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Second Regular Session
Seventy-fifth General Assembly
STATE OF COLORADO
INTRODUCED
LLS NO. 26-0305.02 Owen Hatch x2698 HOUSE BILL 26-1250
House Committees Senate Committees
Judiciary
A BILL FOR AN ACT
CONCERNING PROCEDURES RELATING TO STATE ACTION RESULTING IN101
THE RELINQUISHMENT OF PRIVATE PROPERTY , AND , IN102
CONNECTION THEREWITH, MAKING AN APPROPRIATION.103
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://leg.colorado.gov.)
The bill clarifies an existing requirement for the criminal
conviction of an owner by requiring that one or more criminal charges
must be brought as a prerequisite to any nuisance abatement or forfeiture
proceeding.
Existing law provides an exception to the conviction requirement
HOUSE SPONSORSHIP
DeGraaf and Bacon,
SENATE SPONSORSHIP
(None),
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.
that no criminal conviction is necessary if the plaintiff proves its case by
clear and convincing evidence. The bill repeals this exception, while
retaining other various exceptions that allow forfeiture actions to proceed
against the interest of a claimant.
The bill establishes a right to forfeiture defe nse couns el and
creates a procedure for the appointment of forfeiture defense counsel in
nuisance abatement and forfeiture proceedings. The bill creates a
forfeiture counsel defense fund, in the care of the state court
administrator, to pay for appointed forfeiture defense counsel who are
authorized to represent persons against whom a nuisance abatement or
forfeiture proceeding has been filed in connection with criminal charges.
The bill transfers $1.1 million from the law enforcement community
services grant program fund to the forfeiture counsel defense fund.
The bill alters the disposition of property and proceeds ordered
forfeited in a nuisance abatement or forfeiture action. Currently, forfeited
property and proceeds are applied first toward restitution and cost
recovery for a list of stakeholders, and 50% of the remainder is granted
to the local governmental body with authority over the seizing agency,
25% of the remainder is granted to the local behavioral health
administrative services organization, and 25% of the remainder is granted
to the law enforcement community services grant program fund. The bill
amends the disposition of the remainder so that 50% is granted to the
local governmental body with authority over the seizing agency, 25% is
granted to the forfeiture counsel defense fund, and 25% is granted to the
law enforcement community services grant program fund.
The bill appropriates $1.1 million to the judicial department from
the forfeiture counsel defense fund.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, 16-13-302, amend2
(2) introductory portion and (2)(f); and repeal (2)(e) as follows:3
16-13-302. Public nuisances - policy.4
(2) It is also the policy of the general assembly that asset forfeiture5
pursuant to this part 3 shall be IS carried out pursuant to the following:6
(e) Each seizing agency retaining forfeited property for official7
law enforcement use shall ensure that the property is subject to controls8
consistent with controls which are applicable to property acquired through9
the normal appropriations process.10
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(f) Each seizing agency which receives forfeiture proceeds shall1
conform with reporting, audit, and disposition procedures enumerated in2
this article ARTICLE 13.3
SECTION 2. In Colorado Revised Statutes, 16-13-307, amend4
(1.5), (1.6), (1.7) introductory porti on, (1.7)(a )(II), ( 1.7)(b), (1.7)(d),5
(1.7)(e), (1.7)(f), and (5); and repeal (1.7)(c) as follows:6
16-13-307. Jurisdiction - venue - parties - process.7
(1.5) No A COURT SHALL NOT ENTER judgment of forfeiture of8
property in any forfeiture proceeding shall be entered unless and until an9
owner of the property is convicted of an offense listed in section10
16-13-301 or 16-13-303, or a lesser included offense of an eligible11
offense if the conviction is the result of a negotiated guilty plea. Nothing12
in this section shall be construed to require REQUIRES the conviction to be13
obtained in the same jurisdiction as the jurisdiction in which the forfeiture14
action is brought. In the event ONE OR MORE criminal charges MUST BE15
FILED arising from the same activity giving rise to the forfeiture,16
proceedings are filed against any individual claiming an interest in the17
property subject to the forfeiture proceeding, the trial and discovery18
phases of the forfeiture proceeding shall be stayed by the court AND THE19
COURT SHALL STAY THE FORFEITURE PROCEEDING until the disposition of20
the criminal charges. A THE stay shall not MUST be maintained during an21
appeal or post-conviction proceeding challenging a criminal conviction.22
Nothing in this section shall be construed to prohibit or prevent PROHIBITS23
OR PREVENTS the parties from contemporaneously resolving criminal24
charges and a forfeiture proceeding arising from the same activity.25
(1.6) Upon acquittal or dismissal of a criminal action against a26
person named in a forfeiture action related to the criminal action; unless27
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the forfeiture action was brought pursuant to one or more of paragraphs1
(a) to (f) of subsection (1.7) EXCEPT THAT, IF A PROVISION OF SUBSECTION2
(1.7) of this section APPLIES, the forfeiture claim shall be dismissed and3
the seized property shall be returned as respects the subject matter4
property or interest therein of that person, if the case has been adjudicated5
as to all other claims, interests, and owners, unless possession of the6
property is illegal. If the forfeiture action is dismissed or judgment is7
entered in favor of the claimant, the claimant shall not be IS NOT subject8
to any monetary charges by the state for storage of the property or9
expenses incurred in the preservation of the property, unless at the time10
of dismissal the plaintiff shows that those expenses would have been11
incurred to prevent waste of the property even if it had not been seized.12
(1.7) Notwithstanding the provisions of subsection (1.5) of this13
section:14
(a) (II) If a person lacks standing pursuant to this paragraph (a)15
SUBSECTION (1.7)(a), the forfeiture action may proceed AGAINST THE16
PERSON'S INTEREST IN THE PROPERTY, and a judgment of forfeiture may17
be entered without a THE PERSON'S criminal conviction, of an owner, upon18
motion and notice as provided in the rules of civil procedure.19
(b) If, following THE DISPOSITION OF THE CRIMINAL CASE AND20
notice to all persons known to have an interest, or who have asserted an21
interest in the property subject to forfeiture, an NO owner fails to file22
FILES an answer or other appropriate pleading with the court claiming an23
interest in the subject matter property, or no person establishes standing24
to contest the forfeiture action pursuant to section 16-13-303 (5), a25
forfeiture action may proceed and a judgment of forfeiture may be entered26
without a criminal conviction of an owner.27
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(c) If the plaintiff proves by clear and convincing evidence that1
the property was instrumental in the commission of an offense listed in2
section 16-13-303 (1) or that the property is traceable proceeds of the3
offense or related criminal activity by a nonowner and the plaintiff proves4
by clear and convincing evidence that an owner is not an innocent owner5
pursuant to section 16-13-303 (5.2)(a), a judgment of forfeiture may be6
entered without a criminal conviction of an owner.7
(d) If an owner of the prope rty who was invol ved in the public8
nuisance act or conduct giving rise to the claim of forfeiture subsequently9
dies, THE FORFEITURE ACTION MAY PROCEED AGAINST THE OWNER 'S10
INTEREST IN THE PROPERTY , and IF THE PLAINTIFF PROVES THAT THE11
DECEASED OWNER was not an innocent owner pursuant to section12
16-13-303 (5.2)(a), a judgment of forfeiture may be entered without a THE13
OWNER'S criminal conviction. of an owner.14
(e) If an owner received a deferred judgment, deferred sentence,15
or participated in a diversion program, or in the case of a juvenile a16
deferred adjudication or deferred sentence or participated in a diversion17
program for the offense, THE FORFEITURE ACTION MAY PROCEED AGAINST18
THE OWNER'S INTEREST IN THE PROPERTY , AND a judgment of forfeiture19
may be entered without a criminal conviction.20
(f) A defendant or claimant shall be IS permitted to waive the21
requirement of a criminal conviction in order to settle a forfeiture action22
AS TO THE DEFENDANT'S OR CLAIMANT'S INTEREST IN THE PROPERTY.23
(5) An action to abate a public nuisance, other than a class 424
public nuisance, and any action in which a temporary restraining order,25
temporary writ of injunction, or preliminary injunction is requested, shall26
MUST be commenced by the filing of a complaint, which shall MUST be27
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verified or supported by affidavit. A summons shall MUST be issued and1
served as in civil cases; except that a copy of the complaint, and copies2
of any orders issued by the court at the time of filing, shall AND NOTICE3
OF THE RIGHT TO FORFEITURE DEFENSE COUNSEL PURSUANT TO SECTION4
16-13-318 MUST be served with the summons.5
SECTION 3. In Colorado Revised Statutes, 16-13-311, amend6
(3)(a) introductory portion, (3)(a)(VII)(B), (5), and (6) as follows:7
16-13-311. Disposition of seized personal property.8
(3) (a) If the prosecution prevails in the forfeiture action, the court9
shall order the property forfeited. Such THE COURT'S order perfects the10
state's right and interest in and title to such THE property and relates back11
to the date when title to the property vested in the state pursuant to section12
16-13-316. Except as otherwise provided in subsection (3)(c) of this13
section, the court shall also order such THE property to be sold at a public14
sale by the law enforcement agency in possession of the property in the15
manner provided for sales on execution, or in another commercially16
reasonable manner. Property forfeited pursuant to this section or proceeds17
therefrom must be distributed or applied in the following order:18
(VII) The balance must be delivered, upon order of the court, as19
follows:20
(B) Twenty-five percent to the behavioral health administrative21
services organization contracting with the behavioral health22
administration in the department of human services serving the judicial23
district where the forfeiture proceeding was prosecuted to fund24
detoxification and substance use disorder treatment. Money appropriated25
to the behavioral health administrative services organization must be in26
addition to, and not be used to supplant, other funding appropriated to the27
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behavioral health administration FORFEITURE DEFENSE COUNSEL FUND ,1
CREATED IN SECTION 16-13-318 (3); and2
(5) If more than one seizing agency was substantially involved in3
effecting the forfeiture, the agencies shall enter into a stipulation with4
regard to costs incurred by the agencies. and the percentage of any5
remaining proceeds to be deposited for the benefit of the agencies or any6
property to be directly forfeited for use of such agencies. Upon the filing7
by such THE agencies of such THE stipulation with the court, the court8
shall order the proceeds or property so distributed COSTS BE REIMBURSED.9
If the agencies are unable to reach an agreement, the court shall take10
testimony and equitably distribute REIMBURSE the proceeds COSTS.11
(6) The state shall issue a certificate of title for a vehicle to the12
purchaser or seizing agency if said THE vehicle is acquired pursuant to13
this part 3.14
SECTION 4. In Colorado Revised Statutes, 16-13-314, amend15
(4) as follows:16
16-13-314. Disposition of forfeited real property.17
(4) If more than one seizing agency was substantially involved in18
effecting the forfeiture, the agencies shall enter into a stipulation with19
regard to costs incurred by the agencies. and the percentage of any20
remaining proceeds to be deposited for the benefit of the agencies. Upon21
the filing by such THE agencies of such THE stipulation with the court, the22
court shall order the proceeds so distributed COSTS BE REIMBURSED. If the23
agencies are unable to reach an agreement, the court shall take testimony24
and equitably distribute REIMBURSE the proceeds COSTS.25
SECTION 5. In Colorado Revised Statutes, 16-13-316, amend26
(2) as follows:27
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16-13-316. Prior liens not subject to forfeiture - vesting of title.1
(2) Title to real or personal property subject to forfeiture pursuant2
to the provisions of this section shall vest in the state and the seizing3
agency at the earliest of:4
(a) For currency, the time of the commission of the public5
nuisance act;6
(b) The time of the physical seizure of said property, except for7
real property;8
(c) The time of filing of a notice of seizure, as provided in9
subsection (3) of this section;10
(d) The time of the filing of a notice of lis pendens on real11
property; or12
(e) The time of the issuance of court process for seizure of13
property, as against anyone with prior actual notice. thereof.14
SECTION 6. In Colorado Revised Statutes, add 16-13-318 as15
follows:16
16-13-318. Forfeiture defense counsel - right to counsel - fund17
- definitions.18
(1) AS USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE19
REQUIRES:20
(a) "ADMINISTRATOR" MEANS THE STATE COURT ADMINISTRATOR21
APPOINTED PURSUANT TO SECTION 13-3-101.22
(b) "FORFEITURE DEFENDANT" MEANS A PERSON WHO CLAIMS AN23
INTEREST IN PROPERTY SUBJECT TO A FORFEITURE PROCEEDING , AND24
AGAINST WHOM A CRIMINAL CHARGE RELATING TO THE FORFEITURE25
PROCEEDING HAS BEEN FILED.26
(c) "F ORFEITURE DEFENSE COUNSEL " MEANS AN ATTORNEY27
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APPOINTED IN A FORFEITURE PROCEEDING TO REPRESENT A FORFEITURE1
DEFENDANT'S INTEREST IN THE PROPERTY SUBJECT TO FORFEITURE.2
(d) "F ORFEITURE PROCEEDING" MEANS AN ACTION TO ABATE A3
PUBLIC NUISANCE PURSUANT TO THIS PART 3, OR AN ACTION FOR4
FORFEITURE DESCRIBED IN PART 5 OF THIS ARTICLE 13.5
(e) "F UND" MEANS THE FORFEITURE DEFENSE COUNSEL FUND6
ESTABLISHED IN SUBSECTION (3) OF THIS SECTION.7
(2) (a) A FORFEITURE DEFENDANT HAS A RIGHT TO BE8
REPRESENTED BY COUNSEL IN A FORFEITURE PROCEEDING.9
(b) UPON A FORFEITURE DEFENDANT'S REQUEST, THE COURT SHALL10
APPOINT FORFEITURE DEFENSE COUNSEL TO REPRESENT THE FORFEITURE11
DEFENDANT AND SHALL CONTINUE THE FORFEITURE PROCEEDING FOR12
TWENTY-ONE DAYS OR MORE AFTER THE FORFEITURE DEFENSE COUNSEL13
BEGINS REPRESENTATION UNLESS THE FORFEITURE DEFENSE COUNSEL14
WAIVES THE CONTINUANCE . AT ANY TIME BEFORE THE CONTINUANCE15
ENDS, THE FORFEITURE DEFENDANT IS ALLOWED TO FILE AN INITIAL OR16
AMENDED ANSWER OR OTHER APPROPRIATE PLEADING TO THE COMPLAINT17
OR PETITION.18
(c) A FORFEITURE DEFENDANT MAY CHOOSE TO APPOINT PRIVATE19
COUNSEL FOR A FORFEITURE PROCEEDING, OR MAY CHOOSE TO REPRESENT20
THEMSELF.21
(d) T HE COURT SHALL NOTIFY THE ADMINISTRATOR OF ANY22
APPOINTMENT OF FORFEITURE DEFENSE COUNSEL , AND THE23
ADMINISTRATOR SHALL PAY, FROM THE FUND, THE FORFEITURE DEFENSE24
COUNSEL AN AMOUNT NOT TO EXCEED THREE THOUSAND FIVE HUNDRED25
DOLLARS FOR REPRESENTING THE FORFEITURE DEFENDANT IN A26
FORFEITURE PROCEEDING, UNLESS THE COURT FINDS GOOD CAUSE FOR A27
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HIGHER PAYMENT . IF THE COURT FINDS GOOD CAUSE FOR A HIGHER1
PAYMENT, THE COURT SHALL NOTIFY THE ADMINISTRATOR , WHO SHALL2
PAY THE FORFEITURE DEFENSE COUNSEL THE AMOUNT IN THE3
NOTIFICATION.4
(e) N OTHING IN THIS SECTION PREVENTS FORFEITURE DEFENSE5
COUNSEL FROM WITHDRAWING REPRESENTATION IN ACCORDANCE WITH6
THE COLORADO RULES OF PROFESSIONAL C ONDUCT. IF A FORFEITURE7
DEFENSE COUNSEL WITHDRAWS REPRESENTATION , THE COURT MAY8
APPOINT ANOTHER FORFEITURE DEFENSE COUNSEL IF IT FINDS THE9
INTEREST OF JUSTICE REQUIRES ANOTHER APPOINTMENT.10
(f) IF A FORFEITURE DEFENDANT IS REPRESENTED BY FORFEITURE11
DEFENSE COUNSEL AND PREVAILS IN THE FORFEITURE PROCEEDING , THE12
COURT SHALL ORDER THE PLAINTIFF TO REIMBURSE THE FORFEITURE13
COUNSEL DEFENSE FUND IN THE AMOUNT OF THE PAYMENT MADE TO THE14
FORFEITURE DEFENSE COUNSEL PURSUANT TO SUBSECTION (2)(d) OF THIS15
SECTION. IF A FORFEITURE DEFENDANT IS REPRESENTED BY PRIVATE16
COUNSEL AND PREVAILS IN THE FORFEITURE PROCEEDING , THE COURT17
SHALL ORDER THE PLAINTIFF TO REIMBURSE PRIVATE COUNSEL FOR18
REASONABLE ATTORNEY FEES INCURRED DEFENDING THE FORFEITURE19
PROCEEDING.20
(3) (a) THE FORFEITURE DEFENSE COUNSEL FUND IS CREATED IN21
THE STATE TREASURY.22
(b) THE FUND CONSISTS OF MONEY TRANSFERRED TO THE FUND23
PURSUANT TO SECTIONS 16-13-311 AND 24-32-124 (8) AND ANY OTHER24
MONEY THAT THE GENERAL ASSEMBLY MAY APPROPRIATE OR TRANSFER25
TO THE FUND . THE ADMINISTRATOR MAY SEEK , ACCEPT , AND EXPEND26
GIFTS, GRANTS, OR DONATIONS FROM PUBLIC OR PRIVATE SOURCES FOR27
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THE PURPOSES OF THIS SECTION . THE ADMINISTRATOR SHALL TRANSMIT1
ALL MONEY RECEIVED FROM GIFTS, GRANTS, OR DONATIONS TO THE STATE2
TREASURER, WHO SHALL CREDIT THE MONEY TO THE FUND . SUBJECT TO3
ANNUAL APPROPRIATION BY THE GENERAL ASSEMBLY , THE4
ADMINISTRATOR MAY EXPEND ANY STATE MONEY FROM THE FUND TO5
MAKE PAYMENTS TO FORFEITURE DEFENSE COUNSEL AND FOR DIRECT AND6
INDIRECT COSTS ASSOCIATED WITH ADMINISTERING THIS SECTION . THE7
STATE TREASURER SHALL CREDIT ALL INTEREST AND INCOME DERIVED8
FROM THE DEPOSIT AND INVESTMENT OF MONEY IN THE FUND TO THE9
FUND.10
SECTION 7. In Colorado Revised Statutes, 16-13-501.5, amend11
(2)(e); and repeal (2)(d) as follows:12
16-13-501.5. Legislative declaration.13
(2) It is also the policy of the general assembly that asset forfeiture14
pursuant to this part 5 shall be carried out pursuant to the following:15
(d) Each seizing agency retaining forfeited property for official16
law enforcement use shall ensure that the property is subject to controls17
consistent with controls which are applicable to property acquired through18
the normal appropriations process.19
(e) Each seizing agency which receives forfeiture proceeds shall20
conform with reporting, audit, and disposition procedures enumerated in21
this article ARTICLE 13.22
SECTION 8. In Colorado Revised Statutes, 16-13-505, amend23
(1.5), (1.6), (1.7)(a)(II), (1.7)(b), (1.7)(d), (1.7)(e), (1.7)(f), and (3)24
introductory portion; repeal (1.7)(c); and add (3)(g) as follows:25
16-13-505. Forfeiture proceedings.26
(1.5) No A COURT SHALL NOT ENTER judgment of forfeiture of27
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property in any forfeiture proceeding shall be entered unless and until an1
owner of the property is convicted of an offense involving the conduct2
listed in section 16-13-503, or a lesser included offense of an eligible3
offense if the conviction is the result of a negotiated guilty plea. Nothing4
in this section shall be construed to require REQUIRES the conviction to be5
obtained in the same jurisdiction as the jurisdiction in which the forfeiture6
action is brought. In the event ONE OR MORE criminal charges MUST BE7
FILED arising from the same activity giving rise to the forfeiture,8
proceedings are filed against any individual claiming an interest in the9
property subject to the forfeiture proceeding, the trial and discovery10
phases of the forfeiture proceeding shall be stayed by the court AND THE11
COURT SHALL STAY THE FORFEITURE PROCEEDING until the disposition of12
the criminal charges. A THE stay shall not MUST be maintained during an13
appeal or post-conviction proceeding challenging a criminal conviction.14
Nothing in this section shall be construed to prohibit or prevent PROHIBITS15
OR PREVENTS the parties from contemporaneously resolving criminal16
charges and a forfeiture proceeding arising from the same activity.17
(1.6) Upon acquittal or dismissal of a criminal action against a18
person named in a forfeiture action related to the criminal action; unless19
the forfeiture action was brought pursuant to one or more of paragraphs20
(a) to (f) of subsection (1.7) EXCEPT THAT, IF A PROVISION OF SUBSECTION21
(1.7) of this section APPLIES, the forfeiture claim shall be dismissed and22
the seized property shall be returned as respects the subject matter23
property or interest therein of that person, if the case has been adjudicated24
as to all other claims, interests, and owners, unless possession of the25
property is ille gal. If the forfeiture action is dismissed or judgment is26
entered in favor of the claimant, the claimant shall not be IS NOT subject27
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to any monetary charges by the state for storage of the property or1
expenses incurred in the preservation of the property, unless at the time2
of dismissal the plaintiff shows that those expenses would have been3
incurred to prevent waste of the property even if it had not been seized.4
(1.7) Notwithstanding the provisions of subsection (1.5) of this5
section:6
(a) (II) If a person lacks standing pursuant to this paragraph (a)7
SUBSECTION (1.7)(a), the forfeiture action may proceed AGAINST THE8
PERSON'S INTEREST IN THE PROPERTY and a judgment of forfeiture may be9
entered without a THE PERSON'S criminal conviction, of an owner, upon10
motion and notice as provided in the rules of civil procedure.11
(b) If, following THE DISPOSITION OF THE CRIMINAL CASE AND12
notice to all persons known to have an interest or who have asserted an13
interest in the property subject to forfeiture, an NO owner fails to file14
FILES an answer or other appropriate response with the court claiming an15
interest in the subject matter property, or no person establishes standing16
to contest the forfeiture action pursuant to section 16-13-504 (2), a17
forfeiture action may proceed and a judgment of forfeiture may be entered18
without a criminal conviction of an owner.19
(c) If the plaintiff proves by clear and convincing evidence that20
the property was instrumental in the commission of an offense listed in21
section 16-13-503 (1) or that the property is traceable proceeds of the22
offense or related criminal activity by a nonowner and the plaintiff proves23
by clear and convincing evidence that an owner is not an innocent owner24
pursuant to section 16-13-504 (2.2), a judgment of forfeiture may be25
entered without a criminal conviction of an owner.26
(d) If an owner of the property who was involved in the public27
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nuisance act or conduct giving rise to the claim of forfeiture subsequently1
dies, THE FORFEITURE ACTION MAY PROCEED AGAINST THE OWNER 'S2
INTEREST IN THE PROPERTY , and IF THE PLAINTIFF PROVES THAT THE3
DECEASED OWNER was not an innocent owner pursuant to section4
16-13-504 (2.2), a judgment of forfeiture may be entered without a THE5
OWNER'S criminal conviction. of an owner.6
(e) If an owner received a deferred judgment, deferred sentence,7
or participated in a diversion program, or in the case of a juvenile a8
deferred adjudication or deferred sentence or participated in a diversion9
program for the offense, THE FORFEITURE ACTION MAY PROCEED AGAINST10
THE OWNER'S INTEREST IN THE PROPERTY , AND a judgment of forfeiture11
may be entered without a criminal conviction.12
(f) A defendant or claimant shall be IS permitted to waive the13
requirement of a criminal conviction in order to settle a forfeiture action14
AS TO THE DEFENDANT'S OR CLAIMANT'S INTEREST IN THE PROPERTY.15
(3) The citation specified in paragraph (b) of subsection (2)16
SUBSECTION (2)(b) of this section shall MUST:17
(g) A DVISE THE DEFENDANT OF THE RIGHT TO FORFEITURE18
DEFENSE COUNSEL PURSUANT TO SECTION 16-13-318.19
SECTION 9. In Colorado Revised Statutes, 16-13-506, amend20
(4); and repeal (4.5) as follows:21
16-13-506. Final order - disposition of property.22
(4) If more than one seizing agency was substantially involved in23
effecting the forfeiture, the agencies shall enter into a stipulation with24
regard to costs incurred by the agencies and the percentage of any25
remaining proceeds which shall be deposited for the benefit of the26
agencies, and, upon filing such THE stipulation with the court, the court27
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shall order the proceeds so distributed COSTS BE REIMBURSED . If the1
agencies are unable to reach an agreement, the court shall take testimony2
and equitably distribute REIMBURSE the proceeds COSTS according to the3
formula set out in subsection (1) of this section DISTRIBUTION ORDER4
DESCRIBED IN SECTION 16-13-311 (3)(a).5
(4.5) If the court finds that a vehicle or personal property forfeited6
pursuant to this part 5 can be used for law enforcement purposes by a7
seizing agency, the court shall order that the vehicle or personal property8
be delivered to the agency instead of sold. If more than one seizing9
agency was substantially involved in effecting the forfeiture, the priority10
for receiving such vehicle or personal property shall be established by11
stipulation pursuant to subsection (4) of this section.12
SECTION 10. In Colorado Revised Statutes, 16-13-701, amend13
(1)(a), (1)(b), (1)(c), (2)(c)(II), (4)(a) introductory portion, (4)(b),14
(5)(a)(VIII)(L), (5)(b) introductory portion, (6)(b), (6)(c), (7)(a),15
(7)(c)(II), (8)(a) introductory portion, (8)(a)(II), and (8)(a)(III); and16
repeal (2)(c)(III), (5)(a)(VIII)(H), and (6)(d) as follows:17
16-13-701. Reports related to seizures and forfeitures -18
legislative declaration - definitions.19
(1) The general assembly finds that:20
(a) Under state and federal forfeiture laws and subject to the due21
process provisions provided in both state and federal law as applicable,22
state and local law enforcement agencies are authorized to seize money23
and other property and to use forfeiture proceeds as permitted and24
expressly limited by both operation of state and federal law and25
applicable asset forfeiture policies and guidelines;26
(b) It is the responsibility of state legislators to monitor seizures27
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by law enforcement agencies AND forfeiture litigation by prosecutors; and1
their expenditures of forfeited proceeds when such money is received by2
a law enforcement agency or prosecutor's office; and3
(c) This section provides legislators and the public with the4
information necessary for basic oversight of law enforcement agencies5
and prosecutors' offices that seize property AND obtain COST AWARDS6
FROM the proceeds of such seizures through the asset forfeiture process.7
and expend the proceeds of such forfeitures under both state and federal8
laws.9
(2) As used in this section, unless the context otherwise requires:10
(c) "Reporting agency" means:11
(II) The office of a district attorney. or12
(III) Any local governmental entity charged with enforcement of13
local laws or ordinances governing public nuisances within its local14
jurisdiction that obtains proceeds as a result of a seizure and forfeiture15
pursuant to such laws or ordinances.16
(4) (a) The executive director shall establish, maintain, and amend17
as necessary and post on the department's website a biannual reporting18
form for use by reporting agencies to report the information required by19
subsection (5) of this section. Each reporting agency that received20
PARTICIPATED IN any forfeiture proceeds through a state, federal, or local21
forfeiture process within the reporting period shall complete a form on the22
department's website for that reporting period. In creating the form, the23
executive director shall consider the input from the following:24
(b) If a reporting agency has not received any PARTICIPATED IN A25
forfeiture proceeds PROCESS during a reporting period, it shall submit a26
report indicating that no forfeiture proceeds were received IT HAS NOT27
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PARTICIPATED IN A FORFEITURE PROCEEDING.1
(5) Based upon the information received on the forms submitted2
pursuant to subsection (4) of this section, the department shall establish3
and maintain a searchable, public access database that includes the4
following, if known at the time of reporting:5
(a) Information from each case in which a reporting agency6
received any forfeiture proceeds specifying:7
(VIII) Information relating to any forfeiture proceeding including:8
(H) If any property was retained by a state or local agency, the9
purpose for which it was used;10
(L) The amount of any proceeds received by COSTS AWARDED TO11
the reporting agency; and12
(b) Information from each reporting agency on the use of13
forfeiture proceeds reported pursuant to this section IN PREVIOUS YEARS14
including:15
(6) The department shall also post on the website a summary of16
information received pursuant to subsection (4) of this section that, to the17
extent available for the reporting period, describes:18
(b) The total number of federal judicial or administrative19
forfeiture actions initiated by a multijurisdictional task force including a20
federal agency or referred by a reporting agency and accepted by the21
federal government for forfeiture under federal law; AND22
(c) The type of assets seized and the total value of the net23
proceeds received PROPERTY FORFEITED in all reported forfeitures. and24
(d) The recipients of any forfeiture proceeds including the amount25
received by each and the date of receipt.26
(7) (a) Each reporting agency, including any A district attorney or27
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other prosecutor, that receives or expends forfeiture-related money or1
property AN AWARD OF COSTS IN A FORFEITURE ACTION shall submit a2
report with all the information required pursuant to subsection (5) of this3
section that is known to the agency at the time of the report on the form4
developed pursuant to subsection (4)(a) of this section. Commencing July5
1, 2017, For the reporting period between July 1 and December 31 of6
each year, the reporting agency shall file the report by June 1 of the7
following calendar year. For the reporting period between January 1 and8
June 30, the reporting agency shall file the report by December 1 of that9
calendar year. If a reporting agency has previously filed a report, but for10
the reporting period it has not received or expended any AN AWARD OF11
COSTS IN A forfeiture proceeds ACTION, it shall submit a report indicating12
that fact.13
(c) If a reporting agency fails to file a report required by14
subsection (7)(a) of this section within thirty days after the date the report15
is due, the executive director shall send notice of the failure to the16
reporting agency. If the report:17
(II) Is not filed within forty-five days after the notice of failure is18
sent, the reporting agency shall pay a civil fine of the greater of five19
hundred dollars or an amount equal to fifty percent of the forfeiture20
proceeds received by COSTS AWARDED TO the reporting agency during the21
reporting period.22
(8) (a) Not later than December 31, 2019, and Each December 31,23
thereafter, the executive director shall submit a report summarizing24
seizure and forfeiture activity in the state for the prior fiscal year to the25
governor; the attorney general; and the judiciary committees of the senate26
and the house of representatives, or any successor committees. The report27
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must also be posted on the division's website. The report must include:1
(II) The amount of any forfeiture proceeds received by the state;2
and any subdivision of the state; and3
(III) A categorized accounting of all forfeiture proceeds expended4
by the state. and any subdivision of the state.5
SECTION 11. In Colorado Revised Statutes, 16-13-702, add (7)6
as follows:7
16-13-702. Disposition of forfeited property.8
(7) (a) THIS SECTION APPLIES TO THE EXPENDITURE OF PROCEEDS9
FORFEITED TO THE SEIZING AGENCY PURSUANT TO SECTION 16-13-31110
(3)(a) AS IT EXISTED BEFORE JULY 1, 2026.11
(b) AFTER JULY 1, 2026, A SEIZING AGENCY IS PROHIBITED FROM12
RECEIVING ANY PROCEEDS FROM A FORFEITURE ACTION EXCEPT AS13
PROVIDED IN SECTION 16-13-311 (3)(a)(IV) AND (3)(a)(V).14
SECTION 12. In Colorado Revised Statutes, 24-32-124, amend15
(5)(b); and add (8) as follows:16
24-32-124. Law enforcement community services grant17
program - committee - policies and procedures - fund - rules - report18
- definitions.19
(5) (b) The law enforcement community services grant program20
fund is created in the state treasury. The fund consists of money21
transferred to the fund pursuant to section 16-13-311, AS IT EXISTED22
BEFORE JULY 1, 2026, any other money that the general assembly may23
appropriate or transfer to the f und, and any gifts, grants, or donations24
received by the division. Subject to annual appropriation by the general25
assembly, the division may only expend money from the fund for the26
grants awarded pursuant to this section and for up to five percent of the27
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money in the fund for the direct and indirect costs incurred in1
administering the program. Any unexpended and unencumbered money2
from an appropriation made for the purposes of this section remains3
available for expenditure by the division in the next fiscal year without4
further appropriation.5
(8) NOTWITHSTANDING ANY OTHER PROVISION OF THIS SECTION TO6
THE CONTRARY, ON JULY 1, 2026, THE STATE TREASURER SHALL TRANSFER7
ONE MILLION DOLLARS FROM THE LAW ENFORCEMENT COMMUNITY8
SERVICES GRANT PROGRAM FUND TO THE FORFEITURE DEFENSE COUNSEL9
FUND CREATED IN SECTION 16-13-318.10
SECTION 13. In Colorado Revised Statutes, 13-3-101, add (18)11
as follows:12
13-3-101. State court administrator - duties - report -13
definitions - repeal.14
(18) T HE STATE COURT ADMINISTRATOR SHALL MAKE GRANTS15
FROM THE FORFEITURE COUNSEL DEFENSE FUND CREATED IN SECTION16
16-13-318.17
SECTION 14. Appropriation. For the 2025-26 state fiscal year,18
$1,100,000 is appropriated to the judicial department. This appropriation19
is from the forfeiture defense counsel fund created in section 16-13-318,20
C.R.S. To implement this act, the state court administrator may use this21
appropriation for the purposes of administering section 16-13-318, C.R.S. 22
SECTION 15. Effective date - applicability. This act takes23
effect July 1, 2026, and applies to forfeiture actions commenced on or24
after said date.25
SECTION 16. Safety clause. The general assembly finds,26
determines, and declares that this act is necessary for the immediate27
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preservation of the public peace, health, or safety or for appropriations for1
the support and maintenance of the departments of the state and state2
institutions.3
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