2022 Colorado Code
Title 24 - Government - State
Article 77 - State Fiscal Policies Relating to Section 20 of Article X of the State Constitution
§ 24-77-103.6. Retention of Excess State Revenues - General Fund Exempt Account - Required Uses - Excess State Revenues Legislative Report - Definitions

1. 1. Notwithstanding any provision of law to the contrary, for each fiscal year commencing on or after July 1, 2005, but before July 1, 2010, the state shall be authorized to retain and spend all state revenues in excess of the limitation on state fiscal year spending.
   2. Notwithstanding any provision of law to the contrary, for each fiscal year commencing on or after July 1, 2010, the state shall be authorized to retain and spend all state revenues that are in excess of the limitation on state fiscal year spending, but less than the excess state revenues cap for the given fiscal year.

2. There is hereby created in the general fund the general fund exempt account, which shall consist of an amount of moneys equal to the amount of state revenues in excess of the limitation on state fiscal year spending that the state retains for a given fiscal year pursuant to this section. The moneys in the account shall be appropriated or transferred by the general assembly for the following purposes:
   1. To fund health care;
   2. To fund education, including any capital construction projects related thereto;
   3. To fund retirement plans for firefighters and police officers, so long as the general assembly determines that such funding is necessary; and
   4. To pay for strategic transportation projects included in the department of transportation's strategic transportation project investment program.

3. The statutory limitation on general fund appropriations set forth in section 24-75-201.1 (1)(a), and the exceptions or exclusions thereto, shall apply to the moneys in the general fund exempt account.
4. The approval of this section by the registered electors of the state voting on the issue at the November 2005 statewide election constitutes a voter-approved revenue change to allow the retention and expenditure of state revenues in excess of the limitation on state fiscal year spending.
5. 1. For each fiscal year that the state retains and spends state revenues in excess of the limitation on state fiscal year spending pursuant to this section, the director of research of the legislative council shall prepare an excess state revenues legislative report that includes the following information:
      1. The amount of excess state revenues that the state retained; and
      2. A description of how the excess state revenues were expended.

   2. The report required by this subsection (5) shall be completed by October 15 following a fiscal year that the state retains and spends revenues in excess of the limitation on state fiscal year spending pursuant to this section and may be amended thereafter as necessary. The director of research shall publish and link to the official website of the general assembly a copy of the report.

6. As used in this section:
   1. "Education" means:
      1. Public elementary and high school education; and
      2. Higher education.

   2. 1. "Excess state revenues cap" for a given fiscal year means:
         1. (Deleted by amendment, L. 2017.)
         2. For each fiscal year up to and including the 2016-17 fiscal year, an amount that is equal to the highest total state revenues for a fiscal year from the period of the 2005-06 fiscal year through the 2009-10 fiscal year, adjusted each subsequent fiscal year for inflation, the percentage change in state population, the qualification or disqualification of enterprises, and debt service changes;
         3. For the 2017-18 fiscal year, an amount that is equal to the excess state revenues cap for the 2016-17 fiscal year calculated pursuant to subsection (6)(b)(I)(B) of this section, adjusted for inflation, the percentage change in state population, the qualification or disqualification of enterprises, and debt service changes, less two hundred million dollars;
         4. For the 2018-19 fiscal year, the amount of the excess state revenues cap for the 2017-18 fiscal year calculated pursuant to subsection (6)(b)(I)(C) of this section, adjusted for inflation, the percentage change in state population, the qualification or disqualification of enterprises, and debt service changes;
         5. For the 2019-20 fiscal year, the amount of the excess state revenues cap for the 2018-19 fiscal year calculated pursuant to subsection (6)(b)(I)(D) of this section, adjusted for inflation, the percentage change in state population, the qualification or disqualification of enterprises, and debt service changes;
         6. For the 2020-21 fiscal year, an amount that is equal to the excess state revenues cap for the 2019-20 fiscal year calculated pursuant to subsection (6)(b)(I)(E) of this section, adjusted for inflation, the percentage change in state population, the qualification or disqualification of enterprises, and debt service changes, plus two hundred twenty-four million nine hundred fifty-seven thousand six hundred two dollars; and
         7. For the 2021-22 fiscal year and each succeeding fiscal year, the amount of the excess state revenues cap for the 2020-21 fiscal year calculated pursuant to subsection (6)(b)(I)(F) of this section, adjusted each subsequent fiscal year for inflation, the percentage change in state population, the qualification or disqualification of enterprises, and debt service changes.

      2. As used in this paragraph (b), inflation and the percentage change in state population shall be the same rates that are used in calculating the maximum annual percentage change in state fiscal year spending pursuant to section 24-77-103, and the qualification or disqualification of an enterprise or debt service changes shall change the excess state revenues cap in the same manner as such change affects the limitation on state fiscal year spending.

   3. "State revenues" means state revenues not excluded from state fiscal year spending, as defined in section 24-77-102 (17).

Source: Referred 2005: Entire section added, p. 2323, § 1, effective upon proclamation of the governor, December 16, 2005. L. 2009: (3) amended, (SB 09-228), ch. 410, p. 2264, § 16, effective July 1. L. 2017: (6)(b)(I) amended, (SB 17-267), ch. 267, p. 1442, § 11, effective July 1. L. 2021: (6)(b)(I)(C) and (6)(b)(I)(D) amended and (6)(b)(I)(E), (6)(b)(I)(F), and (6)(b)(I)(G) added, (SB 21-260), ch. 250, p. 1384, § 8, effective June 17.

Editor's note: (1) This section was enacted by House Bill 05-1194. That bill contained a referendum clause and was approved by a vote of the registered electors of the state of Colorado on November 1, 2005. This section was effective upon the proclamation of the governor, December 16, 2005. The vote count for the measure was as follows:

: FOR: : 600,222

: AGAINST: : 552,662

(2) Section 34 of chapter 267 (SB 17-267), Session L aws of Colorado 2017, provides that the section of the act changing this section does not take effect if the centers for medicare and medicaid services determine that the amendments do not comply with federal law. For more information, see SB 17-267. ( L . 2017, p. 1478.) The executive director of the department of health care policy and financing did not notify the revisor of statutes by June 1, 2017, of such determination; therefore, amendments to this section took effect July 1, 2017.

Cross references: (1) For the legislative declaration in SB 17-267, see section 1 of chapter 267, Session Laws of Colorado 2017.

(2) For the legislative declaration in SB 21-260, see section 1 of chapter 250, Session Laws of Colorado 2021.