First Regular Session
Seventy-fourth General Assembly
STATE OF COLORADO
REVISED
This Version Includes All Amendments Adopted
on Second Reading in the Second House
LLS NO. 23-0432.02 Jason Gelender x4330
HOUSE BILL 23-1052
House Committees Senate Committees
State, Civic, Military, & Veterans Affairs State, Veterans, & Military Affairs
A BILL FOR AN ACT
C
ONCERNING A REQUIREMENT THAT A VETERAN WHO HAS INDIVIDUAL101
EMPLOYABILITY STATUS BE TREATED EQUIVALENTLY TO A102
VETERAN WHO HAS ONE HUNDRED PERCENT PERMANENT103
DISABILITY WHEN DETERMINING ELIGIBILITY FOR ANY STATE104
VETERANS BENEFIT , AND, IN CONNECTION THEREWITH ,105
EXPANDING ELIGIBILITY FOR THE PROPERTY TAX EXEMPTION106
FOR VETERANS WITH A DISABILI TY TO INCLUDE A VETERAN WHO107
DOES NOT HAVE A SERVICE-CONNECTED DISABILITY RATED AS A108
ONE HUNDRED PERCENT PERMANENT DISABILITY BUT DOES109
HAVE INDIVIDUAL UNEMPLOYABILITY STATUS .110
Bill Summary
(Note: This summary applies to this bill as introduced and does
SENATE
2nd Reading Unamended
April 12, 2023
HOUSE
3rd Reading Unamended
January 31, 2023
HOUSE
2nd Reading Unamended
January 30, 2023
HOUSE SPONSORSHIP
Marshall, Evans, Armagost, Bacon, Bird, Boesenecker, Bradley, Daugherty, deGruy
Kennedy, Dickson, Duran, Epps, Froelich, Garcia, Gonzales-Gutierrez, Hamrick, Hartsook,
Herod, Jodeh, Joseph, Lieder, Lindsay, Lindstedt, Lynch, Mabrey, Martinez, McCluskie,
McCormick, McLachlan, Ortiz, Parenti, Ricks, Sharbini, Sirota, Snyder, Story, Taggart,
Titone, Valdez, Velasco, Vigil, Weinberg, Weissman, Willford, Wilson, Winter T.,
Woodrow, Young
SENATE SPONSORSHIP
Fields,
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. 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 state constitution allows a veteran who has a
service-connected disability rated as a 100% permanent disability to claim
a property tax exemption for a portion of the actual value of the veteran's
owner-occupied primary residence. The 100% permanent disability
requirement can only be changed through a constitutional amendment.
If, at the 2024 general election, the voters of the state approve a
constitutional amendment to expand eligibility for the exemption by
allowing a veteran who has individual unemployability status, as
determined by the United States department of veterans affairs, to claim
the exemption, the bill makes conforming statutory changes to reflect that
expansion of the exemption. In most cases, to have individual
unemployability status, a veteran must be unable to keep a steady job
because the veteran either has at least one service-connected disability
rated at 60% or more disabling or has 2 or more service-connected
disabilities with at least one disability rated at 40% or more disabling and
a combined rating of 70% or more disabling.
The bill also requires a veteran who has individual
unemployability status to be treated equivalently to a veteran who has one
hundred percent permanent disability when determining eligibility for any
state veterans benefit. Finally, to comply with an existing statutory
requirement that "people first language" be used in new or amended
statutes that refer to persons with disabilities, the bill also changes the
existing terms "disabled veteran" and "disabled veterans" to "veteran with
a disability" and "veterans with a disability".
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) When the United States department of veterans affairs4
determines that a veteran with a disability has individual unemployability5
status, it means that the veteran has a service-connected disability or a6
combination of service-connected disabilities that is so severe that the7
veteran is unable to keep substantially gainful employment that supports8
1052-2- the veteran financially; and1
(b) It is therefore necessary and appropriate to treat a veteran who2
has individual unemployability status equivalently to a veteran who has3
one hundred percent permanent disability when determining eligibility for4
any state veterans benefit.5
SECTION 2. In Colorado Revised Statutes, add 28-5-104 as6
follows:7
28-5-104. State veterans benefits - effect of individual8
unemployability status. F
OR THE PURPOSE OF DETERMINING ELIGIBILITY9
FOR ANY VETERANS BENEFIT OFFERED BY THE STATE , A VETERAN WHO HAS10
INDIVIDUAL UNEMPLOYABILITY STATUS , AS DETERMINED BY THE UNITED11
S
TATES DEPARTMENT OF VETERANS AFFAIRS , SHALL BE TREATED12
EQUIVALENTLY TO A VETERAN WHO HAS A SERVICE -CONNECTED13
DISABILITY THAT HAS BEEN RATED AS ONE HUNDRED PERCENT PERMANENT14
DISABILITY BY THE UNITED STATES DEPARTMENT OF VETERANS AFFAIRS .15
SECTION 3. In Colorado Revised Statutes, 39-3-201, amend16
(1)(a) as follows:17
39-3-201. Legislative declaration. (1) The general assembly18
hereby finds and declares that:19
(a) Section 3.5 of article X of the state constitution, which was20
approved by the registered electors of the state at the 2000 general21
election and amended by the registered electors of the state at the 200622
general election, provides property tax exemptions for qualifying seniors23
and qualifying disabled
veterans WITH A DISABILITY;24
SECTION 4. In Colorado Revised Statutes, 39-3-202, amend25
(1.5) and (3.5) as follows:26
39-3-202. Definitions. As used in this part 2, unless the context27
1052
-3- otherwise requires:1
(1.5) "Exemption" means the property tax exemptions for2
qualifying seniors and qualifying disabled veterans WITH A DISABILITY3
allowed by section 39-3-203.4
(3.5) "Qualifying disabled veteran WITH A DISABILITY" means an5
individual who has served on active duty in the United States armed6
forces, including a member of the Colorado National Guard who has been7
ordered into the active military service of the United States, has been8
separated therefrom under honorable conditions, and has
EITHER9
established a service-connected disability that has been rated by the10
federal
UNITED STATES department of veterans affairs as a one hundred11
percent permanent disability through disability retirement benefits12
pursuant to a law or regulation administered by the department, the13
United States department of homeland security, or the department of the14
Army, Navy, or Air Force
OR HAS INDIVIDUAL UNEMPLOYABILITY STATUS15
AS DETERMINED BY THE UNITED STATES DEPARTMENT OF VETERANS16
AFFAIRS.17
SECTION 5. In Colorado Revised Statutes, 39-3-203, amend18
(1.5)(a) introductory portion and (1.5)(a.5) as follows:19
39-3-203. Property tax exemption - qualifications. (1.5) (a) For20
property tax years commencing on or after January 1, 2007, fifty percent21
of the first two hundred thousand dollars of actual value of residential real22
property that as of the assessment date is owner-occupied and is used as23
the primary residence of an owner-occupier who is a qualifying disabled
24
veteran
WITH A DISABILITY shall be exempt from taxation if:25
(a.5) For property tax years commencing on or after January 1,26
2015, fifty percent of the first two hundred thousand dollars of actual27
1052
-4- value of residential real property that as of the assessment date is1
owner-occupied and is used as the primary residence of an2
owner-occupier who is the surviving spouse of a qualifying disabled3
veteran
WITH A DISABILITY who previously received an exemption under4
paragraph (a) of this subsection (1.5) is exempt from taxation.5
SECTION 6. In Colorado Revised Statutes, amend 39-3-204 as6
follows:7
39-3-204. Notice of property tax exemption. No later than May8
1, 2013, and no later than May 1 of each year thereafter in which an9
assessor sends a notice of valuation pursuant to section 39-5-121 (1)(a)10
that is not included with the tax bill, each assessor shall mail to each11
residential real property address in the assessor's county notice of the12
exemption allowed by section 39-3-203 (1). As soon as practicable after13
January 1, 2014, and as soon as practicable after January 1 of each year14
thereafter, each county treasurer shall, at the treasurer's discretion, mail15
or electronically send to each person whose name appears on the tax list16
and warrant as an owner of residential real property notice of the17
exemption allowed by section 39-3-203 (1). The treasurer must mail or18
electronically send the notice in each year on or before the date on which19
the treasurer mails the property tax statement for the previous property tax20
year pursuant to section 39-10-103. No later than May 1, 2008, and no21
later than each May 1 thereafter, each assessor also shall mail to each22
residential property address in the assessor's county notice of the23
exemption allowed by section 39-3-203 (1.5). No later than May 1, 2007,24
the division shall mail to the residential property address of each person25
residing in the state who the division believes is a qualifying disabled
26
veteran
WITH A DISABILITY notice of the exemption allowed by section27
1052
-5- 39-3-203 (1.5) for the 2007 property tax year. However, the sending of1
notice to a person by the division does not constitute a determination by2
the division that the person sent notice is entitled to an exemption. The3
notice shall be in a form prescribed by the administrator, who shall4
consult with the division before prescribing the form of the notice of the5
exemption allowed by section 39-3-203 (1.5), and shall include a6
statement of the eligibility criteria for the exemptions and instructions for7
obtaining an exemption application. To reduce mailing costs, an assessor8
may coordinate with the treasurer of the same county to include notice9
with the tax statement for the previous property tax year mailed pursuant10
to section 39-10-103 or may include notice with the notice of valuation11
mailed pursuant to section 39-5-121 (1)(a).12
SECTION 7. In Colorado Revised Statutes, 39-3-205, amend13
(2.5) as follows:14
39-3-205. Exemption applications - penalty for providing false15
information - confidentiality. (2.5) For the purpose of verifying the16
eligibility of each applicant for the exemption allowed to qualifying17
disabled veterans WITH A DISABILITY under section 39-3-203 (1.5)18
efficiently and with minimal inconvenience to each applicant, the division19
shall determine whether an applicant for the exemption is a qualifying20
disabled veteran WITH A DISABILITY. With respect to any application21
timely filed by July 1 pursuant to paragraph (b) of subsection (1)22
SUBSECTION (1)(b) of this section, the division shall, if possible,23
determine whether the applicant is a qualifying disabled veteran WITH A24
DISABILITY and send notice of its determination to the applicant on or25
before the immediately succeeding August 1. If the division determines26
that the applicant is a qualifying disabled veteran WITH A DISABILITY, it27
1052
-6- shall also send notice of its determination and a copy of the exemption1
application to the assessor for the county where the property is located.2
If the division is unable to determine whether the applicant is a qualifying3
disabled veteran WITH A DISABILITY on or before said August 1, it shall4
send preliminary notice to both the applicant and the assessor that its5
determination is pending and shall follow up the preliminary notice by6
sending final notice of its ultimate determination to the applicant and,7
together with a copy of the exemption application, to the assessor as soon8
as possible thereafter.9
SECTION 8. In Colorado Revised Statutes, 39-3-206, amend10
(1.5), (2)(a), and (2)(a.7) as follows:11
39-3-206. Notice to individuals returning incomplete or12
nonqualifying exemption applications - denial of exemption -13
administrative remedies. (1.5) (a) Except as otherwise provided in14
paragraph (a.7) of subsection (2) SUBSECTION (2)(a.7) of this section, the15
division shall only accept an application for the exemption allowed to16
qualifying disabled veterans WITH A DISABILITY under section 39-3-20317
(1.5) if the applicant timely returned the exemption application in18
accordance with section 39-3-205 (1)(b), and an assessor shall only grant19
the exemption if the division verifies that the applicant is a qualified20
disabled veteran WITH A DISABILITY and the exemption application21
forwarded by the division to the assessor pursuant to section 39-3-20522
(2.5) establishes that the applicant meets the other requirements to be23
entitled to the exemption.24
(b) If the information provided on or with an application for the25
exemption allowed to qualifying disabled veterans WITH A DISABILITY26
under section 39-3-203 (1.5) that is forwarded by the division to an27
1052
-7- assessor pursuant to section 39-3-205 (2.5) indicates that the applicant is1
not entitled to the exemption, or is insufficient to allow the assessor to2
determine whether or not the applicant is entitled to the exemption, the3
assessor shall deny the application and mail to the applicant a statement4
providing the reasons for the denial and informing the applicant of the5
applicant's right to contest the denial pursuant to subsection (2) of this6
section. The assessor shall mail the statement no later than August 1 of7
the property tax year for which the exemption application was filed.8
(2) (a) An applicant whose exemption application has been denied9
pursuant to paragraph (b) of subsection (1) or paragraph (b) of subsection10
(1.5) SUBSECTION (1)(b) OR (1.5)(b) of this section may contest the denial11
by requesting a hearing before the county commissioners sitting as the12
county board of equalization no later than August 15 of the property tax13
year for which the exemption application was filed. The hearing shall be14
held on or after August 1 and no later than September 1 of the property15
tax year for which the exemption application was filed, and the decision16
of the county board of equalization is not subject to further administrative17
appeal by either the applicant or the assessor. An applicant may not18
contest a determination by the division that the applicant is not a19
qualifying disabled veteran WITH A DISABILITY at a hearing requested20
pursuant to this paragraph (a) SUBSECTION (2)(a).21
(a.7) An individual who wishes to claim the exemption for22
qualifying disabled veterans WITH A DISABILITY allowed by section23
39-3-203 (1.5), but who has not timely filed an exemption application24
with the division, may request that the division waive the application25
deadline and allow the individual to file a late exemption application no26
later than the August 1 that immediately follows the original application27
1052
-8- deadline. The division may accept an application if, in the division's sole1
discretion, the applicant shows good cause for not timely filing an2
application. If the division accepts a late application, it shall determine3
whether the applicant is a qualifying disabled veteran WITH A DISABILITY4
and shall mail notice of its determination to the applicant no later than the5
August 25 that immediately follows the late application deadline. If the6
division determines that a veteran is a qualifying disabled veteran WITH7
A DISABILITY, it shall mail a copy of the notice of its determination to the8
assessor for the county in which the property for which the applicant has9
claimed the exemption is located and shall include with the notice a copy10
of the applicant's exemption application. The assessor shall grant an11
exemption if the notice and application forwarded by the division to the12
assessor establish that the applicant is entitled to the exemption. A13
decision of the division to allow or disallow the filing of a late application14
or of an assessor to grant or deny an exemption to an applicant who has15
filed a late application is final, and an applicant who is denied late filing16
or an exemption may not contest the denial.17
SECTION 9. In Colorado Revised Statutes, 25-2-103, amend18
(4.5) as follows:19
25-2-103. Centralized registration system for all vital statistics20
- office of the state registrar of vital statistics created - appointment21
of registrar - rules. (4.5) Notwithstanding any other provision of law22
that limits the sharing of vital statistics, after receiving the list of names23
and social security numbers of individuals who received property tax24
exemptions as either qualifying seniors or disabled QUALIFYING veterans25
WITH A DISABILITY for the prior year that is provided by the property tax26
administrator pursuant to section 39-3-207, C.R.S., the state registrar shall27
1052
-9- identify all individuals on the list who have died and transmit a list of the1
names and social security numbers of such individuals to the2
administrator.3
SECTION 10. In Colorado Revised Statutes, 39-21-113, amend4
(24) as follows:5
39-21-113. Reports and returns - rule - repeal.6
(24) Notwithstanding any other provision of this section, the executive7
director, after receiving from the property tax administrator a list of8
individuals who are claiming the property tax exemptions for qualifying9
seniors and disabled QUALIFYING veterans WITH A DISABILITY allowed10
under part 2 of article 3 of this title TITLE 39, shall provide to the property11
tax administrator information pertaining to the listed individuals,12
including their names, social security numbers, marital and income tax13
filing status, and residency status, needed by the administrator to verify14
that the exemption is allowed only to applicants who satisfy legal15
requirements for claiming it. The administrator and the administrator's16
agents, clerks, and employees shall keep all information received from the17
executive director confidential, and any individual who fails to do so is18
guilty of a misdemeanor and subject to punishment as specified in19
subsection (6) of this section.20
SECTION 11. Act subject to petition - effective date -21
applicability. (1) Except as otherwise provided in subsections (2) and22
(3) of this section, this act takes effect on January 1, 2025.23
(2) If a referendum petition is filed pursuant to section 1 (3) of24
article V of the state constitution against this act or an item, section, or25
part of this act within such period, then the act, item, section, or part will26
not take effect unless approved by the people at the general election to be27
1052
-10- held in November 2024 and, in such case, will take effect on January 1,1
2025.2
(3) This act takes effect only if a constitutional amendment to3
section 3.5 (1.5) of article X of the state constitution that modifies the4
definition of "disabled veteran" by changing the term to "veteran with a5
disability" and including a veteran who has individual unemployability6
status as determined by the United States department of veterans affairs7
is approved by the people at the next general election and becomes law,8
and, in such case, this act takes effect on January 1, 2025, and applies to9
property tax years commencing on and after January 1, 2025.10
1052
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