$45 Million in Relief for Small & Local Businesses Advances

Bills creating a Startup Loan Program and continuing the COVID-19 Small Business Grant Program clear committees

DENVER, CO - Today, the Senate advanced two stimulus bills through committees that are part of Colorado’s recovery package.

HB21-1288, sponsored by Senator James Coleman, establishes the Colorado Startup Loan Program to provide loans and grants for people seeking capital to start, restart, or restructure a business. This program is intended to support businesses in recovering economic losses incurred over the last year and provide easier-to-access capital for entrepreneurs across the state. The bill allocates $30 million to fund and administer the program. HB21-1288 passed the Senate Finance Committee bipartisanly, 5-1.

“With the rapid increase in vaccination rates and the repeal of capacity restrictions, Colorado small businesses are primed for an economic recovery. However, many are still picking up the pieces after the recession of last year,” said Senator Coleman (D-Denver). “This program will help accelerate Colorado’s Comeback by providing small businesses with access to capital, supporting entrepreneurs, and prioritizing financial assistance to disproportionately impacted communities – ensuring our recovery is equitable and lasting.”

HB21-1302, sponsored by Senator Faith Winter, provides $15 million to the successful Energize Gap Fund. Colorado established the fund to support as many Colorado businesses affected by the COVID-19 pandemic as possible, but it specifically prioritized rural businesses and those that are majority-owned by veterans, women, and minorities. HB21-1302 makes modifications to the program to also prioritize businesses that missed out on the initial cycle of funding, businesses in economically distressed areas, and for-profit sole proprietorships. Additionally, if the Energize fund is to receive more funds in the future, preference will be given to businesses that rent or have a mortgage payment for the business premises or where the business resides at the same address at the business premises. HB21-1302 passed the Business, Labor, & Technology committee unanimously.

Both bills now head to the Appropriations Committee for further consideration. To read the bills and find updates regarding their status, visit leg.colorado.gov.