House Committee of Reference Report

Committee on Appropriations

All text that will be removed from the bill will be indicated by strikethrough as follows:

This is text that is removed from law.

Text that is added to a bill will be indicated by either all capitals or bold & italic as follows:

  • This all capitals text would be added to law.
  • This is bold & italic text that would be added to law.

May 1, 2026

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

HB26-1327   be amended as follows, and as so amended, be referred to the Committee of the Whole with favorable recommendation:

Page 1, Line 1Strike the Finance Committee Report, dated March 30, 2026, and

Page 1, Line 2substitute:

Page 1, Line 3"Amend the Health and Human Services Committee Report, dated March

Page 1, Line 424, 2026, page 1, strike lines 1 and 2 and substitute:

Page 1, Line 5"Amend printed bill, page 3, line 17, strike "earn low wages who".

Page 1, Line 6Page 3 of the bill, strike line 20 and substitute "benefits;".

Page 1, Line 7Page 4 of the bill, line 1, strike "healthy and" and substitute

Page 1, Line 8"healthy,".

Page 1, Line 9Page 4 of the bill, line 2, strike "illness;" and substitute "illness, and

Page 1, Line 10increases worker retention;".

Page 1, Line 11Page 4 of the bill, strike lines 4 and 5 and substitute "large employers'

Page 1, Line 12workers supports a large employer's business decision to hold

Page 1, Line 13down hours and wages, which reduces costs because:".

Page 1, Line 14Page 4 of the bill, line 8, strike "Medical" and substitute "The

Page 1, Line 15availability of medical".

Page 1, Line 16Page 4 of the bill, line 20, strike "cost" and substitute "availability"

Page 1, Line 17and after "benefits" insert "and health-care providers".

Page 1, Line 18Page 4 of the bill, strike lines 22 through 24 and substitute:

Page 1, Line 19"(II)  Provide reimbursement grants for large employers'

Page 2, Line 1costs for workers who choose to buy into an

Page 2, Line 2employer-sponsored health benefit plan pursuant to section

Page 2, Line 325.5-1-1207;".

Page 2, Line 4Page 6 of the bill, strike lines 18 through 20.

Page 2, Line 5Renumber succeeding subparagraphs accordingly.

Page 2, Line 6Page 6 of the bill, strike line 24 and substitute "(6), or a public entity,

Page 2, Line 7as defined in section 24-10-103 (5); or".".

Page 2, Line 8Page 1 of the report, after line 3 insert:

Page 2, Line 9"Page 7 of the bill, line 10, strike "25.5-1-1207." and substitute

Page 2, Line 10"25.5-1-1208.".

Page 2, Line 11Page 7 of the bill, line 18, strike "or".

Page 2, Line 12Page 7 of the bill, line 20, strike "(23.6)." and substitute "(23.6); or

Page 2, Line 13(III)  A worker who qualifies for social security disability

Page 2, Line 14insurance under 42 U.S.C. secs. 401 to 433 or supplemental

Page 2, Line 15security income under 42 U.S.C. sec. 1381 et seq.".

Page 2, Line 16Page 7 of the bill, line strike lines 22 through 24 and substitute "under

Page 2, Line 17the medical assistance program.".

Page 2, Line 18Page 8 of the bill, line 5, after the period add ""Supported workers"

Page 2, Line 19does not include workers who qualify for social security

Page 2, Line 20disability insurance under 42 U.S.C. secs. 401 to 433 or

Page 2, Line 21supplemental security income under 42 U.S.C. sec .1381 et seq.".".

Page 2, Line 22Page 1 of the report, after line 6 insert:

Page 2, Line 23"Page 8 of the bill, line 25, strike "by:" and substitute "by, as

Page 2, Line 24determined by the board:".

Page 2, Line 25Page 8 of the bill, strike lines 26 and 27 and substitute:

Page 2, Line 26"(a)  Supporting the payment of medical assistance

Page 2, Line 27program premiums for workers receiving medical assistance

Page 2, Line 28benefits whose coverage is not funded by the healthcare

Page 2, Line 29affordability and sustainability hospital provider fee cash fund

Page 2, Line 30pursuant to section 25.5-4-402.4 (5)(b)(IV) and ensuring access to

Page 2, Line 31health-care providers; and

Page 3, Line 1(b)  Providing reimbursement grants for large employers'

Page 3, Line 2costs for workers who choose to buy into an

Page 3, Line 3employer-sponsored health benefit plan pursuant to section

Page 3, Line 425.5-1-1207.".

Page 3, Line 5Page 9 of the bill, strike lines 1 through 9.

Page 3, Line 6Page 10 of the bill, strike lines 6 through 9 and substitute "related to

Page 3, Line 7conducting the affairs of the enterprise.".".

Page 3, Line 8Page 1 of the report, after line 14 insert:

Page 3, Line 9"Page 10 of the bill, line 25, strike "government" and substitute

Page 3, Line 10"government, including matching money for the medical

Page 3, Line 11assistance program, if available,".

Page 3, Line 12Page 11 of the bill line 8, strike "up to ninety-five thousand dollars"

Page 3, Line 13and substitute "money".

Page 3, Line 14Page 11 of the bill, line 26, strike "the" and substitute "any".

Page 3, Line 15Page 12 of the bill, line 16, strike "enterprise".

Page 3, Line 16Page 13 of the bill, line 7 strike "seven" and substitute "nine".

Page 3, Line 17Page 13 of the bill, line 10, strike "Six" and substitute "Eight".

Page 3, Line 18Page 13 of the bill, line 18, strike "and".

Page 3, Line 19Page 13 of the bill, line 20, strike "services." and substitute "services;

Page 3, Line 20(VI)  One member who represents a labor organization;

Page 3, Line 21and

Page 3, Line 22(VII)  One member who has expertise in health

Page 3, Line 23insurance.".".

Page 3, Line 24Page 1 of the report, after line 17 insert:

Page 3, Line 25"Page 14 of the bill, line 24, strike "Adopt" and substitute "Prior to the

Page 3, Line 26implementation of enterprise services, and as necessary or

Page 3, Line 27appropriate thereafter, adopt".

Page 3, Line 28Page 15 of the bill, line 1, strike "and".

Page 3, Line 29

Page 4, Line 1Page 15 of the bill, strike lines 2 through 5 and substitute:

Page 4, Line 2"(III)  The use of enterprise revenue to support the payment

Page 4, Line 3of medical assistance program premiums for workers receiving

Page 4, Line 4medical assistance benefits whose coverage is not funded by the

Page 4, Line 5healthcare affordability and sustainability hospital provider

Page 4, Line 6fee cash fund pursuant to section 25.5-4-402.4 (5)(b)(IV) and to

Page 4, Line 7ensure the availability of health-care providers who serve

Page 4, Line 8supported workers; and

Page 4, Line 9(IV)  Reimbursement grants for large employers' costs for

Page 4, Line 10workers who choose to buy into an employer-sponsored health

Page 4, Line 11benefit plan pursuant to section 25.5-1-1207.".".

Page 4, Line 12Page 2 of the report, strike lines 1 through 5.

Page 4, Line 13Page 2 of the report, line 6, strike "25.5-1-1206." and substitute

Page 4, Line 14""25.5-1-1206.".

Page 4, Line 15Page 2 of the report, line 8, strike "-rules." and substitute "- rules -

Page 4, Line 16repeal.".

Page 4, Line 17Page 2 of the report, strike lines 32 through 36 and substitute:

Page 4, Line 18(III)  The enterprise may exempt an employer from filing

Page 4, Line 19the report required pursuant to subsection (2)(a)(I) of this

Page 4, Line 20section if the employer demonstrates to the enterprise, in the

Page 4, Line 21form and manner determined by the enterprise, that the

Page 4, Line 22employer provides affordable health coverage to all workers

Page 4, Line 23working twenty or more hours per week or eighty or more hours

Page 4, Line 24per month.".

Page 4, Line 25Page 2 of the report, line 37, after "(IV)" insert "(A)".

Page 4, Line 26Page 2 of the report, line 38, strike "or (2)(a)(III)".

Page 4, Line 27Page 3 of the report, after line 1 insert:

Page 4, Line 28"(B)  If an employer files a report pursuant to subsection

Page 4, Line 29(2)(a)(I) of this section, and there is a reasonable belief based on

Page 4, Line 30the information provided in the report or from information

Page 4, Line 31submitted in prior or subsequent annual employer reports that

Page 4, Line 32the employer has intentionally misclassified or reclassified

Page 4, Line 33employees as full-time, part-time, 1099, or subcontracted

Page 4, Line 34employees to avoid paying the fee, the enterprise shall send a

Page 4, Line 35notice of review to the employer and permit the employer to

Page 4, Line 36submit corrected or updated information. The employer must

Page 5, Line 1submit corrected or updated information to the enterprise

Page 5, Line 2within thirty days. The employer may request a hearing on the

Page 5, Line 3information in the report or the corrected or updated

Page 5, Line 4information. If, after the review is completed, the enterprise

Page 5, Line 5determines that the employer has intentionally misclassified or

Page 5, Line 6reclassified employees in an annual employer report, the

Page 5, Line 7employer is subject to a fine of up to than five thousand dollars

Page 5, Line 8for each misclassified or reclassified employee.".

Page 5, Line 9Page 3 of the report, line 27, after "employer," insert "to review".

Page 5, Line 10Page 3 of the report, strike lines 29 through 34 and substitute "this

Page 5, Line 11section.".

Page 5, Line 12Page 4 of the report, strike lines 6 and 7 and substitute "the enterprise

Page 5, Line 13shall hold a hearing on the request for review. Based upon the

Page 5, Line 14evidence".

Page 5, Line 15Page 4 of the report, line 18, strike "The" and substitute "Once the

Page 5, Line 16large employer health-care support fee is imposed, the".

Page 5, Line 17Page 4 of the report, line 19, strike "large employer health-care

Page 5, Line 18support".

Page 5, Line 19Page 5 of the report, line 19, strike "(I)".

Page 5, Line 20Page 5 of the report, strike lines 33 through 35 and substitute "amount

Page 5, Line 21and a penalty equal to ten percent of the unpaid amount, plus

Page 5, Line 22one-half".

Page 5, Line 23Page 6 of the report, line 31, after "(4)", insert "(a)".

Page 5, Line 24Page 6 of the report, after line 35 insert:

Page 5, Line 25"(b) (I)  If the imposition of the fee pursuant to subsection

Page 5, Line 26(2)(b)(I) of this section is estimated to result in the collection of

Page 5, Line 27fees and surcharges that exceed one hundred million dollars in

Page 5, Line 28the enterprise's first five fiscal years, the enterprise shall

Page 5, Line 29adjust the fees, lower the fees, or stop collecting the fees in

Page 5, Line 30order to not collect fees or surcharges that exceed one

Page 5, Line 31hundred million dollars in the enterprise's first five fiscal

Page 5, Line 32years, which five-year period, for the purpose of section

Page 5, Line 3324-77-108, ends on July 1, 2030. Therefore, the enterprise is in

Page 5, Line 34compliance with section 24-77-108.

Page 6, Line 1(II)  This subsection (4)(b) is repealed, effective July 1,

Page 6, Line 22031.".

Page 6, Line 3Page 7 of the report, after line 7 insert:

Page 6, Line 4"Page 19 of the bill, strike line 16 and substitute:

Page 6, Line 5"25.5-1-1207.  Worker buy-in program - access to large

Page 6, Line 6employer-sponsored health coverage - employer reimbursement

Page 6, Line 7grants - rules.

Page 6, Line 8(1)  There is created a worker buy-in program to use

Page 6, Line 9revenue from the fee to award grants to large employers to

Page 6, Line 10reimburse some or all of a large employer's costs incurred in

Page 6, Line 11providing workers access to enrollment in employer-sponsored

Page 6, Line 12health benefit plans for workers who work at least twenty

Page 6, Line 13hours per week or eighty hours per month, but who do not work

Page 6, Line 14the minimum hours necessary to qualify for enrollment in

Page 6, Line 15employer-sponsored health benefit plans.

Page 6, Line 16(2)  A large employer that chooses to participate in the

Page 6, Line 17worker buy-in program shall notify the enterprise and satisfy

Page 6, Line 18the requirements for participation in and reimbursement from

Page 6, Line 19the program.

Page 6, Line 20(3)  After consultation with the division of insurance and

Page 6, Line 21large employers interested in participating in the program, the

Page 6, Line 22board shall adopt rules to implement and administer the

Page 6, Line 23program, including rules:

Page 6, Line 24(a)  That ensure that fee revenue allocated for the

Page 6, Line 25purpose specified in this section is used to incentivize large

Page 6, Line 26employers that choose to allow part-time workers who do not

Page 6, Line 27otherwise qualify for enrollment in employer-sponsored health

Page 6, Line 28benefit plans, on or before the effective date of this part 20, to

Page 6, Line 29buy into employer-sponsored health benefit plans;

Page 6, Line 30(b)  To determine the criteria for and the amount of large

Page 6, Line 31employer reimbursement grants based on available fee revenue

Page 6, Line 32and the number of large employers and workers participating in

Page 6, Line 33the program; and

Page 6, Line 34(c)  That require a participating large employer to report

Page 6, Line 35to the enterprise information necessary to verify the number of

Page 6, Line 36workers participating in the worker buy-in program and the

Page 6, Line 37large employer's costs for providing access to enrollment in an

Page 6, Line 38employer-sponsored health benefit plan for such workers.

Page 6, Line 3925.5-1-1208.  Large employer health-care support fund -".

Page 6, Line 40Page 19 of the bill, line 25, strike "Money" and substitute "Any

Page 7, Line 1money".".

Page 7, Line 2Page 7 of the report, after line 9 insert:

Page 7, Line 3"Page 20 of the bill, strike lines 9 and 10 and substitute:

Page 7, Line 4"(3)  Money in the fund is continuously appropriated to the

Page 7, Line 5enterprise:".

Page 7, Line 6Page 20 of the bill, line 11, strike "The" and substitute "For the" and

Page 7, Line 7strike "and".

Page 7, Line 8Page 20 of the bill, after line 11 insert:

Page 7, Line 9"(b)  To support workers' access to medical assistance

Page 7, Line 10benefits and health-care providers;

Page 7, Line 11(c)  To reimburse large employers' costs associated with

Page 7, Line 12permitting workers to buy into an employer-sponsored health

Page 7, Line 13benefit plan; and".

Page 7, Line 14Reletter succeeding paragraph accordingly.

Page 7, Line 15Page 20 of the bill, line 12, strike "Any" and substitute "For any".

Page 7, Line 16Page 20 of the bill, before line 13 insert:

Page 7, Line 17"25.5-1-1209.  Severability.

Page 7, Line 18If any provision of this part 12 or the application of this

Page 7, Line 19part 12 to any person or circumstance is held invalid, the

Page 7, Line 20invalidity does not affect other provisions or applications of

Page 7, Line 21this part 12 that can be given effect without the invalid

Page 7, Line 22provision or application, and to this end the provisions of this

Page 7, Line 23part 12 are declared to be severable.".".

Page 7, Line 24Page 7 of the report, after line 18, insert:

Page 7, Line 25"Page 22 of the bill, after line 11 insert:

Page 7, Line 26"SECTION 5. Appropriation. (1) For the 2026-27 state fiscal

Page 7, Line 27year, $59,625 is appropriated to the department of law. This appropriation

Page 7, Line 28is from the legal services cash fund created in section 24-31-108 (4),

Page 7, Line 29C.R.S., from revenue received from the large employer health-care

Page 7, Line 30support enterprise that is continuously appropriated from the large

Page 7, Line 31employer health-care support fund created in section 25.5-1-1207 (1),

Page 7, Line 32C.R.S. The appropriation to the department of law is based on an

Page 8, Line 1assumption that the department will require an additional 0.3 FTE. To

Page 8, Line 2implement this act, the department of law may use this appropriation to

Page 8, Line 3provide legal services for the large employer health-care support

Page 8, Line 4enterprise.".

Page 8, Line 5Renumber succeeding section accordingly.

Page 8, Line 6Page 1 of the bill, line 102, strike "workers." and substitute "workers,

Page 8, Line 7and, in connection therewith, making an appropriation.".".".