State Legislation to Watch

2014 State Legislation to Watch

1 Colorado Advanced Industries Investment Tax Credit:
CBSA in partnership with the Colorado Cleantech Industry Association (CCIA) will propose the creation of the Colorado Advanced Industries Investment Tax Credit. The legislation will establish a tax credit for angel or private investors who make an investment into an advanced industry company greater than $25,000. The investor will receive a tax credit of 25% of their investment, 30% if the company is based in a rural or economically distressed area, with a maximum credit of $50,000. The tax credit will have an annual cap of $2 million and will be in effect for the next three and a half years beginning in July, 2014.

2 Advanced Industries Accelerator Program:
Created by the Colorado General Assembly in 2013, the Colorado Advanced Industries (AI) Accelerator Program will promote the growth and sustainability of seven key industries, including bioscience. Modeled after the Bioscience Discovery Evaluation Grant Program (BDEGP), the AI Accelerator Program established matching grants focused on proof-of-concept research, early-stage capital and retention grants, and infrastructure initiatives to help support the seven industries. The Colorado BioScience Association supports the Colorado AI Accelerator Program and encourages future funding of the program while also not deterring the success seen by the BDEGP. The CBSA is also supportive of the Advanced Industry Workforce Development Program which will allow OEDIT to reimburse a business up to one-half of its expenses related to internships and apprenticeships. CBSA hopes to see the continuation of the AI Export Assistance program, created in 2013, provides grant opportunities, international consulting experts and educational training to assist companies as they look to export products overseas.

3 Sales and Use Tax Expansion:
CBSA will update HB09-1035, which allows biotechnology, medical device and clean technology companies to receive a refund of the state sales and use tax on the purchase of equipment or supplies used for research and development purposes. History has shown this to be an effective incentive for companies to further grow in Colorado, and encourages companies to conduct their research and product development within the state.

4 State Vaccine Policy:
In 2013, Senate Bill 222 required the state to organize a taskforce to examine the effectiveness of Colorado’s current immunization program with the end goal to improve access to vaccines for children in all of Colorado’s communities. CBSA is working alongside Colorado Department of Public Health and Environment, Colorado’s vaccine innovators and other partners to address the need for children to receive the appropriate vaccinations and ensure access is available across the entire state. CBSA is working to ensure that the solution does not hinder future innovation in vaccine research and development.

5 Food Labeling Policy Requirements:
CBSA supports the voluntary, truthful and non-misleading consumer information regarding food labeling, including foods grown with biotechnological processes such as genetically modified seeds. CBSA also supports the current laws and regulations administered by the Food and Drug Administration (FDA) and the U.S. Department of Agriculture (USDA) that require food labeling to be truthful and not misleading. Given the current statutes and regulations already in place by both the FDA and the USDA, and support for such labeling policies by the American Medical Association and the American Association for the Advancement of Sciences, CBSA believes food labeling regulations should be addressed at the federal level and does not support the development of a state-by-state policy labeling framework. 

6 Substitution of Biosimilar Products in Colorado:
Currently, Colorado law does not allow for the substitution of a biologic product with a biosimilar. CBSA believes legislation is necessary to allow for biosimilars to be substituted with innovator biologics, when deemed interchangeable by the Food and Drug Administration. The CBSA is also supportive of creating sound state policy establishing parameters for safe substitution and interchangeability.