New Colorado law makes 2 years of college free for students who qualify

Gov. Jared Polis signed a new law this week that allows more people in Colorado to achieve their goal of higher education. He signed the bill that created the Colorado Promise: Two Free Years of College Expanded effort on Thursday. 

The effort makes two years at a four-year public college, community or trade school free. The program applies to students who have family incomes of $90,000 or less. They are eligible for a complete reimbursement of any out-of-pocket tuition and fees paid for their education. 

"Two years at any public four-year college, community college, or trade school are now free for more Coloradans. This will strengthen Colorado's workforce, provide new pathways for students to gain in-demand skills, and save Coloradans thousands of dollars - helping ensure that higher education is affordable for everyone," said Polis.   

According to the governor's office, eligibility for Promise Programs varies based on the specific requirements of each college or university.  

The bill creates a refundable state income tax credit for seven years, from 2025 through 2032. It will cover tuition for students enrolled at a public state college or university, community college, area technical school or occupational education school.

To qualify, families must have a household-adjusted gross income of $90,000 per year or less and students must maintain a grade point average of 2.5 or higher.

The credit is equal to the tuition and fees paid by the student, minus any scholarships or grants.

The Colorado Department of Higher Education estimates approximately 28,000 students in the 2023-24 school year would meet the requirements for the income tax credit.

The money used to pay for the tuition, about $38 million per year, comes from TABOR refunds.