Colorado 2023 2023 Regular Session

Colorado House Bill HB1098 Introduced / Fiscal Note

Filed 07/06/2023

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July 6, 2023  HB 23-1098  
 
 Legislative Council Staff 
Nonpartisan Services for Colorado’s Legislature 
 
Final Fiscal Note  
   
 
Drafting Number: 
Prime Sponsors: 
LLS 23-0589  
Rep. Frizell; Bradley 
Sen. Pelton B.  
Date: 
Bill Status: 
Fiscal Analyst: 
July 6, 2023 
Postponed Indefinitely 
Josh Abram | 303-866-3561 
josh.abram@coleg.gov  
Bill Topic: WOMEN'S RIGHTS IN ATHLETICS  
Summary of  
Fiscal Impact: 
☒ State Revenue 
☒ State Expenditure 
☐ State Transfer 
☐ TABOR Refund 
☐ Local Government 
☒ School Districts 
 
The bill required that any school sport in K12 or higher education be designated as 
either male, female, or coeducational. Students may only participate in a designated 
sport matching the biological sex at birth of the participating student. The bill would 
have increased state revenue and expenditures beginning in FY 2023-24.  
Appropriation 
Summary: 
No appropriation is required. 
Fiscal Note 
Status: 
This fiscal note reflects the introduced bill.  The bill was postponed indefinitely by the 
House State, Civic, Military, & Veterans Affairs Committee on February 13, 2023, 
therefore, the impacts identified in this analysis do not take effect.. 
Summary of Legislation 
The bill requires that any interscholastic, intramural, or club athletic team, sport, or athletic event 
sponsored by a public school or district, an activities association, or a state supported institution of 
higher education be designated as: 
 
 females, women, or girls;  
 males, men, or boys; or  
 coeducational or mixed. 
 
Students may only participate in a designated extracurricular sport team matching the student’s 
biological sex at birth.  No governmental entity may file a complaint or take adverse action against a 
public school, an activities association, an institution of higher education, or their employees, for 
compliance with the bill’s requirements.  The bill also waives immunity for public entities for an action 
brought under the bill.  
 
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July 6, 2023  HB 23-1098  
 
A student, a public school or district, an activities association, or an institution of higher education 
that suffers direct or indirect harm as a result of any violation of the bill has a private cause of action 
for judicial relief against the entity or individual causing the harm.  A student who suffers retaliatory 
or other adverse actions from an accused public institution has the same private cause of action.  
 
If a lawsuit is brought or a complaint filed against a public school or district, a state institution of 
higher education, or its employees, as a result of compliance with these requirements, the Department 
of Law must provide legal representation.  In addition to the expenses of representation, the state 
must assume financial responsibility for any other expense related to the lawsuit or complaint, 
including attorney fees. 
State Revenue 
The bill may increase court filing fees to the trial courts in the Judicial Branch if additional civil cases 
are filed under the new cause of action created by the bill.  Court filing fees are deposited to a variety 
of cash funds and are subject to TABOR.  Any increase in revenue is assumed to be minimal. 
State Expenditures 
The bill may increase state costs in several areas, including providing representation to persons or 
organization who comply with the bill, increased workload in the courts from a new cause of action, 
waiving governmental immunity in cases of noncompliance with the bill, and other legal services 
costs.  These impacts are described below. 
 
Representation by the Department of Law.  The bill increases state expenditures in the Department 
of Law by an indeterminate amount beginning FY 2023-24.  The Department of Law must provide 
legal representation at no charge to any institution of higher education, public school, school district, 
or their employees or members who are subject to a lawsuit or complaint for compliance with this bill.  
Given that the number and timing of future lawsuits is unknown, and the fact that some entities and 
individuals may choose alternate representation, it is assumed that any costs to the Department of 
Law will be addressed through the annual budget process based on actual representation provided.  
Costs for representation will be paid from the General Fund. 
 
Judicial Department.  A cause of action is created for students or schools that suffer harm if there is 
noncompliance with the bill’s requirements.  This new cause of action increases workload for the trial 
courts in the Judicial Department to handle additional civil cases.  The fiscal note assumes any increase 
in trial court caseload will be minimal and no change in appropriations is required. 
 
Waiver of governmental immunity.  The bill waives governmental immunity in cases where there is 
noncompliance with the provisions of the bill.  If a state institution of higher education is found liable 
for noncompliance, this could increase the potential liability beyond what is allowed under current 
law.   
 
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July 6, 2023  HB 23-1098  
 
Other legal service costs.  The bill potentially increases legal service costs to the Department of Higher 
Education and state institutions of higher education to address how the bill interacts with federal 
requirements under Title IX of the Higher Education Act of 1972. Title IX protects people from 
discrimination based on sex in education programs or activities that receive federal financial 
assistance.  The total cost of legal services provided to DHE and institutions cannot be estimated, as it 
will depend on future inquiries and legal actions.  Any costs will be addressed, as necessary, through 
the annual budget process. 
School District  
The bill increases workload for school districts to adopt policies and procedures to ensure compliance 
with the bill’s requirements, and to inform student athletes, parents, and the district community of 
new rules and procedures for participation in sports activities. School districts may have other legal 
costs associated with challenges to their policies.  Schools may opt to have the Department of Law 
represent them in lawsuits based on their compliance with the law, which will allow them to avoid 
potential costs in these instances.  Schools or school districts who are found noncompliant may have 
additional liability above current limits from the bill’s waiver of governmental immunity in these 
cases. 
Effective Date 
The bill takes effect 90 days following adjournment of the General Assembly sine die, assuming no 
referendum petition is filed. 
State and Local Government Contacts 
Higher Education  Judicial  Law  
School 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.