Colorado 2024 2024 Regular Session

Colorado House Bill HB1260 Introduced / Fiscal Note

Filed 06/06/2024

                    Page 1 
June 6, 2024  HB 24-1260 
 
 
 Legislative Council Staff 
Nonpartisan Services for Colorado’s Legislature 
 
Final Fiscal Note  
   
 
Drafting Number: 
Prime Sponsors: 
LLS 24-0433  
Rep. Duran; Hernandez 
Sen. Danielson  
Date: 
Bill Status: 
Fiscal Analyst: 
June 6, 2024 
Vetoed by Governor  
Josh Abram | 303-866-3561 
josh.abram@coleg.gov  
Bill Topic: PROHIBITION AGAINST EMPLOYEE DISCIPLINE  
Summary of  
Fiscal Impact: 
☐ State Revenue 
☒ State Expenditure 
☐ State Transfer 
☐ TABOR Refund 
☐ Local Government 
☐ Statutory Public Entity 
 
The bill prohibits an employer from taking action against an employee who declines 
to attend meetings, listen to speech, or view communications that include religious or 
political matters. The Colorado Department of Labor and Employment must 
investigate complaints, and create a notice for employers to provide to employees. 
The bill increases state expenditures beginning in FY 2024-25. 
Appropriation 
Summary: 
For FY 2024-25, the bill includes an appropriation of $278,564 to the Colorado 
Department of Labor and Employment.  
Fiscal Note 
Status: 
The final fiscal note reflects the final bill. The bill was vetoed by the Governor on 
May 17, 2024; therefore, the impacts identified in this analysis do not take effect.. 
Table 1 
State Fiscal Impacts Under HB 24-1260 
  
Budget Year 
FY 2024-25 
Out Year 
FY 2025-26 
Revenue  	-     	-     
Expenditures 	General Fund 	$278,564  $233,882  
 
Centrally Appropriated 	$55,531  $49,118  
 
Total Expenditures 	$334,095  $283,000  
 	Total FTE 	2.8 FTE 2.5 FTE 
Transfers  	-  	-  
Other Budget Impacts General Fund Reserve 	$41,785  $35,082  
   Page 2 
June 6, 2024  HB 24-1260 
 
 
Summary of Legislation 
The bill prohibits an employer from threatening to subject an employee to discipline or 
discharge as a result of the employee's refusal to attend an employer-sponsored meeting 
concerning religious or political matters, or for declining to listen to or view religious or political 
communications from the employer. The bill identifies exemptions for communications that are 
required by law, necessary for employees to perform duties, or are part of academic content 
discussions in public education. With respect to state agencies, the bill applies only to meetings 
and communications relating to the decision of a state employee to join or support a fraternal 
or labor organization. 
The bill allows an aggrieved person to seek relief for violations by filing a complaint with the 
Colorado Department of Labor and Employment (CDLE) or with the courts; however, individuals 
must exhaust all available administrative remedies and file a complaint with the CDLE within one 
year of an alleged violation before filing an action in district court. If a complaint is filed with 
CDLE, the department must post the complaint publicly, investigate the complaint, or authorize 
an aggrieved person to proceed with an action in court. 
State Expenditures 
The bill increases state expenditures in the CDLE by about $334,000 in FY 2024-25, and by about 
$283,000 in FY 2025-26 and subsequent years, paid from the General Fund. New costs are 
displayed in Table 2. The bill may also increase workload and expenses in other state agencies as 
described below. 
Table 2 
Expenditures Under HB 24-1260 
 FY 2024-25 FY 2025-26 
Department of Labor and Employment   
Personal Services 	$242,816  $211,859  
Operating Expenses 	$3,584  $3,200  
Capital Outlay Costs 	$20,010  $6,670  
Document Translation Services 	$2,250  $2,250  
Software and Licensing 	$9,904  $9,904  
Centrally Appropriated Costs
1
 	$55,531  $49,118  
Total Cost 	$334,095  $283,000  
Total FTE 	2.8 FTE 2.5 FTE 
1
 Centrally appropriated costs are not included in the bill's appropriation.  Page 3 
June 6, 2024  HB 24-1260 
 
 
Colorado Department of Labor and Employment. The CDLE requires 2.8 FTE in FY 2024-25 
and 2.5 FTE in FY 2025-26 and ongoing in administrative and enforcement staff to accept, 
process, and investigate complaints alleging violations. The department also has costs to create 
the required notification, adopt rules, and update public guidance related to employer 
prohibitions, and for translation services of the new notification. 
Judicial Department. The bill minimally increases civil case filings in the district courts; 
however, it is assumed that most employers will adhere to the law and not require employees to 
attend meetings or view religious or political communications. In addition, persons filing a 
complaint must first exhaust administrative processes in CLDE before filing with the courts. 
Therefore, any increase in workload for the courts is expected to be minimal and absorbable 
within existing appropriations. 
Department of Law. The Department of Law will have increased costs for legal training of 
agency HR staff and general counsel to state agencies if litigation alleging violations is asserted 
from state employees. This effort is not anticipated to exceed the regular annual provision of 
legal services to any state agency, and requires no new appropriations. 
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, decreasing the amount of General Fund available for other purposes. 
Effective Date 
The bill takes effect upon signature of the Governor, or upon becoming law without his 
signature. 
State Appropriations 
For FY 2024-25, the bill requires and includes a General Fund appropriation of $278,564 to the 
Colorado Department of Labor and Employment, and 2.8 FTE. 
State and Local Government Contacts 
Judicial       Labor      Law       
Personnel  
 
 
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 the General Assembly website.