SB 25-174 Fiscal Note Legislative Council Staff Nonpartisan Services for Colorado’s Legislature SB 25-174: SUNSET OUTFITTERS & GUIDES Prime Sponsors: Sen. Roberts; Simpson Rep. Lukens; Soper Published for: Senate Ag. & Natural Resources Drafting number: LLS 25-0403 Fiscal Analyst: Clayton Mayfield, 303-866-5851 clayton.mayfield@coleg.gov Version: Initial Fiscal Note Date: February 24, 2025 Fiscal note status: The fiscal note reflects the introduced bill. Summary Information Overview. The bill continues the regulation of outfitters and guides, which is scheduled to repeal on September 1, 2025. The program is continued through September 1, 2034 Sunset bill. The bill has impacts in the following areas through FY 2034-35 from both continuing an existing a program scheduled to repeal and making changes to that program: State Revenue State Expenditures State Diversions Appropriations. No appropriation is required. Table 1 Continuation of Current State Fiscal Impacts Type of Impact 1 Budget Year FY 2025-26 Out Year FY 2026-27 State Revenue (Cash Funds) $0 $92,000 State Expenditures (Cash Funds) $0 $92,000 Diverted Funds $0 $0 Change in TABOR Refunds $0 $92,000 Change in State FTE 0.0 FTE 0.6 FTE 1 These impacts result from continuing a program scheduled to repeal and reflect the extension of current revenue and spending levels. Other changes under the bill are described below Page 2 February 24, 2025 SB 25-174 Summary of Legislation The bill continues the regulation of outfitters and guides by the Department of Regulatory Agencies (DORA) for nine years, extending the program’s repeal date from September 1, 2025, to September 1, 2034. The bill also changes who DORA may take disciplinary actions against, who must have a license to operate, and prohibits persons with certain wildlife violations from having a license. Finally, under current law, 50 percent of all fines collected by the program are provided to DORA. The bill directs this revenue to the General Fund instead. Continuing Program Impacts Based on the Sunset Review for the program, DORA is expected to have annual revenue and expenditures of about $92,000 to administer the regulation of outfitters and guides. This continuing impact is based on FY 2022-23 expenditures, and it is assumed that DORA will generate revenue sufficient to cover these costs. If this bill is enacted, current revenue and expenditures will continue for the program starting in FY 2026-27. This continuing revenue is subject to the state TABOR limits. If this bill is not enacted, the program will end one year after its repeal date on September 1, 2026, following a wind-down period. If allowed to repeal, state revenue and expenditures will decrease starting in FY 2026-27 by the continuation amounts shown in Table 1. The changes to the program that drive additional revenue and costs are discussed in the State Diversions and State Expenditures sections below. State Diversions The bill diverts fine revenue from Division of Professions and Occupations Cash Fund in DORA to the General Fund. The Sunset Review indicates that one $1,000 fine was assessed from FY 2018-19 through FY 2022-23. The fiscal note assumes that the amount of funds diverted to the General Fund in future years will be minimal. State Expenditures Workload will minimally increase in DORA to conduct rulemaking, education, and outreach concerning changes to the program made by the bill. Additionally, workload will minimally increase in the Department of Natural Resources to ensure DORA has access to wildlife violations. No change in appropriations is required for either department. Page 3 February 24, 2025 SB 25-174 Effective Date The bill takes effect 90 days following adjournment of the General Assembly sine die, assuming no referendum petition is filed. State and Local Government Contacts Natural Resources 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.