Large Employer Worker Health-Care Support

Second Regular Session Seventy-fifth General Assembly STATE OF COLORADO REENGROSSED This Version Includes All Amendments Adopted in the House of Introduction HOUSE BILL 26-1327 LLS NO. 26-0442.03 Brita Darling x2241 HOUSE SPONSORSHIP Feret, Bacon, Brown, Clifford, Garcia, Lieder, Mauro, Rutinel, Rydin, Stewart R., Titone, Velasco, Woodrow, Zokaie, Lindsay, Nguyen, Ricks SENATE SPONSORSHIP Mullica, House Committees Senate Committees Health & Human Services Finance Appropriations A BILL FOR AN ACT CONCERNING HEALTH-CARE SUPPORT FOR LARGE EMPLOYERS' WORKERS, AND, IN CONNECTION THEREWITH, MAKING AN APPROPRIATION.

The bill creates the large employer health-care support enterprise (enterprise) to impose, assess, and collect the large employer health-care support fee (enterprise fee) in the amount of $2,300 for each supported worker for the calendar year. A worker who is receiving medical assistance benefits under the state medical assistance program is a Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.

Capital letters or bold & italic numbers indicate new material to be added to existing law. Dashes through the words or numbers indicate deletions from existing law.

May 5, 2026 HOUSE HOUSE Amended 2nd Reading May 4, 2026 (Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov.) 3rd Reading Unamended Bill Summary supported worker (supported worker). The business purpose of the enterprise is to help large employers retain supported workers who are not provided employer-sponsored affordable health coverage by using enterprise fee revenue to help finance the costs for medical assistance benefits for large employers' workers. This service reduces lost productivity due to worker illness and training costs to replace workers who may otherwise seek employment that provides affordable health coverage. An employer is subject to the enterprise fee if the employer is a large employer, which is defined in the bill as an employer that has 500 or more supported workers (large employer). An employer is exempted from paying the enterprise fee if the employer: ! Provides affordable health coverage to all workers working 20 or more hours per week or 80 or more hours per month; ! Is a franchisee of the employer; ! Is a nonprofit employer; ! Is a public employer; or ! Has a collective bargaining agreement with its employees that includes health-care coverage. Starting with a review of the 2027 calendar year, the department of health care policy and financing (HCPF) shall prepare a large employer report by March of the following calendar year that identifies large employers by their number of supported workers for the preceding calendar year. An employer may contest the employer's identification as a large employer. Once identified, a large employer shall either pay the enterprise fee for each of the large employer's supported workers or demonstrate that it provides affordable health coverage to all workers working 20 or more hours per week or 80 or more hours per month. The enterprise may adjust the amount of the enterprise fee to reflect the cost of the services, for inflation, or for other reasons. A large employer commits a petty offense and is subject to a civil penalty for failure to provide information necessary to calculate the enterprise fee or to either timely pay the enterprise fee or demonstrate that the large employer offers affordable health coverage as specified in the bill. Enterprise revenue is used to pay for medical assistance benefits for working-age adults under the state medical assistance program and to increase reimbursement rates for health-care providers providing medical assistance program services to ensure worker access to medical services. The enterprise is governed by the enterprise board, and the enterprise board shall report annually to the general assembly on the enterprise revenue and the enterprise's use of the enterprise revenue in support of large employers. If the enterprise determines that retaining additional enterprise fee revenue would cause the enterprise to receive more than $100 million dollars in its first 5 fiscal years, the state treasurer shall credit the additional fee revenue to the large employer fee cash fund created in the state treasury for administration by HCPF, and that fee revenue is subject to the state fiscal year spending limit imposed by section 20 of article X of the state constitution and the excess revenues cap. The money in the large employer fee cash fund shall be used by HCPF to pay for costs for medical assistance benefits to support large employers' supported workers.

Be it enacted by the General Assembly of the State of Colorado: SECTION 1. In Colorado Revised Statutes, add part 12 to article 1 of title 25.5 as follows:

PART 12 LARGE EMPLOYER HEALTH-CARE SUPPORT ENTERPRISE 25.5-1-1201. Short title.

THE SHORT TITLE OF THIS PART 12 IS THE "LARGE EMPLOYER HEALTH-CARE SUPPORT ENTERPRISE ACT".

25.5-1-1202. Legislative declaration.

(1) THE GENERAL ASSEMBLY FINDS THAT:

(a) LARGE EMPLOYERS PROVIDE JOBS FOR THOUSANDS OF COLORADO WORKERS, BUT MANY LARGE EMPLOYERS DO NOT PROVIDE AFFORDABLE HEALTH-CARE COVERAGE FOR WORKERS WHO WORK FEWER THAN THIRTY HOURS PER WEEK OR ONE HUNDRED THIRTY HOURS PER MONTH;

(b) MANY WORKERS WHO ARE NOT OFFERED EMPLOYER-SPONSORED AFFORDABLE HEALTH COVERAGE ARE ENROLLED IN AND RECEIVE STATE-SUBSIDIZED MEDICAL ASSISTANCE BENEFITS;

(c) LARGE EMPLOYERS DIRECTLY BENEFIT FROM THEIR WORKERS' PARTICIPATION IN STATE-SUBSIDIZED MEDICAL ASSISTANCE BENEFITS, WHICH PARTICIPATION KEEPS WORKERS HEALTHY, REDUCES LOST PRODUCTIVITY DUE TO WORKER ILLNESS, AND INCREASES WORKER RETENTION; AND

(d) FURTHER, THE STATE'S INVESTMENT IN HEALTH CARE FOR LARGE EMPLOYERS' WORKERS SUPPORTS A LARGE EMPLOYER'S BUSINESS DECISION TO HOLD DOWN HOURS AND WAGES, WHICH REDUCES COSTS BECAUSE:

(I) LARGE EMPLOYERS ARE NOT PROVIDING HEALTH COVERAGE FOR MEDICAL CARE THAT EVERY WORKER NEEDS; AND (II) THE AVAILABILITY OF MEDICAL ASSISTANCE BENEFITS SUPPORT THE RETENTION OF WORKERS IN CERTAIN JOBS AND REDUCE LARGE EMPLOYERS' TRAINING COSTS THAT ARISE WHEN REPLACING WORKERS WHO MAY OTHERWISE SEEK EMPLOYMENT THAT PROVIDES AFFORDABLE HEALTH COVERAGE.

(2) THE GENERAL ASSEMBLY DECLARES THAT:

(a) THE LARGE EMPLOYER HEALTH-CARE SUPPORT ENTERPRISE PROVIDES VALUABLE BENEFITS AND BUSINESS SERVICES TO LARGE EMPLOYERS BY, IN EXCHANGE FOR PAYING THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE IMPOSED PURSUANT TO SECTION 25.5-1-1206, USING THE FEE REVENUE TO:

(I) IMPROVE THE HEALTH AND PRODUCTIVITY OF WORKERS FOR WHOM A LARGE EMPLOYER DOES NOT PROVIDE AFFORDABLE HEALTH COVERAGE BY SUPPORTING THE AVAILABILITY OF MEDICAL ASSISTANCE BENEFITS AND HEALTH-CARE PROVIDERS FOR THE LARGE EMPLOYER'S WORKERS; AND

(II) PROVIDE REIMBURSEMENT GRANTS FOR LARGE EMPLOYERS' COSTS EMPLOYER-SPONSORED HEALTH BENEFIT PLAN PURSUANT TO SECTION FOR WORKE RS WH O CHOOSE TO BUY IN T O AN

(b) NO OTHER ENTERPRISE CREATED SIMULTANEOUSLY OR WITHIN THE PRECEDING FIVE YEARS SERVES PRIMARILY THE SAME PURPOSE AS THE LARGE EMPLOYER HEALTH-CARE SUPPORT ENTERPRISE AND THE ENTERPRISE DOES NOT REQUIRE VOTER APPROVAL PURSUANT TO SECTION

(c) IT IS NECESSARY, APPROPRIATE, AND IN THE BEST INTEREST OF THE STATE TO ACKNOWLEDGE THAT, BY PROVIDING THE BENEFITS AND SERVICES SPECIFIED IN THIS PART 12, THE LARGE EMPLOYER HEALTH-CARE SUPPORT ENTERPRISE ENGAGES IN ACTIVITIES CONDUCTED IN THE PURSUIT OF A BENEFIT, GAIN, OR LIVELIHOOD AND THEREFORE OPERATES AS A BUSINESS; AND

(d) CONSISTENT WITH THE DETERMINATION OF THE COLORADO SUPREME COURT IN NICHOLL V. E-470 PUBLIC HIGHWAY AUTHORITY, 896 P.2d 859 (COLO. 1995), THAT THE POWER TO IMPOSE TAXES IS INCONSISTENT WITH ENTERPRISE STATUS UNDER SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION, THE GENERAL ASSEMBLY CONCLUDES THAT THE REVENUE COLLECTED BY THE ENTERPRISE IS GENERATED BY A FEE, NOT A TAX, BECAUSE THE MONEY CREDITED TO THE ENTERPRISE IS:

(I) IMPOSED FOR THE SPECIFIC PURPOSE OF ALLOWING THE ENTERPRISE TO DEFRAY THE COSTS OF PROVIDING THE BUSINESS SERVICES DESCRIBED IN THIS PART 12;

(II) COLLECTED AT RATES THAT ARE REASONABLY CALCULATED BASED ON THE COSTS OF THE SERVICES PROVIDED BY THE ENTERPRISE;

AND

(III) NOT STATE FISCAL YEAR SPENDING, AS DEFINED IN SECTION 24-77-102 (17), OR STATE REVENUES, AS DEFINED IN SECTION 24-77-103.6 (6)(c), AND DOES NOT COUNT AGAINST EITHER THE STATE FISCAL YEAR SPENDING LIMIT IMPOSED BY SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION OR THE EXCESS STATE REVENUES CAP, AS DEFINED IN

SECTION 24-77-103.6 (6)(b), SO LONG AS THE ENTERPRISE QUALIFIES AS AN ENTERPRISE FOR PURPOSES OF SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION.

25.5-1-1203. Definitions.

AS USED IN THIS PART 12, UNLESS THE CONTEXT OTHERWISE REQUIRES:

(1) "AFFORDABLE HEALTH COVERAGE" MEANS HEALTH COVERAGE THAT IS EQUIVALENT TO THE MINIMUM ESSENTIAL COVERAGE REQUIRED UNDER THE FEDERAL ACT AND THAT IS AFFORDABLE AND PROVIDES MINIMUM VALUE, AS DETERMINED UNDER THE FEDERAL ACT AS IT EXISTED ON DECEMBER 31, 2025.

(2) "BOARD" MEANS THE ENTERPRISE BOARD CREATED IN SECTION 25.5-1-1205. (3) "DEPARTMENT OF REVENUE" MEANS THE DEPARTMENT OF REVENUE CREATED IN SECTION 24-1-117.

(4) (a) "EMPLOYER" MEANS A PERSON THAT CONDUCTS BUSINESS IN THE STATE.

(b) "EMPLOYER" DOES NOT INCLUDE A PERSON THAT:

(I) IS A FRANCHISEE OF THE EMPLOYER;

(II) IS A NONPROFIT EMPLOYER;

(III) IS A PUBLIC EMPLOYER, AS DEFINED IN SECTION 29-33-103 (6), OR A PUBLIC ENTITY AS DEFINED IN SECTION 24-10-103 (5); OR (IV) HAS A COLLECTIVE BARGAINING AGREEMENT WITH ITS EMPLOYEES THAT INCLUDES AFFORDABLE HEALTH-CARE COVERAGE.

(5) "ENTERPRISE" MEANS THE LARGE EMPLOYER HEALTH-CARE SUPPORT ENTERPRISE CREATED IN THIS PART 12.

(6) "FEDERAL ACT" MEANS THE "PATIENT PROTECTION AND AFFORDABLE CARE ACT", PUB.L. 111-148, AS AMENDED BY THE FEDERAL "HEALTH CARE AND EDUCATION RECONCILIATION ACT OF 2010", PUB.L.

111-152, AS AMENDED, INCLUDING ANY FEDERAL REGULATIONS ADOPTED UNDER THE FEDERAL ACT.

(7) "FEE" MEANS THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE CREATED IN SECTION 25.5-1-1206.

(8) "FUND" MEANS THE LARGE EMPLOYER HEALTH-CARE SUPPORT FUND CREATED IN SECTION 25.5-1-1208.

(9) (a) "LARGE EMPLOYER" MEANS AN EMPLOYER WITH FIVE HUNDRED OR MORE SUPPORTED WORKERS DURING THE IMMEDIATELY PRECEDING CALENDAR YEAR.

(b) FOR PURPOSES OF SUBSECTION (9)(a) OF THIS SECTION, THE DETERMINATION OF THE AVERAGE NUMBER OF WORKERS WHO ARE RECEIVING MEDICAL ASSISTANCE BENEFITS IN THE PRECEDING CALENDER YEAR DOES NOT INCLUDE:

(I) A WORKER WHO IS UNDER EIGHTEEN YEARS OLD;

(II) A WORKER EMPLOYED AS A SEASONAL WORKER, AS DEFINED IN SECTION 8-70-103 (23.6); OR

(III) A WORKER WHO QUALIFIES FOR SOCIAL SECURITY DISABILITY INSURANCE UNDER 42 U.S.C. SECS. 401 TO 433, SUPPLEMENTAL SECURITY INCOME UNDER 42 U.S.C. SEC. 1381 ET SEQ., OR A WORKER WHO IS ENROLLED IN THE MEDICAID BUY-IN PROGRAM CREATED IN SECTION

(10) "MEDICAL ASSISTANCE BENEFITS" MEANS BENEFITS PROVIDED UNDER THE MEDICAL ASSISTANCE PROGRAM.

"MEDICAL ASSISTANCE PROGRAM" MEANS THE STATE MEDICAL ASSISTANCE PROGRAM ESTABLISHED IN ARTICLES 4, 5, AND 6 OF THIS TITLE 25.5.

(12) "SUPPORTED WORKERS" MEANS, FOR THE CALENDAR YEAR, THE AVERAGE OF THE NUMBER OF A LARGE EMPLOYER'S WORKERS WHO RECEIVED MEDICAL ASSISTANCE BENEFITS FOR ANY MONTH IN THE CALENDAR YEAR BEGINNING AFTER THE FIRST SIXTY DAYS OF EMPLOYMENT. "SUPPORTED WORKERS" DOES NOT INCLUDE WORKERS WHO QUALIFY FOR SOCIAL SECURITY DISABILITY INSURANCE UNDER 42 U.S.C.

SECS. 401 TO 433 OR SUPPLEMENTAL SECURITY INCOME UNDER 42 U.S.C.

SEC .1381 ET SEQ.

(13) "WORKER" MEANS AN EMPLOYEE, AS DEFINED IN SECTION 8-4-101 (5), OF A LARGE EMPLOYER. 25.5-1-1204. Large employer health-care support enterprise - creation - purpose - reporting - repeal. (1) THERE IS CREATED THE LARGE EMPLOYER HEALTH-CARE SUPPORT ENTERPRISE.

GOVERNMENT-OWNED BUSINESS WITHIN THE STATE DEPARTMENT FOR THE PURPOSE OF CONDUCTING THE BUSINESS ACTIVITIES DESCRIBED IN SUBSECTION (2) OF THIS SECTION. THE ENTERPRISE IS A TYPE 1 ENTITY, AS DEFINED IN SECTION 24-1-105, AND EXERCISES ITS POWERS AND PERFORMS ITS DUTIES AND FUNCTIONS UNDER THE STATE DEPARTMENT.

THE ENTERPRISE IS AND OPERATES AS A

(2) THE ENTERPRISE IS CREATED FOR THE BUSINESS PURPOSE OF IMPOSING, ASSESSING, HEALTH-CARE SUPPORT FEE PURSUANT TO SECTION 25.5-1-1206 AND TO AND COLLECTING THE LARGE EMPLOYER USE THE FEE REVENUE TO SUPPORT THE HEALTH, PRODUCTIVITY, AND RETENTION OF A LARGE EMPLOYER'S SUPPORTED WORKERS BY, AS DETERMINED BY THE BOARD:

(a) SUPPORTING THE PAYMENT OF MEDICAL ASSISTANCE PROGRAM PREMIUMS FOR WORKERS RECEIVING MEDICAL ASSISTANCE BENEFITS WHOSE COVERAGE IS NOT FUNDED BY THE HEALTHCARE AFFORDABILITY AND SUSTAINABILITY HOSPITAL PROVIDER FEE CASH FUND PURSUANT TO

SECTION 25.5-4-402.4 (5)(b)(IV) AND ENSURING ACCESS TO HEALTH-CARE PROVIDERS; AND

(b) PROVIDING REIMBURSEMENT GRANTS FOR LARGE EMPLOYERS' COSTS EMPLOYER-SPONSORED HEALTH BENEFIT PLAN PURSUANT TO SECTION FO R WORKERS WHO CHOOSE TO BUY IN T O AN

(3) THE ENTERPRISE CONSTITUTES AN ENTERPRISE FOR PURPOSES OF SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION SO LONG AS IT RETAINS THE AUTHORITY TO ISSUE REVENUE BONDS AND RECEIVES LESS THAN TEN PERCENT OF ITS TOTAL REVENUES IN GRANTS, AS DEFINED IN SECTION GOVERNMENTS COMBINED. SO LONG AS IT CONSTITUTES AN ENTERPRISE, THE ENTERPRISE IS NOT SUBJECT TO SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION.

24-77-102 (7), FROM ALL COLORADO STATE AND LOCAL IN FURTHERANCE OF THE BUSINESS PURPOSES OF THE ENTERPRISE AND TO FULLY EXERCISE ITS POWERS AND DUTIES THROUGH THE BOARD, THE ENTERPRISE HAS THE POWER AND DUTY TO:

(a) IMPOSE, ASSESS, AND COLLECT THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE PURSUANT TO SECTION 25.5-1-1206;

(b) ISSUE REVENUE BONDS PAYABLE FROM THE REVENUE OF THE ENTERPRISE;

(c) PAY THE REASONABLE, DIRECT, AND INDIRECT ADMINISTRATIVE COSTS OF THE ENTERPRISE, INCLUDING THE REASONABLE ADMINISTRATIVE COSTS OF THE STATE DEPARTMENT AND THE DEPARTMENT OF REVENUE IN CONNECTION WITH THEIR DUTIES RELATING TO THE FEE;

(d) (I) ENTER INTO CONTRACTS WITH THIRD PARTIES, INCLUDING THE STATE DEPARTMENT, TO ENGAGE THE SERVICES OF PUBLIC OR PRIVATE ENTITIES, CONTRACTORS, OR CONSULTANTS FOR PROFESSIONAL AND TECHNICAL ASSISTANCE AND TO PROVIDE ADVICE AND OTHER SERVICES RELATED TO CONDUCTING THE AFFAIRS OF THE ENTERPRISE.

(II) THE STATE DEPARTMENT SHALL PROVIDE OFFICE SPACE AND ADMINISTRATIVE STAFF TO THE ENTERPRISE, AS NEEDED, AT FAIR MARKET RATES, PURSUANT TO A CONTRACT ENTERED INTO PURSUANT TO THIS SUBSECTION (4)(d).

(e) ADOPT, AMEND, OR REPEAL RULES OR POLICIES FOR THE REGULATION OF THE ENTERPRISE'S AFFAIRS AND THE CONDUCT OF THE ENTERPRISE'S BUSINESS CONSISTENT WITH THIS PART 12;

(f) SERVICES;

ENGAGE THE ATTORNEY GENERAL'S OFFICE FOR LEGAL

(g) ENGAGE THE STATE DEPARTMENT AS NECESSARY TO REVIEW ADMINISTRATIVE DATA FOR PURPOSES OF IDENTIFYING LARGE EMPLOYERS AND DETERMINING A LARGE EMPLOYER'S NUMBER OF SUPPORTED WORKERS;

(h) ENGAGE THE DEPARTMENT OF REVENUE TO COLLECT AND ENFORCE THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE;

(i) PREPARE AND SUBMIT AN ANNUAL REPORT OF THE ENTERPRISE'S ACTIVITIES AND FUNDING PURSUANT TO SUBSECTION (6) OF THIS SECTION;

(j) SEEK, ACCEPT, AND EXPEND GRANTS OR OTHER MONEY FROM THE FEDERAL GOVERNMENT, INCLUDING MATCHING MONEY FOR THE MEDICAL ASSISTANCE PROGRAM, IF AVAILABLE, AND GIFTS, GRANTS, OR DONATIONS FROM OTHER PUBLIC AND PRIVATE SOURCES TO SUPPORT AND ENHANCE ENTERPRISE ACTIVITIES; EXCEPT THAT THE ENTERPRISE SHALL NOT ACCEPT GRANTS FROM THE STATE OR FROM LOCAL GOVERNMENTS UNLESS THE COMBINED TOTAL OF ALL GRANTS FROM SUCH SOURCES IS UNDER TEN PERCENT OF THE ENTERPRISE'S ANNUAL REVENUE; AND

(k) EXERCISE ALL RIGHTS AND POWERS NECESSARY OR INCIDENTAL TO OR IMPLIED FROM THE SPECIFIC POWERS AND DUTIES GRANTED IN THIS PART 12.

(5) (a) (I) ON OR AFTER THE EFFECTIVE DATE OF THIS PART 12, THE STATE TREASURER MAY TRANSFER MONEY FROM THE GENERAL FUND TO THE FUND FOR THE PURPOSE OF DEFRAYING EXPENSES INCURRED BY THE ENTERPRISE BEFORE IT RECEIVES FEE REVENUE OR REVENUE BOND PROCEEDS. NOTWITHSTANDING ANY OTHER LAW, THE ENTERPRISE MAY ACCEPT NOTWITHSTANDING ANY STATE FISCAL RULE OR GENERALLY ACCEPTED ACCOUNTING PRINCIPLE THAT COULD OTHERWISE BE INTERPRETED TO REQUIRE A CONTRARY CONCLUSION, THE TRANSFER IS A LOAN FROM THE STATE TREASURER TO THE ENTERPRISE THAT IS REQUIRED TO BE REPAID AND IS NOT A GRANT FOR PURPOSES OF SECTION 20 (2)(d) OF ARTICLE X OF THE STATE CONSTITUTION OR AS DEFINED IN SECTION 24-77-102 (7). ALL MONEY TRANSFERRED AS A LOAN TO THE ENTERPRISE IS CREDITED TO THE FUND OR TO AN ACCOUNT WITHIN THE FUND. LOAN LIABILITIES THAT ARE RECORDED IN THE FUND BUT THAT ARE NOT REQUIRED TO BE PAID IN THE AND EXPEND ANY MONEY SO TRANSFERRED , AND , CURRENT FISCAL YEAR SHALL NOT BE CONSIDERED WHEN CALCULATING SUFFICIENT STATUTORY FUND BALANCE FOR PURPOSES OF SECTION

(II) NO LATER THAN JULY 1, 2029, THE ENTERPRISE SHALL REPAY ANY LOAN RECEIVED PURSUANT TO SUBSECTION (5)(a)(I) OF THIS SECTION AND ACCUMULATED INTEREST. INTEREST ACCRUES ON THE MONEY BORROWED AT A RATE PER ANNUM ON THE MOST RECENTLY ISSUED TEN-YEAR UNITED STATES TREASURY NOTE, ROUNDED TO THE NEAREST ONE-TENTH OF ONE PERCENT, AS REPORTED BY THE "WALL STREET JOURNAL" AS OF THE DATE THE TRANSFER IS MADE, BEGINNING ON THAT DATE AND CONTINUING UNTIL THE DATE ON WHICH THE MONEY IS REPAID.

(b) THIS SUBSECTION (5) IS REPEALED, EFFECTIVE JULY 1, 2030.

THE ENTERPRISE SHALL PREPARE AN ANNUAL REPORT REGARDING ITS ACTIVITIES AND FUNDING AND PRESENT THE REPORT TO THE HOUSE OF REPRESENTATIVES HEALTH AND HUMAN SERVICES COMMITTEE AND THE SENATE HEALTH AND HUMAN SERVICES COMMITTEE, OR THEIR SUCCESSOR COMMITTEES. THE ENTERPRISE SHALL ALSO POST THE ANNUAL REPORT ON A PUBLIC-FACING WEBSITE. NOTWITHSTANDING THE REQUIREMENT IN SECTION 24-1-136 (11)(a)(I), THE REQUIREMENT TO SUBMIT A REPORT PURSUANT TO THIS SUBSECTION (6) CONTINUES INDEFINITELY.

(7) (a) THE BOARD IS SUBJECT TO THE OPEN MEETINGS PROVISIONS OF THE "COLORADO SUNSHINE ACT OF 1972", CONTAINED IN PART 4 OF ARTICLE 6 OF TITLE 24. EXCEPT AS MAY OTHERWISE BE PROVIDED BY FEDERAL LAW OR STATE LAW, THE RECORDS OF THE ENTERPRISE ARE PUBLIC RECORDS, AS DEFINED IN SECTION 24-72-202 (6), AND ARE SUBJECT TO THE "COLORADO OPEN RECORDS ACT", PART 2 OF ARTICLE 72 OF TITLE 24.

(b) NOTHING IN THIS PART 12 AUTHORIZES THE DISCLOSURE TO THE PUBLIC BY THE ENTERPRISE, THE BOARD, THE STATE, OR AN EMPLOYER OR ITS AGENT OF ANY INFORMATION THAT WOULD IDENTIFY A SPECIFIC WORKER OR A SPECIFIC WORKER'S STATUS AS A RECIPIENT OF MEDICAL ASSISTANCE BENEFITS.

(8) THE ENTERPRISE IS A PUBLIC ENTITY FOR PURPOSES OF PART 2 OF ARTICLE 57 OF TITLE 11.

Enterprise board of directors - creation - appointment - duties - rules - repeal.

(1) THE LARGE EMPLOYER HEALTH-CARE SUPPORT ENTERPRISE IS GOVERNED BY THE ENTERPRISE BOARD OF DIRECTORS. THE BOARD CONSISTS OF THE FOLLOWING NINE VOTING MEMBERS:

(a) THE EXECUTIVE DIRECTOR OR THE EXECUTIVE DIRECTOR'S DESIGNEE; AND

(b) EIGHT MEMBERS APPOINTED BY THE GOVERNOR WITH THE ADVICE AND CONSENT OF THE SENATE, INCLUDING:

(I) TWO MEMBERS WHO ARE HEALTH-CARE PROVIDERS WHO SERVE PATIENTS WHO RECEIVE MEDICAL ASSISTANCE BENEFITS;

(II) ONE MEMBER WHO IS A WORKER WHO RECEIVES OR HAS RECEIVED MEDICAL ASSISTANCE BENEFITS WHILE EMPLOYED;

(III) ONE MEMBER WHO REPRESENTS A LOCAL CHAMBER OF COMMERCE;

(IV) ONE MEMBER WHO REPRESENTS A LARGE EMPLOYER;

(V) ONE MEMBER WHO REPRESENTS A COUNTY DEPARTMENT OF HUMAN OR SOCIAL SERVICES;

(VI) ONE MEMBER WHO REPRESENTS A LABOR ORGANIZATION;

AND

(VII) ONE MEMBER WHO HAS EXPERTISE IN HEALTH INSURANCE.

(2) (a) NOTWITHSTANDING SUBSECTION (4)(a) OF THIS SECTION, OF THE FIRST MEMBERS APPOINTED TO THE BOARD PURSUANT TO SUBSECTION (1)(b) OF THIS SECTION, TWO MEMBERS SHALL SERVE AN INITIAL TERM OF TWO YEARS.

(b) THE GOVERNOR SHALL MAKE THE INITIAL APPOINTMENTS TO THE BOARD NO LATER THAN NOVEMBER 1, 2026.

(c) THIS SUBSECTION (2) IS REPEALED, EFFECTIVE JULY 1, 2027.

(3) THE EXECUTIVE DIRECTOR OR THE EXECUTIVE DIRECTOR'S DESIGNEE IS THE CHAIR OF THE BOARD.

(4) (a) MEMBERS OF THE BOARD APPOINTED BY THE GOVERNOR SERVE THREE-YEAR TERMS AND SERVE AT THE PLEASURE OF THE GOVERNOR AND MAY BE REMOVED BY THE GOVERNOR. A MEMBER OF THE BOARD MAY SERVE AN UNLIMITED NUMBER OF CONSECUTIVE TERMS.

(b) A MEMBER APPOINTED TO FILL A VACANCY SERVES THE REMAINDER OF THE UNEXPIRED TERM OF THE MEMBER WHOSE VACANCY IS BEING FILLED.

(c) MEMBERS OF THE BOARD SERVE WITHOUT COMPENSATION BUT MAY BE REIMBURSED FROM MONEY IN THE FUND FOR ACTUAL, REASONABLE, AND NECESSARY EXPENSES, INCLUDING TRAVEL, FOOD, AND LODGING, INCURRED IN THE PERFORMANCE OF THEIR OFFICIAL DUTIES PURSUANT TO THIS PART 12.

(5) THE BOARD SHALL MEET AS OFTEN AS NECESSARY TO CARRY OUT ITS DUTIES. THE BOARD HAS THE POWER AND DUTY TO:

(a) IMPLEMENT AND ADMINISTER THE ENTERPRISE;

(b) ESTABLISH BYLAWS, AS APPROPRIATE AND CONSISTENT WITH THIS PART 12, FOR THE BOARD'S EFFECTIVE OPERATION;

(c) ESTABLISH ADMINISTRATIVE AND ACCOUNTING PROCEDURES FOR THE OPERATION OF THE ENTERPRISE;

(d) PRIOR TO THE IMPLEMENTATION OF ENTERPRISE SERVICES, AND AS NECESSARY OR APPROPRIATE THEREAFTER, ADOPT RULES OR POLICIES CONCERNING:

(I) THE DETERMINATION AND CALCULATION OF AN EMPLOYER'S SUPPORTED WORKERS;

(II) THE DETERMINATION OF THE AMOUNT OF THE FEE PAID BY EACH LARGE EMPLOYER;

(III) THE USE OF ENTERPRISE REVENUE TO SUPPORT THE PAYMENT OF MEDICAL ASSISTANCE PROGRAM PREMIUMS FOR WORKERS RECEIVING MEDICAL ASSISTANCE BENEFITS WHOSE COVERAGE IS NOT FUNDED BY THE HEALTHCARE AFFORDABILITY AND SUSTAINABILITY HOSPITAL PROVIDER FEE CASH FUND PURSUANT TO SECTION 25.5-4-402.4 (5)(b)(IV) AND TO ENSURE THE AVAILABILITY OF HEALTH-CARE PROVIDERS WHO SERVE SUPPORTED WORKERS; AND

(IV) REIMBURSEMENT GRANTS FOR LARGE EMPLOYERS' COSTS FOR WORKERS WHO CHOOSE TO BUY INTO AN EMPLOYER-SPONSORED HEALTH BENEFIT PLAN PURSUANT TO SECTION 25.5-1-1207; AND

(e) NO LATER THAN SEPTEMBER 1, 2028, AND NO LATER THAN SEPTEMBER 1, EACH YEAR THEREAFTER, THE BOARD SHALL DETERMINE THE PERCENTAGE ALLOCATION OF FEE REVENUE FOR THE USES OF ENTERPRISE REVENUE SPECIFIED IN SUBSECTIONS (5)(d)(IV) OF THIS SECTION.

(5)(d)(III) AND 25.5-1-1206. Large employer health-care support fee - annual employer report - imposition and collection of enterprise fee - penalty - rules - repeal.

(1) FOR THE 2027 CALENDAR YEAR, AND CONTINUING EACH CALENDAR YEAR THEREAFTER, THE ENTERPRISE SHALL IMPOSE, ASSESS, AND COLLECT THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE FROM EACH LARGE EMPLOYER.

(2) (a) (I) ON OR BEFORE JANUARY 31, 2028, AND NO LATER THAN EACH JANUARY 31 THEREAFTER, EVERY EMPLOYER THAT EMPLOYED FIVE HUNDRED OR MORE EMPLOYEES IN THE STATE AT ANY TIME DURING THE PRECEDING CALENDAR YEAR SHALL REPORT TO THE ENTERPRISE THE EMPLOYER'S FEDERAL EMPLOYER IDENTIFICATION NUMBER, THE AVERAGE NUMBER OF FULL-TIME, PART-TIME, AND 1099 EMPLOYEES, AND THE NUMBER OF INDIVIDUALS SUBCONTRACTED FOR THE PRIMARY WORK OF THE EMPLOYER, AND, WITH RESPECT TO EACH OF THE EMPLOYER'S EMPLOYEES THAT WERE EMPLOYED AT ANY TIME DURING THE PRECEDING CALENDAR YEAR:

(A) THE EMPLOYEE'S FULL LEGAL NAME AND DATE OF BIRTH;

(B) THE DATES WHEN THE EMPLOYEE WAS EMPLOYED DURING THE YEAR;

(C) THE AVERAGE NUMBER OF HOURS WORKED PER MONTH FOR EACH EMPLOYEE; AND

(D) ANY OTHER INFORMATION REQUIRED BY THE ENTERPRISE.

(II) THE ENTERPRISE MAY REQUIRE AN EMPLOYER TO FILE THE REPORT REQUIRED PURSUANT TO SUBSECTION (2)(a)(I) OF THIS SECTION ELECTRONICALLY.

(III) THE ENTERPRISE MAY EXEMPT AN EMPLOYER FROM FILING THE REPORT REQUIRED PURSUANT TO SUBSECTION (2)(a)(I) OF THIS SECTION IF THE EMPLOYER DEMONSTRATES TO THE ENTERPRISE, IN THE FORM AND MANNER DETERMINED BY THE ENTERPRISE, THAT THE EMPLOYER PROVIDES AFFORDABLE HEALTH COVERAGE TO ALL WORKERS WORKING TWENTY OR MORE HOURS PER WEEK OR EIGHTY OR MORE HOURS PER MONTH.

(IV) (A) IF AN EMPLOYER NEGLECTS OR REFUSES TO FILE A REPORT PURSUANT TO SUBSECTION (2)(a)(I) OF THIS SECTION, OR TO PROVIDE A COPY OF RECORDS AS SET FORTH IN SUBSECTION (2)(e) OF THIS SECTION, THE ENTERPRISE SHALL ESTIMATE THE AMOUNT OF THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE DUE USING THE BEST INFORMATION THAT MAY BE AVAILABLE. THE AMOUNT OF THE FEE MAY BE ESTIMATED AND ASSESSED BY THE ENTERPRISE AT ANY TIME WITHIN THREE YEARS AFTER THE REPORT IS DUE.

(B) IF AN EMPLOYER FILES A REPORT PURSUANT TO SUBSECTION (2)(a)(I) OF THIS SECTION, AND THERE IS A REASONABLE BELIEF BASED ON THE INFORMATION PROVIDED IN THE REPORT OR FROM INFORMATION SUBMITTED IN PRIOR OR SUBSEQUENT ANNUAL EMPLOYER REPORTS THAT THE EMPLOYER HAS INTENTIONALLY MISCLASSIFIED OR RECLASSIFIED EMPLOYEES AS FULL-TIME, PART-TIME, EMPLOYEES TO AVOID PAYING THE FEE, THE ENTERPRISE SHALL SEND A NOTICE OF REVIEW TO THE EMPLOYER AND PERMIT THE EMPLOYER TO SUBMIT CORRECTED OR UPDATED INFORMATION. THE EMPLOYER MUST SUBMIT CORRECTED OR UPDATED INFORMATION TO THE ENTERPRISE WITHIN THIRTY DAYS. THE EMPLOYER MAY REQUEST A HEARING ON THE INFORMATION IN THE REPORT OR THE CORRECTED OR UPDATED INFORMATION. IF, AFTER THE REVIEW IS COMPLETED, THE ENTERPRISE DETERMINES THAT THE EMPLOYER HAS INTENTIONALLY MISCLASSIFIED OR RECLASSIFIED EMPLOYEES IN AN ANNUAL EMPLOYER REPORT, THE 1099, OR SUBCONTRACTED EMPLOYER IS SUBJECT TO A FINE OF UP TO THAN FIVE THOUSAND DOLLARS FOR EACH MISCLASSIFIED OR RECLASSIFIED EMPLOYEE.

(b) (I) ON OR BEFORE MARCH 31, 2028, AND NO LATER THAN EACH MARCH 31 THEREAFTER, THE ENTERPRISE SHALL DETERMINE WHETHER AN EMPLOYER IS A LARGE EMPLOYER, CALCULATE AND IMPOSE THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE DUE FOR EACH LARGE EMPLOYER, AND SEND WRITTEN NOTICE PURSUANT TO SUBSECTION (2)(b)(IV) OF THIS SECTION TO EACH LARGE EMPLOYER AND TO THE DEPARTMENT OF REVENUE.

(II) THE ENTERPRISE SHALL DETERMINE THE AMOUNT OF THE FEE THAT IS REASONABLE BASED ON THE COST OF SERVICES PROVIDED TO LARGE EMPLOYERS, INCLUDING MEDICAL ASSISTANCE SERVICES PROVIDED TO SUPPORTED WORKERS, WHICH FEE AMOUNT THE ENTERPRISE MAY ADJUST PURSUANT TO SUBSECTION (4) OF THIS SECTION.

(III) THE ENTERPRISE SHALL DETERMINE THE NUMBER OF SUPPORTED ADMINISTRATIVE DATA AND DATA FROM THE ANNUAL EMPLOYER REPORT REQUIRED PURSUANT TO SUBSECTION (2)(a) OF THIS SECTION. THE ENTERPRISE SHALL ENTER INTO DATA-SHARING AGREEMENTS WITH THE DEPARTMENT OF REVENUE AND THE DEPARTMENT OF LABOR AND EMPLOYMENT, IN ADDITION TO ANY OTHER AGENCIES WITH DATA NECESSARY TO IMPLEMENT THIS SECTION.

WORKERS FOR EACH EMPLOYER USING AVAILABLE

(IV) THE ENTERPRISE SHALL ISSUE TO EACH LARGE EMPLOYER AND TRANSMIT TO THE DEPARTMENT OF REVENUE A WRITTEN NOTICE OF THE AMOUNT OF THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE DUE, INSTRUCTIONS FOR PAYING THE FEE, AND AN EXPLANATION OF THE PROCEDURE TO REVIEW THE IDENTIFICATION AS A LARGE EMPLOYER, TO REVIEW THE CALCULATION OF SUPPORTED WORKERS, OR TO CLAIM THE EXEMPTION FROM THE FEE SPECIFIED IN SUBSECTION (2)(d) OF THIS SECTION. EXCEPT AS PROVIDED IN SUBSECTION (2)(c)(I) OF THIS SECTION, A LARGE EMPLOYER SHALL PAY THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE BY AUGUST 1, 2028, AND NO LATER THAN AUGUST 1 THEREAFTER IN THE CALENDAR YEAR IN WHICH THE FEE IS IMPOSED PURSUANT TO SUBSECTION (2)(c)(II) OF THIS SECTION.

(c) (I) WITHIN SIXTY DAYS AFTER THE DATE OF THE NOTICE ISSUED PURSUANT TO SUBSECTION (2)(b)(IV) OF THIS SECTION, THE EMPLOYER TO WHOM NOTICE WAS ISSUED MAY FILE WITH THE ENTERPRISE A WRITTEN REQUEST FOR REVIEW. THE REQUEST MUST SET FORTH THE REASONS FOR REQUESTED CHANGES TO THE NOTICE. THE REQUEST MAY STATE A CLAIM OF EXEMPTION FROM THE FEE PURSUANT TO SUBSECTION (2)(d) OF THIS SECTION. THE EMPLOYER REQUESTING REVIEW HAS THE BURDEN OF PROOF WITH RESPECT TO ISSUES RAISED IN THE REQUEST. THE ENTERPRISE SHALL NOTIFY THE DEPARTMENT OF REVENUE WHEN A REQUEST FOR REVIEW IS MADE BY AN EMPLOYER, AND THE DEPARTMENT OF REVENUE SHALL HOLD IN ABEYANCE ANY ACTION TO COLLECT THE FEE UNTIL THE DEPARTMENT OF DETERMINATION PURSUANT TO SUBSECTION (2)(c)(II) OF THIS SECTION.

(II) UNLESS THE ENTERPRISE SUMMARILY CANCELS THE NOTICE, THE ENTERPRISE SHALL HOLD A HEARING ON THE REQUEST FOR REVIEW.

BASED UPON THE EVIDENCE PRESENTED AT THE HEARING OR FILED WITH THE REQUEST, THE ENTERPRISE SHALL MAKE A FINAL DETERMINATION ON THE REQUEST. THE ENTERPRISE MAY AFFIRM, MODIFY, OR CANCEL THE NOTICE OR MAY GRANT AN EXEMPTION PURSUANT TO SUBSECTION (2)(d)(I) OF THIS SECTION. AN EMPLOYER IS NOT ENTITLED TO A SECOND REVENUE RECEIVES NOTICE OF THE ENTERPRISE 'S FINAL HEARING REGARDING THE NOTICE. THE ENTERPRISE SHALL PROVIDE WRITTEN NOTICE OF ITS FINAL DETERMINATION TO THE EMPLOYER AND TO THE DEPARTMENT OF REVENUE. THE LARGE EMPLOYER SHALL PAY THE AMOUNT FOUND BY THE ENTERPRISE TO BE DUE WITHIN SIXTY DAYS AFTER THE MAILING OF THE FINAL DETERMINATION.

(d) (I) ONCE THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE IS IMPOSED, THE ENTERPRISE SHALL EXEMPT A LARGE EMPLOYER FROM PAYMENT OF THE FEE IF THE LARGE EMPLOYER DEMONSTRATES THAT THE LARGE EMPLOYER HAS OFFERED AFFORDABLE HEALTH COVERAGE TO WORKERS WHO WORK TWENTY OR MORE HOURS PER WEEK OR EIGHTY OR MORE HOURS PER MONTH.

(II) IF AT ANY TIME DURING THE THREE YEARS FOLLOWING THE GRANTING OF THE EXEMPTION BY THE ENTERPRISE THE LARGE EMPLOYER CEASES OFFERING AFFORDABLE HEALTH COVERAGE TO EACH WORKER WHO WORKS TWENTY OR MORE HOURS PER WEEK OR EIGHTY OR MORE HOURS PER MONTH, THE LARGE EMPLOYER SHALL NOTIFY THE ENTERPRISE THAT COVERAGE HAS CEASED. THE ENTERPRISE SHALL COMPUTE THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE THAT WOULD HAVE BEEN IMPOSED SINCE THE DATE THE EXEMPTION WAS GRANTED AND ISSUE THE LARGE EMPLOYER THE NOTICE REQUIRED BY SUBSECTION (2)(b)(IV) OF THIS SECTION. THE LARGE EMPLOYER MAY REQUEST REVIEW OF THE NOTICE AS SET FORTH IN SUBSECTION (2)(c) OF THIS SECTION.

(e) EVERY EMPLOYER DOING BUSINESS IN THE STATE THAT EMPLOYS FIVE HUNDRED OR MORE EMPLOYEES DURING THE CALENDAR YEAR SHALL KEEP COMPLETE AND ACCURATE RECORDS NECESSARY FOR THE DETERMINATION OF THE CORRECT AMOUNT OF THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE BY THE ENTERPRISE. AN EMPLOYER SHALL PROVIDE A COPY OF THE RECORDS REQUIRED TO BE KEPT PURSUANT TO THIS SUBSECTION (2)(e) AND ANY OTHER RECORDS DEEMED NECESSARY BY THE ENTERPRISE FOR THE DETERMINATION OF THE CORRECT AMOUNT OF THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE TO THE ENTERPRISE, IF SO REQUESTED. THE ENTERPRISE MAY ESTABLISH THE ACCEPTABLE FORM OF SUCH RECORDS.

(f) THE ENTERPRISE AND DEPARTMENT OF REVENUE SHALL ADOPT POLICIES OR RULES CONSISTENT WITH THE RULES CONCERNING THE FILING AND PAYMENT PROVISIONS OF SECTION 39-21-119 THAT APPLY TO THE FILING AND PAYMENT DUTIES IMPOSED BY THIS SECTION.

(3) (a) (I) THE DEPARTMENT OF REVENUE SHALL COLLECT AND ENFORCE THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE ON BEHALF OF THE ENTERPRISE FOLLOWING NOTICE FROM THE ENTERPRISE TO THE DEPARTMENT OF REVENUE PURSUANT TO SUBSECTION (2)(b)(IV) OF THIS SECTION OR UPON RECEIPT OF NOTICE OF FINAL DETERMINATION PURSUANT TO SUBSECTION (2)(c)(II) OF THIS SECTION.

(II) THE DEPARTMENT OF REVENUE SHALL RETAIN AN AMOUNT THAT ADMINISTERING, AND ENFORCING THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE AND SHALL TRANSMIT THE AMOUNT RETAINED TO THE STATE TREASURER, WHO SHALL CREDIT IT TO THE APPROPRIATE CASH FUND FOR THE DEPARTMENT OF REVENUE.

DOES NOT EXCEED THE TOTAL COST OF COLLECTING,

(b) (I) IF A LARGE EMPLOYER DOES NOT PAY THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE DUE, THE DEPARTMENT OF REVENUE SHALL ADD INTEREST, PURSUANT TO SECTION 39-21-110.5, TO THE UNPAID AMOUNT AND A PENALTY EQUAL TO TEN PERCENT OF THE UNPAID AMOUNT, PLUS ONE-HALF PERCENT PER MONTH FROM THE DATE WHEN DUE, NOT TO EXCEED EIGHTEEN PERCENT IN THE AGGREGATE.

(II) THE DEPARTMENT OF REVENUE SHALL PROCEED TO COLLECT THE UNPAID AMOUNT, AND ANY INTEREST OR PENALTY ADDED TO THE UNPAID AMOUNT, PURSUANT TO ARTICLE 21 OF TITLE 39 IN THE SAME MANNER AS ANY UNPAID TAX, PENALTY, OR INTEREST ASSESSED PURSUANT TO ARTICLE 21 OF TITLE 39. ALL METHODS OF COLLECTION AND REMEDIES AUTHORIZED BY ARTICLE 21 OF TITLE 39 ARE AVAILABLE TO THE DEPARTMENT OF REVENUE FOR PURPOSES OF ENFORCING THIS SECTION.

(III) THE DEPARTMENT OF REVENUE SHALL NOT FILE A NOTICE OF LIEN, ISSUE A DISTRAINT WARRANT, INSTITUTE A SUIT FOR COLLECTION, OR TAKE ANY OTHER ACTION TO COLLECT THE AMOUNT DUE MORE THAN THREE YEARS AFTER THE PAYMENT IS DUE; EXCEPT THAT A NOTICE OF LIEN THAT HAS BEEN FILED PRIOR TO THE EXPIRATION OF THE THREE-YEAR PERIOD SHALL CONTINUE FOR ONE YEAR AFTER THE EXPIRATION OF THE THREE-YEAR PERIOD.

(c) THE DEPARTMENT OF REVENUE MAY:

(I) GRANT A REASONABLE EXTENSION OF TIME FOR PAYING THE LARGE EMPLOYER HEALTH-CARE SUPPORT FEE;

(II) WAIVE, FOR GOOD CAUSE SHOWN, ANY PENALTY OR INTEREST ASSESSED PURSUANT TO THIS SECTION;

(III) COMPROMISE ANY CIVIL CASE ARISING PURSUANT TO THIS SECTION AS SET FORTH IN SECTION 39-21-106; AND

(IV) ADOPT, AMEND, OR RESCIND RULES NECESSARY FOR THE ADMINISTRATION OF THIS SECTION IN ACCORDANCE WITH ARTICLE 4 OF TITLE 24.

(d) EXCEPT FOR THE AMOUNT RETAINED BY THE DEPARTMENT OF REVENUE PURSUANT TO SUBSECTION (3)(a)(II) OF THIS SECTION, MONEY THAT THE DEPARTMENT OF REVENUE COLLECTS PURSUANT TO THIS SECTION IS CUSTODIAL MONEY HELD TEMPORARILY BY THE DEPARTMENT OF REVENUE AND THE STATE TREASURER SOLELY FOR THE PURPOSE OF TRANSFERRING THE MONEY TO THE LARGE EMPLOYER HEALTH-CARE SUPPORT FUND FOR USE BY THE ENTERPRISE. BASED ON THE ENTERPRISE'S STATUS AS AN ENTERPRISE, THE MONEY COLLECTED AND TRANSFERRED TO THE LARGE EMPLOYER HEALTH-CARE SUPPORT FUND IS NOT SUBJECT TO

SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION AT ANY TIME DURING THE MONEY'S COLLECTION, TRANSFER, AND USE.

(4) (a) THE ENTERPRISE MAY ANNUALLY ADJUST THE FEE AS DETERMINED PURSUANT TO SUBSECTION (2)(b)(II) OF THIS SECTION FOR INFLATION, TO REFLECT THE COST OF SERVICES PROVIDED TO LARGE EMPLOYERS, INCLUDING MEDICAL ASSISTANCE COSTS FOR SUPPORTED WORKERS OR FOR OTHER REASONS DETERMINED BY THE BOARD.

(b) (I) IF THE IMPOSITION OF THE FEE PURSUANT TO SUBSECTION (2)(b)(I) OF THIS SECTION IS ESTIMATED TO RESULT IN THE COLLECTION OF FEES AND SURCHARGES THAT EXCEED ONE HUNDRED MILLION DOLLARS IN THE ENTERPRISE'S FIRST FIVE FISCAL YEARS, THE ENTERPRISE SHALL ADJUST THE FEES, LOWER THE FEES, OR STOP COLLECTING THE FEES IN ORDER TO NOT COLLECT FEES OR SURCHARGES THAT EXCEED ONE HUNDRED MILLION DOLLARS IN THE ENTERPRISE'S FIRST FIVE FISCAL YEARS, WHICH FIVE-YEAR PERIOD, FOR THE PURPOSE OF SECTION 24-77-108, ENDS ON JULY 1, 2030. THEREFORE, THE ENTERPRISE IS IN COMPLIANCE WITH SECTION 24-77-108.

(II) THIS SUBSECTION (4)(b) IS REPEALED, EFFECTIVE JULY 1, 2031.

(5) THE ENTERPRISE MAY PAY, FROM FEE REVENUE RECEIVED BY THE ENTERPRISE, REASONABLE AND NECESSARY DIRECT AND INDIRECT EXPENSES RELATING TO:

(a) SERVICES OR SUPPORT PROVIDED TO THE ENTERPRISE BY THE STATE DEPARTMENT RELATING TO THE PURPOSES OF THE ENTERPRISE; AND (b) THE DEPARTMENT OF REVENUE'S COLLECTION AND ENFORCEMENT OF THE FEE FROM LARGE EMPLOYERS AND TRANSMITTAL OF THE FEE TO THE STATE TREASURER.

(6) FOR PURPOSES OF IMPOSING, ASSESSING, AND COLLECTING THE FEE, AN EMPLOYER SHALL COMPLY WITH REQUESTS FOR DATA FROM THE ENTERPRISE, AND ANY STATE AGENCIES REQUESTING DATA ON BEHALF OF THE ENTERPRISE, THAT ARE NECESSARY TO IMPLEMENT THE ENTERPRISE'S POWERS AND DUTIES PURSUANT TO THIS PART 12.

Worker buy-in program - access to large employer-sponsored health coverage - employer reimbursement grants - rules.

(1) THERE IS CREATED A WORKER BUY-IN PROGRAM TO USE REVENUE FROM THE FEE TO AWARD GRANTS TO LARGE EMPLOYERS TO REIMBURSE SOME OR ALL OF A LARGE EMPLOYER'S COSTS INCURRED IN PROVIDING WORKERS ACCESS TO ENROLLMENT IN EMPLOYER-SPONSORED HEALTH BENEFIT PLANS FOR WORKERS WHO WORK AT LEAST TWENTY HOURS PER WEEK OR EIGHTY HOURS PER MONTH, BUT WHO DO NOT WORK THE MINIMUM HOURS NECESSARY TO QUALIFY FOR ENROLLMENT IN EMPLOYER-SPONSORED HEALTH BENEFIT PLANS.

(2) A LARGE EMPLOYER THAT CHOOSES TO PARTICIPATE IN THE WORKER BUY-IN PROGRAM SHALL NOTIFY THE ENTERPRISE AND SATISFY THE REQUIREMENTS FOR PARTICIPATION IN AND REIMBURSEMENT FROM THE PROGRAM.

(3) AFTER CONSULTATION WITH THE DIVISION OF INSURANCE AND LARGE EMPLOYERS INTERESTED IN PARTICIPATING IN THE PROGRAM, THE BOARD SHALL ADOPT RULES TO IMPLEMENT AND ADMINISTER THE PROGRAM, INCLUDING RULES:

(a) THAT ENSURE THAT FEE REVENUE ALLOCATED FOR THE PURPOSE SPECIFIED IN THIS SECTION IS USED TO INCENTIVIZE LARGE EMPLOYERS THAT CHOOSE TO ALLOW PART-TIME WORKERS WHO DO NOT OTHERWISE QUALIFY FOR ENROLLMENT IN EMPLOYER-SPONSORED HEALTH BENEFIT PLANS, ON OR BEFORE THE EFFECTIVE DATE OF THIS PART 20, TO BUY INTO EMPLOYER-SPONSORED HEALTH BENEFIT PLANS;

(b) TO DETERMINE THE CRITERIA FOR AND THE AMOUNT OF LARGE EMPLOYER REIMBURSEMENT GRANTS BASED ON AVAILABLE FEE REVENUE AND THE NUMBER OF LARGE EMPLOYERS AND WORKERS PARTICIPATING IN THE PROGRAM; AND

(c) THAT REQUIRE A PARTICIPATING LARGE EMPLOYER TO REPORT TO THE ENTERPRISE INFORMATION NECESSARY TO VERIFY THE NUMBER OF WORKERS PARTICIPATING IN THE WORKER BUY-IN PROGRAM AND THE LARGE EMPLOYER'S COSTS FOR PROVIDING ACCESS TO ENROLLMENT IN AN EMPLOYER-SPONSORED HEALTH BENEFIT PLAN FOR SUCH WORKERS.

creation - use of money.

Large employer health-care support fund -

(1) THERE IS CREATED IN THE STATE TREASURY THE LARGE EMPLOYER HEALTH-CARE SUPPORT FUND. THE FUND CONSISTS OF:

(a) MONEY RECEIVED FROM THE FEE;

(b) MONEY RECEIVED FROM THE SALE OF REVENUE BONDS ISSUED BY THE ENTERPRISE;

(c) ANY MONEY LOANED TO THE ENTERPRISE PURSUANT TO SECTION 25.5-1-1204 (5);

(d) ANY GIFTS, GRANTS, DONATIONS, OR OTHER MONEY RECEIVED BY THE ENTERPRISE;

(e) ASSEMBLY; AND MONEY APPROPRIATED TO THE FUND BY THE GENERAL

(f) INTEREST AND INCOME DERIVED FROM THE DEPOSIT AND INVESTMENT OF MONEY IN THE FUND.

(2) THE STATE TREASURER SHALL CREDIT ALL INTEREST AND INCOME DERIVED FROM THE DEPOSIT AND INVESTMENT OF MONEY IN THE FUND TO THE FUND.

(3) MONEY IN THE FUND IS CONTINUOUSLY APPROPRIATED TO THE ENTERPRISE:

(a) FOR THE PURPOSES SPECIFIED IN SECTION 25.5-1-1204 (4);

(b) TO SUPPORT WORKERS' ACCESS TO MEDICAL ASSISTANCE BENEFITS AND HEALTH-CARE PROVIDERS;

(c) TO REIMBURSE LARGE EMPLOYERS' COSTS ASSOCIATED WITH PERMITTING WORKERS TO BUY INTO AN EMPLOYER-SPONSORED HEALTH BENEFIT PLAN; AND

(d) FOR ANY OTHER PURPOSES SPECIFIED IN THIS PART 12.

25.5-1-1209. Severability.

IF ANY PROVISION OF THIS PART 12 OR THE APPLICATION OF THIS PART 12 TO ANY PERSON OR CIRCUMSTANCE IS HELD INVALID, THE INVALIDITY DOES NOT AFFECT OTHER PROVISIONS OR APPLICATIONS OF THIS PART 12 THAT CAN BE GIVEN EFFECT WITHOUT THE INVALID PROVISION OR APPLICATION, AND TO THIS END THE PROVISIONS OF THIS PART 12 ARE DECLARED TO BE SEVERABLE.

SECTION 2. In Colorado Revised Statutes, 39-21-102, add (10) as follows:

39-21-102. Scope.

(10) THIS ARTICLE 21 APPLIES TO THE FEE IMPOSED PURSUANT TO

SECTION 25.5-1-1206, BUT ONLY TO THE EXTENT THAT THIS ARTICLE 21 IS NOT INCONSISTENT WITH SECTION 25.5-1-1206.

SECTION 3. In Colorado Revised Statutes, 39-21-113, add (40) as follows:

39-21-113. Reports and returns - rule - repeal.

(40) NOTWITHSTANDING THE PROVISIONS OF THIS SECTION, THE EXECUTIVE DIRECTOR MAY PROVIDE TO THE DEPARTMENT OF HEALTH CARE POLICY AND FINANCING SUCH DETAILED TAXPAYER INFORMATION PERTINENT TO IMPOSING, ASSESSING, AND COLLECTING THE LARGE EMPLOYER 25.5-1-1206. ANY SUBSECTION (40) MUST REMAIN CONFIDENTIAL, AND ALL PERSONS ARE SUBJECT TO THE LIMITATIONS SPECIFIED IN SUBSECTION (4) OF THIS SECTION AND THE PENALTIES SPECIFIED IN SUBSECTION (6) OF THIS SECTION.

HEALTH-CARE SUPPORT INFORMATION FEE PURSUANT PROVIDED TO PURSUANT SECTION TO THIS

SECTION 4. Appropriation. (1) For the 2026-27 state fiscal year, $59,625 is appropriated to the department of law. This appropriation is from the legal services cash fund created in section 24-31-108 (4), C.R.S., from revenue received from the large employer health-care support enterprise that is continuously appropriated from the large employer health-care support fund created in section 25.5-1-1207 (1), C.R.S. The appropriation to the department of law is based on an assumption that the department will require an additional 0.3 FTE. To implement this act, the department of law may use this appropriation to provide legal services for the large employer health-care support enterprise.

SECTION 5.

Safety clause. The general assembly finds, determines, and declares that this act is necessary for the immediate preservation of the public peace, health, or safety or for appropriations for the support and maintenance of the departments of the state and state institutions.