Colorado 2025 Regular Session

Colorado House Bill HB1111 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	First Regular Session
2	2	Seventy-fifth General Assembly
3	3	STATE OF COLORADO
4	4	INTRODUCED
5	5
6	6
7	7	LLS NO. 25-0559.01 Jason Gelender x4330
8	8	HOUSE BILL 25-1111
9	9	House Committees Senate Committees
10	10	Finance
11	11	A BILL FOR AN ACT
12	12	C
13	13	ONCERNING THE EXPANSION OF PR OPERTY TAX EXEMPTIONS FOR101
14	14	CERTAIN OWNER-OCCUPIED PRIMARY RESIDENCES .102
15	15	Bill Summary
16	16	(Note: This summary applies to this bill as introduced and does
17	17	not reflect any amendments that may be subsequently adopted. If this bill
18	18	passes third reading in the house of introduction, a bill summary that
19	19	applies to the reengrossed version of this bill will be available at
20	20	http://leg.colorado.gov
21	21	.)
22	22	For property tax years commencing during property tax
23	23	reassessment cycles (cycles) that begin on or after January 1, 2025, the
24	24	bill changes the amount of the exemptions for the owner-occupied
25	25	primary residence (residence) of a qualifying senior, a veteran with a
26	26	disability, or the surviving spouse of a United States armed forces service
27	27	member who died in the line of duty or veteran whose death resulted from
28	28	HOUSE SPONSORSHIP
29	29	DeGraaf,
30	30	SENATE SPONSORSHIP
31	31	(None),
32	32	Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
33	33	Capital letters or bold & italic numbers indicate new material to be added to existing law.
34	34	Dashes through the words or numbers indicate deletions from existing law. a service-related injury or disease (exemptions) from 50% of the first
35	35	$200,000 of actual value of the residence to 50% of an amount of actual
36	36	value of the residence equal to 50% of the estimated state median home
37	37	value (median home value) for the state; except that, if the median home
38	38	value declines, the exemption amount continues to be calculated based on
39	39	the median home value used to calculate the exemption amount for the
40	40	property tax years included in the prior cycle.
41	41	The state constitution currently only allows a senior who has
42	42	owned and occupied the senior's residence for 10 years, or the surviving
43	43	spouse of such a senior (surviving spouse), to claim the exemption. If at
44	44	the 2026 general election the voters of the state approve a referred
45	45	constitutional amendment to allow a senior or a surviving spouse who has
46	46	previously qualified for the exemption for 2016 or any later year for a
47	47	prior residence to claim the exemption for the senior's or surviving
48	48	spouse's current residence regardless of how long the senior or surviving
49	49	spouse has owned and occupied that residence, the bill makes the
50	50	statutory changes needed to conform to the constitutional amendment.
51	51	Be it enacted by the General Assembly of the State of Colorado:1
52	52	SECTION 1. In Colorado Revised Statutes, 39-3-203, amend (1)2
53	53	introductory portion, (1)(a), (1.5)(a) introductory portion, (1.5)(a.5), and3
54	54	(6)(a); and add (1.7) and (1.8) as follows:4
55	55	39-3-203. Property tax exemption - qualifications - definitions.5
56	56	(1) For the property tax year commencing January 1, 2002, for property6
57	57	tax years commencing on or after January 1, 2006, but before January 1,7
58	58	2009, and for property tax years commencing on or after January 1, 2012,8
59	59	BUT BEFORE JANUARY 1, 2025, fifty percent of the first two hundred9
60	60	thousand dollars of actual value of residential real property that as of the10
61	61	assessment date is owner-occupied and is used as the primary residence11
62	62	of the owner-occupier shall be
63	63	IS exempt from taxation; and for property12
64	64	tax years commencing on or after January 1, 2003, but before January 1,13
65	65	2006, and on or after January 1, 2009, but before January 1, 2012, fifty14
66	66	percent of zero dollars of actual value of residential real property that as15
67	67	of the assessment date is owner-occupied and is used as the primary16
68	68	HB25-1111-2- residence of the owner-occupier shall be SUCH PROPERTY IS exempt from1
69	69	taxation;
70	70	AND FOR PROPERTY TAX YEARS COMMENCING ON OR AFTER2
71	71	J
72	72	ANUARY 1, 2025, AN AMOUNT OF THE ACTUAL VALUE OF SUCH PROPERTY3
73	73	THAT IS EQUAL TO THE LESSER OF FIFTY PERCENT OF THE ACTUAL VALUE4
74	74	OF SUCH PROPERTY OR FIFTY PERCENT OF AN AMOUNT EQUAL TO FIFTY5
75	75	PERCENT OF THE ESTIMATED STATE MEDIAN HOME VALUE IS EXEMPT FROM6
76	76	TAXATION, if:7
77	77	(a) (I) The owner-occupier is sixty-five years of age or older as of8
78	78	the assessment date and has owned and occupied such residential real9
79	79	property as his or her
80	80	THE OWNER-OCCUPIER'S primary residence for the10
81	81	ten years preceding the assessment date; or11
82	82	(II) The owner-occupier is the surviving spouse of an12
83	83	owner-occupier who previously qualified for a property tax exemption for13
84	84	the same residential real property under subparagraph (I) of this14
85	85	paragraph (a); and SUBSECTION (1)(a)(I) OF THIS SECTION; OR15
86	86	(III) F
87	87	OR PROPERTY TAX YEARS COMMENCING ON OR AFTER16
88	88	J
89	89	ANUARY 1, 2027, ONLY, THE OWNER-OCCUPIER HAD RECEIVED AN17
90	90	EXEMPTION PURSUANT TO SUBSECTION (1)(a)(I) OR (1)(a)(II) OF THIS18
91	91	SECTION OR THIS SUBSECTION (1)(a)(III), FOR ANY PROPERTY TAX YEAR19
92	92	COMMENCING ON OR AFTER JANUARY 1, 2016, FOR RESIDENTIAL REAL20
93	93	PROPERTY THAT THE OWNER-OCCUPIER THEREAFTER CEASED OCCUPYING ,21
94	94	FOR ANY PERIOD, AS THE OWNER-OCCUPIER'S PRIMARY RESIDENCE; AND22
95	95	(1.5) (a) For property tax years commencing on or after January23
96	96	1, 2007,
97	97	BUT BEFORE JANUARY 1, 2025, fifty percent of the first two24
98	98	hundred thousand dollars of actual value of residential real property that25
99	99	as of the assessment date is owner-occupied and is used as the primary26
100	100	residence of an owner-occupier who is a qualifying veteran with a27
101	101	HB25-1111
102	102	-3- disability shall be IS exempt from taxation; AND FOR PROPERTY TAX1
103	103	YEARS COMMENCING ON OR AFTER JANUARY 1, 2025, AN AMOUNT OF THE2
104	104	ACTUAL VALUE OF SUCH PROPERTY THAT IS EQUAL TO THE LESSER OF3
105	105	FIFTY PERCENT OF THE ACTUAL VALUE OF SUCH PROPERTY OR FIFTY4
106	106	PERCENT OF AN AMOUNT EQUAL TO FIFTY PERCENT OF THE ESTIMATED5
107	107	STATE MEDIAN HOME VALUE IS EXEMPT FROM TAXATION , if:6
108	108	(a.5) For property tax years commencing on or after January 1,7
109	109	2015, fifty percent of the first two hundred thousand dollars of actual8
110	110	value of residential real property that as of the assessment date is9
111	111	owner-occupied and is used as the primary residence of an10
112	112	owner-occupier who is the surviving spouse of a qualifying veteran with11
113	113	a disability who previously received an exemption under subsection12
114	114	(1.5)(a) of this section
115	115	OR WHO IS AN ELIGIBLE SPOUSE, AS DEFINED IN13
116	116	SECTION 3.5 (1.7) OF ARTICLE X OF THE STATE CONSTITUTION, is exempt14
117	117	from taxation;
118	118	AND FOR PROPERTY TAX YEARS COMMENCING ON OR AFTER15
119	119	J
120	120	ANUARY 1, 2025, AN AMOUNT OF THE ACTUAL VALUE OF SUCH PROPERTY16
121	121	THAT IS EQUAL TO THE LESSER OF FIFTY PERCENT OF THE ACTUAL VALUE17
122	122	OF SUCH PROPERTY OR FIFTY PERCENT OF AN AMOUNT EQUAL TO FIFTY18
123	123	PERCENT OF THE ESTIMATED STATE MEDIAN HOME VALUE is exempt from19
124	124	taxation.20
125	125	(1.7) N
126	126	O LATER THAN MARCH 15, 2025, AND NO LATER THAN21
127	127	M
128	128	ARCH 15 OF THE FIRST YEAR OF EACH PROPERTY TAX REASSESSMENT22
129	129	CYCLE THEREAFTER, THE STAFF OF THE LEGISLATIVE COUNCIL SHALL23
130	130	CALCULATE AND PROVIDE TO THE ADMINISTRATOR THE ESTIMATED STATE24
131	131	MEDIAN HOME VALUE FOR THE PROPERTY TAX YEARS THAT COMMENCE25
132	132	DURING THE CURRENT PROPERTY TAX REASSESSMENT CYCLE .26
133	133	(1.8) A
134	134	S USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE27
135	135	HB25-1111
136	136	-4- REQUIRES:1
137	137	(a) "E
138	138	STIMATED STATE MEDIAN HOME VALUE " MEANS:2
139	139	(I) F
140	140	OR THE PROPERTY TAX YEARS THAT COMMENCE DURING THE3
141	141	PROPERTY TAX REASSESSMENT CYCLE THAT BEGINS ON JANUARY 1, 2025,4
142	142	THE MOST RECENT AVAILABLE ESTIMATE OF MEDIAN HOME VALUE FOR THE5
143	143	STATE OF COLORADO IN THE UNITED STATES BUREAU OF THE CENSUS6
144	144	A
145	145	MERICAN COMMUNITY SURVEY , ADJUSTED FOR INFLATION OR DEFLATION7
146	146	THROUGH THE FOURTH QUARTER OF 2024 AND ROUNDED TO THE NEAREST8
147	147	ONE THOUSAND DOLLARS ; AND9
148	148	(II) F
149	149	OR THE PROPERTY TAX YEARS THAT COMMENCE DURING10
150	150	EACH SUBSEQUENT PROPERTY TAX REASSESSMENT CYCLE , THE GREATER11
151	151	OF THE ESTIMATED STATE MEDIAN HOME VALUE FOR THE PROPERTY TAX12
152	152	YEARS THAT COMMENCED DURING THE PRIOR PROPERTY TAX13
153	153	REASSESSMENT CYCLE OR THE MOST RECENT AVAILABLE ESTIMATE OF14
154	154	MEDIAN HOME VALUE FOR THE STATE OF COLORADO IN THE UNITED15
155	155	S
156	156	TATES BUREAU OF THE CENSUS AMERICAN COMMUNITY SURVEY ,16
157	157	ADJUSTED FOR INFLATION OR DEFLATION THROUGH THE FOURTH QUARTER17
158	158	OF THE CALENDER YEAR THAT IMMEDIATELY PRECEDES THE FIRST18
159	159	PROPERTY TAX YEAR OF THE PROPERTY TAX REASSESSMENT CYCLE AND19
160	160	ROUNDED TO THE NEAREST ONE THOUSAND DOLLARS .20
161	161	(b) "I
162	162	NFLATION OR DEFLATION" MEANS THE PERCENTAGE CHANGE21
163	163	IN THE FEDERAL HOUSING FINANCE AGENCY 'S SEASONALLY ADJUSTED22
164	164	QUARTERLY PURCHASE -ONLY HOUSE PRICE INDEX FOR THE STATE OF23
165	165	C
166	166	OLORADO.24
167	167	(c) "P
168	168	ROPERTY TAX REASSESSMENT CYCLE " MEANS THE25
169	169	REASSESSMENT CYCLE DESCRIBED IN SECTION 39-1-104 (10.2).26
170	170	(6) (a) Notwithstanding the ten-year occupancy requirement set27
171	171	HB25-1111
172	172	-5- forth in subparagraph (I) of paragraph (a) of subsection (1) SUBSECTIONS1
173	173	(1)(a)(I)
174	174	AND (1)(a)(II) of this section, an owner-occupier who DOES NOT2
175	175	QUALIFY FOR AN EXEMPTION PURSUANT TO SUBSECTION (1)(a)(III) OF THIS3
176	176	SECTION AND WHO has not actually owned and occupied residential real4
177	177	property for which the owner-occupier has claimed an exemption under
178	178	5
179	179	said subsection (1) PURSUANT TO SUBSECTION (1)(a)(I) OR (1)(a)(II) OF6
180	180	THIS SECTION for the ten years preceding the assessment date shall be IS7
181	181	deemed to have met the ten-year requirement and shall be IS allowed an8
182	182	exemption under said subsection (1) PURSUANT TO SUBSECTION (1)(a)(I)9
183	183	OR (1)(a)(II) OF THIS SECTION with respect to the property if:10
184	184	(I) The owner-occupier would have qualified for the exemption11
185	185	with respect to other residential real property that the owner-occupier12
186	186	owned and occupied as his or her THE OWNER-OCCUPIER'S primary13
187	187	residence before moving to the residential real property for which an14
188	188	exemption is claimed but for the fact that the other property was15
189	189	condemned by a governmental entity through an eminent domain16
190	190	proceeding; or17
191	191	(I.5) For property tax years commencing on or after January 1,18
192	192	2015, the owner-occupier would have qualified for the exemption with19
193	193	respect to other residential real property that the owner-occupier owned20
194	194	and occupied as his or her THE OWNER-OCCUPIER'S primary residence21
195	195	before moving to the residential real property for which an exemption is22
196	196	claimed but for the fact that a natural disaster destroyed the former23
197	197	primary residence or otherwise rendered it uninhabitable; and24
198	198	(II) The owner-occupier has not owned and occupied residential25
199	199	property as his or her THE OWNER-OCCUPIER'S primary residence other26
200	200	than the residential real property for which an exemption is claimed since27
201	201	HB25-1111
202	202	-6- the condemnation occurred.1
203	203	SECTION 2. Act subject to petition - effective date. (1) Except2
204	204	as otherwise provided in subsections (2) and (3) of this section, this act3
205	205	takes effect at 12:01 a.m. on the day following the expiration of the4
206	206	ninety-day period after final adjournment of the general assembly.5
207	207	(2) If a referendum petition is filed pursuant to section 1 (3) of6
208	208	article V of the state constitution against this act or an item, section, or7
209	209	part of this act within the period specified in subsection (1) of this8
210	210	section, then the act, item, section, or part will not take effect unless9
211	211	approved by the people at the general election to be held in November10
212	212	2026 and, in such case, will take effect on the date of the official11
213	213	declaration of the vote thereon by the governor.12
214	214	(3) Section 39-3-203 (1)(a), Colorado Revised Statutes, as13
215	215	amended in section 1 of this act, takes effect only if the ballot title14
216	216	submitted to the registered electors of the state pursuant to House15
217	217	Concurrent Resolution 25-_____ is approved by the people at the next16
218	218	general election, in which case section 39-3-203 (1)(a), Colorado Revised17
219	219	Statutes, as amended in section 1 of this act, takes effect on the date of the18
220	220	official declaration of the vote thereon by the governor.19
221	221	HB25-1111
222	222	-7-