Colorado 2022 2022 Regular Session

Colorado House Bill HB1155 Introduced / Fiscal Note

Filed 03/15/2022

                    Page 1 
March 14, 2022  HB 22-1155  
 
 Legislative Council Staff 
Nonpartisan Services for Colorado’s Legislature 
 
Fiscal Note  
  
 
Drafting Number: 
Prime Sponsors: 
LLS 22-0339  
Rep. Will; McCluskie 
Sen. Gonzales  
Date: 
Bill Status: 
Fiscal Analyst: 
March 14, 2022 
House Education  
Josh Abram | 303-866-3561 
Josh.Abram@state.co.us  
Bill Topic: IN-STATE TUITION FOR CO HIGH SCHOOL GRADUATES  
Summary of  
Fiscal Impact: 
☒ State Revenue 
☒ State Expenditure 
☐ State Transfer 
☐ TABOR Refund 
☐ Local Government 
☐ Statutory Public Entity 
 
This bill requires that an institution of higher education classify a student as in-state 
for tuition purposes if a student graduated from a Colorado high school or completed 
a high school equivalency exam in Colorado, and has resided in the state for at least 
one year prior to enrolling at the institution. The bill increases state revenue and 
expenditures starting in FY 2022-23. 
Appropriation 
Summary: 
No appropriation is required. 
Fiscal Note 
Status: 
The fiscal note reflects the introduced bill. 
Summary of Legislation 
Under current law, students who attend high school in the state for at least three years prior to 
enrolling at a state supported institution of higher education must be classified as in-state for tuition 
purposes.  The student must be admitted to the school of higher education within one year following 
graduation or completing a high school equivalency exam.  This bill instead requires that an institution 
classify a student as in-state for tuition purposes if the student graduated from high school or 
completed a high school equivalency exam in Colorado, and has resided in the state for at least 
one year prior to enrolling at the institution.  
Background and Assumptions 
It is estimated that about 40 percent of Colorado students enroll at state institutions of higher 
education in the year following graduation.  Another six percent enroll within the following two years.  
In recent years, about 1,400 students who cannot independently establish domicile in Colorado, but 
otherwise meet the resident requirements, are classified as in-state students.  These students attended 
high school for at least three years and enrolled within one year of graduation.  Assuming that these 
1,400 students are roughly 40 percent of similar eligible graduates (3,500 students), and that six percent   Page 2 
March 14, 2022  HB 22-1155  
 
of those delayed enrollment beyond the first year following graduation, total eligibility increases by 
about 210 students. Removing the requirement that students attend at least three years of high school 
before graduation also increases the number of eligible students by a minimal amount, but this 
number has not been estimated. 
 
Once a high school graduate delays enrollment beyond the first few years after graduation, he or she 
is 22 or older, and can independently establish residency for in-state tuition classification.  This bill 
only increases eligibility for students under 22 who have delayed enrollment, and for students who 
graduate from a Colorado high school but had not been enrolled for at least three years. 
State Revenue and Expenditures 
The bill increases resident enrollment at state supported institutions of higher education, impacting 
both institutional revenue from tuition, and the expenditures and workload of the schools and the 
Department of Higher Education (DHE).   
 
Institutional tuition revenue. Increasing the number of students enrolled in higher education 
increases the amount of tuition revenue collected and spent by schools to provide postsecondary 
education. Due to institutions’ enterprise status, this revenue is not subject to TABOR.  Any increase 
in tuition revenue may be partially offset by tuition reductions for students currently paying 
nonresident tuition; however, this population of students is assumed to be small and their enrollment 
spread across multiple institutions. 
 
Department of Higher Education. Increased enrollment in postsecondary education creates 
workload for the DHE and schools to assist students with the Colorado Application for State Financial 
Aid (CASFA).  No change in appropriations is required.  
Effective Date 
The bill takes effect upon signature of the Governor, or upon becoming law without his signature. 
State and Local Government Contacts 
Higher Education 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
The revenue and expenditure impacts in this fiscal note represent changes from current law under the bill for each 
fiscal year.  For additional information about fiscal notes, please visit:  leg.colorado.gov/fiscalnotes.