and advocates. As a result, beginning Aug. 6, 2025, all construction professionals — including builders, developers, subcontractors, architects and engineers — will be subject to new early disclosure obligations under subsections 3.5 and 3.7 of the bill. These disclosures largely mirror information that would otherwise surface through litigation, but the timing is now accelerated. Professionals must decide whether to comply proactively or wait until a lawsuit is filed, noting that penalties for noncompliance arise only if deadlines are missed once litigation begins. Either way, timely disclosure will be necessary to preserve the ability to designate non-parties at fault. Follow-up legislation is expected in 2026 to clarify that Section 4 applies only to MCIP-related claims, as originally intended. The Colorado Association of Home Builders (CAHB) has been leading the discussion around this area of public policy and plans to work with ABC and industry partners toward that legislative fix. Despite these complications, the bill did deliver one positive change: It increased the required vote threshold for homeowners associations to initiate defect litigation from a simple majority to 65% of unit owners — a significant improvement for builders and developers. ABC’s Perspective: HB25-1272 Several ABC members prospectively operate in the multi-family for-sale housing market. The goal of this legislation and past efforts has been to expand this market. While the intent of HB25-1272 was to promote quality construction and reduce frivolous defect claims, its implementation details raise serious concerns for the construction industry. ABC Rocky Mountain supports balanced reforms that improve accountability without expanding liability risk. We will continue to monitor the rollout of the MCIP and work with allied associations to ensure builders and contractors are protected under any future legislative “fix.” Major Workers’ Compensation Reform Coming in 2028: HB25-1300 HB25-1300 represents one of the most sweeping changes to Colorado’s workers’ compensation system in more than three decades. Signed into law in June 2025, the measure takes effect Jan. 1, 2028, giving the Division of Workers’ Compensation (DOWC) and industry stakeholders time to adjust before implementation. The new law replaces Colorado’s long-standing “designated provider” system with a broad open-choice model and shifts key responsibilities in medical treatment disputes. Under current law, employers are required to provide a short list of four designated physicians from which an injured worker must choose. HB25-1300 repeals that structure and instead allows injured employees to select their own authorized treating physician from any Level I or Level II accredited provider listed in the DOWC directory, so long as the provider is located within 70 miles of the employee’s home or workplace (or within 100 miles, in limited cases). If an employee does not make a selection within seven days of reporting an injury, the employer or insurer may designate a provider from the same directory. Regardless of who makes the initial choice, the worker has an automatic right to one change of physician within 120 days of the first designation or before reaching maximum medical improvement, expanding the current 90-day change period. The bill also shifts the burden of proof in medical treatment disputes, requiring employers or insurers to prove that a physician’s recommended care is not reasonable, necessary or related to the workplace injury. Business and employer groups, including ABC, NFIB Colorado and the Colorado Chamber of Commerce, opposed the measure, warning that it will raise premiums, reduce coordination of care and erode long-standing cost controls that keep Colorado’s workers’ compensation system efficient. A major concern involves the potential loss of the 2.5% premium discount currently granted to employers who maintain a designated-provider list under Division of Insurance Regulation 5-1-11. Without clear rulemaking to preserve this option, all insured employers could lose that credit, effectively increasing costs statewide. Additional worries stem from the simultaneous passage of SB25-186, which allows health-care professionals from more than a dozen new fields — including acupuncturists, athletic trainers,
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