Colorado

Colorado

Budget Links

FY2025 (proposed)
FY2024 (enacted)
FY2023 (enacted)
FY2022 (enacted)
FY2021 (enacted)
FY2020 (enacted)

Proposed Budget - Fiscal Year 2025

On November 1, Colorado Governor Jared Polis released his recommended budget for fiscal 2025. On January 2 and January 16, the governor released amendments to the budget. The final amended proposal calls for $46.0 billion in total fund spending, an increase of 4.9 percent from fiscal 2024, and $15.8 billion in general fund operating spending, an increase of 5.8 percent from fiscal 2024. Gross general fund revenue in fiscal 2025 is expected to total $18.2 billion, a 3.8 percent increase from the fiscal 2024 estimate. Combined with the state’s beginning balance of $2.4 billion, total forecasted general fund resources for fiscal 2025 are $20.75 billion, a 3.5 percent increase from the fiscal 2024 estimate. The governor recommends a general fund reserve level of $2.4 billion, or 15 percent of general fund spending. 

Proposed Budget Highlights

The governor’s budget makes important investments in housing, public safety, workforce development, education, healthcare, and renewable energy. The following recommendations are included in the budget:

Housing

• Invests a total of $136.7 million to deliver more housing throughout the state including:
• $35 million for transit-oriented communities’ infrastructure.
• $35 million to convert the Housing Development Grant Fund to a tax credit.
• $18 million to boost Accessory Dwelling Units construction paired with innovated financing.

K-12 Education

• Makes a total investment of $564.1 million to K-12 education including:
• Increasing per pupil funding by an average of $705.
• $141.3 million to fully buydown and eliminate the remaining Budget Stabilization Factor to support higher teacher pay and fully fund Colorado schools.
• $8 million for science education and enrichment programs.
• $4.3 million to enhance the Universal Preschool system.

Higher Education

• Provides $33.4 million to higher education institutions to keep tuition rate increases for Colorado residents no less than half the rate of inflation.
• Increases funding by $6.3 million for the Colorado Opportunity Scholarship Initiative and other financial aid programs.
• Directs $3 million to support college attendance for youth who have experienced homelessness.

Workforce

• Provides $5 million in grants and $20 million in tax credits for Opportunity Now 2.0.
• Invests $5 million to address the veterinarian shortage impacting animal welfare across the state.
• Supplies $3.1 million to support educational talent mentorship.

Public Safety

• Invests $39.6 million for evidence-based crime prevention including:
• $14.4 million for auto theft prevention.
• $7.5 million for community-led crime prevention strategies.
• $1.0 million to develop a recidivism reduction pilot program through the Department of Corrections.  
• Provides $75.6 million to reduce the competency restoration waitlist.

Renewable Energy and Environmental Preservation

• Invests $2.1 million to replace state government use of gas and diesel powered garden equipment with electric equipment.
• Directs $14 million to improve air quality.
• Provides $10 million in tax credits for sustainable agricultural practices.

Healthcare

• Invests a total of $138.3 million to help save Coloradans money on healthcare including:
• $53.8 million to increase the base wage for direct care workers who provide Home and Community Based Services.
• $29.1 million to support high-acuity youth.
• $15 million for continued investment in Colorado’s public health infrastructure.

Commitment to Good Governance

• Continues the investment of ARPA funds to mitigate lingering effects of the pandemic and provide transformational investment in government services.
• Invests $77 million to fund an across-the-board pay raise of 3 percent on July 1, 2024, for all classified state employees.
• Provides $136 million to implement the new Steps Pay Plan in accordance with the Partnership Agreement.
• Maintains reserves at 15 percent.

Proposed Budget Information

Fiscal Year 2025 Budget Proposal

Budget Presentation

Revenue Forecast - December 2023

Budget Amendments – January 2

Budget Amendments – January 16