Colorado Legislative Council Staff
STATE
REVISED FISCAL IMPACT
(Replaces fiscal impact dated February 3, 1999)
Drafting Number: Prime Sponsor(s): |
LLS 99-0534 Rep. Young
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Date: Bill Status: Fiscal Analyst: |
March 18, 1999 House Appropriation Scott Nachtrieb (303-866-4752) |
TITLE: CONCERNING PAYMENT OF RELOCATION COSTS OF UTILITY FACILITIES BY THE DEPARTMENT OF TRANSPORTATION TO UTILITY FACILITY USERS FOR FEDERAL-AID HIGHWAY PROJECTS WHEN FEDERAL REIMBURSEMENT IS AVAILABLE.
Fiscal Impact Summary |
FY 1999/2000 |
FY 2000/2001 |
State Revenues Cash Fund |
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State Expenditures Cash Fund |
$208,333 |
$250,000 |
FTE Position Change |
0.0 FTE |
0.0 FTE |
Other State Impact: None |
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Effective Date: 90 days after adjournment unless a petition is filed |
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Appropriation Summary for FY 1999-2000: None |
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Local Government Impact: None |
Summary of Legislation
The Colorado Department of Transportation (CDOT) would be required to reimburse a lessee of a utility pole for the cost of relocating the lessee's property in cases where a proportion of the cost can be obtained from the federal government.
State Expenditures
Under current law, CDOT generally reimburses a company that has an easement or other property right in a location, but not a secondary user or an entity that leases the use of a utility pole. However, in some cases where the utility property is in the highway right-of-way by permit, the state does not reimburse the utility. Since July 1, 1996, CDOT has about 30 reimbursement agreements with utility companies which totals approximately $2.5 million.
The bill, as amended by the House Transportation and Energy Committee, February 17, 1999, would require CDOT to pay the costs of relocating the secondary user of the utility pole when federal reimbursement is available. The cost of moving overhead wires is approximately 25 to 50 percent of the cost of moving the pole and all the wires. CDOT would pay more to companies for relocating utility poles under this bill which would increase CDOT’s expenditures from the State Highway Fund by at least $250,000 annually. The state share would be approximately 20 percent of the total relocation cost. The remaining cost would be federal funds. It is assumed that since the bill would become effective 90 days after adjournment, unless a petition is filed, there would be a 10 month impact to FY 1999-00 or $208,333 in State Highway Funds. However, the amount of any increase would depend upon the number of projects that have utility pole relocations, the amount of the state share of the project, and the difficulty in relocating the pole. These additional costs would be added to the total project cost and no additional appropriation would be required.
State Appropriations
This fiscal note implies that no additional appropriation is required to implement this bill in FY 1999-00.
Departments Contacted
Transportation