Second TABOR Reform Bill Introduced
Another opportunity to address a years-long Chamber priority to free up general funds for education and transportation surfaced in the Senate this week. Senate Bill 267 would, among other things, move the hospital provider fee (HPF) to an enterprise fund, a solution we have advocated for over several sessions because it is incorrectly counting hundreds of millions of dollars as general state revenue and is likely to push us over TABOR (Taxpayer’s Bill of Rights) caps.
While we strongly support the reclassification of the HPF as an enterprise fund (see our guide to HPF), we’re concerned by other parts of this bill. First, it requires a 2 percent across-the-board budget cut for all state agencies. Across-the-board cuts are not a strategic nor thoughtful method to reduce spending. Second, and most important, it requires lowering the State’s current TABOR cap by $670.3 million dollars in direct opposition to what voters have previously approved. We are unwavering in our support of Coloradans to vote on tax increases and believe their vote on TABOR and its cap (Ref. C) should be honored. We’ll keep you updated on this bill – and any amendments to it – as it moves through the legislature.
Legislators Continue Construction Defect Reform Work
A sixth bill concerning reform of construction defect litigation was introduced following the failure of a full reform package proposed in Senate Bill 156. House Bill 1279 would require informed consent and majority vote of owners before entering into litigation over a construction defect. While the bill does not provide for alternative dispute resolution before litigation – an approach we believe meaningfully reduces costs and saves time for both the homeowners and developers – it does address one of our areas of concern – informed consent of homeowners. Much work still needs to be done. The bill’s sponsors are engaging the business community and the Homeowner Opportunity Alliance (HOA) more in discussions. If amended as we have proposed, we would support this bill.
We’ll keep you updated as this bill makes its way through the legislature.
Stay up to speed on all the bills we’re tracking this session.