons abandoned. The collection of data and the payment of expenses therefor, including the compensation of engineers and attorneys and clerical assistants, to conserve the water of the district and to enable the district to adopt plans and projects for the orderly development of the district are hereby declared to be a matter of general benefit to the public welfare and such that taxes for said purposes may be properly imposed in the opinion of the general assembly. (e) If this subsection (1) or any clause, phrase, or part thereof is held unconstitutional or invalid by any court of competent jurisdiction, such decision shall not affect the validity or force of any other pait of this section or any other part of this law, and the general assembly hereby declares it would have enacted the remainder of this article without this subsection (1). Title 37 -page 301 Colorado River Conservation District 37-46-109 (2) The board of said dist1ict may. in lieu of the level or general tax authorized by subsection (l) of this section, levy special assessments upon all real estate within the district, except such real estate as is exempted in this article, to raise funds to pay expenses of organization, salaries. expenses, and per diem allowances of officers and directors and to prepare a general plan for the maintenance of constant stream flow and adequate water supplies in all the principal tributaries and the main stream of the Colorado river in said district and provide for future development of the district and insure water therefor. Such assessments shall be made in proportion to the benefits to each piece of real estate accruing by reason of the adoption of a comprehensive plan of development of the natural resources of the district as a whole. The board of directors. if it deems it advisable at any time before levying special assessments, shall appraise the benefits to the several parcels of real estate within the district which shall result from the organization of said district and the general plans and development aforesaid. The board may adopt rules for such purpose and provide inter alia for n'otice and hearing to all persons affected thereby. A permanent record, arranged by counties, of the benefits which will accrue to each tract of land shall be kept, and such benefits shall be apportioned over a series of years, the amount to be collected each year to be in the discretion of the board; but the amount of such assessment to be levied and assessed against the real property in said district in any one year shall not exceed a total of seventy-five hundred dollars, and it is hereby declared that the amount of special benefits accruing annually to the real estate in said district is in excess of such amount. All property owned by the state, counties, cities, towns, school districts, or other governmental agencies shall be exempt from taxation or special levies under this article. (3) Prior to October 15 of each year in which an assessment is made, the board of directors shall appoint a time and place where it will meet within the district for the purpose of hearing objections to assessments at least thirty days prior to the dates so appointed. Notice of such hearing shall be given by posting a notice thereof at or near the door of the treasurer's office in each county in said district and by publishing said notice in a legal newspaper not less than three consecutive times within a period of thirty days, immediately prior to the hearing. The notice posted in each county shall be sufficient if it pertains to the property subject to assessment in said county only and need not contain the description of, or any reference to, property situated in other counties also affected by such assessment. The notice shall contain a description of the real estate so assessed in the county in which said notice is posted and published, the amount of the assessment fixed by the board, and the time and place fixed by the board for the hearing of objections to such assessments. It shall not be necessary for the notice to contain a separate description of the lots or tracts of real estate, but it shall be sufficient if the said notice contains such descriptions as will inform the owner whether or not his real estate is covered by such descriptions, and to inform the owner of the amount of special assessments thereon. (4) If, in the opinion of any person whose real estate is assessed, his property has been assessed too high or has been erroneously or illegally assessed, at any time before the date of such hearing, he may file written objections to such assessments, stating the ground of such objections, which statement shall be verified by the affidavit of said person or some other person familiar with the facts. At such hearing the board shall hear such evidence and argument as may be offered concerning the correctness or legality of such assessment and may modify .or amend the same. Any owner of property desiring to appeal from the finding of the board as to assessments, within thirty days from the finding of the board, shall file with the clerk of the district court of the county in which the property is situated, a written notice making demand for a trial by the court. At the same time, the appellant shall file a bond with good and sufficient security, to be approved by the clerk of said court, in a sum not exceeding two hundred dollars, to the effect that, if the finding of the court is not more favorable to the appellant than the finding of the board, the appellant will pay the costs of the appeal. The appellant shall state definitely from what part of the order the appeal is taken. In case more than one appeal is taken, upon a showing that the same may be consolidated without injury to the interests of anyone, the court may consolidate and try the appeals together. (5) The court shall not disturb the findings of the board unless the finding of the board in any case is manifestly disproportionate to the assessments imposed upon other property 37-46-109 .3 Water and lJTigation Title 3 7 -page 302 in the district created under this article. The trial shall be to the court. and the matter shall take precedence before the court and shall be taken up as promptly as may be after the appeal is filed. If no appeal is taken from the finding of the board within the time prescribed in this section, or after the finding of the district court in case an appeal is taken from the finding of the board, then said assessments shall be final and conclusive evidence that said assessments have been made in proportion to the benefits conferred upon each tract of real estate of said district by reason of the general plans of survey, comprehensive plan of development, and the completion of improvements to be constructed under the provisions of this article, and such assessments shall constirute a perpetual lien as provided in section 37-46-121 upon the real estate so assessed until paid. Source: L. 37: p. 1003, § 7. CSA: C. 138, § 199(7). CRS 53: § 149-8-7. L. 58: p. 323, § 1. C.R.S. 1963: § 150-7-7. L. 69: p. 1235. § l. L. 79: (l)(c) repealed and (l)(d) amended, pp. 1360, 1355, §§ 8, 2, effective May 31. L. 83: (l)(a) and (l)(d) amended and (l)(b) repealed, pp. 1394, 1396, §§ 2, 5, effective May 26. Cross references: For publication of legal notices, see part I of article 70 of title 24: for the definition of "property", as used in subsection (l) of this section, see§ 37-46-102 (4). ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, Irrigation, §§ 71, 72. C.J.S. See 94 C.J.S., Waters,§§ 543-581. 37-46-109.3. Taxes -determination and collection. (1) In addition to other means of providing revenue for the district, the board of directors, in the name of the district, has the power to levy and collect general ad valorem taxes on or against all taxable property within the district, subject to the limitations provided in section 37-46-109 (1 ). (2) To levy and collect general ad valorem taxes, the board shall determine in each year the amount of money to be raised by taxation, including, without limitation, tax levies to retire and pay indebtedness incurred by the district by contract other than the issuance of bonds pursuant to section 37-46-133 and other provisions in this article supplemental thereto, taking into consideration other sources of revenue of the district, and shall fix a rate of levy, without limitation as to rate or amount, but subject to the limitations provided in section 37-46-109 ( 1 ), which, when levied upon every dollar of valuation for assessment of taxable property within the district and together with any other moneys of the district, will raise the amount required by the district annually to supply funds for the payment of costs and expenses specified in section 37-46-109 (1) and this subsection (2). (3) In accordance with the schedule prescribed by section 39-5-128, C.R.S., the board of directors shall certify to the board of county commissioners of each county within the district or having a portion of its territory within the district the rate so fixed in order that, at the time and in the manner required by Jaw for the levying of taxes, such board of county commissioners shall levy such tax upon the valuation for assessment of all taxable property within the district. (4) The body having authority to levy taxes within each such county shall levy the taxes certified to it, and all officials charged with the duty of collecting taxes shall collect such taxes levied by the district in accordance with sections 37-46-126.5 and 37-46-126.6. Source: L. 79: Entire section added, p. 1356, § 3, effective May 31. L. 83~ (2) amended, p. 1395, § 3, effective May 26. Cross references: For the definition of "property", as used in this section, see§ 37-46-102 (4). 37-46-109.4. Levies to cover district's deficiencies. The board of directors, in certi- fying annual levies for the district, shall take into account the maturing indebtedness incurred by the district by contract other than the issuance of bonds for the ensuing year as Title 37 -page 303 Colorado River Conservation District 37-46-111 provided in its contracts and deficiencies and defaults of prior years and shall make ample provision for the payment thereof. In case the moneys produced from such levies, together with other revenues of the district are not sufficient to pay punctually the annual install- ments of such contracts and interest thereon and to pay defaults and deficiencies, the board shall make such additional levies of taxes as may be necessary for such purposes, and such taxes shall be made and shall continue to be levied until the indebtedness of the district is fully paid. Source: L. 79: Entire section added. p. 1356. s 3. effective May 31. 37-46-110. Organization. (]) l\otwithstanding the organization of the district pro- vided for in this section, public iiTigation districts organized under and pursuant to article 4 of chapter 149, CRS 53. and irrigation districts organized under and pursuant to articles 41 and 42 of this title. and any other form or organization designed or intended to acquire. construct, or maintain reservoirs. ditches. and similar works for irrigation or other beneficial purposes under any Jaw of the state of Colorado or of the United States may be organized to cover and include areas within the Colorado river water conservation district and may likewise embrace territory within that district and partly out of the district. The board of directors, whenever in their opinion such form of organization will help promote the local interests or accomplish improvements for any part of said district, may recommend the organization of any such type of organization. (2) In addition to such forms of organization. whenever in the opinion of the board of directors of said district it is feasible and necessary that ditches, canals. reservoirs. or other works which benefit only a part of the district should be constructed, a local improvement district or subdivision, or as many of such local improvement dist1icts as may be necessary, may be created as provided in this article. Said local improvement district, when organized under the provisions of this Jaw, shall be designated as "Water Users· Association No ........ . in the Colorado River Water Conservation Dist1ict", or as "Special Improvement District No ......... in the Colorado River Water Conservation District'". Each subdistrict shall be numbered consecutively as created or organized. The board of directors, the engineers. attorneys, secretary, and other officers. agents, and employees of the district, so far as it may be necessary, shall serve in the same capacity for such subdivisions or subdistricts. A contract and agreement between the main district and the subdistrict may be made in the same manner as contracts and agreements between two districts. Source: L. 37: p. 1008. § 8. CSA: C. 138, § 199(8). CRS 53: § 149-8-8. C.R.S. 1963: § 150-7-8. Editor's note: The public irrigation law, article 4 of chapter 149. CRS 53. refemd to in ( 1) above, was repealed, but the provisions of said article 4 were preserved as to all dist1icts formed under that article prior 1963. (See L. 63, p. 1009.) ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, Irrigation, §§ 58, 60. C.J.S. See 94 C.J.S .. Waters. §§ 543-581, 767-770. 37-46-111. Rules and regulations. The district has the power to make general rules and regulations for the conduct of its business, as well as the conduct of the business of any subdistrict therein, and by such rules and regulations may provide for the rental of water or other services which are to be furnished by said subdistrict. to any municipality, public irrigation district, or irrigation district or other quasi-municipal corporation in this state, and to make contracts for the payment of the rental to be charged for any such water or services. Source: L. 37: p. 1028, § 30. CSA: C. 138. § 199(30). CRS 53: § 149-8-30. C.R.S. 1963: § 150-7-30. 37-46-112 Water and Irrigation ANNOTATION C.J.S. See 94 C.J.S., Waters. §§ 543-581. 769, 786-793. Title 37 -page 304 37-46-112. Petition. (l) Before any subdistrict is established under this article, a petition shall be filed in the ofiice of the clerk of the district court of the county in which the territory to be embraced in said subdistrict, or the greater part thereof is situate. signed by the board of directors of the district or by a majority of the owners of land situate within the limits of the territory proposed to be organized into a subdist1ict. (2) The petition shall set forth: (a) . The proposed name of said subdistrict, whether it shall be designated "Water Users' Association No ..... in the Colorado River Water Conservation District", or "Special Improvement District No ..... in the Colorado River Water Conservation District"; (b) That property within the proposed subdistrict will be benefited by the proposed reservoirs, ditches, canals, works, or other improvements and shall set forth in a general way the nature and estimated cost thereof. together with a general statement of the nature of the anticipated benefits to be derived therefrom; (c) A full description of the territory to be included in the proposed subdistrict. The description need not be given by metes and bounds or by legal subdivision, but it shall be sufficient to enable a property owner to ascertain whether his property is within the territory proposed to be organized in a subdistrict. Such territory need not be contiguous, if it is so situated that the organization as a single subdistrict of the territory described is such as to promote one or more of the objectives of this article as to all parts of the area proposed to be included. (d) A general description of the methods proposed to finance the proposed works or other improvements, whether by revenue warrants pledging the income from the proposed works, special improvement bonds to be paid by special assessments on the property benefited in an amount on each tract of land not in excess of the appraised benefits, contracts of water users or water users' associations creating liens or mortgages on lands within the subdistrict, or general obligation bonds constituting a lien against the real property embraced in such subdistrict, and which indebtedness shall never be an obligation of the distJict itself. If general obligations are proposed, the petition shall allege and show that all lands in the subdistrict will be benefited in an amount not less than the total amount of general obligation bonds to be issued exclusive of interest. (e) If such a petition is filed by the board of directors of the district, it shall contain a statement to the effect that a maj01ity of the landowners of the territory in the proposed subdistrict petitioned the board of directors to organize said subdistrict, and a copy of the petition of said landowners shall be attached as an exhibit to the petition for organization of the subdistrict. (f) The petition shall pray for the organization of a subdistrict by the name proposed. (3) To determine whether a majority of landowners in said district have signed the petition, in the event the petition is signed by landowners, or have petitioned the board of directors of the district, in the event the petition is filed by the board of directors, the court may require the county treasurer of each county in which territory proposed to be included in said subdistrict is situated to furnish a certified list of names of landowners within said area, and the court shall be governed by the names as they appear upon said copy of the tax roll, and the same shall be prima facie evidence of ownership, and, if said tax roll shows a majority of the landowners have signed the main petition or petitioned the district for said organization, the same shall be considered as p1ima facie evidence that a majority of said landowners are in favor of the organization of said proposed subdistrict. Source: L. 37: p. 1009, § 9. CSA: C. 138, § 199(9). CRS 53: § 149-8-9. C.R.S. 1963: § 150-7-9. Title 37 -page 305 Colorado River Conservation District 37-46-114 ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, Irrigation, § 59. C.J.S. See 94 C.J.S., Waters, §§ 543-581, 769-779, 813-818. 37-46-113. Notice of' hearing on petition. (1) Immediately after the filing of such petition, the court wherein such petition is filed, by order, shall fix a place and time, not less than sixty days nor more than ninety days after the petition is filed, for hearing thereon. and thereupon the clerk of said court shall cause notice by publication, which may be substantially the same as provided in section 37-8-101, to be made of the pendency of the petition and of the time and place of the hearing thereon. The clerk of said court shall also forthwith cause a copy of said notice to be mailed by United States registered mail to the board of county commissioners of each of the several counties having territory within the proposed subdistrict and to the board of directors of said district in the event that said petition is filed by the landowners. (2) The district court in and for the county in which the petition for the organization of a subdistrict has been filed, for all purposes of this article, except as otherwise provided in this article, thereafter shall maintain and have original and exclusive jurisdiction coexten- sive with the boundaries of said subdistrict of lands and other property proposed to be included in said subdistrict or affected by said district, without regard to the usual limits of its jurisdiction. (3) No judge of such court wherein such petition is filed shall be disqualified to perform any duty imposed by this article by reason of ownership of property within any subdistrict or proposed subdistrict or by reason of ownership of any property that may be benefited, taxed, or assessed therein. Source: L. 37: p. 1011, § 10. CSA: C. 138, § 199(10). CRS 53: § 149-8-10. C.R.S. 1963: § 150-7-10. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 543-581, 771-779. 37-46-114. Protesting of petitions. ( 1) At any time after the filing of a petition for the organization of a subdistrict, and not less than thirty days prior to the time fixed by the order of the court for the hearing upon said petition, and not thereafter, a protest may be filed in the office of the clerk of the court wherein the proceedings for the organization of such subdistrict is pending, signed by a majority of the owners of the land in said proposed subdistrict protesting the organization or creation of said subdistrict. It is the duty of the clerk of the court forthwith, upon filing of said protest, to make as many certified copies thereof, including the signatures thereto, as there are counties into any part of which said proposed subdistrict extends and forthwith to place in the hands of the county treasurer of each of such counties one of said certified copies. (2) It is the duty of each of such county treasurers to determine from the last tax rolls of his county, and to certify to said district court under his official seal, prior to the day fixed for the hearing, the total number of owners of land situate in such proposed subdistrict within his county and the total number of owners of land situate in such proposed subdistrict within his county who have signed such protest. Such certificate shall constitute prima facie evidence of the facts so stated therein and shall be so received and considered by the court. (3) Upon the day set for the hearing upon the original petition, if it appears to the court from such certificate and from such other evidence as may be adduced by any party in interest that the said protest is not signed by a majority of the owners of land within the proposed subdistrict, the court shall thereupon dismiss said protest and shall proceed with the hearing on the petition. If it appears to the court at said hearing that the protest is signed by any person or corporation who signed the original petition for the organization of said subdistrict, either to the court or to the district, then the signature of any such landowner 37-46-115 Water and Irrigation Title 37 -page 306 upon the protest shall be disregarded and not counted. The board of county commissioners of any county in which any part of said proposed subdistrict is situate, or any owner of real property in said proposed subdistrict who has not signed the petition for the organization of said subdistrict, on or before the date set for the cause to be heard, may file objections to the organization and incorporation of the district. Such objections shall be limited to a denial of the statements in the petition and shall be heard by the court as an advanced case without unnecessary delay. (4) Upon said hearing, if it appears that said petition has been signed and presented in accordance with the requirements of this article and that the allegations of the petition are true. the court shall enter a decree and therein adjudicate all questions of jurisdiction and declare the subdistrict organized and designate the name of said subdistrict, by which in all subsequent proceedings it shall thereafter be designated and known, and thereafter said subdistrict shall be deemed a special improvement district. (5) Such order shall be binding upon the real property within the subdistrict, and no appeal or other remedy shall lie therefrom, and entry of such order shall finally and conclusively establish the regular organization of said subdistrict against all persons except the state of Colorado in an action in the nature of quo warranto to be commenced by the attorney general within three months after said decree is entered and not otherwise. Within ten days after such subdistrict has been declared duly organized by the court, the clerk of said court shall transmit to the county clerk and recorder in each of the counties having lands in said subdistrict copies of the findings and decree of the court establishing said subdistrict. The same shall be recorded in the office of the county clerk and recorder, where they shall become permanent records. Source: L. 37: p. 1012, § 11. CSA: C. 138, § 199(11). CRS 53: § 149-8-11. C.R.S. 1963: § 150-7-11. L. 83: (5) amended, p. 1228, § 14, effective July 1. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 543-581, 778-780. 37-46-115. Board of directors to prepare plans. Upon organization of such subdis- trict, the board of directors of said district, acting as the board of directors of said subdistrict, are authorized and required to prepare and adopt as the official plans for said subdistrict a comprehensive detailed plan showing the nature of the improvements or works, including all canals, reservoirs, and ditches, whether within or without the district, and the estimated cost of each principal part of said system or works. Source: L. 37: p. 1015. § 12. CSA: C. 138, § 199(12). CRS 53: § 149-8-12. C.R.S. 1963: § 150-7-12. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 543-581, 769-774, 786-793. 37-46-116. Appointment of appraisers. As soon as such official plan has been prepared and adopted and is on file in the office of said district, upon petition of the district, the court shall appoint a board of appraisers consisting of three members. The qualifications of said appraisers and all proceedings before them shall be in accordance with the provisions of the law pertaining to the duties and qualifications of appraisers under the conservancy law of Colorado as set forth in article 4 of this title; except that where reference is made in said law to districts, it shall apply to subdistricts organized under this article. Title 37 -page 307 Colorado River Conservation District 37-46-118 Source: L. 37: p. 1015, § 13. CSA: C. 138, § 199(13). CRS 53: § 149-8-13. C.R.S. 1963: § 150-7-13. 37-46-117. Compensation of appraisers. Appraisers when appointed under the pro- visions of this article shall receive a compensation of ten dollars per day during the time that they are engaged in the performance of their duties. Source: L. 37: p. 1017. § 15. CSA: C. 138, § 199(15). CRS 53: § 149-8-15. C.R.S. 1963: § 150-7-15. 37-46-118. Board bound by financing plan. ( 1) The board of directors of the district shall be bound by the plan of financing set forth in the petition for the organization of the subdistrict and approved by decree of the district court. The appointment of appraisers shall not be necessary in the event that the plan adopted provides that general obligations of the subdistrict are to be issued or provides for the issuance of revenue warrants which are a lien and charge upon the rental and income from the irrigation works or reservoirs or other improvements to be constructed under the plan adopted and the rental derived from any such works. (2) The warrants shall be payable in such denominations, with a maximum net effective interest rate which may be fixed by the board of directors of said district pursuant to the order and decree of the court. Such warrants shall bear interest such that the net effective interest rate of the warrants does not exceed the maximum net effective interest rate authorized. The board shall pledge the income and rentals from said irrigation works or water supplied therethrough, and the subdistrict shall not be otherwise obligated for the payment thereof. (3) At the time said revenue warrants are issued, the board of directors of the district shall make and enter in the minutes of the proceeding a resolution in which the due dates of said revenue warrants, the rate of interest thereon, the general provisions of said bonds, and a recital that the same are payable out of rental and income only are set forth and shall require the payment of an assessment or annual rental charge by the persons who are to use or derive benefit from the water or other service furnished through said improvements or works, sufficient to meet said payments, and the resolution shall be irrepealable during the time that any of said revenue warrants are outstanding and unpaid. The revenue warrants shall be signed "Water Users' Association No ..... in the Colorado River Water Conserva- tion District, By .............. ,President. Attest .............. , Secretary" or "Special Improvement District No ..... in the Colorado River Water Conservation District, By .............. , President. Attest .............. , Secretary". They shall be countersigned by the treasurer. (4) General obligation bonds of said subdistrict shall be signed in the same manner as provided in this section for revenue warrants and shall recite that the same are issued pursuant to the provisions of this article and are to be payable at the time and in the manner and with the rate of interest therein specified and that the same were issued under and pursuant to a decree of court and a resolution of the board of directors authorizing the issue of said obligations and referring to the date of said resolution. Said bonds shall further recite that they are payable from funds to be derived by assessments and tax levies against the property in said subdistrict and not otherwise, and that the same are not to be deemed as an obligation of the Colorado river water conservation district but only as an obligation of said subdistrict, and that the district itself is not obligated in any manner for the payment of said bonds. Source: L. 37: p. 1015, § 14. CSA: C. 138, § 199(14). CRS 53: § 149-8-14. C.R.S. 1963: § 150-7-14. L. 70: p. 440, § 7. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 813-818. 37-46-119 Water and lITigation Title 37 -page 308 37-46-119. Directors may make assessments. ( l ) In the event that the plans for the organization of said dist1ict, including the petition and the decree entered thereon, provide for a plan of financing the construction or acquisition of the works, or other improvements proposed, by special assessments to be levied against the appraised benefits to property within said subdistrict, then the board of directors may make assessments from time to time as required, and said board in making said assessments shall be guided by the procedure for the levy of similar assessments under the conservancy law of the state of Colorado and particularly the provisions of said law appearing in sections 37-5-104 to 37-5-106, and the same shall apply to subdistricts created under this article. The board of directors from time to time, as the affairs of the subdistrict may demand, may levy on all property upon which benefits have been appraised an assessment of such ponion of said benefits as may be found necessary by said board to pay the cost of the appraisal. the preparation and execution of the official plan for said subdistrict, superintendence of construction, and administration during the period of construction, plus ten percent of said total to be added for contingen- cies, but not to exceed in the total of principal the appraised benefits so adjudicated. (2) The assessments, to be known as the "construction fund assessment", shall be apportioned to and levied on each tract of land or other property in said district in proportion to the benefits appraised and not in excess thereof, and in case bonds are issued, as provided in section 37-46-120, then the amount of interest which will accrue on such bonds as estimated by said board of directors shall be included in and added to said assessment, but the interest to accrue on account of the issuance of said bonds shall not be construed as a part of the cost of construction in determining whether or not the expenses and cost of making said improvement are or are not equal to or in excess of the benefits appraised. (3) As soon as said assessment is levied, the secretary of the subdistrict, at the expense thereof, shall prepare in duplicate an assessment of the subdistrict. It shall be in the form of a well-bound book endorsed and named ''Construction Fund Assessment Record of Water Users' Association No ..... (or Special Improvement District No ..... ,as the case may be) of the Colorado River Water Conservation District". Said record shall be in the form of similar records for conservancy districts under the laws of this state, particularly as provided by section 37-5-104. Said assessments may be paid in the manner provided by section 37-5-105, relating to conservancy districts under the laws of this state. All proceedings provided in said sections with respect to conservancy districts shall apply to the assess- ments, the records thereof, and the manner of payment of assessments of subdistricts organized under this article. Source: L. 37: p. 1017. § 16. CSA: C. 138, § 199(16). CRS 53: § 149-8-16. C.R.S. 1963: § 150-7-16. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d. Irrigation. § 71. C.J.S. See 94 C.J .S., Waters, §§ 543-581, 806-834. 37-46-120. Improvement district bonds. ( 1) The board of directors of said district may issue as obligations of the subdistrict not as an obligation of the Colorado river water conservation district, improvement district bonds to be paid out of special assessments made by said board of directors against all lands in the subdistrict, not exceeding in the aggregate principal amount of ninety percent of the amount of benefits assessed against said lands and unpaid at the time of issue of said bonds. The bonds shall contain a recital to the effect that they are issued under and in accordance with the provisions of this article as special improvement district bonds and are payable out of special assessments to be levied against the prope11y in said subdistrict as provided in this article, and not otherwise. Such improvement district bonds shall be signed, "Water Users' Association No ..... (or Special Improvement District No ..... , as the case may be) of the Colorado River Water Conserva- tion District, By .............. , President", and countersigned " .............. , Treasurer". (2) Otherwise said bonds shall be in such denominations and become due at such dates. with interest payable either annually or semiannually at such rate subject to a maximum net Title 37 -page 309 Colorado River Conservation District 37-46-122 effective interest rate, and contain such other provisions as may be fixed by the board of directors, if said provisions are not inconsistent with the terms of this article. Except as otherwise expressly modified in this article, the law relating to the form and issuance of bonds of conservancy districts under the laws of this state, pmticularly section 37-5-106, shall apply and govern officers of the district in the issuance and sale of said bonds, and other provisions of said law with respect to the levy of assessments or the payment of said bonds with interest, and particularly section 37-5-110, shall likewise be applicable to the bonds of a subdistrict organized under this article. Source: L. 37: p. 1019, § 17. CSA: C. 138, § (199)17. CRS 53: ~ 149-8-17. C.R.S. 1963: § 150-7-17. L. 70: p. 441, § 8. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, Irrigation, § 68. C.J.S. See 94 C.J.S., Waters, §§ 543-581, 795. 37-46-121. Assessments perpetual lien. All assessments on account of special im- provements against appraised benefits and interest thereon and penalties for default of payment thereof, together with costs of collecting the same, from the date of the filing of the "construction fund assessment" record and the "maintenance fund assessment" record in the office of the county treasurer of the county wherein the lands and property are situate, shall constitute a perpetual lien in an amount not in excess of the benefits severally appraised upon the land and other property against which said assessments have been levied and such benefits appraised to which only the lien of the general, state, county, city, town, or school district taxes shall be paramount, and any sale of such property and the issuance of a tax deed conveying title thereto, to enforce any general, state, county, city, town, or school district tax, or any other lien, shall extinguish the perpetual lien of said assessment. Any landowner at any time may pay the full amount of said assessment, and thereafter the property of any such landowner shall be clear and free from said lien and shall not be subject to assessment for and on account of benefits appraised against any other land or default in the payment of assessments made against any other land. Source: L. 37: p. 1020, § 18. CSA: C. 138, § 199(18). CRS 53: § 149-8-18. C.R.S. 1963: § 150-7-18. L. 79: Entire section amended, p. 1357. § 4, effective May 31. L. 83: Entire section amended, p. 1395, § 4, effective May 26. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, Irrigation, § 71. C.J.S. See 94 C.J.S., Waters, §§ 543-581, 806-818' 823-825. 37-46-122. Invalid assessments -board remedy. If any assessment made under the provisions of this article proves invalid, the board of directors by subsequent or amended acts or proceedings, promptly and without delay, shall remedy all defects or irregularities. as the case may require, by making and providing for the collection of new assessments, or otherwise. Source: L. 37: p. 1021, § 19. CSA: C. 138, § 199(19). CRS 53: § 149-8-19. C.R.S. 1963: § 150-7-19. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, Irrigation, § 71. C.J.S. See 94 CJ .S., Waters, §§ 543-58 L 786-793, 819-822. 37-46-123 \V~1tcr and Irrigation Title 37 -page 310 37-46-123. Assessment record as evidence. The record of assessments contained in the respective assessment records of the district shall be prima facie evidence in all com1s of all matters therein contained. Source: L. 37: p. 1021. § 20. CSA: C. 138. § 199(20). CRS 53: § 149-8-20. C.R.S. 1963: § 150-7-20. 37-46-124. Remedies in case of faulty notice. Whenever in this article notice is provided for, if the court finds that due notice was not given, jurisdiction shall not thereby be lost or the proceedings abated or held void. but the court shall continue the hearing until such time as proper notice may be given and thereupon shall proceed as though proper notice had been given in the first instance. If any appraisement, assessment, levy, or other proceeding relating to said dist1ict is held defective, then the board of directors may file a motion in the cause in which said district was organized to perfect any such defect. and the court shall set a time for hearing thereon. If the 01iginal notice as a whole is held to be sufficient but faulty only with reference to publication as to certain particular lands or as to service as to certain persons. publication of the defective notice may be ordered as to the particular lands, or service may be made 011 the persons not properly served, and said notice is thereby coJTected without invalidating the original notice as to other lands or persons. Source: L. 37: p. 1021. § 21. CSA: C. 138, § 199(21). CRS 53: § 149-8-21. C.R.S. 1963: § 150-7-21. ANNOTATION C.J.S. See 94 C.J.S .. Waters. §§ 543-581, 813-822. 37-46-125. Lawful contracts. ( 1) When the petition for the organization of a sub- district and the decree for such organization so provide. it is lawful for any said subdistrict to make contracts as follows: (a) A water users' association may bind itself to levy an annual assessment for the use of water and to secure same by liens on land and water rights or in such manner as may be provided by law. (b) Any person or corporation landowner may create a mortgage lien upon lands or give other security satisfactory to the board or any other contracting agency, and all such contracts shall provide for forfeiture of the use of water for nonpayment of assessments or installments in the same manner and procedure as provided by statute for forfeiture of stock in a mutual ditch company. Source: L. 37: p. 1023, § 23. CSA: C. 138, § 199(23). CRS 53: § 149-8-213 C.R.S. 1963: § 150-7-23. Cross references: For forfeiture of stock in a ditch company, see § 7-42-104 (4). ANNOTATION C.J.S. See 94 C.J .S .. Waters. §§ 543-581. 786-793. 37-46-126. Issuance of general obligation bonds and revenue bonds. (1) The board of directors of the dist1ict acting as the governing body, in the name and on the behalf of the subdist1ict as provided in section 37-46-110 and not otherwise, when authorized by the plan of organization and decree of court organizing said subdistrict to do so, may issue general obligation bonds or otherwise incur a general obligation indebtedness to finance, in whole or in pan. the construction or other acquisition of works, reservoirs, or other Title 37 -page 31 l Colorado River Conservation District 37-46-126 improvements for the beneficial use of water for !he puqx)ses for which it has been or may be appropriated, including. without limitation. the hydrogeneration of electricity. or the acquisition by purchase. rental. lease. or exchange of water. or the purchase or exchange of water rights or electricity and appurtenances (or any combination thereof). and to finance incidental expenses pertaining thereto. whether or not the interest on such bonds may be subject to taxation. Said obligations shall bear interest at a rate such that the net effective interest rate of the issue does not exceed the maximum net effective interest rate authorized. Interest shall be payable semiannually. but the first installment of interest may evidence interest for not exceeding two years from the date of issue, and said obligations may be issued and made payable in series becoming due over a te1m of not less than five years and not more than fifty years after the date of issue. Such bonds or other indebtedness is to be paid from general ad valorem taxes levied from time to time. as the bonds or other indebtedness and interest thereon become due. against the taxable property in said subdis- trict and not otherwise: but such taxes may be diminished to the extent other revenues are made available to pay such debt service as the same becomes due. The board of directors of the district shall ce11ify to the boards of county commissioners of the several counties in which said subdistrict or any part thereof is located the amount of the levy necessary to pay said bonds or installments of principal of other indebtedness as they mature and also to pay the interest becoming due on all outstanding bonds or other indebtedness, and the procedure for the assessment and collection of revenue or taxes of the county and state are, except as may be otherwise provided in this article, made applicable and are to be followed in the levy of assessments for payment of taxes and collection of p1incipal and interest on such general obligations. (2) The board of directors of the dist1ict acting as the governing body, in the name and on the behalf of the subdistrict. may issue revenue bonds to finance. in whole or in part, the construction or other acquisition of works. reservoirs. or other improvements for the beneficial use of water for the purposes for which it has been or may be appropriated, including, without limitation, the hydrogeneration of electricity, or the acquisition by purchase, rental, lease, or exchange of water, or the purchase or exchange of water rights or electricity and appurtenances (or any combination thereof), and to finance incidental expenses pertaining thereto, whether or not the interest on such bonds may be subject to taxation. Such revenue bonds shall be issued in such denominations and with such maximum net effective interest rate as may be fixed by the board of directors of the subdistrict and shall bear interest such that the net effective interest rate of the bonds does not exceed the maximum net effective interest rate authorized. The board shall pledge only bond proceeds, sale proceeds, rental or lease proceeds, service charges, and other income from such works or other improvements or from the sale, rental, lease, or exchange of water or the sale or exchange of electricity (or any combination thereof), and the subdistrict shall not be otherwise obligated for the payment thereof. At the time said revenue bonds are issued, the board of directors of the subdistrict shall make and enter in the minutes of the proceeding a resolution in which the due dates of such revenue bonds, the rates of interest thereon. the general provisions of the bonds. and a recital that the same are payable only out of bond proceeds, sale proceeds, rental and lease proceeds, service charges, and other income from such works or other improvements and from the sale. rental, lease, or exchange of water or the sale or exchange of electricity (or any combination thereof) are set forth. In addition, the board of directors shall require the payment of rental or lease charges, service charges. or other charges by the political subdivisions or persons who are to use or de1ive benefits from the water or other services furnished by such works' or improvements or otherwise. Such charges shall be sufficient to pay operation and maintenance expenses thereof, to meet said bond payments, to accumulate and maintain reserve and replacement accounts pertaining thereto as set forth in such resolution. and to provide funds sufficient for the further development of water resources for all of the foregoing beneficial purposes. Such resolution shall be in-epealable du1ing the time that any of the revenue bonds are outstand- ing and unpaid. Except as provided in sections 11-55-101 to 11-55-106, C.R.S., the revenue bonds shall be signed "Water Users' Association No ..... in the Colorado River Water Conservation District, By .......... , President. Attest ........... Secretary" or "Special Improve- 37-46-126.2 Wakr and Irrigation Title 37 page 312 ment District No ..... in the Colorado River Water Conservation District. Bv ......... . President. Attest ........... Secretary··, and they shall be countersigned by the treasi.1rcr. Source: L. 37: p. 1022. § 22. CSA: C. 138. § 199(22). CRS 53: § 149-8-22. C.R.S. 1963: § 150-7-22. L. 70: p. 441. § 9. L. 77: Entire section amended. p. 1639. § 3, effective June 9. L 79: (1) amended. p. 1357. § 5. effective May 31. L. 81: Entire section amended. p. 1763. § 3. effective June 19. Cross references: For the definition of "property•·. as used in subsection ( J) of this section. see § 37-46-102 ( 4 ). ANNOTATION Am. Jur.2d. Sec 45 Am. Jur.2d, lnigation. § 68. - C.J.S. See 94 C.1.S .. Waters. §§ 543-581, 795. 37-46-126.2. Subdistrict's levy of taxes. In addition to other means of providing revenue for a subdistrict, the board of directors, in the name of the subdistrict, has the power to levy and collect general ad valorern taxes on or against all taxable property within the subdistrict, subject to the limitations provided in section 37-46-126.3 (1), in part 3 of article 1 of title 29, C.R.S., and in any other Jaw which by its terms is applicable to the subdistrict and which imposes tax limitations or expenditure limitations thereon. Source: L. 79: Entire section added, p. 1358, § 6, effective May 31. Cross references: For the definition of ··property'', as used in this section, see§ 37-46-102 (4). ANNOTATION C.J.S. See 94 C.J.S., Waters,§§ 813-818. 37-46-126.3. Levy and collection of subdistrict's taxes. ( 1) The board of directors, in the name of the subdistrict, after it has been organized, shall determine the amount of money necessary to be raised by a levy on the taxable property in the subdistrict and shall fix a rate of levy, not to exceed five mills. which when levied upon every dollar of valuation for assessment of taxable property within the subdistrict will raise the amount required by the subdistrict during the ensuing fiscal year to supply funds for paying expenses of organization, costs of surveys and plans, salaries of any employees of the subdistrict, per diem allowed to directors and their expenses pertaining to the subdistrict, and other incidental expenses which may be incurred in the administration of the affairs of the subdistiict, paying the costs and expenses of construction of any project designed or intended to accomplish the utilization of water, by storage or otherwise, for any beneficial uses or purposes, and promptly paying in full, when due, all interest on and p1incipal of general obligation bonds and other general obligation indebtedness of the subdistrict, but the limitation of five mills imposed in this section on the amount of levy shall not apply to levies made for the purpose of paying the principal of and interest on the general obligation bonds and other general obligation indebtedness of the subdist1ict. Except for levies to pay such indebtedness, a two-thirds vote of the membership of the board shall be required to fix the amount of each of such levies. (2) To levy and collect general ad valorem taxes. the board shall determine in each year the amount of money necessary to be raised by taxation, taking into consideration other sources of revenue of the subdistrict. and shall fix a rate of levy, without limitation of rate or amount. but subject to the provisions of subsection ( 1) of this section, which. when levied upon every dollar of valuation for assessment of taxable property within the subdistrict and together with any other moneys of the subdistrict, will raise the amount required by the subdistrict annually to supply funds for the payment of the expenses provided in subsection (1) of this section. Title 37 -page 313 Colorado River Conservation District 37-46-126.5 (3) In accordance with the schedule prescribed by section 39-5-128. C.R.S., the board of directors shall certify to the board of county commissioners of each county within the subdistrict, or having a po11ion of its territory within the subdistrict, the rate so fixed in order that, at the time and in the manner required by law for the levying of taxes, such board of county commissioners shall levy such tax upon the valuation for assessment of all taxable property within the subdistrict in such county. (4) Upon the receipt of any proceeds of tax levies made under subsection (1) of this section, if any items of expense have already been paid in whole or in part from any other sources by the subdistrict, they may be repaid from receipts of such levies. Such levies may be made, although the work proposed or any part thereof may have been found impractical or for any other reasons abandoned. The collection of data and the payment of expenses therefor, including the compensation of engineers. attorneys, and clerical assistants, to conserve water of the subdistrict, are hereby declared to be a matter of general benefit to the public welfare and such that taxes for such purposes may be properly imposed in the opinion of the general assembly. (5) The limitations in and other provisions of part 3 of anicle 1 of title 29, C.R.S .. and any other law which by its terms is applicable to the subdistrict and which imposes tax limitations or expenditure limitations thereon, other than the tax limitation in subsection (1) of this section, shall not apply to the subdist1ict until the fifth year after the date on which the subdistrict is created or May 31, 1979. whichever date is later. Source: L. 79: Entire section added, p. 1358, § 6, effective May 31. Cross references: For the definition of "property", as used in this section, see§ 37-46-102 (4). ANNOTATION C.J.S. See 94 C.J.S., Waters,§§ 813-818. 37-46-126.4. Levies to cover subdistrict deficiencies. The board of directors, in certifying annual levies for the subdistrict, shall take into account the maturing indebtedness for the ensuing year as provided in its contracts, maturing bonds and interest on bonds, and deficiencies and defaults of prior years and shall make ample provision for the payment thereof. In case the moneys produced from such levies, together with other revenues of the subdistrict, are not sufficient to pay punctually the annual installments of its contracts or bonds and interest thereon and to pay defaults and deficiencies, the board shall make such additional levies of taxes as may be necessary for such purposes, and such taxes shall be made and shall continue to be levied until the indebtedness of the subdistrict is fully paid. Source: L. 79: Entire section added, p. 1359, § 6, effective May 31. Cross references: For the definition of "property''. as used in this section, see § 37-46-102 (4). ANNOTATION C.J.S. See 94 C.J.S .. Waters,§§ 813-818. 37-46-126.5. County to levy and collect. (1) The body having authority to levy taxes within each county in which the district is situate wholly or in part if it levies taxes to pay expenses or to retire and pay indebtedness incurred by contract other than the issuance of bonds. or both to pay such expenses and to retire and pay such indebtedness, and each county in which a subdistrict is situate wholly or in part if it levies taxes pursuant to sections 37-46-126 (1) and 37-46-126.2 to 37-46-126.4. shall levy the taxes provided in this article. (2) All officials charged with the duty of collecting taxes shall collect such taxes levied by the district or subdistrict as the case may be, at the time and in the fonn and manner and Water and lJTigation Title 37 -page 314 with the interest and penallies as other tax.es are collected and. when collected, shall pay the same to the clistrict or subdistrict levying the tax. (3) The payment of such collection shall be made on or before the tenth day of the next succeeding calendar month to the treasurer of the district or subdistrict levying the taxes and paid into the depository thereof to the credit of such district or subdistrict. (4) All taxes levied under this article. together with interest thereon and penalties for default in payment thereof, and all costs of collecting the same shall constitute, until paid, a perpetuai lien on and against the property taxed, and such lien shaH be on a parity with the tax lien of other general ad valorern taxes. Source: L. 79: Entire section added. p. 1359. § 6, effective May 31. Cross references: For the definition of "propeny". as used in this section. see§ 37-46-102 (4). ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 813-818, 826-834. 37-46-126.6. Delinquent taxes. (1) If the taxes levied are not paid, then delinquent real property shall be sold at the regular tax sale for the payment of such taxes. interest, and penaities in the manner provided by statute 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 or the subdistrict levying the taxes in the same manner as provided by law for accounting for school, town, and city taxes. (2) Delinquent personai property shall be distrained and sold as provided by law. (3) Nothing in this article. neither the tax limitations in sections 37-46-109 (1) and 37-46-126.3 ( 1) nor otherwise, shall be constrned as preventing the collection in full of the proceeds of al I levies of taxes by the district or subdistrict levying the taxes authorized by this article. including, without limitation, any delinquencies, interest, penalties. and costs. Source: L. 79: Entire section added, p. 1360, § 6, effective May 31. Cross references: For the definition of "prope11y'', as used in this section, see§ 37-46-102 (4). ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 813-818, 826-834. 37-46-127. Maintenance assessment. ( l) To maintain, operate, and preserve ditches, canals, reservoirs. or other improvements made pursuant to this article. and to strengthen. repair. and restore the same, when needed. and, for the purpose of defraying any incidental expenses of the subdistrict, upon completion of a works provided for in the plan for any such subdistrict, on or before the first Monday in November of each year thereafter, the board of directors may certify to the board of county commissioners of the county in which said subdist1ict or any pa11 thereof is located an assessment on each tract of land and upon public corporations subject to assessment under this article, for the purpose of raising funds to be used for the maintenance of said improvements. If an appraisal of benefits has been made against the lands in said districL assessments shall be apportioned by the county treasurer and by the board of directors of said distJict against the property therein upon the basi~ of the appraisal of benefits 01iginali y made. If no such appraisal has been made and the form of organization and financing is such that revenue warrants or general obligations of the subdistrict have been issued, then said assessment shall be made on the basis of the valumis::-: for :::ssessmenc of the property subject to assessment in said subdist1ict. Title 37 -page 315 Colorado River Conservation District 37-46-J 28 (2) Such assessment shall not exceed five milis on each dollar of tbe valuatiOJ' for assessment of the prope11y in said subdistrict in any one year, unless the court shall by order authorize an assessment of a larger percentage. The assessment shall be levied by resoiution of the board of directors and shall be enrolled in a well-bound record to be known as the maintenance fund assessment record and shall be substantially the form provided for simiiar records of conservancy districts under the laws of the state of Colorado, particuiariy as provided by section 37-5-107. Assessments so certified shall be levied by the board of county commissioners of the counties in which said subdistrict is situate. on the propeny of said district in their respective counties. to be collected by the treasurers of the severai counties and delivered to the treasurer of the district in like manner and with like effect as is provided for the collection and return of other assessments under this article. The whole assessment shall be due and payable as and when taxes for county purposes levied in the same year are due and payable. The said maintenance assessments shall be in addition to any assessments which have been levied against benefits appraised for and on account of construction. Source: L. 37: p. 1023, § 24. CSA: C. 138. § 199(24). CRS 53: § 149-8-24. C.R.S. 1963: § 150-7-24. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d, Irrigation. §§ 71, 72. C.J.S. See 94 C.J .S., Waters. §§ 543-581, 819-822. 37-46-128. Annual levy limit. (1) The district has no power of taxation or right to levy or assess taxes, except as provided in sections 37-46-109 to 37-46-109.4. 37-46-126.5, and 37-46-126.6. The district has no power to contract or incur any obiigation or indebt- edness except as expressly provided in this ai1icle, and then any obligation or indebtedness so contracted or incurred is to be payable out of the funds derived through the limited tax provided in section 37-46-109 (1) and the unlimited tax provided in section 37-46-109.:5 (2) to retire and pay indebtedness incurred by the dist1ict by contract other than the issuance of bonds and not otherwise; except that the district for and in behalf of any subdistricr or improvement district created under this article has the right to issue obligations as expressly authorized in this article and not othe1wise. (2) All assessments under this article shall be collected by the county treasurer of the respective counties in which said real estate is situated at the same time and in t'.1e same manner as is provided by law for the collection of taxes for county anci state purposes. and if said assessments are not paid, then the real estate shall be sold at the regular [~:x sa1e fo;· the payment of said assessments, interest. and penalties in the manner provided by the statutes of the state of Colorado for selling property for the payment of general taxes. If there are no bids at said tax sale for the property so offered, said property siiall be struck off to the district, and the tax certificates shall be issued in the name of the district and the board of directors bas the same power with reference to tbe sale of S<tid tax certificates <:E is vested in county commissioners and county treasurers when property is struck off to the counties. (3) Tax deeds may be issued, based upon said certificates of sale in the same m<:n~1e:· that deeds are executed on tax sales on general state and county taxes. Source: L. 37: p. 1026. § 27. CSA: C. 138. § i99(27). CRS .::;.); ~ 149-g-27. C.R.S. 1963: § 150-7-27. L. 69: p. 1235, 2 2. L. 79~ (1) amended p. 136C, ~ 7. efiect'cv:: May 31. Cross references: For collection of taxes and tax sales, see articles 10 and l l of title ?S. 37-46-129 Water and Irrigation Title 37 -page 316 ANNOTATION Am. Jur.2d. See 45 Am. Jur.2d. lnigation. § 71. C.J.S. See 94 C.J .S., Waters. §§ 543-58 L 806-818. 37-46-129. Investment of surplus funds. The board of directors of said district may invest any surplus funds of the district. including any funds in the construction fund assessment not needed for immediate use to pay the cost of construction of any project in any one of the subdistricts or to pay bonds or coupons or to meet current expenses. in securities meeting the investment reguirements established in part 6 of article 75 of title 24. C.R.S. The board of directors of said district may require any funds of the district. or of any subdistrict. to be deposited with such depository or bank as may be designated by the board and shall likewise have autho1ity to require the treasurer of the district to take from such depository a bond with corporate surety to insure payment of any such deposit or to require such depository to pledge securities of the same kind as those in which the district is authorized to invest its funds to insure payment of any such deposit. Source: L. 37: p. 1027. § 28. CSA: C. 138. § 199(28). CRS 53: § 149-8-28. C.R.S. 1963: § 150-7-28. L. 89: Entire section amended, p. 1123, § 50, effective July 1. ANNOTATION C.J.S. See 94 C.J.S., Waters,§§ 786-793 37-46-130. Sinking fund. Such district may provide for a sinking fund for the ultimate payment of any of the obligations of any subdistrict. Said sinking fund may be invested as provided in section 37-46-129. Source: L. 37: p. 1028, § 29. CSA: C. 138. § 199(29). CRS 53: § 149-8-29. C.R.S. 1963: § 150-7-29. 37-46-131. Court confirmation. ( 1 J (a) In its discretion, the board of directors, on the behalf and in the name of the district or any subdistrict which is a party in interest, may file a petition at any time in the district coun in and for the county in which the distiict's principal office is maintained or, if both the district and one or more subdistricts are parties to the petition, in the district court in and for the county in which any such subdistrict was organized, praying for a judicial examination and dete1mination of any power conferred or of any taxes or rates or other charges levied. or of any act. proceeding, or contract of the district. the subdistrict, or the subdistiicts. or any combination thereof, as the case may be. whether or not said contract has been executed, including, without limitation, proposed contracts for the acquisition, improvement, equipment, maintenance, operation, or disposal of any properties or facilities for the benefit of the district. the subdist1ict, or the subdistiicts. as the case may be. and so including a proposed issue of revenue wan-ants. revenue bonds. special assessment bonds, or general obligation bonds, issued or to be issued on behalf of any such entity. Such petition shall set forth the facts whereon the validity of such power, tax. assessment, charge, act. proceeding. or contract is founded and shall be verified by the president of the board of directors. (b) Such action shall be in the nature of a proceeding in rem, and jurisdiction of all parties interested may be had by publication. mail. and posting, as provided in this article. Notice of the filing of the petition shall be given by the clerk of the courL under the seal thereof. stating in brief outline the contents of the petition and also stating where a full copy of any contract therein mentioned may be examined. The notice sha11 be served by publication at least once a week for live consecutive weeks in a daily or a weekly newspaper of general circulation published in the county in which the principal office of the dist1ict is located, by mailing copies of the notice by registered or certified mail, return receipt requested. to the boards of county commissioners of the several counties in which the Title 37 -page 317 Colorado River Conservation District 37-46-133 parties in interest in such action are located wholly or in part. and by posting the same in the office of the district at least thirty days prior to the date fixed in said notice for the hearing on said petition. Jurisdiction shall be complete after such publication, mailing. and posting. (c) Any owner of property in the district or any subdistrict filing the petition or any person interested in the contract 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 heaiing or within such further time as may be al lowed by the court: and the petition shall be taken as confessed by all persons who fail to appear. (2) The petition and notice shall be sufficient to give the court jurisdiction: and, upon hearing. the court shall examine into and determine all matters and things affecting the question submitted and shall make such findings with reference thereto and render such judgment and decree thereon as the case warrants. Costs may be divided or apportioned among any contesting parties in the discretion of the t1ial court. Review of the judgment of the court may be had as in other similar cases: except that such review must be applied for within thiny days after the time of the rendition of such judgment or within such additional time as may be allowed by the court within thirty days. The Colorado rules of civil procedure shall govern in matters of pleadings and practice where not otherwise specified in this article. The court shall disregard any error, irregularity, or omission which does not affect the substantial rights of the parties. Source: L. 37: p. 1028, § 31. CSA: C. 138, § 199(31). CRS 53: § 149-8-31. C.R.S. 1963: § 150-7-31. L. 77: Entire section R&RE, p. 1640, § 4. effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters,§§ 786-793. 37-46-132. Allocation of water or service. In order to enable a subdistrict organized under the provisions of this article to furnish water to lands which have not been irTigated and had. up to the time of the constrnction of the works to be constructed by said subdistrict, no water supply and, at the same time. to enable other areas within the same subdistrict to obtain a supplemental supply of water or to enable said subdistrict to furnish a complete service to ce11ain lands, certain areas. certain persons. or municipalities within the district and to supplement an existing supply or service to other persons, localities, and munici- palities, prior to the time that an appraisement of benefits is made in any such subdistrict, the board of directors may make a resolution setting forth the amount of water or the kind of service to be allocated to specified classes or areas. and such limitation shall be taken into consideration by the appraisers in the appraisal of benefits with respect to lands affected by any such limitation. Like conditions and restrictions may be provided for payment by certain lands or persons of revenue warrants which pledge the income from the works of said subdistricts, but no such limitation shall govern the payment of any general obligations of any such subdistrict. Source: L. 37: p. 1029, § 32. CSA: C. 138. * 199(32). CRS 53: § 149-8-32. C.R.S. 1963: § 150-7-32. ANNOTATION Am. Jur.2d. See 45 Am. Jur.2.d. lnigation. * 64. C.J.S. Sc<: l)..J. C.J.S .. Waters. ~* 760-76~. 37-46-133. Election to authorize dent. Except fm the issuance of refunding bon,js or other funding or refunding of obligations which does not increase Lile net indebtedness of the district or any subdist1ict so proceedir.g. no indebtedness shc.Il be incurred by the issuance of general obligation bonds of any subdistrict or by any contract by which the 37-46-134 Water and Irrigation Title :n -page 318 district or a subdistrict agrees to repay as general obligations or other obligations cunsti- tuting a "general obligation debt by loan in any form ... as such term is used in section 6 of article Xl of the state constitution. of the district or subdistrict. respectively. to the federal government. the state, any political subdivision. or any person over a tenn not limited to the then current fiscal year any project costs advanced thereby under any contract for the acquisition or improvemem of the facilities or any interest therein. or for any project. advanced by the issuance of securities of such a political subdivision or person to defray any cost of the project or of the facilities or an interest therein thereby acquired and becoming a part of the facilities of the district or subdistrict. or otherwise advanced. unless a proposal of issuing the subdistrict's general obligation bonds or of incrnTing an indebtedness by the district or subdistrict by making such a contract is submitted to the electors of the district or subdistrict. as the case may be. and is approved by a majority of such electors voting on the proposal at an election held for that purpose in accordance with this article and with all Jaws amendatory thereof and supplemental thereto. Source: L. 77: Entire section added. p. 1642. * 5. effective June 9. L. 81: Entire section amended, p. 1764. § 4. effective June 19. ANNOTATION C.J.S. See 94 C.J.S .. Waters. §§ 543-581. 37-46-134. Definition of elector. ( 1 J An "elector·· ... elector of the district". or "elector of the subdist1ict"'. or .any term of sirni lar import. means a person: (a) Who. at the time of the election, is qualified to vote in general elections in this state: and (b) Who is a resident of the district or subdistrict proposing to incur an indebtedness at the time of the election. (2) Registration pursuant to the Jaws concerning general elections or any other laws shall not be required. Source: L. 77: Entire section added. p. 1642. § 5. effective June 9. 37-46-135. Elections. Whenever in this article an election of the electors of the district or a subdistrict therein is permitted or required. the election may be held separately at a special election or may be held concurrently with any primary or general election held under the laws of this state: but no election shall be held at the same time as any regular election of any city, town. or school district if any part of the area thereof is iocated within the boundaries of the district. Source: L 77: Entire section added. p. 1642. § 5. effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters. s~ 543-581. 771-774. 781-785. 37-46-136. Election resolution. (]) The board of directors shall call any election by resolution adopted at least thirty days prior to the election. (2) Such resolution shali recite the objects and pmposes o( the election. the date upon which such election shall be held. and the form of the baliot. (3) In the case of any election not to be he id concurrent] y witi1 a primary or general election, the board of directors shail provide in tne eiection resolution or by supplemental resolution for the appointment of sufficient judges and clerks of the election. who shall be electors of the district or the subdistrict holding the debt election, and in such event shall set their compensation, The eiection resoiution or a supplemental resolution shall also then Title 37 -page 319 Colorado River Conservation District 37-46-137 designate the precincts and polling places. but a supplemental resolution may modify such a description of precincts and polling 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 political subdivision in which the district or subdistrict or any part thereof is situated, or by reference to any previous order or other instrument of such a governing body, or by detailed desc1iption 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 of directors in a sufficient number which it deems expedient for the convenience of the electors 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 this state, the judges of election for such primary or general election shall be designated as the judges of the election for the election held pursuant to this article, and they shall receive such additional compensation, if any, as the board of directors shall set by the election resolution. Source: L. 77: Entire section added, p. 1642, § 5. effective June 9. ANNOTATION C.J.S. See 94 CJ.S., Waters, §§ 543-581, 771-774, 781-785. 37-46-137. Conduct of election. (I) Except as otherwise provided in this article, an election held pursuant to this article shall be opened and conducted in the manner then provided by the laws of this state for the conduct of general elections. (2) If an election is held concurrently with a primary or general election. the county clerk and recorder of each county in which the district or subdist1ict holding the debt election is located shall perform for the district or subdist1ict election the acts provided by law to be performed by 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 district with the assistance of the county clerk and recorders. The board of directors and county clerk and recorders are authorized to agree among themselves upon the division of such acts and the determination of persons to perform them. (3) An elector of the district may vote in any election by absent voter's ballot under such terms and conditions, and in substantially the same manner insofar as is practicable. as prescribed in article 8 of title 1, C.RS., of the "Uniform Election Code of 1992" for general elections, except as specifically modified in this article. (4) All acts required or permitted therein to be performed by a county clerk and recorder shall be performed by each one respectively in the event of a primary or general election and by the secretary or assistant secretary of the board of directors in the event of any other election, unless the services of the county clerk and recorder in each such coumy are contracted for, but no oath shall be administered by the secretary or assistant secretary unless he is also an officer authorized to administer oaths. (5) Application may be made for an absent voter's ballot not more than twenty days and not less than four days before the election. (6) No consideration shall be given nor distinction made with reference to any person's affiliation or the lack thereof. (7) The return envelope for the absent voter's ballot shall have printed on its face an affidavit substantially in the following form: "State of Colorado, County of ........ ., L ............ , 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 Colorado River Water Conservation District or Water Users· Association No ..... or Special Improvement District No ..... in the Colorado River Water Conservation District, as may be appropriate, at the time of this election. 37-46-138 Water and Irrigation Title 37 -page 320 Signature of voter Subsc1ibed and sworn to before me this ... day of.. ........... 20 .. .. (SEAL) {Signature of notary public. county clerk and recorder, or other officer authorized to administer oaths) Title of office" {8) In any such election at which voting machines are used, the board of directors shall provide paper ballots for absent voters containing the same question as is to be submitted to the electors by the voting machines, subject to the provisions of subsection (9) of this section. (9) The district or subdistrict 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 qualified to vote at the election and will be an absent voter, pursuant to section 1-8-209, C.R.S., of the "Unifom1 Election Code of 1992" and all laws supplemental thereto. Source: L. 77: Entire section added, p. 1643, § 5. effective June 9. L. 80: (3) and (9) amended, p. 416. § 33. effective January 1, 1981. L. 92: (3) and (9) amended, p. 924, § 195. effective January 1, 1993. L. 96: (9) amended, p. 1774, § 81, effective July 1. L. 99: (6) amended, p. 164, § 26. effective August 4. Cross references: For the "Unifonn Election Code of 1992", see articles J to 13 of title 1. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 543-581. 771-774. 781-785. 37-46-138. Notice of election. Notice of such election shall be given by publication by three consecutive weekly insertions in at least one newspaper of general circulation in the district or subdistrict holding the election, as determined by the board of directors. No other notice of an election 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 determine to be necessary or convenient for correcting or otherwise modifying the original notice of election or for any other purpose. Source: L. 77: Entire section added, p. 1644, § 5, effective June 9. ANNOTATION C.J.S. See 94 C.J.S .. Waters, §§ 543-581, 771-774. 781-785. 37-46-139. Polling places. (1) All polling places designated by resolution for an election shall be within the territorial limits of the district or subdistrict holding the election: but, if an election of the dist1ict or subdistrict is held concurrently with a primary or general election. the polling place for each precinct located wholly or partially within the district or subdistrict shall be the polling place for such precinct for the district or subdistrict election. Title 37 -page 321 Colorado River Conservation District 37-46-142 regardless of whether or not such polling place is within the district or subdistrict. (2) If the election of the district or subdistrict is not held concun-ently with a primary or general election held under the laws of this state, there shall be one polling place in each of the election precincts wh1ch are used in the primary and general elections or in each of the consolidated precincts fixed by the board of directors. as the case may be. Source: L. 77: Entire section added, p. 1644, § 5. effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 543-581, 771-774, 781-785. 37-46-140. Election supplies. (l) The secretary of the district shall provide at each polling place ballots or ballot labels. or both. ballot boxes or voting machines, or both, instructions, electors' affidavits, and other materials and supplies required for an election by any Jaw; 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 affidavit by any person desiring to vote at any election of the district or subdistrict to evidence his qualifications to vote, which affidavit shall be prima facie evidence of the facts stated therein. Source: L. 77: Entire section added, p. 1645, § 5, effective June 9. ANNOTATION C.J.S. Sec 94 C.J.S., Waters, §§ 771-774, 781-785. 37-46-141. Election returns. (1) In the case of any election held under this article which is not held concun-ently with a primary or general election, the election officials shall make their returns directly to the secretary of the district for the board of directors. (2) In the case of any election held under this article which is consolidated with any primary or general election, the returns thereof shall be made and canvassed at the time and in the manner provided by law for the canvass of the returns of such primary or general election. Such canvassing body shall certify promptly and shall transmit to the secretary of the district for the board of directors a statement of the result of the vote upon any proposition submitted under this article. (3) Upon receipt by the board of directors of election returns from election officials or upon receipt of such certificate from each such canvassing body, the board shall tabulate and declare 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 of directors shall cause the results of the election to be published at least one time in at least one newspaper having general circulation in the district. Source: L. 77: Entire section added, p. 1645, § 5, effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 771-774, 781-785. 37-46-142. Debt election contests. (I) Any election declared to have can-ied on an authmization to issue any bonds, by approval of the bond question, or otherwise to incur an indebtedness by approval of the question thereon may be contested by any elector of the district or subdistrict holding the debt election by suit against it as contestee and defendant 37-46-143 Water and Irrigation Title 37 -page 322 in any district court of any county in which the district or subdistrict holding the election is whoJly or partially situate: (a) When illegal votes have been received or legal votes rejected at the polls in sufficient numbers to change the results: (b) For any enor or mistake on the pa11 of any of the judges of election. any county clerk and recorder. the secretary of the district or their respective officers and employees 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 any of the judges of election, any county clerk and recorder, the secretary of the district, or their respective officers and employees. if the malconduct. fraud. or coITuption is sufficient to change the result; (d) When the bonds or other indebtedness is auth01ized to be issued for an invalid purpose; or (e) For any other cause which shows that the bonds or other indebtedness is not validly autho1ized at the election. (2) The style and form of process, the manner of service of process and papers. 1he 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 contest, the contestor shall file with the clerk of the court a bond, with sureties. to be approved by the judge thereof, running to the dist1ict or subdistrict holding the debt election as contestee and conditioned to pay all costs in case of failure of the contestor to maintain his contest. (4) When the validity of any bond or other indebtedness election is contested, the plaintiff or plaintiffs, within thirty days after the returns of the election are canvassed and the results thereof declared and published, or last published, as the case may be, shall file with the clerk of the court a verified written complaint setting forth specifically: (a) The name of the party contesting the election and a statement that the plaintiff or each plaintiff is an dector of the djstrict or subdistrict holding the election; (b) The proposition or propositions voted on at the election which are contested, the name of the district or the subdistrict as defendant and contestee, and the date 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 subsection (4) of this section. (6) Except as otherwise provided in thi8 article, the election Jaws pertaining to contested election cases of municipal offices as provided in part 13 of article 10 of title 31, C.R.S., of the "Colorado Municipal Election Code of 1965". as from time to time amended, shall be applicable to bond or other indebtedness elections; but any such contest shall be regarded as one contesting the outcome of the vote on the proposition auth01izing the issuance of secmities or otherwise incurring the indebtedness. rather than election to office, and the district or subdistrict as contestee, rather than a person declared to have been elected to office, shall be regarded as the defendant. (7) If the board of directors declares the proposition auth01izing the issuance of bonds or otherwise incuITing the indebtedness to have carried and no contest is duly filed or if such a contest is filed after it is favorably te1minated, the board may issue the bonds or otherwise incur the indebtedness authorized at the election at one time or from time to time. Source: L. 77: Entire section added. p. 1645, § 5. effective June 9. ANNOTATION C.J.S. See 94 C.J.S .. Waters, §§ 771-774. 781-785. 37-46-143. Covenants and other provisions in bonds. (1) Any resolution providing for the issuance of any bonds under this article payable from pledged revenues and any indenture or other instrument or proceedings pe11aining thereto may at the discretion of the Title 37 -page 323 Colorado River Conservation District 37-46-143 board of directors contain covenants or other provisions. notwithstanding that such cov- enants and provisions may limit the exercise of powers confeITed by this article, in order to secure the payment of such bonds, in agreement with the holders of such bonds, including, without limitation. covenants or other provisions as to any one or more of the following: (a) The pledged revenues and. in the case of general obligations, the taxes to be fixed, charged. or levied and the collection, use, and disposition thereof, including. without limitation. the foreclosure of liens for delinquencies. the discontinuance of services. facilities. or use of any properties or facilities. prohibition against free service, the collection of penalties and collection costs. and the use and disposition of any moneys of the district or subdistrict issuing bonds. de1ived or to be derived. from any source designated: (b) The acquisition. improvement, or equipment of all or any part of properties pertaining to any project or any facilities: (c) The creation and maintenance of reserves or sinking funds to secure the payment of the principal of and the interest on any bonds or of the operation and maintenance expenses of any facilities. 0r part thereof, and the source, custody, security, regulation, use, and disposition of any such reserves or funds, including, without limitation, the powers and duties of any trustee with regard thereto: (cl) Limitations on the powers of the district or subdistrict to acquire or operate, or permit the acquisition or operation of, any structures, facilities, or properties which may compete or tend to compete with any facilities; ( e) The vesting in a corporate or other trustee or trustees of such property, 1ights, powers, and duties in trust as the board of directors may determine, which may include any or all of the rights. powers, and duties of the trustee appointed by the holders of bonds, and limiting or abrogating the rights of such holders to appoint a trustee, or limiting the rights, duties, and powers of such trustee; (f) Events of default, rights, and liabilities arising therefrom and the rights, liabilities, powers, and duties arising upon the breach by the district or subdistrict of any covenants, conditions, or obligations; (g) The terms and conditions upon which the holders of the bonds or of a specified portion, percentage, or amount thereof, or any trustee therefor, shall be entitled to the appointment of a receiver, which receiver may enter and take possession of any facilities or service, operate and maintain the same, prescribe fees, rates, and other charges, and collect. receive, and apply all revenues thereafter arising therefrom in the same manner as the district or subdistrict itself might do: (h) A procedure by which the terms of any resolution autho1izing bonds or any other contract with any holders of district or subdistrict bonds, including, without limitation, an indenture of trust or similar instrument, may be amended or abrogated, and as to the proportion. percentage, or amount of bonds the holders of which must consent thereto, and the manner in which such consent may be given; (i) The terms and conditions upon which any or all of the bonds shall become or may be declared due before matmity and as to the terms and conditions upon which such declaration and its consequences may be waived; and (j) All such acts and things as may be necessary or convenient or desirable in order to secure the bonds or, in the discretion of the board of directors, tend to make the bonds more marketable, notwithstanding that such covenant, act, or thing may not be enumerated in this a1ticle, it being the intention of this article to give to the board of directors power to do in the name and on behalf of the district or subdistrict all things in the issuance of district or subdistrict bonds and for their security, except as expressly limited in this article. Source: L. 77: Entire section added, p. 1647, § 5. effective June 9. ANNOTATION CJ.S. See 94 CJ.S., Waters, §§ 543-581. 786-793. 37-46-144 Water and Irrigation Title 37 -page 324 37-46-144. Liens on pledged revenues. (1 l Revenues pledged for the payment of any bonds. as received by or otherwise credited to the dist1ict or subdistrict issuing bonds under this article. shall immediately be subject to the lien of each such pledge without any physical delivery thereof. any filing. or any further act. (2) The lien of each such pledge and the obligation to perform the contractual provisions made in the authorizing resolution or other instrument pertaining thereto shall have p1i01ity over any or all other obi igations or liabilities of the district or subdistrict, except as may be otherwise provided in this article or in the resolution or other instrument, and subject to any prior pledges and liens theretofore created. (3) The lien of each such pledge shall be valid and binding as against all persons having claims of any kind in tort. in contract. or otherwise against the district or subdistrict. iJTespective of whether or not such persons have notice thereof. Source: L. 77: Entire section added, p. 1648, § 5, effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters. §§ 543-581. 786-793. 37-46-145. Rights -powers of holders of bonds -trustees. (1) Subject to any contractual limitations binding upon the holders of any issue or series of bonds of the dist1ict or subdisnict issuing bonds under this article, or the trnstee therefor, including, without limitation, the restriction of the exercise of any remedy to a specified proportion, percentage. or number of such holders. and subject to any prior or superior rights of others, any holder of bonds. or the trustee therefor, shall have the right and power, for the equal benefit and protection of all holders of bonds similarly situated: (a) By mandamus or other suit. action, or proceeding at law or in equity, to enforce his rights against the district subdistrict, or board of directors, or any combination thereof, or any of the officers, agents, and employees of the district or subdistrict to require and compel such district, subdist1ict, or board or any of such officers, agents, or employees to perlorm and carry out their respective duties, obligations, or other commitments under this mticle and their respective covenants and agreements with the holder of any bond; (b) By action or suit in equity, to require the district or subdistrict to account as if it were the trustee of an express trust: (c) By action or suit in equity, to have a receiver appointed, which receiver may enter and take possession of any facilities and any pledged revenues for the payment of the bonds, prescribe sufficient fees, rates, and other charges derived from the facilities, and collect, receive, and apply all pledged revenues or other moneys pledged for the payment of the bonds in the same manner as the district or subdistrict itself might do in accordance with the obligations of the district or subdistrict: 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 bonds and to bring suit thereupon. Source: L. 77: Entire section added, p. 1648, § 5, effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 543-581, 786-793. 37-46-146. Investments and securities. (1) The board of directors of the district or subdist1ict. respectively, issuing bonds under this article. subject to any contractual limita- tions from time to time imposed upon the district or subdistrict by any resolution authorizing the issuance of the outstanding bonds of the dist1ict or subdistrict or by any trust indenture or other proceedings pertaining thereto, may cause to be invested and reinvested Title 37 -page 325 Colorado River Conservation Distnct 37-46-14 7 any proceeds of taxes. any pledged revenues. and any proceeds of bonds issued under this a11icle in securities meeting the investment requirements cstabiished in pan 6 of article 75 of title 24. C.R.S., and may cause such proceeds of taxes. n~venues. district or subdistrict bonds, and secu1ities to be deposited in any trust bank or trust banks within or without or both within and without this state and secured in such manner and subject to such terms and conditions as the board of directors may determine. with or \Vithout the paymem of any interest on such deposit. including. without limitation. time deposits eYidenced by certifi- cates of deposit. (2) Any such securities and any certificates of deposit thus held may. from time to time. be sold, and the proceeds may be so rei1wested or redeposited as provided in this section. (3) Sales and redemptions of any such secu1ities anci certificates of deposit thus held shall, from time to time. be made in season. so that the proceeds may be applied to the purposes for which the money with which such securities and ce11ificates of deposit were originally acquired was placed in the district or subdist1ict treasury. (4) Any gain from any such investments or reinvestments may be credited to any fund or account pledged for the payment of any district or subdistrict bonds issued under this article, including any reserve therefor. or any other fund or account pertaining to a project or any facilities, or the district's or subdistrict's general fund. subject to any contractual limitations in any proceedings pertaining to outstanding district or subdist1ict bonds. (5) It is lawful for any commercial bank incorporated under the laws of this state which may act as depository of the proceeds of any bonds issued under this article, any securities owned by the dist1ict or subdistrict, any proceeds of taxes. any pledged revenues, and any moneys otherwise pertaining to a project or any facilities. or any combination thereof, to furnish such indemnifying bonds and to pledge such securities as may be required by the board of directors. Source: L. 77: Entire section added. p. 1649. § 5. effective June 9. L. 89: (1). (2). (3), and (5) amended, p. 1123, § 51. effective July J. ANNOTATION C.J.S. See 94 C.J.S .. Waters. §§ 543-581. 786-793. 37-46-147. Rents and charges.(] J (a) The district. any subdistrict. and any political subdivision of the state of Colorado contracting with the district or subdistrict and fixing and collecting annual rentals. service charges. and other charges. or any combination thereof, are, in supplementation of the powers provided in this article, authorized to fix and collect rents. rates, fees, tolls, and other charges. in this a11icle sometimes refeJTed to as "service charges", for direct or indirect connection with. or the use or services of, a water system, electrical system, joint system. or other facilities. mcluding, without limitation. connection charges, minimum charges. and charges for the availability of service. (b) Such service charges may be charged to and collecced in advance or otherwise by a district from any political subdivision or person and by any political subdivision from any person contracting for such connection or use or services or from the owner or occupant. or any combination thereof, of any real prope11y which directly or indirectly is or has been or will be connected with any such facilities. and the political subdivision or owner or occupant of any such real property shail be liable for and shall pay such service charges to the district, subdistrict, or political subdivision fixing the service charges at the time when and place where such service charges are due and payable. (c) Such service charges of the district or subdist1ict may accrue from any date on which the board of directors reasonably estimates. in any resolmion authorizing the issuance of any securities or other instrument pertaining thereto or in any contract with any political subdivision or person, that any facilities or project being acquired or improved and equipped will be available for service or use. (2) (a) Such rents. rates, fees, tolls. and other charges. being in the nature of use or service charges, shall, as nearly as the district. subdistrict. or political subdivision fixing the 37-46-J 48 \Nater and lrrigation Title 37 -page 326 service charges shall deem practicable and equitable. be reasonable. and such service charges shall be unifo1111 throughout the district. subdistrict, or political subdivision for the same type. class. and amount of use or service of the facilities and may be based or computed either: On measurements of water. flow devices. or electric meters. duly provided and maintained by the district. subdistrict. or political subdivision. or any user as approved by the district. subdistrict or political subdivision fixing such charges: or on the consump- tion of water or electricity in or on or in connection with the political subdivision, or any person, or real property. making due allowance for commercial use of water and infiltration of ground water and discharge of surface runoff to the facilities. or on the number and kind of water or electric outlets on or in connection with the political subdivision, person, or real property, or on the water or electric fixtures or facilities in or on or in connection with the political subdivision, person, or real property: or on the number of persons residing or working in or on or otherwise connected or identified with the political subdivision, person, or real property, or on the capacity of the improvements in or on or connected with the political subdivision, person. or real propeny: 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 or service of the facilities: or on any combination of any such factors. (b) Reasonable penalties may be fixed for any delinquencies, including, without limitation. interest on delinquent service charges from any date due at a rate of not exceeding one percent per month or fraction thereof, reasonable attorneys' fees, and other costs of collection. (3) The district, subdistrict. or political subdivision fixing the service charges shall prescribe and. from time to time when necessary. revise a schedule of such service charges, which shall comply with the terms of any contract of the district, subdistrict, or political subdivision fixing the service charges. (4) The general assembly has determined and declared that the obligations. arising from time to time, of the district. any subdistrict. any political subdivision, or any person to pay service charges fixed in connection with any facilities shall constitute general obligations of the district. subdistrict. political subdivision. or person charged with their payment; but, as such obligations accrue for current services and benefits from, and the use of, any such facilities. the obligations shall not constitute an indebtedness of the district. any subdistrict, or any political subdivision within the meaning of any constitutional, charter, or statutory limitation or any other provision restricting the incurrence of any debt. (5) No board, agency. bureau. commission. or official, other than the board of directors of the district or subdistrict. respectively, or the governing body of the political subdivision fixing the service charges, has autho1ity to fix, prescribe. levy, modify, supervise, or regulate the making of service charges or to prescribe. supervise. or regulate the pe1forrnance of services pertaining to the facilities thereof, as authorized by this article; but this subsection (5) shall not be construed to be a limitation on the contracting powers of the board of directors of the dist1ict or any subdistrict. respectively, or the governing body of any such political subdivision. Source: L. 77: Entire section added, p. 1650, § 5. effective June 9. ANNOTATION C.J.S. Sec 94 C.J .S .. Waters, §§ 543-58 l. 786-793. 37-46-148. Miscellaneous powers. (1) The district and any subdistrict thereof shall also have the following powers: (a) To pay or otherwise defray and to contract to pay or defray. for any term not exceeding seventy-five 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 government. any subdistrict or the district respectively. any political subdivision, or any Title 37 -page 327 Colorado River Conservation District person which were incmTed in connection with ~my property thereof subsequently acquired by the district or any subdistrict and relating to eithe1-'s facilities: (b) To establish. operate. and maintain facilities within the district or any subdistrict or elsewhere, across or along any public street. highway. bridge. or viaduct or any other public right-of-way or in. upon. under. or over any vacant public lands. which public lands now are. or may become. the property of a political subdivision of this stale. without first obtaining a franchise from the political subdivision having jurisdiction over the same: but the district or subdistrict shall cooperate with any political subdivision having such jurisdiction, shall promptly restore any such public street highway, bridge. or viaduct or any such other public right-of-way to its former state of usefulness as nearly as may be and shall not use the same in such manner as permanently to impair completely or materially the usefulness thereof: ( c) To adopt. amend, repeal, enforce. and otherwise administer such reasonable reso- lutions, rules, regulations, and orders as the district or subdistrict shall deem necessary or convenient for the operation. maintenance. management. government. and use of the facilities of the district or subdistrict. as the case mav be. and any other facilities under its control. whether situated within or without or both v:;ithin and without the teffitorial limits of the district or subdistrict: and (d) (I) To adopt, amend. repeal. enforce. and otherwise administer under the police power such reasonable resolutions. rules. regulations. and orders pertaining to water or electric services perfmmed by any person through the district's or subdistrict's facilities or pertaining to facilities of the district or subdistrict, any political subdivision. or any person. or any combination thereof. reasonably affecting the activities of the district or subdistrict. directly or indirectly, as the board of directors 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 of directors on the behalf and in the name of the district or subdistrict. respectively. after a public hearing thereon is held by the board of directors. in connection with which any political subdivision owning or authorizing any facilities comparable to facilities of the district or subdistrict. as tbe case may be. whether therein or thereout. or both therein and thereom, and other persons of interest have an opportunity to be heard, after mailed notice of the hearing is given at least thirty days prior to the hearing by the secretary to each such political subdivision wholly or partly within the district or subdistrict proceeding under this article, and after notice of such hearing is given by publication at least once a week for three consecutive weeks in at least one newspaper of general circulation in the district or such subdistrict by the secretary to persons of interest. both known and unknown, the first publication to be made at least thirty days p1ior to the hearing. Source: L. 77: Entire section added. p. 1651. § 5. effective June 9. ANNOTATION C.J.S. See 94 C.J .S .. Waters. §§ 543-581. 786-793. 37-46-149. Cooperative powers. ( 1) The district and any subdistrict have the power to utilize and may utilize private industry. by contract. to carry out the design, construction. operation, management, manufacturing. marketing. planning. and research and develop- ment functions of the district or any subdistrict proceeding under this a11icle. unless the district or subdistrict determines that it is in the public interest to adopt another course of action. The district or subdistrict. or both. may enter into long-term contracts with private persons, not exceeding a term of seventy-five years. without an election. for the perfor- mance of any such functions of the district or subdistrict. which. in the opinion of the distiict or subdistrict. can desirably and conveniently be carried out by a private person under contract; but any such contract shall contain such te1ms and conditions as shall enable the district or subdistrict to retain reasonable supervision and control of such functions to be caITied out or performed by such private persons pursuant to such contract. 37-46-149 Water and irrigation Title 37 page 328 (2) Subject to the provisions of section 37-46-i :r~. the dist1·ict and any subdistrict have the following powers: (a) To accept contributions. grants. or ioans from the state and the federal government for the purpose of financing the planning. acquisition. improvement. equipment. mainte- nance. and operation of any enterprise in which the district or subdistrict. or both. are authorized to engage. and to enter into contracts and cooperate with. and accept cooperation from. the federal government. the state. the subdistrict or the district. respectively. any political subdivision. any private firm. and any other person. or any combination thereof. in the planning. acquisition. improvement. equipment. maintenance. and operation and in financing the planning. ilcquic,ition. improvement. ec.i uiprnent. maintenance. and operation of any such enterprise in accordance with any legisiation which the general assembly. congress. the governing body of any political subdivision. the hoard of directors or other governing body of any private firm. any other person. or any combination thereof may have adopted prior to the adoption of this <1rticle or may thereafter adopt. under which aid. assistance. and cooperation may be furnished by such cooperating entity or entities or other persons in the planning. acquisition. improvement. equipment. maintenance. and operation or in financing the planning. acquisition. improvement. equipment. maintenance. and operation of any such ente1vrise, including. \vithout limitation. costs of engineering. architectural. and economic investigations and studies. surveys. designs. plans, working drawings. specifications. procedures. and other action preliminary to the acquisition. improvement, or equipment of any facilities. or any pan thereof. and to do any and all things necessary in order to avail itself of such aid. assistance. and cooperation under any state, federal, or other legislation: (b) To enter inro, without any election. joirn operating or service contracts and agreements: acquisition. improvement. equipment. or disposal contracts: contracts for the purchase. sale. rental. lease. as lessor or iessee. or exchange of water or the purchase. sale. or exchange of water rights or eiectricity I or any combination thereof) but not to acquire any electricity for sale by the district or any subdistrict as a public utility either to the public or to any other user (other than any sale to any subdistrict or the district. respectively. or to any water conservancy district located wholly or in part within the Colorado river water conservation clist1ict and other than any sale of electricity by the district or any subdistrict thereof at wholesale to any person or governmental entity): or other arrangements, for any tenn not exceeding seventy-five years. with the federal government, the state. the subdistrict or the district. respectively, any politicai subdivision. any private firm. or any other person. or any combination thereof. concerning the facilities and ar.y project or property pertaining thereto. whether acquired or undertaken by the district. by the subdistrict. by the federal government. by any political subdivision of this state or any other state. or by any person. and to accept contributions. grants. or Joans from the cooperating entity or entities or other persons in connection therewith: (c) To enter into and perform without any election. when detennined by the board of directors to be in the public interest. contracts and agreements. for any term not exceeding seventy-five years. with the federal government. the subdistrict or the district. respectively, any political subdivision. or any person. or any combination thereof for the provision and operation by the subdistrict or the district. respectively. of any facilities pertaining to such facilities of the district or subdistrict. ilS the case may be. any part thereof. or any project relating thereto. and the payment periodicaliy thereby to the district or subdistrict of amounts at least sufficient if any. in the determination of the board. to compensate the district or subdistrict for the cost of providing. operating. and maintaining such facilities serving the federal government. the subdistricT or the dis[rict. respectively, any political subdivision. or such other person. or any combination thereof. or otherwise: (cl) To enter into and perform. without any election. contracts and agreements. for any term not exceeding seventy-five years. on a public bid basis. a competitive basis. or a negotiated basis. as the board of directors may determine. with the federal government. the subdistrict or the district. respectiveiy. <~ny political subdivision. any private firm. or any other person. or any combination thereof. for or concerning the planning. construction, lease. other acquisition. improvement. equipment. operation. maintenance. lease. other disposal. and financing. or any other combination thereof. of any property pertaining to the Title 37 -page 329 Colorado River Conservation District 37-46-149 faci Ii ties of the district or subdist1ict or to any project of the district or subdistrict. including. without limitation. any contract or agreement. for any term not exceeding seventy-five years, pertaining to the joint ownership of the facilities as tenants in common thereamong or providing for the exchange of water or electric power for backup water or power, the pooling of resources, or the designation of a manager for any such project or facilities supervised by an engineering and operating committee of co-owners or otherwise super- vised. and otherwise to contract with water or power producers or users. or any combination thereof: (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 depa11ments, or with any political subdivision or any person in the acquisition. improvement, and equipment of any facilities or any pan thereof authorized for the district or subdistrict or for any other works, acts, or purposes provided for in this article and to adopt and ccmy out any definite plan or system of work for any such purpose; (f) To cooperate with the federal government, the subdistrict or district, respectively, any political subdivision, or any person, or any combination thereof. by an agreement therewith by which the dist1ict or the subdistrict may: (1) Acquire and provide. without cost to the cooperating entity or entities, the land, easements, and rights-of-way necessary for the acquisition, improvement, and equipment of any prope11ies; (II) Hold the cooperating entity or entities free from and save it or them harmless from any claim for damages arising from the acquisition. improvement, equipment, maintenance, and operation of any facilities; (III) Maintain and operate any facilities in accordance with regulations prescribed by the cooperating entity or entities: and (IV) Establish and enforce regulations, if any, concerning the facilities which are satisfactory to the cooperating entity or entities: (g) To provide, by any contract for any te1m not exceeding seventy-five years. or otherwise, without an election: (I) For the joint use of personnel. equipment, and facilities of the district. the subdis- trict, any political subdivision, or any person. or any combination thereof. including, without limitation, public buildings constructed by or under the supervision of the board of directors, the governing body of the political subdivision, or the board of directors or other governing body of a private firm or other person concerned, upon such terms and agreements and within such areas within the district or subdisuict or otherwise, as may be determined, for the promotion and protection of health, comfort. safety, !if e, welfare. and property of the inhabitants of the district or subdisuict and any such political subdivision and any other persons of interest, and for water or electric services; (II) For the joint employment of clerks, stenographers. and other employees pe1taining to the facilities or any project, now existing or hereafter established, upon such terms and conditions as may be determined for the equitable apponiomnent of the expenses resulting therefrom; (h) To provide for comprehensive planning and, where possible. coordinate operations of the district or subdistrict with the subdistrict or district, respectively. any and all such political subdivisions, p1ivate finns. and other persons, or any combination thereof, per- taining to water conservation and use and to the generation and use of electricity. Source: L. 77: Entire section added, p. 1652, § 5, effective June 9. L. 81: (2)(b) and (2)(d) amended, p. 1765, § 5, effective June 19. ANNOTATION C.J.S. See 94 C.J.S., Waters. §§ 543-581, 786-793. 37-46-150 Water and Irrigation Title 37 -page 330 37-46-150. Joint action entity. ( 1) The district or subdistrict and any other cooper- ating entity or entities relating to any project or facilities in which the district or the subdist1ict is a party in interest may create a joint action entity, a separate body corporate. for the planning, construction. lease. other acquisition, improvement, equipment, operation, maintenance. disposal. and financing of any enterprise or properties relating to such project or such facilities. (2) A joint action entity may exercise the powers granted to the district or the subdistrict by this article. other than the levy or fixing and collection of taxes, assessments. and service charges and the making and revising of rules and regulations under the police power. Source: L. 77: Entire section added. p. 1655, § 5. effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters, §§ 543-581. 37-46-151. Correlative powers of political subdivisions. Any political subdivision of this state has the correlative powers to enable it to participate in cooperation with the dist1ict or any subdistrict in either's exercise of powers granted thereto by this article or otherwise granted by Jaw. Source: L. 77: Entire section added, p. 1655, § 5, effective June 9. ANNOTATION C.J.S. See 94 C.J.S., Waters. §§ 543-581. Effective:[SeeTextAmendments] West'sColoradoRevisedStatutesAnnotatedCurrentness Title29.Government--Local GeneralProvisions Article1.BudgetandServices Part2.IntergovernmentalRelationships(Refs&Annos) §29-1-203.Governmentmaycooperateorcontract--contents (1)Governmentsmaycooperateorcontractwithoneanothertoprovideanyfunction,service,orfacility lawfullyauthorizedtoeachofthecooperatingorcontractingunits,includingthesharingofcosts,theimposition oftaxes,ortheincurringofdebt,onlyifsuchcooperationorcontractsareauthorizedbyeachpartytheretowith theapprovalofitslegislativebodyorotherauthorityhavingthepowertosoapprove.Anysuchcontract providingforthesharingofcostsortheimpositionoftaxesmaybeenteredintoforanyperiod,notwithstanding anyprovisionoflawlimitingthelengthofanyfinancialcontractsorobligationsofgovernments. (2)Anysuchcontractshallsetforthfullythepurposes,powers,rights,obligations,andtheresponsibilities, financialandotherwise,ofthecontractingparties. (3)Whereotherprovisionsoflawproviderequirementsforspecialtypesofintergovernmentalcontractingor cooperation,thosespecialprovisionsshallcontrol. (4)Anysuchcontractmayprovideforthejointexerciseofthefunction,service,orfacility,includingthe establishmentofaseparatelegalentitytodoso. (5)Anyseparatelegalentityformedpursuanttotheprovisionsofthispart2maymakeloanstoanygovernment whichentersintoanycontractpursuanttotheprovisionsofthissection,whichloansmaybesecuredbyloan andsecurityagreements,leases,oranyotherinstrumentsuponsuchtermsandconditions,including,without limitation,thetermsandconditionsauthorizedbysection31-35-402(1)(h),C.R.S.,astheboardofdirectorsof suchintergovernmentalentityshalldetermine. (6)Theprovisionsofarticles10.5and47oftitle11,C.R.S.,shallapplytomoneysofsuchseparatelegal entities. CREDIT(S) AmendedbyLaws1988,H.B.1172,§1,eff.April13,1988;Laws1988,S.B.174,§8,eff.April20,1988;Laws C.R.S.A.§29-1-203Page1 ©2014ThomsonReuters.NoClaimtoOrig.USGov.Works. 2005,Ch.300,§1,eff.June3,2005. CurrentwithChapters1-3,5-8,10-12,15-18,21-23,&25 (C)2014ThomsonReuters.NoClaimtoOrig.USGov.Works. ENDOFDOCUMENT C.R.S.A.§29-1-203Page2 ©2014ThomsonReuters.NoClaimtoOrig.USGov.Works. Exhibit 2 Garfield County Community Development Department 108 81h Street, Suite 401 Glenwood Springs, CO 81601 (970) 945-8212 www.garfield-county.com TYPE OF APPLICATION D Administrative Review D Limited Impact Review D Major Impact Review D Amendments to an Approved LUCP OUR DMIR DsuP D Minor Temporary Housing Facility D Vacation of a County Road/Public ROW Iii Location and Extent Review D Comprehensive Plan Amendment D Major D Minor D Pipeline Development LAND USE CHANGE PERMIT APPLICATION FORM D Development in 100-Year Floodplain D Development in 100-Year Floodplain Variance D Code Text Amendment D Rezoning D Zone DistrictO PUD D PUD Amendment D Administrative Interpretation D Appeal of Administrative Interpretation D Areas and Activities of State Interest D Accommodation Pursuant to Fair Housing Act D Variance D Time Extension (also check type of original application) INVOLVED PARTIES Owner/ Applicant Name: Bluestone Management Committee c/o Colorado River District Phone: ( 970 ) 945-8522 Mailing Address: PO Box 1120 City: Glenwood Springs State: CO Zip Code: 81602 E-mail: rtenney@crwcd.org Representative (Authorization Required) Name: Ray Tenney Phone: (970 ) 945-8522 Mailing Address: PO Box 1120 City: Glenwood Springs State: CO Zip Code: 81602 E-mail: rtenney@crwcd.org PROJECT NAME AND LOCATION Project Name: Kobe Pipeline and Pumping Plant Project Assessor's Parcel Number: 2443 -124 -00 -006 ------------ Physical/Street Address: • Lat= N039° 21' 58.92" • Long = W108° 15' 25.07" Legal Description: Please refer to Exhibit 3 (Site Plan) for complete legal descriptions zone District: Resource Lands Property Size (acres): -1.2ac of 1,068.25ac parcel PROJECT DESCRIPTION -------·------------! Existing Use: Larger subject property is leased for livestock grazing. Pipeline ROW markers also demonstrate existing oil and gas development in Lhe area. Proposed Use (From Use Table 3-403): _w_a_te_r_s_to_ra....;g:....e_a_n_d_fi_ll _st_at_io_n ________________ _ Description of Project: Applicant proposes to construct water storage tanks, a fill station, and the associated infrastructure on private lands in Garfield County to complete a more comprehensive project known as the Kobe Pumping Plant and Pipeline project, which is located primarily on private lands in Mesa County. For clarity, the entire project is described in the submittal materials, with a focus on the portion of the project in Garfield County. Construction is anticipated to begin in early spring 2014. REQUEST FOR WAIVERS Submission Requirements D The Applicant requesting a Waiver of Submission Requirements per Section 4-202. List: Section: Section: Section: Section: Waiver of Standards D The Applicant is requesting a Waiver of Standards per Section 4-118. List: Section: Section: Section: Section: the statements above and have provided the required attached information which is n ccura~of my knowledge. -::::> ~ 3/27/2014 Si Date OFFICIAL USE ONLY .___ ______ _ FileNumber: _______ _ Fee Paid:$ -------------~ I . ---J 1111 w,1~-'it~~~~', ""1~r¥it r~¥1 ~·~~~~~~r~t1 ~1~1'l~ *','~, 11111 Reception~: 847502 . 03/24/2014 03-58·50 PM Jean Alberico 1 of 1 Rec Fee:$i1 .00 Doc Fee:0.00 GARFIELD COUNTY CO SPECIAL POWER OF ATTORNEY I, Dale Albertson, being the Chairman of the Bluestone Management Committee ("Committee"), an intergovernmental entity established pursuant to the Joint Management Agreement dated March 1, 1983 between the Bluestone Water Conservancy District and the Colorado River Water Conservation District, and having been specifically authorized to do so by the affirmative vote of the Committee at a meeting held on March 21, 2014, do make, c~nstitute and appoint Ray Tenney, of the County of Garfield, State of Colorado, to act as the true and lawful attorn~y-in-fact for the Committee for the limited purpose of executing an application to ·Garfield County for authorization to construct, operate and maintain water storage and truck load-out facilities to be located in Section 18, Township 8 South, Range 97 West of the 6th P.M., and any other documents that may be necessary or appropriate in connection with the matter identified above. The Committee's attorney-in-fact is authorized and empowered to complete the items described above upon such terms and conditions as said attorney-in-fact may deem necessary and convenient. The Committee's attorney-in-fact is granted full power and authority to do everything necessary in exercising the powers herein granted as fully as the Committee might or could do if personally present, with full power of substitution or revocation, and the Committee hereby ratifies and confirms all that said attorney-in-fact shall lawfully do or cause to be done by virtue of this Power of Attorney and the powers herein granted. ' This Power of Attorney shall not be affected by disability of the principal. This Power of Attorney shall expire on August 1, 2014. Executed on March 21, 2014. Dale Albertson, Chairman STATE OF COLORADO ) ) SS. COUNTY OF GARFIELD ) The foregoing instrument was acknowledged before me this 21st day of March, 2014 by Dale Albertson, Chairman of the Bluestone Management Committee, the Principal. Witness my hand and official seal. My commission expires: 7-I J-O?Olf> My Commission Expires 07111/2015 \