Colorado repeals ban on local government minimum wages
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Friday, July 12, 2019

Colorado repeals ban on local government minimum wages

By Payroll and Entitlements Editorial Staff

Legislation enacted on May 29 removes restrictions to allow a unit of local government to enact laws establishing a minimum wage within its jurisdiction. The bill repeals a prior ban on local government regulation of minimum wages. Local wage rates are to take effect on the same date as scheduled state minimum wage increases. If the local government minimum wage rate is higher than the statewide minimum wage rate, the local government may only increase the local wage each year by up to $1.75 or 15%, whichever is higher, until the local minimum wage reaches the amount established by the local government. Minimum wage rates adopted by a county are only enforceable within the unincorporated areas of that county. Local jurisdictions enacting a minimum wage law are limited to 10%. If 10% of local governments have elected a local minimum wage law, a local government that has not previously enacted a local minimum wage is not to enact such a law until the General Assembly has amended the law to authorize additional local governments to enact such laws. Once enacted, such laws may continue to be amended. (H.B. 1210, Laws 2019, enacted May 28, 2019, effective January 1, 2020, unless a referendum petition is filed—in which case the measure will go before voters in the November 2020 election.)

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