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As new tax credits reroute money from budget, lawmakers brace for less certain budget growth

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As new tax credits reroute money from budget, lawmakers brace for less certain budget growth


Even as Colorado enacts drastic changes to its tax policy, economic forecasters still expect the state to hit the constitutional cap on revenue collections in coming years.

But, the state could flirt with falling below the cap, set by the Taxpayer’s Bill of Rights, for the first time in half a decade during the adjustment period. The TABOR cap grows based on population growth and inflation, and money collected over it needs to be refunded to taxpayers.

Greg Sobetski, the chief economist for the Legislative Council Staff, didn’t raise any red flags during a forecast Thursday but acknowledged “a new set of budget circumstances” for state officials to navigate after years of explosive growth in state revenues. That growth resulted in billions of dollars being refunded to taxpayers in recent years, most notably through direct payments in fall 2022 and through tax returns this year.

Lawmakers this past legislative session, however, passed more than 30 bills either adjusting or creating new tax credits, according to a tally by the governor’s office. They include expansions to the earned income tax credit for the lowest-income Coloradans, senior housing tax credits and, if certain economic triggers are met, a new credit potentially worth thousands of dollars to families.

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Collectively, the credits will reroute hundreds of millions of dollars — if not more than a billion — per year in coming years from state coffers, though it still ends up Coloradans’ wallets. In the next fiscal year, which begins July 1, the credits could also push state revenues below the TABOR cap. Economists for the legislative branch and governor’s office both expect revenue to remain above the cap, but Sobetskis’s office, in particular, warned a routine margin of error that comes with predicting the future could drop that below the TABOR cap.

Legislative forecasters expect $1.4 billion in revenue collected above the revenue cap this fiscal year, which ends July 1, will need to be refunded. They expect it to drop to about $328 million next fiscal year before bouncing back to $1 billion-plus for the fiscal year that begins July 1, 2025.

“Even without a recession, you could end up in an environment, easily, within the realm of normal forecast error where state revenue is under the (TABOR) cap,” Sobetski said.

Forecasters for the governor’s office were more optimistic and still expect nearly $700 million in money over the cap will need to be refunded for the next fiscal year. Exact TABOR refunds for the upcoming tax year won’t be set for months still and depend on future forecasts.

Overall, forecasters expected continued economic growth and lower chances of a recession in the immediate term. But, economic activity is being stymied by persistently high interest rates. State economists had originally expected multiple interest rate cuts from the Federal Reserve this year, and when those didn’t materialize, they revised state economic growth expectations down, Sobetski said.

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“Because we’re expecting interest rate cuts to happen later, we’re not expecting the interest rates to accelerate as quickly,” he said.

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16 Colorado state lawmakers face ethics complaints after political organization paid for Vail hotel rooms

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16 Colorado state lawmakers face ethics complaints after political organization paid for Vail hotel rooms


Sixteen Democratic state lawmakers are accused of violating the state of Colorado’s gift ban after a political organization paid for their rooms at a luxury hotel in Vail.

The watchdog group that brought the complaints — Common Cause — is considered left-leaning. But it was also one of the driving forces behind a constitutional amendment that banned public officials from accepting gifts worth more than $75.

According to the complaints, the lawmakers are members of the so-called “Colorado Opportunity Caucus.” It held a retreat last month at a luxury hotel in Vail, where legislators mingled with lobbyists.

Common Cause says the head of the caucus — state Sen. Lindsey Daugherty — asked a pro-business organization called One Main Street to pick up the tab for lawmakers’ rooms, at a cost of $25,000. It says One Main Street agreed.

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Common Cause’s Attorney, Scott Moss, says One Main Street — which doesn’t disclose its donors — created the caucus and bankrolls it to give business interests access to lawmakers. He says footing the bill for luxury hotel rooms is a clear violation of the gift ban.

“What the gift ban says is that there’s donations, there (is) independent spending. The one line you can’t cross is a legislator can’t say go buy me that and if someone tries to buy you a thing, you have to decline,” Moss said.

Daughterty released a statement saying, “Since its creation, the Colorado Opportunity Caucus has operated under direct legal guidance, so we know we acted in full compliance with the law. The State Ethics Commission has to perform their due diligence and when they do, we are confident the complaint will be dismissed as the political theater it is.”

The caucus consists of moderate Democrats who have clashed with more progressive members of the party. Headed into 2026, Daugherty says Democrats should be “elevating each other not tearing each other down.”

Moss insists the complaints are not politically motivated. He says this is he worst violation of the gift ban he’s seen since it was enacted 20 years ago. He says lawmakers should have to pay back the money plus fines.

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The Independent Ethics Commission will have the final say.



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The Backcheck: Lightning win streak ends in Colorado on Tuesday | Tampa Bay Lightning

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The Backcheck: Lightning win streak ends in Colorado on Tuesday | Tampa Bay Lightning


Forwards Zemgus Girgensons, Yanni Gourde and Pontus Holmberg pinned Colorado in their own defensive zone early on a shift that ended with Nikita Kucherov taking the ice, forcing a turnover behind the Avalanche net and snagging a 1-0 lead for the visitors just 97 seconds into the game.

Kucherov stopped a Cale Makar clearing attempt behind the net and then wrapped the puck around the net to beat Colorado goalie Scott Wedgewood to the right post.

A pair of Lightning penalties less than three minutes apart saw Colorado even the score. Despite Tampa Bay killing the first Avalanche power play 10:47 into the period, a too many men on the ice penalty against the visitors ended with the 1-1 tally.

Forward Victor Olofsson potted the rebound following Nathan MacKinnon’s initial shot on the power play with 6:09 left in the first period.

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Olofsson’s second goal of the game gave the Avalanche their first lead 4:08 into the second period, this time firing home a shot after teammate Jack Drury’s initial shot attempt rolled off his tape.

Former Bolt Ross Colton extended the Avalanche lead to 3-1 when he snuck behind the Lightning defense for a backhand breakaway goal 1:13 later.

“Maybe a lack of focusing a little bit,” defenseman Charle-Edouard D’Astous said of the rapid goals against. “It was two (where) we let our guy go and they scored, but yeah, we’ve got to play 60 minutes.”



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Former Colorado police officer charged in connection with chokehold, lying about traffic stop

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Former Colorado police officer charged in connection with chokehold, lying about traffic stop


Prosecutors charged a former Englewood police officer on Tuesday for his alleged actions during a traffic stop south of Denver last month, where he’s accused of shocking a man with a taser, putting him in a chokehold, and lying about the interaction.

Former Englewood Police Officer Ryan Scott Vasina was charged with second-degree assault, a felony, first-degree official misconduct, and third-degree assault, both misdemeanors, in connection with an Oct. 8 traffic stop near West Union Avenue and South Broadway.

Vasina radioed that the 20-year-old man he stopped for allegedly running a stop sign and who didn’t speak English, was physically resisting and fighting with him. A review of his body-worn camera footage by CBS News Colorado and investigators showed that to be false. Vasina still tased the man and pulled him out of his car.

“It is evident from the video footage of the interaction between Officer Vasina and the driver that a language barrier existed, and that Vasina responded with visible frustration and anger,” Assistant District Attorney Ryan Brackley said in a statement on Tuesday. “The initial nexus of the stop was a car driving by Vasina that changed lanes in a way that appeared ‘suspicious’ to Vasina. The penalty for failing to stop at a stop sign or even refusing to provide identification does not warrant a use of force response that Vasina engaged in, particularly where there was no active resistance, threatening language, furtive movements or attempts to flee or evade.”

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The man he stopped was not identified by officials, but he spoke Spanish throughout the interaction. Vasina speaks in some Spanish, asking the man for his license, and the man replies, “porque,” the Spanish word for “why?” He appeared compliant otherwise, turning off his car when Vasina told him to. Vasina repeatedly says “let me see your f*****g hands” multiple times and the man’s hands are raised, with just his phone in one hand.

After Vasina tases him, pulls him out of the car, and throws him on the ground, the bodycam footage goes black for a few seconds, indicating it was up against the man’s back and Vasina’s actions during those few seconds can’t be seen from that angle, but dashboard camera footage from Vasina’s patrol car shows the officer on top of the man.

The man then says in broken English, “I don’t know what you say,” and “translator please.”

Moments later, the man repeatedly says, “my neck,” and then “water for me, please.” Vasina replies, “not right now.”

As Vasina starts patting the man down, he says “no pistola, I am good boy.”

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Vasina was fired by the department in October, his actions condemned by his former chief.

“The former officer’s conduct does not reflect the values of the Englewood Police Department,” Englewood Police Chief David Jackson said in a statement. “Our officers are expected to serve with professionalism, respect, and restraint. We are committed to transparency in addressing any incident that falls short of those expectations.” Information contained in this release is publicly available in the Arrest Warrant. All public records can be requested and obtained via the Courts. As a reminder, all defendants are presumed innocent unless proven guilty in court.

If convicted of any of the three charges, Vasina would lose the ability to serve as a law enforcement officer in Colorado, per state law.



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