State & Federal Update – January 10, 2025

It’s Friday, January 10, 2025. There are 117 days left in the 2025 Colorado General Assembly.

These updates are curated from multiple news sources and designed to be a “choose-your-own-adventure.” Please read any coverage of interest and skip anything you deem to be irrelevant. Hyperlinks are provided to add additional context. With the 24/7 news-cycle I hope to keep us all in the loop on items we may want to know about or better understand. Please feel free to share if you think someone outside FGMC needs to be aware of this information.

Disclaimer – The news and articles contained within this update do not represent any political positions or policy opinions of Foster Graham Milstein & Calisher, LLP. This update is designed for informational purposes only.

I was lucky to be back on Colorado Inside Out this week with some of the best journalists around—Patty Calhoun, Eric Sondermann, and Marianne Goodland. Our conversation, of course, was guided by the talented and wonderful Kyle Dyer.

This week, there was a lot happening in Colorado with the start of the legislative session. We discussed what to expect from lawmakers this session, as well as Governor Polis’ State of the State address. We also dove into the growing battle between Mayor Coffman and Mayor Johnston. And up in the high country, it’s full steam ahead (maybe) for the release of more wolves.

You can catch the full, uncut episode on Spotify or watch it on PBS.

Today’s Big Three Things-To-Know:

1. Trouble in DPS. Six Denver school board members expressed disappointment with John Youngquist on Thursday, criticizing his recent actions as unprofessional. The tension stemmed from his December claim that the board violated open meetings laws. In response, three board members (Michelle Quattlebaum, Xóchitl “Sochi” Gaytán, and Scott Esserman) sent a letter disputing his allegations and accusing him of unprofessional conduct. During the meeting, Gaytán expressed her frustration, saying she didn’t expect his behavior to change. Esserman voiced concern over the time spent on the issue, noting legal counsel had confirmed no violations occurred. Youngquist briefly responded, saying his December letter was written in frustration and that he would adhere to district policies going forward. This dispute echoes previous infighting on the board, particularly in 2022, when accusations of bullying and harassment led to conflicts among members.
2. The State of the State. Colorado Governor Jared Polis delivered his seventh State of the State address on Thursday, covering topics ranging from Donald Trump and housing policy to public safety and The Lord of the Rings. The 55-minute speech, held in the Colorado House chambers, was attended by state lawmakers, members of his cabinet, and other statewide elected officials. In his remarks, Polis covered a variety of challenges Colorado faced over the past year and shared his vision for the year ahead, with a focus on housing affordability, education, and healthcare. While both Democrats and Republicans share the goal of improving affordability, their differing approaches to achieving it are expected to be a major point of contention as the session unfolds under the Gold Dome.
3. A felon President. President-elect Donald Trump will not face jail time, fines, or community service following his conviction in the New York hush money case. On Friday, a judge concluded the case with an unconditional discharge, meaning no punishment was imposed. However, unless the conviction for falsifying business records is eventually overturned, Trump will have felonies on his criminal record, which could impact certain rights moving forward.  During Friday’s sentencing, Justice Juan Merchan explained that he believed this was the only legal option available, given the timing just 10 days before Trump would assume the presidency. He acknowledged that the case had been “truly extraordinary,” but emphasized that, in his view, the trial itself had been no different from any other. However, Merchan noted that the circumstances of Trump’s sentencing were exceptional, “because of the office you once occupied and will soon occupy again.” He clarified that it was the legal protections tied to the presidency that were extraordinary, “not the occupant of the office.”

***Bonus Story – K12 and the SOTS. Governor Jared Polis reiterated his call for reforming how Colorado calculates school funding during his State of the State address on Thursday. Polis once again proposed switching from the current method of using a four-year enrollment average to basing funding on student enrollment from just a single year. “Colorado is an outlier in how we fund our schools, relying on enrollment data that’s four years old,” Polis said. “It’s time to move away from this outdated system, which funds empty seats rather than actual students.” The proposal, first introduced in Polis’ November budget plan, is technical but has significant financial implications for school districts. While some leaders in districts with declining enrollment have voiced concerns that the change would dramatically reduce their state funding, the issue has sparked a divide among lawmakers. Many are wary of any reforms that could threaten recent increases in K-12 funding.

***Bonus, Bonus Story – An executive order blitz. President-elect Donald Trump is preparing to unleash more than 100 executive orders starting on his first day in office, marking a dramatic, fast-paced approach to advancing his policy agenda, with a heavy focus on border security, deportations, and other key priorities. During a private meeting with Republican senators on Capitol Hill, Trump previewed the avalanche of executive actions he plans to take. Many of these actions are expected to begin on Inauguration Day, January 20. Trump’s top adviser, Stephen Miller, briefed the senators on the immigration enforcement and border security measures that are likely to be implemented right away. Axios was the first to report on the meeting and the planned executive actions. “There will be a substantial number,” said Sen. John Hoeven, R-N.D. Trump’s allies have been preparing a broad range of executive orders covering issues from tightening the U.S.-Mexico border to advancing energy development, overhauling federal workforce rules, addressing school gender policies, and potentially tackling vaccine mandates. These actions are part of the promises Trump made during his campaign to act quickly and decisively on his policy priorities. While it’s common for new presidents to issue executive orders on their first day, Trump’s planned series of actions represents an unprecedented surge of executive power, aimed at bypassing the legislative process and swiftly enacting his vision.

And now, more news…

From Denver…Denver home prices are falling, but does that mean buying a house is affordable?

Via Westword, Denver had the seventh-highest drop in home prices in 2024, according to Realtor.com. But that doesn’t necessarily mean buying a home in Denver is affordable.

Though the median list price of a home in Denver was down 5.35 percent in December 2024 compared to December 2023, the median list price is still $577,350. Still, real estate experts are taking the news of the drop as another sign that markets are leveling out from pandemic-induced, skyrocketing prices.

“Austin, Denver, Phoenix and Nashville were the darling markets of 2021 and 2022 and places where prices went wild,” says Joel Berner, Realtor.com senior economist. “Now, with more homes on the market, prices are returning to where they belong.” In addition to falling prices, Denver also had the third-most inventory growth over the last year, with 41.9 percent more inventory in 2024 than 2023, according to Realtor.com.

You can read more from Westword here.

From Denver Public School…Denver board members chastise fellow board member after his accusations about open meetings violation

According to Chalkbeat, six Denver school board members shared their displeasure with the seventh board member, John Youngquist, Thursday evening, saying his recent actions were disappointing and upsetting.

The discussion stemmed from Youngquist’s December allegation that the board violated state open meetings law. Three board members — Michelle Quattlebaum, Xóchitl “Sochi” Gaytán, and Scott Esserman — countered in a letter to board President Carrie Olson that Youngquist acted unprofessionally toward board members and staff and said his claims of open meeting violations were unfounded.

On Thursday, Youngquist’s six board colleagues spoke in stern but measured tones about the impact of his actions.

You can read more from Chalkbeat here.

Around the metro…Aurora seeks emergency closure of troubled Edge of Lowry apartments as complex reaches “breaking poin.”

Via The Denver Post, Aurora city officials are seeking an emergency court order to immediately close the troubled Edge of Lowry apartment complex, claiming the property “presents an immediate threat to public safety and welfare,” according to records obtained by The Denver Post.

The alleged kidnapping and torture of two residents in December is the most recent in a string of crimes plaguing the complex at 1218 Dallas St., Aurora Police Chief Todd Chamberlain wrote in an affidavit filed Thursday in municipal court.

“The Edge of Lowry Apartments is an epicenter for unmitigated violent crimes and property crimes perpetuated by a criminal element that has exerted control and fear over others residing at this apartment complex,” Chamberlain wrote.

The complex – which shot to international prominence after a viral video of armed men forcing their way into apartments caught the attention of President-elect Donald Trump – was already set to close in the coming weeks. But owners Five Dallas Partners — which shares ownership with CBZ Management, the company that controls several dilapidated properties in Denver and Aurora — have taken no action to secure the property, Chamberlain wrote.

You can read more from The Denver Post here.

Go Broncos…Denver Broncos seek major upset over Buffalo Bills.

As reported by Axios, even the most diehard Denver Broncos fans couldn’t predict the team would get a chance at greatness this season.

Denver’s remarkable return to the NFL postseason will pit the team against the mighty Buffalo Bills, who’ll be hard to beat in the frigid New York air. t’s an enormous test for rookie quarterback Bo Nix, who will rely on the leadership of veteran head coach Sean Payton to orchestrate a colossal upset.

The Bills (13-4) are heavily favored, playing at home — where they’re undefeated this season — with star quarterback Josh Allen leading a franchise set to make its sixth consecutive playoff appearance. Buffalo, seeded second in the AFC, is a legitimate Super Bowl contender.

You can read more from Axios here.

From the Governor…Colorado Gov. Jared Polis’ seventh State of the State address, explained.

Via The Colorado Sun, Colorado Gov. Jared Polis delivered his seventh State of the State address Thursday, delving into Donald Trump, housing policy, public safety and “The Lord of the Rings.”

The speech in the Colorado House chambers before state lawmakers, members of his cabinet and statewide elected officials lasted 55 minutes.

The Colorado Sun pored through the speech and talked to lawmakers about what was in it to annotate the address.

You can read more from The Colorado Sun here.

More from Polis…Gov. Jared Polis welcomes federal agents in Colorado to deport immigrants convicted of crime.

As reported by Colorado Politics, Gov. Jared Polis said he welcomes federal agents in Colorado, which has attracted tens of thousands of immigrants who illegally crossed the southern border, to detain and deport “dangerous criminals.” Still, he insisted that the state would not support plans to send people who hadn’t broken any other laws back to their home countries.

Polis, who delivered his annual State of the State address on Thursday, added he hopes Congress will finally approve a legal pathway to citizenship for “Dreamers. ” Dreamers are immigrants brought to the country illegally as children and would benefit from federal legislation called the DREAM Act. The measure seeks to allow them to remain in the U.S. if they meet specific requirements lawfully.

The governor took a more nuanced position than Denver Mayor Mike Johnston, who kicked off a firestorm last month after vowing to defy any mass deportation campaign in his city and saying he is mulling over “options” to protect the immigrants unlawfully staying in America.

You can read more from Colorado Politics here.

From the Gold Dome…Colorado Democrats laud Gov. Jared Polis, Republicans criticize his policy prescriptions in state address.

Also from Colorado Politics, Colorado Democrats on Thursday lauded Gov. Jared Polis’ annual address to the legislature for highlighting some of their top priorities, notably affordable housing, education and climate-related policies. At the same time, Republicans called the governor’s speech hypocritical and inaccurate.

Senate President James Coleman told Colorado Politics his caucus and the governor are “very much aligned” on issues. “The most important thing is not about the issues,” he said. “It’s working across the aisle, find that we have a lot more we agree with than disagree with.”

Rep. Shannon Bird, D-Westminster, said the governor’s address encapsulated what she’s been hearing from her constituents.  “The speech met the moment.  I think he has an agenda I can support,” she said.

Rep. Matthew Martinez, D-Alamosa, said he appreciated the shout-out to the agriculture community in the San Luis Valley, especially on international sales of his district’s potatoes to Mexico. Other rural lawmakers, however, argued that the Polis administration and Colorado General Assembly have failed to meet the needs of rural communities.

You can read more from Colorado Politics here.

More from the Gold Dome…Chief justice addresses legislature with plea for more judges.

According to Colorado Politics, Chief Justice Monica M. Márquez delivered her plea for more judges to the entire legislature on Friday, saying workloads are more demanding and well-meaning legislative changes have contributed to the burdens on the bench.

“We cannot ask our judges, day in and day out, to make consequential decisions impacting people’s lives when they are running on empty tanks,” she said. “This request is ultimately about ensuring that the people of Colorado receive timely, fair and wise resolution of their cases.”

The chief justice’s biennial “State of the Judiciary” address to the General Assembly was the first for Márquez, who moved into the Supreme Court’s top role last summer. A member of the court since 2010, Márquez succeeded Justice Brian D. Boatright, who was the first to become chief under the court’s rotational system established in 2020.

You can read more from Colorado Politics here.

On new legislation…Colorado lawmakers eye crackdown on rent-setting algorithms.

Via Axios, Colorado Democratic lawmakers plan to revive an effort to take down rent-setting algorithms in the upcoming legislative session after a similar bill died last year.

Renters in metro Denver spent an extra $136 a month in 2023 because of pricing algorithms used by landlords, the second-steepest hike among major metros nationwide. That’s according to an analysis first shared with Axios from the White House Council of Economic Advisers, which found the figure for renters across the country totaled $3.8 billion.

As Coloradans struggle to afford housing, the report puts some hard numbers to accusations that have piled up against RealPage, a company whose software helps big landlords and property managers set prices, Axios’ Emily Peck reports.

Last August, Colorado joined the U.S. Department of Justice in suing the Texas-based company, alleging its pricing algorithm enables landlords to collectively increase rents. This week, that lawsuit was expanded to add six of the nation’s largest landlords — Greystar, LivCor, Camden, Cushman, Willow Bridge and Cortland — for allegedly coordinating in the rent-inflation scheme.

You can read more from Axios here.

Looming business battles…Business policies to watch during the 2025 Colorado legislative session.

According to DBJ, the 75th Colorado General Assembly kicked off its 2025 legislative session Jan. 8 during challenging financial times, both for businesses and for the state government itself.

Difficulties in talent attraction and retention, high costs of housing and economic headwinds have not made life easy for companies, causing Colorado to drop in several key competitiveness ratings. Meanwhile, economists with the Office of State Planning and Budgeting estimate the state could face a budget deficit as high as $750 million in 2025.

Tightened purse strings mean Democrats, who maintain a majority in both chambers despite losing a few seats to Republicans since last session, will need to get creative when tackling issues that matter to Coloradans and the workplaces that employ them.

Key among them will be balancing consumer protections with calls from Colorado’s business community to lessen the regulatory burden on their bottom lines and on affordability in the state.

You can read more from Denver Business Journal here.

On education…Jared Polis repeats call to change how Colorado calculates student enrollment.

As reported by Chalkbeat, Gov. Jared Polis doubled down on his call to change how the state calculates school districts’ state funding during his State of the State speech on Thursday.

In his speech, Polis repeated his proposal to use student enrollment from just a single year, instead of Colorado’s current method of using a four-year average, to fund schools.

“Colorado is an outlier when it comes to school funding — with our current system funding based on students who were enrolled four years ago,” Polis said. “It is past time to eliminate this antiquated system that funds empty chairs rather than actual students.”

The issue can quickly become technical but carries major significance for districts’ bottom lines. The change, which Polis first introduced in his November budget proposal, has been criticized by some district leaders with declining student populations. They said such a change would greatly reduce their state revenue.

The issue has also split lawmakers on how to proceed forward, especially because many are worried about cutting into recent K-12 investments.

You can read more from Chalkbeat here.

On the environment…New midstream gas rules should cut greenhouse emissions, Colorado officials say.

Via The Colorado Sun, Colorado air quality officials have adopted new rules requiring greenhouse gas emissions cuts at “midstream” oil and gas operations that gather and compress natural gas, calling the mandates a national first.

State environmental groups, meanwhile, are glad to see officials target another area of climate change-contributing emissions, but say the cuts should start before 2030 and should not promote a new trading system for credits that may let companies off the hook.

“I wouldn’t call this a win,” said Patricia Garcia-Nelson, who represented Colorado GreenLatinos in hearings and discussions of the new Air Quality Control Commission rules passed in a December vote. Activists did manage to insert tougher language protecting disproportionately impacted communities with the emissions rules, Garcia-Nelson said, but the vote still fell short.

“There are no enforcement parameters in the rule as it’s written right now,” she said.

You can read more from The Colorado Sun here.

Around the state…Two charged in Western Slope cattle killings .

According to CPR, two young men are now facing charges in connection to the shooting deaths and injury of three cattle in Montrose County.

The Montrose County Sheriff’s Office says the shooting happened in late December on Bureau of Land Management land where the animals graze. Two cattle were killed and another was injured, but is expected to survive.

Nineteen-year-old Jevon Vigil is charged with four counts in connection with the case including two class four felony counts of aggravated cruelty to animals. Each count carries a sentence of up to six years and a fine ranging from $2,000 to $500,000.

You can read more from CPR here.

Around the country…Colorado’s already high cost of homeowners insurance not likely to rise because of California fires – for now.

Via CPR, the wildfires tearing through Los Angeles aren’t likely to have an immediate impact on homeowner’s insurance premiums in Colorado.

Insurance premiums in Colorado have been climbing for several years. That means most insurance companies already built in the buffers they need against fires in the state, according to Carole Walker, director of the Rocky Mountain Insurance Information Association.

“Colorado … has allowed insurance companies to take the increased rate they need to respond to the market conditions and increased risk,” Walker said. “So in Colorado, as we’ve seen these higher insurance bills, we’re in a better position because we’ve seen that happen over the past several years. So we don’t likely see an immediate impact in the California fires.”

You can read more from CPR here.

More from around the country…As firefighters battle roaring fires, LA officials investigate why alerts sent in error.

As reported by NPR, two major wildfires continue to rage largely uncontained in the Los Angeles area, even as firefighters begin to make some progress battling other blazes. The fires have decimated homes and other buildings, prompted hundreds of thousands of evacuations and killed at least 10 people.

The modest gains may be threatened, however, as fierce winds ignite and intensify flames. On Friday, a new inferno — the Archer fire — erupted in Granada Hills in the San Fernando Valley region. Meanwhile, LA officials said they are investigating why emergency alerts were sent in error to millions of residents, calling it their top priority and saying they plan to resolve the issue as quickly as possible.

You can read more from NPR here.

From the courts…Trump sentenced in felony “hush money” case, released with no restrictions.

Via CBS News, appearing in court virtually from his Mar-a-Lago home Friday, President-elect Donald Trump was sentenced for his crimes in the New York “hush money” case and released with no restrictions. Justice Juan Merchan followed through on a promise made one week ago to give Trump a sentence of unconditional discharge, which includes neither jail time nor any other restriction that might impede Trump after his inauguration on Jan. 20.

Merchan said during sentencing Friday that he was granting that sentence because he believed it was the only legal option, just 10 days before Trump assumes the presidency. Merchan told the court that “this has been a truly extraordinary case,” even though once the courtroom doors closed, the trial itself had been in his estimation no more special or unique than any other.

However, he told Trump, the same could not be said about the circumstances surrounding the president-elect’s sentencing “because of the office you once occupied and will soon occupy again.” Merchan said that it was the legal protections afforded to the office of the president that were extraordinary, “not the occupant of the office.”

You can read more from CBS News here and NBC New York here.

From the Supreme Court…Supreme Court sounds ready to back TikTok ban law.

As reported by Roll Call, the Supreme Court during oral arguments Friday appeared ready to allow a law that would ban social media giant TikTok unless it divests from its Chinese parent company ByteDance Ltd. by Jan. 19.

The justices occasionally questioned how the law would impact the free speech rights of the platform and its users. But they generally appeared receptive to Biden administration arguments that the law is necessary for national security because the Chinese government could gain access to user data or covertly manipulate the content on the platform.

The Supreme Court has just over a week to rule before the deadline in the law.

You can read more from Roll Call here.

More from The Supreme Court…Supreme Court to weigh reinstating Obamacare care requirements struck down by lower court.

According to The Hill, the Supreme Court agreed Friday to consider reinstating some preventative care coverage requirements under the Affordable Care Act that were struck down by a lower court.

The federal government appealed to the high court after the 5th U.S. Circuit Court of Appeals sided with employers who argued they can’t be forced to provide full insurance coverage for things like medication to prevent HIV and some cancer screenings. The lower-court ruling chipped away at the program sometimes referred to as Obamacare.

You can read more from The Hill here.

From Congress…Menendez prosecutors seek 15 years in prison in corruption case.

Via Roll Call, prosecutors say former Sen. Bob Menendez should receive at least 15 years in prison for his role in a wide-ranging corruption case, arguing that his conduct might be “the most serious for which a U.S. Senator has been convicted in the history of the Republic.”

The 71-year-old longtime New Jersey Democrat is set to be sentenced in New York on Jan. 29, and his attorneys have asked the court to hand down a sentence that relies “heavily on alternatives to incarceration.”

Menendez was found guilty last summer on 16 counts, including bribery, extortion and acting as a foreign agent, and his lawyers have said he will appeal the convictions.

You can read more from Roll Call here.

On immigration…Immigration crackdown already moving in Congress with Executive Orders expected.

According to ABC13 News, Congress is already moving on tougher immigration bills ahead of Donald Trump’s presidential inauguration.

The Senate advanced the Laken Riley Act this week, a bill named for a Georgia nursing student killed by an undocumented immigrant. A huge chunk of Democrats joined Republicans to advance the bill, with only nine opposing and some voting “present.” “This is an important issue we should have a debate and amendments,” said Senate Minority Leader Chuck Schumer, D-N.Y., ahead of his vote to support advancing it to debate.

The debate over amendments is expected to play out next week. The bill allows for the detainment and potential deportation of undocumented immigrants charged with theft and empowers states to sue the federal government over a perceived lack of enforcement of immigration laws. It’s the first immigration crackdown up for a vote on Capitol Hill, but presidential action is likely on the way.

Axios reports as many as 100 day one executive orders were discussed this week when Trump met with Senate Republicans at the Capitol. They include reinstating Title 42, a COVID-era health policy that allowed migrants to be expelled for public health reasons without getting a chance for asylum claims. There are also planned executive actions that would allow local law enforcement to work closer with ICE agents, build more border wall, and implement more migrant holding facilities.

You can read more from ABC13 here.

From the Biden Administration…Biden admin to GOP: Immigration bill will cost more than $3 billion

As reported by Politico, Immigration and Customs Enforcement said it would require more than $3.2 billion in additional funding to implement the Laken Riley Act, according to a memo obtained by POLITICO that the agency prepared last year.

That memo, crafted by the Biden administration, said implementation of the legislation as written would require an additional 60,000 to 70,000 detention beds — costing about $3.2 billion — and would need an additional 61 federal employees, which officials estimated would cost about $15 million is fiscal year 2025. In addition, ICE said the legislation would impede federal government operations by requiring states attorneys general to sign off on immigration decisions.

The three-page memo was sent in response to questions posed by Rep. Mike Collins (R-Ga.), the lead sponsor of the House bill, and is dated December 2024. The House passed the legislation last year, but it stalled in the Democratic-controlled Senate. The bill, which would mandate the detention of undocumented immigrants who are charged with lower-level crimes like theft or burglary, has now been passed by the House again and has advanced in the Senate with bipartisan support, though Democrats have said they want to amend the legislation.

You can read more from Politico here.

And from Washington DC…Trump is planning 100 executive orders starting Day 1 on border, deportations and other priorities.

According to The Associated Press, President-elect Donald Trump is preparing more than 100 executive orders starting Day One of the new White House, in what amounts to a shock-and-awe campaign on border security, deportations and a rush of other policy priorities.

Trump told Republican senators about the onslaught ahead during a private meeting on Capitol Hill. Many of the actions are expected to launch on Inauguration Day, Jan. 20, when he takes office. Trump top adviser Stephen Miller outlined for the GOP senators the border security and immigration enforcement measures that are likely to launch soonest. Axios first reported on Trump and his team’s presentation.

“There will be a substantial number,” said Sen. John Hoeven, R-N.D.

Allies of the president-elect have been preparing a stack of executive orders that Trump could sign quickly on a wide range of topics – from the U.S.-Mexico border clampdown to energy development to federal Schedule F workforce rules, school gender policies and vaccine mandates, among other day-one promises made during his campaign.

You can read more from AP here.

That’s all for this week! Have a wonderful weekend!

Best,

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