1. (1) The general assembly finds that:

   1. (a) Life skills such as the ability to formulate a household budget, balance a checking account, read and understand the terms and conditions of a credit card, and otherwise manage personal finances are critical to a person's success in today's economy;
   2. (b) In February and March of 2000, in a survey of high school seniors designed to test their knowledge of personal finance basics, the students answered only fifty-one and nine tenths percent of the questions correctly, receiving a failing grade;
   3. (c) Many students graduate from high school without having learned crucial personal financial management skills, although many have already obtained their first credit cards;
   4. (d) Studies of consumer finances by the federal reserve board show that, at the end of 2020, household debt in the United States totaled over fourteen and one-half trillion dollars. Over one and one-half trillion dollars of this debt is student debt, over eight hundred billion dollars is credit card debt, and over ten trillion dollars is mortgage debt.
   5. (e) With the growth in consumer debt and the apparently low level of education and understanding with regard to personal finances, it is imperative that the public schools of the state provide students with a thorough, high-quality curriculum of financial literacy to enable students to understand and master personal finance skills, including, at a minimum, managing bank accounts; household budgeting; understanding and managing personal debt, including credit card debt and student loan debt; and managing personal savings, retirement savings, homeownership, and investments.
2. (2) As used in this section, financial literacy means knowledge of personal finances that is sufficient to enable a person to manage savings, investment, and checking accounts; to design and maintain a household budget; to assess the affordability of and how to budget for postsecondary education; to understand the purpose of and how to access and complete the free application for federal student aid and the Colorado application for state financial aid, or successor forms for accessing federal and state financial aid; to manage personal debt, including student loan debt; to understand consumer credit and finance; to manage personal credit options, including credit cards; to understand and select from among short-term and long-term investment options; to understand the home buying process, including home loans and managing mortgage debt; and to understand retirement plans, tax-deferred accounts, pensions, and government retirement benefits.

3. (3)

   1. (a) Each school district board of education is strongly encouraged to adopt curriculum pertaining to financial literacy to be taught in grade-appropriate courses at the elementary, middle, junior high, and high school grade levels. When selecting mathematics and economics textbooks, each school district is strongly encouraged to select those texts that include substantive provisions on personal finance, including personal budgeting; credit; debt management; student loan borrowing and financial aid; homeownership; retirement, including long-term investments, tax-deferred accounts, pensions, and government retirement benefits; and similar personal finance topics.
   2. (b) The curriculum described in subsection (3)(a) of this section must also include content relating to how to assess the affordability of and budget for different options for obtaining a postsecondary degree or credential and how to pay for higher education. The curriculum should familiarize students with the process and necessary forms for applying for federal and state financial aid, student loans, scholarships, and grant programs, including accessing and completing either the free application for federal student aid or the Colorado application for state financial aid, or successor forms to access federal and state financial aid, and should ensure that students have an awareness of federal and state programs that may be available to manage student loan debt.

4. (4)

   1. (a) Each school district board of education shall incorporate all the financial literacy standards described in section 22-7-1005 (2.8) into a course that is required for high school graduation.

   2. (b)

      1. (I) For the 2025-26 state fiscal year, the general assembly shall appropriate money from the general fund to the department of education for distribution to school districts to support implementation of:

         1. (A) A course required to be taught pursuant to subsection (4)(a) of this section; and
         2. (B) The individual career and academic plan requirements described in section 22-2-136 (2)(d).
      2. (II) The department of education shall distribute money pursuant to subsection (4)(b)(I) of this section to school districts that do not currently offer a course based on a formula determined by the department of education. The department of education may determine eligibility for funding pursuant to this subsection (4)(b)(II) based on attestations from school districts.

      3. (III) Any unexpended money remaining at the end of the 2025-26 state fiscal year from this appropriation:

         1. (A) Does not revert to the general fund or any other fund;
         2. (B) May be used by the department of education in the 2026-27 or 2027-28 state fiscal year without further appropriation; and
         3. (C) Must not be used for any purpose other than the purposes set forth in this subsection (4).
      4. (IV) The department of education may seek, accept, and expend gifts, grants, or donations from private or public sources for the purpose of supporting educators in implementing a course pursuant to subsection (4)(a) of this section.
      5. (V) This subsection (4)(b) is repealed, effective July 1, 2028.

Source: L. 2004: Entire section added, p. 1774, § 2, effective June 4. L. 2021: IP(1), (1)(d), (1)(e), (2), and (3) amended, (HB 21-1200), ch. 284, p. 1687, § 4, effective September 7. L. 2025: (4) amended, (HB 25-1192), ch. 239, p. 1207, § 3, effective August 6.

Cross references: For the legislative declaration in HB 21-1200, see section 1 of chapter 284, Session Laws of Colorado 2021. For the legislative declaration in HB 25-1192, see section 1 of chapter 239, Session Laws of Colorado 2025.