Proponents revise Colorado constitutional initiative to create full property-tax exemption for 100% disabled veterans

Proponents of a citizen-drafted constitutional amendment to exempt primary residences owned by veterans with 100% service-connected disabilities agreed during a review meeting with legislative staff to revise the proposal’s text and procedures.

At a hearing before staff from the Office of Legislative Legal Services and the Colorado Legislative Council, Rebecca Baiete, Office of Legislative Legal Services, read the draft purposes for Proposed Initiative 2025-49, saying the measure’s major aims are "to establish a full exemption from property taxation for the primary residence of a veteran with a service connected disability" and "to direct the Colorado General Assembly to enact laws providing for the full exemption." Proponent Curtis Link confirmed those aims and accepted several technical and substantive edits discussed in the meeting.

Why it matters: The amendment, as revised at the hearing, would add a new constitutional section to Article X and obligate the General Assembly to pass implementing laws. If the measure reaches the ballot and is approved, it would change how local property tax exemptions for a subset of veterans are administered and could affect local tax revenues and exemptions administered by counties and school districts.

Key points from the hearing

- Placement and style: Staff advised that any new constitutional language must be presented with a proper amending clause and follow constitutional drafting conventions. The proponents agreed to add an amending clause placing the new language as "section 3.7 to article 10" of the Colorado Constitution and to use the constitution’s standard formatting for subsections and capitalization.

- Duty to legislate: The draft used both permissive and mandatory language regarding implementing legislation. Meeting participants and staff agreed the proposal should require the General Assembly to act. Curtis Link said the intent was to require implementing legislation and agreed to change language using "may" to "shall."

- Scope and limitations: The original draft included a subsection that would have allowed the General Assembly to impose conditions or limitations. Counsel warned that a "notwithstanding" clause can control other subsections and create internal conflict. Link stated, "The intent is to provide a full property tax exemption without limitations or conditions, so we probably need to remove section 2(b) entirely," and the proponents agreed to remove that conditional subsection.

- Effective tax year: Staff explained how property-tax years and billing schedules work in Colorado and asked proponents to specify an effective year. Proponents indicated their expectation that, if the measure were on the November 2026 ballot and approved, the first property-tax year to which the exemption would apply would be the 2027 tax year (bills mailed spring 2028). The transcript records that proponents intend the exemption to first be claimable for the property-tax year 2027, but the final ballot language was not yet filed and the precise effective date remained subject to the proponents’ final submission.

- Disability definition: Staff asked whether "100% permanent and total disability" was intended to match the existing veteran homestead exemption and related VA definitions such as TDIU (total disability based on individual unemployability). Curtis Link confirmed that the proponents intend the same definition used in the current veterans’ homestead exemptions.

- Non-substantive material: Staff advised removing an "examples of states" appendix from the draft if it was not intended to become part of the constitutional text. Proponents agreed the appendix should be removed from the text submitted for title-setting.

Meeting outcome and next steps

No formal vote occurred at the hearing; instead, staff provided mandated technical comments under Colorado law and proponents accepted multiple revisions. The substantive outcomes recorded in the hearing record are that the proponents will: (1) add an amending clause placing the text as a new Section 3.7 in Article X of the Colorado Constitution; (2) replace permissive language with mandatory language directing the General Assembly to enact implementing legislation ("shall"); (3) remove the subsection permitting limitations or conditions on the full exemption; (4) align the disability definition with existing veteran homestead standards (including TDIU); (5) remove nonbinding "examples of states" language from the draft; and (6) identify an effective property-tax year (proponents stated intent for property-tax year 2027 if approved in November 2026).

Proponents told staff they would revise the text and consider whether to proceed to a title-setting hearing. At one point a proponent said they would cancel an April 9 hearing already on their calendar and follow up by email to resubmit a revised draft.