Colorado Legislative Council Staff

STATE

REVISED FISCAL NOTE

TABOR Refund Impact

(Replaces Fiscal Note dated March 9, 1998)

Cash Fund Revenue and Expenditure Impact


Drafting Number:

Prime Sponsor(s):

LLS 98-109

Rep. Lawrence

Sen. Arnold

Date:

Bill Status:

Fiscal Analyst:

March 19, 1998

Senate Appropriations

Will Meyer (866-4976)

 

TITLE:            CONCERNING BAIL RECOVERY, AND, IN CONNECTION THEREWITH, PROHIBITING A BAIL BONDING AGENT FROM HIRING, CONTRACTING WITH, OR PAYING COMPENSATION TO AN INDIVIDUAL FOR BAIL RECOVERY SERVICES UNLESS CERTAIN REQUIREMENTS ARE MET.


Summary of Legislation


            The provisions of the reengrossed bill would eliminate the requirement that bail recovery persons be licensed as bail bonding agents by the Division of Insurance. The bill would require that prior to hiring or paying any compensation to any individual other than another licensed bail bonding agent for bail recovery services, the bail bonding agent would be required to: (1) submit fingerprints of any such individual, at their own expense, to the Colorado Bureau of Investigation (CBI) to enable them to conduct a criminal background check to determine whether such person has been convicted of any felony in the previous ten years; (2) obtain a certificate of training in bail fugitive apprehension from a nationally recognized recovery program or an accredited institution of higher education; and (3) obtain a statement from such individual attesting that they are providing true and complete information to the bail bonding agent. The bill would prohibit a licensed bonding agent from hiring any individual who has been convicted of a felony during the previous ten years. The bill would become effective July 1, 1998.


            Upon further review, it has been determined that the provision of the bill that requires training for recovery persons to comply with the standards established by the Peace Officers Standards and Training Board, Department of Law, would have an impact to the Department of Law to develop and implement those standards.


STATE FISCAL IMPACT SUMMARY

FY 1998/99

FY 1999/2000

State Revenues

General Fund

Cash Fund - Colorado Bureau of Investigation


 

$2,470


 

To Be Determined

State Expenditures

General Fund

POST Board Cash Fund - Cash Fund Exempt



$1,000



$1,000

FTE Position Change

None

None

Local Government Impact — None.

State Revenues


            The reengrossed bill would result in a cash fund revenue impact to the CBI of $14 for each background check. It is estimated that 65 persons would submit fingerprints for a background check in FY 1998/99. It is assumed that each person would pay a fee of $14 for the CBI background check. Although the bill is not clear, it is assumed that each person would also pay the CBI $24 for a FBI background check, for a total fee of $38 per person. This would result in an increase in revenues of $2,470 in the first year. The number of additional individuals who would apply in future years is not known.



TABOR Refund Impact


            Section 20 of Article X of the Colorado Constitution, limits the maximum annual percentage increase in state fiscal year spending. Once total state revenue from all sources that are not specifically excluded from fiscal year spending exceeds these limits for the fiscal year, the state constitution requires that the excess shall be refunded in the next fiscal year unless voters approve a revenue change as an offset. Based on the current Legislative Council economic forecast, it is projected that the state will be in a TABOR refund position during each of the next five fiscal years. Any increase or decrease in state revenue from changes in fees, fines, licenses, or other revenue sources will affect the amount of the state revenue to be refunded.



State Expenditures


            Given the small number of additional expected applicants for a background check, any additional workload would be absorbed within the CBI’s current spending authority.


            The POST Board has indicated that given the experiences of other states that they could draw upon to develop standards, the additional workload to them would be to implement those standards. It is estimated that this would require an expenditure of $1,000 Cash Fund Exempt in FY 1998/99 and FY 1999/2000. This expenditure would funded from the existing balance in the POST Board Cash Fund.



Fee Impact on Individuals, Families or Business


            Pursuant to Section 2-2-322, C.R.S., which requires legislative service agency review of legislative measures which include the creation or increase of any fee collected by a state agency, the following analysis is provided.






FEE IMPACT ON INDIVIDUALS OR BUSINESS

Type of Fee

(identify each fee separately)

Current Fee

Proposed Fee

Fee Change

# of Affected Individuals or Business

Total Fee Impact

CBI Background Check Fee

$38

$38

$0

65

$2,470

TOTAL

$2,470




Spending Authority


            This fiscal note implies that the Department of Law would require additional cash fund exempt appropriation of $1,000 and no FTE for FY 1998-99.



Departments Contacted


            Regulatory Agencies              Public Safety              Law