Colorado 2024 Regular Session

Colorado Senate Bill SB229 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
	1	+	Second Regular Session
	2	+	Seventy-fourth General Assembly
	3	+	STATE OF COLORADO
	4	+	REREVISED
	5	+	This Version Includes All Amendments
	6	+	Adopted in the Second House
	7	+	LLS NO. 24-1188.01 Jennifer Berman x3286
1	8		SENATE BILL 24-229
2		-	BY SENATOR(S) Winter F. and Priola, Buckner, Coleman, Cutter, Exum,
3		-	Fenberg, Hansen, Jaquez Lewis, Marchman, Michaelson Jenet, Gonzales,
4		-	Hinrichsen, Kolker;
5		-	also REPRESENTATIVE(S) Bacon and Willford, Amabile, Boesenecker,
6		-	Brown, Clifford, deGruy Kennedy, Daugherty, English, Froelich, Garcia,
7		-	Hernandez, Herod, Jodeh, Joseph, Kipp, Lindsay, Lindstedt, Marvin,
8		-	McCluskie, McCormick, Ortiz, Ricks, Rutinel, Story, Titone, Valdez,
9		-	Velasco, Vigil, Weissman, Woodrow, Bird, Epps, Hamrick, Lukens,
10		-	Mabrey, Marshall, Parenti, Sirota, Snyder.
	9	+	Senate Committees House Committees
	10	+	Finance Finance
	11	+	Appropriations Appropriations
	12	+	A BILL FOR AN ACT
11	13		C
12		-	ONCERNING MEASURES TO MITIGATE OZONE POLLUTION IN THE STATE ,
13		-	AND, IN CONNECTION THEREWITH, MAKING AN APPROPRIATION.
14		-
15		-	Be it enacted by the General Assembly of the State of Colorado:
16		-	SECTION 1. Legislative declaration. (1) The general assembly
17		-	finds and determines that:
18		-	(a) Emissions of ozone precursors, such as oxides of nitrogen (NOx)
19		-	and volatile organic compounds, contribute to the formation of ozone and
20		-	to public health impacts for individuals exposed to higher levels of air
21		-	pollution;
22		-	NOTE: This bill has been prepared for the signatures of the appropriate legislative
23		-	officers and the Governor. To determine whether the Governor has signed the bill
24		-	or taken other action on it, please consult the legislative status sheet, the legislative
25		-	history, or the Session Laws.
26		-	________
27		-	Capital letters or bold & italic numbers indicate new material added to existing law; dashes
28		-	through words or numbers indicate deletions from existing law and such material is not part of
29		-	the act. (b) Oil and gas activities are among the largest anthropogenic
30		-	contributors to ozone precursor emissions in the ozone nonattainment area;
31		-	(c) Sources of NOx from upstream oil and gas operations present
32		-	significant opportunities to reduce ozone precursors and improve public
33		-	health;
34		-	(d) Residents of disproportionately impacted communities in the
35		-	ozone nonattainment area may be exposed to higher levels of NOx than
36		-	other Coloradans;
37		-	(e) The air quality control commission adopted rules in December
38		-	2023 designed to achieve a thirty percent reduction in NOx emissions
39		-	generated by upstream oil and gas operations, including preproduction
40		-	operations, by 2025;
41		-	(f) Despite efforts to reduce ozone precursor emissions in the ozone
42		-	nonattainment area, more work is necessary to protect public health;
43		-	(g) State agencies cannot improve air quality through regulations
44		-	alone and need more permitting and enforcement authority to ensure
45		-	compliance with the state's environmental statutes and rules; and
46		-	(h) Transparency for the public regarding the state's efforts is
47		-	critical.
48		-	(2) Therefore, the general assembly declares that:
49		-	(a) Both the Colorado department of public health and environment
50		-	and the energy and carbon management commission need to do more, both
51		-	together and individually, to address the state's ozone problems;
52		-	(b) More accountability for sources of pollution and for the state
53		-	will build public trust and improve air quality;
54		-	(c) The Colorado department of public health and environment's air
55		-	pollution control division should consider more stringent approaches in the
56		-	process of conducting dispersion modeling of proposed sources of increased
57		-	NOx to better protect residents of disproportionately impacted communities
58		-	PAGE 2-SENATE BILL 24-229 in the ozone nonattainment area;
59		-	(d) Further action needs to be taken to require steady, measurable
60		-	emission reductions from upstream oil and gas operations, including
61		-	preproduction operations, to ensure the oil and gas industry adequately
62		-	contributes to ozone precursor pollution reductions; and
63		-	(e) The energy and carbon management commission should
64		-	encourage and facilitate the plugging, abandonment, and remediation of
65		-	marginal wells to address emissions of ozone precursors from production
66		-	activities, especially in disproportionately impacted communities.
67		-	SECTION 2. In Colorado Revised Statutes, 25-7-109, add (10)(d)
68		-	as follows:
69		-	25-7-109. Commission to promulgate emission control
	14	+	ONCERNING MEASURES TO MITIGATE OZONE POLLUTION IN THE101
	15	+	STATE, AND, IN CONNECTION THEREWITH , MAKING AN
	16	+	102
	17	+	APPROPRIATION.103
	18	+	Bill Summary
	19	+	(Note: This summary applies to this bill as introduced and does
	20	+	not reflect any amendments that may be subsequently adopted. If this bill
	21	+	passes third reading in the house of introduction, a bill summary that
	22	+	applies to the reengrossed version of this bill will be available at
	23	+	http://leg.colorado.gov
	24	+	.)
	25	+	Section 2 of the bill requires the division of administration
	26	+	(division) in the department of public health and environment
	27	+	(department) to propose rules to the air quality control commission
	28	+	(commission) to reduce certain emissions of oxides of nitrogen (NOx)
	29	+	generated by upstream oil and gas operations in certain areas of the state
	30	+	HOUSE
	31	+	3rd Reading Unamended
	32	+	May 6, 2024
	33	+	HOUSE
	34	+	Amended 2nd Reading
	35	+	May 5, 2024
	36	+	SENATE
	37	+	3rd Reading Unamended
	38	+	May 4, 2024
	39	+	SENATE
	40	+	Amended 2nd Reading
	41	+	May 3, 2024
	42	+	SENATE SPONSORSHIP
	43	+	Winter F. and Priola, Buckner, Coleman, Cutter, Exum, Fenberg, Hansen, Jaquez Lewis,
	44	+	Marchman, Michaelson Jenet, Gonzales, Hinrichsen, Kolker
	45	+	HOUSE SPONSORSHIP
	46	+	Bacon and Willford, Amabile, Boesenecker, Brown, Clifford, deGruy Kennedy,
	47	+	Daugherty, English, Froelich, Garcia, Hernandez, Herod, Jodeh, Joseph, Kipp, Lindsay,
	48	+	Lindstedt, Marvin, McCluskie, McCormick, Ortiz, Ricks, Rutinel, Story, Titone, Valdez,
	49	+	Velasco, Vigil, Weissman, Woodrow, Bird, Epps, Hamrick, Lukens, Mabrey, Marshall,
	50	+	Parenti, Sirota, Snyder
	51	+	Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
	52	+	Capital letters or bold & italic numbers indicate new material to be added to existing law.
	53	+	Dashes through the words or numbers indicate deletions from existing law. by 50% by 2030 relative to 2017 NOx emission levels.
	54	+	Section 3 requires the division to prepare an annual air quality
	55	+	enforcement benchmark report to summarize the division's statewide
	56	+	enforcement actions, including civil penalties assessed.
	57	+	Under current law, the division or commission, in an enforcement
	58	+	action, cannot obtain a temporary restraining order or preliminary
	59	+	injunction if there is probable cause that the temporary restraining order
	60	+	or preliminary injunction would cause serious harm to the person affected
	61	+	by the temporary restraining order or preliminary injunction or another
	62	+	person or if the source to which the enforcement action pertains has
	63	+	obtained a renewable operating permit and continues operations in
	64	+	compliance with that permit. Section 4 repeals those limitations on
	65	+	temporary restraining orders and preliminary injunctions. Section 4 also
	66	+	authorizes a district attorney or the attorney general to seek injunctive
	67	+	relief to reduce the potential for a recurrence of a violation.
	68	+	Sections 5 and 6 clarify that the division has authority to impose
	69	+	civil penalties for violations of requirements related to toxic air
	70	+	contaminants, fenceline and community-based monitoring, and, if enacted
	71	+	in House Bill 24-1338, petroleum refinery emissions monitoring.
	72	+	Section 8 authorizes the director of the energy and carbon
	73	+	management commission (ECMC) to hire at least 2 community liaisons
	74	+	to serve as dedicated resources for disproportionately impacted
	75	+	communities, and section 12 authorizes funding of the community liaison
	76	+	positions from the energy and carbon management cash fund.
	77	+	Under current law, an oil and gas operator (operator) is required
	78	+	to obtain a permit from the ECMC to commence oil and gas drilling
	79	+	operations. Section 9 requires the operator to also obtain from the ECMC
	80	+	a license to conduct oil and gas operations. Section 9 also requires
	81	+	operators to take actions in accordance with ECMC rules to reduce
	82	+	certain emissions of NOx generated from oil and gas production and
	83	+	preproduction operations. The ECMC is also required, in consultation
	84	+	with the department, to adopt rules to require enhanced systems and
	85	+	practices to avoid, minimize, and mitigate emissions of ozone precursors
	86	+	from oil and gas operations at newly permitted oil and gas locations in
	87	+	certain parts of the state.
	88	+	Section 10 limits a court's authority to postpone the effective date
	89	+	of an ECMC order suspending or revoking an operator's license to
	90	+	conduct oil and gas operations or a certificate of clearance, requiring the
	91	+	court to first consider various factors, including whether the moving party
	92	+	would face real, immediate, and irreparable injury if the effective date is
	93	+	not postponed and the effect that such postponement would have on the
	94	+	public interest.
	95	+	Section 11 expands the ECMC's enforcement authority to include
	96	+	revoking an operator's license to conduct oil and gas operations and
	97	+	expands the types of violations that are subject to suspension of all of the
	98	+	229
	99	+	-2- operator's permits and certificates of clearance and the operator's license
	100	+	to conduct oil and gas operations to include violations resulting in a
	101	+	penalty of $1,000,000 or more, violations that cause a major adverse
	102	+	impact, as defined by the ECMC by rule, and violations that cause death
	103	+	or serious bodily injury.
	104	+	Section 13 expands the scope of the orphaned wells mitigation
	105	+	enterprise to help finance the plugging, reclamation, and remediation of
	106	+	marginal wells that are at the highest risk of becoming orphaned.
	107	+	Be it enacted by the General Assembly of the State of Colorado:1
	108	+	SECTION 1. Legislative declaration. (1) The general assembly2
	109	+	finds and determines that:3
	110	+	(a) Emissions of ozone precursors, such as oxides of nitrogen4
	111	+	(NOx) and volatile organic compounds, contribute to the formation of5
	112	+	ozone and to public health impacts for individuals exposed to higher6
	113	+	levels of air pollution;7
	114	+	(b) Oil and gas activities are among the largest anthropogenic8
	115	+	contributors to ozone precursor emissions in the ozone nonattainment9
	116	+	area;10
	117	+	(c) Sources of NOx from upstream oil and gas operations present11
	118	+	significant opportunities to reduce ozone precursors and improve public12
	119	+	health;13
	120	+	(d) Residents of disproportionately impacted communities in the14
	121	+	ozone nonattainment area may be exposed to higher levels of NOx than15
	122	+	other Coloradans;16
	123	+	(e) The air quality control commission adopted rules in December17
	124	+	2023 designed to achieve a thirty percent reduction in NOx emissions18
	125	+	generated by upstream oil and gas operations, including preproduction19
	126	+	operations, by 2025;20
	127	+	(f) Despite efforts to reduce ozone precursor emissions in the21
	128	+	229-3- ozone nonattainment area, more work is necessary to protect public1
	129	+	health;2
	130	+	(g) State agencies cannot improve air quality through regulations3
	131	+	alone and need more permitting and enforcement authority to ensure4
	132	+	compliance with the state's environmental statutes and rules; and5
	133	+	(h) Transparency for the public regarding the state's efforts is6
	134	+	critical.7
	135	+	(2) Therefore, the general assembly declares that:8
	136	+	(a) Both the Colorado department of public health and9
	137	+	environment and the energy and carbon management commission need10
	138	+	to do more, both together and individually, to address the state's ozone11
	139	+	problems;12
	140	+	(b) More accountability for sources of pollution and for the state13
	141	+	will build public trust and improve air quality;14
	142	+	(c) The Colorado department of public health and environment's15
	143	+	air pollution control division should consider more stringent approaches16
	144	+	in the process of conducting dispersion modeling of proposed sources of17
	145	+	increased NOx to better protect residents of disproportionately impacted18
	146	+	communities in the ozone nonattainment area;19
	147	+	(d) Further action needs to be taken to require steady, measurable20
	148	+	emission reductions from upstream oil and gas operations, including21
	149	+	preproduction operations, to ensure the oil and gas industry adequately22
	150	+	contributes to ozone precursor pollution reductions; and23
	151	+	(e) The energy and carbon management commission should24
	152	+	encourage and facilitate the plugging, abandonment, and remediation of25
	153	+	marginal wells to address emissions of ozone precursors from production26
	154	+	activities, especially in disproportionately impacted communities.27
	155	+	229
	156	+	-4- SECTION 2. In Colorado Revised Statutes, 25-7-109, add1
	157	+	(10)(d) as follows:2
	158	+	25-7-109. Commission to promulgate emission control3
70	159		regulations. (10) (d) O
71		-	N OR BEFORE AUGUST 31, 2026, THE DIVISION SHALL
72		-	PROPOSE RULES DESIGNED TO REDUCE EMISSIONS OF OXIDES OF NITROGEN
73		-	(NOX) GENERATED BY UPSTREAM OIL AND GAS OPERATIONS , AS DEFINED BY
74		-	THE COMMISSION BY RULE
75		-	, INCLUDING PREPRODUCTION OPERATIONS ,
76		-	BETWEEN MAY 1 AND SEPTEMBER 30 IN THE EIGHT-HOUR OZONE CONTROL
77		-	AREA AND NORTHERN
78		-	WELD COUNTY, AS THOSE TERMS ARE DEFINED BY THE
79		-	COMMISSION BY RULE
80		-	, BY FIFTY PERCENT BY 2030 RELATIVE TO 2017 NOX
81		-	EMISSION LEVELS
82		-	. NOX EMISSION LEVELS ARE CHARACTERIZED BY THE MOST
83		-	RECENT STATE INVENTORY OF
84		-	NOX EMISSIONS FOR 2017 THAT THE
85		-	COMMISSION ADOPTED FOR THE PURPOSE OF INCLUSION IN THE STATE
86		-	IMPLEMENTATION PLAN FOR THE
87		-	2015 EIGHT-HOUR OZONE NATIONAL
88		-	AMBIENT AIR QUALITY STANDARD
89		-	, OR AS PUBLISHED CONCURRENTLY WITH
90		-	PROPOSED RULES CONSISTENT WITH THIS SUBSECTION
91		-	(10)(d) IN A NOTICE
92		-	OF PROPOSED RULE
93		-	-MAKING PUBLISHED IN ACCORDANCE WITH SECTION
94		-	25-7-110 (1).
95		-	SECTION 3. In Colorado Revised Statutes, 25-7-115, amend
96		-	(3)(b)(III) introductory portion and (3)(b)(III)(C); and add (3)(b)(III)(C.5),
97		-	(12), and (13) as follows:
98		-	25-7-115. Enforcement - civil actions - definitions - reporting -
99		-	repeal. (3) (b) (III) The order
100		-	ISSUED IN ACCORDANCE WITH SUBSECTION
101		-	(3)(b)(I) OF THIS SECTION may:
102		-	PAGE 3-SENATE BILL 24-229 (C) In addition to civil penalties, include a requirement to perform
103		-	one or more projects to mitigate violations related to excess emissions; and
104		-	(C.5) IN ADDITION TO CIVIL PENALTIES, INCLUDE A REQUIREMENT TO
105		-	PERFORM ONE OR MORE PROJECTS TO REDUCE THE POTENTIAL FOR A
106		-	RECURRENCE OF A VIOLATION FOR WHICH THE DIVISION COMMENCED
107		-	ENFORCEMENT PURSUANT TO SUBSECTION
108		-	(2)(c)(I) OF THIS SECTION; AND
109		-	(12) (a) (I) ON OR BEFORE DECEMBER 31, 2024, THE DIVISION SHALL
110		-	PREPARE AN AIR QUALITY ENFORCEMENT BENCHMARK REPORT AND POST
111		-	THE REPORT ON THE DIVISION
112		-	'S WEBSITE. THE REPORT MUST COVER THE
113		-	FEDERAL FISCAL YEARS FROM
114		-	OCTOBER 1, 2019, THROUGH SEPTEMBER 30,
115		-	2023,
116		-	AND INCLUDE THE FOLLOWING STATEWIDE INFORMATION :
	160	+	N OR BEFORE AUGUST 31, 2026, THE DIVISION4
	161	+	SHALL PROPOSE RULES DESIGNED TO REDUCE EMISSIONS OF OXIDES OF5
	162	+	NITROGEN (NOX) GENERATED BY UPSTREAM OIL AND GAS OPERATIONS , AS6
	163	+	DEFINED BY THE COMMISSION BY RULE , INCLUDING PREPRODUCTION7
	164	+	OPERATIONS, BETWEEN MAY 1 AND SEPTEMBER 30 IN THE EIGHT-HOUR8
	165	+	OZONE CONTROL AREA AND NORTHERN WELD COUNTY, AS THOSE TERMS9
	166	+	ARE DEFINED BY THE COMMISSION BY RULE , BY FIFTY PERCENT BY 203010
	167	+	RELATIVE TO 2017 NOX EMISSION LEVELS. NOX EMISSION LEVELS ARE11
	168	+	CHARACTERIZED BY THE MOST RECENT STATE INVENTORY OF NOX12
	169	+	EMISSIONS FOR 2017 THAT THE COMMISSION ADOPTED FOR THE PURPOSE13
	170	+	OF INCLUSION IN THE STATE IMPLEMENTATION PLAN FOR THE 201514
	171	+	EIGHT-HOUR OZONE NATIONAL AMBIENT AIR QUALITY STANDARD , OR AS15
	172	+	PUBLISHED CONCURRENTLY WITH PROPOSED RULES CONSISTENT WITH THIS16
	173	+	SUBSECTION (10)(d) IN A NOTICE OF PROPOSED RULE-MAKING PUBLISHED17
	174	+	IN ACCORDANCE WITH SECTION 25-7-110 (1).18
	175	+	SECTION 3. In Colorado Revised Statutes, 25-7-115, amend19
	176	+	(3)(b)(III) introductory portion and (3)(b)(III)(C); and add20
	177	+	(3)(b)(III)(C.5), (12), and (13) as follows:21
	178	+	25-7-115. Enforcement - civil actions - definitions - reporting22
	179	+	- repeal. (3) (b) (III) The order
	180	+	ISSUED IN ACCORDANCE WITH23
	181	+	SUBSECTION (3)(b)(I) OF THIS SECTION may:24
	182	+	(C) In addition to civil penalties, include a requirement to perform25
	183	+	one or more projects to mitigate violations related to excess emissions;26
	184	+	and
	185	+	27
	186	+	229
	187	+	-5- (C.5) IN ADDITION TO CIVIL PENALTIES, INCLUDE A REQUIREMENT1
	188	+	TO PERFORM ONE OR MORE PROJECTS TO REDUCE THE POTENTIAL FOR A2
	189	+	RECURRENCE OF A VIOLATION FOR WHICH THE DIVISION COMMENCED3
	190	+	ENFORCEMENT PURSUANT TO SUBSECTION (2)(c)(I) OF THIS SECTION; AND4
	191	+	(12) (a) (I) O
	192	+	N OR BEFORE DECEMBER 31, 2024, THE DIVISION5
	193	+	SHALL PREPARE AN AIR QUALITY ENFORCEMENT BENCHMARK REPORT AND6
	194	+	POST THE REPORT ON THE DIVISION'S WEBSITE. THE REPORT MUST COVER7
	195	+	THE FEDERAL FISCAL YEARS FROM OCTOBER 1, 2019, THROUGH8
	196	+	S
	197	+	EPTEMBER 30, 2023, AND INCLUDE THE FOLLOWING STATEWIDE9
	198	+	INFORMATION:10
117	199		(A) T
118		-	HE TOTAL NUMBER OF ENFORCEMENT ACTIONS THAT ~~THE~~
119		-	DIVISION COMMENCED PURSUANT TO SUBSECTION
120		-	~~(2)(c)(I) OF THIS~~ SECTION;
	200	+	HE TOTAL NUMBER OF ENFORCEMENT ACTIONS THAT THE11
	201	+	DIVISION COMMENCED PURSUANT TO SUBSECTION (2)(c)(I) OF THIS12
	202	+	SECTION;13
121	203		(B) T
122		-	HE TOTAL NUMBER OF DECISIONS NOT TO IMPOSE A PENALTY
123		-	FOR AN ENFORCEMENT ACTION THAT THE DIVISION COMMENCED PURSUANT
124		-	TO SUBSECTION
125		-	(2)(c)(I) OF THIS SECTION;
	204	+	HE TOTAL NUMBER OF DECISIONS NOT TO IMPOSE A PENALTY14
	205	+	FOR AN ENFORCEMENT ACTION THAT THE DIVISION COMMENCED15
	206	+	PURSUANT TO SUBSECTION (2)(c)(I) OF THIS SECTION;16
126	207		(C) T
127		-	HE TOTAL NUMBER OF ENFORCEMENT ACTIONS THAT THE
128		-	DIVISION RESOLVED PURSUANT TO SUBSECTION
129		-	(3)(b) OF THIS SECTION; AND
130		-	(D) WITH RESPECT TO CIVIL PENALTIES ASSESSED PURSUANT TO
	208	+	HE TOTAL NUMBER OF ENFORCEMENT ACTIONS THAT THE17
	209	+	DIVISION RESOLVED PURSUANT TO SUBSECTION (3)(b) OF THIS SECTION;18
	210	+	AND19
	211	+	(D) W
	212	+	ITH RESPECT TO CIVIL PENALTIES ASSESSED PURSUANT TO20
	213	+	SECTION 25-7-122 (1)(b), THE TOTAL AMOUNT OF CIVIL PENALTIES , THE21
	214	+	AVERAGE CIVIL PENALTY, THE MEDIAN CIVIL PENALTY, THE HIGHEST CIVIL22
	215	+	PENALTY, AND THE LOWEST CIVIL PENALTY.23
	216	+	(II) T
	217	+	HIS SUBSECTION (12)(a) IS REPEALED, EFFECTIVE JULY 1,24
	218	+	2025.25
	219	+	(b) O
	220	+	N OR BEFORE APRIL 1, 2025, AND ON OR BEFORE FEBRUARY26
	221	+	1
	222	+	OF EACH YEAR THEREAFTER , THE DIVISION SHALL PREPARE AN AIR27
	223	+	229
	224	+	-6- QUALITY ENFORCEMENT REPORT AND POST THE REPORT ON THE DIVISION 'S1
	225	+	WEBSITE. THE FIRST REPORT MUST COVER THE FEDERAL FISCAL YEAR2
	226	+	STARTING OCTOBER 1, 2023, THROUGH SEPTEMBER 30, 2024, AND EACH3
	227	+	SUBSEQUENT REPORT MUST COVER THE FEDERAL FISCAL YEAR PERIOD OF4
	228	+	O
	229	+	CTOBER 1 THROUGH SEPTEMBER 30 PRECEDING THE ISSUANCE OF THE5
	230	+	REPORT. THE REPORTS PREPARED PURSUANT TO THIS SUBSECTION (12)(b)6
	231	+	MUST INCLUDE THE FOLLOWING STATEWIDE INFORMATION :7
	232	+	(I) T
	233	+	HE TOTAL NUMBER OF ENFORCEMENT ACTIONS THAT THE8
	234	+	DIVISION COMMENCED PURSUANT TO SUBSECTION (2)(c)(I) OF THIS9
	235	+	SECTION;10
	236	+	(II) T
	237	+	HE NUMBER OF COMPLAINTS RECEIVED PURSUANT TO11
	238	+	SUBSECTION (2)(a) OF THIS SECTION THAT RESULTED IN AN ENFORCEMENT12
	239	+	ACTION THAT THE DIVISION COMMENCED UNDER SUBSECTION (2)(c)(I) OF13
	240	+	THIS SECTION AND THE IDENTIFYING CASE NUMBER ;14
	241	+	(III) T
	242	+	HE TOTAL NUMBER OF DECISIONS NOT TO IMPOSE A PENALTY15
	243	+	FOR AN ENFORCEMENT ACTION THAT THE DIVISION COMMENCED16
	244	+	PURSUANT TO SUBSECTION (2)(c)(I) OF THIS SECTION;17
	245	+	(IV) T
	246	+	HE TOTAL NUMBER OF FORMAL ENFORCEMENT ACTIONS18
	247	+	THAT THE DIVISION RESOLVED PURSUANT TO SUBSECTION (3)(b) OF THIS19
	248	+	SECTION AND THE TOTAL NUMBER OF ACTIONS THAT INCLUDED20
	249	+	VIOLATIONS WITHIN AREAS OF CONCERN , SUCH AS:21
	250	+	(A) T
	251	+	HE AREA THAT THE UNITED STATES ENVIRONMENTAL22
	252	+	PROTECTION AGENCY HAS DESIGNATED AN OZONE NONATTAINMENT AREA ;23
	253	+	AND24
	254	+	(B) A
	255	+	N AREA THAT IS IN A DISPROPORTIONATELY IMPACTED25
	256	+	COMMUNITY; AND26
	257	+	(V) W
	258	+	ITH RESPECT TO CIVIL PENALTIES ASSESSED PURSUANT TO27
	259	+	229
	260	+	-7- SECTION 25-7-122 (1)(b), THE TOTAL AMOUNT OF CIVIL PENALTIES , THE1
	261	+	AVERAGE CIVIL PENALTY, THE MEDIAN CIVIL PENALTY, THE HIGHEST CIVIL2
	262	+	PENALTY, THE LOWEST CIVIL PENALTY, AND THE TOTAL AMOUNT OF CIVIL3
	263	+	PENALTIES ASSESSED FOR EACH ACTION THAT INCLUDES VIOLATIONS IN4
	264	+	AREAS OF CONCERN, SUCH AS:5
	265	+	(A) T
	266	+	HE AREA THAT THE UNITED STATES ENVIRONMENTAL6
	267	+	PROTECTION AGENCY HAS DESIGNATED AN OZONE NONATTAINMENT AREA ;7
	268	+	AND8
	269	+	(B) A
	270	+	N AREA THAT IS IN A DISPROPORTIONATELY IMPACTED9
	271	+	COMMUNITY.10
	272	+	(13) T
	273	+	HE DIVISION SHALL IMPLEMENT AN AIR QUALITY11
	274	+	ENFORCEMENT E-MAIL MAILING GROUP OR A SIMILAR COMMUNICATION12
	275	+	FUNCTION TO SHARE ENFORCEMENT -RELATED UPDATES WITH INTERESTED13
	276	+	PARTIES THAT OPT IN TO THE E -MAIL MAILING GROUP OR SIMILAR14
	277	+	COMMUNICATION FUNCTION . THE DIVISION MAY SHARE INFORMATION15
	278	+	THROUGH THE E-MAIL MAILING GROUP OR SIMILAR COMMUNICATION16
	279	+	FUNCTION THAT INCLUDES:17
	280	+	(a) A
	281	+	NOTICE OF VIOLATION OR NONCOMPLIANCE SENT PURSUANT18
	282	+	TO SUBSECTION (2)(c)(I) OF THIS SECTION;19
	283	+	(b) A
	284	+	SETTLEMENT OR OTHER ORDER ISSUED PURSUANT TO20
	285	+	SUBSECTION (3)(b) OF THIS SECTION TO RESOLVE A CASE; AND21
	286	+	(c) A
	287	+	LINK TO THE ANNUAL AIR QUALITY ENFORCEMENT22
	288	+	BENCHMARK REPORT THAT THE DIVISION PREPARES PURSUANT TO23
	289	+	SUBSECTION (12) OF THIS SECTION.24
	290	+	SECTION 4. In Colorado Revised Statutes, amend 25-7-121 as25
	291	+	follows:26
	292	+	25-7-121. Injunctions. (1) In the event any person fails to27
	293	+	229
	294	+	-8- comply with a final order of the division or the commission that is not1
	295	+	subject to stay pending administrative or judicial review or in the event2
	296	+	any person violates any emission control regulation of the commission,3
	297	+	the requirements of the state implementation plan, or any provision of
	298	+	OR4
	299	+	COMMISSION RULE ADOPTED PURSUANT TO parts 1 to 4 of this article
	300	+	5
	301	+	ARTICLE 7, including any term or condition contained in any permit6
	302	+	required under this article ARTICLE 7, the division or the commission, as7
	303	+	the case may be, may request the district attorney for the district in which8
	304	+	the alleged violation occurs or the attorney general to bring, and if so9
	305	+	requested it is his or her THE DISTRICT ATTORNEY'S OR THE ATTORNEY10
	306	+	GENERAL'S duty to bring, a suit for an injunction to:11
	307	+	(a) Prevent any further or continued violation;12
	308	+	(b) R
	309	+	EDUCE THE POTENTIAL FOR A RECURRENCE OF A VIOLATION13
	310	+	FOR WHICH THE DIVISION HAS PREVIOUSLY COMMENCED ENFORCEMENT14
	311	+	PURSUANT TO SECTION 25-7-115 (2)(c)(I); OR15
	312	+	(c) O
	313	+	BTAIN ANY PERMIT REQUIRED TO CONSTRUCT OR OPERATE .16
	314	+	(2) In any proceedings brought pursuant to this section to enforce
	315	+	17
	316	+	an order of the division or the commission, a temporary restraining order18
	317	+	or preliminary injunction, if sought, shall not issue if there is probable19
	318	+	cause to believe that granting such temporary restraining order or20
	319	+	preliminary injunction will cause serious harm to the affected person or21
	320	+	any other person and:22
	321	+	(a) That the alleged violation or activity to which the order23
	322	+	pertains will not continue or be repeated; or24
	323	+	(b) That granting such temporary restraining order or preliminary25
	324	+	injunction would be without sufficient corresponding public benefit.26
	325	+	(3) Notwithstanding any other provision in this section, no action27
	326	+	229
	327	+	-9- for injunction may be taken where the source has obtained a renewable1
	328	+	operating permit and conducts its operations in compliance with the2
	329	+	permit terms, as provided in section 25-7-114.4 (3).3
	330	+	SECTION 5. In Colorado Revised Statutes, 25-7-122, amend4
	331	+	(1)(b) introductory portion, (1)(c), (2)(a)(I), (2)(a)(II), (2)(a)(III),5
	332	+	(2)(a)(VIII), (2)(a)(IX), (2)(b) introductory portion, and (2)(b)(IV);6
	333	+	repeal (2)(b)(V) and (3); and add (2)(a)(X) as follows:7
	334	+	25-7-122. Civil penalties - rules - definitions. (1) Upon8
	335	+	application of the division, the division may collect penalties as9
	336	+	determined under this article 7 by instituting an action in the district court10
	337	+	for the district in which the air pollution source affected is located, in11
	338	+	accordance with the following provisions:12
	339	+	(b) Any person who violates any requirement or prohibition of
	340	+	A13
	341	+	FINAL ORDER OF THE DIVISION OR COMMISSION , an applicable emission14
	342	+	control regulation of the commission, the state implementation plan, a15
	343	+	construction permit, any provision for the prevention of significant16
	344	+	deterioration under part 2 of this article 7, any provision related to17
	345	+	attainment under part 3 of this article 7, or
	346	+	ANY PROVISION OF OR18
	347	+	COMMISSION RULE ADOPTED PURSUANT TO section 25-7-105, 25-7-106,19
	348	+	25-7-106.3, 25-7-108, 25-7-109, 25-7-109.5, 25-7-111, 25-7-112,20
	349	+	25-7-113, 25-7-114.2, 25-7-114.5, 25-7-118, 25-7-141, 25-7-206,21
	350	+	25-7-403, 25-7-404, 25-7-405, 25-7-407, 42-4-403, 42-4-404, 42-4-405,22
	351	+	42-4-406, 42-4-407, 42-4-409, 42-4-410, or 42-4-414 is subject to a civil23
	352	+	penalty of not more than forty-seven thousand three hundred fifty-seven24
	353	+	dollars per day for each day of the violation; except that:25
	354	+	(c) Any person failing to comply with the provisions of section26
	355	+	25-7-114.1 shall be subject to a civil penalty of not more than five
	356	+	27
	357	+	229
	358	+	-10- hundred ONE THOUSAND dollars PER DAY PER VIOLATION.1
	359	+	(2) (a) In determining the amount of any civil penalty, the division2
	360	+	shall consider the following factors:3
	361	+	(I) The violator's compliance history,
	362	+	INCLUDING THE COMPLIANCE4
	363	+	HISTORY OF THE VIOLATOR'S CORPORATE AFFILIATES, SUBSIDIARIES, AND5
	364	+	PARENT ORGANIZATIONS;6
	365	+	(II) L
	366	+	ACK OF good faith efforts on behalf of the violator to7
	367	+	comply;8
	368	+	(III) Payment by the violator of penalties previously assessed for
	369	+	9
	370	+	the same violation WHETHER THE VIOLATOR PREVIOUSLY COMMITTED THE10
	371	+	SAME OR A SIMILAR VIOLATION, REGARDLESS OF WHETHER THE DIVISION11
	372	+	OR COMMISSION COMMENCED AN ENFORCEMENT ACTION PURSUANT TO12
	373	+	SECTION 25-7-115 FOR ANY SUCH VIOLATION;13
	374	+	(VIII) Whether legal and factual theories were advanced for14
	375	+	purposes of delay; and15
	376	+	(IX) The severity of the violation or noncompliance;
	377	+	AND16
	378	+	(X) W
	379	+	HETHER THE VIOLATION OCCURRED WITHIN OR IMPACTED A17
	380	+	DISPROPORTIONATELY IMPACTED COMMUNITY .18
	381	+	(b) In addition to the factors set forth in paragraph (a) of this
	382	+	19
	383	+	subsection (2) SUBSECTION (2)(a) OF THIS SECTION, THE DIVISION SHALL20
	384	+	CONSIDER the following circumstances shall be considered as grounds for21
	385	+	reducing or eliminating civil penalties:22
	386	+	(IV) Substantial economic impact of a penalty on the violator;23
	387	+	AND24
	388	+	(V) Nonfeasance; and
	389	+	25
	390	+	(3) Notwithstanding any other provision in this section, no action26
	391	+	for civil enforcement of this article may be taken where the source has27
	392	+	229
	393	+	-11- obtained a renewable operating permit and conducts its operations in1
	394	+	compliance with the permit terms, as provided in section 25-7-114.4 (3).2
	395	+	SECTION 6. In Colorado Revised Statutes, 25-7-122, amend3
	396	+	(1)(b) introductory portion, (1)(c), (2)(a)(I), (2)(a)(II), (2)(a)(III),4
	397	+	(2)(a)(VIII), (2)(a)(IX), (2)(b) introductory portion, and (2)(b)(IV);5
	398	+	repeal (2)(b)(V) and (3); and add (2)(a)(X) as follows:6
	399	+	25-7-122. Civil penalties - rules - definitions. (1) Upon7
	400	+	application of the division, the division may collect penalties as8
	401	+	determined under this article 7 by instituting an action in the district court9
	402	+	for the district in which the air pollution source affected is located, in10
	403	+	accordance with the following provisions:11
	404	+	(b) Any person who violates any requirement or prohibition of
	405	+	A12
	406	+	FINAL ORDER OF THE DIVISION OR COMMISSION , an applicable emission13
	407	+	control regulation of the commission, the state implementation plan, a14
	408	+	construction permit, any provision for the prevention of significant15
	409	+	deterioration under part 2 of this article 7, any provision related to16
	410	+	attainment under part 3 of this article 7, or
	411	+	ANY PROVISION OF OR17
	412	+	COMMISSION RULE ADOPTED PURSUANT TO section 25-7-105, 25-7-106,18
	413	+	25-7-106.3, 25-7-108, 25-7-109, 25-7-109.5, 25-7-111, 25-7-112,19
	414	+	25-7-113, 25-7-114.2, 25-7-114.5, 25-7-118, 25-7-141,
	415	+	25-7-146,20
	416	+	25-7-206, 25-7-403, 25-7-404, 25-7-405, 25-7-407, 42-4-403, 42-4-404,21
	417	+	42-4-405, 42-4-406, 42-4-407, 42-4-409, 42-4-410, or 42-4-414 is subject22
	418	+	to a civil penalty of not more than forty-seven thousand three hundred23
	419	+	fifty-seven dollars per day for each day of the violation; except that:24
	420	+	(c) Any person failing to comply with the provisions of section25
	421	+	25-7-114.1 shall be subject to a civil penalty of not more than five
	422	+	26
	423	+	hundred ONE THOUSAND dollars PER DAY PER VIOLATION.27
	424	+	229
	425	+	-12- (2) (a) In determining the amount of any civil penalty, the division1
	426	+	shall consider the following factors:2
	427	+	(I) The violator's compliance history,
	428	+	INCLUDING THE COMPLIANCE3
	429	+	HISTORY OF THE VIOLATOR'S CORPORATE AFFILIATES, SUBSIDIARIES, AND4
	430	+	PARENT ORGANIZATIONS;5
	431	+	(II) L
	432	+	ACK OF good faith efforts on behalf of the violator to6
	433	+	comply;7
	434	+	(III) Payment by the violator of penalties previously assessed for
	435	+	8
	436	+	the same violation WHETHER THE VIOLATOR PREVIOUSLY COMMITTED THE9
	437	+	SAME OR A SIMILAR VIOLATION, REGARDLESS OF WHETHER THE DIVISION10
	438	+	OR COMMISSION COMMENCED AN ENFORCEMENT ACTION PURSUANT TO11
	439	+	SECTION 25-7-115 FOR ANY SUCH VIOLATION;12
	440	+	(VIII) Whether legal and factual theories were advanced for13
	441	+	purposes of delay; and14
	442	+	(IX) The severity of the violation or noncompliance;
	443	+	AND15
	444	+	(X) W
	445	+	HETHER THE VIOLATION OCCURRED WITHIN OR IMPACTED A16
	446	+	DISPROPORTIONATELY IMPACTED COMMUNITY .17
	447	+	(b) In addition to the factors set forth in paragraph (a) of this
	448	+	18
	449	+	subsection (2) SUBSECTION (2)(a) OF THIS SECTION, THE DIVISION SHALL19
	450	+	CONSIDER the following circumstances shall be considered as grounds for20
	451	+	reducing or eliminating civil penalties:21
	452	+	(IV) Substantial economic impact of a penalty on the violator;22
	453	+	AND23
	454	+	(V) Nonfeasance; and
	455	+	24
	456	+	(3) Notwithstanding any other provision in this section, no action25
	457	+	for civil enforcement of this article may be taken where the source has26
	458	+	obtained a renewable operating permit and conducts its operations in27
	459	+	229
	460	+	-13- compliance with the permit terms, as provided in section 25-7-114.4 (3).1
	461	+	SECTION 7. In Colorado Revised Statutes, 25-7-114.5, amend2
	462	+	(3) as follows:3
	463	+	25-7-114.5. Application review - public participation. (3) The4
	464	+	division shall also determine whether applications are for a new source5
	465	+	activity that may have an impact upon areas which, as of the projected6
	466	+	new source start-up date, are in compliance with national ambient air7
	467	+	quality standards as of the date of the permit application, or for new8
	468	+	source activity that may have an impact upon areas which, as of the9
	469	+	projected new source start-up date, are not in compliance with national10
	470	+	ambient air quality standards as of the date of the permit application. IN11
	471	+	IMPLEMENTING THIS SUBSECTION (3), THE DIVISION MAY CONSIDER MORE12
	472	+	STRINGENT METHODS FOR NEW SOURCES OF OXIDES OF NITROGEN IN13
	473	+	DISPROPORTIONATELY IMPACTED COMMUNITIES IN THE AREA DESIGNATED14
	474	+	NONATTAINMENT FOR OZONE BY THE UNITED STATES ENVIRONMENTAL15
	475	+	PROTECTION AGENCY.16
	476	+	SECTION 8. In Colorado Revised Statutes, 34-60-103, add (4.2)17
	477	+	as follows:18
	478	+	34-60-103. Definitions. As used in this article 60, unless the19
	479	+	context otherwise requires:20
	480	+	(4.2) "D
	481	+	ISPROPORTIONATELY IMPACTED COMMUNITY " HAS THE21
	482	+	MEANING SET FORTH IN SECTION 24-4-109 (2)(b)(II).22
131	483		SECTION
132		-	25-7-122 (1)(b), THE TOTAL AMOUNT OF CIVIL PENALTIES , THE
133		-	AVERAGE CIVIL PENALTY
134		-	, THE MEDIAN CIVIL PENALTY, THE HIGHEST CIVIL
135		-	PENALTY
136		-	, AND THE LOWEST CIVIL PENALTY.
137		-	(II) T
138		-	HIS SUBSECTION (12)(a) IS REPEALED, EFFECTIVE JULY 1, 2025.
139		-	(b) O
140		-	N OR BEFORE APRIL 1, 2025, AND ON OR BEFORE FEBRUARY 1
141		-	OF EACH YEAR THEREAFTER, THE DIVISION SHALL PREPARE AN AIR QUALITY
142		-	ENFORCEMENT REPORT AND POST THE REPORT ON THE DIVISION
143		-	'S WEBSITE.
144		-	T
145		-	HE FIRST REPORT MUST COVER THE FEDERAL FISCAL YEAR STARTING
146		-	OCTOBER 1, 2023, THROUGH SEPTEMBER 30, 2024, AND EACH SUBSEQUENT
147		-	REPORT MUST COVER THE FEDERAL FISCAL YEAR PERIOD OF
148		-	OCTOBER 1
149		-	THROUGH SEPTEMBER 30 PRECEDING THE ISSUANCE OF THE REPORT . THE
150		-	REPORTS PREPARED PURSUANT TO THIS SUBSECTION
151		-	(12)(b) MUST INCLUDE
152		-	THE FOLLOWING STATEWIDE INFORMATION
153		-	:
154		-	PAGE 4-SENATE BILL 24-229 (I) THE TOTAL NUMBER OF ENFORCEMENT ACTIONS THAT THE
155		-	DIVISION COMMENCED PURSUANT TO SUBSECTION
156		-	(2)(c)(I) OF THIS SECTION;
157		-	(II) T
158		-	HE NUMBER OF COMPLAINTS RECEIVED PURSUANT TO
159		-	SUBSECTION
160		-	(2)(a) OF THIS SECTION THAT RESULTED IN AN ENFORCEMENT
161		-	ACTION THAT THE DIVISION COMMENCED UNDER SUBSECTION
162		-	(2)(c)(I) OF
163		-	THIS SECTION AND THE IDENTIFYING CASE NUMBER
164		-	;
165		-	(III) T
166		-	HE TOTAL NUMBER OF DECISIONS NOT TO IMPOSE A PENALTY
167		-	FOR AN ENFORCEMENT ACTION THAT THE DIVISION COMMENCED PURSUANT
168		-	TO SUBSECTION
169		-	(2)(c)(I) OF THIS SECTION;
170		-	(IV) T
171		-	HE TOTAL NUMBER OF FORMAL ENFORCEMENT ACTIONS THAT
172		-	THE DIVISION RESOLVED PURSUANT TO SUBSECTION
173		-	(3)(b) OF THIS SECTION
174		-	AND THE TOTAL NUMBER OF ACTIONS THAT INCLUDED VIOLATIONS WITHIN
175		-	AREAS OF CONCERN
176		-	, SUCH AS:
	484	+	9. In Colorado Revised Statutes, 34-60-104.5, amend23
	485	+	(2)(d)(I); and add (2)(d)(III) as follows:24
	486	+	34-60-104.5. Director of commission - duties. (2) The director25
	487	+	of the commission shall:26
	488	+	(d) (I) Appoint, pursuant to section 13 of article XII of the state27
	489	+	229
	490	+	-14- constitution, such clerical and professional staff and consultants as may1
	491	+	be necessary for the efficient and effective operation of the commission,2
	492	+	including at least one and up to OR two deputy directors; and3
	493	+	(III) A
	494	+	PPOINT AT LEAST TWO COMMUNITY LIAISONS TO SERVE AS4
	495	+	DEDICATED RESOURCES FOR DISPROPORTIONATELY IMPACTED5
	496	+	COMMUNITIES REGARDING COMMISSION REGULATION . THE COMMUNITY6
	497	+	LIAISONS SHALL PERFORM DUTIES INCLUDING :7
	498	+	(A) S
	499	+	ERVING AS AN ADVOCATE FOR DISPROPORTIONATELY8
	500	+	IMPACTED COMMUNITIES IN A NONLEGAL CAPACITY AND , WHILE TAKING9
	501	+	INTO CONSIDERATION THE ENGAGEMENT PRACTICES DESCRIBED IN10
	502	+	SECTION 24-4-109 (3)(b), ACTING AS A LIAISON BETWEEN11
	503	+	DISPROPORTIONATELY IMPACTED COMMUNITY MEMBERS AND THE12
	504	+	COMMISSION, INCLUDING WITH RESPECT TO COMMUNICATIONS REGARDING13
	505	+	THE PERMITTING PROCESS;14
	506	+	(B) P
	507	+	ROVIDING COMMUNITY MEMBERS WITH RELEVANT15
	508	+	INFORMATION REGARDING THIRD -PARTY RESOURCES SUCH AS LEGAL16
	509	+	ASSISTANCE TO ASSIST COMMUNITY MEMBERS IN PRESENTING THEIR VIEWS17
	510	+	TO THE COMMISSION;18
	511	+	(C) W
	512	+	ORKING TO IMPROVE THE RELATIONSHIPS AND INTERACTIONS19
	513	+	BETWEEN DISPROPORTIONATELY IMPACTED COMMUNITIES AND THE20
	514	+	COMMISSION;21
	515	+	(D) A
	516	+	CTING AS A RESOURCE FOR SHARING INFORMATION BETWEEN22
	517	+	THE COMMISSION AND DISPROPORTIONATELY IMPACTED COMMUNITIES ;23
	518	+	(E) E
	519	+	NGAGING IN OUTREACH TO DISPROPORTIONATELY IMPACTED24
	520	+	COMMUNITIES; AND25
	521	+	(F) O
	522	+	RGANIZING AND ATTENDING IN -PERSON MEETINGS WITHIN26
	523	+	DISPROPORTIONATELY IMPACTED COMMUNITIES .27
	524	+	229
	525	+	-15- SECTION 10. In Colorado Revised Statutes, 34-60-106, amend1
	526	+	(1)(f)(I)(B), (3), and (11)(c)(I); and add (1)(f)(I.5), (11)(c)(III), and (20.5)2
	527	+	as follows:3
	528	+	34-60-106. Additional powers of commission - rules -4
	529	+	definitions - repeal. (1) The commission also shall require:5
	530	+	(f) (I) That no operations for the drilling of a well for oil and gas6
	531	+	shall be commenced without first:7
	532	+	(B) Obtaining a permit from the commission, under rules8
	533	+	prescribed by the commission; and9
	534	+	(I.5) T
	535	+	HAT OIL AND GAS OPERATIONS SHALL NOT OCCUR WITHOUT10
	536	+	THE OPERATOR OBTAINING AND MAINTAINING ANY NECESSARY PERMITS11
	537	+	AND A LICENSE TO CONDUCT OIL AND GAS OPERATIONS FROM THE12
	538	+	COMMISSION, IN ACCORDANCE WITH RULES PROMULGATED BY THE13
	539	+	COMMISSION; AND14
	540	+	(3) The commission also has the authority to:15
	541	+	(a) Limit the production of oil or gas, or both, from any pool or16
	542	+	field for the prevention of waste, and to limit and to allocate the17
	543	+	production from such pool or field among or between tracts of land18
	544	+	having separate ownerships therein
	545	+	IN THE TRACTS OF LAND, on a fair and19
	546	+	equitable basis so that each such tract will be permitted to produce no20
	547	+	more than its just and equitable share from the pool and so as to prevent,21
	548	+	insofar as is practicable, reasonably avoidable drainage from each such22
	549	+	tract which THAT is not equalized by counter-drainage; and23
	550	+	(b) Classify wells as oil or gas wells for purposes material to the24
	551	+	interpretation or enforcement of this article ARTICLE 60;25
	552	+	(c) A
	553	+	FTER CONSULTATION WITH THE DIVISION OF ADMINISTRATION26
	554	+	IN THE DEPARTMENT OF PUBLIC HEALTH AND ENVIRONMENT , REQUIRE27
	555	+	229
	556	+	-16- OPERATORS TO TAKE SUCH ACTIONS BETWEEN MAY 1 AND SEPTEMBER 301
	557	+	OF EACH YEAR TO REDUCE EMISSIONS OF OXIDES OF NITROGEN (NOX)2
	558	+	GENERATED FROM PRODUCTION AND PREPRODUCTION OPERATIONS AS THE3
	559	+	COMMISSION DEEMS APPROPRIATE TO ASSURE COMPLIANCE WITH :4
	560	+	(I) NO
	561	+	X INTENSITY TARGETS; AND5
	562	+	(II) O
	563	+	THER NOX RULES THAT THE AIR QUALITY CONTROL6
	564	+	COMMISSION ADOPTS BY RULE TO ACHIEVE SECTOR -WIDE COMPLIANCE7
	565	+	WITH THE STATE'S 2030 GOALS FOR NOX EMISSION REDUCTIONS; AND8
	566	+	(d) W
	567	+	HEN REQUIRING OPERATORS TO TAKE ACTION PURSUANT TO9
	568	+	SUBSECTION (3)(c) OF THIS SECTION, PRIORITIZE ACTIONS BY THOSE10
	569	+	OPERATORS THAT DO NOT DEMONSTRATE COMPLIANCE WITH ANY11
	570	+	APPLICABLE NOX INTENSITY TARGETS OR OTHER NOX RULES THAT THE12
	571	+	AIR QUALITY CONTROL COMMISSION ADOPTS TO ACHIEVE SECTOR -WIDE13
	572	+	COMPLIANCE WITH THE STATE 'S 2030 GOALS FOR NOX EMISSION14
	573	+	REDUCTIONS.15
	574	+	(11) (c) The commission shall adopt rules that:16
	575	+	(I) Adopt an alternative location analysis process and specify17
	576	+	criteria used to identify oil and gas locations and facilities proposed to be18
	577	+	located near populated areas that will be subject to the alternative location19
	578	+	analysis process; and
	579	+	20
	580	+	(III) I
	581	+	N CONSULTATION WITH THE DEPARTMENT OF PUBLIC HEALTH21
	582	+	AND ENVIRONMENT, REQUIRE ENHANCED SYSTEMS AND PRACTICES TO22
	583	+	AVOID, MINIMIZE, AND MITIGATE EMISSIONS OF OZONE PRECURSORS FROM23
	584	+	OPERATIONS AT NEWLY PERMITTED OIL AND GAS LOCATIONS IN THE24
	585	+	EIGHT-HOUR OZONE CONTROL AREA AND NORTHERN WELD COUNTY, AS25
	586	+	THOSE TERMS ARE DEFINED BY THE AIR QUALITY CONTROL COMMISSION BY26
	587	+	RULE. IN ADOPTING THE RULES PURSUANT TO THIS SUBSECTION27
	588	+	229
	589	+	-17- (11)(c)(III), THE COMMISSION SHALL:1
	590	+	(A) B
	591	+	Y SEPTEMBER 30, 2024, ADOPT AN INITIAL LIST OF ENHANCED2
	592	+	SYSTEMS AND PRACTICES CONSIDERING THE BEST MANAGEMENT3
	593	+	PRACTICES THAT HAVE BEEN RECOMMENDED BY THE DEPARTMENT OF4
	594	+	PUBLIC HEALTH AND ENVIRONMENT IN CONSULTATION WITH OPERATORS ;5
	595	+	(B) C
	596	+	ONSIDER A PROPOSED OIL AND GAS LOCATION 'S POTENTIAL6
	597	+	TO CONTRIBUTE TO ADVERSE IMPACTS THROUGH EMISSIONS OF OZONE7
	598	+	PRECURSORS;8
	599	+	(C) C
	600	+	ONSIDER ANY AVAILABLE PHOTOCHEMICAL SENSITIVITY9
	601	+	MODELING ANALYSES CONDUCTED BY THE DEPARTMENT OF PUBLIC10
	602	+	HEALTH AND ENVIRONMENT ; AND11
	603	+	(D) E
	604	+	VALUATE THE POTENTIAL FOR UPDATES TO THE REQUIRED12
	605	+	ENHANCED SYSTEMS AND PRACTICES PERIODICALLY TO ACCOUNT FOR13
	606	+	EVOLVING DESIGN, OPERATIONAL PROCEDURES , AND TECHNOLOGIES TO14
	607	+	REDUCE OZONE PRECURSORS .15
	608	+	(20.5) T
	609	+	HE COMMISSION SHALL ADMINISTER THIS ARTICLE 60 IN A16
	610	+	MANNER TO MINIMIZE ADVERSE IMPACTS TO DISPROPORTIONATELY17
	611	+	IMPACTED COMMUNITIES THAT ARE NEGATIVELY AFFECTED BY OIL AND18
	612	+	GAS OPERATIONS.19
	613	+	SECTION
	614	+	11. In Colorado Revised Statutes, amend 34-60-11120
	615	+	as follows:21
	616	+	34-60-111. Judicial review. (1) E
	617	+	XCEPT AS PROVIDED IN22
	618	+	SUBSECTION (2) OF THIS SECTION, any rule, regulation, or final order of the23
	619	+	commission shall be
	620	+	IS subject to judicial review in accordance with the24
	621	+	provisions of section 24-4-106. C.R.S. The commission shall IS not be25
	622	+	required to post bond in any proceeding for judicial review.26
	623	+	(2) N
	624	+	OTWITHSTANDING SECTION 24-4-106 (5), A COURT OF27
	625	+	229
	626	+	-18- COMPETENT JURISDICTION MAY POSTPONE THE EFFECTIVE DATE OF A1
	627	+	COMMISSION ORDER SUSPENDING OR REVOKING AN OPERATOR 'S LICENSE2
	628	+	TO CONDUCT OIL AND GAS OPERATIONS OR A CERTIFICATE OF CLEARANCE3
	629	+	AND SUBJECT TO REVIEW AS A FINAL AGENCY ACTION PURSUANT TO4
	630	+	SECTION 24-4-106 ONLY UPON A DEMONSTRATION BY THE MOVING PARTY5
	631	+	THAT:6
177	632		(a) T
178		-	HE AREA THAT THE UNITED STATES ENVIRONMENTAL
179		-	PROTECTION AGENCY HAS DESIGNATED AN OZONE NONATTAINMENT AREA
180		-	;
181		-	AND
182		-	(B) AN AREA THAT IS IN A DISPROPORTIONATELY IMPACTED
183		-	COMMUNITY
184		-	; AND
185		-	(V) WITH RESPECT TO CIVIL PENALTIES ASSESSED PURSUANT TO
	633	+	HE MOVING PARTY HAS A REASONABLE PROBABILITY OF7
	634	+	SUCCESS ON THE MERITS IN THE UNDERLYING JUDICIAL PROCEEDING ;8
	635	+	(b) R
	636	+	EAL, IMMEDIATE, AND IRREPARABLE INJURY TO THE MOVING9
	637	+	PARTY WOULD OTHERWISE RESULT ;10
	638	+	(c) P
	639	+	OSTPONING THE EFFECTIVE DATE OF THE COMMISSION ORDER11
	640	+	WILL NOT DISSERVE THE PUBLIC INTEREST; AND12
	641	+	(d) I
	642	+	N CONSIDERATION OF THE BALANCE OF EQUITIES , INCLUDING13
	643	+	CONSIDERATION OF POTENTIAL ADVERSE IMPACTS ON PUBLIC HEALTH ,14
	644	+	SAFETY, AND WELFARE AND THE PROTECTION OF THE ENVIRONMENT AND15
	645	+	WILDLIFE RESOURCES, THE BALANCE FAVORS THE POSTPONEMENT .16
186	646		SECTION
187		-	25-7-122 (1)(b), THE TOTAL AMOUNT OF CIVIL PENALTIES , THE
188		-	AVERAGE CIVIL PENALTY
189		-	, THE MEDIAN CIVIL PENALTY, THE HIGHEST CIVIL
190		-	PENALTY
191		-	, THE LOWEST CIVIL PENALTY, AND THE TOTAL AMOUNT OF CIVIL
192		-	PENALTIES ASSESSED FOR EACH ACTION THAT INCLUDES VIOLATIONS IN
193		-	AREAS OF CONCERN
194		-	, SUCH AS:
	647	+	12. In Colorado Revised Statutes, 34-60-121, amend17
	648	+	(5)(a), (6), and (7) as follows:18
	649	+	34-60-121. Violations - investigations - penalties - rules -19
	650	+	definition - legislative declaration. (5) (a) If an operator fails to take20
	651	+	corrective action required pursuant to subsection (4) of this section, or21
	652	+	whenever the commission or the director has evidence that a violation of22
	653	+	any provision of this article ARTICLE 60, or of any rule, regulation, or23
	654	+	order of the commission, or of any permit has occurred, under24
	655	+	circumstances deemed to constitute an emergency situation
	656	+	OR UNDER25
	657	+	CIRCUMSTANCES THAT CAUSE OR THREATEN TO CAUSE A SIGNIFICANT26
	658	+	ADVERSE IMPACT TO PUBLIC HEALTH , SAFETY, WELFARE, THE27
	659	+	229
	660	+	-19- ENVIRONMENT, OR WILDLIFE RESOURCES THAT REQUIRE IMMEDIATE1
	661	+	ACTION, the commission or the director may issue a cease-and-desist2
	662	+	order to the operator whose act or omission allegedly resulted in such THE3
	663	+	violation. Such THE cease-and-desist order shall MUST require such action4
	664	+	by the operator as the commission or director deems appropriate. The5
	665	+	order shall be served personally or by certified mail, return receipt6
	666	+	requested, to the operator or the operator's agent for service of process7
	667	+	and shall MUST state the provision alleged to have been violated, the facts8
	668	+	alleged to constitute the violation, the time by which the acts or practices9
	669	+	cited are required to cease, and any corrective action the commission or10
	670	+	the director elects to require of the operator.11
	671	+	(6) If the commission determines, after a hearing conducted in12
	672	+	accordance with section 34-60-108, that an operator has failed to perform13
	673	+	any corrective action imposed under subsection (4) of this section or14
	674	+	failed to comply with a cease-and-desist order issued under subsection (5)15
	675	+	of this section, with regard to a violation of a permit provision, the16
	676	+	commission may issue an order suspending, modifying, or revoking such17
	677	+	THE OPERATOR'S permit OR PERMITS OR SUSPENDING OR REVOKING THE18
	678	+	OPERATOR'S LICENSE TO CONDUCT OIL AND GAS OPERATIONS or may take19
	679	+	other appropriate action. An operator subject to an order that suspends,20
	680	+	modifies, or revokes a permit
	681	+	OR THAT SUSPENDS OR REVOKES THE21
	682	+	OPERATOR'S LICENSE TO CONDUCT OIL AND GAS OPERATIONS shall22
	683	+	continue the affected operations only for the purpose of bringing them23
	684	+	into compliance with the permit or modified permit and shall do so under24
	685	+	the supervision of the commission. Once the affected operations are in25
	686	+	compliance to the satisfaction of the commission and any penalty not26
	687	+	subject to judicial review or appeal has been paid, the commission shall
	688	+	27
	689	+	229
	690	+	-20- MAY reinstate the permit OR THE LICENSE TO CONDUCT OIL AND GAS1
	691	+	OPERATIONS.2
	692	+	(7) (a) The commission or the director shall issue an order to an3
	693	+	operator to appear for a hearing before the commission in accordance4
	694	+	with section 34-60-108 whenever the commission or the director has5
	695	+	evidence that an operator is responsible for:6
	696	+	(I) Gross negligence or knowing and willful misconduct that7
	697	+	results in an egregious violation; or8
	698	+	(II) A pattern of violation of this article ARTICLE 60, any rule or9
	699	+	order of the commission, or any permit;10
	700	+	(III) A
	701	+	VIOLATION OF THIS ARTICLE 60, ANY RULE OR ORDER OF11
	702	+	THE COMMISSION, OR ANY PERMIT, IF SUCH VIOLATION RESULTS IN A12
	703	+	COMMISSION ORDER IMPOSING A PENALTY OF ONE MILLION DOLLARS OR13
	704	+	MORE;14
	705	+	(IV) A
	706	+	VIOLATION THAT CAUSED A MAJOR ADVERSE IMPACT , AS15
	707	+	DEFINED IN THE COMMISSION 'S RULES, TO PUBLIC HEALTH, SAFETY,16
	708	+	WELFARE, THE ENVIRONMENT , OR WILDLIFE RESOURCES AND THE17
	709	+	VIOLATION IS THE THIRD VIOLATION IN THE STATE IN ONE YEAR THAT18
	710	+	CAUSED A MAJOR ADVERSE IMPACT , AS DEFINED IN THE COMMISSION'S19
	711	+	RULES, TO PUBLIC HEALTH, SAFETY, WELFARE, THE ENVIRONMENT, OR20
	712	+	WILDLIFE RESOURCES; OR21
	713	+	(V) A
	714	+	VIOLATION THAT CAUSED DEATH OR SERIOUS BODILY INJURY22
	715	+	TO AN INDIVIDUAL.23
	716	+	(b) If the commission finds, after such
	717	+	THE hearing CONDUCTED24
	718	+	PURSUANT TO SUBSECTION (7)(a) OF THIS SECTION, that the operator is25
	719	+	responsible under the legal standards specified in paragraph (a) of this26
	720	+	subsection (7), it SUBSECTION (7)(a) OF THIS SECTION, THE COMMISSION27
	721	+	229
	722	+	-21- may issue an order that prohibits the issuance of any new permits to the1
	723	+	operator, suspends any or all of the operator's certificates of clearance,2
	724	+	SUSPENDS THE OPERATOR 'S LICENSE TO CONDUCT OIL AND GAS3
	725	+	OPERATIONS, or both. When
	726	+	ANY COMBINATION OF THE THREE . IF the4
	727	+	operator demonstrates to the satisfaction of the commission that it THE5
	728	+	OPERATOR has brought each of the violations into compliance and that6
	729	+	any penalty not subject to judicial review or appeal has been paid, the7
	730	+	commission may vacate the order.8
	731	+	(c) I
	732	+	N A HEARING CONDUCTED PURSUANT TO THIS SUBSECTION (7),9
	733	+	THE COMMISSION MAY CONSIDER AS EVIDENCE VIOLATIONS FOR WHICH10
	734	+	ENFORCEMENT WAS COMMENCED PRIOR TO THE EFFECTIVE DATE OF THIS11
	735	+	SUBSECTION (7), AS AMENDED, IN DETERMINING WHETHER TO PROHIBIT12
	736	+	THE ISSUANCE OF ANY NEW PERMITS TO THE OPERATOR , SUSPEND ANY OR13
	737	+	ALL OF THE OPERATOR'S CERTIFICATES OF CLEARANCE , SUSPEND THE14
	738	+	OPERATOR'S LICENSE TO CONDUCT OIL AND GAS OPERATIONS , OR ANY15
	739	+	COMBINATION OF THE THREE.16
	740	+	SECTION
	741	+	13. In Colorado Revised Statutes, 34-60-124, amend17
	742	+	(4)(e)(II) and (4)(f); and add (4)(g) as follows:18
	743	+	34-60-124. Energy and carbon management cash fund -19
	744	+	definitions - repeal. (4) The fund may be expended:20
	745	+	(e) (II) This subsection (4)(e) is repealed, effective July 1, 2025.21
	746	+	and22
	747	+	(f) To create and maintain the website described in section23
	748	+	34-60-106 (22);
	749	+	AND24
	750	+	(g) B
	751	+	Y THE COMMISSION TO FUND THE COMMUNITY LIAISON25
	752	+	POSITIONS APPOINTED PURSUANT TO SECTION 34-60-104.5 (2)(d)(III).26
	753	+	SECTION
	754	+	14. In Colorado Revised Statutes, 34-60-133, amend27
	755	+	229
	756	+	-22- (1)(a)(II) and (1)(a)(III); and add (1.5), (2)(e.5), (6)(d)(I.5), and (8)(d.5)1
	757	+	as follows:2
	758	+	34-60-133. Orphaned wells mitigation enterprise - creation -3
	759	+	powers and duties - enterprise board created - mitigation fees - cash4
	760	+	fund created - rules - definitions - legislative declaration.5
	761	+	(1) Enterprise created. (a) The orphaned wells mitigation enterprise is6
	762	+	created in the department for the purpose of:7
	763	+	(II) Funding the plugging, reclaiming, and remediating of8
	764	+	orphaned wells
	765	+	AND MARGINAL WELLS in the state;9
	766	+	(III) Ensuring that the costs associated with plugging, reclaiming,10
	767	+	and remediating orphaned wells
	768	+	AND MARGINAL WELLS are borne by11
	769	+	operators in the form of mitigation fees; and12
	770	+	(1.5) Legislative declaration. T
	771	+	HE GENERAL ASSEMBLY FINDS13
	772	+	AND DECLARES THAT:14
	773	+	(a) O
	774	+	RPHANED WELLS AND MARGINAL WELLS PRESENT RISKS TO15
	775	+	PUBLIC HEALTH, SAFETY, AND WELFARE, INCLUDING RISKS TO THE16
	776	+	ENVIRONMENT AND WILDLIFE RESOURCES ;17
	777	+	(b) E
	778	+	NVIRONMENTAL JUSTICE IS A PRIORITY FOR THE STATE , AND18
	779	+	THE ENTERPRISE BOARD SHOULD ADMINISTER THIS SECTION IN A MANNER19
	780	+	THAT REDUCES BURDENS ON OVERBURDENED COMMUNITIES ;20
	781	+	(c) T
	782	+	HE ENTERPRISE HELPS MITIGATE RISKS BY PLUGGING ,21
	783	+	RECLAIMING, AND REMEDIATING ORPHANED WELLS AND THOSE MARGINAL22
	784	+	WELLS THAT ARE AT THE HIGHEST RISK OF BECOMING ORPHANED ;23
	785	+	(d) A
	786	+	LL OIL AND GAS WELLS WILL REQUIRE PLUGGING AND24
	787	+	RECLAIMING AT THE END OF THEIR USEFUL LIFE;25
	788	+	(e) M
	789	+	ANY OIL AND GAS WELLS WILL REQUIRE REMEDIATION AT THE26
	790	+	END OF THEIR USEFUL LIFE;27
	791	+	229
	792	+	-23- (f) PURSUANT TO SECTION 34-60-106, ALL OPERATORS ARE1
	793	+	REQUIRED TO PROVIDE FINANCIAL ASSURANCE DEMONSTRATING THAT THE2
	794	+	OPERATORS ARE FINANCIALLY CAPABLE OF FULFILLING EVERY OBLIGATION3
	795	+	IMPOSED ON THE OPERATOR PURSUANT TO THIS ARTICLE 60, INCLUDING AN4
	796	+	OPERATOR'S PLUGGING, RECLAMATION, AND REMEDIATION OBLIGATIONS;5
	797	+	AND6
	798	+	(g) T
	799	+	HE SERVICES THAT THE ENTERPRISE PROVIDES BENEFIT ALL7
	800	+	OPERATORS IN THE STATE BY:8
	801	+	(I) M
	802	+	ITIGATING THE RISKS OF AN OPERATOR'S OIL AND GAS WELL9
	803	+	BECOMING AN ORPHANED WELL ; AND10
	804	+	(II) P
	805	+	LUGGING, RECLAIMING, AND REMEDIATING QUALIFYING11
	806	+	MARGINAL WELLS AND ELIMINATING THE RISK OF SUCH QUALIFYING12
	807	+	MARGINAL WELLS BECOMING ORPHANED WELLS .13
	808	+	(2) Powers and duties. In addition to any other powers and duties14
	809	+	specified in this section, the enterprise board has the following general15
	810	+	powers and duties on behalf of the enterprise:16
	811	+	(e.5) T
	812	+	O ISSUE GUIDANCE ESTABLISHING STANDARDS FOR17
	813	+	MARGINAL WELLS TO QUALIFY FOR FUNDING PURSUANT TO SUBSECTION18
	814	+	(1)(a)(II)
	815	+	OF THIS SECTION. IN ESTABLISHING THESE STANDARDS , THE19
	816	+	ENTERPRISE BOARD SHALL CONSIDER :20
	817	+	(I) A
	818	+	N OIL AND GAS WELL 'S LOCATION IN OR NEAR A21
	819	+	DISPROPORTIONATELY IMPACTED COMMUNITY OR A HIGHLY POPULATED22
	820	+	AREA; AND23
	821	+	(II) A
	822	+	N OIL AND GAS WELL'S RISK OF ADVERSE IMPACTS ON PUBLIC24
	823	+	HEALTH, SAFETY, WELFARE, THE ENVIRONMENT , AND WILDLIFE25
	824	+	RESOURCES; AND26
	825	+	(6) Cash fund. (d) Money credited to the fund is continuously27
	826	+	229
	827	+	-24- appropriated to the fund for use by the enterprise and shall be expended1
	828	+	to:2
	829	+	(I.5) P
	830	+	LUG, RECLAIM, AND REMEDIATE QUALIFYING MARGINAL3
	831	+	WELLS, AS DETERMINED BASED ON FACTORS THAT INCLUDE :4
195	832		(A) T
196		-	HE AREA THAT THE UNITED STATES ENVIRONMENTAL
197		-	PROTECTION AGENCY HAS DESIGNATED AN OZONE NONATTAINMENT AREA
198		-	;
199		-	AND
200		-	(B) AN AREA THAT IS IN A DISPROPORTIONATELY IMPACTED
201		-	COMMUNITY
202		-	.
203		-	(13) T
204		-	HE DIVISION SHALL IMPLEMENT AN AIR QUALITY
205		-	ENFORCEMENT E
206		-	-MAIL MAILING GROUP OR A SIMILAR COMMUNICATION
207		-	PAGE 5-SENATE BILL 24-229 FUNCTION TO SHARE ENFORCEMENT -RELATED UPDATES WITH INTERESTED
208		-	PARTIES THAT OPT IN TO THE E
209		-	-MAIL MAILING GROUP OR SIMILAR
210		-	COMMUNICATION FUNCTION
211		-	. THE DIVISION MAY SHARE INFORMATION
212		-	THROUGH THE E
213		-	-MAIL MAILING GROUP OR SIMILAR COMMUNICATION
214		-	FUNCTION THAT INCLUDES
215		-	:
216		-	(a) A
217		-	NOTICE OF VIOLATION OR NONCOMPLIANCE SENT PURSUANT TO
218		-	SUBSECTION
219		-	(2)(c)(I) OF THIS SECTION;
220		-	(b) A
221		-	SETTLEMENT OR OTHER ORDER ISSUED PURSUANT TO
222		-	SUBSECTION
223		-	(3)(b) OF THIS SECTION TO RESOLVE A CASE; AND
224		-	(c) A LINK TO THE ANNUAL AIR QUALITY ENFORCEMENT BENCHMARK
225		-	REPORT THAT THE DIVISION PREPARES PURSUANT TO SUBSECTION
226		-	(12) OF
227		-	THIS SECTION
228		-	.
229		-	SECTION 4. In Colorado Revised Statutes, amend 25-7-121 as
230		-	follows:
231		-	25-7-121. Injunctions. (1) In the event any person fails to comply
232		-	with a final order of the division or the commission that is not subject to
233		-	stay pending administrative or judicial review or in the event any person
234		-	violates any emission control regulation of the commission, the
235		-	requirements of the state implementation plan, or any provision of
236		-	OR
237		-	COMMISSION RULE ADOPTED PURSUANT TO
238		-	parts 1 to 4 of this article
239		-	ARTICLE 7, including any term or condition contained in any permit required
240		-	under this article ARTICLE 7, the division or the commission, as the case may
241		-	be, may request the district attorney for the district in which the alleged
242		-	violation occurs or the attorney general to bring, and if so requested it is his
243		-	or her THE DISTRICT ATTORNEY'S OR THE ATTORNEY GENERAL 'S duty to
244		-	bring, a suit for an injunction to:
245		-	(a) Prevent any further or continued violation;
246		-	(b) R
247		-	EDUCE THE POTENTIAL FOR A RECURRENCE OF A VIOLATION FOR
248		-	WHICH THE DIVISION HAS PREVIOUSLY COMMENCED ENFORCEMENT
249		-	PURSUANT TO SECTION
250		-	25-7-115 (2)(c)(I); OR
251		-	(c) OBTAIN ANY PERMIT REQUIRED TO CONSTRUCT OR OPERATE .
252		-	PAGE 6-SENATE BILL 24-229 (2) In any proceedings brought pursuant to this section to enforce an
253		-	order of the division or the commission, a temporary restraining order or
254		-	preliminary injunction, if sought, shall not issue if there is probable cause
255		-	to believe that granting such temporary restraining order or preliminary
256		-	injunction will cause serious harm to the affected person or any other person
257		-	and:
258		-	(a) That the alleged violation or activity to which the order pertains
259		-	will not continue or be repeated; or
260		-	(b) That granting such temporary restraining order or preliminary
261		-	injunction would be without sufficient corresponding public benefit.
262		-	(3) Notwithstanding any other provision in this section, no action for
263		-	injunction may be taken where the source has obtained a renewable
264		-	operating permit and conducts its operations in compliance with the permit
265		-	terms, as provided in section 25-7-114.4 (3).
266		-	SECTION 5. In Colorado Revised Statutes, 25-7-122, amend
267		-	(1)(b) introductory portion, (1)(c), (2)(a)(I), (2)(a)(II), (2)(a)(III),
268		-	(2)(a)(VIII), (2)(a)(IX), (2)(b) introductory portion, and (2)(b)(IV); repeal
269		-	(2)(b)(V) and (3); and add (2)(a)(X) as follows:
270		-	25-7-122. Civil penalties - rules - definitions. (1) Upon
271		-	application of the division, the division may collect penalties as determined
272		-	under this article 7 by instituting an action in the district court for the
273		-	district in which the air pollution source affected is located, in accordance
274		-	with the following provisions:
275		-	(b) Any person who violates any requirement or prohibition of
276		-	A
277		-	FINAL ORDER OF THE DIVISION OR COMMISSION
278		-	, an applicable emission
279		-	control regulation of the commission, the state implementation plan, a
280		-	construction permit, any provision for the prevention of significant
281		-	deterioration under part 2 of this article 7, any provision related to
282		-	attainment under part 3 of this article 7, or
283		-	ANY PROVISION OF OR
284		-	COMMISSION RULE ADOPTED PURSUANT TO
285		-	section 25-7-105, 25-7-106,
286		-	25-7-106.3, 25-7-108, 25-7-109, 25-7-109.5, 25-7-111, 25-7-112, 25-7-113,
287		-	25-7-114.2, 25-7-114.5, 25-7-118, 25-7-141, 25-7-206, 25-7-403, 25-7-404,
288		-	25-7-405, 25-7-407, 42-4-403, 42-4-404, 42-4-405, 42-4-406, 42-4-407,
289		-	42-4-409, 42-4-410, or 42-4-414 is subject to a civil penalty of not more
290		-	PAGE 7-SENATE BILL 24-229 than forty-seven thousand three hundred fifty-seven dollars per day for each
291		-	day of the violation; except that:
292		-	(c) Any person failing to comply with the provisions of section
293		-	25-7-114.1 shall be subject to a civil penalty of not more than five hundred
294		-	ONE THOUSAND dollars PER DAY PER VIOLATION.
295		-	(2) (a) In determining the amount of any civil penalty, the division
296		-	shall consider the following factors:
297		-	(I) The violator's compliance history,
298		-	INCLUDING THE COMPLIANCE
299		-	HISTORY OF THE VIOLATOR
300		-	'S CORPORATE AFFILIATES, SUBSIDIARIES, AND
301		-	PARENT ORGANIZATIONS
302		-	;
303		-	(II) L
304		-	ACK OF good faith efforts on behalf of the violator to comply;
305		-	(III) Payment by the violator of penalties previously assessed for the
306		-	same violation WHETHER THE VIOLATOR PREVIOUSLY COMMITTED THE SAME
307		-	OR A SIMILAR VIOLATION
308		-	, REGARDLESS OF WHETHER THE DIVISION OR
309		-	COMMISSION COMMENCED AN ENFORCEMENT ACTION PURSUANT TO SECTION
310		-	25-7-115 FOR ANY SUCH VIOLATION;
311		-	(VIII) Whether legal and factual theories were advanced for
312		-	purposes of delay; and (IX) The severity of the violation or noncompliance; AND
313		-	(X) WHETHER THE VIOLATION OCCURRED WITHIN OR IMPACTED A
314		-	DISPROPORTIONATELY IMPACTED COMMUNITY
315		-	.
316		-	(b) In addition to the factors set forth in paragraph (a) of thissubsection (2) SUBSECTION (2)(a) OF THIS SECTION, THE DIVISION SHALL
317		-	CONSIDER
318		-	the following circumstances shall be considered
319		-	as grounds for
320		-	reducing or eliminating civil penalties:
321		-	(IV) Substantial economic impact of a penalty on the violator;
322		-	AND
323		-	(V) Nonfeasance; and
324		-	(3) Notwithstanding any other provision in this section, no action for
325		-	PAGE 8-SENATE BILL 24-229 civil enforcement of this article may be taken where the source has obtained
326		-	a renewable operating permit and conducts its operations in compliance
327		-	with the permit terms, as provided in section 25-7-114.4 (3).
328		-	SECTION 6. In Colorado Revised Statutes, 25-7-122, amend
329		-	(1)(b) introductory portion, (1)(c), (2)(a)(I), (2)(a)(II), (2)(a)(III),
330		-	(2)(a)(VIII), (2)(a)(IX), (2)(b) introductory portion, and (2)(b)(IV); repeal
331		-	(2)(b)(V) and (3); and add (2)(a)(X) as follows:
332		-	25-7-122. Civil penalties - rules - definitions. (1) Upon
333		-	application of the division, the division may collect penalties as determined
334		-	under this article 7 by instituting an action in the district court for the
335		-	district in which the air pollution source affected is located, in accordance
336		-	with the following provisions:
337		-	(b) Any person who violates any requirement or prohibition of
338		-	A
339		-	FINAL ORDER OF THE DIVISION OR COMMISSION
340		-	, an applicable emission
341		-	control regulation of the commission, the state implementation plan, a
342		-	construction permit, any provision for the prevention of significant
343		-	deterioration under part 2 of this article 7, any provision related to
344		-	attainment under part 3 of this article 7, or
345		-	ANY PROVISION OF OR
346		-	COMMISSION RULE ADOPTED PURSUANT TO
347		-	section 25-7-105, 25-7-106,
348		-	25-7-106.3, 25-7-108, 25-7-109, 25-7-109.5, 25-7-111, 25-7-112, 25-7-113,
349		-	25-7-114.2, 25-7-114.5, 25-7-118, 25-7-141,
350		-	25-7-146, 25-7-206, 25-7-403,
351		-	25-7-404, 25-7-405, 25-7-407, 42-4-403, 42-4-404, 42-4-405, 42-4-406,
352		-	42-4-407, 42-4-409, 42-4-410, or 42-4-414 is subject to a civil penalty of
353		-	not more than forty-seven thousand three hundred fifty-seven dollars per
354		-	day for each day of the violation; except that:
355		-	(c) Any person failing to comply with the provisions of section
356		-	25-7-114.1 shall be subject to a civil penalty of not more than five hundredONE THOUSAND dollars PER DAY PER VIOLATION.
357		-	(2) (a) In determining the amount of any civil penalty, the division
358		-	shall consider the following factors:
359		-	(I) The violator's compliance history,
360		-	INCLUDING THE COMPLIANCE
361		-	HISTORY OF THE VIOLATOR
362		-	'S CORPORATE AFFILIATES, SUBSIDIARIES, AND
363		-	PARENT ORGANIZATIONS
364		-	;
365		-	PAGE 9-SENATE BILL 24-229 (II) LACK OF good faith efforts on behalf of the violator to comply;
366		-	(III) Payment by the violator of penalties previously assessed for the
367		-	same violation WHETHER THE VIOLATOR PREVIOUSLY COMMITTED THE SAME
368		-	OR A SIMILAR VIOLATION
369		-	, REGARDLESS OF WHETHER THE DIVISION OR
370		-	COMMISSION COMMENCED AN ENFORCEMENT ACTION PURSUANT TO SECTION
371		-	25-7-115 FOR ANY SUCH VIOLATION;
372		-	(VIII) Whether legal and factual theories were advanced for
373		-	purposes of delay; and (IX) The severity of the violation or noncompliance; AND
374		-	(X) WHETHER THE VIOLATION OCCURRED WITHIN OR IMPACTED A
375		-	DISPROPORTIONATELY IMPACTED COMMUNITY
376		-	.
377		-	(b) In addition to the factors set forth in paragraph (a) of thissubsection (2) SUBSECTION (2)(a) OF THIS SECTION, THE DIVISION SHALL
378		-	CONSIDER
379		-	the following circumstances shall be considered
380		-	as grounds for
381		-	reducing or eliminating civil penalties:
382		-	(IV) Substantial economic impact of a penalty on the violator;
383		-	AND
384		-	(V) Nonfeasance; and
385		-	(3) Notwithstanding any other provision in this section, no action for
386		-	civil enforcement of this article may be taken where the source has obtained
387		-	a renewable operating permit and conducts its operations in compliance
388		-	with the permit terms, as provided in section 25-7-114.4 (3).
389		-	SECTION 7. In Colorado Revised Statutes, 25-7-114.5, amend (3)
390		-	as follows:
391		-	25-7-114.5. Application review - public participation. (3) The
392		-	division shall also determine whether applications are for a new source
393		-	activity that may have an impact upon areas which, as of the projected new
394		-	source start-up date, are in compliance with national ambient air quality
395		-	standards as of the date of the permit application, or for new source activity
396		-	that may have an impact upon areas which, as of the projected new source
397		-	start-up date, are not in compliance with national ambient air quality
398		-	PAGE 10-SENATE BILL 24-229 standards as of the date of the permit application. IN IMPLEMENTING THIS
399		-	SUBSECTION
400		-	(3), THE DIVISION MAY CONSIDER MORE STRINGENT METHODS
401		-	FOR NEW SOURCES OF OXIDES OF NITROGEN IN DISPROPORTIONATELY
402		-	IMPACTED COMMUNITIES IN THE AREA DESIGNATED NONATTAINMENT FOR
403		-	OZONE BY THE
404		-	UNITED STATES ENVIRONMENTAL PROTECTION AGENCY .
405		-	SECTION 8. In Colorado Revised Statutes, 34-60-103, add (8) as
406		-	follows:
407		-	34-60-103. Definitions. As used in this article 60, unless the context
408		-	otherwise requires:
409		-	(8) "D
410		-	ISPROPORTIONATELY IMPACTED COMMUNITY " HAS THE
411		-	MEANING SET FORTH IN SECTION
412		-	24-4-109 (2)(b)(II).
413		-	SECTION 9. In Colorado Revised Statutes, 34-60-104.5, amend
414		-	(2)(d)(I); and add (2)(d)(III) as follows:
415		-	34-60-104.5. Director of commission - duties. (2) The director of
416		-	the commission shall:
417		-	(d) (I) Appoint, pursuant to section 13 of article XII of the state
418		-	constitution, such clerical and professional staff and consultants as may be
419		-	necessary for the efficient and effective operation of the commission,
420		-	including at least
421		-	one and up to OR two deputy directors; and
422		-	(III) APPOINT AT LEAST TWO COMMUNITY LIAISONS TO SERVE AS
423		-	DEDICATED RESOURCES FOR DISPROPORTIONATELY IMPACTED COMMUNITIES
424		-	REGARDING COMMISSION REGULATION
425		-	. THE COMMUNITY LIAISONS SHALL
426		-	PERFORM DUTIES INCLUDING
427		-	:
428		-	(A) S
429		-	ERVING AS AN ADVOCATE FOR DISPROPORTI ONATELY IMPACTED
430		-	COMMUNITIES IN A NONLEGAL CAPACITY AND
431		-	, WHILE TAKING INTO
432		-	CONSIDERATION THE ENGAGEMENT PRACTICES DESCRIBED IN SECTION
433		-	24-4-109 (3)(b), ACTING AS A LIAISON BETWEEN DISPROPORTIONATELY
434		-	IMPACTED COMMUNITY MEMBERS AND THE COMMISSION
435		-	, INCLUDING WITH
436		-	RESPECT TO COMMUNICATIONS REGARDING THE PERMITTING PROCESS
437		-	;
438		-	(B) P
439		-	ROVIDING COMMUNITY MEMBERS WITH RELEVANT
440		-	INFORMATION REGARDING THIRD
441		-	-PARTY RESOURCES SUCH AS LEGAL
442		-	PAGE 11-SENATE BILL 24-229 ASSISTANCE TO ASSIST COMMUNITY MEMBERS IN PRESENTING THEIR VIEWS
443		-	TO THE COMMISSION
444		-	;
445		-	(C) W
446		-	ORKING TO IMPROVE THE RELATIONSHIPS AND INTERACTIONS
447		-	BETWEEN DISPROPORTIONATELY IMPACTED COMMUNITIES AND THE
448		-	COMMISSION
449		-	;
450		-	(D) A
451		-	CTING AS A RESOURCE FOR SHARING INFORMATION BETWEEN
452		-	THE COMMISSION AND DISPROPORTIONATELY IMPACTED COMMUNITIES
453		-	;
454		-	(E) E
455		-	NGAGING IN OUTREACH TO DISPROPORTIONATELY IMPACTED
456		-	COMMUNITIES
457		-	; AND
458		-	(F) ORGANIZING AND ATTENDING IN -PERSON MEETINGS WITHIN
459		-	DISPROPORTIONATELY IMPACTED COMMUNITIES
460		-	.
461		-	SECTION 10. In Colorado Revised Statutes, 34-60-106, amend
462		-	(1)(f)(I)(B), (3), and (11)(c)(I); and add (1)(f)(I.5), (11)(c)(III), and (20.5)
463		-	as follows:
464		-	34-60-106. Additional powers of commission - rules - definitions
465		-	- repeal. (1) The commission also shall require:
466		-	(f) (I) That no operations for the drilling of a well for oil and gas
467		-	shall be commenced without first:
468		-	(B) Obtaining a permit from the commission, under rules prescribed
469		-	by the commission; and
470		-	(I.5) THAT OIL AND GAS OPERATIONS SHALL NOT OCCUR WITHOUT
471		-	THE OPERATOR OBTAINING AND MAINTAINING ANY NECESSARY PERMITS AND
472		-	A LICENSE TO CONDUCT OIL AND GAS OPERATIONS FROM THE COMMISSION
473		-	,
474		-	IN ACCORDANCE WITH RULES PROMULGATED BY THE COMMISSION ; AND
475		-	(3) The commission also has the authority to:
476		-	(a) Limit the production of oil or gas, or both, from any pool or field
477		-	for the prevention of waste, and to limit and to allocate the production from
478		-	such pool or field among or between tracts of land having separate
479		-	ownerships therein
480		-	IN THE TRACTS OF LAND, on a fair and equitable basis so
481		-	PAGE 12-SENATE BILL 24-229 that each such tract will be permitted to produce no more than its just and
482		-	equitable share from the pool and so as to prevent, insofar as is practicable,
483		-	reasonably avoidable drainage from each such tract which
484		-	THAT is not
485		-	equalized by counter-drainage; and
486		-	(b) Classify wells as oil or gas wells for purposes material to the
487		-	interpretation or enforcement of this article ARTICLE 60;
488		-	(c) A
489		-	FTER CONSULTATION WITH THE DIVISION OF ADMINISTRATION
490		-	IN THE DEPARTMENT OF PUBLIC HEALTH AND ENVIRONMENT
491		-	, REQUIRE
492		-	OPERATORS TO TAKE SUCH ACTIONS BETWEEN
493		-	MAY 1 AND SEPTEMBER 30 OF
494		-	EACH YEAR TO REDUCE EMISSIONS OF OXIDES OF NITROGEN
495		-	(NOX)
496		-	GENERATED FROM PRODUCTION AND PREPRODUCTION OPERATIONS AS THE
497		-	COMMISSION DEEMS APPROPRIATE TO ASSURE COMPLIANCE WITH
498		-	:
499		-	(I) NO
500		-	X INTENSITY TARGETS; AND
501		-	(II) OTHER NOX RULES THAT THE AIR QUALITY CONTROL
502		-	COMMISSION ADOPTS BY RULE TO ACHIEVE SECTOR
503		-	-WIDE COMPLIANCE WITH
504		-	THE STATE
505		-	'S 2030 GOALS FOR NOX EMISSION REDUCTIONS; AND
506		-	(d) WHEN REQUIRING OPERATORS TO TAKE ACTION PURSUANT TO
507		-	SUBSECTION
508		-	(3)(c) OF THIS SECTION, PRIORITIZE ACTIONS BY THOSE
509		-	OPERATORS THAT DO NOT DEMONSTRATE COMPLIANCE WITH ANY
510		-	APPLICABLE
511		-	NOX INTENSITY TARGETS OR OTHER NOX RULES THAT THE AIR
512		-	QUALITY CONTROL COMMISSION ADOPTS TO ACHIEVE SECTOR
513		-	-WIDE
514		-	COMPLIANCE WITH THE STATE
515		-	'S 2030 GOALS FOR NOX EMISSION
516		-	REDUCTIONS
517		-	.
518		-	(11) (c) The commission shall adopt rules that:
519		-	(I) Adopt an alternative location analysis process and specify criteria
520		-	used to identify oil and gas locations and facilities proposed to be located
521		-	near populated areas that will be subject to the alternative location analysis
522		-	process; and
523		-	(III) IN CONSULTATION WITH THE DEPARTMENT OF PUBLIC HEALTH
524		-	AND ENVIRONMENT
525		-	, REQUIRE ENHANCED SYSTEMS AND PRACTICES TO
526		-	AVOID
527		-	, MINIMIZE, AND MITIGATE EMISSIONS OF OZONE PRECURSORS FROM
528		-	OPERATIONS AT NEWLY PERMITTED OIL AND GAS LOCATIONS IN THE
529		-	PAGE 13-SENATE BILL 24-229 EIGHT-HOUR OZONE CONTROL AREA AND NORTHERN WELD COUNTY, AS
530		-	THOSE TERMS ARE DEFINED BY THE AIR QUALITY CONTROL COMMISSION BY
531		-	RULE
532		-	. IN ADOPTING THE RULES PURSUANT TO THIS SUBSECTION (11)(c)(III),
533		-	THE COMMISSION SHALL:
534		-	(A) B
535		-	Y SEPTEMBER 30, 2024, ADOPT AN INITIAL LIST OF ENHANCED
536		-	SYSTEMS AND PRACTICES CONSIDERING THE BEST MANAGEMENT PRACTICES
537		-	THAT HAVE BEEN RECOMMENDED BY THE DEPARTMENT OF PUBLIC HEALTH
538		-	AND ENVIRONMENT IN CONSULTATION WITH OPERATORS
539		-	;
540		-	(B) C
541		-	ONSIDER A PROPOSED OIL AND GAS LOCATION 'S POTENTIAL TO
542		-	CONTRIBUTE TO ADVERSE IMPACTS THROUGH EMISSIONS OF OZONE
543		-	PRECURSORS
544		-	;
545		-	(C) C
546		-	ONSIDER ANY AVAILABLE PHOTOCHEMICAL SENSITIVITY
547		-	MODELING ANALYSES CONDUCTED BY THE DEPARTMENT OF PUBLIC HEALTH
548		-	AND ENVIRONMENT
549		-	; AND
550		-	(D) EVALUATE THE POTENTIAL FOR UPDATES TO THE REQUIRED
551		-	ENHANCED SYSTEMS AND PRACTICES PERIODICALLY TO ACCOUNT FOR
552		-	EVOLVING DESIGN
553		-	, OPERATIONAL PROCEDURES , AND TECHNOLOGIES TO
554		-	REDUCE OZONE PRECURSORS
555		-	.
556		-	(20.5) T
557		-	HE COMMISSION SHALL ADMINISTER THIS ARTICLE 60 IN A
558		-	MANNER TO MINIMIZE ADVERSE IMPACTS TO DISPROPORTIONATELY
559		-	IMPACTED COMMUNITIES THAT ARE NEGATIVELY AFFECTED BY OIL AND GAS
560		-	OPERATIONS
561		-	.
562		-	SECTION 11. In Colorado Revised Statutes, amend 34-60-111 as
563		-	follows:
564		-	34-60-111. Judicial review. (1) E
565		-	XCEPT AS PROVIDED IN
566		-	SUBSECTION
567		-	(2) OF THIS SECTION, any rule, regulation, or final order of the
568		-	commission shall be
569		-	IS subject to judicial review in accordance with the
570		-	provisions of section 24-4-106. C.R.S. The commission shall IS not be
571		-	required to post bond in any proceeding for judicial review.
572		-	(2) N
573		-	OTWITHSTANDING SECTION 24-4-106 (5), A COURT OF
574		-	COMPETENT JURISDICTION MAY POSTPONE THE EFFECTIVE DATE OF A
575		-	COMMISSION ORDER SUSPENDING OR REVOKING AN OPERATOR
576		-	'S LICENSE TO
577		-	PAGE 14-SENATE BILL 24-229 CONDUCT OIL AND GAS OPERATIONS OR A CERTIFICATE OF CLEARANCE AND
578		-	SUBJECT TO REVIEW AS A FINAL AGENCY ACTION PURSUANT TO SECTION
579		-	24-4-106 ONLY UPON A DEMONSTRATION BY THE MOVING PARTY THAT :
580		-	(a) T
581		-	HE MOVING PARTY HAS A REASONABLE PROBABILITY OF
582		-	SUCCESS ON THE MERITS IN THE UNDERLYING JUDICIAL PROCEEDING
583		-	;
584		-	(b) R
585		-	EAL, IMMEDIATE, AND IRREPARABLE INJURY TO THE MOVING
586		-	PARTY WOULD OTHERWISE RESULT
587		-	;
588		-	(c) P
589		-	OSTPONING THE EFFECTIVE DATE OF THE COMMISSION ORDER
590		-	WILL NOT DISSERVE THE PUBLIC INTEREST
591		-	; AND
592		-	(d) IN CONSIDERATION OF THE BALANCE OF EQUITIES , INCLUDING
593		-	CONSIDERATION OF POTENTIAL ADVERSE IMPACTS ON PUBLIC HEALTH
594		-	,
595		-	SAFETY, AND WELFARE AND THE PROTECTION OF THE ENVIRONMENT AND
596		-	WILDLIFE RESOURCES
597		-	, THE BALANCE FAVORS THE POSTPONEMENT .
598		-	SECTION 12. In Colorado Revised Statutes, 34-60-121, amend
599		-	(5)(a), (6), and (7) as follows:
600		-	34-60-121. Violations - investigations - penalties - rules -
601		-	definition - legislative declaration. (5) (a) If an operator fails to take
602		-	corrective action required pursuant to subsection (4) of this section, or
603		-	whenever the commission or the director has evidence that a violation of
604		-	any provision of
605		-	this article ARTICLE 60, or of any rule, regulation, or order
606		-	of the commission, or of any permit has occurred, under circumstances
607		-	deemed to constitute an emergency situation
608		-	OR UNDER CIRCUMSTANCES
609		-	THAT CAUSE OR THREATEN TO CAUSE A SIGNIFICANT ADVERSE IMPACT TO
610		-	PUBLIC HEALTH
611		-	, SAFETY, WELFARE, THE ENVIRONMENT , OR WILDLIFE
612		-	RESOURCES THAT REQUIRE IMMEDIATE ACTION
613		-	, the commission or the
614		-	director may issue a cease-and-desist order to the operator whose act or
615		-	omission allegedly resulted in such
616		-	THE violation. Such THE
617		-	cease-and-desist order shall MUST require such action by the operator as the
618		-	commission or director deems appropriate. The order shall be served
619		-	personally or by certified mail, return receipt requested, to the operator or
620		-	the operator's agent for service of process and shall
621		-	MUST state the provision
622		-	alleged to have been violated, the facts alleged to constitute the violation,
623		-	the time by which the acts or practices cited are required to cease, and any
624		-	corrective action the commission or the director elects to require of the
625		-	PAGE 15-SENATE BILL 24-229 operator.
626		-	(6) If the commission determines, after a hearing conducted in
627		-	accordance with section 34-60-108, that an operator has failed to perform
628		-	any corrective action imposed under subsection (4) of this section or failed
629		-	to comply with a cease-and-desist order issued under subsection (5) of this
630		-	section, with regard to a violation of a permit provision,
631		-	the commission
632		-	may issue an order suspending, modifying, or revoking such THE
633		-	OPERATOR
634		-	'S permit OR PERMITS OR SUSPENDING OR REVOKING THE
635		-	OPERATOR
636		-	'S LICENSE TO CONDUCT OIL AND GAS OPERATIONS or may take
637		-	other appropriate action. An operator subject to an order that suspends,
638		-	modifies, or revokes a permit
639		-	OR THAT SUSPENDS OR REVOKES THE
640		-	OPERATOR
641		-	'S LICENSE TO CONDUCT OIL AND GAS OPERATIONS shall continue
642		-	the affected operations only for the purpose of bringing them into
643		-	compliance with the permit or modified permit and shall do so under the
644		-	supervision of the commission. Once the affected operations are in
645		-	compliance to the satisfaction of the commission and any penalty not
646		-	subject to judicial review or appeal has been paid, the commission shall
647		-	MAY reinstate the permit OR THE LICENSE TO CONDUCT OIL AND GAS
648		-	OPERATIONS
649		-	.
650		-	(7) (a) The commission or the director shall issue an order to an
651		-	operator to appear for a hearing before the commission in accordance with
652		-	section 34-60-108 whenever the commission or the director has evidence
653		-	that an operator is responsible for:
654		-	(I) Gross negligence or knowing and willful misconduct that results
655		-	in an egregious violation; or
656		-	(II) A pattern of violation of this article ARTICLE 60, any rule or
657		-	order of the commission, or any permit;
658		-	(III) A
659		-	VIOLATION OF THIS ARTICLE 60, ANY RULE OR ORDER OF THE
660		-	COMMISSION
661		-	, OR ANY PERMIT, IF SUCH VIOLATION RESULTS IN A COMMISSION
662		-	ORDER IMPOSING A PENALTY OF ONE MILLION DOLLARS OR MORE
663		-	;
664		-	(IV) A
665		-	VIOLATION THAT CAUSED A MAJOR ADVERSE IMPACT , AS
666		-	DEFINED IN THE COMMISSION
667		-	'S RULES, TO PUBLIC HEALTH , SAFETY,
668		-	WELFARE, THE ENVIRONMENT, OR WILDLIFE RESOURCES AND THE VIOLATION
669		-	IS THE THIRD VIOLATION IN THE STATE IN ONE YEAR THAT CAUSED A MAJOR
670		-	PAGE 16-SENATE BILL 24-229 ADVERSE IMPACT, AS DEFINED IN THE COMMISSION 'S RULES, TO PUBLIC
671		-	HEALTH
672		-	, SAFETY, WELFARE, THE ENVIRONMENT, OR WILDLIFE RESOURCES;
673		-	OR
674		-	(V) A VIOLATION THAT CAUSED DEATH OR SERIOUS BODILY INJURY
675		-	TO AN INDIVIDUAL
676		-	.
677		-	(b) If the commission finds, after such
678		-	THE hearing CONDUCTED
679		-	PURSUANT TO SUBSECTION
680		-	(7)(a) OF THIS SECTION, that the operator is
681		-	responsible under the legal standards specified in paragraph (a) of thissubsection (7), it SUBSECTION (7)(a) OF THIS SECTION, THE COMMISSION may
682		-	issue an order that prohibits the issuance of any new permits to the operator,
683		-	suspends any or all of the operator's certificates of clearance,
684		-	SUSPENDS THE
685		-	OPERATOR
686		-	'S LICENSE TO CONDUCT OIL AND GAS OPERATIONS, or both. WhenANY COMBINATION OF THE THREE . IF the operator demonstrates to the
687		-	satisfaction of the commission that it THE OPERATOR has brought each of the
688		-	violations into compliance and that any penalty not subject to judicial
689		-	review or appeal has been paid, the commission may vacate the order.
690		-	(c) I
691		-	N A HEARING CONDUCTED PURSUANT TO THIS SUBSECTION (7),
692		-	THE COMMISSION MAY CONSIDER AS EVIDENCE VIOLATIONS FOR WHICH
693		-	ENFORCEMENT WAS COMMENCED PRIOR TO THE EFFECTIVE DATE OF THIS
694		-	SUBSECTION
695		-	(7), AS AMENDED, IN DETERMINING WHETHER TO PROHIBIT THE
696		-	ISSUANCE OF ANY NEW PERMITS TO THE OPERATOR
697		-	, SUSPEND ANY OR ALL OF
698		-	THE OPERATOR
699		-	'S CERTIFICATES OF CLEARANCE, SUSPEND THE OPERATOR'S
700		-	LICENSE TO CONDUCT OIL AND GAS OPERATIONS
701		-	, OR ANY COMBINATION OF
702		-	THE THREE
703		-	.
704		-	SECTION 13. In Colorado Revised Statutes, 34-60-124, amend
705		-	(4)(e)(II) and (4)(f); and add (4)(h) as follows:
706		-	34-60-124. Energy and carbon management cash fund -
707		-	definitions - repeal. (4) The fund may be expended:
708		-	(e) (II) This subsection (4)(e) is repealed, effective July 1, 2025. and
709		-	(f) To create and maintain the website described in section
710		-	34-60-106 (22);
711		-	AND
712		-	(h) BY THE COMMISSION TO FUND THE COMMUNITY LIAISON
713		-	PAGE 17-SENATE BILL 24-229 POSITIONS APPOINTED PURSUANT TO SECTION 34-60-104.5 (2)(d)(III).
714		-	SECTION 14. In Colorado Revised Statutes, 34-60-133, amend
715		-	(1)(a)(II) and (1)(a)(III); and add (1.5), (2)(e.5), (6)(d)(I.5), and (8)(d.5) as
716		-	follows:
717		-	34-60-133. Orphaned wells mitigation enterprise - creation -
718		-	powers and duties - enterprise board created - mitigation fees - cash
719		-	fund created - rules - definitions - legislative declaration. (1) Enterprise
720		-	created. (a) The orphaned wells mitigation enterprise is created in the
721		-	department for the purpose of:
722		-	(II) Funding the plugging, reclaiming, and remediating of orphaned
723		-	wells
724		-	AND MARGINAL WELLS in the state;
725		-	(III) Ensuring that the costs associated with plugging, reclaiming,
726		-	and remediating orphaned wells
727		-	AND MARGINAL WELLS are borne by
728		-	operators in the form of mitigation fees; and
729		-	(1.5) Legislative declaration. T
730		-	HE GENERAL ASSEMBLY FINDS AND
731		-	DECLARES THAT
732		-	:
733		-	(a) O
734		-	RPHANED WELLS AND MARGINAL WELLS PRESENT RISKS TO
735		-	PUBLIC HEALTH
736		-	, SAFETY, AND WELFARE, INCLUDING RISKS TO THE
737		-	ENVIRONMENT AND WILDLIFE RESOURCES
738		-	;
739		-	(b) E
740		-	NVIRONMENTAL JUSTICE IS A PRIORITY FOR THE STATE, AND THE
741		-	ENTERPRISE BOARD SHOULD ADMINISTER THIS SECTION IN A MANNER THAT
742		-	REDUCES BURDENS ON OVERBURDENED COMMUNITIES
743		-	;
744		-	(c) T
745		-	HE ENTERPRISE HELPS MITIGATE RISKS BY PLUGGING ,
746		-	RECLAIMING, AND REMEDIATING ORPHANED WELLS AND THOSE MARGINAL
747		-	WELLS THAT ARE AT THE HIGHEST RISK OF BECOMING ORPHANED
748		-	;
749		-	(d) A
750		-	LL OIL AND GAS WELLS WILL REQUIRE PL UGGING AND
751		-	RECLAIMING AT THE END OF THEIR USEFUL LIFE
752		-	;
753		-	(e) M
754		-	ANY OIL AND GAS WELLS WILL REQUIRE REMEDIATION AT THE
755		-	END OF THEIR USEFUL LIFE
756		-	;
757		-	PAGE 18-SENATE BILL 24-229 (f) PURSUANT TO SECTION 34-60-106, ALL OPERATORS ARE
758		-	REQUIRED TO PROVIDE FINANCIAL ASSURANCE DEMONSTRATING THAT THE
759		-	OPERATORS ARE FINANCIALLY CAPABLE OF FULFILLING EVERY OBLIGATION
760		-	IMPOSED ON THE OPERATOR PURSUANT TO THIS ARTICLE
761		-	60, INCLUDING AN
762		-	OPERATOR
763		-	'S PLUGGING, RECLAMATION, AND REMEDIATION OBLIGATIONS ;
764		-	AND
765		-	(g) THE SERVICES THAT THE ENTERPRISE PROVIDES BENEFIT ALL
766		-	OPERATORS IN THE STATE BY
767		-	:
768		-	(I) M
769		-	ITIGATING THE RISKS OF AN OPERATOR 'S OIL AND GAS WELL
770		-	BECOMING AN ORPHANED WELL
771		-	; AND
772		-	(II) PLUGGING, RECLAIMING, AND REMEDIATING QUALIFYING
773		-	MARGINAL WELLS AND ELIMINATING THE RISK OF SUCH QUALIFYING
774		-	MARGINAL WELLS BECOMING ORPHANED WELLS
775		-	.
776		-	(2) Powers and duties. In addition to any other powers and duties
777		-	specified in this section, the enterprise board has the following general
778		-	powers and duties on behalf of the enterprise:
779		-	(e.5) T
780		-	O ISSUE GUIDANCE ESTABLISHING STANDARDS FOR MARGINAL
781		-	WELLS TO QUALIFY FOR FUNDING PURSUANT TO SUBSECTION
782		-	(1)(a)(II) OF
783		-	THIS SECTION
784		-	. IN ESTABLISHING THESE STANDARDS, THE ENTERPRISE BOARD
785		-	SHALL CONSIDER
786		-	:
787		-	(I) A
788		-	N OIL AND GAS WELL 'S LOCATION IN OR NEAR A
789		-	DISPROPORTIONATELY IMPACTED COMMUNITY OR A HIGHLY POPULATED
790		-	AREA
791		-	; AND
792		-	(II) AN OIL AND GAS WELL'S RISK OF ADVERSE IMPACTS ON PUBLIC
793		-	HEALTH
794		-	, SAFETY, WELFARE, THE ENVIRONMENT, AND WILDLIFE RESOURCES;
795		-	AND
796		-	(6) Cash fund. (d) Money credited to the fund is continuously
797		-	appropriated to the fund for use by the enterprise and shall be expended to:
798		-	(I.5) P
799		-	LUG, RECLAIM, AND REMEDIATE QUALIFYING MARGINAL
800		-	WELLS
801		-	, AS DETERMINED BASED ON FACTORS THAT INCLUDE :
802		-	PAGE 19-SENATE BILL 24-229 (A) THE OIL AND GAS WELL 'S LOCATION IN OR NEAR A
803		-	DISPROPORTIONATELY IMPACTED COMMUNITY OR A HIGHLY POPULATED
804		-	AREA
805		-	; AND
806		-	(B) THE OIL AND GAS WELL'S RISK OF ADVERSE IMPACTS ON PUBLIC
807		-	HEALTH
808		-	, SAFETY, WELFARE, THE ENVIRONMENT, AND WILDLIFE RESOURCES;
809		-	(8) Definitions. As used in this section, unless the context otherwise
810		-	requires:
	833	+	HE OIL AND GAS WELL 'S LOCATION IN OR NEAR A5
	834	+	DISPROPORTIONATELY IMPACTED COMMUNITY OR A HIGHLY POPULATED6
	835	+	AREA; AND7
	836	+	(B) T
	837	+	HE OIL AND GAS WELL'S RISK OF ADVERSE IMPACTS ON PUBLIC8
	838	+	HEALTH, SAFETY, WELFARE, THE ENVIRONMENT , AND WILDLIFE9
	839	+	RESOURCES;10
	840	+	(8) Definitions. As used in this section, unless the context11
	841	+	otherwise requires:12
811	842		(d.5) "M
812		-	ARGINAL WELL" MEANS AN OIL AND GAS WELL THAT
813		-	PRESENTS A HIGH RISK OF BECOMING ORPHANED
814		-	.
815		-	SECTION 15. Appropriation. (1) For the 2024-25 state fiscal
816		-	year, $753,157 is appropriated to the department of public health and
817		-	environment. This appropriation is from the general fund. To implement
818		-	this act, the department may use this appropriation as follows:
819		-	(a) $312,865 for use by the air pollution control division for
820		-	personal services related to stationary sources, which amount is based on an
821		-	assumption that the division will require an additional 3.3 FTE;
822		-	(b) $325,074 for use by the air pollution control division for
823		-	operating expenses related to stationary sources; and
824		-	(c) $115,218 for the purchase of legal services.
825		-	(2) For the 2024-25 state fiscal year, $115,218 is appropriated to the
826		-	department of law. This appropriation is from reappropriated funds received
827		-	from the department of public health and environment under subsection
828		-	(1)(c) of this section and is based on an assumption that the department of
829		-	law will require an additional 0.5 FTE. To implement this act, the
830		-	department of law may use this appropriation to provide legal services for
831		-	the department of public health and environment.
832		-	(3) For the 2024-25 state fiscal year, $179,127 is appropriated to the
833		-	department of natural resources for use by the energy and carbon
834		-	management commission. This appropriation is from the energy and carbon
835		-	management cash fund created in section 34-60-122 (5)(a), C.R.S., and is
836		-	based on an assumption that the commission will require an additional 2.0
837		-	PAGE 20-SENATE BILL 24-229 FTE. To implement this act, the commission may use this appropriation for
838		-	program costs.
839		-	SECTION 16. Effective date - applicability. (1) (a) Except as
840		-	otherwise provided in this subsection (1), this act takes effect upon passage.
841		-	(b) Section 6 of this act takes effect only if House Bill 24-1338
842		-	becomes law, in which case section 6 of this act takes effect upon passage.
843		-	(c) Section 5 of this act takes effect only if House Bill 24-1338 does
844		-	not become law, in which case section 5 of this act takes effect upon
845		-	passage.
846		-	(2) This act applies to enforcement actions commenced by the
847		-	division of administration in the department of public health and
848		-	environment and the energy and carbon management commission on or
849		-	after the effective date of this act.
850		-	SECTION 17. Safety clause. The general assembly finds,
851		-	determines, and declares that this act is necessary for the immediate
852		-	PAGE 21-SENATE BILL 24-229 preservation of the public peace, health, or safety or for appropriations for
853		-	the support and maintenance of the departments of the state and state
854		-	institutions.
855		-	____________________________ ____________________________
856		-	Steve Fenberg Julie McCluskie
857		-	PRESIDENT OF SPEAKER OF THE HOUSE
858		-	THE SENATE OF REPRESENTATIVES
859		-	____________________________ ____________________________
860		-	Cindi L. Markwell Robin Jones
861		-	SECRETARY OF CHIEF CLERK OF THE HOUSE
862		-	THE SENATE OF REPRESENTATIVES
863		-	APPROVED________________________________________
864		-	(Date and Time)
865		-	_________________________________________
866		-	Jared S. Polis
867		-	GOVERNOR OF THE STATE OF COLORADO
868		-	PAGE 22-SENATE BILL 24-229
	843	+	ARGINAL WELL" MEANS AN OIL AND GAS WELL THAT13
	844	+	PRESENTS A HIGH RISK OF BECOMING ORPHANED .14
	845	+	SECTION
	846	+	15. Appropriation. (1) For the 2024-25 state fiscal15
	847	+	year, $753,157 is appropriated to the department of public health and16
	848	+	environment. This appropriation is from the general fund. To implement17
	849	+	this act, the department may use this appropriation as follows:18
	850	+	(a) $312,865 for use by the air pollution control division for19
	851	+	personal services related to stationary sources, which amount is based on20
	852	+	an assumption that the division will require an additional 3.3 FTE;21
	853	+	(b) $325,074 for use by the air pollution control division for22
	854	+	operating expenses related to stationary sources; and23
	855	+	(c) $115,218 for the purchase of legal services.24
	856	+	(2) For the 2024-25 state fiscal year, $115,218 is appropriated to25
	857	+	the department of law. This appropriation is from reappropriated funds26
	858	+	received from the department of public health and environment under27
	859	+	229
	860	+	-25- subsection (1)(c) of this section and is based on an assumption that the1
	861	+	department of law will require an additional 0.5 FTE. To implement this2
	862	+	act, the department of law may use this appropriation to provide legal3
	863	+	services for the department of public health and environment.4
	864	+	(3) For the 2024-25 state fiscal year, $179,127 is appropriated to5
	865	+	the department of natural resources for use by the energy and carbon6
	866	+	management commission. This appropriation is from the energy and7
	867	+	carbon management cash fund created in section 34-60-122 (5)(a),8
	868	+	C.R.S., and is based on an assumption that the commission will require9
	869	+	an additional 2.0 FTE. To implement this act, the commission may use10
	870	+	this appropriation for program costs.11
	871	+	SECTION 16. Effective date - applicability. (1) (a) Except as12
	872	+	otherwise provided in this subsection (1), this act takes effect upon13
	873	+	passage.14
	874	+	(b) Section 6 of this act takes effect only if House Bill 24-133815
	875	+	becomes law, in which case section 6 of this act takes effect upon16
	876	+	passage.17
	877	+	(c) Section 5 of this act takes effect only if House Bill 24-133818
	878	+	does not become law, in which case section 5 of this act takes effect upon19
	879	+	passage.20
	880	+	(2) This act applies to enforcement actions commenced by the21
	881	+	division of administration in the department of public health and22
	882	+	environment and the energy and carbon management commission on or23
	883	+	after the effective date of this act.24
	884	+	SECTION 17. Safety clause. The general assembly finds,25
	885	+	determines, and declares that this act is necessary for the immediate26
	886	+	229
	887	+	-26- preservation of the public peace, health, or safety or for appropriations for1
	888	+	the support and maintenance of the departments of the state and state2
	889	+	institutions.3
	890	+	229
	891	+	-27-