CO SB135

Refers a ballot measure to the November 2026 general election asking voters to approve the state retaining excess TABOR revenues equal to the amount of state K-12 public education funding for 10 years (fiscal years 2027-28 through 2036-37)

Creates a "positive factor" providing additional funding to each school district, calculated as the lesser of 2% of statewide total program funding for 2026-27 or the amount of retained excess revenues, distributed proportionally based on each district's share of statewide total program

Restricts positive factor funding to four specific uses: increasing teacher pay, improving teacher retention, lowering class sizes, and increasing access to career and technical courses

Establishes an excess state revenues account within the general fund, with priority given to paying districts their positive factor funding before any remaining funds can be spent on other purposes

Requires the state auditor to publish an annual report by October 15 detailing how much excess revenue was retained and how it was spent, and includes conforming amendments to protect the expanded earned income tax credit, family affordability tax credit, and affordable housing financing fund from being affected by the measure