Section 1 of the bill: Generally requires a county or municipality that levies excise tax on the first sale or transfer of unprocessed retail marijuana by a retail marijuana cultivation facility (retail marijuana excise tax) to levy the tax at a rate of up to 5% of the average market rate (the only basis for calculation allowed under current law) of the unprocessed retail marijuana if the transaction is between affiliated retail marijuana business licensees and at a rate of up to 5% of the contract price of the unprocessed retail marijuana if the transaction is between unaffiliated retail marijuana business licensees; As a temporary exception to the new general requirement that retail marijuana excise tax on transactions between unaffiliated marijuana business licensees be calculated based on the contract price of the unprocessed retail marijuana, allows a county or municipality which, before November 1, 2018, obtained voter approval to levy only an excise tax calculated based on the average market rate of the unprocessed retail marijuana and thereafter could not obtain voter approval for an amendment to allow the excise tax to be calculated based on the contract price for the unprocessed retail marijuana to continue to collect retail marijuana excise tax on such transactions based on an average market rate calculation until December 31, 2020; and Clarifies that if a retail marijuana cultivation facility uses a retail marijuana transporter, as defined in current law, to transport unprocessed retail marijuana being sold or transferred by the retail marijuana cultivation facility to a retail marijuana product manufacturing facility, a retail marijuana store, or another retail marijuana cultivation facility, the transportation of the unprocessed retail marijuana by the retail marijuana transporter is not a transfer of unprocessed retail marijuana for the purpose of levying a county or municipal retail marijuana excise tax. Section 2 clarifies that a metropolitan district may levy only its general uniform sales tax on retail sales of marijuana and may not levy a special marijuana sales tax. Section 3 requires state retail marijuana excise tax to be calculated as 15% of the contract price when the first transfer of retail marijuana that has been harvested for sale at a retail marijuana store or extraction by a retail marijuana product manufacturing facility is between unaffiliated retail marijuana cultivation facilities. Section 4 appropriates $15,480 to the department of revenue for tax administration IT system (GenTax) support.(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.) , Read More
Sponsored bills
The bill repeals the provisions that require limited passive investors to go through an initial background check. The bill repeals the provisions that limit the number of out-of-state direct beneficial owners to 15 persons. The bill repeals the provision that prohibits publicly traded entities from holding a marijuana license. The bill creates two new ownership licenses, controlling beneficial owners and passive beneficial owners, and a new investment type, indirect financial interest holder. The bill gives the state licensing authority rulemaking authority related to the parameters of, qualifications of, disclosure of, requirements for, and suitability for the new license types and investment type. A controlling beneficial owner is a person that is the beneficial owner of 5 percent or more of the securities of a marijuana business; is an affiliate; or is otherwise in a position to exercise control of the marijuana business. A passive beneficial owner is a person that is not an affiliate of a marijuana business, has no control over the marijuana business, and owns less than 5 percent of the securities of a marijuana business. An indirect financial interest holder is a person that is not an affiliate or in a position to exercise control over the marijuana business and that holds a commercially reasonable royalty interest; holds a permitted economic interest issued prior to January 1, 2019, that has not been converted to an ownership interest; or is a contract counterparty that has a direct nexus to the business. An indirect financial interest holder does not require a finding of suitability and does not require a license. The bill requires a person intending to apply to become a controlling beneficial owner or passive beneficial owner to receive a finding of suitability or an exemption from the state licensing authority prior to submitting a marijuana business application. When applying for suitability a person must disclose: all of its officers, directors, and affiliates; all officers, directors, and beneficial owners of more than 5 percent of any of its affiliates; all of its beneficial owners of 5 percent or more, if a publicly traded corporation; and, if not a publicly trade corporation, all of its beneficial owners. The bill also requires a marijuana business or controlling beneficial owner that is a public corporation to comply with various notification, disclosure, notice, and suitability requirements. The bill limits the types of publicly traded corporations that can be marijuana businesses or controlling beneficial owners. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.) , Read More
The public employees' retirement association (PERA) provides retirement and other benefits to employees of the school districts, state, local governments, and other public entities across the state. The bill makes changes to the hybrid defined benefit plan administered by PERA with the goal of eliminating, with a high probability, the unfunded actuarial accrued liability of each of PERA's divisions and thereby reach a 100% funded ratio for each division within the next 30 years. The bill modifies benefits, increases contributions, ensures alignment of contributions, service credit, and benefits, and makes other modifications as follows: Highest Average Salary (HAS): Currently, for a PERA member who is not in the judicial division of PERA, the member's HAS is based on an average of the highest annual salaries associated with 3 periods of 12 consecutive months of service with a base year. For a PERA member who is in the judicial division of PERA, the member's HAS is based on an average of the highest annual salaries associated with 12 consecutive months of service. For all new PERA members hired on or after January 1, 2020, who are not in the judicial division, and for all existing PERA members who do not have 5 years of service credit as of January 1, 2020, who are not in the judicial division, the bill modifies the HAS calculation to be based on an average of the highest annual salaries associated with 7 periods of 12 consecutive months of service with a base year. For all new PERA members hired on or after January 1, 2020, who are in the judicial division, and for all existing PERA members in the judicial division who do not have 5 years of service credit as of January 1, 2020, the bill modifies the HAS calculation to be based on an average of the highest annual salaries associated with 3 periods of 12 consecutive months of service with a base year. Definition of salary: The bill modifies the definition of salary. Specifically, the bill states that amounts deducted from pay pursuant to a cafeteria plan or a qualified transportation plan are included in the definition of salary. In addition, the bill clarifies that unused sick leave converted to cash payments is included in the definition of salary and that insurance premiums paid by employers are not included in the definition of salary. Termination of affiliation: Current law allows a political subdivision of the state that is an employer associated with PERA and that is assigned to the local government division of PERA to terminate its affiliation with PERA upon application to the PERA board. The bill specifies that any employer that ceases operations or ceases to participate in PERA for any reason is deemed to have terminated its affiliation with PERA. The bill states that any such employer is required to fully fund its share of the unfunded liability of the defined benefit plan and its share of the unfunded liability of the health care trust fund. The bill specifies that the PERA board will determine the amount of such payments and that such determinations may be appealed by the employer through the administrative review process established in the board rules. The bill further specifies that the employees of an employer that terminates its affiliation with PERA will become inactive members of PERA as of the date of the termination. Such members may elect to have their member contributions credited to an alternative pension plan or refunded. In the absence of such election, the member contributions will remain with PERA. Increase in member contributions: Currently, all PERA members with the exception of state troopers contribute 8% of their salary to PERA on a monthly basis. State troopers contribute 10% of their salary to PERA on a monthly basis. On July 1, 2018, and again on January 1, 2019, the monthly member contribution to PERA will increase by .5% of salary. On July 1, 2019, and again on January 1, 2020, the monthly member contribution to PERA will increase by 1% of salary. When all increases are fully implemented, the total contribution will be 11% of salary each month for PERA members who are not state troopers and 13% each month for PERA members who are state troopers. Automatic contribution and annual increase amount changes: The bill specifies the circumstances under which the member contribution rate and the annual increase percentage for retirement benefits can be adjusted so the fund remains within the target of paying off the unfunded liability within 30 years. The bill specifies that the yearly adjustments can be up to one-quarter of one percent on the annual increase percentage and one-half of one percent on the employee contribution percentage. The bill places limits on how much the annual increase and contribution rates can be adjusted. Defined contribution supplement: Beginning January 1, 2021, the bill requires employer contribution rates to be adjusted to include a defined contribution supplement. The defined contribution supplement for each division will be the employer contribution amount paid to defined contribution plan participant accounts that would have otherwise gone to the defined benefit trusts to pay down the unfunded liability, plus any defined benefit investment earnings thereon, expressed as a percentage of salary on which employer contributions have been made. The employer contribution amounts only include contributions made on behalf of eligible employees who commence employment on or after January 1, 2019. Earned service credit for part-time work: Currently, a PERA member earns a full year of service credit for 12 months of employment if the member earns a salary of 80 times federal minimum wage in each month. This applies even if the member does not work full time. In addition, a PERA member earns a full year of service credit if the member's employment pattern covers at least 8 months but less than 12 months in a year, so long as the member worked at least 8 months in the 12-month period. The bill modifies the way service credit is earned for part-time work for any PERA member who was not a member, inactive member, or retiree on or before December 31, 2019. Such members earn a full year of service credit for 12 months of employment if the member works full time or works at least 8 months but less than 12 months in a year. If the member does not work full time, the earned service credit will be determined by the ratio of part-time work to full-time work and the number of months for which contributions are remitted to the number of months required for a year of service credit. Service retirement eligibility for new members: For PERA members who begin employment on or after January 1, 2020, the bill increases the age and service requirements for full-service retirement benefits for most divisions to age 65 with a minimum of 5 years of service or any age with a minimum of 40 years of service credit. For state troopers who begin employment on or after January 1, 2020, the bill increases the age and service requirements for full-service retirement benefits to age 55 with a minimum of 25 years of service credit or any age with a minimum of 35 years of service credit. State troopers are also eligible for full-service retirement benefits at age 65 with 5 years of service credit. For PERA members who begin employment on or after January 1, 2020, the bill also increases the age and service requirements for a reduced service retirement benefit to 55 years with a minimum of 25 years of service credit; except that, for state troopers, the bill increases the requirements to 55 years with a minimum of 20 years of service credit. Cost of living adjustment (COLA) for all retirees, members, and inactive members: Currently, the annual COLA for benefit recipients who began membership prior to January 1, 2007, is 2%. For the years 2018 and 2019, the bill reduces the COLA to 0%. For each year thereafter, the bill changes the COLA to 1.25%, unless it is adjusted pursuant to the automatic adjustment provisions explained above. In addition, the bill requires benefit recipients whose effective date of retirement is on or after January 1, 2011, and who have not received a COLA on or before May 1, 2018, to receive benefits for at least a 36-month period following retirement before the benefit is adjusted with the COLA. Defined contribution plan: Currently, members in the state division of PERA hired on or after January 1, 2006, may choose to participate in the defined contribution plan administered by PERA rather than the defined benefit plan. A member's participant account receives the monthly employer contribution, and the amortization equalization disbursement (AED) and supplemental amortization equalization disbursement (SAED) payments are used to amortize the unfunded liability of the defined benefit plan. Beginning January 1, 2019, members of the school division, the Denver public schools division, local government division, and judicial division of PERA hired on or after that date may also choose to participate in the defined contribution plan. A new member's participant account will receive the same employer contribution as received by current members of the defined contribution plan. Public pension legislative oversight committee: The bill creates the public pension legislative oversight committee to study and develop proposed legislation relating to the funding and benefit designs of PERA and the fire and police pension association. The committee is comprised of 4 senators appointed by the president of the senate, 4 representatives appointed by the speaker of the house of representatives, and 4 experts in the area of pensions or retirement plan designs appointed by the state treasurer. The bill specifies limitations on the number of appointees that may be from the same political party. The bill also specifies that the state treasurer's appointees are required to have significant experience and competence in investment management, finance, banking, economics, accounting, pension administration, or actuarial analysis and shall not be members, inactive members, or retirees of PERA or the fire and police pension association. The bill repeals the police officers' and firefighters' pension reform commission on January 1, 2019.(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.) Read More
Currently and until September 1, 2018, a distributor can claim a credit for taxes paid on tobacco products that are shipped or transported by the distributor to a consumer outside of the state. The bill makes the credit permanent and requires the distributor to maintain certain records related to the out-of-state sales to consumers. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.) , Read More
The bill reduces the regulation of taxicab service provided in large metropolitan areas by changing taxicab service provided in such areas from common carrier status to motor carrier status. Section 4 of the bill defines a large-market taxicab service as indiscriminate passenger transportation for compensation in a taxicab on a call-and-demand basis, within and between points in the counties of Adams, Arapahoe, Boulder, Broomfield, Denver, Douglas, El Paso, Jefferson, Larimer, and Weld, and between those points and all points within the state of Colorado, with the first passenger in the taxicab having exclusive use of the taxicab unless the passenger agrees to multiple loadings. Section 9 requires that, on or after January 1, 2019, a person obtain a permit from the public utilities commission to operate a large-market taxicab service. To obtain a permit, a motor carrier providing large-market taxicab service must have at least 25 vehicles in its fleet at all times; except that a motor carrier providing large-market taxicab service in El Paso, Larimer, or Weld county need only have 10 vehicles in its fleet at all times. The commission shall determine by rule the maximum rate that may be charged for large-market taxicab service in each county in which large-market taxicab service is authorized. Section 9 also requires permittees to file with the commission a rate schedule and does not limit the number or frequency of updated rate schedules that a permittee may file. Unless a rate schedule exceeds the maximum rate established by the commission by rule, the commission is not authorized to reject a rate schedule filed in the form and manner required by the commission. Sections 1 through 3, 5 through 8, and 10 make conforming amendments.(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.) , Read More
Subject to rules of the marijuana enforcement division, the bill authorizes: Marijuana research and development licensees and marijuana research and development cultivation licensees (research licensees) to transfer unused marijuana within the regulated marijuana industry; and Research licensees to be co-located at the premises of a medical marijuana-infused products manufacturer or a retail marijuana products manufacturer. The general appropriations bill transferred $3 million from the marijuana tax cash fund to the health research subaccount of the medical marijuana program cash fund (subaccount). The bill strikes the limitation of the amount of transfers to the subaccount and extends the repeal of the medical marijuana program cash fund until September 1, 2023. The bill authorizes $100,000 to be spent annually from the subaccount for administrative purposes related to the medical marijuana research grant program. The bill appropriates $10,656 from the marijuana tax cash fund to the department of revenue to purchase legal services related to the bill. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.) , Read More
Joint Technology Committee. The government data advisory board (board) was created in the office of information technology to advise and provide recommendations to the chief information officer regarding interdepartmental data protocol and best practices in sharing and protecting data in state government. The bill modifies the definition of interdepartmental protocol to reflect current practice. The bill also modifies the composition of the board to include a representative from each state agency and to remove members of the education data subcommittee from the board. Currently, the board is scheduled for repeal on July 1, 2019. The bill extends the board to July 1, 2024. The bill specifies that prior to being repealed, the board is subject to review by the joint technology committee rather than pursuant to the sunset review process. In addition, current law specifies that prior to its repeal on July 1, 2019, the education data subcommittee is subject to review pursuant to the sunset review process. The bill eliminates the sunset review of the education data subcommittee to facilitate the repeal of the subcommittee on July 1, 2019. (Note: This summary applies to this bill as introduced.) , Read More
The bill creates a remuneration-exempt identifying placard that exempts an individual with a disability from paying for parking if the disability limits the individual's: Fine motor control in both hands; Ability to reach a height of 48 inches from the ground due to lack of finger, hand, or upper extremity strength or mobility; or Ability to reach or access a parking meter due to the use of a wheelchair or other ambulatory device. The bill repeals existing authority for a person with a disability to park without paying. The bill appropriates $9,870 to the department of revenue from the general fund for use by the division of motor vehicles to order license plates to implement the act. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.) , Read More
Under current law, the department of labor and employment (department) administers the skilled worker, outreach, recruitment, and key training (WORK) grant program, which provides matching grants to eligible public or private entities or organizations that provide skilled worker training programs in partnership with industry. The general assembly is directed to appropriate $10 million for the WORK grant program for the 2015-16, 2016-17, and 2017-18 fiscal years. The bill: Extends the program for 3 fiscal years; Specifies deadlines for the department to award and issue matching grants to recipients; Requires the department to develop an expedited application process for eligible applicants; Specifies that the state work force development council (council), rather than the governor, is to appoint members to the WORK grant review committee; Authorizes the executive committee of the council to make grant award determinations; Requires the WORK grant review committee to submit its annual report to the general assembly by December 31 instead of by May 1 and to include the report as part of the Colorado talent pipeline report; Requires the general assembly to appropriate an additional $7.6 million for the WORK grant program for the 2018-19, 2019-20, and 2020-21 fiscal years, with not more than $3.3 million in any fiscal year; specifies how the money available for matching grants must be allocated, to the extent possible; and allows the department to expend in the next fiscal year, without further appropriation, money that was not expended or encumbered in the fiscal year for which it was appropriated. $1,000,000 is appropriated from the general fund to the WORK fund and is further appropriated to the department for the WORK grant program. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.) , Read More