Each legislative session brings new opportunities to shape OEDIT’s programs, empowering all to thrive in Colorado’s economy. This year, we are taking a closer look at three bills from the 2025 legislative session that encourage dynamic economic development and sustainable job growth. These featured bills aim to accomplish impressive feats such as supporting Colorado’s large and small film festivals, fostering innovation in advanced industries, and empowering the workforce through employee ownership. These three highlights include:
Creating Opportunities for Coloradans Through Cinema
Enacted as a strategic investment in the state’s burgeoning creative industries, the Tax Incentive for Film Festivals, HB25-1005, recognizes the crucial role film festivals play in Colorado’s economy and aims to support this collective. Large or small, Colorado’s film festivals benefit their region and beyond, increasing tourism and boosting sales to restaurants and small businesses throughout the year. The Sundance Film Festival made headlines when it announced that, starting in 2027, the Festival will take place in Boulder—a decision set to elevate Colorado’s global profile. It’s anticipated to make a large positive economic impact since, in 2024, the Festival significantly drove Utah’s economy, generating $132 million in gross domestic product and creating 1,730 jobs with $69.7 million in wages. It also drew 24,000 out-of-state visitors, who spent an average of $735 daily. Smaller-scale film festivals throughout the state are also anticipated to influence filmmakers to consider Colorado for their next production and associate Colorado as a creative hub for storytellers.
Investing in Colorado's Advanced Industries
In Colorado, for the past five years, the average annual growth rate of strategic and advanced industry jobs has outpaced the national average. Support from programs like the Advanced Industries Accelerator, and OEDIT’s Global Business Development and Business Funding and Incentives divisions, helps ensure this vital part of Colorado’s thriving economy remains strong and growing. An important resource helping companies grow is the Advanced Industries Investment Tax Credit (AITC) program, which encourages third-party investments in Colorado advanced industries businesses by providing investors with state income tax credits. HB25-1157 reauthorizes the AITC through Oct 2031, offering investors a 25% state income tax credit (up to $100,000); 35% if the business is in a rural county or Enterprise Zone. Preserving funding for this important program is great for early-stage investment and encourages participation from local angel investors.
Fostering Workforce Resilience Through Employee Ownership
Adopting an employee ownership model creates a win-win scenario for Colorado businesses and their employees. Research suggests employee-owned businesses create a more fulfilling work experience for employee-owners, including higher wages, reduced turnover, access to better benefits, and job security. For the business owner, the benefits include a more engaged workforce, a secure succession plan, and a strategy to attract and retain top talent. The newly passed bill, HB25-1021, reauthorizes and expands the Employee Ownership Tax Credit for five years, encouraging businesses to transition to employee ownership models. So far, 14 businesses have used the Employee Ownership Tax Credit to establish employee ownership. Last year, the EO office tracked 12 conversions in the state, creating 1,169 employee owners. This reauthorization and expansion of the Employee Ownership Tax Credit will further bolster Colorado's economy by fostering a more resilient and equitable business landscape.