(1) Subject to the provisions of subsection (3) of this section, for the 2005-06 budget year and each budget year thereafter, the total amount appropriated to the department for the payment of costs incurred by administrative units for the provision of special education programs must be distributed to each administrative unit that provides educational services for children with disabilities as follows:
(a) (I) Five hundred thousand dollars to administrative units that enroll children with disabilities:
(A) For whom tuition is paid by the administrative units for the children to receive educational services at approved facility schools; and
(B) For whom parental rights have been relinquished by the parents or terminated by a court, the parents of whom are incarcerated, the parents of whom cannot be located, the parents of whom reside out of the state but the department of human services has placed the children within the administrative unit, or children with disabilities who are legally emancipated.
(II) The moneys appropriated pursuant to subparagraph (I) of this paragraph (a) shall be distributed in each budget year to administrative units based upon each administrative unit's share of the aggregate number of children with disabilities who are specified in subparagraph (I) of this paragraph (a); except that an administrative unit shall not receive an amount that exceeds the aggregate amount of tuition paid by that administrative unit for the specified children with disabilities to receive educational services at approved facility schools during the immediately preceding budget year. For purposes of this paragraph (a), the number of children with disabilities that are specified in subparagraph (I) of this paragraph (a) shall be based upon the count taken in December of the immediately preceding budget year.
(a.5) and (a.7) Repealed.
(b) (I) For the budget years preceding the 2022-23 budget year, an amount equal to one thousand two hundred fifty dollars for each child with disabilities receiving special education services from the administrative unit;
(II) Except as specified in subsection (1.3) of this section, for the 2022-23 budget year and each budget year thereafter, an amount equal to one thousand seven hundred fifty dollars for each child with disabilities receiving special education services from the administrative unit; and
(c) (I) If any amount of the total annual appropriation remains after the distributions specified in subsections (1)(a) and (1)(b) of this section have been made, and after the distribution of the portion of the total annual appropriation designated for high-cost grants pursuant to subsection (2) of this section has been made, six thousand dollars per child with one or more disabilities, as described in subsection (1)(c)(II) of this section, for a percentage of such children receiving special education services from the administrative unit. The department shall annually determine the percentage of such children for which an administrative unit may receive additional funding pursuant to this subsection (1)(c) based on the amount of the remaining appropriation, the money available pursuant to subsection (1)(c)(III) of this section, and the per pupil amount of six thousand dollars.
(II) An administrative unit that provides special education services to children who have one or more of the following disabilities may receive funding pursuant to this paragraph (c):
(A) A visual impairment, including blindness, as defined by the state board;
(B) A hearing impairment, including deafness, as defined by the state board;
(C) Deaf-blindness, as defined by the state board;
(D) A serious emotional disability as defined by the state board;
(E) Autism spectrum disorders as defined by the state board;
(F) A traumatic brain injury as defined by the state board;
(G) Multiple disabilities as defined by the state board; or
(H) An intellectual disability as defined by the state board.
(III) (A) For the 2013-14 budget year and each budget year thereafter, in addition to any amount that is available pursuant to subsection (1)(c)(I) of this section, the general assembly shall appropriate twenty million dollars from the state education fund to the department for the purposes of this subsection (1)(c).
(B) For the 2019-20 budget year and each budget year thereafter, in addition to any amount that is available pursuant to subsections (1)(c)(I) and (1)(c)(III)(A) of this section, the general assembly shall appropriate twenty-two million dollars, which amount may be appropriated from the state education fund or the general fund or as amounts from both funds, to the department for the purposes of this subsection (1)(c).
(B.1) Except as specified in subsection (1.3) of this section, for the 2022-23 budget year and each budget year thereafter, in addition to any amount that is available pursuant to subsections (1)(c)(I), (1)(c)(III)(A), and (1)(c)(III)(B) of this section, the general assembly shall appropriate twenty-six million eight hundred twenty-five thousand dollars, which amount may be appropriated from the state education fund or the general fund or as amounts from both funds, to the department for the purposes of this subsection (1)(c).
(B.2) Except as specified in subsection (1.3) of this section, for the 2023-24 budget year and each budget year thereafter, in addition to any amount that is available pursuant to subsections (1)(c)(I), (1)(c)(III)(A), (1)(c)(III)(B), and (1)(c)(III)(B.1) of this section, the general assembly shall appropriate forty million two hundred three thousand six hundred seventy-one dollars, which amount may be appropriated from the state education fund created in section 17 (4) of article IX of the state constitution or the general fund, or as amounts from both funds, to the department for the purposes of this subsection (1)(c).
(C) The general assembly finds and declares that, for the purposes of section 17 of article IX of the state constitution, providing additional money to children with one or more disabilities, as described in subsection (1)(c)(II) of this section, for a percentage of such children receiving special education services from an administrative unit is a program for accountable education reform and may therefore receive funding from the state education fund created in section 17 (4) of article IX of the state constitution.
(D) It is the intent of the general assembly to increase funding for special education services as necessary for the 2023-24 budget year and budget years thereafter to fully fund special education services pursuant to this subsection (1)(c).
(1.3) For the 2024-25 budget year and budget years thereafter, the dollar amounts set forth in subsections (1)(b)(II) and (1)(c)(III) of this section are annually increased by the rate of inflation. The amounts must be rounded to the nearest dollar. As used in this subsection (1.3), inflation means the annual percentage change in the United States department of labor bureau of labor statistics consumer price index for Denver-Aurora-Lakewood for all items paid by all urban consumers, or its applicable successor index.
(2) (a) (I) In addition to the amount appropriated for distribution pursuant to subsection (1) of this section, for the 2006-07 and 2007-08 budget years, subject to available appropriations, the general assembly shall appropriate two million dollars from the general fund or from any other source to the department to fund grants to administrative units as provided in section 22-20-114.5 for reimbursement of high costs incurred in providing special education services in the preceding budget year.
(II) (A) In addition to the amount appropriated for distribution pursuant to subsection (1) of this section, for the 2008-09 budget year and each budget year thereafter, subject to available appropriations, the general assembly shall appropriate four million dollars from the general fund or from any other source to the department to fund grants to administrative units as provided in section 22-20-114.5 for reimbursement of high costs incurred in providing special education services in the preceding budget year.
(B) The general assembly hereby finds and declares that for the purposes of section 17 of article IX of the state constitution, providing grants to administrative units for reimbursement for high costs incurred in providing special education services is a program for accountable education reform and may therefore receive funding from the state education fund created in section 17 (4) of article IX of the state constitution.
(b) Any amount received by an administrative unit as a reimbursement pursuant to this subsection (2) shall be in addition to the amount received by the administrative unit pursuant to subsection (1) of this section. The moneys appropriated by the general assembly to the department shall be distributed by the Colorado special education fiscal advisory committee in accordance with section 22-20-114.5.
(3) (a) Except as otherwise provided in paragraph (b) of this subsection (3), for the 2005-06 budget year, the department shall recalculate the distribution of funds to administrative units for providing educational services to children with disabilities as necessary to comply with the provisions of subsection (1) of this section.
(b) Notwithstanding the provisions of subsection (1) of this section, if the application of the provisions of subsection (1) of this section would result in an administrative unit receiving a lesser amount for providing educational services to children with disabilities for the 2005-06 budget year than it would have received under the provisions of this section as they existed prior to April 28, 2006, then the department shall not recalculate the distribution of funds for the administrative unit for the 2005-06 budget year.
(4) An administrative unit shall not receive the amount of funding to which it is entitled under the provisions of subsection (1) of this section unless the administrative unit has provided to the department the data collected concerning special education programs, as required by subsection (6) of this section, including the count of assessed children with disabilities.
(5) Payments made under the provisions of this part 1 shall not affect the amount of other state aid for which an administrative unit may qualify.
(6) Each administrative unit shall be required to collect the data required by the federal government concerning special education programs. Each administrative unit shall provide to the department the data collected concerning special education programs in order to receive the amount of funding to which it is entitled under the provisions of subsection (1) of this section.
(7) It is the general assembly's intent that, as a result of receiving an increase in the distribution of state moneys, an administrative unit, in complying with the maintenance of effort requirement specified in the federal No Child Left Behind Act of 2001, 20 U.S.C. sec. 6381 et seq., shall not reduce the level of state and local expenditures below the level of state and local expenditures for the preceding budget year. Any additional appropriation of moneys for distribution pursuant to this section is intended to alter the ratio between state and local expenditures, but the overall level of expenditures may remain the same, thereby satisfying the federal maintenance of effort requirements.
(8) Repealed.
Source: L. 73: R&RE, p. 1263, � 1. C.R.S. 1963: � 123-22-14. L. 74: (5) amended, p. 366, � 1, effective April 26; (1)(b)(III) amended and (1)(b)(VI) added, p. 365, � 1, effective July 1. L. 77: (1)(b)(VII) added, p. 1038, � 2, effective May 14; (1)(b)(V) and (3) amended and (1)(e) R&RE, pp. 1042, 1043, �� 2, 3, effective July 1; (3) amended, p. 1068, � 14, effective July 1. L. 79: IP(1), (1)(c), (1)(d), (3), and (4) amended, p. 778, � 9, effective July 1. L. 83: (1)(b)(IV) amended, p. 745, � 1, effective May 17; (1)(b)(V) amended, p. 741, � 4, effective June 10. L. 84: (1)(b)(V) amended, p. 591, � 3, effective March 3. L. 85: (1)(b)(V) amended, p. 1015, � 42, effective July 1. L. 88: (1)(b)(I) repealed, p. 777, � 7, effective May 29; (5) amended and (6) added, p. 764, effective May 29; (1)(c) repealed and (1)(d) R&RE, pp. 763, 762, �� 4, 3, effective May 31; (6) amended, p. 1439, � 45, effective June 11; (1)(b)(V) amended, p. 810, � 7, effective January 1, 1989. L. 90: (5) amended, p. 1046, � 4, effective July 1. L. 93: (1)(b)(V), (1)(d), (3)(c), and (5) amended, p. 1647, � 39, effective July 1. L. 94: (1)(b)(V) and (5) amended, p. 811, � 20, effective April 27; entire section amended, p. 1138, � 2, effective July 1. L. 95: (1)(a) and (1)(b) amended and (1)(b.5) added, p. 606, � 1, effective May 22. L. 97: (1)(b.5) amended and (1)(b.7) added, p. 593, � 30, effective April 30. L. 2000: (1)(b.8) added, p. 486, � 9, effective April 28. L. 2004: (1)(b.7)(II) and (2) amended, p. 1629, � 27, effective July 1. L. 2006: Entire section R&RE, p. 664, � 7, effective April 28. L. 2007: (1)(a.5) added and (1)(c)(I) amended, p. 1567, � 11, effective May 31. L. 2008: (2) amended, p. 1208, � 18, effective May 22; (1)(a) amended, p. 1387, � 16, effective May 27. L. 2011: (1)(a) and (1)(c)(II) amended, (HB 11-1277), ch. 306, p. 1496, � 19, effective August 10; (5) amended, (HB 11-1077), ch. 30, p. 78, � 9, effective August 10. L. 2013: (1)(c)(I) amended and (1)(c)(III) and (7) added, (SB 13-260), ch. 236, p. 1142, � 9, effective May 17. L. 2018: (1)(a.5)(I) repealed, (HB 18-1333), ch. 176, p. 1213, � 6, effective April 30. L. 2019: (1)(c)(III) amended, (SB 19-246), ch. 151, p. 1788, � 5, effective May 10. L. 2021: (1)(a.7) added, (SB 21-275), ch. 393, p. 2612, � 4, effective June 30; (1)(a.5)(II)(D) added by revision, (SB 21-275), ch. 393, pp. 2611, 2618, �� 3, 15. L. 2022: IP(1), (1)(b), and (1)(c)(I) amended and (1)(c)(III)(B.1), (1)(c)(III)(D), and (1.3) added, (SB 22-127), ch. 228, p. 1688, � 1, effective May 26. L. 2023: (1)(c)(III)(B.2) added, (SB 23-099), ch. 188, p. 914, � 1, effective May 15; (8) added, (SB 23-287), ch. 189, p. 924, � 9, effective May 15. L. 2024: (1)(c)(I) amended, (HB 24-1450), ch. 490, p. 3415, � 41, effective August 7.
Editor's note: (1) Amendments to subsection (3) by Senate Bill 77-138 and House Bill 77-1022 were harmonized.
(2) Subsections (1)(b)(V) and (5) were amended in House Bill 94-1001. Those amendments were superseded by the amendment of the entire section in House Bill 94-1198.
(3) Subsection (1)(a.5)(II)(D) provided for the repeal of subsection (1)(a.5)(II), effective July 1, 2022. (See L. 2021, pp. 2611, 2618.)
(4) Subsection (1)(a.7)(II) provided for the repeal of subsection (1)(a.7), effective July 1, 2023. (See L. 2021, p. 2612.)
(5) Subsection (8)(c) provided for the repeal of subsection (8), effective July 1, 2024. (See L. 2023, p. 924.)
Cross references: For the legislative declaration contained in the 1994 act amending this section, see section 1 of chapter 198, Session Laws of Colorado 1994. For the legislative declaration contained in the 2008 act amending subsection (2), see section 1 of chapter 286, Session Laws of Colorado 2008. For the legislative declaration in SB 23-287, see section 1 of chapter 189, Session Laws of Colorado 2023.
22-20-114.3. Agreements with administrative units for special education services - legislative declaration. (1) The general assembly finds and declares that the requirements described in subsection (2) of this section are necessary as a matter of public policy.
(2) No later than July 1, 2025, a district or institute charter school that is served by a multi-district administrative unit for the establishment, maintenance, or provision of special education services must update an existing agreement concerning special education services to contain provisions regarding the allocation of any district special education pupil funding received by a served district or institute charter school pursuant to article 54 of this title 22.
Source: L. 2024: Entire section added, (HB 24-1448), ch. 236, p. 1510, � 9, effective May 23.
22-20-114.5. Special education fiscal advisory committee - special education high-cost grants - definitions - repeal. (1) As used in this section, unless the context otherwise requires:
(a) Committee means the Colorado special education fiscal advisory committee created in subsection (2) of this section.
(b) High costs means the costs incurred by an administrative unit above a threshold amount determined pursuant to paragraph (e) of subsection (3) of this section in providing special education services, either directly or by contract, to a child with disabilities regardless of the child's district of residence.
(c) Repealed.
(2) (a) There is hereby created the Colorado special education fiscal advisory committee in the department. The committee shall consist of twelve members as follows:
(I) A representative from the unit in the department responsible for the administration of special education programs;
(II) (Deleted by amendment, L. 2011, (HB 11-1277), ch. 306, p. 1497, � 20, effective August 10, 2011.)
(III) A special education director from a board of cooperative services with expertise in special education finance selected by the state board based on a recommendation from the statewide association that represents boards of cooperative services;
(IV) A business official from a small rural administrative unit to be selected by the state board based on a recommendation from a statewide association of school executives;
(V) A business official from a large urban or suburban administrative unit to be selected by the state board based on a recommendation from a statewide association of school executives; and
(VI) Eight special education specialists with appropriate statewide geographic representation to be selected by the state board based on recommendations from a statewide consortium of special education directors.
(b) The members of the committee shall serve without compensation but shall be reimbursed by the department for any necessary expenses incurred in the conduct of their official duties on the committee.
(c) This subsection (2) is repealed, effective September 1, 2031. Before its repeal, the committee is scheduled for review in accordance with section 2-3-1203.
(3) (a) An administrative unit that incurs high costs in providing special education services to a child with disabilities may apply for a high cost grant to recover all or a portion of such high costs. To receive a grant, an administrative unit shall apply to the committee in a form and manner determined by the committee and provide such information as may be requested by the committee to document the administrative unit's high costs.
(a.5) Of the total amount appropriated in a budget year for the purpose of awarding grants pursuant to this section, the committee shall use fifty percent of the amount to award grants to administrative units that have one or more children being served in an out-of-district placement for special education services and fifty percent of the amount to award grants to administrative units with one or more children being served in an in-district placement for special education services.
(b) (I) Subject to the requirements of subsection (3)(a.5) of this section, the committee has the discretion to award a grant to an administrative unit that applies and qualifies to receive a grant pursuant to subsection (3)(a) of this section. In determining whether to award a grant to an administrative unit and the amount of the grant to be awarded, the committee shall consider the administrative unit's annual audited operating expenses for the preceding budget year, or the administrative unit's annual audited operating expenses for one year prior to the preceding budget year if the annual audited operating expenses for the most recent preceding budget year are not available, and the percentage of the administrative unit's annual audited operating expenses, or the administrative unit's annual audited operating expenses for one year prior to the preceding budget year if the annual audited operating expenses for the most recent preceding budget year are not available, that represents the high costs incurred by the administrative unit in the preceding budget year. All grants awarded by the committee are subject to approval by the state board.
(II) (A) In awarding grants pursuant to this section to administrative units that have one or more children being served in an out-of-district placement for special education services, the committee shall first prioritize those administrative units that spent the highest percentages, based on the administrative unit's annual audited operating expenses, in the preceding budget year on high costs incurred in providing special education services to children in such out-of-district placements.
(B) In awarding grants pursuant to this section to administrative units with one or more children being served in an in-district placement for special education services, the committee shall first prioritize those administrative units that spent the highest percentages, based on the administrative unit's annual audited operating expenses, in the preceding budget year on high costs incurred in providing special education services to children in such in-district placements.
(c) An administrative unit shall not receive a grant in an amount that exceeds one hundred percent of the high costs that the administrative unit incurred in the preceding budget year.
(d) The committee shall not award a grant to an administrative unit that fails to provide the department with the data collected concerning special education programs, as required by section 22-20-114 (6), including the count of assessed special education students.
(e) For the purpose of grants awarded in the 2006-07 budget year, the threshold amount of costs incurred in providing special education services to a child with disabilities above which an administrative unit may receive reimbursement in the form of a grant pursuant to the provisions of this subsection (3) is forty thousand dollars. For the purpose of grants awarded in the 2007-08 budget year and each budget year thereafter, the committee shall annually determine the threshold amount of costs incurred in providing special education services to a child with disabilities above which an administrative unit may receive reimbursement in the form of a grant.
(4) (a) The department shall gather and provide to the committee data that includes but need not be limited to the following:
(I) The extent to which the amount appropriated pursuant to section 22-20-114 (1) is distributed based on the needs of children with disabilities and the severity of the needs of such children;
(II) The number of children with disabilities who receive special education services from each administrative unit and the nature of the disability of each child who receives special education services from each administrative unit;
(III) Patterns of identifying children with disabilities that include but need not be limited to recognized incidence rates of over- and under-identification of children with disabilities at the administrative unit, state, and national levels;
(IV) The number of hours of special education services that each administrative unit provides, disaggregated by disability; and
(V) The percentage of the school day during which children with disabilities receive special education services from the administrative unit, disaggregated by disability.
(b) On or before January 1, 2008, the committee shall submit to the state board, the education committees of the house of representatives and the senate, or any successor committees, a statewide organization of special education directors, and the financial policies and procedures advisory committee created in the department, a report that includes but need not be limited to the following:
(I) The information that the department gathered pursuant to paragraph (a) of this subsection (4) and any analysis conducted by the committee;
(II) Recommended changes, if any, to the manner of distributing funds to administrative units for special education programs pursuant to section 22-20-114 (1)(a) and (1)(b); and
(III) Recommended changes, if any, to the categorization of children with disabilities pursuant to section 22-20-114 (1)(b) and (1)(c) for the purpose of distributing funds for the provision of special education programs.
(5) On January 15, 2008, and on January 15 of each year thereafter, the committee shall submit to the education committees of the house of representatives and the senate, or any successor committees, a report that includes but need not be limited to a list of the administrative units that applied for and received a grant pursuant to subsection (3) of this section during the preceding budget year.
(6) (a) In addition to awarding grants pursuant to subsection (3) of this section, the committee shall award high-cost special education trust fund grants and report on those grants pursuant to section 22-20-114.7.
(b) This subsection (6) is repealed, effective July 1, 2027.
(7) On or before January 1, 2023, the committee shall submit to the education committees of the house of representatives and the senate, or any successor committees, a report that includes but need not be limited to:
(a) An analysis of funding for special education services in other states compared to the funding model used in Colorado, with a focus on the proportionate shares provided by federal, state, and local funding and how other states fund different categories of disabilities to target the needs of children with disabilities;
(b) An analysis of the actual costs to provide special education services to children with disabilities in Colorado;
(c) An analysis of the effectiveness of the current funding model for special education services and whether the current funding model adequately supports special education services;
(d) An examination of the high-cost special education trust fund created in section 22-20-114.7, including how the high-cost special education trust fund is currently operating, who is receiving funding from the high-cost special education trust fund, and how the high-cost special education trust fund impacts those who receive funds;
(e) An analysis of the current disability categories for children with disabilities described in section 22-20-103 (5)(a) and whether the disability categories are sufficient for meeting the needs of children with disabilities; and
(f) Recommended changes, if any, to the special education services funding model described in section 22-20-114.
Source: L. 2006: Entire section added, p. 666, � 8, effective April 28. L. 2007: (1)(b), (3)(a), and (3)(b) amended and (1)(c) repealed, pp. 738, 745, �� 10, 28, effective May 9. L. 2008: (3)(a.5) added and (3)(b) amended, p. 1208, � 19, effective May 22. L. 2011: (1)(b), (3)(a), (3)(a.5), and (3)(b)(II)(A) amended, (HB 11-1077), ch. 30, p. 78, � 10, effective August 10; (1)(b), (2)(a), (3)(a), (3)(a.5), and (3)(b)(II) amended, (HB 11-1277), ch. 306, p. 1497, � 20, effective August 10. L. 2016: (2)(c) amended, (HB 16-1171), ch. 244, p. 992, � 1, effective June 8. L. 2019: (6) added, (SB 19-066), ch. 368, p. 3374, � 2, effective May 30. L. 2021: (2)(c) amended, (SB 21-104), ch. 141, p. 786, � 1, effective September 1. L. 2022: (7) added, (SB 22-127), ch. 228, p. 1689, � 2, effective May 26. L. 2024: (3)(b)(I) amended, (SB 24-188), ch. 235, p. 1476, � 14, effective May 23.
Cross references: For the legislative declaration contained in the 2008 act enacting subsection (3)(a.5) and amending subsection (3)(b), see section 1 of chapter 286, Session Laws of Colorado 2008. For the legislative declaration in SB 24-188, see section 1 of chapter 235, Session Laws of Colorado 2024.
22-20-114.7. High-cost special education trust fund - creation - grants - eligibility - legislative declaration - annual report - definition - repeal. (1) (a) The general assembly finds and declares that:
(I) Providing equal access to high-quality public education for all students, including children with disabilities, is a top priority for the state;
(II) Each administrative unit in the state is responsible for making available special education services required by the IEP for any child with a disability for whom it is responsible;
(III) Each year, a small number of cases, randomly affecting administrative units across the state, become extraordinarily expensive, threatening to jeopardize the administrative unit's ability to provide equal access to each child and to maintain financial stability;
(IV) Ensuring that financial support is available to help administrative units defray the costs associated with providing high-cost special education services is a statewide concern; and
(V) Building a reserve that may provide necessary funding for administrative units experiencing high costs will help bring equity and stability to the state's special education programs.
(b) Therefore, the general assembly declares that it is necessary and appropriate to create a high-cost special education trust fund to build a reserve for high-cost special education services.
(2) (a) The high-cost special education trust fund, referred to in this section as the trust fund, is created in the state treasury. The trust fund is administered by the Colorado special education fiscal advisory committee, created in the department of education pursuant to section 22-20-114.5 (2), and referred to in this section as the committee.
(b) (I) On July 1, 2019, the state treasurer shall transfer two million five hundred thousand dollars from the marijuana tax cash fund, created in section 39-28.8-501, to the trust fund.
(II) The general assembly is encouraged to prioritize the transfer or appropriation of money to the trust fund in future fiscal years.
(c) The trust fund consists of money transferred to the trust fund pursuant to subsection (2)(b) of this section and any other money that the general assembly may appropriate to the trust fund and the interest and income earned on the principal of the trust fund.
(d) Transfers to the trust fund pursuant to subsection (2)(b) of this section and any money appropriated to the trust fund pursuant to subsection (2)(c) of this section constitute the principal of the trust fund. The principal of the trust fund remains in the trust fund and shall not be appropriated, transferred, or expended.
(e) The state treasurer is authorized and directed to manage the trust fund through prudent investments and shall credit all interest and income derived from the deposit and investment of money in the trust fund to the trust fund.
(f) Trust fund interest and income is continuously appropriated to the department for high-cost special education trust fund grants awarded by the committee pursuant to subsection (3) of this section. Interest and income not expended during the fiscal year for high-cost special education trust fund grants may be expended in subsequent fiscal years for that purpose.
(g) Notwithstanding any provision of this subsection (2) to the contrary, on July 1, 2020, the state treasurer shall transfer the amount of any unexpended and unencumbered trust fund principal to the state public school fund created in section 22-54-114.
(h) Notwithstanding any provision of this subsection (2) to the contrary, on June 30, 2025, the state treasurer shall transfer the unexpended and unencumbered balance of the trust fund to the general fund.
(3) (a) The committee may award high-cost special education trust fund grants from interest and income in the trust fund.
(b) An administrative unit may apply to the committee for a high-cost special education trust fund grant if the administrative unit:
(I) Has expenditures, as defined in subsection (3)(c) of this section, in the preceding budget year to meet the needs of a single student with an IEP; and
(II) The expenditures exceed the lesser of:
(A) One hundred thousand dollars; or
(B) Two and one-half percent of the administrative unit's annual audited operating expenses for the preceding budget year.
(c) For the purposes of subsection (3)(b) of this section, expenditures includes items that are allowable special education expenditures pursuant to state and federal law. An administrative unit applying for a high-cost special education trust fund grant shall provide documentation or other certification of expenditures, as required by the committee.
(d) If the committee determines that an administrative unit is eligible for a high-cost special education trust fund grant, the committee shall consider the following criteria in determining whether to award a trust fund grant and in what amount:
(I) Number of applications received in a given year;
(II) The amount of high-cost special education trust fund grant money available for distribution in a given year; and
(III) Any special circumstances associated with the individual high-cost special education trust fund grant request.
(e) The committee shall make the final determination as to the high-cost special education trust fund grant award and amount; however, the committee shall attempt to award trust fund grants in proportion to the need presented by individual cases and the number of applications presented by administrative units in a given year.
(f) The committee may request additional information from administrative units prior to the distribution of high-cost special education trust fund grants.
(g) The committee is encouraged to work directly with an administrative unit to help tailor high-cost special education trust fund grants to the specific needs of the individual administrative unit for the most efficient use of trust fund grant money.
(4) (a) For each fiscal year in which the committee awards a high-cost special education trust fund grant, the committee shall incorporate the following information regarding the special education trust fund grant into the annual special education fiscal advisory committee report to the state board of education and the education committees of the house of representatives and of the senate, or any successor committees:
(I) The number of applications received for a high-cost special education trust fund grant;
(II) The number of high-cost special education trust fund grants awarded during the fiscal year;
(III) The name of the administrative unit receiving a high-cost special education trust fund grant and the amount of money awarded for each trust fund grant; and
(IV) The balance in the trust fund, including principal and available interest and income in the trust fund.
(b) Notwithstanding the provisions of section 24-1-136 (11)(a)(I) to the contrary, the report required pursuant to this subsection (4) continues indefinitely.
(5) (a) This section is repealed, effective July 1, 2027.
(b) Prior to such repeal, the state treasurer shall:
(I) Transfer any unexpended and unencumbered trust fund interest and income to the general fund; and
(II) Transfer any remaining marijuana tax cash fund money transferred to the trust fund pursuant to subsection (2)(b) of this section to the marijuana tax cash fund, created in section 39-28.8-501.
Source: L. 2019: Entire section added, (SB 19-066), ch. 368, p. 3371, � 1, effective May 30. L. 2020: (2)(g) added, (HB 20-1418), ch. 197, p. 949, � 28, effective June 30. L. 2025: (2)(h) added, (SB 25-264), ch. 129, p. 500, � 11, effective April 25.
Cross references: For the legislative declaration in HB 20-1418, see section 1 of chapter 197, Session Laws of Colorado 2020.