HB10-1174 Summary

• Reduces the oil and gas severance tax property tax credit by 50% for taxable years beginning January 1, 2011 through December 31, 2012, then repeals the reduction effective January 1, 2015.

• Creates a teacher retention cash fund to receive 90% of additional severance tax revenues generated by the credit reduction, with distribution to school districts and charter schools based on pupil enrollment for teacher retention purposes.

• Creates a small business credit cash fund to receive 10% of additional severance tax revenues, to be used by the Colorado Economic Development Commission for increasing credit availability to small businesses through the Colorado credit reserve program.

• Requires the Department of Education to distribute teacher retention funds proportionally to school districts and the state charter school institute based on statewide pupil enrollment, with funds designated specifically for teacher retention in addition to other school funding.

• Includes a safety clause declaring the act necessary for immediate preservation of public peace, health, and safety.