(1) (a) Subject to the requirements specified in subsection (1)(c) of this section, the state of Colorado, acting by and through the state treasurer, may execute one or more financed purchase of an asset or certificate of participation agreements for up to twenty years of principal and interest payments for the state to finance the construction of facilities for Colorado state university at the national western center and affiliated facilities at the Colorado state university campus. The total amount of the principal component of said financed purchase of an asset or certificate of participation agreement shall not exceed two hundred fifty million dollars, plus reasonable and necessary administrative, monitoring, and closing costs and interest, including capitalized interest. (b) Enactment of this part 9 satisfies the requirements of sections 24-82-102 (1)(b) and 24-82-801, which require authorization of a financed purchase of an asset or certificate of participation agreement by a bill other than an annual general appropriation bill or a supplemental appropriation bill. (c) The state shall not enter into a financed purchase of an asset or certificate of participation agreement as authorized by this section unless the specific facilities to be financed by the financed purchase of an asset or certificate of participation agreement have been included in the unified, five-year capital improvements report prepared and transmitted by the Colorado commission on higher education pursuant to section 23-1-106, prioritized for funding by the office of state planning and budgeting in its submission to the capital development committee made pursuant to section 24-37-304 (1)(c.3)(I)(C), recommended for funding by the capital development committee pursuant to section 2-3-1305, and included in the governor's annual executive budget proposed to the general assembly pursuant to section 24-37-301. Prior to closing, the state controller must approve all agreements relating to the financing of the facilities, and the voters of the city and county of Denver must approve an extension of the lodging and car rental taxes or another similar tax. (2) (a) A financed purchase of an asset or certificate of participation agreement authorized in subsection (1) of this section must provide that all of the obligations of the state under the agreement are subject to the action of the general assembly in annually making money available for all payments thereunder. Payments under any financed purchase of an asset or certificate of participation agreement shall be made only from such action of the general assembly. No financed purchase of an asset or certificate of participation agreement authorized in subsection (1) of this section creates any liability or indebtedness of Colorado state university. Such an agreement must also provide that the obligations do not create an indebtedness of the state within the meaning of any provision of the state constitution or the laws of the state of Colorado concerning or limiting the creation of indebtedness by the state of Colorado and do not constitute a multiple fiscal-year direct or indirect debt or other financial obligation of the state within the meaning of section 20 (4) of article X of the state constitution. If the state of Colorado does not renew a financed purchase of an asset or certificate of participation agreement authorized in subsection (1) of this section, the sole security available to the seller is the real property that is the subject of the nonrenewed financed purchase of an asset or certificate of participation agreement. (b) (I) A financed purchase of an asset or certificate of participation agreement authorized in subsection (1) of this section may contain such terms, provisions, and conditions as the state treasurer may deem appropriate, including all optional terms; except that the financed purchase of an asset or certificate of participation agreement must specifically authorize the state of Colorado to: (A) Receive fee title to all real and personal property that is the subject of the financed purchase of an asset or certificate of participation agreement on or prior to the expiration of the terms of the financed purchase of an asset or certificate of participation agreement; and (B) Reduce the term of the lease through prepayment of rental and other payments. (II) Any title to property received by the state on or prior to the expiration of the terms of the financed purchase of an asset or certificate of participation agreement will be held by the state for the benefit and use of Colorado state university. (c) Any financed purchase of an asset or certificate of participation agreement authorized in subsection (1) of this section may provide for the issuance, distribution, and sale of instruments evidencing rights to receive payments made and to be made under the financed purchase of an asset or certificate of participation agreement. The instruments may be issued, distributed, or sold only by the seller or any person designated by the seller and not by the state. The instruments do not create a relationship between the purchasers of the instruments and the state or create any obligation on the part of the state to the purchasers. The instruments are not notes, bonds, or any other evidence of indebtedness of the state within the meaning of any provision of the state constitution or the law of the state concerning or limiting the creation of indebtedness of the state and do not constitute a multiple fiscal-year direct or indirect debt or other financial obligation of the state within the meaning of section 20 (4) of article X of the state constitution. (d) Interest paid under a financed purchase of an asset or certificate of participation agreement authorized in subsection (1) of this section, including interest represented by the instruments, is exempt from state tax. (e) The state of Colorado, acting through the state treasurer, is authorized to enter into such ancillary agreements and instruments as are deemed necessary or appropriate in connection with the financed purchase of an asset or certificate of participation agreements, including but not limited to ground leases, easements, or other instruments relating to the facilities to be purchased. (3) The provisions of section 24-30-202 (5)(b) do not apply to a financed purchase of an asset or certificate of participation agreement authorized in subsection (1) of this section or to any ancillary agreement entered into pursuant to subsection (2)(e) of this section. The state controller or his or her designee may waive any provision of the fiscal rules promulgated pursuant to section 24-30-202 (1) and (13) that the state controller deems to be incompatible or inapplicable with respect to such a financed purchase of an asset or certificate of participation agreement or ancillary agreement.
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