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May 3, 2022 HB 22-1377
Legislative Council Staff
Nonpartisan Services for Colorado’s Legislature
Revised Fiscal Note
(replaces fiscal note dated April 25, 2022)
Drafting Number:
Prime Sponsors:
LLS 22-1001
Rep. Woodrow; Exum
Sen. Kolker; Gonzales
Date:
Bill Status:
Fiscal Analyst:
May 3, 2022
Senate Finance
Matt Bishop | 303-866-4796
Matt.Bishop@state.co.us
Bill Topic: GRANT PROGRAM PROVIDING RESPONSES TO HOMELESSNESS
Summary of
Fiscal Impact:
☒ State Revenue
☒ State Expenditure
☒ State Transfer
☐ TABOR Refund
☒ Local Government
☐ Statutory Public Entity
The bill creates a grant program for local governments to reduce the rate of
homelessness. It increases state expenditures, local revenue, and local expenditures
beginning in FY 2022-23.
Appropriation
Summary:
The bill does not require an appropriation to DOLA, but requires a reappropriation to
the Office of Information Technology of $9,218.
Fiscal Note
Status:
The revised fiscal note reflects the reengrossed bill.
Table 1
State Fiscal Impacts Under HB 22-1377
Current Year
FY 2021-22
Budget Year
FY 2022-23
Out Year
FY 2023-24
Revenue - -
Expenditures Cash Funds - $52.3 million $51.8 million
Centrally Appropriated - $0.4 million $0.3 million
Total Expenditures - $52.7 million $52.1 million
Total FTE - 11.2 FTE 10.2 FTE
Transfers
2
Cash Funds ($105.0 million) - -
Cash Funds $105.0 million - -
Net Transfer $0 - -
Other Budget Impacts
1
Money in the Economic Recovery and Relief Cash Fund consists of federal ARPA funds.
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May 3, 2022 HB 22-1377
Summary of Legislation
The bill creates the Connecting Coloradans Experiencing Homelessness with Services, Treatment, and
Housing Supports Grant Program in the Department of Local Affairs (DOLA) to award grants to
certain local governments. DOLA must create policies for the program consistent with the minimum
requirements established in the bill, with the goal of reducing the rate of homelessness through
community-based support systems.
The bill creates the Connecting Coloradans Experiencing Homelessness with Services, Treatment, and
Housing Supports Fund, which is continuously appropriated to DOLA, authorizes DOLA to seek and
accept gifts, grants, and donations for the program, and directs the General Assembly to appropriate
$105 million to the fund. DOLA may use up to seven percent of the money appropriated or transferred
to the fund for administrative costs.
DOLA must report on the program annually, and it must submit a report including results and
recommendations at its 2023 SMART Act hearing, in conjunction with the Department of Health Care
Policy and Financing (HCPF). The program repeals July 1, 2027.
State Revenue
The bill potentially increases state revenue to the Connecting Coloradans Experiencing Homelessness
with Services, Treatment, and Housing Supports Fund from gifts, grants, or donations; however, no
sources have been identified at this time. Gifts, grants, and donations are exempt from TABOR
revenue limits.
State Transfers
Within three days of the bill’s effective date, the bill requires a transfer of $105.0 million from the
Economic Relief and Recovery Cash Fund to the Connecting Coloradans Experiencing Homelessness
with Services, Treatment, and Housing Supports Fund.
State Expenditures
The bill increases state expenditures in DOLA by $52.7 million in FY 2022-23 and $52.1 million in
FY 2023-24 from the Connecting Coloradans Experiencing Homelessness with Services, Treatment,
and Housing Supports Fund. Expenditures are shown in Table 2 and detailed below.
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May 3, 2022 HB 22-1377
Table 2
Expenditures Under HB 22-1377
FY 2022-23 FY 2023-24
Department of Local Affairs
Personal Services $696,729 $637,498
Operating Expenses $38,649 $35,875
Capital Outlay Costs $73,506 -
Grants $51,000,000 $51,000,000
Consultants $400,000 -
Software Operating Costs $83,266 $82,869
Centrally Appropriated Costs
1
$358,675 $327,389
Total Cost $52,650,825 $52,083,631
Total FTE 11.2 FTE 10.2 FTE
1
Centrally appropriated costs are not included in the bill's appropriation.
Department of Local Affairs. Costs will increase to establish the new grant program, including
setting program policies, reviewing applications, monitoring grants, and reporting on the program.
Administrative costs. Administrative costs are estimated at $1.7 million and 11.2 FTE in FY 2022-23
and $0.8 million and 10.2 FTE in FY 2023-24. Personal services costs assume a July 1, 2022, start
date. Operating and capital outlay costs include standard costs for the new staff, vehicle mileage,
and specialized software licenses for grants management. Some IT operating costs are provided
by the Office of Information Technology. DOLA requires consultants to provide technical
assistance with data analysis in FY 2022-23 only. The bill limits administrative expenses to
seven percent and are assumed to continue into future years, which may require General Fund
support.
Grants. The fiscal note assumes that the grants will be spent over multiple years. Table 2 assumes
$51.0 million per year will be distributed as grants. This is for illustrative purposes only; the
amount of money awarded in each fiscal year will depend on the size and number of grants
awarded, as determined by DOLA. DOLA is required to spend or obligate the funds prior to
December 30, 2024, and expend the funds on or before December 31, 2026.
Centrally appropriated costs. Pursuant to a Joint Budget Committee policy, certain costs associated
with this bill are addressed through the annual budget process and centrally appropriated in the Long
Bill or supplemental appropriations bills, rather than in this bill. These costs, which include employee
insurance and supplemental employee retirement payments, are shown in Table 2.
Local Government
Revenue and expenditures will increase in local governments to the extent that they apply for and are
awarded grants. Page 4
May 3, 2022 HB 22-1377
Effective Date
The bill takes effect upon signature of the Governor, or upon becoming law without his signature.
State Appropriations
As the Connecting Coloradans Experiencing Homelessness with Services, Treatment, and Housing
Supports Fund is continuously appropriated, no appropriation to the Department of Local Affairs is
required.
For FY 2022-23, the bill requires a reappropriation of $9,218 from the Connecting Coloradans
Experiencing Homelessness with Services, Treatment, and Housing Supports Fund to the Office of
Information Technology.
State and Local Government Contacts
Counties Health Care Policy and Financing
Information Technology Law
Local Affairs Municipalities
Special Districts
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.