First Regular Session Seventy-fifth General Assembly STATE OF COLORADO INTRODUCED LLS NO. 25-0876.01 Rebecca Bayetti x4348 HOUSE BILL 25-1292 House Committees Senate Committees Transportation, Housing & Local Government A BILL FOR AN ACT C ONCERNING THE PROCESS TO A LLOW A TRANSMISSION DEVELOPER101 TO LOCATE HIGH VOLTAGE TRANSMISSION LINES WITHIN A102 STATE HIGHWAY RIGHT -OF-WAY.103 Bill Summary (Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov .) The bill allows a transmission developer to locate high voltage transmission lines within a state highway right-of-way, according to a process developed by rule by the department of transportation (department). The department may impose surcharges on a transmission developer for its co-location of high voltage lines in a state highway HOUSE SPONSORSHIP Boesenecker, SENATE SPONSORSHIP (None), Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment. Capital letters or bold & italic numbers indicate new material to be added to existing law. Dashes through the words or numbers indicate deletions from existing law. right-of-way, including a one-time surcharge to cover the costs of a permit for the use of the state highway right-of-way and an annual use surcharge. Upon the request of a transmission developer, the department is required to provide to the transmission developer the best available information on potential future state highway development projects that could impact the placement of a high voltage line within a state highway right-of-way. In assessing potential sites for the placement of high voltage lines, a transmission developer is required to consider development sites in the following order of priority: First, existing utility corridors; second, state highway rights-of-way; and last, new utility corridors. The bill also requires the Colorado energy office and the Colorado electric transmission authority, through a public-private partnership and in collaboration with the department, the Colorado public utilities commission, and other state agencies, to study state highway corridors to identify potential corridors that may be suitable for high voltage transmission line development. Be it enacted by the General Assembly of the State of Colorado:1 SECTION 1. Legislative declaration. (1) The general assembly2 finds and declares that:3 (a) Colorado will need to expand electric transmission to meet its4 clean energy and greenhouse gas reduction targets and reliability and5 affordability obligations;6 (b) It is the policy of the state that high voltage transmission lines7 may be constructed or maintained within the access control lines of8 highway, freeway, and interstate highway rights-of-way unless the9 executive director of the Colorado department of transportation,10 consulting with appropriate state agencies, disapproves of this co-location11 to protect public safety, communities, and wildlife habitat, crossings, and12 migratory corridors or to ensure the proper functioning of a state13 highway, freeway, or interstate highway. If the installation is on an14 interstate highway, the express approval of the federal highway15 administration is required and the project may be required to undergo the16 HB25-1292-2- review process required by the federal "National Environmental Policy1 Act of 1969", 42 U.S.C. sec. 4321, et seq. 2 (c) Co-locating transmission lines along highways can3 significantly reduce impacts on wildlife and habitat compared to building4 new lines through greenfield areas. The impacts on communities,5 including disproportionately impacted communities, must be evaluated6 and mitigated through the use of approaches like those outlined in the7 Colorado electric transmission authority's 2024 "Principles of Community8 Engagement" and the Colorado environmental justice action task force's9 2022 "Final Report of Recommendations".10 SECTION 2. In Colorado Revised Statutes, add 43-1-228 as11 follows:12 43-1-228. High voltage lines in state highway right-of-way -13 development projects and priorities - surcharge - study - rules -14 definitions. (1) Definitions. A S USED IN THIS SECTION, UNLESS THE15 CONTEXT OTHERWISE REQUIRES :16 (a) "H IGH VOLTAGE LINE" HAS THE SAME MEANING AS SET FORTH17 IN SECTION 29-7.5-103 (1).18 (b) "R ULE" HAS THE SAME MEANING AS SET FORTH IN SECTION19 24-4-102 (15).20 (c) "S TATE HIGHWAY " MEANS ANY HIGHWAY OWNED ,21 CONTROLLED, OR MAINTAINED BY THE STATE, INCLUDING FEDERAL-AID22 PRIMARY OR SECONDARY SYSTEMS OR THE INTERSTATE SYSTEM . "STATE23 HIGHWAY" DOES NOT INCLUDE A PUBLIC HIGHWAY OPERATED BY A PUBLIC24 HIGHWAY AUTHORITY IN ACCORDANCE WITH THE "PUBLIC HIGHWAY25 A UTHORITY LAW", PART 5 OF ARTICLE 4 OF THIS TITLE 43.26 (d) "T RANSMISSION DEVELOPER" MEANS:27 HB25-1292 -3- (I) A TRANSMISSION UTILITY, AS DEFINED IN SECTION 40-5-1081 (1)(b);2 (II) T HE COLORADO ELECTRIC TRANSMISSION AUTHORITY3 CREATED IN SECTION 40-42-103;4 (III) A GENERATION AND TRANSMISSION COOPERATIVE OR5 ASSOCIATION; AND6 (IV) A NY OF THE FOLLOWING ENTITIES THAT HAVE VOTED TO7 EXEMPT THEMSELVES FROM THE "PUBLIC UTILITIES LAW", ARTICLES 1 TO8 7 OF TITLE 40, PURSUANT TO SECTION 40-9.5-103:9 (A) A MUNICIPALLY OWNED UTILITY;10 (B) A POWER AUTHORITY ESTABLISHED PURSUANT TO SECTION11 29-1-204 (1); OR12 (C) A COOPERATIVE ELECTRIC ASSOCIATION , AS DEFINED IN13 SECTION 40-9.5-102 (1).14 (2) State highway high voltage line co-location projects.15 (a) (I) U PON THE REQUEST OF A TRANSMISSION DEVELOPER , THE16 DEPARTMENT SHALL PROVIDE TO THE TRANSMISSION DEVELOPER THE BEST17 AVAILABLE INFORMATION ON POTENTIAL FUTURE STATE HIGHWAY18 DEVELOPMENT PROJECTS , AS INCLUDED IN THE STATEWIDE19 TRANSPORTATION PLAN, THAT COULD IMPACT THE PLACEMENT OF A HIGH20 VOLTAGE LINE WITHIN A STATE HIGHWAY RIGHT -OF-WAY.21 (II) T HE DEPARTMENT SHALL PROCESS SUCH A REQUEST FOR22 INFORMATION IN THE ORDER THAT IT WAS RECEIVED , IN ACCORDANCE23 WITH THE DEPARTMENT'S SPECIAL USE PERMITTING PROCESS.24 (b) (I) I F THE DEPARTMENT AND A TRANSMISSION DEVELOPER25 AGREE THAT AN IDENTIFIED SITE MAY BE SUITABLE FOR DEVELOPMENT OR26 CONSTRUCTION OF A HIGH VOLTAGE LINE WITHIN A STATE HIGHWAY27 HB25-1292 -4- RIGHT-OF-WAY, THE DEPARTMENT SHALL DEVELOP A PRECONSTRUCTION1 PLAN REVIEW SCHEDULE THAT INCLUDES ALL APPLICABLE SECTIONS OF2 THE STATE HIGHWAY UTILITY ACCOMMODATION CODE , 2 CCR 601-18, OR3 ANY SUCCESSOR CODE.4 (II) U PON APPROVAL OF THE PRECONSTRUCTION REQUIREMENTS5 OUTLINED IN A PRECONSTRUCTION PLAN , THE TRANSMISSION DEVELOPER6 SHALL PROVIDE A CONSTRUCTABILITY , ACCESS, AND MAINTENANCE7 REPORT TO BE UTILIZED WHEN TRANSMISSION LINE CO-LOCATION PROJECTS8 IN A STATE HIGHWAY RIGHT-OF-WAY ARE BEING PLANNED AND APPROVED .9 T HE CONSTRUCTABILITY, ACCESS, AND MAINTENANCE REPORT MUST10 OUTLINE MITIGATION STRATEGIES NEEDED TO EFFECTIVELY AVOID OR11 ADDRESS POTENTIAL IMPACTS TO COMMUNITIES , INCLUDING12 DISPROPORTIONATELY IMPACTED COMMUNITIES , AND TO HABITATS ,13 WILDLIFE, AND WILDLIFE CROSSINGS.14 (III) A CONSTRUCTABILITY, ACCESS, AND MAINTENANCE REPORT15 MUST BE APPROVED BY THE DEPARTMENT BEFORE THE DEPARTMENT16 ISSUES A PERMIT FOR THE USE OF A STATE HIGHWAY RIGHT -OF-WAY.17 (3) High voltage line or facility site priorities and evaluation by18 public utilities commission. (a) (I) I N THE CONSTRUCTION OR19 DEVELOPMENT OF HIGH VOLTAGE LINES OR FACILITIES NECESSARY FOR20 HIGH VOLTAGE TRANSMISSION , A TRANSMISSION DEVELOPER SHALL21 CONSIDER DEVELOPMENT SITES IN THE FOLLOWING ORDER OF PRIORITY :22 (A) F IRST, EXISTING UTILITY CORRIDORS, WITH A PREFERENCE FOR23 USING ADVANCED TRANSMISSION TECHNOLOGIES , INCLUDING24 GRID-ENHANCING TECHNOLOGIES ; RECONDUCTORING WITH ADVANCED25 CONDUCTORS; OR MAKING OTHER IMPROVEMENTS TO EXISTING26 INFRASTRUCTURE THAT ACHIEVE EXPANDED ELECTRIC CAPACITY AT THE27 HB25-1292 -5- LOWEST POSSIBLE COST;1 (B) S ECOND, STATE HIGHWAY RIGHTS-OF-WAY; AND2 (C) L AST, NEW UTILITY CORRIDORS.3 (II) I N ASSESSING POTENTIAL HIGH VOLTAGE TRANSMISSION LINE4 DEVELOPMENT SITES IN ACCORDANCE WITH THIS SUBSECTION (3)(a), A5 TRANSMISSION DEVELOPER SHALL EVALUATE THE ECONOMIC IMPACTS ,6 ENGINEERING CONSIDERATIONS , AND RELIABILITY OF THE ELECTRIC7 SYSTEM.8 (b) (I) I F REQUIRED TO FILE AN APPLICATION FOR A CERTIFICATE OF9 PUBLIC CONVENIENCE AND NECESSITY WITH THE PUBLIC UTILITIES10 COMMISSION CREATED IN SECTION 40-2-101, A TRANSMISSION DEVELOPER11 SHALL DEMONSTRATE THAT IT HAS CONSIDERED POTENTIAL SITES FOR12 HIGH VOLTAGE TRANSMISSION LINE DEVELOPMENTS IN THE ORDER OF13 PRIORITY LISTED IN SUBSECTION (3)(a) OF THIS SECTION. THE14 TRANSMISSION DEVELOPER SHALL INCLUDE ITS ASSESSMENT OF POTENTIAL15 SITES AND THE UNDERLYING DATA USED IN THE ASSESSMENT AS PART OF16 ITS APPLICATION FOR A CERTIFICATE OF PUBLIC CONVENIENCE AND17 NECESSITY.18 (II) I N EVALUATING AN APPLICATION FOR A CERTIFICATE OF PUBLIC19 CONVENIENCE AND NECESSITY FROM A TRANSMISSION DEVELOPER , THE20 PUBLIC UTILITIES COMMISSION SHALL ASSESS WHETHER THE21 TRANSMISSION DEVELOPER HAS PROVIDED THE INFORMATION REQUIRED22 BY SUBSECTION (3)(b)(I) OF THIS SECTION.23 (4) Surcharges for right-of-way access for transmission24 developer. (a) T HE DEPARTMENT MAY IMPOSE SURCHARGES ON A25 TRANSMISSION DEVELOPER FOR ITS CO-LOCATION OF HIGH VOLTAGE LINES26 IN A STATE HIGHWAY RIGHT-OF-WAY, INCLUDING A ONE-TIME SURCHARGE 27 HB25-1292 -6- TO COVER THE COSTS OF A PERMIT FOR THE USE OF THE STATE HIGHWAY1 RIGHT-OF-WAY AND AN ANNUAL USE SURCHARGE FOR THE USE OF THE2 STATE HIGHWAY RIGHT-OF-WAY.3 (b) (I) T HE DEPARTMENT SHALL ESTABLISH THE SURCHARGES BY4 RULE PURSUANT TO SUBSECTION (6) OF THIS SECTION.5 (II) T HE SURCHARGES FOR A TRANSMISSION DEVELOPER 'S USE OF6 A STATE HIGHWAY RIGHT-OF-WAY MUST BE IN ADDITION TO AMOUNTS7 PAYABLE BY THE TRANSMISSION DEVELOPER UNDER THE TERMS OF A8 PUBLIC-PRIVATE INITIATIVE, AS DEFINED IN SECTION 43-1-1201 (3),9 ENTERED INTO ACCORDING TO PART 12 OF THIS ARTICLE 1.10 (5) State highway corridor study - report. (a) T HROUGH A11 PUBLIC-PRIVATE PARTNERSHIP, WHERE FUNDING IS PROVIDED BY PRIVATE12 PARTNERS, THE COLORADO ENERGY OFFICE CREATED IN SECTION13 24-38.5-101 AND THE COLORADO ELECTRIC TRANSMISSION AUTHORITY14 CREATED IN SECTION 40-42-103, IN COLLABORATION WITH THE15 DEPARTMENT, THE COLORADO PUBLIC UTILITIES COMMISSION CREATED IN16 SECTION 40-2-101, AND OTHER STATE AGENCIES , SHALL STUDY STATE17 HIGHWAY CORRIDORS TO IDENTIFY POTENTIAL CORRIDORS THAT MAY BE18 SUITABLE FOR HIGH VOLTAGE TRANSMISSION LINE DEVELOPMENT .19 (b) T HE COLORADO ENERGY OFFICE AND THE COLORADO ELECTRIC20 TRANSMISSION AUTHORITY SHALL COMPLETE THE STUDY REQUIRED BY21 THIS SUBSECTION (5) NO LATER THAN EIGHTEEN MONTHS AFTER THE DATE22 THAT FUNDING IS SECURED FROM PRIVATE PARTNERS .23 (c) T HE COLORADO ENERGY OFFICE AND THE COLORADO ELECTRIC24 TRANSMISSION AUTHORITY SHALL PUBLISH A REPORT ON THE FINDINGS OF25 THE STUDY REQUIRED BY THIS SUBSECTION (5) ON THEIR WEBSITES AND26 SHALL SHARE THE REPORT WITH THE DEPARTMENT , THE COLORADO PUBLIC27 HB25-1292 -7- UTILITIES COMMISSION, THE DIVISION OF PARKS AND WILDLIFE IN THE1 DEPARTMENT OF NATURAL RESOURCES CREATED IN SECTION 33-9-104,2 AND, AS APPROPRIATE, OTHER STATE AGENCIES.3 (6) Rules. (a) T HE DEPARTMENT SHALL UPDATE ITS RULES4 CONCERNING ACCESS TO STATE HIGHWAY RIGHTS -OF-WAY TO5 ACCOMMODATE HIGH VOLTAGE LINES PURSUANT TO THE STATE HIGHWAY6 UTILITY ACCOMMODATION CODE , 2 CCR 601-18, OR ANY SUCCESSOR7 CODE.8 (b) T HE EXECUTIVE DIRECTOR MAY ADOPT RULES AS NECESSARY9 TO IMPLEMENT THIS SECTION. THE RULES MUST:10 (I) C LARIFY THAT LONGITUDINAL HIGH VOLTAGE LINES MAY BE11 PERMITTED IN STATE HIGHWAY RIGHTS -OF-WAY IF IDENTIFIED CRITERIA12 ARE MET;13 (II) C REATE A PROCESS THROUGH WHICH A TRANSMISSION14 DEVELOPER MUST SUBMIT A REQUEST TO THE DEPARTMENT FOR A PERMIT15 FOR THE USE OF A STATE HIGHWAY RIGHT-OF-WAY TO CONSTRUCT A HIGH16 VOLTAGE LINE;17 (III) E STABLISH CRITERIA FOR THE DENIAL OF A PERMIT REQUEST18 SUBMITTED BY A TRANSMISSION DEVELOPER FOR A HIGH VOLTAGE LINE IF19 THE PROPOSED PROJECT PRESENTS A RISK TO PUBLIC SAFETY OR PREVENTS20 THE PROPER FUNCTIONING OF THE STATE HIGHWAY ; AND21 (IV) S ET THE SURCHARGES AS DESCRIBED IN SUBSECTION (4) OF22 THIS SECTION.23 (c) T HE DEPARTMENT SHALL UPDATE ITS RULES AS REQUIRED BY24 SUBSECTION (6)(a) OF THIS SECTION AND ADOPT THE RULES REQUIRED BY25 SUBSECTION (6)(b) OF THIS SECTION NO LATER THAN JANUARY 1, 2027.26 SECTION 3. Act subject to petition - effective date. This act27 HB25-1292 -8- takes effect at 12:01 a.m. on the day following the expiration of the1 ninety-day period after final adjournment of the general assembly; except2 that, if a referendum petition is filed pursuant to section 1 (3) of article V3 of the state constitution against this act or an item, section, or part of this4 act within such period, then the act, item, section, or part will not take5 effect unless approved by the people at the general election to be held in6 November 2026 and, in such case, will take effect on the date of the7 official declaration of the vote thereon by the governor.8 HB25-1292 -9-