HB25B-1006 Summary

• Establishes funding mechanisms for the Colorado Health Insurance Affordability Enterprise using $100 million from tax credit sales (insurance premium and corporate income tax credits) to reduce individual market health insurance costs if federal enhanced premium tax credits expire after 2025.

• Creates Parts 4 and 5 of Article 36 authorizing the sale of insurance premium tax credits (up to $125 million face value/$100 million proceeds) and corporate income tax credits to generate revenue for the Health Insurance Affordability Cash Fund.

• Allocates up to $50 million to the reinsurance program and up to $50 million directly to carriers to reduce individual health plan costs for premium tax credit recipients starting January 1, 2026, contingent on federal enhanced credits not being extended.

• Requires the board to seek input from affected individuals in English and Spanish before making coverage recommendations and mandates annual reporting to the legislature detailing revenue sources, allocations by program, and federal versus state funding shares.

• Includes conditional repeal provisions: the tax credit programs and new funding mechanisms automatically expire if Congress extends enhanced premium tax credits by December 31, 2025; otherwise they take effect January 1, 2026 and expire December 31, 2040.