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March 22, 2024 HB 24-1366
Legislative Council Staff
Nonpartisan Services for Colorado’s Legislature
Fiscal Note
Drafting Number:
Prime Sponsors:
LLS 24-0978
Rep. Froelich; Brown
Date:
Bill Status:
Fiscal Analyst:
March 22, 2024
House Trans., Hous. & Local Govt.
Colin Gaiser | 303-866-2677
colin.gaiser@coleg.gov
Bill Topic: SUSTAINABLE LOCAL GOVERNMENT COMMUNITY PLANNING
Summary of
Fiscal Impact:
☐ State Revenue
☒ State Expenditure
☐ State Transfer
☐ TABOR Refund
☒ Local Government
☐ Statutory Public Entity
The bill creates new prioritization criteria for state agencies awarding grants and
establishes new requirements for climate action plans and transportation demand
management plans. It increases state and local expenditures on an ongoing basis.
Appropriation
Summary:
No appropriation is required. The State Highway Fund is continuously appropriated to
the Colorado Department of Transportation at the discretion of the Transportation
Commission.
Fiscal Note
Status:
The fiscal note reflects the introduced bill.
Table 1
State Fiscal Impacts Under HB 24-1366
Budget Year
FY 2024-25
Out Year
FY 2025-26
Revenue - -
Expenditures General Fund - -
State Highway Fund $300,000 $300,000
Total Expenditures $300,000 $300,000
Total FTE - -
Transfers - -
Other Budget Impacts - -
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March 22, 2024 HB 24-1366
Summary of Legislation
Prioritization criteria for state programs. The bill requires state agencies to prioritize
awarding grants that:
incentivize development that aligns with state climate and air quality goals;
encourage water conservation and efficiency, and reduce water supply, treatment, and
infrastructure costs;
incentivize affordable housing development and promote access to transit that aligns with
housing goals; and,
support economic development and revitalization efforts in downtown areas.
Climate action plans. The bill requires counties and municipalities to include a climate action
element in any master plan on or after January 1, 2025. A climate action element must include
goals and strategies such as reducing greenhouse gas emissions, supporting electric vehicle
charging infrastructure, reducing per capita vehicle miles traveled, and supporting renewable
energy development. Once updated, a local government must provide the master plan to the
Colorado Energy Office (CEO). The CEO must deliver the plan to the Department of Local Affairs
(DOLA), the Colorado Department of Transportation (CDOT), and other agencies as determined
by the CEO.
Transportation management plans. By December 31, 2024, CDOT must coordinate with
metropolitan planning organizations (MPO) to establish criteria that defines growth corridors,
and by April 1, 2025, identify growth corridors that meet the criteria. By December 31, 2026, the
department and MPO must coordinate with local governments to develop transportation
demand management plans for these corridors.
Statewide transportation plan. The bill requires the comprehensive statewide transportation
plan to include new content related to transportation decisions on land use patterns; the
promotion of walkable, mixed-use neighborhoods in transit-oriented centers along state
highways; and the integration of planning efforts within CDOT to support multimodal
transportation, neighborhood centers, and transit-oriented centers in infill areas and growth
corridors.
In conjunction with the state transportation plan, CDOT must conduct a study on policy barriers
and opportunities for implementation of context-sensitive design and pedestrian safety
measures in some urban centers, neighborhood centers, and portions of state highway.
Background
CDOT is primarily funded from the State Highway Fund (SHF), which is comprised of federal
funds, the state’s share of the Highway Users Tax Fund, and other various sources of
revenue. The decision-making authority for the majority of state transportation revenue rests
with the Transportation Commission, which is responsible for allocating funds from the SHF.
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March 22, 2024 HB 24-1366
State Expenditures
The bill increases State Highway Fund expenditures in CDOT by about $300,000 in FY 2024-25
and FY 2025-26, and increases workload in the CEO and in various agencies that operate grant
programs.
Department of Transportation. The bill increases workload and expenditures in CDOT to
develop and update transportation plans.
Transportation demand management plans. CDOT requires $300,000 in FY 2024-25 and
FY 2025-26 to implement transportation demand management plans within state growth
corridors. CDOT has identified six locations which likely fit the criteria of a growth corridor,
two of which already possess a plan that could meet the bill’s requirements, so CDOT will
collaborate with local governments and metropolitan planning organizations on four
management plans over the course of two fiscal years. Based on the cost of previous
management plans, each plan requires $150,000 for consulting support. Consulting costs will
be paid from the State Highway Fund, which is allocated by the Transportation
Commission. The commission will adjust spending from the SHF to accommodate the
increase in CDOT expenditures under this bill.
Statewide transportation plan. Though the bill may increase workload in CDOT to update
the statewide transportation plan to comply with the bill’s requirements, this work can be
accomplished within existing resources. In addition, CDOT will absorb the required policy
barriers study into previously planned work related to the transportation plan.
Colorado Energy Office. The bill increases workload in the CEO starting in September 2024 to
implement the bill’s requirements and coordinate with DOLA and CDOT on climate action plans.
This workload is absorbable within existing resources.
Other agencies. Various state agencies that operate grant programs will be required to adjust
criteria for making grant awards to account for the new criteria outlined in the bill. It is assumed
that these criteria will be used in addition to any existing criteria used by grant programs.
Overall, this workload is expected to be minimal and can be accomplished within existing
appropriations.
Local Government
The bill may increase workload for local governments that need to increase the scope of their
master plans to include the required climate action elements. Workload may also increase for
any local government that collaborates with CDOT in developing a transportation development
management plan.
Effective Date
The bill takes effect 90 days following adjournment of the General Assembly sine die, assuming
no referendum petition is filed. Page 4
March 22, 2024 HB 24-1366
State and Local Government Contacts
Colorado Energy Office Counties Local Affairs
Public Health and Environment Public Safety Transportation
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.