Colorado 2023 2023 Regular Session

Colorado Senate Bill SB092 Amended / Bill

Filed 05/08/2023

                    First Regular Session
Seventy-fourth General Assembly
STATE OF COLORADO
REVISED
This Version Includes All Amendments Adopted
on Second Reading in the Second House
LLS NO. 23-0514.01 Jennifer Berman x3286
SENATE BILL 23-092
Senate Committees House Committees
Agriculture & Natural Resources Agri culture, Water & Natural Resources
Appropriations Appropriations
A BILL FOR AN ACT
C
ONCERNING OPPORTUNITIES FOR VOLUNTARY EMISSION RE DUCTIONS101
IN AGRICULTURE, AND, IN CONNECTION THEREWITH , MAKING AN
102
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
.)
In support of the use of agrivoltaics, which is the integration of
solar energy generation facilities with agricultural activities, section 2 of
the bill authorizes the agricultural drought and climate resilience office
(office) to award grants for new or ongoing demonstration or research
projects that demonstrate or study the use of agrivoltaics. On or before
HOUSE
Amended 2nd Reading
May 7, 2023
SENATE
3rd Reading Unamended
April 24, 2023
SENATE
Amended 2nd Reading
April 21, 2023
SENATE SPONSORSHIP
Simpson and Hansen, Bridges, Buckner, Coleman, Cutter, Exum, Fenberg, Fields,
Gonzales, Hinrichsen, Jaquez Lewis, Marchman, Mullica, Pelton B., Pelton R., Priola,
Roberts, Will, Winter F.
HOUSE SPONSORSHIP
McCormick and Soper, 
Shading denotes HOUSE amendment.  Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing law.
Dashes through the words or numbers indicate deletions from existing law. October 1, 2023, the office is required to convene a stakeholder group to
advise on whether the office should impose any operational requirements
for agrivoltaic projects that apply for grants.
Section 4 authorizes the Colorado water conservation board
(board) to finance a project to study the feasibility of using aquavoltaics,
which are solar energy generation facilities placed over, or floating on,
irrigation canals or reservoirs.
Section 1 requires the director of the division of parks and wildlife
to consult on the impacts on wildlife of:
! Any research projects for which the office awards money
to study the use of agrivoltaics; and
! The project that the board finances to study the feasibility
of using aquavoltaics in the state.
Section 5 amends the statutory definition of "solar energy facility",
used in determining the valuation of public utilities for property tax
purposes, to include agrivoltaics and aquavoltaics.
Section 3 requires the commissioner of agriculture or the
commissioner's designee (commissioner), in consultation with the
Colorado energy office, the air quality control commission, and an
institution of higher education with expertise in climate change
mitigation, adaptation benefits, and other environmental benefits related
to agricultural research, to examine greenhouse gas reduction and carbon
sequestration opportunities in the agricultural sector, including the use of
dry digesters and the potential for creating and offering a certified
greenhouse gas offset program and credit instruments in the agricultural
sector.
Section 3 requires the commissioner to submit a progress report
on the study to the general assembly on or before October 1, 2024, and a
final report, including any recommendations, on or before October 1,
2025.
Section 3 also authorizes the commissioner to adopt rules to
implement the recommendations, but requires that any greenhouse gas
offset program or other greenhouse gas reduction and carbon
sequestration program or mechanism established in rule not mandate
participation by agricultural producers.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, 33-1-110, add (9) as2
follows:3
33-1-110.  Duties of the director of the division - habitat4
partnership council, program, committee - created - duties. (9)  T
HE5
092-2- DIRECTOR OR THE DIRECTOR'S DESIGNEE SHALL PROVIDE CONSULTATION1
REGARDING THE IMPACTS OF THE FOLLOWING RESEARCH PROJECTS ON2
WILDLIFE:3
(a)  R
ESEARCH PROJECTS FOR WHICH THE AGRICULTURAL DROUGHT4
AND CLIMATE RESILIENCE OFFICE AWARDS MONEY TO STUDY THE USE OF5
AGRIVOLTAICS PURSUANT TO SECTION 35-1-114; AND6
(b)  A
 FEASIBILITY STUDY THROUGH WHICH THE 	COLORADO WATER7
CONSERVATION BOARD, CREATED IN SECTION 37-60-102, STUDIES THE USE8
OF 
FLOATOVOLTAICS PURSUANT TO SECTION 37-60-115 (12).9
SECTION 2. In Colorado Revised Statutes, 35-1-114, amend10
(1)(c)(II), (2), and (3); and add (4)      as follows:11
35-1-114.  Agricultural drought and climate resilience office -12
creation - grants for agrivoltaic demonstration and research projects13
- rules - definitions. (1)  Legislative declaration. The general assembly14
hereby:15
(c)  Declares that:16
(II)  The agricultural drought and climate resilience office can best17
address and mitigate agricultural climate-related issues on a wide scale by18
providing support to and assisting bona fide agricultural producers in19
implementing practices that minimize the impacts of climate change.20
(2)  Office created. (a) (I)  There is hereby created in the21
department the agricultural drought and climate resilience office. referred22
to in this section as the "office". The office may provide voluntary23
technical assistance, nonregulatory programs, and incentives, 
INCLUDING24
GRANTS, that increase the ability to anticipate, prepare for, mitigate, adapt25
to, and respond to hazardous events, trends, or disturbances related to26
drought or the climate.27
092
-3- (II)  IN AWARDING GRANTS IN ACCORDANCE WITH THE1
COMMISSIONER'S RULES ADOPTED PURSUANT TO SUBSECTION (3) OF THIS2
SECTION, THE OFFICE SHALL GIVE STRONG CONSIDERATION TO GRANT3
APPLICATIONS THAT PROPOSE USING GRANT MONEY TO CONDUCT A NEW4
OR ONGOING DEMONSTRATION OR RESEARCH PROJECT AS A MEANS TO5
STUDY THE POTENTIAL, BENEFITS, AND TRADEOFFS OF AGRIVOLTAICS IN6
THE STATE. ANY AGRIVOLTAIC STUDY AWARDED A GRANT PURSUANT TO7
THIS SUBSECTION (2)(a)(II) MUST INCLUDE FINDINGS ON THE ADDITIONAL8
COSTS, INCLUDING THE ADDITIONAL CAPITAL AND ONGOING MAINTENANCE9
COSTS, FOR THE USE OF AGRIVOLTAICS AS COMPARED TO TRADITIONAL10
PHOTOVOLTAICS. THE ADDITIONAL COSTS MUST BE QUANTIFIED ON BOTH11
A DOLLAR-PER-MEGAWATT AND A DOLLAR -PER-MEGAWATT-HOUR BASIS.12
(b)  The office shall advise the commissioner, the Colorado13
agricultural value-added development board created in section 35-75-203,14
other state agencies, and the governor on the impact to agriculture of15
drought and climate policies and programs.16
(c)  The commissioner shall appoint the head of the office.17
(3) (a)  Rules. The commissioner may promulgate rules necessary18
for the administration of the office's assistance, programs, and incentives,19
including grants, 
CONSISTENT WITH THIS SUBSECTION (3). Before20
promulgating the rules, the commissioner shall convene a stakeholder21
group, including representatives of organizations whose membership22
consists of agricultural producers engaged in the production of the top ten23
agricultural commodities produced in Colorado, and
 members of the state24
conservation board created in section 35-70-103 (1)(a), 
AND
25
REPRESENTATIVES OF THE SOLAR ENERGY DEVELOPMENT INDUSTRY . The26
stakeholder group shall advise the commissioner as to the needs of the27
092
-4- agriculture industry to respond to and mitigate the impacts of climate1
change on agricultural production For the purpose of this section, "bona2
fide agricultural producer" means an agricultural producer that receives3
a majority of the producer's annual income from agriculture, an4
agricultural producer that spends more than one thousand forty hours per5
year engaged in agricultural production, or a Colorado business that6
processes agricultural products AND SOLUTIONS FROM THE SOLAR ENERGY7
DEVELOPMENT INDUSTRY ON PROVIDING FEASIBLE SOLUTIONS FOR8
PRODUCING ELECTRICITY ON AGRICULTURAL LANDS WHILE CONTRIBUTING9
ECOLOGICAL AND AGRICULTURAL BENEFITS .10
(b)  Assistance, programs, and incentives. (I)  Except for a11
program, 
ASSISTANCE, INCENTIVE, or support administered by the office12
to address immediate needs as a result of disaster, including wildfire and13
drought, or a program
 that was in existence on January 1, 2021,14
(a) a program, ASSISTANCE, INCENTIVE, OR SUPPORT administered15
by the office must be designed to benefit bona fide agricultural producers16
actively engaged in agriculture INCLUDE NEW OR ONGOING17
DEMONSTRATION OR RESEARCH PROJECTS TO DEMONSTRATE OR STUDY18
THE USE OF AGRIVOLTAICS TO:19
(A)  H
ELP PREPARE FOR AND MITIGATE THE IMPACTS THAT CLIMATE20
CHANGE OR DROUGHT HAVE ON AGRICULTURE ;21
(B)  R
EDUCE ENERGY COSTS IN AGRICULTURE ;
22
(C)  I
MPROVE THE ECONOMIC RESILIENCE OF AGRICULTURAL
23
PRODUCERS;24
(D)  M
INIMIZE NEGATIVE ENVIRONMENTAL IMPACTS OF
25
PHOTOVOLTAIC ENERGY PRODUCTION FACILITIES ON SOIL HEALTH , NATIVE26
VEGETATION, STATE AND FEDERAL LISTED SPECIES, WILDLIFE MIGRATION27
092
-5- CORRIDORS, AND THE SPECIES, HABITATS, AND ECOSYSTEMS THAT ARE OF1
THE GREATEST CONSERVATION NEED ; AND2
(E) PROVIDE OTHER STATEWIDE ENVIRONMENTAL BENEFITS , AS3
IDENTIFIED BY THE OFFICE.4
(II)  Grants awarded by the office must pay for implementation of5
practices to address and mitigate the impacts of climate change or drought6
ON AGRICULTURE or to provide direct adaptation support for impacted7
agricultural communities, including mental health resources, conflict8
resolution assistance, and risk-management guidance. A grant award may9
pay no more than five percent of administrative expenses incurred by a10
bona fide
 AN agricultural producer to implement the practices.11
(b) (III)  The department shall, at least thirty days before opening12
the grant application process, make available, on its website, information13
related to the grant program available to bone fide agricultural producers.14
(c) (IV)  A grant authorized pursuant to this section must receive15
final approval by the commission before a final award can be issued. and16
(d) (V)  The department shall post on its website all applications17
for grant awards. Within fifteen days after awarding a grant, the18
department shall post on its website the name of the individual or entity19
receiving a grant, the amount of the grant awarded, the project or projects20
to be funded by the grant, and the duration of the grant award.21
     22
      (4) AS USED IN THIS SECTION, UNLESS THE CONTEXT23
OTHERWISE REQUIRES:24
(a)  "A
GRIVOLTAICS" MEANS ONE OR MORE SOLAR ENERGY25
GENERATION FACILITIES DIRECTLY INTEGRATED WITH AGRICULTURAL26
ACTIVITIES, INCLUDING CROP PRODUCTION , GRAZING, ANIMAL27
092
-6- HUSBANDRY, APIARIES, COVER CROPPING TO IMPROVE SOIL HEALTH OR1
INSECT HABITAT BENEFITS OR CARBON SEQUESTRATION , OR PRODUCTION2
OF AGRICULTURAL COMMODITIES FOR SALE IN THE RETAIL OR WHOLESALE3
MARKET.4
          5
(b) "OFFICE" MEANS THE AGRICULTURAL DROUGHT AND CLIMATE6
RESILIENCE OFFICE CREATED IN SUBSECTION (2) OF THIS SECTION.7
SECTION 3. In Colorado Revised Statutes, add 35-1-119 as8
follows:9
35-1-119.  Study of greenhouse gas reduction and carbon10
sequestration opportunities in agriculture and agricultural land11
management - definitions - reporting - rules. (1) (a) (I)  I
N12
ACCORDANCE WITH SUBSECTION (1)(a)(II) OF THIS SECTION, THE13
COMMISSIONER OR THE COMMISSIONER 'S DESIGNEE SHALL CONDUCT A14
STUDY TO EXAMINE GREENHOUSE GAS REDUCTION AND CARBON15
SEQUESTRATION OPPORTUNITIES IN THE AGRICULTURAL SECTOR AND IN16
AGRICULTURAL LAND MANAGEMENT IN THE STATE , INCLUDING:17
(A)  S
OIL HEALTH MANAGEMENT PRACTICES , INCLUDING COVER
18
CROPPING, MANURE MANAGEMENT , SOIL AMENDMENTS, ROTATIONAL19
GRAZING, RANGELAND MANAGEMENT , LOW- AND NO-TILL PRACTICES, AND20
HEDGE GROWS;21
(B)  T
HE USE OF DRY DIGESTERS; AND
22
(C) AN INVESTIGATION INTO THE POTENTIAL FOR CREATING AND23
OFFERING A CERTIFIED GREENHOUSE GAS OFFSET PROGRAM AND CREDIT24
INSTRUMENTS TO PROVIDE FUNGIBLE GREENHOUSE GAS OFFSETS FOR25
AGRICULTURAL PRODUCERS AND IN AGRICULTURAL LAND MANAGEMENT .26
(II)  T
HE COMMISSIONER OR COMMISSIONER 'S DESIGNEE SHALL27
092
-7- CONDUCT THE STUDY IN CONSULTATION WITH THE COLORADO ENERGY1
OFFICE CREATED IN SECTION 24-38.5-101, THE AIR QUALITY CONTROL2
COMMISSION CREATED IN SECTION 25-7-104 (1), THE NATURAL AND3
WORKING LANDS TASK FORCE CONVENED BY THE DEPARTMENT OF4
NATURAL RESOURCES, THE COLORADO STATE FOREST SERVICE , AND AN5
INSTITUTION OF HIGHER EDUCATION WITH EXPERTISE IN CLIMATE CHANGE6
MITIGATION, ADAPTATION BENEFITS , AND OTHER ENVIRONMENTAL7
BENEFITS RELATED TO AGRICULTURAL RESEARCH .8
(b) (I)  A
NY CERTIFIED GREENHOUSE GAS OFFSET PROGRAM AND9
CREDIT INSTRUMENTS OFFERED MUST REFLECT REAL , ADDITIONAL,10
QUANTIFIABLE, PERMANENT, VERIFIABLE, AND ENFORCEABLE REDUCTIONS11
IN GREENHOUSE GAS EMISSIONS THAT ARE EQUIVALENT TO THE OFFSETS12
PROVIDED AND MUST NOT REQUIRE AGRICULTURAL PRODUCERS	'13
PARTICIPATION.14
(II)  G
REENHOUSE GAS OFFSETS DEVELOPED FOR AGRICULTURAL15
PRODUCERS AND IN AGRICULTURAL LAND MANAGEMENT IN ACCORDANCE16
WITH THIS SECTION:
17
(A)  M
AY BE INCORPORATED INTO THE AIR QUALITY CONTROL
18
COMMISSION'S RULES, INCLUDING RULES ADOPTED UNDER SECTION19
25-7-105 (1)(e), 
AND, SPECIFICALLY, RULES CONCERNING COORDINATION20
WITH OTHER JURISDICTIONS PURSUANT TO THE AUTHORITY GRANTED IN ,21
AND THE CONSIDERATIONS REQUIRED UNDER , SECTION 25-7-105 (1)(e)(V);22
(B)  M
AY BE USED AS COMPLIANCE INSTRUMENTS BY A SOURCE
23
REGULATED UNDER ARTICLE 7 OF TITLE 25, WITH EMISSION REDUCTION24
OBLIGATIONS ESTABLISHED BY THE AIR QUALITY CONTROL COMMISSION25
THAT ENSURE THAT THE ANNUAL , OVERALL, ABSOLUTE EMISSIONS FROM26
THE SOURCE, SECTOR, OR GROUP OF SOURCES DECLINE CONSISTENT WITH27
092
-8- THE STATEWIDE GREENHOUSE GAS EMISSION REDUCTION GOALS SET FORTH1
IN SECTION 25-7-102 (2)(g); EXCEPT THAT, IF THE SOURCE IS LOCATED IN2
A DISPROPORTIONATELY IMPACTED COMMUNITY, THE COMMISSION SHALL3
ESTABLISH BY RULE AN ANNUAL , ABSOLUTE EMISSION REDUCTION4
OBLIGATION SPECIFIC TO THE SOURCE.5
(C)  M
UST NOT BE AVAILABLE AS AN INSTRUMENT FOR EMISSIONS
6
REDUCTION COMPLIANCE UNDER SECTION 25-7-105 (1)(e)(V) UNLESS THE7
COMMISSION HAS ADOPTED RULES ESTABLISHING AN ANNUAL , ABSOLUTE8
EMISSION REDUCTION OBLIGATION FOR THE RELEVANT SECTOR THAT IS9
CONSISTENT WITH THE STATEWIDE GREENHOUSE GAS EMISSION REDUCTION10
GOALS.11
(c)  T
HE STUDY MUST IDENTIFY POLICY MECHANISMS TO AVOID
 THE12
IMPACTS THAT THE USE OF GREENHOUSE GAS OFFSETS BY REGULATED13
SOURCES COULD HAVE ON DISPROPORTIONATELY IMPACTED COMMUNITIES .14
(2)  T
HE COMMISSIONER OR THE COMMISSIONER 'S DESIGNEE SHALL15
SUBMIT TO THE GENERAL ASSEMBLY :16
(a)  A
 REPORT SUMMARIZING THE PROGRESS ON THE STUDY ON OR17
BEFORE OCTOBER 1, 2024; AND18
(b)  A
 FINAL REPORT ON THE STUDY ON OR BEFORE OCTOBER 1,19
2025.
 THE FINAL REPORT MUST INCLUDE ANY LEGISLATIVE , REGULATORY,20
OR OTHER RECOMMENDATIONS FOR DESIGNING AND IMPLEMENTING21
GREENHOUSE GAS REDUCTION AND CARBON SEQUESTRATION22
OPPORTUNITIES FOR THE AGRICULTURAL SECTOR AND IN AGRICULTURAL23
LAND MANAGEMENT IN THE STATE .24
(3) (a) (I)  U
PON CONCLUSION OF THE STUDY, WITH REGARD TO ANY25
RECOMMENDATIONS IN THE STUDY THAT DO NOT REQUIRE LEGISLATIVE26
CHANGES, THE COMMISSIONER, IN CONSULTATION WITH THE COLORADO27
092
-9- ENERGY OFFICE AND THE AIR QUALITY CONTROL COMMISSION	, MAY ADOPT1
RULES TO IMPLEMENT THE RECOMMENDATIONS .2
(II)  A
NY RULES ADOPTED PURSUANT TO THIS SUBSECTION (3)(a)3
MUST NOT MANDATE PARTICIPATION BY AGRICULTURAL PRODUCERS IN4
ANY GREENHOUSE GAS OFFSET PROGRAM OR ANY OTHER GREENHOUSE GAS5
REDUCTION AND CARBON SEQUESTRATI ON PROGRAMS OR MECHANISMS6
DEVELOPED IN RULE, BUT THE RULES MAY PROVIDE INCENTIVES TO7
AGRICULTURAL PRODUCERS FOR THEIR VOLUNTARY PARTICIPATION IN ANY8
PROGRAM OR MECHANISM DEVELOPED IN RULE PURSUANT TO THIS9
SUBSECTION (3)(a).10
(b)  I
F THE COMMISSIONER ADOPTS RULES PURSUANT TO11
SUBSECTION (3)(a) OF THIS SECTION, THE DEPARTMENT SHALL INCLUDE A12
SUMMARY OF THE RULES AS PART OF THE DEPARTMENT 'S REGULATORY13
AGENDA THAT IT FILES PURSUANT TO SECTION 2-7-203 (4) AND THAT IS14
INCLUDED IN THE DEPARTMENT 'S "SMART ACT" PRESENTATION THAT15
IMMEDIATELY FOLLOWS THE ADOPTION OF THE RULES .16
(4)  N
OTHING IN THIS SECTION REQUIRES THE AIR QUALITY
17
CONTROL COMMISSION TO ADOPT RULES FOR GREENHOUSE GAS EMISSION18
OFFSETS OR CREDIT MECHANISMS OR TO ACCEPT ANY GREENHOUSE GAS19
EMISSION OFFSETS OR CREDIT MECHANISMS AS COMPLIANCE INSTRUMENTS20
FOR EMISSION REDUCTION COMPLIANCE OR VERIFICATION .21
(5) AS USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE22
REQUIRES:23
(a)  "A
NAEROBIC DIGESTER" MEANS A SEALED, OXYGEN-FREE TANK24
INTO WHICH FEEDSTOCK, SUCH AS FOOD WASTE, ANIMAL MANURE, OR25
WASTEWATER SLUDGE , IS PLACED FOR ANAEROBIC DIGESTION BY26
MICROORGANISMS. AN ANAEROBIC DIGESTER CAN BE USED AS A MEANS OF27
092
-10- WASTE DISPOSAL OR ENERGY PRODUCTION .1
(b)  "D
ISPROPORTIONATELY IMPACTED COMMUNITIES " HAS THE2
MEANING SET FORTH IN SECTION 24-4-109 (2)(b)(II).3
(c)  "D
RY DIGESTER" MEANS AN ANAEROBIC DIGESTER THAT4
PROCESSES FEEDSTOCK WITH A LOW MOISTURE CONTENT .5
SECTION 4. In Colorado Revised Statutes, 37-60-115, add (12)6
as follows:7
37-60-115.  Water studies - rules - reports - definitions - repeal.
8
(12) (a)  Study. (I)  T
HE BOARD, IN CONSULTATION WITH THE STATE
9
ENGINEER, THE COLORADO ENERGY OFFICE, AND THE INSTITUTE, SHALL10
CONDUCT A STUDY TO DETERMINE THE FEASIBILITY OF THE USE OF11
FLOATOVOLTAICS AS A MEANS OF INCREASING THE BENEFICIAL12
CONSUMPTIVE USE OF STATE WATERS BY REDUCING EVAPORATION FROM ,13
AND LOWERING TEMPERATURES OF , IRRIGATION CANALS AND RESERVOIRS14
UPON WHICH 	FLOATOVOLTAIC INFRASTRUCTURE IS PLACED . IN STUDYING15
THE FEASIBILITY OF USING FLOATOVOLTAICS, THE BOARD SHALL ENSURE16
THAT ANY FLOATOVOLTAIC INFRASTRUCTURE USED IN THE STUDY DOES17
NOT INTERFERE WITH INSTREAM FLOWS , AS DESCRIBED IN SECTION18
37-92-102
 (3), OR WITH WATER RIGHTS OWNERS ' ABILITY TO DIVERT19
WATER FOR BENEFICIAL USE.20
(II)  T
HE BOARD MAY CONTRACT WITH THE INSTITUTE , A THIRD
21
PARTY, OR BOTH, TO DESIGN, CARRY OUT, AND ANALYZE THE RESULTS OF22
THE STUDY REQUIRED IN THIS SUBSECTION (12)(a). IF THE BOARD DEEMS23
APPROPRIATE, THE STUDY MUST BE CONDUCTED IN CONSIDERATION OF24
AND RELIANCE ON RELEVANT STUDIES COMPL ETED IN THE STATE AND25
NATIONALLY.26
(b)  Report. O
N OR BEFORE JANUARY 1, 2025, THE BOARD SHALL
27
092
-11- SUBMIT A REPORT OF THE FINDINGS AND CONCLUSIONS OF THE STUDY TO1
THE HOUSE OF REPRESENTATIVES AGRICULTURE , WATER, AND NATURAL2
RESOURCES COMMITTEE AND THE SENATE AGRICULTURE AND NATURAL3
RESOURCES COMMITTEE, OR THEIR SUCCESSOR COMMITTEES .4
(c) AS USED IN THIS SUBSECTION (12), UNLESS THE CONTEXT5
OTHERWISE REQUIRES:6
     7
(I)  "BENEFICIAL USE" HAS THE MEANING SET FORTH IN SECTION8
37-92-103
 (4).9 (II)  "DIVERT" HAS THE MEANING SET FORTH IN SECTION 37-92-10310
(7).11
(III) "FLOATOVOLTAICS" MEANS ONE OR MORE SOLAR ENERGY12
GENERATION FACILITIES PLACED OVER, NEAR, OR FLOATING ON IRRIGATION13
CANALS OR RESERVOIRS IN THE STATE.14
(IV)  "I
NSTITUTE" MEANS THE COLORADO WATER INSTITUTE
15
CREATED IN SECTION 23-31-801.16
(V) "WATER RIGHT" HAS THE MEANING SET FORTH IN SECTION17
37-92-103
 (12).18
(VI)
  "WATERS OF THE STATE" HAS THE MEANING SET FORTH IN19
SECTION 37-92-103 (13).20
SECTION 5. In Colorado Revised Statutes, 39-3-122, add (3)21
and (4) as follows:22
39-3-122.  Agricultural equipment used in production of23
agricultural products - CEA facilities - exemption - definition. (3)  O
N
24
AND AFTER JANUARY 1, 2024, BUT BEFORE JANUARY 2, 2029, PERSONAL25
PROPERTY IS EXEMPTED FROM THE LEVY AND COLLECTION OF PROPERTY26
TAX IF THE PROPERTY IS MACHINERY OR EQUIPMENT THAT IS PART OF A27
092
-12- SOLAR ENERGY GENERATING SYSTEM THAT IS USED FOR AGRIVOLTAICS ,1
AND IF THE PROPERTY:2
(a)  I
NCORPORATES NOVEL DESIGNS , TECHNOLOGIES, OR
3
CONFIGURATIONS THAT SIGNIFICANTLY EXPAND THE POTENTIAL FOR4
AGRICULTURAL ACTIVITIES, INCLUDING BY:5
(I)  E
LEVATING THE BOTTOM EDGE HEIGHT OF THE PANELS AT
6
LEAST SIX FEET ABOVE THE GROUND ;7
(II)  UTILIZING TRANSLUCENT PANELS OR PANELS WITH TUBULAR8
OR OTHER INNOVATIVE PANEL GEOMETRY THAT SUPPORTS AGRIVOLTAICS;9
(III)  INCORPORATING ALTERNATIVE SOLAR TRACKING ALGORITHMS10
THAT ARE TAILORED TO OPTIMIZE VEGETATIVE GROWTH ;11
(IV)  I
NCORPORATING EXTENDED ROW OR PANEL SPACING IN A
12
MANNER THAT ENABLES AGRICULTURAL ACTIVITIES ;13
(V) INCORPORATING MODIFIED WIRE MANAGEMENT SYSTEMS THAT14
SUPPORT LIVESTOCK, INCLUDING RAISING, LOWERING, OR BURYING15
WIRING;16
(VI) INCORPORATING INNOVATIVE PHOTOVOLTAIC RACKING17
STRUCTURES, INCLUDING TENSIONED WIRE RACKING SYSTEMS ,18
SUSPENSION-BASED SYSTEMS, OR OTHER DYNAMIC PHOTOVOLTAIC19
RACKING SYSTEMS OR ARRANGEMENTS ;20
(VII) INCORPORATING AGRICULTURAL INFRASTRUCTURE THAT IS21
TYPICALLY FOUND ON A FARM OR RANCH OPERATION, SUCH AS22
AGRICULTURAL FENCES, WATER SOURCES AND DISTRIBUTION, WATER23
TROUGHS AND TANKS, CORRALS, LIVESTOCK PENS, OR PRODUCE HANDLING24
EQUIPMENT; OR25
(VIII) INCORPORATING AGRICULTURAL STRUCTURES THAT ARE26
TYPICALLY FOUND ON AN AGRICULTURAL OPERATION , SUCH AS A TRACTOR27
092
-13- SHED, A BARN, OR STRUCTURES FOR EQUIPMENT STORAGE, PRODUCE1
WASHING, STORAGE, PROCESSING, OR CHILLING AND PACKAGING;2
(b)  I
S CONSTRUCTED IN A MANNER THAT MINIMIZES SOIL
3
COMPACTION UNDERNEATH AND IN BETWEEN PANELS ; AND4
(c)  I
S CONSTRUCTED TO INCORPORATE DESIGN STRATEGIES THAT
5
ARE PLANNED WITH THE INTENT TO MINIMIZE THE NEGATIVE6
ENVIRONMENTAL IMPACT OF PHOTOVOLTAIC ENERGY PRODUCTION7
FACILITIES ON ECOSYSTEMS, NATIVE VEGETATION, STATE AND FEDERALLY8
LISTED SPECIES, WILDLIFE MIGRATION CORRIDORS , AND THE SPECIES,9
HABITATS, AND ECOSYSTEMS OF GREATEST CONSERVATION NEED .10
(4)  A
S USED IN THIS SECTION, "AGRIVOLTAICS" HAS THE MEANING
11
SET FORTH IN SECTION 35-1-114 (4)(a).12
SECTION 6. In Colorado Revised Statutes, 39-4-101, amend13
(3.5) as follows:14
39-4-101.  Definitions. As used in this article 4, unless the context15
otherwise requires:16
(3.5) (a)  "Solar energy facility" means a new facility first placed17
in production on or after January 1, 2009, that uses real and personal18
property, including but not limited to one or more solar energy devices,19
as defined in section 38-32.5-100.3 (2), leaseholds, and easements, to20
generate and, 
EXCEPT AS PROVIDED IN SUBSECTION (3.5)(b) OF THIS21
SECTION, deliver to the interconnection meter any source of electrical,22
thermal, or mechanical energy in excess of two megawatts by harnessing23
the radiant energy of the sun, including any connected device for which24
the primary purpose is to store energy, and that is not primarily designed25
to supply electricity for consumption on site.26
(b)  "S
OLAR ENERGY FACILITY " INCLUDES FACILITIES FOR27
092
-14- AGRIVOLTAICS, AS DEFINED IN SECTION 35-1-114 (4)(a), AND FOR1
FLOATOVOLTAICS, AS DEFINED IN SECTION 37-60-115 (12)(c)(III).2
               3
SECTION 7. Appropriation. (1)  For the 2023-24 state fiscal4
year, $611,870 General Fund is appropriated to the department of5
agriculture for use by the commissioner's office and administrative6
services. To implement this act, the office may use this appropriation as7
follows:8
(a)  $24,370 for personal services, which amount is based on an9
assumption that the office will require an additional 0.3 FTE;10
(b)  $87,500 for operating expenses; and11
(c) $500,000 for agrivoltaics grants.12
     13
SECTION 8. Act subject to petition - effective date. This act14
takes effect at 12:01 a.m. on the day following the expiration of the15
ninety-day period after final adjournment of the general assembly; except16
that, if a referendum petition is filed pursuant to section 1 (3) of article V17
of the state constitution against this act or an item, section, or part of this18
act within such period, then the act, item, section, or part will not take19
effect unless approved by the people at the general election to be held in20
November 2024 and, in such case, will take effect on the date of the21
official declaration of the vote thereon by the governor.22
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