Page 1
March 20, 2024 SB 24-130
Legislative Council Staff
Nonpartisan Services for Colorado’s Legislature
Fiscal Note
Drafting Number:
Prime Sponsors:
LLS 24-0600
Sen. Mullica; Will
Rep. Brown
Date:
Bill Status:
Fiscal Analyst:
March 20, 2024
Senate Judiciary
John Armstrong | 303-866-6289
john.armstrong@coleg.gov
Bill Topic: NONECONOMIC DAMAGES CAP MED MALPRACTICE ACTIONS
Summary of
Fiscal Impact:
☐ State Revenue
☒ State Expenditure
☐ State Transfer
☐ TABOR Refund
☒ Local Government
☐ Statutory Public Entity
The bill increases the cap on damages for medical malpractice by $40,000 annually
from 2025 through 2029 until the maximum is $500,000. The bill may increase state
and local expenditures.
Appropriation
Summary:
No appropriation is required.
Fiscal Note
Status:
The fiscal note reflects the introduced bill.
Summary of Legislation
Currently, the maximum amount of damages that can be awarded for to a plaintiff in a medical
malpractice case for a noneconomic loss or injury is $300,000. The bill raises this maximum by
$40,000 each year from January 1, 2025, through January 1, 2029. By 2029, the maximum will be
$500,000.
Background
Noneconomic loss or injury means nonmonetary harm for which damages are recoverable by
the person suffering the direct loss or injury including grief, pain and suffering, loss of
companionship, and emotional stress.
State Expenditures
Beginning in FY 2024-25, the bill potentially increases workload and expenditures as described
below.
Page 2
March 20, 2024 SB 24-130
Judicial Department. Beginning in FY 2024-25 the bill may increase trial court workload in the
Judicial Department. To the extent that the increased cap on damages provides an incentive to
go to trial instead of settling out of court, workload will increase in trial courts. The expected
increases are expected to be minimal; no change in appropriations is required.
State employee insurance. The bill has the potential to raise insurance premiums that are
borne by the state and enrolled employees. The Department of Personnel and Administration
will factor any premium increases into their annual Total Compensation analysis. Any
adjustments to employee compensation as a result of these adjusted premiums will take place
through the annual budget process. The additional workload to factor in these changes is
expected to be minimal; no change in appropriations is required.
Local Government
Similar to the trial courts impact for the state, Denver County Courts may see a potential
increase in trial courts workload due to an increased incentive to take malpractice claims to
court. The anticipated increase is expected to be minimal.
Effective Date
The bill takes effect upon signature of the Governor, or upon becoming law without his
signature.
State and Local Government Contacts
Corrections Higher Education Human Services
Judicial Personnel 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.