§ 24-31-1209 — Use of recoveries - false claims recovery cash fund - creation

Colorado § 24-31-1209

• Jurisdiction: Colorado
• Title 24: Government
• Art.: Department of Law

Text

(1) The state treasurer shall transfer all proceeds retained by the state from a false
claims action brought pursuant to this part 12 to the false claims recovery cash
fund, which is hereby created.

(2) Any money in the fund not expended for the purpose of this section may
be invested by the state treasurer as provided by law. All interest and income
derived from investment and deposit of money in the fund shall be credited to the
fund.

(3) (a) Subject to annual appropriation by the general assembly, the
department may expend money from the fund for necessary actual costs of
carrying out its duties pursuant to this part 12.

(b) (I) When proceeds retained by the state from a false claims action are
deposited into the fund, the attorney general shall determine the amount of the
proceeds that should remain in the fund for use by the department for the costs of
carrying out its duties pursuant to this part 12 and the amount of any proceeds
deposited into the fund that are attributable to a political subdivision.

(II) If the amount of the proceeds is equal to or exceeds the amount of the
false claim plus the department's costs, the attorney general shall direct the state
treasurer to transfer to the original fund from which the false claim was paid an
amount equal to the false claim. If all or part of the proceeds are attributable to a
political subdivision, the attorney general shall direct the treasurer to pay to the
political subdivision, as described in subsection (3)(c) of this section, an amount
equal to the false claim.

(III) If the amount of the proceeds is less than the amount of the false claim
plus the department's costs, the attorney general shall direct the state treasurer to
transfer to the original fund from which the false claim was paid a pro-rated amount
based on the actual recovery. If all or part of the proceeds are attributable to a
political subdivision, the attorney general shall direct the treasurer to pay to the
political subdivision, as described in subsection (3)(c) of this section, a pro-rated
amount based on the actual recovery.

(IV) For the purposes of a false claims action involving a violation of section
24-31-1203(1)(g), the relevant fund is the unemployment compensation fund
established in section 8-77-101.

(c) No later than seven days after the attorney general directs the state
treasurer to make a payment to a political subdivision pursuant to subsection (3)(b)
of this section, the state treasurer shall issue a warrant to be paid upon demand
from the fund to the political subdivision in the amount specified by the attorney
general.

(4) Any unexpended and unencumbered money remaining in the fund at the
end of a fiscal year shall remain in the fund and shall not be credited or transferred
to another fund.

Legislative History

Source: L. 2022: Entire part added, (HB 22-1119), ch. 394, p. 2795, � 2, effective August 10.