Transferring Reserve Revenue Colorado began transferring General Fund Reserve Revenue to the Transportation Fund for road construction in FY 1994-95. After all other state construction needs were met; a total of $322 million was transferred between FY 1994-95 and FY 1996-97.

Dedicating Sales and Use Tax Revenue The legislature passed a bill during the 1997 legislative session that earmarks revenues for transportation. The bill dedicates an amount equal to 10% of the state's annual sales and use tax revenue to transportation for each of the next five years beginning with FY 1997-98. The bill protects the operating budget allowing for the annual 6% growth in General Fund appropriations. It also provides for annual funds from reserves for capital construction amounting to at least $140 million. If revenues are insufficient to make the full 10% transfer, funds for roads and capital construction share the reduction dollar for dollar. The bill will dedicate an estimated $815 million for roads over the next five years.

For more information on Colorado’s initiatives, contact Eric Conrad with the Office of State Planning and Budgeting at (303) 866-2067 or email him at conrade@capitol.state.co.us.