The 1,038-page “One Big Beautiful Bill Act” (OBBBA), passed by the House in late May, is one of the most blatant attempts in recent history to take from U.S. residents who earn the least and hand it to those who earn the most. If passed, the bill would have two outcomes: it would increase the U.S. deficit by $4 trillion and deliver massive tax breaks to the ultra-wealthy—paid for by gutting the programs Americans overwhelmingly support, like Medicaid, food assistance, and the Child Tax Credit. These changes would hit Colorado especially hard.

The good news? The Senate is still reviewing the bill, which means there’s still time for lawmakers to stop one of the most devastating transfers of wealth in American history. Here are five key things about the OBBBA that Coloradans need to know.

1. It Gives the Richest 1% of Coloradans a 21% Tax Cut

En CFI reported in May, the OBBBA would give Coloradans who earn $863,400 or more a year an average tax cut of almost $70,000. That means the richest 1% will take home 21% of the total tax cut benefits. Meanwhile, the bottom 60% of earners would get only 18% of the tax cut. For someone in the bottom 20% of earners, that means an average tax break of only $130—barely enough to matter, especially if it comes at the cost of losing food assistance or access to health insurance through Medicaid. 

Congress’s Joint Committee on Taxation (JCT) has its own startling analysis: despite being sold as a tax cut, the OBBBA would actually raise taxes for many low-income Coloradans. Between 2027 and 2033, the OBBBA would raise taxes by nearly $18 billion on Americans making $30,000 a year or less—while cutting taxes by $242 billion for people making more than $1 million a year.

2. It Ends the Affordable Care Act’s Extra Financial Help for Health Insurance

In 2025, over 80% of people who signed up for health insurance through Connect for Health Colorado qualified for financial assistance, including federal tax credits introduced by the 2021 American Rescue Plan and extended under the 2022 Inflation Reduction Act. People with financial help paid about $138 a month for health insurance, while those without it paid $470. For many Coloradans just above the poverty line—who don’t qualify for Medicaid and still can’t afford these costs—the only option may be to skip care completely, which in some cases could lead to serious illness or even death. Sadly, more people may start saying, “it’s cheaper to die.”

3. It Cuts Clean Energy Tax Credits, Which Could Cost Colorado Thousands of Clean Energy Jobs

Since the passage of the Inflation Reduction Act, there have been more than 3,700 clean energy jobs created in Colorado, according to Climate Power. Instead of supporting these tax credits—which benefit the economy and reduce household energy spending—Congress has jumped on the “Drill, Baby, Drill” bandwagon. This will turn back the clock on federal investments in reducing greenhouse gas emissions, which would have reduced rates of asthma, respiratory illness, and premature death. In Colorado, where the climate crisis is already highly visible, eliminating clean energy tax credits weakens a crucial tool for decarbonization. This makes the state’s path to meeting emissions goals more difficult and increases the risk of adverse impacts from disasters. 

4. It Will Let Super-Rich Families Keep More of Their Wealth and Pass It Down to Future Generations

The OBBBA plans to double the estate tax exemption—the amount that a person can pass on at death without triggering the federal estate tax—to $15 million for individuals and $30 million for couples. This entrenches dynastic wealth and reduces economic mobility, counteracting the estate tax’s original purpose as a check on aristocracy and inherited privilege. This further weakens what is arguably one of the only progressive wealth taxes in the country. Unlike other states, Colorado has no estate tax or inheritance tax of its own—and TABOR prevents us from establishing one. 

5. It Blocks Parents Without a Social Security Number from Getting the Child Tax Credit (CTC)

The anti-poverty effects of the CTC are well documented. Because it is a refundable tax credit, families with little or even no income—those most at risk of deep poverty—can claim it, improving short-term financial security for those with the greatest challenge affording basic needs. In Colorado, 74,000 children with a Social Security number will become ineligible for the Child Tax Credit if the House bill is signed into law, according to the Center for Migration Studies.

The OBBA Fails the Country. The Senate Must Reject It.

Despite clear public support for greater federal investment in healthcare, clean energy, and poverty reduction, the so-called “Big Beautiful Bill for Billionaires” moves in the opposite direction—widening inequality, increasing hardship, and limiting opportunity for millions. But this future isn’t inevitable. With sensible tax policy changes, Congress could raise additional revenue from those with the greatest ability to pay—providing essential support to working families and helping build a fairer, more resilient economy. The question isn’t whether we can afford it, but whether we choose to prioritize people over concentrated wealth.