Higher Fees, Stricter Rules, & Import Limits: What the New Colorado Pet Facility Bill Means for You

The Bottom Line

Colorado is updating and extending the rules that govern every pet store, breeder, shelter, and doggy daycare in the state for the next 15 years. While it keeps the current inspection program alive, it also quietly removes the cap on licensing fees, raises the maximum fine for bad actors, and makes it harder to import sick pets from out of state.

What This Bill Actually Does

Every few years, Colorado forces its regulatory agencies to justify their existence through a "sunset review" to see if a law is still working. HB26-1183 is the result of the 2025 sunset review for the Pet Animal Care and Facilities Act (PACFA). PACFA is essentially the state's playbook for anyone handling animals for profit or charity. Sections 1 and 2 of this bill extend the entire PACFA program for another 15 years, ensuring that the Department of Agriculture will continue inspecting and licensing these facilities until September 1, 2041.

But the bill isn't just a rubber stamp to keep the lights on; it makes several major adjustments to how the pet industry operates in Colorado. Under Section 4, the state is cracking down on the interstate pipeline of sick animals. It prohibits the importation of most pet animals for retail sale unless they have a certificate of veterinary inspection issued by an accredited vet in their state of origin within 10 days of arriving in Colorado. (This applies broadly to pets, though it explicitly exempts reptiles, fish, and rodents). Section 5 gives the agriculture commissioner the power to adopt rules extending the minimum holding periods for stray pets in animal shelters, potentially giving owners a longer window to find lost pets before they are adopted out or euthanized.

The bill also tightens up the business and enforcement side of the program. Section 6 eliminates the current $700 statutory cap on licensing fees, allowing the state to adjust fees based on the actual direct and indirect costs of running the inspection program. If a facility breaks the rules, Section 7 increases the maximum civil penalty from $1,000 to $2,500 per violation. Finally, Section 9 permanently separates the Colorado Pet Overpopulation Authority—the group that uses specialized license plate revenue to fund spay and neuter clinics—from the PACFA sunset process entirely, ensuring its long-term survival regardless of future regulatory reviews.

What It Means for You

If you are someone who adopts, buys, or boards a pet in Colorado, this bill acts as your primary consumer protection shield. By keeping PACFA alive until 2041, the state ensures that the doggy daycare you use while on vacation, the groomer who trims your poodle, and the rescue you adopt your next cat from are all subject to baseline health, safety, and sanitation inspections.

The most noticeable change for everyday pet owners revolves around the importation rules. Colorado has historically been an attractive market for out-of-state breeders, including high-volume puppy mills. By requiring a clean bill of health from a veterinarian within 10 days of an animal crossing the state line, the state is trying to prevent you from taking home a pet that looks healthy in the store but develops parvovirus or a severe respiratory infection a few days later.

For families dealing with the nightmare of a lost pet, the changes to animal shelter holding periods are incredibly important. Currently, shelters generally only have to hold a stray animal for five days—or just three days if the animal has no microchip or collar and the shelter is out of resources—before making a final decision on its future. This bill allows the state to officially extend those minimum windows. While the exact new timeframes will be determined through later rulemaking, the goal is to give you a more realistic chance of tracking down a runaway dog before it is legally rehomed or euthanized.

Finally, if you are one of the thousands of Coloradans who purchased an "Adopt a Shelter Pet" license plate, your money is getting better protection. The bill permanently shields the Colorado Pet Overpopulation Authority from future bureaucratic expiration dates. That means the $30 donations you make at the DMV will continue to seamlessly fund local spay/neuter clinics and trap-neuter-return (TNR) programs for feral cats in your specific community without the threat of the program suddenly lapsing.

What It Means for Your Business

If you run a boarding kennel, grooming salon, rescue, breeding operation, or pet shop, you are already intimately familiar with PACFA. The biggest operational headline for your bottom line is that the $700 statutory cap on licensing fees is being removed. While the Department of Agriculture won't automatically raise fees on day one, they are now authorized to adjust them to cover the actual "direct and indirect costs" of administering the program. You should start budgeting for future fee increases, which will be determined through the agency's rulemaking process.

Enforcement is also getting significantly more teeth. The maximum civil penalty for a violation jumps from $1,000 to $2,500. Additionally, if you are hit with a cease-and-desist order for a violation, you now have a hard 30-day deadline to request a hearing. On the operational side, if your business imports animals for retail sale, you will need to tighten up your supply chain logistics immediately: almost all imported pets (excluding reptiles, fish, and rodents) must arrive with a veterinary inspection certificate issued within the prior 10 days. If your out-of-state breeders or transport partners can't turn around vet checks that quickly, you will be out of compliance.

You will also want to pay close attention to the newly restructured Pet Animal Advisory Committee. Starting January 1, 2027, the committee drops from 17 to 15 members, but it strictly mandates representation across different license categories, animal control, and veterinarians. Members will also be limited to two consecutive four-year terms. Because this is the committee that advises the commissioner on future rulemaking—including those impending fee structures and shelter holding periods—the people who sit on that board will directly impact your compliance costs and operational standards. It is highly recommended that industry groups actively participate in nominating candidates for these seats.

• Review your import partners: Ensure out-of-state suppliers can meet the strict 10-day veterinary inspection window.
• Prepare for fee changes: The $700 cap is gone; engage in the upcoming rulemaking process to ensure new fee structures remain equitable for your specific license category.
• Shelter operators: Watch for new rules regarding mandatory holding periods, which could impact your facility's capacity, staffing, and veterinary care costs.

Follow the Money

Continuing the PACFA program preserves an existing financial baseline for the state: roughly $1.4 million in annual cash fund revenue (generated primarily by industry licensing fees) and $1.6 million in operating costs, which support 11 full-time state employees. Because the bill removes the $700 cap on license fees, the Department of Agriculture now has the runway to generate additional revenue in future years to fully offset the costs of inspections and enforcement, though those exact increases will require a separate administrative rulemaking process.

Even though the maximum fine is increasing to $2,500, state fiscal analysts don't expect a massive windfall for the General Fund. Historically, the state assesses fines based on the severity of the specific violation—averaging around $397 per incident last year—rather than defaulting to the maximum penalty. No new taxpayer money or General Fund appropriations are required to implement the bill.

Where This Bill Stands

HB26-1183 is currently Signed Into Law. The latest official action came on 05/28/2026: Governor Signed.

That means the legislative process is complete and the bill is now law. The remaining questions are about implementation timing and how agencies, businesses, or local governments respond.