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New Colorado tax credit could lift 50,000 children out of poverty, is latest to tap TABOR surplus

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New Colorado tax credit could lift 50,000 children out of poverty, is latest to tap TABOR surplus


Boasting that child poverty in Colorado would soon be cut nearly in half, Gov. Jared Polis on Friday signed a large new tax credit for low-income families into law.

The ceremony put an underline on a legislative session that featured state policymakers looking again and again to the state surplus to flatten inequalities. Lawmakers passed dozens of new tax credits this year that tapped into massive revenues the state couldn’t keep and otherwise would have to return through refund checks.

The new family affordability tax credit that received Polis’ signature is by far the largest individual tax credit in terms of cost. It is also, advocates say, among the most impactful.

They expect it to lift more than 50,000 children out of poverty.

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The new law, passed as House Bill 1311, will use roughly $700 million per year that comes in over the state revenue growth limit set by the Taxpayer’s Bill of Rights, or TABOR. It will send the poorest Colorado families $3,200 per child younger than 6. The amount of the credit will scale down as children grow older and family incomes increase, eventually zeroing out at $85,000 per year for joint filers and once children turn 17.

“Kids don’t choose who their parents are or what their income level is — or how they grow up,” Polis said during the bill signing ceremony at a Denver preschool. “Making sure kids everywhere have food on the table (and) have the support that they need to grow up is a big deal.”

The child tax credit stacks atop others passed or expanded by the legislature this year, including an increase to the state’s match of the Earned Income Tax Credit. In all, the new policies tap billions of dollars from projected TABOR surpluses in coming years that would have to be returned to taxpayers one way or another.

Democratic lawmakers, often over dissents from Republicans, opted mostly for directed credits rather than the general refunds that long have been typical in the state’s boom years.

How the new tax credits work

The Colorado Fiscal Institute, a progressive think tank involved in crafting the legislation, predicts families will receive as much as $4,400 a year per child 5 and younger through an expanded child care tax credit and the new family affordability tax credit.

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Throw in the Earned Income Tax Credit increase, which matches up to 50% of the federal EITC that sends money to low-income households, and Colorado families could see significant financial help. The state EITC match doubled this year, amounting to nearly $1,900 extra for very-low-income working families with three or more children.

The credits depend on consistent TABOR surpluses and will be scaled down in less robust economic times. Caroline Nutter, the legislative coordinator for the think tank, estimates the credit changes will reduce the number of children in poverty — about 133,000 kids — by 40% in years when the credits are fully funded.

“What we’re really trying to do there is make sure families, even those making more than the median household income in Colorado, are receiving help,” Nutter said. “Raising kids in this state is not cheap. Even if you’re making $100,000 a year, it’s still a big cost to bear.”

The credits, while stacking together, work differently:

  • The EITC expansion is based on a federal tax credit worth between $600 (for individuals without children) and $7,430 (for families with three or more children). Qualification limits range from $17,640 per year in adjusted gross income for a single person up to $63,398 for joint filers. Colorado will match up to 50% of the federal credit if state growth is on a solid footing.
  • The child care tax credit covers a percentage of child care costs, depending on household income. At most, the federal credit covers about $1,050 for one dependent child and up to $2,100 for two or more. The Colorado credit matches up to 70% of that for households with incomes of $60,000 or less.
  • The new family tax credit scales down based on family income as well as the ages and number of children. Single filers making $15,000 or less per year in adjusted gross income — and joint filers making $25,000 or less — will receive up to $3,200 for each child younger than 6 and, for children ages 6 to 16, up to $2,400. The credit amounts decrease as incomes rise, with a cap of $75,000 for individual filers and $85,000 for joint filers.

Coloradans may benefit from other credits, too — notably a $1,500 credit for child care workers, home health care workers, personal care aides and certified nursing assistants making less than $75,000 per year that Polis also signed into law Friday. Earlier this week, he signed off on a new tax credit that covers two years of in-state college tuition for students whose families make $90,000 a year or less.

U.S. Senator Michael Bennet addresses graduating preschoolers at Denver KinderCare in Denver on Friday, May 31, 2024. (Photo by Zachary Spindler-Krage/The Denver Post)

On hand at Friday’s ceremony was U.S. Sen. Michael Bennet, who has championed a short-lived federal child tax credit that he’s hoping to revive in Congress next year by leveraging the looming expiration of tax cuts. He praised the state’s new credit.

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“The family affordability tax credit testifies to the idea that we don’t have to accept those levels of childhood poverty as a permanent state of our economy, or our democracy, or our society,” he said. “I think the national leadership you’ve shown here is something that we will carry back to Washington, D.C. — to be able to say that because of your leadership, governor, Colorado now has the best anti-poverty legislation of any state in America.”

Do new credits undermine TABOR?

Together, Colorado’s new tax credits represent a reimagining of how state officials handle TABOR surpluses — while trying to stay within the constraints of the constitutional amendment passed by voters more than 30 years ago.

Traditionally, state revenue that’s over the cap would be returned to Coloradans largely through a six-tier system that gave higher-income households a bigger share under the idea they paid more in taxes. Nutter called that approach “wasteful” because it directs money to people who already have the most resources.

The Common Sense Institute, a nonpartisan, free enterprise-oriented think tank, noted that the money returned through tax credits still stays with Colorado taxpayers, versus going into government programs. But a CSI report on tax credits argues that the new approach “broadly undermines TABOR’s intent” by divorcing refunds from taxes paid.

In coming years, upwards of $1 billion per year that would typically be refunded through the six-tier system will instead go to targeted tax credits, according to its report.

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Lang Sias, a former state representative and now a research fellow at the think tank, said the legislature “has effectively substituted its judgment on how those tax dollars should be spent over that of taxpayers who would otherwise see the refunds.”

“We’re moving away from a TABOR refund and toward a TABOR redistribution,” he said in an interview.

He didn’t weigh in on the merits of the new policies but questioned lawmakers’ decision to tie the new tax credits to the state’s surplus and, in some cases, to give them sunsets. Assuming they’re as beneficial as proponents say, both cases mean they may not be permanent policies.

The new tax credits also aren’t the only way state officials responded to a foreseeable future of $1 billion-plus surpluses. Polis fought for a $450 million income tax cut, which predominantly will benefit wealthier Coloradans, and a decrease in the state sales tax rate during economic booms.

Taxpayers can also continue to expect flat TABOR refunds when they file their taxes — albeit closer to the $115 range than the $700-plus amounts of recent years.

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Nutter argued that while the shift will affect income brackets differently compared to the prior system, people across the spectrum still will see more money in their pockets — from the credits or, for wealthier people, through the tax cuts.

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What Colorado’s mountain lakes can tell scientists about climate change 

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What Colorado’s mountain lakes can tell scientists about climate change 

Summit Lake, located in the Mount Blue Sky Wilderness in the Arapahoe National Forest, is among the lakes that have been sampled for over 40 years as part of a U.S. Forest Service program. High-altitude lakes are sensitive, making them a perfect testing ground for evaluating the impacts of climate change and pollutants on ecosystems.
Shelby Valicenti/Summit Daily News archive

For over 40 years, the U.S. Forest Service has been monitoring high-altitude mountain lakes in Colorado to track the environmental impacts of human-caused pollutants and climate changes in delicate wilderness areas and ecosystems. 

Mountain lakes are extremely sensitive, making them a perfect testing ground for measuring ecosystem changes in climate and the environment. 

Mary Jade Farruggia, a postdoctoral researcher at the University of Colorado Boulder’s mountain limnology lab, described them as a “canary in the coal mine” or an early warning system that can help guide which larger ecosystem changes researchers need to look out for. 



“They often show changes as a result of the environment early on, before less sensitive ecosystems might,” Farruggia said. “Understanding how the most sensitive ecosystem changes as a result of our changing environmental conditions provides important foresight for how less sensitive ecosystems may change in the future.”

Farruggia recently partnered with researchers from the Forest Service and University of Colorado Boulder to look at data from 35 southern Rocky Mountain lakes collected as part of the federal agency’s long-term air monitoring program. The study set out to determine whether environmental changes — including climate change and air pollution — have impacted the lakes’ chemistry and ecosystem over time. 

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The program and samples collected support various federal efforts — including the National Atmospheric Deposition Program and the Interagency Monitoring of Protected Visual Environments program — created following the 1977 Clean Air Act to assess air and water quality in sensitive, high-elevation wilderness areas. 

Over the last 40 years, over 2,500 samples have been collected in these 35 lakes ranging from 9,600 feet of elevation to 13,000 feet, Farruggia said. All but two lakes, located in the Wind River Range in west central Wyoming, are in Colorado. They span six national forests, 11 wilderness areas and 14 ranger districts. 

Typically, samples are collected from each lake two times every summer. In the past, occasional samples were taken in the winter. With recent changes, Farruggia said the samples look at 19 different chemical parameters, an increase from the 13 it has historically tested for. 

This type of “large-scale, long-term monitoring” is extremely valuable, “particularly as our climate becomes more variable and extreme,” Farruggia said. 

“We cannot measure just one or two mountain lakes for a year or two and extrapolate to all other mountain lakes over decades. We need large programs like this one to capture the variability in lake responses to change over both space and time,” she added. 

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For over 40 years, The U.S. Forest Service and partners have collected annual samples from 35 southern Rocky Mountain lakes as part of its long-term air monitoring program.
Courtesy Photo

According to Farruggia, this type of monitoring and data could help answer questions about how this winter’s historically low snowpack in Colorado could impact mountain lakes. 

“For example, we found that some lakes in this dataset are strongly influenced by precipitation, and will be especially sensitive to an extreme snowpack, meaning they will likely experience more change as a result of an extreme snowpack,” she said. “Insights like this can help natural resource managers understand which ecosystems may be most at risk and adapt their management for a changing climate.”

Many of these samples are collected by volunteers and nonprofits. In the Roaring Fork Valley and White River National Forest, Wilderness Workshop, a Carbondale-based conservation nonprofit, has supported the data collection since the late 1980s. The nonprofit has partnered with the national forest to fund a technician position that collects samples in 15 regional lakes. 

“These wilderness and high-mountain lake datasets represent some of the longest-term observations we have for these sensitive ecosystems across the central Rockies,” said Will Roush, executive director of the Wilderness Workshop. “These are the nation’s headwaters, everything else, across dozens of states, is downstream. The long-term monitoring of air and water quality provides a baseline we can use to understand the status of these lake resources and changes that could impact the health of people, wildlife and ecosystems.” 

Last year, after federal budget cuts hit the program, Pitkin County’s Healthy Rivers and Streams Program stepped up to fund and support the White River work in 2026. However, Roush warned that “federal funding is critical for the long-term continuation of the program.”

What is driving changes in mountain lake chemistry? 

Moon Lake, located in the Weminuche Wilderness of the San Juan National Forest, is among the lakes that have been sampled for over 40 years as part of a U.S. Forest Service program to understand environmental changes in high-altitude lakes.
Beau Toepfer/The Aspen Times archive

In a February webinar, Farruggia presented results from their study of the dataset. Isabella Oleksy, also with the University of Colorado Boulder’s mountain limnology lab, and Tim Fegel and Chuck Rhoades, with the U.S. Forest Service’s Rocky Mountain Research Station contributed to the study. 

“We went into it knowing that high elevation lakes such as these tend to be especially susceptible to environmental change due to their clear, dilute waters, small watersheds and sparse vegetation,” she said. “We didn’t know exactly if/how environmental change would affect the lakes, and how sensitive they might be.”

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Specifically, the study set out to evaluate how changes in pollutants and emissions, drought conditions and warmer temperatures impacted levels of nitrogen and sulfate in the lakes. 

“Air pollution is the major source of nitrogen and sulfate in these systems,” Farruggia said. “Both nitrogen and sulfate contribute significantly to a lake’s acidity … An acidic lake can harm fish and wildlife, change the chemistry of the lake enough to promote reactions that release toxic metals into the water and make lakes less able to resist further additions of acid.” 

Both chemicals can travel long distances before depositing into these high-elevation lakes. 

Nitrogren, specifically, acts as a “MiracleGro” for lake algae, she added. 

“Lots of nitrogen can promote algal blooms, turning lakes green and less clear,” Farruggia said. “This is exacerbated by warming summer air temperatures due to climate change, since algae also grow better and faster in warmer temperatures.”

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As the study set out to determine whether regional trends in air pollution or climate were impacting sulfate and nitrogen levels, they determined that these trends only served as an explanation for sulfate levels in around half the lakes and nitrogen levels in around 30% of the lakes, Farruggia said. 

While most lakes have experienced chemical changes in the past 40 years captured by the dataset, the magnitude and direction of the changes varied at each individual lake. Farruggia described it as “mosaic of regional to local factors” — erosion, drought, land cover, geography, size, elevation and more — that are all interacting to shape the chemical trends and changes at each location. 

“It’s clear that climate and or deposition matter to some lakes, but there isn’t one like golden variable that explains everything about how and why lake chemistry is changing,” Farruggia said. “It’s not quite as simple as being like, we’ve improved air pollution, and therefore, we’ve improved the same pollutants in lakes, unfortunately. So, we’ve just seen that it’s likely a combination of several factors driving change in these lakes.”

While the study is continuing to determine whether more “static” variables like soil and geology interact with pollution and climate, and how they impact levels of sulfate and nitrogen, Farruggia said the results really punctuate the need for this type of widespread, long-term monitoring.   

“Given that our future is not projected to be stationary, climate is projected to become more variable, more extreme,” she said. “We really need this continued monitoring for determining lake responses to ongoing change. We see that most of these relationships are not linear, a lot of them are squiggly.” 

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‘It’s Not a Penalty’: Bednar Rips Officials For MacKinnon Ejection | Colorado Hockey Now

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‘It’s Not a Penalty’: Bednar Rips Officials For MacKinnon Ejection | Colorado Hockey Now


Head coach Jared Bednar is often calm and calculated during his postgame press conferences. But his frustrations were made loud and clear on Tuesday, following the Avalanche’s 4-3 loss to the Edmonton Oilers at Ball Arena in a game that saw superstar center Nathan MacKinnon get ejected late in the second period.

With the Avs on the power play trailing 2-1, MacKinnon entered the Oilers’ zone with speed and received an east-to-west pass from Martin Necas. MacKinnon’s shot went wide, but with little space to maneuver because Oilers defenseman Darnell Nurse was cutting in on him, MacKinnon barreled into goalie Connor Ingram and was handed a five-minute major and a game misconduct.

“[MacKinnon] makes the play on the puck, and I got his toes cutting up ice probably through the top of the paint, and Ingram’s on the goal line. There’s no chance that he hits the goalie if Nurse doesn’t run into him. He’s not hitting the goalie,” Bednar said, after watching his team fall to 43-11-9 on the season.

Ingram left the game with an injury and did not return.

“I don’t care if he’s injured, not injured, if it’s a severe crash, not a severe crash. It’s not a penalty,” Bednar said. “If you put guys in your own goalie, it’s not a penalty.”

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The MacKinnon call prematurely ended the Avs’ second power play of the night. They successfully killed off the 4:05 remaining on the major and tied the game, but couldn’t secure a point.

Ross Colton, Necas, and Valeri Nichushkin had Colorado’s goals. Unfortunately for Colton, he left the game with an upper-body injury in the second period and did not return.

“He took a shot from a player during the game and he kind of tightened up so he’s got an upper-body injury. Hopefully he loosens up for tomorrow and can play in Seattle,” Bednar said.

Mackenzie Blackwood started for the Avs after getting pulled in Dallas two games ago. He let in three goals on his first 10 shots before locking in later in the game. Blackwood made several big stops during the lengthy PK before Nichushkin tied it up. But it still wasn’t enough. Blackwood finished with 20 saves.

The Oilers finished 2-for-4 on the power play, getting the game-winning goal from Connor McDavid on a spectacular give-and-go with Leon Draisaitl with 10:57 remaining in regulation. Both of them finished with two points, while Ryan Nugent-Hopkins had two goals.

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Colorado had a power play after that, but could not capitalize. Necas’ tally came on the PP earlier in the evening, and the Avs finished 1-for-3. Colton’s goal came just 24 seconds into the first period, which snapped his nine-game goalless drought.

All of the Avalanche’s best plays were in the first and third periods. The second was a different story.

“I’ll give you an example, three or four times at the start of the second period, we try to go in on a rush, and we lose it and change, and they get odd-man rushes and a scoring chance against,” Bednar said. “You can’t do that. You can’t do that against anybody, never mind the best offensive team in the league.”

Edmonton also played with a shortened bench. On top of losing Ingram to an injury, forward Colton Dach, and defenseman Ty Emberson also left with ailments and did not return. From the moment MacKinnon was ejected, the pace of the game changed. Frustrations were noticeable on both sides.

“It was a great game up until that,” Nazem Kadri said. “I think it was a good battle out there. Players were playing hard and, you know, it’s unfortunate that’s how it’s gotta end.”

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Kadri was also vehemently against the MacKinnon call.

“I think Nate makes an effort. He’s diving across the top of the crease to try to get out of the way, like that’s a part of the rule for the player to at least make some sort of attempt. There was clear contact. I have no idea how that was a five-minute,” he said.

Good: Nichushkin Is Heating Up

When he’s been available to play, there haven’t been many bad stretches for Nichushkin. His on-ice production has been solid over the past three regular seasons. But this year, the 30-year-old veteran forward has had tough stretches. Entering the break, and coming out of it, Nichushkin wasn’t producing at the rate he usually does.

Over the past three games, he’s looked more like the power forward that we’ve grown accustomed to. And he’s gotten rewarded for it on the scoresheet.

Bad: The Penalty

I had a hard time deciphering if it was or wasn’t a penalty on MacKinnon when it first happened. I watched replays, I slowed them down, and I started to form an opinion.

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But regardless of whether MacKinnon should’ve been called for anything, it shouldn’t have been a five. That part I can’t wrap my head around.

Bednar was frustrated and asked about it again. He added, “I really don’t give a crap if the goalies hurt. That’s on their D.”

Good:

Bad: Defensive Breakdowns

Each of the first three Edmonton goals were scored by guys that were open in front of the goal. On the first two,

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Colorado residents should prepare for Xcel power outages this week as fire danger surges, utility says

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Colorado residents should prepare for Xcel power outages this week as fire danger surges, utility says


Xcel Energy is warning its customers along the Front Range to be prepared for possible power outages this week as the risk of wildfire surges due to hot and dry weather.

“Due to the elevated risk of wildfire, enhanced powerline safety settings are active across out Front Range service territory,” according to a social media post from the utility. The settings make the powerlines more sensitive and prompt a line to stop the flow of electricity if an object touches a line.

The highest risk for wildfire danger will be Thursday, Friday and Saturday, when strong gusty winds are forecasted, according to the National Weather Service.

Humidity could be as low as 10% and winds may top 25 mph, leading to critical and extremely critical fire weather between Thursday and Saturday, forecasters said.

Tens of thousands of customers have lost power in recent months from planned outages during fire danger and powerline damage from high winds.

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In December, 86,040 Xcel customers lost power because of a mix of planned shutoffs and downed powerlines from high winds. The decision led some customers to criticize the utility, asking it to fine-tune its weather responses.

Some schools in northern Colorado schools preemptively canceled classes in January after Xcel announced a planned power shutoff for 9,000 customers in the area.



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