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HB26-1359 • 2026

Credit State Public School Fund from Natural Resources

Under current law, with certain exceptions, royalties and other payments for the depletion or extraction of a natural resource on public school lands is credited to the state public school fund, which

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Enacted

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

Sponsor
Rep. E. Sirota, Rep. R. Taggart, Sen. J. Bridges, Sen. B. Kirkmeyer, Rep. K. Brown, Sen. J. Amabile, Sen. C. Kolker
Last action
2026-06-01
Official status
Governor Signed
Effective date
Not listed

Plain English Breakdown

The official text states projections anticipate revenue will exceed $100 million for these years, but actual amounts are not fixed until collected.

Moving Some Natural Resource Money to the State Public School Fund

This law moves specific amounts of money earned from natural resources on public school lands into a different state fund for two years.

What This Bill Does

  • Requires $25 million in royalties and payments from natural resource extraction to go to the State Public School Fund during the 2025-26 fiscal year.
  • Requires $45 million in these same types of payments to go to the State Public School Fund during the 2026-27 fiscal year.
  • States that any money earned above those specific amounts must still go into the regular Public School Fund principal.

Who It Names or Affects

  • The State Land Board Trust Administration Fund
  • The Public School Capital Construction Assistance Fund
  • The State Public School Fund
  • The Public School Fund

Terms To Know

State Public School Fund
A specific fund created to hold money for public school support, separate from the permanent principal.
Public School Fund (Permanent Fund)
The main long-term investment account where royalties usually go; its value is meant to stay intact forever.
Royalties
Payments made for the right to remove or use natural resources like oil, gas, or minerals from land.

Limits and Unknowns

  • The law only applies to the fiscal years ending in June 2026 and June 2027.
  • It does not change how money is handled after those two specific years end.
  • The exact total amount of revenue collected from these lands for future years remains unknown.

Bill History

  1. 2026-06-01 Governor

    Governor Signed

  2. 2026-05-26 Governor

    Sent to the Governor

  3. 2026-05-26 Senate

    Signed by the President of the Senate

  4. 2026-05-26 House

    Signed by the Speaker of the House

  5. 2026-04-16 Senate

    Senate Third Reading Passed - No Amendments

  6. 2026-04-15 Senate

    Senate Second Reading Special Order - Passed - No Amendments

  7. 2026-04-14 Senate

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

  8. 2026-04-13 Senate

    Introduced In Senate - Assigned to Appropriations

  9. 2026-04-11 House

    House Third Reading Passed - No Amendments

  10. 2026-04-10 House

    House Third Reading Laid Over Daily - No Amendments

  11. 2026-04-09 House

    House Second Reading Special Order - Passed - No Amendments

  12. 2026-04-08 House

    House Second Reading Special Order - Laid Over Daily - No Amendments

  13. 2026-04-07 House

    House Committee on Appropriations Refer Unamended to House Committee of the Whole

  14. 2026-04-02 House

    Introduced In House - Assigned to Appropriations

Official Summary Text

Under current law, with certain exceptions, royalties and other payments for the depletion or extraction of a natural resource on public school lands is credited to the state public school fund, which is also known as the permanent fund.
The act requires that:
For the 2025-26 state fiscal year, $25 million of this money be credited to the state public school fund; and
For the 2026-27 state fiscal year, $45 million of this money be credited to the state public school fund.
(Note: This summary applies to this bill as enacted.)

Current Bill Text

Read the full stored bill text
HOUSE BILL 26-1359
BY REPRESENTATIVE(S) Sirota and Taggart, Brown;
also SENATOR(S) Bridges and Kirkmeyer, Amabile, Kolker.
CONCERNING CREDITING TO THE STATE PUBLIC SCHOOL FUND MONEY
RECEIVED FROM THE REMOVAL OF NATURAL RESOURCES ON PUBLIC
SCHOOL LANDS.
Be it enacted by the General Assembly of the State of Colorado:
SECTION 1. Legislative declaration. (1) The general assembly
finds and declares that:
(a) The public school fund, commonly referred to as the permanent
fund, is inviolate and the interest and income derived from the public school
fund must only be used on the maintenance of public schools;
(b) Revenue deposited into the public school fund from public
school lands has been high in recent years: $117 .1 million in state fiscal
year 2022-23, $154.1 million in state fiscal year 2023-24, and $114.6
million in state fiscal year 2024-25;
( c) Current projections anticipate that the amounts deposited into the
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.
public school fund from public school lands will exceed $100 million in
state fiscal years 2025-26 and 2026-27;
( d) Diverting revenue from public school lands to the state public
school fund instead of the public school fund has occurred on a one-time
basis in the past, most notably, in state fiscal year 2020-21 in response to
the economic impacts of the COVID-19 pandemic; and
( e) Diverting of a portion of this public school land revenue to the
state public school fund must occur on a one-time basis only so that the
value of the state's school lands and the public school fund, which are for
the intergenerational support of public schools, are not significantly
diminished.
SECTION 2. In Colorado Revised Statutes, 36-1-116, add
( 1 )( c )(IV) and ( 1 )( c )(V) as follows:
36-1-116. Disposition of rentals, royalties, and timber sale
proceeds.
(1) (c) (IV) FOR THE 2025-26 STATE FISCAL YEAR, THE FIRST
TWENTY-FIVE MILLION DOLLARS OF ROY AL TIES AND OTHER PAYMENTS FOR
THE DEPLETION OR EXTRACTION OF A NATURAL RESOURCE ON PUBLIC
SCHOOL LANDS IN EXCESS OF THE MONEY CREDITED TO THE ST A TE LAND
BOARD TRUST ADMINISTRATION FUND, PURSUANT TO SECTION 36-1-145 (3 );
CREDITED TO THE PUBLIC SCHOOL CAPITAL CONSTRUCTION ASSISTANCE
FUND CREA TED IN SECTION 22-43. 7-104 ( 1 ), PURSUANT TO SECTION
22-43. 7-104 (2)(b )(I); AND CREDITED AS SPECIFIED IN SUBSECTION ( 1 )(b )(II)
OF THIS SECTION MUST BE TRANSFERRED TO THE ST A TE PUBLIC SCHOOL FUND
CREATED IN SECTION 22-54-114. ANY AMOUNT OF ROYALTIES AND OTHER
PAYMENTS FOR THE DEPLETION OR EXTRACTION OF A NATURAL RESOURCE
ON PUBLIC SCHOOL LANDS IN EXCESS OF THE AMOUNTS DESCRIBED IN THIS
SUBSECTION (1 )( c )(IV) MUST BE CREDITED TO THE PUBLIC SCHOOL FUND
AND BECOME PART OF THE PRINCIPAL OF THE PUBLIC SCHOOL FUND.
(V) FOR THE 2026-27 STATE FISCAL YEAR, THE FIRST FORTY-FIVE
MILLION DOLLARS OF ROY AL TIES AND OTHER PAYMENTS FOR THE DEPLETION
OR EXTRACTION OF A NATURAL RESOURCE ON PUBLIC SCHOOL LANDS IN
EXCESS OF THE MONEY CREDITED TO THE ST A TE LAND BOARD TRUST
ADMINISTRATION FUND, PURSUANT TO SECTION 36-1-145 (3 ); CREDITED TO
PAGE 2-HOUSE BILL 26-1359
THE PUBLIC SCHOOL CAPITAL CONSTRUCTION ASSISTANCE FUND CREA TED IN
SECTION 22-43. 7-104 ( l ), PURSUANT TO SECTION 22-43. 7-104 (2)(b )(I); AND
CREDITED AS SPECIFIED IN SUBSECTION ( 1 )(b )(II) OF THIS SECTION MUST BE
TRANSFERRED TO THE ST A TE PUBLIC SCHOOL FUND CREA TED IN SECTION
22-54-114. ANY AMOUNT OF ROYALTIES AND OTHER PAYMENTS FOR THE
DEPLETION OR EXTRACTION OF A NATURAL RESOURCE ON PUBLIC SCHOOL
LANDS IN EXCESS OF THE AMOUNTS DESCRIBED IN THIS SUBSECTION
( 1 )( c )(V) MUST BE CREDITED TO THE PUBLIC SCHOOL FUND AND BECOME
PART OF THE PRINCIPAL OF THE PUBLIC SCHOOL FUND.
SECTION 3. 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 3-HOUSE BILL 26-1359
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
es Rashad Coleman, Sr.
PRESIDENT OF
THE SENATE
sther van Mourik
SECRETARY OF
THE SENATE
APPROVED OY\ YY\c)Y\Q.0--1 ct" \JI\€. k-l 2-0~ ~ \ l •. D011W"
(Datb and Time)
Jared
GOVE
PAGE 4-HOUSE BILL 26-1359
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