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HB26-1393 • 2026

Maximum Reserve Requirement for Certain Cash Funds

Joint Budget Committee. Under existing law, cash funds are subject to a maximum amount of uncommitted funds that may be held in reserve at the end of each fiscal year (maximum reserve). If a fund's un

Education
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Rep. K. Brown, Rep. R. Taggart, Sen. J. Amabile, Sen. B. Kirkmeyer, Rep. E. Sirota, Sen. J. Bridges, Rep. M. Carter
Last action
2026-04-14
Official status
Senate Committee on Appropriations Refer Unamended - Consent Calendar to Senate Committee of the Whole
Effective date
Not listed

Plain English Breakdown

The bill summary and text do not provide specific details on how the funds will adjust their fees or what happens after three years of exceeding reserve limits.

Exemption from Annual Reserve Limits for Certain Funds

This bill changes how two specific funds, related to public school construction and health facility inspection, are managed by allowing them to keep higher unspent reserves over three fiscal years instead of just one.

What This Bill Does

  • Exempts the public school construction and inspection cash fund from annual maximum reserve limitations.
  • Exempts the health facility construction and inspection cash fund from annual maximum reserve limitations.
  • Requires both funds to reduce fees if uncommitted reserves exceed maximum limits for three consecutive fiscal years.

Who It Names or Affects

  • The public school construction and inspection cash fund
  • The health facility construction and inspection cash fund

Terms To Know

Maximum Reserve
The highest amount of unspent money a fund can keep at the end of each fiscal year.
Uncommitted Reserves
Money in a fund that has not been allocated for specific purposes and is available to be used or returned.

Limits and Unknowns

  • The bill does not specify how the funds will adjust their fees if reserves exceed maximum limits.
  • It's unclear what happens if these funds do not reduce their fees as required after three years of exceeding reserve limits.

Bill History

  1. 2026-04-14 Senate

    Senate Committee on Appropriations Refer Unamended - Consent Calendar to Senate Committee of the Whole

  2. 2026-04-13 Senate

    Introduced In Senate - Assigned to Appropriations

  3. 2026-04-11 House

    House Third Reading Passed - No Amendments

  4. 2026-04-10 House

    House Third Reading Laid Over Daily - No Amendments

  5. 2026-04-09 House

    House Second Reading Special Order - Passed - No Amendments

  6. 2026-04-08 House

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

  7. 2026-04-06 House

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

  8. 2026-04-02 House

    Introduced In House - Assigned to Appropriations

Official Summary Text

Joint Budget Committee.
Under existing law, cash funds are subject to a maximum amount of uncommitted funds that may be held in reserve at the end of each fiscal year (maximum reserve). If a fund's uncommitted reserves exceed the maximum reserve, the entity that imposes fees that are deposited in the fund shall reduce the amount of one or more of the fees to an amount calculated to reduce the uncommitted reserves to an amount that does not exceed the maximum reserve.
The bill exempts the public school construction and inspection cash fund and the health facility construction and inspection cash fund from the annual maximum reserve limitations. Instead, the funds are subject to the same substantive requirements if the uncommitted reserves of the fund exceed the maximum reserve for 3 consecutive fiscal years.
(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Current Bill Text

Read the full stored bill text 
Second Regular Session
Seventy-fifth General Assembly
STATE OF COLORADO
REENGROSSED
This Version Includes All Amendments
Adopted in the House of Introduction
LLS NO. 26-0908.01 Conrad Imel x2313 HOUSE BILL 26-1393
House Committees Senate Committees
Appropriations
A BILL FOR AN ACT
CONCERNING SUBJECTING SPECIFIED CASH FUNDS TO A THREE -YEAR101
MAXIMUM RESERVE LIMITATION INSTEAD OF THE ANNUAL102
MAXIMUM RESERVE LIMITATION , AND , IN CONNECTION103
THEREWITH, SUBJECTING THE PUBLIC SCHOOL CONSTRUCTION104
AND INSPECTION CASH FUND AND THE HEALTH FACILITY105
CONSTRUCTION AND INSPECTION CASH F UND TO THE106
THREE-YEAR LIMITATION.107
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/.)
HOUSE
3rd Reading Unamended
April 11, 2026
HOUSE
2nd Reading Unamended
April 9, 2026
HOUSE SPONSORSHIP
Brown and Taggart, Sirota, Carter
SENATE SPONSORSHIP
Amabile and Kirkmeyer, Bridges
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.
Joint Budget Committee. Under existing law, cash funds are
subject to a maximum amount of uncommitted funds that may be held in
reserve at the end of each fiscal year (maximum reserve). If a fund's
uncommitted reserves exceed the maximum reserve, the entity that
imposes fees that are deposited in the fund shall reduce the amount of one
or more of the fees to an amount calculated to reduce the uncommitted
reserves to an amount that does not exceed the maximum reserve.
The bill exempts the public school construction and inspection
cash fund and the health facility construction and inspection cash fund
from the annual maximum reserve limitations. Instea d, the f unds are
subject to the same substantive requirements if the uncommitted reserves
of the fund exceed the maximum reserve for 3 consecutive fiscal years.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, amend2
24-33.5-1207.7 as follows:3
24-33.5-1207.7. Public school construction and inspection cash4
fund - created - limit on uncommitted reserves - definitions.5
(1) T HE PUBLIC SCHOOL CONSTRUCTION AND INSPECTION CASH6
FUND IS CREATED IN THE STATE TREASURY. All moneys MONEY collected7
by the division pursuant to sections 22-32-124 (2), and 23-71-122 (1)(v),8
C.R.S., or section AND 24-33.5-1213.3 shall be transmitted to the state9
treasurer, who shall credit the same to the public school construction and10
inspection cash fund, which is hereby created FUND. All moneys MONEY11
credited to the fund and all interest earned thereon ON THE MONEY IN THE12
FUND are subject to annual appropriation by the general assembly for13
paying the expenses of the public school construction and inspection14
program. Any unexpended and unencumbered moneys MONEY remaining15
in the fund at the end of a fiscal year shall remain REMAINS in the fund16
and shall not be credited or transferred to the general fund or another17
fund.18
1393-2-
(2) (a) THE FUND IS EXCLUDED FROM THE LIMITATIONS SPECIFIED1
IN SECTION 24-75-402.2
(b) I F, FOR EACH OF THREE CONSECUTIVE FISCAL YEARS , THE3
UNCOMMITTED RESERVES OF THE FUND AT THE CONCLUSION OF A FISCAL4
YEAR EXCEED THE MAXIMUM RESERVE FOR THAT FISCAL YEAR , THE5
DIVISION SHALL REDUCE THE AMOUNT OF ONE OR MORE OF THE FEES6
CREDITED TO THE FUND TO AN AMOUNT CALCULATED TO RESULT IN AN7
AMOUNT OF UNCOMMITTED RESERVES OF THE FUND FOR THE CURRENT8
FISCAL YEAR THAT DOES NOT EXCEED THE MAXIMUM RESERVE . IF THE9
DIVISION REDUCES THE AMOUNT OF A FEE PURSUANT TO THIS SECTION, THE10
DIVISION MAY SUBSEQUENTLY RAISE THE AMOUNT OF THE FEE SO LONG AS11
DOING SO WOULD NOT CAUSE THE PROJECTED AMOUNT OF UNCOMMITTED12
RESERVES OF THE FUND TO EXCEED THE MAXIMUM RESERVE.13
(3) AS USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE14
REQUIRES:15
(a) "F UND" MEANS THE PUBLIC SCHOOL CONSTRUCTION AND16
INSPECTION CASH FUND CREATED IN THIS SECTION.17
(b) "M AXIMUM RESERVE " HAS THE MEANING SET FORTH IN18
SECTION 24-75-402 (2).19
(c) "UNCOMMITTED RESERVES" HAS THE MEANING SET FORTH IN20
SECTION 24-75-402 (2).21
SECTION 2. In Colorado Revised Statutes, amend22
24-33.5-1207.8 as follows:23
24-33.5-1207.8. Health facility construction and inspection24
cash fund - created - limit on uncommitted reserves - definitions.25
(1) THE HEALTH FACILITY CONSTRUCTION AND INSPECTION CASH26
FUND IS CREATED IN THE STATE TREASURY. All moneys MONEY collected27
1393-3-
by the division pursuant to section 24-33.5-1212.5 shall be transmitted to1
the state treasurer, who shall credit the same to the health facility2
construction and inspection cash fund, which is hereby created FUND. All3
moneys MONEY credited to the fund and all interest earned thereon ON4
THE MONEY IN THE FUND are subject to annual appropriation by the5
general assembly for paying the expenses of the health facility6
construction and inspection program. Any unexpended and7
unencumbered moneys MONEY remaining in the fund at the end of a fiscal8
year shall remain REMAINS in the fund and shall not be credited or9
transferred to the general fund or another fund.10
(2) (a) THE FUND IS EXCLUDED FROM THE LIMITATIONS SPECIFIED11
IN SECTION 24-75-402.12
(b) I F, FOR EACH OF THREE CONSECUTIVE FISCAL YEARS , THE13
UNCOMMITTED RESERVES OF THE FUND AT THE CONCLUSION OF A FISCAL14
YEAR EXCEED THE MAXIMUM RESERVE FOR THAT FISCAL YEAR , THE15
DIVISION SHALL BY RULE OR AS OTHERWISE PROVIDED BY LAW REDUCE16
THE AMOUNT OF THE FEE CHARGED BY THE DIVISION PURSUANT TO17
SECTION 24-33.5-1212.5 TO AN AMOUNT CALCULATED TO RESULT IN AN18
AMOUNT OF UNCOMMITTED RESERVES OF THE FUND FOR THE CURRENT19
FISCAL YEAR THAT DOES NOT EXCEED THE MAXIMUM RESERVE . IF THE20
DIVISION REDUCES THE AMOUNT OF THE FEE PURSUANT TO THIS SECTION,21
THE DIVISION MAY SUBSEQUENTLY RAISE THE AMOUNT OF THE FEE SO22
LONG AS DOING SO WOULD NOT CAUSE THE PROJECTED AMOUNT OF23
UNCOMMITTED RESERVES OF THE FUND TO EXCEED THE MAXIMUM24
RESERVE.25
(3) AS USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE26
REQUIRES:27
1393-4-
(a) "F UND" MEANS THE HEALTH FACILITY CONSTRUCTION AND1
INSPECTION CASH FUND CREATED IN THIS SECTION.2
(b) "M AXIMUM RESERVE " HAS THE MEANING SET FORTH IN3
SECTION 24-75-402 (2).4
(c) "UNCOMMITTED RESERVES" HAS THE MEANING SET FORTH IN5
SECTION 24-75-402 (2).6
SECTION 3. In Colorado Revised Statutes, 24-75-402, amend7
(5)(mmm); and add (5)(ooo) and (5)(ppp) as follows:8
24-75-402. Cash funds - limit on uncommitted reserves -9
reduction in the amount of fees - exclusions - definitions.10
(5) Notwithstanding any provision of this section to the contrary,11
the following cash funds are excluded from the limitations specified in12
this section:13
(mmm) The r eentry services for justice-involved individuals14
reinvestment cash fund created in section 25.5-4-505.7; and15
(ooo) THE PUBLIC SCHOOL CONSTRUCTION AND INSPECTION CASH16
FUND CREATED IN SECTION 24-33.5-1207.7; AND17
(ppp) T HE HEALTH FACILITY CONSTRUCTION AND INSPECTION18
CASH FUND CREATED IN SECTION 24-33.5-1207.8.19
SECTION 4. Safety clause. The general assembly finds,20
determines, and declares that this act is necessary for the immediate21
preservation of the public peace, health, or safety or for appropriations for22
the support and maintenance of the departments of the state and state23
institutions.24
1393-5-