First Extraordinary Session
Seventy-fourth General Assembly
STATE OF COLORADO
ENGROSSED
This Version Includes All Amendments Adopted
on Second Reading in the House of Introduction
LLS NO. 23B-0021.02 Alison Killen x4350
HOUSE BILL 23B-1003
House Committees Senate Committees
State, Civic, Military, & Veterans Affairs
Appropriations
A BILL FOR AN ACT
C
ONCERNING THE CREATION OF THE PROPERTY TAX TASK
FORCE, AND,101
IN CONNECTION THEREWITH , MAKING AN APPROPRIATION .102
Bill Summary
(Note: This summary applies to this bill as introduced and does
not reflect any amendments that may be subsequently adopted. If this bill
passes third reading in the house of introduction, a bill summary that
applies to the reengrossed version of this bill will be available at
http://leg.colorado.gov
.)
The bill creates the property tax task force (task force). The task
force consists of 11 members, including members of the general assembly
and individuals who are not members of the general assembly. The bill
also creates 2 task force subpanels that consist of members from the task
force and other members. The purposes of the task force and the task
force subpanels are to study and develop a permanent and sustainable
HOUSE
Amended 2nd Reading
November 17, 2023
HOUSE SPONSORSHIP
Snyder,
SENATE SPONSORSHIP
Mullica,
Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing law.
Dashes through the words or numbers indicate deletions from existing law. property tax structure for the state of Colorado.
The task force is required to:
! Convene by June 15, 2024;
! Meet at least 5 times in its first year and at least 8 times
every year thereafter that it meets; and
! Submit reports with its findings and recommendations to
the general assembly by October 15.
After the task force makes its first report to the general assembly,
the task force may determine that it has fulfilled its purposes and the task
force may be disbanded.
The task force is repealed on November 1, 2027.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. Legislative declaration. (1) The general assembly2
finds and declares that:3
(a) Colorado has experienced historic growth in property values4
which has caused property taxes to rise well above the rate of inflation,5
contributing to an increase in the cost of housing;6
(b) Legislation passed in 2022 and 2023 temporarily reduced7
property taxes for homeowners and businesses;8
(c) It is important that leaders come together to work towards9
developing a property tax structure for future years that balances the10
needs of homeowners, businesses, and local governments that rely on11
property tax to provide local services;12
(d) The state of Colorado has a long tradition of respecting local13
control. In furtherance of that tradition, the general assembly declares that14
buy-in and involvement from individuals with an intimate understanding15
of the needs of their communities will be crucial in realizing its goal to16
develop a permanent and sustainable property tax structure for the state.17
(e) Colorado public schools receive over half of their funding18
from property tax and the Colorado general assembly has a bipartisan19
1003-2- objective to fully fund the Public School Finance Act without a budget1
stabilization factor; and2
(f) Residential tenants pay property taxes through their rent, which3
contributes to the high cost of housing, making residential tenants an4
important consideration in any property tax proposal.5
SECTION 2. In Colorado Revised Statutes, add part 22 to article6
2 of title 2 as follows:7
PART 228
PROPERTY TAX TASK FORCE9
2-2-2201. Commission on property tax - creation - powers and10
duties - report - repeal. (1) NOTWITHSTANDING SECTION 2-3-303.3,11
THERE IS CREATED THE COMMISSION ON PROPERTY TAX, REFERRED TO IN12
THIS SECTION AS THE "COMMISSION", FOR THE PURPOSE OF STUDYING AND13
MAKING RECOMMENDATIONS FOR A PROPERTY TAX STRUCTURE THAT14
PROTECTS PROPERTY OWNERS AND RESIDENTIAL TENANTS FROM RISING15
PROPERTY TAXES WHILE MEETING THE NEEDS OF GOVERNMENTS THAT16
RELY ON PROPERTY TAX TO PAY FOR LOCAL SERVICES .17
(2) THE COMMISSION SHALL CONSIST OF EIGHTEEN MEMBERS THAT18
REPRESENT THE DEMOGRAPHIC AND GEOGRAPHIC DIVERSITY OF THE STATE19
AS FOLLOWS:20
(a) THREE MEMBERS OF THE HOUSE OF REPRESENTATIVES , WITH21
TWO MEMBERS OF THE MAJORITY PARTY APPOINTED BY THE SPEAKER OF22
THE HOUSE OF REPRESENTATIVES AND ONE MEMBER OF THE MINORITY23
PARTY APPOINTED BY THE HOUSE MINORITY LEADER ;24
(b) THREE MEMBERS OF THE SENATE, WITH TWO MEMBERS OF THE25
MAJORITY PARTY APPOINTED BY THE PRESIDENT OF THE SENATE AND ONE26
MEMBER OF THE MINORITY PARTY APPOINTED BY THE SENATE MINORITY27
1003
-3- LEADER;1
(c) THE PROPERTY TAX ADMINISTRATOR IN THE DIVISION OF2
PROPERTY TAX OF THE DEPARTMENT OF LOCAL AFFAIRS ;3
(d) ONE INDIVIDUAL WHO IS A MAYOR OR ELECTED CITY COUNCIL4
PERSON, OR THE DESIGNEE OF A MAYOR OR ELECTED CITY COUNCIL5
PERSON, APPOINTED BY THE SPEAKER OF THE HOUSE OF REPRESENTATIVES ;6
(e) ONE INDIVIDUAL WHO IS SERVING OR HAS SERVED AS A COUNTY7
ASSESSOR, APPOINTED BY THE GOVERNOR;8
(f) ONE INDIVIDUAL REPRESENTING A STATEWIDE ORGANIZATION9
REPRESENTING SPECIAL DISTRICTS, APPOINTED BY THE PRESIDENT OF THE10
SENATE;11
(g) ONE INDIVIDUAL WHO IS SERVING AS THE CHIEF FINANCIAL12
OFFICER OF A SCHOOL DISTRICT;13
(h) ONE INDIVIDUAL WHO IS SERVING AS A COUNTY COMMISSIONER14
FOR A COUNTY HAVING A POPULATION OF LESS THAN THREE HUNDRED15
THOUSAND, APPOINTED BY THE SPEAKER OF THE HOUSE OF16
REPRESENTATIVES;17
(i) ONE INDIVIDUAL WHO IS SERVING AS EITHER A COUNTY18
COMMISSIONER FOR A COUNTY HAVING A POPULATION OF EQUAL TO OR19
GREATER THAN THREE HUNDRED THOUSAND OR ON THE GOVERNING BODY20
FOR A CITY AND COUNTY HAVING A POPULATION OF EQUAL TO OR GREATER21
THAN THREE HUNDRED THOUSAND, APPOINTED BY THE PRESIDENT OF THE22
SENATE;23
(j) ONE INDIVIDUAL WITH PROFESSIONAL EXPERIENCE RELATED TO24
BOTH COMMERCIAL AND RESIDENTIAL REAL PROPERTY , APPOINTED BY THE25
SPEAKER OF THE HOUSE OF REPRESENTATIVES ;26
(k) ONE INDIVIDUAL WHO IS A FIRE CHIEF, APPOINTED BY THE27
1003
-4- PRESIDENT OF THE SENATE;1
(l) ONE INDIVIDUAL REPRESENTING A LABOR ORGANIZATION2
REPRESENTING WORKERS IN INDUSTRIES MATERIALLY IMPACTED BY3
PROPERTY TAX REVENUE, APPOINTED BY THE PRESIDENT OF THE SENATE; 4
(m) ONE INDIVIDUAL REPRESENTING A STATEWIDE OR REGIONAL5
ORGANIZATION REPRESENTING BUSINESSES MATERIALLY IMPACTED BY6
PROPERTY TAX REVENUE, APPOINTED BY THE GOVERNOR; AND7
(n) ONE INDIVIDUAL WHO REPRESENTS A STATEWIDE RENTAL8
ASSISTANCE ORGANIZATION OR A RESIDENTIAL TENANT WHO RESIDES IN9
A DISPROPORTIONATELY IMPACTED COMMUNITY AS DEFINED IN SECTION10
24-4-109 (2)(b)(II), APPOINTED BY THE SPEAKER OF THE HOUSE OF11
REPRESENTATIVES.12
(3) (a) ALL APPOINTMENTS DESCRIBED IN SUBSECTION (2) OF THIS13
SECTION SHALL BE MADE NO LATER THAN NOVEMBER 26, 2023.14
(b) THE SPEAKER OF THE HOUSE OF REPRESENTATIVES SHALL15
APPOINT THE CHAIR OF THE COMMISSION AND THE PRESIDENT OF THE16
SENATE SHALL APPOINT THE VICE-CHAIR OF THE COMMISSION. THE CHAIR17
AND VICE-CHAIR OF THE COMMISSION MUST BE LEGISLATORS APPOINTED18
PURSUANT TO SUBSECTIONS (2)(a) AND (2)(b) OF THIS SECTION.19
(c) MEMBERS OF THE COMMISSION SERVE AT THE PLEASURE OF THE20
APPLICABLE APPOINTING AUTHORITY OR UNTIL THE MEMBER NO LONGER21
SERVES IN THE POSITION FOR WHICH THAT MEMBER WAS APPOINTED TO22
THE COMMISSION, AT WHICH TIME A VACANCY IS DEEMED TO EXIST ON THE23
COMMISSION. IF A VACANCY OCCURS, THE APPROPRIATE APPOINTING24
AUTHORITY SHALL APPOINT A REPLACEMENT MEMBER THAT MEETS THE25
REQUIREMENTS SET FORTH IN SUBSECTION (2) OF THIS SECTION FOR THE26
VACANT POSITION NOT LATER THAN TEN BUSINESS DAYS FROM THE DATE27
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-5- THE VACANCY IS DEEMED TO EXIST. IF THE APPROPRIATE APPOINTING1
AUTHORITY FAILS TO APPOINT A REPLACEMENT MEMBER AS REQUIRED BY2
THIS SUBSECTION (3)(c), THE SPEAKER OF THE HOUSE OF3
REPRESENTATIVES SHALL APPOINT A REPLACEMENT MEMBER THAT MEETS4
THE REQUIREMENTS SET FORTH IN SUBSECTION (2) OF THIS SECTION.5
(d) THE COMMISSION MAY ESTABLISH SPECIAL PURPOSE6
SUBCOMMITTEES WITH NONVOTING MEMBERS TO EVALUATE AND7
CONSIDER PROPERTY TAX ISSUES AS IT DEEMS NECESSARY TO FULFILL ITS8
GOALS AND OBJECTIVES SET FORTH IN SUBSECTION (5) OF THIS SECTION.9
(e) NO LATER THAN NOVEMBER 27, 2023, THE COMMISSION SHALL10
ENTER INTO A CONTRACT WITH A FACILITATOR WITH EXPERIENCE IN TAX11
POLICY TO GUIDE THE WORK OF THE COMMISSION AND TO ASSIST IN12
DRAFTING THE REPORT REQUIRED IN SUBSECTION (6)(a) OF THIS SECTION.13
THE COMMISSION SHALL SELECT A NEUTRAL FACILITATOR WHO IS NOT14
AFFILIATED WITH A STATEWIDE ORGANIZATION DESCRIBED IN SUBSECTION15
(2) OF THIS SECTION.16
(4) (a) THE COMMISSION SHALL MEET ONCE A WEEK BEGINNING17
THE WEEK OF NOVEMBER 27, 2023, THROUGH THE WEEK OF MARCH 1,18
2024, EXCLUDING THE WEEK OF DECEMBER 27, 2023. A MAJORITY OF THE19
MEMBERS OF THE COMMISSION MAY VOTE TO EXTEND THE WORK OF THE20
COMMISSION PAST MARCH 1, 2024, TO ALTER THE MEETING SCHEDULE OF21
THE COMMISSION, OR TO TERMINATE THE WORK OF THE COMMISSION AT22
ANY TIME.23
(b) THE LEGISLATIVE COUNCIL STAFF AND THE OFFICE OF24
LEGISLATIVE LEGAL SERVICES SHALL BE AVAILABLE TO ASSIST THE25
COMMISSION IN CARRYING OUT ITS DUTIES.26
(5) (a) THE PURPOSE OF THE COMMISSION IS TO IDENTIFY AND27
1003
-6- CONSIDER LEGISLATIVE OPTIONS FOR A PERMANENT AND SUSTAINABLE1
PROPERTY TAX STRUCTURE FOR THE STATE .2
(b) THE COMMISSION SHALL IDENTIFY AND CONSIDER OPTIONS FOR3
A PROPERTY TAX STRUCTURE THAT PROTECTS PROPERTY OWNERS FROM4
RISING TAX BILLS AND IS SUSTAINABLE FOR LOCAL GOVERNMENTS AND5
PUBLIC SCHOOLS, INCLUDING PROPERTY TAX PROPOSALS THAT HAVE BEEN6
SUBMITTED TO THE STATE TITLE BOARD .7
(c) FOR EACH PROPERTY TAX STRUCTURE OPTION, THE8
COMMISSION SHALL CONSIDER THE FOLLOWING FACTORS :9
(I) LOCAL CONTROL;10
(II) IMPACT TO PROPERTY OWNERS AND LOCAL TAXING11
JURISDICTIONS IN DIFFERENT AREAS OF THE STATE;12
(III) IMPACT TO RESIDENTIAL AND NONRESIDENTIAL REAL13
PROPERTY;14
(IV) IMPACT TO SCHOOL FINANCE AND THE BUDGET STABILIZATION15
FACTOR;16
(V) LONG-TERM IMPACT TO PROPERTY OWNERS AND LOCAL17
TAXING JURISDICTIONS UNDER DIFFERENT PROPERTY VALUE GROWTH18
SCENARIOS;19
(VI) IMPACTS TO HOUSING AFFORDABILITY , INCLUDING FOR20
RESIDENTIAL TENANTS;21
(VII) IMPACTS TO RESIDENTIAL TENANTS, INCENTIVES FOR22
DEVELOPMENT, AND THE POTENTIAL FOR LOWER PROPERTY TAXES FOR23
RESIDENCES AS A RESULT OF CHANGING TO A LAND VALUE TAX SYSTEM ;24
(VIII) IMPACTS TO THE ABILITY OF COUNTIES TO PROVIDE25
STATUTORILY MANDATED AND VOTER -APPROVED SERVICES TO COLORADO26
RESIDENTS; AND27
1003
-7- (IX) DISPROPORTIONATE IMPACTS OF THE RISING TAX BILLS ON1
PEOPLE WITH LOWER INCOMES, ESPECIALLY PEOPLE WITH FIXED INCOMES,2
IN PROVIDING FAIR AND EQUITABLE PROPERTY TAX RELIEF .3
(6) (a) NO LATER THAN MARCH 1, 2024, THE COMMISSION SHALL4
MAKE A REPORT TO THE GENERAL ASSEMBLY AND THE GOVERNOR ,5
INCLUDING RECOMMENDATIONS FOR BOTH SHORT-TERM AND LONG-TERM6
LEGISLATIVE CHANGES THAT WILL FURTHER THE PURPOSE OF THE7
COMMISSION SET FORTH IN SUBSECTION (5)(a) OF THIS SECTION.8
(b) THE COMMISSION REPORT MUST CONTAIN ONLY9
RECOMMENDATIONS SUPPORTED BY ELEVEN OR MORE MEMBERS OF THE10
COMMISSION.11
(c) IF A MAJORITY OF COMMISSION MEMBERS VOTE TO EXTEND THE12
WORK OF THE COMMISSION PAST MARCH 1, 2024, IN ACCORDANCE WITH13
SUBSECTION (4)(a) OF THIS SECTION, THEN THE COMMISSION SHALL MAKE14
A REPORT TO THE GENERAL ASSEMBLY AND THE GOVERNOR IN15
ACCORDANCE WITH THIS SUBSECTION (6) NO LATER THAN DECEMBER 31,16
2024.17
(7) THE EXECUTIVE COMMITTEE OF THE LEGISLATIVE COUNCIL,18
CREATED IN SECTION 2-3-301 (1), MAY ALLOCATE FUNDING FROM THE19
LEGISLATIVE DEPARTMENT CASH FUND , CREATED IN SECTION 2-2-1601,20
FOR THE PURPOSES OF THE COMMISSION INCLUDING FOR HIRING21
PROFESSIONAL FACILITATION SERVICES , PUBLIC OUTREACH AND22
ENGAGEMENT, AND OTHER NECESSARY SERVICES .23
(8) THIS SECTION IS REPEALED, EFFECTIVE DECEMBER 31, 2024.24
SECTION 3. Appropriation. (1) For the 2023-24 state fiscal25
year, $80,271 is appropriated to the legislative department. This26
appropriation is from the general fund. To implement this act, the27
1003
-8- department may use this appropriation as follows:1
(a) $8,492 for use by the general assembly;2
(b) $63,185 for use by the legislative council, which amount is3
based on an assumption that the legislative council will require an4
additional 0.8 FTE; and5
(c) $8,594 for use by the office of legislative legal services, which6
amount is based on an assumption that the office will require an7
additional 0.1 FTE.8
SECTION 4. Safety clause. The general assembly finds,9
determines, and declares that this act is necessary for the immediate10
preservation of the public peace, health, or safety or for appropriations for11
the support and maintenance of the departments of the state and state12
institutions.13
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