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March 26, 2024 HB 24-1274
Legislative Council Staff
Nonpartisan Services for Colorado’s Legislature
Revised Fiscal Note
(replaces fiscal note dated February 22, 2024)
Drafting Number:
Prime Sponsors:
LLS 24-0585
Rep. Snyder
Date:
Bill Status:
Fiscal Analyst:
March 26, 2024
House Second Reading
Clayton Mayfield | 303-866-5851
clayton.mayfield@coleg.gov
Bill Topic: UNIFORM CONSUMER DEBT DEFAULT JUDGMENTS ACT
Summary of
Fiscal Impact:
☐ State Revenue
☒ State Expenditure
☐ State Transfer
☐ TABOR Refund
☒ Local Government
☐ Statutory Public Entity
The bill enacts the Uniform Consumer Debt Default Judgments Act. Starting in
FY 2024-25, the bill increases state expenditures on an ongoing basis.
Appropriation
Summary:
For FY 2024-25, the bill requires an appropriation of $444,717 to the Judicial
Department.
Fiscal Note
Status:
This revised fiscal note reflects the introduced bill, which was recommended by the
Colorado Commission on Uniform State Laws. State expenditures have been updated
to include new information and assumptions about the implementation of the bill.
Table 1
State Fiscal Impacts Under HB 24-1274
Budget Year
FY 2024-25
Out Year
FY 2025-26
Revenue
- -
Expenditures General Fund $444,717 $439,762
Centrally Appropriated $82,547 $99,056
Total Expenditures $527,264 $538,818
Total FTE 4.0 FTE 4.8 FTE
Transfers - -
Other Budget Impacts General Fund Reserve $66,708 $65,964
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March 26, 2024 HB 24-1274
Summary of Legislation
The bill enacts the Uniform Consumer Debt Default Judgements Act, which requires that prior to
entering a motion for default judgment in certain consumer debt collection cases, complaints
must contain certain information and that consumers in the complaint have been given a notice
with required information.
State Expenditures
The bill increases state expenditures in the Judicial Department by about $527,000 in
FY 2024-25, and by $539,000 in FY 2025-26 and beyond, paid from the General Fund.
Expenditures are shown in Table 2 and detailed below.
Table 2
Expenditures Under HB 24-1274
FY 2024-25 FY 2025-26
Judicial Department
Personal Services $358,791 $430,550
Operating Expenses $6,010 $7,212
Capital Outlay Costs $79,915 $2,000
Centrally Appropriated Costs
1
$82,547 $99,056
Total Cost $527,263 $538,818
Total FTE 4.0 FTE 4.8 FTE
1
Centrally appropriated costs are not included in the bill's appropriation.
Staff. The Judicial Department requires 4.8 FTE to review complaints prior to entering a default
judgment to ensure they contain information required by the bill, as described below. Staff are
prorated for a September 1, 2024 start date.
Magistrates. Under current law, complaints are only required to contain basic information
and are not required to follow a standard format. Based on the bill’s changes to the
complaint and judgment process, judicial officers will spend about 2 additional minutes per
case reviewing complaints before issuing a default judgement. Given an estimated 37,000
cases annually that will be impacted by the bill, 0.6 FTE magistrate is required. Per Judicial
Department policy, a county court magistrate requires support staff at a 1:2 ratio, resulting in
the need for 1.2 FTE support staff. In addition to standard operating and capital outlay costs,
the fiscal note includes additional costs pursuant to Judicial Department common policies
costs for these staff.
Court clerks. In addition to the time spent by the courts to review complaints, clerk staff will
spend about 10 additional minutes per case reviewing complaints, resulting in the need for
an additional 3.0 FTE. Page 3
March 26, 2024 HB 24-1274
Local Government
Similar to the state, the bill increases workload in Denver County Court, which is locally funded,
to ensure motions and court procedures comply with the provisions of the bill.
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 2024-25, the bill requires a General Fund appropriation of $444,717 to the Judicial
Department, and 4.0 FTE.
State and Local Government Contacts
Judicial Law Legislative Legal Services
Regulatory Agencies
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.