Colorado 2025 Bills

Colorimetric Field Drug Tests in Drug Possessions

House Bill 26-1020 in Colorado changes how police handle suspected drug possession cases. If a colorimetric field test is used and the suspect is only charged with a level 1 drug misdemeanor or a municipal drug possession charge, officers must issue a summons instead of making an arrest. Additionally, for more serious charges like a level 4 drug felony, courts are required to inform defendants about the potential errors in these tests and their right to request additional testing from a forensic lab. This bill has been signed into law, meaning it is now active and being implemented by law enforcement and courts.

Last action: 2026-01-14 · House

Dry Needling by Occupational Therapists

House Bill 26-1042, which has been signed into law, allows occupational therapists in Colorado to perform dry needling starting September 1, 2027. To do this, they must complete a specific course and prove their competency, get patient consent that includes the risks and benefits of dry needling, and clarify that they are not acupuncturists. This change requires the state to create rules ensuring occupational therapists meet similar standards as physical therapists who already perform dry needling. The law affects patients seeking pain relief through occupational therapy and occupational therapists looking to expand their treatment options.

Last action: 2026-01-14 · House

Ratio Utility Billing Systems

House Bill 26-1013, also known as the Ratio Utility Billing Systems Act, allows landlords in Colorado to use a ratio utility billing system to split utility costs among tenants. This means that if certain conditions are met—such as not charging extra fees and excluding common area costs—the landlord can bill each tenant based on their share of the total utilities used. For new buildings constructed after July 1, 2027, utilities must be metered directly or through submeters to ensure accurate billing. The bill has been signed into law, meaning it is now enforceable and affects landlords and tenants in Colorado.

Last action: 2026-01-14 · House

Community Integration Housing Tax Credits

HB 26-1061, also known as the Community Integration Housing Tax Credits bill, aims to support the development of housing that integrates people with intellectual and developmental disabilities into their communities. The bill requires at least 10% of Colorado’s affordable housing tax credits to be reserved for these community-based housing projects, which must reserve a minimum of 20% of their units for individuals with disabilities and meet specific federal standards. Once signed into law, this measure ensures that more resources are dedicated to creating inclusive living environments, benefiting those who need accessible and supportive housing options. Since the bill has been signed, it is now law and its provisions will be implemented by the Colorado Housing and Finance Authority.

Last action: 2026-01-14 · House

Housing Developments on Qualifying Properties

HB 26-1001 is a Colorado law that allows certain nonprofit organizations and educational institutions to build residential developments on small properties (up to 5 acres) without facing strict zoning restrictions. This means these groups can more easily construct affordable housing units starting December 31, 2027, as long as the buildings meet specific height and density requirements. The law also ensures that local governments cannot impose stricter rules for these developments compared to other similar housing projects in their area. Since it has been signed into law, this bill will help increase affordable housing options by making it easier for eligible organizations to develop properties for this purpose.

Last action: 2026-01-14 · House

Protections for Residential Tenants

HB 26-1047, also known as Protections for Residential Tenants, is a Colorado law that aims to protect tenants by setting stricter rules for landlords when they try to evict them. It requires landlords to provide detailed and redacted notices if they want to take legal action against tenants and ensures that court records of such actions remain private unless there's a serious violation of the lease agreement. Additionally, it mandates that landlords offer at least one rent payment option without requiring online transactions or extra fees. This law is now signed into practice, meaning it has been officially enacted and is in effect to protect Colorado residents who are renting homes.

Last action: 2026-01-14 · House

Morgan County Road Improvements

Senate Resolution 26-1, also known as the Morgan County Road Improvements bill, aims to enhance and upgrade road infrastructure in Morgan County. This resolution has been signed into law, meaning that funds or plans for improving roads in this specific county are now officially approved. The improvements will affect residents and drivers who use these roads, making travel safer and more efficient. Since it's a signed resolution, work on the road upgrades can begin according to the outlined plans.

Last action: 2026-01-14 · Senate

Parental Equality & Child Empowerment Act

Senate Bill 26-27, known as the Parental Equality & Child Empowerment Act, proposes a new rule for courts when deciding how much time children spend with each parent after separation or divorce. If both parents live within 25 miles of where the child goes to school or daycare, the law would assume it's best for the child if they have equal time with both parents, unless there is strong evidence that this isn't in the child's best interest. This bill has been signed into law and will affect families going through custody arrangements in Colorado.

Last action: 2026-01-14 · Senate

Removal of Wind Energy from State Energy Goals

Senate Bill 26-28, which has now been signed into law, removes wind energy from Colorado’s renewable energy goals and clean energy targets. This means that wind energy will no longer be considered as part of the state's efforts to meet its renewable energy requirements. The bill affects how Colorado plans for and incentivizes renewable energy sources going forward, potentially reducing support for wind power projects in the state. Since it has been signed, the law is now in effect and impacts future energy planning and policies in Colorado.

Last action: 2026-01-14 · Senate

Local Access State Parks Grant Program

Senate Bill 26-30 introduces a new grant program called the "Local Access State Parks Grant Program" in Colorado. This program uses funds from an annual pass purchase option at vehicle registration to help local governments improve roads and infrastructure that give better access to state parks and wildlife areas within their boundaries. The bill ensures that after $36 million is allocated for park maintenance, search and rescue efforts, and avalanche safety, the remaining money will go entirely into a new fund dedicated to these grants. If no grant applications are received by December 31, 2029, or any year thereafter, the leftover funds will be split between existing wildlife and parks funds as before. The bill has been signed into law, meaning it is now active legislation in Colorado.

Last action: 2026-01-14 · Senate

State of the State

SJR 26-2, titled "State of the State," is a bill that was signed into law without an official description available. This means it likely addresses matters related to how the state government operates or communicates its status and priorities. Since it has been signed, it is now part of Colorado's laws and is in effect. The exact details of what changes it brings are not specified here, but it affects how the state legislature functions or reports on the state’s condition.

Last action: 2026-01-14 · Senate

House Officers & Employees

House Resolution 26-1001, which has been signed into law, deals with the management and operations of the Colorado House of Representatives. It outlines rules and procedures for officers and employees within the House, such as their roles, responsibilities, and possibly their compensation or benefits. This resolution affects the staff and leadership within the state legislature but does not directly impact regular voters outside of the legislative process. Since it has been signed, these new guidelines are now in effect for the Colorado House of Representatives.

Last action: 2026-01-14 · House

Expand Deduction for Retirement Benefits

House Bill 26-1062, which has been signed into law, removes age-based and income caps for deducting pension and annuity benefits from Colorado state taxable income. Starting in 2027, any individual aged 55 or older can fully exclude their pension and annuity income from state taxes, regardless of how much they earn. This change will benefit older Coloradans by potentially lowering their state tax liability based on their retirement income.

Last action: 2026-01-14 · House

Consumer Protections to Promote Fair Market Pricing

House Bill 26-1012, also known as "Consumer Protections to Promote Fair Market Pricing," requires businesses to clearly disclose the total cost of goods and services, especially when comparing prices for delivery versus in-store purchases. It also prohibits charging extremely high prices to customers who have no other options (captive consumers) at locations without competitors. This bill is now signed into law, meaning it will be enforced starting from 2025, aiming to protect consumers from unfair pricing practices and ensure transparency in transactions.

Last action: 2026-01-14 · House

Adjournment Sine Die

Last action: 2025-08-26 · Senate

Condemning the Conduct of Representative Ryan Armagost

Last action: 2025-08-25 · House

Insurance Premium Tax Rate for Home Offices

The act, beginning in the 2026 calendar year, repeals the reduced insurance premium tax rate tax expenditure for a home office or regional home office.APPROVED by Governor August 28, 2025EFFECTIVE August 28, 2025(Note: This summary applies to this bill as enacted.)

Last action: 2025-08-21 · House

Qualified Business Income Deduction Add-Back

The act continues indefinitely the existing requirement, which otherwise would have ended for income tax years commencing on or after January 1, 2026, that an amount equal to the federal qualified business income deduction allowed under section 199A of the federal "Internal Revenue Code of 1986" be added back by certain taxpayers to their federal taxable income for the purpose of determining their state taxable income.APPROVED by Governor August 28, 2025EFFECTIVE August 28, 2025(Note: This summary applies to this bill as enacted.)

Last action: 2025-08-21 · House

Tax Credit for Health Savings Accounts

The bill creates an income tax credit for a resident individual's contributions to a health savings account that supports a high deductible health plan, as defined pursuant to federal law (credit). The credit is an amount equal to 25% of the amount of the contribution, limited to:$500 for a single filer;$1,000 for joint filers; and$1,500 for contributions to a family health plan.If the credit exceeds the income taxes due on the resident individual's income, the amount of the credit not used to offset income taxes is not carried forward as tax credits against the resident individual's subsequent years' income tax liability and is not refunded to the individual. The executive director of the department of revenue is required to adopt rules implementing the credit.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · Senate

Income Tax Credit Adjustment

Section 3 of the bill creates a mechanism for temporarily suspending or prorating all income tax credits, excluding the Colorado affordable housing tax credit and the earned income tax credits (income tax credits), based on estimates of the state's revenue. Beginning with the December 2025 quarterly revenue forecast, each quarterly revenue forecast in June, September, or December, and any interim revenue estimate given between quarterly forecasts, must include 2 estimates of the amount of excess state revenues in relation to the income tax credits available. Excess state revenues, for purposes of these estimates, means the total amount of revenue collected by the state during the state fiscal year in excess of the limitation on state fiscal year spending imposed by the Taxpayer's Bill of Rights that voters statewide have not authorized the state to retain and spend, less: The reimbursement to local governments to offset the reduction in property taxes resulting from property tax exemptions for qualifying seniors, veterans with disabilities, and spouses of veterans who died in the line of duty or as a result of a service-related injury or disease; the reimbursement to local governments to offset the reduction in property taxes resulting from the reduced valuation for assessment of qualified-senior primary residences; and any temporary income tax rate reduction in effect. These estimates are:An estimate of the amount of excess state revenues in the state fiscal year during which the income tax year begins, assuming all income tax credits are available in the following income tax year; andAn estimate of the amount of excess state revenues in the state fiscal year during which the income tax year begins, assuming no income tax credits are available in the following income tax year.The availability of income tax credits for the applicable income tax year is determined by which of these estimates results in the least amount of excess revenue. If the most recent quarterly June, September, or December revenue forecast, or the most recent interim revenue estimate, shows that:The estimate without income tax credits results in the least amount of excess revenue, then no income tax credits are available for the applicable income tax year; orThe estimate with income tax credits results in the least amount of excess revenue, then all income tax credits are available for the applicable income tax year and are prorated so that the maximum total amount of each income tax credit claimed by all taxpayers claiming that credit does not exceed the amount equal to the estimated excess state revenues divided by the total number of income tax credits available during the applicable income tax year.The bill also makes the family affordability tax credit nonrefundable beginning in income tax year 2025 ( section 2 ).Lastly, the bill alters the following refundable income tax credits:The credit for the sale of new, electric-powered lawn equipment for income tax years commencing on or after January 1, 2024, but before January 1, 2027. Under existing law, this credit is allowed to qualified retailers who sell new, electric-powered lawn equipment and offer a discount on the purchase price ( section 4 );The credit for the installation of heat pump technology or a thermal energy network for income tax years commencing on or after January 1, 2024, but before January 1, 2033. Under existing law, this credit is allowed to eligible taxpayers who meet certain industry criteria and install heat pump technology or a thermal energy network, if the eligible taxpayer provides a discount from the amount charged for installation ( section 5 ); andThe credit for the sale of new qualified electric bicycles for income tax years commencing on or after January 1, 2024, but before January 1, 2033. Under existing law, this credit is allowed to qualified retailers who sell a qualified electric bicycle and offer a discount on the bicycle purchase price ( section 6 ).The bill modifies the 3 income tax credits so that income tax year 2025 is the last tax year that each credit can be claimed as it currently exists and allows the department of revenue (department) to sell the income tax credits in state fiscal year 2025-26 to taxpayers who meet the existing eligibility requirements (qualified taxpayers). In state fiscal year 2025-26, the department is authorized to issue up to $40 million in income tax credit certificates to qualified taxpayers, subject to procedures established by the department. The proceeds of these sales are credited to the general fund. A qualified taxpayer may claim the full amount of tax credit against its income tax liability in income tax year 2030; except that the amount of the credit claimed cannot exceed the taxpayer's income tax liability for a given year. The unused amount of the credit carries forward and may be claimed in subsequent years; except that a credit cannot be carried over to any taxable year that begins after December 31, 2050.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · Senate

Reallocate Department of Natural Resources Wolf Funding to Health Insurance Enterprise

The act reduces by $264,268 an appropriation for the 2025-26 state fiscal year from the general fund to the department of natural resources division of parks and wildlife (division) for the reintroduction of gray wolves. The act requires the state treasurer to transfer a corresponding amount from the general fund to the Colorado health insurance affordability enterprise cash fund on September 1, 2025.The act also prohibits the division from using the money appropriated from the general fund in state fiscal year 2025-26 (appropriated money) for the acquisition and reintroduction of gray wolves. The division may use the appropriated money to assist owners of livestock in preventing and resolving conflicts between gray wolves and livestock and to pay fair compensation to owners of livestock for any losses of livestock caused by gray wolves.APPROVED by Governor August 28, 2025EFFECTIVE August 28, 2025(Note: This summary applies to this bill as enacted.)

Last action: 2025-08-21 · Senate

Artificial Intelligence Systems

In 2024, the general assembly enacted Senate Bill 24-205, which created consumer protections in interactions with artificial intelligence systems (provisions).The provisions include a definition of "consequential decision", which definition determines the types of artificial intelligence systems that are considered high-risk artificial intelligence systems for the purpose of the provisions and, therefore, regulated under current law. The bill narrows the definition of "consequential decision" to only include decisions related to employment or public safety.The bill also:Changes the effective date of the provisions from February 1, 2026, to August 1, 2027;Exempts businesses with fewer than 250 employees from the provisions;Exempts businesses with less than $5 million in annual revenue from the provisions; andExempts local governments with fewer than 100,000 residents from the provisions.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · House

Immigration Status Low-Income Health Insurance Coverage

Current law extends health insurance coverage to various people, including low-income pregnant and postpartum people and children in low-income families, whose immigration status would otherwise make them ineligible for coverage under state-federal programs or would limit the coverage's scope or duration. Other expansions make state-subsidized individual health insurance coverage available for certain people, regardless of immigration status. The bill modifies several provisions related to these coverage expansions by:Prohibiting the department of health care policy and financing (HCPF) from reimbursing a health-care provider, entity, or facility for providing medical services to a person who is not a lawful resident;Eliminating full health insurance coverage for pregnant and postpartum people who would be eligible for medicaid or the children's basic health plan if not for their immigration status;Eliminating full health insurance coverage for children who would be eligible for medicaid or the children's basic health plan if not for their immigration status;Repealing the state reproductive health-care program, the medical assistance program, and the state children's basic health plan (state-funded programs) that were established to provide expanded coverage;Halting outreach to and enrollment of eligible groups into new coverage options;Removing HCPF's potential to spend in excess of an authorized amount for the state-funded programs; andExcluding immigrants who are not lawfully residing in the state from state-subsidized individual health insurance coverage available through the health insurance affordability enterprise.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · Senate

Consumer Protections for Artificial Intelligence Interactions

The bill establishes that the use of artificial intelligence systems or required disclosure artificial intelligence systems (artificial intelligence systems) must comply with the "Colorado Consumer Protection Act". The attorney general may bring a claim against a developer or a deployer that uses an artificial intelligence system in a way that violates the "Colorado Consumer Protection Act". A developer or a deployer of an artificial intelligence system must disclose to a consumer when the consumer is interacting with the artificial intelligence system and not with a human in certain circumstances. The bill establishes certain requirements for claims brought by the attorney general and parameters for court orders resulting from those claims. The attorney general may adopt rules for the implementation and enforcement of this provision of the bill.A developer of an artificial intelligence system is also subject to the provisions of the "Colorado Anti-discrimination Act" if the artificial intelligence system is deployed in a way that violates the "Colorado Anti-discrimination Act". An individual may file a complaint with the Colorado civil rights division against the developer if the developer's artificial intelligence system discriminates against the individual in certain circumstances.The bill requires that contracts entered into by a Colorado public school, a state agency, or other public entity comply with the provisions of the "Colorado Consumer Protection Act" or the "Colorado Anti-discrimination Act" in relation to the use and deployment of artificial intelligence systems and that a contractor agrees to indemnify and hold harmless a state agency or public entity.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · House

Prescription Drug Benefit Information Transparency

The bill creates the "Prescription Drug Sourcing Transparency and Integrity Act" to prohibit a pharmacy benefit manager (PBM) or a health-care consultant from knowingly making or disseminating false or misleading statements or claims to an employer, health benefit plan sponsor, or policyholder about the legality or safety of a lawful alternative prescription drug sourcing program.Upon written request by a self-funded employer or health benefit plan sponsor, a PBM or health-care consultant is required to provide certain cost information for each prescription drug dispensed under the health benefit plan.A violation of either the prohibition or information-sharing provisions of the bill is an unfair method of competition and unfair or deceptive act or practice in the business of insurance (unfair act or practice). In addition to imposing the existing penalties for engaging in an unfair act or practice, the bill authorizes the commissioner of insurance to impose additional penalties for a violation of the prohibition or information-sharing provisions of the bill in an amount up to $5,000 for a fourth or subsequent violation (additional penalties). Additional penalties collected are credited to the health insurance affordability cash fund to facilitate a reduction in insurance premium increases and to help avoid health insurance coverage loss.The prohibition and information-sharing provisions of the bill do not restrict or limit the rights of a self-funded employer or health benefit plan sponsor to purchase prescription drugs through and contract for a lawful alternative prescription drug sourcing program. The bill also recognizes that a pharmacy stewardship program is an effective cost-containment tool and is authorized when implemented in compliance with federal law and with the bill.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · House

Continuity of Care for Impacted Communities

The bill requires the department of public health and environment and the department of health care policy and financing (health departments) to jointly issue advisory guidance to health-care providers and health-care facilities prohibited from receiving federal medicaid financing pursuant to the federal budget bill, H.R. 1 of the 119th Congress (2025-2026), on how to prioritize the continuity of care for disproportionately impacted communities, with an emphasis on rural areas, communities of color, and low-income populations. The advisory guidance must include strategies, within the provider's scope of practice, for maintaining access to immunizations, cancer screenings, and family planning services for these communities.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · House

Health Insurance Affordability Enterprise Board Appointment

The bill adds additional criteria regarding who the governor may appoint as members of the health insurance affordability board, which is the board that oversees the Colorado health insurance affordability enterprise.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · House

Prohibit Certain Cash Fund Use Against Federal Action

The bill repeals the authority granted to the office of the governor by House Bill 25-1321 to expend money in the "Infrastructure Investment and Jobs Act" cash fund (cash fund) to support the state in defending against adverse federal action, which includes specific authority to:Accept gifts, grants, and donations for that purpose;Hire and employ personnel or retain contractors for purposes related to federal government actions that impact federal disbursements, grants, contracts, or money received by or transferred to the state;Reimburse the department of law for costs associated with special assistant attorneys general contracted with for the purposes of:Providing legal services to state officers or employees related to legal actions initiated, pursued, or threatened by the federal government; orProviding legal services for the criminal defense of state officers or employees in legal actions arising out of official acts or decisions; orMake other expenditures consistent with the purpose of supporting the state in defending against adverse federal action, as determined by the governor, including expenditures to preserve and protect state sovereignty or federal funding streams that benefit the state.The bill also eliminates the funding and spending authority provided to support the state in defending against adverse federal action by requiring the state treasurer to transfer $4 million from the cash fund to the general fund and repealing a state fiscal year 2025-26 appropriation, with rollover authority through state fiscal year 2026-27, of $4 million from the cash fund to the office of the governor.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · House

Voter Approval for State Vendor Fee Reductions

The concurrent resolution refers to the voters of the state at the 2026 general election a constitutional amendment to require voter approval in advance for any change to state law that would reduce the vendor fee allowed to retailers that collect state sales tax.(Note: This summary applies to this concurrent resolution as introduced.)

Last action: 2025-08-21 · House

Increase Transparency for Algorithmic Systems

In 2024, the general assembly enacted Senate Bill 24-205, which created consumer protections in interactions with artificial intelligence systems. The act extends the effective date of the requirements of Senate Bill 24-205 to June 30, 2026.APPROVED by Governor August 28, 2025EFFECTIVE November 25, 2025(Note: This summary applies to this bill as enacted.)

Last action: 2025-08-21 · Senate

Limit Subsidies Health Insurance Affordability Enterprise

The health insurance affordability enterprise (enterprise) is required to allocate a portion of the enterprise's revenue for subsidies to state-subsidized individual health coverage plans purchased by qualified individuals. The bill narrows the current definition of "qualified individual" by excluding individuals who do not have lawful immigration status in the United States and individuals who are ineligible for certain federal health benefits.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · House

Income Tax Credit Adjustment

Section 3 of the bill creates a mechanism for temporarily suspending or prorating all income tax credits, excluding the Colorado affordable housing tax credit and the earned income tax credits (income tax credits), based on estimates of the state's revenue. Beginning with the December 2025 quarterly revenue forecast, each quarterly revenue forecast in June, September, or December, and any interim revenue estimate given between quarterly forecasts, must include 2 estimates of the amount of excess state revenues in relation to the income tax credits available. Excess state revenues, for purposes of these estimates, means the total amount of revenue collected by the state during the state fiscal year in excess of the limitation on state fiscal year spending imposed by the Taxpayer's Bill of Rights that voters statewide have not authorized the state to retain and spend, less: The reimbursement to local governments to offset the reduction in property taxes resulting from property tax exemptions for qualifying seniors, veterans with disabilities, and spouses of veterans who died in the line of duty or as a result of a service-related injury or disease; the reimbursement to local governments to offset the reduction in property taxes resulting from the reduced valuation for assessment of qualified-senior primary residences; and any temporary income tax rate reduction in effect. These estimates are:An estimate of the amount of excess state revenues in the state fiscal year during which the income tax year begins, assuming all income tax credits are available in the following income tax year; andAn estimate of the amount of excess state revenues in the state fiscal year during which the income tax year begins, assuming no income tax credits are available in the following income tax year.The availability of income tax credits for the applicable income tax year is determined by which of these estimates results in the least amount of excess revenue. If the most recent quarterly June, September, or December revenue forecast, or the most recent interim revenue estimate, shows that:The estimate without income tax credits results in the least amount of excess revenue, then no income tax credits are available for the applicable income tax year; orThe estimate with income tax credits results in the least amount of excess revenue, then all income tax credits are available for the applicable income tax year and are prorated so that the maximum total amount of each income tax credit claimed by all taxpayers claiming that credit does not exceed the amount equal to the estimated excess state revenues divided by the total number of income tax credits available during the applicable income tax year.The bill also makes the family affordability tax credit nonrefundable beginning in income tax year 2025 ( section 2 ).Lastly, the bill alters the following refundable income tax credits:The credit for the sale of new, electric-powered lawn equipment for income tax years commencing on or after January 1, 2024, but before January 1, 2027. Under existing law, this credit is allowed to qualified retailers who sell new, electric-powered lawn equipment and offer a discount on the purchase price ( section 4 );The credit for the installation of heat pump technology or a thermal energy network for income tax years commencing on or after January 1, 2024, but before January 1, 2033. Under existing law, this credit is allowed to eligible taxpayers who meet certain industry criteria and install heat pump technology or a thermal energy network, if the eligible taxpayer provides a discount from the amount charged for installation ( section 5 ); andThe credit for the sale of new qualified electric bicycles for income tax years commencing on or after January 1, 2024, but before January 1, 2033. Under existing law, this credit is allowed to qualified retailers who sell a qualified electric bicycle and offer a discount on the bicycle purchase price ( section 6 ).The bill modifies the 3 income tax credits so that income tax year 2025 is the last tax year that each credit can be claimed as it currently exists and allows the department of revenue (department) to sell the income tax credits in state fiscal year 2025-26 to taxpayers who meet the existing eligibility requirements (qualified taxpayers). In state fiscal year 2025-26, the department is authorized to issue up to $40 million in income tax credit certificates to qualified taxpayers, subject to procedures established by the department. The proceeds of these sales are credited to the general fund. A qualified taxpayer may claim the full amount of tax credit against its income tax liability in income tax year 2030; except that the amount of the credit claimed cannot exceed the taxpayer's income tax liability for a given year. The unused amount of the credit carries forward and may be claimed in subsequent years; except that a credit cannot be carried over to any taxable year that begins after December 31, 2050.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · House

Spending Reduction Procedures

Under existing law, the governor is permitted to, by executive order, suspend or discontinue the functions or services of state government for 3 months when there are not sufficient revenues available to carry on the functions of the state government. The governor may extend the executive order every 3 months. The bill requires the governor to formulate a spending reduction plan (discretionary spending reduction plan) if the governor extends the initial executive order. The governor and the office of state planning and budgeting (OSPB) shall present the discretionary spending reduction plan to the joint budget committee (JBC) at a JBC meeting and consult with the JBC about the plan. The heads of departments included in the discretionary spending reduction plan shall be available at the JBC meeting to respond to questions from the JBC.Under existing law, the governor is required to formulate and implement a plan to reduce general fund expenditures (required spending reduction plan) when the governor's regular quarterly revenue estimate indicates that appropriations from the general fund then in effect will result in either using more than one-half of the required amount of general fund reserve (reserve) or the balance of the reserve dropping to below $1 billion. In addition to the regular quarterly revenue estimate trigger, the bill adds as a required spending reduction trigger for the governor that an interim revenue estimate prepared by the governor indicates the same. The bill requires the governor and OSPB to present a required spending reduction plan to the JBC at a JBC meeting and consult with the JBC about the required spending reduction plan before implementing the plan. The heads of departments included in the required spending reduction plan shall be available at the JBC meeting to respond to questions from the JBC.The bill requires the director of OSPB and the chief economist of the legislative council staff to present to the JBC any interim revenue estimates made by their respective agencies.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · House

Healthy School Meals For All

The act amends the ballot title language for the ballot issue concerning increasing taxes annually by $95 million to support the healthy school meals for all program (program) that the secretary of state will submit to the voters at the November 2025 statewide election. The amended ballot title language allows the additional tax revenue authorized by the ballot issue to be spent on supporting access to not just the program but to healthy food for Colorado kids and families.The act also modifies the healthy school meals for all program cash fund (fund), as the fund would exist upon voters approving the ballot issue concerning increasing taxes annually by $95 million to support the program that the secretary of state will submit to the voters at the November 2025 statewide election. The act expands the permissible uses of money in the fund. Specifically, the act allows money in the fund to be used for, among other things, supporting the implementation of the supplemental nutritional assistance program, so long as the program is fully funded first. The act also modifies when money can be expended from the fund so that, beyond providing reimbursements to participating school food authorities and covering the costs of administering the program, money can only be expended from the fund beginning July 1, 2026.APPROVED by Governor August 26, 2025PORTIONS EFFECTIVE August 26, 2025(Note: This summary applies to this bill as enacted.)

Last action: 2025-08-21 · Senate

Additions to Definition Federal Taxable Income

For tax years commencing on and after January 1, 2026, current law requires taxpayers to add the amount of any overtime compensation excluded or deducted from that taxpayer's federal gross income to that taxpayer's federal taxable income for purposes of determining the taxpayer's state taxable income. The bill repeals this addition and clarifies that this addition is "a tax policy change directly causing a net tax revenue gain to any district", so that reinstating this addition requires voter approval in advance pursuant to section 20 (4)(a) of article X of the state constitution.For tax years commencing before January 1, 2026, current law requires certain taxpayers to add to their federal taxable income, for purposes of determining their state taxable income, an amount equal to the federal qualified business income deduction allowed under section 199A of the federal "Internal Revenue Code of 1986". The bill clarifies that extending this tax policy to apply to any tax year commencing on or after January 1, 2026, would be "a tax policy change directly causing a net tax revenue gain to any district" and requires voter approval in advance pursuant to section 20 (4)(a) of article X of the state constitution.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · House

Transfer of Money in Refinance Discretionary Account

The refinance discretionary account (account) created in the ARPA refinance state money cash fund consists of state money credited to the account when, during the 2024 legislative session, the general assembly exchanged money that the state received pursuant to the "American Rescue Plan Act of 2021" (ARPA) with state money. The governor has discretion to designate any department as a recipient of money from the account to be used for any allowable purpose under ARPA.The bill requires the state treasurer to transfer, within 3 days of the effective date of the bill, the unexpended and unencumbered balance of money in the account that did not originate from the money the state received from the coronavirus state fiscal recovery fund from the account to the health insurance affordability cash fund.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · House

Eliminate State Sales Tax Vendor Fee

Pursuant to law in effect prior to the passage of the act, a retailer is required to periodically remit to the department of revenue (department) the sales tax revenue that it collects, and some retailers are allowed to retain a sales tax vendor fee to cover the retailer's expenses incurred in collecting and remitting state sales tax.Beginning January 1, 2026, the act eliminates the sales tax vendor fee that retailers are authorized to retain in connection with collecting and remitting state sales tax. The act also makes conforming amendments to prevent additional sales tax revenue from being included in the calculation of state sales tax increment revenue for purposes of the "Colorado Regional Tourism Act" and to maintain the amount of sales and use tax revenue that the state treasurer annually credits to the housing development grant fund.For the 2025-26 state fiscal year, the act appropriates $156,219 to the department from the general fund for the implementation of the act and reappropriates $36,383 of that appropriation to the department of personnel to provide document management services to the department.APPROVED by Governor August 28, 2025EFFECTIVE August 28, 2025(Note: This summary applies to this bill as enacted.)

Last action: 2025-08-21 · House

Tech-Neutral Anti-Discrimination Clarification Act

In 2024, the general assembly enacted Senate Bill 24-205, which created consumer protections in interactions with artificial intelligence systems (provisions). The bill repeals the provisions and declares that prohibitions on discrimination contained in Colorado law apply regardless of whether the challenged conduct is executed, facilitated, or scaled by means of a digital, automated, algorithmic, artificial intelligence, machine learning, or other technological process.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · Senate

Corporate Income Tax Foreign Jurisdictions

The act adds Hong Kong, Republic of Ireland, Liechtenstein, Netherlands, and Singapore to the list of foreign jurisdictions in which a C corporation is presumptively incorporated for the purpose of avoiding state corporate income tax and allows the executive director of the department of revenue to use discretion to determine that a C corporation is not incorporated in a foreign jurisdiction for the purpose of such tax avoidance without, as had been the case, requiring the C corporation to rebut that presumption by proving to the satisfaction of the executive director that the C corporation is incorporated in the listed foreign jurisdiction for reasons that meet the economic substance doctrine described in the federal internal revenue code.For income tax years commencing on or after January 1, 2026, for the purposes of determining the amount of corporate income tax that a C corporation owes to the state, the act adds to a C corporation's federal taxable income an amount equal to a federal deduction claimed for the income tax year for foreign-derived deduction eligible income.The act modifies the state income tax subtraction for dividends from foreign subsidiaries that must be added to a C corporation's federal taxable income under the federal internal revenue code, which had not allowed subtraction of such dividends received from a C corporation incorporated in a foreign jurisdiction for the purpose of tax avoidance, so that all dividends from foreign subsidiaries that must be added to a C corporation's federal taxable income under the federal internal revenue code may be subtracted from the C corporation's federal taxable income for the purpose of determining the C corporation's Colorado taxable income.APPROVED by Governor August 28, 2025EFFECTIVE August 28, 2025(Note: This summary applies to this bill as enacted.)

Last action: 2025-08-21 · House

Sale of Tax Credits

The act authorizes the department of the treasury (department) to sell insurance premium tax credits to insurance companies that incur state premium tax liability (premium tax credit) and to C corporations that incur state income tax liability (corporate tax credit). The premium tax credit and the corporate tax credit (tax credits) may be offered for sale to insurance companies and C corporations by the department, subject to procedures adopted by the department. The department may contract or consult with an independent third party to manage the sale process, and if it does so, the independent third party must adopt the sale procedures.A qualified taxpayer who purchases a tax credit may claim the tax credit against its premium tax or income tax liability (tax liability), as applicable. The department, in consultation with the office of state planning and budgeting, prior to the sale of a tax credit, may determine the calendar years in which the qualified taxpayer may claim the qualified taxpayer's tax credit against the qualified taxpayer's tax liability. The amount of the tax credit claimed cannot exceed the taxpayer's tax liability for a given year and a tax credit is not refundable. The unused amount carries forward and may be claimed in subsequent years; except that a tax credit cannot be claimed for a tax liability incurred in a taxable year that begins after December 31, 2033. Insurance companies with a qualified home office or regional home office in the state have first priority to purchase premium tax credits.In fiscal year 2025-26, the department is authorized to issue tax credit certificates to qualified taxpayers equal to the lesser of a total face value of up to $125 million or total sales proceeds of up to $100 million, plus any reasonable and necessary administrative, monitoring, and closing costs of the department (closing costs). The minimum proposed tax credit purchase amount must be the greater of either the amount that an independent third party determines to be consistent with market conditions or 80% of the requested dollar amount of tax credits.The act creates the tax credit proceeds cash fund (fund). The proceeds from the issuance of tax credits must be deposited in the fund. Subject to annual appropriation, the department may expend money from the fund for any closing costs associated with implementing and administering the act. Subject to annual appropriation, the department of revenue may expend money from the fund for direct and indirect costs associated with implementing and administering the act. Each month, the state treasurer is required to credit the money generated by the issuance of tax credits to the fund. The department is required to transfer the money in the fund to the general fund, less any amounts used for expenses authorized by the act.For the 2025-26 state fiscal year, the act appropriates $3,173,500 to the department. The appropriation is from the fund and must be used for tax credit administration.APPROVED by Governor August 28, 2025EFFECTIVE August 28, 2025(Note: This summary applies to this bill as enacted.)

Last action: 2025-08-21 · House

Improve Affordability Private Health Insurance

The act makes the following changes to the funding allocated to the health insurance affordability enterprise (enterprise) for programs administered or funded by the enterprise:If the federal enhanced premium tax credit is not extended on or before December 31, 2025, authorizes the state treasurer to sell insurance premium and corporate tax credits to generate up to $100 million to be credited to the health insurance affordability cash fund (HIA cash fund) for use in the 2026 plan year and allocates the tax credit sale proceeds as follows:Up to $50 million to the reinsurance program;Up to $50 million to carriers to increase the affordability of health plans on the individual market for individuals who purchase individual health benefit plans on the Colorado health benefit exchange and receive the premium tax credit authorized under federal law (state-based insurance subsidies); andUp to $5 million for other programs administered or funded by the enterprise;Of the revenues collected by the enterprise before the effective date of the act that had been allocated for state-based insurance subsidies, allows the enterprise to reallocate any unexpended amount to other programs the enterprise administers or funds; andTransfers $10 million from the refinance discretionary account in the ARPA refinance state money cash fund to the HIA cash fund.Additionally, the act requires the health insurance affordability board to:Prepare an annual report detailing certain financial information about the enterprise;Make recommendations to the commissioner of insurance (commissioner) regarding coverage and plan design of state-subsidized plans to maximize plan enrollment; andPrior to making any recommendations to the commissioner, seek and discuss at a public meeting input and recommendations from individuals directly affected by programs funded by the enterprise.The division of insurance is directed to conduct a review of its regulation concerning the health insurance affordability fee assessment and collection process and to include its review in the departmental regulatory agenda submitted to the general assembly by November 1, 2026, pursuant to the "SMART Act". Further, the state auditor is required to complete a performance audit of the enterprise by December 31, 2027, and to submit its audit report to the legislative audit committee and the health and human services committees of the senate and the house of representatives.The act appropriates $3,173,500 from the tax credit sale proceeds cash fund to the department of treasury for the administration of the tax credit sales.APPROVED by Governor August 28, 2025PORTIONS EFFECTIVE August 28, 2025PORTIONS EFFECTIVE August 29, 2025(Note: This summary applies to this bill as enacted.)

Last action: 2025-08-21 · House

Health Insurance Affordability Fund Allocation

Current law requires that money deposited in the health insurance affordability cash fund (fund) is allocated as specifically outlined in statute for 2021 and each year thereafter. The bill requires the health insurance affordability board to reevaluate the allocation of money deposited in the fund on and after July 1, 2026, to:Prioritize the facilitation of reducing health coverage plan premium increases and avoiding the loss of health coverage plans for individuals in the individual market and individuals who are unable to purchase health coverage plans through the exchange; andEvaluate the costs of the state-subsidized individual health coverage plans purchased by qualified individuals and prioritize the reduction of the health coverage plan premiums for documented residents.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · House

Preserve Medicaid Health-Care Services

The bill prohibits the department of health care policy and financing (HCPF) from reimbursing a:Health-care provider who, or entity or facility that, performs, assists in the performance of, or refers a person to abortion or gender-affirming health-care services; orA health-care provider, entity, or facility for providing medical services to a person who does not satisfy citizenship or residency requirements.The bill makes related conforming amendments.Under current law, HCPF administers the reproductive health-care program, the state medical assistance program, and the state children's basic health plan (collectively, "the programs") to certain individuals who are ineligible for the programs due to their immigration status. The bill repeals the programs and makes related conforming amendments.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · House

Processes to Reduce Spending During Shortfall

The governor is permitted to, by executive order, suspend or discontinue the functions or services of state government (discretionary spending reductions) when there are not sufficient revenues available to carry on the functions of the state government. The act relocates the provisions of law allowing the governor to make discretionary spending reductions and requires the governor to promptly notify the joint budget committee (JBC) of the executive order. As soon as practicable after receiving the notification, the JBC shall hold a meeting to discuss the governor's plans for discretionary spending reductions. At the meeting, the governor or the office of state planning and budgeting (OSPB), or both, shall present the executive order to the JBC and the JBC may provide advice regarding discretionary spending reductions.Under law existing before the passage of the act, the governor is required to formulate and implement a plan to reduce general fund expenditures when the governor's regular quarterly revenue estimate indicates that appropriations from the general fund then in effect either will result in using more than one-half of the required amount of general fund reserve (reserve) or will result in the balance of the reserve dropping to below $1 billion (required spending reductions).The act adds that required spending reductions can be triggered by an interim revenue estimate that is prepared by the governor, designated as an update to the most recent prior regular quarterly revenue estimate, transmitted to the general assembly, and presented to the JBC. In addition to a revenue estimate indicating that the balance of the reserve will drop to below $1 billion, the act requires spending reductions when a revenue estimate indicates that the state needs to use an amount of the reserve equal to the lesser of 3% of general fund appropriations for the fiscal year or one-half of the required reserve.Under existing law, the governor promptly notifies the general assembly of a required spending reduction plan. The act requires the JBC to hold a meeting as soon as practicable after receiving the notification. At the meeting, the governor or OSPB, or both, shall present the plan to the JBC and the JBC may provide advice regarding the plan.APPROVED by Governor August 28, 2025EFFECTIVE August 28, 2025(Note: This summary applies to this bill as enacted.)

Last action: 2025-08-21 · Senate

Voter Approval Additions to Federal Taxable Income

The concurrent resolution refers to the voters of the state at the 2026 general election a constitutional amendment to require voter approval in advance for any addition to the definition of federal taxable income for purposes of determining a taxpayer's state taxable income, regardless of whether the state would gain revenue, or the extent to which the state would gain revenue, due to the addition to the definition of federal taxable income. (Note: This summary applies to this concurrent resolution as introduced.)

Last action: 2025-08-21 · Senate

Health Providers Practice Scope Preventive Care

The bill authorizes certain health-care providers to provide specific, low-level preventive health-care services that are within their existing scope of practice and training.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · House

State-Only Funding for Certain Entities

On and after July 1, 2025, the act requires the department of health care policy and financing (HCPF) to use only state funds to reimburse entities that provide covered services and that are prohibited from receiving reimbursement from the federal centers for medicare and medicaid services (CMS); except that an entity is not eligible to receive state-only funds from HCPF if the entity is eligible for reimbursement from CMS at the time the services are provided.APPROVED by Governor August 26, 2025EFFECTIVE August 26, 2025(Note: This summary applies to this bill as enacted.)

Last action: 2025-08-21 · Senate

Retention of Vendors Fees for Collecting Sales Tax.

Current law requires a retailer to periodically remit to the department of revenue the sales tax revenue that it collects and allows some retailers to retain a sales tax vendor fee to cover the retailer's expenses incurred in collecting and remitting state sales tax (vendor fee).For sales made on or after January 1, 2026, the bill increases the maximum dollar amount that a retailer may retain as a vendor fee from $1,000 to $2,000. Beginning on January 1, 2026, the bill requires that:The percentage of sales tax reported that a retailer may retain as a vendor fee must never fall below 2% of the tax reported; andThe maximum dollar amount that a retailer may retain in any filing period as a vendor fee must never fall below $2,000.(Note: This summary applies to this bill as introduced.)

Last action: 2025-08-21 · House

Governor Proclamation to Allow General Assembly to Address Budget

The concurrent resolution refers to the voters of the state at the 2026 general election a constitutional amendment to modify existing law to require, when a governor convenes the general assembly by proclamation, that the business specially named in the proclamation must not be so narrowly framed as to impose a particular outcome on the general assembly.The concurrent resolution requires that if the governor convenes the general assembly by proclamation for the purpose of addressing a state revenue shortfall or other state budgetary issue, the governor shall not limit the scope of the special session to only a portion of the budget and shall make the proclamation broad enough so that the general assembly can consider the entirety of the state budget and craft a comprehensive solution to the revenue shortfall or other state budgetary issue.(Note: This summary applies to this concurrent resolution as introduced.)

Last action: 2025-08-21 · House

Adjourn Sine Die

SJR 25-024 is a bill that formally adjourns the Colorado state legislature without setting a specific date for reconvening. This means the legislative session has ended, and no new bills will be considered until the next scheduled session begins. Since it has been signed, this marks the official conclusion of the current legislative period.

Last action: 2025-05-05 · Senate