This bill would establish a class 1 misdemeanor when two or more persons associate as an authorized military organization or demonstrate with arms in public. The bill defines “unauthorized military organization” and creates an exception for military training and instruction authorized by state or federal statute conducted at a school or college.

This act would be effective September 1, 1998, unless a referendum petition is filed during 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. If such a referendum petition is filed against this act or an item, section, or part of this act within such period, then the act, section, or part, if approved by the people, would be effective February 1, 1999.

STATE FISCAL IMPACT SUMMARY	FY 1998/99	FY 1999/2000
State Revenues General Fund	Fine Revenue (less than $10,000)	Fine Revenue (less than $10,000)
State Expenditures General Fund Other Fund
FTE Position Change	None	None
Local Government Impact — See Local Government Section below.

The bill would have a fiscal impact on state General Fund revenue. The bill creates a new class 1 misdemeanor that carries a penalty of six months to 18 months imprisonment in a county jail, and in lieu of, or in addition to, a fine between $500 and $5,000. Since this bill would establish a new offense, data are unknown on the number of possible convictions for this offense. Therefore, the amount of revenue that would be deposited in the General Fund cannot be estimated.

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.

The bill establishes a new class 1 misdemeanor which would have an impact on local government expenditures. A class 1 misdemeanor carries a possible penalty of imprisonment for a minimum of six months to a maximum of 18 months to be served in a county jail. The bill creates a new crime, therefore data are not available to determine the impact on the county jails. However, it is assumed that the impact would be minimal.

This fiscal note would imply that no additional spending authority or appropriations are required to implement the provisions of the bill for FY 1998-99.