Joshua Mantel and Charles Brennan advocate for House Bill 10 05 amid budget crisis

In a recent meeting of the Colorado State Legislature's Senate Appropriations Committee, significant discussions centered around the financial challenges facing the state and the impact of federal tax changes on local businesses and residents. The meeting, held on August 24, 2025, highlighted the urgent need for regulatory relief for struggling restaurants and the broader implications of House Bill 10-05.

Joshua Mantel, the director of government affairs for the Bell Palsy Center, emphasized the crisis currently affecting Colorado, urging lawmakers to explore every possible avenue to mitigate the negative effects of federal policies outlined in HR 1. He pointed out that while small businesses may benefit from a vendor fee, the larger tax deductions available under HR 1 would ultimately favor corporations and wealthier entities. Mantel argued that the state must prioritize preserving essential services such as Medicaid, education, and transportation funding, which are at risk due to budget constraints exacerbated by federal tax changes.

Charles Brennan, director of income and housing policy for the Colorado Center on Law and Policy, echoed these sentiments, calling for support of House Bill 10-05. He described the federal tax changes as having "blown a hole" in Colorado's budget, forcing difficult decisions about funding cuts. Brennan stressed that the state cannot continue to provide tax breaks to businesses, especially those that have already benefited from significant federal tax reductions.

The discussions underscored a critical moment for Colorado's lawmakers as they navigate the complexities of state finances in the wake of federal policy changes. The committee's deliberations reflect a growing concern about the balance between supporting local businesses and ensuring that essential services for vulnerable populations are maintained. As the state grapples with these challenges, the outcomes of proposed legislation like House Bill 10-05 will be pivotal in shaping Colorado's economic landscape in the coming months.