SB 25-246
Fiscal Note
Legislative Council Staff
Nonpartisan Services for Colorado’s Legislature
SB 25-246: ELIM GRAY & BLACK MARKET MARIJUANA GRAN T PROG
Prime Sponsors:
Sen. Bridges; Kirkmeyer
Rep. Bird; Sirota
Published for: Senate Appropriations
Drafting number: LLS 25-0914
Fiscal Analyst:
John Armstrong, 303-866-6289
john.armstrong@coleg.gov
Version: Initial Fiscal Note
Date: March 31, 2025
Fiscal note status: The fiscal note reflects the introduced bill, which was recommended by the Joint
Budget Committee as part of its FY 2025-26 Long Bill budget package.
Summary Information
Overview. The bill repeals the Gray and Black Market Marijuana Enforcement Grant Program and specifies
that no grants may be awarded in FY 2025-26.
Types of impacts. The bill is projected to affect the following areas on an ongoing basis:
State Expenditures Local Government
Appropriations. No appropriation is required. It is assumed the required reduction in appropriations will
be included in the FY 2025-26 Long Bill.
Table 1
State Fiscal Impacts
Type of Impact
Budget Year
FY 2025-26
Out Year
FY 2026-27
State Revenue $0 $0
State Expenditures (Marijuana Tax Cash Fund) -$795,117 -$976,679
Transferred Funds $0 $0
Change in TABOR Refunds $0 $0
Change in State FTE 0.0 FTE -1.5 FTE
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March 31, 2025 SB 25-246
Summary of Legislation
The bill repeals the Gray and Black Market Marijuana Enforcement Grant Program on
June 30, 2026, and specifies that the Division of Local Government in the Department of Local
Affairs (DOLA) must not award any grants from the program in FY 2025-26.
Background
The program was created by House Bill 17-1221 and uses a formula to distribute grants to local
law enforcement agencies and district attorneys to assist with enforcement of unlicensed
marijuana cultivation and related crimes. The program receives an annual appropriation of
approximately $976,000 from the Marijuana Tax Cash Fund (MTCF).
State Expenditures
The bill decreases state expenditures in the DOLA by $795,117 in FY 2025-26 and by $976,679
and 1.5 FTE beginning in FY 2026-27, from the MTCF. In FY 2025-26, the fiscal note assumes a
partial reduction, as the department will retain $175,100 to maintain staff to oversee all currently
open contracts made through the grant program. In FY 2026-27, the program is fully repealed.
Local Government
Local law enforcement agencies that currently receive grant funds will no longer. Grant contracts
that are currently open will continue through FY 2025-26, but no new grants will be awarded.
Effective Date
The bill takes effect upon signature of the Governor, or upon becoming law without his signature.
State Appropriations
For FY 2025-26, the bill decreases required appropriations from the Marijuana Tax Cash Fund to
the Department of Local Affairs by $795,117. It is assumed that this reduction will be made in
the FY 2025-26 Long Bill, rather than this bill.
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March 31, 2025 SB 25-246
State and Local Government Contacts
Joint Budget Committee
Local Affairs
Revenue
The revenue and expenditure impacts in this fiscal note represent changes from current law under the bill for each
fiscal year. For additional information about fiscal notes, please visit the General Assembly website.