Terms and conditions in public school contracts - definitions

Colo. Rev. Stat. § 22-1-135, under Education.

Colo. Rev. Stat. § 22-1-135

(1) As used in this section:

(a) Construction means the process of building, altering, repairing, improving, or demolishing any public structure or building or any other public improvements of any kind to any real property that is owned or leased by a contracting entity or by a public school and is used for the direct benefit of or in support of a public school.

(b) Contractor means any person having a contract with a public school contracting entity. Contractor does not include an employee of a public school contracting entity or of a public school to be directly benefited by or supported by a public school contract.

(c) Public school contract means any type of agreement, regardless of what it may be called, entered into between a public school contracting entity and a contractor where the principal purpose is to acquire supplies, services, or construction or to dispose of supplies for the direct benefit of or in support of a public school; except that public school contract does not include an agreement for the acquisition of professional services, as defined in section 24-30-1402 (6).

(d) Public school contracting entity means an entity that is authorized to contract for the direct benefit of or support of a public school and enters into a public school contract. Public school contracting entity includes a school district and, to the extent authorized by law, a public school, an administrative unit, as defined in section 22-20-103 (1), a participating provider, as defined in section 22-82.9-301 (6), or any other entity that is authorized to contract for the direct benefit of or support of a public school.

(2) (a) A term or condition in a public school contract is void ab initio if the term or condition:

(I) Requires the public school contracting entity to indemnify or hold harmless another person;

(II) Specifies that the public school contracting entity agrees to binding arbitration or to any other binding extra-judicial dispute resolution process;

(III) Specifies that the public school contracting entity agrees to limit liability of another person for bodily injury, death, or damage to property of the public school contracting entity or a public school directly benefited by or supported by the public school contract that is caused by the negligence or willful misconduct of the person or of the person's employees or agents;

(IV) Purports to waive, alter, or limit the application of any provision of the Colorado Governmental Immunity Act, article 10 of title 24;

(V) Purports to waive, alter, or limit the application of the Student Data Transparency and Security Act, article 16 of this title 22, the provisions of sections 6-1-713 and 6-1-713.5 relating to protection and disposal of personal identifying information, the provisions of article 73 of title 24 relating to security breaches and personal information, or, upon it taking effect on July 1, 2023, the Colorado Privacy Act, part 13 of article 1 of title 6; or

(VI) Conflicts with Colorado law or rules promulgated pursuant to Colorado law or conflicts with any provision required to be included or deemed to be included in a public school contract by subsection (2)(d) of this section as of the date the contract is executed.

(b) If a public school contract contains a term or condition that is void ab initio under subsection (2)(a) of this section, the public school contract is otherwise enforceable as if it did not contain the void term or condition.

(c) All public school contracts, except for contracts with another government, are governed by Colorado law notwithstanding any contract term or condition to the contrary.

(d) A public school contract must include provisions, and if such provisions are omitted, the contract is deemed to include provisions that:

(I) State that, subject to the requirements of section 24-91-103.6 pertaining to contracts for the construction and design of public works projects, any and all contractual financial obligations of the public school contracting entity that are payable after the current fiscal year are contingent on money to pay the obligations being appropriated, budgeted, and otherwise made available;

(II) Require the contractor to comply with all applicable federal, state, and local laws, rules, and regulations in effect when the contract is executed or thereafter established, including, without limitation:

(A) Laws, rules, and regulations applicable to discrimination and unfair employment practices; and

(B) Laws, rules, and regulations that require the protection of personal identifying information, including student personal identifying information, as defined in section 22-16-103 (13), such as the federal Family Educational Rights and Privacy Act of 1974, 20 U.S.C. sec. 1232g, the Student Data Transparency and Security Act, article 16 of this title 22, the provisions of sections 6-1-713 and 6-1-713.5 relating to protection and disposal of personal identifying information, the provisions of article 73 of title 24 relating to security breaches and personal information, or, upon it taking effect on July 1, 2023, the Colorado Privacy Act, part 13 of article 1 of title 6; and

(C) Accessibility standards for an individual with a disability adopted by the office of information technology pursuant to section 24-85-103.

(III) Require the contractor to perform its duties as an independent contractor, to pay when due all applicable employment taxes and income taxes for its employees incurred in the performance of the contract, and to provide and keep in force workers' compensation and unemployment compensation insurance in the amounts required by law; and

(IV) Require the contractor to indemnify, hold harmless, and assume liability on behalf of the public school contracting entity, the public school, and the public school's employees and agents, for all costs, expenses, claims, damages, liabilities, court awards, attorney fees and related costs, and any other amounts incurred by a school district in relation to a contractor's noncompliance with accessibility standards for an individual with a disability adopted by the office of information technology pursuant to section 24-85-103.

(e) A public school contracting entity may require that the contractor's compliance with accessibility standards for an individual with a disability adopted by the office of information technology pursuant to section 24-85-103 is determined and attested to by a qualified third party selected by the public school contracting entity.

(3) (a) For contracts executed on or after July 1, 2023, when reviewing proposals received and for selecting the entity to provide technology, in accordance with the procurement laws applicable to the department, school district, or institute charter school, the department, school district, or institute charter school may consider life-cycle cost.

(b) For the purpose of this subsection (3), unless the context otherwise requires:

(I) Life-cycle cost means the purchase cost of technology minus the resale value at the end of the technology's expected useful life, in addition to the maintenance incurred during the technology's expected useful life.

(II) Technology means any device, computer, hardware, software, or related accessory.

Source: L. 2022: Entire section added, (HB 22-1252), ch. 87, p. 414, � 1, effective April 12. L. 2023: (3) added, (SB 23-287), ch. 189, p. 923, � 8, effective May 15. L. 2024: (2)(d)(II)(B) amended, (HB 24-1450), ch. 490, p. 3413, � 31, effective August 7. L. 2025: (1)(d) amended, (SB 25-300), ch. 428, p. 2447, � 22, effective August 6; IP(2)(d) and (2)(d)(III) amended and (2)(d)(II)(C), (2)(d)(IV), and (2)(e) added, (HB 25-1152), ch. 246, p. 1239, � 1, effective August 6.

Editor's note: Section 3 of chapter 246 (HB 25-1152), Session Laws of Colorado 2025, provides that the act changing this section applies to contracts or agreements entered into, amended, or renewed on or after August 6, 2025.

Cross references: For the legislative declaration in SB 23-287, see section 1 of chapter 189, Session Laws of Colorado 2023.

22-1-135.5. Nondisclosure agreements - protection of school district, board of cooperative services, and public school employees - definitions. (1) (a) No school district, board of cooperative services, public school, or any department, institution, or agency of a school district, board of cooperative services, or public school shall make it a condition of employment that an employee executes a contract or other form of agreement that prohibits, prevents, or otherwise restricts the employee from disclosing factual circumstances concerning the employee's employment with the school district, board of cooperative services, or public school or any of its departments, institutions, or agencies unless the prohibition or restriction in the contract or agreement is necessary to prevent disclosure of:

(I) The employee's identity, facts that might lead to the discovery of the employee's identity, or factual circumstances relating to the employment that reasonably implicate legitimate privacy interests of the employee who is a party to the agreement if the employee elects in the employee's sole discretion to restrict disclosure of the employee's identity or such facts and circumstances;

(II) Data; information, including personal identifying information, as defined in section 24-74-102 (1); or matters that are required to be kept confidential by federal law or regulations, the state constitution, state law, state regulations, or state rules, or a court of law or as attorney-client privileged communications, as privileged work product, as communications related to a threatened or pending legal or administrative action, or as materials related to personnel or regulatory investigations by the employer;

(III) Trade secrets or other confidential or sensitive information provided to or made accessible to the employee by a current or prospective contractor, vendor, grantee or as part of a public-private partnership, or entity working with the state as part of an economic development activity;

(IV) Information bearing on the specialized details of security arrangements or investigations, including security arrangements for or investigations into elected officials or other individuals, physical infrastructure, or cybersecurity;

(V) Information derived from communications of the employer related to threatened or pending legal or administrative action;

(VI) Discussions that occur in an executive session authorized by section 24-6-402;

(VII) Trade secrets or information derived from trade secrets or proprietary information of the employer;

(VIII) Information and records not subject to disclosure under the Colorado Open Records Act, part 2 of article 72 of title 24; or

(IX) Trade secrets owned by the employer.

(b) Any provision in any contract or agreement that violates subsection (1)(a) of this section is deemed to be against public policy and is unenforceable against an employee unless the provision is intended to prevent disclosure of:

(I) The employee's identity, facts that might lead to the discovery of the employee's identity, or factual circumstances relating to the employment that reasonably implicate legitimate privacy interests of the employee who is a party to the agreement if the employee elects in the employee's sole discretion to restrict disclosure of the employee's identity or such facts and circumstances;

(II) Data; information, including personal identifying information, as defined in section 24-74-102 (1); or matters that are required to be kept confidential by federal law or regulations, the state constitution, state law, state regulations, or state rules, or a court of law or as attorney-client privileged communications, as privileged work product, as communications related to a threatened or pending legal or administrative action, or as materials related to personnel or regulatory investigations by the employer;

(III) Trade secrets or other confidential or sensitive information provided to or made accessible to the employee by a current or prospective contractor, vendor, grantee or as part of a public-private partnership, or entity working with the state as part of an economic development activity;

(IV) Information bearing on the specialized details of security arrangements or investigations, including for elected officials or other individuals, physical infrastructure, or cybersecurity;

(V) Information derived from communications of the employer related to threatened or pending legal or administrative action;

(VI) Discussions that occur in an executive session authorized by section 24-6-402;

(VII) Trade secrets or information derived from trade secrets or proprietary information of the employer;

(VIII) Information and records not subject to disclosure under the Colorado Open Records Act, part 2 of article 72 of title 24; or

(IX) Trade secrets owned by the employer.

(2) (a) No school district, board of cooperative services, public school, or department, institution, or agency of a school district, a board of cooperative services, or a public school shall take any materially adverse employment-related action, including, without limitation, withdrawal of an offer of employment, discharge, suspension, demotion, discrimination in the terms, conditions, or privileges of employment, or other adverse action against an employee on the grounds that the employee does not enter into a contract or agreement deemed to be against public policy and unenforceable under subsection (1)(b) of this section. The taking of such a materially adverse employment-related action after an employee has refused to enter into such a contract or agreement is prima facie evidence of retaliation.

(b) Any employer who enforces or attempts to enforce a provision deemed by a court to be against public policy and unenforceable pursuant to subsection (1) of this section is liable for the employee's reasonable attorney fees and costs in defending against the action.

(c) An action to enforce a provision of this section must be brought in the district court for the district in which the employee is primarily employed.

(3) A settlement agreement between an employer that is a school district, board of cooperative services, or public school or a department, institution, or agency of a school district, a board of cooperative services, or a public school and an employee of the employer must be signed by both the employer and the employee.

(4) A nondisclosure agreement may not prohibit the release of information required to be released under the Colorado Open Records Act, part 2 of article 72 of title 24.

(5) Nothing in this section prevents an employer from requiring an employee to enter into a nondisclosure agreement with a third party in the employee's official capacity and on behalf of the employer.

(6) As used in this section:

(a) Condition of employment means an employment-related policy, practice, requirement, or restriction dictated by an employer that an individual must agree to abide by in order to be hired by or retain employment with the employer.

(b) Employee means an applicant for employment with, or current or past employee of, a school district, board of cooperative services, or public school or a department, institution, or agency of a school district, board of cooperative services, or public school.

Source: L. 2023: Entire section added, (SB 23-053), ch. 320, p. 1929, � 2, effective August 7.

Cross references: For the legislative declaration in SB 23-053, see section 1 of chapter 320, Session Laws of Colorado 2023.