Second Regular Session Seventy-third General Assembly STATE OF COLORADO REENGROSSED This Version Includes All Amendments Adopted in the House of Introduction LLS NO. 22-0306.01 Sarah Lozano x3858 HOUSE BILL 22-1348 House Committees Senate Committees Energy & Environment Appropriations A BILL FOR AN ACT C ONCERNING ENHANCED OVERSIGHT OF THE CHEMICALS USED IN OIL101 AND GAS PRODUCTION, AND, IN CONNECTION THEREWITH,102 MAKING AN APPROPRIATION .103 Bill Summary (Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov .) The bill establishes a regulatory scheme that requires disclosure of certain chemical information for products used in downhole oil and gas operations (chemical disclosure information). On or before July 31, 2023, the oil and gas conservation commission (commission) is required to utilize or develop a chemical disclosure website to collect and share HOUSE 3rd Reading Unamended April 27, 2022 HOUSE Amended 2nd Reading April 26, 2022 HOUSE SPONSORSHIP Froelich and Caraveo, Amabile, Bacon, Bernett, Cutter, Duran, Gray, Hooton, Jodeh, Kennedy, Kipp, Lindsay, Lontine, Sirota, Bird, Boesenecker, Gonzales-Gutierrez, McCormick, Ricks, Titone, Valdez A., Weissman SENATE SPONSORSHIP Winter, Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment. Capital letters or bold & italic numbers indicate new material to be added to existing statute. Dashes through the words indicate deletions from existing statute. certain chemical disclosure information to the public (chemical disclosure website). On and after July 31, 2023, a manufacturer that sells or distributes a chemical product for use in underground oil and gas operations (downhole operations) in the state must disclose to the commission: ! The trade name of the chemical product; ! A list of the names of each chemical used in the chemical product; ! The estimated amount of each chemical used in the chemical product; and ! A description of the intended purpose of the chemical used in the chemical product. The manufacturer must also provide the commission with a declaration that the chemical product contains no intentionally added perfluoroalkyl or polyfluoroalkyl chemicals. For manufacturers that were already selling or distributing a chemical product for use in downhole operations in the state before July 31, 2023, the disclosure and declaration must be made at least 30 days before July 31, 2023. For manufacturers that begin to sell or distribute a chemical product for use in downhole operations in the state on or after July 31, 2023, the disclosure and declaration must be made at least 30 days before the manufacturer begins selling or distributing the chemical product. On and after July 31, 2023, an operator of downhole operations using a chemical product must disclose to the commission: ! The date of commencement of downhole operations; ! The county of the well site where downhole operations are being conducted; ! The numerical identifier assigned by the American Petroleum Institute to the well where downhole operations are being conducted; and ! The trade names and quantities of any chemical products the operator plans to use in downhole operations. The operator must also provide the commission with a declaration that the chemical product contains no intentionally added perfluoroalkyl or polyfluoroalkyl chemicals. For downhole operations that commenced before July 31, 2023, and that will be ongoing on July 31, 2023, the disclosure and declaration must be made at least 75 days before July 31, 2023. For downhole operations that commence on or after July 31, 2023, the disclosure and declaration must be made at least 75 days before commencement of downhole operations. The commission will use the chemical disclosure information to create a chemical disclosure list for each well site, which will include: ! An alphabetical list of names of chemicals that will be used 1348 -2- in downhole operations at the well site; and ! The total estimated amount of each chemical that will be used at the well site. The commission will post each chemical disclosure list on the chemical disclosure website. The commission shall provide the chemical disclosure list to the applicable operator within 7 days after the operator's disclosures. Prior to the commencement of downhole operations, the operator is required to disclose the chemical disclosure list to communities near where downhole operations will be conducted, local public water administrators, and, if there is a high-priority habitat near where downhole operations are being conducted, the division of parks and wildlife. For downhole operations that commenced before July 31, 2023, and that will be ongoing on July 31, 2023, the disclosure of the chemical disclosure list by the operator to these entities must be made at least 60 days before July 31, 2023. For downhole operations that commence on or after July 31, 2023, the disclosure of the chemical disclosure list by the operator to these entities must be made at least 60 days before commencement of downhole operations. If a manufacturer believes that any information that will be included on a chemical disclosure list is a trade secret, the manufacturer must file a trade secret claim with the commission. If the commission determines that the information covered by the trade secret claim constitutes a trade secret, the commission shall not include the information in any applicable chemical disclosure list. On or before July 31, 2023, the commission must promulgate rules that set standards for the disclosure of the chemical disclosure information to: ! An officer or employee of the United States, the state, or a local government in connection with the officer's or employee's official duties; ! Contractors of the United States, the state, or a local government if the commission determines that the disclosure is necessary for performance of a contract or the protection of public health and safety; ! A health-care professional in connection with an emergency or with diagnosing or treating a patient; and ! In order to protect public safety, a person who is employed in public health or a scientist or researcher employed by an institution of higher education. No later than February 1, 2025, and no later than February 1 each year thereafter, the commission shall submit and present an annual report to the general assembly based on the chemical disclosure information. 1348-3- Be it enacted by the General Assembly of the State of Colorado:1 SECTION 1. Legislative declaration. (1) The general assembly2 hereby finds and declares that:3 (a) There are tens of thousands of active oil and gas wells in4 Colorado;5 (b) Many different types of products that contain chemical6 additives are used by operators during the drilling and stimulation of these7 wells to break up the subsurface and extract oil and gas from the ground;8 (c) While water and sand can make up the vast majority of these9 products, the amount of chemical additives injected into a well can add10 up to tens of thousands of gallons because of the amount of these11 products that are used during the course of an oil and gas operation;12 (d) When these chemical additives are injected into a well, there13 is a high risk of contamination to nearby groundwater or surface water;14 and15 (e) Some chemicals used in chemical products, such as16 perfluoroalkyl and polyfluoroalkyl chemicals and biocides, have high17 aquatic toxicity and can be incredibly harmful to human health and the18 environment.19 (2) The general assembly further finds and declares that:20 (a) Even though exposure to these chemical additives poses a21 danger to public health and the environment, scientists, state and local22 regulators, and the public lack full access to information about the23 chemical additives used in oil and gas production in the state;24 (b) While Colorado requires the reporting of certain chemical25 information for products that are used in hydraulic fracturing (fracking)26 operations for input into a third-party database, there are broad27 1348 -4- exemptions allowed for chemical information that is deemed proprietary1 or confidential by the operator or supplier of a product;2 (c) In recent years, thousands of operators who conduct fracking3 operations have used trade secrecy claims to avoid disclosing information4 about the chemicals that they use in their operations;5 (d) Operators and suppliers of the products often do not have6 knowledge of the chemical information that they are required to report to7 the state;8 (e) As a result of the amount of trade secrecy claims and the9 operators' and suppliers' lack of knowledge of specific chemical10 information, information about the chemical additives that are used in11 fracking operations in the state is vastly underreported;12 (f) Greater transparency regarding chemical use in oil and gas13 production is urgently needed and can be achieved by:14 (I) Requiring manufacturers and disclosers, rather than operators,15 to disclose information about chemicals that are used in oil and gas16 production in the state;17 (II) Requiring the Colorado oil and gas conservation commission18 to gather the chemical information so that the disclosure of specific19 chemical information can be separated from the trade name of a product,20 which will thereby protect any proprietary information; and21 (III) Ensuring that disclosure of the chemical information to the22 state, to local governments, and to schools and communities in close23 proximity to oil and gas operations occurs before the use of the products24 in oil and gas operations; and25 (g) A full inventory of the chemicals used in oil and gas26 production will:27 1348 -5- (I) Assist state agencies, local governments, health-care1 professionals, public health officials, and scientists in determining if2 highly hazardous chemicals are being used in oil and gas production;3 (II) Alert Coloradans to potential exposures to highly hazardous4 chemicals prior to their use; and5 (III) Encourage the disclosers and users of products that contain6 highly hazardous chemicals to use less toxic alternatives in future7 products and oil and gas operations.8 (3) Therefore the general assembly determines and declares that9 the state should enact a regulatory scheme that provides full disclosure of10 the chemicals that are being deposited into the environment through oil11 and gas production because:12 (a) Coloradans have the right to know what chemicals are being13 deposited into the environment where they live, work, and recreate; and14 (b) State and local governments and regulators need this chemical15 information to adequately protect the people, water systems, wildlife, and16 environment of Colorado.17 SECTION 2. In Colorado Revised Statutes, add 34-60-132 as18 follows:19 34-60-132. Disclosure of chemicals used in downhole oil and20 gas operations - chemical disclosure lists - community notification -21 trade secret information - disclosure of chemical information to22 governmental agencies, health-care professionals, and scientists -23 reports - definitions - rules - repeal. (1) A S USED IN THIS SECTION,24 UNLESS THE CONTEXT OTHERWISE REQUIRES :25 (a) (I) "A DDITIVE" MEANS A CHEMICAL OR COMBINATION OF26 CHEMICALS ADDED TO A BASE FLUID FOR USE IN A HYDRAULIC27 1348 -6- FRACTURING TREATMENT .1 (II) "A DDITIVE" INCLUDES PROPPANTS.2 (b) "B ASE FLUID" MEANS THE CONTINUOUS PHASE FLUID TYPE ,3 SUCH AS WATER, USED IN A HYDRAULIC FRACTURING TREATMENT .4 (c) "C HEMICAL" MEANS ANY ELEMENT, CHEMICAL COMPOUND, OR5 MIXTURE OF ELEMENTS OR CHEMICAL COMPOUNDS THAT HAS A SPECIFIC6 NAME OR IDENTITY, INCLUDING A CHEMICAL ABSTRACTS SERVICE7 NUMBER.8 (d) "C HEMICAL ABSTRACTS SERVICE NUMBER" MEANS THE UNIQUE9 NUMERICAL IDENTIFIER ASSIGNED BY THE CHEMICAL ABSTRACTS SERVICE10 TO A CHEMICAL.11 (e) "C HEMICAL DISCLOSURE INFORMATION " MEANS THE12 INFORMATION DISCLOSED TO THE COMMISSION UNDER SUBSECTIONS13 (2)(a)(I) AND (3)(a)(I) OF THIS SECTION.14 (f) "C HEMICAL DISCLOSURE LIST" MEANS A LIST OF CHEMICALS15 USED IN DOWNHOLE OPERATIONS AT A WELL SITE .16 (g) "C HEMICAL DISCLOSURE WEBSITE" MEANS A WEBSITE THAT IS17 CAPABLE OF DISPLAYING CHEMICAL DISCLOSURE LISTS AND CAN BE18 ACCESSED BY THE PUBLIC.19 (h) (I) "C HEMICAL PRODUCT" MEANS ANY PRODUCT THAT20 CONSISTS OF ONE OR MORE CHEMICALS AND IS SOLD OR DISTRIBUTED FOR21 USE IN DOWNHOLE OPERATIONS IN THE STATE .22 (II) "C HEMICAL PRODUCT" INCLUDES ADDITIVES, BASE FLUIDS,23 AND HYDRAULIC FRACTURING FLUIDS .24 (III) "CHEMICAL PRODUCT" DOES NOT INCLUDE THE STRUCTURAL25 AND MECHANICAL COMPONENTS OF A WELL SITE WHERE DOWNHOLE26 OPERATIONS ARE BEING CONDUCTED .27 1348 -7- (i) (I) "DIRECT VENDOR" MEANS ANY DISTRIBUTOR, SUPPLIER, OR1 OTHER ENTITY THAT SELLS OR SUPPLIES ONE OR MORE CHEMICAL2 PRODUCTS DIRECTLY TO AN OPERATOR OR SERVICE PROVIDER FOR USE AT3 A WELL SITE.4 (II) "DIRECT VENDOR" DOES NOT INCLUDE ENTITIES THAT5 MANUFACTURE, PRODUCE, OR FORMULATE CHEMICAL PRODUCTS FOR6 FURTHER MANUFACTURE, FORMULATION, SALE, OR DISTRIBUTION BY7 THIRD PARTIES PRIOR TO BEING SUPPLIED DIRECTLY TO OPERATORS OR8 SERVICE PROVIDERS.9 (j) "DISCLOSER" MEANS AN OPERATOR, ANY SERVICE PROVIDER10 USING ONE OR MORE CHEMICAL PRODUCTS IN THE COURSE OF DOWNHOLE11 OPERATIONS, AND ANY DIRECT VENDOR THAT PROVIDES ONE OR MORE12 CHEMICAL PRODUCTS DIRECTLY TO THE OPERATOR OR SERVICE PROVIDER13 FOR USE AT A WELL SITE.14 (k) "DIVISION" MEANS THE DIVISION OF PARKS AND WILDLIFE IN15 THE DEPARTMENT OF NATURAL RESOURCES .16 (l) "DOWNHOLE OPERATIONS " MEANS OIL AND GAS OPERATIONS17 THAT ARE CONDUCTED UNDERGROUND .18 (m) "HEALTH-CARE PROFESSIONAL" MEANS A PHYSICIAN ,19 PHYSICIAN ASSISTANT, NURSE PRACTITIONER, REGISTERED NURSE, OR20 EMERGENCY MEDICAL SERVICE PROVIDER LICENSED OR CERTIFIED BY THE21 STATE.22 (n) "HIGH-PRIORITY HABITAT" MEANS HABITAT AREAS IDENTIFIED23 BY THE DIVISION WHERE MEASURES TO AVOID, MINIMIZE, AND MITIGATE24 ADVERSE IMPACTS TO WILDLIFE HAVE BEEN IDENTIFIED TO PROTECT25 BREEDING, NESTING, FORAGING, MIGRATING, OR OTHER USES BY WILDLIFE.26 (o) "HYDRAULIC FRACTURING FLUID " MEANS THE FLUID ,27 1348 -8- INCLUDING ANY BASE FLUID AND ADDITIVES , USED TO PERFORM A1 HYDRAULIC FRACTURING TREATMENT .2 (p) "HYDRAULIC FRACTURING TREATMENT " MEANS ALL STAGES OF3 THE TREATMENT OF A WELL BY THE APPLICATION OF HYDRAULIC4 FRACTURING FLUID UNDER PRESSURE , WHICH TREATMENT IS EXPRESSLY5 DESIGNED TO INITIATE OR PROPAGATE FRACTURES IN AN UNDERGROUND6 GEOLOGIC FORMATION TO ENHANCE THE PRODUCTION OF OIL AND GAS .7 (q) "MANUFACTURER" MEANS A PERSON OR ENTITY THAT MAKES,8 ASSEMBLES, OR OTHERWISE GENERATES A CHEMICAL PRODUCT OR WHOSE9 TRADE NAME IS AFFIXED TO A CHEMICAL PRODUCT .10 (r) "PERFLUOROALKYL AND POLYFLUOROALKYL SUBSTANCES " OR11 "PFAS CHEMICALS" HAS THE MEANING SET FORTH IN SECTION 25-5-130212 (7).13(s) "PROPPANTS" MEANS MATERIALS INSERTED OR INJECTED INTO14 AN UNDERGROUND GEOLOGIC FORMATION DURING A HYDRAULIC15 FRACTURING TREATMENT THAT ARE INTENDED TO PREVENT FRACTURES16 FROM CLOSING.17 (t) "PUBLIC WATER SYSTEMS" HAS THE MEANING SET FORTH IN18 SECTION 25-1.5-201 (1).19 (u) "TRADE SECRET" MEANS THE WHOLE OR ANY PORTION OR20 PHASE OF ANY SCIENTIFIC OR TECHNICAL INFORMATION ; DESIGN; PROCESS;21 PROCEDURE; FORMULA; IMPROVEMENT; CONFIDENTIAL BUSINESS OR22 FINANCIAL INFORMATION; LISTING OF NAMES, ADDRESSES, OR TELEPHONE23 NUMBERS; OR OTHER INFORMATION RELATING TO ANY BUSINESS OR24 PROFESSION THAT:25 (I) I S SECRET AND OF VALUE; AND26 (II) F OR WHICH THE OWNER OF THE SECRET HAS TAKEN MEASURES27 1348 -9- TO PREVENT THE SECRET FROM BECOMING AVAILABLE TO PERSONS OTHER1 THAN THOSE SELECTED BY THE OWNER TO HAVE ACCESS FOR LIMITED2 PURPOSES.3 (v) "TYPE III AQUIFER" MEANS AN AQUIFER THAT CONSISTS OF4 UNCONSOLIDATED GEOLOGIC MATERIAL , INCLUDING ALLUVIAL ,5 COLLUVIAL, OR OTHER CONSOLIDATED MATERIALS .6 (w) "WELL SITE" MEANS THE AREA THAT IS DIRECTLY DISTURBED7 DURING OIL AND GAS OPERATIONS.8 (2) Discloser chemical disclosure information and declaration.9 (a) O N AND AFTER JULY 31, 2023, AND SUBJECT TO SUBSECTION (2)(b) OF10 THIS SECTION, A DISCLOSER THAT SELLS OR DISTRIBUTES A CHEMICAL11 PRODUCT FOR USE IN DOWNHOLE OPERATIONS IN THE STATE MUST :12 (I) D ISCLOSE TO THE COMMISSION:13 (A) T HE TRADE NAME OF THE CHEMICAL PRODUCT ;14 (B) A LIST OF THE NAMES AND CHEMICAL ABSTRACTS SERVICE15 NUMBERS OF EACH CHEMICAL USED IN THE CHEMICAL PRODUCT ;16 (C) T HE ESTIMATED AMOUNT OF EACH CHEMICAL USED IN THE17 CHEMICAL PRODUCT; AND18 (D) A DESCRIPTION OF THE INTENDED PURPOSE OF EACH CHEMICAL19 USED IN THE CHEMICAL PRODUCT; AND20 (II) P ROVIDE A WRITTEN DECLARATION TO THE COMMISSION THAT21 THE CHEMICAL PRODUCT CONTAINS NO INTENTIONALLY ADDED PFAS22 CHEMICALS.23 (b) (I) (A) F OR DISCLOSERS THAT WERE ALREADY SELLING OR24 DISTRIBUTING A CHEMICAL PRODUCT FOR USE IN DOWNHOLE OPERATIONS25 IN THE STATE BEFORE JULY 31, 2023, THE INFORMATION AND26 DECLARATION REQUIRED TO BE PROVIDED PURSUANT TO SUBSECTION27 1348 -10- (2)(a) OF THIS SECTION MUST BE PROVIDED TO THE COMMISSION AT LEAST1 THIRTY DAYS BEFORE JULY 31, 2023.2 (B) T HIS SUBSECTION (2)(b)(I) IS REPEALED, EFFECTIVE JULY 1,3 2024.4 (II) F OR DISCLOSERS THAT BEGIN TO SELL OR DISTRIBUTE A5 CHEMICAL PRODUCT FOR USE IN DOWNHOLE OPERATIONS IN THE STATE ON6 OR AFTER JULY 31, 2023, THE INFORMATION AND DECLARATION REQUIRED7 TO BE PROVIDED PURSUANT TO SUBSECTION (2)(a) OF THIS SECTION MUST8 BE PROVIDED TO THE COMMISSION AT LEAST THIRTY DAYS BEFORE THE9 DISCLOSER BEGINS SELLING OR DISTRIBUTING THE CHEMICAL PRODUCT .10 (c) T HE COMMISSION SHALL MAKE REASONABLE EFFORTS TO11 ENSURE THAT THE INFORMATION AND DECLARATION REQUIRED TO BE12 PROVIDED UNDER SUBSECTION (2)(a) OF THIS SECTION IS PROVIDED TO THE13 COMMISSION.14 (d) IF A MANUFACTURER DOES NOT PROVIDE THE INFORMATION15 DESCRIBED IN SUBSECTION (2)(a)(I) OF THIS SECTION FOR A CHEMICAL16 PRODUCT THAT IT SELLS OR DISTRIBUTES FOR USE IN DOWNHOLE17 OPERATIONS IN THE STATE TO A DISCLOSER UPON THE REQUEST OF THE18 DISCLOSER, THE MANUFACTURER MUST PROVIDE THE COMMISSION WITH19 A TRADE SECRET FORM OF ENTITLEMENT, AS DETERMINED BY THE20 COMMISSION BY RULE, FOR THE CHEMICAL PRODUCT. AT A MINIMUM, THE21 MANUFACTURER MUST INCLUDE IN THE TRADE SECRET FORM OF22 ENTITLEMENT FOR THE CHEMICAL PRODUCT :23 (I) THE NAME OF EACH CHEMICAL USED IN THE CHEMICAL24 PRODUCT;25 (II) THE CHEMICAL ABSTRACTS SERVICE NUMBER OF EACH26 CHEMICAL USED IN THE CHEMICAL PRODUCT ; AND27 1348 -11- (III) THE CONCENTRATION OF EACH CHEMICAL USED IN THE1 CHEMICAL PRODUCT.2 (e) IF, AFTER MAKING A REQUEST TO THE MANUFACTURER OF THE3 CHEMICAL PRODUCT PURSUANT TO SUBSECTION (2)(d) OF THIS SECTION,4 A DISCLOSER IS UNABLE TO DISCLOSE THE INFORMATION DESCRIBED IN5 SUBSECTION (2)(a)(I) OF THIS SECTION, THE DISCLOSER SHALL DISCLOSE6 TO THE COMMISSION:7 (I) THE NAME OF THE CHEMICAL PRODUCT 'S MANUFACTURER;8 (II) THE CHEMICAL PRODUCT'S TRADE NAME;9 (III) THE AMOUNT OR WEIGHT OF THE CHEMICAL PRODUCT ; AND10 (IV) A SAFETY DATA SHEET FOR THE CHEMICAL PRODUCT .11 (3) Operator chemical disclosure information - declaration.12 (a) O N AND AFTER JULY 31, 2023, AND SUBJECT TO SUBSECTION (3)(b) OF13 THIS SECTION, AN OPERATOR OF DOWNHOLE OPERATIONS USING A14 CHEMICAL PRODUCT MUST :15 (I) D ISCLOSE TO THE COMMISSION:16 (A) T HE DATE OF COMMENCEMENT OF DOWNHOLE OPERATIONS ;17 (B) T HE COUNTY OF THE WELL SITE WHERE DOWNHOLE18 OPERATIONS ARE BEING OR WILL BE CONDUCTED ;19 (C) T HE US WELL NUMBER ASSIGNED TO THE WELL WHERE20 DOWNHOLE OPERATIONS ARE BEING OR WILL BE CONDUCTED ; AND21 (D) T HE TRADE NAMES AND QUANTITIES OF ANY CHEMICAL22 PRODUCTS THE OPERATOR USED IN DOWNHOLE OPERATIONS ; AND23 (II) P ROVIDE A WRITTEN DECLARATION TO THE COMMISSION THAT24 THE CHEMICAL PRODUCT CONTAINS NO INTENTIONALLY ADDED PFAS25 CHEMICALS.26 (b) (I) (A) F OR A DOWNHOLE OPERATION THAT COMMENCED27 1348 -12- BEFORE JULY 31, 2023, AND THAT WILL BE ONGOING ON JULY 31, 2023,1 THE INFORMATION AND DECLARATION REQUIRED TO BE PROVIDED2 PURSUANT TO SUBSECTION (3)(a) OF THIS SECTION MUST BE PROVIDED TO3 THE COMMISSION WITHIN ONE HUNDRED TWENTY DAYS AFTER JULY 31,4 2023.5 (B) T HIS SUBSECTION (3)(b)(I) IS REPEALED, EFFECTIVE JULY 1,6 2024.7 (II) F OR A DOWNHOLE OPERATION THAT COMMENCES ON OR AFTER8 J ULY 31, 2023, THE INFORMATION AND DECLARATION REQUIRED TO BE9 PROVIDED PURSUANT TO SUBSECTION (3)(a) OF THIS SECTION MUST BE10 PROVIDED TO THE COMMISSION WITHIN ONE HUNDRED TWENTY DAYS11 AFTER THE COMMENCEMENT OF THE DOWNHOLE OPERATION .12 (c) T HE COMMISSION SHALL MAKE REASONABLE EFFORTS TO13 ENSURE THAT THE INFORMATION AND DECLARATION REQUIRED TO BE14 PROVIDED UNDER SUBSECTION (3)(a) OF THIS SECTION IS PROVIDED TO THE15 COMMISSION.16 (4) Change in chemical disclosure information. I F THERE IS A17 CHANGE IN THE INFORMATION PROVIDED UNDER SUBSECTION (2)(a)(I) OR18 (3)(a)(I) OF THIS SECTION, THE DISCLOSER OR OPERATOR MUST SUBMIT THE19 CHANGE TO THE COMMISSION WITHIN THIRTY DAYS AFTER THE DATE THE20 DISCLOSER OR OPERATOR FIRST KNEW OF THE CHANGE .21 (5) Chemical disclosure lists. (a) T HE COMMISSION SHALL USE22 THE CHEMICAL DISCLOSURE INFORMATION TO CREATE A CHEMICAL23 DISCLOSURE LIST FOR EACH APPLICABLE WELL SITE .24 (b) T HE COMMISSION SHALL INCLUDE IN THE CHEMICAL25 DISCLOSURE LIST:26 (I) A N ALPHABETICAL LIST OF THE NAMES AND CHEMICAL27 1348 -13- ABSTRACTS SERVICE NUMBERS OF EACH CHEMICAL THAT WILL BE USED IN1 DOWNHOLE OPERATIONS AT THE WELL SITE ; AND2 (II) T HE TOTAL ESTIMATED AMOUNT OF EACH CHEMICAL THAT AN3 OPERATOR USED IN DOWNHOLE OPERATIONS AT THE WELL SITE .4 (c) T HE COMMISSION SHALL NOT INCLUDE IN THE CHEMICAL5 DISCLOSURE LIST:6 (I) T HE TRADE NAME OF A CHEMICAL PRODUCT USED IN DOW NHOLE7 OPERATIONS AT THE WELL SITE; OR8 (II) T HE TOTAL AMOUNT OF A CHEMICAL IN A CHEMICAL PRODUCT . 9 (d) N O LATER THAN SEVEN DAYS AFTER AN OPERATOR MAKES THE10 DISCLOSURES REQUIRED UNDER SUBSECTION (3) OF THIS SECTION, THE11 COMMISSION SHALL:12 (I) P OST THE CHEMICAL DISCLOSURE LIST ON THE CHEMICAL13 DISCLOSURE WEBSITE AND INCLUDE THE DATE OF THE SUBMISSION OF THE14 CHEMICAL DISCLOSURE LIST TO THE COMMISSION IN THE POST ; AND15 (II) P ROVIDE THE CHEMICAL DISCLOSURE LIST TO THE OPERATOR16 OF THE APPLICABLE WELL.17 (e) T HE COMMISSION SHALL:18 (I) P OST AN UPDATED CHEMICAL DISCLOSURE LIST IF THERE ARE19 ANY NOTIFICATIONS RECEIVED FROM A DISCLOSER OR OPERATOR UNDER20 SUBSECTION (4) OF THIS SECTION AND INCLUDE THE DATE OF THE21 NOTIFICATION BY THE DISCLOSER OR OPERATOR IN THE POST; AND22 (II) E NSURE THAT:23 (A) A LL CHEMICAL DISCLOSURE LISTS AND UPDATED CHEMICAL24 DISCLOSURE LISTS REMAIN VIEWABLE BY THE PUBLIC ;25 (B) T HE CHEMICAL DISCLOSURE WEBSITE IS SEARCHABLE BY26 CHEMICAL, DATE OF SUBMISSION OR UPDATE OF A CHEMICAL DISCLOSURE27 1348 -14- LIST, NAME AND ADDRESS OF THE OPERATOR , AND COUNTY OF THE WELL1 SITE; AND2 (C) T HE CHEMICAL DISCLOSURE WEBSITE ALLOWS MEMBERS OF3 THE PUBLIC TO DOWNLOAD CHEMICAL DISCLOSURE LISTS IN AN4 ELECTRONIC, DELIMITED FORMAT.5 (6) Community notification. (a) ON OR BEFORE JULY 31, 2023,6 AND SUBJECT TO SUBSECTION (6)(b) OF THIS SECTION, AN OPERATOR7 SHALL PROVIDE THE CHEMICAL DISCLOSURE LIST TO :8 (I) A LL PARTIES THAT:9 (A) A RE LOCATED WITHIN TWO THOUSAND SIX HUNDRED FORTY10 FEET OF THE WELL SITE; AND11 (B) T HE OPERATOR IS REQUIRED BY RULE TO NOTIFY OF THE12 DETERMINATION MADE BY THE DIRECTOR OF THE COMMISSION THAT AN13 OIL AND GAS DEVELOPMENT PLAN IS COMPLETE ;14 (II) T HE ADMINISTRATOR OF ANY PUBLIC WATER SYSTEM THAT15 OPERATES:16 (A) A SURFACE WATER PUBLIC WATER SYSTEM INTAKE THAT IS17 LOCATED FIFTEEN STREAM MILES OR LESS DOWNSTREAM FROM THE WELL18 SITE;19 (B) A GROUNDWATER UNDER THE DIRECT INFLUENCE OF A20 SURFACE WATER PUBLIC WATER SYSTEM SUPPLY WELL WITHIN TWO21 THOUSAND SIX HUNDRED FORTY FEET OF THE WELL SITE ; AND22 (C) A PUBLIC WATER SYSTEM SUPPLY WELL COMPLETED IN A TYPE23 III AQUIFER WITHIN TWO THOUSAND SIX HUNDRED FORTY FEET OF THE24 WELL SITE; AND25 (III) T HE DIVISION IF:26 (A) T HERE IS A HIGH-PRIORITY HABITAT AREA WITHIN ONE MILE OF27 1348 -15- THE WELL SITE; OR1 (B) T HERE IS A STATE WILDLIFE AREA, AS DEFINED IN SECTION2 33-1-102 (42), OR A STATE PARK OR RECREATION AREA WITHIN TWO3 THOUSAND SIX HUNDRED FORTY FEET OF THE WELL SITE .4 5 (b) THE CHEMICAL DISCLOSURE LIST MUST BE DISCLOSED IN6 ACCORDANCE WITH SUBSECTION (6)(a) OF THIS SECTION WITHIN THIRTY7 DAYS AFTER THE OPERATOR'S RECEIPT OF THE CHEMICAL DISCLOSURE LIST8 FROM THE COMMISSION.9 (7) Trade secret claims. (a) I F A MANUFACTURER BELIEVES THAT10 ANY INFORMATION THE MANUFACTURER IS REQUIRED TO DISCLOSE UNDER11 SUBSECTION (2)(d) OF THIS SECTION IS A TRADE SECRET AND SHOULD NOT12 BE INCLUDED IN A CHEMICAL DISCLOSURE LIST , THE MANUFACTURER13 SHALL FILE A TRADE SECRET CLAIM WITH THE COMMISSION AND PROVIDE14 THE COMMISSION WITH A WRITTEN DESCRIPTION OF :15 (I) T HE EXTENT THAT THE INFORMATION COVERED BY THE TRADE16 SECRET CLAIM IS KNOWN BY:17 (A) T HE MANUFACTURER'S EMPLOYEES;18 (B) P ERSONS INVOLVED IN THE MANUFACTURER 'S BUSINESS; AND19 (C) P ERSONS OUTSIDE OF THE MANUFACTURER 'S BUSINESS;20 (II) M EASURES TAKEN BY THE MANUFACTURER TO PROTECT THE21 SECRECY OF THE INFORMATION COVERED BY THE TRADE SECRET CLAIM ;22 (III) T HE VALUE OF THE INFORMATION COVERED BY THE TRADE23 SECRET CLAIM TO THE MANUFACTURER AND THE MANUFACTURER 'S24 COMPETITORS; AND25 (IV) T HE AMOUNT OF EFFORT AND MONEY SPENT BY THE26 MANUFACTURER IN DEVELOPING THE INFORMATION COVERED BY THE27 1348 -16- TRADE SECRET CLAIM.1 (b) N OTWITHSTANDING ANY LAW TO THE CONTRARY , THE2 COMMISSION SHALL NOT PROTECT THE NAMES OR CHEMICAL ABSTRACTS3 S ERVICE NUMBERS OF ANY CHEMICAL AS A TRADE SECRET .4 (c) I F THE COMMISSION DETERMINES THAT A TRADE SECRET CLAIM5 FILED UNDER SUBSECTION (7)(a) OF THIS SECTION IS INCOMPLETE, THE6 COMMISSION SHALL NOTIFY THE MANUFACTURER BY CERTIFIED MAIL . THE7 MANUFACTURER HAS THIRTY DAYS AFTER RECEIVING THE COMMISSION 'S8 WRITTEN NOTICE TO PROVIDE ANY MISSING INFORMATION TO THE9 COMMISSION.10 11 (d) IF THE COMMISSION DETERMINES THAT THE TRADE SECRET12 CLAIM IS COMPLETE:13 (I) T HE COMMISSION SHALL NOT INCLUDE THE INFORMATION IN14 ANY APPLICABLE CHEMICAL DISCLOSURE LIST ; AND15 (II) T HE COMMISSION MAY DISCLOSE THE INFORMATION ONLY IN16 ACCORDANCE WITH SUBSECTION (8) OF THIS SECTION.17 18 (e) NOTWITHSTANDING ANY LAW TO THE CONTRARY , NOTHING IN19 THIS SUBSECTION (7) ALLOWS A MANUFACTURER TO REFUSE TO DISCLOSE20 TO THE COMMISSION THE INFORMATION REQUIRED TO BE DISCLOSED21 UNDER SUBSECTION (2)(a)(I) OF THIS SECTION.22 (8) Disclosure of chemical disclosure information to state23 agencies, health-care professionals, and scientists. (a) O N OR BEFORE24 J ULY 31, 2023, THE COMMISSION SHALL PROMULGATE RULES SETTING25 FORTH STANDARDS FOR THE DISCLOSURE OF CHEMICAL DISCLOSURE26 INFORMATION TO:27 1348 -17- (I) AN OFFICER OR EMPLOYEE OF THE UNITED STATES, THE STATE,1 OR A LOCAL GOVERNMENT IN CONNECTION WITH THE OFFICER 'S OR2 EMPLOYEE'S OFFICIAL DUTIES;3 (II) C ONTRACTORS OF THE UNITED STATES, THE STATE, OR A4 LOCAL GOVERNMENT IF THE COMMISSION DETERMINES THAT DISCLOSURE5 OF THE CHEMICAL DISCLOSURE INFORMATION IS NECESSARY FOR :6 (A) S ATISFACTORY PERFORMANCE OF A CONTRACT WITH THE7 U NITED STATES, THE STATE, OR A LOCAL GOVERNMENT; OR8 (B) T HE PROTECTION OF PUBLIC HEALTH AND SAFETY ;9 (III) A HEALTH-CARE PROFESSIONAL IN THE EVENT OF AN10 EMERGENCY OR TO DIAGNOSE OR TREAT A PATIENT ; AND11 (IV) I N ORDER TO PROTECT PUBLIC HEALTH AND SAFETY , A PERSON12 WHO IS:13 (A) E MPLOYED IN THE FIELD OF PUBLIC HEALTH IN A14 GOVERNMENTAL OR HEALTH -CARE AGENCY; OR15 (B) A SCIENTIST OR RESEARCHER EMPLOYED BY AN INSTITUTION16 OF HIGHER EDUCATION WHO IS STUDYING THE ENVIRONMENTAL OR17 HEALTH IMPACTS OF CHEMICAL PRODUCTS .18 (b) A PERSON DESCRIBED IN SUBSECTION (8)(a)(IV) OF THIS19 SECTION MUST SUBMIT A WRITTEN STATEMENT OF NEED TO THE20 COMMISSION TO RECEIVE CHEMICAL DISCLOSURE INFORMATION . THE21 WRITTEN STATEMENT OF NEED , AT A MINIMUM, MUST:22 (I) I DENTIFY THE SPECIFIC CHEMICAL DISCLOSURE INFORMATION23 THAT IS SOUGHT BY THE PERSON; AND24 (II) D ESCRIBE THE REASON THAT DISCLOSURE OF THE SPECIFIC25 CHEMICAL DISCLOSURE INFORMATION IS NECESSARY FOR PUBLIC HEALTH26 OR RESEARCH PURPOSES.27 1348 -18- (c) A HEALTH-CARE PROFESSIONAL DESCRIBED IN SUBSECTION1 (8)(a)(III) OF THIS SECTION MAY SHARE THE CHEMICAL DISCLOSURE2 INFORMATION WITH OTHER PERSONS , INCLUDING WITH THE PATIENT AND3 OTHER HEALTH-CARE PROFESSIONALS, AS MAY BE PROFESSIONALLY4 NECESSARY TO DIAGNOSE OR TREAT A PATIENT , EXCEPT AS PROHIBITED5 UNDER APPLICABLE FEDERAL OR STATE LAW .6 (9) Reporting to the general assembly. (a) (I) T HE COMMISSION7 SHALL PREPARE AN ANNUAL REPORT THAT INCLUDES :8 (A) A LIST OF THE CHEMICALS USED IN DOWNHOLE OPERATIONS IN9 THE STATE IN THE PRIOR CALENDAR YEAR ;10 (B) A N APPROXIMATE AMOUNT OF EACH CHEMICAL USED IN11 DOWNHOLE OPERATIONS IN THE STATE IN THE PRIOR CALENDAR YEAR ;12 (C) A DESCRIPTION OF THE CONCENTRATION OF THE USE OF EACH13 CHEMICAL IN AREAS THROUGHOUT THE STATE IN THE PRIOR CALENDAR14 YEAR; AND15 (D) T HE NUMBER OF TRADE SECRET CLAIMS RECEIVED BY THE16 COMMISSION UNDER SUBSECTION (7)(a) OF THIS SECTION IN THE PRIOR17 CALENDAR YEAR.18 (II) N O LATER THAN FEBRUARY 1, 2025, AND ON OR BEFORE EACH19 F EBRUARY 1 THEREAFTER, THE COMMISSION SHALL:20 (A) S UBMIT AND PRESENT THE REPORT PREPARED PURSUANT TO21 SUBSECTION (9)(a)(I) OF THIS SECTION TO THE ENERGY AND ENVIRONMENT22 COMMITTEE OF THE HOUSE OF REPRESENTATIVES AND THE23 TRANSPORTATION AND ENERGY COMMITTEE OF THE SENATE , OR ANY24 SUCCESSOR COMMITTEES; AND25 (B) P OST THE REPORT ON THE COMMISSION 'S WEBSITE.26 (b) N OTWITHSTANDING SECTION 24-1-136 (11)(a)(I), THE27 1348 -19- REQUIREMENT TO REPORT TO THE LEGISLATIVE COMMITTEES CONTINUES1 INDEFINITELY.2 (10) Rules. T HE COMMISSION MAY PROMULGATE RULES THAT ARE3 NECESSARY FOR THE IMPLEMENTATION AND ADMINISTRATION OF THIS4 SECTION.5 (11) Local governments. NOTHING IN THIS SECTION OR THE RULES6 PROMULGATED BY THE COMMISSION PURSUANT TO THIS SECTION LIMITS A7 LOCAL GOVERNMENT FROM ENACTING OR ENFORCING ANY ORDINANCE,8 REGULATION, OR OTHER LAW RELATED TO THE DISCLOSURE OF ANY9 CHEMICAL PRODUCT.10 (12) NOTWITHSTANDING ANY LAW TO THE CONTRARY, NOTHING11 IN THIS SECTION OR THE RULES PROMULGATED BY THE COMMISSION12 PURSUANT TO THIS SECTION PREVENTS THE COMMISSION, THE STATE, OR13 A LOCAL GOVERNMENT FROM COLLECTING CHEMICAL DISCLOSURE14 INFORMATION FROM DISCLOSERS OR OPERATORS UNDER ANY OTHER15 PROVISION OF LAW.16 SECTION 3. Appropriation. (1) For the 2022-23 state fiscal17 year, $61,500 is appropriated to the department of natural resources. This18 appropriation is from the oil and gas conservation and environmental19 response fund created in section 34-60-122 (5)(a), C.R.S. To implement20 this act, the department may use this appropriation for the purchase of21 information technology services.22 (2) For the 2022-23 state fiscal year, $61,500 is appropriated to23 the office of the governor for use by the office of information technology.24 This appropriation is from reappropriated funds received from the25 department of natural resources under subsection (1) of this section. To26 implement this act, the office may use this appropriation to provide27 1348 -20- information technology services for the department of natural resources.1 SECTION 4. Safety clause. The general assembly hereby finds,2 determines, and declares that this act is necessary for the immediate3 preservation of the public peace, health, or safety.4 1348 -21-