Help your employees, help your environment, help your organization

The state legislature recently passed a bill providing a tax credit to employers for any eligible Transportation Demand Management (TDM) program they offer employees to increase the use of alternative transportation, reduce traffic congestion and improve Colorado's air quality.

What's in it for you: The State of Colorado will provide employers a 50% tax credit for costs associated with eligible TDM programs, which are designed to encourage people to use more sustainable commute modes like transit, cycling or carpool/vanpool.

Even better: Local Transportation Management Association, Denver South, offers expert recommendations for employers to help boost the use of alternative transportation. Their help in navigating this new state law is 100% free.

How it's done: Denver South is a Transportation Management Association (TMA), with experts on staff to help companies navigate and implement these programs.

• They exist to help programs like this succeed and are there to provide answers.

What to expect: It can be overwhelming to employers, but they can offer many simple benefits to qualify for the tax credit, including…

• RTD Ecopass: which provides employees unlimited access to RTD buses and trains.
• Encourage cycling to work by providing bikes or e-bikes - or even electric scooters
• Carpool/vanpool subsidy to cut down on commuting vehicles purchase a company shuttle.

Okay, but: EV charging and ride shares like Uber and Lyft are not included in the program.

There are lots of ways to be creative with the benefits you offer — and Denver South can help you craft and implement those best for your organization.

The deets: There is a cap of $250,000 annually ($125,000 max credit) and a $2,000 annual limit per employee.

• To claim the credit, employers are required to file an Annual Employer Plan Report form, which is in development by the Colorado Department of Revenue.
• Employers will also be required to provide the department with its plan for notifying employees of alternate transportation options and the steps they'll take to encourage employees to use them.

• Initially, the tax credit was only approved for 2023 and 2024, but the program has since been extended to 2027. Now, employers can buy an Ecopass for employees annually and get the tax credit.

The background: Denver South has been the nexus between public and private sectors for more than three decades, driving forward regional collaborations to make the area one of the premier places in the world to start, grow and locate a business.

• The organization brings together government, business and community leaders to work collaboratively for the success of all.

With Denver South's help, your organization can provide great new benefits and help protect the environment — and receive a six-figure tax credit.

In other words: Hit key ESG goals, retain happier employees and breathe cleaner Colorado air.

Learn more about how to invest in employees and the community.