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HB26-1102 • 2026

Funding for Colorado DRIVES Account

The act redirects a portion of certain vehicle registration fees to increase the amount of revenue that is directed to the Colorado DRIVES vehicle services account (DRIVES account) created in the high

Taxes
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Rep. M. Lindsay, Sen. M. Snyder, Rep. J. Bacon, Rep. K. Brown, Rep. S. Lieder, Rep. K. Nguyen, Rep. A. Paschal, Rep. E. Sirota, Rep. L. Smith, Rep. T. Story, Sen. J. Amabile, Sen. J. Coleman, Sen. C. Kipp
Last action
2026-06-01
Official status
Governor Signed
Effective date
Not listed

Plain English Breakdown

Checked against official source text during the last sync.

Funding for the Colorado DRIVES Account

This law moves some money from vehicle registration fees into a special account to pay for running the state's driver and vehicle services system.

What This Bill Does

  • Redirects most fees paid for personalized license plates to the DRIVES account starting July 1, 2026.
  • Keeps $2 of each personalized plate fee going to county general funds instead of the new account.
  • Moves $2 from every late vehicle registration fee into the DRIVES account starting July 1, 2027.
  • Sends any leftover money in the DRIVES account back into that same account at the end of each fiscal year rather than moving it elsewhere.

Who It Names or Affects

  • People who pay for personalized license plates
  • Drivers who receive late registration fees on their vehicles
  • The Colorado Department of Revenue and State Treasurer
  • County general funds that currently receive a portion of plate fees

Terms To Know

DRIVES account
A special fund created to pay for the development and operation of Colorado's driver license, record, identification, and vehicle enterprise system.
Highway Users Tax Fund (HUTF)
The main state fund where money from vehicle fees is kept before being moved to other accounts like DRIVES or county funds.

Limits and Unknowns

  • This law only takes effect if another bill, House Bill 26-1289, also becomes law.
  • The exact date the changes start depends on when House Bill 26-1289 is passed or goes into effect.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

L.001

HOU Finance

Passed [*]

Plain English: This amendment changes the start date for redirecting vehicle registration fees to the Colorado DRIVES account from August 12, 2026, to July 1, 2027.

  • The effective date for moving a portion of vehicle registration fees is delayed by nearly one year.
L.042

SEN Appropriations

Passed [*]

Plain English: This amendment changes the official report to say that most parts of the bill will start working immediately after it passes, instead of waiting for a later date.

  • Removes text from the Finance Committee report about specific sections taking effect at different times.
  • Updates the language so the rest of the act takes effect right away upon passage.
  • The amendment only changes a committee report and does not explain what the bill actually funds or how much money is involved.
  • It is unclear which specific sections are affected because the text refers to page numbers in another document that was not provided.
L.041

SEN Finance

Passed [*]

Plain English: This amendment removes several sections from the bill that were intended to redirect vehicle registration fees to a specific account.

  • Deletes lines on page 4 and page 5 of the original bill text, which likely contained rules about moving money.
  • The amendment only shows that text was removed but does not include the actual words being deleted.
  • Because the specific language is missing from this document, it cannot be explained exactly how much funding would change or which fees are affected.
L.035

Second Reading

Passed [**]

Plain English: This amendment adds a rule stating that most parts of the bill will only start working if another specific law, House Bill 26-1289, is also passed.

  • It makes sections 1, 2, 4, and 5 of this bill dependent on whether House Bill 26-1289 becomes a real law.
  • The exact details of what the other bill (House Bill 26-1289) does are not included in this text.
  • If House Bill 26-1289 is not passed, sections 1, 2, 4, and 5 of this bill will never take effect.
L.040

Second Reading

Passed [**]

Plain English: This amendment stops the state from charging a specific fee unless someone has missed or canceled an appointment in the last year and adds military service as a reason to avoid that fee.

  • The Department cannot charge the new fee if the person has not failed to show up for or cancel at least one other appointment within the past twelve months.
  • Military service is added as an official excuse so people do not have to pay this specific fee.
  • The text does not explain what happens if a person has missed multiple appointments, only that they must miss at least one before the fee applies.
  • The exact dollar amount of the fee being discussed is not included in this amendment text.

Bill History

  1. 2026-06-01 Governor

    Governor Signed

  2. 2026-05-20 Governor

    Sent to the Governor

  3. 2026-05-20 Senate

    Signed by the President of the Senate

  4. 2026-05-20 House

    Signed by the Speaker of the House

  5. 2026-05-13 House

    House Considered Senate Amendments - Result was to Concur - Repass

  6. 2026-05-12 Senate

    Senate Third Reading Passed - No Amendments

  7. 2026-05-11 Senate

    Senate Second Reading Special Order - Passed with Amendments - Committee

  8. 2026-05-11 Senate

    Senate Committee on Appropriations Refer Amended to Senate Committee of the Whole

  9. 2026-04-07 Senate

    Senate Committee on Finance Refer Amended to Appropriations

  10. 2026-03-25 Senate

    Introduced In Senate - Assigned to Finance

  11. 2026-03-20 House

    House Third Reading Passed - No Amendments

  12. 2026-03-18 House

    House Third Reading Laid Over Daily - No Amendments

  13. 2026-03-17 House

    House Second Reading Special Order - Passed with Amendments - Committee, Floor

  14. 2026-03-03 House

    House Second Reading Laid Over Daily - No Amendments

  15. 2026-02-26 House

    House Committee on Finance Refer Amended to House Committee of the Whole

  16. 2026-02-03 House

    Introduced In House - Assigned to Finance

Official Summary Text

The act redirects a portion of certain vehicle registration fees to increase the amount of revenue that is directed to the Colorado DRIVES vehicle services account (DRIVES account) created in the highway users tax fund (HUTF). Beginning on July 1, 2026, the act redirects fees for special vehicle registrations for personalized license plates from the HUTF to the DRIVES account; except that, consistent with current law, $2 of each fee is remitted to the county general fund. Beginning on July 1, 2027, the act redirects $2 of each late vehicle registration fee from the HUTF to the DRIVES account and, consistent with current law, credits the remainder of the fees to the HUTF.
(Note: This summary applies to this bill as enacted.)

Current Bill Text

Read the full stored bill text
HOUSE BILL 26-1102
BY REPRESENTATIVE(S) Lindsay, Brown, Sirota, Bacon, Lieder,
Nguyen, Paschal, Smith, Story;
also SENATOR(S) Snyder, Amabile, Kipp, Coleman.
CONCERNING THE FUNDING OF THE COLORADO DRIVES VEHICLE SERVICES
ACCOUNT IN THE HIGHWAY USERS TAX FUND.
Be it enacted by the General Assembly of the State of Colorado:
SECTION 1. In Colorado Revised Statutes, 42-1-211, amend as it
exists until July 1, 2027, (2)(a) as follows:
42-1-211. Driver's license, record, identification, and vehicle
enterprise solution - DRIVES vehicle services account - Colorado
DRIVES county governance committee -definition - repeal.
(2) (a) The Colorado DRIVES vehicle services account is created
in the highway users tax fund for the purpose of providing funds for the
development and operation of Colorado DRIVES, including operations
performed under articles 2, 3, 4, 6, 7, and 12 of this title 42, to cover the
costs of administration and enforcement of the motorist insurance
identification database program created in section 42-7-604, and to
Capital letters or bold & italic numbers indicate new material added to existing law; dashes
through words or numbers indicate deletions from existing law and such material is not part of
the act.
purchase and issue license plates, decals, and validating tabs in accordance
with article 3 of this title 42. THE STATE TREASURER SHALL CREDIT money
received from the fees imposed by sections 3 8-29-13 8 ( 1 ), (2), ( 4 ), and ( 5),
42-1-206 (2)(a), 42-1-210 (l)(a)(II), 42-1-231, 42-1-233 (3)(b), 42-2-107
(1 )(a)(I), 42-2-114 (2)(b ), (2)( c )(I), (2)( c )(11), (2)( e ), and ( 4)(a), 42-2-114.5
(1), 42-2-117 (1), 42-2-118 (l)(b)(I)(C) and (1.5)(b), 42-2-133 (2),
42-2-306 (2), 42-2-406 (1), (2), (3)(d), and (6), 42-2-508 (1), 42-3-107 (22),
42-3-211 (7), 42-3-213 (l)(b)(IV), 42-3-304 (18)(d)(l)(B), 42-3-306 (14),
42-3-312, 42-3-313 (2)(c)(I), 42-6-110 (1.7)(c), 42-6-137 (1), (2), (4), (5),
and (6), and 42-6-138 (l)(a), (2), and (4) and any money received through
gifts, grants, and donations to the account from private or public sources for
the purposes of this section shall be credited by the state t1easu1e1 to the
Colorado DRIVES vehicle services account. The general assembly shall
appropriate annually the money in the account for the purposes of this
subsection (2). If any unexpended and unencumbered money remains in the
account at the end of a fiscal year, the balance remains in the account and
is not transferred to the general fund or any other fund.
SECTION 2. In Colorado Revised Statutes, 42-1-211, amend as it
will become effective July 1, 2027, (2)(a) as follows:
42-1-211. Driver's license, record, identification, and vehicle
enterprise solution - DRIVES vehicle services account - Colorado
DRIVES county governance committee -definition - repeal.
(2) (a) The Colorado DRIVES vehicle services account is created
in the highway users tax fund for the purpose of providing funds for the
development and operation of Colorado DRIVES, including operations
performed under articles 2, 3, 4, 6, 7, and 12 of this title 42, to cover the
costs of administration and enforcement of the motorist insurance
identification database program created in section 42-7-604, and to
purchase and issue license plates, decals, and validating tabs in accordance
with article 3 of this title 42. THE STATE TREASURER SHALL CREDIT money
received from the fees imposed by sections 38-29-138 (1), (2), (4), and (5),
42-1-206 (2)(a), 42-1-210 (l)(a)(II), 42-1-231, 42-1-233 (3)(b), 42-2-107
( 1 )(a)(I), 42-2-114 (2)(b ), (2)( c )(I), (2)( c )(II), (2)( e ), and ( 4 )(a), 42-2-114.5
(1), 42-2-117 (1), 42-2-118 (l)(b)(I)(C) and (1.5)(b), 42-2-133 (2),
42-2-306 (2), 42-2-406 ( 1 ), (2), (3 )( d), and ( 6), 42-2-508 ( 1 ), 42-3-107 (22),
42-3-112 (2), 42-3-211 (7), 42-3-213 (l)(b)(IV), 42-3-304 (18)(d)(l)(B),
42-3-306 (14), 42-3-312, 42-3-313 (2)(c)(I), 42-3-315, 42-6-110 (l.7)(c),
PAGE 2-HOUSE BILL 26-1102
42-6-137 (1), (2), (4), (5), and (6), and 42-6-138 (l)(a), (2), and (4) and any
money received through gifts, grants, and donations to the account from
private or public sources for the purposes of this section shall be er edited
by the state treasmer to the Colorado DRIVES vehicle services account.
The general assembly shall appropriate annually the money in the account
for the purposes of this subsection (2). If any unexpended and
unencumbered money remains in the account at the end of a fiscal year, the
balance remains in the account and is not transferred to the general fund or
any other fund.
SECTION 3. In Colorado Revised Statutes, 42-3-112, amend (2)
as follows:
42-3-112. Failure to pay tax -penalty -rules -repeal.
(2) THE DEPARTMENT OR THE AUTHORIZED AGENT THAT REGISTERS
THE MOTOR VEHICLE SHALL RETAIN ten dollars of the late registration fee.
shall be retained by the department 0t the authorized agent who registers the
motor vehiele Each authorized agent shall remit to the department no less
frequently than once a month, but otherwise at the time and in the manner
required by the executive director of the department, the remainder of the
late registration fees collected by the authorized agent. The executive
director shall forward all late registration fees remitted by authorized agents
plus the remainder of the late registration fees collected directly by the
department to the state treasurer, who shall credit THE LATE REGISTRATION
FEES AS FOLLOWS:
(a)(I) TheFORLATEREGISTRATIONFEESFORWARDEDONORBEFORE
JUNE 30, 2027, ALL fees to the highway users tax fund in accordance with
section 43-4-804 (l)(e). C.R.S.
(II) THIS SUBSECTION (2)(a) IS REPEALED, EFFECTIVE JULY 1, 2028.
(b) FORLATEREGISTRATIONFEESFORWARDEDON ANDAFTERJULY
1, 2027, TWO DOLLARS OF EACH LATE REGISTRATION FEE TO THE COLORADO
DRIVES VEHICLE SERVICES ACCOUNT CREATED IN SECTION 42-1-211 (2) IN
THE HIGHWAY USERS TAX FUND AND THE REMAINDER OF THE FEES TO THE
HIGHWAY USERS TAX FUND IN ACCORDANCE WITH SECTION 43-4-804 (1 )( e ).
SECTION 4. In Colorado Revised Statutes, 42-3-211, amend (7)
PAGE 3-HOUSE BILL 26-1102
as follows:
42-3-211. Issuance of personalized plates authorized.
(7) (a) All applications for special registration of motor vehicles
shaH MUST be made directly to the department, and THE DEPARTMENT shall
be administered by ADMINISTER the department SPECIAL REGISTRATIONS.
(b) (I) (A) All fees received ON OR BEFORE JUNE 30, 2026, from
special registrations shall be ARE credited to the highway users tax fund
created in section 43-4-201 C.R.S., and allocated and expended as specified
in section 43-4-205 (5.5)(b); C.R.S. except that two dollars of each such
special registration fee collected pursuant to paragraphs (a) to (d) of
subsection (6) SUBSECTIONS (6)(a) TO (6)(c) of this section shall be IS
remitted to the county general fund.
(B) THIS SUBSECTION (7)(b)(I) IS REPEALED, EFFECTIVE JULY 1,
2027.
(II) ON AND AFTER JULY 1, 2026, ALL FEES RECEIVED FROM SPECIAL
REGISTRATIONS ARE CREDITED TO THE COLORADO DRIVES VEHICLE
SERVICES ACCOUNT CREATED IN SECTION 42-1-211 (2) IN THE HIGHWAY
USERS TAX FUND; EXCEPT THAT TWO DOLLARS OF EACH SPECIAL
REGISTRATION FEE COLLECTED PURSUANT TO SUBSECTIONS (6)(a) TO (6)(c)
OF THIS SECTION IS REMITTED TO THE COUNTY GENERAL FUND.
SECTION 5. Effective date. This act takes effect only if section
39-27-102, Colorado Revised Statutes, as amended in section 21 of House
Bill 26-1289, becomes law, in which case section 2 of this act takes effect
July 1, 2027, and the remainder of this act takes effect upon passage or on
the effective date of House Bill 26-1289, whichever is later.
SECTION 6. Safety clause. The general assembly finds,
determines, and declares that this act is necessary for the immediate
preservation of the public peace, health, or safety or for appropriations for
PAGE 4-HOUSE BILL 26-1102
the support and maintenance of the departments of the state and state
institutions.
Juli~
SPEAKER OF THE HOUSE
OF REPRESENTATIVES
v~~
Vanessa Reilly
CHIEF CLERK OF THE HOUSE
OF REPRESENTATIVES
James Rashad Coleman, Sr.
PRESIDENT OF
THE SENATE
Esther van Mourik
SECRETARY OF
THE SENATE
APPROVED a\'\ VY\ondov\ °j\M..L t~-' 2~1 <o ~-+ t l ·, oa~~
(Date and Time)
Jared S.
GOVERN STATE OF COLORADO
PAGE 5-HOUSE BILL 26-1102