ColoradoSB25-3102025 Regular SessionSenateWALLET

Proposition 130 Implementation

Sponsored By: Barbara Kirkmeyer (Republican), Jeff Bridges (Democratic), Rick Taggart (Republican), Shannon Bird

Signed by Governor

Fiscal Policy & TaxesLocal GovernmentState Revenue & Budget

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Bill Overview

Analyzed Economic Effects

6 provisions identified: 3 benefits, 0 costs, 3 mixed.

First responder survivors get $1 million

Eligible survivors receive a total $1 million when a peace officer, firefighter, or emergency medical responder has a qualifying death. Death must occur on or after November 5, 2024, directly from a work injury or work-related disease. Coverage includes qualifying deaths after leaving service, during approved leave, or during qualified military service. A spouse gets everything without surviving children; otherwise, the spouse gets half and children share half equally. Without a spouse, surviving children share everything equally. Without either, payment goes first to the latest designated beneficiary, then life-insurance beneficiaries, then surviving biological or adoptive parents equally. Public Safety must approve eligibility and identify a payee living on the decision date; otherwise, no payment is made. This benefit cannot reduce other disability, insurance, or Colorado workers’ compensation payments.

Survivors get a death-benefit tax break

Starting with tax years beginning January 1, 2026, eligible recipients can subtract their full death-benefit payment when figuring Colorado taxable income. This subtraction applies when the death does not qualify for federal line-of-duty tax treatment. Public Safety must determine federal tax status and notify recipients and the Department of Revenue. The subtraction remains available until at least five years after the last payment is made. Revenue officials must track and report the number of taxpayers claiming it and the total amount claimed.

Police grants add money with safeguards

Eligible local law enforcement agencies receive annual grants beginning no later than December 31, 2026, through the funding goal year. Each gets $15,000 plus its budgeted officer count times a statewide per-officer amount. That amount equals annual transfers minus legislative appropriations and all agency base payments, divided by all reported officers. Counts include certified peace officers, noncertified deputy sheriffs, and detention officers. The state transfers $15 million on July 1, 2026, then the greater of $15 million or the adjusted investment amount each July 1 starting in 2027, until total transfers reach $350 million. Lawmakers may appropriate up to $20 million for 2026–27. Agencies must certify next-year staffing, permitted-purpose budgets, and local spending commitments by December 15 each year, starting in 2026. Awards cover only listed officer costs, including recruitment, specified additional hiring, education, training, and pay. Local governments must add to existing state and local funding, not replace it; prior-funding cuts create a presumed violation that timely records can rebut. Annual audits must show compliance, amounts received and spent, and spending purposes; Public Safety reviews them and can request more information. The law also repeals three earlier public safety provisions as part of the new framework.

State reserve protections require budget cuts

The Governor must promptly cut spending when revenue estimates show appropriations leaving the year-end General Fund reserve below $1 billion. Cuts must restore that level, and the Governor must promptly notify lawmakers. Until the fiscal year after officer-fund transfers reach $350 million, lawmakers cannot lower the required reserve below $1 billion without reducing the state pension payment. That reduction equals the gap below $1 billion, capped by the remaining amount recorded as deferred pension resources.

Public pensions gain funds, face diversions

The law requires a $500 million General Fund payment to Colorado’s public employee pension association on July 1, 2025. That amount counts toward unrestricted General Fund year-end balances. Starting July 1, 2027, annual pension payments are reduced to help fund peace officer support until transfers reach $350 million. Reductions use the lowest statutory limit, including $35 million and the remaining amount needed to reach that goal. Related pension earnings and payment reductions feed the officer fund’s adjusted investment calculation, with backfill and repayment adjustments; reserve-related reductions are not counted twice. Beginning July 1, 2025, the pension association may change distribution allocations when the usual method leaves blended contributions below 98% of required contributions. These changes must bring that measure to at least 98%, and none of the distribution can go to the local government division.

State funds first responder survivor payments

The law funds survivor payments with $5 million General Fund transfers on July 1, 2025, and July 1, 2026. Starting July 1, 2027, the state checks the balance annually and transfers any shortfall on July 2 to restore $10 million. The fund can also receive gifts, grants, appropriations, and other transfers. For 2025–26, Public Safety receives $5,046,967 from the fund to implement the program, including an added half-time staff position. Administrative spending is limited to 2% of the amount appropriated each year.

Sponsors & Cosponsors

Sponsors

  • Barbara Kirkmeyer

    Republican • Senate

  • Jeff Bridges

    Democratic • Senate

  • Rick Taggart

    Republican • House

  • Shannon Bird

    Affiliation unavailable

Cosponsors

  • Brianna Titone

    Democratic • House

  • Chad Clifford

    Democratic • House

  • Eliza Hamrick

    Democratic • House

  • Jarvis Caldwell

    Republican • House

  • Julie McCluskie

    Democratic • House

  • Monica Duran

    Democratic • House

  • Matt Soper

    Republican • House

  • Rep. R. Armagost

    Affiliation unavailable

  • Ty Winter

    Republican • House

  • Byron Pelton

    Republican • Senate

  • John Carson

    Republican • Senate

  • Kyle Mullica

    Democratic • Senate

  • Marc Catlin

    Republican • Senate

Roll Call Votes

All Roll Calls

Yes: 437 • No: 12

Senate vote • 5/6/2025

House amendments: Repass

Yes: 35 • No: 0

Senate vote • 5/6/2025

House amendments: Concur

Yes: 35 • No: 0

House vote • 5/5/2025

Third reading: Amd (l.019)

Yes: 64 • No: 0

House vote • 5/5/2025

Third reading: Amd (l.018)

Yes: 64 • No: 0

House vote • 5/5/2025

Third reading: Perm

Yes: 63 • No: 1

House vote • 5/5/2025

Third reading: Bill

Yes: 55 • No: 9

House vote • 5/1/2025

Refer Senate Bill 25-310, as amended, to the Committee of the Whole.

Yes: 9 • No: 2

Senate vote • 4/30/2025

Third reading: Bill

Yes: 35 • No: 0

Senate vote • 4/30/2025

Third reading: Amend (l.003)

Yes: 35 • No: 0

Senate vote • 4/30/2025

Third reading: Amend (l.004)

Yes: 35 • No: 0

Senate vote • 4/29/2025

Refer Senate Bill 25-310, as amended, to the Committee of the Whole and with a recommendation that it be placed on the consent calendar.

Yes: 7 • No: 0

Actions Timeline

  1. Governor Signed

    6/2/2025House
  2. Sent to the Governor

    5/13/2025House
  3. Signed by the President of the Senate

    5/13/2025Senate
  4. Signed by the Speaker of the House

    5/13/2025House
  5. Senate Considered House Amendments - Result was to Concur - Repass

    5/6/2025Senate
  6. House Third Reading Passed with Amendments - Floor

    5/5/2025House
  7. House Second Reading Special Order - Passed with Amendments - Committee, Floor

    5/3/2025House
  8. House Committee on Appropriations Refer Amended to House Committee of the Whole

    5/1/2025House
  9. House Second Reading Special Order - Laid Over Daily with Amendments - Committee, Floor

    5/1/2025House
  10. Senate Third Reading Passed with Amendments - Floor

    4/30/2025Senate
  11. Introduced In House - Assigned to Appropriations

    4/30/2025House
  12. Senate Committee on Appropriations Refer Amended - Consent Calendar to Senate Committee of the Whole

    4/29/2025Senate
  13. Senate Second Reading Special Order - Passed with Amendments - Committee

    4/29/2025Senate
  14. Introduced In Senate - Assigned to Appropriations

    4/24/2025Senate

Bill Text

  • Engrossed

  • Final Act

  • House Appropriations Preamend

  • Introduced

  • Reengrossed

  • Rerevised

  • Revised

  • Senate Appropriations Preamend

  • Signed Act

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