First Regular Session
              Sixty-ninth General Assembly
                    STATE OF COLORADO
                                                 INTRODUCED
                                                           
                                                           
 LLS NO. 13-0327.02 Ed DeCecco x4216     SENATE BILL 13-136
                   SENATE SPONSORSHIP
 Scheffel, Newell
 
                    HOUSE SPONSORSHIP
 Holbert and Kagan, 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 Senate Committees
 House Committees
 
 
 State, Veterans, & Military Affairs
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                         A BILL FOR AN ACT
       Concerning a tax exemption for business personal property
            with a local government opt out.
       
       
                           Bill Summary
       
            (Note: This summary applies to this bill as introduced and does
       not reflect any amendments that may be subsequently adopted. If this bill
       passes third reading in the house of introduction, a bill summary that
       applies to the reengrossed version of this bill will be available at
       http://www.leg.state.co.us/billsummaries.)
       
            There is an exemption from property tax for business personal
       property that would otherwise be listed on a single personal property
       schedule that is equal to $7,000 for the current property tax year cycle and
       an inflation-adjusted amount for each property tax year cycle thereafter. 
            Beginning with the property tax year commencing on January 1,
       2015, the bill increases this exemption from the property tax of all local
       governments, excluding school districts, to $25,000, adjusted biennially
       thereafter. A local government may opt out of the increased exemption,
       in which case the existing exemption would apply to it. The exemption
       from the tax levied by school districts is not changed.
       
       
       
       Be it enacted by the General Assembly of the State of Colorado:
            SECTION 1.  Legislative declaration. The general assembly
       hereby declares that the intended purpose of the tax expenditures included
       in this act is to stimulate investment in capital by businesses in Colorado
       by reducing the tax on business personal property.
            SECTION 2.  In Colorado Revised Statutes, 39-3-119.5, repeal
       (2) (b) (II); and add (3) and (4) as follows:
            39-3-119.5.  Personal property - exemption - definitions.
       (2) (b) (II)  As used in subparagraph (I) of this paragraph (b), "inflation"
       means the annual percentage change in the United States department of
       labor, bureau of labor statistics, consumer price index for
       Denver-Boulder-Greeley, all items, all urban consumers, or its successor
       index.
            (3) (a)  Except as set forth in paragraph (c) of this
       subsection (3), for property tax years commencing on and after
       January 1, 2015, personal property not otherwise exempt from
       property tax is exempt from the levy and collection of a local
       government's property tax if the personal property would
       otherwise be listed on a single personal property schedule and
       the actual value of the personal property is less than or equal
       to twenty-five thousand dollars or the inflation-adjusted
       amount set forth in paragraph (b) of this subsection (3).
            (b)  Beginning with the property tax year commencing on
       January 1, 2017, the amount of the exemption created in
       paragraph (a) of this subsection (3) is adjusted biennially to
       account for inflation since the amount of the exemption last
       changed. The administrator shall comply with the requirements
       of paragraph (b) of subsection (2) of this section in making this
       adjustment.
            (c)  A local government, acting by resolution or
       ordinance, may opt out of the exemption set forth in this
       subsection (3). The exemption set forth in subsection (1) of this
       section applies with respect to a school district and a local
       government that opts out of the exemption. The opt out must be
       made at least one year prior to the beginning of a property tax
       year.
            (d)  The exemption set forth in this subsection (3) does not
       apply to property valued pursuant to article 4 of this title.
            (4)  As used in this section, unless the context otherwise
       requires:
            (a)  "Inflation" means the annual percentage change in the
       United States department of labor, bureau of labor statistics,
       consumer price index for Denver-Boulder-Greeley, all items, all
       urban consumers, or its successor index.
            (b)  "Local government" means a county, municipality, or
       special district, but does not include a school district.
            SECTION 3.  Act subject to petition - effective date. This act
       takes effect at 12:01 a.m. on the day following the expiration of the
       ninety-day period after final adjournment of the general assembly (August
       7, 2013, if adjournment sine die is on May 8, 2013); except that, if a
       referendum petition is filed pursuant to section 1 (3) of article V of the
       state constitution against this act or an item, section, or part of this act
       within such period, then the act, item, section, or part will not take effect
       unless approved by the people at the general election to be held in
       November 2014 and, in such case, will take effect on the date of the
       official declaration of the vote thereon by the governor.