Colorado Legislative Council Staff
NO FISCAL IMPACT
January 12, 1999
Harry Zeid (866-4753)
TITLE: CONCERNING THE REQUIREMENTS IMPOSED ON THE NONPROFIT ACTIVITIES OF STATE-LEVEL ENTITIES.
Summary of Assessment
This bill prohibits a state agency or any employee or agent acting on behalf of the agency from establishing a nonprofit entity without specific statutory authority if the purpose of establishing the nonprofit entity is to carry out the governmental functions of the agency and the agency or employee or agent acting on behalf of the agency has actual control over the management and internal operations of the nonprofit entity. Each state agency is required to provide a list of all qualifying nonprofit entities in existence on July 1, 1999 to the State Auditor. In addition, nonprofit entities created by or on behalf of a state agency would be subject to annual audit by the State Auditor.
The bill would not affect the revenues or expenditures of the state or units of local government. Therefore, the bill is assessed as having no fiscal impact. The bill would become effective upon signature of the Governor.