Page 1 January 26, 2023 HB 23-1064 Legislative Council Staff Nonpartisan Services for Colorado’s Legislature Fiscal Note Drafting Number: Prime Sponsors: LLS 23-0599 Rep. Lukens; Young Sen. Marchman Date: Bill Status: Fiscal Analyst: January 26, 2023 House Education Anna Gerstle | 303-866-4375 anna.gerstle@coleg.gov Bill Topic: INTERSTATE TEACHER MOBILITY COMPACT Summary of Fiscal Impact: ☒ State Revenue ☒ State Expenditure ☐ State Transfer ☐ TABOR Refund ☐ Local Government ☐ Statutory Public Entity Conditional upon adoption by nine other states, the bill enacts the Interstate Teacher Mobility Compact to allow licensed teachers in a member state to more easily obtain a teacher’s licenses from another member state. The bill may increase state revenue and expenditures in future years. Appropriation Summary: No appropriation is required. Fiscal Note Status: The fiscal note reflects the introduced bill. Summary of Legislation The bill enacts the Interstate Teacher Mobility Compact, which allows licensed teachers in a member state to more easily obtain a teacher’s licenses from another member state. The compact takes effect when ten states have enacted the compact. Interstate Teacher Mobility Compact. The bill requires the state to compile and maintain a list of eligible licenses that the state is willing to consider for equivalency under the compact. When a state receives an application for licensure by a teacher with an eligible license in good standing, it must determine which eligible licenses the teacher is eligible for and grant the license after completion of a background check and any other requirements. The compact sets parameters for the sharing of disciplinary information between states, if requested, and does not limit the state’s ability to implement other licensing requirements or handle violations and enforcement. The bill also establishes procedures for legal proceedings and enforcement related to the compact. Page 2 January 26, 2023 HB 23-1064 Interstate Teacher Mobility Compact Commission. The bill establishes the compact commission to adopt and enforce rules, manage administration of the compact, and facilitate the exchange of information between states. It must meet at least once per year and includes one representative from each member state. The commission is funded with gifts, grants, and donations, and may levy an annual assessment on each member state to cover expenses. Assumptions As of January 2023, the compact has not been enacted in any states; however, legislation is pending in seven other states. The fiscal note assumes that the compact will not take effect in FY 2023-24. State Revenue Conditional upon the compact taking effect, the bill may increase revenue to the Educator Licensure Cash Fund in the Colorado Department of Education (CDE) in future years, if it results in additional teachers being licensed in Colorado, and paying applicable licensing fees. Any revenue change is expected to be minimal. Revenue from licensure fees is subject to TABOR. State Expenditures Conditional upon the compact taking effect, the bill increases workload and costs for the Colorado Department of Education (CDE), and workload for the Department of Law and the Judicial Department, as discussed below. Department of Education. The bill increases workload and costs for CDE, as discussed below. No change in appropriations is required. Any future costs are assumed to be paid from the Educator Licensure Cash Fund. Workload. CDE will incur workload to implement the compact, including designating staff to represent Colorado on the compact commission, compiling the list of licenses for reciprocity, modifying any procedures for licensure and data sharing, and handling additional applications from teachers moving to Colorado from other states. The workload is expected to be accomplished within current appropriations; any additional resources will be requested through the budget process. Membership dues. The compact commission may charge an annual fee from member states. The amount and timing of any fee is unknown at this time; if the compact is enacted, CDE will request the fee amount through the budget process. For informational purposes, the fee for Occupational Therapy Licensure Interstate Compact and Audiology and Speech-Language Pathology Interstate Compact were estimated at $15,000 when those compacts were passed in 2021. Legal services. CDE may require additional hours of legal services, provided by the Department of Law, to implement the compact, including contracting, data sharing, and licensure eligibility. No change in appropriations is required. Page 3 January 26, 2023 HB 23-1064 Judicial Department. If the bill results in additional civil cases challenging licensing decisions or handling compact proceedings, workload for the trial courts in the Judicial Department will increase by a minimal amount. No change in appropriations is required. Department of Early Childhood. The bill may increase workload for the Colorado Department of Early Childhood by a minimal amount to coordinate with CDE on any changes to licensing procedures that impact preschool teachers. No change in appropriations is required. Effective Date The bill takes effect 90 days following adjournment of the General Assembly sine die, assuming no referendum petition is filed; however, the compact is not enacted until it is enacted by ten states. State and Local Government Contacts Early Childhood Education Information Technology Judicial Law 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.