Looking back on the special session

(and looking forward to the next!)

Just before the Thanksgiving holiday, the Colorado General Assembly wrapped up a four-day special session. Rather than diving immediately into what happened, I decided to pause and give myself a few days to enjoy time with my family. That much needed time off gave me an opportunity to reflect a little more deeply on what we accomplished in the special session and what the legislation will mean for the average person in Colorado.

From cutting property taxes and increasing rental assistance, to boosting programs that support families, we passed a package of bills that I believe will help make Colorado more affordable for everyone. Several people reached out during the special session to offer their suggestions and critiques, and I took those to heart. Some asked us to go further than the scope outlined by the Governor, like expanding the Senior Property Homestead Tax Exemption. Others asked us to increase the property tax reductions by tapping the General Fund reserve. We were not allowed, however, to go beyond the scope outlined in the proclamation, and we needed to live within the fiscal constraints of responsible budgeting. Therefore we narrowed our work to seven bills.

First and foremost, we needed to responsibly address the problem of rising property values that have resulted in steep, unaffordable tax increases, especially for lower-income and fixed-income Coloradans.That is what led to SB23B-001 on 2023 Property Tax Relief. In this bill we lowered the residential assessment rate from 6.765% to 6.7% and increased the current $10,000 exemption to $55,000. We already appropriated $200 million for property tax relief, therefore we tapped those funds to backfill local governments, including a full reimbursement to crucial services like K-12 education and fire districts. We chose not to use any of the revenue over the TABOR cap. While I regret limiting the backfill to local governments, we felt that it was important to live within our means and not utilize the TABOR surplus. The property tax reductions are temporary--applying only to the 2023 tax year--while we erect a propoerty tax task force to look at the big picture and come up with some longer term solutions.

In addition to reducing property taxes for homeowners, we also focussed on people who rent their homes. In Colorado, renters' budgets are stretched thin, with too many people facing eviction or displacement. In response, we crafted HB23B-1001 on Emergency Rental Assistance Grant Program. This bill secured an additional $30 million in rental assistance, nearly doubling the resources that will go to proven programs that keep people housed. The funds came from reversions to the General Fund from unused federal pandemic assistance. This additional support will help Coloradans facing eviction or late on their rent to get back on their feet and catch up. Again, this is a short-term solution, but it does provide some temporary relief while we figure out longer term solutions next session.

In addition to these two big priorities, we passed four other bills that I will outline in the next section below, including: SB23B-002 Summer Electronic BenefitsTransfer Program, SB23B-003 Identical TABOR Refund, HB23B-1002 Increased Earned Income Tax Credit 2023, HB23B-1003 Property Tax Task Force, and HB23B-1008 Appropriation For Department Of Treasury. 

Even though I believe we managed to deliver a small package of bills that will help all manner of Coloradans, I was not happy with the tenor and tone of the session itself. Perhaps it was the unusual circumstances, or the partisan nature of politcs these days, but it felt hampered by unnecessary bickering and an unwillingness to work together. Notably, the one exception to this was the bill that I sponsored, SB23B-002, on Summer EBT (more details below). The bill passed in the Senate 22-2 and received bipartisan support in both chambers. This proves to me that with a little bit of effort, we are indeed capable of working together, and I hope that we can get back to the spirit of collaboration when we return on January 8.

Legislation from the Special Session

In addition to legislation on property tax relief and rental assistance, the Governor including a few other topics in his proclamation calling forth a special session. Why not just focus on property tax, isn’t that the big problem right now? Yes, but Coloradans also need urgent relief from the rising cost of living. These other bills helped provide a balanced, responsible package that provides urgent property tax reductions while also putting more money back into the pockets of hardworking Coloradans to afford rising rent, the cost of gas, groceries, and everyday necessities.  

SB23B-002 Summer Electronic Benefits Transfer

In the proclamation, the Governor asked us to consider a bill concerning the nutrition of over 300,000 food-insecure Colorado children during the summer months by establishing departmental authority to authorize the Summer Electronic Benefits Transfer program in Colorado beginning in summer 2024. This became SB23B-002, which I sponsored along with Senator Bridges, and Representatives Bird and Garcia. The bill passed with bipartisan support!

Summer Electronic Benefits Transfer (EBT) is a new federal program that will provide an estimated $35 million to help families purchase groceries and support the nutrition of more than 300,000 low-income Colorado children when school is out for summer—a time when child hunger typically spikes. The program begins in summer 2024, but states that want to implement it this coming summer need to have plans in place by early 2024. To meet the fast-approaching federal deadline, Colorado needed administrative funding and authority to work on building the program as soon as possible. This was simply too good an opportunity to pass up, and we are excited to be able to jump on it early and get critical nutrition assistance to the children and families that need it most.

SB23B-003 Identical TABOR Refund

The identical TABOR refund bill, SB23B-003, was a little more controversial than some of the others. The concept was not new and not very complex. All Coloradans will now receive the same TABOR refund, just like last year. The bill creates a new temporary refund mechanism that replaces the sales tax refund mechanism for the 2022-23 state fiscal year. Under this mechanism, each qualified individual is eligible to receive an identical refund payment from the remaining excess state revenues after refunds are made through the county reimbursement mechanisms. By making these simple changes to how we refund the TABOR surplus, we will deliver meaningful relief for renters and working people in our state. Here is a table from the fiscal note that demonstrates the implications for these changes.

HB23B-1002 Increased Earned Income Tax Credit

Much like the previous bill, HB23B-1002 was among the more controversial bills because like all tax credit programs, it reduces revenue to the General Fund thereby decreasing surplus revenue over the TABOR cap. The bill boosts the Earned Income Tax Credit, a proven way to put more money into the pockets of hardworking Coloradans and lift people out of poverty. Research shows that making these changes decreases economic disparities and provides greater benefits to those who need them the most. The bill will boost the incomes of working families by hundreds of dollars and in some cases more than $1,000 per year. The Colorado earned income tax credit (EITC) is available to taxpayers who claim the federal EITC. The Colorado EITC is a refundable credit calculated as a percentage of the federal EITC. For tax year 2023 only, the bill expands the Colorado EITC from 25 percent to 50 percent of the federal EITC.

HB23B-1003 Property Tax Task Force

In the Governor's call for a special session, he outlined the work and limited it to the 2023 tax year--meaning, all the cahnges in the bills that were passed will only affect the short term. Therefore the Governor asked the legislature to create a task force to review and make recommendations on long-term property tax relief. HB23B-1003 creates the Commission on Property Tax to identify the causes of increasing property taxes, review best practices for short- and long-term property tax relief, and make recommendations. The bill outlines the membership of the task force including legislators, the property tax

administrator, representatives of local governments, and other stakeholders. The task force must meet twice per month between December 2023 and February 2024, and report to Legislative Council by March 2024. Hopefully the group can come up with some reasonable recommendations on how to develop a permanent and sustainable property tax structure for the state of Colorado.

HB23B-1008 Appropriation For Department Of Treasury

The final bill to come out of the special session was HB23B-1008, which appropriated funds for one full-time employee for the Department of Treasury. The Treasurer's office supports the administration of the newly expanded property tax deferral program. Colorado’s Property Tax Deferral Program has traditionally helped seniors and active military personnel continue to afford to live in their homes by deferring the payment of their property taxes. The legislature expanded the program during the pandemic, and given it's popularity, more people are taking advantage of it. Therefore the Treasurer's office requested funds to hire one additional staff person to help administer the program. The deferral program does not exempt taxes; it is a loan to assist Coloradans with the payment of real property taxes.

Montrose Daily Press: Colorado could be among first states in federal childhood hunger reduction program

Colorado Newsline: Colorado lawmakers pass property tax relief as special session wraps up

Colorado Politics: Colorado lawmakers send special session bills to Jared Polis, tackle main property tax bill

Colorado Politics: Special session, day three, sees first bills headed to governor, House review of property tax relief bill

Colorado Newsline: Pair of special session bills heads to governor's desk as property tax relief nears finish line

Colorado Newsline: Colorado could be among first states in federal childhood hunger reduction program

The Denver Post: Colorado House passes doubling of tax credit to help low-income families

The Denver Post: Property tax, summer meals, progress in special session after first-day fireworks

CBS News: Republicans accuse Democrats of being stingy with property tax relief

Railway Age: BNSF earns a partnership award from the Economic Development Council of Colorado

Chalkbeat Colorado: Colorado lawmakers will consider program to ease summer childhood hunger

Jeffco Transcript: State Senator Zenzinger announces bid for Jefferson County Commission

November 9, 2023 Zenzinger announces candidacy for Jeffco Commission

November 18, 2023 Bill to Reduce Child Hunger Passes Senate with Bipartisan Support

Reminder: No Legislative Town Hall in December



Just a quick reminder that we will resume our regular Legislative Town Hall events in January 2024. We will NOT be meeting in December. Our first town hall of the new session will be on Saturday, January 20, 2024 at 10:30 am. We will provide the community with a legislative preview. For more information, please go to my website or click HERE.

Special fundraising event at the Oxford!

You are cordially invited to attend a special fundraising event in support of my campaign for Jefferson County Commissioner. The event will take place on Friday, December 1 from 5:30 pm - 7:30 pm at the Oxford Hotel in Downtown Denver. If you are unable to join us, but would still like to make a contribution, you can do so at this link or on my website rachelforcolorado.com. If you would like to join the Host Committee, or to RSVP, please let us know via email at rachelforcolorado@gmail.com. We look forward to seeing you there! 

Commissioner Lesley Dahlkemper endorses Zenzinger

“Rachel has a way of working with people that motivates them to set aside differences to achieve the common good. Her budget savvy, policy background, and heart for community will serve Jefferson County residents well.”

—Lesley Dahlkemper, Jeffco Commissioner

Endorsements of Rachel Zenzinger's campaign for Jeffco Commissioner are pouring in! To view the latest, click HERE. If you'd like to join the list of supporters, please send an email to: rachelforcolorado@gmail.com.