HB 25-1214
Fiscal Note
Legislative Council Staff
Nonpartisan Services for Colorado’s Legislature
HB 25-1214: APPROPRIATE USE OF PRISON BEDS
Prime Sponsors:
Rep. Clifford
Sen. Gonzales J.
Published for: House Appropriations
Drafting number: LLS 25-0731
Fiscal Analyst:
Aaron Carpenter, 303-866-4918
aaron.carpenter@coleg.gov
Version: Second Revised Note
Date: April 10, 2025
Fiscal note status: This fiscal note reflects the introduced bill, as amended by the House Judiciary and
House Finance Committees. It has also been revised to reflect new information.
Summary Information
Overview. The bill requires a court determination that incarceration is the most appropriate course of
action for class 5 and 6 felonies, changes parole considerations for low-risk offenders, and amends statute
around drug programming for parolees to reflect current practice.
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 a net reduction in appropriations of $187,000, which
includes an increase to the Judicial Department and a decrease to the Department of Corrections. See
State Appropriations section.
Table 1
State Fiscal Impacts
Type of Impact
1
Budget Year
FY 2025-26
Out Year
FY 2026-27
Out Year
FY 2027-28
Out Year
FY 2028-29
State Revenue $10,563 $29,979 $61,980 $72,960
State Expenditures -$171,333 -$1,049,350 -$4,588,519 -$5,417,275
Transferred Funds $0 $0 $0 $0
Change in TABOR Refunds $10,563 $29,979 not estimated not estimated
Change in State FTE 0.8 FTE 2.0 FTE 3.1 FTE 3.1 FTE
1
Fund sources for these impacts are shown in the table below. Page 2
April 10, 2025 HB 25-1214
Table 1A
State Revenue
Fund Source
Budget Year
FY 2025-26
Out Year
FY 2026-27
Out Year
FY 2027-28
Out Year
FY 2028-29
General Fund $0 $0 $0 $0
Cash Funds $10,563 $29,979 $61,980 $72,960
Total Revenue $10,563 $29,979 $61,980 $72,960
Table 1B
State Expenditures
Fund Source
Budget Year
FY 2025-26
Out Year
FY 2026-27
Out Year
FY 2027-28
Out Year
FY 2028-29
General Fund -$187,376 -$1,089,224 -$4,650,237 -$5,478,993
Cash Funds $0 $0 $0 $0
Federal Funds $0 $0 $0 $0
Centrally Appropriated $16,043 $39,874 $61,718 $61,718
Total Expenditures -$171,333 -$1,049,350 -$4,588,519 -$5,417,275
Total FTE 0.8 FTE 2.0 FTE 3.1 FTE 3.1 FTE
Summary of Legislation
The bill requires a court determination that incarceration is the most suitable option for class 5
and 6 felonies and level 3 and 4 drug felonies, changes parole considerations for low-risk
offenders, and amends statute around drug programming for parolees to reflect current
practice, as described below.
Court Determinations for Low Level Felonies
For any class 5 or 6 felony or level 3 or 4 drug felony sentenced to the Department of
Corrections (DOC), the bill requires the court to find that incarceration is the most suitable
option given the facts and circumstances of the case.
Court Notification of Parole Eligibility Date
Unless the offender is sentenced to the DOC as part of a plea deal, the bill requires the DOC to
notify the court when an offender who was found guilty of a class 5 or 6 felony or level 3 or 4
drug felony is admitted to the DOC and is either past or within 90 days of their parole eligibility
date in the sentenced case. When a court receives the notification, the court must notify the
defense and the prosecution and request the defendant file a motion for reconsideration. The
court must schedule the hearing, if requested, within 35 days of filing, and may impose an
alternative sentence. This hearing is subject to provisions of the Victim Rights Act. Page 3
April 10, 2025 HB 25-1214
Participation in Drug Programs
The bill allows the Parole Board to make a referral for placement in a certified recovery
residence. The bill also removes the requirement that a parolee pay for an appropriate drug or
alcohol program when a chemical test reflects the presence of drugs or alcohol.
Additional Resources for Adult Parole Grant Program
The bill requires the General Assembly to appropriate $714,690 in FY 2025-26 and $1.7 million in
FY 2026-27 from the General Fund savings resulting from individuals being released from the
DOC under the bill to the Reentry Planning and Programs for Adult Parole Grant Program.
Background
The DOC currently considers placement in certified recovery residences for parolees and does
not charge parolees for drug and alcohol programs.
Assumptions
Court Determinations for Class 5 & 6 Felonies and Level 3 & 4 Drug Felonies
In 2013, the General Assembly passed Senate Bill 13-250 which required a similar exhaustion of
remedies for DOC sentences of level 4 drug felonies. As required by that bill, the Division of
Criminal Justice released an Analysis of SB 13-250 on sentencing changes resulting from the bill.
According to the report, DOC sentences for level 4 drug felonies fell by 4 percent three years
after the passage of the bill compared with the three years before the bill passed. In addition,
DOC sentences for probation revocations fell by 5 percent during the same period.
The fiscal note assumes a similar trend will occur with class 5 and 6 felonies and level 3 and 4
drug felonies under the bill. It assumes that there will be 5,090 new court commitments per year
to the DOC in future years. Based on the DOC’s annual report, 28.6 percent of those will be for a
class 5 felony, 13.3 percent will be for a class 6 felony, and 2.5 percent for a level 3 drug felony.
The fiscal note does not take into account level 4 drug felonies as they are already subject to an
exhaustion of remedies. This results in 1,456 new court commitments for class 5 felonies,
677 new court commitments for class 6 felonies, and 127 new court commitments for level 3
drug felonies. The fiscal note assumes that up to 4 percent of these individuals will be sentenced
to probation instead of the DOC. Specifically, 1.3 percent in FY 2025-26, 2.7 percent in
FY 2026-27, and 4 percent in FY 2027-28 will not be sentenced to the DOC. This results in:
17 fewer class 5 felonies, 8 fewer class 6 felonies, and 2 fewer level 3 drug felonies in
FY 2025-26;
35 fewer class 5 felonies,16 fewer class 6 felonies, and 3 fewer level 3 drug felonies in
FY 2026-27; and
52 fewer class 5 felonies, 24 fewer class 6 felonies, and 5 fewer level 3 drug felonies in
FY 2027-28 and ongoing. Page 4
April 10, 2025 HB 25-1214
In addition to new sentences, the bill is also expected to decrease the number of probation
revocations to the DOC. The fiscal notes assumes 14 percent of the 8,510 revocation cases per
year result in a DOC sentence (per the 2023 Probation Recidivism Study). As a result, it is
assumed there will be:
13 fewer class 5 felonies, 6 fewer class 6 felonies, and 1 fewer level 3 drug felonies sentenced
in FY 2025-26;
26 fewer class 5 felonies, 12 fewer class 6 felonies, and 2 fewer level 3 drug felony sentenced
in FY 2026-27; and
38 fewer class 5 felonies, 18 fewer class 6 felonies, and 3 fewer level 3 drug felony sentenced
in FY 2027-28 and ongoing.
The average length of stay is 16 months for a class 5 felony, 8.5 months for a class 6 felony, and
18.6 months for a level 3 drug felony. The average parole length of stay is 18 months for a
class 5 felony, 9.8 months for a class 6 felony, and 9.3 months for a level 3 drug felony.
Resentencing Hearings
The fiscal note assumes that there are about 449 individuals who are sentenced to the DOC
within their parole eligibility date and would then have their case reheard. Assuming 65 percent
will participate in a resentencing hearing and that there will be a 4 percent decrease, this results
in:
3 fewer class 5 felonies, 1 fewer class 6 felony, and 0 fewer level 3 drug felonies sentenced in
FY 2025-26;
5 fewer class 5 felonies, 2 fewer class 6 felonies, and 0 fewer level 3 drug felonies sentenced
in FY 2026-27; and
8 fewer class 5 felonies, 3 fewer class 6 felonies, and 1 fewer level 3 drug felony sentenced in
FY 2027-28 and ongoing.
Overall Bed Decrease
Based on the above assumption, the fiscal note assumes that there will be:
after prorating for the September 1 start date, 22 fewer class 5 felonies, 10 fewer class 6
felonies, and 2 fewer level 3 drug felonies in FY 2025-26;
53 fewer class 5 felonies, 24 fewer class 6 felonies, and 4 fewer level 3 drug felonies in
FY 2026-27; and
79 fewer class 5 felonies, 36 fewer class 6 felonies, and 8 fewer level 3 drug felonies in
FY 2027-28 and ongoing.
State Revenue
By sentencing additional individuals to probation, the bill increases Offender Services Cash Fund
revenue by an estimated $10,600 in FY 2025-26, $30,000 in FY 2026-27, $62,000 in FY 2027-28,
and $73,000 in FY 2028-29. This is based on the assumed number of individuals sentenced to
probation, and on current indigence and collection rates of the Judicial Department. Page 5
April 10, 2025 HB 25-1214
State Expenditures
On net, the bill reduces state General Fund expenditures by $171,000 in FY 2025-26, $1.0 million
in FY 2026-27, $4.6 million in FY 2027-28, and $5.4 million in FY 2028-29. Increased expenditures
in the Judicial Department are offset by reduced expenditure in the Department of Corrections,
as shown in Table 2 and described below.
Table 2
State Expenditures
Department
Budget Year
FY 2025-26
Out Year
FY 2026-27
Out Year
FY 2027-28
Out Year
FY 2028-29
Judicial Department $91,491 $214,990 $328,067 $321,467
Department of Corrections -$262,824 -$1,264,340 -$4,916,586 -$5,738,742
Total Costs -$171,333 -$1,049,350 -$4,588,519 -$5,417,275
Judicial Department
The bill increases state expenditures in the Judicial Department due to additional sentences to
the Division of Probation. The bill also increases workload for the courts to conduct additional
hearings and make additional findings.
Division of Probation
Based on the assumed number of cases sentenced to probation rather than the DOC in the bill,
the Division of Probation requires 1.1 FTE in FY 2025-26, 2.0 FTE in FY 2026-27, and 3.1 FTE in
FY 2027-28 and ongoing to manage increased presentencing report workload and the increase
in the number of individuals sentenced to probation instead of the DOC. This includes 0.8 FTE in
FY 2025-26, 1.5 FTE in FY 2026-27, and 2.3 FTE in FY 2027-28 and beyond for probation officers.
Each probation officer requires a probation supervisor, at a 1:6 ratio and a staff assistant at a
1:5 ratio resulting in the total FTE outlined in Table 2A. Staff are prorated for an assumed
October 1, 2025, hire date in FY 2025-26.
Trial Courts
Workload in the trial courts will increase to conduct additional resentencing hearings. This
assumes there will be 292 resentencing hearings, each requiring one hour, due to a DOC
sentence within 90 days of the individual’s parole eligibility date. This results in the need for
0.2 FTE magistrate, which is within the absorbable threshold for the courts.
Page 6
April 10, 2025 HB 25-1214
Table 2A
State Expenditures
Judicial Department
Cost Component
Budget Year
FY 2025-26
Out Year
FY 2026-27
Out Year
FY 2027-28
Out Year
FY 2028-29
Personal Services $65,645 $161,607 $249,556 $249,556
Operating Expenses $2,803 $6,109 $8,993 $8,993
Capital Outlay Costs $7,000 $7,400 $7,800 $1,200
Centrally Appropriated Costs $16,043 $39,874 $61,718 $61,718
Total Costs $91,491 $214,990 $328,067 $321,467
Total FTE 0.8 FTE 2.0 FTE 3.1 FTE 3.1 FTE
Department of Corrections
The bill decreases expenditures in the DOC due to the assumption of fewer sentences. It also
increases expenditures in the Reentry Planning and Programs for Adult Parole Grant Program.
Expenditures are shown in Table 2B and discussed below.
Table 2B
State Expenditures
Department of Corrections
Cost Component
Budget Year
FY 2025-26
Out Year
FY 2026-27
Out Year
FY 2027-28
Out Year
FY 2028-29
Bed Decrease (see Table 2C) -$977,514 -$2,922,377 -$4,916,586 -$5,738,742
Reentry Grant Program $714,690 $1,658,037 $0 $0
Total Costs -$262,824 -$1,264,340 -$4,916,586 -$5,738,742
Prison and Parole Decrease
As outlined in the Assumptions section, this bill decreases prison and parole operating costs for
the DOC by a total of $20.5 million over the five-year period beginning in FY 2025-26. Table 2C
shows the estimated cost savings of the bill over the next five fiscal years. Savings in the first
year are prorated for the bill’s September 1, 2025, effective date.
Additional Resources for Adult Parole Grant Program
As required by the bill, expenditures in the Reentry Planning and Programs for Adult Parole
Grant Program will increase by $714,690 in FY 2025-26 and $1,658,037 in FY 2026-27. Page 7
April 10, 2025 HB 25-1214
Table 2C
State Expenditures
Prison and Parole Operating Costs
Fiscal Year
Prison ADP
Impact
1
Prison
Cost
Parole ADP
Impact
1
Parole
Cost
Total
Cost
FY 2025-26 -38.22 -$946,497 -3.70 -$31,017 -$977,514
FY 2026-27 -104.62 -$2,591,062 -39.50 -$331,315 -$2,922,377
FY 2027-28 -163.61 -$4,051,760 -103.11 -$864,826 -$4,916,586
FY 2028-29 -176.56 -$4,372,470 -162.89 -$1,366,272 -$5,738,742
FY 2029-30 -176.56 -$4,372,470 -191.03 -$1,602,302 -$5,974,772
Total Five-Year Cost -$16,334,259 -$4,195,733 -$20,529,992
1
ADP impact signifies the bill’s effect on average daily populations in DOC.
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 the expenditure
tables above.
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 2025 LCS revenue forecast. A forecast of state revenue subject to TABOR is not available
beyond FY 2026-27. 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.
Local Government
Workload in district attorney offices will increase to prepare for and attend more hearings.
District attorney offices are funded at the county level.
Effective Date
The bill takes effect September 1, 2025, assuming no referendum petition is filed, and applies to
sentences entered on or after this date. Page 8
April 10, 2025 HB 25-1214
State Appropriations
For FY 2025-26, the bill requires the following changes in General Fund appropriations:
an increase of $75,448 to the Judicial Department, and 0.8 FTE; and
a net decrease of $262,824 to the Department of Corrections.
State and Local Government Contacts
Corrections Judicial
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.