SHALL BOULDER COUNTY DEBT BE INCREASED $35,000,000, WITH REPAYMENT COST OF 51,732,000, WITH NO INCREASE IN ANY COUNTY TAXES, FOR THE PURPOSE OF ACQUIRING OPEN SPACE, BY THE ISSUANCE OF BONDS PAYABLE FROM MONEYS TRANSFERRED FROM THE COUNTY'S GENERAL FUND AND OTHER LEGALLY AVAILABLE FUNDS, TO THE BOULDER COUNTY OPEN SPACE CAPITAL IMPROVEMENT TRUST FUND, WHICH BONDS SHALL BEAR INTEREST, MATURE, BE SUBJECT TO REDEMPTION, WITH OR WITHOUT PREMIUM, AND BE ISSUED, DATED AND SOLD AT SUCH TIME OR TIMES AND IN SUCH MANNER AND CONTAINING SUCH OTHER TERMS, NOT INCONSISTENT HEREWITH, AS THE BOARD OF COUNTY COMMISSIONERS MAY DETERMINE; SHALL THE COUNTY BE AUTHORIZED, IN ORDER TO PROVIDE FOR THE PAYMENT OF SUCH BONDS, TO ENTER INTO A MULTIPLE-FISCAL YEAR OBLIGATION TO TRANSFER MONEYS FROM THE COUNTY'S GENERAL FUND AND OTHER LEGALLY AVAILABLE FUNDS, TO THE OPEN SPACE CAPITAL IMPROVEMENT TRUST FUND IN AN AMOUNT SUFFICIENT TO PAY THE DEBT SERVICE ON SUCH BONDS AND TO OTHERWISE COMPLY WITH THE COVENANTS OF THE RESOLUTION OR OTHER INSTRUMENTS GOVERNING SUCH BONDS; AND SHALL ANY EARNINGS FROM THE INVESTMENT OF THE PRECEEDS OF SUCH BONDS CONSTITUTE A VOTER-APPROVED REVENUE CHANGE?

Major Provisions: Passage of this measure would allow the county to finance open space purchases by issuing bonds, using the proceeds of the bond to buy land, and repaying the bond with moneys from the County general fund, from sales tax revenues, and from other sources.
The bond must be written so that the amount due to pay off the principal and interest is no more than $3.7 Million per year. If the measure does not pass, each year the county could spend on open space no more than the amount set aside for that purpose during the year.

Background: Because of the passage of the TABOR amendment three years ago, voter approval must be given before the government takes on additional debt. The tax rate will not be changed by this measure. The county has an on-going program to buy more open space, and currently appropriates more than $4 Million per year of general funds for this purpose. If voters approve this measure, the county could take out a loan with a principal amount of $35 Million to buy open space land and repay the loan over a period of years.

Arguments FOR the measure:

-- Lots of development is going on in Boulder County, and the price of land is going up. The county needs to obtain financing to buy land now when it is available at a reasonable cost.

-- Local government officials should be the ones to decide whether it's better to spend something for open space each year or to use financing to make a large purchase with payments spread over multiple years.

-- Boulder County voters value open space and have agreed to tax themselves in order to purchase open space.

Arguments AGAINST the measure:

-- It is unwise to go into debt for open space purchases. The county's debt is high enough already.

-- Voters are being asked to approve debt without being informed on the specifics of the land parcels to be purchased or the terms under which the bonds will be issued.

-- County revenue sources fluctuate. In a year when revenues are down, other more essential programs and services might have to be cut back so that bond repayment obligations could be met. In the extreme, taxes might be raised to repay the bonds.