Sen. Larry Crowder

When a water right owner wishes to change a water right–whether a temporary loan or change approved by the state engineer or a permanent change approved by a water judge–the determination of the amount of water that can be loaned or changed relies on a calculation of the historical consumptive use of the water right. The bill directs the state engineer to promulgate rules that take into account local conditions that an applicant can use to calculate historical consumptive use. The results of the calculation carry no presumptive weight before the state engineer, water referee, or water judge. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

The Colorado court of appeals has held that current law does not authorize counties to levy and collect a sales tax on retail marijuana and retail marijuana products in addition to any sales tax imposed by the state and the standard sales tax imposed by the county (special sales tax). Current law is also silent regarding the authority of a statutory municipality (municipality) to collect a special sales tax on retail marijuana and retail marijuana products. The bill authorizes counties and municipalities to levy, collect, and enforce a special sales tax on retail marijuana and retail marijuana products; except that a county may levy, collect, and enforce a special sales tax on retail marijuana and retail marijuana products only under the following circumstances: The county levies, collects, and enforces a special sales tax upon all sales of retail marijuana and retail marijuana products in the unincorporated areas of the county; The county levies, collects, and enforces a special sales tax upon all sales of retail marijuana and retail marijuana products in the municipalities within the county that do not levy a special sales tax on the sale of retail marijuana and retail marijuana products. The county special sales tax is authorized only until the municipality obtains voter approval for a special municipal tax on the sale of retail marijuana and retail marijuana products. After such time, any county special sales tax is invalid within the corporate boundaries of the municipality unless the county enters into an intergovernmental agreement with the municipality to allow the county to continue to levy, collect, and enforce the county's special sales tax. The governing body of any county and the governing body of any municipality within the boundaries of the county that levies a municipal special sales tax on the sale of retail marijuana and retail marijuana products enter into an intergovernmental agreement pertaining to the county's levy, collection, and enforcement of a special sales tax upon all sales of all retail marijuana and retail marijuana products. The intergovernmental agreement may include a provision for the apportionment of a specified percentage of the gross retail marijuana special sales tax revenue collected by the county to the municipality. The bill specifies that a county or a municipality may not levy a special sales tax under any circumstance until the proposed tax has been referred to and approved by the eligible electors of the county or municipality, as applicable. A county or municipality must refer the proposed tax to the eligible electors only on the date of the state general election, on the first Tuesday in November of an odd-numbered year, or, in the case of a municipality, on the date of a municipal biennial election. The bill specifies that if a county or municipality obtained voter approval prior to the effective date of the bill to levy, collect, and enforce a special sales tax upon the sale of retail marijuana and retail marijuana products, the tax is valid; except that, for a county, the tax is valid only so long as the county complies with the conditions specified in the bill. If the county levies, collects, and enforces such tax in a municipality that has already obtained voter approval to levy a special sales tax on the sale of retail marijuana and retail marijuana products, the county's special sales tax is invalid unless the county enters into an intergovernmental agreement with the municipality. Any special sales tax on retail marijuana and retail marijuana products shall not be collected, administered, or enforced by the department of revenue. Instead, such tax shall be collected, administered, and enforced by the county or municipality imposing the tax. A county or municipality in which the eligible electors have approved a special sales tax on the sale of retail marijuana and retail marijuana products may credit the revenues collected from the tax to the general fund of the county or municipality or to any special fund created in the county or municipality's treasury. The governing body of a county or municipality may use the revenues collected from the tax for any purpose as determined by the governing body of the county or municipality. (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.)

Health benefits are offered to state employees through the 'State Employees Group Benefits Act' (act), which is administered by the state personnel director. The bill authorizes the state personnel director, or a designee, to enter into an agreement with any local government to provide health benefits to employees of the local government through the group benefit plans offered to state employees pursuant to the act. The bill specifies that a local government is not required to offer health benefits to its employees through the group benefit plans offered to state employees pursuant to the act. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

The bill requires health insurance carriers that contract with the state to provide group benefit plans to state employees to: Participate in the individual market through the health insurance exchange; Provide plans to 2 counties in a geographic rating area with the highest premiums; and Participate in medicaid, the children's basic health plan, and specific grant programs.(Note: This summary applies to this bill as introduced.)

There is an exemption from property tax for business personal property that would otherwise be listed on a single personal property schedule that is equal to $7,300 for the current property tax year cycle. The bill increases the exemption to $10,000 for the next 2 property tax years and adjusts it for inflation for subsequent property tax cycles. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

When a water right owner wishes to change a water right, the amount of water that can be changed is limited to the historical consumptive use of the water right. Current law provides that the reduced water usage that results from participation in a government-sponsored water conservation program will not be considered in analyzing the historical consumptive use of the water right, but only in water divisions 4, 5, or 6. The bill applies this rule statewide, includes water conservation pilot programs, and limits state agencies that can approve a water conservation program to only those that have explicit statutory jurisdiction over water conservation or water rights. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

The starting point for determining state income tax liability is federal taxable income. This number is adjusted for additions and subtractions (deductions) that are used to determine Colorado taxable income, which amount is multiplied by the state's 4.63% income tax rate. Currently, a person who is 55-64 years old may deduct up to $20,000 of retirement benefits from federal taxable income, and a person who is 65 years old or older may deduct up to $24,000. These limits apply to retirement benefits from all sources, including those related to service in the military. The bill creates an additional deduction under which a person of any age may deduct a percentage of military retirement benefits from his or her state income tax. In 2018, the percentage is equal to 10%, and it increases by 10% each year thereafter until all military retirement benefits are exempt. All other retirement benefits and military retirement benefits in excess of the limit for the new deduction continue to be deductible under the existing deduction, subject to the existing limits on ages and amounts. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)