CO HB1090

Requires service plans for proposed metropolitan districts with residential property to prohibit purchase of district debt by any entity where a director has a conflict of interest requiring disclosure.

Prohibits board members who approved district debt issuance from personally acquiring interest in that debt, either individually or through their employer/organization, with exception for indirect investment fund holdings where the member has no control over individual securities.

Mandates courts reject petitions to organize residential metropolitan districts unless the service plan includes the conflict-of-interest debt purchase prohibition.

Establishes that proof of violating the debt acquisition prohibition constitutes breach of fiduciary duty and public trust, with civil standard being preponderance of evidence and criminal prosecutions requiring proof beyond reasonable doubt.

Takes effect 90 days after final adjournment of the general assembly, unless subject to referendum petition, in which case requires voter approval at November 2024 general election.