Second Regular Session
Seventy-fourth General Assembly
STATE OF COLORADO
INTRODUCED
LLS NO. 24-0679.01 Rebecca Bayetti x4348
HOUSE BILL 24-1266
House Committees Senate Committees
Transportation, Housing & Local Government
A BILL FOR AN ACT
C
ONCERNING THE RELOCATION OF UT ILITY FACILITIES IN A LOCAL101
GOVERNMENT RIGHT -OF-WAY.102
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 requires local governments to notify affected utility
companies of road improvement projects and establishes the process by
which local governments and utility companies may enter into agreements
governing the relocation of utility facilities. The bill requires local
governments and utility companies to coordinate on road improvement
projects necessitating the removal, relocation, or alteration of utility lines
HOUSE SPONSORSHIP
Hamrick and Frizell,
SENATE SPONSORSHIP
(None),
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. in a local government's right-of-way and to commit to a schedule for
utility relocation by means of either a utility relocation agreement or a
clearance letter. If the actions of a utility company unreasonably delay the
utility relocation schedule or the schedule of the road improvement
project, the utility company must pay for the costs associated with the
delay. The bill does not alter the terms of any franchises or licenses
granted pursuant to statute or the state constitution.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. Legislative declaration. (1) The general assembly2
finds and declares that:3
(a) From time to time, local governments provide improvements4
to their transportation systems through projects within their jurisdictions;5
(b) The scheduling and timely performance of a transportation6
system project partially depends on coordination with utility companies7
for the prompt performance of utility relocation work necessitated by8
construction of the transportation system project; and9
(c) Increased coordination between local governments and utility10
companies is in the public interest, and prompt performance of utility11
relocation work according to the project schedule will reduce delays and12
the costs of construction.13
SECTION 2. In Colorado Revised Statutes, add 38-5-109 as14
follows:15
38-5-109. Utility relocation agreements - definitions. (1) A
S16
USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE REQUIRES :17
(a) "C
LEARANCE LETTER" MEANS A WRITTEN AGREEMENT18
BETWEEN A UTILITY COMPANY AND A LOCAL GOVERNMENT PROPOSING A19
ROAD IMPROVEMENT PROJECT IN WHICH THE UTILITY COMPANY AND THE20
LOCAL GOVERNMENT MUTUALLY ESTABLISH A TIME FRAME FOR UTILITY21
RELOCATION WORK REQUIRED FOR THE ROAD IMPROVEMENT PROJECT .22
HB24-1266-2- (b) "FORCE MAJEURE" MEANS FIRE, EXPLOSION, ACTION OF THE1
ELEMENTS, STRIKE, INTERRUPTION OF TRANSPORTATION , RATIONING,2
SHORTAGE OF LABOR , EQUIPMENT, OR MATERIALS, COURT ACTION,3
ILLEGALITY, UNUSUALLY SEVERE WEATHER , ACT OF GOD, ACT OF WAR,4
SEASONAL LIMITATIONS ON ELECTRIC LINES OR PIPELINE OPERATIONS THAT5
AFFECT THE SERVICE AREA AND FOR WHICH NO ALTERNATIVE EXISTS TO6
CONTINUE TO PROVIDE SERVICE TO THE AFFECTED AREA , OR ANY OTHER7
CAUSE THAT IS BEYOND THE CONTROL OF THE ENTITY PERFORMING8
UTILITY RELOCATION WORK AND THAT COULD NOT HAVE BEEN PREVENTED9
BY THAT ENTITY WHILE EXERCISING REASONABLE DILIGENCE .10
(c) "L
OCAL GOVERNMENT" MEANS A STATUTORY OR HOME RULE11
COUNTY, CITY AND COUNTY, MUNICIPALITY, OR TOWN, EXCLUDING A12
LOCAL GOVERNMENT THAT HAS GRANTED A FRANCHISE TO A UTILITY13
COMPANY PURSUANT TO SECTION 31-32-101 OR ARTICLE XX OF THE14
STATE CONSTITUTION.15
(d) "P
ROMPT PERFORMANCE " MEANS ACTING IN GOOD FAITH AND16
MAKING ALL REASONABLE EFFORTS TO PERFORM THE SPECIFIC ACTIONS17
AND OBLIGATIONS SET FORTH IN THE UTILITY RELOCATION AGREEMENT OR18
CLEARANCE LETTER, EXCEPT AS MAY BE EXCUSED BY REASON OF FORCE19
MAJEURE OR SUBSEQUENT AGREEMENT BETWEEN THE UTILITY COMPANY20
AND THE LOCAL GOVERNMENT .21
(e) "R
OAD IMPROVEMENT PROJECT " MEANS ANY CONSTRUCTION22
OR RECONSTRUCTION PROJECT ON A PUBLIC ROADWAY .23
(f) "U
TILITY COMPANY" MEANS AN INVESTOR-OWNED ELECTRIC OR24
GAS UTILITY COMPANY.25
(g) "U
TILITY CONFLICT" MEANS CIRCUMSTANCES IN WHICH26
PROPOSED ROAD IMPROVEMENTS , RELOCATION OF OTHER UTILITY27
HB24-1266
-3- FACILITIES, OR OTHER PROPOSED IMPROVEMENTS BRING UTILITY1
FACILITIES OUT OF COMPLIANCE WITH REGULATORY AGENCY STANDARDS .2
(h) "U
TILITY FACILITIES" MEANS ANY LINES OF ELECTRIC LIGHT,3
WIRE, OR POWER OR PIPELINE OF A UTILITY COMPANY AND ANY RELATED4
SUPPORT STRUCTURES, APPURTENANCES, EQUIPMENT, OR CONDUIT FOR5
THE LINES, WIRES, OR PIPELINES. "UTILITY FACILITIES" INCLUDE BOTH6
THOSE ABOVE AND BELOW GROUND .7
(i) "U
TILITY RELOCATION" OR "RELOCATION OF UTILITY8
FACILITIES" MEANS THE REMOVAL , RELOCATION, OR ALTERATION OF9
UTILITY FACILITIES IF REQUIRED FOR A ROAD IMPROVEMENT PROJECT10
FUNDED IN FULL OR IN PART BY A LOCAL GOVERNMENT OR WITH STATE ,11
FEDERAL, OR OTHER PUBLIC MONEY.12
(j) "U
TILITY RELOCATION AGREEMENT " OR "AGREEMENT" MEANS13
AN AGREEMENT ENTERED INTO BY A LOCAL GOVERNMENT AND A UTILITY14
COMPANY FOR THE PURPOSE OF PERFORMING UTILITY RELOCATION WORK15
DEEMED NECESSARY BY THE LOCAL GOVERNMENT .16
(2) (a) I
F A LOCAL GOVERNMENT ENGAGES IN OR PROPOSES TO17
ENGAGE IN A ROAD IMPROVEMENT PROJECT THAT WILL REQUIRE THE18
RELOCATION OF UTILITY FACILITIES DUE TO A UTILITY CONFLICT , THE19
LOCAL GOVERNMENT SHALL :20
(I) N
OTIFY THE NOTIFICATION ASSOCIATION, CREATED IN SECTION21
9-1.5-105
(1), WITH AN ENGINEERING OR SUBSURFACE UTILITY22
ENGINEERING NOTIFICATION TO IDENTIFY EACH UTILITY COMPANY THAT23
HAS UTILITY FACILITIES IN THE AREA OF THE ROAD IMPROVEMENT24
PROJECT; AND25
(II) E
LECTRONICALLY NOTIFY IN WRITING EACH UTILITY COMPANY26
IDENTIFIED PURSUANT TO SUBSECTION (2)(a)(I) OF THIS SECTION. THE27
HB24-1266
-4- NOTICE PROVIDED MUST FOLLOW THE REQUIREMENTS OF SUBSECTION1
(2)(b)
OF THIS SECTION.2
(b) T
HE NOTICE REQUIRED BY SUBSECTION (2)(a)(II) OF THIS3
SECTION MUST INCLUDE THE FOLLOWING INFORMATION :4
(I) A
N EXPLANATION OF THE PROPOSED DESIGN OF THE ROAD5
IMPROVEMENT PROJECT;6
(II) T
HE PROPOSED DATE BY WHICH THE UTILITY RELOCATION7
MUST BE COMPLETED;8
(III) T
HE FEDERAL IDENTIFYING PROJECT NUMBER , IF APPLICABLE;9
AND10
(IV) W
HETHER THE UTILITY COMPANY MAY QUALIFY FOR11
ASSISTANCE TO OFFSET EXPENSES INCURRED IN RELOCATING ITS UTILITY12
FACILITIES TO ACCOMMODATE THE PROPOSED ROAD IMPROVEMENT13
PROJECT.14
(c) T
HE LOCAL GOVERNMENT SHALL GIVE THE NOTICE REQUIRED15
BY SUBSECTION (2)(a)(II) OF THIS SECTION TO THE UTILITY COMPANY AS16
EARLY AS PRACTICABLE AND AT LEAST FORTY -FIVE DAYS BEFORE THE17
EARLIEST OF THE FOLLOWING:18
(I) T
HE PRELIMINARY DESIGN OR PROJECT DEVELOPMENT MEETING19
FOR THE ROAD IMPROVEMENT PROJECT ; OR20
(II) T
HE INVITATION TO BID FOR THE ROAD IMPROVEMENT21
PROJECT.22
(d) I
F THERE IS A CHANGE IN THE SCOPE OF A ROAD IMPROVEMENT23
PROJECT THAT AFFECTS THE UTILITY FACILITIES, A LOCAL GOVERNMENT24
SHALL GIVE EACH AFFECTED UTILITY COMPANY A NEW WRITTEN NOTICE25
THAT INCLUDES ALL APPLICABLE INFORMATION IN SUBSECTION (2)(b) OF26
THIS SECTION.27
HB24-1266
-5- (e) (I) IF UTILITY FACILITIES ARE DISCOVERED DURING A ROAD1
IMPROVEMENT PROJECT THAT WERE NOT PREVIOUSLY IDENTIFIED , THE2
LOCAL GOVERNMENT AND THE AFFECTED UTILITY COMPANY SHALL3
CONFER WITHIN FORTY -EIGHT HOURS OF DISCOVERY TO DETERMINE4
APPROPRIATE RELOCATION PROCEDURES .5
(II) W
ITHIN TEN DAYS OF THE DISCOVERY OF THE UTILITY6
FACILITIES, THE AFFECTED UTILITY COMPANY SHALL EITHER DELIVER A7
SIGNED OR EXECUTED CLEARANCE LETTER TO THE LOCAL GOVERNMENT OR8
ENTER INTO AN AGREEMENT WITH THE LOCAL GOVERNMENT PURS UANT TO9
SUBSECTION (3) OF THIS SECTION.10
(3) (a) T
O FACILITATE THE UTILITY RELOCATION , A LOCAL11
GOVERNMENT AND AN AFFECTED UTILITY COMPANY SHALL ENTER INTO A12
UTILITY RELOCATION AGREEMENT .13
(b) T
HE AGREEMENT MUST INCLUDE THE FOLLOWING :14
(I) T
HE SCOPE OF THE UTILITY RELOCATION;15
(II) W
HETHER THE UTILITY RELOCATION WORK WILL BE16
PERFORMED BY THE UTILITY COMPANY OR BY A THIRD -PARTY17
CONTRACTOR SELECTED BY THE UTILITY COMPANY ;18
(III) A
COORDINATED SCHEDULE FOR THE UTILITY RELOCATION19
WORK AGREED UPON BY THE LOCAL GOVERNMENT AND THE UTILITY20
COMPANY, WHICH MUST INCLUDE THE DURATION OF THE UTILITY21
RELOCATION WORK;22
(IV) A
REQUIREMENT OF PROMPT PERFORMANCE OF THE UTILITY23
RELOCATION WORK BY THE UTILITY COMPANY IF THE UTILITY COMPANY IS24
PERFORMING THE UTILITY RELOCATION WORK OR BY THE THIRD -PARTY25
CONTRACTOR SELECTED BY THE UTILITY COMPANY TO PERFORM THE26
UTILITY RELOCATION WORK;27
HB24-1266
-6- (V) A REQUIREMENT OF PAYMENT BY THE UTILITY COMPANY FOR1
DAMAGES CAUSED BY THE UTILITY COMPANY 'S DELAY IN THE2
PERFORMANCE OF THE UTILITY RELOCATION WORK OR INTERFERENCE WITH3
THE PERFORMANCE OF THE UTILITY RELOCATION WORK BY ANY OTHER4
CONTRACTOR, EXCEPT WHEN THE DELAY OR INTERFERENCE IS CAUSED BY5
A FORCE MAJEURE; AND6
(VI) A
REQUIREMENT THAT ALL DESIGN AND CONSTRUCTION OF7
THE UTILITY RELOCATION ARE SUBJECT TO REVIEW AND APPROVAL BY8
ENGINEERS FOR THE LOCAL GOVERNMENT AND FOR THE UTILITY COMPANY .9
(c) (I) T
HE AGREEMENT MAY ALLOW FOR UTILITY COMPANY10
BETTERMENT AT THE EXPENSE OF THE UTILITY COMPANY ; EXCEPT THAT11
ANY UTILITY COMPANY BETTERMENT MUST NOT MATERIALLY DELAY THE12
UTILITY RELOCATION WORK.13
(II) A
S USED IN THIS SUBSECTION (3)(c), "UTILITY COMPANY14
BETTERMENT" MEANS ANY UPGRADE OF THE UTILITY FACILITIES BEING15
RELOCATED THAT IS NOT ATTRIBUTABLE TO THE ROAD IMPROVEMENT16
PROJECT AND THAT IS MADE SOLELY FOR THE BENEFIT OF AND AT THE17
ELECTION OF THE AFFECTED UTILITY COMPANY .18
(4) (a) I
F A UTILITY COMPANY DELIVERS A SIGNED OR EXECUTED19
CLEARANCE LETTER TO A LOCAL GOVERNMENT , THE REQUIREMENTS SET20
FORTH IN SUBSECTIONS (2) AND (3) OF THIS SECTION DO NOT APPLY.21
(b) B
Y DELIVERING A SIGNED OR EXECUTED CLEARANCE LETTER22
TO A LOCAL GOVERNMENT , A UTILITY COMPANY ACKNOWLEDGES THAT :23
(I) T
HE UTILITY COMPANY CAN AND WILL COMPLY WITH THE24
UTILITY RELOCATION WORK ABSENT AN EVENT OF FORCE MAJEURE ; AND25
(II) T
HE UTILITY COMPANY IS RESPONSIBLE FOR DAMAGES CAUSED26
BY THE UTILITY COMPANY'S DELAY IN THE PERFORMANCE OF THE UTILITY27
HB24-1266
-7- RELOCATION WORK OR INTERFERENCE WITH THE PERFORMANCE OF THE1
UTILITY RELOCATION WORK BY ANY OTHER CONTRACTOR , EXCEPT WHEN2
THE DELAY OR INTERFERENCE IS CAUSED BY A FORCE MAJEURE .3
(5) (a) A
LOCAL GOVERNMENT AND AN AFFECTED UTILITY4
COMPANY SHALL MAKE ARRANGEMENTS FOR FUNDING ANY UTILITY5
RELOCATION AS SPECIFIED IN ANY EASEMENTS , LICENSES, OR OTHER6
PROPERTY INTERESTS AND RIGHTS OF USE HELD BY THE LOCAL7
GOVERNMENT OR THE UTILITY COMPANY .8
(b) N
OTHING IN THIS SECTION ALTERS EXISTING PROPERTY9
AGREEMENTS, LICENSES, OR OTHER INTERESTS OF A LOCAL GOVERNMENT10
OR A UTILITY COMPANY REGARDING THE OBLIGATION TO PAY FOR UTILITY11
RELOCATION.12
(6) N
O THIRD PARTY MAY RELOCATE UTILITY FACILITIES WITHOUT13
THE EXPRESS CONSENT OF THE AFFECTED UTILITY COMPANY .14
(7) N
OTHING IN THIS SECTION:15
(a) A
LTERS OR DIMINISHES THE AUTHORITY OF LOCAL16
GOVERNMENTS TO LAWFULLY EXERCISE THEIR POLICE POWERS WITH17
RESPECT TO THE RELOCATION OF UTILITY FACILITIES WITHIN THE LOCAL18
GOVERNMENT BOUNDARIES ; OR19
(b) A
LTERS THE TERMS OF ANY FRANCHISE OR LICENSE GRANTED20
PURSUANT TO SECTION 31-32-101 OR ARTICLE XX OF THE STATE21
CONSTITUTION.22
SECTION 3. Act subject to petition - effective date -23
applicability. (1) This act takes effect at 12:01 a.m. on the day following24
the expiration of the ninety-day period after final adjournment of the25
general assembly; except that, if a referendum petition is filed pursuant26
to section 1 (3) of article V of the state constitution against this act or an27
HB24-1266
-8- item, section, or part of this act within such period, then the act, item,1
section, or part will not take effect unless approved by the people at the2
general election to be held in November 2024 and, in such case, will take3
effect on the date of the official declaration of the vote thereon by the4
governor.5
(2) This act applies to utility relocation work commenced on or6
after the applicable effective date of this act.7
HB24-1266
-9-