Capitol Bottom Line

What the statehouses are doing to the cost of doing business.

Release No. 11 · Written by Pratt

Release No. 11 ·

Colorado Voters Back a Higher Top Rate on Business Income; Florida Halves Its Commercial Assessment Cap; Texas Targets Data Centers

Colorado's graduated income tax appears to have passed and reaches business income above $500,000. Florida's Amendment 3 cuts the cap on commercial assessment growth to 5%. And Texas senators prefiled bills to repeal data center tax breaks and require a new state permit.

The Bill Board 5 bills
StateBillStageThe read
COAmendment 87Approved by voters Nov. 3 (unofficial)Taxable income above $500,000, business or personal, pays up to 8.4% instead of 4.4%; the state expects about $2 billion a year
FLHJR 1-F (Amendment 3)Approved by voters Nov. 3 (unofficial); effective Jan. 1, 2027Commercial, industrial and rental owners get a 5% cap on yearly assessment growth for non-school levies, down from 10%
TXSB 293Prefiled Nov. 9 for the 2027 sessionData centers lose their sales tax exemption, and existing certifications end on the effective date
TXSB 32Prefiled Nov. 9 for the 2027 sessionSites drawing 75 megawatts or more would need a utility commission permit before construction begins
TXSB 41Prefiled Nov. 9 for the 2027 sessionRetailers face deceptive-trade-practice liability for customer-specific pricing on SNAP-eligible goods
Read the release, with Pratt's read on each bill

Earlier releases

· No. 10
California's First Corporate Emissions Reports Are Due; Texas Bills Would Require Workers' Comp for Builders and a $100,000 Oil Waste Fee

CA TX Companies with more than $1 billion in revenue owe California their first Scope 1 and 2 emissions reports today, with flat fees to follow. In Texas, new filings would end optional workers' comp in construction, add a necessity test for oil waste sites and cut medical billing time to 90 days.

· No. 9
Hochul Still Holds New York's Data Center and Health Data Bills; Illinois Revives the POWER Act; Texas Files Solar and Farm Repair Bills

NY IL TX With the election over, the unfinished business is back: 388 New York bills await the governor, Illinois returns November 17 with data center rules pending, and Texas opened 2027 bill filing with a solar tax repeal and a farm equipment right-to-repair bill.

· No. 8
California's Billionaire Tax Trails and Its Top Rate Wins; Arizona Caps Grocery Taxes; Colorado Rejects a Right to Natural Gas

CA AZ CO Two days after the vote, Proposition 40 is losing and the asset tax ban in Proposition 42 leads, but California's top income tax rate is now permanent and the CEQA deadlines are trailing. Arizona's grocery tax cap passed, its mileage tax ban is too close to call, and Colorado's gas amendment failed.

· No. 7
California Weighs a Billionaire Tax, a Permanent Top Rate and Faster CEQA Review; Arizona Votes on Grocery and Mileage Taxes

CA AZ Five days out, business taxes and permitting are on the Nov. 3 ballot in two states. California voters decide a one-time 5% wealth tax, a ban on new asset taxes, a permanent top income tax rate and CEQA deadlines. Arizona decides a 2% cap on city grocery taxes and a ban on mileage-based fees.

· No. 6
Texas Drafts Lenders and Title Firms Into Its Foreign Land Law; Illinois Appeals for Its Swipe Fee Ban; Arizona Approves a 700 MW Gas Plant

TX IL AZ Proposed Texas SB 17 rules would make lenders, title insurers and agents report suspect foreign land deals, and a newborn coverage rule for employer plans takes effect. Illinois will appeal the swipe fee injunction. Arizona certifies the Eagle Eye gas plant and credits APS bills.

· No. 5
Newsom Signs Workplace Surveillance Limits and Vetoes a Community Solar Mandate; Florida's Trucking and Rental Fraud Laws Start Oct. 1

CA FL On California's last signing day, Gov. Newsom signed AB 1331 and AB 1883 on workplace monitoring, vetoed AB 1813 over a $1.5 billion ratepayer estimate and vetoed a health care AI override bill. In Florida, SB 488 and HB 1293 take effect October 1.

· No. 4
Newsom Ends California's Summer Gas Blend Early and Signs Menu Sugar Warnings; Colorado Puts a Right to Natural Gas on the Ballot

CA CO NY California's governor suspended the summer gasoline rules a month ahead of schedule and signed SB 869, which puts added-sugar icons on chain restaurant drink menus. Colorado voters will decide Amendment 82 on November 3, and New York created a rebate for battery landscaping equipment.

· No. 3
Newsom Keeps California's Factory CEQA Exemption and Vetoes a One-Year Prior Authorization Rule; Florida's $15 Wage Arrives Sept. 30

CA FL Gov. Newsom vetoed SB 954, which would have rewritten last year's environmental review exemption for advanced manufacturing, and AB 539, which would have locked in approved prior authorizations for a year. In Florida, the last scheduled step of the 2020 wage amendment lands September 30.

· No. 2
New York Opens Personnel Files to Workers and Raises Construction Call-In Pay; California Signs a Voluntary AI Audit Framework

NY CA Gov. Hochul signed a personnel-records access law that takes effect November 8 and a reporting-pay law for construction crews. In Sacramento, Gov. Newsom signed a voluntary system for third-party AI audits, while a narrowed AI layoff-notice bill waits on his desk.

· No. 1
California Sends Newsom a $19.75 Farm Wage, an AI Firing Rule and Website Lawsuit Relief; Arizona's Data Center Pause Takes Effect

CA AZ Three California bills now waiting on the governor would raise the floor for farm labor, put a human in charge of AI-assisted firings and end private website-tracking suits under one statute. Arizona's budget tax law, with its three-year data center pause, takes effect September 12.