First Regular Session Seventy-fifth General Assembly STATE OF COLORADO INTRODUCED LLS NO. 25-0661.01 Christopher McMichael x4775 SENATE BILL 25-021 Senate Committees House Committees Agriculture & Natural Resources A BILL FOR AN ACT C ONCERNING THE REGISTRATION OF OFF -HIGHWAY VEHICLES .101 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 specifies that dealers of off-highway vehicles shall require a purchaser of an off-highway vehicle to complete the off-highway vehicle registration application and pay the registration fee in order to complete the sale of an off-highway vehicle, unless the purchaser attests that the off-highway vehicle will be used exclusively outside the state. The bill clarifies that a dealer that does not comply with the registration requirements is subject to a fine of $200 per instance of noncompliance. The bill also explicitly authorizes the parks and wildlife commission to SENATE SPONSORSHIP Bright, HOUSE 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. adopt rules concerning the enforcement of the registration requirements of off-highway vehicles. Under current law, proof of ownership is required for the registration of an off-highway vehicle. The bill removes this requirement so that an individual registering their off-highway vehicle no longer has to provide the division of parks and wildlife with proof of ownership for the off-highway vehicle. The bill amends certain provisions related to the off-highway vehicle recreation fund (fund) to clarify what the money in the fund shall be used for. The bill also specifies that money remaining in the fund at the end of a given fiscal year shall remain in the fund and only be used for specific purposes related to the use of off-highway vehicles in Colorado. 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) Off-highway vehicle recreation is the second highest4 recreational use of public lands in Colorado, only behind the skiing5 industry;6 (b) There are over 290,000 households that participate in7 off-highway vehicle recreation each year;8 (c) In the 2022-23 season, there was over $1.4 billion in direct9 sales of off-highway vehicles and an additional $1.4 billion in indirect10 and induced sales related to off-highway vehicle recreation, accounting11 for a $2.8 billion contribution to the Colorado economy;12 (d) Off-highway vehicle recreation supports nearly 19,000 jobs in13 Colorado and $1 billion in labor income; and14 (e) Money collected by off-highway vehicle registration fees is15 used to support the use, maintenance, and quality of off-highway vehicle16 recreation areas in Colorado and is one of the only user-funded trail17 maintenance programs in the state.18 (2) Therefore, the general assembly further declares that it is in19 SB25-021-2- the interest of the state of Colorado to require that purchasers of1 off-highway vehicles register their vehicles and pay the registration fee2 at the point-of-sale in order to protect a vital source of revenue for the3 state and help ensure the continued growth of an important industry for4 the Colorado economy.5 SECTION 2. In Colorado Revised Statutes, 33-14.5-102, amend6 (2)(a) and (8) as follows:7 33-14.5-102. Off-highway vehicle registration -8 nonresident-owned or -operated off-highway vehicle permits - fees -9 applications - requirements - exemptions - rules. (2) (a) (I) E XCEPT AS10 PROVIDED IN SUBSECTION (2)(a)(II) OF THIS SECTION, every dealer shall11 require a purchaser of an off-highway vehicle to complete a registration12 application and pay the registration fee before the vehicle leaves the 13 dealer's premises, except for those off-highway vehicles purchased for14 use exclusively outside of this state IN ORDER TO COMPLETE THE SALE OF15 AN OFF-HIGHWAY VEHICLE.16 (II) A PURCHASER OF AN OFF-HIGHWAY VEHICLE WHO ATTESTS17 THAT THE OFF-HIGHWAY VEHICLE IS BEING PURCHASED FOR USE18 EXCLUSIVELY OUTSIDE OF THIS STATE IS NOT REQUIRED TO COMPLETE A19 REGISTRATION APPLICATION OR PAY THE REGISTRATION FEE PURSUANT TO20 SUBSECTION (2)(a)(I) OF THIS SECTION.21 (8) Any A dealer who does not comply with subsection (2)(a)22 SUBSECTION (2)(a)(I) of this section commits a civil infraction and, upon23 conviction, shall be punished by a fine of one TWO hundred dollars PER24 OFF-HIGHWAY VEHICLE SOLD WITHOUT THE PURCHASER COMPLETING A25 REGISTRATION APPLICATION OR PAYING THE REGISTRATION FEE .26 SECTION 3. In Colorado Revised Statutes, 33-14.5-103, repeal27 SB25-021 -3- (1) as follows:1 33-14.5-103. Record of registered off-highway vehicles2 maintained. (1) The division shall require proof of ownership for an3 off-highway vehicle prior to the initial registration required under this4 article, but the division shall not issue a certificate of title for the vehicle.5 SECTION 4. In Colorado Revised Statutes, 33-14.5-106, amend6 (1) as follows:7 33-14.5-106. Off-highway vehicle recreation fund - creation -8 use of money. (1) (a) All fees collected from the registration of9 off-highway vehicles and all fees collected from the sale of off-highway10 use permits, plus all interest earned on such moneys THE MONEY, shall be11 credited to the off-highway vehicle recreation fund, which fund is hereby12 created, and shall be used for:13 (I) The administration of this article, ARTICLE 14.5;14 (II) for PROVIDING information and awareness on the availability15 of off-highway vehicle recreational opportunities;16 (III) for The promotion of off-highway vehicle safety;17 (IV) for The establishment and maintenance of off-highway18 vehicle routes, parking areas, and facilities; and19 (V) for The purchase or lease of private land for the purposes of20 access to public land for uses consistent with the provisions of this article;21 ARTICLE 14.5.22 (b) However, any moneys MONEY collected in excess of four23 dollars per original INITIAL or renewal registration shall be used24 exclusively for direct services and not FOR administrative costs.25 (c) The general assembly shall make annual appropriations from26 the off-highway vehicle recreation fund for the purposes enumerated in27 SB25-021 -4- this subsection (1).1 (d) A NY UNEXPENDED AND UNENCUMBERED MONEY REMAINING2 IN THE FUND AT THE END OF A STATE FISCAL YEAR OR ANY MONEY THAT3 IS RETURNED TO THE FUND REMAINS IN THE FUND AND SHALL NOT BE4 TRANSFERRED TO THE GENERAL FUND OR ANY OTHER FUND .5 SECTION 5. In Colorado Revised Statutes, 33-14.5-107, amend6 (1) introductory portion; and add (1)(e) as follows:7 33-14.5-107. Rules. (1) The commission shall adopt rules in the8 manner provided by article 4 of title 24, C.R.S., concerning the following:9 (e) E NFORCEMENT OF OFF-HIGHWAY VEHICLE REGISTRATION10 REQUIREMENTS IN ACCORDANCE WITH SECTIONS 33-14.5-102 AND11 33-14.5-104.12 SECTION 6. Act subject to petition - effective date -13 applicability. (1) This act takes effect at 12:01 a.m. on the day following14 the expiration of the ninety-day period after final adjournment of the15 general assembly; except that, if a referendum petition is filed pursuant16 to section 1 (3) of article V of the state constitution against this act or an17 item, section, or part of this act within such period, then the act, item,18 section, or part will not take effect unless approved by the people at the19 general election to be held in November 2026 and, in such case, will take20 effect on the date of the official declaration of the vote thereon by the21 governor.22 (2) This act applies to violations occurring on or after the23 applicable effective date of this act.24 SB25-021 -5-