Colorado 2024 2024 Regular Session

Colorado Senate Bill SB130 Introduced / Fiscal Note

Filed 06/03/2024

                    Page 1 
June 3, 2024  SB 24-130 
 
 
 Legislative Council Staff 
Nonpartisan Services for Colorado’s Legislature 
 
Final Fiscal Note  
   
 
Drafting Number: 
Prime Sponsors: 
LLS 24-0600  
Sen. Mullica; Will 
Rep. Brown  
Date: 
Bill Status: 
Fiscal Analyst: 
June 3, 2024 
Deemed Lost 
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 would have increased the cap on damages for medical malpractice by $40,000 
annually from 2025 through 2029 until the maximum is $500,000. The bill may have 
increased state and local expenditures.  
Appropriation 
Summary: 
No appropriation was required.  
Fiscal Note 
Status: 
The final fiscal note reflects the introduced bill. The bill was deemed lost in the Senate 
on May 9, 2024; therefore, the impacts identified in this analysis do not take effect.  
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.  
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.   Page 2 
June 3, 2024  SB 24-130 
 
 
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.