Under current law, a qualified student who is selected to participate in the accelerating students through concurrent enrollment (ASCENT) program by the department of education (department) may enroll in postsecondary courses and be included in the pupil enrollment of a school district, board of cooperative services, or charter school (local education provider) for funding during the year following the student's fourth year of high school. The number of students who are selected to participate in the ASCENT program is limited each year through the budget process.

The bill removes the limit on the number of program participants and allows each qualified student selected by the enrolling local education provider to participate in the program. The bill reduces the number of postsecondary credits a qualified student must have completed to be eligible to participate in the ASCENT program. The bill directs the department to distribute to each local education provider for each ASCENT program participant an amount equal to 3% of the per-pupil extended high school funding amount to pay for non-tuition expenses the qualified student incurs in participating in the postsecondary courses.

Under existing law, a qualified student who fails to complete a concurrent enrollment course must repay the local education provider for the amount of tuition, and a local education provider may require a qualified student to repay the tuition amount if the qualified student earns a failing grade for a concurrent enrollment course. The bill repeals these provisions.

(Note: This summary applies to this bill as introduced.)

Fiscal Note

Legislative Oversight Committee Concerning Tax Policy. Under current law, all sales of construction and building materials to contractors and subcontractors for use in the building, erection, alteration, or repair of structures, highways, roads, streets, and other public works are exempt from the sales and use tax levied by the state and certain local governments. Home rule cities continue to levy the tax on sales of construction and building materials within their jurisdiction. The bill extends the exemption to the sales and use tax levied by home rule cities on such materials for use in connection with the building, erection, alteration, or repair of a public school.For the 2022-23 state fiscal year, the bill appropriates $3,375 from the general fund to the department of revenue for use by the taxation business group. The department may use this appropriation for operating expenses related to taxation services.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

Legislative Oversight Committee Concerning Tax Policy. The bill replaces an existing income tax deduction for expenses incurred by employers when providing alternative transportation options to employees with a refundable income tax credit of 50% of such expenses for such employers, including local government employers, subject to the limitations that the maximum amount spent in any income tax year for which an employer may claim a credit is $250,000 and that the maximum amount spent in any income tax year for any one employee for which an employer may claim a credit is $2,000 dollars.For purposes of the bill, alternative transportation options means free or partially subsidized, generally accepted transportation demand management strategies, including but not limited to ridesharing arrangements, provision of ridesharing vans or low-speed conveyances such as human-powered or electric bicycles, shared micromobility options such as bikesharing and electric scooter sharing programs, carsharing programs, and guaranteed ride home programs. The credit is allowed for income tax years beginning on or after January 1, 2023, but before January 1, 2033 2025 .

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

Sales and Use Tax Simplification Task Force. For some, but not all, exemptions from state and state-collected local sales and use taxes, a person who wishes to establish the right to obtain an exemption is either explicitly required by state law or required by the department of revenue (department) as it administers and enforces state law to complete a form created by the department, which, depending on which exemption is sought, may be described as an affidavit, application, certificate, certification, declaration, or statement. The bill requires the department to examine its forms and requirements relating to their use and, to the extent feasible without impairing the proper administration of the exemptions, simplify the forms and related requirements for persons making tax-exempt purchases. Exceptions to existing statutory requirements relating to the forms are made for any simplifications made by the department.
(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

The Colorado housing and finance authority (CHFA), under the Colorado affordable tax credit program, may allocate income tax credits in an annual aggregate amount of up to $10 million for the years beginning on January 1, 2020, and ending on December 31, 2024. The bill extends this period to December 31, 2034, and increases the annual aggregate cap for the years beginning on January 1, 2023, and ending on December 31, 2034, to $15 million 2031 .

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)
(Note: This summary applies to this bill as introduced.)

Fiscal Note

The bill requires the director of the division of professions and occupations (director) in the department of regulatory agencies (division) to complete an audit of the regulated professions and occupations and the regulation of various professions and occupations by regulators of a specific profession or occupation (regulator) to determine what barriers exist for licensing, certification, and registration of individuals with criminal history records and report the findings to the general assembly.

The bill limits the authority of a regulator to deny a license, certification, or registration based on an applicant's criminal history record to circumstances when the regulator determines that the applicant's criminal history record jeopardizes the applicant's ability to competently, safely, and honestly practice the regulated profession or occupation as authorized under the applicable practice act or issuance of the credential would not serve public safety or commercial or consumer protection interests. A regulator is required to specify the reasons for any denial based on a criminal history record.

The bill allows a regulator to grant a conditional license, certification, or registration to an applicant if the regulator determines that the applicant will have appropriate oversight provided by the applicant's employer.

Upon request of an individual with a criminal history record, the bill requires a regulator to issue a pre-determination letter to the individual advising the individual if the criminal history may prevent the individual from receiving a license, certification, or registration to practice an occupation or profession. A regulator may charge a reasonable fee for the pre-determination letter.

The director is required to compile de-identified information regarding the reasons why a license, certification, or registration was denied and make this information available to the public on the division's website.

The bill requires state and local agencies responsible for issuing occupational or professional credentials (occupational agency), before making a final determination that an applicant's criminal conviction disqualifies the applicant from receiving a license, certification, permit, or registration, to provide a written notice to the applicant specifying the reason for the disqualification and the right of the applicant to submit additional evidence for the occupational agency to consider before making a final determination. A final determination to disqualify an applicant based on a criminal conviction must be issued in writing and include notice of the applicant's right to appeal the determination and the earliest date on which the applicant may reapply.

(Note: This summary applies to this bill as introduced.)

Fiscal Note

Current law requires an injured employee or someone else with knowledge of the injury to notify the employer within 4 days after the occurrence of an on-the-job injury, authorizes a reduction in compensation to the injured employee for failure to timely notify the employer, and tolls the 4-day period if the employer has failed to post a notice specifying the injured employee's notification deadline. The bill changes the 4-day notice period to a 14-day 10-day notice period and repeals the tolling and compensation reduction provisions.If an employer fails to provide a copy of the notice of the injury to the employee or fails to post the required notice to employees, the bill specifies that the time period allotted to the employee is tolled for the duration of the failure. If the employer already has notice of the injury or the employee shows good cause for the failure to report the injury, the employee does not lose compensation for the failure to report.

The bill also changes the notice that an employer is required to post in the workplace to require that the notice state the name and contact information of the insurer and that the:

• Employer is responsible for payment of workers' compensation insurance;
• Injured employee has rights under the law if the employer fails to carry workers' compensation insurance;
• Employee should seek medical attention; and
• Injury must be reported in writing to the employer.

With regard to occupational diseases, the bill also:

• Repeals the requirement that an employee notify the employer of an occupational disease within 30 days of contraction of the disease and instead requires an employee to notify the employer upon manifestation of the disease; and
• Repeals the provision that states that an employer is deemed to waive a failure to give notice of an occupational disease or death resulting from the disease unless the employer objects at a hearing on the claim prior to any award or decision. and
• Repeals the provision that allows the director of the division of workers' compensation to reduce the compensation to be paid if the required notice is not made in a timely manner.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

The bill establishes the "Colorado False Claims Act" (the act). Pursuant to the act, a person is liable to the state or a political subdivision of the state for a civil penalty if the person commits, conspires to commit, or aids and abets the commission of any of the following (collectively, "false claims"):

• Knowingly presenting, or causing to be presented, a false or fraudulent claim for payment or approval;
• Knowingly making, using, or causing to be made or used a false record or statement material to a false or fraudulent claim;
• Having possession, custody, or control of property or money used, or to be used, by the state or a political subdivision and knowingly delivering, or causing to be delivered, less than all of the money or property;
• Authorizing the making or delivery of a document certifying receipt of property used, or to be used, by the state or a political subdivision and, with the intent to defraud the state or political subdivision, making or delivering the receipt without completely knowing that the information on the receipt is true;
• Knowingly buying, or receiving as a pledge of an obligation or debt, public property from an officer or employee of the state or a political subdivision who lawfully may not sell or pledge the property; or
• Knowingly making, using, or causing to be made or used a false record or statement material to an obligation to pay or transmit money or property to the state or political subdivision, or knowingly concealing or knowingly and improperly avoiding or decreasing an obligation to pay or transmit money or property to the state or political subdivision; or
• Knowingly making, using, or causing to be made or used, a false record or statement material to a claim to unemployment insurance benefits when the person has wrongfully recovered unemployment insurance benefits from the state of more than $15,000 in a calendar year.

A person who makes a false claim is liable to the state or a political subdivision for the same amount provided in the federal "False Claims Act", as adjusted for inflation, a civil penalty of $11,800 to $23,600 per violation, plus 3 times the amount of the damages sustained by the state or political subdivision. and A court may assess a reduced penalty if the person who makes a false claim furnishes to investigators all the information the person knows about the violation within 30 days after first learning of a potential violation, the person did not know about the investigation when the person furnished the information, and the person fully cooperated with the investigation. If the person furnished the information prior to an action being filed, the person is subject to a civil penalty of $5,900 to $11,800 per violation, plus 1.5 times the amount of the damages. If the person furnished the information while a pending action was under seal, the person is subject to a civil penalty of $7,800 to $15,700 per violation, plus 2 times the amount of the damages. The civil penalty range amounts for a violation are annually adjusted for inflation. A person who makes a false claim is also liable for the costs incurred for the investigation and prosecution of the false claim.The bill permits the attorney general or a political subdivision that has authority to bring or intervene in a false claims civil action to accept from a person alleged to have made a false claim an assurance of discontinuance or a consent order approved by a court in lieu of, or as a part of, a civil action.

The bill requires the attorney general or a local prosecutor to investigate false claims. The attorney general, prosecuting authority of a political subdivision, or a private person individual (relator) may bring a civil action against a person who made a false claim. The bill permits the attorney general or prosecuting authority of a political subdivision to intervene in an action brought by a relator private person . A relator private person who brings a false claims action may be awarded up to 30% of the proceeds from a false claims the action based on the extent the relator private person contributed to the investigation and prosecution of the false claim. If the relator private person is an employee of the state or political subdivision and learns information about the false claim in the course of the relator's person's work, the court will award that amount to the relator's person's employer.

The bill authorizes the state auditor to share information about potential false claims with the attorney general and a political subdivision.

The bill requires that a false claims action be filed in a state district court or federal court with jurisdiction over the action. A court cannot hear a false claim action:

• Brought against a serving member of the general assembly, a member of the state judiciary, an executive director of a state agency, or an elected official in the executive branch of the state of Colorado acting in the member's , executive director's, or official's official capacity; or
• Based on the same allegations or transactions that are the subject of a different civil or administrative proceeding.

The bill prohibits retaliatory action against an individual because of the individual's efforts in furtherance of investigating, prosecuting, or stopping false claims. A court hearing a false claims action may hear a claim for retaliation against the individual.

The bill clarifies how information subject to a person's attorney-client privilege is protected, unless the privilege is waived, an exception to the privilege applies, or disclosure of the information is permitted by an attorney pursuant to certain federal regulations applicable to attorneys appearing and practicing before the federal securities and exchange commission, the applicable Colorado rules of professional conduct, or otherwise.

The bill sets forth the process for paying to a political subdivision any proceeds recovered in a false claims action retained by the state that are attributable to the political subdivision.

The bill requires the attorney general to annually submit a report to specified committees of reference about false claims actions during the previous fiscal year. The bill appropriates $13,568 to the legislative department for use by the office of the state auditor.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

For income tax years beginning on or after January 1, 2023, but before January 1, 2030, the bill creates an income tax credit (tax credit) for any employer that:

• Creates a clean commuting plan to implement strategies to increase the use of alternative transportation options and reduce the number of measurable vehicle miles driven by its employees in single-occupancy vehicles when commuting to and from their work site (clean commuting plan) for the purpose of reducing automobile-related air pollution, traffic congestion, and transportation costs, particularly for essential workers and workers earning under $40,000 per year;
• Conducts an employer commuter survey to determine how its employees commute to and from their work site; and
• Offers 2 or more alternative transportation options to some or all of its employees in furtherance of the employer's clean commuting plan.

The amount of the tax credit is 50% of the amount spent by the employer to provide alternative transportation options to some or all of its employees.

In addition, the bill requires the executive director of the department of transportation (director), in coordination with the Colorado energy office and metropolitan planning organizations, to create an annual commuter survey for employers to use to determine how their employees commute to and from their work site. The director and the Colorado energy office are required to determine the content of the commuter survey and the form and manner in which the commuter survey will be completed and returned to the department of transportation.

Beginning in specified calendar years, in an effort to reduce the number of employees who commute to and from their work site in a single-occupancy vehicle, employers with over 100 employees are required to:

• Annually conduct a commuter survey of its employees and submit the completed commuter surveys to the department of transportation by April 30 of the year in which the survey was conducted;
• Offer its employees qualified transportation fringe benefits allowed pursuant to federal law;
• Offer its employees commuter choice information in electronic or hard copy format and update the information every 6 months; and
• Offer a cash allowance in lieu of a parking space under certain circumstances.

The bill requires that any private sector employer that wishes to claim the tax credit participate in the employer commuter survey and submit the results of the survey to the department by April 30 of the year in which the survey is conducted, even if the employer's participation in the commuter survey is not otherwise required.

For the 2023-24 state fiscal year, and for each state fiscal year thereafter through the 2029-30 state fiscal year, of the money allocated to the transportation commission for state multimodal projects from the multimodal transportation and mitigation options fund, the transportation commission is required to allocate $250,000 to each of the transportation management associations and transportation management organizations operating in a nonattainment area for the purposes of assisting employers in creating a clean commuting plan and complying with the requirements of the bill.

(Note: This summary applies to this bill as introduced.)

Fiscal Note

Legislative Interim Committee on School Finance. The bill staggers authorizes the state treasurer to stagger the terms of the state treasurer's 3 appointed members to the investment board, commencing with new appointments beginning on and after July 1, 2022, to ensure that no more than 2 members' terms expire in the same year.Beginning in the 2022-23 state fiscal year, the bill amends statute relating to the distribution of interest or income earned on the investment of the money in the public school fund to reorganize the distribution and to make changes to wording of the statute to:

• Pay first from the distribution the services of the investment consultant hired by the public school fund investment board;
• Credit next to the state public school fund for school finance, all remaining interest and income, not to exceed $21 million dollars; and
• Credit next to the public school capital construction assistance fund, all remaining interest and income, not to exceed $20 million dollars.

The bill creates a working group, convened by the state treasurer, to consider opportunities to improve earnings on the deposit and investment of money in the fund, while safeguarding the endowment for public schools and complying with state and federal laws relating to state school trust lands and the fund the growth of the public school fund and its distributions for intergenerational benefit of public schools . The bill authorizes the state treasurer, after consulting with the investment board, to select the members of the working group, and the bill specifies the issues the working group must study. The state treasurer shall report the findings and recommendations of the working group to the joint budget committee and to the education committees of the house of representatives and of the senate during the 2023 legislative session.

The bill clarifies the time frame and circumstances in which a realized investment loss to the fund may be offset by realized gains before the general assembly is required to appropriate money to cover losses to the fund.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

The bill prohibits an employer from taking adverse action against an employee, including an applicant for employment, who engages in the use of:

• Medical marijuana on the premises of the employer during working hours; or
• Retail or medical marijuana off the premises of the employer during nonworking hours.

An employer is permitted to impose restrictions on employee use of medical or retail marijuana under specified circumstances.

(Note: This summary applies to this bill as introduced.)

Fiscal Note

Section 1 of the bill relocates existing statutes that require contractors to offer certain resource efficiency options when constructing certain buildings. Section 1 also requires commercial buildings and multifamily residences to include electric vehicle charging for at least 10% of the parking spaces as follows:

• If the building is 25,000 square feet or more or if the building is part of a project that is 40,000 square feet or more of floor space in more than one building, with a total of 25 or more sets of living quarters or commercial units among all the buildings:

• 10% of the parking spaces used by the occupants of the building must be EV capable, which means that the building is ready to run the wiring and install a 208 to 240 volt receptacle;
• 10% of the parking spaces used by the occupants of the building must be EV ready, which means that each parking space has a working 208 to 240 volt receptacle; and
• 5% of the parking spaces used by the occupants of the building must have EV supply equipment, which is a dedicated EV charger, installed;

• If the building is multifamily housing with at least 3 units and at least 10 parking spaces, the building must have:

• In 50% of the units, a parking space used by the occupants of the building that is EV capable;
• In 20% of the units, a parking space used by the occupants of the building that is EV ready; and
• In 5% of the units, a parking space used by the occupants of the building that has EV supply equipment installed adjacent to a parking space.

These buildings must also have:

• The space in the electrical facilities to increase electric vehicle charging to 50% of the parking spaces; and
• Conduit run to increase electric vehicle charging to 50% of the parking spaces.

Section 3 requires a master electrician to follow these requirements when planning, laying out, and supervising the installation of wiring in a building. Section 4 requires an architect to follow these requirements when planning, drafting plans for, and supervising the construction of a building. Continuing education requirements are put in place to educate master electricians and architects about these requirements.

The bill applies to the construction of a new high-occupancy building project or to the renovation of 50% or more of an existing high-occupancy building project and to:

• A contract executed on or after July 1, 2023, to construct a high-occupancy building project;
• The planning of or drafting for a high-occupancy building project on or after the bill's effective date; and
• The laying out of or construction of a high-occupancy building project on or after the bill's effective date.

In a large commercial building project that is group A, B, E, I, M, or S-2 occupancy, the number of EV supply equipment parking spaces may be reduced by up to 5 if the large commercial building project installs a space equipped with level 3 charging EV supply equipment and at least one parking space that is EV ready.Section 3 requires the project to comply with these provisions to obtain a building permit.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

The bill, which is modeled in part after an existing provision of the "Procurement Code", concerns provisions of a public school contract, which is defined in the bill as an agreement between a public school contracting entity and a contractor where the principal purpose is to acquire supplies, services, or construction or to dispose of supplies for the direct benefit of or in support of a public school other than an agreement for the acquisition of certain types of professional services. The bill also requires specified provisions to be included in a public school contract, states that a public school contract shall be deemed to include such provisions if they are inadvertently or otherwise omitted, and specifies that certain specified types of terms or conditions in a public school contract, including any provision that conflicts with Colorado law or rules or any provision required to be included in a public school contract, are void. and makes a public school contract voidable if it does not to include certain specified provisions.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

Under current law, a defendant may be awarded reasonable attorney fees in tort actions if the case is dismissed on motion of the defendant prior to trial. The bill eliminates this provision. The bill exempts good faith and non-frivolous claims that are brought for certain specified purposes. In such claims, a defendant may not be awarded reasonable attorney fees if the case is dismissed on motion of the defendant prior to trial. The bill states that a defendant may not be awarded reasonable attorney fees if the case is dismissed on motion prior to trial in a case in which the plaintiff brought non-frivolous claims based on good faith in order to challenge precedent or for a similar reason.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

The federal "Setting Every Community Up for Retirement Enhancement Act of 2019" expanded qualified distributions from a qualified state tuition program (529 account) to include expenses for fees, books, supplies, and equipment required for the participation of a designated beneficiary in certain apprenticeship programs.

In light of these changes to federal law, the bill amends Colorado law to clarify what qualifies as a qualified distribution from a 529 account for the purpose of determining state taxable income. The bill allows expenses for fees, books, supplies, and equipment required for the participation of a designated beneficiary in certain apprenticeship programs to be treated as such a qualified distribution.

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

Sections 2 and 6 1 and 5 of the bill authorize the director of the division of professions and occupations in the department of regulatory agencies to appoint or employ individuals who are licensed or, if not licensed, who demonstrate substantial work experience in the electrical, plumbing, or construction industry to:

• Conduct compliance checks to ensure compliance with licensing and supervisor-to-apprentice ratio requirements applicable to electricians and plumbers on projects throughout the state; and
• Prioritize for compliance checks projects that provide or will provide critical needs to state residents.

The bill also:

• Specifies that only a homeowner performing work on the homeowner's home or a licensed master electrician or plumber who is either a registered electrical or plumbing contractor or directly employed by a registered electrical or plumbing contractor may apply for an electrical or a plumbing permit ( sections 3 and 7 2 and 6 );
• Prohibits a licensed master electrician or plumber who is not a registered electrical or plumbing contractor and who is working as an independent contractor from applying for an electrical or a plumbing permit ( sections 3 and 7 2 and 6 ) and makes a violation of this prohibition specific grounds for discipline by the electrical or plumbing board, as applicable ( sections 4 and 5 3 and 4 );
• Requires the entity issuing the permit to verify that the applicant meets the qualifications to apply for the permit ( sections 3 and 7 2 and 6 ); and
• Requires inspecting entity procedures to include a provision allowing the inspecting entity to request worker documentation indicating compliance with worker license requirements and the supervisor-to-apprentice ratio ( sections 3 and 7 2 and 6 ).

Additionally, current law specifies that a single licensed electrician or plumber may supervise no more than 3 apprentices on any one job site. For nonresidential electrical and plumbing work, sections 1 and 8 reduce the supervisor-to-apprentice ratio to 1-to-2 starting July 1, 2025, and to 1-to-1 on and after July 1, 2028.Section 7 of the bill appropriates $237,372 for the 2022-23 state fiscal year from the division of professions and occupations cash fund to the department of regulatory agencies to implement the bill, allocated as follows:

• $127,110 for use by the division of professions and occupations (division) for personal services, including 2.0 additional FTE;
• $72,194 for the division's operating expenses; and
• $38,068 for the purchase of vehicle lease services, which amount is reappropriated to the department of personnel to provide vehicle replacement lease/purchase services.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

The bill establishes the regional talent development initiative grant program (grant program) in the office of economic development (office) to fund talent development initiatives across the state that meet regional labor market needs and specified grant program goals, including initiatives that meet workforce development needs in regions as they recover from the negative economic impacts of the COVID-19 pandemic. The office, a state agency designated by the office, or a third party with whom the office contracts is to serve as the administrator of the grant program (program administrator). The office is directed to appoint a steering committee of business, civic, education, and nonprofit professionals (steering committee) to support the program administrator, including:

• Developing a grant application process;
• Establishing grant application selection and prioritization criteria; and
• Advising the program administrator in appointing a selection committee to review grant applications and make grant award recommendations.

The office, in collaboration with the departments of labor and employment, higher education, and education (departments) and the steering committee, is to identify regions throughout the state to inform the selection of grant applications.

The office is to publish a report on the grant program by November 1, 2023, and by each November 1 through November 1, 2027.

The bill creates the regional talent development initiative grant program fund (grant program fund) and directs the state treasurer to transfer $91 million from the workers, employers, and workforce centers cash fund (cash fund) to the grant program fund as follows:

• $56,750,000 from federal money in the cash fund that the state received pursuant to the "American Rescue Plan Act of 2021"; and
• $34,250,000 from money in the cash fund that originated from the general fund.

The money in the grant program fund is continuously appropriated to the office for the grant program and related costs. The grant program repeals on July 1, 2028.

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

The bill clarifies provisions in the "Workers' Compensation Act of Colorado" (act) relating to the release and disclosure of mental health records pertaining to an injured employee making a claim under the act (claimant).

The bill:

• Defines "mental health records" as psychological or psychiatric intake evaluation or progress notes or psychiatric independent medical examination and division independent medical examination records pertaining to a claimant psychological or psychiatric tests, including neuropsychological testing; other records prepared by or for a mental health provider; independent medical examination records, audio recordings, and reports that address psychological or psychiatric issues; division independent medical evaluation records and reports that address psychological or psychiatric issues; and records relating to the evaluation, diagnosis, or treatment of a substance use or abuse disorder;
• Requires a mental health provider to provide an insurer or employer, if self-insured, with mental health records, as necessary for payment, adjustment, and adjudication of claims involving psychological or psychiatric issues; to the referring physician; and to any other relevant treating or evaluating providers;
• Prohibits the disclosure of mental health records to any person who is not directly involved in adjusting or adjudicating claims reasonably necessary for the medical evaluation, adjustment, or adjudication of claims involving psychological or psychiatric issues, without the consent of the mental health provider or claimant unless otherwise directed by order of the director of the division of workers' compensation (director) or an administrative law judge;
• Prohibits Permits an insurer from releasing to release information from a claimant's mental health records to the claimant's employer concerning work restrictions and information necessary for the adjustment or adjudication of the claim, but prohibits the disclosure of the claimant's actual mental health records to third parties that do not need the information; and
• Limits an insurer's disclosure of a claimant's mental health records to an employer, supervisor, or manager to only information from the mental health records pertaining to work restrictions placed on the claimant; and
• For a self-insured employer:
• Requires the employer to keep a claimant's mental health records separate from personnel files;
• Limits disclosure of the claimant's mental health records to a supervisor or manager to only information from the mental health records pertaining to work restrictions placed on the claimant; and
• Prohibits disclosure of the claimant's mental health records to any third party and redisclosure by the third party to any person who is not directly involved in adjusting or adjudicating claims involving psychological or psychiatric issues, without the consent of the treating mental health provider or claimant unless the disclosure is otherwise ordered by the director or an administrative law judge .

The bill requires the director of the division to promulgate rules necessary for the implementation of the bill.

The bill requires a person providing mental health services under the act to be a licensed mental health provider. in the state.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

The bill requires the Colorado energy office (office) to identify for adoption 3 sets of model code language:

• Model electric and solar ready code language;
• Model low energy and carbon code language; and
• Model green code language.

The bill also requires the director of the office to appoint an energy code advisory board that will identify for adoption 2 sets of model code language:

• Model electric and solar ready code language; and
• Model low energy and carbon code language.

On or before January 1, 2025, municipalities, counties, the office of the state architect, the division of housing, and the division of fire prevention and control shall adopt and enforce an energy code that achieves equivalent or better energy performance than the 2021 international energy conservation code and the model electric and solar ready code language identified for adoption by the office energy code advisory board .On or after July 1, 2023, and before July 1, 2026, municipalities and counties that update a building code shall adopt and enforce an energy code that achieves equivalent or better energy performance than the 2021 international energy conservation code and the model electric and solar ready code language identified for adoption by the energy code advisory board.

On or before January 1, 2030, municipalities, counties, the office of the state architect, the division of housing, and the division of fire prevention and control shall adopt and enforce an energy code that achieves equivalent or better energy and carbon emissions performance than the model low energy and carbon code language identified for adoption by the office energy code advisory board .

On or after July 1, 2026, municipalities and counties that update a building code shall adopt and enforce an energy code that achieves equivalent or better energy performance than the model low energy and carbon code language identified for adoption by the energy code advisory board.

In the event of a conflict between the 2021 international energy conservation code, the 2024 international energy conservation code, or any of these 3 sets of model code language and either the Colorado plumbing code or the national electric code, the Colorado plumbing code or the national electric code prevails.

The bill creates 2 primary grant programs:

• The building electrification for public buildings grant program to provide grants to local governments, school districts, state agencies, and special districts for the installation of high-efficiency electric heating equipment; and
• The high-efficiency electric heating and appliances grant program to provide grants to local governments, utilities, nonprofit organizations, and housing developers for the installation of high-efficiency electric heating equipment in multiple structures within a neighborhood.

The bill establishes the clean air building investments fund, a continuously appropriated cash fund, to fund the creation, implementation, and administration of both of these grant programs.

The bill also requires the following transfers from the general fund:

• $3 million to the energy fund created for the Colorado energy office to issue grants and provide training related to the 2021 international energy conservation code, electric and solar ready codes, and low energy and carbon codes;
• $10 million to the clean air building investments fund for the creation, implementation, and administration of the building electrification for public buildings grant program; and
• $12 $11 million to the clean air building investments fund for the creation, implementation, and administration of the high-efficiency electric heating and appliances grant program.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

The bill makes the following modifications to statutory provisions governing special districts to increase the accountability of special districts to taxpayers:

• If a separate legal entity established by contract includes one or more special districts, requires the separate legal entity to file with the division of local government in the department of local affairs certain financial information pertaining to the special district. In such circumstances, the directors of the special district are also required to comply with oath and bond requirements for directors of special districts.
• Expands existing requirements on the information a metropolitan district must include on its public website to include information that is required by the service plan of the metropolitan district, by an ordinance or resolution adopted by the board of commissioners of a county, or by the governing body of a municipality, as applicable;
• Expands the applicability of statutory provisions governing the approval and oversight of special districts to specify that these provisions do not apply when a special district that was originally approved at any time thereafter becomes wholly included within the boundaries of one or more municipalities;
• Specifies information to be included in the financial plan that a new district submits along with its service plan;
• Removes an existing cap on the amount of the fee that a special district must pay the board of county commissioners for processing review of a service plan;
• For any proposed special metropolitan district that has any property within its boundaries that is zoned or valued for assessment as residential, enumerates certain acts that are disallowed for any service plan required to be filed by the district. A local government acting on a service plan is prohibited from approving a service plan for a special metropolitan district that permits any of these same acts the purchase of district debt by any entity with respect to which any director of the district has a conflict of interest necessitating disclosure .
• Clarifies requirements affecting the oversight by a municipality that is wholly contained within the boundaries of the municipality, especially in connection with an annexing municipality;
• Expands the circumstances under which material modifications of a special district's service plan are approved by the county or municipality, as applicable, to include the situation when the special district after initial approval of the plan becomes wholly included within the boundaries of a newly annexed municipality;
• Specifies that approval is also required for any action or omission of a special district that is materially inconsistent with the district's service plan. Expands the list of examples of acts or omissions necessitating approval.
• Authorizes a board of county commissioners for a district that lies entirely within the territorial boundaries of a county or the governing body of a municipality for a district that lies entirely within the boundaries of a municipality to impose a fee to offset the costs incurred by the county or municipality, as applicable, in reviewing the operations of the district and the district's compliance with its service plan. The fee is not payable more than once annually.
• Prohibits a member of the board of a district that approved the issuance of any debt while the member was serving on the board from thereafter acquiring any interest in the debt individually or on behalf of any organization or entity for which the board member is engaged as an employee, counsel, consultant, representative, or agent; except that this requirement does not apply to debt acquired indirectly through an investment fund if the member has no input into or control over the individual securities that the fund purchases;
• Prior to issuing debt to a director of a metropolitan district or to an entity with respect to which a director of a metropolitan district must make disclosure of a conflict of interest, the bill requires the board of the metropolitan district to receive a statement of a registered municipal advisor certifying that the interest rate of the debt does not exceed the lesser of:
• The interest rate allowed under a method of calculation specified in the bill; or
• The current market interest rate for the debt based on criteria determined by the municipal advisor, examples of which are listed in the bill;

• Requires all meetings of a board of a special district that are held solely at physical locations to be held at physical locations that are within the boundaries of the district or that are within the boundaries of any county in which the district is located, in whole or in part, without exceptions or the possibility of a waiver;
• Clarifies that the powers of the board of directors of any metropolitan district are limited by the district's service plan;
• On and after September 1, 2022, prohibits a metropolitan district from entering into any new contract or agreement as of that date to furnish covenant enforcement and design review services. On and after September 1, 2022, the bill prohibits a metropolitan district from renewing any existing agreement entered into prior to that date to furnish covenant enforcement and design review services. Upon the expiration of the agreement, the master association or similar entity contracting with the metropolitan district is required to assume covenant enforcement and design review services.
• Under current law, under specified circumstances, the board of county commissioners or the governing body of the municipality that has adopted a resolution of approval of the special district may require the board of the special district to file an application for a finding of reasonable diligence every 5 years. The bill makes this an annual requirement.
• Makes proof of the commission of such act by a preponderance of the evidence proof that the director has breached the director's fiduciary duty and the public trust.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

The bill amends employment discrimination laws, commonly referred to as the "Colorado Anti-discrimination Act" or "CADA", as follows:

• With regard to the jurisdiction of the Colorado civil rights commission (commission) over discrimination complaints, instead of allowing the commission 270 days to notice a hearing on the complaint and the ability to grant the parties an extension of up to an additional 180 days, allows the commission a total of 450 days to notice a hearing on the complaint or lose jurisdiction over the complaint;
• Expands the definition of "employee" to include individuals in domestic service and specifies that it is not a discriminatory or an unfair employment practice with respect to sex for a person to consider sex when hiring an employee to engage in child-care-related domestic services ;
• Extends the time limit to file a charge with the Colorado civil rights commission from 6 months to 300 days after the alleged discriminatory or unfair employment practice occurred; and
• Repeals the prohibition, applicable in age discrimination cases only, against the relief and recovery of certain damages so that the remedies available in employment discrimination claims are consistent, regardless of the type of discrimination alleged.

The bill appropriates $113,548 from the general fund to the department of regulatory agencies for use by the civil rights division to implement the bill, with $98,718 allocated for personal services and $14,830 for operating expenses.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

Sales and Use Tax Simplification Task Force. In order to enable the streamlining of the imposition, collection, and administration of sales and use taxes imposed by local taxing jurisdictions on retail sales made by retailers that have a state standard retail license and either do not have physical presence in a local taxing jurisdiction or have only incidental physical presence in a local taxing jurisdiction through the streamlining of application requirements for and elimination of fees for local general business licenses, the bill requires the department of revenue (department) to require sufficient information to be collected from such a retailer, when the retailer applies for or renews a state standard retail business license through the state's electronic sales and use tax simplification system (SUTS) or by other means or at any other time to the extent necessary, and made available to local taxing jurisdictions to ensure that concerns of local taxing jurisdictions, including but not limited to concerns relating to administrative efficiency, retailer compliance, and collection of sales and use tax revenue are addressed. The department is required to consult with local taxing jurisdictions when determining what information to collect and how to make the information collected available to local taxing jurisdictions and making and testing modifications. The department is also required to consult with retailers and to address any reasonable concerns they may have. The department is required to accomplish these tasks expeditiously so that no later than July 1, 2023, and sooner if feasible, a retailer that has a state standard retail license and either does not have physical presence within a local taxing jurisdiction or has only incidental physical presence can make retail sales within the local taxing jurisdiction without having to obtain a general business license from the local taxing jurisdiction.

On and after July 1, 2022, a local taxing jurisdiction is prohibited from charging a fee for a local general business license to a retailer that has a state standard retail license, makes retail sales within the local taxing jurisdiction, and either does not have physical presence within the local taxing jurisdiction or has only incidental physical presence within the local taxing jurisdiction. On and after July 1, 2023, a local taxing jurisdiction is prohibited from requiring such a retailer to apply separately to the local taxing jurisdiction for a general business license. A local taxing jurisdiction must automatically issue a general business license to such a retailer unless the local taxing jurisdiction has previously revoked a general business license held by the retailer for a violation of its local code.

For the 2022-23 state fiscal year, $2,100 is appropriated to the department of revenue for use by the taxation services division to implement the bill.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

The bill clarifies the opportunities available to offenders inmates imprisoned by the department of corrections (department).

The bill clarifies that the rehabilitation and work opportunities available to offenders inmates are to promote the person's successful rehabilitation, reentry, and reintegration into the community.

The bill clarifies a distinction between external programs, which are administered by the division of correctional industries (division) in partnership with private employers that occur outside of department facilities, and internal programs, which are opportunities provided inside a department facility administered by the division and may be in partnership with employers outside of department facilities.

The bill amends offender inmate compensation and permissible deductions from an offender's inmate's account.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

The bill specifies that air-source and ground-source heat pump systems are household furnishings exempt from the levy and collection of property tax. The bill exempts air-source and ground-source heat pump systems from the definition of "fixtures" for property tax purposes.For income tax years beginning on or after January 1, 2023, but before January 1, 2033, any purchaser of an air-source heat pump system, ground-source heat pump system, water-source heat pump system, or variable refrigerant flow heat pump system (heat pump system) that installs a residential or commercial heat pump system or a residential or commercial heat pump water heater into real property in the state is allowed an income tax credit in an amount equal to 10% of the purchase price of the heat pump system or heat pump water heater.

For income tax years beginning on or after January 1, 2023, but before January 1, 2033, any purchaser of an energy storage system that installs the energy storage system in a residential dwelling in the state is allowed an income tax credit in an amount equal to 10% of the purchase price of the energy storage system.

For the heat pump system and heat pump water heater income tax credit and for the energy storage system income tax credit, the bill requires the purchaser to assign the income tax credit to the seller of the heat pump system, heat pump water heater, or energy storage system (seller) at the time of purchase, and the seller is required to compensate the purchaser for the full nominal value of the tax credit. The bill specifies the requirements of the purchaser, seller, and the department of revenue in connection with the assignment of either income tax credit.

Beginning July 1, 2024, the bill exempts from state sales and use tax all sales, storage, and use of eligible decarbonizing building materials. "Eligible decarbonizing building materials" are defined as building materials that have a maximum acceptable global warming potential as determined by the office of the state architect (office) and to be eligible for the sales and use tax exemption, such materials must be on a list of eligible materials maintained by the office. The bill allows manufacturers to submit the environmental product declaration of an eligible material to the office for the office's review. The office is required to compile a list of eligible materials and the manufacturers of those materials based on the information voluntarily submitted to the office by the manufacturers.

In addition, beginning January 1, 2023, the bill exempts from state sales and use tax all sales, storage, and use of air-source and ground-source heat pump systems or heat pump water heaters that are used in commercial or residential buildings. To be eligible for the sales and use tax exemption under certain circumstances, the purchaser of the heat pump system or heat pump water heater is required to certify that all necessary mechanical, plumbing, and electrical work performed in connection with the installation of the heat pump system or heat pump water heater will be performed by a certified contractor on a certified contractor list created pursuant to current law or by employees of a utility, subject to state licensing requirements and all applicable state and local rules, codes, and standards.Beginning January 1, 2023, the bill exempts from state sales and use tax all sales, storage, and use of energy storage systems that are used in a residential dwelling.

After January 1, 2023, an investor-owned gas utility may apply to the public utilities commission for approval to measure the amount of use for billing purposes in either fuel commodity units or for energy services provided. The public utilities commission is required to approve, deny, or modify the utility's application.

The bill specifies that a statutory town, city, or county may exempt the same items only by express inclusion of the exemption in its initial sales tax ordinance or resolution or by amendment thereto.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

The bill:

• Requires the state treasurer to transfer $1.1 billion from the general fund to the unemployment compensation fund (fund) to restore the balance of the fund to the fund's pre-pandemic level; and
• Requires the director of the division of unemployment insurance to repay the federal government for $1.014 billion of advances received from the federal government in responding to the COVID-19 pandemic.
  (Note: This summary applies to this bill as introduced.)

Fiscal Note

Under current law, there is a tuition assistance program (program) for students enrolled in career and technical education certificate programs at certain state institutions. The commission on higher education establishes policies and procedures for the program. The bill requires the policies and procedures to give some preference to students enrolled in building and construction trade certificate programs. The bill also requires the general assembly to annually appropriate $650,000 for the program.
(Note: This summary applies to this bill as introduced.)

Fiscal Note

The bill authorizes a state public entity to enter into an agreement with a private partner to form a public-private partnership to develop or operate a public project. "State public entity" includes the executive, legislative, and judicial branches of state government, but excludes the department of transportation and any institution of higher education. The bill does not impact the authority of the department of transportation or any institution of higher education to enter into a public-private partnership or similar agreement as otherwise authorized by law.

The bill specifies the project delivery methods or agreements that a state public entity may use to develop or operate a public project and that the financing of a public project may be in the amounts and upon the terms and conditions determined by the parties to the agreement. The private partner and state public entity may use any money that may be available for the public project and may enter into specified financing agreements.

The executive director of the department of personnel or the executive director's designee (executive director) is required to oversee any public-private partnership undertaken pursuant to the bill by a state public entity that is in the executive branch of state government. The executive director is also required to ensure that each public-private partnership undertaken by a state public entity that is in the executive branch of state government is in the best interest of the taxpayers of the state.

(Note: This summary applies to this bill as introduced.)

Fiscal Note

Section 1 of the bill extends the powers of the initiative and referendum reserved to the people in the state constitution to the electors of special districts.Section 2 requires each developer-affiliated board (board) of a special district (district) to issue an agenda and board packet for each board meeting. The board must send the agenda and board packet by regular United States mail and by e-mail to each resident of the district along with a separate statement that expressly discloses to each resident the fact that the board has a conflict of interest with the residents and that residents of the district may serve on the board.

The bill also requires each board to send a self-nomination form to each resident of the district with each agenda and board packet with instructions that a resident may follow for completing the form and delivering the completed form to the manager and legal counsel of the district.

Immediately upon receiving a self-nomination form from a resident for a position on the board, the board must identify the board position to be terminated and immediately appoint the resident who submitted the self-nomination form to fill the position. A developer-affiliated position is immediately terminated upon receipt by the board of a self-nomination form from a resident. If self-nomination forms are received from residents in an amount that exceeds the positions on the board, the board is required to immediately call a special election to fill all of the developer-affiliated positions.

(Note: This summary applies to this bill as introduced.)

Fiscal Note

The bill requires the department of labor and employment (department), in partnership with the business experiential-learning commission in the department, the office of economic development, the state work force development council, the departments of education and higher education, the state board for community colleges and occupational education, and area technical colleges, to provide incentives to eligible employers to create high-quality, work-based learning opportunities for adults and youth (incentive program).

The department is required to select at least 2 work-based learning intermediaries (intermediaries) to coordinate employers, schools, youth, and adults participating in the incentive program to establish work-based learning opportunities and select employers to participate in the incentive program.

The department shall provide monetary incentives to the selected intermediaries and employers for the implementation of work-based learning opportunities. The department is required to compile data concerning the incentive program and submit a report to the business committees of the senate and house of representatives during the "State Measurement for Accountable, Responsive, and Transparent (SMART) Government Act" hearings held each legislative session.

The office of future work in the department and its partners are required to create a digital navigation program and employ digital navigators to:

• Reach out to youth and adults who have been historically excluded or disengaged from work-based learning opportunities and connect them with available opportunities;
• Address digital inequities, including access to digital technology and computer skills training, cybersecurity, and affordable internet service;
• Refer youth and adults to career navigation services; and
• Provide a one-stop service that includes: Making referrals to work-based learning programs; facilitating enrollment in digital literacy classes, workshops, and upskilling and work-based learning opportunities; and assisting with digital skill development, job applications, and access to other benefits and services.

The office of new Americans in the department is required to:

• Convene an 18-month global talent task force to study the process for certain in-demand occupational licenses, look at international credentials, and take advantage of the global pool of skilled workers; and
• Provide tools for new Americans and English language learners to enter into work-based learning programs to improve language and skills development for specific occupations and careers.

The bill authorizes the executive director of the department to promulgate rules to implement the incentive program and the digital navigation program.

The general assembly is required to appropriate $6,100,000 to the department for the purposes of the bill.

(Note: This summary applies to this bill as introduced.)

Fiscal Note

The bill updates and modifies laws pertaining to the payment of wages, employee misclassification, and workplace safety, and the enforcement procedures and remedies for violations of those laws, as follows:

• Changes the penalty penalties for failure to provide requested information to the division of labor standards and statistics in the department of labor and employment (DLSS) or for hindering or obstructing the director of the division or other person authorized by the director in accessing an employer's premises from a misdemeanor criminal offense to a daily penalty of up to not less than $50 ( section 1 sections 1 and 2 of the bill);
• Directs the DLSS to transmit penalties it imposes to the wage theft enforcement fund ( sections 1 through 5 and 10 );
• Requires an employer to: Provide notice to an employee, within 10 days after the employment terminates, before deducting from wages or compensation any amount of money or property the employee failed to return or repay upon termination of employment and pay the employee the deducted amount within 14 days after the employee returns or repays the money or property if the employee did so within 14 days after notice is provided and pay 2 times the amount of the deduction if the employer fails to provide the required notice ( section 2 section 6 );
• Imposes automatic penalties and adjusts the amount of the penalties for multiple violations within 5 years, of the greater of 2 times the amount of the unpaid wages or $1,000 on an employer that fails to pay all past-due wages within 14 days after a written demand or civil or administrative action for the past-due wages is sent to or served on the employer. If an employee shows that the employer's failure or refusal to pay wages was willful, the employer is subject to penalties equal to the greater of 3 times the amount of unpaid wages or $3,000. The bill further states that an employer's second or subsequent failure or refusal to pay wages of the same or similar type within the 5 years preceding a claim is considered per se willful ( section 3 section 7 );
• If an employer makes a full legal tender all amounts demanded in good faith within 14 days after a written demand is sent or an administrative claim or civil action is sent or served, the employee is required to dismiss the action ( section 7 );
• Repeals the requirement that an employee dismiss an action against an employer after the employer makes a legal tender for the full amount claimed in the action ( section 3 ), and Eliminates the authority of a court to award an employer reasonable attorney fees and costs in an action in which the employee claimed wages in excess of the greater of $7,500 or the jurisdictional limit for small claims court and the employee does not recover an amount greater than the amount the employer tendered and instead permits a court to award an employer reasonable attorney fees and costs if, within 14 days after a written demand is sent or a civil action is served, the employer makes full legal tender of all amounts demanded in good faith for all employees and the employees ultimately fail to recover a total sum that is greater than the amount tendered ( section 4 section 8 );
• Allows the DLSS to award an employee reasonable costs incurred in an administrative claim when the employee recovers a sum that is greater than the amount the employer tendered, and, if the employee recovers more than $5,000 in unpaid wages, allows the DLSS to also award the employee attorney fees ( section 8 );
• For wage claims on or after January 1, 2023, increases the threshold for wage claims the director of the DLSS may adjudicate from $7,500 or less to $15,000 or less ( section 5 );
• Allows the director of the DLSS to use existing authority under labor laws to gather information pertinent to wage claims from employers, employees, and other persons or entities ( section 5 section 9 );
• If the DLSS determines that an employer has violated wage laws, allows employees who filed the wage claims to request the DLSS to notify similarly situated employees that the employer may be engaging in a pattern or practice of nonpayment of wages ( section 5 );
• Allows recovery of attorney fees, an additional fine of 50% of the amount of past-due wages, and a penalty of the greater of 50% of past-due wages or $3,000 from an employer that fails to pay an employee past-due wages within 60 days after the determination in favor of the employee ( section 5 section 9 );
• For a citation, notice of assessment, or order issued against an employer on or after January 1, 2023, requires the DLSS, upon request of an employee, to file a certified copy of the citation, notice, or order with the appropriate clerk of court, after which the clerk is required to enter the citation, notice, or order as a judgment of the court, and the judgment becomes a lien against the employer's property that is superior to all other liens except property tax liens is sufficient to support the issuance of writs of garnishment if the judgment is wholly or partially unsatisfied ( section 6 section 10 );
• On or after January 1, 2023, authorizes the DLSS , either on its own initiative or within 60 days after receiving a written request from an employee, to issue a notice of administrative lien and levy, similar to a child support enforcement lien, when an employer fails to pay past-due wages, fines, or penalties, which lien attaches to the employer's real or personal property that is in the possession, custody, or control of another person ( section 6 section 10 );
• Allows an employee who alleges that the employee's employer discriminated or retaliated against the employee for filing or participating in a wage claim to file a civil action to seek relief, including back pay, reinstatement or front pay, payment of unlawfully withheld wages, interest on past-due wages, penalties, liquidated damages, injunctive relief, and attorney fees and costs. The DLSS, after an investigation of a discrimination or retaliation claim, may also order similar relief to an employee, other than attorney fees and costs ( section 7 section 11 ); and
• Requires employers to ensure the workplace is constructed, operated, and equipped, and any machinery and equipment in the workplace is placed, operated, and lighted, in a manner that provides reasonable and adequate protections to the lives, health, and safety of all employees, and authorizes a new worker and employee unit in the department of law, in addition to an employee injured or threatened with injury, to enforce the workplace safety requirements ( section 8 );
• Establishes the worker and employee unit (unit) in the department of law to investigate and enforce wage theft and unemployment insurance and misclassification of employees and workplace safety claims under specified circumstances ( sections 9 through 12 sections 12 through 15 ). and
• Modifies certain provisions of the mechanics' lien law to streamline its use in the context of workers enforcing wage claims for work performed on real property ( sections 13 through 23 ).

Section 16 appropriates $504,419 to the department of labor and employment for the 2022-23 state fiscal year to implement the bill as follows:

• $473,369 for use by the DLSS for program costs, including an additional 4.8 FTE; and
• $31,050 to purchase legal services, which amount is reappropriated to the department of law to provide legal services to the department of labor and employment.

Section 16 also appropriates $95,200 to the department of law for the 2022-23 state fiscal year for use by consumer protection to implement the bill, which amount assumes the department will require an additional 0.8 FTE.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

The bill establishes the state procurement equity program (program) in the department of personnel and adminstration (department) for the purpose of eliminating reducing disparities including the substantial disparities identified in the state disparity study report prepared as required by Senate Bill 19-135, between the availability of historically underutilized businesses and the utilization of such businesses in state procurement.

For preliminary implementation of the program, the department, in line with recommendations made in the state disparity study report, is required to:

• Coordinate with the procurement technical assistance center to increase the number of historically underutilized businesses that have the registrations and certifications required to be eligible to apply for and positioned to compete for all state procurement opportunities that they are capable of performing and the number of opportunities available for such businesses;
• Provide solicitation assistance, defined by the bill as the provision of real-time responses to questions asked by potential contractors who seek guidance as to how best to respond to solicitations for state contracts, including guidance regarding availability of opportunities, interpretation of solicitation documents, and solicitation response procedures and best practices; and
• Create a bond assistance program to help historically underutilized businesses to offset all or a portion of the cost of obtaining a surety bond that is required for a solicitation for a state procurement opportunity. The bill transfers $2 million from the general fund to a newly created bond assistance program cash fund, and the fund is continuously appropriated to the department to implement the bond assistance program.

The department is also required to convene, contract with a facilitator to facilitate discussion among, and engage in robust consultation with a stakeholder group, consisting which, to the extent practicable, consists of government employees with procurement expertise, an employee of the procurement technical assistance center, a representative of the associated general contractors, owners or high-ranking employees of various types of historically underutilized businesses, and owners or high-ranking employees of businesses that are not historically underutilized businesses but have a demonstrable record of successful engagement and contracting with small businesses and have competed for or been awarded state contracts. The stakeholder group also includes any other individuals who have a demonstrable commitment to furthering equity in government procurement and substantial knowledge of procurement equity best practices who the department deems necessary or appropriate to include. The stakeholder group is required to:

• Closely examine the findings, conclusions, and recommendations in the state disparity study report;
• Using the information in the state disparity study report as a baseline for studying procurement equity programs in other states and at the federal and large local government level, identify best practices for successful program implementation and administration; and
• No later than November 1, 2022 2023 , present to the department a report of specific policy findings, remedial measures, and recommendations that includes, at a minimum:
• Prioritization of the recommendations in the state disparity study report;
• Confirmation or refutation of specified disparity study report findings;
• A preliminary estimate of the amount of initial and ongoing funding, personnel, information technology resources, and other resources needed to implement the policy recommendations and remedial measures in accordance with identified best practices;
• A step-by-step timeline for full implementation of the program;
• Suggested methodologies and metrics for evaluating the success of the program and ensuring program accountability on both the state agency and prime contractor sides; and
• Identification of any public or private sources of funding or other resources that may be available to expedite the implementation or ongoing administration of the program and reduce costs to the state.

The department is required to report on its preliminary implementation of the program, the progress and policy recommendations and any suggested remedial measures of the stakeholder group, the preliminary plans, and recommendations, and remedial measures of the department regarding full implementation of the program, and any recommendations that the department has regarding the need for related legislation during its 2023 January 2025 annual presentation to legislative oversight committees required by the "State Measurement for Accountable, Responsive, and Transparent (SMART) Government Act".The bill appropriates $2,007,707 from the general fund to the department, of which:

• $1,046,345 is for use by the executive director's office for the state procurement equity program;
• $961,362 is for use by the division of human resources for liability claims and liability legal services; and
• $114,824 is reappropriated from the money appropriated to the department to the office of information technology for the purpose of providing information technology services for the department.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

Section 2 of the bill requires:

• The department of higher education (department), in consultation with the state institutions of higher education (institutions), to develop and implement a process that encourages institutions to identify incremental achievements on the path to degree completion, organize stackable credentials, and identify how credentials may become stacked into stackable credential pathways;
• The department to facilitate the creation of stackable credential pathways for at least 3 growing industries by January 1, 2024, and at least 2 more growing industries by January 1, 2025; and
• The general assembly to appropriate one million dollars to the department from the workers, employers, and workforce centers cash fund for the 2022-23 fiscal year.

Section 3 of the bill requires the department to allocate and disburse funds to community and technical colleges and local district colleges to fund student access to nondegree credential programs. The general assembly is required to appropriate $1.8 million to the department for this purpose for the 2022-23 fiscal year.Section 4 of the bill requires the general assembly to appropriate $800,000 to the department of education for the adult education and literacy grant program for the 2022-23 fiscal year.
(Note: This summary applies to this bill as introduced.)

Fiscal Note

Joint Budget Committee. The bill creates the "Infrastructure Investment and Jobs Act" cash fund (fund) and requires the state treasurer to transfer $81.5 million to the fund. The money in the fund is continuously appropriated subject to annual appropriation by the general assembly to the office of the governor (office) and to departments, subject to approval by the governor to be used as the nonfederal match funding necessary for the state or a local government to be eligible to receive federal approval and federal funds for certain categories of infrastructure projects allowed under the federal "Infrastructure Investment and Jobs Act". The office of the governor (office) must establish a process for receiving, reviewing, and approving applications and awarding and distributing money from the fund and the office, as well as state departments receiving money from the fund, are subject to annual reporting requirements.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

Sections 1, 7, and 9 of the bill amend the existing authority of the division of unemployment insurance (division) to issue bonds by:

• Clarifying that the division may issue the bonds through the state treasurer; and
• Granting the division the authority to levy bond assessments.

Current law provides a temporary increase in partial unemployment benefits. Section 2 makes this temporary increase permanent.Section 3 repeals the requirement that an individual wait at least one week before becoming eligible for unemployment compensation. This repeal will take effect when the unemployment compensation fund reaches a balance of at least $1 billion.Section 4 requires the division to study how to implement a dependent allowance for individuals receiving unemployment compensation.Sections 4 and 10 require the department of labor and employment to award grants to one or more third-party administrators for the purpose of providing recovery benefits to eligible individuals. The grants to the third-party administrators and the recovery benefits are funded through .00035 of the premium each employer is required to submit to the division. An individual is eligible to receive recovery benefits if the individual, regardless of the individual's immigration status:

• Separated from employment through no fault of the individual;
• Received income from employment during a qualified base period or alternative base period;
• Attests that the individual is not currently receiving any state-administered wage replacement assistance;
• Is not eligible for state-administered wage replacement assistance for reasons related to the individual's authorization to work; and
• Has a pay stub or form W-2 to verify the individual's employment and wage withholding.

Section 5 requires an employer to provide an employee with certain information about unemployment compensation upon the employee's separation from employment.Section 6 extends the hold on an employer's solvency surcharge through calendar year 2023.Sections 8 and 12 require the state treasurer to transfer $600 million to a newly created fund. The transfer is from money received by the state through the federal "American Rescue Plan Act of 2021". The money in the fund may be used only to repay the outstanding balance of federal advances provided to the state through the unemployment insurance trust fund and interest owed on the advances.

Current law requires an individual to repay the division for overpaid unemployment compensation benefits unless the division finds that repayment would be inequitable. Section 11 sets forth factors that the division must consider in determining whether repayment would be inequitable.
(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note

Current law states that for every appropriation in the capital construction section of the annual general appropriation act, the general assembly is required to provide funding for annual depreciation-lease equivalent payments. Currently, the annual depreciation-lease equivalent payments are credited to the fund that was the source of the original capital construction appropriation. For the 2021-22 fiscal year through the 2028-29 fiscal year, section 1 of the bill requires the annual depreciation-lease equivalent payments to be credited to the capitol complex renovation fund. Section 1 also requires each state agency that terminates a lease for private space to calculate the annual reduction in its costs for leased space. For specified fiscal years, the general assembly is required to transfer an amount equal to each state agency's annual reduction in lease costs to the capital construction fund.Section 2 creates the capitol complex renovation fund (fund) and specifies that the money in the fund is appropriated to the department of personnel for certain capital construction needs for existing state-owned buildings in the capitol complex. Section 2 also requires money in the fund to be set aside for use by the legislative department for improvements to legislative spaces in the capitol complex. In addition, section 2 requires the department of personnel to submit a quarterly report to the capital development committee regarding the status of the capitol complex renovations funded with money in the fund.Section 3 requires that any unexpended and unencumbered money appropriated to a department in a specific line item for utilities in a fiscal year remains available for expenditure in the next fiscal year without further appropriation for the department to purchase utilities conservation equipment or services.Section 4 transfers $18,600,000 from the capitol complex master plan implementation fund to the capitol complex renovation fund.

Current law specifies that the legislative department has control of and is responsible for supervising the maintenance of legislative spaces in certain buildings in the capitol complex and the grounds adjacent to the capitol building. Section 4 Section 5 includes 2 floors of the capitol building annex at 1375 Sherman street in the spaces over which the general assembly has control and is responsible for the supervision of maintenance.Section 6 makes an appropriation from the capitol complex renovation fund to the department of personnel for the 2022-23 state fiscal year.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Fiscal Note