The act makes the following updates to the "Crime Victim Compensation Act" (act): Changes terminology concerning an award of compensation to approval of compensation for consistency with how crime victim compensation programs operate; Revises language to be gender neutral; Changes the terminology for court administrator to court executive to reflect the accurate position title as changed by the state court administrator's office; Includes state offenses specified in the "Victim Rights Act" under the definition of compensable crime; Includes as property damage expenses incurred for a motor vehicle determined by law enforcement to be where a compensable crime was committed; Modifies the requirement to notify appropriate law enforcement officials to be eligible to receive compensation under the act by removing the 72-hour requirement. The requirement is met if the victim or applicant provides documentation that a forensic examination was conducted by a licensed or registered nurse or medical providers. Modifies the requirement to fully cooperate with law enforcement officials to be eligible to receive compensation under the act to requiring the applicant to have reasonably cooperated with law enforcement officials; Removes the requirement that an application be submitted within one year of the date of injury to the victim; Removes outpatient care and homemaker and home health services and adds replacement services losses, which is defined in the act, funeral expenses, certain travel expenses, dependent care services, and certain relocation services as losses compensable under the act; Adds as compensable losses towing or impound fees for a motor vehicle that is determined to be where a compensable crime was committed and prosthetic or medically necessary devices were damaged or stolen as a result of a compensable crime; Excludes property damage expenses and motor vehicle expenses as losses compensable under the act except as otherwise provided under the act; Allows for emergency approvals to be made in a maximum amount according to a judicial district's crime victim compensation board's policies instead of $2,000; Increases the amount that district attorneys may retain from money deposited in the judicial district's crime victim compensation fund for administrative costs from 12.5% to 22.5%; and Levies a cost of $33 on each criminal action that results with placement in an alternative sentencing program to be credited to the crime victim compensation fund established in the judicial district where the offense occurred. APPROVED by Governor May 15, 2024 EFFECTIVE May 15, 2024(Note: This summary applies to this bill as enacted.)
The act repeals the requirement for a defendant to pay to the Colorado bureau of investigation (bureau) any costs related to sealing the defendant's criminal justice records in the bureau's custody. The act requires the bureau to, on or before June 30, 2026, waive the costs for a person whose records are in the bureau's custody but are not yet sealed. The act reduces a cash fund appropriation made in the general appropriation act for the 2024-25 state fiscal year to the department of public safety (department) for the bureau's biometric identification and records unit by $159,220. The act appropriates $441,529 to the department for the bureau's biometric identification and records unit. APPROVED by Governor May 15, 2024 EFFECTIVE August 7, 2024(Note: This summary applies to this bill as enacted.)
The act changed the requirements to be issued an instruction permit by requiring, on or after January 1, 2027: Minors who are 15 years of age or older and under 18 years of age to complete a 30-hour driver education course, which may include an online course, approved by the department of revenue (department); and Minors who are 18 years of age and older to either complete a 30-hour driver education course, which may include an online course, approved by the department or a 4-hour prequalification driver awareness program approved by the department. The act requires a minor who is under 21 years of age to successfully complete an instruction program in motorcycle safety that is approved by the Colorado state patrol before being issued an instruction permit to drive a motorcycle. The act authorizes the following individuals who hold a valid Colorado driver's license to supervise a minor's driving under a permit: The minor's parent or stepparent; The minor's grandparent with power of attorney; An individual who is 21 years of age or older and who signed the affidavit of liability; The minor's foster parent who signed the affidavit of liability; An approved driver education instructor; An alternate permit supervisor who is 21 years of age or older and is appointed by the person who signed the affidavit of liability; and If the minor is a foster child, an individual authorized to supervise the foster child. The act authorizes the issuance of a temporary driver's license or temporary minor driver's license, which temporary license is valid for up to one year unless extended by the department of revenue and which immediately becomes invalid upon issuance of a permanent driver's license or upon refusal for good cause. The act prohibits a person who has been convicted of certain violent or sexual crimes from providing behind-the-wheel driving instruction to minors and at-risk adults. A commercial driving school is prohibited from employing such a driving instructor to provide behind-the-wheel driving instruction to minors and at-risk adults. Each instructor employed by a commercial driving school must obtain a fingerprint-based criminal history record check to verify that the instructor has not committed a disqualifying crime. APPROVED by Governor May 15, 2024 EFFECTIVE April 1, 2026(Note: This summary applies to this bill as enacted.)
Current law allows employees in the state personnel system and state employees that are covered under the "State Employee Group Benefits Act" to participate in a group benefit plan that includes any group benefit coverages contracted for or administered by the state personnel director (director). Such group benefit coverages include but are not limited to medical, dental, life, and disability benefits. The act expands the definition of group benefit plans to include voluntary and flexible benefits. The act also defines voluntary benefit to mean a variety of benefit plans of products and services contracted for or administered by the director for which an employee may select voluntary payroll deductions that may be matched by a state contribution. The act requires the director to complete a fiscal analysis of the cost and outcome of any such voluntary benefit, which includes a determination by the department of the number of potential state employees retained as a result of offering the benefit, before a state contribution match can become effective. The act also excludes a contribution or donation to a candidate committee, political committee, political party, small donor committee, small-scale issue committee, or any other political entity from the definition of group benefit plans. APPROVED by Governor May 15, 2024 EFFECTIVE August 7, 2024(Note: This summary applies to this bill as enacted.)
The act implements the recommendations of the department of regulatory agencies (department), as specified in the department's sunset review of the regulation of respiratory therapy, as follows: The act continues the regulation of respiratory therapy for 11 years, until September 1, 2035; The definition of respiratory therapy in current law includes certain treatments of patients pursuant to a prescription issued by a physician, advanced practice registered nurse, or certified midwife. The act expands the definition to also include a prescription issued by a physician assistant. Current law exempts an unregistered polysomnographic technologist (technologist) who practices respiratory therapy from the state regulatory requirements for respiratory therapists if the technologist is practicing under the supervision of a respiratory therapist, physician, or certain other practitioner. The act narrows this exemption to practices that do not exceed oxygen titration with pulse oximetry and noninvasive positive pressure ventilation titration. APPROVED by Governor May 15, 2024 EFFECTIVE August 7, 2024(Note: This summary applies to this bill as enacted.)
Independent contractors (contractors) were previously ineligible for the federal public service loan forgiveness program (program), which forgives remaining federal student loan liability for government and nonprofit full-time employees after 10 years of qualifying service, but in 2023 the federal government made contractors who perform work for a government agency eligible for the program if the work cannot be performed by a government employee. Three independent judicial agencies, the office of the alternative defense counsel, the office of the child's representative, and the office of respondent parents' counsel (agencies) primarily use contractors to provide legal representation on behalf of the agencies because providing the same services through state employees would create ethical conflicts. To enable these contractors to qualify for the program if they otherwise meet program requirements, the act: Clarifies that state employees cannot provide the legal services that the independent contractors provide; Allows the agencies to certify that a contractor appears to be eligible for the program; and Because some contractors provide or have provided legal services on behalf of more than one of the agencies, authorizes the agencies to share contractor information to the extent necessary to certify a contractor's eligibility for the program. APPROVED by Governor May 15, 2024 EFFECTIVE May 15, 2024(Note: This summary applies to this bill as enacted.)
Property tax revenue limit. Beginning with the 2025 property tax year, section 1 of the act establishes a limit on qualified property tax revenue, as defined by the act, for local governments (limit). This limit does not apply to local governments that are home rule municipalities, school districts, have not received voter approval to exceed the statutory 5.5% property tax revenue limitation, or have not received voter approval to collect, retain, and spend the majority of their property tax revenue without regard to the limitations in section 20 of article X of the state constitution. The limit is equal to the local governmental entity's base year qualified property tax revenue increased by 5.5% for each year since the base year including the relevant property tax year. A local government may seek voter approval to waive the limit. A local governmental entity's base year qualified property tax revenue is: For a local governmental entity that had qualified property tax revenue for the 2023 property tax year, the local governmental entity's qualified property tax revenue for the 2023 property tax year, plus any money the local governmental entity received from the state to compensate the local governmental entity for reduced property tax revenue in the 2023 property tax year; For a local governmental entity that did not have qualified property tax revenue for the 2023 property tax year, the local governmental entity's qualified property tax revenue for the first year that the local governmental entity has property tax revenue; or If applicable, the local governmental entity's qualified property tax revenue for the most recent property tax year for which the local governmental entity's voters approved temporarily waiving the limit. If a local government's qualified property tax revenue would otherwise exceed the limit, the local government shall either establish a temporary property tax credit equal to the number of mills necessary to prevent the local government's qualified property tax revenue from exceeding the limit or temporarily reduce its mill levy. Nonresidential real property valuation reductions. Under current law, for nonresidential property, the valuation for assessment (valuation) is 29% of the actual value of the property. However, certain categories of nonresidential property had temporarily reduced valuations for property tax 2023. Section 2 extends these temporarily reduced valuations to property tax year 2024. Section 2 also permanently reduces the valuations for commercial and agricultural property as follows: For property tax year 2025, the valuation is 27% of the actual value of the property; and For property tax years commencing on or after January 1, 2026, the valuation is 25% of the actual value of the property. Residential real property valuation reductions. For the 2024 property tax year, section 4 makes 2 reductions to residential real property valuation by continuing the 2023 property tax year reductions to residential real property valuation: For multi-family residential real property, section 4 reduces the valuation from 6.8% of the actual value of the property to 6.7% of the amount equal to the actual value of the property minus the lesser of $55,000 or the amount that causes the valuation for assessment of the property to be $1,000 (alternate amount); and For all other residential real property, section 4 reduces the valuation from an estimated 7.06% of the actual value of the property to 6.7% of the amount equal to the actual value of the property minus the lesser of $55,000 or the alternate amount. For the 2025 property tax year, section 4 modifies residential real property valuation so that the valuation for all residential real property is: For the purpose of a levy imposed by a school district, 7.15% of the actual value of the property; and For the purpose of a levy imposed by a local governmental entity that is not a school district, 6.4% of the actual value of the property. For the 2026 property tax year and all future property tax years, section 4 also reduces the valuation for all residential real property from 7.15% of the actual value of the property. For all residential real property, the valuation is: For the purpose of a levy imposed by a school district, the lesser of 7.15% of the actual value of the property or a percentage of the actual value of the property determined by the property tax administrator pursuant to section 7; and For the purpose of a levy imposed by a local governmental entity that is not a school district, 6.95% of the amount equal to the actual value of the property minus the lesser of 10% of the actual value of the property or $70,000 as adjusted for inflation in the first year of each subsequent reassessment cycle. Qualified-senior primary residence residential real property. Senate Bill 24-111 created a new residential real property subclass: qualified-senior primary residence residential real property. In addition to the other reductions for resdiential real property made in section 4, section 4 makes the following valuation reductions for qualified-senior primary residence residential real property: For property tax year 2025, for the purpose of a levy imposed by a local governmental entity that is not a school district, 6.4% of the amount equal to the actual value of the property minus either 50% of the first $200,000 of that actual value plus the lesser of 10% of the actual value of the property or $70,000 or the alternate amount; For property tax year 2026, for the purpose of a levy imposed by a local governmental entity, 6.95% of the amount equal to the actual value of the property minus either 50% of the first $200,000 of that actual value plus the lesser of 10% of the actual value of the property or $70,000 or the alternate amount; and For property tax year 2025, for the purpose of a levy imposed by a school district, 7.15% of the amount equal to the actual value of the property minus either 50% of the first $200,000 of that actual value or the alternate amount. Adjustable residential real property valuation. Section 7 requires legislative council staff to notify the state board of equalization of the first year after 2026 in which the local share of total program is equal to or greater than 60% of the total program determined pursuant to the "Public School Finance Act". For every property tax year after that year, the valuation for assessment for all residential real property, for the purpose of a levy imposed by a school district, is equal to the lesser of: 7.15% of the actual value of the property; or The percentage of the actual value of the property necessary for statewide school district property tax revenue divided by weighted total program to equal 0.6. Reimbursement of local governments. The state reimbursed local governmental entities for property tax revenue lost as a result of the reductions in valuation enacted in Senate Bill 22-238 and Senate Bill 23B-001. Section 9 establishes a reimbursement mechanism for certain local governmental entities other than school districts to account for property tax revenue lost as a result of the reductions in valuation in the act for the 2024 property tax year. The reimbursement mechanism requires the state to reimburse local governments in an amount equal to the decrease, if any, in assessed value between the 2022 and 2024 property tax years multiplied by the local governments' mill levy rate from the 2022 property tax year. Section 9 creates a fund out of which the state makes the reimbursements and requires the state treasurer to transfer to the fund $10,311,233 from the sustainable rebuilding program fund. Property tax deferral program. The existing property tax deferral program allows any person to defer the payment of the portion of real property taxes on the person's homestead that exceeds the tax-growth cap, which is an amount equal to the average of the person's real property taxes paid for the preceding 2 property tax years for the same homestead, increased by 4%. Beginning with the 2025 property tax year, section 10 removes the 4% tax-growth cap. Accordingly, beginning with the 2025 property tax year, a person may defer the payment of the portion of real property taxes on the person's homestead that exceeds the average of the person's real property taxes paid for the preceding 2 property tax years for the same homestead. Appropriation for state share of districts' total program funding. Beyond the appropriations in the act necessary for the administration of this act as outlined in sections 12 and 13, section 11 appropriates $378,861,731 to the department of education from the state education fund to cover the increases in the state share of districts' total program funding resulting from the assessed value reductions set forth in the act. APPROVED by Governor May 14, 2024 EFFECTIVE upon the date of the official declaration by the governor NOTE: This act does not take effect if either or both of the following occur at the next general election: An initiative that reduces valuations for assessment is approved by the people; An initiative that requires voter approval for retaining property tax revenue that exceeds a limit is approved by the people. If this act takes effect then this act takes effect upon the date of the official declaration of the vote for the general election held on November 5, 2024; except that section 3 of this act takes effect only if Senate Bill 24-111 does not become law, sections 4 and 8 of this act take effect only if Senate Bill 24-111 becomes law, section 6 of this act takes effect only if House Bill 24-1448 does not become law, and section 7 of this act takes effect only if House Bill 24-1448 becomes law. Senate Bill 24-111 was signed by the governor May 14, 2024. House Bill 24-1448 was signed by the governor May 23, 2024.(Note: This summary applies to this bill as enacted.)
For property tax years commencing on or after January 1, 2025, the act creates a new subclass of residential real property called qualified-senior primary residence real property, which includes residential real property that as of the assessment date is used as the primary residence of an owner-occupier, as defined in the act, if: The owner-occupier applies to the county assessor for the classification in the manner required by the act; The owner-occupier previously qualified for the property tax exemption for qualifying seniors (exemption) for a different property for a property tax year commencing on or after January 1, 2020, and does not qualify for the exemption for the current property tax year; and The circumstances that qualify the property for the classification have not changed since the filing of the application. The act also: Classifies property that might otherwise be classified as multi-family residential real property that contains a unit that qualifies as qualified-senior primary residence real property as multi-family qualified-senior primary residence real property and treats such property as qualified-senior primary residence real property; For property tax years commencing on or after January 1, 2025, but before January 1, 2027, sets the valuation for assessment for qualified-senior primary residence real property at 7.15% of the amount equal to the actual value of the property minus the lesser of 50% of the first $200,000 of that actual value or the amount that causes the valuation for assessment of the property to be $1,000; Establishes the processes by which an owner-occupier of residential real property may apply to have the owner-occupier's primary residence classified as qualified-senior primary residence real property and by which such an application is approved or denied; For property tax years commencing on or after January 1, 2025, but before January 1, 2027, requires the state to reimburse local governmental entities that levy property taxes for total property tax revenue lost due solely to the reduced valuation for assessment of qualified-senior primary residence real property as compared to the valuation for assessment of other residential real property and specifies the process by which the proper amount of reimbursement is calculated and reimbursement is made; and For state fiscal years in which excess state revenues are required to be refunded pursuant to the Taxpayer's Bill of Rights, establishes the reimbursement to local governmental entities as a means of refunding such excess state revenues. APPROVED by Governor May 14, 2024 EFFECTIVE August 7, 2024(Note: This summary applies to this bill as enacted.)
If the state exceeds its constitutional fiscal year spending limit, it is required by the Taxpayer's Bill of Rights (TABOR) to refund the excess state revenues (TABOR refunds). The act concerns the 4 TABOR refund mechanisms: a reimbursement to counties for lost property tax revenue, an income tax rate reduction, a sales and use tax rate reduction, and a sales tax refund. The first mechanism through which excess state revenues are refunded is a reimbursement paid to counties for allocation 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 (homestead exemptions). Additionally, for property tax years commencing on or after January 1, 2024, the reimbursement to local governments to offset the reduction in property taxes resulting from the newly reduced valuation for assessment of qualified-senior primary residences created in Senate Bill 24-111, concerning a reduction in the valuation for assessment of qualified-senior primary residence real property, joins the homestead exemptions reimbursement as the first TABOR refund mechanism. The temporary income tax rate reduction is active for income tax years 2024 through 2034. To refund excess state revenues from fiscal year 2023-24, the income tax rate for income tax year 2024 is temporarily reduced from 4.40% to 4.25%. After that year, if the amount of excess state revenues exceeds the projected total amount of TABOR refunds issued as reimbursement to counties for the homestead exemptions and the qualified-senior primary residence valuation reductions, then the state individual income tax rate is temporarily reduced by the following percentages according to the total amount of excess state revenues remaining after the homestead exemptions reimbursement and the qualified-senior primary residence reimbursement are paid (remaining excess state revenues): If the remaining excess state revenues are above $300 million but less than or equal to $500 million, the income tax rate is temporarily reduced by 0.04%; If the remaining excess state revenues are above $500 million but less than or equal to $600 million, the income tax rate is temporarily reduced by 0.07%; If the remaining excess state revenues are above $600 million but less than or equal to $700 million, the income tax rate is temporarily reduced by 0.09%; If the remaining excess state revenues are above $700 million but less than or equal to $800 million, the income tax rate is temporarily reduced by 0.11%; If the remaining excess state revenues are above $800 million but less than or equal to $1 billion, the income tax rate is temporarily reduced by 0.12%; If the remaining excess state revenues are above $1 billion but less than or equal to $1.5 billion, the income tax rate is temporarily reduced by 0.13%; and If the remaining excess state revenues are above $1.5 billion, the income tax rate is temporarily reduced by 0.15%. The sales and use tax rate reduction refund mechanism is active for fiscal years 2024-25 to 2033-34. Under this mechanism, if the amount of remaining excess state revenues is greater than $1.5 billion, as annually adjusted by a percentage equal to the percentage of allowable increase in state fiscal year spending, and exceeds the projected total amount of TABOR refunds issued as reimbursement to counties for the homestead exemptions and the qualified-senior primary residence valuation reductions, plus refunds issued through the temporary income tax rate reduction, then the state sales and use tax rates are temporarily reduced by 0.13%. Under the sales tax refund mechanism, all qualified individuals receive an identical refund amount unless the amount of excess state revenues to be refunded would make that identical refund exceed a certain threshold, in which case the excess state revenues are instead refunded through a 6-tier refund mechanism based on the qualified individual's adjusted gross income. The identical refund amount above which the 6-tier mechanism is triggered is tied to annual federal internal revenue service calculations of sales tax paid in the state by family size and income level; except that, if, by September 1 of any year, the executive director of the department of revenue has not received advice from the internal revenue service that such an identical refund is regarded as a refund of sales tax and not as an accession to wealth, the identical refund threshold remains the existing rate of $15. An individual may claim the sales tax refund by filing an income tax return or a specified assistance grant application by October 15 of the calendar year following the taxable year for which the refund is being claimed. Whether the TABOR refund mechanisms are triggered and, if so, how many of the mechanisms are triggered depends on the amount of excess state revenues remaining after reimbursement to counties for the homestead exemptions and the qualified-senior primary residence valuation reductions as follows: If remaining excess state revenues are less than or equal to $300 million, TABOR refunds are distributed only through the tiered or flat sales tax refund mechanism; If remaining excess state revenues are greater than $300 million but less than or equal to $1.5 billion, TABOR refunds are distributed first through the income tax rate reduction and then through the tiered or flat sales tax refund mechanism; and If remaining excess state revenues are greater than $1.5 billion, TABOR refunds are distributed first through the income tax rate reduction, next through the sales and use tax rate reduction, and finally through the tiered or flat sales tax refund mechanism. If there are not sufficient excess state revenues to pay the full amount of an income tax rate reduction refund mechanism or the sales and use tax rate reduction refund mechanism, then the affected refund mechanism is not triggered. The act also repeals statutory sections related to TABOR refund mechanisms that are no longer applicable, including the 4-tier sales tax refund mechanism to refund excess revenues from fiscal year 1997-98. For the 2024-25 state fiscal year, $59,443 is appropriated from the general fund to the department of revenue for personal services and tax administration IT system support. APPROVED by Governor May 14, 2024 PORTIONS EFFECTIVE May 14, 2024 PORTIONS EFFECTIVE August 7, 2024(Note: This summary applies to this bill as enacted.)
The act requires the department of revenue (department) to share the contact information of a resident individual who claimed the earned income tax credit or the child tax credit, or both, on or before July 1 of each year with the department of early childhood, the department of health care policy and financing, the department of human services, the department of local affairs, the department of public health and environment, the department of corrections, the department of labor and employment, the behavioral health administration, and the department of higher education if requested. The information disclosed remains confidential, and the recipient departments may only use it for the purpose of benefit outreach , including sharing information about how to enroll, the information necessary to enroll, and, when possible, assisting with the application process. The act also requires the department to create a pilot program to assist up to100,000 resident households in filing or amending a tax return and claiming the federal and state earned income tax credit or child tax credit (credits) for up to 2 prior tax years. As resources allow, the department must select and collaborate with a third-party entity to identify resident households who may be eligible for the credits, instruct these resident households about the availability of the pilot program, develop a mechanism to share wage data, and develop a mechanism for resident households to digitally consent to having wage data shared with the third-party entity. As resources allow, the third-party entity will create a prefiled form for each resident individual who may be eligible for the pilot program. The pilot program must begin no later than August 15, 2025. The third-party entity shall secure the information shared pursuant to the pilot program. The third-party entity must report to the members of the senate and house finance committees no later than December 15, 2025, which report shall include the number of prefiled federal income tax returns completed, the number of each tax credit claimed as a result of the pilot program, an estimate of the amount of money claimed through the pilot program, the number of returns supported through information shared pursuant to the pilot program, and recommendations for improving and continuing the pilot program. A state, local, or tribal government (government) may use any data in its possession to automatically enroll, or send notice of potential eligibility to enroll to, any individual or household regarding any benefit program. A government may request an individual or household attest to receiving support from a benefit program or otherwise provide proof of the individual's or household's enrollment in any benefit program with the same or more restrictive enrollment requirements as evidence to enroll an individual or household in any other benefit program. The act appropriates $167,585 from the general fund to the department for fiscal year 2024-25 to implement the act. APPROVED by Governor May 14, 2024 EFFECTIVE August 7, 2024(Note: This summary applies to this bill as enacted.)
The act modifies 2 existing state income tax credits for child care expenses.One of the credits can be claimed by an individual who claims the federal credit allowed for child and dependent care expenses (federal credit). The other credit can be claimed under the same parameters as the first credit but by an individual who does not meet the minimum income threshold to be able to claim the federal credit. The act merges the 2 state income tax credits into one credit to be claimed for income tax years commencing on and after January 1, 2026, increases the amount of the credit from 50% of the federal credit to 70% of the federal credit, and allows the credit to be claimed by a resident individual whose federal adjusted gross income is less than or equal to $60,000, annually adjusted for inflation, without regard to income limitations imposed for claiming the federal credit. The act also clarifies that the credit is for expenses related to child care and dependent care, as such expenses are qualified under the federal credit. The act increases the amount of the state earned income tax credit (EITC or credit) that can be claimed by an individual as a percentage of the individual's federal earned income tax credit (federal credit) amount as follows: For the income tax year commencing on January 1, 2024, from the current level of 38% to 50%; For the income tax year commencing on January 1, 2025, from the current level of 25% to 35%; and For income tax years commencing on or after January 1, 2026, from the current level of 20% to 25%. Additionally, after income tax year 2024, the act allows for the amount of the credit to increase to a maximum of 50% based on an estimated adjustment factor which is calculated as the forecasted compound annual growth of state revenue that is otherwise nonexempt revenue in any fiscal year in relation to state fiscal year 2024-25. For income tax year 2025, the amount of credit may be claimed at 50% of the federal credit if the estimated adjustment factor is equal to or greater than 2%. For income tax year 2026 and all subsequent income tax years, the amount of credit is increased as follows: If the estimated adjustment factor is equal to or greater than 3% but less than 3.18%, the credit can be claimed at 30% of the federal credit; If the estimated adjustment factor is equal to or greater than 3.18% but less than 3.37%, the credit can be claimed at 35% of the federal credit; If the estimated adjustment factor is equal to or greater than 3.37% but less than 3.56%, the credit can be claimed at 40% of the federal credit; If the estimated adjustment factor is equal to or greater than 3.56% but less than 3.75%, the credit can be claimed at 45% of the federal credit; and If the estimated adjustment factor is equal to or greater than 3.75%, the credit can be claimed at 50% of the federal credit. The act also makes the state's corporate income tax more uniform compared to other states by replacing the current combined reporting standard with the multistate tax commission's standard. In addition, these sections modify the computation of receipts factor to make it more congruent with the unitary business principle. APPROVED by Governor May 14, 2024 EFFECTIVE August 7, 2024(Note: This summary applies to this bill as enacted.)
Section 1 of the act creates a series of requirements related to accessory dwelling units. Section 1 establishes unique requirements for subject jurisdictions and for qualifying as an accessory dwelling unit supportive jurisdiction (supportive jurisdiction). As established in section 1, a subject jurisdiction is either: A municipality that has a population of 1,000 or more and that is within the area of a metropolitan planning organization; or The portion of a county that is both within a census designated place with a population of forty thousand or more, as reported in the most recent decennial census, and within the area of a metropolitan planning organization. Section 1 requires a subject jurisdiction, on or after June 30, 2025, to allow, subject to an administrative approval process, one accessory dwelling unit as an accessory use to a single-unit detached dwelling in any part of the subject jurisdiction where the subject jurisdiction allows single-unit detached dwellings. Section 1 also prohibits, on or after June 30, 2025, subject jurisdictions from enacting or enforcing certain local laws or otherwise acting in certain ways that would restrict the construction or conversion of an accessory dwelling unit. In order to qualify as a supportive jurisdiction, a local government must submit a report on or before June 30, 2025, to the department of local affairs (department) demonstrating that the local government: Has complied with the accessory dwelling unit requirements section 1 imposes on subject jurisdictions as a subject jurisdiction or, if the local government is not a subject jurisdiction, as if the local government were a subject jurisdiction; and Has implemented one or more specified strategies to encourage and facilitate the construction or conversion of accessory dwelling units. Section 1 also creates the accessory dwelling unit fee reduction and encouragement grant program within the department. The purpose of this grant program is for the department to provide grants to supportive jurisdictions for offsetting costs incurred in connection with developing pre-approved accessory dwelling unit plans, providing technical assistance to persons converting or constructing accessory dwelling units, or waiving, reducing, or providing financial assistance for accessory dwelling unit associated fees and other required costs. In addition to providing grants, the department is required to develop a toolkit to support local governments in encouraging accessory dwelling unit construction. Section 1 requires the state treasurer to transfer $5 million to the accessory dwelling unit fee reduction and encouragement grant program fund created for purposes of implementing the grant program. Section 2 requires the department to create, and for local governments to consider and adopt, model public safety code requirements related to geographic or climatic conditions for factory-built structures, including those structures that would be considered accessory dwelling units. Section 3 grants the Colorado economic development commission the power to expend $8 million to contract with the Colorado housing and finance authority to operate and establish the following programs to benefit low- to moderate-income residents of supportive jurisdictions: An accessory dwelling unit credit enhancement program that supports lenders offering affordable loans to eligible low- and moderate-income borrowers for the construction or conversion of accessory dwelling units; A program that allows for the buying down of interest rates on loans made to eligible low- and moderate-income borrowers in connection with the construction or conversion of accessory dwelling units; A program that offers down payment assistance in connection with accessory dwelling units, principal reduction on loans to eligible low- and moderate-income borrowers made in connection with accessory dwelling units, or both; and A program through which the Colorado housing and finance authority offers loans, revolving lines of credit, or grants to eligible non-profits, public housing authorities, and community development financial institutions to make direct loans or grants to support the construction or conversion of accessory dwelling units for low- and moderate-income borrowers or tenants. Section 4 directs the state treasurer to transfer $8 million from the general fund to the Colorado economic development fund for the purpose of the contracting described in section 3. Section 5 prohibits a subject jurisdiction's planned unit development resolution or ordinance for a planned unit development from restricting the permitting of an accessory dwelling unit more than the local law that applies to accessory dwelling units outside of the planned unit development. Section 6 states, subject to a reasonable restriction exception, that any prohibition on accessory dwelling units or the implementation of restrictive design or dimension standards by a unit owners' association in a supportive jurisdiction is void as a matter of public policy. Section 7 makes appropriations to the department, the division of local government within the department, and the office of the governor for use by the office of information technology for the purpose of implementing the act. APPROVED by Governor May 13, 2024 EFFECTIVE May 13, 2024(Note: This summary applies to this bill as enacted.)
