Colorado § 32-1-1703 - Property tax relief for communication services deployment - legislative declaration - definitions.

§ 32-1-1703. Property tax relief for communication services deployment - legislative declaration - definitions.

(1) The general assembly finds and declares that:

(a) The intended purpose of the tax relief created in this section is to encourage the deployment of communication services infrastructure throughout the state, particularly in rural, unserved, and underserved areas, and to create incentives for investments in new communication services infrastructure in addition to incentives already created by other state or federal law;

(b) Financial incentives in the form of tax relief are necessary to attract investment and free up resources for communication services deployment, particularly in areas that have been designated as unserved or underserved. The incentives can be particularly effective when offered at the local level by special districts that have the authority to approve the relief based on specific criteria.

(c) Providing tax relief stimulates economic development in the state and supports the expansion of essential communication services to unserved areas; and

(d) Wireless telecommunications technologies, while seemingly independent, critically rely on forms of broadband like fiber and landline networks for essential functions, such as backhaul, which connects cell towers to the internet backbone and which is often performed by nonwireless providers. Therefore, the policies that impact broadband infrastructure must consider the interconnectedness of all technologies, including the dependence of wireless telecommunications on the broader ecosystem, to ensure effective and comprehensive wireless and broadband access for all Coloradans.

(2) As used in this section, unless the context otherwise requires:

(a) "Qualified communication services facility" has the meaning set forth in section 39-3-139 (2)(b).

(b) "Underserved" has the meaning set forth in section 39-3-139 (2)(c) and applies to a special district's determination of whether an area is underserved in the same manner described for a county's determination in section 39-3-139 (2)(c).

(c) "Unserved area" has the meaning set forth in section 39-3-139 (2)(d) and applies to a special district's determination of whether an area is unserved in the same manner described for a county's determination in section 39-3-139 (2)(d).

(3) (a) Notwithstanding any law to the contrary, a special district may negotiate an incentive payment or credit with a taxpayer that establishes or expands a qualified communication services facility in the special district if the facility serves an unserved or underserved area.

(b) The burden is on a taxpayer seeking tax relief to demonstrate, to the satisfaction of the special district, that the area to be served by the proposed investment is an unserved or underserved area. The taxpayer shall rely on the federal communications commission broadband coverage maps available as of January 1 in the calendar year in which the special district and the taxpayer negotiate an incentive payment or credit to make the determination.

(c) A special district shall not negotiate an incentive payment or credit that exceeds the amount of the taxes levied by the special district upon the taxable real property or business personal property located at or within the qualified communication services facility for the current property tax year.

(4) A special district shall exercise the authority granted under this section in a nondiscriminatory, nonexclusive, and competitively neutral manner. To the extent that a special district awards an incentive payment or credit under this section, the special district shall award subsequent incentive payments or credits under similar terms and conditions as the initial award and based on a proportionate level of investment in a qualified communication services facility in the special district.

(5) A special district that negotiates an agreement pursuant to this section shall inform any municipality and county in which the qualified communication services facility will be established or expanded of the negotiations with the taxpayer.

(6) A special district may adjust the amount of its tax levy authorized pursuant to section 29-1-301 by an additional amount that does not exceed the total amount of annual incentive payments or credits that the special district makes.

Source: L. 2025: Entire section added, (HB 25-1080), ch. 317, p. 1655, § 2, effective August 6.

PART 18

PUBLIC IMPROVEMENTS - SPECIAL DISTRICT CONTRACTS