First Regular Session
Sixty-first General Assembly
LLS NO. 970072.01 MTJ
HOUSE BILL 971048
STATE OF COLORADO
BY REPRESENTATIVE Dean;
also SENATOR Powers. ENGROSSED
STATE, VETERANS &
A BILL FOR AN ACT
CONCERNING THE CREATION OF INCENTIVES TO PREVENT
FRAUDULENT PAYMENTS TO INMATES UNDER PUBLIC PROGRAMS.
(Note: This summary applies to this bill as introduced
and does not necessarily reflect any amendments which may be subsequently
Requires the department of corrections, county sheriffs,
the department of human services, and the department of labor
and employment to develop a system of reporting identifying information
about persons confined in local jails and state correctional facilities
to identify persons who should be disqualified from receiving
payments under public programs while incarcerated. Provides that
a portion of the moneys saved by identifying such disqualified
persons be paid to either the sheriff or the department of corrections,
whichever reported the information, as a reward.
Be it enacted by the General Assembly of the State of Colorado:
SECTION 1. Part 1 of article 1 of title 17, Colorado Revised Statutes, 1986 Repl. Vol., as amended, is amended BY THE ADDITION OF A NEW SECTION to read:
171103.3. Prevention of erroneous payments to prisoners identifying information reporting system. (1) IN ORDER TO ELIMINATE ERRONEOUS PAYMENTS OF BENEFITS TO PERSONS CONFINED IN CORRECTIONAL FACILITIES OR LOCAL JAILS IN THE STATE, THE DEPARTMENT OF CORRECTIONS, COUNTY SHERIFFS, THE DEPARTMENT OF HUMAN SERVICES, AND THE DEPARTMENT OF LABOR AND EMPLOYMENT SHALL COOPERATIVELY DEVELOP A SYSTEM OF REPORTING IDENTIFYING INFORMATION ABOUT ADULT PERSONS CONFINED IN CORRECTIONAL FACILITIES OR LOCAL JAILS IN THE STATE TO STATE AGENCIES RESPONSIBLE FOR THE ADMINISTRATION OF WORKERS' COMPENSATION AND PUBLIC ASSISTANCE BENEFITS. SUCH A SYSTEM SHALL BE IMPLEMENTED ON OR BEFORE JULY 1, 1998, WITHIN EXISTING APPROPRIATIONS.
(2) ON AND AFTER THE DATE ON WHICH THE INFORMATION REPORTING SYSTEM DEVELOPED PURSUANT TO SUBSECTION (1) OF THIS SECTION IS IMPLEMENTED, BUT IN ANY EVENT NO LATER THAN JULY 1, 1998, THE DEPARTMENT OF CORRECTIONS AND EACH SHERIFF IN THE STATE SHALL PERIODICALLY TRANSMIT IDENTIFYING INFORMATION ABOUT EACH ADULT PERSON CONFINED IN A CORRECTIONAL FACILITY OR LOCAL JAIL IN THE STATE TO THE DEPARTMENT OF HUMAN SERVICES AND THE DEPARTMENT OF LABOR AND EMPLOYMENT.
SECTION 2. Part 1 of article 1 of title 26, Colorado Revised Statutes, 1989 Repl. Vol., as amended, is amended BY THE ADDITION OF A NEW SECTION to read:
261127.5. Prevention of erroneous payments to prisoners incentives. (1) IN THE EVENT THE IDENTIFYING INFORMATION TRANSMITTED TO THE STATE DEPARTMENT PURSUANT TO SECTION 171103.3 (2), C.R.S., RESULTS IN THE DISQUALIFICATION OF AN INDIVIDUAL APPLYING FOR OR RECEIVING ANY BENEFITS FROM ANY PROGRAM ADMINISTERED BY THE STATE DEPARTMENT, THE STATE DEPARTMENT SHALL PAY AS A REWARD TWENTYFIVE PERCENT OF EACH OF THE FOLLOWING TO THE DEPARTMENT OF CORRECTIONS OR THE SHERIFF, WHICHEVER REPORTED THE INFORMATION:
(a) ANY PORTION OF ONE MONTH'S BENEFIT OTHERWISE PAYABLE TO THE DISQUALIFIED INDIVIDUAL THAT CONSISTS OF STATE MONEYS;
(b) ANY PORTION OF ONE MONTH'S BENEFIT OTHERWISE PAYABLE TO THE DISQUALIFIED INDIVIDUAL THAT CONSISTS OF FEDERAL MONEYS GRANTED TO THE STATE, UNLESS FEDERAL LAW PROHIBITS THE USE OF SUCH GRANT MONEYS FOR THE PURPOSE SPECIFIED IN THIS SUBSECTION (1);
(c) ANY PORTION OF ONE MONTH'S BENEFIT OTHERWISE PAYABLE TO THE DISQUALIFIED INDIVIDUAL THAT CONSISTS OF FEDERAL MONEYS MADE AVAILABLE BY WAIVER FOR THE PURPOSE SPECIFIED IN THIS SUBSECTION (1).
(2) THE EXECUTIVE DIRECTOR MAY APPLY FOR ANY FEDERAL WAIVERS NECESSARY TO MAXIMIZE THE AMOUNT OF THE INCENTIVE PAYMENTS TO THE DEPARTMENT OF CORRECTIONS AND TO COUNTY SHERIFFS.
SECTION 3. 842113, Colorado Revised Statutes, 1986 Repl. Vol., as amended, is amended BY THE ADDITION OF A NEW SUBSECTION to read:
842113. Limitations on payments to prisoners incentives to sheriffs and department of corrections. (1.5) (a) IN THE EVENT THE IDENTIFYING INFORMATION TRANSMITTED BY A SHERIFF OR THE DEPARTMENT OF CORRECTIONS TO THE DEPARTMENT OF LABOR AND EMPLOYMENT PURSUANT TO SECTION 171103.3 (2), C.R.S., RESULTS IN THE DISQUALIFICATION OF AN INDIVIDUAL PURSUANT TO SUBSECTION (1) OF THIS SECTION, THE EMPLOYER OR THE INSURANCE CARRIER ON THE RISK, IF ANY, SHALL PAY TO THE DEPARTMENT OF CORRECTIONS OR THE SHERIFF, WHICHEVER REPORTED THE INFORMATION, A REWARD EQUAL TO ONE WEEK'S BENEFIT TO WHICH THE INDIVIDUAL WOULD OTHERWISE BE ENTITLED.
(b) AN INDIVIDUAL WHO IS DISQUALIFIED PURSUANT TO SUBSECTION (1) OF THIS SECTION SHALL BE ORDERED TO REPAY ANY AMOUNTS RECEIVED WHILE NOT QUALIFIED PLUS A PENALTY OF FIFTY PERCENT OF THE AMOUNTS WRONGFULLY RECEIVED TO THE INSURANCE CARRIER OR EMPLOYER.
SECTION 4. No appropriation. The general assembly has determined that this act can be implemented within existing appropriations, and therefore no separate appropriation of state moneys is necessary to carry out the purposes of this act.
SECTION 4. Effective date. This act shall take effect at 12:01 a.m. on the day following the expiration of the ninetyday period after final adjournment of the general assembly that is allowed for submitting a referendum petition pursuant to section 1 (3) of article V of the state constitution; except that, if a referendum petition is filed against this act or an item, section, or part of this act within such period, then the act, item, section, or part, if approved by the people, shall take effect on the date of the official declaration of the vote thereon by proclamation of the governor.