SB26-137 • 2026

Measures to Reduce Administrative Burdens

Current law requires each principal department (department) to establish a schedule to review all of its rules. The bill requires the review to occur at least every 5 years. Current law directs each d

Passed Legislature

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

Sponsor: Sen. J. Coleman, Sen. C. Simpson, Rep. J. Caldwell, Rep. J. McCluskie, Sen. J. Amabile, Sen. J. Bridges, Sen. J. Carson, Sen. M. Catlin, Sen. L. Daugherty, Sen. T. Exum, Sen. L. Frizell, Sen. J. Gonzales, Sen. B. Kirkmeyer, Sen. W. Lindstedt, Sen. J. Marchman, Sen. K. Mullica, Sen. D. Roberts, Sen. M. Snyder
Last action: 2026-04-13
Official status: Introduced In House - Assigned to Business Affairs & Labor
Effective date: Not listed

Plain English Breakdown

The official source does not provide specific actions to take if issues are found during reviews.

Measures to Reduce Administrative Burdens

This bill requires principal departments in Colorado to review their rules every five years and make additional determinations about those rules.

What This Bill Does

Requires each principal department to review all of its rules at least once every five years.
Adds new requirements for the reviews, including checking if rules are outdated or redundant.
Includes a check on whether funding levels support programs or functions as required by rules.
Looks for ways to improve rule effectiveness and reduce administrative burdens without reducing public benefits.

Who It Names or Affects

Principal departments in Colorado must follow the new review requirements.

Terms To Know

principal department: A major government agency responsible for a specific area of state governance.
SMART Act hearing: A legislative meeting where departments report on their rule reviews and other regulatory activities.

Limits and Unknowns

The bill does not specify what happens if the review finds issues with rules.
It is unclear how often sunset reviews will be conducted based on this new information.

Amendments

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

L.001

SEN Finance

Passed [*]

Plain English: The amendment changes the rules review schedule and adds new restrictions on when certain reviews can be scheduled.

Removes a requirement for departments to conduct mandatory rule reviews during specific years following sunset reviews.
Modifies how recommendations are made after a review, changing 'determine' to 'make a recommendation'.
Allows the Legislative Audit Committee to request an audit by the Office of the State Auditor based on a review's findings.

The amendment text is technical and may require additional context for full understanding.
Some parts of the original bill are removed or altered, but their exact impact isn't fully explained in this summary.

L.002

SEN Finance

Passed [*]

Plain English: The amendment removes the requirement for departments to review rules that are required by federal law.

Removes the part of the bill that allows departments to exempt rules from review if they are required by federal law.

It is unclear how this change will affect the number or type of rules reviewed by state departments.

Bill History

2026-04-13 House
Introduced In House - Assigned to Business Affairs & Labor
2026-04-13 Senate
Senate Third Reading Passed - No Amendments
2026-04-10 Senate
Senate Second Reading Special Order - Passed - No Amendments
2026-04-10 Senate
Senate Committee on Appropriations Refer Unamended - Consent Calendar to Senate Committee of the Whole
2026-03-31 Senate
Senate Committee on Finance Refer Amended to Appropriations
2026-03-11 Senate
Introduced In Senate - Assigned to Finance

Official Summary Text

Current law requires each principal department (department) to establish a schedule to review all of its rules. The bill requires the review to occur at least every 5 years. Current law directs each department to make certain determinations when conducting the review of the rules. The bill requires the following additional determinations:
Whether the department has rules with the same or similar purpose, intent, or goal and, if so, how those are coordinated and whether redundant rules can be eliminated;
Whether the rule is outdated or obsolete;
Whether funding levels to support the program or function subject to the rule are appropriate;
Whether there are opportunities to improve the effectiveness of the rule in meeting its purpose, intent, or goal; and
Whether the rule creates administrative burdens on the agency, consumers, or businesses without a corresponding public benefit.
Current law requires each department to present a report at its 'SMART Act' hearing regarding its mandatory review of all rules. The bill permits the committee of reference presiding over the 'SMART Act' hearing to
determine

make a recommendation
whether a program or function subject to the rules should be subject to a sunset review
and to provide to the legislative audit committee its departmental regulatory agenda for the audit committee to determine whether a program or function subject to the rule should be subject to a performance or financial audit

or may make a recommendation to the legislative audit committee for an audit by the office of the state auditor.
The bill clarifies the attorney general's responsibility regarding litigation discovery on behalf of the state of Colorado or on behalf of the people of the state of Colorado.
(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)
(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. 26-0697.01 Michael Dohr x4347 SENATE BILL 26-137
Senate Committees House Committees
Finance
Appropriations
A BILL FOR AN ACT
CONCERNING MEASURES TO REDUCE ADMINISTRATIVE BURDENS, AND,101
IN CONNECTION THEREWITH , MAKING CHANGES TO THE102
MANDATORY REVIEW OF DEPARTMENT RULES BY EACH103
PRINCIPAL DEPARTMENT AND CLARIFYING THE ATTORNEY104
GENERAL'S SCOPE OF AUTHORITY RELATED TO LITIGATION105
DISCOVERY.106
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.)
Current law requires each principal department (department) to
SENATE
3rd Reading Unamended
April 13, 2026
SENATE
Amended 2nd Reading
April 10, 2026
SENATE SPONSORSHIP
Coleman and Simpson, Amabile, Bridges, Carson, Catlin, Daugherty, Exum, Frizell,
Gonzales J., Kirkmeyer, Lindstedt, Marchman, Mullica, Roberts, Snyder
HOUSE SPONSORSHIP
McCluskie and Caldwell,
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.
establish a schedule to review all of its rules. The bill requires the review
to occur at least every 5 years. Current law directs each department to
make certain determinations when conducting the review of the rules. The
bill requires the following additional determinations:
! Whether the department has rules with the same or similar
purpose, intent, or goal and, if so, how those are
coordinated and whether redundant rules can be eliminated;
! Whether the rule is outdated or obsolete;
! Whether funding levels to support the program or function
subject to the rule are appropriate;
! Whether there are opportunities to improve the
effectiveness of the rule in meeting its purpose, intent, or
goal; and
! Whether the rule creates administrative burdens on the
agency, consumers, or businesses without a corresponding
public benefit.
Current law requires each department to present a report at its
"SMART Act" hearing regarding its mandatory review of all rules. The
bill permits the committee of reference presiding over the "SMART Act"
hearing to determine whether a program or function subject to the rules
should be subject to a sunset review and to provide to the legislative audit
committee its departmental regulatory agenda for the audit committee to
determine whether a program or function subject to the rule should be
subject to a performance or financial audit.
The bill clarifies the attorney general's responsibility regarding
litigation discovery on behalf of the state of Colorado or on behalf of the
people of the state of Colorado.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, 24-4-103.3, amend2
(1) introductory portion, (1)(e), (1)(g), and (4); repeal (3); and add3
(1)(i), (1)(j), (1)(k), and (1)(l) as follows:4
24-4-103.3. Mandatory review of rules by agencies - report on5
results of review in departmental regulatory agendas - definitions.6
(1) The department of regulatory agencies E ACH PRINCIPAL7
DEPARTMENT shall establish a schedule in consultation with each8
principal department, for the PERIODIC review of all of the DEPARTMENT'S9
rules for each principal department TO OCCUR AT LEAST EVERY FIVE10
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YEARS. Each principal department shall conduct a review of all of its rules1
to assess the continuing need for and the appropriateness and2
cost-effectiveness of its rules to determine if they should be continued in3
their current form, modified, or repealed. The applicable rule-making4
agency or official in the principal department shall consider the5
following:6
(e) Whether the rule can be amended to give more flexibility,7
reduce regulatory burdens, or reduce unnecessary paperwork or steps8
while maintaining MEETING its INTENDED GOALS AND benefits;9
(g) Whether a cost-benefit analysis was performed by the10
applicable rule-making agency or official in the principal department11
pursuant to section 24-4-103 (2.5) and OR AN EQUIVALENT ANALYSIS 12
PURSUANT TO SECTION 25-7-110.5;13
(i) W HETHER THERE ARE OTHER RULES ADOPTED BY THE14
RULE-MAKING AGENCY OR OFFICIAL THAT HAVE THE SAME OR SIMILAR15
PURPOSE, INTENT , OR GOAL ; HOW THOSE ARE COORDINATED ; AND16
WHETHER REDUNDANCIES CAN BE ELIMINATED;17
(j) WHETHER THE RULE IS OUTDATED OR OBSOLETE;18
(k) W HETHER FUNDING LEVELS TO SUPPORT THE PROGRAM OR19
FUNCTION SUBJECT TO THE RULE ARE APPROPRIATE . AS USED IN THIS20
SUBSECTION (1)(k), " APPROPRIATE" MEANS SUFFICIENT TO ADMINISTER21
AND ENFORCE THE PROGRAM OR RULE IN COMPLIANCE WITH STATE AND22
FEDERAL LAW, WITHIN EXISTING APPROPRIATIONS AND AUTHORIZED FEE23
STRUCTURES.24
(l) W HETHER THERE ARE OPPORTUNITIES TO IMPROVE THE25
EFFECTIVENESS OF THE RULE IN MEETING ITS PURPOSE, INTENT, OR GOAL.26
AS USED IN THIS SUBSECTION (1)(l), " OPPORTUNITIES" MEANS27
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REASONABLE AND LEGALLY PERMISSIBLE ADJUSTMENTS WITHIN THE1
AGENCY'S EXISTING STATUTORY AUTHORITY THAT WOULD IMPROVE2
IMPLEMENTATION OR ADMINISTRATION OF THE RULE.3
(3) The department of regulatory agencies shall not schedule4
mandatory review under this section during the year of and during the5
year following any scheduled sunset review conducted by the department6
of regulatory agencies pursuant to section 24-34-104.7
(4) (a) Each principal department shall include a report on the8
results of its mandatory review of rules as part of its departmental9
regulatory agenda that it submits to the staff of the legislative council for10
distribution to the applicable committee of reference of the general11
assembly as outlined in section 2-7-203. C.R.S. T HE COMMITTEE OF12
REFERENCE SHALL REVIEW THE DEPARTMENTAL REPORT DURING THE13
COMMITTEE'S "SMART ACT" HEARING.14
(b) I N ACCORDANCE WITH THE PROCESS SET FORTH IN SECTION15
24-34-104 (6)(a) AND (6)(c), THE COMMITTEE OF REFERENCE MAY MAKE16
A RECOMMENDATION WHETHER A PROGRAM OR FUNCTION SUBJECT TO THE17
RULES SHOULD BE SUBJECT TO A SUNSET REVIEW PURSUANT TO SECTION18
24-34-104 (5) OR MAY MAKE A RECOMMENDATION TO THE LEGISLATIVE19
AUDIT COMMITTEE FOR AN AUDIT BY THE OFFICE OF THE STATE AUDITOR20
PURSUANT TO SECTION 2-3-108. 21
SECTION 2. In Colorado Revised Statutes, 24-31-101, add (6)22
as follows:23
24-31-101. Powers and duties of attorney general.24
(6) IN ANY ACTION BROUGHT BY THE ATTORNEY GENERAL IN THE25
ATTORNEY GENERAL'S OFFICIAL CAPACITY, OR ON THE RELATION OF THE26
STATE OF COLORADO OR THE PEOPLE OF THE STATE OF COLORADO, TO27
137-4-
ENFORCE THE LAW AS AUTHORIZED BY STATUTE OR COMMON LAW , THE1
ATTORNEY GENERAL SHALL NOT BE DEEMED TO PURSUE AN ACTION ON2
BEHALF OF ANY OTHER STATE OFFICER OR ANY STATE AGENCY ,3
DEPARTMENT, OFFICE, BOARD, COMMISSION, OR ENTERPRISE AND SHALL4
NOT BE DEEMED IN POSSESSION, CUSTODY, OR CONTROL OF ANY RECORD5
THAT IS MADE, KEPT, OR MAINTAINED BY ANY OTHER STATE OFFICER OR6
ANY STATE AGENCY , DEPARTMENT , OFFICE , BOARD , COMMISSION , OR7
ENTERPRISE FOR THE PURPOSE OF ANY DISCOVERY REQUEST DIRECTED AT8
THE ATTORNEY GENERAL IN THE ATTORNEY GENERAL 'S OFFICIAL9
CAPACITY, OR ON THE RELATION OF THE STATE OF COLORADO OR THE10
PEOPLE OF THE STATE OF COLORADO, AS A PARTY TO SUCH ACTION.11
SECTION 3. Act subject to petition - effective date. This act12
takes effect at 12:01 a.m. on the day following the expiration of the13
ninety-day period after final adjournment of the general assembly (August14
12, 2026, if adjournment sine die is on May 13, 2026); except that, if a15
referendum petition is filed pursuant to section 1 (3) of article V of the16
state constitution against this act or an item, section, or part of this act17
within such period, then the act, item, section, or part will not take effect18
unless approved by the people at the general election to be held in19
November 2026 and, in such case, will take effect on the date of the20
official declaration of the vote thereon by the governor.21
137-5-