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February 6, 2024 SB 24-048
Legislative Council Staff
Nonpartisan Services for Colorado’s Legislature
Fiscal Note
Drafting Number:
Prime Sponsors:
LLS 24-0316
Sen. Priola
Rep. deGruy Kennedy; Lynch
Date:
Bill Status:
Fiscal Analyst:
February 6, 2024
Senate Business, Labor & Tech.
Shukria Maktabi | 303-866-4720
shukria.maktabi@coleg.gov
Bill Topic: SUBSTANCE USE DISORDERS RECOVERY
Summary of
Fiscal Impact:
☐ State Revenue
☒ State Expenditure
☐ State Transfer
☐ TABOR Refund
☒ Local Government
☐ Statutory Public Entity
The bill implements substance use disorder recovery measures, including creating a
voluntary recovery-ready workplace program for employers. The bill increases state
expenditures and may impact local governments on an ongoing basis beginning in
FY 2024-25.
Appropriation
Summary:
For FY 2024-25, the bill requires an appropriation of $450,805 to multiple state
agencies.
Fiscal Note
Status:
The fiscal note reflects the introduced bill, which was recommended by the Opioid
and Other Substance Use Disorders Study Committee.
Table 1
State Fiscal Impacts Under SB 24-048
Budget Year
FY 2024-25
Out Year
FY 2025-26
Revenue - -
Expenditures General Fund $450,805 $412,266
Centrally Appropriated Costs $37,329 $46,662
Total Expenditures $488,134 $458,928
Total FTE
2.2 FTE 2.7 FTE
Transfers - -
Other Budget Impacts General Fund Reserve $67,621 $61,840
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February 6, 2024 SB 24-048
Summary of Legislation
The bill establishes a voluntary program for employers to become recovery-ready workplaces
within the Department of Labor and Employment (CDLE). The CDLE must develop program rules,
create training materials and resources for employers, provide documentation that verifies an
employer’s status as a recovery-ready workplace, and create a program website. Dependent on
funding, the CDLE must contract or hire at least one recovery-ready workplace advisor for every
one hundred certified employers in the program. The advisor will help employers participate in
the program and set goals and develop internal policies that better assist employees with
substance use disorders. The CDLE may conduct or hire a contractor to conduct an evaluation of
the effectiveness of the program and identify ways to improve the program. The CDLE must
report annually on the program to members of the General Assembly.
The bill also allows a school district to include pupils who attend recovery high schools in their
pupil enrollment count; specifies that grant money received through the Recovery Support
Services Grant Program may be used to provide guidance on the many pathways for recovery;
declares that recovery residences, sober living facilities, and sober homes are residential uses of
property for zoning purposes; and places restrictions on where liquor-licensed drugstores and
fermented malt beverage and wine retailers may display alcohol beverages within their
premises.
Assumptions
The fiscal note assumes 25 employers will participate in the program initially, based on data from
the Center for Health, Work, and Environment at the University of Colorado School of Public
Health, which works with employers on substance use disorders. As of writing, 24 employers have
signed their pledge to create a workplace that supports employees with addiction issues.
State Expenditures
The bill increases state expenditures in the CDLE by about $432,000 in FY 2024-25 and $459,000
in FY 2025-26 and ongoing years, paid from the General Fund. The bill also increases
expenditures in the Department of Education (CDE) by $56,300 in FY 2024-25 only, paid from
the General Fund. Expenditures are shown in Table 2 and detailed below.
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February 6, 2024 SB 24-048
Table 2
Expenditures Under SB 24-048
FY 2024-25 FY 2025-26
Department of Labor and Employment
Personal Services $148,529 $185,660
Operating Expenses $2,560 $3,200
Capital Outlay Costs $20,010 -
Workplace Advisor Contractor $100,000 $100,000
Outreach / Web Development $85,000 $85,000
Legal Services $38,406 $38,406
Centrally Appropriated Costs $37,329 $46,662
FTE – Personal Services 2.0 FTE 2.5 FTE
FTE – Legal Services 0.2 FTE 0.2 FTE
CDLE Subtotal $431,834 $458,928
Department of Education
Data Collection Modification $56,300 -
CDE Subtotal $56,300 -
Total $488,134 $458,928
Total FTE 2.2 FTE 2.7 FTE
Department of Labor and Employment. Beginning in FY 2024-25, the CDLE requires staff and
legal services, and has costs for contracted services and outreach.
Staff. THE CDLE requires 2.5 FTE annually to develop program rules, create training
materials, provide oversight of the program and contracted workplace advisors, verify and
provide documentation of program status to employers, and evaluate and report annually
on the program. Staff activities include soliciting and managing contracts with third parties
contracted as advisors or to provide outreach and website development, as discussed below.
Standard operating and capital outlay costs are included for staff, and first-year costs are
prorated for the bill’s effective date.
Workplace advisor contractor. The CDLE requires $100,000 to contract for a
recovery-ready workplace advisor. The contractor will support employers involved in the
recovery-ready program from enrollment to renewal. The fiscal note assumes this contractor
will manage up to 100 employers that enroll in the program. Additional advisors may be
required as a greater number of employers enroll, and will be requested through the budget
process depending on actual program participation. Page 4
February 6, 2024 SB 24-048
Outreach and website development. The CDLE requires $85,000 to contract to conduct
outreach to employers that are not engaged in the program, labor unions, and recovery
support service organizations, as well as to apply towards updating the website to include
program information.
Legal services. The CDLE requires 300 hours of legal services annually, or 0.2 FTE, from the
Department of Law at the rate of $128.02 for general counsel on rulemaking and program
implementation, as well as to provide ongoing general counsel.
Department of Education. The CDE requires a one-time cost of $56,300 in FY 2024-25 to
modify its existing data collections to allow districts to submit the pupil enrollment counts
required in the bill. The timing of when the data is first collected will depend on the timing of
when the bill passes, as the modifications must be approved by the Education Data Advisory
Committee by April preceding the school year in which the changes will occur.
School finance. The bill allows school districts to include in their pupil count a student who has
transferred to a recovery high school before the pupil count date. The fiscal note assumes that
any increase in total program and the state share of school finance will be minimal. No change
in appropriations is required. The state share of school finance is paid from the General Fund,
State Education Fund, and State Public School Fund.
Department of Revenue. Workload will minimally increase to enforce the display requirements
for alcohol beverages. It is assumed that retailers will generally comply with the law and any
workload impacts can be accommodated within existing appropriations.
Other state agencies. To the extent that state departments opt to become recovery-ready
workplaces, workload will increase to meet program requirements. Participation is at the
discretion of the department leadership and workload may vary depending on the department.
Local Government
Similar to state departments, to the extent that local departments opt to become recovery-ready
workplaces, workload will increase to meet program requirements. Participation is at the
discretion of the county and impacts may vary depending on the county. Costs may also
increase if the bill requires a city to update zoning codes.
Effective Date
The bill takes effect 90 days following adjournment of the General Assembly sine die, assuming
no referendum petition is filed.
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February 6, 2024 SB 24-048
State Appropriations
For FY 2024-25, the bill requires General Fund appropriation totaling $450,805 to multiple
departments as follows:
$394,505 to the Department of Labor and Employment, and 2.0 FTE, of which $38,406 is
reappropriated to the Department of Law, with an additional 0.2 FTE; and
$56,300 to the Department of Education.
Departmental Difference
The CDLE estimates the certification program to require $470,000 and 5.0 FTE, including additional
contractor costs, to implement the program. However, based on the assumed uptake amount,
other state program models, and the availability of existing state and federal resources for
recovery ready workplace programs, the fiscal note assumes a smaller program is required for the
department to implement the program.
State and Local Government Contacts
Counties Education Labor
Law Municipalities Revenue
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.