A working group was convened over the 2019 interim pursuant to House Bill 19-1264 to develop proposed statutes to address certain issues affecting the creation, valuation, tax treatment, and stewardship of conservation easements in the state. The bill implements the recommendations of the working group as follows: Section 1 of the bill modifies the method of calculating the amount of the state income tax credit that may be claimed for the donation of a conservation easement. The section also clarifies the manner in which certain business entities claim the credit. Section 2 requires the state to provide compensation for certain taxpayers who were denied state income tax credits for conservation easements donated between 2000 and 2013 if the federal internal revenue service allowed a federal income tax deduction for the same donation. The amount of the compensation is based upon the amount of the credit that could have been claimed at the time of the original donation based upon the value of the donation accepted by the internal revenue service. The amount of compensation is reduced by any amount that was allowed to be claimed against Colorado income tax or otherwise reinstated to the claimant of the compensation. Where a tax credit was transferred to another taxpayer as transferee, the bill provides a process for all parties to the transaction to submit a mutual application for compensation or, if there is objection, a process to resolve disputes about the distribution of compensation. The total amount of compensation to be paid to all claimants is limited to the amount of unused conservation easement tax credits that could have been claimed between 2013 and 2019 under an existing statutory cap amount, but were not claimed. If the unclaimed amounts are not sufficient to satisfy all claims, then any unsatisfied claims would be paid in future years. The cap for each future year would be reduced by the amount of claims paid; except that the total amount of claims paid in a year could not exceed 50% of the amount of the cap for that year. Section 3 requires the director of the division of conservation to designated an ombudsman to assist in resolving certain disputes related to conservation easements. Section 3 also addresses the abandonment of conservation easements, which occurs when the holder of an easement no longer fulfills its stewardship obligations with respect to the easement. The division of conservation is required to investigate potential abandoned easements, make findings regarding each easement, and report its findings to the conservation easement oversight commission (commission). The commission then conducts a public hearing on the easement and, if it determines that an easement is abandoned, appoints a receiver to monitor the easement. Receivership for an abandoned easement is limited to 5 years, during which time the commission reviews the easement and attempts to identify options to reform the easement, have it assigned to another holder, or extinguish the easement. A stewardship account is established to provide for the cost of carrying out the stewardship obligations resulting from abandoned easements. A specified amount of money is appropriated to the stewardship account for the 2020-21 fiscal year, with a corresponding reduction in the amount of conservation easement tax credits that can be claimed for one year.(Note: This summary applies to this bill as introduced.)
Sponsored bills
The bill establishes the mobile veteran support unit grant program (grant program) to provide one-time grants to nonprofit organizations to establish mobile veteran support units. A mobile veteran support unit acts as an initial point of contact for veterans to obtain health and well-being services, including mental health services, dental health services, telehealth services, military benefit assistance, and housing assistance. The department of public health and environment (department) administers the grant program. The department must consult with the Colorado board of veterans affairs when adopting grant program rules. (Note: This summary applies to this bill as introduced.)
Current law grants the department of personnel the authority to manage existing display space in the Colorado convention center that is available for the promotion of the state. The bill instead grants the management responsibility to the office of economic development. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)
Section 1 of the bill enacts the "Colorado Prescription Drug Price TransparencyAct of 2020", which requires: Health insurers, starting in 2021, to submit to the commissioner of insurance (commissioner) information regarding prescription drugs covered under their health insurance plans that the health insurers paid for in the preceding calendar year, including information about rebates received from prescription drug manufacturers, a certification regarding how rebates were accounted for in insurance premiums, and a list of all pharmacy benefit management firms (PBMs) with whom they contract; Prescription drug manufacturers to notify the commissioner, state purchasers, health insurers, PBMs, pharmacies, and hospitals when the manufacturer, on or after January 1, 2021, increases the price of certain prescription drugs by more than specified amounts or introduces a new specialty drug in the commercial market; Prescription drug manufacturers, within 15 days after the end of each calendar quarter that starts on or after January 1, 2021, to provide specified information to the commissioner regarding the drugs about which the manufacturer notified purchasers; Health insurers or, if applicable, PBMs to annually report specified information to the commissioner regarding rebates and administrative fees received from manufacturers for prescription drugs they paid for in the prior calendar year and the average wholesale price paid for prescription drugs by individuals, small employers, and large employers enrolled in health plans issued by the health insurer or that contain prescription drug benefits managed or administered by the PBM; and Certain nonprofit organizations to compile and submit to the commissioner an annual report indicating the amount of each payment, donation, subsidy, or thing of value received by the nonprofit organization or its officers, employees, or board members from a prescription drug manufacturer, PBM, health insurer, or trade association and the percentage of the nonprofit organization's total gross income that is attributable to those payments, donations, subsidies, or things of value. The commissioner is required to post the information received from health insurers, prescription drug manufacturers, PBMs, and nonprofit organizations on the division of insurance's website, excluding any information that the commissioner determines is proprietary. Additionally, the commissioner, or a disinterested third-party contractor, is to analyze the data reported by health insurers, prescription drug manufacturers, PBMs, and nonprofit organizations and other relevant information to determine the effect of prescription drug costs on health insurance premiums. The commissioner is to publish a report each year, submit the report to the governor and specified legislative committees, and present the report during annual "State Measurement for Accountable, Responsive, and Transparent (SMART) Government Act" hearings. The commissioner is authorized to adopt rules as necessary to implement the requirements of the bill. Health insurers that fail to report the required data are subject to a fine of up to $10,000 per day per report. Nonprofit organizations are subject to a fine of up to $10,000 for failure to comply with reporting requirements. Section 2 specifies that failing to ensure that a PBM that a health insurer uses to manage or administer its prescription drug benefits is complying with reporting requirements constitutes an unfair method of competition and an unfair or deceptive act or practice in the business of insurance. Section 3 specifies that a PBM is an entity that manages or administers prescription drug benefits for a health insurer, either pursuant to a contract or as an entity associated with the health insurer. Under sections 4 and 5 , a prescription drug manufacturer that fails to notify purchasers or fails to report required data to the commissioner is subject to discipline by the state board of pharmacy, including a penalty of up to $10,000 per day for each day the manufacturer fails to comply with the notice or reporting requirements. The commissioner is to report manufacturer violations to the state board of pharmacy. Section 6 requires a health insurer to reduce premiums for the health plans it issues or renews on or after January 1, 2022, to adjust for the rebates the health insurer received from prescription drug manufacturers in the previous plan year.(Note: This summary applies to this bill as introduced.)
The bill requires the owner or operator of a carpooling service internet application (internet application) to register annually with the department of transportation and disclose to users of the internet application that operational requirements for other transportation services are not being met by the carpooling services provided by drivers matched to users through the internet application. The bill also limits the amount that can be charged to a user through the internet application, the number of passengers that can receive carpooling service at any one time from a driver through the internet application, and the number of round trips that a driver providing carpooling service through the internet application may make in a single day.(Note: This summary applies to this bill as introduced.)
The bill authorizes the management and, if necessary, the reintroduction of the gray wolf in Colorado pursuant to a plan adopted by the parks and wildlife commission (commission). The reintroduction is to begin by December 31, 2025, but the reintroduction is: Postponed until a new source of revenue becomes available to pay for damages caused by gray wolves; and Canceled if the gray wolf already has a self-sustaining population in Colorado. The commission is directed to adopt and periodically update a plan to reintroduce, recover, and manage gray wolves. The plan must: Use the best scientific data available; Be developed after conducting a public process to solicit and consider public comments; and Not impose any land-, water-, or resource-use restrictions on private landowners. Commercial livestock owners will be entitled to the payment of damages caused by gray wolves. The commission shall authorize and finance programs to educate livestock owners regarding the avoidance and mitigation of damages potentially caused by gray wolves. In consultation with the department of agriculture, the commission and division of parks and wildlife shall convene a study group to consider: How to verify and estimate damages caused by gray wolves, specifically considering the maintenance of baseline production records for a period before gray wolf reintroduction and the use of brand inspectors to verify and estimate the damages; and How to finance the payment of damages caused by gray wolves, including specifically one or more new sources of revenue to pay the damages. The commission shall submit a report to the general assembly concerning the results of the study group process by January 1, 2022. (Note: This summary applies to this bill as introduced.)
If there is money in the severance tax operational fund (operational fund) after funding core departmental programs and a reserve requirement, then the state treasurer makes transfers to the natural resources and energy grant programs (grant programs). The agriculture value-added cash fund (cash fund), which was used to promote agricultural energy-related projects, was one of these grant programs in prior fiscal years. The bill recreates the agriculture value-added cash fund as a grant program by requiring the state treasurer to transfer $500,000, or so much as may be available, for the next 9 state fiscal years, from the operational fund to the cash fund to be used to promote agricultural energy-related projects. The transferred money in the cash fund is continuously appropriated to the department of agriculture for allocation to the Colorado agricultural value-added development board for this purpose only. (Note: This summary applies to this bill as introduced.)
The bill amends the definition of "hard cider" to increase: The upper limit of alcohol by volume from 7% to 8.5%; and The maximum amount of carbon dioxide per hundred milliliters from 0.392 gram to 0.64 gram.(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)