NOTE: The governor signed this measure on 4/10/2015.
      
      
      HOUSE BILL 15-1197
      
      
      BY REPRESENTATIVE(S) Tate, Conti, Dore, Brown, Fields, Kagan,
      Lundeen, Roupe, Salazar, Windholz, Moreno, Pettersen, Priola,
      Hullinghorst;
      also SENATOR(S) Jahn.
      
      
      Concerning limitations on indemnity obligations in public
           construction contracts.
       
      
      Be it enacted by the General Assembly of the State of Colorado:
      
           SECTION 1.  In Colorado Revised Statutes, 13-50.5-102, amend
      (8) as follows:
      
           13-50.5-102.  Right to contribution - contract or agreement
      provision to indemnify or hold harmless void against public policy.
      (8) (a)  In the event that a Any public contract or agreement for the
      architectural, engineering, or surveying services; design;
      construction; alteration; repair; or maintenance of any building, structure,
      highway, bridge, viaduct, water, sewer, or gas distribution system, or other
      works dealing with construction, or any moving, demolition, or excavation
      connected with such construction that contains any a covenant, promise,
      agreement, or combination thereof to defend, indemnify, or hold harmless
      any public entity is enforceable only to the extent and for an
      amount represented by the degree or percentage of negligence or
      fault attributable to the indemnity obligor or the indemnity
      obligor's agents, representatives, subcontractors, or suppliers.
      Any such covenant, promise, agreement, or combination thereof
      requiring an indemnity obligor to defend, indemnify, or hold
      harmless any public entity from that public entity's own negligence
      then such covenant, promise, agreement, or combination thereof is void as
      against public policy and wholly unenforceable.
      
           (b)  This subsection (8) shall not apply to construction bonds,
      contracts of insurance, or insurance policies that provide for the
      defense, indemnification, or holding harmless of public entities or
      contract clauses regarding insurance. or contract clauses regarding costs of
      defense of litigation arising out of the work or to any covenant, promise,
      agreement, or combination thereof to indemnify or hold harmless a
      contracting party against claims arising out of the negligent acts of the
      indemnitor and its subcontractors in the performance of the work under the
      contract. However, no contracting party shall be required to indemnify or
      hold harmless from any liability or damages arising from the negligent acts
      of the indemnified party. This subsection (8) is intended only to affect the
      contractual relationship between the parties relating to the defense,
      indemnification, or holding harmless of public entities, for the negligent
      acts of the public entity, and nothing in this subsection (8) shall affect any
      other rights or remedies of public entities or contracting parties.
      
           (c)  If the indemnity obligor is a person or entity providing
      architectural, engineering, surveying, or other design services,
      then the extent of an indemnity obligor's obligation to defend,
      indemnify, or hold harmless an indemnity obligee may be
      determined only after the indemnity obligor's liability or fault
      has been determined by adjudication, alternative dispute
      resolution, or otherwise resolved by mutual agreement between
      the indemnity obligor and obligee.
      
           SECTION 2.  Act subject to petition - effective date -
      applicability. (1)  This act takes effect September 1, 2015; except that, if
      a referendum petition is filed pursuant to section 1 (3) of article V of the
      state constitution against this act or an item, section, or part of this act
      within the ninety-day period after final adjournment of the general
      assembly, then the act, item, section, or part will not take effect unless
      approved by the people at the general election to be held in November 2016
      and, in such case, will take effect on the date of the official declaration of
      the vote thereon by the governor.
      
           (2)  This act applies to contracts or agreements entered into on or
      after the applicable effective date of this act.
      
      
      
      
      ________________________________________________________
      Dickey Lee Hullinghorst                Bill L. Cadman
      SPEAKER OF THE HOUSE                     PRESIDENT OF
      OF REPRESENTATIVES                         THE SENATE
      
      
      
      
      
      
      ____________________________  ____________________________
      Marilyn Eddins                      Cindi L. Markwell
      CHIEF CLERK OF THE HOUSE                 SECRETARY OF
      OF REPRESENTATIVES                         THE SENATE
      
      
      
      
                  APPROVED________________________________________
      
      
      
      
      
                                    _________________________________________
                                    John W. Hickenlooper
                                    GOVERNOR OF THE STATE OF COLORADO