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January 14, 2022 SB 22-028
Legislative Council Staff
Nonpartisan Services for Colorado’s Legislature
Fiscal Note
Drafting Number:
Prime Sponsors:
LLS 22-0178
Sen. Simpson; Sonnenberg
Rep. Roberts; Catlin
Date:
Bill Status:
Fiscal Analyst:
January 14, 2022
Senate Agriculture
Clare Pramuk | 303-866-2677
clare.pramuk@state.co.us
Bill Topic: GROUNDWATER COMPACT COMPLIANCE FUND
Summary of
Fiscal Impact:
☒ State Revenue
☒ State Expenditure
☐ State Transfer
☐ TABOR Refund
☒ Local Government
☐ Statutory Public Entity
This bill creates the Groundwater Compact Compliance and Sustainability Fund for
groundwater compact compliance and groundwater resource sustainability and
conservation purposes. It increases state expenditures on an ongoing basis.
Appropriation
Summary:
No appropriation is required.
Fiscal Note
Status:
The fiscal note reflects the introduced bill which was recommended by the Water
Resources Review Committee.
Summary of Legislation
This bill creates the Groundwater Compact Compliance and Sustainability Fund for groundwater
compact compliance and groundwater resource sustainability and conservation purposes. The fund
will be administered by the Colorado Water Conservation Board (CWCB) in the Department of
Natural Resources (DNR) and is subject to annual appropriation. Funds may include appropriations
or transfers by the General Assembly; funds from federal sources; and gifts, grants, and donations.
The CWCB will disburse funds based on recommendations from the board of directors of either the
Rio Grande Water Conservancy District or the Republican River Water Conservation District, after
approval by the State Engineer. The bill authorizes the CWCB to use up to 5.0 percent of the annual
appropriation to pay its direct and indirect costs and those of the boards of the Rio Grande Water
Conservation District and the Republican Water Conservation District, and the State Engineer in the
DNR.
If all groundwater reduction requirements and all statutorily mandated standards are achieved, the
fund will be repealed and any remaining money transferred to the General Fund.
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January 14, 2022 SB 22-028
State Revenue
The bill may increase revenue from gifts, grants, and donations from federal and private sources. At
the time of this writing, no sources of funding have been identified. These funds are not subject to
TABOR.
State Expenditures
Funding for the Groundwater Compact Compliance and Sustainability Fund is at the discretion of the
General Assembly and depends on whether outside funds are received and whether the General
Assembly appropriates or transfers state funds. The bill will increase workload for the CWCB and
the Division of Water Resources in the DNR to solicit funds and administer the funds when they
become available. If funding is appropriated as the bill moves through the legislative process, the
fiscal note will be revised to reflect fund administration costs for the DNR.
Local Government
When funds are appropriated to the Groundwater Compact Compliance and Sustainability Fund, the
boards of the Rio Grande Water Conservation District and the Republican River Water Conservation
District will have an increase in workload to collaborate with the CWCB in determining how to
allocate the funds. The direct and indirect costs of these boards can be paid from the fund.
Effective Date
The bill takes effect upon signature of the Governor, or upon becoming law without his signature.
State and Local Government Contacts
Information Technology Judicial Natural Resources
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.