Colorado 2024 2024 Regular Session

Colorado House Bill HB1439 Introduced / Bill

Filed 04/02/2024

                    Second Regular Session
Seventy-fourth General Assembly
STATE OF COLORADO
INTRODUCED
 
 
LLS NO. 24-1124.01 Josh Schultz x5486
HOUSE BILL 24-1439
House Committees Senate Committees
Finance
A BILL FOR AN ACT
C
ONCERNING FINANCIAL INCENTIVES RELATED TO APPRENTICESHIP101
PROGRAMS.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
.)
For income tax years commencing on or after January 1, 2025, but
before January 1, 2035, section 1 of the bill creates a refundable state
income tax credit (tax credit) that an employer may claim if the employer
employs an apprentice for at least 6 months during an income tax year
and either has a registered apprenticeship program or is an
employer-partner of a registered apprenticeship program. The amount of
HOUSE SPONSORSHIP
Willford,
SENATE SPONSORSHIP
Coleman,
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. the tax credit is up to $6,300 for 6 months of employment plus up to
$1,050 for each consecutive additional month of employment, for a
maximum of up to $12,600 per apprentice per income tax year. An
employer may not claim a credit for:
! More than 10 apprentices per income tax year;
! The same apprentice for more than 24 consecutive months;
and
! An apprentice for months when the apprentice did not
receive wages from the employer.
To claim a tax credit, an employer must submit an application for
the reservation of the tax credit and an application to receive an income
tax credit certificate to the state apprenticeship agency (SAA) in the
department of labor and employment (department). The SAA shall review
the applications for specified criteria to determine whether the employer
qualifies for the tax credit and tax credit certificate.
Section 2 ends the state income tax credit for qualified investments
made in a qualified school-to-career program for income tax years after
December 31, 2024.
Section 4 creates the scale-up grant program in the department to
start new registered apprenticeship programs or expand existing programs
in Colorado. The scale-up grant program awards grants from the money
in the scale-up grant fund, which is created in the bill. Eligible grant
recipients include employers or entities operating an apprenticeship
program and that:
! Plan to develop and register a new registered
apprenticeship program; or
! Currently offer a registered apprenticeship program and
plan to expand it.
The bill requires the department to collect specified data regarding
the scale-up grant program and submit a report to specified committees
of the general assembly.
Section 5 creates the qualified apprenticeship intermediary grant
program in the department to support entities that demonstrate expertise
in connecting employers or apprenticeship program participants to
registered apprenticeship programs or in convening stakeholders to
develop registered apprenticeship programs. The qualified apprenticeship
intermediary grant program awards grants from the money in the qualified
apprenticeship intermediary grant fund, which is created in the bill. An
eligible grant recipient must be a qualified apprenticeship intermediary.
The bill requires the department to collect specified data regarding
the qualified apprenticeship intermediary grant program and submit a
report to specified committees of the general assembly.
Be it enacted by the General Assembly of the State of Colorado:1
HB24-1439-2- SECTION 1. In Colorado Revised Statutes, add 39-22-560 as1
follows:2
39-22-560.  Apprenticeship tax credit - tax preference3
performance statement - legislative declaration - definitions - rules -4
repeal. (1) (a)  T
HE GENERAL ASSEMBLY FINDS AND DECLARES THAT :5
(I)  C
OLORADO IS COMMITTED TO ACCELERATING NEW6
APPRENTICESHIP PROGRAM GROWTH ON A DIVERSE BASIS , ESPECIALLY IN7
NEW AND EMERGING INDUSTRIES THAT HAVE BEEN TRADITIONALLY8
UNDERREPRESENTED IN REGISTERED APPRENTICESHIPS ; AND9
(II)  M
ANY EMPLOYERS ARE INTERESTED IN PROVIDING10
HIGH-QUALITY REGISTERED APPRENTICESHIPS TO ADDRESS THEIR SKILLED11
WORKER SHORTAGES BUT FACE FINANCIAL BARRIERS .12
(b)  I
N ACCORDANCE WITH SECTION 39-21-304 (1), WHICH13
REQUIRES EACH BILL THAT CREATES A NEW TAX EXPENDITURE TO INCLUDE14
A TAX PREFERENCE PERFORMANCE STATEMENT AS PART OF A STATUTORY15
LEGISLATIVE DECLARATION , THE GENERAL ASSEMBLY FINDS AND16
DECLARES THAT THE PURPOSE OF THE TAX CREDIT PROVIDED FOR IN THIS17
SECTION IS TO INDUCE CERTAIN DESIGNATED BEHAVIOR BY TAXPAYERS18
AND TO PROVIDE A REDUCTION IN INCOME TAX LIABILITY FOR CERTAIN19
BUSINESSES THAT HIRE APPRENTICES . SPECIFICALLY, THIS TAX20
EXPENDITURE IS INTENDED TO INCENTIVIZE THE HIRING OF APPRENTICES21
AND GROWTH OF REGISTERED APPRENTICESHIP PROGRAMS IN NEW AND22
EMERGING INDUSTRIES.23
(c)  T
HE GENERAL ASSEMBLY AND THE STATE AUDITOR SHALL24
MEASURE THE EFFECTIVENESS OF THE TAX CREDIT IN ACHIEVING THE25
PURPOSES SPECIFIED IN SUBSECTION (1)(b) OF THIS SECTION BASED ON THE26
NUMBER AND VALUE OF THE CREDITS CLAIMED .27
HB24-1439
-3- (2)  AS USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE1
REQUIRES:2
(a)  "A
PPRENTICE" HAS THE SAME MEANING AS SET FORTH IN3
SECTION 8-15.7-101 (1).4
(b)  "C
ERTIFICATE OF REGISTRATION" HAS THE SAME MEANING AS5
SET FORTH IN SECTION 8-15.7-101 (6).6
(c)  "C
REDIT" MEANS THE CREDIT AGAINST INCOME TAX CREATED7
IN THIS SECTION.8
(d)  "D
EPARTMENT" MEANS THE DEPARTMENT OF REVENUE .9
(e)  "E
MPLOYEE" HAS THE SAME MEANING AS SET FORTH IN10
SECTION 39-22-604 (2)(a); EXCEPT THAT "EMPLOYEE" INCLUDES ONLY11
THOSE INDIVIDUALS WHO PERFORM SERVICES FOR THE TAXPAYER FOR AT12
LEAST ONE THOUSAND FORTY HOURS PER INCOME TAX YEAR .13
(f)   "N
EW AND EMERGING I NDUSTRY	" DOES NOT INCLUDE THE14
BUILDING AND CONSTRUCTION TRADES AS DESCRIBED IN SECTION15
8-15.7-105
 (4).16
(g)  "Q
UALIFIED TAXPAYER" OR "TAXPAYER" MEANS A PERSON17
SUBJECT TO TAX PURSUANT TO THIS ARTICLE 22 THAT IS DOING BUSINESS18
IN THIS STATE AND THAT EMPLOYS AN APPRENTICE IN THE RELEVANT TAX19
YEAR.20
(h)  "R
EGISTERED APPRENTICESHIP PROGRAM " HAS THE SAME21
MEANING AS SET FORTH IN SECTION 8-15.7-101 (13).22
(i)  "S
TATE APPRENTICESHIP AGENCY " OR "SAA" HAS THE SAME23
MEANING AS SET FORTH IN SECTION 8-15.7-101 (16).24
(3) (a)  S
UBJECT TO THE LIMITATIONS SET FORTH IN SUBSECTION25
(3)(b) 
OF THIS SECTION, FOR INCOME TAX YEARS COMMENCING ON OR26
AFTER JANUARY 1, 2025, BUT BEFORE JANUARY 1, 2035, A QUALIFIED27
HB24-1439
-4- TAXPAYER IN A NEW AND EMERGING INDUSTRY IS ALLOWED AN1
APPRENTICESHIP TAX CREDIT AGAINST THE INCOME TAX IMPOSED BY THIS2
ARTICLE 22 FOR EACH APPRENTICE WHO IS AN EMPLOYEE OF THE3
TAXPAYER IN THIS STATE FOR NO LESS THAN SIX MONTHS DURING THE4
TAXPAYER'S INCOME TAX YEAR. THE CREDIT IS EQUAL TO UP TO SIX5
THOUSAND THREE HUNDRED DOLLARS FOR SIX MONTHS OF EMPLOYMENT6
PLUS UP TO ONE THOUSAND FIFTY DOLLARS FOR EACH ADDITIONAL MONTH7
OF EMPLOYMENT, FOR A MAXIMUM OF TWELVE THOUSAND SIX HUNDRED8
DOLLARS PER APPRENTICE PER INCOME TAX YEAR ; EXCEPT THAT THE9
TAXPAYER SHALL NOT CLAIM A CREDIT FOR :10
(I)  M
ORE THAN TEN APPRENTICES PER INCOME TAX YEAR ;11
(II)  T
HE SAME APPRENTICE FOR MORE THAN TWO CONSECUTIVE12
INCOME TAX YEARS; AND13
(III)  A
N APPRENTICE FOR MONTHS WHEN THE APPRENTICE DID NOT14
RECEIVE WAGES FROM THE TAXPAYER .15
(b)  A
 QUALIFIED TAXPAYER MUST EITHER:16
(I)  H
AVE ESTABLISHED A REGISTERED APPRENTICESHIP PROGRAM17
AND RECEIVED A CERTIFICATE OF REGISTRATION FROM THE STATE18
APPRENTICESHIP AGENCY; OR19
(II)  B
E AN EMPLOYER-PARTNER OF A REGISTERED APPRENTICESHIP20
PROGRAM AS VERIFIED BY THE QUALIFIED TAXPAYER 'S INCLUSION ON THE21
C
OLORADO STATE APPRENTICESHIP RESOURCE DIRECTORY PURSUANT TO22
SECTION 8-83-308.23
(c)  T
O CLAIM THE CREDIT, THE TAXPAYER MUST RESERVE THE24
CREDIT AS SET FORTH IN SUBSECTION (4) OF THIS SECTION AND ANNUALLY25
APPLY FOR AND RECEIVE AN INCOME TAX CREDIT CERTIFICATE FROM THE26
STATE APPRENTICESHIP AGENCY PURSUANT TO SUBSECTION (5) OF THIS27
HB24-1439
-5- SECTION.1
(4) (a)  T
O CLAIM A CREDIT PURSUANT TO THIS SECTION , A2
TAXPAYER MUST SUBMIT AN APPLICATION FOR THE RESERVATION OF A TAX3
CREDIT TO THE SAA IN THE FORM AND MANNER PRESCRIBED BY THE SAA.4
(b)  T
HE SAA SHALL REVIEW ALL SUBMITTED APPLICATIONS TO :5
(I)  D
ETERMINE WHETHER THE APPLICANT IS A QUALIFIED6
TAXPAYER;7
(II)  D
ETERMINE WHETHER THE APPLICANT HAS COMPLIED WITH8
THE REQUIREMENTS OF SUBSECTION (3)(b) OF THIS SECTION;9
(III)  D
ETERMINE WHETHER THE INDIVIDUAL FOR WHOM THE10
APPLICATION IS SUBMITTED IS AN APPRENTICE , IS AN EMPLOYEE, AND11
COMPLIES WITH ANY STANDARDS SET FORTH IN ARTICLE 15.7 OF TITLE 8;12
AND13
(IV)  C
ALCULATE THE NUMBER OF MONTHS EACH PROSPECTIVE14
APPRENTICE IS EXPECTED TO BE EMPLOYED .15
(c) (I)  B
ASED UPON THE NUMBER OF APPRENTICES THE QUALIFIED16
TAXPAYER EXPECTS TO EMPLOY , AND THE NUMBER OF MONTHS EACH17
APPRENTICE IS EXPECTED TO BE EMPLOYED , THE SAA MAY RESERVE FOR18
THE BENEFIT OF EACH QUALIFIED TAXPAYER ALL OR PART OF THE CREDIT19
AMOUNT REQUESTED BY THE QUALIFIED TAXPAYER ; EXCEPT THAT THE20
SAA
 SHALL NOT RESERVE AN AMOUNT IN EXCESS OF THE CREDIT21
ALLOWED BY SUBSECTION (3)(a) OF THIS SECTION.22
(II)  E
XCEPT AS PROVIDED IN SUBSECTION (5)(b)(III) OF THIS23
SECTION, THE AGGREGATE AMOUNT OF CREDITS RESERVED FOR ALL24
QUALIFIED TAXPAYERS MUST NOT EXCEED THIRTY MILLION DOLLARS PER25
CALENDAR YEAR. THE SAA MAY RESERVE CREDITS FOR THE CURRENT OR26
ANY FUTURE CALENDAR YEAR BASED UPON THE EXPECTED EMPLOYMENT27
HB24-1439
-6- DATES INDICATED IN A QUALIFIED TAXPAYER 'S APPLICATION. FOR A1
QUALIFIED TAXPAYER WHOSE INCOME TAX YEAR IS NOT A CALENDAR2
YEAR, THE RESERVATION IS EFFECTIVE FOR THE INCOME TAX YEAR THAT3
BEGINS DURING THE CALENDAR YEAR FOR THE RESERVATION .4
(III)  I
F, FOR ANY CALENDAR YEAR, THE AGGREGATE AMOUNT OF5
RESERVATIONS FOR TAX CREDITS THE SAA HAS APPROVED IS EQUAL TO6
THE TOTAL AMOUNT OF TAX CREDITS AVAILABLE FOR RESERVATION FOR7
A CURRENT OR FUTURE CALENDAR YEAR , THE SAA SHALL NOTIFY ALL8
QUALIFIED TAXPAYERS THAT HAVE SUBMITTED APPLICATIONS THEN9
AWAITING APPROVAL OR THAT HAVE SUBMITTED APPLICATIONS FOR10
APPROVAL AFTER THE CALCULATION IS MADE THAT ADDITIONAL11
APPROVALS OF APPLICATIONS FOR RESERVATIONS OF TAX CREDITS SHALL12
NOT BE GRANTED FOR THE CALENDAR YEAR . THE PENDING APPLICATIONS13
MUST REMAIN PENDING IN THE ORDER RECEIVED FOR UP TO TWO YEARS14
AFTER THE DATE THE ORIGINAL APPLICATION IS RECEIVED BY THE SAA15
AND SHALL BE CONSIDERED FOR RESERVATIONS OF TAX CREDITS IN THE16
EVENT THAT ADDITIONAL CREDITS BECOME AVAILABLE PURSUANT TO17
SUBSECTION (5)(b) OF THIS SECTION.18
(d) (I)  I
F THE SAA RESERVES CREDITS FOR THE BENEFIT OF A19
QUALIFIED TAXPAYER, THE SAA SHALL NOTIFY THE QUALIFIED TAXPAYER20
OF THE RESERVATION AND THE AMOUNT RESERVED . THE RESERVATION OF21
TAX CREDITS DOES NOT ENTITLE THE QUALIFIED TAXPAYER TO AN22
ISSUANCE OF A TAX CREDIT CERTIFICATE UNTIL THE QUALIFIED TAXPAYER23
COMPLIES WITH ALL OF THE REQUIREMENTS OF THIS SECTION OR24
STANDARDS OF THE SAA FOR THE ISSUANCE OF A TAX CREDIT25
CERTIFICATE.26
(II)  T
HE SAA SHALL NOTIFY ANY QUALIFIED TAXPAYER FOR27
HB24-1439
-7- WHICH THE SAA DID NOT RESERVE A CREDIT UNDER SUBSECTION (4)(c) OF1
THIS SECTION OF ITS DECISION IN WRITING. IF THE SAA DETERMINES THAT2
A QUALIFIED TAXPAYER'S APPLICATION IS INCOMPLETE OR THAT THE3
APPLICATION DOES NOT COMPLY WITH THE REQUIREMENTS OF THIS4
SECTION OR THE STANDARDS ESTABLISHED BY THE SAA, THE SAA SHALL5
REMOVE THE APPLICATION FROM THE REVIEW PROCESS AND NOTIFY THE6
QUALIFIED TAXPAYER IN WRITING OF ITS DECISION.7
(5) (a) (I)  A
 QUALIFIED TAXPAYER SHALL SUBMIT AN APPLICATION8
TO THE SAA FOR AN INCOME TAX CREDIT CERTIFICATE TO CLAIM THE9
CREDIT ALLOWED BY THIS SECTION ON A FORM AND IN A MANNER10
PRESCRIBED BY THE SAA. THE APPLICATION MUST INCLUDE IDENTIFYING11
INFORMATION FOR EACH APPRENTICE EMPLOYED IN THE STATE FOR WHICH12
THE QUALIFIED TAXPAYER IS SUBMITTING AN APPLICATION FOR A TAX13
CREDIT, THE AMOUNT OF CREDIT REQUESTED , AND SUFFICIENT14
INFORMATION TO ALLOW THE SAA TO MAKE A DETERMINATION THAT :15
(A)  T
HE TAXPAYER MEETS THE REQUIREMENTS SET FORTH IN THIS16
SECTION;17
(B)  T
HE APPRENTICE FOR WHOM THE APPLICATION IS SUBMITTED18
MEETS THE STANDARDS SET FORTH IN ARTICLE 15.7 OF TITLE 8; AND19
(C)  T
HE APPRENTICE FOR WHOM THE APPLICATION IS SUBMITTED20
HAS NOT BEEN THE SUBJECT OF A TAXPAYER 'S APPLICATION FOR MORE21
THAN TWO INCOME TAX YEARS .22
(II)  E
XCEPT AS PROVIDED IN SUBSECTION (5)(b)(II) OF THIS23
SECTION, THE SAA:24
(A)  M
AY ISSUE ONE INCOME TAX CREDIT CERTIFICATE PER INCOME25
TAX YEAR TO EACH QUALIFIED TAXPAYER THAT , AT A MINIMUM, SPECIFIES26
THE TAXPAYER'S IDENTIFYING INFORMATION AND THE TOTAL AMOUNT OF27
HB24-1439
-8- THE CREDIT ALLOWED; AND1
(B)  S
HALL NOT ISSUE AN INCOME TAX CREDIT CERTIFICATE IN2
EXCESS OF THE AMOUNT RESERVED FOR THE QUALIFIED TAXPAYER FOR3
THE CALENDAR YEAR PURSUANT TO SUBSECTION (4) OF THIS SECTION.4
(b)  I
F THE ACTUAL AGGREGATE AMOUNT OF INCOME TAX CREDIT5
CERTIFICATES ISSUED FOR A CALENDAR YEAR IS LESS THAN THE MAXIMUM6
AGGREGATE AMOUNT OF CREDITS ALLOWED TO BE RESERVED FOR ALL7
QUALIFIED TAXPAYERS, THE SAA SHALL APPLY THE REMAINING BALANCE8
IN THE FOLLOWING ORDER:9
(I)  R
ESERVE THE REMAINING BALANCE FOR ANY APPLICATIONS10
PENDING IN ORDER OF PRIORITY PURSUANT TO SUBSECTION (4)(c)(III) OF11
THIS SECTION;12
(II)  I
SSUE AN ADDITIONAL TAX CREDIT CERTIFICATE UP TO THE13
AMOUNT ALLOWED PURSUANT TO SUBSECTION (3)(a) OF THIS SECTION TO14
ANY QUALIFIED TAXPAYER WHOSE ACTUAL CREDIT EARNED EXCEEDED THE15
AMOUNT RESERVED PURSUANT TO SUBSECTION (4) OF THIS SECTION; AND16
(III)  I
NCREASE THE MAXIMUM AGGREGATE AMOUNT OF CREDITS17
ALLOWED TO BE RESERVED FOR ALL QUALIFIED TAXPAYERS FOR THE NEXT18
CALENDAR YEAR; EXCEPT THAT UNUSED CREDITS SHALL NOT BE CARRIED19
FORWARD TO A CALENDAR YEAR BEGINNING ON OR AFTER JANUARY 1,20
2035.21
(c) (I)  T
HE SAA SHALL MAINTAIN A DATABASE OF ANY22
INFORMATION DETERMINED NECESSARY BY THE SAA TO EVALUATE THE23
EFFECTIVENESS OF THE INCOME TAX CREDIT ALLOWED IN THIS SECTION IN24
MEETING THE PURPOSE SET FORTH IN SUBSECTION (1)(b) OF THIS SECTION25
AND SHALL PROVIDE SUCH INFORMATION , AND ANY OTHER INFORMATION26
THAT MAY BE NEEDED, IF AVAILABLE, TO THE STATE AUDITOR AS PART OF27
HB24-1439
-9- THE STATE AUDITOR'S EVALUATION OF THE TAX EXPENDITURE REQUIRED1
BY SECTION 39-21-305.2
(II)  T
HE SAA SHALL, IN A SUFFICIENTLY TIMELY MANNER TO3
ALLOW THE DEPARTMENT TO PROCESS RETURNS CLAIMING THE INCOME4
TAX CREDIT ALLOWED IN THIS SECTION, PROVIDE THE DEPARTMENT WITH5
AN ELECTRONIC REPORT FOR THE PRECEDING TAX YEAR LISTING EACH6
QUALIFIED TAXPAYER TO WHICH THE SAA ISSUED AN INCOME TAX CREDIT7
CERTIFICATE AND THAT INCLUDES THE FOLLOWING INFORMATION :8
(A)  T
HE TAXPAYER'S NAME;9
(B)  T
HE AMOUNT OF THE INCOME TAX CREDIT THAT THE TAX10
CREDIT CERTIFICATE INDICATES THE TAXPAYER IS ELIGIBLE TO CLAIM; AND11
(C)  T
HE TAXPAYER'S SOCIAL SECURITY NUMBER OR THE12
TAXPAYER'S COLORADO ACCOUNT NUMBER AND FEDERAL EMPLOYER13
IDENTIFICATION NUMBER.14
(III)  T
HE SAA SHALL PRESCRIBE FORMS AND PROMULGATE RULES15
PURSUANT TO ARTICLE 4 OF TITLE 24 ESTABLISHING THE STANDARDS FOR16
WHICH AN INCOME TAX CREDIT CERTIFICATE UNDER THIS SUBSECTION (5)17
IS ISSUED.18
(6)  T
O CLAIM THE CREDIT AUTHORIZED BY THIS SECTION , A19
TAXPAYER SHALL FILE THE INCOME TAX CREDIT CERTIFICATE WITH THE20
TAXPAYER'S STATE INCOME TAX RETURN . THE AMOUNT OF THE CREDIT21
THAT THE TAXPAYER MAY CLAIM PURSUANT TO THIS SECTION IS THE22
AMOUNT STATED ON THE INCOME TAX CREDIT CERTIFICATE .23
(7)  I
F A TAXPAYER CLAIMS THE CREDIT ALLOWED IN THIS SECTION ,24
THE TAXPAYER SHALL NOT CLAIM A CREDIT FOR THE SAME APPRENTICE25
PURSUANT TO SECTION 39-22-531, 39-30-105.1, OR 39-30.5-105.26
(8)  I
F AN INCOME TAX CREDIT AUTHORIZED IN THIS SECTION27
HB24-1439
-10- EXCEEDS THE INCOME TAX DUE ON THE INCOME OF THE TAXPAYER FOR1
THE TAXABLE YEAR , THE EXCESS CREDIT SHALL NOT BE CARRIED2
FORWARD AND MUST BE REFUNDED TO THE TAXPAYER .3
(9)  T
HIS SECTION IS REPEALED, EFFECTIVE DECEMBER 31, 2037.4
SECTION 2. In Colorado Revised Statutes, 39-22-520, amend5
(2)(a); and add (4) as follows:6
39-22-520.  Credit against tax - investment in school-to-career7
program - definitions - repeal. (2) (a)  For income tax years beginning8
on or after January 1, 1997, 
BUT BEFORE JANUARY 1, 2025, there shall be9
allowed to any person as a credit against the tax imposed by this article
10
ARTICLE 22 an amount equal to ten percent of the total qualified11
investment made in a qualified school-to-career program.12
(4)  T
HIS SECTION IS REPEALED, EFFECTIVE DECEMBER 31, 2028.13
SECTION 3. In Colorado Revised Statutes, 8-15.7-102, add14
(1)(s) as follows:15
8-15.7-102.  State apprenticeship agency - created - director -16
powers and duties - rules - repeal. (1)  There is created in the17
department the state apprenticeship agency. The executive director shall18
appoint a director of the SAA. The SAA shall:19
(s) (I)  R
EVIEW APPLICATIONS FOR AND ISSUE INCOME TAX CREDIT20
CERTIFICATES AS SPECIFIED IN SECTION 39-22-560 AND PROMULGATE21
RULES TO ESTABLISH STANDARDS FOR THE CERTIFICATES .22
(II)  T
HIS SUBSECTION (1)(s) IS REPEALED, EFFECTIVE DECEMBER23
31,
 2037.24
SECTION 4. In Colorado Revised Statutes, add parts 2 and 3 to25
article 15.7 of title 8 as follows:26
PART 227
HB24-1439
-11- SCALE-UP GRANT PROGRAM1
8-15.7-201.  Definitions. A
S USED IN THIS PART 2:2
(1)  "A
PPLICANT" MEANS A PERSON THAT APPLIES TO RECEIVE A3
GRANT FROM THE SCALE-UP GRANT PROGRAM.4
(2)  "S
CALE-UP GRANT FUND" OR "FUND" MEANS THE SCALE-UP5
GRANT FUND CREATED IN SECTION 8-15.7-205.6
(3)  "S
CALE-UP GRANT PROGRAM" OR "GRANT PROGRAM" MEANS7
THE SCALE-UP GRANT PROGRAM CREATED IN SECTION 8-15.7-202.8
8-15.7-202.  Scale-up grant program - creation - application9
process - data. (1)  O
N OR BEFORE JANUARY 1, 2025, THE DEPARTMENT10
SHALL ESTABLISH THE SCALE-UP GRANT PROGRAM TO ESTABLISH NEW11
REGISTERED APPRENTICESHIP PROGRAMS OR EXPAND EXISTING PROGRAMS12
IN COLORADO.13
(2)  T
HE DEPARTMENT SHALL:14
(a)  C
REATE AN APPLICATION PROCESS THROUGH WHICH IT SELECTS15
GRANT RECIPIENTS TO PARTICIPATE IN THE GRANT PROGRAM , WITH THE16
GOAL OF ACCELERATING NEW APPRENTICESHIP PROGRAM GROWTH ,17
DIVERSIFYING PARTICIPANTS IN APPRENTICESHIP PROGRAMS , AND18
DIVERSIFYING THE GEOGRAPHIC DISTRIBUTION OF APPRENTICESHIP19
PROGRAMS, ESPECIALLY IN HIGH-PRIORITY, HIGH-DEMAND INDUSTRIES,20
WHILE ENSURING QUALITY STANDARDS ;21
(b)  S
ELECT GRANT RECIPIENTS THAT ARE EMPLOYERS OR SPONSORS22
THAT:23
(I)  P
LAN TO DEVELOP AND REGISTER A NEW REGISTERED24
APPRENTICESHIP PROGRAM; OR25
(II)  C
URRENTLY OFFER A REGISTERED APPRENTICESHIP PROGRAM26
AND PLAN TO EXPAND IT;27
HB24-1439
-12- (c)  OUTLINE PERFORMANCE EXPECTATIONS FOR GRANT RECIPIENTS1
PARTICIPATING IN THE GRANT PROGRAM , INCLUDING MAINTAINING2
ACCURATE AND TIMELY DATA IN THE FEDERAL REGISTERED3
APPRENTICESHIP PARTNERS INFORMATION DATABASE SYSTEM , OR A4
SUCCESSOR DATABASE; AND5
(d)  C
OLLECT DATA CONCERNING THE GRANT PROGRAM ,6
INCLUDING:7
(I)  T
HE NUMBER OF EMPLOYERS BENEFITING FROM THE GRANT8
PROGRAM;9
(II)  T
HE NUMBER OF APPRENTICES BENEFITING FROM THE GRANT10
PROGRAM;11
(III)  T
HE DEMOGRAPHICS OF THE APPRENTICES SERVED BY THE12
GRANT RECIPIENTS; AND13
(IV)  A
NY OTHER INFORMATION DEEMED APPROPRIATE BY THE14
DEPARTMENT.15
8-15.7-203.  Applicants. (1)  A
N APPLICANT SHALL SUBMIT AN16
APPLICATION TO THE DEPARTMENT IN A FORM AND MANNER ESTABLISHED17
BY THE DEPARTMENT THAT IS DESIGNED TO MAXIMIZE PARTICIPATION . IN18
THE APPLICATION, THE APPLICANT SHALL:19
(a)  P
ROVIDE A DETAILED PROPOSAL AND OPERATIONS PLAN FOR20
THE GROWTH OR DEVELOPMENT OF A REGISTERED APPRENTICESHIP21
PROGRAM; AND22
(b)  S
UBMIT ANY OTHER INFORMATION DEEMED APPROPRIATE BY23
THE DEPARTMENT.24
(2)  A
PPLICANTS MUST NOT HAVE RECEIVED OR HAVE BEEN25
SELECTED TO RECEIVE FUNDING FROM THE QUALIFIED APPRENTICESHIP26
INTERMEDIARY GRANT PROGRAM PURSUANT TO SECTION 8-15.7-302.27
HB24-1439
-13- 8-15.7-204.  Report. O	N OR BEFORE DECEMBER 31, 2026, THE1
DEPARTMENT SHALL SUBMIT A REPORT COMPILING THE INFORMATION2
COLLECTED PURSUANT TO SECTION 8-15.7-202 (2)(d) TO THE HOUSE OF3
REPRESENTATIVES BUSINESS AFFAIRS AND LABOR COMMITTEE AND THE4
SENATE BUSINESS, LABOR, AND TECHNOLOGY COMMITTEE , OR THEIR5
SUCCESSOR COMMITTEES.6
8-15.7-205.  Scale-up grant fund - creation - gifts, grants, or7
donations - transfer. (1)  T
HERE IS CREATED IN THE STATE TREASURY8
THE SCALE-UP GRANT FUND. MONEY IN THE FUND IS CONTINUOUSLY9
APPROPRIATED TO THE DEPARTMENT TO IMPLEMENT THE GRANT PROGRAM10
AND PAY FOR THE DEPARTMENT 'S DIRECT AND INDIRECT COSTS IN11
ADMINISTERING THE GRANT PROGRAM .12
(2)  O
N JULY 1, 2024, THE STATE TREASURER SHALL TRANSFER TWO13
MILLION DOLLARS FROM THE GENERAL FUND TO THE SCALE -UP GRANT14
FUND.15
(3)  T
HE DEPARTMENT MAY SEEK , ACCEPT, AND EXPEND GIFTS,16
GRANTS, AND DONATIONS FROM PRIVATE OR PUBLIC SOURCES FOR THE17
PURPOSES OF THIS PART 2.18
(4)  T
HE STATE TREASURER SHALL TRANSFER ALL UNEXPENDED19
AND UNENCUMBERED MONEY REMAINING IN THE FUND AT THE END OF20
STATE FISCAL YEAR 2026-27 TO THE GENERAL FUND.21
8-15.7-206.  Repeal of part. T
HIS PART 2 IS REPEALED, EFFECTIVE22
J
ULY 1, 2027.23
PART 324
QUALIFIED APPRENTICESHIP INTERMEDIARY25
GRANT PROGRAM26
8-15.7-301.  Definitions. A
S USED IN THIS PART 3:27
HB24-1439
-14- (1)  "APPLICANT" MEANS A PERSON THAT APPLIES TO RECEIVE A1
GRANT FROM THE QUALIFIED APPRENTICESHIP INTERMEDIARY GRANT2
PROGRAM.3
(2)  "Q
UALIFIED APPRENTICESHIP INTERMEDIARY " HAS THE SAME4
MEANING AS "QUALIFIED INTERMEDIARY" AS SET FORTH IN SECTION5
8-15.7-101
 (11).6
(3)  "Q
UALIFIED APPRENTICESHIP INTERMEDIARY GRANT FUND " OR7
"
FUND" MEANS THE QUALIFIED APPRENTICESHIP INTERMEDIARY GRANT8
FUND CREATED IN SECTION 8-15.7-305.9
(4)  "Q
UALIFIED APPRENTICESHIP INTERMEDIARY GRANT PROGRAM "10
OR "GRANT PROGRAM " MEANS THE QUALIFIED APPRENTICESHIP11
INTERMEDIARY GRANT PROGRAM CREATED IN SECTION 8-15.7-302.12
8-15.7-302.  Qualified apprenticeship intermediary grant13
program - creation - application process - data. (1)  O
N OR BEFORE14
J
ANUARY 1, 2025, THE DEPARTMENT SHALL ESTABLISH THE QUALIFIED15
APPRENTICESHIP INTERMEDIARY GRANT PROGRAM TO SUPPORT ENTITIES16
THAT DEMONSTRATE EXPERTISE IN CONNECTING EMPLOYERS OR17
APPRENTICESHIP PROGRAM PARTICIPANT S TO REGISTERED APPRENTICESHIP18
PROGRAMS OR IN CONVENING STAKEHOLDERS TO DEVELOP REGISTERED19
APPRENTICESHIP PROGRAMS.20
(2)  T
HE DEPARTMENT SHALL:21
(a)  C
REATE AN APPLICATION PROCESS THROUGH WHICH IT SELECTS22
GRANT RECIPIENTS TO PARTICIPATE IN THE GRANT PROGRAM , WITH THE23
GOAL OF EXP ANDING APPRENTICESHIP PROGRAMS	, DIVERSIFYING24
PARTICIPANTS IN APPRENTICESHIP PROGRAMS , AND DIVERSIFYING25
GEOGRAPHIC DISTRIBUTION OF APPRENTICESHIP PROGRAMS , ESPECIALLY26
IN HIGH-PRIORITY, HIGH-DEMAND INDUSTRIES, WHILE ENSURING QUALITY27
HB24-1439
-15- STANDARDS;1
(b)  S
ELECT AND PRIORITIZE GRANT PROGRAM RECIPIENTS BASED2
ON:3
(I)  A
N APPLICANT'S RECORD OF SUCCESS IN SUPPORTING JOB4
SEEKERS, APPRENTICES, EMPLOYERS, AND SPONSORS;5
(II)  T
HE REGIONAL DIVERSITY OF THE AREAS SERVED BY AN6
APPLICANT;7
(III)  T
HE DIVERSITY OF POPULATIONS SERVED BY AN APPLICANT ;8
AND9
(IV)  H
OW THE REGISTERED APPRENTICESHIP PROGRAMS SERVED10
BY THE APPLICANT MEET TALENT NEEDS IN HIGH-PRIORITY, HIGH-DEMAND11
INDUSTRIES;12
(c)  O
UTLINE PERFORMANCE EXPECTATIONS FOR GRANT RECIPIENTS13
PARTICIPATING IN THE GRANT PROGRAM ; AND14
(d)  C
OLLECT DATA CONCERNING THE GRANT PROGRAM THAT15
INCLUDES:16
(I)  T
HE NUMBER OF EMPLOYERS BENEFITING FROM THE GRANT17
PROGRAM;18
(II)  T
HE NUMBER OF APPRENTICES BENEFITING FROM THE GRANT19
PROGRAM;20
(III)  T
HE DEMOGRAPHICS OF THE APPRENTICES SERVED BY THE21
GRANT RECIPIENTS;22
(IV)  A
 DESCRIPTION OF THE SERVICES PROVIDED BY THE GRANT23
RECIPIENT;24
(V)  T
HE NAMES OF THE REGISTERED APPRENTICESHIP PROGRAMS25
AND OCCUPATIONS IMPACTED BY THE SERVICES PROVIDED BY THE GRANT26
RECIPIENT; AND27
HB24-1439
-16- (VI)  ANY OTHER INFORMATION DEEMED APPROPRIATE BY THE1
DEPARTMENT.2
(3)  G
RANT RECIPIENTS SHALL NOT USE MONEY FROM THE GRANT3
PROGRAM FOR APPRENTICE WAGES .4
8-15.7-303.  Application. (1)  A
N APPLICANT SHALL SUBMIT AN5
APPLICATION TO THE DEPARTMENT IN A FORM AND MANNER ESTABLISHED6
BY THE DEPARTMENT THAT IS DESIGNED TO MAXIMIZE PARTICIPATION . IN7
THE APPLICATION, THE APPLICANT SHALL:8
(a)  D
ESCRIBE HOW THE GRANT WILL BE USED TO EXPAND OR9
DIVERSIFY REGISTERED APPRENTICESHIP PROGRAMS IN COLORADO; AND10
(b)  S
UBMIT ANY OTHER INFORMATION DEEMED APPROPRIATE BY11
THE DEPARTMENT.12
(2)  A
N APPLICANT MUST:13
(a)  B
E A QUALIFIED APPRENTICESHIP INTERMEDIARY ; AND14
(b)  A
PPLICANTS MUST NOT HAVE RECEIVED OR HAVE BEEN15
SELECTED TO RECEIVE FUNDING FROM THE SCALE -UP GRANT PROGRAM16
PURSUANT TO SECTION 8-15.7-202.17
8-15.7-304.  Report. O
N OR BEFORE DECEMBER 31, 2026, THE18
DEPARTMENT SHALL SUBMIT A REPORT COMPILING THE INFORMATION19
COLLECTED PURSUANT TO SECTION 8-15.7-302 (2)(d) TO THE HOUSE OF20
REPRESENTATIVES BUSINESS AFFAIRS AND LABOR COMMITTEE AND THE21
SENATE BUSINESS, LABOR, AND TECHNOLOGY COMMITTEE , OR THEIR22
SUCCESSOR COMMITTEES.23
8-15.7-305.  Qualified apprenticeship intermediary grant fund24
- creation - transfer - gifts, grants, or donations. (1)  T
HERE IS25
CREATED IN THE STATE TREASURY THE QUALIFIED APPRENTICESHIP26
INTERMEDIARY GRANT FUND . MONEY IN THE FUND IS CONTINUOUSLY27
HB24-1439
-17- APPROPRIATED TO THE DEPARTMENT TO IMPLEMENT THE GRANT PROGRAM1
AND PAY FOR THE DEPARTMENT 'S DIRECT AND INDIRECT COSTS IN2
ADMINISTERING THE GRANT PROGRAM .3
(2)  O
N JULY 1, 2024, THE STATE TREASURER SHALL TRANSFER TWO4
MILLION DOLLARS FROM THE GENERAL FUND TO THE FUND .5
(3)  T
HE DEPARTMENT MAY SEEK , ACCEPT, AND EXPEND GIFTS,6
GRANTS, AND DONATIONS FROM PRIVATE OR PUBLIC SOURCES FOR THE7
PURPOSES OF THIS PART 3.8
(4)  T
HE STATE TREASURER SHALL TRANSFER ALL UNEXPENDED9
AND UNENCUMBERED MONEY REMAINING IN THE FUND AT THE END OF10
STATE FISCAL YEAR 2026-27 TO THE GENERAL FUND.11
8-15.7-306.  Repeal of part. T
HIS PART 3 IS REPEALED, EFFECTIVE12
J
ULY 1, 2027.13
SECTION 5. Safety clause. The general assembly finds,14
determines, and declares that this act is necessary for the immediate15
preservation of the public peace, health, or safety or for appropriations for16
the support and maintenance of the departments of the state and state17
institutions.18
HB24-1439
-18-