Committee unanimously advances bill to give CADA two‑month closing extension

The House Agriculture, Water and Natural Resources Committee unanimously approved House Bill 13‑41, which moves the deadline for allocating tax‑exempt private activity bonds for the Colorado Agricultural Development Authority (CADA) from Sept. 15 to Nov. 15.

Representative Angela Johnson, sponsor of the bill, said the extra two months give beginning farmers and ranchers more flexibility to close transactions without resorting to higher‑cost bridge loans because agricultural land transactions do not always conform to a state calendar.

Supporters’ testimony: Madeline Robertson, director of state government relations for the Rocky Mountain Farmers Union, testified that the change would ease administrative and financing burdens for new and beginning farmers and that RMFU and the Colorado Farm Bureau support the change. Jim Rubin, long‑time director of CADA, described how the current Sept. 15 reversion can force approved applicants to return allocations and later reapply, producing extra costs and uncertainty; he said the bill was developed with the Department of Local Affairs (DOLA) and that unallocated funds can be redistributed to other agencies if not used.

Lender perspective and alternatives: Jake Chamberlain, a community bank agricultural lender, supported the bill while suggesting even greater flexibility would be preferable — for example, allowing approved loans to have allocations held through year‑end to reflect real‑world closing timelines. Sponsors and CADA said November 15 was a negotiated compromise with DOLA intended to avoid losing unallocated funds while materially easing timing pressure for borrowers.

Committee action and next steps: Representative Johnson moved HB 13‑41 with a favorable recommendation to House Finance; the committee voted 13–0 to send the bill to Finance. The bill’s fiscal note was reported on the record as $0.

Reporters’ note: Testimony and sponsor comments are the basis for the article; where witnesses described program mechanics or fiscal treatment, the article reflects on‑the‑record statements made during the committee hearing.