Colorado 2025 Regular Session

Colorado Senate Bill SB173 Compare Versions

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11 First Regular Session
22 Seventy-fifth General Assembly
33 STATE OF COLORADO
4-REENGROSSED
5-This Version Includes All Amendments
6-Adopted in the House of Introduction
4+ENGROSSED
5+This Version Includes All Amendments Adopted
6+on Second Reading in the House of Introduction
77 LLS NO. 25-0786.02 Pierce Lively x2059
88 SENATE BILL 25-173
99 Senate Committees House Committees
1010 Finance
1111 Appropriations
1212 A BILL FOR AN ACT
1313 C
1414 ONCERNING THE CLASSIFICATION OF CERTAIN STATE REVENUE FOR101
1515 PURPOSES OF CALCULATING ST ATE FISCAL YEAR SPENDING102
1616 PURSUANT TO SECTION 20 OF ARTICLE X OF THE STATE103
1717 CONSTITUTION, AND, IN CONNECTION THEREWITH , CLARIFYING104
1818 THE STATUTORY DEFINITIONS OF DAMAGE AWARDS AND105
1919 PROPERTY SALE FOR PURPOSES OF CALCULATING STATE FISCAL106
2020 YEAR SPENDING.107
2121 Bill Summary
2222 (Note: This summary applies to this bill as introduced and does
2323 not reflect any amendments that may be subsequently adopted. If this bill
2424 passes third reading in the house of introduction, a bill summary that
2525 applies to the reengrossed version of this bill will be available at
2626 http://leg.colorado.gov
2727 .)
2828 SENATE
29-3rd Reading Unamended
30-March 19, 2025
31-SENATE
3229 Amended 2nd Reading
3330 March 18, 2025
3431 SENATE SPONSORSHIP
35-Weissman, Ball, Coleman, Cutter, Exum, Gonzales J., Hinrichsen, Jodeh, Kipp, Kolker,
36-Marchman, Michaelson Jenet, Sullivan, Winter F.
32+Weissman,
3733 HOUSE SPONSORSHIP
3834 Garcia and Zokaie,
3935 Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
4036 Capital letters or bold & italic numbers indicate new material to be added to existing law.
4137 Dashes through the words or numbers indicate deletions from existing law. Section 20 of article X of the state constitution (TABOR) defines
4238 "fiscal year spending" as not including either "damage awards" or
4339 "property sales". Although TABOR does not define either "damage
4440 award" or "property sale", the TABOR implementing statutes do. The bill
4541 clarifies both of these definitions for state fiscal years commencing on or
4642 after July 1, 2024.
4743 The bill clarifies that "damage award", as used for the purpose of
4844 determining whether specific money received by the state is subject to the
4945 TABOR limitation on state fiscal year spending, includes certain civil
5046 penalties imposed by the state.
5147 The bill also clarifies that "property sale", as used for the purpose
5248 of determining whether specific money received by the state is subject to
5349 the TABOR limitation on state fiscal year spending, includes certain
5450 specified sales by the state.
5551 Be it enacted by the General Assembly of the State of Colorado:1
5652 SECTION 1. Legislative declaration. (1) The general assembly2
5753 finds and declares that:3
5854 (a) Section 20 (2)(e) of article X of the state constitution exempts4
5955 "damage awards" and "property sales" from "fiscal year spending", as5
6056 defined in section 20 (2)(e) of article X of the state constitution;6
6157 (b) Under the existing statutory definition of "damage award",7
6258 some money that the state collects as fines or penalties for violations of8
6359 certain legal requirements is treated as state fiscal year spending when9
6460 determining whether the state has exceeded the state's fiscal year10
6561 spending limit despite the constitutional exemption for such collections; 11
6662 (c) It is inconsistent with section 20 of article X of the state12
6763 constitution to treat money that the state collects as fines or penalties for13
6864 violations of certain legal requirements as state revenue in light of the14
6965 specific exemption for "damage awards";15
7066 (d) Under the existing statutory definition of "property sales",16
7167 some money that the state collects from sales of tangible or intangible17
7268 173-2- assets is treated as state fiscal year spending when determining whether1
7369 the state has exceeded the state's fiscal year spending limit despite the2
7470 constitutional exemption for such collections;3
7571 (e) It is inconsistent with section 20 of article X of the state4
7672 constitution to treat money that the state collects from sales of tangible or5
7773 intangible assets as state fiscal year spending in light of the specific6
7874 exemption for "property sales"; and7
7975 (f) Nothing in this act operates to exclude any money that has8
8076 been included as "damage awards" or "property sales" under the9
8177 preexisting definitions of those terms from the clarified definitions of10
8278 those terms in this act - that money continues to be included in these11
8379 clarified definitions.12
8480 SECTION 2. In Colorado Revised Statutes, 24-77-102, amend13
8581 (2) and (11) as follows:14
8682 24-77-102. Definitions. As used in this article 77, unless the15
8783 context otherwise requires:16
8884 (2) "Damage award" means any pecuniary compensation received17
8985 by the state as a result of:18
9086 (a) Any judgment or allowance in favor of the state;
9187 AND19
9288 (b) F
9389 OR STATE FISCAL YEARS COMMENCING ON OR AFTER JULY 1,20
9490 2024:21
9591 (I) A
9692 CIVIL MONETARY PENALTY ASSESSED BY THE DEPARTMENT22
9793 OF HEALTH CARE POLICY AND FINANCING PURSUANT TO SECTION23
9894 25.5-6-205;24
9995 (II) A
10096 CIVIL MONETARY PENALTY IMPOSED BY THE DIVISION OF25
10197 ADMINISTRATION OF THE DEPARTMENT OF PUBLIC HEALTH AND26
10298 ENVIRONMENT PURSUANT TO SECTION 25-8-608;27
10399 173
104100 -3- (III) A MONETARY PENALTY IMPOSED BY THE ENERGY AND1
105101 CARBON MANAGEMENT COMMISSION PURSUANT TO SECTION 34-60-1212
106102 (1);3
107103 (IV) A
108104 MONETARY FINE OR PENALTY COLLECTED BY THE DIVISION4
109105 OF ADMINISTRATION OF THE DEPARTMENT OF PUBLIC HEALTH AND5
110106 ENVIRONMENT PURSUANT TO SECTION 25-7-115, 25-7-122, OR 25-7-1236
111107 AND DEPOSITED IN THE COMMUNITY IMPACT CASH FUND CREATED IN7
112108 SECTION 25-7-129; AND8
113109 (V) A
114110 MONETARY PENALTY COLLECTED BY THE DIVISION OF LABOR9
115111 STANDARDS AND STATISTICS OF THE DEPARTMENT OF LABOR AND10
116112 PURSUANT TO SECTION 8-1-114.11
117113 (11) "Property sale" means:12
118114 (a) Any transfer of the ownership of an estate in tangible assets or13
119115 intangible rights, excluding leasehold interests, in which or to which the14
120116 state has rights protected by law from the state to any party for15
121117 consideration; or
122118 16
123119 (b) Any contract resulting in the payment of pecuniary17
124120 compensation to the state for permitting another to exploit, use, or market18
125121 nonrenewable natural resources which are located on real property owned19
126122 by the state and which are subject to depletion with use;
127123 OR20
128124 (c) F
129125 OR STATE FISCAL YEARS COMMENCING ON OR AFTER JULY 1,21
130126 2024,
131127 A TRANSFER OF RIGHTS IN TANGIBLE OR INTANGIBLE PROPERTY ,22
132128 EXCLUDING LEASEHOLD INTERESTS , IN WHICH OR TO WHICH THE STATE23
133129 HAS RIGHTS PROTECTED BY LAW FROM THE STATE TO ANY PARTY FOR24
134130 CONSIDERATION. SUCH A TRANSFER OF RIGHTS INCLUDES:25
135131 (I) M
136132 ERCHANDISE SALES
137133 AT THE HISTORY COLORADO CENTER;26
138134 (II) M
139135 ERCHANDISE SALES
140136 AT STATE HISTORICAL SOCIETY27
141137 173
142138 -4- MUSEUMS OTHER THAN THE HISTORY COLORADO CENTER;1
143139 (III) S
144140 ALES OF SUPPLIES RELATED TO AGRICULTURAL INSPECTIONS ;2
145141 (IV) S
146142 ALES OF SUPPLIES RELATED TO WILDFIRE EQUIPMENT REPAIR; 3
147143 (V) S
148144 ALES OF SUPPLIES RELATED TO PESTICIDE INSPECTIONS ;4
149145 (VI) S
150146 ALES RELATED TO THE CORRECTIONAL EDUCATION PROGRAM5
151147 ESTABLISHED IN SECTION 17-32-105;6
152148 (VII) S
153149 ALES RELATED TO THE BUSINESS ENTERPRISE PROGRAM7
154150 CREATED IN PART 2 OF ARTICLE 84 OF TITLE 8;8
155151 (VIII) N
156152 ON-CONCESSION SALES AT THE COLORADO STATE FAIR;9
157153 AND10
158154 (IX) T
159155 HE SALE OF WINE FOR PROMOTIONAL PURPOSES BY THE11
160156 C
161157 OLORADO WINE INDUSTRY DEVELOPMENT BOARD , CREATED IN ARTICLE12
162158 29.5
163159 OF TITLE 35.13
164160 SECTION 3. Safety clause. The general assembly finds,14
165161 determines, and declares that this act is necessary for the immediate15
166162 preservation of the public peace, health, or safety or for appropriations for16
167163 the support and maintenance of the departments of the state and state17
168164 institutions.18
169165 173
170166 -5-