Page 1
July 2, 2024 SB 24-173
Legislative Council Staff
Nonpartisan Services for Colorado’s Legislature
Final Fiscal Note
Drafting Number:
Prime Sponsors:
LLS 24-0082
Sen. Roberts; Gardner
Rep. Soper; Titone
Date:
Bill Status:
Fiscal Analyst:
July 2, 2024
Signed into Law
Clayton Mayfield | 303-866-5851
clayton.mayfield@coleg.gov
Bill Topic: REGULATE MORTUARY SCIENCE OCCUPATIONS
Summary of
Fiscal Impact:
☒ State Revenue
☒ State Expenditure
☐ State Transfer
☒ TABOR Refund
☐ Local Government
☐ Statutory Public Entity
The bill requires the Department of Regulatory Agencies to regulate certain mortuary
science occupations. Starting in FY 2024-25, the bill increases state revenue and
expenditures on an ongoing basis.
Appropriation
Summary:
For FY 2024-25, the bill includes an appropriation of $121,166 to the Department of
Regulatory Agencies.
Fiscal Note
Status:
The final fiscal note reflects the enacted bill.
Table 1
State Fiscal Impacts Under SB 24-173
Budget Year
FY 2024-25
Out Year
FY 2025-26
Out Year
FY 2026-27
Revenue Cash Funds - $345,950 $302,500
Total Revenue $345,950 $302,500
Expenditures Cash Funds $121,166 $230,436 $188,223
Centrally Appropriated $20,800 $38,140 $34,392
Total Expenditures $141,966 $268,576 $222,615
Total FTE 1.1 FTE 2.2 FTE 2.0 FTE
Transfers - -
Other Budget Impacts TABOR Refund - $333,575 $302,500
Page 2
July 2, 2024 SB 24-173
Summary of Legislation
The bill requires that mortuary science professionals, including funeral directors, mortuary
science practitioners, embalmers, cremationists, and natural reductionists, hold a valid state
license, starting January 1, 2026. It also establishes a scope of practice for each profession. The
Department of Regulatory Agencies (DORA) is responsible for administering the licensure
program, including rule promulgation, fee setting, enforcement, and disciplinary proceedings.
The bill establishes requirements for licensure, including background checks and education
requirements. Current practitioners may obtain a provisional license if they do not meet
education requirements as long as they meet other specified criteria. A person who holds a
provisional license qualifies for full licensure if they have not been subject to discipline and meet
certain practice requirements. License renewal requires completion of continuing education.
Finally, the bill requires that registered funeral establishments and crematories are operated by
licensed professionals and clarifies civil penalties for registered facilities and professionals.
Background
DORA conducted a sunrise review in 2023, which recommended regulation of funeral service
professionals. The full review can be found here.
State Revenue
The bill increases state revenue by $345,950 in FY 2025-26 to the Division of Professions and
Occupations (DPO) Cash Fund in DORA and the Colorado Bureau of Investigation (CBI)
Identification Unit Cash Fund in the Department of Public Safety (CDPS). Starting in FY 2026-27,
the bill increases state revenue by about $302,500 per year to the DPO Cash Fund. These
impacts are shown in Table 2 and discussed below.
Table 2
Fee Impact on Mortuary Science Professionals
Fiscal Year Type of Fee
Proposed
Fee
Number
Affected
Total Fee
Impact
FY 2025-26 License Fee $275 1,100 $302,500
CBI Background Check $39.50 1,100 $43,450
FY 2024-25 Total $345,950
FY 2026-27 License Fee $275 1,100 $302,500
FY 2025-26 Total $302,500
Fee impact on mortuary science professionals. Colorado law requires legislative service
agency review of measures which create or increase any fee collected by a state agency. The bill
authorizes a license fee and requires a background check, which incurs a fee, for mortuary
science professionals. Page 3
July 2, 2024 SB 24-173
License fees – DORA. This fiscal note assumes that DORA will start accepting applications
for licensure in FY 2025-26, and that licenses must be received by January 1, 2026. It is
further assumed that licenses are on an annual renewal cycle, and that the fee charged in
FY 2025-26 and FY 2026-27 will be used to cover the first three years’ worth of costs from
FY 2024-25 through FY 2026-27. In future years, fees will likely be lower (around $225 per
year) based on the program’s ongoing costs. These fee amounts are estimates only, actual
fees will be set administratively by DORA based on cash fund balance, program costs, and
the number of licenses subject to the fee.
Fingerprint-based background checks – CDPS. This bill increases state cash fund revenue
from fingerprint-based criminal history background checks to the CBI Identification Unit
Cash Fund in the CDPS by $43,450 in FY 2025-26. This assumes 1,100 checks will be
conducted in FY 2025-26. Revenue will minimally increase in future years to the extent new
professionals apply for a license.
The current fee for background checks is $39.50, which includes $11.25 for a Federal Bureau
of Investigation (FBI) fingerprint-based check, which is passed on to that federal agency. The
federal portion of this fee is excluded from the state TABOR limit, meaning $31,075 of this
total is subject to TABOR. The background check is required only upon initial application for
licensure.
State Expenditures
The bill increases state expenditures in DORA by about $142,00 in FY 2024-25, by $229,000 in
FY 2025-26, and by $223,000 in FY 2026-27, paid from the DPO Cash Fund. Expenditures
increase in CDPS by about $39,000 for FY 2025-26 only. Expenditures are shown in Table 2 and
detailed below.
Table 3
Expenditures Under SB 24-173
FY 2024-25 FY 2025-26 FY 2026-27
Department of Regulatory Agencies
Personal Services $94,013 $137,249 $136,711
Operating Expenses $1,280 $2,304 $2,304
Capital Outlay Costs $6,670 $6,670 -
Legal Services $19,203 $48,008 $48,008
Complaint Consultant $600 $1,200
Centrally Appropriated Costs
1
$20,800 $34,443 $34,392
FTE – Personal Services 1.0 FTE 1.8 FTE 1.8 FTE
FTE – Legal Services 0.1 FTE 0.2 FTE 0.2 FTE
DORA Subtotal $141,966 $229,274 $222,615 Page 4
July 2, 2024 SB 24-173
Table 3
Expenditures Under SB 24-173 (Cont.)
FY 2024-25 FY 2025-26 FY 2026-27
Department of Public Safety
Personal Services - $11,154 -
FBI Pass-through - $12,375 -
Processing Costs - $12,076 -
Centrally Appropriated Costs
1
- $3,697 -
FTE – Personal Services - 0.2 FTE -
CDPS Subtotal - $39,302 -
Total Cost $141,966 $268,576 $222,615
Total FTE 1.1 FTE 2.2 FTE 2.0 FTE
1
Centrally appropriated costs are not included in the bill's appropriation.
Department of Regulatory Agencies. DORA will create and administer a licensure program for
mortuary science professionals.
Staff. DORA requires 1.8 FTE to administer the program when fully implemented. This staff
level is phased in over three years. In FY 2024-25, 1.0 FTE is required to conduct rulemaking
and establish program operations. Beginning in FY 2025-26 1.8 FTE is required to conduct
outreach, processing applications, manage renewals and conduct enforcement. Start dates
are staggered based on assumed start date for different positions. Standard operating and
capital outlay costs included.
Legal services. DORA requires 150 hours for rulemaking in FY 2024-25, with ongoing
rulemaking support of 75 hours required in subsequent years. Additionally, 300 hours
are required for enforcement once licensure is required beginning in FY 2025-26. Thus,
375 hours are required in FY 2025-26 and beyond. Legal services are provided by the
Department of Law at a rate of $128.02 per hour.
Complaint consultant. DORA anticipates that some complaints will require the services of
an expert consultant to assist with investigations, estimated at $600 in FY 2025-26 for a
consultant for a half year of complaints, and $1,200 required in FY 2026-27 and beyond.
Department of Public Safety. For FY 2025-26 only, the bill increases overall expenditures from
the CBI Identification Unit Cash Fund in DPS by $39,301, as described below
Staff. For FY 2025-26 only, DPS will require 0.1 FTE Fingerprint Examiner II and 0.1 FTE Data
Specialist to process an estimated 1,100 fingerprint background applications from mortuary
science license applications. A Fingerprint Examiner II can process 8,250 requests per year,
and a Data Specialist 16,500. Page 5
July 2, 2024 SB 24-173
FBI pass-through. The CDPS passes $11.25 of every application on to the federal
government. With 1,100 applications, this equates to $12,375 for FY 2025-26.
Processing costs. There are the following costs associated with each background check
application: $6.10 dedicated to equipment maintenance; $1.55 for print digitization; $0.88 to
access the Colorado Crime Information Center for information pertinent to the background
check; and $0.63 printing and postage costs. This also includes training costs for FTE.
Other Budget Impacts
TABOR refunds. The bill is expected to increase the amount of state revenue required to be
refunded to taxpayers by the amounts shown in the State Revenue section above. This estimate
assumes the March 2024 LCS revenue forecast. A forecast of state revenue subject to TABOR is
not available beyond FY 2025-26. Because TABOR refunds are paid from the General Fund,
increased cash fund revenue will reduce the amount of General Fund available to spend or save.
Effective Date
This bill was signed into law by the Governor and took effect on May 24, 2024.
State Appropriations
For FY 2024-25, the bill includes an appropriation of $121,166 from the Division of Professions
and Occupations Cash Fund to the Department of Regulatory Agencies, and 1.0 FTE. Of this
amount, $19,203 is reappropriated to the Department of Law, with an additional 0.1 FTE.
State and Local Government Contacts
Information Technology Judicial Law
Personnel Public Safety 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.