Colorado Legislative Council Staff

STATE

FISCAL NOTE

No State General Fund Impact

State Highway Cash Fund Expenditure Impact

Drafting Number:

Prime Sponsor(s):

LLS 98-610

Sen. Powers

Rep. Entz

Date:

Bill Status:

Fiscal Analyst:

January 31 , 1998

Senate Transportation

Scott Nachtrieb (866-4752)

TITLE: CONCERNING PUBLIC PROJECTS SUPERVISED BY THE DEPARTMENT OF TRANSPORTATION THAT ARE EXEMPT FROM THE REQUIREMENTS OF THE “CONSTRUCTION BIDDING FOR PUBLIC PROJECTS ACT”.

Summary of Legislation

STATE FISCAL IMPACT SUMMARY	FY 1998/99	FY 1999/00
State Revenues General Fund Cash Fund
State Expenditures General Fund State Highway Fund	($201,000)	($201,000)
FTE Position Change	None	None
Local Government Impact — None

The bill would create an increased threshold of $150,000 for Department of Transportation (DOT) public projects that require a bid process and a cost estimate rather than the current $50,000 limit. The bill will become effective at 12:01 a.m. on the day following the ninety-day period after adjournment sine die of the General Assembly, or on the date of the official declaration of the vote of the people as proclaimed by the Governor, if a referendum petition is filed pursuant to Article V, Section 1 (3) of the State Constitution.

State Expenditures

The bill would reduce the DOT’s costs of completing projects between $50,000 and $150,000. The DOT advertises approximately 12 projects in this range annually. Of those, six are done by the DOT. The department spends approximately $126,000 in preliminary engineering for these projects and $75,000 in construction engineering. The estimated $201,000 in costs would be reduced. In addition, the department would experience some minimal savings by combining several maintenance projects into one. This savings would be used for other projects within the department.

Spending Authority

This fiscal note implies that no additional spending authority would be required for implementation of this bill in FY 1998-99.

Departments Contacted

Transportation