Concerning repealing the employment support and job retention services program, and, in connection therewith, reducing an appropriation.
Summary
House Bill 26-1383 repeals Colorado’s Employment Support and Job Retention Services Program earlier than current law provides. The program, created in 2019 within the Department of Labor and Employment’s Division of Employment and Training, funds employment preparation, job training, job search, and job retention services for eligible individuals through a dedicated cash fund. Under the bill, the program’s statutory repeal date is moved up from September 1, 2029, to July 1, 2026.
The bill also requires the state treasurer to transfer all unexpended and unencumbered money in the program cash fund to the general fund on June 30, 2026. In addition, it makes corresponding budget adjustments for fiscal year 2026-27 by reducing the general fund appropriation to the fund and the reappropriated funds appropriation from the fund by $250,000 each, with a safeguard that the reduction does not apply if the relevant appropriations are already lower or absent in the long bill.
Impact
The bill amends Colorado Revised Statutes section 8-83-407 to accelerate the repeal of part 4 of title 8, article 83, and adds a new transfer requirement to section 8-83-406 directing remaining cash fund balances to the general fund. It also conditionally adjusts the 2026-27 appropriations for the Department of Labor and Employment’s Division of Employment and Training, reducing both the general fund contribution and the reappropriated spending authority tied to the program by $250,000, subject to the contents of the annual appropriations act. The practical effect is to terminate the program sooner, end its dedicated funding stream, and return any remaining balance to the state’s general fund.
Sentiment
The available context suggests the bill was treated as a budgetary and program-repeal measure rather than a highly controversial policy change. It moved through the Appropriations committees and was ultimately signed by the governor, indicating sufficient support for the fiscal and administrative changes. No committee transcripts or recorded votes were provided, so there is no evidence in the record supplied here of organized opposition or extended debate.
Contention
The main point of contention implied by the bill is whether the Employment Support and Job Retention Services Program should continue operating until 2029 or be repealed in 2026. Supporters of repeal would likely favor consolidating or redirecting state funds and ending a program that no longer warrants dedicated appropriations, while opponents would likely argue that the program provides useful employment and retention assistance to eligible individuals and that ending it early could reduce services. The bill’s appropriation reductions and fund transfer requirement also suggest a fiscal tradeoff between maintaining program funding and returning money to the general fund.