SENATE BILL 22-028
BY SENATOR(S) Simpson and Sonnenberg, Bridges, Coram, Donovan,
Jaquez Lewis, Buckner, Cooke, Fields, Gardner, Gonzales, Hisey, Holbert,
Kirkmeyer, Lee, Liston, Lundeen, Pettersen, Priola, Rankin, Rodriguez,
Scott, Smallwood, Story, Winter, Woodward, Zenzinger, Fenberg;
also REPRESENTATIVE(S) Roberts and Catlin, McCormick, McKean,
McLachlan, Amabile, Bird, Bockenfeld, Carver, Cutter, Esgar, Geitner,
Jodeh, Kipp, Lindsay, McCluskie, Michaelson Jenet, Pelton, Pico, Rich,
Sandridge, Soper, Titone, Valdez A., Valdez D., Weissman, Will, Young.
C
ONCERNING THE CREATION OF THE GROUNDWATER COMPACT COMPLIANCE
AND SUSTAINABILITY FUND
, AND, IN CONNECTION THEREWITH ,
MAKING AN APPROPRIATION.
Be it enacted by the General Assembly of the State of Colorado:
SECTION 1. In Colorado Revised Statutes, add 37-60-134 as
follows:
37-60-134. Groundwater compact compliance and sustainability
fund - creation - conservation district recommendations for
expenditures - state engineer approval - legislative declaration -
transfer - definitions - reports - repeal. (1) T
HE GENERAL ASSEMBLY
NOTE: This bill has been prepared for the signatures of the appropriate legislative
officers and the Governor. To determine whether the Governor has signed the bill
or taken other action on it, please consult the legislative status sheet, the legislative
history, or the Session Laws.
________
Capital letters or bold & italic numbers indicate new material added to existing law; dashes
through words or numbers indicate deletions from existing law and such material is not part of
the act. HEREBY:
(a) F
INDS AND DETERMINES THAT:
(I) G
ROUNDWATER WELL PUMPING IN CERTAIN AREAS OF THE STATE
PROVIDES THE PRINCIPAL SOURCE OF IRRIGATION WATER SUPPLY BUT
CONSEQUENTLY MAY REDUCE THE QUANTITY OF GROUNDWATER IN THE
AQUIFERS AND MAY IMPACT THE HYDROGEOLOGY OF CONNECTED SURFACE
STREAMS
, RESULTING IN REDUCED STREAM FLOWS THAT THREATEN SENIOR
WATER RIGHTS AND THE STATE
'S COMPLIANCE WITH INTERSTATE COMPACTS ;
(II) G
ROUNDWATER USE IS EXTENSIVE IN FOUR OF THE EIGHT MAJOR
RIVER BASINS IN
COLORADO, NAMELY THE RIO GRANDE, REPUBLICAN,
A
RKANSAS, AND SOUTH PLATTE RIVER BASINS, AND SUCH GROUNDWATER
USE IS CLOSELY TIED TO THE AGRICULTURAL ECONOMY IN THOSE AREAS
;
(III) P
REVIOUS UNITED STATES SUPREME COURT LITIGATION
INITIATED IN NEIGHBORING STATES REGARDING COMPACT COMPLIANCE BY
THE
RIO GRANDE, ARKANSAS, AND REPUBLICAN RIVER BASINS HAVE
INVOLVED COMPLAINTS REGARDING THE EXTENT OF GROUNDWATER USE IN
THOSE AREAS
. SETTLEMENTS OF THE LAWSUITS IN THE RIO GRANDE AND
REPUBLICAN RIVER BASINS RESULTED IN THE CREATION OF WATER
CONSERVATION DISTRICTS TO ADDRESS GROUNDWATER MANAGEMENT AND
CONSERVATION
.
(IV) D
ESPITE THE CONSERVATION DISTRICTS ' AND THE STATE'S
DILIGENT EFFORTS TO IMPLEMENT STRATEGIES TO REDUCE GROUNDWATER
USE
, INCLUDING THE CREATION OF SIX GROUNDWATER MANAGEMENT
SUBDISTRICTS IN THE
RIO GRANDE RIVER BASIN AND THE USE OF VARIOUS
FEDERAL
, STATE, AND LOCAL FUNDING SOURCES TO INCENTIVIZE THE
PURCHASE AND RETIREMENT OF IRRIGATED ACREAGE
, EXTENSIVE
GROUNDWATER USE IN THE
RIO GRANDE AND REPUBLICAN RIVER BASINS
CONTINUES TO THREATEN AQUIFER SUSTAINABILITY
, SENIOR WATER RIGHTS,
AND COMPACT COMPLIANCE ;
(V) A
S PART OF THE EFFORTS TO REDUCE GROUNDWATER USE , THE
STATE ENTERED INTO A STIPULATION WITH
KANSAS AND NEBRASKA IN 2016
IN WHICH THE STATE AGREED TO RETIRE TWENTY -FIVE THOUSAND ACRES OF
IRRIGATED ACREAGE IN THE
REPUBLICAN RIVER BASIN BY 2029, AND,
PURSUANT TO STANDARDS FOR GROUNDWATER MANAGEMENT SET FORTH IN
PAGE 2-SENATE BILL 22-028 SECTION 37-92-501 (4), THE GROUNDWATER MANAGEMENT SUBDISTRICT
NUMBER
1 CREATED IN THE RIO GRANDE WATER CONSERVATION DISTRICT
IS REQUIRED TO RETIRE FORTY THOUSAND ACRES OF IRRIGATED ACREAGE BY
2029;
(VI) T
O DATE, ONLY ABOUT THREE THOUSAND ACRES HAVE BEEN
RETIRED IN THE
REPUBLICAN RIVER BASIN AND ONLY ABOUT THIRTEEN
THOUSAND ACRES HAVE BEEN RETIRED IN THE
RIO GRANDE RIVER BASIN;
AND
(VII) IF THE ACREAGE RETIREMENT REQUIREMENTS IN THE RIO
GRANDE AND REPUBLICAN RIVER BASINS ARE NOT MET , THE STATE MIGHT
BE REQUIRED TO MANDATE GROUNDWATER USE REDUCTIONS FOR
PRODUCTIVE FARMLAND IN THE BASINS TO ACHIEVE COMPACT COMPLIANCE
,
THUS THREATENING THE AGRICULTURAL ECONOMIES IN THE RIVER BASINS ;
AND
(b) DECLARES THAT:
(I) G
REATER FUNDING IS NEEDED TO INCENTIVIZE THE RETIREMENT
OF IRRIGATION WELLS AND IRRIGATED ACREAGE TO COMPLY WITH THE
GROUNDWATER USE REDUCTION REQUIREMENTS
;
(II) T
O ACCELERATE THE STATE'S PROGRESS IN RETIRING IRRIGATED
ACREAGE IN THE
REPUBLICAN AND RIO GRANDE RIVER BASINS IN ORDER TO
MEET STATE
-MANDATED DEADLINES, A STATE FUND SHOULD BE CREATED TO
PROVIDE FINANCIAL INCENTIVES AND ASSISTANCE FOR THE BUYING AND
RETIRING OF IRRIGATION WELLS AND IRRIGATED ACREAGE IN THE BASINS
;
(III) S
UCH USE OF STATE MONEY WOULD ALSO HELP PROMOTE
CONSERVATION AND SUSTAINABILITY OF GROUNDWATER RESOURCES IN
FURTHERANCE OF THE STATE WATER PLAN DEVELOPED PURSUANT TO
SECTION
37-60-106.3; AND
(IV) THE BOARD SHOULD ADMINISTER THE FUND AND DISTRIBUTE
MONEY FROM THE FUND BASED ON RECOMMENDATIONS OF THE BOARD OF
DIRECTORS OF THE
RIO GRANDE WATER CONSERVATION DISTRICT APPOINTED
PURSUANT TO SECTION
37-48-103 OR THE BOARD OF DIRECTORS OF THE
REPUBLICAN RIVER WATER CONSERVATION DISTRICT APPOINTED PURSUANT
TO SECTION
37-50-104, WHICH RECOMMENDATIONS THE STATE ENGINEER
PAGE 3-SENATE BILL 22-028 SHOULD FIRST REVIEW.
(2) T
HE GENERAL ASSEMBLY FURTHER FINDS AND DECLARES THAT :
(a) T
HIS SECTION IS INTENDED TO RESPOND TO THE NEGATIVE
ECONOMIC IMPACTS CAUSED BY THE
COVID-19 PANDEMIC AND RESULTING
PUBLIC HEALTH EMERGENCY BY PROVIDING FINANCIAL INCENTIVES FOR THE
VOLUNTARY RETIREMENT OF IRRIGATED ACREAGE AND WELLS IN ORDER TO
MAINTAIN INTERSTATE COMPACT COMPLIANCE AND FOR THE PROMOTION OF
CONSERVATION AND SUSTAINABILITY OF GROUNDWATER RESOURCES IN
FURTHERANCE OF THE STATE WATER PLAN
;
(b) M
ONEY ALLOCATED TO THE STATE PURSUANT TO THE
"AMERICAN RESCUE PLAN ACT OF 2021" AND TRANSFERRED TO THE
GROUNDWATER COMPACT COMPLIANCE AND SUSTAINABILITY FUND CREATED
IN SUBSECTION
(3)(a) OF THIS SECTION MAY BE USED FOR THE PURPOSES OF
THIS SECTION
; AND
(c) THE COMPACT COMPLIANCE , GROUNDWATER RESOURCE
SUSTAINABILITY
, AND GROUNDWATER CONSERVATION PURPOSES DESCRIBED
IN THIS SECTION ARE IMPORTANT GOVERNMENT SERVICES
.
(3) (a) T
HE GROUNDWATER COMPACT COMPLIANCE AND
SUSTAINABILITY FUND IS HEREBY CREATED IN THE STATE TREASURY AND
CONSISTS OF MONEY THAT THE GENERAL ASSEMBLY MAY APPROPRIATE OR
TRANSFER TO THE FUND
; MONEY THAT THE STATE MAY RECEIVE FROM
FEDERAL SOURCES
, INCLUDING FEDERAL SOURCES OF STIMULUS FUNDING OR
RECOVERY FUNDING
; AND ANY GIFTS, GRANTS, OR DONATIONS THAT THE
BOARD SEEKS
, ACCEPTS, AND EXPENDS FOR THE PURPOSES SET FORTH IN THIS
SECTION
. THE MONEY IN THE FUND IS SUBJECT TO ANNUAL APPROPRIATION
BY THE GENERAL ASSEMBLY
.
(b) T
HE BOARD SHALL ADMINISTER THE FUND TO IMPLEMENT THE
GROUNDWATER COMPACT COMPLIANCE AND SUSTAINABILITY PURPOSES
ESTABLISHED IN ACCORDANCE WITH THIS SECTION
. THE BOARD MAY USE UP
TO FIVE PERCENT OF THE MONEY ANNUALLY APPROPRIATED TO THE FUND TO
PAY THE BOARD
'S DIRECT AND INDIRECT COSTS, AS WELL AS THE DIRECT AND
INDIRECT COSTS INCURRED BY THE
RIO GRANDE WATER CONSERVATION
DISTRICT
, THE REPUBLICAN RIVER WATER CONSERVATION DISTRICT , AND
THE STATE ENGINEER IN IMPLEMENTING THIS SECTION
.
PAGE 4-SENATE BILL 22-028 (4) THE BOARD MAY DISBURSE MONEY FROM THE FUND FOR
PURPOSES RELATED TO COMPACT COMPLIANCE AND GROUNDWATER
RESOURCE SUSTAINABILITY AND CONSERVATION
, INCLUDING THE FINANCING
OF PROGRAMS DIRECTED AT BUYING AND RETIRING IRRIGATED ACREAGE TO
REDUCE GROUNDWATER USE
. THE BOARD OF DIRECTORS OF THE RIO
GRANDE WATER CONSERVATION DISTRICT AND THE BOARD OF DIRECTORS OF
THE
REPUBLICAN RIVER WATER CONSERVATION DISTRICT , IN
COLLABORATION WITH THE BOARD AND THE STATE ENGINEER
, MAY EACH
ESTABLISH ELIGIBILITY AND APPLICATION CRITERIA FOR DISBURSEMENT OF
MONEY FROM THE FUND
. EACH BOARD OF DIRECTORS SHALL POST ON ITS
WEBSITE ANY CRITERIA ESTABLISHED PURSUANT TO THIS SUBSECTION
(4).
(5) T
HE BOARD SHALL DISBURSE MONEY FROM THE FUND BASED ON
RECOMMENDATIONS FROM THE BOARD OF DIRECTORS OF EITHER THE
RIO
GRANDE WATER CONSERVATION DISTRICT OR THE REPUBLICAN RIVER
WATER CONSERVATION DISTRICT
, WHICH RECOMMENDATIONS MUST FIRST BE
APPROVED BY THE STATE ENGINEER
.
(6) I
F ALL GROUNDWATER REDUCTION REQUIREMENTS ESTABLISHED
BY FEDERAL OR STATE COURT ORDER OR STIPULATION HAVE BEEN MET AND
ALL STATUTORILY MANDATED GROUNDWATER REDUCTION ST ANDARDS HAVE
BEEN ACHIEVED
, THIS SECTION WILL BE REPEALED ; EXCEPT THAT THIS
SECTION SHALL NOT BE REPEALED BEFORE
JANUARY 1, 2025. THE BOARD
SHALL NOTIFY THE REVISOR OF STATUTES IN WRITING OF THE DATE WHEN
THE CONDITIONS SPECIFIED IN THIS SUBSECTION
(6) HAVE OCCURRED BY
EMAILING THE NOTICE TO REVISOROFSTATUTES
.GA@STATE.CO.US. THE
BOARD SHALL ALSO SEND A COPY OF THE NOTICE TO THE STATE TREASURER
WHO
, WITHIN THREE DAYS AFTER RECEIVING THE NOTICE , SHALL TRANSFER
ANY MONEY REMAINING IN THE FUND TO THE GENERAL FUND
. THIS SECTION
IS REPEALED
, EFFECTIVE UPON THE DATE IDENTIFIED IN THE NOTICE OR , IF
THE NOTICE DOES NOT SPECIFY THAT DATE
, UPON THE DATE OF THE NOTICE
TO THE REVISOR OF STATUTES
.
(7) (a) F
OR THE 2022-23 STATE FISCAL YEAR, THE GENERAL
ASSEMBLY SHALL APPROPRIATE TO THE FUND SIXTY MILLION DOLLARS FROM
THE ECONOMIC RECOVERY AND RELIEF CASH FUND CREATED IN SECTION
24-75-228 (2)(a). THE BOARD MAY USE THE MONEY APPROPRIATED FOR THE
PURPOSES SET FORTH IN THIS SECTION
. EXCEPT AS PROVIDED IN SUBSECTION
(7)(b) OF THIS SECTION, ANY MONEY APPROPRIATED TO THE FUND IN THE
2022-23 STATE FISCAL YEAR THAT IS UNOBLIGATED OR UNEXPENDED AT THE
PAGE 5-SENATE BILL 22-028 END OF THE STATE FISCAL YEAR REMAINS AVAILABLE FOR EXPENDITURE BY
THE BOARD IN SUBSEQUENT STATE FISCAL YEARS WITHOUT FURTHER
APPROPRIATION
, SUBJECT TO THE REQUIREMENTS FOR OBLIGATING AND
EXPENDING MONEY RECEIVED UNDER THE
"AMERICAN RESCUE PLAN ACT OF
2021", AS SPECIFIED IN SECTION 24-75-226 (4)(d).
(b) O
N AUGUST 15, 2024, IF THERE IS UNOBLIGATED MONEY IN THE
FUND
, THE STATE TREASURER SHALL:
(I) I
F THE AMOUNT OF UNOBLIGATED MONEY IS TWENTY MILLION
DOLLARS OR LESS
, TRANSFER ALL OF THE UNOBLIGATED MONEY TO THE
WATER PLAN IMPLEMENTATION ACCOUNT
; OR
(II) IF THE AMOUNT OF UNOBLIGATED MONEY IS GREATER THAN
TWENTY MILLION DOLLARS
, TRANSFER TO THE WATER PLAN
IMPLEMENTATION ACCOUNT TWENTY MILLION DOLLARS
.
(8) (a) T
HE BOARD AND ANY PERSON THAT RECEIVES MONEY FROM
THE BOARD PURSUANT TO THIS SECTION OR SECTION
37-60-123.3 (3) SHALL
COMPLY WITH THE COMPLIANCE
, REPORTING, RECORD-KEEPING, AND
PROGRAM EVALUATION REQUIREMENT ESTABLISHED BY THE OFFICE OF
STATE PLANNING AND BUDGETING AND THE STATE CONTROLLER IN
ACCORDANCE WITH SECTION
24-75-226 (5).
(b) C
OMMENCING IN 2023, AND FOR EACH YEAR THEREAFTER
THROUGH
2027, AS PART OF ITS ANNUAL PRESENTATIONS TO THE GENERAL
ASSEMBLY UNDER THE
"STATE MEASUREMENT FOR ACCOUNTABLE,
R
ESPONSIVE, AND TRANSPARENT (SMART) GOVERNMENT ACT", PART 2 OF
ARTICLE
7 OF TITLE 2, THE DEPARTMENT OF NATURAL RESOURCES SHALL
REPORT ON HOW MUCH MONEY THE BOARD HAS EXPENDED UNDER THIS
SECTION AND IF THE BOARD EXPECTS TO EXPEND THE FULL SIXTY MILLION
DOLLARS FOR THE PURPOSES SET FORTH IN THIS SECTION OR
, IF MONEY IS
TRANSFERRED TO THE WATER PLAN IMPLEMENTATION ACCOUNT IN
2024, IF
THE BOARD IS ON TRACK TO EXPEND THE FULL SIXTY MILLION DOLLARS FOR
THE PURPOSES SET FORTH IN THIS SECTION AND THE PURPOSES SET FORTH IN
SECTION
37-60-123.3 (3).
(9) A
S USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE
REQUIRES
:
PAGE 6-SENATE BILL 22-028 (a) "AMERICAN RESCUE PLAN ACT OF 2021" MEANS THE FEDERAL
"AMERICAN RESCUE PLAN ACT OF 2021", PUB.L. 117-2, AS THE ACT MAY BE
SUBSEQUENTLY AMENDED
.
(b) "COVID-19"
MEANS THE CORONAVIRUS DISEASE CAUSED BY THE
SEVERE ACUTE RESPIRATORY SYNDROME CORONAVIRUS
2, ALSO KNOWN AS
SARS-COV-2.
(c) "F
UND" MEANS THE GROUNDWATER COMPACT COMPLIANCE AND
SUSTAINABILITY FUND CREATED IN SUBSECTION
(3)(a) OF THIS SECTION.
(d) "W
ATER PLAN IMPLEMENTATION ACCOUNT " MEANS THE WATER
PLAN IMPLEMENTATION ACCOUNT CREATED IN SECTION
37-60-123.3 (3)(b).
SECTION 2. In Colorado Revised Statutes, 37-60-123.3, add (3)
as follows:
37-60-123.3. Water plan implementation cash fund - created -
water plan implementation account - created - legislative declaration
- reporting - repeal. (3) (a) T
HE GENERAL ASSEMBLY FINDS AND DECLARES
THAT
:
(I) T
HIS SUBSECTION (3) IS INTENDED TO RESPOND TO THE NEGATIVE
ECONOMIC IMPACTS CAUSED BY THE
COVID-19 PANDEMIC, AS DEFINED IN
SECTION
37-60-134 (9)(b), AND THE RESULTING PUBLIC HEALTH EMERGENCY
BY PROVIDING GRANT MONEY TO PROM OTE PROJECTS AND ACTIONS THAT
ADVANCE PROGRESS TOWARD ACCOMPLISHING THE CRITICAL ACTIONS
IDENTIFIED IN THE STATE WATER PLAN
;
(II) M
ONEY ALLOCATED TO THE STATE PURSUANT TO THE
"AMERICAN RESCUE PLAN ACT OF 2021", AS DEFINED IN SECTION 37-60-134
(9)(a),
AND TRANSFERRED TO THE WATER PLAN IMPLEMENTATION ACCOUNT
MAY BE USED FOR THE PURPOSES OF THIS SUBSECTION
(3); AND
(III) THE WATER PLAN IMPLEMENTATION PURPOSES DESCRIBED IN
THIS SUBSECTION
(3) ARE IMPORTANT GOVERNMENT SERVICES .
(b) T
HERE IS HEREBY CREATED IN THE WATER PLAN
IMPLEMENTATION CASH FUND THE WATER PLAN IMPLEMENTATION ACCOUNT
,
REFERRED TO IN THIS SUBSECTION (3) AS THE "ACCOUNT". THE MONEY IN
PAGE 7-SENATE BILL 22-028 THE ACCOUNT IS CONTINUOUSLY APPROPRIATED TO THE BOARD TO USE FOR
THE PURPOSES SET FORTH IN THIS SUBSECTION
(3).
(c) T
HE ACCOUNT CONSISTS OF ALL MONEY TRANSFERRED TO THE
ACCOUNT ON
AUGUST 15, 2024, FROM THE GROUNDWATER COMPACT
COMPLIANCE AND SUSTAINABILITY FUND CREATED IN SECTION
37-60-134
(3)(a).
(d) T
HE BOARD AND ANY PERSON THAT RECEIVES MONEY FROM THE
BOARD PURSUANT TO THIS SUBSECTION
(3) SHALL COMPLY WITH THE
COMPLIANCE
, REPORTING, RECORD-KEEPING, AND PROGRAM EVALUATION
REQUIREMENT ESTABLISHED BY THE OFFICE OF STATE PLANNING AND
BUDGETING AND THE STATE CONTROLLER IN ACCORDANCE WITH SECTION
24-75-226 (5).
(e) T
HIS SUBSECTION (3) IS REPEALED, EFFECTIVE SEPTEMBER 1,
2027.
SECTION 3. Appropriation. (1) For the 2022-23 state fiscal year,
$60,000,000 is appropriated to the groundwater compact compliance and
sustainability fund created in section 37-60-134 (3)(a), C.R.S. This
appropriation is from the economic recovery and relief cash fund created in
section 24-75-228 (3)(a), C.R.S., and is of money the state received from
the federal coronavirus state fiscal recovery fund. The Department of
Natural Resources is responsible for the accounting related to this
appropriation.
(2) For the 2022-23 state fiscal year, $60,000,000 is appropriated to
the department of natural resources for use by the Colorado water
conservation board. This appropriation is from reappropriated funds from
the groundwater compact compliance and sustainability fund under
subsection (1) of this section. To implement this act, the board may use this
appropriation for compact compliance and groundwater resource
sustainability and conservation pursuant to section 37-60-134, C.R.S. Any
money appropriated in this section not expended prior to July 1, 2023, is
further appropriated to the board from July 1, 2023, through December 30,
2024, for the same purpose.
SECTION 4. Safety clause. The general assembly hereby finds,
PAGE 8-SENATE BILL 22-028 determines, and declares that this act is necessary for the immediate
preservation of the public peace, health, or safety.
____________________________ ____________________________
Steve Fenberg Alec Garnett
PRESIDENT OF SPEAKER OF THE HOUSE
THE SENATE OF REPRESENTATIVES
____________________________ ____________________________
Cindi L. Markwell Robin Jones
SECRETARY OF CHIEF CLERK OF THE HOUSE
THE SENATE OF REPRESENTATIVES
APPROVED________________________________________
(Date and Time)
_________________________________________
Jared S. Polis
GOVERNOR OF THE STATE OF COLORADO
PAGE 9-SENATE BILL 22-028