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Second Regular Session
Seventy-fifth General Assembly
STATE OF COLORADO
REENGROSSED
This Version Includes All Amendments
Adopted in the House of Introduction
LLS NO. 26-0356.01 Jery Payne x2157 HOUSE BILL 26-1188
House Committees Senate Committees
Finance
Appropriations
A BILL FOR AN ACT
CONCERNING THE CONTINUATION OF THE REGULATION OF SECURITIES,101
AND, IN CONNECTION THEREWITH , IMPLEMENTING THE102
RECOMMENDATIONS OF THE DEPARTMENT OF REGULATORY103
AGENCIES IN THE DEPARTMENT'S 2025 SUNSET REPORT.104
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 w ill be av ailable at
http://leg.colorado.gov/.)
Sunset Process - House Finance Committee. The bill implements
the recommendations of the department of regulatory agencies in its 2025
sunset review and report by continuing the division of securities and the
HOUSE
3rd Reading Unamended
March 25, 2026
HOUSE
Amended 2nd Reading
March 24, 2026
HOUSE SPONSORSHIP
Camacho and Titone, Stewart R., Brown, Duran, Marshall, Nguyen, Woodrow
SENATE SPONSORSHIP
Kolker,
Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing law.
Dashes through the words or numbers indicate deletions from existing law.
securities board until 2037. In connection with continuing these entities,
the bill:
! Clarifies that deficiency letters and communications
concerning a deficiency letter are not public documents that
may be inspected under the "Colorado Open Records Act";
! Requires that an investment adviser or an investment
adviser representative doing business in Colorado must be
licensed by the securities commissioner (commissioner)
unless otherwise exempt;
! Specifies that the executive director of the department of
regulatory agencies must consult with the securities board
when appointing the commissioner; and
! Updates statutory language to be gender neutral.
The bill revises the process by which a cease-and-desist order is
issued or a license is summarily suspended. Under current law, the
commissioner issues a cease-and-desist order or conducts a summary
license suspension by issuing an order to show cause as to why a
cease-and-desist order or license suspension should not be issued. After
appropriate notices are given, a hearing is scheduled with the securities
board or an administrative law j udge. At the h earing, it is determined
whether to issue a cease-and-desist order or suspend the license and what
form the order or suspension will take. The bill changes this process to
authorize the commissioner to issue a preliminary cease-and-desist order
or a summary license-suspension order. If the person that is the subject of
the order disagrees with the order, the person may request a hearing to
resolve the issue. The hearing must take place within 30 days after
issuance of the order. If a hearing is not requested within 15 days after
issuance of the order, the order becomes final. The person that is the
subject of the order must obey the order until a hearing is requested.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, amend 11-51-803 as2
follows:3
11-51-803. Repeal of article - subject to review.4
(1) This article ARTICLE 51 is repealed, effective September 1,5
2026 2037.6
(2) Prior to such BEFORE THE repeal, the division of securities7
shall be reviewed as provided for in IS SCHEDULED FOR REVIEW IN8
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ACCORDANCE WITH section 24-34-104. C.R.S.1
SECTION 2. In Colorado Revised Statutes, 11-51-702.5, amend2
(7) as follows:3
11-51-702.5. Securities board - creation - duties - repeal -4
subject to review.5
(7) (a) This section is repealed, effective September 1, 2026 2037.6
(b) Prior to such B EFORE THE repeal, the functions of the7
securities board shall be reviewed as provided for in IS SCHEDULED FOR8
REVIEW IN ACCORDANCE WITH section 24-34-104. C.R.S.9
SECTION 3. In Colorado Revised Statutes, 24-34-104, repeal10
(27)(a)(II) and (27)(a)(III); and add (38)(a)(II) and (38)(a)(III) as follows:11
24-34-104. General assembly review of regulatory agencies12
and functions for repeal, continuation, or reestablishment - legislative13
declaration - repeal.14
(27) (a) The following agencies, functions, or both, are scheduled15
for repeal on September 1, 2026:16
(II) The division of securities created in section 11-51-701,17
C.R.S.;18
(III) The securities board created in section 11-51-702.5, C.R.S.;19
(38) (a) The following agencies, functions, or both, are scheduled20
for repeal on September 1, 2037:21
(II) THE DIVISION OF SECURITIES CREATED IN SECTION 11-51-701;22
(III) THE SECURITIES BOARD CREATED IN SECTION 11-51-702.5.23
SECTION 4. In Colorado Revised Statutes, 11-51-601, add24
(5)(d) as follows:25
11-51-601. Investigations - subpoenas.26
(5) (d) A DEFICIENCY LETTER OR COMMUNICATION CONCERNING27
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A DEFICIENCY LETTER RESULTI NG FROM AN EXAMINATION CONDUCTED1
UNDER SECTION 11-51-409 IS DEEMED TO BE INFORMATION HELD OR2
OBTAINED IN CONNECTION WITH A PRIVATE INVESTIGATION WITHIN THE3
MEANING OF SUBSECTION (5)(a) OF THIS SECTION AND , THEREFORE , IS4
CONFIDENTIAL AND NOT SUBJECT TO DISCLOSURE UNDER THE "COLORADO5
OPEN RECORDS ACT", PART 2 OF ARTICLE 72 OF TITLE 24.6
SECTION 5. In Colorado Revised Statutes, 11-51-606, amend7
(1.5)(a), (1.5)(c), (1.5)(d), (4), and (5) as follows:8
11-51-606. Conduct of proceedings - cease-and-desist orders9
- consent orders - summary orders - issued by securities10
commissioner - rules.11
(1.5) (a) (I) Whenever it appears to IF the securities commissioner12
DETERMINES, based upon sufficient evidence as presented in a petition by13
an officer or employee of the division of securities, that a person has14
committed or may commit any of the acts or practices AN ACT OR15
PRACTICE listed in paragraph (b) of this subsection (1.5) SUBSECTION16
(1.5)(b) OF THIS SECTION, then, in addition to any specific powers granted17
under this article ARTICLE 51, the securities commissioner in his or her18
discretion, may issue to such THE person an A PRELIMINARY19
CEASE-AND-DESIST order. to show cause why the securities commissioner20
should not enter a final order directing such person to cease and desist21
from the unlawful act or practice, or impose such other sanctions as22
provided in subparagraph (IV) of paragraph (d) of this subsection (1.5).23
The securities commissioner shall, within two calendar days, notify the24
chairperson of the securities board or an administrative law judge that an25
order to show cause has been issued, and26
(II) A PERSON THAT IS THE SUBJECT OF A PRELIMINARY27
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CEASE-AND-DESIST ORDER ISSUED PURSUANT TO SUBSECTION (1.5)(a)(I)1
OF THIS SECTION MAY REQUEST A HEARING WITHIN FIFTEEN DAYS AFTER2
THE ISSUANCE OF THE PRELIMINARY CEASE -AND-DESIST ORDER TO3
DETERMINE IF THE ORDER SHOULD BE MADE FINAL. IF THE PERSON THAT4
IS THE SUBJECT OF THE PRELIMINARY CEASE-AND-DESIST ORDER DOES NOT5
REQUEST A HEARING WITHIN FIFTEEN DAYS AFTER THE DATE THE6
PRELIMINARY CEASE-AND-DESIST ORDER WAS ISSUED, THE PRELIMINARY7
CEASE-AND-DESIST ORDER BECOMES A FINAL CEASE-AND-DESIST ORDER.8
IF THE PERSON THAT IS THE SUBJECT OF THE PRELIMINARY9
CEASE-AND-DESIST ORDER TIMELY REQUESTS A HEARING , THE10
COMMISSIONER SHALL NOTIFY the chairperson OF THE SECURITIES BOARD11
or AN administrative law judge, WHO shall set a date WITHIN FORTY-FIVE12
DAYS AFTER THE ISSUANCE OF THE PRELIMINARY CEASE -AND-DESIST13
ORDER for THE hearing on such THE PRELIMINARY CEASE -AND-DESIST14
order before the securities board or administrative law judge as provided15
in paragraph (d) of this subsection (1.5) SUBSECTION (1.5)(d) OF THIS16
SECTION.17
(III) A PERSON THAT IS THE SUBJECT OF A PRELIMINARY18
CEASE-AND-DESIST ORDER ISSUED PURSUANT TO SUBSECTION (1.5)(a)(I)19
OF THIS SECTION SHALL OBEY THE ORDER UNTIL THE ORDER EITHER20
BECOMES FINAL IN ACCORDANCE WITH SUBSECTION (1.5)(a)(II) OF THIS21
SECTION OR IS VACATED . THE PERSON THAT IS THE SUBJECT OF A FINAL22
CEASE-AND-DESIST ORDER SHALL OBEY THE ORDER.23
(c) Any A person against TO whom an order to show cause A24
PRELIMINARY CEASE-AND-DESIST ORDER has been entered pursuant to25
paragraph (a) of this subsection (1.5) SUBSECTION (1.5)(a) OF THIS26
SECTION shall be promptly notified by the securities division OF27
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SECURITIES of the entry of the order, along with a copy of the order, the1
factual and legal basis for the order, and the date set by the chairperson2
of the securities board or an administrative law judge for hearing on such3
order. Such A NOTICE THAT THE ORDER WILL BECOME FINAL IF THE PERSON4
DOES NOT REQUEST A HEARING WITHIN FIFTEEN DAYS AFTER THE ORDER5
IS ISSUED. THE SECURITIES COMMISSIONER MAY SERVE THE notice may be6
served TO THE PERSON THAT IS THE SUBJECT OF THE ORDER by United7
States mail, postage prepaid, to the last-known address of such THE8
person, by personal service; by facsimile transmission; or as may be9
practicable. upon any person against whom such order is entered. Mailing10
or facsimile transmission of an order or other documents under this11
subsection (1.5), or personal service of such orders THE ORDER or12
ASSOCIATED documents, shall constitute CONSTITUTES notice thereof OF13
THE PRELIMINARY CEASE-AND-DESIST ORDER to the person.14
(d) (I) The IF TIMELY REQUESTED, A hearing on an order to show15
cause A PRELIMINARY CEASE-AND-DESIST ORDER shall be commenced no16
sooner than ten nor later than twenty-one WITHIN FORTY-FIVE calendar17
days following the date of transmission or service of the notification by18
the securities division as provided in paragraph (c) of this subsection (1.5)19
THE PRELIMINARY CEASE -AND-DESIST ORDER . The hearing may be20
continued by agreement of all of the parties based upon the complexity of21
the matter, number of parties to the matter, and legal issues presented in22
the matter, but in no event shall the hearing MUST commence NO later23
than thirty-five SIXTY calendar days following the date of transmission or24
service of the notification REQUEST FOR A HEARING.25
(II) If a person against whom an order to show cause entered A26
PRELIMINARY CEASE-AND-DESIST ORDER HAS BEEN ISSUED pursuant to27
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paragraph (a) of this subsection (1.5) SUBSECTION (1.5)(a) OF THIS1
SECTION does not appear at the A hearing, the securities division may2
present evidence that notification was properly sent or served upon such3
person pursuant to paragraph (c) of this subsection (1.5) and such other4
evidence related to the matter as the securities board or administrative law5
judge deems appropriate. In the case where such person does not appear,6
the securities commissioner may not issue an order unless there is a7
finding by the securities board or administrative law judge that there is a8
reasonable basis to believe such notification was actually received or9
served, or, after reasonable search by the securities division, the person10
against whom the order was entered cannot be located. The securities11
commissioner shall enter such order within ten days after his or her12
determination related to reasonable attempts of notification of the13
respondent, and the order shall become final as to that person by14
operation of law PRELIMINARY CEASE-AND-DESIST ORDER BECOMES FINAL15
WITHOUT ENTERING FINDINGS OF FACT OR MAKING CONCLUSIONS OF LAW.16
(III) At any A hearing HELD pursuant to this paragraph (d)17
SUBSECTION (1.5)(d), the securities board or AN administrative law judge18
shall, PURSUANT TO THE RULES AND PROCEDURES ADOPTED BY THE19
SECURITIES COMMISSIONER, take evidence and hear arguments from the20
securities division OF SECURITIES and the person against whom the21
PRELIMINARY CEASE-AND-DESIST order to show cause has been entered,22
pursuant to such rules and procedures as may be adopted by the securities23
commissioner HAS BEEN ISSUED . Based on the evidence entered and24
arguments heard at the hearing, the securities board or administrative law25
judge shall enter findings of fact, conclusions of law, and an initial26
decision recommending to the securities commissioner that a final order27
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be entered affirming, denying, vacating, or otherwise modifying the order1
to show cause PRELIMINARY CEASE -AND-DESIST ORDER . The initial2
decision shall MUST be issued within ten days after the conclusion of the3
hearing provided pursuant to this paragraph (d) SUBSECTION (1.5)(d) and4
shall MUST be promptly delivered to the securities commissioner.5
(IV) If the securities commissioner reasonably finds that the6
person against whom the order to show cause was entered has engaged,7
or is about to engage, in acts or practices constituting violations as set8
forth in paragraph (b) of this subsection (1.5) and makes the findings9
required by section 11-51-704 (2), he or she may issue a final10
cease-and-desist order imposing one or more of the following sanctions:11
(A) Directing such person to cease and desist from further12
unlawful acts or practices;13
(B) Censuring the person, if the person is a licensed broker-dealer,14
sales representative, investment adviser, or investment adviser15
representative; or16
(C) Requiring such person to undertake or comply with conditions17
or limitations placed upon the activities, functions, or operations of such18
person, within such reasonable time period as may be imposed by the19
securities commissioner.20
(V) The securities commissioner shall provide notice of the A final21
order within ten calendar days after receiving the initial decision, in the22
manner set forth in paragraph (c) of this subsection (1.5) SUBSECTION23
(1.5)(c) OF THIS SECTION, to each person against whom such THE order24
has been entered. The final order entered pursuant to subparagraph (IV)25
of this paragraph (d) shall be THIS SUBSECTION (1.5)(d) IS effective when26
issued and shall be IS a final order for purposes of judicial review27
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pursuant to section 11-51-607.1
(4) (a) (I) If it appears to the securities commissioner based upon2
sufficient evidence as presented in a petition by an officer or employee of3
the division of securities, DETERMINES that any of the grounds specified4
in section 11-51-410 (1) exist as to any A licensed person or, in the case5
of a licensed broker-dealer, a partner, officer, director, person occupying6
a similar status or performing similar functions, or a person directly or7
indirectly controlling a broker-dealer, the securities commissioner may8
issue to such person PURSUANT TO SECTION 24-4-104 (4) an order to show9
cause why the securities commissioner should not summarily suspend the10
license of that person or limit or impose conditions on the securities11
activities of that person. pending final determination of a proceeding12
under sections 24-4-104 and 24-4-105, C.R.S.13
(II) A PERSON THAT IS THE SUBJECT OF A SUMMARY SUSPENSION14
MAY REQUEST A HEARING TO DETERMINE IF THE SUSPENSION SHOULD BE15
MADE A FINAL ORDER OF SUSPENSION IF THE REQUEST IS MADE WITHIN16
FIFTEEN DAYS AFTER THE DATE THE LICENSE WAS SUMMARILY SUSPENDED.17
IF THE PERSON THAT IS THE SUBJECT OF THE SUMMARY SUSPENSION DOES18
NOT REQUEST A HEARING WITHIN FIFTEEN DAYS AFTER THE DATE THE19
LICENSE WAS SUMMARILY SUSPENDED , THE SUMMARY SUSPENSION20
BECOMES A FINAL ORDER OF SUSPENSION . IF THE PERSON THAT IS THE21
SUBJECT OF THE SUMMARY SUSPENSION TIMELY REQUESTS A HEARING, the22
securities commissioner shall promptly notify the chairperson of the23
securities board that an order to show cause has been issued A LICENSE24
HAS BEEN SUMMARILY SUSPENDED AND A HEARING HAS BEEN REQUESTED,25
and the chairperson shall set a date for A hearing on such THE order26
before the securities board.27
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(III) THE PERSON THAT IS THE SUBJECT OF AN ORDER SUMMARILY1
SUSPENDING A LICENSE SHALL OBEY THE ORDER UNTIL THE ORDER EITHER2
BECOMES FINAL IN ACCORDANCE WITH SUBSECTION (4)(a)(II) OF THIS3
SECTION OR IS VACATED . THE PERSON THAT IS THE SUBJECT OF A FINAL4
ORDER OF SUSPENSION SHALL OBEY THE ORDER.5
(b) Any A person against whom an order to show cause has been6
entered WHOSE LICENSE HAS BEEN SUMMARILY SUSPENDED shall be7
promptly notified by the securities division OF SECURITIES of the entry of8
such order SUSPENSION and the basis therefor. Such FOR THE SUSPENSION.9
THE notice shall MUST include a copy of the SUMMARY SUSPENSION order10
and shall include the date set by the chairperson of the securities board for11
hearing on such order A STATEMENT THAT THE ORDER WILL BECOME FINAL12
IF THE PERSON THAT IS THE SUBJECT OF THE ORDER DOES NOT REQUEST A13
HEARING WITHIN FIFTEEN DAYS AFTER THE ORDER IS ISSUED. In the case14
of a broker-dealer, the notification shall be sent both to the broker-dealer's15
last-known mailing address and, if different, the most current mailing16
address the broker-dealer has on file with the securities commissioner as17
required in section 11-51-407 (3). In the case of a sales representative,18
THE notification shall MUST be sent to the sales representative's19
last-known mailing address, the most current mailing address the sales20
representative has on file with the securities commissioner as required in21
section 11-51-407 (3), and the la st-known ma iling address of the22
broker-dealer or issuer for which the sales representative is licensed to23
act.24
(c) (I) The IF REQUESTED, A hearing on the order to show cause25
shall A SUMMARY SUSPENSION SHALL be commenced no sooner than26
seven, nor later than twenty, WITHIN FORTY-FIVE calendar days following27
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the date of transmission of notification of the respondent by the division1
of securities as provided in paragraph (b) of this subsection (4) THE2
ORDER WAS ISSUED.3
(II) The securities board shall take evidence and hear arguments4
from the securities division OF SECURITIES and the respondent. If the5
respondent does not appear, the securities division may provide evidence6
that notification was promptly sent by the securities division to the7
respondent pursuant to paragraph (b) of this subsection (4). In the case8
where the respondent PERSON WHOSE LICENSE HAS BEEN SUMMARILY9
SUSPENDED PURSUANT TO SUBSECTION (4)(a) OF THIS SECTION . IF THE10
PERSON THAT IS THE SUBJECT OF A SUMMARY SUSPENSION ORDER does not11
appear the securities commissioner may not issue an order unless there is12
a finding by the securities board that there is reasonable basis to believe13
the respondent either received actual notice, or, after reasonable search14
by the securities division, cannot be located AT THE SUMMARY15
SUSPENSION HEARING, THE ORDER BECOMES FINAL WITHOUT ENTERING16
FINDINGS OF FACT OR MAKING CONCLUSIONS OF LAW.17
(III) Based on the evidence entered and arguments heard at the18
hearing HELD PURSUANT TO SUBSECTION (4)(a) OF THIS SECTION , the19
securities board shall enter findings of fact, conclusions of law, and its20
initial decision recommending to the securities commissioner that an A21
FINAL order be entered either denying the petition of the securities22
division for summary order or suspending the license of that person23
VACATING THE SUMMARY SUSPENSION , CONVERTING IT TO A FINAL24
SUSPENSION, or otherwise limiting or imposing conditions on the25
securities ac tivities of that person. pending final determination of a26
proceeding under sections 24-4-104 and 24-4-105, C.R.S. Exceptions to27
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the initial decision of the securities board must be filed with the securities1
commissioner within ten calendar days of AFTER the date of entry of such2
order THE SECURITIES BOARD 'S INITIAL DECISION . The securities3
commissioner shall then issue an order, which shall be IS a final order for4
purposes of judicial review pursuant to section 11-51-607.5
(d) Any A FINAL order entered under paragraph (c)(III) of this6
subsection (4) SUBSECTION (4)(c)(III) OF THIS SECTION suspending a7
license or otherwise limiting or imposing conditions on the securities8
activities of the A licensed person shall remain REMAINS in effect during9
the pendency of a pr oceeding under s ections 24-4-104 and 24-4-105,10
C.R.S., unless vacated or modified on judicial review pursuant to section11
11-51-607 or by subsequent order of the securities commissioner after12
notice and opportunity for hearing.13
(5) No order under subsection (3)(b), (3)(c), or (4)(a) of this14
section may be entered by the securities commissioner unless a15
proceeding under sections 24-4-104 and 24-4-105, C.R.S., either has been16
commenced, or is commenced promptly following or contemporaneously17
with the entry of such an order THE SECURITIES COMMISSIONER SHALL18
COMMENCE A PROCEEDING UNDER SECTIONS 24-4-104 AND 24-4-10519
PROMPTLY FOLLOWING THE ENTRY OF AN ORDER UNDER SUBSECTION20
(3)(b) OR (3)(c) OF THIS SECTION OR OF A FINAL SUMMARY SUSPENSION21
ORDER UNDER SUBSECTION (4)(a) OF THIS SECTION.22
SECTION 6. In Colorado Revised Statutes, 11-51-201, amend23
the introductory portion and (9.6)(b) as follows:24
11-51-201. Definitions.25
As used in this article ARTICLE 51, unless the context otherwise26
requires:27
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(9.6) (b) "Investment adviser representative" for a federal covered1
adviser means any individual with a place of business in this state who is2
an "investment adviser representative" as defined by the securities and3
exchange commission in rule 203A-3 promulgated under the federal4
"Investment Advisers Act of 1940", 15 U.S.C. SEC. 80b-1 ET SEQ.5
SECTION 7. In Colorado Revised Statutes, 11-51-401, amend6
(1.5), (1.6), and (2.5) as follows:7
11-51-401. Licensing and notice filing requirements.8
(1.5) A person with a place of business in this state shall not9
transact business in this state as an investment adviser or investment10
adviser representative unless such THE person is licensed as such or11
exempt from licensing under section 11-51-402.12
(1.6) A federal covered adviser either with a place of business in13
this state or who employs or otherwise engages an individual with a place14
of business in this state to act as an investment adviser representative15
shall not transact business in this state as a federal covered adviser unless16
such THE adviser:17
(a) Has filed with the securities commissioner the notice and fee18
required in sections 11-51-403 and 11-51-404; OR19
(b) IS NOT REQUIRED TO FILE PURSUANT TO SECTION 11-51-402 (5).20
(2.5) An investment adviser OR FEDERAL COVERED ADVISER shall21
not employ or otherwise engage any individual with a place of business22
in this state to act as an investment adviser representative in this state23
unless such THE individual is licensed in accordance with section24
11-51-403 or is exempt from licensing under section 11-51-402. (1).25
SECTION 8. In Colorado Revised Statutes, 11-51-402, amend26
(5) introductory portion, (5)(a) introductory portion, and (6) as follows:27
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11-51-402. Exempt broker-dealers, sales representatives -1
sanctions - exempt investment advisers, federal covered advisers, and2
investment adviser representatives.3
(5) The following investment advisers AND FEDERAL COVERED4
ADVISERS with no place of business in this state are exempt from the5
license requirement of section 11-51-401 (1.5) AND THE NOTICE FILING6
REQUIREMENTS OF SECTION 11-51-401 (1.6):7
(a) An investment adviser OR A FEDERAL COVERED ADVISER who:8
(6) Investment adviser representatives employed by or otherwise9
associated with an investment adviser OR FEDERAL COVERED ADVISER, IF10
EITHER IS exempt under subsecti on (5) of this section, are exempt from11
the license requirement of section 11-51-401 (1.5) AND THE NOTICE FILING12
REQUIREMENTS OF SECTION 11-51-401 (1.6).13
SECTION 9. In Colorado Revised Statutes, 11-51-403, amend14
(3)(a); and repeal (3)(b) as follows:15
11-51-403. Application for license - notice filing requirements.16
(3) (a) A federal covered adviser who during any calendar year,17
either has a place of business in this state or employs or engages an18
investment adviser representative with a place of business in this state IS19
REQUIRED TO FILE A NOTICE BY SECTION 11-51-401 (1.6) shall file with the20
securities commissioner annually a consent to service of process and such21
OTHER documents as are filed by such THE adviser with the securities and22
exchange commission that the commissioner may require by rule or order.23
(b) The notice filing requirement described in paragraph (a) of this24
subsection (3) does not apply to any federal covered adviser who, during25
such calendar year, neither has a place of business in this state nor26
employs nor engages an investment adviser representative with a place of27
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business in this state.1
SECTION 10. In Colorado Revised Statutes, amend 11-51-7012
as follows:3
11-51-701. Division of securities - creation - powers and duties.4
There is created The division of securities IS CREATED in the5
department of regulatory agencies. The head of which THE DIVISION is the6
commissioner of securities COMMISSIONER, who shall be appointed by the7
executive director of the department of regulatory agencies, pursuant to8
section 13 of article XII of the state constitution, and IN CONSULTATION9
WITH the securities board. The divisi on of securities and the office of10
commissioner of THE securities COMMISSIONER are type 1 entities, as11
defined in section 24-1-105. The division OF SECURITIES is responsible for12
the administration of the provisions of articles 51, 53, and 59 of this title13
11 and part 7 of article 75 of title 24 and shall perform such other duties14
as are imposed upon it by law.15
SECTION 11. In Colorado Revised Statutes, 11-51-304, amend16
(2) introductory portion and (2)(o) as follows:17
11-51-304. Registration by qualification.18
(2) A registration statement MADE under this section shall MUST19
contain full and fair disclosure of all material facts respecting the20
investment offered, including the following information, shall MUST state21
the title of the security and the number or amount being registered under22
this article ARTICLE 51, and shall MUST be accompanied by the following23
documents in addition to the consent to service of process required by24
section 11-51-706:25
(o) The written consent of any accountant, engineer, appraiser, or26
other person whose profession gives authority to a statement made by him27
1188-15-
THEM, if any such person is named as having prepared or certified a report1
or valuation other than a public and official document or statement which2
THAT is used in connection with the registration statement;3
SECTION 12. In Colorado Revised Statutes, 11-51-1002, amend4
(2)(b) as follows:5
11-51-1002. Definitions.6
As used in this part 10, unless the context otherwise requires:7
(2) "Eligible adult" means:8
(b) An individual eighteen years of age OLD or older who is9
susceptible to mistreatment or self-neglect because the individual is10
unable to perform or obtain services necessary for his or her THEIR health,11
safety, or welfare or lacks sufficient understanding or capacity to make12
or communicate responsible decisions concerning his or her THEIR person13
or affairs.14
SECTION 13. In Colorado Revised Statutes, amend 11-51-100615
as follows:16
11-51-1006. Immunity for nondisclosure.17
A qualified individual who, in good faith and exercising18
reasonable care, fails to report pursuant to this part 10 is immune from19
any administrative, criminal, or civil liability for his or her THEIR failure20
to report.21
SECTION 14. Act subject to petition - effective date -22
applicability. (1) This act takes effect at 12:01 a.m. on the day following23
the expiration of the ninety-day period after final adjournment of the24
general assembly (August 12, 2026, if adjournment sine die is on May 13,25
2026); except that, if a referendum petition is filed pursuant to section 126
(3) of article V of the state constitution against this act or an item, section,27
1188-16-
or part of this act within such period, then the act, item, section, or part1
will not take effect unless approved by the people at the general election2
to be held in November 2026 and, in such case, will take effect on the3
date of the official declaration of the vote thereon by the governor.4
(2) This act applies to cease-and-desist orders and summary5
suspension orders issued on or after the applicable effective date of this6
act.7
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