Program Summary
In the 2024 session, the Colorado Legislature passed – and the Governor signed – SB24-190. This bill created the Freight Rail Tax Credit, which is administered by OEDIT in consultation with the Office of Just Transition (OJT) and the Colorado Department of Transportation (CDOT). The Freight Rail Tax Credit is aimed at incentivizing freight dependent businesses’ use of certain rail lines in Colorado, including in Northwest Colorado. OEDIT may reserve up to $5M in freight rail tax credits annually starting in calendar year 2025, and the tax credit is refundable for an amount equal to 75% of a user’s eligible costs.
OEDIT expects to launch the Freight Rail Tax Credit for applications in early calendar year 2025. More information on eligibility and timeline for the tax credit will be made available here in the fall and winter of 2024.
Overview
Type: Tax credit
For: Freight dependent businesses
Amount: $5 million annually in tax credits
Application period: Launching in early calendar year 2025
OEDIT division: Business Funding and Incentives
Program Manager
