Bipartisan interim committee legislation would expand tax deduction for mitigation efforts and raise awareness of mitigation resources available to landowners

DENVER, CO– HB 20-1004, bipartisan legislation sponsored by Representatives Lisa Cutter and Perry Will, today passed the House Committee on Rural Affairs and Agriculture by a vote of 11-0. The bill would help landowners in wildfire hazard areas protect their homes, by increasing outreach efforts between local experts and residents living in these areas. 

“We’ve heard from communities and residents that they often don’t know about all the resources available to them to protect their homes and other property from wildfires,” said Rep. Cutter (D-Jefferson County). “This bill would provide information on best practices and resources on wildfire mitigation available for landowners, as well as a tax credit for performing such mitigation on their properties.”

Colorado currently offers landowners wildfire mitigation resources, but many residents in high hazard areas are unaware of the available resources and best practices. This bill would create a grant program to conduct outreach to landowners to spread information about the resources available to them and the best practices for wildfire mitigation. Local governments, special districts, tribal agencies, faith-based organizations, and nonprofits would be eligible for the grant funding. 

Currently, property owners can claim a tax deduction for 50 percent of the cost of wildfire mitigation measures up to $2,500. HB20-1004 would create a tax credit of 25 percent of the cost of wildfire mitigation efforts up to $2,500. For example, if a property owner spends $2,500 on mitigation efforts, they would receive $625 off their taxes.