HB17-1214

HB17-1214 - Encourage Employee Ownership Of Existing Small Business

Passed/Signed into Law
Concerning efforts to encourage employee ownership of the state's existing small businesses.

The bill requires the Colorado office of economic development (office) to engage the services of a local nonprofit organization that supports and promotes the employee-owned business model to educate the staff at the office on the forms and merits of employee ownership in order for the office to promote employee ownership as part of its small business assistance center.

The bill requires the office to establish and administer a revolving loan program to assist transitions of existing businesses to employee-owned businesses. The bill specifies that the office may enter into a contract, following an open and competitive process, with a local nondepository nonprofit organization that supports and promotes the employee-owned business model, a bank, or a nondepository community development financial institution to establish and administer the revolving loan program. The bill allows the office to work with the Colorado housing and finance authority to assist in offering loans under the program. The bill specifies the types of businesses that may qualify for the program, sets a maximum amount of any loan, and specifies what the loans may and may not be used for. The bill also allows the office to seek matching private sector money to help capitalize the program.

The bill authorizes the office to accept and expend gifts, grants, and donations to capitalize the program, and may annually keep the first 15% of the money raised for administration purposes. The bill creates the revolving loan program cash fund and the money in the fund is continuously appropriated to the office.

The bill also specifies that the office is required to establish guidelines and post on its website administrative details about the revolving loan program, such as fees, costs, interest rates, and loan terms.

The bill includes a repeal of the section of law creating the program, effective July 1, 2022.

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

 

Latest update: May 18, 2017
05/18/2017 - Governor Signed
05/18/2017 - Sent to the Governor
05/18/2017 - Signed by the President of the Senate
05/15/2017 - Signed by the Speaker of the House
04/21/2017 - Senate Third Reading Passed - No Amendments
04/20/2017 - Senate Third Reading Laid Over Daily - No Amendments
04/19/2017 - Senate Second Reading Passed - No Amendments
04/18/2017 - Senate Second Reading Laid Over Daily - No Amendments
04/12/2017 - Senate Committee on Business, Labor, & Technology Refer Unamended to Senate Committee of the Whole
04/10/2017 - Senate Second Reading Referred to Business, Labor, & Technology - No Amendments
04/05/2017 - Senate Committee on State, Veterans, & Military Affairs Refer Unamended to Senate Committee of the Whole
03/23/2017 - Introduced In Senate - Assigned to State, Veterans, & Military Affairs
03/22/2017 - House Third Reading Passed - No Amendments
03/21/2017 - House Second Reading Passed with Amendments - Committee, Floor
03/16/2017 - House Committee on Business Affairs and Labor Refer Amended to House Committee of the Whole
02/27/2017 - Introduced In House - Assigned to Business Affairs and Labor