H_JUD_2022A 04/06/2022 01:38:04 PM Committee Summary PUBLICSTAFF SUMMARY OF MEETINGHOUSE COMMITTEE ON JUDICIARY Date 04/06/2022 Attendance Amabile X Bacon X Benavidez X Bockenfeld X Carver X Daugherty X Luck X Lynch X Roberts X Tipper X Weissman X Time 01:38:04 PM to 05:43:03 PM Place HCR 0107 This Meeting was called to order by Weissman This Report was prepared by Bo Pogue Hearing Items Action Taken hHB22-1317 Amended, referred to the Committee of the Whole hHB22-1216 Postponed Indefinitely hSB22-018 Referred to House Appropriations hSB22-010 Amended, referred to the Committee of the Whole hHB22-1318 Referred to House Appropriations HB22-1317 - Amended, referred to the Committee of the Whole Attachment Tag File Name Attachment http://www2.leg.state.co.us/CLICS/CLICS2022A/commsumm.nsf/0/0CA49455C5EE...$File/Attachment A Merged.pdf?OpenElement Attachment A Merged.pdf Attachment http://www2.leg.state.co.us/CLICS/CLICS2022A/commsumm.nsf/0/646AF838C567...$File/Attachment B.pdf?OpenElement Attachment B.pdf Attachment http://www2.leg.state.co.us/CLICS/CLICS2022A/commsumm.nsf/0/E751EC29E741...$File/Attachment C.pdf?OpenElement Attachment C.pdf Attachment http://www2.leg.state.co.us/CLICS/CLICS2022A/commsumm.nsf/0/2A6D5813C7B8...$File/Attachment D.pdf?OpenElement Attachment D.pdf Attachment http://www2.leg.state.co.us/CLICS/CLICS2022A/commsumm.nsf/0/2862D7517220...$File/Attachment E.pdf?OpenElement Attachment E.pdf 01:38:15 PM The committee was called to order. A quorum was present. Representative Tipper, prime sponsor, presented House Bill 22-1317. Representative Tipper explained the effect of the bill and discussed its need. She also discussed case law impacting non-compete covenants for employment. Representative Tipper responded to questions regarding the scope of the bill in terms of types of employment covered, including law enforcement, and the definition of certain terms in the bill. Discussion ensued regarding some forthcoming amendments. 02:10:26 PM Rachel Arnow-Richmond, representing herself, testified in support of HB 22-1317. Written testimony may be found in Attachment A. 02:19:06 PM Loren Furman, representing the Colorado Chamber of Commerce, testified in opposition to HB 22-1317. Michael Greco, representing the South Metro Denver Chamber of Commerce and Fisher & Phillips LLC, testified on the bill from an "amend" position. Tony Gagliardi,representing the National Federation of Independent Business, testified in opposition to the bill. Josh Ewing, representing the Colorado Hospital Association, testified on the bill from a neutral position. 02:35:00 PM Evan Starr, representing himself, testified in support of HB 22-1317. Professor Starr responded to questions regarding the $100,000 salary threshold for noncompete agreements, and nonsolicitation agreements for lower-salary workers. Professor Starr responded to further questions regarding the time frame within which employees sign noncompete agreements. 02:46:13 PM David Seligman, representing Towards Justice, testified in support of HB 22-1317. Sundeep Vaheesan, representing the Open Markets Institute, testified in support of the bill. Terri Gerstein, representing herself, testified in support of the bill. Mr. Seligman responded to questions regarding the ability of employers to recoup investments in employees, such as education, under the bill, and pro-rating these investment costs. Discussion ensued regarding how the bill would protect trade secrets and other proprietary information, particularly with respect to those who are not highly compensated. Discussion followed regarding use of customer lists upon employment separation under the bill. 03:20:10 PM Nina DiSalvo, representing Towards Justice, testified in support of HB 22-1317. Brian Moore, representing Jester Gibson & Moore LLP, testified in support of HB 22-1317. Edith Mata, representing 9to5 Colorado, testified in support of the bill. Meredith Munro, representing herself, testified in support of the bill. Discussion ensued regarding the potential economic impact of the bill, and the remedies available in the bill for violations. Mr. Moore responded to questions regarding the types of noncompete covenants that would be voided by the bill, and porting customer lists after employment separation under the bill. Discussion followed regarding disclosures associated with signing noncompete and nondisclosure covenants. 03:52:53 PM Representative Tipper explained the effect of amendment L.001 (Attachment B). 03:56:40 PM Motion Adopt amendment L.001 Moved Tipper Seconded Weissman Amabile Bacon Benavidez Bockenfeld Carver Daugherty Luck Lynch Roberts Tipper Weissman YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection 03:56:59 PM The committee discsussed L.002 (Attachment C). 03:57:12 PM Motion Adopt amendment L.002 Moved Tipper Seconded Weissman Amabile Bacon Benavidez Bockenfeld Carver Daugherty Luck Lynch Roberts Tipper Weissman YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection 03:57:15 PM Representative Tipper explained the effect of amendment L.003 (Attachment D). 03:58:41 PM Motion Adopt amendment L.003 Moved Tipper Seconded Weissman Amabile Bacon Benavidez Bockenfeld Carver Daugherty Luck Lynch Roberts Tipper Weissman YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection 03:58:43 PM Representative Tipper explained the effect of amendment L.004 (Attachment E). 04:01:53 PM Motion Adopt amendment L.004 Moved Tipper Seconded Weissman Amabile Bacon Benavidez Bockenfeld Carver Daugherty Luck Lynch Roberts Tipper Weissman YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection 04:01:56 PM Representative Tipper provided closing remarks in support of HB 22-1317. Various committee members provided their positions on the bill. 04:11:08 PM Motion Refer House Bill 22-1317, as amended, to the Committee of the Whole. Moved Tipper Seconded Weissman Amabile Yes Bacon Yes Benavidez Yes Bockenfeld No Carver No Daugherty Yes Luck No Lynch No Roberts Yes Tipper Yes Weissman Yes Final YES: 7 NO: 4 EXC: 0 ABS: 0 FINAL ACTION: PASS HB22-1216 - Postponed Indefinitely 04:12:09 PM Motion Postpone House Bill 22-1216 indefinitely. Moved Tipper Seconded Carver Amabile Yes Bacon Yes Benavidez Yes Bockenfeld Yes Carver Yes Daugherty Yes Luck Yes Lynch Yes Roberts Yes Tipper Yes Weissman Yes Final YES: 11 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS SB22-018 - Referred to House Appropriations 04:12:27 PM Representatives Benavidez and Soper, prime sponsors, presented Senate Bill 22-018. Representative Soper explained the effect of the bill and discussed its need. Representative Benavidez provided additional input on the legislation's merits. 04:19:38 PM Michael Honn, representing the Colorado State Patrol, testified in support of SB 22-018. Timothy Lane, representing the Colorado District Attorneys' Council, testified in support of the bill. Michael Neil, representing the Colorado Cross Disability Coalition, testified in support of the bill. Kym Ray, representing Together Colorado, testified in support of the bill. 04:27:04 PM Dennis Goodwin, representing Jefferson County, testified in support of SB 22-018. Rebecca Wallace, representing the Colorado Freedom Fund, testified in support of the bill. Discussion ensued regarding data associated with being able to contact the homeless population for court date reminder purposes. 04:36:43 PM No amendments were offered to SB 22-018. Representatives Benavidez and Soper provided closing remarks in support of the bill. 04:41:27 PM Motion Refer Senate Bill 22-018 to the Committee on Appropriations. Moved Benavidez Seconded Tipper Amabile Yes Bacon Yes Benavidez Yes Bockenfeld Yes Carver Yes Daugherty Yes Luck No Lynch Yes Roberts Yes Tipper Yes Weissman Yes Final YES: 10 NO: 1 EXC: 0 ABS: 0 FINAL ACTION: PASS SB22-010 - Amended, referred to the Committee of the Whole Attachment Tag File Name Attachment http://www2.leg.state.co.us/CLICS/CLICS2022A/commsumm.nsf/0/5393D732EA84...$File/Attachment F.pdf?OpenElement Attachment F.pdf Attachment http://www2.leg.state.co.us/CLICS/CLICS2022A/commsumm.nsf/0/D8EB94BB2C43...$File/Attachment G Merged.pdf?OpenElement Attachment G Merged.pdf 04:41:43 PM Representatives Amabile and Benavidez, prime sponsors, presented Senate Bill 22-010. Representative Amabile explained the effect of the bill and discussed its need. Representative Benavidez provided further details on the effect of the bill. Representative Amabile explained the effect of amendment L.005 (Attachment F). 04:50:17 PM James Karbach, representing the Office of the State Public Defender, testified on SB 22-010 from an "amend" position. Vincent Atchity, representing Mental Health Colorado, testified in support of the bill. Timothy Lane, representing the Colorado District Attorneys' Council, testified on the bill from an "amend" position. Gordon McLaughlin, representing himself, testified in support of the bill. Discussion ensued regarding how diversion programming is funded, and amendment L.005. Written testimony may be found in Attachment G. 05:24:15 PM Meghan Baker, representing Disability Law Colorado, testified in support of SB 22-010. Christian Gardner-Wood, representing the Boulder County District Attorney's Office, testified in support of the bill. Michael Neil, representing Colorado Cross-Disability Coalition, testified in support of the bill. 05:33:42 PM Motion Adopt amendment L.005 Moved Amabile Seconded Tipper Amabile Bacon Benavidez Bockenfeld Carver Daugherty Luck Lynch Roberts Tipper Weissman YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection 05:33:44 PM Representatives Amabile and Benavidez provided closing remarks in support of SB 22-010. Representatives Roberts and Weissman provided their positions on the bill. 05:37:28 PM Motion Refer Senate Bill 22-010, as amended, to the Committee of the Whole. Moved Benavidez Seconded Amabile Amabile Yes Bacon Yes Benavidez Yes Bockenfeld Yes Carver Yes Daugherty Yes Luck Yes Lynch Yes Roberts Yes Tipper Yes Weissman Yes Final YES: 11 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS HB22-1318 - Referred to House Appropriations 05:37:38 PM Representative Benavidez, prime sponsor, presented House Bill 22-1318. Representative Benavidez explained the effect of the bill and discussed its need. 05:40:30 PM David Shipley, representing the Colorado Information Sharing Consortium, testified in support of HB 22-1318. Joe Miklosi, representing the Colorado Information Sharing Consortium, testified in support of the bill. 05:41:28 PM The sponsor gave some closing remarks. 05:42:40 PM Motion Refer House Bill 22-1318 to the Committee on Appropriations. Moved Benavidez Seconded Bockenfeld Amabile Yes Bacon Yes Benavidez Yes Bockenfeld Yes Carver Yes Daugherty Yes Luck No Lynch Yes Roberts Yes Tipper Yes Weissman Yes Final YES: 10 NO: 1 EXC: 0 ABS: 0 FINAL ACTION: PASS 05:43:03 PM The committee adjourned.