HB 1233

NOTE: This bill has been prepared for the signatures of the appropriate legislative
officers and the Governor. To determine whether the Governor has signed the bill
or taken other action on it, please consult the legislative status sheet, the legislative
history, or the Session Laws.
     HOUSE BILL 26-1233
     BY REPRESENTATIVE(S) Lukens and Zokaie, Bacon, Brown, Carter,
     Lindsay, Nguyen, McCluskie;
     also SENATOR(S) Roberts, Bridges, Cutter, Jodeh, Kipp, Wallace,
     Coleman.
     CONCERNING       PROPERTY  TAX     PROCEDURES  FOR     NONRESIDENTIAL
               PROPERTIES.
     Be it enacted by the General Assembly of the State of Colorado:
           SECTION 1. In Colorado Revised Statutes, 39-5-115, add (3) as
     follows:
               39-5-115. Taxpayer to furnish information - affidavit on mineral
     leases.
           (3) (a) FOR PROPERTY TAX YEARS COMMENCING ON OR AFTER
     JANUARY 1, 2027, ANY PERSON WHO, IN CONNECTION WITH NONRESIDENTIAL
     PROPERTY, WILLFULLY MAKES AND SUBSCRIBES ANY INFORMATION
     REQUIRED BY THIS SECTION THAT IS VERIFIED BY A WRITTEN DECLARATION
     CERTIFYING THE TRUTH AND ACCURACY OF THE INFORMATION BUT THAT IS
     NOT TRUE AND ACCURATE AS TO EVERY MATERIAL MATTER, COMMITS A
     ________
     Capital letters or bold & italic numbers indicate new material added to existing law; dashes
     through words or numbers indicate deletions from existing law and such material is not part of
     the act.
PETTY OFFENSE.
      (b) FOR PROPERTY TAX YEARS COMMENCING ON OR AFTER JANUARY
1, 2027, ANY PERSON WHO, IN CONNECTION WITH NONRESIDENTIAL
PROPERTY, WILLFULLY AIDS OR ASSISTS IN, OR PROCURES, COUNSELS, OR
ADVISES THE PREPARATION OR PRESENTATION OF ANY INFORMATION
REQUIRED BY THIS SECTION THAT IS FRAUDULENT OR FALSE, COMMITS A
PETTY OFFENSE.
       (c) CONVICTION OF A PETTY OFFENSE PURSUANT TO THIS SUBSECTION
(3) IS LIMITED TO THE PERSON WHO FILES OR ASSISTS IN FILING INFORMATION
THAT IS NOT TRUE AND ACCURATE AS SPECIFIED IN SUBSECTION (3)(a) OF
THIS SECTION OR INFORMATION THAT IS FRAUDULENT OR FALSE AS SPECIFIED
IN SUBSECTION (3)(b) OF THIS SECTION.
       (d) ANY PERSON CONVICTED OF A PETTY OFFENSE UNDER THIS
SUBSECTION (3) SHALL BE SENTENCED IN ACCORDANCE WITH SECTION
18-1.3-503.
      (e) THE COUNTY ATTORNEY IS AUTHORIZED TO FILE AND PROSECUTE
ANY ACTION ARISING UNDER THIS SUBSECTION (3) IN THE COUNTY COURT OF
THE COUNTY IN WHICH THE PROPERTY IS LOCATED.
       SECTION 2. In Colorado Revised Statutes, 39-8-107, amend (1)
and (5)(a)(I) as follows:
       39-8-107. Hearings on appeal.
        (1) At the hearing upon a petition, the assessor or the assessor's
authorized representative shall be present and shall produce information to
support the basis and amount of the assessor's valuation of the property. The
board shall hear and consider all testimony and examine all exhibits
produced or introduced by either the petitioner or the assessor, with no
presumption in favor of any pending valuation, and may subpoena witnesses
to testify. THE PETITIONER SHALL PAY the costs of producing the petitioner's
witnesses shall be paid by the petitioner, and THE COUNTY SHALL PAY the
costs of producing the assessor's witnesses. shall be paid by the county. On
the basis of the testimony produced and the exhibits introduced, the board
shall grant or deny the petition, in whole or in part, and shall notify the
petitioner and the assessor in writing. If the board denies the petition, in
PAGE 2-HOUSE BILL 26-1233
whole or in part, such THE written notice shall inform the petitioner of the
right to appeal within the thirty-day period following the denial to the
district court or the board of assessment appeals pursuant to the provisions
of section 39-8-108 (1) or within the thirty-day period following the denial
to submit the case to arbitration pursuant to the provisions of section
39-8-108.5. Such THE notice shall state that, if the appeal is to the board of
assessment appeals, the hearing before the board of assessment appeals
shall WILL be the last hearing at which testimony, exhibits, or any other type
of evidence may be introduced by either party, and that, if there is an appeal
to the court of appeals pursuant to section 39-8-108 (2), the record from the
hearing before the board of assessment appeals and no new evidence shall
be the basis for the court's decision. The phone number and address of the
board of assessment appeals shall also be included on the notice. The notice
shall also state, in general terms, how to pursue arbitration and that, if a
taxpayer submits the case to arbitration, the decision reached under such
process shall WILL be final and not subject to review. If a referee heard the
case, the board shall, at the written request of any taxpayer or any agent of
such taxpayer within seven working days after receipt of said request, make
available to the taxpayer or agent the referee's findings and
recommendations. At the board's election, the board may either mail, fax,
or send by electronic transmission such THE findings and recommendations
OF THE REFEREE to the address, phone number, or electronic address
supplied by said taxpayer or agent. Upon receipt of such request, the board
shall notify the taxpayer or agent of the estimated cost of providing such
THE findings and recommendations OF THE REFEREE, payment of which
shall be made prior to providing such findings and recommendations. Upon
providing such THE findings and recommendations OF THE REFEREE, the
board may include a bill for the reasonable cost above the estimated cost
and up to the statutory maximum which shall be due and payable upon
receipt by the taxpayer or agent.
       (5) (a) (I) On and after August 10, 2011, in addition to any other
requirements under law, any petitioner appealing either a valuation of
rent-producing commercial real property to the board of assessment appeals
pursuant to section 39-8-108 (1) or a denial of an abatement of taxes
pursuant to section 39-10-114 shall provide to the county board of
equalization or to the board of county commissioners of the county in the
case of an abatement, and not to the board of assessment appeals, the
following information, if applicable:
PAGE 3-HOUSE BILL 26-1233
       (A) PROPERTY-SPECIFIC actual annual rental income for two full
years including the base year for the relevant property tax year;
       (B) PROPERTY-SPECIFIC tenant reimbursements for two full years
including the base year for the relevant property tax year;
       (C) PROPERTY-SPECIFIC itemized expenses for two full years
including the base year for the relevant property tax year; and
       (D) PROPERTY-SPECIFIC rent roll data as of the valuation date,
including the name of any tenants, the address, unit, or suite number of the
subject property, lease start and end dates, option terms, base rent, square
footage leased, and vacant space for two years including the year of the
valuation date and the prior year.
       SECTION 3. In Colorado Revised Statutes, 39-8-108, amend (1)
and (5)(d) as follows:
      39-8-108. Decision - review - opportunity to submit case to
arbitration.
        (1) (a) If the county board of equalization grants a petition, in whole
or in part, the assessor shall adjust the valuation accordingly; but, if the
petition is denied, in whole or in part, the petitioner may appeal the
valuation set by the assessor or, if the valuation is adjusted as a result of a
decision of the county board of equalization, the adjusted valuation to the
board of assessment appeals or to the district court of the county wherein
the petitioner's property is located for a trial de novo, or the petitioner may
submit the case to arbitration pursuant to the provisions of section
39-8-108.5. Such appeal or submission to arbitration shall be taken no later
than thirty days after the date such denial was mailed pursuant to section
39-8-107 (2). Any decision rendered by the county board of equalization
shall state that the petitioner has the right to appeal the decision of the
county board to the board of assessment appeals or to the district court of
the county wherein the petitioner's property is located or to submit the case
to arbitration and, to preserve such right, the time by which such appeal or
submission to arbitration must be made. Any request by a taxpayer for a
hearing before the board of assessment appeals shall be accompanied by a
nonrefundable filing fee in an amount specified in section 39-2-125 (1)(h).
In addition, any request by a taxpayer for a hearing before the board of
PAGE 4-HOUSE BILL 26-1233
assessment appeals shall be stamped with the date on which such request
was received by the board. All such requests shall be presumed to be on
time unless the board can present evidence to show otherwise.
       (b) FOR PROPERTY TAX YEARS COMMENCING ON OR AFTER JANUARY
1, 2027, IF A NONRESIDENTIAL PROPERTY OWNER APPEALS A DECISION TO
THE BOARD OF ASSESSMENT APPEALS PURSUANT TO SUBSECTION (1)(a) OF
THIS SECTION, THE GOVERNING BODY OF THE COUNTY MAY FILE A MOTION
WITH THE BOARD OF ASSESSMENT APPEALS NOTING THE COUNTY'S
PREFERENCE THAT THE CASE BE HEARD IN THE DISTRICT COURT OF THE
COUNTY IN WHICH THE PROPERTY IS LOCATED. THE COUNTY MUST FILE ITS
MOTION WITHIN FORTY-TWO DAYS AFTER THE FILING OF THE PETITION WITH
THE BOARD OF ASSESSMENT APPEALS. THE PETITIONER MUST RESPOND WITH
THEIR ELECTION WITHIN TWENTY-ONE DAYS AFTER THE COUNTY'S MOTION.
THE FILING OF SUCH A MOTION DOES NOT ALTER THE VENUE OF THE CASE,
AND THE BOARD OF ASSESSMENT APPEALS RETAINS JURISDICTION UNLESS
THE PETITIONER ELECTS TO WITHDRAW THE APPEAL AND FILE IN DISTRICT
COURT PURSUANT TO APPLICABLE LAW.
      (5) In any appeal authorized by this section or by section 39-5-122,
39-5-122.7, or 39-10-114:
       (d) Upon request, the respondent shall make available to the
taxpayer two working days prior to any appeal hearing data supporting the
assessor's valuation. Such request shall be accompanied by data supporting
the taxpayer's valuation. Nothing in this paragraph (d) SUBSECTION (5)(d)
shall be construed to prohibit the introduction at such appeal hearing of any
data discovered as a result of the exchange of data required by this
paragraph (d); and SUBSECTION (5)(d);
        SECTION 4. In Colorado Revised Statutes, 39-10-104.5, add (3)(d)
as follows:
       39-10-104.5. Payment dates - optional payment dates - failure to
pay - delinquency.
     (3) (d) (I) IF A COURT OF COMPETENT JURISDICTION FINDS THAT THE
TAXPAYER HAS COMMITTED A PETTY OFFENSE UNDER SECTION 39-5-115 (3),
THE TAXPAYER IS NOT ENTITLED TO PENALTY INTEREST PURSUANT TO THIS
SUBSECTION (3).
PAGE 5-HOUSE BILL 26-1233
      (II) THE BOARD OF ASSESSMENT APPEALS DOES NOT HAVE
AUTHORITY TO DETERMINE WHETHER A TAXPAYER HAS FORFEITED THE
RIGHT TO PENALTY INTEREST. A DETERMINATION OF WHETHER A TAXPAYER
HAS FORFEITED THE RIGHT TO PENALTY INTEREST IS MADE SOLELY BY THE
COURT IN CONNECTION WITH A PROSECUTION FOR WILLFUL
MISINFORMATION.
       SECTION 5. Act subject to petition - effective date. This act
takes effect at 12:01 a.m. on the day following the expiration of the
ninety-day period after final adjournment of the general assembly (August
12, 2026, if adjournment sine die is on May 13, 2026); except that, if a
referendum petition is filed pursuant to section 1 (3) of article V of the state
constitution against this act or an item, section, or part of this act within
such period, then the act, item, section, or part will not take effect unless
PAGE 6-HOUSE BILL 26-1233
approved by the people at the general election to be held in November 2026
and, in such case, will take effect on the date of the official declaration of
the vote thereon by the governor.
____________________________  ____________________________
Julie McCluskie  James Rashad Coleman, Sr.
SPEAKER OF THE HOUSE  PRESIDENT OF
OF REPRESENTATIVES  THE SENATE
____________________________  ____________________________
Vanessa Reilly  Esther van Mourik
CHIEF CLERK OF THE HOUSE  SECRETARY OF
OF REPRESENTATIVES  THE SENATE
       APPROVED________________________________________
                          (Date and Time)
                    _________________________________________
                   Jared S. Polis
                   GOVERNOR OF THE STATE OF COLORADO
PAGE 7-HOUSE BILL 26-1233