The state treasurer is required to execute up to $500 million of lease-purchase agreements in each of the 2020-21 and 2021-22 state fiscal years for the purpose of funding transportation projects. A statewide ballot issue will be referred to the voters at the 2020 general election as required by Senate Bill 19-263 (SB 263) and will, if approved, authorize the state to issue up to $1.837 billion of transportation revenue anticipation notes (TRANs) for the purpose of funding transportation projects.
When enacting SB 263, the general assembly intended that, upon approval of the ballot issue, the TRANs authorized would replace the lease-purchase agreements as a source of funding for transportation projects. However, due to an error in the effective date clause of SB 263, if the TRANs are approved, the state treasurer will still be required to execute the lease-purchase agreements. The act corrects the error and thereby ensures that approval of the ballot issue stops the issuance of the lease-purchase agreements.
(Note: This summary applies to this bill as enacted.)