Sonnenberg Proposal to Reinstate Ag Tax Exemption Clears Committee

DENVER—Yesterday, State Rep. Jerry Sonnenberg’s proposal to rollback last year’s tax increase on certain agricultural products cleared a key legislative hurdle with the approval of the House Finance Committee on a party line vote.

Sonnenberg’s House Bill 11-1005 repeals House Bill 10-1195, which suspended a tax exemption on the purchase of essential products that many ranchers rely on. A piece of the controversial “Dirty Dozen,” Sonnenberg says the proposal has hit Colorado’s agricultural communities hard at a time when they can least afford.

“Repealing this tax increase on farmers and ranchers is a top priority,” Sonnenberg said. “Increasing taxes on already struggling families was a bad idea then and now deserves to be revisited by the legislature.”

Sonnenberg says he has been besieged by his constituents who are struggling under the burden of increased taxes on essential products in an already down economy.

“As the owner and operator of a small farm, I know how even a minor cost increase can affect the bottom line,” Sonnenberg said. “I am happy to see this proposal to repeal this tax moving forward.”

HB 1005 will now head to the House Appropriations Committee for further consideration.

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Rep. Swalm’s School Choice Bill Clears Legislative Hurdle

DENVER—State Rep. Spencer Swalm, R-Centennial, today passed his school choice legislation, House Bill 1048, through the House Finance Committee on a 7 to 6 vote, with Democrats opposing the measure. Titled the “Quality Education and Budget Reduction Act,” Swalm’s legislation provides income tax credits to families who choose to send their children to private school or to homeschool them.

“Education is the most important priority for our future generations,” Swalm said. “Providing increased opportunities is a good way to put children’s education back into the hands of parents.”

The bill offers qualifying parents an income tax credit of approximately $3,400 if their children move from a public to a private school. Children already attending private school would not qualify for the income tax credit.

“This is a step in the right direction,” Swalm concluded. “Let’s empower Colorado’s parents and children to succeed.”

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Rep. Coram’s First Bill Signed into Law

Bill Empowers Counties to Promote Tourism and Economic Development

DENVER—On Tuesday, State Rep. Don Coram reached a milestone at the capitol when he watched his first bill get signed into law by Gov. John Hickenlooper.

Coram’s House Bill 1006 was dubbed the “Regional Tourism Act” and cleared statutory roadblocks that made it impractical for multiple counties to join together to create tourism zones.

“Our communities need to be able to work together to get the word out about what a great travel destination Colorado is,” Coram said. “Tourism is one of our state’s largest industries and is an economic keystone, particularly in many of the state’s rural areas.”

HB 1006 clarified the composition of Regional Tourism Authority Boards, which manage tourism zones. Without the bill, the boards for multi-county tourism zones would have had as many as 100 members.

“There is nothing more important to me than revitalizing Colorado’s economy,” Coram said. “This simple bill clears the way for additional tourism projects and will help get our economy back on track.”

Regional Tourism Authority Boards are tasked with overseeing and aiding regional tourism projects approved by Colorado’s Economic Development Commission.

HB 1006 passed General Assembly with unanimous support.

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Republican Leaders Introduce Legislation to Override the Federal Health Care Law

DENVER--Today the Healthcare Opportunity & Patient Empowerment (HOPE) Act was introduced in the Colorado House of Representatives. The bill would allow Colorado to opt out of the federal Patient Protection and Affordable Care Act (PPACA) by joining an interstate compact which, once approved by the U.S. House and Senate, would supersede prior federal law and give regulatory authority to the states in the compact.

The signature of the President is not necessary to approve interstate compacts, so President Obama could not veto the legislation if approved by Congress.

Republican House Majority Leader Amy Stephens, Majority Whip B.J. Nikkel and Senate Republican Leader Mike Kopp are sponsoring this legislation to preserve Coloradans’ individual liberty and control over healthcare decisions.

This legislation was introduced just shortly after U.S. District Judge Roger Vinson ruled the federal PPACA unconstitutional. Republican House Majority Leader Amy Stephens emphasized the necessity of this legislation by saying, “We need to discuss creative ways to move the healthcare debate forward in light of Judge Vinson’s ruling. Most importantly, this conversation must be founded on the principles of promoting the free market and consumer choice.”

“The U.S. Constitution allows Colorado and other states to form interstate compacts which, once approved by Congress, give them complete regulatory authority outside federal law,” said Senate Republican Leader Mike Kopp. “We believe healthcare decisions should be made on the local level, not by bureaucrats in Washington.”

Senator Kopp and Representative Stephens are in discussions with legislative leaders in several states. Arizona, Montana, North Dakota, Missouri, and Tennessee have already introduced compact legislation, and leaders in Texas and Florida are considering it. Only two states are needed to create an interstate compact.

Authority for this action comes from the “Compact Clause” of the U.S. Constitution (Article I Section 10). The U.S. Supreme Court affirmed that Congressional consent transforms interstate compacts into federal law in the 1981 case Cuyler v. Adams. Approval of the President is not required. Once the compact is approved by Congress, the signatory states would become responsible for the regulation of healthcare within their own jurisdictions without federal mandates.

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Scott’s First Bill Signed into Law

House Bill 1022 will help get Colorado’s Housing Market Back on Track

DENVER—State Rep. Ray Scott’s first bill was signed into law today by Gov. John Hickenlooper. The measure, House Bill 1022, will help Colorado’s economy, especially in rural areas, by supporting seller financing for residential property.

“I was elected to help get our economy back on track,” said Scott, a Grand Junction Republican. “A key component to our state economic recovery is to revive the housing market.”

HB 1022 exempts property owners providing seller financing on up to three residential properties in a 12 month period from having to be licensed as mortgage loan originators.

Current law places more restrictions on seller financing than what the federal government dictates. Presently, a large number of resort, farm and ranch properties are unable to secure conventional financing because they exceed Federal Housing Administration (FHA) loan limits or are considered too risky by lending institutions.

“With credit tight, and too many homes on the market, especially in rural areas, it’s vital we find a responsible way to absorb the excess inventory,” Scott said.

“We can’t get our economy back on track without a recovery in the housing market,” added Scott. “I decided to carry this bill because it didn’t make sense for the state government to put unnecessary restrictions upon willing buyers and sellers.”

HB 1022 passed the General Assembly unanimously.

The bill will go into effect on August 10, 2011, assuming the General Assembly adjourns as scheduled.

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Swerdfeger Named to CHFA Board of Directors

DENVER—State Rep. Keith Swerdfeger, R-Pueblo West, was appointed to the Colorado Housing Financing Authority board of directors.

CHFA, which has been in existence since 1973, is a self-sustaining public enterprise that provides fixed-rate financing to homebuyers and small businesses. CHFA also provides educational and technical assistance on affordable housing issues. All of this is done through a network of partners such as banks, developers and local governments, at no cost to taxpayers.

“Revitalizing Colorado’s economy is my number one goal as a legislator,” said Swerdfeger. “I look forward to working with the organization to strengthen our state’s economy by helping lower income Coloradans and small businesses.”

CHFA is governed by an 11-member board of directors, consisting of community and government leaders, including one member of the Colorado General Assembly. Swerdfeger’s four year term begins immediately.

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House GOP Opposes Democrat Plan to Raise Taxes

DENVER—Today, Senate Democrats unveiled plans to increase taxes on Colorado’s hard working families and employers during the current economic recession.

In response to the proposal released today, House Republican leadership released the following statements--

“Republicans do not believe we can tax our way out of this recession. Instead, we are focused on working with Gov. Hickenlooper to make the difficult decisions to ensure the state’s spending is in line with revenue.” –House Majority Leader Amy Stephens, R-Monument.

“The best way to increase revenue isn’t to raise taxes, but to allow Colorado Employers to create more jobs. With close to 9 percent of Coloradans unemployed, the last thing the legislature should do is scare potential businesses away from the state with a new round of tax increases.”— Rep. Jon Becker, R-Ft. Morgan, Joint Budget Committee Member

“Colorado’s hardworking families and employers are struggling to balance their spending with revenues. Asking them to give government another $1.63 billion ignores economic reality.” –Rep. Brian DelGrosso, R-Loveland, House Finance Committee Chair

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