Senate Bill 25-268 Introduced

A Bill for an Act

• Page 1, Line 101Concerning changes to money in the marijuana tax cash fund,

• Page 1, Line 102and, in connection therewith, making an appropriation.

Bill Summary

(Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov/.)

Joint Budget Committee. Under current law, the general assembly is required to annually appropriate $3 million from the marijuana tax cash fund (fund) to the board of regents of the university of Colorado for the implementation of the medication-assisted treatment expansion pilot program (program). For state fiscal years commencing on and after July 1, 2025, the bill ends the requirement to annually appropriate $3 million but allows the general assembly to choose to appropriate money for the implementation of the program. Accordingly, the cash funds appropriation from the fund made in the general appropriation act for the 2025-26 state fiscal year for this purpose is decreased by $3 million.

Additionally, current law requires $20 million to be transferred from the fund to the public school capital construction assistance fund on June 1, 2026. The bill repeals this required transfer.

Finally, under current law, 10% the proceeds of all money collected from the retail marijuana sales tax (tax revenue) are apportioned to local governments with the state retaining 90%. Of the retained 90%, the tax revenue is further apportioned between the general fund, the fund, and the state public school fund. The bill changes the apportionment between the state and local governments so that local governments receive 5% of the tax revenue and the state retains 95% of the tax revenue. The 5% increase of the tax revenue that the state retains is apportioned only to the fund.

• Page 2, Line 1Be it enacted by the General Assembly of the State of Colorado:

• Page 2, Line 2SECTION 1.  In Colorado Revised Statutes, 23-21-808, amend (1)(a) as follows:

• Page 2, Line 323-21-808.  Funding for pilot program. (1) (a) (I)  For state fiscal

• Page 2, Line 4year 2021-22, and each state fiscal year thereafter before state fiscal

• Page 2, Line 5year 2025-26, the general assembly shall annually appropriate three

• Page 2, Line 6million dollars per fiscal year from the marijuana tax cash fund created

• Page 2, Line 7in section 39-28.8-501 to the board of regents of the university of

• Page 2, Line 8Colorado, for allocation to the center to implement and administer the

• Page 2, Line 9MAT expansion pilot program. The center may use a portion of the

• Page 2, Line 10money annually appropriated for the pilot program to pay the direct and

• Page 2, Line 11indirect costs that the center incurs to administer the pilot program, as

• Page 2, Line 12well as to provide consulting services to and oversight of grant recipients,

• Page 2, Line 13for data collection and analysis, evaluation of the pilot program, and program reporting.

• Page 2, Line 14(II)  For state fiscal years commencing on or after July 1,

• Page 3, Line 12025, the general assembly may appropriate money for the

• Page 3, Line 2purposes set forth in subsection (1)(a)(I) of this section and in accordance with this section.

• Page 3, Line 3SECTION 2.  In Colorado Revised Statutes, 39-28.8-501, amend (4.8)(a); and repeal (4.8)(c) as follows:

• Page 3, Line 439-28.8-501.  Marijuana tax cash fund - creation - distribution

• Page 3, Line 5- legislative declaration - repeal. (4.8)  The state treasurer shall transfer

• Page 3, Line 6from the fund to the public school capital construction assistance fund created in section 22-43.7-104:

• Page 3, Line 7(a)  Fifty million dollars on June 1, 2022. and

• (c)  Twenty million dollars on June 1, 2026.

• Page 3, Line 8SECTION 3.  In Colorado Revised Statutes, 39-28.8-203, amend

• Page 3, Line 9(1) introductory portion, (1)(a)(I), and (1)(b)(I.5) introductory portion; and add (1)(b)(I.6) as follows:

• Page 3, Line 1039-28.8-203.  Disposition of collections - definitions. (1)  The

• Page 3, Line 11proceeds of all money collected from the retail marijuana sales tax are

• Page 3, Line 12initially credited to the old age pension fund created in section 1 of article

• Page 3, Line 13XXIV of the state constitution in accordance with paragraphs (a) and (f)

• Page 3, Line 14of section 2 sections 2 (a) and 2 (f) of article XXIV of the state

• Page 3, Line 15constitution and thereafter are transferred to the general fund in

• Page 3, Line 16accordance with section 7 of article XXIV of the state constitution. For

• Page 3, Line 17each fiscal year in which a tax is collected pursuant to this part 2, an

• Page 3, Line 18amount shall be appropriated or distributed from the general fund as follows:

• Page 3, Line 19(a) (I)  Before July 1, 2017, an amount equal to fifteen percent of

• Page 3, Line 20the gross retail marijuana sales tax revenue collected by the department

• Page 3, Line 21is apportioned to local governments. On and after July 1, 2017, but

• Page 4, Line 1before July 1, 2025, an amount equal to ten percent of the gross retail

• Page 4, Line 2marijuana sales tax revenue collected by the department is apportioned to

• Page 4, Line 3local governments. On and after July 1, 2025, an amount equal to

• Page 4, Line 4five percent of the gross retail marijuana sales tax revenue

• Page 4, Line 5collected by the department is apportioned to local

• Page 4, Line 6governments. The city or town share is apportioned according to the

• Page 4, Line 7percentage that retail marijuana sales tax revenue collected by the

• Page 4, Line 8department within the boundaries of the city or town bear to the total

• Page 4, Line 9retail marijuana sales tax revenue collected by the department. The county

• Page 4, Line 10share is apportioned according to the percentage that retail marijuana

• Page 4, Line 11sales tax revenue collected by the department in the unincorporated area

• Page 4, Line 12of the county bear to total retail marijuana sales tax revenue collected by the department.

• Page 4, Line 13(b) (I.5)  On and after July 1, 2018, but before July 1, 2025, of

• Page 4, Line 14the ninety percent of the gross retail marijuana sales tax revenue in the

• Page 4, Line 15general fund remaining after the allocation to local governments required

• Page 4, Line 16by subsection (1)(a)(I) of this section is made, the state treasurer shall

• Page 4, Line 17retain fifteen and fifty-six one-hundredths percent in the general fund for use for any lawful purpose and shall transfer from the general fund:

• Page 4, Line 18(I.6)  On and after July 1, 2025, of the ninety-five percent

• Page 4, Line 19of the gross retail marijuana sales tax revenue in the general

• Page 4, Line 20fund remaining after the allocation to local governments

• Page 4, Line 21required by subsection (1)(a)(I) of this section is made, the state

• Page 4, Line 22treasurer shall retain fourteen and seventy-four

• Page 4, Line 23one-hundredths percent in the general fund for use for any lawful purpose and shall transfer from the general fund:

• Page 4, Line 24(A)  Seventy-three and thirty-four one-hundredths percent to the marijuana tax cash fund; and

• Page 5, Line 1(B)  Eleven and ninety-two one-hundredths percent to the

• Page 5, Line 2state public school fund created in section 22-54-114 (1) for use as specified in section 22-54-139 (3).

• Page 5, Line 3SECTION 4.  In Colorado Revised Statutes, 22-43.7-104, amend (2)(g) as follows:

• Page 5, Line 422-43.7-104.  Public school capital construction assistance fund

• Page 5, Line 5- creation - crediting of money to fund - use of fund - emergency

• Page 5, Line 6reserve - creation - reserve account - creation and use. (2) (g)  The

• Page 5, Line 7assistance fund includes seventy fifty million dollars, which the state

• Page 5, Line 8treasurer is required to transfer from the marijuana tax cash fund created

• Page 5, Line 9in section 39-28.8-501 (1) in two installments, with the first on June 1,

• Page 5, Line 102022, and the second on June 1, 2024, pursuant to section 39-28.8-501 (4.8).

• Page 5, Line 11SECTION 5.  Appropriation - adjustments to 2025 long bill. To

• Page 5, Line 12implement this act, the cash funds appropriation from the marijuana tax

• Page 5, Line 13cash fund created in section 39-28.8-501 (1), C.R.S., made in the annual

• Page 5, Line 14general appropriation act for the 2025-26 state fiscal year to the

• Page 5, Line 15department of higher education for use by the Colorado commission on

• Page 5, Line 16higher education and higher education special purpose programs for the

• Page 5, Line 17center for substance use disorder, prevention, treatment, and recovery

• Page 5, Line 18support strategies at the university of Colorado health sciences center is decreased by $3,000,000.

• Page 5, Line 19SECTION 6.  Safety clause. The general assembly finds,

• Page 5, Line 20determines, and declares that this act is necessary for the immediate

• Page 5, Line 21preservation of the public peace, health, or safety or for appropriations for

• Page 6, Line 1the support and maintenance of the departments of the state and state institutions.