The Colorado House passed a bill Monday that would curtail sudden price increases — but only after limiting the measure to when the governor has issued a disaster declaration.
now advances to the Senate. Should it clear that chamber, it will move to Gov. Jared Polis’ desk for passage into law.
Initially, the bill would’ve broadly prohibited companies from raising prices on a suite of necessities, like groceries, by 10% or more within a 90-day period. But after discussions with business groups and Polis’ office, the bill was trimmed down to apply only after the governor has declared a disaster in the state.
The 90-day period provision was also dropped, though the bill would still apply to increases of at least 10%.
The measure would build on passed by lawmakers at the beginning of the COVID-19 pandemic. The new bill also would give Colorado governors the ability to trigger the price regulations in periods of “market disruption” — rather than just for natural or public health disasters.
That provision could cover recessions or fiscal uncertainty caused by tariffs or other economic conditions.
Rep. Yara Zokaie, the Fort Collins Democrat sponsoring the bill, said Monday that the changes were needed to smooth the bill’s path to becoming law. The bill would apply to fuel, building and medical supplies, food and “other necessities” — items covered in the law passed in 2020.
But the measure relies on a governor’s decision to activate it — a diluting feature that still triggered criticisms from Republican lawmakers, who said last week it gave too much power to the state’s chief executive.
