HB 25-1190
Fiscal Note
Legislative Council Staff
Nonpartisan Services for Colorado’s Legislature
HB 25-1190: EXPANDING COLORADO COTTAGE F OODS ACT
Prime Sponsors:
Rep. Gonzalez R.
Published for: House Ag., Water & Natural Res.
Drafting number: LLS 25-0773
Fiscal Analyst:
Matt Bishop, 303-866-4796
matt.bishop@coleg.gov
Version: Initial Fiscal Note
Date: February 20, 2025
Fiscal note status: The fiscal note reflects the introduced bill.
Summary Information
Overview. The bill expands the Colorado Cottage Foods Act to allow for the sale of refrigerated food.
Types of impacts. The bill is projected to affect the following areas on an ongoing basis:
State Expenditures Local Government
Appropriations. For FY 2025-26, the bill requires an appropriation of $87,480 to the Department of Public
Health and Environment.
Table 1
State Fiscal Impacts
Type of Impact
1
Budget Year
FY 2025-26
Out Year
FY 2026-27
State Revenue $0 $0
State Expenditures $102,978 $96,308
Transferred Funds $0 $0
Change in TABOR Refunds $0 $0
Change in State FTE 0.8 FTE 0.8 FTE
1
Fund sources for these impacts are shown in the tables below.
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February 20, 2025 HB 25-1190
Table 1A
State Expenditures
Fund Source
Budget Year
FY 2025-26
Out Year
FY 2026-27
General Fund $87,480 $80,810
Cash Funds $0 $0
Federal Funds $0 $0
Centrally Appropriated $15,498 $15,498
Total Expenditures $102,978 $96,308
Total FTE 0.8 FTE 0.8 FTE
Summary of Legislation
Under current law, the Colorado Cottage Foods Act allows for the sale and consumption of
homemade food, such as pickled vegetables, jams, and baked goods, but excludes foods
requiring refrigeration. The bill expands the act to include foods that require refrigeration.
Assumptions
Homemade foods may be prepared in environments that lack commercial equipment that
promote food safety. Refrigerated foods pose a higher risk of foodborne illness than foods
currently covered by the Colorado Cottage Foods Act. The costs identified in the fiscal note
reflect public health responses to two outbreaks of foodborne illnesses per year. Since such
incidents are unpredictable, actual costs may depart from the fiscal note. In years with fewer
outbreaks, some expenditures will not occur. In years with more or large outbreaks, additional
resources may be required, which will be addressed through the annual budget process.
State Expenditures
The bill increases state expenditures in the Department of Public Health and Environment by
about $100,000 per year beginning in FY 2025-26. These costs, paid from the General Fund, are
summarized in Table 2 and discussed below.
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February 20, 2025 HB 25-1190
Table 2
State Expenditures
Department of Public Health and Environment
Cost Component
Budget Year
FY 2025-26
Out Year
FY 2026-27
Personal Services $59,786 $59,786
Operating Expenses $1,024 $1,024
Capital Outlay Costs $6,670 $0
Laboratory Costs $20,000 $20,000
Centrally Appropriated Costs $15,498 $15,498
Total Costs $102,978 $96,308
Total FTE 0.6 FTE 0.6 FTE
Staff
When a foodborne illness outbreak occurs, CDPHE requires additional staff to monitor case
reports, investigate cases, support local public health agencies, develop educational materials,
report data, and test samples. This is estimated at 0.3 FTE per outbreak. Assuming two outbreaks
per year, this requires 0.6 FTE beginning in FY 2025-26. Standard operating and capital outlay
costs are included.
Laboratory Costs
Equipment and testing costs are estimated at $20,000 per year, based on the assumptions
above.
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 may include
employee insurance, supplemental employee retirement payments, leased space, and indirect
cost assessments, are shown in the expenditure table above.
Local Government
To the extent that additional foodborne illness outbreaks occur, workload will increase in local
public health departments. Page 4
February 20, 2025 HB 25-1190
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 2025-26, the bill requires a General Fund appropriation of $87,480 to the Department of
Public Health and Environment, and 0.6 FTE.
State and Local Government Contacts
Public Health and Environment
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.