Colorado Democrats are hoping to set aside $4 million in infrastructure funding to essentially establish a legal defense fund for the state to fight against the federal funding cuts made by the Trump administration.

House Bill 25-1321, titled the Support Against Adverse Federal Action Act, passed the House last week and is scheduled to be heard Tuesday by the Senate Appropriations Committee.

The bill would allocate the funds to the governor’s office for discretionary use including hiring contractors “for purposes related to federal government actions that impact federal disbursements, grants, contracts, or money received by or transferred to the state,” as well reimbursing the state’s Department of Law for legal-related costs.

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The bill’s Democratic backers argue it will protect taxpayer dollars and key federal funding, while Republican critics say the funds should be spent on what they’re already earmarked for – infrastructure – rather than legal warfare.

“This isn’t about Democrats or Republicans; it’s about standing up for Colorado and protecting our taxpayers from federal actions that threaten health care, early childhood education, water infrastructure and public safety,” House Speaker Julie McCluskie, D-Dillon, one of the primary sponsors, said in a statement on Tuesday. “Coloradans pay more in federal taxes than we receive back in federal funding. We deserve to have our federal dollars working for us in Colorado – not frozen by unelected billionaires in Washington.”

According to House Democrats, the Trump administration is currently withholding $69 million in grant funds for public safety grants. The state is also part of a multi-state lawsuit after the Department of Government Efficiency initially froze $570 million to the state in January.

HB 25-1321 would take the $4 million in funds from the state's Infrastructure Investment and Jobs Act cash fund, which the legislature established in 2022 for matching funds coming from the federal Infrastructure Investment Jobs Act.

State Representative Brandi Bradley, R-Littleton, said taxpayers deserve more transparency in how Democrats plan on spending money.

“They want to take $4 million of YOUR taxpayer dollars — money meant for roads, schools, and public safety—and use it to fight future lawsuits against the Trump administration. Yes, you read that right,” she said in a Monday post on X. “Instead of fixing our failing education system or addressing skyrocketing crime, they’re planning political warfare. I’m sounding the alarm because Colorado families deserve transparency, not partisan power grabs.”