CO HB1245

Amends Colorado's theft statute to make it a crime when a contractor knowingly uses advance payment funds for purposes unrelated to the specific construction project, resulting in delay, cessation, abandonment, or material nonperformance of that project

Requires contractors to provide written disclosure before accepting advance payments exceeding $300, including intended use of funds, anticipated timing of expenses, projected start date, and notice that misuse may constitute theft

Defines "specific construction project" as construction, repair, renovation, or improvement of real property identified in a written contract, estimate, proposal, or scope of work accepted by the customer

Establishes that failure to provide or adhere to the disclosure requirements may be used as evidence in civil or criminal proceedings

Takes effect August 15, 2026, and applies to offenses committed on or after that date