Colorado 2022 2022 Regular Session

Colorado Senate Bill SB114 Introduced / Fiscal Note

Filed 04/06/2022

                    Page 1 
April 5, 2022  SB 22-114  
 
 
 Legislative Council Staff 
Nonpartisan Services for Colorado’s Legislature 
 
Revised Fiscal Note  
(replaces fiscal note dated February 14, 2022 )  
 
Drafting Number: 
Prime Sponsors: 
LLS 22-0535  
Sen. Hisey; Story 
Rep. Roberts; Catlin  
Date: 
Bill Status: 
Fiscal Analyst: 
April 5, 2022 
House Agriculture 
Josh Abram | 303-866-3561 
Josh.Abram@state.co.us  
Bill Topic: FIRE SUPPRESSION PONDS WATER RIGHTS  
Summary of  
Fiscal Impact: 
☐ State Revenue 
☒ State Expenditure 
☐ State Transfer 
☐ TABOR Refund 
☒ Local Government 
☐ Statutory Public Entity 
 
The bill allows a board of county commissioners to apply to the State Engineer to have 
certain ponds designated as fire suppression ponds.  The bill increases state and local 
expenditures beginning in FY 2022-23. 
Appropriation 
Summary: 
For FY 2022-23, the bill includes an appropriation of $19,428 to the Department of 
Natural Resources. 
Fiscal Note 
Status: 
The revised fiscal note reflects the reengrossed bill. 
 
 
Table 1 
State Fiscal Impacts Under SB 22-114 
 
  
Budget Year 
FY 2022-23 
Out Year 
FY 2023-24 
Revenue  	-     	-     
Expenditures 	General Fund 	$19,428     $13,146     
Transfers  	-     	-     
Other Budget Impacts General Fund Reserve 	$2,914     $1,972     
 
 
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April 5, 2022  SB 22-114  
 
 
Summary of Legislation 
The bill allows a board of county commissioners to apply to the State Engineer in the Division of Water 
Resources in the Department of Natural Resources (DNR) for the designation of a pond within the 
county as a fire suppression pond. Fire suppression ponds must be inspected annually by the county 
and fire protection district.   
 
Prior to application, commissioners must consult with its fire protection district to identify ponds in 
areas that have a high risk of wildfire damage, and perform a needs assessment on potential 
suppression ponds, including identifying refill mechanisms such as groundwater pumping or surface 
diversions.  For each pond under consideration by a county, the commissioners must notify the State 
Engineer.  Ponds are not considered a property right, and cannot create injury to an existing vested 
water right.  
 
Before May 1, 2023, the Department of Public Safety (DPS) is required to seek input from various 
stakeholders and adopt rules establishing the minimum criteria for counties to use to identify and 
evaluate potential ponds.  The bill outlines the process and deadlines for the State Engineer to consider 
applications, issue decisions and denials, and designate, renew or rescind fire suppression ponds. A 
water right holder may petition a water judge to review designations made by the State Engineer. 
 
Except for addressing dam safety concerns, the State Engineer must not order a pond to be drained or 
backfilled if it is under consideration as a fire suppression pond, has been so designated by the State 
Engineer, or until the Division of Fire Prevention and Control in the DPS adopts rules for fire 
suppression ponds.   
 
The Division of Fire Prevention and Control may, subject to available appropriations, provide 
financial support to a board of county commissioners to assist with acquisition of augmentation water 
for ponds that satisfy the criteria of the bill but are not designated as fire suppression ponds. 
State Expenditures 
The bill increases state General Fund expenditures in the DNR by $19,428 in FY 2022-23, and by 
$13,146 in FY 2023-24.  Expenditures are displayed in Table 2 and described below. 
 
Table 2 
Expenditures Under SB 22-114 
 
 	FY 2022-23 FY 2023-24 
Department of Natural Resources   
Temporary Personal Services 	-       $13,146      
Legal Services (Department of Law) 	$11,828      	-       
Computer Programming (OIT) 	$7,600       -       
Total Cost $19,428 $13,146 
   
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April 5, 2022  SB 22-114  
 
 
Division of Water Resources. For FY 2022-23, the DNR will require legal services from the 
Department of Law to assist with rule making, estimated at 120 hours at a blended rate of $98.57.  The 
DNR will also purchase 40 hours at the rate of $190 per hour for computer programming from the 
Office of Information Technology (OIT).  These costs also include developing an application form and 
workflow process, and making modifications to the database user interface.  
 
For FY 2023-24, the DNR will employ temporary staff to assist with processing applications from 
counties.  This elevated workload is expected to recur in FY 2024-25; however, in out years, the number 
of county applications is anticipated to be minimal.  Temporary personal services are estimated at 
420 hours at $31.30 an hour.  
 
Division of Fire Prevention and Control.  The division will have a workload increase to promulgate 
the rules required by the bill. This workload increase can be accomplished within existing 
appropriations.  The bill permits, but does not require, the division to provide financial support to 
facilitate a board of county commissioners’ acquisition of augmentation water for ponds designated 
as fire suppression ponds.  This expense has not been estimated. 
 
Judicial department. The bill allows a water court to review and rule on designations made by the 
State Engineer if petitioned by a water rights owner.  This is expected to minimally increase workload 
for the State Water Courts.  This increase does not require additional appropriations. 
Other Budget Impacts 
General Fund reserve. Under current law, an amount equal to 15 percent of General Fund 
appropriations must be set aside in the General Fund statutory reserve beginning in FY 2022-23.  Based 
on this fiscal note, the bill is expected to increase the amount of General Fund held in reserve by $2,914 
in FY 2022-23, and by $1,972 in FY 2023-24, which will decrease the amount of General Fund available 
for other purposes. 
Local Government  
Counties will have increased workload to conduct needs assessments and manage the application 
process with the State Engineer.  Once fire suppression ponds have been designated, there may be 
additional requirements for counties to annually inspect ponds and maintain the designation.  Not all 
counties will participate in the program, and mountain communities are more likely to have available 
ponds for designation. The eastern plains areas traditionally have irrigation wells, ditches, and 
municipal water supplies available for fire use, so applications are expected to be minimal. 
Effective Date 
The bill takes effect 90 days following adjournment of the General Assembly sine die, assuming no 
referendum petition is filed. 
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April 5, 2022  SB 22-114  
 
 
State Appropriations 
For FY 2022-23, the bill includes a General Fund appropriation of $19,428 to the Department of Natural 
Resources.  Of this amount, $11,828 is reappropriated to the Department of Law for legal services, and 
$7,600 is reappropriated to the Office of Information Technology for computer programming. 
State and Local Government Contacts 
Counties Information Technology Law  
Natural Resources  Public Safety 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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.