Rep. Barbara McLachlan

For income tax years commencing on or after January 1, 2018, but prior to January 1, 2022, the bill creates a state income tax credit for a donation a taxpayer makes to a sponsor that is used solely for the costs associated with an employer-assisted eligible activity in a rural area. The bill defines 'sponsor' to mean the Colorado Housing and Finance Authority, a housing authority operated by a county or municipality, or a nonprofit corporation that has been designated as community development corporation under the federal tax code. The amount of the credit allowed by the bill is 20% of the approved amount of the donation as documented in a form and manner acceptable to the department of revenue (department); except that the aggregate amount of the credit awarded to any one taxpayer is limited to $400 in any one income tax year. If the amount of the credit allowed exceeds the amount of the taxpayer's income tax liability in the income tax year for which the credit is being claimed, the amount of the credit not used as an offset against income taxes in such income tax year is not allowed as a refund but may be carried forward and applied against the income tax due in each of the 5 succeeding income tax years, but must first be applied against the income tax due for the earliest of the income tax years possible. A taxpayer claiming the credit allowed by the bill is required to submit, maintain, and record any information that the department may require by rule regarding the taxpayer's donation to the sponsor, including the certificate received evidencing the donation. The bill specifies various verification procedures that the taxpayer and sponsor must follow for the taxpayer to be able to claim the credit. The bill requires each sponsor that has issued certificates evidencing donations in a calendar year in the cumulative amount of $10,000 or more to report to the general assembly by the deadlines specified in the bill on the overall economic activity, usage, and impact to the state from the employer-assisted eligible activity for which it has certified a donation eligible for a tax credit under the bill. The bill requires the department and the division of housing within the department of local affairs (division) to promulgate any rules necessary to facilitate the effective implementation of this tax credit. The department and the division may each develop policies and procedures necessary to facilitate the effective implementation of the tax credit. The bill prohibits a taxpayer from claiming the tax credit under the bill for a donation for which the taxpayer is claiming any other state tax credit or deduction. By the deadlines specified in the bill, the division is required to provide the department with an electronic report on the taxpayers who have received a tax credit under the bill for the calendar year that conforms to the income tax year for which the credit is allowed. The bill specifies information the report must contain. The statutory provisions created by the bill are repealed, effective July 1, 2031. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

The bill grants veterans of the armed forces a free lifetime small game hunting and fishing license, or any big game license the veteran qualifies for under rules of the parks and wildlife commission, if the veteran has been a resident of Colorado for at least the previous 2 years, served in the armed forces for at least 2 years, and was separated under honorable conditions.(Note: This summary applies to this bill as introduced.)

For purposes of calculating a taxpayer's Colorado taxable income, current state law begins from a base of the taxpayer's federal taxable income and provides for various modifications to that base, including subtractions from federal taxable income (state income tax deductions) in amounts equal to the full amounts of both contributions made by a taxpayer to the qualified state tuition program established by collegeinvest and distributions of investment earnings taken from the plan. For income tax years commencing on or after January 1, 2018, section 2 of the bill modifies these state income tax deductions by making the percentages of the amounts of contributions or distributions allowed to be subtracted from a taxpayer's taxable income dependent upon the amount of the taxpayer's federal adjusted gross income as follows: 200% of the amounts of contributions or distributions for a taxpayer whose federal adjusted gross income is less than $100,000; 100% of the amounts of contributions or distributions for a taxpayer whose federal adjusted gross income is $100,000 or more but less than $200,000; 50% of the amounts of contributions or distributions for a taxpayer whose federal adjusted gross income is $200,000 or more but less than $500,000; and 25% of the amounts of contributions or distributions for a taxpayer whose federal adjusted gross income is $500,000 or more. For income tax years commencing on or after January 1, 2018, section 3 allows refundable state income tax credits for teaching or student teaching in rural schools as follows: A teacher who has graduated from an educator preparation program approved by the Colorado commission on higher education may claim a credit, in a specified amount that increases each year, for each of the first 5 years that the teacher teaches in one or more rural schools; and A student teacher who is a student in an educator preparation program approved by the Colorado commission on higher education and has worked as a student teacher in one or more rural schools for at least a specified number of days during an academic year may claim a one-time credit up to a specified maximum amount against tuition and fees paid for the educator preparation program. To ensure that the credits are allowed only to qualified rural teachers and student teachers who are eligible for the credits, the department of education must coordinate with and annually submit a list of such teachers and student teachers to the department of revenue. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

The bill repeals the interagency farm-to-school coordination task force (task force) and ends the terms of current members of the Colorado food systems advisory council (council). The bill provides for the appointment of new members to the council. The council's duties are to: Collaborate and coordinate with producers, relevant state and federal agencies, and consumers regarding linking Colorado producers, particularly specialty crop producers, with food and nutrition assistance programs; Collaborate with relevant state and federal agencies and other entities regarding the study, development, and recommendation of policies and methods to best implement the farm-to-school program; Collaborate with producers, relevant government agencies, educational institutions, nongovernmental organizations, and consumers regarding support for the recommendations in the Colorado blueprint for food and agriculture, and ensure that the blueprint, or its successor, is updated as needed; Conduct research regarding national best practices regarding food and nutrition assistance, direct and intermediated market development, and farm-to-school programs as well as other priorities determined by the council; Collaborate with, serve as a resource to, and receive input from local and regional food policy councils in the state; Explore methods of collecting and assessing statewide data relating to council activities and report the relevant information and data regarding council activities as required by current law; and Collaborate with the department of agriculture in leveraging existing domestic marketing programs that benefit Colorado agriculture. The bill extends the repeal of the council from September 1, 2018, to September 1, 2022. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

The Colorado water conservation board (board) administers a pilot program to demonstrate the practice of fallowing agricultural irrigation land and leasing the associated water rights for temporary municipal, agricultural, environmental, industrial, or recreational use. Under the current pilot program, the board, in consultation with the state engineer, may authorize up to 10 pilot projects, each of a duration up to 10 years. Of the 10 pilot projects that the board may authorize, no more than 3 pilot projects may be located in any one of the following major river basins: The South Platte river basin; the Arkansas river basin; the Rio Grande river basin; and the Colorado river basin. An applicant must apply on or before December 31, 2018, to sponsor a pilot project. The pilot program is scheduled to be completed in 2029, at which time the board, in consultation with the state engineer, is required to provide a final report to the water resources review committee, or its successor committee, on the results of the pilot projects authorized. The bill extends the pilot program as follows: The board, in consultation with the state engineer, may authorize up to 15 pilot projects; No more than 5 pilot projects may be located in any one of the 4 major river basins listed above; An applicant must apply on or before December 31, 2023, to sponsor a pilot project; and The pilot program would be completed in 2034, at which time the board, in consultation with the state engineer, would provide a final report to the water resources review committee or its successor committee.(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Under current law, the accreditation for school districts and the state charter school institute (institute) and the level of performance for public schools is based on the attainment of specified performance indicators. The bill creates an additional performance indicator that measures the degree to which a public school, a school district, or the institute provides access to courses or educational programs in dance, drama and theater, music, and visual arts. The state board of education must adopt rules by which a public school, a school district, or the institute will receive additional credit toward the accreditation or performance ratings based on the arts performance indicator. (Note: This summary applies to this bill as introduced.)