Colorado 2022 2022 Regular Session

Colorado House Bill HB1354 Introduced / Fiscal Note

Filed 04/08/2022

                    Page 1 
April 8, 2022  HB 22-1354  
 
 Legislative Council Staff 
Nonpartisan Services for Colorado’s Legislature 
 
Fiscal Note  
  
 
Drafting Number: 
Prime Sponsors: 
LLS 22-0884  
Rep. Lindsay; Michaelson Jenet 
Sen. Winter  
Date: 
Bill Status: 
Fiscal Analyst: 
April 8, 2022 
House HHS  
Clare Pramuk | 303-866-2677 
clare.pramuk@state.co.us  
Bill Topic: PROTECTING INJURED WORKERS' MENTAL HEALTH RECORDS  
Summary of  
Fiscal Impact: 
☐ State Revenue 
☒ State Expenditure 
☐ State Transfer 
☐ TABOR Refund 
☐ Local Government 
☐ Statutory Public Entity 
 
The bill amends the Workers’ Compensation Act of Colorado to limit the disclosure of 
records related to a claimant’s mental health and to require training of Workers' 
Compensation Division employees on maintaining the privacy of mental health 
records.  The bill also requires a person providing mental health services to a 
Workers’ Compensation claimant to be a licensed mental health provider. The bill 
increases state expenditures beginning in FY 2022-23. 
Appropriation 
Summary: 
For FY 2022-23, the bill requires an appropriation of $30,000 to the Department of 
Labor and Employment. 
Fiscal Note 
Status: 
The fiscal note reflects the introduced bill. 
 
 
Table 1 
State Fiscal Impacts Under HB 22-1354 
 
  
Budget Year 
FY 2022-23 
Out Year 
FY 2023-24 
Revenue  	-     	-     
Expenditures 	Cash Funds 	$30,000 	-     
Transfers  	-     	-     
Other Budget Impacts  	-     	-     
 
 
    Page 2 
April 8, 2022  HB 22-1354  
 
Summary of Legislation 
The bill amends the Workers’ Compensation Act of Colorado to limit the disclosure of records related 
to a claimant’s mental health and require the Director of the Division of Workers' Compensation in 
the Department of Labor and Employment to train division employees on maintaining the privacy of 
mental health records.  The director may promulgate rules to implement the bill.  Finally, the bill 
requires a person providing mental health services to a Workers’ Compensation claimant to be a 
licensed mental health provider. 
State Expenditures 
This bill increases expenditures in FY 2022-23 by $30,000 in the Department of Labor and Employment 
from the Workers' Compensation Cash Fund.  It may also increase expenditures in the Department of 
Personnel and Administration as described below. 
 
Division of Workers’ Compensation.  The division requires $30,000 to contract for a training program 
that meets the requirements of the bill for division employees responsible for medical policy and 
claims management and processing.  The division will also have an increase in workload to develop 
rules and update claims handling processes. 
 
Department of Personnel and Administration. The bill may increase the cost of treatment for state 
employees that are Workers’ Compensation claimants to see a licensed mental health provider for 
treatment rather than the authorized treating physician.  Any increase will be incorporated into the 
annual actuarial process for assessing costs to agencies.  The State Office of Risk Management may be 
required to change its records handling process as relates to mental health treatment; however, this 
workload can be addressed within existing appropriations. 
Local Government  
Like the state government, the bill may increase the cost of treatment for local government employees 
that are Workers’ Compensation claimants to see a licensed mental health provider for treatment 
rather than the authorized treating physician. 
Effective Date 
The bill takes effect upon signature of the Governor, or upon becoming law without his signature, and 
applies to claims filed on or after the effective date of this bill.  
State Appropriations 
For FY 2022-23, the bill requires an appropriation of $30,000 from the Division of Workers’ 
Compensation Cash Fund to the Department of Labor and Employment. 
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April 8, 2022  HB 22-1354  
 
State and Local Government Contacts 
Information Technology Labor  Personnel  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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.