The act creates the state apprenticeship agency (SAA) in the department of labor and employment (department) and specifies that it exercises its powers, duties, and functions, including rule-making, regulation, licensing, and registration, the promulgation of rates and standards, and the rendering of findings, orders, and adjudications, independently of the executive director of the department. The executive director of the department is required to appoint the director of the SAA. The purpose of the SAA is to:

• Serve as the primary point of contact with the United States department of labor's office of apprenticeship concerning apprentices and registered apprenticeship programs;
• Accelerate new apprenticeship program growth and assist in promotion and development; and
• Oversee apprenticeship programs, including registration, required standards for registration, certification, quality assurance, record-keeping, compliance with federal laws and standards, and provision of administrative and technical assistance.

The director of the SAA is authorized to promulgate rules to implement the state apprenticeship registration program.

The director of the SAA is required to establish the state apprenticeship council (SAC) and an interagency advisory committee (IAC) on apprenticeship. The governor and the director of the SAA appoint the members of the state apprenticeship council and the interagency advisory committee.

The SAC is charged with overseeing registered apprenticeship programs for the building and construction trades in this state and ensuring compliance with state and federal laws and standards. The IAC is charged with the same responsibilities for all other apprenticeships not in the building and construction trades. Both entities are charged with:

• Registering with and maintaining the standards of the United States department of labor's office of apprenticeship and developing standards for registration for their respective apprenticeship programs;
• Resolving conflicts and complaints that arise between parties to apprenticeship agreements;
• Reviewing apprenticeship program performance;
• Making recommendations concerning apprenticeship programs to the director of the state apprenticeship agency;
• Providing technical and professional guidance and promoting best practices;
• Developing administrative policies to ensure safety and quality standards;
• Providing an annual report to the executive director of the department of labor and employment; and
• Advising the SAA concerning their assigned functions and formulating policies for their respective industries.

The act establishes a joint resolution committee of the state apprenticeship council and the interagency advisory committee to resolve conflicts between the 2 entities and to define their respective jurisdictions.

Additionally, the act requires the state apprenticeship agency to accept applications for registration of apprenticeship programs beginning July 1, 2023. The state apprenticeship agency may deregister an apprenticeship program for noncompliance with the requirements in the act. The state apprenticeship agency shall conduct a hearing upon request of the SAC or the IAC regarding issues of noncompliance and deregistration.

The apprenticeship program is repealed, effective September 1, 2029, after a review of the director's functions is performed.

To implement this act, $485,249 is appropriated to the department of labor and employment for use by the SAA. From this amount $85,072 is appropriated to the department of law, and $78,598 is appropriated to the office of the governor.

(Note: This summary applies to this bill as enacted.)

Fiscal Note

The act makes the following modifications to the regulations of factory-built structures, manufactured housing, and installers and sellers of manufactured housing:

• Clarifies that the division of housing (division) has enforcement powers over the installation and sale of manufactured homes and over the safety of hotels and multi-family structures where no other construction standards exist;
• Clarifies that a manufacturer who violates applicable law is subject to registration revocation or any other measures prescribed by the division or applicable law;
• Clarifies that a local government may enforce local rules governing the installation of factory-built housing that are approved by the division of housing;
• Clarifies that authority granted to the division is over work related to factory-built structures that is completed offsite or completed onsite with components shipped with the factory-built structure;
• Clarifies that a local government's authority is over work completed onsite and is not over work performed offsite or work that is completed onsite using components shipped with the factory-built structure;
• Allows the division to authorize a local government to inspect and charge fees related to work that is completed onsite using components shipped with a factory-built structure;
• Clarifies that a factory-built structure bearing an insignia of approval issued by the division complies with applicable state codes and local government installation requirements approved by the division;
• Clarifies that an insignia of approval affixed to the factory-built structure does not expire unless the design and construction of the factory-built structure has been modified by approved plans;
• Clarifies that a homeowner who installs a manufactured home for their own personal use is not required to register with the division;
• Allows the division to set the surety bond, insurance, and educational requirements for a registered installer of a manufactured home by rule-making;
• Creates disclosure requirements relating to financial instruments and legal actions for installation contracts;
• Requires installers to contact the division if the installer is not able to strictly comply with the manufacturer's instructions;
• Clarifies that a manufacturer must receive an installation authorization unless the installation is occurring in a jurisdiction where a local government is acting as an independent contractor;
• Clarifies that an installation insignia must be affixed to the manufactured home by the division or the local government independent contractor upon the completion of the installation;
• Clarifies what costs the installer may be required to pay if a manufactured home was not completely installed;
• Requires an insurer or financial institution to pay the division the amount of a claim against the letter of credit, certificate of deposit, or surety bond filed with the division by a registered installer if there has been a finding that the installer failed to perform as required by applicable law;
• Clarifies that a local government may only enact installation rules related to geographic or climatic conditions and any such rules cannot federal law;
• Allows a local government to require onsite mitigation addressing public safety requirements applicable to manufactured homes that comply with the federal manufactured home construction and safety standard;
• Clarifies that a person who is employed by a registered seller to negotiate for the sale of manufactured homes is not considered a seller for purposes of the applicable registration requirements;
• Allows the division to set escrow requirements and the minimum amount of a financial instrument filed by a registered seller of a manufactured home through rule-making;
• Removes the requirement that the division send the attorney general a monthly list of all persons registered and bonded with the division;
• Removes the restriction that any financial instrument filed with the division is only revocable upon the written consent of the attorney general;
• Clarifies the disclosures that are required to be made in contracts for the sale of manufactured homes;
• Clarifies that any fines paid to the division by a seller must be credited by the state treasurer to the building regulation fund;
• Clarifies the types of homes that may not be excluded by counties and municipalities; and
• Clarifies that a county or municipality must comply with the state requirements for local installation standards when enacting building code provisions for a manufactured home.
  (Note: This summary applies to this bill as enacted.)

Fiscal Note

Under current law, when a property owner appeals the valuation of property set by a county board of equalization, the valuation may not be increased on appeal. The act removes this restriction.

(Note: This summary applies to this bill as enacted.)

Fiscal Note

The act prohibits a property owner from withholding from a contractor more than 5% of the price of completed work to ensure the work is satisfactorily completed. The contractor and subcontractors are also prohibited from withholding more than 5% from subcontractors and suppliers. The act also clarifies that these prohibitions do not apply to other types of contractual conditions made before payment is due.

The contract may require lien waivers to be executed before payment is made.

The act applies to:

• A contract between a property owner and a contractor that has a price of at least $150,000; and
• A subcontract or supply agreement to such a contract.

The act does not apply to a single contract that governs:

• The building of:
• A single-family dwelling;
• A multifamily dwelling with 4 or fewer family dwelling units; or
• A contract with a public entity.
  (Note: This summary applies to this bill as enacted.)

Fiscal Note

The act requires the state treasurer to transfer to the capital construction fund any excess proceeds from the issuance of a lease-purchase agreement under Senate Bill 20-219, concerning the issuance of a lease-purchase agreement to fund the continuations of certain previously funded capital construction projects, that are initially credited to the emergency controlled maintenance account.

(Note: This summary applies to this bill as enacted.)

Fiscal Note

Section 2 of the bill:

• Sets forth a process and deadlines for and requires the conversion of Pinnacol Assurance from a political subdivision of the state to a stock insurance company owned by a mutual insurance holding company, the initial members of which are the policyholders of Pinnacol Assurance immediately prior to the conversion, and also sets forth a process and deadlines for the disaffiliation of Pinnacol Assurance from the public employees' retirement association (PERA), with details as to how the disaffiliation is to be accomplished;
• Requires the transfer of a specified amount from Pinnacol Assurance to the state within 5 days of the effective date of the conversion and requires the money transferred to be allocated in equal shares to the controlled maintenance trust fund and to the just transition trust fund; and
• Requires the commissioner of insurance to contract with an insurance company as the carrier of last resort for employers seeking workers' compensation insurance and for the successor stock insurance company to serve in that capacity for a transitional period.

Section 3 repeals the existing statutes concerning Pinnacol Assurance in its current form as a political subdivision of the state.Sections 4 to 35 make conforming amendments necessitated by the conversion of Pinnacol Assurance from a political subdivision of the state to a stock insurance company owned by a mutual insurance holding company and the disaffiliation of Pinnacol Assurance from PERA.
(Note: This summary applies to this bill as introduced.)

Fiscal Note

The act creates the workers, employers, and workforce centers cash fund (fund) for the purpose of responding to the COVID-19 public health emergency and the negative economic impacts of the pandemic as follows:

• To provide assistance to unemployed workers, including job training;
• To provide assistance to households;
• For programs, services, or other assistance for populations disproportionately impacted by the public health emergency, including programs or services to address or mitigate the effects on education;
• To provide aid to impacted industries, small businesses, and nonprofit organizations through the provision of related educational and job training services; and
• For related administrative costs.

The act directs the state treasurer to transfer to the fund $200 million of the money the state received pursuant to the federal "American Rescue Plan Act of 2021" (ARPA) and $25 million from the general fund. Of this amount, the act appropriates a total of $75 million for use in the 2021-22 state fiscal year, allocated in the following amounts and for the following purposes related to assisting unemployed workers, aiding impacted industries, and addressing or mitigating the impacts of the public health emergency on education:

• $25 million for the investments in reskilling, upskilling, and next-skilling workers program (program), which is an initiative of the state work force development council (state council) to facilitate training for unemployed and underemployed workers in the state during times of substantial unemployment, defined as an unemployment rate that exceeds 4% statewide or within a work force development area. Of this amount, the state council, in collaboration with the department of labor and employment (department), is directed to allocate: $20.75 million to local work force development areas for the program; $3 million for a grant program developed by the state council to award grants to other partners to provide reskilling, upskilling, and next-skilling supports to eligible individuals for up to 13 months; and $1.25 million for the department to conduct outreach and recruitment, provide access to digital platforms for career navigation, issue licenses for virtual training classes, and implement, administer, and report on the program, with any portion of the $1.25 million that is unencumbered and unexpended as of June 30, 2022, reallocated for the program and the grant program.
• $35 million for programs and initiatives established under the "Work Force Innovation Act", including $17.5 million for allocation to work force development boards for the work force innovation grant program to promote innovation to improve outcomes for learners and workers by helping prepare Coloradans for well-paying, quality jobs; and $17.5 million for use by the state council for statewide work force innovation initiatives;
• $10 million to the department of higher education for allocation by the state board for community colleges and occupational education to specified career and technical education providers to expand equipment, facility, and instruction capacity in key career and technical education job demand areas identified in the annual Colorado talent report; and
• $5 million to the department of education for the adult education and literacy grant program.

As required by ARPA, the money appropriated in the act must be obligated by December 31, 2024, and expended by December 31, 2026, and recipients of ARPA money must comply with reporting requirements specified in ARPA and by the state controller.

The act also authorizes the department to receive and expend money from the general fund or any other state source that is appropriated by the general assembly or passed through another entity for purposes of distributing state funds to work force development areas to implement work force development activities. The act specifies that state money appropriated or passed through to the department is not subject to limits imposed on the use of money received by the department pursuant to specified federal laws.

(Note: This summary applies to this bill as enacted.)

Fiscal Note

Section 1 of the act requires owners of certain large buildings (covered buildings), on an annual basis, to collect and report to the Colorado energy office (office) the covered building's energy use. The act establishes a process requiring certain electric and gas utilities to provide energy-use data to a covered building owner when requested by the covered building owner.

On or before October 1, 2021, the director of the office is required to appoint and convene a task force consisting of various building owners, building professionals, utility representatives, and local government representatives to recommend performance standards for adoption as rules by the air quality control commission (commission). The performance standards set forth in rule would need to achieve a reduction in greenhouse gas emissions of 7% by 2026 compared to 2021 levels as reported in energy benchmarking data and by 20% by 2030 compared to 2021 levels. The performance standards adopted must include a provision that an owner of a public building need only comply with the performance standards with regard to certain types of construction or renovation projects and only if the construction or renovation project has an estimated cost of at least $500,000. Covered building owners would then need to demonstrate their compliance with the performance standards set forth in the commission's rules. The commission is also required to adopt rules regarding the issuance of waivers and extensions of time for performance standard compliance. The commission may adopt additional rules, as the commission deems necessary, to modify or continue the performance standards.

Section 2 authorizes the office to use the energy fund to help finance its work to administer the benchmarking and performance standard program described in section 1 (program).

Section 3 requires the office to administer the program and assist covered building owners with the reporting requirements set forth in section 1 by:

• Creating a database of covered buildings and owners required to comply with section 1;
• Tracking compliance with the program and providing a list of noncompliant owners of covered buildings to the division of administration in the department of public health and environment;
• Developing publicly available, digitally interactive maps and lists showing the energy-use and performance-standard data reported;
• Coordinating with any local government that implements its own energy benchmarking requirements or energy performance program, including coordination of reporting requirements; and
• Collecting an annual fee from owners of covered buildings of $100 per covered building; except that owners of public buildings are exempt from paying the fee. The office is required to transfer the fees collected to the state treasurer, who will credit the fees to the climate change mitigation and adaptation fund (fund) created in section 3.

Section 4 imposes penalties for violations of the benchmarking requirements in amounts up to $500 for a first violation and up to $2,000 for each subsequent violation. The commission is required to establish by rule civil penalties for a violation of the commission's performance standards in an amount not to exceed $2,000 for a first violation and $5,000 for a subsequent violation.

Section 5 modifies the definition of an "energy performance contract" that a governing body of a municipality, county, special district, or school district (board) enters into for evaluation, recommendations, or implementation of energy saving measures to remove requirements that a board's payment for goods and services pursuant to the contract be made within a certain number of years of the contract's execution.

(Note: This summary applies to this bill as enacted.)

Fiscal Note

The act makes general fund transfers of $8,000,000 to the just transition cash fund (fund) and $7,000,000 to a newly created coal transition worker assistance program account (account) in the fund. The just transition office (office) is required to expend at least 70% of the money transferred to the fund by the close of state fiscal year (FY) 2021-22 and any remaining money in state FY 2022-23 to implement the final just transition plan for Colorado and to provide supplemental funding for existing state programs that the office identifies as the most effective vehicles for targeted investment in coal transition communities. In expending the money, the office is required to develop specific criteria for prioritizing the expenditures, emphasize investment in tier one transition communities, as defined by the act, and support specified types of programs in accordance with specified requirements and limitations.

Subject to specified requirements and limitations, the department of labor and employment (CDLE) is required to expend at least 70% of the money transferred to the account by the close of state FY 2021-22 and any remaining money in state FY 2022-23 first for assistance programs that directly assist coal transition workers and then, if money remains, to support family and other household members of coal transition workers and create and implement a pilot program to test innovative coal transition work support programs.

The act also:

• Amends and supplements existing definitions of "coal transition community" and "coal transition worker" to improve the implementation of just transition.
• For state FY 2020-21, appropriates $8,000,000 from the fund to CDLE for use by the office to implement the final just transition plan for Colorado and to provide supplemental funding for existing state programs that the office identifies as the most effective vehicles for targeted investment in coal transition communities as specified in the act. Any portion of the appropriation not spent by the close of state FY 2020-21 remains available for expenditure by the office for the same purposes until the close of state FY 2022-23.
• For state FY 2020-21, appropriates $7,000,000 from the account to CDLE for use by CDLE first for assistance programs that directly assist coal transition workers and then, if money remains, to support family and other household members of coal transition workers and create and implement a pilot program to test innovative coal transition work support programs as specified in the act. Any portion of the appropriation not spent by the close of state FY 2020-21 remains available for expenditure by CDLE for the same purposes until the close of state FY 2022-23.
  (Note: This summary applies to this bill as enacted.)

Fiscal Note

The office of the state architect and the department of transportation are each required to establish policies regarding the global warming potential for specific categories of eligible materials used to construct certain public projects.

The office of the state architect is required to establish a maximum acceptable global warming potential for each category of eligible material used in certain public projects under its purview. The act specifies which building materials are eligible materials. The office of the state architect is required to base the maximum acceptable global warming potential on the industry average of global warming potential emissions for that material and to express it as a number that states the maximum acceptable global warming potential for each category of eligible material.

The department of transportation is required to develop policies to determine, track, and record greenhouse gas emissions for each category of eligible materials used in certain public projects under its purview in a manner consistent with criteria in an environmental product declaration.

The office of the state architect and the department of transportation are both required to strive to achieve continuous reduction in greenhouse gas emissions in construction materials over time for the projects under their purview.

For solicitations for certain public projects under the purview of the office of the state architect or the department of transportation issued after certain dates, the contractor that is awarded the contract is required to submit a current environmental product declaration for each eligible material proposed to be used in the public project.

A contractor that is awarded a contract for certain public projects is prohibited from installing any eligible material on the project until the contractor submits an environmental product declaration for that material. If an environmental product declaration is not available for an eligible material, the contractor shall notify the relevant agency of government and install an alternative eligible material with an environmental product declaration. However, if a product meeting the policy requirements for a category of eligible materials is not reasonably priced or is not available to the contractor on a reasonable basis, the relevant agency of government may waive the requirement that the contractor submit an environmental product declaration for that eligible material before installing it.

The office of the state architect and the department of transportation are required to annually report to the general assembly regarding the implementation of the act.

(Note: This summary applies to this bill as enacted.)

Fiscal Note

Current law requires a private college or university operating in the state to be institutionally accredited on the basis of an on-site review by a regional or national accrediting body recognized by the United States department of education (DOE). The act allows private colleges and universities and private occupational schools to be accredited by:

• Institutional or programmatic accrediting bodies recognized by the DOE; or
• Programmatic accrediting bodies that are recognized by the Council for Higher Education Accreditation (CHEA) as having the ability to accredit freestanding, single-purpose institutions of construction education.

The act states it is a deceptive trade or sales practice for a private occupational school to advertise or otherwise represent that it is accredited unless the school is accredited by an accrediting body that is recognized by the DOE or is accredited by a programmatic accrediting body that is recognized by the CHEA as having the ability to accredit a freestanding, single-purpose institution of construction education.

The act allows an educational institution or educational service that is exempt from the requirements of the "Private Occupational Education Act of 1981" to waive its exempt status in order to apply for authorization to operate a private occupational school, subject to certain conditions.

For the 2021-22 state fiscal year, the act appropriates $98,796 to the department of higher education from the private occupational schools fund, $45,626 of which is for use by the division of private occupational schools for program costs and $53,170 of which is reappropriated to the department of law to use to provide legal services to the department of higher education.

(Note: This summary applies to this bill as enacted.)

Fiscal Note

Section 2 of the act requires CollegeInvest to provide the department of revenue (department) with a secure electronic report of CollegeInvest account holders who are also Colorado taxpayers who made distributions between January 1, 2017, and January 1, 2021. The department is required to examine a risk-based sample of such taxpayers to substantiate that the distribution was made for authorized purposes. The department is also required to regularly example a risk-based sample of distributions on or after January 1, 2021, and determine if the taxpayer paid the correct amount of income tax. The executive director of the department is required to provide a report of the examinations as part of the department's presentation to its legislative committee of reference.

Section 3 of the act modifies how taxable income is determined for individuals for purposes of the state income tax. Specifically, it:

• Extends the limit on the federal deduction allowed under section 199A of the internal revenue code;
• Imposes a cap for taxpayers with adjusted gross incomes equal to or exceeding $400,000 on certain itemized deductions claimed under the internal revenue code;
• Requires individual taxpayers to add amounts of federal taxable income that are equal to the enhanced federal deductions for food and beverage in a restaurant for the 2022 income year (this is also required for corporate taxpayers in section 7 of the act);
• Repeals, for social security income earned by individuals who are 65 years of age or older that is included in federal taxable income only, the cap on the deduction for pension and annuity income received; and
• Adds an annually adjusted cap, per taxpayer per beneficiary, on the income tax deduction for contributions made to 529 plans, and requires CollegeInvest to provide the department with a secure electronic report containing specified information for the 529 plans account owners and third-party contributors necessary for the administration of the income tax deduction.

Section 4 of the act increases the earned income tax credit to 20% for income tax years commencing on or after January 1, 2022, but before January 1, 2023, and income tax years commencing on or after January 1, 2026. Section 3 also increases the earned income tax credit to 25% for income tax years commencing on or after January 1, 2023, but before January 1, 2026. Finally, section 4 of the act applies the lowered minimum age for individuals without a qualifying child in the federal "American Rescue Plan Act of 2021" to the state credit for income tax years commencing on or after January 1, 2022.

Section 5 of the act funds the child tax credit for income tax years commencing on or after January 1, 2022, and allows a child tax credit in the state regardless of the federal requirement that a qualifying child must have a social security number for the federal child tax credit. Section 5 of the act also specifies that if the changes to the federal child tax credit in the "American Rescue Plan Act of 2021" are no longer in effect, the percentages of the state child tax credit are increased.

Section 6 of the act modifies the computation of the corporate income tax receipts factor to make it more congruent with combined reporting and also prevents corporations from using tax shelters in foreign jurisdictions for the purpose of tax avoidance.

Section 7 of the act functions to prevent corporations from using tax shelters in foreign jurisdictions for the purpose of tax avoidance and additionally modifies how taxable income is determined for C corporations for purposes of the state income tax. Specifically, it requires corporate taxpayers to add amounts of federal taxable income that are equal to the enhanced federal deductions for food and beverage in a restaurant for the 2022 income year.

Section 8 of the act limits the state subtraction for certain capital gains incurred by allowing the subtraction to a taxpayer who is required to file a Schedule F, profit or loss from farming, as an attachment to the taxpayer's federal income tax return for the tax year in which the net capital gains arise for the sale of real property, not tangible personal property, that is classified as agricultural land for property tax purposes.

Section 9 of the act creates a temporary income tax credit for a business for a percentage of the conversion costs to convert the business to a worker-owned coop, an employee stock ownership plan, or an employee ownership trust.

Sections 10 through 13 of the act address the avoidance of income tax by certain captive insurance companies.

Section 14 of the act adds an appropriation to:

• The office of the governor for use by the office of economic development for the administration of the income tax credit for a business converting to a worker-owned coop, an employee stock ownership plan, or an employee ownership trust; and
• The department of revenue for administration and support.
  (Note: This summary applies to this bill as enacted.)

Fiscal Note

To be deemed to maintain a home office or regional home office and pay the insurance premium tax at a rate of 1%, the act requires a company to have a minimum percentage of its total domestic workforce in the state. This percentage is 2% for 2022, 2.25% for 2023, and 2.5% for 2024 and thereafter. The act also narrows the tax exemption for annuities considerations. For the purpose of auditing a company's tax statement, the commissioner of insurance may appoint an independent examiner to conduct an examination on behalf of the commissioner.

For purposes of imposing the property tax, the act specifies that the actual value of real property reflects the value of the fee simple estate and the actual value of personal property is determined based on the property's value in use, which will be defined by the property tax administrator. The act also increases the per schedule exemption for business personal property from $7,900 to $50,000, adjusted for inflation, and the state is required to reimburse local governments for lost property tax revenue caused by the increase. Assessors are required to provide an estimate of the exempt business personal property along with the certifications to local governments.

The state sales and use tax is imposed on the sale and use of tangible personal property. The act codifies the department of revenue rule that the definition of "tangible personal property" includes "digital goods" and specifies that the state sales tax applies to amounts charged for mainframe computer access, photocopying, and packing and crating. Beginning January 1, 2022, a retailer whose total taxable sales were greater than $1 million for a filing period is not permitted to retain any portion of the sales and use tax collected as compensation for the retailer's tax-collection expenses.

The act limits the allowable deductions, which are used to determine the taxable amount of oil and gas subject to the severance tax, to direct costs actually paid or accrued by the taxpayer for those purposes. Beginning with the 2022 taxable year, the act phases out the quarterly exemption and the tax credits for the severance tax on coal. The additional revenue that results from changes to the coal severance tax is credited to the just transition cash fund.

(Note: This summary applies to this bill as enacted.)

Fiscal Note

Senate Bill 19-196, enacted in 2019, requires that a state agency (agency) specify a general prevailing rate of wages and other payments provided to employees (prevailing rate) in certain contracts for public projects, and it applies to state solicitations issued for projects (solicitations) on or after July 1, 2021.

For solicitations issued on July 1, 2021, through December 31, 2021, only, the act requires that the agency obtain the general prevailing rate directly from the United States department of labor. For solicitations issued on or after January 1, 2022, the agency must obtain the general prevailing rate from the director of the Colorado department of personnel and administration (department).

For solicitations issued on July 1, 2021, through December 31, 2021, only, the act requires that the agency keep a schedule of the prevailing rate on file for the life of the project. Beginning on January 1, 2022, the executive director of the department is required to keep a schedule of the customary prevailing rate in his or her office.

The act also permits the department to include only solicitations issued on or after January 1, 2022, rather than solicitations issued on or after July 1, 2021, in its annual reports detailing the amount of apprenticeship training contributions paid.

(Note: This summary applies to this bill as enacted.)

Fiscal Note

The career development success program provides financial incentives for participating school districts and participating charter schools to encourage pupils enrolled in grades 9 through 12 to enroll in and successfully complete qualified industry-credential programs; qualified internship, residency, or construction industry pre-apprenticeship or apprenticeship programs; and qualified advanced placement courses (programs and courses). The act amends the list of qualified programs by removing residency programs and expanding pre-apprenticeship and apprenticeship programs to include any industry program, not just construction industry programs.

The act expands the definition of a qualified industry-credential program to include a career and technical education program that, upon completion, results in an industry-recognized credential with labor market value aligned with a high-skill, high-wage, in-demand job.

Current law requires the work force development council (council) to identify the qualified programs and courses by identifying the jobs included in the Colorado talent report with the greatest regional and state demand, including jobs in in-demand industries. The act requires the council to consult with relevant industries to identify the programs and courses by identifying high-skill, high-wage jobs in in-demand industries that have labor market value. Any programs and courses the council determines do not demonstrate labor market value may be removed from the council's website.

Beginning in the 2022-23 school year, and each school year thereafter, the department of education (department), in coordination with the department of labor and employment, the department of higher education, the Colorado community college system, and employers from in-demand industries, shall identify the top 10 industry-recognized credentials that may be awarded to high school students. For each identified credential, the department shall specify how the courses taken to earn the credential align with the state academic standards.

The act requires each participating school district, each nonparticipating school district on behalf of its participating charter schools, and the state charter school institute on behalf of each participating institute charter school to report to the department the total number of pupils who successfully complete a program or course, disaggregated by each student's race, ethnicity, and gender, and whether each student is a student with a disability, an English language learner, or eligible for free or reduced-price lunch.

Current law requires each participating school district and each participating charter school to regularly communicate to all high school students the availability of programs and courses and the benefits a student receives as a result of successfully completing one of the programs or courses. The act expands this requirement to all middle school students and the students' families.

The act requires each participating school district and each participating charter school to communicate how industry-recognized credentials and guaranteed-transfer pathways courses that are included in such credentials are aligned with postsecondary degrees and high-skill, high-wage, in-demand jobs, and the top 10 industry-recognized credentials identified by the department. The communications must be provided in a language that the students and the students' families understand.

The act updates the department's annual reporting requirements to the general assembly to include:

• Whether the students participating in the programs and courses enlisted in the military or entered the workforce after graduation;
• How money received under the career development success program was used to promote the availability of programs and courses; and
• How the participating school district or participating charter school determined which programs and courses to offer, including how the programs and courses are aligned with local workforce needs.

No later than July 1, 2022, the department, in collaboration with the Colorado community college system, shall publish and disseminate materials through existing and relevant platforms used to engage with districts that include, at a minimum, the top 10 industry-recognized credentials and a sample communications plan for how a participating school district or participating charter school may communicate the value of credentials and experiences to students and families.

The act requires participating school districts and participating charter schools to utilize program funding to promote access to programs and courses.

The act requires the return on investment report to include information specifically identifying the number of high school students enrolled and the number of degrees and certificates awarded through the career development success program.

The act appropriates $20,000 from the general fund to the department of education to implement the act.

(Note: This summary applies to this bill as enacted.)

Fiscal Note

For purposes of addressing discriminatory or unfair employment practices pursuant to Colorado's anti-discrimination laws, the bill enacts the "Protecting Opportunities and Workers' Rights (POWR) Act", which:

• Continues the Colorado civil rights division (division) and the Colorado civil rights commission (commission) indefinitely;
• Directs the division to include "harassment" as a basis or description of discrimination on any charge form or charge intake mechanism;
• Allows an employment discrimination claim to be brought in any court of competent jurisdiction in the county or district where the alleged discriminatory or unfair employment practice occurred; and allows an individual to file a civil action, without otherwise exhausting administrative proceedings and remedies, as long as the individual either files a charge with the Colorado civil rights commission (commission) or serves a written demand for the relief on the individual's employer and allows the employer 14 days to respond;
• Directs the division to develop and provide to employers, free of charge, training and education programs regarding the prevention of harassment and discrimination in the workplace, bystander intervention, and workplace civility;
• Expands the definition of "employee" to include individuals in domestic service individuals who perform a service for a price, including independent contractors, subcontractors, and their employees; and individuals who offer services or labor without pay and specifies that an individual performing services for pay for another is deemed an employee unless, by a preponderance of the evidence, it is proven that the individual satisfies the conditions under the state wage law for a determination that the individual is not an employee;
• Adds a requirement that a written, electronic, or oral agreement or contract under which a person performs services for another must require that the person for whom the services are performed shall not engage in any discriminatory or unfair employment practice with respect to the individual performing the services ;
• Adds new definitions of "caregiver", "care recipient", "child", "minor child", and "harass" or "harassment" "hostile work environment", and "independent contractor" and repeals the current definition of "harass" that requires creation of a hostile work environment;
• Adds protections from discriminatory or unfair employment practices for individuals based on their "marital status" or "caregiver status";
• Specifies that in harassment claims, the alleged conduct need not be severe or pervasive to constitute a discriminatory or unfair employment practice, and an employer has an affirmative defense to the claim if the employer demonstrates that, when the employer knew or should have known of the harassment, the employer took prompt, reasonable, and, if warranted, remedial action to end the harassment, deter future harassers, and protect employees;
• Specifies that it is a discriminatory or unfair employment practice for an employer to fail to initiate an investigation of a complaint or fail to take prompt , reasonable, and, if warranted, remedial action; if appropriate;
• Specifies the requirements for an employer to avoid liability when an employee proves that a supervisor unlawfully harassed that employee;
• Prohibits certain preemployment medical examinations, imposes limitations on inquiries and examinations about an employee's disability during employment, and specifies that violations of these prohibitions and limitations constitute discriminatory or unfair employment practices;
• Expands the time limit to file a charge with the commission from 6 months to 300 days after the alleged discriminatory or unfair employment practice occurred;
• Repeals the limits on remedies in cases involving age discrimination;
• Limits the ability of an employer to require confidentiality of claims once a charge is filed with the commission Specifies requirements that must be satisfied for a nondisclosure provision in an agreement between an employer and employee to be enforceable; voids a nondisclosure provision if a party makes a material misrepresentation; and requires the division to provide to a charging party other charges filed with the division against the same respondent; and
• Requires employers with 20 or more employees to provide and maintain records of training and education to all employees regarding harassment and discrimination prevention, bystander intervention, and workplace civility, encourages other employers to provide the training and education, and authorizes the division director to impose penalties on employers that fail to comply with the training and recordkeeping requirements.

The bill appropriates the following amounts to the following departments to implement the bill:

• $539,292 and 6.0 FTE to the department of corrections;
• $71,905 and 0.8 FTE to the department of education;
• $134,823 and 1.5 FTE to the office of the governor;
• $22,471 and 0.5 FTE to the department of health care policy and financing;
• $449,410 and 5.0 FTE to the department of human services;
• $449,410 and 5.0 FTE to the judicial department;
• $107,858 and 1.2 FTE to the department of labor and employment;
• $401,180 and 2.5 FTE to the department of law;
• $134,823 and 1.5 FTE to the department of natural resources;
• $630,465 and 1.5 FTE to the department of personnel;
• $125,835 and 1.4 FTE to the department of public health and environment;
• $161,788 and 1.8 FTE to the department of public safety;
• $652,879 and 9.7 FTE to the department of regulatory agencies;
• $134,823 and 1.5 FTE to the department of revenue; and
• $269,646 and 3.0 FTE to the department of transportation.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

The bill provides injured workers control over the selection of the primary treating physician in workers' compensation cases, allowing them to choose from any level I or level II accredited physician through the division of workers' compensation. The bill creates the mechanism by which the injured worker may select the treating physician, and requires the employer or insurer to choose the physician when an injured worker is unable or unwilling to select the treating physician.
(Note: This summary applies to this bill as introduced.)

Fiscal Note

The act states that, upon passage of the act, verification of lawful presence in the United States is not required for any purpose that lawful presence is not required by law, ordinance, or rule to receive benefits pursuant to a federal stimulus law or rule.

Effective July 1, 2022, the act repeals current laws that require a person to demonstrate the person's lawful presence in the United States to be eligible for certain public benefits and states that lawful presence is not a requirement of eligibility for state or local public benefits, as defined by 8 U.S.C. sec. 1621.

The act amends certain statutory provisions to clarify acceptable documents to demonstrate eligibility.

Current law prohibits a state agency or political subdivision from entering into or renewing a public contract with a contractor who knowingly employs or contracts persons who are undocumented. The act repeals that requirement and associated statutory provisions.

The act appropriates:

• $178,627 to the department of human services to implement the act. $47,768 is from the general fund and $130,859 is from the federal child care development funds; and
• $83,881 from the general fund to the department of revenue for use by the taxation business group to implement the act.
  (Note: This summary applies to this bill as enacted.)

Fiscal Note

Current law requires the air quality control commission (AQCC) to adopt rules that will result in the statewide reduction of greenhouse gas (GHG) emissions of 26% by 2025, 50% by 2030, and 90% by 2050, as compared to 2005 emissions. Section 2 of the bill supplements these requirements by:

• Directing the AQCC to:
• Consider the social cost of GHG emissions;
• Require GHG reductions on a linear or more stringent path; and
• Finalize its implementing rules by March 1, 2022, including specific net emission weight limits for various emission sectors, subject to modification by the AQCC, including through the use of a multi-sector program;
• Directing each wholesale generation and transmission electric cooperative to file with the public utilities commission a responsible energy plan that will achieve at least an 80% GHG reduction by 2030 as compared to 2005 levels and specifying that if a plan is not filed, the cooperative must achieve at least a 90% GHG reduction by 2030 as compared to 2005 levels; and
• Directing each retail, wholesale, and municipal electric utility and cooperative electric association to reduce its GHG emissions by at least 95% between 2035 and 2040 and by 100% by 2040.

Section 3 adds GHG to the definition of "regulated pollutant", prohibits the AQCC from excluding GHG emissions from the requirement to pay annual emission fees that are based on emissions of regulated pollutants, gives the AQCC rule-making authority to set the GHG annual emission fee, and authorizes the use of these fees for outreach to and engagement of disproportionately impacted communities. Section 4 requires the AQCC's GHG reporting rules to establish an assumed emission rate representing the average regional fossil fuel generation emission rate for electricity generated by a renewable energy resource for which the associated renewable energy credit is not retired in the year generated.Section 5 creates an environmental justice ombudsperson position and an environmental justice advisory board in the department of public health and environment. The ombudsperson and the advisory board will work collaboratively to promote environmental justice in Colorado. Sections 2 and 5 specify processes for soliciting and facilitating input from disproportionately impacted communities regarding proposed AQCC rule changes and departmental decision-making.
(Note: This summary applies to this bill as introduced.)

Fiscal Note

The act transfers $10 million from the general fund to the public school capital construction assistance fund (assistance fund) for the purpose of providing "Building Excellent Schools Today Act" (BEST) grants to fund public school air quality improvement projects. The public school capital construction assistance board (board) is authorized to make the grants and is required to prioritize grant awards based on grant applicants' existing calculated local match requirements for BEST grants, with applicants with the lowest matching money requirements having the highest priority and applicants with the highest matching money requirements having the lowest priority. The board is also required to submit a report about the grants to the general assembly during the department of education's 2022 "State Measurement for Accountable, Responsive, and Transparent (SMART) Government Act" presentation to legislative committees of reference. Notwithstanding the use of existing calculated local match requirements for grant prioritization purposes, the grants are exempted from existing matching money requirements for BEST grants. $10 million is appropriated from the assistance fund to the board for state fiscal year 2020-21, and any of the money not expended before July 1, 2021, is further appropriated to the board for state fiscal year 2021-22 for the same purpose.
(Note: This summary applies to this bill as enacted.)

Fiscal Note

On June 1, 2022, the state treasurer is required to transfer $100 million from the marijuana tax cash fund to the public school capital construction assistance fund (BEST fund).

(Note: This summary applies to this bill as enacted.)

Fiscal Note

Under current law, revenue from an assessment on employers' unemployment insurance premiums, not to exceed $10 million per year and not to exceed cumulative revenue of $100 million, is allocated to the employment and training technology fund (technology fund) in the division of unemployment insurance (division) in the department of labor and employment to fund employment and training automation initiatives established by the director of the division. Any amount of revenues from the assessment that exceeds the $10 million annual cap or the $100 million cumulative revenue cap is allocated to the unemployment compensation fund. Additionally, if the balance in the unemployment compensation fund falls below $100 million, the balance in the technology fund is allocated to the unemployment compensation fund.

The act:

• Eliminates the allocation of the technology fund balance to the unemployment compensation fund when the unemployment compensation fund balance falls below $100 million;
• Eliminates the $10 million cap on annual allocations to the technology fund and adds a new $7 million annual cap starting July 1, 2023;
• Adds a cap of $31 million on cumulative revenue to the technology fund until June 30, 2023;
• Transfers any amounts credited to and remaining in the technology fund between July 1, 2020, and the effective date of the act to the unemployment compensation fund; and
• Repeals the assessment for the technology fund on June 30, 2031.
  (Note: This summary applies to this bill as enacted.)

Fiscal Note

The act appropriates $15,000,000 from the workers, employers, and workforce centers cash fund and the federal coronavirus recovery fund to the department of higher education for the Colorado opportunity scholarship initiative's displaced workers grant.

(Note: This summary applies to this bill as enacted.)

Fiscal Note

The act requires the executive director of the department of labor and employment (executive director), in partnership with the director of the division of unemployment insurance, the office of the governor, and either the new American advisor in the department or the director of the office of new Americans (ONA), if established, to study the feasibility of establishing a contract with a nonprofit, third-party entity to administer a wage replacement program for individuals who are unemployed through no fault of their own and who are ineligible for regular unemployment benefits due to their immigration status. The executive director and the new American advisor or director of the ONA are required to submit recommendations to the governor and to the senate business, labor, and technology committee and the house of representatives business affairs and labor committee.

$75,000 is appropriated to the department of labor and employment for the wage replacement program study.

(Note: This summary applies to this bill as enacted.)

Fiscal Note

The act directs the public utilities commission (PUC) to establish energy savings targets and approve plans under which investor-owned electric utilities will promote the use of energy-efficient electric equipment in place of less efficient fossil-fuel-based systems. This directive would substantially follow the model of existing demand-side management (DSM) policies established by the PUC.

Section 1 of the act declares that DSM has provided substantial economic and environmental benefits, and the PUC's administration of DSM has successfully carried out legislative intent; therefore, the PUC is directed to implement beneficial electrification programs and plans using the same approach.

Sections 3 and 5 specify the parameters for these programs and plans, including the types of systems and appliances that are eligible for installation, the criteria to be considered when the PUC evaluates plan proposals, the implementation of plans, utility cost-recovery mechanisms, and performance incentives. Section 5 also requires that any installation, upgrade, or new construction under a beneficial electrification program must be performed either by utility employees or by qualified, Colorado-licensed contractors. For large projects, contractors must be selected from a list, maintained by the Colorado department of labor and employment, of contractors that participate in apprenticeship programs registered with the United States department of labor.

Section 2 adds heat pumps to the list of energy efficiency measures that cannot be prohibited under the covenants of a homeowners' association.

Section 4 directs the PUC to apply current standards for measurement of the social cost of carbon emissions, including methane, in evaluating the cost, benefit, or net present value of utility plans and proposals for beneficial electrification.

The act appropriates $168,448 to the department of regulatory agencies, for use by the PUC, and $73,351 to the department of labor and employment, for use by the division of employment and training, to implement the act.

(Note: This summary applies to this bill as enacted.)

Fiscal Note

The length of the bill summary for this bill requires it to be published on a separate page here: https://leg.colorado.gov/sb21-260-bill-summary
(Note: This summary applies to this bill as enacted.)

Fiscal Note

The act makes various changes to statutory provisions to promote transparency for special districts. Specifically:

• Under current law, the designated election official is required to provide notice by publication of a call for nominations for a regular local government election. Except for metropolitan districts organized after January 1, 2000, the act requires that notice be made exclusively by publication and by any one of 4 additional means.
• In the case of any metropolitan district that was organized after January 1, 2000, the act requires the notice of the call for nominations to be made by emailing the notice to each active registered elector of the metropolitan district as specified in the registration list provided by the county clerk and recorder as of the date that is 150 days prior to the date of the regular local government election. Where the active registered elector does not have an e-mail address on file for such purpose with the county clerk and recorder as of that date, the public notice must be made by mailing the notice, at the lowest cost option, to each address at which one or more active registered electors of the metropolitan district resides as specified in the registration list provided by the county clerk and recorder as of that date.
• In addition to the means of providing public notice of the call for nominations that is required under the act, the designated election official must also provide public notice by any one of 4 alternate means specified in the act;
• The act exempts inactive special districts from new requirements under the act concerning maintenance of a district's website and a district's annual report;
• The act requires a metropolitan district, by a certain date, to establish, maintain, and annually update an official website in a form that is readily accessible to the public that contains information that is specified in the act;
• The act adds to existing statutory requirements regarding the annual report to be filed by a special district and, among other things, supplements the type of information to be included in the annual report;
• The act prohibits a metropolitan district from exercising its power of dominant eminent domain within a municipality or the unincorporated area of a county, other than within the boundaries of the jurisdiction that approved its service plan, without a written resolution approving the exercise of dominant eminent domain by the governing body of the municipality in connection with property that is located within an incorporated area or by the board of county commissioners of the county in connection with property that is located within an unincorporated area; and
• The act requires, on and after January 1, 2022, each owner of real property that sells real property that includes a newly constructed residence that is located within a metropolitan district, concurrently with or prior to the execution of a contract to sell the property, to provide to the purchaser of the property certain information or statements specified in the act relating to the finances of the metropolitan district, including information about the debt obligations of the district and an estimate of property taxes applicable to the property at the time of the sale.
  (Note: This summary applies to this bill as enacted.)

Fiscal Note

On July 1, 2021, the state treasurer is required to transfer $124 million from the general fund to the state highway fund.

(Note: This summary applies to this bill as enacted.)

Fiscal Note