NOTE: The governor signed this measure on 6/10/2016.
      
      
      HOUSE BILL 16-1286
      
      
      BY REPRESENTATIVE(S) Becker K., Singer, Vigil, Arndt, Carver,
      Duran, Fields, Ginal, Hamner, Lebsock, Lee, Melton, Mitsch Bush, Priola,
      Salazar, Winter, Hullinghorst;
      also SENATOR(S) Tate, Baumgardner, Crowder, Heath, Holbert.
      
      
      Concerning an increase in the percentage of a landowner's costs
           incurred in performing wildfire mitigation measures that
           may be claimed by the landowner for purposes of the
           wildfire mitigation income tax deduction.
      
      
      Be it enacted by the General Assembly of the State of Colorado:
      
           SECTION 1.  Legislative declaration. (1)  The general assembly
      hereby finds and declares that:
      
           (a)  Warm winters, hot and dry summers, severe drought, insect and
      disease infestations, years of fire suppression, and population growth in the
      wildland-urban interface continue to increase wildfire risk and the potential
      for catastrophic wildfires in Colorado;
      
           (b)  Mitigating wildfire risk by creating a defensible space around
      structures is imperative not only to the home and the homeowner, but also
      to the homeowner's community and to the safety of the firefighters called
      to defend a home from a wildfire;
      
           (c)  By creating an adequate defensible space around structures, a
      homeowner can give firefighters the safest and best chance to defend the
      home from a wildfire; and
      
           (d)  Increasing the amount of the existing income tax deduction
      available for a taxpayer for the costs of wildfire mitigation measures that
      the taxpayer incurs is sound public policy.
      
           SECTION 2.  In Colorado Revised Statutes, 39-22-104, amend (4)
      (n.5) (I) (A); and add (4) (n.5) (I) (A.5) as follows:
      
           39-22-104.  Income tax imposed on individuals, estates, and
      trusts - single rate - definitions - repeal. (4)  There shall be subtracted
      from federal taxable income:
      
           (n.5) (I) (A)  For income tax years commencing on or after January
      1, 2014, but prior to January 1, 2025 January 1, 2017, and for income
      tax years commencing on or after January 1, 2020, but prior to
      January 1, 2025, an amount equal to fifty percent of a landowner's costs
      incurred in performing wildfire mitigation measures in that income tax year
      on his or her property located within the state; except that the amount of the
      deduction claimed in an income tax year shall not exceed two thousand five
      hundred dollars or the total amount of the landowner's federal taxable
      income for the income tax year for which the deduction is claimed,
      whichever is less.
      
           (A.5)  For income tax years commencing on or after January
      1, 2017, but prior to January 1, 2020, an amount equal to one
      hundred percent of a landowner's costs incurred in performing
      wildfire mitigation measures in that income tax year on his or her
      property located within the state; except that the amount of the
      deduction claimed in an income tax year shall not exceed two
      thousand five hundred dollars or the total amount of the
      landowner's federal taxable income for the income tax year for
      which the deduction is claimed, whichever is less.
      
           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
      10, 2016, if adjournment sine die is on May 11, 2016); 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 2016
      and, in such case, will take effect on the date of the official declaration of
      the vote thereon by the governor.
      
      
      
      
      ________________________________________________________
      Dickey Lee Hullinghorst                Bill L. Cadman
      SPEAKER OF THE HOUSE                     PRESIDENT OF
      OF REPRESENTATIVES                         THE SENATE
      
      
      
      
      
      
      ____________________________  ____________________________
      Marilyn Eddins                            Effie Ameen
      CHIEF CLERK OF THE HOUSE                 SECRETARY OF
      OF REPRESENTATIVES                         THE SENATE
      
      
      
      
                  APPROVED________________________________________
      
      
      
      
      
                                    _________________________________________
                                    John W. Hickenlooper
                                    GOVERNOR OF THE STATE OF COLORADO