Senate Committee of Reference Report

Committee on Education

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May 5, 2025

After consideration on the merits, the Committee recommends the following:

HB25-1192   be amended as follows, and as so amended, be referred to the Committee on Appropriations with favorable recommendation:

Page 1, Line 1Amend reengrossed bill, strike everything below the enacting clause and

Page 1, Line 2substitute:

Page 1, Line 3"SECTION 1.  Legislative declaration. (1)  The general

Page 1, Line 4assembly finds and declares that:

Page 1, Line 5(a)  In collaboration with educators, administrators, policymakers,

Page 1, Line 6and community leaders, the Colorado department of education has

Page 1, Line 7developed rigorous state personal financial literacy standards and has

Page 1, Line 8made robust resources available to advance high-quality instruction in this

Page 1, Line 9vital subject area;

Page 1, Line 10(b)  Research confirms that a course that incorporates all of the

Page 1, Line 11state's existing financial literacy standards taught in the eleventh or

Page 1, Line 12twelfth grade will deliver the greatest impact by empowering students

Page 1, Line 13with comprehensive financial management skills at a time when they are

Page 1, Line 14most ready to apply the skills. Local education providers have broad

Page 1, Line 15discretion to determine the method of implementing a financial literacy

Page 1, Line 16course, the curriculum and materials used for teaching a financial literacy

Page 1, Line 17course, including practicing filling out the federal or state financial aid

Page 1, Line 18forms, the licensing and certification requirements for teaching a financial

Page 1, Line 19literacy course, and existing local graduation requirements a financial

Page 1, Line 20literacy course may fulfill.

Page 1, Line 21(c)  Research shows that education and training culminating in

Page 1, Line 22credentials such as industry certificates, apprenticeships, associate

Page 1, Line 23degrees, and bachelor degrees, among other business and industry-based

Page 1, Line 24experiences, are necessary to earn a living;

Page 1, Line 25(d)  Information needed for, and practice filling out, the federal or

Page 1, Line 26state financial aid applications is a key component to understanding how

Page 1, Line 27additional training beyond high school can be financially supported.

Page 2, Line 1Additionally, practicing completing the federal or state financial aid

Page 2, Line 2applications, especially while students are still in high school, supports

Page 2, Line 3access to different career pathway options because financial aid is often

Page 2, Line 4the vehicle students use to pay for tuition, fees, equipment, and other

Page 2, Line 5expenses associated with additional training beyond high school.

Page 2, Line 6(e)  Understanding how to access career-aligned resources and

Page 2, Line 7supports is integral to the way students and families navigate training and

Page 2, Line 8educational resources, which is why the free application for federal

Page 2, Line 9student aid is a critical component of the state's financial literacy quality

Page 2, Line 10standards. Financial literacy education and Colorado's individual career

Page 2, Line 11and academic plan can help families understand how to obtain federal or

Page 2, Line 12state financial aid to support students in pursuing additional education

Page 2, Line 13and career training.

Page 2, Line 14(f)  In 2023, through the federal "FAFSA Simplification Act", the

Page 2, Line 15free application for federal student aid was simplified, reducing the

Page 2, Line 16number of questions from 100 to 30 and reducing the financial

Page 2, Line 17information needed on the application;

Page 2, Line 18(g)  In 2024, the Colorado general assembly passed the Colorado

Page 2, Line 19promise tax credit, which makes students who attend public institutions

Page 2, Line 20and have a family income of $90,000 or less eligible for a complete

Page 2, Line 21reimbursement of any out-of-pocket tuition and fees paid for the student's

Page 2, Line 22education; however, students must fill out a federal or state financial aid

Page 2, Line 23application in order to qualify for the tax credit; and

Page 2, Line 24(h)  Colorado students can magnify the impact of state investments

Page 2, Line 25in higher education by accessing federal money to pursue postsecondary

Page 2, Line 26education and by earning credentials to enhance the student's

Page 2, Line 27income-earning potential.

Page 2, Line 28(2)  Therefore, the general assembly declares it is essential to

Page 2, Line 29ensure that prior to graduation, Colorado high school students:

Page 2, Line 30(a)  Complete a course that incorporates all of the financial literacy

Page 2, Line 31standards developed by the Colorado department of education; and

Page 2, Line 32(b)  Understand the information needed to practice using federal

Page 2, Line 33and state financial aid applications if students intend to seek

Page 2, Line 34postsecondary education credentials.

Page 2, Line 35SECTION 2.  In Colorado Revised Statutes, 22-2-136, amend

Page 2, Line 36(2)(b) and (2)(c); and add (2)(d) as follows:

Page 2, Line 3722-2-136.  Additional duty - state board - individual career and

Page 2, Line 38academic plans - standards - rules. (2)  In establishing the standards for

Page 2, Line 39individual career and academic plans, the state board shall ensure, at a

Page 2, Line 40minimum, that:

Page 2, Line 41(b)  Each individual career and academic plan is accessible to

Page 2, Line 42educators, students, and parents; and

Page 2, Line 43(c)  Each public school, in assisting students and parents in

Page 3, Line 1creating and maintaining the individual career and academic plans, is in

Page 3, Line 2compliance with the requirements of the federal "Family Educational

Page 3, Line 3Rights and Privacy Act of 1974", 20 U.S.C. sec. 1232g; and

Page 3, Line 4(d) (I)  Beginning with the 2027-28 school year, each

Page 3, Line 5individual career and academic plan includes a requirement

Page 3, Line 6that, during the student's graduation year, the student has

Page 3, Line 7exposure to federal financial aid eligibility tools and net price

Page 3, Line 8calculators and practices filling out a free application for

Page 3, Line 9federal student aid or the Colorado application for state

Page 3, Line 10financial aid.

Page 3, Line 11(II)  Notwithstanding subsection (2)(d)(I) of this section, a

Page 3, Line 12student is not required to practice filling out a free application

Page 3, Line 13for federal student aid or the Colorado application for state

Page 3, Line 14financial aid if:

Page 3, Line 15(A)  The student or the student's parent or legal guardian

Page 3, Line 16affirmatively declines to practice filling out the application; or

Page 3, Line 17(B)  Authorized school personnel determines it is not

Page 3, Line 18feasible for the student to practice filling out an application.

Page 3, Line 19SECTION 3.  In Colorado Revised Statutes, 22-32-135, amend

Page 3, Line 20(4) as follows:

Page 3, Line 2122-32-135.  Financial literacy curriculum - definition - repeal.

Page 3, Line 22(4) (a)  Each school district board of education is further encouraged to

Page 3, Line 23adopt successful completion of a course in financial literacy as a

Page 3, Line 24graduation requirement shall incorporate all the financial

Page 3, Line 25literacy standards described in section 22-7-1005 (2.8) into a

Page 3, Line 26course that is required for high school graduation.

Page 3, Line 27(b) (I)  For the 2025-26 state fiscal year, the general

Page 3, Line 28assembly shall appropriate money from the general fund to the

Page 3, Line 29department of education for distribution to school districts to

Page 3, Line 30support implementation of:

Page 3, Line 31(A)  A course required to be taught pursuant to subsection

Page 3, Line 32(4)(a) of this section; and

Page 3, Line 33(B)  The individual career and academic plan requirements

Page 3, Line 34described in section 22-2-136 (2)(d).

Page 3, Line 35(II)  The department of education shall distribute money

Page 3, Line 36pursuant to subsection (4)(b)(I) of this section to school

Page 3, Line 37districts that do not currently offer a course based on a

Page 3, Line 38formula determined by the department of education. The

Page 3, Line 39department of education may determine eligibility for funding

Page 3, Line 40pursuant to this subsection (4)(b)(II) based on attestations from

Page 3, Line 41school districts.

Page 3, Line 42(III)  Any unexpended money remaining at the end of the

Page 3, Line 432025-26 state fiscal year from this appropriation:

Page 4, Line 1(A)  Does not revert to the general fund or any other

Page 4, Line 2fund;

Page 4, Line 3(B)  May be used by the department of education in the

Page 4, Line 42026-27 or 2027-28 state fiscal year without further

Page 4, Line 5appropriation; and

Page 4, Line 6(C)  Must not be used for any purpose other than the

Page 4, Line 7purposes set forth in this subsection (4).

Page 4, Line 8(IV)  The department of education may seek, accept, and

Page 4, Line 9expend gifts, grants, or donations from private or public sources

Page 4, Line 10for the purpose of supporting educators in implementing a course

Page 4, Line 11pursuant to subsection (4)(a) of this section.

Page 4, Line 12(V)  This subsection (4)(b) is repealed, effective July 1, 2028.

Page 4, Line 13SECTION 4.  In Colorado Revised Statutes, 23-3.3-106, add (5.5)

Page 4, Line 14as follows:

Page 4, Line 1523-3.3-106.  Technology to support FAFSA and CASFA -

Page 4, Line 16definitions. (5.5)  Any money appropriated to the department for

Page 4, Line 17the implementation of this section may be used for maintenance

Page 4, Line 18of the web-based financial aid completion tool.

Page 4, Line 19SECTION 5.  Appropriation. (1) For the 2025-26 state fiscal

Page 4, Line 20year, $9,611 is appropriated to the department of higher education for use

Page 4, Line 21by the Colorado commission on higher education and higher education

Page 4, Line 22special purpose programs. This appropriation is from the general fund and

Page 4, Line 23is based on an assumption that the division will require an additional 0.1

Page 4, Line 24FTE. To implement this act, the division may use this appropriation for

Page 4, Line 25administration.

Page 4, Line 26(2)  For the 2025-26 state fiscal year, $210,389 is appropriated to

Page 4, Line 27the department of education for use by student pathways. This

Page 4, Line 28appropriation is from the general fund. To implement this act, the division

Page 4, Line 29may use this appropriation for support to local education providers for

Page 4, Line 30student financial literacy initiatives.

Page 4, Line 31SECTION 6.  Act subject to petition - effective date. This act

Page 4, Line 32takes effect at 12:01 a.m. on the day following the expiration of the

Page 4, Line 33ninety-day period after final adjournment of the general assembly; except

Page 4, Line 34that, if a referendum petition is filed pursuant to section 1 (3) of article V

Page 4, Line 35of the state constitution against this act or an item, section, or part of this

Page 4, Line 36act within such period, then the act, item, section, or part will not take

Page 4, Line 37effect unless approved by the people at the general election to be held in

Page 4, Line 38November 2026 and, in such case, will take effect on the date of the

Page 4, Line 39official declaration of the vote thereon by the governor.".