Colorado 2023 2023 Regular Session

Colorado Senate Bill SB111 Introduced / Fiscal Note

Filed 04/12/2023

                    Page 1 
April 11, 2023  SB 23-111  
 
 Legislative Council Staff 
Nonpartisan Services for Colorado’s Legislature 
 
Revised Fiscal Note  
(replaces fiscal note dated February 22, 2023)  
 
Drafting Number: 
Prime Sponsors: 
LLS 23-0483  
Sen. Rodriguez 
Rep. Woodrow  
Date: 
Bill Status: 
Fiscal Analyst: 
April 11, 2023 
Senate Second Reading 
Anna Gerstle | 303-866-4375 
anna.gerstle@coleg.gov  
Bill Topic: PUBLIC EMPLOYEES' WORKPLACE PROTECTION  
Summary of  
Fiscal Impact: 
☒ State Revenue 
☒ State Expenditure 
☐ State Transfer 
☐ TABOR Refund 
☒ Local Government 
☒ Statutory Public Entity 
 
The bill establishes certain rights for public employees and associated enforcement 
procedures.  The bill increases state revenue and expenditures, and potentially 
increases costs for certain local governments and statutory public entities, on an 
ongoing basis.  
Appropriation 
Summary: 
For FY 2023-24, the bill requires an appropriation of $151,751 to the Colorado 
Department of Labor and Employment.  
Fiscal Note 
Status: 
This revised fiscal note reflects the introduced bill, as amended by the Senate Local 
Government and Housing Committee and the Senate Appropriations Committee.  
 
 
Table 1 
State Fiscal Impacts Under SB 23-111 
 
  
Budget Year 
FY 2023-24 
Out Year 
FY 2024-25 
Revenue 	-     	-     
Expenditures 	General Fund $151,751  $254,890  
 
Centrally Appropriated 	$17,717  	$37,930  
 
Total Expenditures $169,468  $292,820  
 	Total FTE                   1.2 FTE                 2.2 FTE  
Transfers  	-  	-  
Other Budget Impacts General Fund Reserve 	$22,763 	$38,233 
 
 
    Page 2 
April 11, 2023  SB 23-111  
 
Summary of Legislation 
The bill specifies that public employees have the right to: 
 
 discuss or express views on workplace issues and employee rights and representation;  
 engage in protected, concerted activity for the purposes of mutual aid or protection; 
 participate in the political process while off-duty without discrimination, intimidation, or 
retaliation; 
 speak with members of the public employer’s governing body about conditions of employment; 
and 
 form or join, or refrain from participating in, an employee organization. 
 
A public employer must not discriminate against an employee for engaging the in rights listed above, 
interfere with the administration of an employee organization, or discriminate against an employee 
who has joined an employee organization or has filed a complaint related to the bill.  The bill does not 
codify the right to recognize or negotiate a collective bargaining agreement.  
 
Definition of public employer.  Under the bill, a public employer includes the following: 
 
 a municipality or a city and county; 
 a county with a population of less than 7,500;  
 a district, business improvement district, or special district that is a political subdivision of the 
state, a county, or municipality;  
 the Colorado School for the Deaf and the Blind; 
 a state institution of higher education;  
 the Office of the State Public Defender;  
 the University of Colorado Hospital Authority and Denver Health and Hospital Authority;  
 majority and minority caucus staff for the House of Representatives and the Senate;   
 a Board of Cooperative Services (BOCES);  
 firefighters; and 
 Joint Budget Committee Staff (JBC), Legislative Council Staff (LCS), the staff of the Chief Clerk of 
the House of Representatives, and Senate Services Staff; however, these employers may limit 
employee participation in the political process to the extent necessary to maintain their 
nonpartisan role. 
 
A public employer does not include state employees covered by the Colorado Workers for Innovation 
and New Solutions (CO WINS) union or a political subdivision of the state that operates a mass 
transportation system.  The bill specifies that the State Board of Education may not waive the bill’s 
provisions for a charter school, or an innovation school, zone, or district.  
 
Enforcement.  An aggrieved party must file a claim for a violation within six months of knowing 
about the violation.  The Division of Labor Standards and Statistics (DLSS) in the Colorado 
Department of Labor and Employment (CDLE) is charged with enforcing the rights under the bill and 
must create a process to review and investigate complaints, at the discretion of the division director. 
Beginning July 1, 2024, CDLE may adjudicate unfair labor practices and issue decisions.  A party may 
appeal CDLE’s decision to the Colorado Court of Appeals, whose review must be limited to whether 
CDLE exceeded its jurisdiction or abused its discretion.  Enforcement costs must be paid from the 
General Fund.  Page 3 
April 11, 2023  SB 23-111  
 
State Revenue 
The bill increases state revenue to the Wage Theft Enforcement Fund from any fines collected.  Overall, 
any revenue is expected to be minimal, as the Colorado Wage Act encourages the DLSS to waive most 
fines assessed against employers if the employer complies with the law, and DLSS has never levied a 
fine for an unfair labor practice.  Any revenue from court filing fees is also expected to be minimal. 
State Expenditures 
The bill increases state expenditures in CDLE by $169,468 in FY 2023-24 and $292,820 in FY 2024-25, 
paid from the General Fund.  It also increases workload for Judicial Department, and potentially costs 
for the Legislative Department, institutions of higher education, Department of Education, and Office 
of the State Public Defender.  Expenditures are shown in Table 2 and detailed below. 
 
Table 2 
Expenditures Under SB 23-111 
 
 	FY 2023-24 FY 2024-25 
Department of Labor             
Personal Services 	$83,263  $181,414  
Operating Expenses 	$4,118  $8,506  
Capital Outlay Costs 	$6,670  $6,670  
Legal Services 	$57,100  $57,100  
Travel Costs 	$600  $1,200  
Centrally Appropriated Costs
1
 	$17,717  $37,930  
FTE – Personal Services 	0.9 FTE 1.9 FTE 
FTE – Legal Services 	0.3 FTE 0.3 FTE 
Total $169,468  $292,820  
Total FTE 1.2 FTE 2.2 FTE 
1
 Centrally appropriated costs are not included in the bill's appropriation. 
 
Department of Labor.  CDLE requires 0.9 FTE in FY 2023-24 and 2.0 FTE in subsequent years to handle 
complaints filed under the bill.  The fiscal note assumes approximately one complaint for every 3,800 
employees, for a total of 75 complaints per year; however, investigations are at the discretion of the 
division director and the fiscal note assumes that most of the investigation work will not occur until 
FY 2024-25 when CDLE may adjudicate claims and issue decisions.  A supervisor will handle 
management of all complaints, outreach, questions and rulemaking on an ongoing basis.  In the first 
year only, a policy advisor will handle the rulemaking process.  In subsequent years, each complaint 
will require work from a compliance investigator and an administrative law judge. Standard capital 
outlay costs, operating expenses including software licenses, and staff travel costs are also required. 
Staff costs in the first year are prorated for a September 1, 2023, start date in the first year, and prorated 
for the General Fund pay date shift in each position’s first year.   Page 4 
April 11, 2023  SB 23-111  
 
Department of Law.  CDLE requires 540 hours annually for general counsel, rulemaking, and 
investigation support.  Legal services are provided by the Department of Law at a rate of $105.74 per 
hour; the required hours equate to 0.3 FTE.   
 
In addition, the Department of Law may incur additional costs to provide legal counsel for institutions 
of higher educations, due to the number of employees across institutions that are covered by the bill. 
The exact cost cannot be estimated, as it depends on where institution complaints may occur, and the 
associated workload.  As a result, any additional legal services hours for institutions of higher 
education will be requested through the annual budget process.  
 
Department of Personnel and Administration.  Because the Department of Personnel and 
Administration (DPA) manages the employee benefit plans for institutions of higher education, 
legislative staff, the Colorado School for the Deaf and the Blind, and the Office of the State Public 
Defender, the DPA may have workload and costs to the extent that state agencies covered by the bill 
choose to engage with employee organizations acting on behalf of employees.  Because state agencies 
are not required to engage with employer organizations, the costs are assumed to be accomplished 
within current appropriations.  Any additional resources needed will be requested through the annual 
budget process.  
 
Specified state agencies.  The bill increases costs by an indeterminate amount for any state entity 
included as a public employer in the bill to respond to complaints.  This includes state institutions of 
higher education; LCS, OLLS, and House and Senate staff in the Legislative Department; the Colorado 
School for the Deaf and the Blind in the Department of Education; and the Office of the State Public 
Defender.  The fiscal note assumes that this workload will not require a change in appropriations and 
that any additional resources needed will be requested through the annual budget process.  
 
Judicial Department.  The bill increases workload in the trial courts in the Judicial Department by a 
minimal amount to handle any appeals of CDLE decisions.  No change in appropriations is required.  
 
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. 
Local Government and Statutory Public Entity 
Similar to the state agency impacts listed above, the bill increases costs for municipalities, counties 
with a population of 7,500 or less, special districts, and the Denver Health and Hospital Authority to 
respond to any complaints filed for violations of the bill’s provisions.  Cost will vary among each 
public employer depending on the number of complaints received.  
Effective Date 
The bill takes effect 90 days following adjournment of the General Assembly sine die, assuming no 
referendum petition is filed, except that CDLE’s authority to adjudicate complaints and issue decisions 
takes effect July 1, 2024.  Page 5 
April 11, 2023  SB 23-111  
 
State Appropriations 
For FY 2023-24, the bill requires an appropriation of $151,751 from the General Fund to the Colorado 
Department of Labor and Employment, and 0.9 FTE. Of that amount, $57,100 is reappropriated to the 
Department of Law, with an additional 0.3 FTE.  
State and Local Government Contacts 
Counties Education  Higher Education  
Joint Budget Committee Staff  Judicial  Labor  
Law  Legislative Council Staff Legislative Legal Services 
Personnel  Public Defender School Districts 
Special 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.