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-HOUSE BILL 26-1282
-BY REPRESENTATIVE(S) Phillips and Goldstein, Bacon, Boesenecker,
-Duran, Hamrick, Joseph, Lindsay, Nguyen, Paschal, Ricks, Story, Valdez,
-McCluskie;
-also SENATOR(S) Mullica, Amabile, Benavidez, Bridges, Daugherty,
-Exum, Hinrichsen, Jodeh, Kipp, Kolker, Marchman, Roberts, Rodriguez,
-Wallace, Coleman.
-CONCERNING THE ELIMINATION OF DUPLICATIVE REGULATION OF SCHOOL
-DISTRICT CHILD CARE CENTERS.
-Be it enacted by the General Assembly of the State of Colorado:
-SECTION 1. Legislative declaration. ( 1) The general assembly
-finds that:
-(a) Colorado school districts provide comprehensive educational and
-enrichment opportunities to students through before- and after-school-age
-programs;
-(b) Colorado Revised Statutes and rules adopted by the Colorado
-state board of education require the Colorado department of education and
-other state agencies to extensively regulate and oversee school district
-Capital letters or bold & italic numbers indicate new material added to existing law; dashes
-through words or numbers indicate deletions from existing law and such material is not part of
-the act.
-operations, including fire and radon inspections, playground equipment, and
-staff training;
-(c) Regulation of a school district's before- and after-school-age
-programs by the Colorado department of education, the Colorado
-department of early childhood, and other state agencies has resulted in
-duplicative and contradictory requirements, including, but not limited to:
-(I) Conflicting restrictions on playground equipment; and
-(II) Duplicative fire and radon inspections; and
-( d) The duplicative and conflicting regulations for a school district's
-before- and after-school-age programs significantly increase administrative
-costs, delay staff onboarding, restrict student access and program capacity,
-and create confusion for students and families without improving student
-health or safety or program quality.
-(2) Therefore, the general assembly declares it is necessary and
-appropriate that before- and after-school-age programs operated by a school
-district not be subject to conflicting or duplicative regulations from the
-Colorado department of education and the Colorado department of early
-childhood.
-SECTION 2. In Colorado Revised Statutes, 26.5-5-309, amend
-(3)(b) as follows:
-26.5-5-309. Licenses - rules - definition - appropriation - repeal.
-(3) (b) (I) A child care center that provides child care exclusively to
-school-age children and operates on the property of a school district, district
-charter school, or institute charter school may satisfy any fire or radon
-inspection requirement required by law by providing a copy of a satisfactory
-fire or radon inspection report of the property of a school district, district
-charter school, or institute charter school where the child care is provided
-if the fire or radon inspection report was completed within the preceding
-twelve months. The department shall not require a duplicate fire or radon
-inspection if a satisfactory fire or radon inspection report of the property
-was completed within the preceding twelve months.
-PAGE 2-HOUSE BILL 26-1282
-(II) A CHILD CARE CENTER THAT PROVIDES CHILD CARE EXCLUSIVELY
-TO SCHOOL-AGE CHILDREN AND OPERA TES ON THE PROPERTY OF A SCHOOL
-DISTRICT, DISTRICT CHARTER SCHOOL, OR INSTITUTE CHARTER SCHOOL MAY
-SATISFY ANY STAFF TRAINING OR MINIMUM SQUARE FOOT AGE OF FLOOR
-SPACE PER CHILD REQUIREMENTS REQUIRED BYLAW BY PROVIDING TO THE
-DEPARTMENT DOCUMENTED EVIDENCE OF COMPLIANCE WITH
-SUBSTANTIALLY SIMILAR REQUIREMENTS IMPOSED BY THE COLORADO
-DEPARTMENT OF EDUCATION, EXCEPT THAT, IF THE REQUIREMENTS OR
-MONITORING OF THOSE REQUIREMENTS IMPOSED BY THE COLORADO
-DEPARTMENT OF EDUCATION DO NOT MEET ANY APPLICABLE REQUIREMENTS
-OF ANY FEDERAL GRANTS-IN-AID ADMINISTERED BY THE DEPARTMENT, THE
-DEPARTMENT SHALL REQUIRE THE CHILD CARE CENTER TO MEET ANY
-APPLICABLE MINIMUM REQUIREMENTS OF THE FEDERAL GRANTS-IN-AID.
-SECTION 3. In Colorado Revised Statutes, 26.5-5-314, amend
-(2)(e)(III) as follows:
-26.5-5-314. Standards for facilities and agencies - rules -
-definition.
-(2) The standards prescribed by department rules are restricted to:
-( e) (III) The department shall require an annual inspection of
-playground facilities on the property where a child care center operates. For
-purposes of a playground facility inspection, the department shall accept as
-satisfactory proof of valid certification of the playground facility,
-certification, or a copy of certification, from an individual OR ENTITY who
-is licensed or certified to perform playground safety inspections through the
-national recreation and park association, or other nationally recognized
-playground facility safety organization, INCLUDING, BUT NOT LIMITED TO, A
-PUBLIC HEAL TH AGENCY. The department shall not require a duplicate
-inspection if a satisfactory inspection report was completed within the
-preceding twelve months.
-SECTION 4. In Colorado Revised Statutes, 26.5-5-313, add (7) as
-follows:
-26.5-5-313. Applications - materials waivers - appeals - rules.
-(7) THE DEPARTMENT SHALL REVIEW THE WAIVER PROCESS
-PAGE 3-HOUSE BILL 26-1282
-REQUIRED BY THIS SECTION AND THE PROCESS FOR APPEALS FILED PURSUANT
-TO SECTION 26.5-5-314 (5) AT LEAST ANNUALLY.
-SECTION 5. Effective date. This act takes effect July 1, 2026.
-SECTION 6. Safety clause. The general assembly finds,
-determines, and declares that this act is necessary for the immediate
-PAGE 4-HOUSE BILL 26-1282
-preservation of the public peace, health, or safety or for appropriations for
-the support and maintenance of the departments of the state and state
-institutions.
-Ju~
-SPEAKER OF THE HOUSE
-OF REPRESENTATIVES
-v~~
-Vanessa Reilly
-CHIEF CLERK OF THE HOUSE
-OF REPRESENTATIVES
-Jared S. P
-GOVERN
-PAGE 5-HOUSE BILL 26-1282
-ames Rashad Coleman, Sr.
-PRESIDENT OF
-THE SENATE
-Esther van Mourik
-SECRETARY OF
-THE SENATE
-Ui ~\..M.. \ St 2-01/41 ~ 1z.:~~
-ate and Time)
-OF COLORADO
+HB 26-1282
+Fiscal Note
+Legislative Council Staff
+Nonpartisan Services for Colorado’s Legislature
+HB 26-1282: ELIMINATE DUPLICATIVE REG OF SCH CHILD CARE CTRS
+Prime Sponsors:
+Rep. Phillips; Goldstein
+Sen. Mullica
+Published for:  House  Appropriations
+Drafting number:  LLS  2 6-0724
+Fiscal Analyst:
+Anna Gerstle, 303-866-4375
+anna.gerstle@coleg.gov
+V ersion:  First Revised Note
+Date:  March 31, 2026
+Fiscal note status:  This revised fiscal note reflects the introduced bill, as amended by the House
+Education Committee.
+Summary Information
+Overview.  The  bill specifies  that certain rules adopted by the  Colorado  Department of Early  Childhood do
+not apply  to school district preschools  and before- and  after-school programs.
+Types of impacts. The bill is projected to affect the following areas on an ongoing basis:
+• Minimal State Revenue
+• State Expenditures
+•  School Districts
+Appropriations. For FY 2025-26, the bill requires an appropriation of $68,078 to the Department of Early
+Childhood.
+Table 1
+State Fiscal Impacts
+Type of Impact Budget Year
+FY 2026-27
+Out Year
+FY 2027-28
+State Revenue $86,702 $88,557
+State Expenditures $86,702 $88,557
+Transferred Funds  $0  $0
+Change in TABOR Refunds $86,702 $88,557
+Change  in State  FTE  0.9  FTE  1.0  FTE
+Fund sources for these impacts are shown in the tables below.
+
+Page 2
+March 31, 2026 HB 26
+
+-1282
+Table 1A
+State Revenue
+Fund Source Budget Year
+FY 2026-27
+Out  Year
+FY 2027-28
+General Fund $0 $0
+Cash Funds $86,702 $88,558
+Total Revenue $86,702 $88,557
+Table 1B
+State Expenditures
+Fund Source Budget Year
+FY 2026-27
+Out  Year
+FY 2027-28
+General Fund $0 $0
+Cash Funds $68,078 $67,864
+Federal Funds $0 $0
+Centrally Appropriated $18,624 $20,693
+Total Expenditures $86,702 $88,557
+Total FTE 0.9 FTE 1.0 FTE
+Summary of Legislation
+School Preschool and Before/After-school Programs
+Under the bill, a child care center that provides care exclusively to school-age children and is
+located on the property of a school district or charter school may satisfy any staff training or
+square footage requirements by providing the Colorado Department of Early Childhood (CDEC)
+with evidence of compliance with similar Colorado Department of Education (CDE) rules. If CDE
+rules do not meet federal child care requirements, CDEC must require the center to meet
+minimum federal requirements.
+Waiver and Appeal Requests
+Under current law, child care centers may appeal to CDEC if they believe that a licensing rule has
+been too strictly or unfairly applied. The bill prohibits CDEC from charging a fee for these
+stringency appeals.
+Under current law, child care centers may request a waiver to use certain materials in its
+program and curriculum, and CDEC must make a decision on a waiver request within 60 days of
+receipt. The bill requires that CDEC respond to a request within 30 days and close the request
+within 90 days of receiving the request. The bill also requires that CDEC annually review the
+waiver process and the appeal process.
+
+Page 3
+March 31, 2026 HB 26-1282
+Playground Equipment
+Current law requires playground facilities to be inspected annually. The bill allows local public
+health agencies to conduct the inspections.
+Background and Assumptions
+The fiscal note assumes that school districts that receive federal funds to participate in the
+Colorado Child Care Assistance Program (CCCAP) and Head Start program will continue to be
+eligible for federal funds under the bill. The bill allows CDEC to require compliance in a way that
+ensures minimum federal requirements are met.
+The fiscal note assumes that CDE is not required to change any rules or complete any analysis of
+whether department rules are substantially similar to CDEC rules.
+State Revenue
+The bill increases state revenue by at least $87,000 in FY 2026-27 and $89,000 in FY 2027-28 to
+the Child Care Licensing Cash Fund, as discussed below.
+Fee Impact on Child Care Licensees
+Legislative Council Staff is required to estimate the fee impact of bills that create or increase any
+fee collected by a state agency. CDEC is expected to modify child care licensing fees in order to
+cover the approximately $88,000 per year in implementation costs discussed below; actual fees
+will be set administratively by CDEC based on cash fund balance, program costs, and the
+number of licenses and waiver request subject to the fee.
+Fees for Stringency Appeals
+By waiving fees for stringency appeals, the bill minimally decreases revenue to CDEC beginning
+in FY 2026-27.  Under current law, an initial stringency appeal request does not incur a fee, a
+second appeal request is subject to a $10 fee, and third or subsequent appeal requests are
+subject to a fee of $25. CDEC currently receives 130 stringency appeals per year, of which 20
+were second appeals subject to the fee. Thus, the bill is expected to reduce revenue by at least
+$200 per year for second appeals, and by no more than $1,000 total.
+State Expenditures
+The bill increases state expenditures in CDEC by $87,000 in FY 2026-27 and $89,000 beginning in
+FY 2027-28. These costs, paid from the Child Care Licensing Cash Fund, are summarized in
+Table 2 and discussed below.
+
+Page 4
+March 31, 2026 HB 26
+
+-1282
+
+Table 2
+State Expenditures
+Department of Early Childhood
+Cost Component Budget Year
+FY 2026-27
+Out Year
+FY 2027-28
+Personal Services $59,926 $66,584
+Operating Expenses $1,152 $1,280
+Capital Outlay Costs $7,000 $0
+Centrally Appropriated Costs $18,624 $20,693
+Total Costs $86,702 $88,557
+Total FTE 0.9 FTE 1.0 FTE
+Department of Early Childhood
+CDEC requires 1.0 FTE Compliance Specialist beginning in FY 2026-27 to handle the expedited
+process for waiver appeals and requests, including outreach, data entry, panel review, and
+decision making. Currently, CDEC receives about 60 waiver requests and appeals per month,
+which are processed by 1.0 FTE. Requiring that waivers and appeals be resolved in half the time
+is expected to double the staff required. First year costs are prorated for an August 2026 start
+date. Standard operating and capital outlay costs are included.
+Centrally Appropriated Costs
+Pursuant to a Joint Budget Committee policy, certain costs associated with this bill are
+addressed through the annual budget process and centrally appropriated in the Long Bill or
+supplemental appropriations bills, rather than in this bill. These costs, which may include
+employee insurance, supplemental employee retirement payments, indirect cost assessments,
+and other costs, are shown in Table 2 above.
+TABOR Refunds
+The bill is expected to increase the amount of state revenue required to be refunded to
+taxpayers by the amounts shown in Table 1. This estimate assumes the March 2026 LCS revenue
+forecast. A forecast of state revenue subject to TABOR is not available beyond FY 2027-28.
+Because TABOR refunds are paid from the General Fund, increased cash fund revenue will
+reduce the amount of General Fund available to spend or save in FY 2026-27, FY 2027-28, and
+any future years when the state is over its revenue limit.
+
+Page 5
+March 31, 2026 HB 26-1282
+Local Government and School Districts
+The bill reduces workload for school districts with preschool and before- and after-school
+programs related to duplicative staff training or square footage regulations. The bill also
+minimally increases workload for any local public health agencies that choose to do playground
+inspections.
+Effective Date
+The bill takes effect July 1, 2026.
+Departmental Difference
+CDEC requests that the required $68,078 appropriation be paid from the General Fund, based
+on the assumption that it would be inappropriate to raise fees on licensees who do not use the
+waiver process.
+The fiscal note assumes that the Child Care Licensing Cash Fund is the appropriate fund source,
+as the cash fund is used to cover the CDEC licensing-related administrative costs and the
+additional staff required to implement the bill will handle waivers and appeals related to
+licensing compliance. The fiscal note further assumes that CDEC will determine how best to set
+fees across the licensed population, based on cash fund balance, program costs, and the
+number of licenses.
+State Appropriations
+For FY 2026-27, the bill requires an appropriation of $68,078 from the Child Care Licensing Cash
+Fund to the Department of Early Childhood, with 0.9 FTE.
+State and Local Government Contacts
+Early Childhood
+Education
+Human Services
+Law
+Public Health and Environment
+Public Safety
+The revenue and expenditure impacts in this fiscal note represent changes from current law under the bill for each
+fiscal year. For additional information about fiscal notes, please visit the General Assembly website.