Second Regular Session
Seventy-third General Assembly
STATE OF COLORADO
ENGROSSED
This Version Includes All Amendments Adopted
on Second Reading in the House of Introduction
LLS NO. 22-0679.01 Megan McCall x4215
HOUSE BILL 22-1133
House Committees Senate Committees
Business Affairs & Labor
Appropriations
A BILL FOR AN ACT
C
ONCERNING AN ADVANCE PAYMENT OF PREMIUMS FOR STATE101
EMPLOYEE FAMILY AND MEDICAL LEAVE INS URANCE COVERAGE102
FROM THE
REVENUE LOSS RESTORATION CASH FUND TO THE103
FAMILY AND MEDICAL LEAVE INSURANCE FUND FOR USE BY THE104
DIVISION OF FAMILY AND MEDICAL LEAVE INSURANCE TO105
IMPLEMENT SERVICES PRESCRIBED UNDER THE "PAID FAMILY106
AND MEDICAL LEAVE INSURANCE ACT".107
Bill Summary
(Note: This summary applies to this bill as introduced and does
not reflect any amendments that may be subsequently adopted. If this bill
passes third reading in the house of introduction, a bill summary that
applies to the reengrossed version of this bill will be available at
http://leg.colorado.gov
.)
HOUSE
Amended 2nd Reading
April 1, 2022
HOUSE SPONSORSHIP
Gray and Caraveo,
SENATE SPONSORSHIP
Winter,
Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing statute.
Dashes through the words indicate deletions from existing statute. The bill requires the state treasurer to transfer money from the
general fund to the family and medical leave insurance fund for use by the
division of family and medical leave insurance (division) created under
the "Paid Family and Medical Leave Insurance Act" (act). The money is
an advance payment of premiums for state employee coverage that the
state is required to pay under the family and medical leave insurance
program established by the act. The bill directs the division to credit the
transferred money to state employer accounts and to annually continue to
credit money to the state employer accounts until such accounts have a
zero dollar balance and begin owing quarterly premiums as set forth in
the act. The bill also requires the executive director of the department of
labor and employment to submit a report concerning the state employer
accounts to several state departments and agencies.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. Legislative declaration. (1) The general assembly2
hereby finds and declares that:3
(a) In 2020, Colorado voters enacted the "Paid Family and4
Medical Leave Insurance Act", codified at section 8-13.3-501, et seq.,5
Colorado Revised Statutes. The "Paid Family and Medical Leave6
Insurance Act" created an enterprise, the division of family and medical7
leave insurance (division), to administer a new paid family and medical8
leave program (program).9
(b) To provide the services pursuant to the program, the division10
will collect premiums for family and medical leave benefits. However,11
prepayment of certain premiums is necessary to fund the staffing and12
infrastructure necessary to establish the program.13
(c) Given the importance of the program to Coloradans14
experiencing major life events impacting their ability to work, the general15
assembly desires to assist the division in establishing the program to16
provide the services set forth by the "Paid Family and Medical Leave17
1133-2- Insurance Act" through advance payment of premiums for state employee1
coverage. The transfer of money for the advance payment of premiums2
to the division is a payment for services and is not a grant for purposes of3
section 20 (2)(d) of article X of the state constitution or as defined in4
section 24-77-102 (7), Colorado Revised Statutes.5
SECTION 2. In Colorado Revised Statutes, 8-13.3-507, amend6
(2) as follows:7
8-13.3-507. Premiums. (2) N
OTWITHSTANDING THE ADVANCE8
PAYMENT OF PREMIUMS SET FORTH IN SECTION 8-13.3-518 (4)(a),9
beginning on January 1, 2023, for each employee, an employer shall remit10
to the fund established under section 8-13.3-518 premiums in the form11
and manner determined by the division.12
SECTION 3. In Colorado Revised Statutes, 8-13.3-518, amend13
(1); and add (4) as follows:14
8-13.3-518. Family and medical leave insurance fund -15
establishment and investment - repeal. (1) There is hereby created in16
the state treasury the family and medical leave insurance fund. The fund17
consists of premiums paid pursuant to section 8-13.3-507, and
revenues18
from revenue bonds issued in accordance with section 8-13.3-508 (2)(d),19
AND MONEY
TRANSFERRED PURSUANT TO SUBSECTION (4) OF THIS20
SECTION. Money in the fund may be used only to pay revenue bonds; to21
repay the general fund loan provided in subsection (3) of this section; to22
reimburse employers who pay family and medical leave insurance23
benefits directly to employees in accordance with section 8-13.3-515 (1);24
and to pay benefits under, and to administer, the program pursuant to this25
part 5, including technology costs to administer the program and outreach26
services developed under section 8-13.3-520. Interest earned on the27
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-3- investment of money in the fund remains in the fund. Any money1
remaining in the fund at the end of a fiscal year remains in the fund and2
does not revert to the general fund or any other fund. State money in the3
fund is continuously appropriated to the division for the purpose of this4
section. The general assembly shall not appropriate money from the fund5
for the general expenses of the state.6
(4) (a) O
N THE EFFECTIVE DATE OF THIS SUBSECTION (4), OR AS7
SOON AS POSSIBLE THEREAFTER ,
AND NOTWITHSTANDING SECTION8
24-75-227 (3)(c), THE STATE TREASURER SHALL TRANSFER FIFTY -SEVEN9
MILLION DOLLARS FROM THE REVENUE LOSS RESTORATION CASH FUND TO10
THE FUND. THE MONEY IS AN ADVANCE PAYMENT OF PREMIUMS FOR STATE11
EMPLOYEE COVERAGE THAT THE STATE IS REQUIRED TO PAY UNDER THE12
FAMILY AND MEDICAL LEAVE INSURANCE PROGRAM ESTABLISHED IN13
SECTION 8-13.3-516 AND IS NOT A GRANT FOR PURPOSES OF SECTION 2014
(2)(d)
OF ARTICLE X OF THE STATE CONSTITUTION OR AS DEFINED IN15
SECTION 24-77-102 (7). LIABILITIES THAT ARE RECORDED IN THE FUND16
BUT ARE NOT REQUIRED TO BE PAID IN THE CURRENT FISCAL YEAR SHALL17
NOT BE CONSIDERED WHEN CALCULATING SUFFICIENT STATUTORY FUND18
BALANCE FOR PURPOSES OF SECTION 24-75-109.19
(b) (I) O
N OR BEFORE DECEMBER 31, 2022, THE DIVISION SHALL20
DETERMINE THE MANNER IN WHICH THE STATE WILL RECEIVE A CREDIT FOR21
THE
ADVANCE PAYMENT OF PREMIUMS IT HAS PAID PURSUANT TO22
SUBSECTION (4)(a) OF THIS SECTION FOR PREMIUMS IT IS REQUIRED TO PAY23
UNDER THE FAMILY AND MEDICAL LEAVE INSURANCE PROGRAM24
ESTABLISHED IN SECTION 8-13.3-516. THE CREDIT SHALL BE CALCULATED25
BY MULTIPLYING THE CREDIT BALANCE ON THE STATE'S EMPLOYER26
ACCOUNT OR ACCOUNTS AS OF JUNE 30, 2022, AND AS OF JUNE 30 OF EACH27
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-4- YEAR THEREAFTER, BY A RATE EQUIVALENT TO THE RATE PER ANNUM ON1
THE MOST RECENTLY ISSUED TEN-YEAR UNITED STATES TREASURY NOTE,2
ROUNDED TO THE NEAREST ONE-TENTH OF ONE PERCENT, AS REPORTED BY3
THE "WALL STREET JOURNAL", AS OF THE DATE OF THE TRANSFER4
REQUIRED BY SUBSECTION (4)(a) OF THIS SECTION. THE STATE SHALL5
RECEIVE CREDIT, CALCULATED IN THIS MANNER, UNTIL THE AMOUNT OF6
PREMIUMS THE STATE IS REQUIRED TO PAY EXCEEDS FIFTY-SEVEN MILLION7
DOLLARS PLUS THE AMOUNT OF INTEREST ACCRUED AS SET FORTH IN THIS8
SUBSECTION (4)(b)(I). ON OR BEFORE DECEMBER 31, 2022, THE DIVISION9
SHALL SUBMIT A REPORT TO THE EXECUTIVE DIRECTOR OF THE10
DEPARTMENT OF PERSONNEL , THE DIRECTOR OF THE OFFICE OF STATE11
PLANNING AND BUDGETING, AND THE JOINT BUDGET COMMITTEE SETTING12
FORTH THE MANNER IN WHICH IT DETERMINES TO CREDIT THE STATE13
PURSUANT TO THIS SUBSECTION (4)(b)(I).14
(II) O
N JULY 1, 2023, AND ON JULY 1 OF EACH YEAR THEREAFTER,15
THE EXECUTIVE DIRECTOR OF THE DEPARTMENT OF LABOR AND16
EMPLOYMENT SHALL SUBMIT A REPORT OF THE AMOUNT OF REMAINING17
CREDIT THE STATE CAN RECEIVE FOR PREMIUMS IT IS REQUIRED TO PAY TO18
THE EXECUTIVE DIRECTOR OF THE DEPARTMENT OF PERSONNEL , THE STATE19
TREASURER, THE DIRECTOR OF THE OFFICE OF STATE PLANNING AND20
BUDGETING, AND THE JOINT BUDGET COMMITTEE .21
(c) T
HE ADVANCE PAYMENT OF PREMIUMS BY THE STATE22
PURSUANT TO THIS SUBSECTION (4) SHALL NOT CONSTITUTE OR BECOME23
AN INDEBTEDNESS, A DEBT, OR A LIABILITY OF THE STATE. THE STATE24
SHALL NOT BE LIABLE ON SUCH ADVANCE PAYMENT , NOR SHALL THE25
ADVANCE PAYMENT CONSTITUTE THE GIVING , PLEDGING, OR LOANING OF26
THE FULL FAITH AND CREDIT OF THE STATE. ADVANCE PAYMENTS SHALL27
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-5- BE EXEMPT FROM THE STATE'S FISCAL RULES.1
SECTION 4. Safety clause. The general assembly hereby finds,2
determines, and declares that this act is necessary for the immediate3
preservation of the public peace, health, or safety.4
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