CO HB1049

Amends Colorado's intrastate securities offering exemption law (11-51-308.5) to allow issuers to terminate escrow arrangements once the minimum offering amount has been raised and deposited with a depository institution.

Replaces references to specific financial institution types (bank, regulated trust company, savings bank, savings and loan association, credit union) with the broader term "depository institution" in three statutory sections related to escrow requirements.

Requires issuers to deposit purchaser funds into an escrow account with a depository institution authorized to do business in Colorado, with the depository institution acting only at the direction of the party establishing the escrow and having no duty or liability to purchasers.

Maintains requirements that the minimum offering amount be at least one-half the maximum amount and that the issuer cannot access escrow funds until minimum amounts are raised, with funds used only in accordance with representations made to purchasers.

Applies to conduct occurring on or after the act's effective date of March 9, 2016.