Senate Approves Legislation to Close a Special Interest Corporate Tax Loophole

Congressional Republicans’ budget created a $1 billion deficit by allowing corporations to dodge nearly $1 billion in taxes owed to Colorado

DENVER, CO – The Senate today passed legislation to close a special interest corporate tax loophole for insurance companies after Republicans in Congress created a $1 billion hole in Colorado’s budget with massive corporate tax cuts.

HB25B-1003, sponsored by Senators Mike Weissman, D-Aurora, and Julie Gonzales, D-Denver, would repeal a special tax break for insurance companies. Under the current law established in the 1950s, insurance companies with a headquarters or regional home office (RHO) in Colorado can pay a lower tax rate if at least 2.5 percent of their domestic workforce resides in Colorado. HB25B-1003 repeals this reduction. 

“In H.R. 1, Congressional Republicans doubled down on broken tax laws, rewarding the wealthy and connected instead of supporting families and small businesses,” said Weissman. “But here in Colorado we try to base our choices in the facts. And non-partisan research has shown this outdated corporate tax break doesn't bring jobs to Colorado and has actually rewarded firings, which is why we are putting an end to it.”

“Insurance companies and billionaires don’t need any more tax handouts – they’ve gotten plenty from the Trump administration and Republicans in Congress,” said Gonzales. “This bill is a step toward making Colorado’s tax code work for our communities and not corporations. It ends a tax giveaway to major insurance companies that tax experts agree isn’t effective, and instead helps protect funding for schools and essential services.” 

A 2025 report from the Office of the State Auditor found that the tax credit is not achieving its goal of incentivizing job creation in Colorado’s insurance sector, yet it has impacted state revenue by $68 million to $105 million per year. Since the implementation of the workforce percentage requirement, the number of insurers and groups that qualify for the RHO rate reduction has not only decreased, but 15 of the 18 qualifying insurance groups reported a decrease in Colorado jobs while receiving a $17.5 million increase in credits.

HB25B-1003 now heads to the Governor’s desk for his signature.

Bill to Limit Premium Increases, Restore Access to Health Care Passes Committee

Congress’s inaction threatens health care coverage for 112,000 Coloradans, increases premiums by over 28 percent statewide

DENVER, CO – Today the Senate Appropriations Committee passed a bill sponsored by Senators Kyle Mullica, D-Thornton, and Iman Jodeh, D-Aurora, to help blunt health insurance rate increases and significantly reduce the number of Coloradans who could lose their health insurance coverage due to Congress’s refusal to extend premium tax credits.

“Coloradans cannot afford these insurance premium hikes, so we are doing what needs to be done to keep costs down and protect coverage,” said Mullica. “Skyrocketing premiums mean that hundreds of thousands of Coloradans will be forced to spend more of their paycheck on essential health care, and many will lose their coverage altogether. We can’t wait. We must act now to shield families from these unaffordable premium increases and keep Coloradans insured.”

“Coloradans in every corner of the state have struggled to make ends meet to pay for costly health care coverage,” said Jodeh. “Due to Congressional Republicans’ failure to extend premium tax credits that help keep insurance premiums affordable, tens of thousands of lives are at stake. We simply cannot gamble with life-saving health care coverage. That’s why we’re taking action and doing everything we can this year to protect Coloradans’ care.”

If the federal enhanced premium tax credit is not extended by December 31, 2025, HB25B-1006 would make changes to the Health Insurance Affordability Act by:

• Boosting funds in the health insurance affordability cash fund to blunt serious increases in insurance premiums and protect coverage. Funding sources would include up to $113 million from a combination of tax credit pre-sales and the Refinance Discretionary Account. The State Treasurer would manage the tax credit pre-sales; should they not raise $100 million in revenue, the General Fund Reserve would serve as a backstop. 

• Giving the Department of Insurance and the Health Insurance Affordability Enterprise (HIAE) Board the flexibility to utilize their reserves to support the Enterprise’s programs.

• Allowing the HIAE and the Commissioner of Insurance to make changes to the OmniSalud program to maximize the number of Coloradans who can receive insurance coverage, which lowers health insurance premiums for everyone, and 

• Increasing transparency by requiring the HIAE Board to annually report on certain financial metrics.

HB25B-1006 would help the reinsurance program buy down premiums and cover the most expensive health care for patients. With Congressional Republicans choosing not to extend the enhanced premium tax credits for people who purchase health insurance through the Affordable Care Act marketplace, average statewide premiums are projected to increase by 28 percent. In the Eastern Plains, premiums are expected to rise more than 33 percent. The Western Slope will see premium increases of about 38 percent. This investment in reinsurance should keep premium increases to a statewide average of 20 percent.

OmniSalud reduces health care costs for all Coloradans by connecting Coloradans who are no longer eligible for Medicaid to affordable health insurance. Without this program, there would be an increase in uncompensated care that would increase insurance costs for all Coloradans and force health care providers to close. There are currently over 12,000 Coloradans insured for plan year 2025, and if no action is taken to combat the impacts from the Republican budget bill, nearly 10,000 people will lose their coverage in plan year 2026. When fewer people have health insurance, costs increase for everyone else, and providers struggle to stay afloat.

HB25B-1006 now moves to the Senate floor for further consideration. Track its progress HERE.

Legislation to Crack Down on Foreign Tax Havens Passes Senate

DENVER, CO – The Senate today approved legislation to crack down on foreign tax havens to help fill the $1 billion budget shortfall created by Congressional Republicans’ budget.

HB25B-1002, sponsored by Senator Matt Ball, D-Denver, would address foreign tax havens, offshore bank accounts, and other tax loopholes for US companies that dodge Colorado taxes with foreign assets.

“In both terms, Donald Trump has given large corporations more leeway to dodge taxes by shifting profits overseas,” Ball said. “Colorado shouldn’t reward that behavior, and this bill makes sure those companies pay their fair share towards Colorado's schools, health care, and roads.”

Unless they can prove legitimate operations in the foreign country, Colorado requires companies incorporated in common tax havens, like Cayman Islands and Panama, to pay Colorado taxes to prevent international tax avoidance. For tax years beginning on or after January 1, 2026, the bill would expand the list of countries to include Hong Kong, the Republic of Ireland, Liechtenstein, the Netherlands, and Singapore.

In 2017, President Trump created a special tax break, now known as the Foreign-Derived Deduction Eligible Income (FDDEI) deduction, for multi-national businesses that kept their intangible assets in the US. HB25B-1002 would decouple the state from the FDDEI to prevent companies from benefiting from larger Colorado tax breaks for investments and assets that are based outside of the state.

HB25B-1002 now moves to the Governor’s desk for his signature.

Senate Advances Bill to Auction Future Tax Credits at Discount

DENVER, CO –The Senate Appropriations Committee today passed legislation to allow corporations to pre-pay taxes at a small discount, after a $1 billion hole was created in Colorado’s budget by recent federal tax changes.

HB25B-1004, sponsored by Senators Janice Marchman, D-Loveland, and Marc Snyder, D-Manitou Springs, allows businesses to pre-pay taxes at a discount for future years when Colorado is anticipated to collect more revenue than the state’s spending limit under TABOR. 

“HB25B-1004 gives Colorado businesses a chance to save on future taxes while helping the state manage this year’s billion-dollar budget shortfall,” said Marchman. “It’s a practical approach that supports local economies, protects essential services, and makes sure businesses and communities both come out ahead.”

“This bill lets Colorado businesses work with the state to save money now and protect the things we all rely on like K-12 public schools, roads, and health care,” said Snyder. “By prepaying future taxes at a discount, businesses can reduce long-term costs while helping the state weather the budgeting storm caused by Republicans in Congress. This bill represents who we are as Colorado, where all of us chip in to keep our communities thriving.”

HB25B-1004 would allow a one-time auction of future tax credits, giving companies the opportunity to buy tax credits to pre-pay a portion of their future taxes at a small discount. This saves businesses money, allowing companies to pre-pay future taxes now, and bolsters our state revenue to offset the immediate impacts of recent federal tax changes. This does decrease revenue in future years, but after 2025-2026 the state budget is forecast to be limited by the TABOR cap, not the amount of revenue collected, so this won’t cut deeper into state services.

HB25B-1004 now moves to the Senate floor for further consideration.

Senate Advances Legislation to Close a Special Interest Corporate Tax Loophole

Congressional Republicans’ budget created a $1 billion deficit by allowing corporations to dodge nearly $1 billion in taxes owed to Colorado

DENVER, CO – The Senate Appropriations Committee today passed legislation to close a special interest corporate tax loophole for insurance companies after Republicans in Congress created a $1 billion hole in Colorado’s budget with massive corporate tax cuts.

HB25B-1003, sponsored by Senators Mike Weissman, D-Aurora, and Julie Gonzales, D-Denver, would repeal a special tax break for insurance companies. Under the current law established in the 1950s, insurance companies with a headquarters or regional home office (RHO) in Colorado can pay a lower tax rate if at least 2.5 percent of their domestic workforce resides in Colorado. HB25B-1003 would repeal this reduction. 

“In H.R. 1, Congressional Republicans doubled down on broken tax laws, rewarding the wealthy and connected instead of supporting families and small businesses,” said Weissman. “But here in Colorado we try to base our choices in the facts. And non-partisan research has shown this outdated corporate tax break doesn't bring jobs to Colorado and has actually rewarded firings, which is why we are putting an end to it.”

“Insurance companies and billionaires don’t need any more tax handouts – they’ve gotten plenty from the Trump administration and Republicans in Congress,” said Gonzales. “This bill is a step toward making Colorado’s tax code work for our communities and not corporations. It ends a tax giveaway to major insurance companies that tax experts agree isn’t effective, and instead helps protect funding for schools and essential services.” 

A 2025 report from the Office of the State Auditor found that the tax credit is not achieving its goal of incentivizing job creation in Colorado’s insurance sector, yet it has impacted state revenue by $68 million to $105 million per year. Since the implementation of the workforce percentage requirement, the number of insurers and groups that qualify for the RHO rate reduction has not only decreased, but 15 of the 18 qualifying insurance groups reported a decrease in Colorado jobs while receiving a $17.5 million increase in credits.

HB25B-1003 now moves to the Senate floor for further consideration.

Legislation to Crack Down on Foreign Tax Havens Passes Senate

Bills aim to help protect critical services and help to fill the $1 billion budget shortfall created by Congressional Republicans’ budget 

DENVER, CO – The Senate Appropriations Committee today approved two bills to crack down on corporate tax loopholes to help fill the $1 billion budget shortfall created by Congressional Republicans’ budget. 

HB25B-1002, sponsored by Senator Matt Ball, D-Denver, would crack down on foreign tax havens and offshore bank accounts, and HB25B-1001, sponsored by Senators Nick Hinrichsen, D-Pueblo, and Lisa Cutter, D-Jefferson County, would limit tax breaks for higher-earning business owners by permanently decoupling from a federal tax giveaway. 

“In both terms, Donald Trump has given large corporations more leeway to dodge taxes by shifting profits overseas,” Ball said. “Colorado shouldn’t reward that behavior, and this bill makes sure those companies pay their fair share towards Colorado's schools, health care, and roads.”

HB25B-1002 would crack down on foreign tax havens, offshore bank accounts and other tax loopholes for US companies that dodge Colorado taxes with foreign assets. Unless they can prove legitimate operations in the foreign country, Colorado requires companies incorporated in common tax havens, like Cayman Islands and Panama, to pay Colorado taxes to prevent international tax avoidance. For tax years beginning on or after January 1, 2026, the bill would expand the list of countries to include Hong Kong, The Republic of Ireland, Liechtenstein, the Netherlands, and Singapore.

In 2017, President Trump created a special tax break, now known as the Foreign-Derived Deduction Eligible Income (FDDEI) deduction, for multi-national businesses that kept their intangible assets in the US. HB25B-1002 would decouple the state from the FDDEI to prevent companies from benefiting from larger Colorado tax breaks for investments and assets that are based outside of the state.

Trump’s 2017 tax cuts also allowed pass-through businesses, like S corporations and real estate investment trusts, to avoid paying taxes on up to 20 percent of qualified business income. In 2020, the Colorado legislature passed the “Tax Fairness Act”, decoupling from this federal tax cut by creating an add-back for this deduction for high-income business owners with an income over $500,000 per year for single filers or $1 million per year for joint filers.

The legislature extended the decoupling and add-back through 2025. HB25B-1001 would make Colorado’s decoupling permanent, responding to the action by Republicans in Congress to make the tax giveaway permanent at the federal level in H.R. 1.

“These corporate tax breaks show loud and clear that Trump and Congressional Republicans care more about helping their wealthy friends hoard more wealth than providing essential government services to hardworking Americans,” Hinrichsen said. “Legislation like HB25B-1001 will help us stop these corporate giveaways and continue life-saving food assistance and health care programs for Coloradans.”

“In 2021, the Colorado legislature took major strides toward reversing Trump’s corporate tax breaks in order to protect essential services for Coloradans who depend on them,” Cutter said. “This year, Trump and Congressional Republicans made those tax breaks permanent, so we're fighting to continue prioritizing the basic services that benefit hardworking Coloradans the most. With this bill, we’re permanently decoupling from these unfair tax breaks to ensure corporations pay their fair share to hardworking Coloradans.”

HB25B-1002 and HB25B-1001 now head to the Senate floor for further consideration.

Bill to Increase Collaboration, Efficiency Between Executive & Legislative Branches During Revenue Shortfalls Passes Senate

SB25B-001 improves collaboration between the Governor and the General Assembly during times of economic uncertainty

DENVER, CO – Legislation sponsored by Senate President James Coleman, D-Denver, and Senator Judy Amabile, D-Boulder, to balance the authority between the Governor and the General Assembly during times of economic uncertainty passed the Senate today.

Under current law, the Governor has broad unilateral authority to suspend programs and services during a revenue shortfall via executive order. SB25B-001 would require the Governor to notify the Joint Budget Committee (JBC) of executive orders to reduce spending and require the JBC to promptly meet with the executive branch to discuss the plan.

“Strong collaboration between the executive and legislative branches helps to create a more efficient government,” said Coleman. “This bill will improve collaboration during times when it is arguably most important, times when the state faces revenue shortfalls that require spending reductions. This legislation is a step in the right direction to ensuring the General Assembly has a stronger voice in these critical decision-making processes.”

“In times of economic uncertainty, the executive and legislative branches must work together to do what’s best for the people of Colorado,” said Amabile. “The Joint Budget Committee works year round to ensure that we’re budgeting responsibly, and it is only right that we have a seat at the table when the Governor is making spending reductions. This legislation is critical to ensuring collaboration and updating spending reduction triggers to better reflect the current size of our reserves, which Democrats have worked hard to build up since the COVID pandemic.”

The bill balances the authority between the Governor and the General Assembly by ensuring the JBC is involved in decision-making processes early on and by adding guardrails to the executive branch’s existing authority to help ensure that they continue to meet and implement legislative directives.

The bill would also update the required spending reduction triggers to more accurately reflect economic pressures and the current status of the reserve, which Democrats have worked to build up to 15 percent since the COVID pandemic when it fell below 4 percent. In addition to the triggers in existing law, the bill would add that if a regular quarterly revenue estimate indicates that the state needs to use an amount of the reserve equal to 3 percent of the general fund appropriations for that fiscal year (e.g. around $510 million for FY26), the Governor must take action to reduce spending.

SB25B-001 now moves to the House for further consideration. Track its progress HERE.

Senate Approves Bill to Restore Access to Medicaid Services for Planned Parenthood Patients

SB25B-002 would restore access to health care for over 10,000 Medicaid recipients at Planned Parenthood

DENVER, CO – Legislation sponsored by Senators Jeff Bridges, D-Arapahoe County, and Lindsey Daugherty, D-Arvada, to authorize state funding for Planned Parenthood and other reproductive health care providers removed from the federal Medicaid program by H.R.1 passed the Senate today. 

“Republicans in Congress want you to believe their budget puts working-class Americans first, but the exact opposite is true – this budget is the largest cut to Medicaid in American history,” Bridges said. “Thousands of Coloradans on Medicaid who rely on Planned Parenthood had to scramble to find different providers or went without care altogether after H.R.1 passed. This legislation would restore access to that care and peace of mind to patients across our state.”

“Time and time again, and most recently last November, Colorado voters have overwhelmingly said they will support and defend their right to reproductive health care,” Daugherty said. “Amidst a hostile national landscape, this legislation is yet another step we must take to protect Coloradans’ right to safe, accessible and affordable reproductive health care.” 

SB25B-002 would authorize the Department of Health Care Policy and Financing to use state funds to pay claims to organizations like Planned Parenthood, who were barred from federal Medicaid funding by Congressional Republicans’ H.R.1, for certain services including cancer screenings, birth control consultations, and STI testing. In the event that federal action renders these entities eligible for reimbursements again, the bill would no longer be in effect.

H.R.1 immediately removed Planned Parenthood from the federal Medicaid program, forcing Planned Parenthood of the Rocky Mountains providers to cancel thousands of appointments. Weeks later, a Temporary Restraining Order reversed this federal prohibition, though the issue is still working its way through the courts. 

SB25B-002 now moves to the House for further consideration. Track its progress HERE.

Legislation to Protect Food Assistance for Colorado Kids & Families Passes Senate

SB25B-003 would modify Proposition MM to include funding for SNAP

DENVER, CO – Legislation to give voters the opportunity to fund food assistance for Colorado students and families passed the Senate today. 

SB25B-003, sponsored by Senate President Pro Tempore Dafna Michaelson Jenet, D-Commerce City, and Senator Katie Wallace, D-Longmont, would modify Proposition MM, which the Legislature referred to the November 2025 ballot, to give Colorado voters the opportunity to fund the Supplemental Nutrition Assistance Program (SNAP) in addition to the Healthy School Meals for All program. 

“No child in Colorado should go hungry because they can’t afford a nutritious meal – at school or at home,” said Michaelson Jenet. “By adjusting Proposition MM to include SNAP, Colorado voters will have the opportunity this November to help keep this life-saving program afloat, while fully funding Healthy School Meals for All Colorado students.” 

“SB25B-003 builds on the will of the voters to ensure that no child in our state goes hungry, while also supporting our local economies,” said Wallace. “The Healthy School Meals for All program improves educational outcomes, supports farmers and ranchers, and reduces strain on families' budgets. With the additions in this bill, we can also help 300,000 Colorado households afford groceries each month. Ultimately, this bill empowers Colorado voters to continue our state’s now proud tradition of ensuring none of Colorado’s children go hungry."

In June, Governor Polis signed HB25-1274 which referred two ballot measures, Propositions LL and MM, to Colorado voters to determine whether or not to continue funding the Healthy School Meals for All program, which offers free, nutritious school meals to all public school students.

In July, Congressional Republicans made unprecedented cuts to SNAP with the passage of H.R.1, slashing millions from the program that helps families put food on the table. Now, more than 300,000 low-income Colorado families – including children, older adults, and people with disabilities – are at risk of going hungry. By adjusting Proposition MM to include SNAP, voters would have the opportunity this November to fully fund the successful Healthy School Meals for All program and help fund SNAP. 

If Proposition MM passes, it could raise up to $95 million per year by limiting state income tax deductions for households earning over $300,000. These new revenues would first ensure that the Healthy School Meals program is fully funded, and then any remaining funds could support SNAP.

SB25B-003 now heads to the House for further consideration. Track its progress HERE.

Legislation to Protect Food Assistance for Colorado Kids & Families Clears Committee

SB25B-003 modifies Proposition MM to include funding for SNAP

DENVER, CO – Legislation to give voters the opportunity to fund food assistance for Colorado students and families passed the Senate Health and Human Services Committee today. 

SB25B-003, sponsored by Senate President Pro Tempore Dafna Michaelson Jenet, D-Commerce City, and Senator Katie Wallace, D-Longmont, would modify Proposition MM, which the Legislature referred to the November 2025 ballot, to give Colorado voters the opportunity to fund the Supplemental Nutrition Assistance Program (SNAP) in addition to the Healthy School Meals for All program. 

“No child in Colorado should go hungry because they can’t afford a nutritious meal – at school or at home,” said Michaelson Jenet. “By adjusting Proposition MM to include SNAP, Colorado voters will have the opportunity this November to help keep this life-saving program afloat, while fully funding Healthy School Meals for All Colorado students.” 

“SB25B-003 builds on the will of the voters to ensure that no child in our state goes hungry, while also supporting our local economies,” said Wallace. “The Healthy School Meals for All program improves educational outcomes, supports farmers and ranchers, and reduces strain on families' budgets. With the additions in this bill, we can also help 300,000 Colorado households afford groceries each month. Ultimately, this bill empowers Colorado voters to continue our state’s now proud tradition of ensuring none of Colorado’s children go hungry."

In June, Governor Polis signed HB25-1274 which referred two ballot measures, Propositions LL and MM, to Colorado voters to determine whether or not to continue funding the Healthy School Meals for All program, which offers free, nutritious school meals to all public school students.

In July, Congressional Republicans made unprecedented cuts to SNAP with the passage of H.R.1, slashing millions from the program that helps families put food on the table. Now, more than 300,000 low-income Colorado families – including children, older adults, and people with disabilities – are at risk of going hungry. By adjusting Proposition MM to include SNAP, voters would have the opportunity this November to fully fund the successful Healthy School Meals for All program and help fund SNAP. 

If Proposition MM passes, it could raise up to $95 million per year by limiting state income tax deductions for households earning over $300,000. These new revenues would first ensure that the Healthy School Meals program is fully funded, and then any remaining funds could support SNAP.

SB25B-003 now heads to the Senate floor for further consideration. Track its progress HERE.

Bill to Increase Collaboration, Efficiency Between Executive & Legislative Branches During Revenue Shortfalls Clears Committee

SB25B-001 improves collaboration between the Governor and the General Assembly during times of economic uncertainty

DENVER, CO – Legislation sponsored by Senate President James Coleman, D-Denver, and Senator Judy Amabile, D-Boulder to balance the authority between the Governor and the General Assembly during times of economic uncertainty passed the Senate State, Veterans, and Military Affairs Committee today.

Under current law, the Governor has broad unilateral authority to suspend programs and services during a revenue shortfall via executive order. SB25B-001 would require the Governor to notify the Joint Budget Committee (JBC) of executive orders to reduce spending and require the JBC to promptly meet with the executive branch to discuss the plan.

“Strong collaboration between the executive and legislative branches helps to create a more efficient government,” said Coleman. “This bill will improve collaboration during times when it is arguably most important, times when the state faces revenue shortfalls that require spending reductions. This legislation is a step in the right direction to ensuring the General Assembly has a stronger voice in these critical decision-making processes.”

“In times of economic uncertainty, the executive and legislative branches must work together to do what’s best for the people of Colorado,” said Amabile. “The Joint Budget Committee works year round to ensure that we’re budgeting responsibly, and it is only right that we have a seat at the table when the Governor is making spending reductions. This legislation is critical to ensuring collaboration as well as updating spending reduction triggers to better reflect the current size of our reserves, which Democrats have worked hard to build up since the COVID pandemic.”

The bill balances the authority between the Governor and the General Assembly by ensuring the JBC is involved in decision-making processes early on and by adding guardrails to the executive branch’s existing authority to help ensure that they continue to meet and implement legislative directives.

The bill would also update the required spending reduction triggers to more accurately reflect economic pressures and the current status of the reserve, which Democrats have worked to build up to 15 percent since the COVID pandemic when it fell below 4 percent. In addition to the triggers in existing law, the bill would add that if a regular quarterly revenue estimate indicates that the state needs to use an amount of the reserve equal to 2 percent of the general fund appropriations for that fiscal year (e.g. around $330 million for FY26), the Governor must take action to reduce spending.

SB25B-001 now moves to the Senate floor for further consideration. Track its progress HERE.

Bill to Restore Access to Medicaid Services for Planned Parenthood Patients Passes Senate Committee

SB25B-002 would restore access to health care for over 10,000 Medicaid recipients at Planned Parenthood

DENVER, CO – Legislation sponsored by Senators Jeff Bridges, D-Arapahoe County, and Lindsey Daugherty, D-Arvada, to authorize state funding for Planned Parenthood and other reproductive health care providers removed from the federal Medicaid program by H.R.1 passed the Senate Health and Human Services Committee today. 

“Republicans in Congress want you to believe their budget puts working-class Americans first, but the exact opposite is true – this budget is the largest cut to Medicaid in American history,” Bridges said. “Thousands of Coloradans on Medicaid who rely on Planned Parenthood had to scramble to find different providers or went without care altogether after H.R.1 passed. This legislation would restore access to that care and peace of mind to patients across our state.”

“Time and time again, and most recently last November, Colorado voters have overwhelmingly said they will support and defend their right to reproductive health care,” Daugherty said. “Amidst a hostile national landscape, this legislation is yet another step we must take to protect Coloradans’ right to safe, accessible and affordable reproductive health care.” 

SB25B-002 would authorize the Department of Health Care Policy and Financing to use state funds to pay claims to organizations like Planned Parenthood, who were barred from federal Medicaid funding by Congressional Republicans’ H.R.1, for certain services including cancer screenings, birth control consultations, and STI testing. In the event that federal action renders these entities eligible for reimbursements again, the bill would no longer be in effect.

H.R.1 immediately removed Planned Parenthood from the federal Medicaid program, forcing Planned Parenthood of the Rocky Mountains providers to cancel thousands of appointments. Weeks later, a Temporary Restraining Order reversed this federal prohibition, though the issue is still working its way through the courts. 

SB25B-002 now moves to the Senate floor for further consideration. Track its progress HERE.

JOINT RELEASE: Bills Introduced to Close Corporate Tax Loopholes and Protect Access to Services to Responsibly Close Budget Deficit Caused by GOP’s Corporate Tax Cuts

DENVER, CO – After Republicans in Congress slashed corporate taxes when they passed the GOP budget bill, Democrats are back at the Capitol to responsibly address this crisis with a balanced approach that closes corporate tax loopholes, cuts spending where possible, and uses some of the state’s budget to protect the core services people rely on. 

“We’re back because Trump and Washington Republicans’ big ugly budget, which any one of the GOP members of our Congressional delegation could have stopped, gave corporations massive tax cuts that blew a billion dollar hole in our budget,” said Speaker Julie McCluskie, D-Dillon. “We will take a balanced approach that closes corporate tax loopholes, responsibly cuts some spending, and uses some of the rainy-day savings Democrats have built up over the last few years to address this crisis and protect funding for health care, roads and education.” 

“The GOP’s federal budget handed out a billion dollars of corporate tax breaks while making life more expensive for everyone else through higher health costs, energy costs, and grocery costs,” said Senate President James Coleman, D-Denver. “Coloradans cannot afford the impacts of the GOP budget, which is why we’re back at the Capitol standing up for Colorado families, listening to those on the frontlines of providing services, and working to maximize every dollar. We’re working on a balanced, responsible response to the budget shortfall that will close corporate tax loopholes and protect services that Coloradans rely on rather than the interests of corporations.”

“With nearly 80 percent of the tax breaks in Trump’s bill benefiting corporations, it only makes sense to close corporate tax loopholes and help preserve education, health care and public safety,” said House Majority Leader Monica Duran, D-Wheat Ridge. “Coloradans shouldn't lose funding for the core services people rely on to protect corporations who just got $1 billion in tax cuts from Trump and the GOP Congress. The GOP budget hurts vulnerable people the most, including veterans, people with disabilities, and people of color, which is why we are cracking down on offshore tax havens and special interest tax breaks to protect the core services Coloradans rely on to get ahead and thrive.”

“Trump and the Congressional Republicans’ big tax bill lets corporations dodge nearly $1 billion in taxes that they owe Colorado to help pay for essentials like health care, schools, and roads,” said Senate Majority Leader Robert Rodriguez, D-Denver. “While they put corporations and the wealthiest Americans first, we’re choosing the hardworking people of Colorado by closing corporate tax loopholes, protecting essential services, and prioritizing consumer protections during this special session.” 

Closing Corporate Tax Loopholes

HB25B-1003 repeals special corporate tax breaks for insurance companies with a “Regional Home Office”: Under current law, insurance companies with a headquarters/regional home office (RHO) in Colorado can take a special tax break that allows them to pay a lower tax rate. To qualify, 2.5 percent of an insurer’s domestic workforce must be located in Colorado. While intended to incentivize job creation in the insurance industry in Colorado, the State Auditor found in March 2025 that the tax credit is not achieving this goal, and most insurance companies have actually eliminated jobs while claiming this special interest tax break that only exists for them. The bill would repeal this corporate tax break.

HB25B-1002 cracks down on foreign tax havens, offshore bank accounts, and tax loopholes for US companies that dodge Colorado taxes with foreign assets:

Expand the list of foreign tax havens: Colorado applies extra scrutiny to companies incorporated in common tax havens like the Cayman Islands and Panama, requiring these companies to still pay Colorado taxes unless they can prove they are legitimately operating in the foreign country (see HB21-1311). Updated information about international tax avoidance has indicated additional countries used for this purpose, and the bill applies the extra scrutiny to these countries.

No Colorado tax breaks for companies investing in other states: Trump’s 2017 tax cuts for the wealthy created a special tax break for multinational businesses that keep their intangible assets in the US, including patents, software, and trademarks. As a federal credit, the majority of claims are from corporations whose assets aren’t even located in Colorado. If the state allows the changes to apply to Colorado taxes as well, it would give a larger Colorado tax break to corporations for investments in other states. The bill would decouple the state from this federal credit entirely.

HB25B-1004 allows companies to pre-pay taxes / sells tax credits: This bill would allow an auction of a limited amount of future tax credits. Companies that buy the tax credits would effectively pre-pay a portion of their future taxes now, at a small discount, creating savings and flexibility for them while helping to fill the revenue hole created by H.R. 1 for the state. This was done in HB20-1413 to raise money for CLIMBER small business loans.

Several of the tax giveaways in H.R. 1, such as the changes to business depreciation rules, are retroactive or front-loaded to have a much bigger impact in the current fiscal year (2025-26) than future years; allowing companies to pre-pay future taxes now partially offsets this effect.

HB25B-1001 limits tax breaks for higher earning businesses: Trump’s 2017 tax cuts for the wealthy allowed certain business owners to deduct (not pay taxes on) 20 percent of “qualified business income” (QBI) through 2025. The QBI deduction applies to pass-through businesses, such as partnerships, S corporations, and real estate investment trusts. H.R. 1 made this deduction permanent and made some modifications.

In 2020, Colorado decoupled from this federal tax change for business owners with incomes over $500,000 per year (or $1 million per year for joint filers), maintaining that they still needed to pay taxes on all of their business income (HB20-1420 and HB21-1311). The bill for the special session makes Colorado’s decoupling permanent; without taking action, the decoupling is currently scheduled to expire after 2025.

HB25-1005 ends subsidies for collecting sales taxes by modernizing sales tax collection: Retailers and other companies that collect sales tax are currently allowed to retain a portion of that state sales tax, which was originally intended to cover the costs of collecting and remitting the tax. Currently, vendors can retain 4 percent of the sales tax they collect. Nowadays, electronic point-of-sale technology is ubiquitous even for small vendors, and it cheaply and easily automates the collection and payment of state sales tax. Since this burden has gone away, the bill would repeal this subsidy – about one cent on every $10 of sales. 

Preserving Access to Services

SB25B-002 restores access to health care for Medicaid recipients at Planned Parenthood: H.R. 1 immediately removed Planned Parenthood from the federal Medicaid program, forcing PPRM providers to cancel thousands of appointments. Weeks later, a Temporary Restraining Order reversed this federal prohibition, though the issue is still working its way through the courts. This bill authorizes state-funded reimbursement to Planned Parenthood for certain services, including cancer screenings, birth control consultations, and STI checks.

SB25B-003 preserves SNAP funding by adjusting Healthy School Meals for All ballot question: The GOP budget cuts the Supplemental Nutrition Assistance Program (SNAP), and hundreds of thousands of recipients may now lose access to food. This bill would amend the language of a ballot measure (HB25-1274) that will be put before the voters this November. If it passes, it will allow funds raised for the Healthy School Meals for All (HSMA) program to be used to support SNAP, so long as the HSMA program is fully funded first. 

Making Responsible Decisions for Colorado’s Fiscal Future

SB25B-001 updates spending reduction processes during revenue shortfalls: Under current law, the Governor has broad unilateral authority to suspend programs and services during a revenue shortfall via executive order. The bill would require the Governor to notify the Joint Budget Committee (JBC) of executive orders to reduce spending and requires the JBC to promptly meet to discuss the plan. The bill balances the authority between the Governor and the General Assembly by ensuring the JBC is involved in decision-making processes early on and by adding guardrails to the executive branch’s existing authority to help ensure that they continue to meet and implement legislative directives.

The bill would also update the required spending reduction triggers to more accurately reflect economic pressures and the current status of the reserve, which Democrats have worked to build up to 15 percent since the COVID pandemic when it fell below 4 percent. In addition to the triggers in existing law, the bill adds that if a regular quarterly revenue estimate indicates that the state needs to use an amount of the reserve equal to 2 percent of the general fund appropriations for that fiscal year (e.g. around $330 million for FY26), the Governor must take action to reduce spending.

General Assembly Dems Urge Colorado’s Congressional Delegation to Extend Tax Credits, Save Coloradans Money

Failing to extend enhanced premium tax credits will dramatically increase health insurance costs for Coloradans

DENVER, CO - General Assembly Democrats today sent a letter to Colorado’s congressional delegation, calling on them to extend the enhanced premium tax credits that were omitted from the GOP Megabill to prevent Coloradans’ health insurance costs from skyrocketing.

In the letter, the General Assembly Democrats wrote:

We are writing to express our profound concern regarding Congress’s inaction on extending enhanced premium tax credits (tax credits) for individuals who purchase their health insurance from the healthcare marketplace. Failing to extend the tax credits Coloradans rely on to afford their health insurance will have devastating impacts. By not extending these tax credits, the GOP-led Congress is making a conscious choice to dramatically increase people’s health insurance costs. Enhanced premium tax credits play a vital role in ensuring Coloradans can access quality health insurance coverage, and we urge Congress to take action to ensure these tax credits are extended.

Failure to extend enhanced premium tax credits will result in harmful impacts to your constituents, including increased costs and loss of coverage. Enhanced premium tax credits must be extended in order to ensure stability and affordability for the Colorado insurance market. We urge you to take immediate action to extend enhanced premium tax credits to ensure Coloradans can continue to access the quality healthcare coverage that they deserve.

The full text of the letter is below:

Dear Senators and Representatives, 

We are writing to express our profound concern regarding Congress’s inaction on extending enhanced premium tax credits (tax credits) for individuals who purchase their health insurance from the healthcare marketplace. Failing to extend the tax credits Coloradans rely on to afford their health insurance will have devastating impacts. By not extending these tax credits, the GOP-led Congress is making a conscious choice to dramatically increase people’s health insurance costs. Enhanced premium tax credits play a vital role in ensuring Coloradans can access quality health insurance coverage, and we urge Congress to take action to ensure these tax credits are extended. 

We care deeply about making Colorado a more affordable place to live and work, and that means making sure that health care remains accessible and affordable for all Coloradans, in every part of our state. The existing tax credits help lower costs for hardworking Coloradans, and their removal would only stand to exacerbate the affordability challenges that so many in our state face. Over 321,000 Coloradans enrolled in healthcare through the public marketplace in 2025. If action is not taken to renew the tax credits, an estimated 110,000 Coloradans could lose healthcare coverage as early as next year.

It is not difficult to understand why so many people will lose coverage if Congress allows the tax credits to expire. The Colorado Division of Insurance estimates that the average statewide net premium increase for a silver plan will be nearly 200% for a middle class person. This will mean that the average net premium for a silver plan will increase by approximately $25,000.00 next year for a middle class family of four.

The situation is only slightly better for those earning lower than middle class incomes. Instead of a 200% premium increase, the Division estimates that they will on average receive a net premium increase of 174%. 

Quite simply, Congress’ decision to allow these tax credits to expire is unconscionable and heartbreaking. Not only are these increases in premiums unsustainable for most people, they will also lead to more uncompensated care, which will be particularly challenging for our rural and safety net hospitals that are constantly struggling to keep their doors open. And, the costs of uncompensated care will be passed on to the employers in our state. No corner of our health care market will be safe from the decision to allow these tax credits to expire. Costs will increase for everyone, no matter the type of insurance they purchase. Extending the enhanced tax credits will ensure Coloradans can continue to afford quality healthcare coverage and can avoid having to make impossible decisions between healthcare coverage and other expenses. 

Failure to extend the tax credits will also reduce the impact of Colorado's bipartisan reinsurance program by 40%, only increasing premiums further. From 2020-2025, Coloradans have saved $2.1 billion due to the reinsurance initiative. By not extending the tax credits, the reinsurance program will have less funds available to lower premiums for consumers, and will negatively impact those seeking healthcare coverage. 

Failure to extend enhanced premium tax credits will result in harmful impacts to your constituents, including increased costs and loss of coverage. Enhanced premium tax credits must be extended in order to ensure stability and affordability for the Colorado insurance market. We urge you to take immediate action to extend enhanced premium tax credits to ensure Coloradans can continue to access the quality healthcare coverage that they deserve. 

Sincerely,

Representative Julie McCluskie, Speaker of the Colorado House of Representatives

Senator James Coleman, President of the Senate

Representative Monica Duran, Majority Leader of the Colorado House of Representatives

Senator Judy Amabile, Joint Budget Committee Member

Senator Matt Ball 

Senator Jeff Bridges, Joint Budget Committee Chair 

Senator Lisa Cutter, Assistant Majority Leader 

Senator Lindsey Daugherty 

Senator Tony Exum

Senator Julie Gonzales

Senator Nick Hinrichsen, Majority Whip

Senator Cathy Kipp 

Senator Iman Jodeh

Senator Chris Kolker 

Senator Janice Marchman

Senator Dafna Michaelson Jenet

Senator Dylan Roberts, Majority Caucus Chair

Senator Marc Snyder

Senator Tom Sullivan

Senator Katie Wallace 

Senator Mike Weissman 

Senator Faith Winter

Representative Jennifer Bacon, Assistant Majority Leader

Representative Shannon Bird, Joint Budget Committee Vice-Chair

Representative Andy Boesenecker, Speaker Pro Tempore

Representative Kyle Brown

Representative Sean Camacho

Representative Michael Carter

Representative Chad Clifford

Representative Regina English

Representative Cecelia Espenoza

Representative Meg Froelich

Representative Lorena Garcia

Representative Lindsay Gilchrist

Representative Eliza Hamrick

Representative Jamie Jackson

Representative Junie Joseph, Majority Caucus Co-Chair

Representative Sheila Lieder

Representative Mandy Lindsay, Majority Caucus Co-Chair

Representative William Lindstedt

Representative Meghan Lukens

Representative Matthew Martinez, Majority Caucus Co-Whip

Representative Tisha Mauro

Representative Karen McCormick

Representative Amy Paschal

Representative Jacque Phillips

Representative Naquetta Ricks

Representative Manny Rutinel

Representative Gretchen Rydin 

Representative Emily Sirota, Joint Budget Committee Member

Representative Lesley Smith

Representative Katie Stewart

Representative Rebekah Stewart

Representative Tammy Story

Representative Elizabeth Velasco, Majority Caucus Co-Whip

Representative Jenny Willford

Representative Steven Woodrow

Representative Yara Zokaie

President, JBC Members Release Statements on Special Session to Address Impacts of GOP’s Federal Budget Bill

DENVER, CO – Senate President James Coleman, Joint Budget Committee (JBC) Chair Jeff Bridges, and JBC Member Judy Amabile today released the following statements on Governor Jared Polis’ call for a special session to address the impacts of Congressional Republicans’ federal budget bill:

Senate President James Coleman, D-Denver:

“By pushing through H.R. 1, Republicans in Washington recklessly slashed programs that Colorado families rely on like Medicaid, food assistance, and children’s health care. These cuts blew a billion dollar hole in this year’s state budget, forcing us to reconvene for a special legislative session. We will do everything we can to minimize the harm, but there’s no avoiding the fact that these cuts threaten core services and will hurt Colorado families. I want every Coloradan to know that we’re fighting for them, listening to experts, and working to maximize every dollar, unlike Congressional Republicans who have handed out tax breaks to the wealthy at the expense of our most vulnerable.”

JBC Chair Jeff Bridges, D-Arapahoe County:

"On July 1 we had a balanced budget, and on July 4 we were down a billion. First, we cut $1.2 billion because of TABOR. Now, we're cutting $1.2 billion because of Trump. Like Yogi Berra said, it's déjà vu all over again. More importantly, every day that goes by makes it harder to fill this massive gap caused by Washington. We must act now and come back to the Capitol to make hard decisions that minimize the impact on Coloradans who depend on having a functioning state government."

JBC Member Judy Amabile, D-Boulder:

“Congressional Republicans’ federal budget has further compounded our state’s budgetary challenges and will force us to make impossible decisions about the future of Medicaid funding in Colorado and our ability to provide core services to hardworking families. Millions of Coloradans rely on Medicaid and safety net programs like SNAP, and the drastic cuts to these programs will have devastating impacts from the Western Slope to the Eastern Plains. As we are set to reconvene for a special legislative session, we will work hard to protect our shared priorities and make cuts that are going to be the least harmful to the most people in our state.”

Over the last week, the Executive Committee of the Legislative Council and the Joint Budget Committee evaluated the devastating impacts of H.R. 1 on Colorado’s state budget. State economists anticipate an over $1 billion hole in the state budget for the current fiscal year that began on July 1, despite having a balanced budget when the legislature adjourned in May.

H.R.1 Devastates Colorado’s State Budget

Preliminary estimates from the Office of State Planning and Budgeting (OSPB) indicate a revenue reduction of $1.2 billion this fiscal year (FY26) and a reduction of $679 million in FY27 and future years. Forecasts estimate the state will be $783 million below the TABOR cap in this fiscal year (FY26), meaning that taxpayers will not receive TABOR refunds and there will not be surplus revenue available to pay for the Senior Homestead Exemption in FY27, creating additional pressures on the state General Fund. Lawmakers already had to address a $1.2 billion deficit during the regular 2025 legislative session, and now face an additional $1.2 billion hole from H.R. 1. 

The GOP budget additionally shifts $170 million in food assistance costs from the federal government onto Colorado, along with hundreds of millions in Medicaid costs as restrictions on provider fee financing phase in. 

Federal Budget Bill Cuts Medicaid, Kicks Coloradans Off Health Insurance, and Raises Premiums

Under H.R. 1, up to 193,000 Coloradans are expected to lose Medicaid health insurance coverage, and many more on the individual market will face higher premiums. Eventually, 377,000 Coloradans will be at risk of disenrollment.

The federal budget slashes provider payments and cuts federal funding for Medicaid, Medicaid Expansion, programs for Coloradans with Disabilities, and CHP+ coverage for children and pregnant women. It also reduces reimbursements to Colorado hospitals. These cuts are expected to cost the state Medicaid program $2.5 billion by 2032.

Due to H.R. 1 and Congressional Republicans’ refusal to extend enhanced premium tax credits for people who purchase health insurance through the Affordable Care Act marketplace, premiums for private health insurance are forecast to go up an average of 28 percent with parts of Colorado, especially on the Western Slope, seeing premium increases of 38 percent. Colorado’s successful, bipartisan reinsurance program will be significantly reduced and as a result, every Coloradan will pay more for their health insurance. Connect for Health Colorado estimates these changes could cost Colorado consumers $620 million from reduced tax credits and lead to a loss of coverage for 112,000 Coloradans.

H.R.1’s Impacts Turn Off EITC and FATC for the Next Two Tax Years

Reduced revenue means that the Earned Income Tax Credit (EITC) expansion and the Family Affordability Tax Credit (FATC) will be turned off for the next two tax years, increasing taxes for working people and families and taking money away from some of the most vulnerable Coloradans. With the EITC expansion and the FATC in effect, an average family with two children under six-years-old and an earned income of $50,000 would have received approximately $4,870 in tax credits. With the programs turned off, Colorado workers and families will receive $0.

Changes to SNAP Will Affect 600,000 Coloradans Who Rely on Food Assistance

H.R. 1 includes significant reductions to the Supplemental Nutrition Assistance Program (SNAP) and shifts the burden to states. Colorado expects to see $170 million in cuts to SNAP, affecting the more than 600,000 Coloradans who rely on SNAP to afford food for themselves and their families. Many participants will lose food assistance or be forced to overcome new administrative hurdles to demonstrate that they meet narrow work requirements. 

Rollback of Clean Energy Will Result in Higher Costs and Job Losses

H.R. 1 rolls back, modifies or completely eliminates tax credits for energy-efficient new homes, residential clean energy and electric vehicles (EVs). An analysis of the final language estimates these policies will result in 1,950 jobs lost and a household income loss of $190 in Colorado, as well as increased energy costs for consumers.

According to the Colorado Energy Office, H.R. 1 is projected to increase residential gas prices in Colorado by 3.4 percent by 2029 and electricity prices by up to 10 percent by 2035. Colorado households could see a $500 increase in annual energy costs by 2035.

JOINT RELEASE: GOP’s Federal Budget Blows Billion Dollar Hole in State Budget, Slashes Medicaid and Raises Costs for Coloradans

State departments detail newly updated impacts of the federal budget bill passed by the GOP-led Congress, including increases in health care and energy costs for Coloradans and cuts to Medicaid and SNAP that cause Coloradans to lose access to critical safety net programs

DENVER, CO – Today, the Executive Committee of the Legislative Council, comprised of the top legislative leadership of the General Assembly, met to understand the impacts of Congressional Republicans' federal budget bill on Colorado’s state budget. State economists anticipate an over $1 billion hole in the state budget for the current fiscal year that began on July 1. H.R.1 will mean severe cuts to core services and key priorities for Coloradans.

“By pushing through H.R.1, Republicans in Washington recklessly slashed programs that Colorado families count on like Medicaid, food assistance, and children’s health care, and they punted the tough decisions to the states,” said Senate President James Coleman, D-Denver. “With this irresponsible bill, they dealt a billion-dollar blow to our state budget. We have difficult decisions ahead and will do everything we can to minimize the harm, but there’s no avoiding the fact that these cuts will hurt Colorado families.” 

“When the General Assembly adjourned three months ago we had a balanced state budget, and now we don't,” said Speaker Julie McCluskie, D-Dillon. “Republicans' federal budget has blown a billion dollar hole in our state finances and increased health insurance premiums by nearly 40 percent on the Western Slope. Coloradans are now the collateral damage of the GOP's cruel bill, which could have been stopped by just a single Republican in Congress. The consequences for our state are devastating, and Republicans can’t hide the damage their party has caused.”

“Coloradans didn’t choose this. Congressional Republicans – including Lauren Boebert, Jeff Hurd, and Gabe Evans – chose tax giveaways for billionaires and blind loyalty to President Trump over the needs of their own constituents,” said Senate Majority Leader Robert Rodriguez, D-Denver. “In addition to cuts to Medicaid and food assistance, their bill will make life more expensive for all Coloradans, increasing utility bills and health insurance costs and killing jobs. They knew the damage this bill would cause and voted for it anyway, leaving us to deal with the consequences.”

“Plain and simple: Coloradans cannot afford the GOP's budget," said House Majority Leader Monica Duran, D-Wheat Ridge. "Due to the Congressional Republicans' reckless slashing of core services like Medicaid and SNAP, Colorado is in a far worse budget situation than we were when we adjourned session three months ago. As a result, hardworking families, domestic violence survivors, veterans, and others who rely on critical services might be forced to do without. We'll work hard to minimize the fallout in our communities, but this new $1 billion hole in our state budget will require difficult decisions." 

H.R.1 Devastates Colorado’s State Budget

Preliminary estimates from the Office of State Planning and Budgeting (OSPB) indicate a revenue reduction of $1.2 billion this fiscal year (FY26) and a reduction of $679 million in FY27 and future years. Forecasts estimate the state will be $914 million below the TABOR cap in this fiscal year (FY26), meaning that taxpayers will not receive TABOR refunds and there will not be surplus revenue available to pay for the Senior Homestead Exemption in FY27, creating additional pressures on the state General Fund. Lawmakers already had to address a $1.2 billion deficit this year, and now face an additional $1.2 billion hole from H.R.1. 

The GOP budget additionally shifts $170 million in food assistance costs from the federal government onto Colorado, along with hundreds of millions in Medicaid costs as restrictions on provider fee financing phase in. 

Federal Budget Bill Cuts Medicaid, Kicks Coloradans Off Health Insurance, and Raises Premiums

Under H.R.1, up to 193,000 Coloradans are expected to lose Medicaid health insurance coverage, and many more on the individual market will face higher premiums. Eventually, 377,000 Coloradans will be at risk of disenrollment.

The federal budget slashes provider payments and cuts federal funding for Medicaid, Medicaid Expansion, programs for Coloradans with Disabilities, and CHP+ coverage for children and pregnant women. It also reduces reimbursements to Colorado hospitals. These cuts are expected to cost the state Medicaid program $2.5 billion by 2032.

Due to H.R.1 and Congressional Republicans’ refusal to extend enhanced premium tax credits for people who purchase health insurance through the Affordable Care Act marketplace, premiums for private health insurance are forecasted to go up an average of 28 percent with parts of Colorado, especially on the Western Slope, seeing premium increases of 38 percent. Colorado’s successful, bipartisan reinsurance program will be significantly reduced and as a result, every Coloradan will pay more for their health insurance. Connect for Health Colorado estimates these changes could cost Colorado consumers $620 million from reduced tax credits and lead to a loss of coverage for 112,000 Coloradans.

H.R.1’s Impacts Turn Off EITC and FATC for the Next Two Tax Years

Reduced revenue means that the Earned Income Tax Credit (EITC) expansion and the Family Affordability Tax Credit (FATC) will be turned off for the next two tax years, increasing taxes for working people and families and taking money away from some of the most vulnerable Coloradans. With the EITC expansion and the FATC in effect, an average family with two children under six-years-old and an earned income of $50,000 would have received approximately $4,870 in tax credits. With the programs turned off, Colorado workers and families will receive $0.

Changes to SNAP Will Affect 600,000 Coloradans Who Rely on Food Assistance

H.R.1 includes significant reductions to the Supplemental Nutrition Assistance Program (SNAP) and shifts the burden to states. Colorado expects to see $170 million in cuts to SNAP, affecting the more than 600,000 Coloradans who rely on SNAP to afford food for themselves and their families. Many participants will lose food assistance or be forced to overcome new administrative hurdles to demonstrate that they meet narrow work requirements. 

Rollback of Clean Energy Will Result in Higher Costs and Job Losses

H.R.1 rolls back, modifies or completely eliminates tax credits for energy-efficient new homes, residential clean energy and electric vehicles (EVs). An analysis of the final language estimates these policies will result in 1,950 jobs lost and a household income loss of $190 in Colorado, as well as increased energy costs for consumers.

According to the Colorado Energy Office, H.R.1 is projected to increase residential gas prices in Colorado by 3.4 percent by 2029 and electricity prices by up to 10 percent by 2035. Colorado households could see a $500 increase in annual energy costs by 2035.

Tomorrow, Senate and House Democrats will hear from providers and organizations about the impact that Congressional Republicans’ H.R.1 will have on their ability to provide core services to Coloradans.

JOINT RELEASE: Legislation to Prevent Gun Violence Goes Into Effect

Two new laws seek to prevent youth violence and deaths linked to firearm theft

DENVER, CO – Two new laws will go into effect on August 6 to prevent gun violence among youth and violence related to firearm theft. 

HB25-1250, sponsored by Assistant Senate Majority Leader Lisa Cutter, D-Jefferson County, House Majority Leader Monica Duran, D-Wheat Ridge, and Representative Eliza Hamrick, D-Centennial, will standardize the distribution of educational materials about gun violence prevention to caregivers of Colorado kids. 

The new law will require the Office of Gun Violence Prevention in the Department of Public Health and Environment to accessibly post educational materials about preventing gun violence on its website to be distributed to school districts, charter schools, a board of cooperative services, and the Colorado School for the Deaf and Blind at the beginning of each school year. Under the bill, local education providers would also be required to post the materials on their websites.

“Every student deserves a safe learning environment, which is why we crafted this law with the help of student advocates to protect our students and educators from gun violence,” Hamrick said. “As a gun violence prevention advocate and a former teacher, I know our students are counting on us to boost access to the tools that help mitigate youth violence and senseless gun deaths. This legislation works to increase community awareness and better inform parents and guardians about safe storage laws and resources available to them in their communities. Together, we’re taking a public health approach to connect our communities with resources to create a safer, more supportive space for our youth.”

“Preventing acts of gun violence begins at home,” Cutter said. “Some of the most devastating and preventable tragedies in our nation’s history have happened in Colorado schools, and one in three Colorado Middle and High School students say they can access a firearm in their home. Safe storage dramatically reduces firearm suicides and overall youth firearm fatalities. Information is power, and this bill simply helps inform and educate students and their families about gun violence and how to prevent it."

“Between raising the minimum age to purchase firearms to improving safe storage, we’re taking a multi-prong approach to addressing gun violence in our communities and schools,” Duran said. “This law boosts awareness for parents and guardians by providing them with resources, specifically prevention or intervention services, to help them better communicate with their children about gun violence. Building upon my safe storage legislation from 2021, this law works to spread awareness, making sure firearms are properly stored to keep our communities safe.”

Denver has worked closely with CU Boulder and Denver Health to use evidence-based approaches to addressing youth violence in Colorado. A Public Health Institute report outlined helpful public health focused strategies to combat youth violence, including the importance of identifying risk factors, intervening before violence can occur, and increasing awareness of this topic as a deterrent of gun violence.

SB25-205, sponsored by Senator Nick Hinrichsen, D-Pueblo, and Representatives Cecelia Espenoza, D-Denver, and William Lindstedt, D-Broomfield, will help identify individuals who are trying to sell a firearm that has been reported lost or stolen or involved in a criminal investigation.

“SB25-205 comes from concerns raised by firearm dealers in my district, and is a win for both public safety and responsible small businesses,” Hinrichsen said. “It ensures that when someone wants to trade in or sell a used firearm, dealers have a clear process and safeguards while they check if a gun is lost or stolen. By guaranteeing timely law enforcement checks, we keep firearm transactions aboveboard and help people buy and sell through safe, legitimate channels. This law also protects dealers from making costly, unintentional purchases that could hurt their business.”

“This law allows federally licensed firearm dealers to request verification that they are not buying lost or stolen weapons,” Espenoza said. “We’re establishing a procedure and expediting serial number checks so firearm dealers have better tools to help keep our communities safe by identifying guns that have been stolen or involved in an unsolved crime.”

“We’ve created this law for the firearm dealers throughout Colorado who want to do their part to keep illegal guns off our streets,” Lindstedt said. “Running serial number checks alerts firearm dealers when they come across lost, stolen or crime-involved firearms that they wouldn’t be able to sell anyway. Now that this law is in effect, firearm dealers can better protect themselves from bad purchases while making their communities safer from gun crimes.”

SB25-205 establishes a procedure to allow a federal firearms licensee to request a firearm serial number check before purchasing a firearm from an individual. Under the law, local county sheriff’s offices must complete the serial number check within three business days of the request. 

If a licensee has a reason to believe that a person sold or attempted to sell a firearm that is stolen, lost, or involved in an open criminal investigation, they will be required to report the information to law enforcement within 48 hours.

Colorado Democrats have passed numerous laws to keep firearms out of the wrong hands, including laws to require gun owners to report when their firearm has been lost or stolen and properly store their firearms when not in use, including in their vehicles. The legislature also cracked down on “ghost guns” to keep unregulated, untraceable firearms out of our communities.

JOINT RELEASE: Laws Take Effect to Strengthen Protections for Victims of Domestic Violence

DENVER, CO - On August 6, two laws to strengthen protections for victims of domestic violence go into effect. HB25-1168 improves housing security, expands access to justice, and keeps Coloradans safe. SB25-116 ensures that courts consider domestic violence and abuse history during divorce and spousal support proceedings.

“Housing instability is one of the biggest threats to people who experience gender-based violence, with 20 percent of people experiencing homelessness in the Denver Metro Area fleeing domestic violence,” said Rep. Mandy Lindsay, D-Aurora, sponsor of HB25-1168. “Many victims can’t safely leave their abuser, which is why our new law strengthens Colorado’s victim protection laws and establishes new mechanisms to improve a victim’s access to justice and safe housing. Gender-based violence is traumatic, and no one deserves to face long-lasting financial consequences or homelessness as a result.”

"Too often, survivors of domestic violence are forced to choose between their safety and their housing," said Sen. Julie Gonzales, D-Denver, sponsor of HB25-1168. "No one should be stuck in a dangerous situation because they can’t afford to break a lease or are left with damages they didn’t cause. This law gives survivors the legal protections they need to reclaim their safety and move forward with dignity."

“The Violence Against Women Act is near and dear to my heart, and I’m proud to sponsor this law to better align Colorado law with these protections to keep survivors safe,” said Rep. Cecelia Espenoza, D-Denver, sponsor of HB25-1168. “As a judge, I know how important it is to have strong protections in statute, and this law is a meaningful change that better allows survivors to end their leases early while providing a payment plan to protect landlords and keep survivors housed. This is a huge win for survivors of gender-based violence to ensure they have the tools they need to build a strong, safe future away from their abuser.”

"Survivors of domestic abuse, sexual violence, and stalking often face a lose/lose situation when it comes to their housing,"  said Sen. Mike Weissman, sponsor of HB25-1168. "It can be expensive to try to stay in one's home or expensive to relocate, on top of the immense personal cost of victimization. Whatever difficult choice they make, this important new law will help survivors by offering payment plans for back rent or limiting the costs of relocating such as losing a security deposit. Either way, survivors have a better path to safety, stability, and a chance at a fresh start."

Currently, a tenant cannot be found guilty of unlawfully residing in a property if the tenant is experiencing domestic violence or domestic abuse and they provide a police report or civil or emergency protection order proving they were a victim. HB25-1168 expands these victim protections to include victims of unlawful sexual behavior and stalking and allows self-attestation or a letter signed by a qualified third party to be used as proof, reducing hurdles to accessing critical protections.

Additional victim protection expansions include:

• Allowing victims who terminate a lease not to be held liable for property damage caused by their abuser during incidents of unlawful sexual behavior, stalking, domestic violence, or domestic abuse,

• Ensuring victims can change locks to their rental property on their own if the victim provides documentation to prove they are a victim-survivor,

• Prohibiting a landlord from assigning debt allegedly owed by a tenant who is a victim-survivor to a third-party debt collector, with exemptions, and

• Requiring tenants to pay no more than one month’s rent after they vacate the residence and terminate the lease if, within 30 days, the landlord provides proof of economic damages as a result of the early lease termination.

To strengthen eviction protections, this law also requires landlords to offer a repayment plan to victim-survivors for late or unpaid rent before a court may issue an eviction order. The repayment plan cannot exceed nine months from the date the plan was established.

A 2023 report from the Colorado Coalition of the Homeless found that 1,265 Coloradans experiencing homelessness also reported being a victim of domestic violence.

SB25-116, also sponsored by Senator Lisa Frizell, R-Castle Rock, and Rep. Ryan Armagost, R-Berthoud, ensures that proceedings involving spousal support consider a spouse’s history of domestic violence. It also broadens disclosure requirements related to restraining and protection orders.

“Survivors who make the courageous decision to leave their abusive spouse often face complex legal systems and serious financial burdens,” said Sen. Marc Snyder, D-Manitou Springs, sponsor of SB25-116. “No survivor should be forced to pay spousal support to the person who harmed them. This law brings much-needed clarity and ensures that courts have the full context to make fair and just decisions..”

“As a survivor, I am proud that this legislation is now in effect to ensure that courts can make an informed decision and better support survivors who are leaving their abusers,” said Majority Leader Monica Duran, D-Wheat Ridge, sponsor of SB25-116. “Leaving an abusive partner is one of the most dangerous things a survivor of domestic violence can do, and it is important that the justice system can access the reported history of abuse during divorce and separation proceedings. By increasing the disclosure window and including a variety of abusive actions that must be considered during a case involving spousal support, we can lift up survivors and their stories during the scariest time of their lives.”

Under current law, courts consider a list of relevant factors when determining spousal support. This new law expands that list to include whether a spouse has engaged in domestic violence, coercive control, economic abuse, litigation abuse, emotional abuse, physical abuse, or unlawful sexual behavior against the other spouse. 

The law also extends the disclosure window for prior restraining or protection orders from two years to five, ensuring judges have access to a more complete history of abuse during divorce or separation proceedings.

JOINT RELEASE: Laws to Streamline and Improve Medicaid Coverage Go into Effect

DENVER, CO — Three new laws to streamline, simplify and expand health care for Colorado Medicaid recipients go into effect on August 6, 2025. The laws will make health care more accessible for patients by reducing administrative barriers and expanding coverage options for certain conditions.

"As a former case manager for Medicaid members, I understand firsthand the barriers people experience trying to keep their insurance,” said Rep. Lisa Feret, D-Arvada, sponsor of HB25-1162. “This law will help streamline the recertification process by reducing paperwork. This will allow for more providers to complete required paperwork and request permission from the federal government to allow for Medicaid members with stable income to recertify every three years. Health care works best when it’s accessible to patients – and this law is an important step toward a healthier, safer Colorado.”

“While Republicans in DC are creating new hoops to jump through to access basic Medicaid coverage, here in Colorado we’re reducing barriers and making it easier for Coloradans to access the care they need,” said Senator Lindsey Daugherty, D-Arvada, sponsor of HB25-1162. “This new law makes commonsense improvements to our administration of Medicaid to improve efficiency for providers and ease the burden on Colorado workers and families to ensure that everyone who is eligible is able access care. I’m proud of our work this year to protect access to affordable, quality health care for every Coloradan.”

HB25-1162 removes unnecessary administrative barriers to streamline health care for Coloradans. Specifically, this law narrows the questions providers are required to ask patients that determine Medicaid eligibility, mainly for long-term care needs. The Department of Health Care Policy and Financing (HCPF) has until December 31, 2026, to create and implement the new questions. This law also streamlines Medicaid reenrollment for patients with stable incomes to further reduce red tape for Coloradans. 

To help prevent accidental disenrollment from Medicaid, this law also allows the HCPF to submit requests to allow a patient's redetermination, or eligibility for Medicaid, timeline to be extended three years. Colorado’s HCPF is permitted to submit three-year extensions; however, it is dependent upon the federal government to approve them.   

“We’ve made important progress toward lowering the cost of health care in Colorado, and this law will save patients who receive parenteral nutrition both time and money,” said Rep. Gretchen Rydin, R-Littleton, sponsor of SB25-084. “This law, going into effect soon, will expand provider options for Medicaid patients who need parenteral nutrition. In Colorado, we’re focused on making sure Medicaid patients can receive the care they need."

SB25-084, also sponsored by Senator Kyle Mullica, D-Thornton, Senate Minority Leader Cleave Simpson, R-Alamosa, and Rep. Mary Bradfield, R-El Paso County, will expand access to and save Coloradans money on parenteral nutrition services. Parenteral nutrition is nutritional support provided to patients directly into their bloodstream through a catheter. 

This law establishes Medicaid reimbursement rates for parenteral nutrition to help diversify the number of infusion pharmacies that offer this service to Colorado patients. This will make it easier for Coloradans using Medicaid to find an infusion pharmacy that accepts their insurance, saving them time and money. Under the new law, dispensing fee rates are capped at 30 percent of the infusion pharmacy’s administrative cost to prepare and dispense for the first year.

HB25-1213, also sponsored by Rep. Feret, Sen. Daugherty, as well as Sen. Matt Ball, D-Denver and Rep. Weinberg, R-Loveland, goes into effect on August 6, 2025, and makes important Medicaid program updates so Coloradans can receive consistent, accessible health care coverage. This law improves access and streamlines health care coverage through several administrative, eligibility, billing and review changes to the Medicaid program.

The GOP budget will have devastating effects on every sector of Colorado’s health care system, including Colorado hospitals, clinics, and other providers that could lose up to $900 million in annual federal Medicaid funding – mainly caused by a forced reduction in provider fees. The cuts to Medicaid will result in an estimated 140,000-230,000 Coloradans suddenly losing health care coverage.

JOINT RELEASE: Law to Boost Incomes, Address Home Care Workforce Shortage Takes Effect

DENVER, CO - On August 6, 2025, legislation goes into effect to boost the incomes and working conditions for home care workers and increase access to care.

“This law uplifts the voices of home care workers, who are more often women and women of color, to ensure they have safe working conditions and earn a livable wage,” said Majority Leader Monica Duran, D-Wheat Ridge. “We’re implementing recommendations crafted by care workers, employers and direct care consumers to create a home care industry that works for all Coloradans. I’m proud to stand by both home care workers and patients to improve everyday life for our residents.”

“We must do better to support the essential workers who provide in-home care, which offers dignity and independence to so many Coloradans,” said Sen. Jessie Danielson, D-Wheat Ridge. “I sponsored the 2023 legislation that created this oversight board, and now it’s time to act on their recommendations. These workers deserve more than our gratitude – they deserve fair pay, stronger protections, and clear access to information on their rights and the compensation they’re entitled to.”

“With this law now going into effect, we’re supporting the direct care workforce to ensure Coloradans have access to the quality health care that they deserve,” said Rep. Emily Sirota, D-Denver. “Our state is falling behind when it comes to providing in-home care services for aging Coloradans, which is why we’re addressing the home care workforce shortage. This law works to respond to the needs of our care workforce to support working families and create a strong, qualified in-home care workforce.”

“In-home care workers care for our parents, our grandparents, our loved ones with disabilities, and so many others who deserve to live safely and with dignity in their own homes,” said Sen. Jeff Bridges, D-Arapahoe County. “While these care providers take care of our family and friends, they often face low pay and poor working conditions, making it hard to stay in the profession. As a result, Colorado is facing a shortage of in-home care workers. This new law is about honoring their work, improving their livelihoods, and ensuring that those who care for others are cared for themselves.”

HB25-1328 implements recommendations from the Direct Care Workforce Stabilization Board, including:

• Requiring the board to investigate how health care benefits for direct care workers compare to other industries and how to reduce costs,

• Establishing a free “Know Your Rights” training, including information regarding wages, rules for travel time, how to file a complaint, current state and federal laws and where they can find more information,

• Investigating violations related to training and labor standards and fining employers who violate direct care workforce regulations, and

• Increasing the minimum wage for direct care service workers to $17 per hour starting July 1, 2025, and recommending future minimum wage increases.

The Direct Care Workforce Stabilization Board was created by legislation, sponsored by Majority Leader Duran and Sen. Danielson, to make recommendations to improve working conditions for direct care workers and address the workforce crisis. Rep. Sirota and Sen. Bridges sponsored a 2024 law creating a state income tax credit for child care workers and direct care workers to boost incomes and address workforce shortages.