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Colorado Senate Bill SB313

Colorado 2025 Regular Session

Colorado Senate Bill SB313 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. 25-0911.02 Pierce Lively x2059
88 SENATE BILL 25-313
99 Senate Committees House Committees
1010 Appropriations
1111 A BILL FOR AN ACT
1212 C
1313 ONCERNING THE PERMISSIBLE USES OF STATE INCOME TAX REVENUE101
1414 RAISED IN CONNECTION WITH PROPOSITION 123.102
1515 Bill Summary
1616 (Note: This summary applies to this bill as introduced and does
1717 not reflect any amendments that may be subsequently adopted. If this bill
1818 passes third reading in the house of introduction, a bill summary that
1919 applies to the reengrossed version of this bill will be available at
2020 http://leg.colorado.gov/
2121 .)
2222 Joint Budget Committee. Among other things related to
2323 affordable housing, Proposition 123, which was approved by the voters
2424 at the 2022 statewide election, created the affordable housing support
2525 fund (fund) and continuously appropriated money from the fund to the
2626 division of housing within the department of local affairs (department) for
2727 enumerated uses relating to an affordable home ownership program and
28-SENATE
29-3rd Reading Unamended
30-April 30, 2025
3128 SENATE
3229 2nd Reading Unamended
3330 April 29, 2025
3431 SENATE SPONSORSHIP
3532 Amabile and Bridges, Kirkmeyer
3633 HOUSE SPONSORSHIP
3734 Bird and Sirota, Taggart
3835 Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
3936 Capital letters or bold & italic numbers indicate new material to be added to existing law.
4037 Dashes through the words or numbers indicate deletions from existing law. a program serving persons experiencing homelessness and to the division
4138 of local government, also within the department, for enumerated uses
4239 relating to a local planning capacity development program. A specified
4340 percentage of money from the fund is allocated for the implementation of
4441 each program, and from each allocated percentage the division of housing
4542 or the division of local government, as applicable, is permitted to use up
4643 to 5% to pay for the direct and indirect costs of administering each
4744 program.
4845 Beginning in state fiscal year 2026-27, the bill makes the
4946 expenditure of up to 5% of the money from each program's allocation of
5047 funding for administration of each program subject to annual
5148 appropriation by the general assembly and clarifies how that 5% amount
5249 is calculated.
5350 The bill also allows the division of housing, subject to annual
5451 appropriation by the general assembly, to expend money under the
5552 program serving persons experiencing homelessness for:
5653 ! Capital needs at 2 state-owned supportive residential
5754 communities for persons experiencing homelessness
5855 (supportive residential communities); and
5956 ! Direct and indirect costs of operating the 2 supportive
6057 residential communities.
6158 Proposition 123 also included a prohibition on the general
6259 assembly appropriating funds from the fund and the affordable housing
6360 financing fund to supplant other state support for affordable housing
6461 projects. The bill clarifies when appropriations from the fund and the
6562 affordable housing financing fund would violate this prohibition.
6663 Be it enacted by the General Assembly of the State of Colorado:1
6764 SECTION 1. In Colorado Revised Statutes, 29-32-103, amend2
6865 (1) as follows:3
6966 29-32-103. Transfers of money - permitted uses of the fund -4
7067 continuous appropriation. (1) (a) The affordable housing support fund5
7168 is hereby created in the state treasury. The support fund shall consist
7269 6
7370 CONSISTS of money deposited into it under subsection (3) of this section.7
7471 The division of housing shall administer the support fund and expend the8
7572 money in the support fund only for the purposes set forth in sections9
7673 SECTION 29-32-104 (3)(a) and (3)(b). The division of local government10
7774 313-2- in the department of local affairs created in section 24-32-103 shall1
7875 expend the money in the support fund only for the purposes set forth in2
7976 section 29-32-104 (3)(c). All money not expended or encumbered, and all3
8077 interest earned on the investment or deposit of money in the support fund,4
8178 shall remain REMAINS in the support fund and shall DOES not revert to the5
8279 general fund or any other fund at the end of any fiscal year. E
8380 XCEPT AS6
8481 OTHERWISE PROVIDED IN SUBSECTION (1)(b) OF THIS SECTION AND7
8582 SECTION 29-32-104 (3)(b)(II), all money transferred to the support fund8
8683 pursuant to subsection (3) of this section is continuously appropriated to9
8784 the division of housing for the purposes set forth in sections
8885 SECTION10
8986 29-32-104 (3)(a) and (3)(b) and, to the extent allocated by the division of11
9087 housing, to the division of local government for the purposes set forth in12
9188 section 29-32-104 (3)(c).13
9289 (b) S
9390 UBJECT TO ANNUAL APPROPRIATION BY THE GENERAL14
9491 ASSEMBLY, BEGINNING IN STATE FISCAL YEAR 2026-27, AND SUBJECT TO15
9592 THE LIMITATIONS SET FORTH IN SECTION 29-32-104 (3)(a), (3)(b), AND16
9693 (3)(c),
9794 THE DIVISION OF HOUSING OR THE DIVISION OF LOCAL GOVERNMENT17
9895 MAY EXPEND MONEY FROM THE FUND FOR DIRECT AND INDIRECT COSTS OF18
9996 ADMINISTERING THE PROGRAMS SET FORTH IN SECTION 29-32-104 (3)(a),19
10097 (3)(b),
10198 AND (3)(c).20
10299 SECTION 2. In Colorado Revised Statutes, 29-32-104, amend21
103100 (3) as follows:22
104101 29-32-104. Permissible expenditures - affordable housing23
105102 programs - report - definitions. (3) The division of housing and the24
106103 division of local government shall expend the money transferred to the25
107104 support fund in section 29-32-103 (1) to support the following programs26
108105 only:27
109106 313
110107 -3- (a) An affordable home ownership program administered by the1
111108 division or one or more contractors of the division. The program shall2
112109 offer home ownership down-payment assistance to first-time homebuyers3
113110 and shall prioritize assistance, to the extent practicable, to first-generation4
114111 homebuyers. The assistance shall be provided to households with income5
115112 less than or equal to 120% ONE HUNDRED TWENTY PERCENT of the area6
116113 median income of households of that size in the territory or jurisdiction7
117114 of local government or tribal government in which the housing is located,8
118115 as calculated and published for a given year by the United States9
119116 department of housing and urban development, and the cost of the10
120117 monthly housing payment towards TOWARD mortgage principal, mortgage11
121118 interest, property taxes, mortgage and homeowner's insurance,12
122119 homeowner association fees, land lease fees, and metropolitan district13
123120 fees shall not cost more than 35% THIRTY-FIVE PERCENT of monthly14
124121 household income. The program shall also make grants to non-profits15
125122 NONPROFIT ORGANIZATIONS , local governments, tribal governments,16
126123 community development financial institutions, and community land trusts17
127124 to support affordable home ownership. The program shall also make18
128125 grants or loans to groups or associations of mobile home owners and their19
129126 assignees to assist them with the purchase of a mobile home park20
130127 pursuant to section 38-12-217. Said grants and loans shall be used to21
131128 support affordable home ownership for households with income less than22
132129 or equal to 100% ONE HUNDRED PERCENT of the area median income of23
133130 households of that size in the territory or jurisdiction of local government24
134131 or tribal government in which the households are located, as calculated25
135132 and published for a given year by the United States department of housing26
136133 and urban development, and the cost of the monthly housing payment27
137134 313
138135 -4- towards TOWARD mortgage principal, mortgage interest, property taxes,1
139136 mortgage and homeowner's insurance, homeowner association fees, land2
140137 lease fees, and metropolitan district fees shall not cost more than 35%3
141138 THIRTY-FIVE PERCENT of monthly household income. All principal and4
142139 interest payments on loans made under this paragraph (a) SUBSECTION5
143140 (3)(a) shall be paid to the division and used by the division for the6
144141 purposes set forth in this subsection (3). Up to 50% FIFTY PERCENT of7
145142 monies MONEY transferred to the support fund annually may be used for8
146143 the program. The division shall determine how much of the available9
147144 funding shall be allocated to each aspect of the program. The division10
148145 may utilize up to 5% FIVE PERCENT of the funds it allocates RECEIVES11
149146 from the fund for the program each state fiscal year to pay for the direct12
150147 and indirect costs of administering the program.13
151148 (b) (I) A program serving persons experiencing homelessness to14
152149 be administered by the division. The program shall provide rental15
153150 assistance, housing vouchers, and eviction defense assistance, including16
154151 legal, financial, and case management, to persons experiencing17
155152 homelessness or at risk of experiencing homelessness. The program shall18
156153 also make grants or loans to non-profit NONPROFIT organizations, local19
157154 governments, tribal governments, or private entities to support the20
158155 development and preservation of supportive housing for persons21
159156 experiencing homelessness, and other homelessness related activities the22
160157 division determines contribute to the resolution of or prevention of23
161158 homelessness, including housing programs paid for by non-profit24
162159 NONPROFIT organizations, local governments, tribal governments, or25
163160 private entities on a pay for success PAY-FOR-SUCCESS basis, meaning an26
164161 organization, local government, tribal government, or private entity would27
165162 313
166163 -5- receive financial support from the program upon achieving objectives1
167164 contractually agreed upon with the division. All principal and interest2
168165 payments on loans made under this paragraph (b) SUBSECTION (3)(b)(I)3
169166 shall be paid to the division and used by the division for the purposes set4
170167 forth in this subsection (3). Up to 45% FORTY-FIVE PERCENT of monies5
171168 MONEY transferred to the support fund annually may be used for the6
172169 program. The division may utilize up to 5% FIVE PERCENT of the funds it7
173170 allocates RECEIVES from the fund for the program each state fiscal year8
174171 to pay for the direct and indirect costs of administering the program.9
175172 (II) T
176173 HE PROGRAM SET FORTH IN SUBSECTION (3)(b)(I) OF THIS10
177174 SECTION MAY ALSO:11
178175 (A) B
179176 EGINNING IN STATE FISCAL YEAR 2025-26 AND SUBJECT TO12
180177 ANNUAL APPROPRIATION BY THE GENERAL ASSEMBLY , PROVIDE FUNDING13
181178 TO THE STATE OR ANY OTHER ENTITY FOR CAPITAL CONSTRUCTION NEEDS14
182179 AT THE RIDGE VIEW SUPPORTIVE RESIDENTIAL COMMUNITY AND THE15
183180 F
184181 ORT LYON SUPPORTIVE RESIDENTIAL COMMUNITY; AND16
185182 (B) P
186183 ROVIDE FUNDING TO THE STATE OR ANY OTHER ENTITY FOR17
187184 DIRECT AND INDIRECT COSTS OF OPERATING TO THE RIDGE VIEW18
188185 S
189186 UPPORTIVE RESIDENTIAL COMMUNITY AND THE FORT LYON SUPPORTIVE19
190187 R
191188 ESIDENTIAL COMMUNITY AND, BEGINNING IN STATE FISCAL YEAR20
192189 2026-27,
193190 PROVIDE SUCH FUNDING SUBJECT TO ANNUAL APPROPRIATION BY21
194191 THE GENERAL ASSEMBLY;22
195192 (III) A
196193 S USED IN SUBSECTION (3)(b)(II) OF THIS SECTION:23
197194 (A) "F
198195 ORT LYON SUPPORTIVE RESIDENTIAL COMMUNITY" MEANS24
199196 THE PORTION OF THE FORT LYON PROPERTY THAT IS DESIGNATED BY THE25
200197 DIVISION FOR PROVIDING HOMELESSNESS -RELATED ACTIVITIES THAT THE26
201198 DIVISION DETERMINES CONTRIBUTE TO THE RESOLUTION OF OR27
202199 313
203200 -6- PREVENTION OF HOMELESSNESS .1
204201 (B) "R
205202 IDGE VIEW SUPPORTIVE RESIDENTIAL COMMUNITY" MEANS,2
206203 AS SET FORTH IN SECTION 24-32-730 (2)(a), THE RIDGE VIEW CAMPUS3
207204 THAT, AFTER JULY 1, 2022, IS DESIGNATED BY THE DIVISION FOR4
208205 PROVIDING HOMELESSNESS -RELATED ACTIVITIES THAT THE DIVISION5
209206 DETERMINES CONTRIBUTE TO THE RESOLUTION OF OR PREVENTION OF6
210207 HOMELESSNESS.7
211208 (c) A local planning capacity development program administered8
212209 by the division of local government. The program shall provide grants to9
213210 local governments and tribal governments to increase the capacity of local10
214211 government and tribal government planning departments responsible for11
215212 processing land use, permitting and zoning applications for housing12
216213 projects. Up to 5% of monies
217214 FIVE PERCENT OF MONEY transferred to the13
218215 support fund annually may be used for the program. The division of local14
219216 government may utilize up to 5% FIVE PERCENT of the funds that the15
220217 division of housing allocates from the fund for the program each state16
221218 fiscal year to pay for the direct and indirect costs of administering the17
222219 program.18
223220 SECTION 3. In Colorado Revised Statutes, 29-32-106, amend19
224221 (1); add (3); and repeal (2) as follows:20
225222 29-32-106. Appropriation requirement for affordable housing21
226223 projects - definition. (1) For any state fiscal year in which money is22
227224 appropriated from the financing fund or the support fund in accordance23
228225 with the requirements of this article ARTICLE 32, any such money24
229226 appropriated must supplement and shall not supplant the level of general25
230227 fund and cash fund appropriations STATE FUNDING SUPPORT for affordable26
231228 housing programs for the state fiscal year 2022-23.27
232229 313
233230 -7- (2) For purposes of determining the appropriations for affordable1
234231 housing programs for the state fiscal year 2022-23, cash fund2
235232 appropriations do not include any appropriations of money that originated3
236233 from money the state received from the federal coronavirus state fiscal4
237234 recovery fund.5
238235 (3) (a) T
239236 HE GENERAL ASSEMBLY VIOLATES SUBSECTION (1) OF THIS6
240237 SECTION ONLY IF, FOR A STATE FISCAL YEAR FOR WHICH THE LEGISLATIVE7
241238 COUNCIL STAFF FORECAST FOR THE MARCH IMMEDIATELY PRECEDING THE8
242239 STATE FISCAL YEAR PROJECTED THAT STATE REVENUE IN THE STATE9
243240 FISCAL YEAR WOULD EXCEED THE STATE FISCAL YEAR SPENDING LIMIT10
244241 IMPOSED BY SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION, THE11
245242 GENERAL ASSEMBLY APPROPRIATES MONEY FROM THE FINANCING FUND OR12
246243 THE SUPPORT FUND IN ACCORDANCE WITH THE REQUIREMENTS OF THIS13
247244 ARTICLE 32 FOR AFFORDABLE HOUSING PROGRAMS AND THE TOTAL14
248245 AMOUNT OF STATE FUNDING SUPPORT FOR AFFORDABLE HOUSING15
249246 PROGRAMS IS LESS IN THAT STATE FISCAL YEAR THAN THE TOTAL AMOUNT16
250247 OF STATE FUNDING SUPPORT FOR AFFORDABLE HOUSING PROGRAMS17
251248 DURING THE 2022-23 STATE FISCAL YEAR.18
252249 (b) A
253250 S USED IN THIS SUBSECTION (3), UNLESS THE CONTEXT19
254251 OTHERWISE REQUIRES, "STATE FUNDING SUPPORT" MEANS, FOR A STATE20
255252 FISCAL YEAR, THE TOTAL OF:21
256253 (I) T
257254 HE AMOUNT OF STATE MONEY APPROPRIATED FOR22
258255 AFFORDABLE HOUSING PROGRAMS BY THE GENERAL ASSEMBLY IN THAT23
259256 STATE FISCAL YEAR THAT ARE NOT APPROPRIATIONS OF MONEY :24
260257 (A) F
261258 ROM THE SUPPORT FUND OR THE FINANCING FUND ;25
262259 (B) T
263260 HAT ORIGINATED FROM THE CORONAVIRUS STATE FISCAL26
264261 RECOVERY FUND;27
265262 313
266263 -8- (C) FROM THE GENERAL FUND THAT WERE REFINANCED IN HOUSE1
267264 B
268265 ILL 24-1466;2
269266 (D) T
270267 HAT THE STATE TREASURER TRANSFERRED TO THE HOUSING3
271268 DEVELOPMENT GRANT FUND PURSUANT TO SECTION 24-22-118 (2);4
272269 (E) T
273270 HAT THE STATE TREASURER TRANSFERRED FROM THE5
274271 AFFORDABLE HOUSING AND HOME OWNERSHIP CASH FUND TO THE6
275272 TRANSFORMATIONAL AFFORDABLE HOUSING REVOLVING FUND PURSUANT7
276273 TO SECTION 24-32-731 (9)(d); OR8
277274 (F) T
278275 HAT THE GENERAL ASSEMBLY APPROPRIATED FROM THE9
279276 AFFORDABLE HOUSING AND HOME OWNERSHIP CASH FUND PURSUANT TO10
280277 SECTION 24-32-721.3.11
281278 (II) T
282279 HE REDUCTION IN STATE REVENUE FOR THE STATE FISCAL12
283280 YEAR THAT IS ATTRIBUTABLE TO TAX EXPENDITURES CONCERNING13
284281 AFFORDABLE HOUSING PROGRAMS THAT THE OFFICE OF STATE PLANNING14
285282 AND BUDGETING PROJECTS DURING THE MARCH REVENUE FORECAST THAT15
286283 IMMEDIATELY PRECEDES THE STATE FISCAL YEAR WILL BE CLAIMED IN THE16
287284 STATE FISCAL YEAR; AND17
288285 (III) T
289286 HE REDUCTION IN STATE REVENUE FOR THE STATE FISCAL18
290287 YEAR THAT IS ATTRIBUTABLE TO TAX EXPENDITURES CONCERNING19
291288 AFFORDABLE HOUSING PROGRAMS , IS NOT INCLUDED IN THE PROJECTION20
292289 DESCRIBED IN SUBSECTION (3)(b)(II) OF THIS SECTION, AND IS DESCRIBED21
293290 IN FISCAL NOTES PROVIDED BY THE LEGISLATIVE COUNCIL OF THE GENERAL22
294291 ASSEMBLY PURSUANT TO SECTION 2-2-322.23
295292 SECTION 4. Safety clause. The general assembly finds,24
296293 determines, and declares that this act is necessary for the immediate25
297294 preservation of the public peace, health, or safety or for appropriations for26
298295 313
299296 -9- the support and maintenance of the departments of the state and state1
300297 institutions.2
301298 313
302299 -10-