House Appropriations advances amended gun-sale permit bill after debate over costs, background checks and cash fund

The House Appropriations Committee voted 7-4 to send Senate Bill 3, as amended, to the Committee of the Whole after a lengthy debate over implementation costs, who would perform background checks and how the program would be funded.

The bill’s fiscal note changed substantially between March 3 and March 14, prompting Representative Taggart to ask, “what in heaven's name happened?” He said the earlier fiscal note estimated roughly $4,000,000 in costs and a TABOR impact, while the later note showed about $1,400,000 and no TABOR effect.

The difference, bill sponsor Representative Bassenacker said, stems primarily from amendments adopted in the Judiciary Committee that removed a CBI-administered fingerprint background-check requirement. That change, he said, eliminated both the fingerprint revenue stream and the TABOR exposure because Colorado Parks and Wildlife (CPW) — which the bill relies on to administer the program — is TABOR-exempt.

Sponsor Representative Froelich clarified the bill “is explicitly not about possession,” meaning enforcement would target the regulated transactions the bill addresses rather than general possession. Committee members asked whether the bill could be charged only at the point of sale or later if possession is discovered; Froelich said the statute and enforcement are tied to transactions, not mere possession.

Committee members pressed sponsors on assumptions in the fiscal note: one analyst’s estimate of 50,000 annual applications and a proposal for three full-time employees to process them. Representative Luck asked whether 50,000 was realistic and whether three FTE could handle a daily processing load that would exceed typical throughput. Representative Bassenacker and sponsors said they worked with CPW and sheriffs’ offices and that the 50,000 figure was a conservative, high-end projection intended to avoid undercounting demand; they said CPW had provided the FTE estimate and that revenue from fees would ultimately offset initial cash-fund advances.

Lawmakers also debated which cash funds and federal sources could be used. Sponsors said the current version removes any Pittman-Robertson federal funding and relies only on the parks cash fund (hunting and fishing license dollars, RV registrations, and similar receipts).

Committee members considered and voted on several amendments tied to implementation and funding. L56, a Department of Revenue funding item to allow the department to generate a list tied to the program, was adopted 7-4. Amendment J2 was adopted 7-4. An amendment to fix the CPW fee at $33.33 for two years and to expand the cash fund scope for outreach (L58) failed 4-7. A proposed general-fund appropriation to add five Revenue Department FTE (L060) failed 4-7. A separate amendment proposing a litigation contingency fund (L059) also failed 4-7.

After the amendment phase, Representative Bassenacker moved Senate Bill 3, as amended, to the Committee of the Whole with a favorable recommendation; the committee approved that motion 7-4 and the bill will proceed with the committee-recommended amendments.

The record shows the committee debated implementation details (who issues permits, how sheriffs participate, whether fingerprint checks are required), program staffing and the size and source of fees. Sponsors repeatedly offered to connect colleagues with CPW and Department of Revenue staff for technical follow-up on IT/security and workload assumptions.

Votes at a glance: L56 adopted 7-4; J002 adopted 7-4; L58 failed 4-7; L060 failed 4-7; L059 failed 4-7; final motion to send Senate Bill 3 as amended to Committee of the Whole approved 7-4.

Committee members who spoke during the bill’s consideration included sponsors Representative Bassenacker and Representative Froelich and several representatives who questioned fiscal and implementation details, notably Representatives Taggart and Luck. Sponsors and committee members said additional technical and workload questions remain for CPW and the Department of Revenue, which both provided input reflected in the fiscal notes. The committee did not adopt an amendment that fixed the fee at $33.33.

Next steps: Senate Bill 3 will proceed to the Committee of the Whole with the adopted amendments. Committee and sponsor comments indicate follow-up with CPW and the Department of Revenue is expected to verify estimates for applications, IT integration and staffing.