Colorado Legislative Council Staff



(Replaces fiscal impact dated April 1, 1999)

Drafting Number:

Prime Sponsor(s):

LLS 99-0646

Rep. Swenson



Bill Status:

Fiscal Analyst:

April 7, 1999

House Appropriations

Scott Nachtrieb (303-866-4752)



Fiscal Impact Summary

FY 1999/2000

FY 2000/2001

State Revenues

General Fund



State Expenditures

General Fund



FTE Position Change

2.5 FTE

0.0 FTE

Other State Impact: TABOR

Effective Date: Upon the Governor’s signature

Appropriation Summary for FY 1999-2000: Department of Revenue - $102,771 and 2.5 FTE GF

Local Government Impact: See Local Government Impact section

Summary of Legislation

            This fiscal note has been revised based on the receipt of additional information from the Department of Revenue (DOR). The amendment changed the provision that allowed the DOR to revoke a driver’s license to just canceling the license. The DOR is allowed to assess a $40 reinstatement fee and charge $15 to a person whose driver’s license has been suspended/revoked. However, the DOR is not authorized to impose a fee when a person’s driver’s license is canceled. The bill as amended by the House Transportation and Energy Committee, February 10, 1999, would, beginning January 1, 2000, allow the DOR to cancel any person's drivers license who has an outstanding traffic warrant issued by any state or local government. Between July 1, 1999 and January 1, 2000, county and municipal courts would have to determine the status of the warrants.

State Revenues

            The Highway Users Tax Fund receives money from the issuance of driver's licenses and traffic fines written under state law. The current outstanding backlog of traffic warrants is approximately 525,000. The number of traffic warrants which the Judicial Branch may clear is not known. It is assumed that 428,982 traffic warrants would be reported to DOR as active. DOR would data enter these into the driver’s license database and notify these persons of potential cancellations. The number of persons that would not clear a traffic warrant, are not part of the existing suspension/revocation process, and have their driver’s license canceled is not known. However, it is assumed that at a minimum, approximately 80 percent of the existing warrants may be cleared or otherwise resolved and that a potential of 85,778 licenses may be canceled. When a person’s drivers licence is canceled, the person does not pay any additional fees. Therefore, no additional fees would be collected.

State Expenditures

            The number of persons who would not answer an outstanding traffic warrant and have their driver's license canceled is not known. It is assumed that most drivers would settle the traffic warrant rather than have their licenses canceled. However, of the approximately 428,982 traffic warrants that the Judicial Branch would report as active to DOR on January 1, 2000, there is a potential of 85,778 drivers that may have their license canceled.

            The department would require additional expenditures to update the active warrants in the driver’s license system. The DOR would require a one-time expenditure of $102,771 General Fund and 2.5 FTE to clear the initial backlog of warrants in FY 1999-00. Of that amount $58,656 would be personal services, $27,413 would be for operating expenses, and $16,702 would be for capital outlay.

            In FY 2000-01, the DOR would require on-going costs of $42,171 General Fund in additional postage to notify persons of the potential driver’s license canceled.

State Appropriations


            The fiscal note implies that the Department of Revenue would require an additional General Fund appropriation of 2.5 FTE and $102,771 in FY 1999-00 to implement this bill.

Departments Contacted


            Revenue          Judicial