Colorado retainage

Who and what this applies to

The public-contract rules are subject to C.R.S. §24-91-110: the article does not apply when federal or other funding-source requirements concerning payment or retention are inconsistent with it. Any private-contract rules below retain their separately stated scope.

The rules

• Colorado caps retainage at 5% on covered private contracts priced at least $150,000 and related subcontracts and supply agreements. The law excludes a single contract for one single-family dwelling or one multifamily dwelling of no more than four units, and public-entity contracts. For contracts created on or after August 12, 2026, a qualifying retainage bond can require release of the covered retained funds under §38-46-103. Covered public-entity contracts exceeding $150,000 separately provide for progress payment of at least 95% of completed work value. Source

Primary sources

• C.R.S. §§38-46-102, -103; HB 26-1311 applicability note
• C.R.S. §24-91-103(1)(a)

Sources reviewed 2026-09-30. This guide covers the projects and rules stated above.

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