Transportation (Public Transit)

The act changes requirements for the regional transportation district (RTD) relating to paratransit and accessible transportation, the composition of the board of directors, coordination with the subregional service councils, and reporting requirements.      Paratransit and accessible transportation. On or before December 31, 2026, RTD is required to contract with an independent third-party entity for a comprehensive paratransit service study (study) that includes:A needs assessment of the population, needs, and service gaps for riders with disabilities in the district;A cost-benefit assessment;A definition of measurable performance metrics related to access, reliability, equity, and cost-effectiveness;An assessment of opportunities for RTD to collaborate with local and regional partners to address service gaps; Engagement with paratransit users, riders with disabilities, service providers, and other key stakeholders;An assessment of system performance; andAn assessment of barriers for paratransit riders and riders with disabilities to access a low-income fare discount.     The study must be completed by June 30, 2027. On or before December 31, 2027, RTD is required to complete, adopt, and begin implementing an accessible transportation service plan that is informed by the study.      Composition of RTD board of directors. The act ends the terms of the current 15 elected members of the RTD board of directors (board) on January 1, 2029, and replaces the board with 5 members elected from director districts and 4 at-large appointed members. 5 members constitute a quorum for the new board. Board members serve 4-year terms; except that the new member terms are staggered such that, on January 1, 2031, 4 of the 9 members' terms expire.     At the November 2028 general election, 5 new members are elected, 2 of which are elected to 2-year terms. At every general election in an even-numbered year thereafter, the number of members to be elected at the election equals the number of member terms expiring on January 1 of the following year. On or before the day of the November 2028 general election, the governor shall appoint 4 new board members. On or before the day of the November general election in every even-numbered year thereafter, the governor shall appoint 2 new board members to replace the members whose terms will expire the following year. Members may serve up to 2 4-year terms, and any term that lasts for fewer than 2 years does not count towards the member's 2-term limit.     On or before September 15, 2027, the office of legislative legal services and the legislative council staff are required to apportion the composition of the board so that the 5 elected directors will represent, to the extent practical, the people of the district on the basis of population. After the federal census in 2030, and after each federal census thereafter, the independent legislative redistricting commission is required to apportion the composition of the board so that the 5 elected directors will represent, to the extent practical, the people of the district on the basis of population.     The 4 appointed board members are appointed by the governor with the consent of the senate. Of the 4 members:One member is appointed from a list of at least 3 nominees provided by the Denver regional council of governments;One member must be a current or former member of the union that represents the largest collective bargaining unit of RTD employees; and2 members are appointed at the governor's discretion.      The 4 appointed members must represent diverse geographic areas of the district and are collectively required to possess expertise related to public finance, land use and multimodal transportation planning, transit operations, and transit agency programs serving disproportionately impacted communities.     The governor may remove an appointed member for malfeasance in office, neglect of duty, failure to regularly attend meetings, or any other cause that renders the member incapable or unfit to discharge the duties of the board. A member to be appointed is required to disclose any potential conflicts of interest prior to confirmation and any conflicts that arise during the member's term to the board. Failure to disclose a conflict, or taking action on a matter in which the member has an undisclosed conflict of interest, constitutes cause for removal by the governor.     The board may elect one member as chairperson of the board, one member as chairperson pro tempore of the board, and one or more individuals as secretary and treasurer of the board. The annual salary for an elected or appointed member whose term begins on or after January 1, 2029, is increased from $12,000 to $36,000, and the salary for the board chairperson is 150% of the salary of the other board members.      Subregional service council coordination. Beginning in 2027, RTD is required to provide dedicated staff to co-chair and support each subregional service council (council) and must work with council members to identify a local leader to also co-chair each council. Beginning in 2028, the councils are required to make recommendations to the RTD board on:Aligning RTD transit services with local and regional plans;Implementing joint projects to address service gaps;Leveraging existing intergovernmental agreements and projects for expanded service delivery;Identifying strategies to expand funding; andConsiderations of equity, ridership, demand, and long-term regional growth.     The RTD board is required to meet at least twice a year to receive recommendations from the councils.      Reporting requirements. RTD is required to report to the house of representatives transportation, housing, and local government committee and the senate transportation and energy committee, or their successor committees, on the following:On or before December 31, 2027, progress toward the recommendations made to RTD by the 2025-2026 RTD accountability committee created in Senate Bill 25-161. RTD is also required to submit this report to the governor.On or before January 31, 2027, and on or before each January 31 thereafter: RTD's budget and financial performance;Ridership;The implementation of Senate Bill 25-161, including RTD's progress on delivering the projects identified in its 10-year strategic plan and its comprehensive operational analysis;Aligning with state climate goals; andThe implementation of this act, including RTD's progress on implementing the accessible transportation service plan;On or before January 31, 2028, the study and accessible transportation plan; and Annually beginning in 2028, the recommendations from the councils and RTD's responses to the recommendations. RTD is also required to report this information to the transportation legislation review committee.(Note: This summary applies to this bill as enacted.)

The act requires certain transit agencies that have at least one million unlinked passenger trips in the most recent year, and that are not the Colorado department of transportation or a regional transportation authority that provides funding for but does not directly provide transit services (covered transit agencies), to take specific actions to increase transit access.     On and after June 30, 2027, a covered transit agency shall ensure that clear, up-to-date transit system maps are displayed at all rail stations, bus stations, and bus rapid transit stops and that information on fare rates and structures and eligibility requirements and application instructions for fare discount programs is available online and displayed in all transit vehicles and at all rail stations, bus stations, and transit stops with a covered shelter. A covered transit agency may meet these requirements by displaying summary information and a link or quick response (QR) code to a website with detailed information. A covered transit agency is not required to replace its fixed signage, displays, or maps solely to comply with these new requirements and, instead, is only required to update the required information upon the regularly scheduled replacement of any signage, displays, or maps.     On and after June 30, 2027, a covered transit agency shall ensure that all publicly available information that it disseminates related to accessing its transit services, including fare structures, transit maps, service schedules, and the rights and responsibilities of transit riders, is translated into languages that are widely spoken in any county in which the covered transit agency operates or that are required by a covered transit agency's existing language access plan. A covered transit agency may use an existing language access plan to satisfy these language access requirements.     Covered transit agencies are required to annually report their progress on the action areas required by the act, and other required information, to the governor and a joint meeting of the transportation committees of the general assembly beginning on or before January 31, 2028, and on or before each January 31 thereafter. Covered transit agencies must post this annual report on a publicly accessible website. Covered transit agencies are only required to report information that they already collect and may satisfy any of the information required to be reported by referencing or including a link to a publicly accessible official report that includes the required information.(Note: This summary applies to this bill as enacted.)

The act creates the 'Transit Investment Area Act' to facilitate the financing of transit and rail station infrastructure. Specifically, the act:Allows a local government and a transit agency to jointly undertake a transit investment project. To finance the project, the local government may apply to the Colorado economic development commission (commission) to designate a transit investment area and an approved financing entity;Authorizes the approved financing entity, which may be a newly created transit investment authority, a county revitalization authority, a metropolitan district, or an urban renewal authority, to receive state sales tax increment revenue. This revenue consists of the state sales tax collected in the designated area above a base amount, plus an additional 20% to account for out-of-area deliveries.Permits the financing entity to issue bonds and use the state sales tax increment revenue to finance eligible improvements related to the transit project;Prohibits the financing entity from using the state sales tax increment revenue to acquire property through eminent domain;Requires projects to comply with specified hiring, apprenticeship, and workforce standards;Caps the commission's approval authority at no more than 3 transit investment projects in any calendar year and no more than 6 in total and caps the total state sales tax increment revenue dedicated to all projects at $75 million per fiscal year; andAuthorizes the commission to revoke project approval if substantial work does not commence within 5 years and requires financing entities to submit annual reports and independent financial audits.     The act requires the Colorado office of economic development, in consultation with the department of local affairs and the department of transportation, to publish a transit and housing investment zone map on or before October 30, 2026.     The act creates the Colorado affordable housing in transit and housing investment zones tax credit (tax credit). The tax credit is administered in the same manner as the Colorado affordable housing in transit-oriented communities income tax credit; except that the tax credit is awarded in connection with housing projects in transit and housing zones. The act authorizes the Colorado Housing and Finance Authority to allocate up to $8,333,333 in tax credits each calendar year beginning in the 2027 calendar year through the 2033 calendar year.     For the 2026-27 state fiscal year, the act appropriates $213,349 to the office of the governor for use by economic development programs.(Note: This summary applies to this bill as enacted.)