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February 14, 2024 SB 24-143
Legislative Council Staff
Nonpartisan Services for Colorado’s Legislature
Fiscal Note
Drafting Number:
Prime Sponsors:
LLS 24-0628
Sen. Coleman; Zenzinger
Rep. Herod
Date:
Bill Status:
Fiscal Analyst:
February 14, 2024
Senate Education
Anna Gerstle | 303-866-4375
anna.gerstle@coleg.gov
Bill Topic: CREDENTIAL QUALITY APPRENTICESHIP CLASSIFICATION
Summary of
Fiscal Impact:
☐ State Revenue
☒ State Expenditure
☐ State Transfer
☐ TABOR Refund
☐ Local Government
☐ Statutory Public Entity
The bill requires that state agencies evaluate if non-degree credentials meet certain
standards and apply an international classification system to credential pathways and
apprenticeships. The bill increases state expenditures on an ongoing basis.
Appropriation
Summary:
For FY 2024-25, the bill requires an appropriation of $287,331 to multiple state
agencies.
Fiscal Note
Status:
The fiscal note reflects the introduced bill.
Table 1
State Fiscal Impacts Under SB 24-143
Budget Year
FY 2024-25
Out Year
FY 2025-26
Revenue - -
Expenditures General Fund $287,331 $260,432
Centrally Appropriated $41,705 $52,131
Total Expenditures $329,036 $312,564
Total FTE 2.4 FTE 3.0 FTE
Transfers - -
Other Budget Impacts General Fund Reserve $43,100 $39,065
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February 14, 2024 SB 24-143
Summary of Legislation
The bill requires that state agencies evaluate if non-degree credentials meet certain standards
and apply an international classification system to credential pathways and apprenticeships, as
detailed below.
Non-degree credential framework. The bill requires that the Colorado Department of Higher
Education (CDHE), in collaboration with the Colorado Workforce Development Council (CWDC),
Department of Education (CDE), Department of Labor and Employment (CDLE), and the Office of
Economic Development and International Trade (OEDIT) on an annual basis:
evaluate non-degree credentials offered through state-recognized programs to ensure the
credentials meet quality standards; and
supply the CWDC with a list of credential programs that meet the quality standards, for
inclusion in the Colorado Talent Report and in a credential registry.
Application of International Standard Classification of Education. By January 1, 2025, CDHE
must complete a stakeholder engagement process to study and make recommendations related
to:
adopting the International Standard Classification of Education (ISCED) as the state’s
standard framework for classifying non-degree credentials;
the application of ISCED within the state education and workforce system; and
how ISCED equivalency levels may be implemented and assigned to credentials, pathways,
and apprenticeships.
The results of this process must be reported to legislative committees before January 1, 2025.
By January 1, 2025, CDHE must assign ISCED equivalency levels to the stackable credential
pathways. By January 1, 2026, the Office of Future of Work in CDLE must determine ISCED
equivalency levels for each registered apprenticeship program, which must be included on all
public listings and apprenticeship certificates of completion.
Background
Senate Bill 22-192 required that the CDHE create a framework for evaluating access to and
quality of non-degree credentials, and identifying alignment between credentials and
work-based learning.
A non-degree credential is a postsecondary certificate, apprenticeship certificate of completion,
professional license, or industry certification.
The ISCED is a framework for organizing education programs and applying standard definitions
that allow for comparison of different programs and qualifications. It was adopted by the United
Nations Educational Scientific, and Cultural Organization (UNESCO) in November 2011. Page 3
February 14, 2024 SB 24-143
State Expenditures
The bill increases state expenditures in CDHE and CDLE by about $330,000 in FY 2024-25 and
$313,000 beginning in FY 2025-26, paid from the General Fund. Expenditures are shown in
Table 2 and detailed below.
Table 2
Expenditures Under SB 24-143
FY 2024-25 FY 2025-26
Department of Labor & Employment
Personal Services $39,307 $49,134
Operating Expenses $1,037 $1,165
Capital Outlay Costs $6,670 -
Data System Updates $52,200 -
Centrally Appropriated Costs
1
$8,366 $10,458
FTE – Personal Services 0.4 FTE 0.5 FTE
CDLE Subtotal $107,580 $60,756
Department of Higher Education
Personal Services $165,547 $206,934
Operating Expenses $2,560 $3,200
Capital Outlay Costs $20,010 -
Centrally Appropriated Costs
1
$33,339 $41,674
FTE – Personal Services 2.0 FTE 2.5 FTE
CDHE Subtotal $221,456 $251,807
Total $329,036 $312,564
Total FTE 2.4 FTE 3.0 FTE
1
Centrally appropriated costs are not included in the bill's appropriation.
Department of Labor and Employment. CDLE will incur ongoing staff costs and one-time data
system costs to implement the bill.
Staffing. CDLE requires an ongoing 0.5 FTE ongoing to collaborate with other agencies in
the stakeholder process, evaluate non-degree credentials for approximately 331 registered
apprenticeship programs, and assign ISCED levels for new and existing apprenticeship
programs. Costs include standard operating and capital costs, including a software license
for the new staff. First year costs are prorated based on a September 2024 start date. Page 4
February 14, 2024 SB 24-143
Data system updates. The bill requires that ISCED codes are displayed in apprenticeship
certificates, training provider lists, and the Colorado State Apprenticeship Directory. The cost
to update these systems is estimated $52,200 in FY 2024-25 only, including $22,200 to
update the software interface for the apprenticeship directory and $30,000 to update the
user interface for the training provider lists. Costs are based on existing vendor rates.
Department of Higher Education. The CDHE will incur staff costs to implement the bill.
Staffing. The CDHE requires 2.5 FTE beginning in FY 2024-25 to manage the stakeholder
process, required reporting, and ongoing assignment of ISCED equivalencies to non-degree
credentials. These staff will also evaluate non-degree credentials and apply the quality
standard framework across the educational and workforce development systems. Costs
include standard operating and capital costs and first year costs are prorated based on a
September 2024 start date.
Other state agencies. The bill also increases workload for CDE and OEDIT to collaborate with
CDHE and CDLE to ensure that programs align with the quality standards and assign ISCED
classifications, and to participate in the ISCED stakeholder process. This change in workload is
assumed to be minimal; no change in appropriations is required.
Centrally appropriated costs. Pursuant to a Joint Budget Committee policy, certain costs
associated with this bill are addressed through the annual budget process and centrally
appropriated in the Long Bill or supplemental appropriations bills, rather than in this bill. These
costs, which include employee insurance and supplemental employee retirement payments, are
shown in Table 2.
Other Budget Impacts
General Fund reserve. Under current law, an amount equal to 15 percent of General Fund
appropriations must be set aside in the General Fund statutory reserve. Based on this fiscal note,
the bill is expected to increase the amount of General Fund held in reserve by the amounts
shown in Table 1, decreasing the amount of General Fund available for other purposes.
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 the following General Fund appropriations:
$188,117 to the Department of Higher Education, and 2.0 FTE; and
$99,214 to the Department of Labor and Employment, and 0.4 FTE.
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February 14, 2024 SB 24-143
State and Local Government Contacts
Education Economic Development Higher Education
Labor
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.