Budget & Taxes (Appropriations)

The act makes optional an appropriation to comply with matching requirements under the federal 'Richard B. Russell National School Lunch Act' and allows the amount to be appropriated from the healthy school meals for all program cash fund.      The act allows money for administration of the summer electronic benefits transfer for children program to be appropriated from the healthy school meals for all program cash fund.     The act makes an appropriation for the start smart nutrition program optional, repeals the start smart nutrition program cash fund, transfers the start smart nutrition program cash fund balance to the general fund, and allows an appropriation for the start smart nutrition program to be made from the healthy school meals for all program cash fund.     The act makes an appropriation for the child nutrition school lunch protection program optional and allows an appropriation for the child nutrition school lunch protection program to be made from the healthy school meals for all program cash fund.     Under current law, the department of education administers a local school food purchasing program and a local school food purchasing technical assistance and education grant program (legacy local school food programs) that are distinct from the local school food purchasing program and technical assistance and education grant programs within the 'Healthy School Meals for All Act' (HSMA local school food programs). The act permits the general assembly to appropriate money for the legacy local school food programs if the healthy school meals for all program cash fund does not fully fund the HSMA local school food programs.     The act appropriates $3,001,741 from the healthy school meals for all program cash fund to the department of education for the affected programs. The act reduces appropriations for the 2026-27 state fiscal year to the department of education for the affected programs by $3,839,685, of which $229,097 is from the general fund and the remainder from various cash funds.(Note: This summary applies to this bill as enacted.)

On July 1, 2027, the act repeals the decarbonization tax credits administration cash fund, which is subject to annual appropriation to the department of revenue and the Colorado energy office to pay for the direct and indirect costs associated with the implementation and administration of various decarbonization tax credits.(Note: This summary applies to this bill as enacted.)

Current law requires most state agencies and institutions of higher education that receive an appropriation for capital construction to set aside an amount of money equal to the recorded depreciation of the capital asset that was acquired, repaired, improved, replaced, renovated, or constructed with the appropriation (annual depreciation-lease equivalent payment) to pay for the long-term maintenance costs of the capital asset. Currently, the money that state agencies or institutions of higher education set aside for maintenance costs is credited to the capitol complex renovation fund. The act repeals the annual depreciation-lease equivalent payment requirement.     Currently, the department of personnel uses the money in the capitol complex renovation fund (fund) for capital construction needs for existing state-owned buildings in the capitol complex. The act requires the state treasurer to transfer $15,263,000 from the fund to the general fund on June 30, 2026. The act also requires the state treasurer to transfer the remaining balance of the fund on June 30, 2027, to the general fund and then repeals the fund. In addition, the act repeals a reporting requirement in connection with the use of the money in the fund.     The act also repeals the capitol complex master plan implementation fund, including its ongoing transfers to the fund.     The act decreases multiple cash fund and general fund appropriations made in the annual general appropriation act for the 2026-27 state fiscal year to various state departments for annual depreciation-lease equivalent payments.(Note: This summary applies to this bill as enacted.)

The act transfers $10 million from the tobacco education programs fund to the preschool programs cash fund on June 30, 2027.     For the 2026-27 state fiscal year, the act reduces the general fund appropriation to the department of early childhood (department) for the universal preschool program by $10 million and makes a corresponding $10 million appropriation to the department from the preschool programs cash fund for the universal preschool program.(Note: This summary applies to this bill as enacted.)

The act specifies monthly subsidy payment reimbursement limits for the adoption assistance program and the relative guardianship assistance program that apply to contracts that take effect July 1, 2026, or later, and prohibits reimbursement for services other than nonreoccuring adoption expenses. The act requires the state department of human services to create a standardized notice for families that describes the reimbursement change. The act requires the county departments of human or social services to provide the notice by June 15, 2026, to families currently receiving services.     The act reduces the state fiscal year 2025-26 appropriation to the department of human services for adoption and relative guardianship assistance made in the long bill as follows:From the general fund, by $2,199,750; andFrom cash funds, by $407,295.(Note: This summary applies to this bill as enacted.)

The act reduces by $5.2 million the appropriation for the Colorado academic accelerator grant program for the 2023-24 state fiscal year, which is available for expenditure through the 2026-27 state fiscal year.(Note: This summary applies to this bill as enacted.)

The act repeals the requirement for the general assembly to appropriate money in the 2026-27 state fiscal year for the out-of-school time program grant program (grant program).     The act reduces the appropriation for the 2026-27 state fiscal year to the department of education for use by the grant program by $1,750,000.(Note: This summary applies to this bill as enacted.)

The act limits the benefits pregnant women and children with a certain family household income and citizen or immigration status are eligible for under the state medical assistance program and the medical assistance program.     Eligible pregnant women and children are subject to the following limitations on benefits:Beginning July 1, 2026, there is an annual cap on dental services in the amount of $1,100;Beginning January 1, 2027, behavioral health services offered must be provided on a fee-for-service basis only;Beginning January 1, 2027, services offered through the accountable care collaborative are no longer covered; andBeginning January 1, 2027, managed care services through the medical assistance program are no longer covered.     Beginning January 1, 2027, children under 19 years old whose family household income does not exceed 260% of the federal poverty line, adjusted for family size, and who are not eligible for the medical assistance program due to their immigration status, are not eligible for home- and community-based services, community first choice, long-term home health, private duty nursing, hospice care, and nursing home care unless those children already receive those services on or before December 31, 2026.     Beginning January 1, 2027, the act caps enrollment of children in the state medical assistance program at 25,000 children if either enrollment exceeds 25,000 or the expenditures for a fiscal quarter exceeds one-quarter of the appropriation for state medical assistance plus 5% to account for seasonality fluctuations. If one of the conditions is met, the enrollment cap begins on the first day of the month following 60 days after the department of health care policy and financing (state department) determines that the condition was met.     The act repeals provisions requiring the state department to develop an outreach and enrollment strategy for enrolling eligible groups into new coverage options and repeals the state children's basic health plan.     The act appropriates $3,378,166 from the general fund to the state department to implement the act and reduces appropriations to the state department by $14,202,723 if certain conditions are met.(Note: This summary applies to this bill as enacted.)

The act eliminates the requirement that the general assembly annually appropriate money to the department of public health and environment for the comprehensive human sexuality education grant program.(Note: This summary applies to this bill as enacted.)

The act repeals a professional development program for science teachers (program) on July 1, 2027. For the 2024-25 state fiscal year, the general assembly appropriated $3 million from the state education fund for the program, which money is available for expenditure through the 2026-27 state fiscal year. The act reduces the appropriation to $1.5 million.(Note: This summary applies to this bill as enacted.)