By Matt VanAuken, DP Chief Executive Officer & Executive Director
Each year, the formulation of Colorado’s state budget serves as the foundational blueprint that shapes the essential services, public investments, and critical supports upon which tens of thousands of residents rely. From foundational public education and vital regional transportation networks to specialized programs that empower individuals with developmental and intellectual disabilities, the state budget dictates the daily operational reality of public service delivery.
On October 31, 2025, Colorado Governor Jared Polis released his comprehensive proposed budget for the upcoming 2026–2027 fiscal year. This official proposal marks the critical first step in a rigorous, months-long legislative process that ultimately determines how the state collects, manages, and allocates its collective financial resources to meet the diverse needs of its populace.
Why This Matters
At Developmental Pathways (DP), our mission is deeply intertwined with the fiscal health and policy priorities of the state. We work in close partnership with key state entities, specifically the Department of Health Care Policy and Financing (HCPF) and the Department of Early Childhood (CDEC). Through these partnerships, we contract directly with the state to serve as a designated Case Management Agency (Agency) and an Early Intervention Broker. Because of these operational relationships, any shifts, adjustments, or constraints in these departments’ funding streams have an immediate and tangible effect on the individuals, children, and families we support across our communities.
This year, Colorado is navigating a notably challenging budgetary environment characterized by constrained revenue growth and rising demand for public services. Within this fiscal landscape, HCPF represents a massive footprint, accounting for approximately one-third of the state’s overall spending. To understand the gravity of the decisions being made at the Capitol, it is essential to look closely at the demographics of the Medicaid population. While individuals receiving Long Term Services and Supports (LTSS) make up just about five percent of all Medicaid members statewide, they account for roughly 42 percent of the department’s total spending. This high percentage reflects the reality that these services are intensive, highly individualized, and utterly vital to the health, safety, and independence of the people who rely on them.
As the budget debate unfolds, our primary focus remains centered on protecting the integrity of these essential systems. Our core priorities this budget season are centered on advocating for sustainable funding that preserves the quality and availability of care. We are closely monitoring several HCPF budget requests that could profoundly impact individuals and families. At the same time, the department is actively working to implement strategies that minimize disruptive cuts while exercising prudent fiscal control over overall spending.
For community members, stakeholders, and families seeking the most current and detailed updates regarding specific LTSS-related budget requests, public resources are readily available through HCPF’s official Medicaid Sustainability and LTSS page, which provides ongoing transparency into the department’s financial planning.
How Colorado’s Budget Process Works
Unlike the federal government, which frequently operates under structural deficits, Colorado is constitutionally bound to pass and maintain a balanced budget. This fundamental rule means the state cannot legally spend more revenue than it collects over the course of a fiscal year, requiring continuous fiscal discipline and difficult prioritization among competing public needs.
The release of the Governor’s proposed budget on October 31 initiates a complex, multi-phase legislative journey. Following the initial proposal, the Joint Budget Committee (JBC)—a bipartisan committee of lawmakers from both the House of Representatives and the Senate—begins months of exhaustive hearings, analysis, and public testimony. The JBC is tasked with rewriting the executive proposal into the official state appropriations bill, which is subsequently debated, amended, and voted upon by the full General Assembly.
It is important to emphasize that the Governor’s initial proposal is only the beginning of a long conversation. Significant changes frequently occur before the Legislature passes the final version of the budget, a milestone that typically takes place in May just before the legislative session adjourns.
For those interested in gaining a deeper dive into the mechanics of how the state budget comes together, Colorado benefits from a variety of helpful nonpartisan legislative and policy resources that break down the revenue forecasting and appropriation mechanisms.
Advocacy Resources
Navigating the complexities of state government and fiscal policy can feel overwhelming, but understanding the process is the first critical step toward meaningful community engagement. Colorado is fortunate to be home to a vibrant network of advocacy organizations. Some of these groups focus specifically on the rights, dignity, and autonomy of individuals with disabilities, while others take a broader view of state budget priorities, tax policy, and economic equity.
We encourage community members to explore and connect with a wide range of these organizations to stay informed and make their voices heard. Engaging with advocacy networks helps ensure that policymakers understand the human impact of budgetary decisions. While there are many groups operating across the state, becoming familiar with established disability rights advocates and budget watchdogs provides a solid foundation for civic participation.
Looking Ahead
As the legislative session progresses, Developmental Pathways will continue to track the state budget process closely. We remain committed to sharing timely updates with our community regarding how these legislative decisions affect the individuals and families we have the privilege of supporting.
We firmly believe that informed communities are empowered communities. Understanding the nuances of the state budget is one vital way we can work together to ensure that Colorado’s health and human services infrastructure remains strong, fiscally sustainable, and steadfastly centered on the people who depend on it every day.
