Page 1 January 12, 2023 SB 23-014 Legislative Council Staff Nonpartisan Services for Colorado’s Legislature Fiscal Note Drafting Number: Prime Sponsors: LLS 23-0166 Sen. Moreno Rep. Lindsay Date: Bill Status: Fiscal Analyst: January 12, 2023 Senate Health & Human Services Shukria Maktabi | 303-866-4720 shukria.maktabi@coleg.gov Bill Topic: DISORDERED EATING PREVENTION Summary of Fiscal Impact: ☒ State Revenue ☒ State Expenditure ☐ State Transfer ☐ TABOR Refund ☐ Local Government ☐ Statutory Public Entity The bill creates the Office of Disordered Eating Prevention in the Department of Public Health and Environment. The office will be advised by a Disordered Eating Prevention Commission and will provide grant funding for research on risk factors, impacts, and interventions associated with disordered eating. It increases state expenditures beginning in FY 2023-24 and may increase state revenue. Appropriation Summary: For FY 2023-24, the bill requires an appropriation of $42,773 to the Department of Public Health and Environment. Fiscal Note Status: The fiscal note reflects the introduced bill, which was recommended by the Colorado Youth Advisory Council Committee. Table 1 State Fiscal Impacts Under SB 23-014 Budget Year FY 2023-24 Out Year FY 2024-25 Revenue - - Expenditures General Fund $42,773 $344,976 Centrally Appropriated $6,397 $31,781 Total Expenditures $49,170 $376,757 Total FTE 0.4 FTE 1.8 FTE Transfers - - Other Budget Impacts General Fund Reserve $6,416 $51,746 Page 2 January 12, 2023 SB 23-014 Summary of Legislation The bill creates a new office, commission, and grant program to address disordered eating prevention, as described below. Office. The bill creates the Office of Disordered Eating Prevention in the Department of Public Health and Environment (CDPHE), to be established by July 1, 2024. The office must create and maintain a resource bank for research, intervention methods, treatment resources, crisis services, awareness programs, and educational resources regarding disordered eating prevention and care. In collaboration with the Office of Suicide Prevention, the Behavioral Health Administration, the Department of Education, and other organizations, the office must provide support to individuals with disordered eating, facilitate public outreach, increase awareness regarding prevention and care, and prepare culturally-specific written materials for primary care offices and providers throughout the state. CDPHE is authorized to seek, accept, and expend gifts, grants, or donations from private or public sources. Commission. By December 31, 2024, the CDPHE director will appoint members to the newly-created Disordered Eating Prevention Commission. The commission will provide leadership, set priorities, advise the office on strategy and implementation, and provide a forum for various stakeholders to address disordered eating. The commission must also develop recommendations for legislation. The commission repeals on September 1, 2033, following a sunset review. Grant program. The bill also creates the disordered eating prevention research grant program to provide financial assistance for research related to risk factors, impacts, and root causes for disordered eating. CDPHE must administer the grant program in consultation with the office. The grant program repeals July 1, 2027. By November 1, 2024, and every year thereafter, the office must submit to relevant legislative committees a report that summarizes recommendations from the commission and information related to the grant program. State Revenue The bill potentially increases state revenue to the General 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 Expenditures The bill increases state expenditures in CDPHE by $49,170 and 0.4 FTE in FY 2023-24 and $376,757 and 1.8 FTE in FY 2024-25 and ongoing from the General Fund. Expenditures are shown in Table 2 and detailed below. The bill also increases workload in the Governor’s Office, the Behavioral Health Administration, and the Department of Education. Page 3 January 12, 2023 SB 23-014 Table 2 Expenditures Under SB 23-014 FY 2023-24 FY 2024-25 Department of Public Health and Environment Personal Services $21,258 $127,546 Operating Expenses $675 $2,430 Capital Outlay Costs $13,340 - Translation Services $5,000 $10,000 Printing $2,500 $5,000 Grant Awards - $200,000 Centrally Appropriated Costs 1 $6,397 $31,781 Total Cost $49,170 $376,757 Total FTE 0.4 FTE 1.8 FTE 1 Centrally appropriated costs are not included in the bill's appropriation. Department of Public Health and Environment. The CDPHE will have costs to staff the new office, support the new commission, and award grants, as described below. Program staff. The CDPHE will hire 1.8 FTE to create and maintain a resource bank for disordered eating, coordinate with the commission and other agencies, facilitate public outreach, support the commission, submit reporting requirements, and administer the grant program. The fiscal note assumes an April 1 start date, includes standard capital outlay and operating expenses, and reflects the General Fund pay date shift. Translation. The office will translate resource bank material and other education and outreach materials into relevant languages for distribution to impacted communities. Printing. The office will print disordered eating prevention materials for primary care offices and patients. Grant awards. This fiscal note assumes that $200,000 in grant funding will be made available to eligible recipients annually beginning in FY 2024-25. Funding for the program is at the discretion of the General Assembly. The fiscal note will be updated if more information on program funding levels become available. Governor's Office. Workload will increase in the Governor’s Office of Boards and Commissions to facilitate the required appointments under the bill, including recruiting, vetting, and interviewing potential appointees. Based on the cumulative impact of all legislation, the Governor's Office may seek funding through the annual budget process, as necessary. Page 4 January 12, 2023 SB 23-014 Other state agencies. The Department of Education and the Behavioral Health Administration within the Department of Human Services will incur workload impacts to collaborate with the office and serve on the commission, which can be accomplished with existing resources. 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. 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. Based on this fiscal note, the bill is expected to increase the amount of General Fund held in reserve by the amounts shown in Table 1, which will decrease the amount of General Fund available for other purposes. Effective Date The bill takes effect 90 days following adjournment of the General Assembly sine die, assuming no referendum petition is filed. State Appropriations For FY 2023-24, the bill requires a General Fund appropriation of $42,773 to CDPHE, and 0.4 FTE. State and Local Government Contacts Education Higher Education Human Services Public Health and Environment Information Technology 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.