Colorado 2024 2024 Regular Session

Colorado Senate Bill SB123 Introduced / Bill

Filed 02/05/2024

                    Second Regular Session
Seventy-fourth General Assembly
STATE OF COLORADO
INTRODUCED
 
 
LLS NO. 24-0517.01 Christopher McMichael x4775
SENATE BILL 24-123
Senate Committees House Committees
Finance
A BILL FOR AN ACT
C
ONCERNING THE CREATION OF AN ENTERPRISE THAT IS EXEMPT FROM101
THE REQUIREMENTS OF SECTION 20 OF ARTICLE X OF THE STATE102
CONSTITUTION TO ADMINISTER A FEE -BASED WASTE TIRE103
MANAGEMENT PROGRAM .104
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 creates the waste tire management enterprise (enterprise).
Under current law, when a consumer buys new tires, the retailer charges
the consumer a waste tire fee (fee) that is then collected by the department
SENATE SPONSORSHIP
Priola and Hansen,
HOUSE SPONSORSHIP
Mauro and Froelich,
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. of public health and environment (department) and distributed into 2
separate cash funds:
! The waste tire administration, enforcement, market
development, and cleanup fund; and
! The end users fund.
The department uses the money in the waste tire administration,
enforcement, market development, and cleanup fund for various purposes
related to waste tire recycling and management. The department uses the
money in the end users fund to issue rebates to end users of waste tires.
The bill shifts the following responsibilities from the department
to the enterprise:
! Collecting the fee;
! Managing the waste tire administration, enforcement,
market development, and cleanup fund and the end users
fund;
! Issuing rebates to end users; and
! In conjunction with the solid and hazardous waste
commission, overseeing the activities of waste tire haulers,
waste tire generators, waste tire collection facilities, waste
tire processors, mobile processors, waste tire monofills, end
users, and used tire management.
The bill extends the amount of time that the fee may be collected,
from December 31, 2025, until December 31, 2040.
The enterprise is operated by a board of directors appointed by the
executive director of the department. The enterprise's primary duties and
functions are to:
! Collect the fee;
! Promote waste tire recycling and management strategies for
Colorado;
! Issue revenue bonds;
! Publish waste tire recycling and management strategies
online; and
! Engage the services of contractors, consultants, or legal
counsel to provide professional and technical assistance
related to the conduct of the enterprise.
Because the enterprise is a government-owned business, the
revenue generated by the enterprise is not subject to section 20 of article
X of the state constitution.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, 30-20-1401, amend2
(1) and (2) as follows:3
SB24-123-2- 30-20-1401.  Legislative declaration - rules - enforcement -1
recyclable material. (1)  The general assembly hereby finds and declares2
that:3
(a)  In order to protect the environment and the public health, there4
is a special need to address problems created by the disposal of waste tires5
and the lack of recycling and beneficial use of waste tires; It is the policy6
of this state to pursue proposals for recycling and other beneficial use of7
waste tires in lieu of storage or landfill disposal, and, in addition, it is the8
intent of the general assembly9
(b)  In adopting this part 14, to encourage THE GENERAL ASSEMBLY10
HAS ENCOURAGED the development of techniques for resource recovery,11
recycling, and reuse of waste tires; and to provide for the management of12
waste tires. HOWEVER, THERE IS STILL ROOM FOR IMPROVEMENT13
REGARDING THE MANAGEMENT OF WASTE TIRES IN COLORADO;14
(c)  T
HE MANAGEMENT OF WASTE TIRES AT THE STATE LEVEL15
PROMOTES ECONOMIC DEVELOPMENT AND PROVIDES SUBSTANTIAL16
ENVIRONMENTAL IMPACTS ACROSS THE STATE ;17
(d)  I
T IS IN THE STATE'S INTEREST TO PROVIDE FOR THE RECOVERY,18
RECYCLING, REUSE, AND MANAGEMENT OF WASTE TIRES THR OUGH A19
GOVERNMENT-RUN ENTERPRISE;20
(e)  P
ROVIDING STATEWIDE WASTE TIRE RECYCLING AND21
MANAGEMENT CONSTITUTES A VALUABLE SERVICE AND BENEFIT , AND A22
WASTE TIRE MANAGEMENT ENTERPRISE WOULD PROVIDE USEFUL BUSINESS23
SERVICES TO TIRE RETAILERS, AUTOMOBILE DEALERS, AUTOMOBILE REPAIR24
SHOPS, SERVICE STATIONS, AUTOMOTIVE FLEET CENTERS , WASTE TIRE25
HAULERS, WASTE TIRE COLLECTION FACILITIES, WASTE TIRE PROCESSORS,26
RECYCLING AND WASTE FACILITIES , LANDFILLS, CONSUMERS, AND ALL27
SB24-123
-3- RESIDENTS OF COLORADO;1
(f)  I
T IS NECESSARY, APPROPRIATE, AND IN THE BEST INTEREST OF2
THE STATE TO ACKNOWLEDGE THAT , BY PROVIDING THE BUSINESS3
SERVICES SPECIFIED IN THIS PART 14, THE ENTERPRISE ENGAGES IN AN4
ACTIVITY CONDUCTED IN THE PURSUIT OF A BENEFIT, GAIN, OR LIVELIHOOD5
AND THEREFORE OPERATES AS A BUSINESS ;6
(g)  C
ONSISTENT WITH THE DETERMINATION OF THE COLORADO7
SUPREME COURT IN NICHOLL V. E-470 PUBLIC HIGHWAY AUTHORITY, 8968
P.2d 859
 (COLO. 1995), THAT THE POWER TO IMPOSE TAXES IS9
INCONSISTENT WITH ENTERPRISE STATUS UNDER SECTION 20 OF ARTICLE10
X
 OF THE STATE CONSTITUTION, IT IS THE CONCLUSION OF THE GENERAL11
ASSEMBLY THAT THE WASTE TIRE FEE COLLECTED BY THE ENTERPRISE IS12
A FEE, NOT A TAX, BECAUSE THE FEE IS IMPOSED FOR THE SPECIFIC13
PURPOSE OF ALLOWING THE ENTERPRISE TO DEFRAY THE COSTS OF14
PROVIDING THE BUSINESS SERVICES SPECIFIED IN THIS PART 14 TO WASTE15
TIRE GENERATORS THAT ULTIMATELY PAY THE FEE , WHICH FEE IS IMPOSED16
AT RATES THAT ARE REASONABLY CALCULATED BASED ON THE BENEFITS17
RECEIVED BY THOSE WASTE TIRE GENERATORS ;18
(h)  S
O LONG AS THE ENTERPRISE QUALIFIES AS AN ENTERPRISE FOR19
THE PURPOSES OF SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION,20
THE REVENUE FROM THE WASTE TIRE FEE COLLECTED BY THE ENTERPRISE21
IS NOT STATE FISCAL YEAR SPENDING, AS DEFINED IN SECTION 24-77-10222
(17),
 OR STATE REVENUES, AS DEFINED IN SECTION 24-77-103.6 (6)(c),23
AND DOES NOT COUNT AGAINST EITHER THE STATE FISCAL YEAR SPENDING24
LIMIT IMPOSED BY SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION25
OR THE EXCESS STATE REVENUES CAP, AS DEFINED IN SECTION 24-77-103.626
(6)(b)(I); 
AND27
SB24-123
-4- (i)  THE ENTERPRISE CREATED IN THIS PART 14 IS NECESSARY TO1
CONTINUE COLORADO'S MANAGEMENT OF WASTE TIRES AND PROVIDE2
INCENTIVES TO LOCAL GOVERNMENTS ; FOR-PROFIT WASTE TIRE3
MANAGEMENT, RECYCLING, AND REUSE COMPANIES ; AND OTHER4
ORGANIZATIONS THAT ARE INVOLVED IN WASTE TIRE RECYCLING AND5
MANAGEMENT.6
(2)  By May 31, 2015, The commission, IN CONSULTATION WITH7
THE ENTERPRISE, shall promulgate rules for the implementation and8
enforcement of this part 14. Until the commission promulgates rules to9
implement and enforce this part 14, the commission's rules in effect on10
July 1, 2014, governing waste tires continue to apply to the extent that11
they do not conflict with this part 14.12
SECTION 2. In Colorado Revised Statutes, 30-20-1402, add13
(1.7), (4.5), and (14.5) as follows:14
30-20-1402.  Definitions. As used in this part 14, unless the15
context otherwise requires:16
(1.7)  "B
OARD OF DIRECTORS" OR "BOARD" MEANS THE BOARD OF17
DIRECTORS OF THE ENTERPRISE.18
(4.5)  "E
NTERPRISE" MEANS THE WASTE TIRE MANAGEMENT19
ENTERPRISE CREATED IN SECTION 30-20-1403.20
(14.5)  "W
ASTE TIRE FEE" OR "FEE" MEANS MONEY COLLECTED21
PURSUANT TO SECTION 30-20-1403.22
SECTION 3. In Colorado Revised Statutes, repeal and reenact,23
with amendments, 30-20-1403 as follows:24
30-20-1403.  Waste tire management enterprise - board of25
directors - waste tire fee - distribution - rules. (1)  Enterprise.26
(a) (I)  T
HERE IS CREATED IN THE DEPARTMENT THE WASTE TIRE27
SB24-123
-5- MANAGEMENT ENTERPRISE . THE ENTERPRISE IS AND OPERATES AS A1
GOVERNMENT-OWNED BUSINESS WITHIN THE DEPARTMENT TO COLLECT2
THE WASTE TIRE FEE CHARGED BY RETAILERS OF NEW TIRES PURSUANT TO3
SUBSECTION (2) OF THIS SECTION AND TO USE THE WASTE TIRE FEE TO4
PROMOTE THE WASTE TIRE RECYCLING AND MANAGEMENT INDUSTRY IN5
C
OLORADO.6
(II)  T
HE ENTERPRISE IS AND OPERATES AS A GOVERNMENT -OWNED7
BUSINESS WITHIN THE DEPARTMENT FOR THE PURPOSE OF CONDUCTING8
THE BUSINESS ACTIVITIES SPECIFIED IN THIS SECTION. THE ENTERPRISE IS9
A TYPE 1 ENTITY, AS DEFINED IN SECTION 24-1-105, AND EXERCISES ITS10
POWERS AND PERFORMS ITS DUTIES AND FUNCTIONS UNDER THE11
DEPARTMENT.12
(III)  T
HE ENTERPRISE CONSTITUTES AN ENTERPRISE FOR PURPOSES13
OF SECTION 20 OF ARTICLE X OF THE STATE CONSTITUTION SO LONG AS IT14
RETAINS THE AUTHORITY TO ISSUE REVENUE BONDS AND RECEIVES LESS15
THAN TEN PERCENT OF ITS TOTAL REVENUES IN GRANTS FROM ALL16
C
OLORADO STATE AND LOCAL GOVERNMENTS COMBINED . SO LONG AS IT17
CONSTITUTES AN ENTERPRISE PURSUANT TO THIS SUBSECTION (1)(a), THE18
ENTERPRISE IS NOT SUBJECT TO SECTION 20 OF ARTICLE X OF THE STATE19
CONSTITUTION.20
(b)  T
HE ENTERPRISE'S PRIMARY POWERS AND DUTIES ARE TO :21
(I)  C
OLLECT THE WASTE TIRE FEE;22
(II)  P
ROMOTE WASTE TIRE RECYCLING AND MANAGEMENT23
STRATEGIES THROUGHOUT COLORADO;24
(III)  I
SSUE REVENUE BONDS PAYABLE FROM THE REVENUES OF THE25
ENTERPRISE TO PROMOTE THE WASTE TIRE RECYCLING AND MANAGEMENT26
STRATEGIES SPECIFIED IN THIS SECTION;27
SB24-123
-6- (IV)  PUBLISH EACH YEAR, ON THE DEPARTMENT'S WEBSITE AND AS1
OTHERWISE DEEMED APPROPRIATE BY THE BOARD , THE WASTE TIRE2
RECYCLING AND MANAGEMENT STRATEGIES THAT THE BOARD HAS3
PRIORITIZED THROUGH THE COLLECTION OF THE WASTE TIRE FEE ;4
(V)  A
DOPT, AMEND, OR REPEAL POLICIES FOR THE REGULATION OF5
THE ENTERPRISE'S AFFAIRS AND THE C ONDUCT OF THE ENTERPRISE	'S6
BUSINESS CONSISTENT WITH THIS PART 14; AND7
(VI)  E
NGAGE THE SERVICES OF CONTRACTORS , CONSULTANTS, OR8
LEGAL COUNSEL, INCLUDING THE DEPARTMENT AND THE ATTORNEY9
GENERAL'S OFFICE, FOR PROFESSIONAL AND TECHNICAL ASSISTANCE AND10
ADVICE AND TO SUPPLY OTHER SERVICES RELATED TO THE CONDUCT OF11
THE ENTERPRISE, WITHOUT REGARD TO THE "PROCUREMENT CODE",12
ARTICLES 101 TO 112 OF TITLE 24. THE BOARD SHALL ENCOURAGE13
DIVERSITY IN APPLICANTS FOR CONTRACTS AND SHALL AVOID USING14
SINGLE-SOURCE BIDS.15
(c)  T
HE ENTERPRISE IS GOVERNED BY A BOARD OF DIRECTORS . THE16
BOARD CONSISTS OF THE FOLLOWING NINE MEMBERS :17
(I)  T
WO MEMBERS APPOINTED BY THE EXECUTIVE DIRECTOR OF18
THE DEPARTMENT TO REPRESENT THE DEPARTMENT , INCLUDING ONE WITH19
EXPERTISE IN SUSTAINABILITY AND ONE WITH EXPERTISE IN COMPLIANCE ;20
(II)  O
NE MEMBER APPOINTED BY THE EXECUTIVE DIRECTOR OF THE21
DEPARTMENT WHO IS A MEMBER OF A BOARD OF COUNTY COMMISSIONERS22
FOR A COUNTY THAT HAS EXPERIENCE WITH THE MANAGEMENT OF WASTE23
TIRES; AND24
(III)  S
IX MEMBERS APPOINTED BY THE EXECUTIVE DIRECTOR OF25
THE DEPARTMENT WHO ARE REPRESENTATIVES OF NONPROFIT AND26
FOR-PROFIT ENTITIES ENGAGED IN THE RECOVERY , RECYCLING, REUSE,27
SB24-123
-7- AND MANAGEMENT OF WASTE TIRES , INCLUDING A TIRE RETAILER, A1
WASTE TIRE COLLECTION FACILITY, A WASTE TIRE PROCESSOR, A WASTE2
TIRE HAULER, AND A LANDFILL OPERATOR. TO THE EXTENT PRACTICABLE,3
THE REPRESENTATION OF NONPROFIT AND FOR -PROFIT ENTITIES MUST BE4
BALANCED EQUALLY.5
(d)  O
F THE MEMBERS APPOINTED TO THE BOARD OF DIRECTORS6
PURSUANT TO SUBSECTION (1)(c)(III) OF THIS SECTION, AT LEAST ONE7
MEMBER MUST DO BUSINESS IN A RURAL COUNTY IN THE STATE .8
(e) (I)  T
HE MEMBER REPRESENTING THE DEPARTMENT WHO HAS9
EXPERTISE IN SUSTAINABILITY AND IS APPOINTED PURSUANT TO10
SUBSECTION (1)(c)(I) OF THIS SECTION SHALL CALL THE FIRST MEETING OF11
THE BOARD.12
(II)  T
HE BOARD SHALL ELECT A CHAIR FROM AMONG ITS MEMBERS13
TO SERVE FOR A TERM NOT TO EXCEED TWO YEARS .14
(III)  T
HE BOARD SHALL MEET QUARTERLY , AND THE CHAIR OF THE15
BOARD MAY CALL ADDITIONAL MEETINGS AS NECESSARY FOR THE BOARD16
TO COMPLETE ITS DUTIES.17
(IV)  T
HE TERM OF OFFICE FOR A BOARD MEMBER IS THREE YEARS ;18
EXCEPT THAT FOUR OF THE SIX MEMBERS APPOINTED PURSUANT TO19
SUBSECTION (1)(c)(III) OF THIS SECTION SERVE INITIAL TERMS OF TWO20
YEARS. A BOARD MEMBER MAY SERVE UNLIMITED TERMS .21
(f) (I)  A
 MEMBER OF THE BOARD OF DIRECTORS , EXCEPT FOR22
MEMBERS APPOINTED PURSUANT TO SUBSECTIONS (1)(c)(I) AND (1)(c)(II)23
OF THIS SECTION, MAY RECEIVE A PER DIEM STIPEND WHILE ON OFFICIAL24
ENTERPRISE BUSINESS.25
(II)  T
HE PER DIEM STIPEND SHALL BE AT LEAST EQUAL TO THE26
C
OLORADO STATE EMPLOYEE PER DIEM FOR INTRA -STATE TRAVEL AS27
SB24-123
-8- ESTABLISHED BY THE DEPARTMENT OF PERSONNEL .1
(III)  A
LL MEMBERS OF THE BOARD OF DIRECTORS MAY RECEIVE2
REIMBURSEMENT FOR ACTUAL AND NECESSARY EXPENSES INCURRED3
WHILE ON OFFICIAL ENTERPRISE BUSINESS.4
(IV)  T
HE ENTERPRISE MAY USE MONEY IN THE WASTE TIRE5
MANAGEMENT ENTERPRISE FUND , CREATED IN SECTION 30-20-1404, TO6
PAY THE PER DIEM STIPEND TO A BOARD MEMBER AND TO REIMBURSE A7
BOARD MEMBER FOR ACTUAL AND NECESSARY EXPENSES INCURRED AS8
PART OF THE ENTERPRISE'S OPERATING EXPENSES.9
(g)  T
HE DEPARTMENT SHALL PROVIDE OFFICE SPACE AND10
ADMINISTRATIVE STAFF TO THE ENTERPRISE, IF REQUESTED BY THE BOARD.11
(2) Waste tire fee. (a) (I)  E
FFECTIVE JANUARY 1, 2025, AND12
CONTINUING THROUGH DECEMBER 31, 2040, RETAILERS OF NEW MOTOR13
VEHICLE TIRES AND NEW TRAILER TIRES SHALL COLLECT A WASTE TIRE FEE14
IN AN AMOUNT TO BE SET BY THE ENTERPRISE, IN COORDINATION WITH THE15
COMMISSION. THE WASTE TIRE FEE AMOUNT MUST NOT EXCEED FOUR16
DOLLARS ON THE SALE OF EACH NEW TIRE .17
(II)  E
FFECTIVE JANUARY 1, 2025, THE BOARD OF DIRECTORS MAY18
REVIEW THE WASTE TIRE FEE ON AN ANNUAL BASIS AND , IN ACCORDANCE19
WITH THE FEE AMOUNT LIMIT SET FORTH IN SUBSECTION (2)(a)(I) OF THIS20
SECTION, ADJUST THE WASTE TIRE FEE AMOUNT SO THAT THE WASTE TIRE21
FEE IS IMPOSED IN AN AMOUNT THAT IS SUFFICIENT TO:22
(A)  P
AY THE DEPARTMENT 'S AND ENTERPRISE'S DIRECT AND23
INDIRECT COSTS OF IMPLEMENTING THIS PART 14 AND OPERATING THE24
ENTERPRISE, WHICH COSTS MUST NOT EXCEED THE EQUIVALENT OF25
ONE-HALF OF THE WASTE TIRE FEE COLLECTED FOR EACH NEW TIRE SOLD26
PURSUANT TO THIS SUBSECTION (2); AND27
SB24-123
-9- (B)  PAY COSTS ASSOCIATED WITH PROVIDING REBATES AS1
DESCRIBED IN SECTION 30-20-1405.2
(III)  T
HE RECEIPT FROM THE RETAILER TO THE CUSTOMER FOR3
EVERY NEW TIRE PURCHASED MUST CONTAIN THE FOLLOWING STATEMENT4
IN THE LARGEST BOLD-FACED TYPE CAPABLE BASED ON POINT -OF-SALE5
SOFTWARE AND ON EXISTING INVOICE PRINTERS , NOT TO EXCEED FIFTEEN6
POINTS: "SECTION 30-20-1403, COLORADO REVISED STATUTES,7
REQUIRES RETAILERS TO COLLECT A WASTE TIRE FEE SET BY THE8
WASTE TIRE MANAGEMENT ENTERPRISE	, WHICH IS A9
GOVERNMENT-OWNED BUSINESS WITHIN TH E DEPARTMENT OF PUBLIC10
HEALTH AND ENVIRONMENT , ON THE SALE OF EACH NEW MOTOR11
VEHICLE TIRE AND EACH NEW TRAILER TIRE ."12
(b)  T
HE RETAILER SHALL SUBMIT TO THE ENTERPRISE BY THE13
TWENTIETH DAY OF EACH MONTH ALL FEES COLLECTED PURSUANT TO THIS14
SECTION IN THE PRECEDING MONTH , TOGETHER WITH ANY REPORT15
REQUIRED BY THE ENTERPRISE. THE ENTERPRISE SHALL TRANSMIT THE16
FEES TO THE STATE TREASURER , WHO SHALL CREDIT THEM IN17
ACCORDANCE WITH SUBSECTION (3) OF THIS SECTION OR AS SPECIFIED IN18
RULES PROMULGATED BY THE COMMISSION .19
(3)  F
ROM JANUARY 1, 2025, THROUGH JANUARY 31, 2041, THE20
STATE TREASURER SHALL DISTRIBUTE THE REVENUE FROM THE FEE21
ASSESSED IN SUBSECTION (2) OF THIS SECTION AS FOLLOWS:22
(a)  T
HE PORTION OF THE FEE COLLECTED TO OFFSET THE COSTS23
DESCRIBED IN SUBSECTION (2)(a)(II)(A) OF THIS SECTION TO THE WASTE24
TIRE MANAGEMENT ENTERPRISE FUND CREATED IN SECTION 30-20-1404;25
(b)  T
HE PORTION OF THE FEE COLLECTED TO COVER THE COSTS26
DESCRIBED IN SUBSECTION (2)(a)(II)(B) OF THIS SECTION TO THE END27
SB24-123
-10- USERS FUND CREATED IN SECTION 30-20-1405; AND1
(c)  A
LL INTEREST EARNED ON THE INVESTMENT OF MONEY IN THE2
WASTE TIRE MANAGEMENT ENTERPRISE FUND TO THE FUND . ANY3
UNEXPENDED AND UNENCUMBERED MONEY IN THE WASTE TIRE4
MANAGEMENT ENTERPRISE FUND AT THE END OF ANY FISCAL YEAR SHALL5
REMAIN IN THE FUND.6
SECTION 4. In Colorado Revised Statutes, 30-20-1404, amend7
(1), (2) introductory portion, (2)(a), (2)(b), (2)(c), (2)(f), (2)(o), (5), and8
(7); repeal (8); and add (2)(q), (2)(r), (2)(s), and (2)(t) as follows:9
30-20-1404.  Waste tire management enterprise fund - creation10
- rules. (1) (a)  There is hereby
 created in the state treasury the waste tire11
administration, enforcement, market development, and cleanup12
MANAGEMENT ENTERPRISE fund, referred to in this section as the "fund",13
consisting of the fee revenue credited pursuant to section 30-20-1403 and14
any other money appropriated 
OR TRANSFERRED to it. The general
15
assembly shall annually appropriate the money in the fund to the16
department for its direct and indirect administrative and enforcement17
costs in administering and enforcing this part 14 MONEY CREDITED TO18
THE FUND IS CONTINUOUSLY APPROPRIATED TO THE ENTERPRISE FOR THE19
PURPOSES SET FORTH IN THIS PART 14 AND TO PAY THE ENTERPRISE'S20
REASONABLE AND NECESSARY OPERATING EXPENSES .21
(b)  The state treasurer shall credit all interest earned on the22
investment of money in the fund to the fund. Any unexpended and23
unencumbered money in the fund in excess of sixteen and one-half24
percent of the previous fiscal year's expenditures at the end of any fiscal25
year shall be credited: REMAIN IN THE FUND.26
(a)  Through December 31, 2025, to the end users fund created in27
SB24-123
-11- section 30-20-1405; and1
(b)  On and after January 1, 2026, to the general fund.2
(2)  The department shall ENTERPRISE MAY, IN CONSULTATION3
WITH THE DEPARTMENT, use the money in the fund for:4
(a)  Collecting the fee assessed in section 30-20-1403 (1) (2);5
(b)  Inspecting PETITIONING THE DEPARTMENT TO INSPECT retailers6
to determine whether all fees are being collected;7
(c)  Enforcing PETITIONING THE DEPARTMENT TO ENFORCE the8
requirements of this part 14 pursuant to existing authority, including9
sections 30-20-113 and 30-20-114;10
(f)  I
F REQUESTED BY THE DEPARTMENT , CONSULTING WITH THE11
DEPARTMENT IN hiring a contractor to clean up waste tires and12
tire-derived product
 PRODUCTS that have been illegally disposed of or13
have been disposed of at a landfill pursuant to section 30-20-1009 (2) and14
funding a grant program to reimburse local governing authorities for15
cleaning up waste tires and tire-derived products that have been illegally16
disposed of or have been disposed of at a landfill pursuant to section17
30-20-1009 (2);18
(o)  Encouraging waste tire market development; and19
(q)  T
HE PAYMENT OF ANY BONDS ISSUED PURS UANT TO SECTION20
30-20-1403 (1)(b);21
(r)  R
EIMBURSEMENT OF THE DEPARTMENT FOR CLEANUP AND22
REMEDIATION ACTIVITIES ENGAGED IN PURSUANT TO SUBSECTIONS (3) AND23
(4)
 OF THIS SECTION;24
(s)  T
HE PAYMENT OF PER DIEM AND THE REIMBURSEMENT OF25
ACTUAL AND NECESSARY EXPENSES FOR BOARD MEMBERS WHILE ON26
OFFICIAL ENTERPRISE BUSINESS; AND27
SB24-123
-12- (t)  ANY OTHER ACTIVITY NECESSARY TO IMPLEMENT THIS PART 14,1
AS DETERMINED BY THE BOARD OF DIRECTORS .2
(5) (a)  In providing assistance pursuant to this section, the3
department ENTERPRISE shall give primary consideration to protection of4
public health and the environment.5
(b)  In awarding contracts for services pursuant to this section, the6
department ENTERPRISE may give preferential bidding treatment to7
individuals or entities that will recycle, pursuant to rules of the8
department concerning recycling, and reuse, rather than dispose of, the9
waste tires.10
(7)  The 
ENTERPRISE, IN COORDINATION WITH THE department and11
the department of transportation, shall coordinate with one another to
12
systematically investigate and research the use of tire-derived aggregates13
in technically feasible and economically viable civil applications14
associated with the department of transportation's roadway mission. The15
department shall include any findings regarding tire-derived aggregates,16
as appropriate, in the department's annual report to the general assembly.17
(8)  Notwithstanding any other provision of this section, on June18
30, 2020, the state treasurer shall transfer five million three hundred19
seventy-two thousand four hundred fifteen dollars from the fund to the20
general fund.21
SECTION 5. In Colorado Revised Statutes, 30-20-1405, amend22
(1), (2)(a) introductory portion, (3), (4)(a), (4)(b) introductory portion, (5)23
introductory portion, (5)(c) introductory portion, (5)(d), (5)(e)24
introductory portion, (5)(e)(I), (6) introductory portion, (6)(b), (7), (8)25
introductory portion, (9), and (10); and repeal (1.5) as follows:26
30-20-1405.  End users fund - creation - quarterly rebates -27
SB24-123
-13- rules - repeal. (1) (a)  There is hereby created in the state treasury the end1
users fund, referred to in this section as the "fund", consisting of the fee2
revenue credited pursuant to section 30-20-1403 (2)(a)(II) 30-20-14033
(3)(b).4
(b)  The state treasurer shall credit all interest and any other return5
on the investment of money in the fund to the fund. The fund is subject6
to annual appropriation by the general assembly to the department for the7
purposes specified in this section MONEY CREDITED TO THE FUND IS8
CONTINUOUSLY APPROPRIATED TO THE ENTERPRISE FOR THE PURPOSES SET9
FORTH IN THIS SECTION.10
(1.5)  Notwithstanding any other provision of this section, on June11
30, 2020, the state treasurer shall transfer one million four hundred12
thousand dollars from the fund to the general fund.13
(2) (a)  The department ENTERPRISE, IN CONSULTATION WITH THE14
DEPARTMENT, shall use the money in the fund to provide quarterly rebates15
to in-state:16
(3)  The rebate is subject to the following conditions:17
(a)  The department ENTERPRISE shall pay the rebate amount18
quarterly, on a per-ton basis; and19
(b)  Once the department ENTERPRISE has paid a rebate on a20
particular quantity of tire-derived product, every part of that particular21
quantity of tire-derived product is no longer eligible for payment of the22
rebate.23
(4) (a)  The commission ENTERPRISE, IN CONSULTATION WITH THE24
COMMISSION, shall annually set the amount of the rebate, by rule, on a25
per-ton basis, and the department ENTERPRISE shall pay the set rebate26
amount for each ton of qualified tire-derived product. The commission27
SB24-123
-14- ENTERPRISE shall calculate the rebate to equal, but not exceed, the amount1
of the anticipated income transferred into the fund during each2
succeeding twelve-month period.3
(b)  Each year, the department ENTERPRISE shall continue to4
provide the rebate in accordance with the tiered structure set forth in5
subsection (5)(e) of this section until:6
(5)  The commission shall promulgate rules governing7
administration of the rebate. which ON AND AFTER THE EFFECTIVE DATE8
OF THIS SECTION, AS AMENDED, THE COMMISSION SHALL CONSULT WITH9
THE ENTERPRISE IN ADOPTING RULES GOVERNING ADMINISTRATION OF THE10
REBATE. THE COMMISSION'S rules must include the following:11
(c)  If the balance of the fund is anticipated to be insufficient to12
pay out all of the rebates applied for, a requirement that the department13
ENTERPRISE:14
(d)  A requirement that an end user that qualifies for a rebate by15
utilizing waste tires for:16
(I)  Alternative daily cover must verify with the department17
ENTERPRISE that the alternative daily cover meets all specification18
standards for all type-B tire-derived aggregate, as established by the19
ASTM standard D6270; and20
(II)  Tire-derived aggregate must verify with the department21
ENTERPRISE that the tire-derived aggregate meets all specification22
standards for all type-A tire-derived aggregate, as established by the23
ASTM standard D6270; and24
(e)  Three tiers of rebate amounts that the department ENTERPRISE25
may pay out based on the amount of the waste tire that was used and26
destroyed as follows:27
SB24-123
-15- (I)  Tier 1: Full rebates going to crumbed rubber end uses and end1
uses that completely destroy the waste tire for the purpose of energy2
recovery or other clean technologies as defined and approved by the3
commission by rule;4
(6)  The department ENTERPRISE:5
(b)  May deny:6
(I)  The rebate to a person that is out of compliance with any state7
or federal environmental laws OR rules or regulations RELATED TO THE8
MANAGEMENT OF WASTE TIRES ; and9
(II)  All future rebates pursuant to this section and grants of money10
from the waste tire administration, enforcement, market development, and11
cleanup MANAGEMENT ENTERPRISE fund created in section 30-20-1404 to12
an applicant that knowingly or intentionally provides false information to13
the department ENTERPRISE when applying for a rebate or for a grant of14
money from the waste tire administration, enforcement, market15
development, and cleanup MANAGEMENT ENTERPRISE fund.16
(7)  Waste tires obtained from rural counties are eligible for an17
additional rebate amount of twenty-five dollars per ton; however, the18
additional rebate amount must not exceed the rebate amount for tier 319
rebates as determined by the commission by rule pursuant to subsection20
(5)(e)(III) of this section. To qualify for the additional rebate amount set21
forth in this subsection (7), an end user must provide evidence to the22
department ENTERPRISE documenting the county of origin for each waste23
tire.24
(8)  The department ENTERPRISE shall require that an end user25
submit an application for a rebate that contains self-certifications26
provided by the end user regarding:27
SB24-123
-16- (9) (a)  ON OR AFTER JANUARY 1, 2026, AND UNTIL DECEMBER 31,1
2040, the department ENTERPRISE may issue rebates after January 1, 2026,2
only for end uses occurring and rebates applied for on or before3
December 31, 2025 PURSUANT TO THIS SECTION.4
(b)  The commission, 
IN CONSULTATION WITH THE ENTERPRISE ,5
shall repeal any rules concerning the fund and implementation of this6
section once the department
 ENTERPRISE has issued the final rebates7
pursuant to subsection (9)(a) of this section.8
(c)  On July 1, 2026 JULY 1, 2041, the state treasurer shall transfer9
any money left in the fund to the general fund.10
(10)  This section is repealed, effective July 1, 2026 JULY 1, 2042.11
SECTION 6. Safety clause. The general assembly finds,12
determines, and declares that this act is necessary for the immediate13
preservation of the public peace, health, or safety or for appropriations for14
the support and maintenance of the departments of the state and state15
institutions.16
SB24-123
-17-