Special session won’t solve real problem, but it might remind us who caused it

Bobbie Daniel

Colorado’s fiscal mess isn’t the result of bad luck. It’s the result of bad decisions.

And now, Gov. Jared Polis has called a special legislative session to clean it up, hoping Coloradans won’t notice who created the mess in the first place.

The recent federal legislation, dubbed the “One Big Beautiful Bill” or HR1, triggered this latest scramble. It will hit Colorado harder than almost any other state, with an estimated $1.2 billion loss in revenue for the 2025–26 fiscal year and added expenses that could total nearly $3 billion over time.

But let’s be clear: This crisis didn’t start in Washington. It started right here in Denver, when state lawmakers chose short-term applause over long-term responsibility.

During the COVID era, Colorado received nearly $7 billion in temporary federal aid. That windfall should’ve been used to stabilize reserves or pay down liabilities. Instead, our state leadership used it to launch costly new initiatives such as Cover All Coloradans and OmniSalud, programs that expanded benefits to undocumented immigrants and new populations without any long-term funding plan.

Medicaid enrollment soared. Provider fees grew. Bureaucracies expanded. And now that the federal money is gone, we’re left with programs we can’t afford and promises we can’t keep.

The numbers tell the story. Colorado’s Office of State Planning and Budgeting now admits we are nearly $1 billion short on the obligations we’ve already made, and we “do not have enough cash to pay our bills.” The reserve fund is expected to fall from 15 percent to 11.5 percent, and legislative staff warn of a $692 million shortfall by year’s end. Even with mandatory 2.5 percent cuts across state departments, we are no longer balanced.

And it’s not just about budget math; it’s about misplaced priorities.

Counties like mine are already carrying the weight of the state’s ambitions. Mesa County alone estimates $10 million annually in unfunded mandates pushed down from Denver. Across all 64 counties, the collective cost is now estimated at more than $360 million. That’s funding we could be using to maintain roads, support law enforcement and provide basic public services. Instead, we’re forced to fill in the gaps left by state policy.

Meanwhile, back in Denver, Gov. Polis is pressing forward with an aggressive agenda to shut down Colorado’s coal industry by 2030, a move that wipes out entire communities without a clear plan for replacement jobs, tax revenues or reliable power. You can’t eliminate a major industry with government force and then act surprised when you’re running out of money.

Even worse, the governor is reportedly considering preserving the state’s income tax on overtime and tipped wages, despite the federal government ending those taxes. Let’s be honest, the only thing taxing overtime and tips accomplishes is making life harder for the very people working hardest to get ahead.

Just ask the retired couple who spent four decades working blue-collar jobs, raising their kids and saving for retirement. Today, their savings are shrinking as groceries rise 40 percent above what they paid five years ago. They’ve picked up part-time work just to stay afloat. They now pay extra for plastic bags, get hit with rising utility bills and watch their kids move to Texas, Utah or Tennessee just to afford a home.

Their story is no longer the exception. It’s the rule for far too many Coloradans.

We were once a state that valued fiscal discipline. But under Democrat control, Colorado has traded economic freedom for unchecked government growth — and now the bill has come due.

So, what can we expect from this special session? Likely more of the same: rushed fixes; grandstanding; and no real course correction. There’s little reason to believe the same majority that built this fiscal cliff is now willing to back away from the edge.

But this session may do one thing that’s useful: remind the public exactly who got us here.

Because budgets don’t lie. They show what we value. And right now, Colorado’s budget says we value bureaucracy over balance, and political ambition over public service.

Colorado doesn’t need bigger government. We need longer memories.

We must remember how we got here — and make sure we don’t go back.

Bobbie Daniel is a Mesa County Commissioner, representing District 2.

 

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