Colorado slips in Best States ranking
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Colorado fell to 17th in the U.S. News' latest Best States rankings, down six spots from 11th a year ago.
Why it matters: This is the second high-profile ranking in recent weeks showing Colorado in decline. Earlier this month, CNBC ranked the state 25th for doing business, a drop from No. 11 in 2025.
- Both rankings are closely watched indicators among elected officials and economic development experts.
Driving the news: Colorado saw its U.S. News standing fall across most categories, with the largest decreases in economy, opportunity and natural environment. Other declines came in health care and fiscal stability.
Yes, but: Our education system moved from No. 3 to first in the nation.
How it works: U.S. News ranks states based on more than 70 metrics in eight main categories with education and health care weighted the highest.
The big picture: After years as an economic darling, Colorado's slide in business-climate rankings is prompting an existential crisis over the state's competitiveness.
- Earlier this year, a bipartisan coalition of business leaders sent a letter to Gov. Jared Polis and state lawmakers warning that "the foundation of Colorado's technology and business leadership is deteriorating."
What we're watching: As a result, Polis announced he's creating a Governor's Competitiveness Council.
- He tasked the council's public and private-sector leaders with developing a long-term vision that improves "business competitiveness nationally and fosters a top-ranking economy."
- The recommendations will go to the next governor and state Legislature. Polis is term-limited and leaves office in January.
What he's saying: "We have heard from founders, investors, and employers about challenges and opportunities, and this Council will help us work together better to strengthen our economy, attract more businesses, and create new jobs," Polis said in a statement.
