Second 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. 24-0532.01 Megan McCall x4215
SENATE BILL 24-226
Senate Committees House Committees
Finance Finance
Appropriations Appropriations
A BILL FOR AN ACT
C
ONCERNING MODIFICATIONS TO THE COLLEGE KICKSTARTER101
ACCOUNT PROGRAM .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 modifies the college kickstarter account program
(program). Under current law, an account may be opened by a parent or
parents of an eligible child. The bill expands who may open an account
and be an account sponsor, requiring that an account sponsor must
provide the birth certificate number or order of adoption for an eligible
child in accordance with the requirements of the program to open an
HOUSE
2nd Reading Unamended
May 6, 2024
SENATE
3rd Reading Unamended
May 3, 2024
SENATE
Amended 2nd Reading
May 2, 2024
SENATE SPONSORSHIP
Fenberg and Marchman, Bridges, Buckner, Cutter, Exum, Jaquez Lewis, Michaelson
Jenet, Priola
HOUSE SPONSORSHIP
Herod and Brown,
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. account. The bill also expands the membership of the advisory board,
requires the advisory board to meet at least on a quarterly basis each year,
and makes changes to certain reporting requirements for the program.
Currently, a parent or parents of an eligible child must claim
kickstarter funding within 5 years of the date of the eligible child's birth
or adoption. The bill expands this period to 8 years for an account sponsor
to claim kickstarter funding, and clarifies that an account is an "individual
college savings account", which is any collegeinvest account.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, 23-3.1-306.5, amend2
(1)(a)(V), (1)(b) introductory portion, (2)(a), (2)(d),
(3), (4)(a), (4)(b),3
(4)(c) introductory portion, (4)(c)(I), (4)(c)(II), (5), (6) introductory4
portion, (6)(a), (6)(b)(II), (6)(b)(IV), (6)(b)(V), (7), and (8)(c); repeal5
(6)(b)(III) and (6)(b)(VI); and add (2)(a.5), (2)(a.7), (2)(b.5), (2)(c.5),6
(6)(b)(VII), and (6)(c) as follows:7
23-3.1-306.5. College kickstarter account program - funding8
- administration - financial literacy course - rules - legislative9
declaration - definitions. (1) (a) The general assembly hereby finds and10
declares that:11
(V) Providing seed money for each child born in
OR ADOPTED12
INTO Colorado as an incentive to enroll in a college savings account helps13
make saving for college part of the collective culture of Colorado by14
opening the door for economic opportunity for all children and their15
families, better positions the state as a pioneer in building family financial16
capability, and promotes the development of a stronger, more qualified17
Colorado workforce.18
(b) The general assembly further finds and declares that19
establishing the college kickstarter account program, which provides both20
an initial contribution of money for every child born in
OR ADOPTED INTO21
226-2- Colorado that may be claimed and transferred to a college savings1
account and subsequently supplemented by parental and family OTHER2
contributions and a potential opportunity for financial literacy education3
free of charge:4
(2) As used in this section, unless the context otherwise requires:5
(a) "Eligible child" means a child born or adopted in Colorado on6
or after January 1, 2020, but before January 1, 2040. "ACCOUNT7
SPONSOR" MEANS, BEFORE JANUARY 1, 2025, A PARENT OR PARENTS AND8
ON OR AFTER JANUARY 1, 2025, A PARENT OR PARENTS OR ANY OTHER9
INDIVIDUAL WHO PROVIDES THE BIRTH CERTIFICATE NUMBER OR ORDER OF10
ADOPTION FOR AN ELIGIBLE CHILD IN ACCORDANCE WITH THE11
REQUIREMENTS OF THIS SECTION.12
(a.5) "B
ASE AMOUNT" MEANS:
13
(I) O
NE HUNDRED DOLLARS BEFORE JANUARY 1, 2021; OR
14
(II) O
NE HUNDRED DOLLARS , ANNUALLY ADJUSTED FOR
15
INFLATION, FOR EACH YEAR BEGINNING ON OR AFTER JANUARY 1, 2021.16
(a.7) "ELIGIBLE CHILD" MEANS A CHILD BORN OR ADOPTED IN17
C
OLORADO ON OR AFTER JANUARY 1, 2020, BUT BEFORE JANUARY 1,18
2040.19
(b.5) "I
NDIVIDUAL COLLEGE SAVINGS ACC OUNT " MEANS ANY20
COLLEGEINVEST ACCOUNT .21
(c.5) "I
NTEREST ACCRUAL AMOUNT " MEANS THE AMOUNT OF
22
INTEREST THAT HAS ACCRUED FROM THE BASE AMOUNT IN THE YEAR THE23
ELIGIBLE CHILD WAS BORN TO THE YEAR THAT THE ACCOUNT SPONSOR24
CLAIMS KICKSTARTER FUNDING .25
(d) "Kickstarter funding" means an amount in the master account26
designated for each eligible child by the authority
THAT IS EQUAL TO THE
27
226
-3- BASE AMOUNT IN THE CLAIM YEAR PLUS , IF APPLICABLE, THE INTEREST1
ACCRUAL AMOUNT, which the parent or parents of AN ACCOUNT SPONSOR2
FOR the eligible child can claim on behalf of the eligible child, LIMITED3
TO ONE CLAIM PER BIRTH CERTIFICATE NUMBER OR ORDER OF ADOPTION4
PER CHILD, AS APPLICABLE, by opening an INDIVIDUAL COLLEGE SAVINGS5
account for the eligible child. as follows:6
(I) One hundred dollars for each eligible child born before January7
1, 2021; or8
(II) One hundred dollars, annually adjusted for inflation for each9
year beginning on or after January 1, 2021, for each eligible child born on10
or after January 1, 2021.11
(3) (a) Except as otherwise provided in subsection (5) of this12
section, the authority shall oversee and administer the college kickstarter13
account program, which is created within the authority. The department14
shall create an advisory board,
FACILITATED BY THE AUTHORITY, which
15
shall include, at a minimum, the state treasurer or the state treasurer's16
designee and both an employee of the department who is not an employee17
of the authority and an employee of the authority IN ACCORDANCE WITH18
SUBSECTION (3)(b) OF THIS SECTION, WHICH IS A SUBCOMMITTEE OF THE19
BOARD OF DIRECTORS OF THE AUTHORITY , to advise the authority20
regarding the oversight and administration of the kickstarter program. The21
advisory board is subject to the open meetings provisions of the Colorado22
sunshine law contained in part 4 of article 6 of title 24 and the "Colorado23
Open Records Act", article 72 of title 24.24
(b) (I) M
EMBERS OF THE ADVISORY BOARD MUST INCLUDE :25
(A) T
HE STATE TREASURER OR THE STATE TREASURER 'S DESIGNEE;26
(B) T
HE EXECUTIVE DIRECTOR OF THE DEPARTMENT OF HIGHER27
226
-4- EDUCATION OR THE EXECUTIVE DIRECTOR 'S DESIGNEE;1
(C) T
HE CHAIR OR THE VICE-CHAIR OF THE BOARD OF DIRECTORS2
OF THE AUTHORITY;3
(D) T
HE EXECUTIVE DIRECTOR OF THE DEPARTMENT OF EARLY4
CHILDHOOD OR THE EXECUTIVE DIRECTOR 'S DESIGNEE;5
(E) T
HE EXECUTIVE DIRECTOR OF THE DEPARTMENT OF EDUCATION6
OR THE EXECUTIVE DIRECTOR'S DESIGNEE;7
(F) A
REPRESENTATIVE FROM THE OFFICE OF CHILDREN , YOUTH,8
AND FAMILIES IN THE DIVISION OF CHILD WELFARE IN THE DEPARTMENT OF9
HUMAN SERVICES;10
(G) A
MARKETING EXPERT FROM OUTSIDE THE AUTHORITY ;11
(H) A
CUSTOMER EXPERIENCE DESIGN EXPERT FROM OUTSIDE THE12
AUTHORITY; AND13
(I) A
N EMPLOYEE OF THE AUTHORITY WITH CONTENT KNOWLEDGE14
OF THE KICKSTARTER PROGRAM .15
(II) A
NY MEMBER OF THE BOARD OF DIRECTORS OF THE16
AUTHORITY MAY SERVE ON THE ADVISORY BOARD .17
(c) T
HE ADVISORY BOARD MUST MEET AT LEAST QUARTERLY EACH18
YEAR.19
(4) (a) The authority shall create a kickstarter program master20
account. By increasing available revenue, without reducing existing levels21
of scholarship or matching grant funding, the authority shall annually22
deposit to the master account for state fiscal year 2019-20 and for each23
succeeding state fiscal year thereafter through state fiscal year 2044-4524
the amount needed to ensure that there is sufficient money in the master25
account to make all transfers of kickstarter funding from the master26
account to
INDIVIDUAL COLLEGE SAVINGS accounts that name an eligible27
226
-5- child as the beneficiary required by subsection (4)(b) of this section1
during the state fiscal year for which the transfer is made.2
Notwithstanding any other law, the amounts to be transferred shall be3
taken from money of the authority that is available for use by the4
authority for the Colorado collegeinvest scholarship program created in5
section 23-3.1-206.9 (1) or for the authority's matching grant program.6
(b) The authority shall designate kickstarter funding in the master7
account for each eligible child upon receiving notice of the birth or8
adoption of the eligible child from the office of the state registrar of vital9
statistics in the department of public health and environment, created in10
section 25-2-103 (1), as required by section 25-2-112 (8). The authority11
shall initially invest the kickstarter funding in its stable value plus plan or12
any successor plan that has a similar investment strategy. A
N ACCOUNT13
SPONSOR SHALL IDENTIFY AN INDIVIDUAL COLLEGE SAVINGS ACCOUNT14
THAT NAMES THE ELIGIBLE CHILD AS THE BENEFICIARY WHEN CLAIMING15
KICKSTARTER FUNDING FOR THE ELIGIBLE CHILD . THE ACCOUNT SPONSOR16
MAY OPEN AN INDIVIDUAL COLLEGE SAVINGS ACCOUNT WITHOUT MAKING17
ANY ADDITIONAL CONTRIBUTION BEYOND KICKSTARTER FUNDING . If the
18
parent or parents of an eligible child open an account, which they may do19
without making any additional contribution, that names the child as the20
beneficiary AN ACCOUNT SPONSOR MAY CLAIM KICKSTARTER FUNDING21
FOR AN ELIGIBLE CHILD within five EIGHT years of the date of the eligible22
child's birth or adoption,
AT WHICH TIME the authority shall transfer the23
kickstarter funding designated for the eligible child and any associated
24
interest from the master account to the eligible child's INDIVIDUAL25
COLLEGE SAVINGS account. If the parent or parents of AN ACCOUNT26
SPONSOR FOR an eligible child do DOES not open an INDIVIDUAL COLLEGE27
226
-6- SAVINGS account that names the eligible child as a beneficiary AND1
CLAIMS KICKSTARTER FUNDING within five EIGHT years of the eligible2
child's birth or adoption, any money in the master account that was3
designated for the eligible child remains in the master account and may4
be designated for another eligible child. Kickstarter funding and any5
associated interest, whether it is designated for an eligible child in the6
master account or in an
INDIVIDUAL COLLEGE SAVINGS account that names7
an eligible child as the beneficiary, is excluded from the income of the8
eligible child and the parent or parents of
AN ACCOUNT SPONSOR FOR the9
eligible child for purposes of determining eligibility or benefits amounts10
for any state-funded program.11
(c) The authority, in consultation with the advisory board created12
in subsection (3) of this section, shall develop and, no later than13
November 1, 2019, NOVEMBER 1, 2024, obtain the approval of the14
department to implement, directly or through a contractor, a15
comprehensive and robust marketing and outreach plan to make the16
parent or parents of each eligible child aware of the kickstarter program17
and encourage them to claim the kickstarter funding designated for their18
eligible child by enrolling in an
INDIVIDUAL COLLEGE SAVINGS account.19
The marketing and outreach plan shall include multiple strategies,20
including grants to appropriate community-based nonprofit organizations,21
to specifically target low- and middle-income families who may be less22
likely than wealthier families to already be aware of the authority and the23
availability of accounts. Upon making initial contact with the parent or
24
parents of AN ACCOUNT SPONSOR FOR an eligible child, the authority or its25
contractor shall:26
(I) Educate the parent or parents ACCOUNT SPONSOR as to how to27
226
-7- claim the designated kickstarter funding for their AN eligible child by1
enrolling in an
INDIVIDUAL COLLEGE SAVINGS account, make future2
contributions to the account, choose from available fund options for the3
investment of the
INDIVIDUAL COLLEGE SAVINGS account, and contact the4
authority regarding questions concerning the
INDIVIDUAL COLLEGE5
SAVINGS account;6
(II) Advise the parent or parents
ACCOUNT SPONSOR of the7
opportunity to take any financial literacy education program provided by8
the state treasurer as authorized in subsection (5) of this section; and9
(5) If, in the sole discretion of the state treasurer, adequate gifts,10
grants, and donations are received, the kickstarter program may include11
a free program for financial literacy education for eligible children and12
their parent or parents AN ACCOUNT SPONSOR and other family members13
OF THE ELIGIBLE CHILD. The state treasurer shall develop and administer14
any program for financial literacy education included in the kickstarter15
program.16
(6) The authority shall conduct an ongoing summative evaluation17
to collect summative data to evaluate the kickstarter program's18
effectiveness over time. The authority shall prepare, present
DURING THE19
DEPARTMENT'S "SMART ACT" HEARING IN ACCORDANCE WITH SECTION20
2-7-203 to the committees of reference of the general assembly to which21
the department is assigned, pursuant to section 2-7-203 (1),
and22
conspicuously post on its website an annual written report on the results23
of the ongoing summative evaluation, which report shall include, at a24
minimum:25
(a) A descriptive and evaluative summary of the marketing and26
outreach plan for the kickstarter program developed and implemented as27
226
-8- required by subsection (4)(c) of this section, including a description of the1
strategies used and an assessment of the successes and failures of the plan2
generally and of the individual strategies used; and3
(b) Statistical summaries of the usage of the kickstarter program4
both for the past calendar year and for the life of the program that include:5
(II) The number of eligible children, and the percentage of all6
eligible children, for whom the parent or parents AN ACCOUNT SPONSOR7
claimed kickstarter funding; by opening accounts8
(III) The number of families who had not opened an account for9
any of their children before January 1, 2020, who opened an account for10
an eligible child or for any of their other children on or after January 1,11
2020, and the total number of accounts opened by such families;12
(IV) To the extent that such information is available, The number13
of accounts opened CLAIMS FOR KICKSTARTER FUNDING for both eligible14
children and other children by low-income, middle-income, and15
high-income families AN ACCOUNT SPONSOR CATEGORIZED BY INCOME16
LEVELS;17
(V) The number of accounts opened for both ACCOUNT SPONSORS18
CLAIMING KICKSTARTER FUNDING FOR AN eligible children and other19
children, CHILD, and the percentage of all accounts opened for both20
eligible children and for other children FOR WHOM NO CLAIM FOR21
KICKSTARTER FUNDING HAS BEEN MADE , in each county; and22
(VI) The number and percentage of all families claiming23
kickstarter funding for an eligible child; by opening an account:24
(A) Who did not make additional contributions to the account; and25
(B) Who did, or for whom others did, make additional26
contributions to the account.27
226
-9- (VII) THE AGE OF ELIGIBLE CHILDREN WHEN THE ACCOUNT1
SPONSOR CLAIMS KICKSTARTER FUNDING ; 2
(c) A
SUMMARY OF GRANTS DISTRIBUTED TO APPROPRIATE3
COMMUNITY-BASED NONPROFIT ORGANIZATIONS PURS UANT TO4
SUBSECTION (4)(c) OF THIS SECTION AND A LIST OF THE GRANTEES; AND
5
(d) P
ROJECTIONS OF THE SOLVENCY OF KICKSTARTER FUNDING IN
6
THE MASTER ACCOUNT , BASED ON FACTORS INCLUDING THE ACCRUED7
INTEREST IN THE MASTER ACCOUNT .8
(7) The kickstarter program is intended to be a public-private9
partnership, with the authority designating kickstarter funding for each10
eligible child within the master account and transferring the kickstarter11
funding into an individual college savings account for each eligible child12
when the parent or parents of AN ACCOUNT SPONSOR FOR the eligible child13
claim CLAIMS the kickstarter funding by opening the INDIVIDUAL COLLEGE14
SAVINGS account and the state treasurer working with a private partner to15
develop a free program of financial literacy education for eligible children16
and their parent or parents AN ACCOUNT SPONSOR and other family17
members
OF THE ELIGIBLE CHILD. The state treasurer may seek to enter18
into agreements with private foundations or other entities to fund,19
develop, and implement the financial literacy education program20
component of the kickstarter program, and the authority may seek to enter21
into agreements with such private foundations or other entities to provide22
additional funding for the kickstarter program.23
(8) (c) The authority may expend money from the fund for any24
kickstarter program purpose, and the state treasurer may expend money25
from the fund for the purpose of developing and implementing a free26
program of financial literacy education for eligible children and their
27
226
-10- parent or parents AN ACCOUNT SPONSOR and other family members OF THE1
ELIGIBLE CHILD as authorized in subsection (5) of this section.2
SECTION 2. In Colorado Revised Statutes, 25-2-112, amend (8)3
as follows:4
25-2-112. Certificates of birth - filing - establishment of5
parentage - notice to collegeinvest. (8) On or before February 15, 2020,6
and on or before the fifteenth day of each month thereafter, the state7
registrar shall provide to the director of collegeinvest the name of each8
eligible child, as defined in section 23-3.1-306.5 (2)(a) SECTION9
23.3-1-306.5 (2)(a.7), born or adopted during the prior calendar month,10
the date and location of the birth or adoption, and the name and mailing11
address of the parent or parents, as defined in section 23-3.1-306.5 (2)(g),12
of the eligible child listed on the eligible child's certificate of birth or the13
report of adoption forwarded to the state registrar as required by section14
25-2-107 (1).15
SECTION 3. Effective date. This act takes effect upon passage;16
except that section 23-3.1-306.5 (2)(a.5), (2)(c.5), and (2)(d), Colorado17
Revised Statutes, as enacted in section 1 of this act, takes effect January18
1, 2025.19
SECTION 4. Safety clause. The general assembly finds,20
determines, and declares that this act is necessary for the immediate21
preservation of the public peace, health, or safety or for appropriations for22
the support and maintenance of the departments of the state and state23
institutions.24
226
-11-