Signed! Bipartisan FY25-26 Budget to Protect Investments in K-12 Education, Medicaid
DENVER, CO – The Governor today signed the Fiscal Year 2025-2026 state budget. This bipartisan budget protects critical investments in K-12 education and Medicaid, caps tuition for higher education, and makes responsible reductions across programs and agencies to achieve a balanced budget. The state’s $43.9 billion budget contains $16.7 billion in general fund expenditures.
“This is a budget that no one is happy with but that everyone can be proud of,” said Joint Budget Committee Chair Jeff Bridges, D-Arapahoe County. “Thanks to the rationing equation in TABOR, the Joint Budget Committee faced difficult decisions that resulted in painful tradeoffs. But unlike Washington, we made these cuts thoughtfully, strategically, and with bipartisan support. We eliminated dozens of programs and invested those savings in public education, and public safety, and public lands. It’s not a perfect budget, but it’s responsible and responsive to our TABOR constraints while keeping our commitment to the people of Colorado.”
“This budget navigates significant reductions in resources while still meeting our core responsibilities,” said Joint Budget Committee Chair Vice Chair Rep. Shannon Bird, D-Westminster. “From protecting access to healthcare for our most vulnerable to fully funding our public schools and capping college tuition increases, this bipartisan budget invests in the services that Coloradans rely on. Despite having to make painful decisions, I'm pleased with our efforts to preserve the services that keep Coloradans safe and healthy and expand opportunity for all."
“After months of precise and careful decision-making to minimize the impact of $1.2 billion in cuts to the state budget, we crafted a responsible budget that invests in the well-being of every Coloradan by protecting funding for Medicaid, K-12 education, and food stamps,” said Joint Budget Committee member Judy Amabile, D-Boulder. “Despite a challenging budget situation exacerbated by federal uncertainty, we remain committed to creating every possible opportunity for Colorado communities and families to thrive.”
“I’m proud of the thoughtful decisions we made to soften the impact of our $1.2 billion gap while prioritizing the essential services that families and older Coloradans need,” said Joint Budget Committee member Rep. Emily Sirota, D-Denver. “Our state’s fiscal restraints and TABOR-required cuts forced us to make tough reductions to important services in order to protect funding for K-12 and higher education, Medicaid and Healthy School Meals for All."
Protecting Investments in K-12 and Higher Education
Protecting K-12 Funding: In just the last few years, Colorado Democrats have increased total funding for our schools by nearly $3 billion. Since the 2018-19 school year, per pupil funding has increased from $8,123 to $11,852 next year. Despite a declining enrollment environment, this year’s budget builds on steady progress to increase the resources going to our classrooms by directing an additional $150 million more from the General Fund into schools as compared to the FY24-25 budget.
Capping Tuition Rates for Higher Education: In recent years, Colorado Democrats have fought to increase college access by limiting tuition increases and boosting funding for financial aid. This year’s budget includes a 3.5 percent cap on tuition increases for in-state students.
Continuing Medicaid Services for Vulnerable Coloradans
Protecting Medicaid Services that Coloradans Rely On: This year, Colorado Democrats rejected proposed reductions to provider rates and instead secured a moderate 1.6 percent increase and protected Medicaid eligibility, avoiding dire impacts to Coloradans who rely on Medicaid services. However, this progress remains under threat by federal government actions to potentially cut Medicaid.
Continuing Dental Services Provided Through Medicaid: This year’s budget protects funding for Coloradans on Medicaid to receive dental care.
Supporting Colorado Kids and Families
Bolstering Child Care Assistance: The budget invests $15 million in FY24-25 and $10 million in FY25-26 to increase support for the child care assistance program, a vital resource for low-income families to ensure access to quality child care providers which have seen long waitlists and frozen enrollment in many counties due to funding restrictions.
Early Intervention Support for Colorado Children: The budget increases support for early intervention services that help bridge developmental gaps for infants and toddlers who were born premature or with other special needs. This year, Colorado Democrats acted swiftly to plug an unexpected gap in funding in FY24-25 by providing $4 million to halt proposed service reductions, and are investing an additional $16.5 million to sustain the program in FY25-26.
Healthy School Meals for All: This budget fully funds the Healthy School Meals for All program through the end of the year, preserving what voters previously approved at the ballot. If HB25-1274 passes, a referred ballot measure in November will ask voters to weigh in on whether to raise the needed revenue to continue the program or scale it back.
Anti-Poverty Programs Administered by Local Governments: This year’s budget protects programs like TANF and SNAP administered by local governments to serve the most vulnerable communities.
Preserving Colorado’s Public Lands and Natural Resources
Investing in State Parks: This budget preserves and improves Colorado’s state parks, including $52 million in investments to protect critical habitats, maintain park facilities, and reinforce parks' infrastructure.
Promoting Water Conservation: This year’s budget protects funding for water conservation and resource management projects to ensure access to clean water for generations of Coloradans to come.
Safeguarding Colorado's Civil Liberties
Maintaining Election Security: The Trump administration abruptly halted federal support for election security, including from the Cybersecurity and Infrastructure Security Agency. This budget keeps Colorado’s elections safe and secure by providing $410,000 for robust security assessments and critical technology for all local election systems.
Defending Against Unlawful Federal Actions: Amidst ongoing uncertainty from the Trump administration, the budget allocates an additional $604,000 for increased support in the Attorney General’s Office to fight reckless, unlawful federal actions and protect federal funding that Coloradans rely on. This year’s budget also creates The Colorado Defense Fund and sets aside $4 million via SB25-269 and HB25-1321 to protect Colorado from the Trump administration's attempts to freeze federal grants or undermine Colorado’s sovereignty.