HB 25-1286
Fiscal Note
Legislative Council Staff
Nonpartisan Services for Colorado’s Legislature
HB 25-1286: PROTECTING WORKERS FROM EXTREME TEMPERATURES
Prime Sponsors:
Rep. Velasco; Froelich
Sen. Weissman; Cutter
Published for: House Business Affairs & Labor
Drafting number: LLS 25-0346
Fiscal Analyst:
Colin Gaiser, 303-866-2677
colin.gaiser@coleg.gov
Version: Initial Fiscal Note
Date: March 11, 2025
Fiscal note status: The fiscal note reflects the introduced bill. This analysis is preliminary and will be
updated following further review and any additional information received.
Summary Information
Overview. The bill creates requirements for employers to protect workers when temperatures are above
or below a certain threshold.
Types of impacts. The bill is projected to affect the following areas on an ongoing basis:
Minimal State Revenue
State Expenditures
Local Government
School Districts
Statutory Public Entities
Appropriations. For FY 2025-26, the bill requires an appropriation of $172,449 to the Department of
Labor and Employment.
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 at least $198,799 at least $1,722,489
Transferred Funds $0 $0
Change in TABOR Refunds $0 $0
Change in State FTE 1.3 FTE 6.8 FTE
1
Fund sources for these impacts are shown in the table below. Page 2
March 11, 2025 HB 25-1286
Table 1A
State Expenditures
Fund Source
Budget Year
FY 2025-26
Out Year
FY 2026-27
General Fund at least $172,449 at least $503,622
Reappropriated Funds
1
$0 $1,117,415
Cash Funds $0 $0
Federal Funds $0 $0
Centrally Appropriated at least $26,350 at least $101,452
Total Expenditures at least $198,799 at least $1,722,489
Total FTE 1.3 FTE 6.8 FTE
1
Out-year costs will be paid using a combination of General Fund, cash funds, and federal funds,
reappropriated to the Department of Personnel and Administration from affected state agencies.
Summary of Legislation
The bill creates requirements for employers when temperatures are at or above a high heat
trigger (90 degrees Fahrenheit) or at or below an extreme cold temperature trigger (30 degrees
Fahrenheit), including that employers must:
monitor temperature and humidity conditions and develop and implement a monitoring
plan for all work areas;
for indoor work areas where workers may be exposed to heat above the initial heat trigger,
provide increased air movement, air conditioning, or barriers to radiant heat sources;
provide access to a nearby shaded or air-conditioned area for the worker to use to cool
down or during breaks when temperatures are high, and provide access to a heated indoor
area for low temperatures;
provide each worker with sufficient water;
allow workers a 15-minute paid rest break at least every two hours when temperatures are
high;
maintain an effective means of two-way communication with the worker and make contact
with the worker at least every two hours;
develop and implement a worksite temperature-related injury and illness prevention plan;
provide workers with adequate training on temperature illness prevention before work in
extreme temperatures; and,
implement the bill’s requirements at no cost to workers.
The bill also authorizes courts to order relief for any violations of the bill’s requirements. Page 3
March 11, 2025 HB 25-1286
State Revenue
The bill may increase revenue to the Judicial Department from an increase in civil case filings.
Revenue from filing fees is subject to TABOR. Overall, any change in state revenue is expected to
be minimal.
State Expenditures
The bill increases state expenditures by at least $199,000 in FY 2025-26 and $1.7 million in
FY 2026-27 and ongoing. Costs will be incurred in the Department of Labor and Employment
(CDLE) and the Department of Personnel and Administration (DPA) as shown in Table 2 and
described below. First-year costs are paid from the General Fund, and costs in outgoing years
are paid from the General Fund, cash funds, and federal funds. Workload may also increase in
the Judicial Department. Finally, other agencies may incur significant costs; however, the costs
have not yet been estimated.
Table 2
State Expenditures
All Departments
Department
Budget Year
FY 2025-26
Out Year
FY 2026-27
Department of Labor and Employment $198,799 $605,074
Department of Personnel and Administration $0 $1,117,415
Other Agencies not yet estimated not yet estimated
Total Costs at least $198,799 at least $1,722,489
Department of Labor and Employment
Staff
Beginning April 2026, the CDLE requires 5.0 FTE annually in the Division of Labor Standards for
compliance investigators to review, investigate, and adjudicate claims of violations, plus
program and policy advisor staff to manage the unit enforcing the bill and develop internal
processes and policies. The fiscal note includes non-standard costs such as compliance outreach
materials and software licenses. Standard capital outlay and operating costs are also included.
Legal Services
The CDLE requires 360 hours of legal services to assist with complaints, enforcement, and any
appeals of CDLE administrative decisions. Legal services are provided by the Department of Law
at a rate of $134 per hour. Page 4
March 11, 2025 HB 25-1286
Table 2A
State Expenditures
Department of Labor and Employment
Cost Component
Budget Year
FY 2025-26
Out Year
FY 2026-27
Personal Services $109,687 $422,998
Operating Expenses $1,664 $6,400
Capital Outlay Costs $40,020 $0
Non-standard Costs $21,078 $26,078
Legal Services $0 $48,146
Centrally Appropriated Costs $26,350 $101,452
FTE – Personal Services 1.3 FTE 5.0 FTE
FTE – Legal Services 0.0 FTE 0.2 FTE
Total Costs $198,799 $605,074
Total FTE 1.3 FTE 5.2 FTE
Department of Personnel and Administration
The DPA’s Risk Management division oversees the state response to liability claims and lawsuits.
Based on the expansion of legal protections and prohibitions under the bill, expenditures will
increase to pay for additional legal services and settlement costs beginning in FY 2026-27.
Liability Costs
The bill will increase the state’s liability risk for any failures to protect employees who are
exposed to extreme temperatures at the worksite. On an annual basis, beginning in FY 2026-27,
the fiscal note assumes there will be 15 weather-related claims and 3 whistleblower claims,
with each case requiring $22,000 in legal costs on average. The fiscal note also assumes
3 weather-related cases and 1 whistleblower case will result in settlement or damage awards
with the state, and that the average settlement amount will be $228,000 for weather-related
cases and $50,000 for whistleblower cases. Costs may be higher or lower depending on the
exact number of cases, the exact amount of settlement or jury awards, and the use of non-
monetary settlement terms.
State agencies make payments for legal services and risk management through common policy
billings based on costs incurred in prior years. It is assumed any change in costs will be
accounted for through the annual budget process. Page 5
March 11, 2025 HB 25-1286
Table 2B
State Expenditures
Department of Personnel and Administration
Cost Component
Budget Year
FY 2025-26
Out Year
FY 2026-27
Legal Services $0 $382,095
State Litigation and Risk Impacts $0 $735,320
Centrally Appropriated Costs $0 $0
FTE – Personal Services 0.0 FTE 0.0 FTE
FTE – Legal Services 0.0 FTE 1.6 FTE
Total Costs $0 $1,117,415
Total FTE $0 1.6 FTE
Judicial Department
The bill may increase workload for the trial courts for any noncompliance cases that are brought
to the courts. The fiscal note assumes new cases will be minimal and any impact is absorbable
within existing resources.
Other Agency Impacts
Other agencies — including institutions of higher education and the Departments of Agriculture,
Labor and Employment, Local Affairs, Military and Veterans Affairs, Natural Resources, Public
Health and Environment, Public Safety, and Transportation — will incur costs to comply with the
bill’s requirements. These costs may include staff to monitor covered workers and develop
temperature-related injury and illness prevention plans; equipment such as water bottles,
coolers, and two-way communication devices; and modifications to indoor facilities. For some
agencies, meeting the bill’s requirements may result in substantial new costs. These costs have
not yet been estimated and will be included in a future version of the fiscal note.
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.
Local Government – School District – Statutory Public Entity
The bill will increase costs for local governments, school districts, and statutory public entities
that have employees that work outside and may be exposed to extreme temperatures. Page 6
March 11, 2025 HB 25-1286
Effective Date
The bill takes effect April 1, 2026, assuming no referendum petition is filed.
State Appropriations
For FY 2025-26, the bill requires a General Fund appropriation of $172,449 to the Department of
Labor and Employment, and 1.3 FTE.
State and Local Government Contacts
All State 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.