Colorado braces for deeper cuts as budget gap grows to $1.5B

Colorado's budget shortfall for 2026-27 has swelled to more than $1.5 billion, driven by weaker tax receipts and rising Medicaid costs. The Joint Budget Committee is trimming programs while weighing different revenue forecasts from legislative staff and the governor's team, and the surplus allowed by TABOR cannot be used to close the gap. Even so, forecasts suggest a remaining cushion that could cover the constitutionally required property tax relief, but lawmakers face a difficult, fast-moving week to finalize a balanced plan.