Colorado

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

Published

2 years ago

June 1, 2024

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.

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.

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.

“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.

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.

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

Published

59 minutes ago

March 11, 2026

Press Room

‘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.”

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.

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.”

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.

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

Published

13 hours ago

March 10, 2026

Press Room

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.

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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Colorado

An Evening Against Edmonton | Colorado Avalanche

Published

1 day ago

March 10, 2026

Press Room

An Evening Against Edmonton | Colorado Avalanche

Edmonton Oilers (31-25-8) @ Colorado Avalanche (43-10-9)

8 p.m. MT | Ball Arena | Watch: TNT, truTV, HBO Max | Listen: Altitude Sports Radio (92.5 FM)

After back-to-back shootout victories, the Avalanche concludes its two-game homestand on Tuesday against the Edmonton Oilers. This game is an Avalanche Cup Classic, presented by KeyBank, which will honor the 2022 Avs team that won the Stanley Cup and defeated the Oilers in the Western Conference Final. Tuesday’s game is the second of three regular-season meetings between the teams, as the Avalanche won 9-1 in Edmonton on November 8th, and they’ll play in Alberta on April 13th.

Sunday Success

The Avalanche defeated the Minnesota Wild 3-2 in a shootout on Sunday at Ball Arena. Nathan MacKinnon and Nicolas Roy both scored for Colorado while Nazem Kadri posted an assist in his second Avs debut. In net for Colorado, Scott Wedgewood stopped 32 of the 34 shots he faced. MacKinnon opened the scoring at 12:19 of the second period with his 43rd goal of the season via a right-circle one-timer set up by Kadri, who began the play with an interception below the offensive-zone goal line. Kirill Kaprizov tied the game for Minnesota with a power-play goal at 4:17 of the third period when his pass from the right circle deflected into the net. The Wild took a 2-1 lead at 7:01 of the third period when Nico Sturm scored a shorthanded breakaway. Colorado tied the game at 12:39 of the third period when Nicolas Roy scored his first goal as an Av and sixth of the season via a net-front deflection on Brett Kulak’s slap shot. In the shootout, Valeri Nichushkin scored for Colorado in the first round, Matt Boldy scored for Minnesota in the second round and MacKinnon tallied the winner in the fourth round.

Leading the Way

Nate the Great

MacKinnon leads the NHL in goals (43) while ranking second in points (104) and third in assists (61).

All Hail Cale

Among NHL defensemen, Cale Makar is tied for second in points (66) while ranking fourth in goals (19) and assists (47).

Marty Party

Martin Necas is tied for seventh in the NHL in points (76).

Series History

In 135 regular-season games against the Oilers, the Avalanche has a record of 74-49-6-6. The teams have met three times in the playoffs, with the Avs winning the 1997 Western Conference Semifinals in five games and the 2022 Western Conference Final in four contests.

Sunday in Sin City

The Oilers defeated the Vegas Golden Knights 4-2 at T-Mobile Arena on Sunday. In the second period, Trent Frederic opened the scoring for Edmonton at 3:21 before Vegas’ Noah Hanifin tied the game at 13:09. The Oilers took a 3-1 third-period lead after goals from Vasily Podkolzin at 2:34 and Leon Draisaitl at 11:53. Jack Eichel cut the Golden Knights’ deficit to one with a shorthanded goal at 16:43 of the third period. Edmonton took a 4-2 lead when Kasperi Kapanen scored an empty-net goal at 18:03 of the third period.