Recent changes to the federal income tax code significantly increased the amount of business-related expenses that may be deducted for federal income tax purposes as follows:Expanded the business interest deduction limitation pursuant to section 163 (j) of the internal revenue code (IRC) by adding back depreciation, amortization, and depletion for calculation of adjusted taxable income and determination of the deduction base, resulting in many taxpayers, especially capital intensive businesses, being able to deduct a larger portion of their business interest expense; Expanded the bonus depreciation deduction pursuant to section 168 (k) of the IRC by permanently restoring the 100% first-year bonus depreciation deduction for 'qualified property' acquired and placed in service on or after January 20, 2025;Created an elective 100% depreciation deduction in section 168 (n) of the IRC for 'qualified production property', which is property largely tied to manufacturing, production, or refining facilities and that would not otherwise qualify for section 168 (k) bonus depreciation; andCreated a new section 174A of the IRC that allows taxpayers to immediately deduct domestic research and experimental expenditures paid or incurred during the taxable year, rather than requiring such costs to be capitalized and amortized over time. Because the state income tax is imposed on federal taxable income, these changes to the definition of federal income also exclude these business-related expenses from state income taxation. The bill reverses these changes to the federal tax code for purposes of the state income tax code and creates a new tax credit using the resulting revenue. Sections 2 and 4 of the bill provide, for income tax years commencing on or after January 1, 2027, that individual and corporate state income taxpayers must add the following to their federal taxable income for purposes of applying the state income tax: An amount equal to the federal deduction claimed by the taxpayer for business interest pursuant to the limitation in section 163 (j) of the IRC to the extent the amount exceeds the amount the taxpayer would have been allowed to claim before the limitation was changed as described above;An amount equal to the federal deduction claimed by the taxpayer for qualified property depreciation pursuant to section 168 (k) of the IRC to the extent the amount claimed exceeds the amount the taxpayer would have been allowed to claim under section 168 (k) prior to the change described above; except that, the taxpayer may reduce the amount required to be added back by the amount of depreciation the taxpayer would have been allowed to claim for the taxable year with respect to the same property pursuant to any section other than section 168 (k) of the IRC prior to the recent federal changes;An amount equal to the federal deduction claimed by the taxpayer for qualified production property depreciation pursuant to section 168 (n) of the IRC; except that, the taxpayer may reduce the amount required to be added back by the amount of depreciation the taxpayer would have been allowed to claim for the taxable year with respect to the same property pursuant to any section other than section 168 (k) of the IRC prior to the recent federal change; andAn amount equal to the federal deduction claimed by the taxpayer for the income tax year for domestic research and experimental expenditures pursuant to section 174A of the IRC; except that, the taxpayer may reduce the amount required to be added back by the amount of the deduction the taxpayer would have been allowed to claim for the taxable year with respect to the same research and experimental expenditures pursuant to section 174 of the IRC prior to the recent federal changes. Sections 2 and 4 allow taxpayers who are required to make additions to their federal taxable income pursuant to the new provisions to subtract the amounts of their disallowed federal deductions over time, starting in income tax years commencing on or after January 1, 2028, using time periods that reflect how the property or expense would have been treated prior to the recent changes to the federal tax code. If the amount of the allowed subtraction exceeds the taxpayer's federal taxable income, the excess amount not subtracted may be carried forward for up to 10 years. Section 3 creates a new tax credit. The new tax credit allows taxpayers to claim a refundable tax credit, in addition to the child tax credit and the family affordability tax credit, in an amount determined by the amount and age of the taxpayer's children and the taxpayer's income. The total amount of the new tax credit is adjusted annually based on legislative council staff projections, such that the total amount of the new tax credit claimed in an income tax year is projected to be the same as the amount of revenue raised in sections 2 and 4.(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)
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Provides for the payment of expenses of the executive, legislative, and judicial departments of the state of Colorado, and of its agencies and institutions, for and during the fiscal year beginning July 1, 2026, except as otherwise noted.(Note: This summary applies to this bill as enacted.)
The act defines, and creates requirements for, portable-scale solar generation devices. In addition, the act prohibits a provider of retail electric service or wholesale energy from, among other things, requiring a customer to obtain the provider's approval before installing or using a portable-scale solar generation device. The act also prohibits a person from directly or indirectly unreasonably prohibiting the installation, use, or operation of a portable-scale solar generation device. A covenant or restriction that explicitly or indirectly unreasonably prohibits or restricts the installation, use, or operation of a portable-scale solar generation device is unenforceable and void as a matter of public policy, though a real property owner may require reasonable restrictions. The act clarifies that a portable-scale solar generation device is considered an energy efficiency measure on and after January 1, 2027, and a unit owners' association of a common interest community is therefore not permitted to prohibit the installation or use of a portable-scale solar generation device. However, a real property owner that resides in a common interest community and installs a portable-scale solar generation device may be required to reasonably secure the device to their unit and may be responsible for all liability and costs associated with the device's installation, maintenance, or removal. The act specifies that a provider of retail electric service or wholesale energy is not liable for any damage caused by a portable-scale solar generation device and requires that the installation of a portable-scale solar generation device be in accordance with fire code requirements and applicable building codes that pertain to health and safety. Under current law, a utility that is subject to regulation by the public utilities commission (commission) must allow for customer ownership and use of a meter collar adapter through the utility's interconnection standards. The act requires the commission, on or before December 31, 2026, to revise existing commission interconnection rules to explicitly require commission-regulated utilities to:Maintain a public list of at least one approved meter collar adapter;Have a process for approving a meter collar adapter that is not included in the public list;Approve proposed meter collar adapters that meet certain technical requirements;If the installation of an approved meter collar adapter requires relocation of the meter enclosure or replacement of the meter housing, provide an estimate of costs associated with this work upon request of the customer;Establish and publish a process for a customer to request and install a meter collar adapter; andFacilitate the installation of a meter collar adapter by a registered electrical contractor and require that all electrical work be performed by a qualified party such as a master electrician. In addition, the act states that the revised commission interconnection rules must allow commission-regulated utilities to require that installation work for a meter collar adapter be performed by the commission-regulated utility, a licensed electrical contractor, or a party approved by the commission-regulated utility if the installation of an approved meter collar adapter requires removal of the meter. The act requires cooperative electric associations and customer-generators to comply with the rules adopted by the commission regarding meter collar adapters and with other commission rules regarding production meters. Similarly, the act requires municipally owned utilities to:Maintain a public list of at least one approved meter collar adapter;Have a process for approving a meter collar adapter that is not included in the public list;Approve proposed meter collar adapters that meet certain technical requirements;If the installation of an approved meter collar adapter requires relocation of the meter enclosure or replacement of the meter housing, provide an estimate of costs associated with this work upon request of the customer; andInclude a process for a customer to request and install a meter collar adapter. (Note: This summary applies to this bill as enacted.)
The act makes changes and clarifications in the provisions related to the department of early childhood (department). The act:Eliminates the scheduled repeal of licensing exemptions for certain in-home child care arrangements in which the children are related to the caregiver, are siblings, or number fewer than five;Updates provisions related to early care and education provider reimbursement for services performed before final eligibility determinations in the Colorado child care assistance program;Lowers the age limit for children served by the early childhood mental health consultation program from 8 years old to 6 years old and adjusts that program's reporting requirements;Clarifies the sources of money appropriated to the universal preschool program;Requires the department to keep confidential identifying records and facts regarding children and their relatives;Clarifies that child care facilities approved, certified, or licensed by tribal governments are exempt from the department's licensing rules; andAdjusts the membership requirements and duties of the early childhood leadership commission and subcommittee membership requirements for the rules advisory council.(Note: This summary applies to this bill as enacted.)
Current law establishes a statewide integrated system of early childhood councils (councils) to improve and sustain the availability, accessibility, capacity, and quality of early childhood services. The act expands the powers, functions, and responsibilities of a council in implementing a comprehensive system of early childhood and family support programs and services (programs and services) within the council's community. Current law establishes local coordinating organizations (LCOs) to increase access to, coordinate, and allocate funding for programs and services through work with the families, program and service providers, and local governments in a community and with the department of early childhood (department). Effective July 1, 2026, the act repeals provisions authorizing the creation and operation of LCOs and transfers the LCO rights, powers, duties, functions, and obligations concerning supporting access to and delivery of programs and services to the councils (transfer). If the transfer requires the consolidation, reassignment, or material modification of the duties of a council or LCO, the department may authorize a one-time extension of the transition period for up to 3 years. Current law requires a council to develop a community strategic plan based upon an assessment of the early childhood needs in the council's designated service area (community strategic plan). The act requires a community strategic plan to address specified issues, including:Assisting families in applying for programs and services;Coordinating outreach efforts with other local entities and tribal agencies;Recruiting and coordinating providers to form a mixed delivery system that promotes family choice; andSupporting increased recruitment and retention of individuals in the early care and education workforce. The act requires a council, in partnership with the department, to create, review, and revise a scope of work that reflects the community strategic plan and accurately represents the programs and services within the community, meets families' needs, and aligns with available appropriations and the department's statewide strategic planning process. Associated accountability metrics must also be reviewed and revised to align with the scope of work. The act specifies a council's new obligations regarding improving access to high-quality programs and services, early childhood workforce development, data-sharing agreements, outreach for holistic family services, and auditing. The act establishes requirements for an agreement that sets forth the respective duties of a council and the department in implementing a community strategic plan (agreement). The act identifies the department's responsibilities for the coordinated distribution of public funding for programs and services; council training and technical assistance; dissemination of information about successful council strategies and innovations; and standards for communication, resolution of disputes, and contracting protocols. The act modifies the process for the department to approve or facilitate a waiver of the rules for the implementation of council projects. The act requires the department to implement an annual performance review process for each council and solicit community feedback about a council's performance at intervals ranging from 3 to 5 years. If the department determines that a council is not meeting the requirements of the scope of work and accountability metrics contained in the agreement, the department may require the council to implement a performance improvement plan. If a council fails to make substantial progress toward addressing the issues raised in the performance improvement plan, the department may terminate the council's agreement. The act makes substantive and technical conforming amendments to address the reallocation of responsibilities and functions from LCOs to councils, including administrative and funding provisions related to the Colorado child care assistance program and the Colorado universal preschool program.(Note: This summary applies to this bill as enacted.)
The act requires measures to improve equity in maternal health, including:Requiring the Colorado medical board to consider, as part of its stakeholder process for continuing medical education, a requirement that a physician complete continuing medical education on cultural competence and equity in maternal care;Requiring the state board of nursing rules relating to continuing education to include rules relating to health-care provider attention to cultural competence and equity in providing health-care services;Authorizing the department of public health and environment (CDPHE), subject to available appropriations, to provide a health survey to additional birthing parents, beyond those currently surveyed, and to compile the data if surveyed;Requiring a health facility that provides labor and childbirth services to make available to a birthing parent and a birthing parent's companion, electronically or in writing, a statement on respectful labor and childbirth regarding rights and components, including freedom from harm, privacy and confidentiality, informed consent, and allowing a birthing parent to have a birthing companion present at the birth, and to make available information, including telephone contact information, for the appropriate state or federal agency to receive a complaint alleging discrimination in labor and childbirth services;Subject to available federal grant funding for the maternal health task force (task force) established by CDPHE, ensuring that the maternal health task force includes at least one advocate representing populations with the worst maternal mortality outcomes in the state; andBeginning October 1, 2026, with respect to CDPHE's Colorado maternal mortality review committee, changing the reporting to the general assembly every 3 years concerning maternal health outcomes and equity from July to October and requiring the reporting of certain maternal health outcomes for populations known to have the worst maternal mortality outcomes in the state.(Note: This summary applies to this bill as enacted.)
The bill makes appropriations for matters related to the legislative department for the 2026-27 state fiscal year.(Note: This summary applies to this bill as enacted.)
Under current law, courts may not assess or collect administrative fees, costs, and surcharges in juvenile delinquency cases involving a juvenile under the jurisdiction of the juvenile court when a juvenile has been charged with or adjudicated of certain crimes. The act adds that courts or the state is prohibited from assessing or collecting administrative fees, costs, and surcharges assessed against a juvenile or the juvenile's parents, guardian, or legal custodian when the juvenile was under 18 years old when the crime was committed.(Note: This summary applies to this bill as enacted.)
Current law defines illicit massage businesses as businesses that engage in massage but also engage in human-trafficking-related offenses. The act expands the definition of 'illicit massage business' to include a massage business that engages in crimes other than human-trafficking-related offenses. Current law states that if a local government adopts a resolution or ordinance to establish business licensure requirements or to prohibit unlawful activities relating to illicit massage businesses, the resolution or ordinance must not be more restrictive than the requirements set forth in state law. The act removes this limitation. The act clarifies that a local government may adopt a resolution or ordinance for the purposes of deterring illicit massage businesses; preventing human trafficking; protecting legitimate massage therapy businesses; and safeguarding public health, safety, and welfare. The act also allows a local government to impose local licensing requirements in addition to those requirements prescribed in state law. Current law allows a local government to impose an administrative fee not to exceed $150 for issuing or renewing a license. The act removes the $150 cap on such fees. If a local government imposes an administrative fee, the amount of the fee must be reasonably related to the costs of the local government in administering the resolution or ordinance and the licensing of massage facilities. The fee must not exceed $500 unless necessary to cover the local government's costs of administering the resolution or ordinance and licensing the massage facilities in its jurisdiction. The fee may be adjusted yearly for inflation or deflation. Current law exempts businesses that held licenses before August 10, 2022, from the administrative fees. The act removes this exemption. The act allows a local government to establish additional grounds to deny, revoke, or suspend a license. The act provides that, if a local government establishes business licensure requirements for massage facilities, the resolution or ordinance adopted by the local government must prohibit ownership of massage facilities by the types of persons that are prohibited from ownership in current law. Current law states that preventing the operation of illicit massage businesses is a matter of statewide concern, and licensing and regulation of massage facilities is a matter of mixed statewide and local concern. The act states that preventing the operation of illicit massage businesses is a matter of mixed statewide and local concern. The act requires a local government that adopts a resolution or ordinance related to the local regulation of massage facilities on or after August 13, 2026, to consider the impacts of the resolution or ordinance on legitimate massage therapy businesses and conduct outreach to massage therapists and massage therapy businesses in the local government's jurisdiction and statewide organizations of massage therapists.(Note: This summary applies to this bill as enacted.)
The act establishes information disclosure requirements for a licensed facility that offers on-site and residential services for individuals with dementia and dementia-related conditions, including Alzheimer's disease ('dementia care facility' or 'facility'). The act requires the department of public health and environment (department), in consultation with the state long-term care ombudsman or the ombudsman's designee, to create a dementia care services information form (form) by July 1, 2027. The form must include certain specified fields for the disclosure of information regarding a dementia care facility's dementia care services, including the facility's:Dementia training requirements for staff that are in addition to statutory training requirements;Guidelines for using restraints;Security features and procedures for addressing the needs of residents with dementia; andCriteria and processes to determine placement, transfer, or discharge of residents living with dementia. The department may review and update the form to ensure that it facilitates the disclosure of the required information. After creating or updating the form, the department must provide the form to every dementia care facility in the state. A dementia care facility must complete the form with responsive, accurate, and complete information regarding the facility's dementia care services. Beginning October 1, 2027, every dementia care facility shall:Provide its completed form to every individual who contacts the facility seeking dementia care services;Review and update the form when the facility's information changes to ensure the information on the form is current, complete, and correct;Publish the facility's current completed form on the facility's website; andMaintain on the facility's premises and have available for inspection a copy of the facility's current completed form, and produce the form upon request by the department during a survey or inspection of the facility. The act requires the department to issue a citation to a facility that fails to maintain on its premises and have available for inspection its completed form or that fails to produce the form upon request by the department during a survey or inspection. The department may adopt rules, as necessary, to implement the act's requirements concerning the form; except that the rules adopted by the department must not exceed applicable national standards. The department may use money from the assisted living residence improvement cash fund for the purposes of creating the form and adopting related rules.(Note: This summary applies to this bill as enacted.)