First Regular Session
Seventy-fifth General Assembly
STATE OF COLORADO
INTRODUCED
LLS NO. 25-1052.01 Richard Sweetman x4333
SENATE BILL 25-305
Senate Committees House Committees
Appropriations
A BILL FOR AN ACT
C
ONCERNING THE PROCESS BY WHICH THE DIVISION OF101
ADMINISTRATION IN THE DEPARTMENT OF PUBLIC HEALTH AND102
ENVIRONMENT ISSUES PERMITS RELATING TO WATER QUALITY .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/
.)
Joint Budget Committee. Current law requires the division of
administration (division) within the department of public health and
environment to report annually to the water quality control commission
(commission) and to include in the report any regulatory or legislative
recommendations the division may have. The bill requires the report to
SENATE SPONSORSHIP
Kirkmeyer and Bridges, Amabile
HOUSE SPONSORSHIP
Bird and Taggart, Sirota
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. also include:
! Information on the division's timing in considering and
issuing water quality permits (permits); and
! For the report submitted in 2026, a detailed discussion of
how the division has prioritized reducing the permit
backlog, implemented recommendations from water quality
permittees (permittee) for permitting efficiency, and
increased safe drinking water program inspections.
The bill requires the division, upon receipt of an application to
modify a permit, to limit its review and its approval or denial of the
application to the scope of the specific requests contained in the
application.
The bill requires the commission to adopt rules on or before
December 31, 2026, that establish procedures whereby the division, prior
to giving public notice of a complete permit application for an individual
permit and the division's preliminary analysis of the application, may
provide a period of public notice and review of a preliminary draft
prepared by the division. If a period of public notice and review is
required by rules of the commission, the period of public notice and
review may not exceed 14 days, and the purpose of the review is limited
to identifying errors in the division's preliminary draft.
On or before December 31, 2027, the division must propose rules
to the commission that establish a time frame during which the division
will either grant or deny applications for each type of permitting action.
On or before June 30, 2028, the commission must adopt rules based on
the division's proposal. The rules must establish the time frames for
permitting actions.
The bill requires the division to consider current debt service on
existing local government water infrastructure when developing
schedules of compliance for new effluent limits in local government
permits. Any schedule of compliance for new effluent limits in local
government permits must, consistent with state and federal law, consider
the local government's financial capability to repay existing debt on water
infrastructure or to fund water infrastructure upgrades before requiring
new water infrastructure upgrades. To the extent allowable under federal
law, the division may issue compliance schedules in a local government
permit for a new effluent limit in excess of 20 years.
The bill states that, on and after May 1, 2026, after an application
for permit modification or permit renewal has been pending before the
division for 60 days, or for any application for permit modification or
permit renewal that is pending before the division as of May 1, 2026, or
if the division informs an applicant that the division will not process an
application for preliminary effluent limitations, the applicant and the
division may mutually agree to use a qualified and independent
nongovernmental contractor (contractor) under the direction of the
SB25-305
-2- division to provide the division with technical assistance in completing
the permit action. The division shall maintain a list of at least 3 qualified
nongovernmental contractors for this purpose.
An applicant shall bear the contractor's costs for any technical
assistance provided by the contractor and shall pay the contractor for such
costs. The division may charge an applicant an additional fee in an
amount not exceeding 10% of the contract amount for contract
administration, technical review, and additional permit processing, which
fee is credited to the clean water cash fund. The division may, before
issuing its final permit action, require the applicant to fully pay this fee
and any contractor costs. The division shall provide oversight to ensure
that contractors provide technical assistance in accordance with the terms
of their contracts.
The bill requires the division, upon a permittee's request, to make
available to the permittee all documents, data, and information the
division relied upon in developing the permittee's permit modification or
permit renewal, except to the extent that such materials are protected by
an applicable privilege or exception.
The bill makes the following transfers of money:
! On July 1, 2025, $111,000 from the water quality
improvement fund to the drinking water cash fund;
! On July 1, 2025, $3,518,564 from the perfluoroalkyl and
polyfluoroalkyl substances cash fund to the clean water
cash fund;
! On July 1, 2026, $3,002,435 from the perfluoroalkyl and
polyfluoroalkyl substances cash fund to the clean water
cash fund; and
! On July 1, 2026, $516,129 dollars from the perfluoroalkyl
and polyfluoroalkyl substances cash fund to the drinking
water cash fund.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, 25-8-305, amend2
(2)(f) and (4)(b); and add (2)(h) and (4)(c) as follows:3
25-8-305. Annual report - repeal. (2) The annual report4
described in subsection (1) of this section must include information on the5
division's:6
(f) Ratio of general fund appropriations to cash fund7
appropriations that were authorized for the state fiscal year immediately8
SB25-305-3- preceding the date of the report; and1
(h) T
IMING IN CONSIDERING AND ISSUING PERMITS, INCLUDING THE2
NUMBER OF YEARS ADMINISTRATIVELY CONTINUED PERMITS HAVE BEEN3
PENDING, CATEGORIZED BY YEARS PENDING , AND A NARRATIVE4
DESCRIPTION OF THE DIVISION'S PLAN FOR PROCESSING ADMINISTRATIVELY5
CONTINUED PERMITS THAT HAVE BEEN ADMINISTRATIVELY CONTINUED6
FOR LONGER THAN FIVE YEARS.7
(4) (b) This subsection (4) is repealed, effective July 1, 2026
THE8
REPORT THAT THE DIVISION SUBMITS IN 2026 MUST INCLUDE A DETAILED9
DISCUSSION OF HOW THE DIVISION HAS PRIORITIZED REDUCING THE WATER10
QUALITY PERMIT BACKLOG , IMPLEMENTED RECOMMENDATIONS FROM11
PERMITTEES FOR PERMITTING EFFICIENCY , AND INCREASED THE NUMBER12
OF SAFE DRINKING WATER PROGRAM INSPECTIONS .13
(c) T
HIS SUBSECTION (4) IS REPEALED, EFFECTIVE JULY 1, 2027.14
SECTION 2. In Colorado Revised Statutes, 25-8-501, amend (2)15
as follows:16
25-8-501. Permits required for discharge of pollutants -17
administration. (2) (a) The division shall examine applications for and18
may issue, suspend, revoke, modify, deny, and otherwise administer19
permits for the discharge of pollutants into state waters and for the use20
and disposal of biosolids. Such
THE administration shall be in accordance21
with the provisions of this article ARTICLE 8 and regulations promulgated22
RULES ADOPTED by the commission. Until modified pursuant to this23
article ARTICLE 8, final permits shall be governed by their existing24
limitations.25
(b) U
PON RECEIPT OF AN APPLICATION TO MODIFY A PERMIT , THE26
DIVISION SHALL LIMIT ITS REVIEW AND, AS APPROPRIATE, ITS APPROVAL OR27
SB25-305
-4- DENIAL OF THE APPLICATION, TO THE SCOPE OF THE SPECIFIC REQUESTS1
CONTAINED IN THE APPLICATION.2
SECTION 3. In Colorado Revised Statutes, 25-8-502, add (3)(d)3
and (7) as follows:4
25-8-502. Application - definitions - fees - funds created -5
public participation - rules - repeal. (3) (d) O
N OR BEFORE DECEMBER6
31,
2026, THE COMMISSION SHALL ADOPT RULES ESTABLISHING7
PROCEDURES WHEREBY THE DIVISION , PRIOR TO GIVING PUBLIC NOTICE OF8
A COMPLETE PERMIT APPLICATION FOR AN INDIVIDUAL PERMIT AND THE9
DIVISION'S PRELIMINARY ANALYSIS OF THE APPLICATION PURS UANT TO10
SUBSECTION (3)(b) OF THIS SECTION, MAY PROVIDE A PERIOD OF PUBLIC11
NOTICE AND REVIEW OF A PRELIMINARY DRAFT PREPARED BY THE12
DIVISION. IF A PERIOD OF PUBLIC NOTICE AND REVIEW IS REQUIRED BY13
RULES OF THE COMMISSION, THE PERIOD OF PUBLIC NOTICE AND REVIEW14
MAY NOT EXCEED FOURTEEN DAYS , AND THE PURPOSE OF THE REVIEW IS15
LIMITED TO IDENTIFYING ERRORS IN THE DIVISION'S PRELIMINARY DRAFT.16
T
HE DIVISION SHALL MAKE AVAILABLE ON THE DIVISION'S PUBLIC WEBSITE17
ANY DOCUMENTS PROVIDED BY THE DIVISION DURING A PERIOD OF PUBLIC18
NOTICE AND REVIEW.19
(7) (a) O
N OR BEFORE DECEMBER 31, 2027, THE DIVISION SHALL20
PROPOSE RULES TO THE COMMISSION THAT ESTABLISH A TIME FRAME21
DURING WHICH THE DIVISION WILL EITHER GRANT OR DENY APPLICATIONS22
FOR EACH TYPE OF PERMITTING ACTION . ON OR BEFORE JUNE 30, 2028,23
THE COMMISSION SHALL ADOPT RULES BASED ON THE DIVISION 'S24
PROPOSAL. THE RULES MUST ESTABLISH THE TIME FRAMES FOR25
PERMITTING ACTIONS, INCLUDING:26
(I) T
HE ISSUANCE OF NEW INDIVIDUAL PERMITS AND NEW GENERAL27
SB25-305
-5- PERMITS;1
(II) T
HE RENEWAL OF GENERAL PERMITS AND INDIVI DUAL PERMITS ;2
(III) T
HE GRANTING OR DENYING OF REQUESTS FOR PERMIT3
MODIFICATIONS; AND4
(IV) T
HE DETERMINATION OF PRELIMINARY EFFLUENT5
LIMITATIONS.6
(b) (I) T
HE DIVISION SHALL BEGIN THE PROCESS TO CREATE A7
PROPOSAL OF TIME FRAMES FOR PERMITTING ACTIONS FOR THE PURPOSES8
OF SUBSECTION (7)(a) OF THIS SECTION ON OR BEFORE AUGUST 1, 2025.9
(II) T
HIS SUBSECTION (7)(b) IS REPEALED, EFFECTIVE JULY 1, 2026.10
SECTION 4. In Colorado Revised Statutes, 25-8-503, add (10)11
as follows:12
25-8-503. Permits - when required and when prohibited -13
variances - definition. (10) (a) T
HE DIVISION SHALL CONSIDER CURRENT14
DEBT SERVICE ON EXISTING LOCAL GOVERNMENT WATER INFRASTRUCTURE15
WHEN DEVELOPING SCHEDULES OF COMPLIANCE FOR NEW EFFLUENT LIMITS16
IN LOCAL GOVERNMENT PERMITS .17
(b) A
NY SCHEDULE OF COMPLIANCE THAT THE DIVISION DEVELOPS18
FOR NEW EFFLUENT LIMITS IN LOCAL GOVERNMENT PERMITS MUST ,19
CONSISTENT WITH STATE AND FEDERAL LAW , CONSIDER THE LOCAL20
GOVERNMENT'S FINANCIAL CAPABILITY TO REPAY EXISTING DEBT ON21
WATER INFRASTRUCTURE OR TO FUND WATER INFRASTRUCTURE UPGRADES22
BEFORE REQUIRING NEW WATER INFRASTRUCTURE UPGRADES . TO THE23
EXTENT ALLOWABLE UNDER FEDERAL LAW , THE DIVISION MAY ESTABLISH24
COMPLIANCE SCHEDULES IN A LOCAL GOVERNMENT PERMIT FOR A NEW25
EFFLUENT LIMIT IN EXCESS OF TWENTY YEARS .26
(c) A
S USED IN THIS SUBSECTION (10), "WATER INFRASTRUCTURE "27
SB25-305
-6- INCLUDES WASTEWATER TREATMENT INFRASTRUCTURE , DRINKING WATER1
TREATMENT INFRASTRUCTURE , AND RAW WATER INFRASTRUCTURE .2
SECTION 5. In Colorado Revised Statutes, add 25-8-503.7 as3
follows:4
25-8-503.7. Use of qualified and independent contractors -5
powers and duties of the division - fees - definitions. (1) O
N AND6
AFTER MAY 1, 2026, AN APPLICANT AND THE DIVISION MAY MUTUALLY7
AGREE TO USE A QUALIFIED AND INDEPENDENT NONGOVERNMENTAL8
CONTRACTOR UNDER THE DIRECTION OF THE DIVISION TO PROVIDE THE9
DIVISION WITH TECHNICAL ASSISTANCE IN COMPLETING THE PERMIT10
ACTION IF:11
(a) A
N APPLICATION FOR PERMIT MODIFICATION OR PERMIT12
RENEWAL HAS BEEN PENDING BEFORE THE DIVISION FOR SIXTY DAYS ;13
(b) A
N APPLICATION FOR PERMIT MODIFICATION OR PERMIT14
RENEWAL IS PENDING BEFORE THE DIVISION AS OF MAY 1, 2026; OR15
(c) T
HE DIVISION INFORMS AN APPLICANT THAT THE DIVISION WILL16
NOT PROCESS AN APPLICATION FOR PRELIMINARY EFFLUENT LIMITATIONS .17
(2) A
CONTRACTOR THAT PROVIDES TECHNICAL ASSISTANCE18
PURSUANT TO THIS SECTION MAY ASSIST THE DIVISION WITH SOME OR ALL19
OF THE FOLLOWING, AT THE DIVISION'S DISCRETION:20
(a) P
REPARING THE DIVISION'S PROPOSED PERMIT ACTION;21
(b) P
REPARING THE DIVISION'S RESPONSES TO PUBLIC COMMENTS22
RECEIVED ON THE PROPOSED PERMIT ACTION , IF ANY;23
(c) P
REPARING THE DIVISION'S FINAL PERMIT ACTION;24
(d) A
IDING IN THE DIVISION'S DEFENSE OF THE FINAL PERMIT25
ACTION IN ANY ADMINISTRATIVE ADJUDICATORY PROCEEDINGS ; AND26
(e) A
IDING IN THE DIVISION'S DEFENSE OF THE FINAL PERMIT27
SB25-305
-7- ACTION IN ANY JUDICIAL PROCEEDINGS.1
(3) T
HE APPLICANT SHALL BEAR THE CONTRACTOR 'S COSTS FOR2
ANY TECHNICAL ASSISTANCE PROVIDED PURSUANT TO THIS SECTION AND3
SHALL REMIT PAYMENT FOR THE COSTS DIRECTLY TO THE CONTRACTOR .4
T
HE DIVISION MAY CHARGE THE APPLICANT AN ADDITIONAL FEE IN AN5
AMOUNT NOT EXCEEDING TEN PERCENT OF THE CONTRACT AMOUNT FOR6
CONTRACT ADMINISTRATION , TECHNICAL REVIEW, AND ADDITIONAL7
PERMIT PROCESSING. MONEY COLLECTED AS AN ADDITIONAL FEE SHALL8
BE CREDITED TO THE CLEAN WATER CASH FUND CREATED IN SECTION9
25-8-210.
THE DIVISION MAY, BEFORE ISSUING ITS FINAL PERMIT ACTION,10
REQUIRE THE APPLICANT TO FULLY PAY THE ADDITIONAL FEE AND ANY11
CONTRACTOR COSTS.12
(4) (a) T
HE DIVISION, IN ITS SOLE DISCRETION, SHALL PROVIDE13
OVERSIGHT TO ENSURE THAT CONTRACTORS PROVIDE TECHNICAL14
ASSISTANCE IN ACCORDANCE WITH THE TERMS OF THEIR CONTRACTS . THE15
DIVISION MAY REQUIRE A CONTRACTOR 'S TECHNICAL ASSISTANCE TO16
CONFORM TO ALL COMMISSION RULES , DIVISION POLICIES, AND DIVISION17
PRACTICES APPLICABLE TO THE PERMIT ACTION IN QUESTION .18
(b) T
HE DIVISION MAY DEEM SOME OR ALL OF THE CONTRACTOR 'S19
TECHNICAL ASSISTANCE AS UNACCEPTABLE AND MAY REJECT , REQUIRE20
CORRECTION OF, OR DENY APPROVAL FOR SUCH ASSISTANCE . THE21
DIVISION'S REJECTION, REQUIRED CORRECTION, OR DENIAL OF APPROVAL22
OF A CONTRACTOR'S TECHNICAL ASSISTANCE IS NOT SUBJECT TO JUDICIAL23
OR ADMINISTRATIVE REVIEW AND DOES NOT RELIEVE AN APPLICANT OF24
THE OBLIGATION TO PAY THE CONTRACTOR 'S COSTS FOR SUCH TECHNICAL25
ASSISTANCE.26
(c) T
HE DIVISION'S USE OF CONTRACTORS PURSUANT TO THIS27
SB25-305
-8- SECTION DOES NOT RELIEVE THE DIVISION OF ITS OBLIGATIONS UNDER THIS1
ARTICLE 8.2
(d) T
HE DIVISION IS NOT SUBJECT TO THE REQUIREMENTS OF THE3
"P
ROCUREMENT CODE", ARTICLES 101 TO 112 OF TITLE 24, IN SELECTING4
OR CONTRACTING WITH THE CONTRACTORS .5
(5) A
S USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE6
REQUIRES:7
(a) "C
ONFLICT OF INTEREST" MEANS A DIRECT AND SUBSTANTIAL8
PERSONAL OR FINANCIAL INTEREST IN THE OUTCOME OF A PERMIT OR9
PERMIT ACTION SUCH THAT A CONTRACTOR IS UNABLE TO FULFILL ITS10
DUTY TO REMAIN FAIR, IMPARTIAL, OR OBJECTIVE.11
(b) "I
NDEPENDENT" MEANS HAVING NO CONFLICT OF INTEREST12
WITH A PERMITTEE.13
(c) "Q
UALIFIED" MEANS HAVING SUBSTANTIAL PROFESSIONAL14
EDUCATION, TRAINING, OR EXPERIENCE IN WATER QUALITY PERMITTING .15
SECTION 6. In Colorado Revised Statutes, 25-8-210, add16
(4)(a)(I.2) as follows:17
25-8-210. Fees established administratively - rules -18
shareholding requirement - phase-in period - clean water cash fund19
- creation - repeal. (4) (a) The clean water cash fund is created in the20
state treasury. The fund consists of:21
(I.2) F
EES COLLECTED PURSUANT TO SECTION 25-8-503.7 (3);22
SECTION 7. In Colorado Revised Statutes, add 25-8-503.8 as23
follows:24
25-8-503.8. Documents, information, and data utilized in25
developing permits. U
PON A PERMITTEE'S REQUEST, THE DIVISION SHALL26
MAKE AVAILABLE TO THE PERMITTEE ALL DOCUMENTS , DATA, AND27
SB25-305
-9- INFORMATION THE DIVISION RELIED UPON IN DEVELOPING THE PERMITTEE 'S1
PERMIT MODIFICATION OR PERMIT , INCLUDING ANY MODEL , TOOL, OR2
TABULAR WORKSHEET AND ANY FORMULAS , MACROS, METADATA, AND3
CALCULATIONS CONTAINED IN SUCH MATERIALS , EXCEPT TO THE EXTENT4
THAT THE DOCUMENTS, DATA, AND INFORMATION ARE PROTECTED BY AN5
APPLICABLE PRIVILEGE, SUCH AS THE ATTORNEY-CLIENT PRIVILEGE OR THE6
DELIBERATIVE-PROCESS PRIVILEGE, OR ARE SUBJECT TO AN EXCEPTION7
FROM DISCLOSURE SET FORTH IN SECTION 24-72-204.8
SECTION 8. In Colorado Revised Statutes, 25-8-608, amend9
(1.8) as follows:10
25-8-608. Civil penalties - rules - fund created - temporary11
moratorium on penalties for minor violations - definitions - repeal.12
(1.8) (a) Notwithstanding any provision of subsection (1.5) or (1.7) of13
this section to the contrary, on April 20, 2009 JULY 1, 2025, the state14
treasurer shall deduct seven hundred thousand dollars TRANSFER ONE15
HUNDRED ELEVEN THOUSAND DOLLARS from the water quality16
improvement fund and transfer such sum to the general fund DRINKING17
WATER CASH FUND CREATED IN SECTION 25-1.5-209 (2).18
(b) T
HIS SUBSECTION (1.8) IS REPEALED, EFFECTIVE AUGUST 1,19
2026.20
SECTION 9. In Colorado Revised Statutes, 8-20-206.5, add21
(7)(d) as follows:22
8-20-206.5. Environmental response surcharge - liquefied23
petroleum gas and natural gas inspection fund - perfluoroalkyl and24
polyfluoroalkyl substances cash fund - hazardous materials25
infrastructure cash fund - fuels impact reduction grant program -26
definitions - repeal. (7) (d) (I) N
OTWITHSTANDING SUBSECTION (7)(c)27
SB25-305
-10- OF THIS SECTION, THE STATE TREASURER SHALL TRANSFER THE1
FOLLOWING AMOUNTS FROM THE FUND ON THE FOLLOWING DATES :2
(A) O
N JULY 1, 2025, THREE MILLION FIVE HUNDRED EIGHTEEN3
THOUSAND FIVE HUNDRED SIXTY -FOUR DOLLARS TO THE CLEAN WATER4
CASH FUND CREATED IN SECTION 25-8-210;5
(B) O
N JULY 1, 2026, THREE MILLION TWO THOUSAND FOUR6
HUNDRED THIRTY-FIVE DOLLARS TO THE CLEAN WATER CASH FUND7
CREATED IN SECTION 25-8-210; AND8
(C) O
N JULY 1, 2026, FIVE HUNDRED SIXTEEN THOUSAND ONE9
HUNDRED TWENTY-NINE DOLLARS TO THE DRINKING WATER CASH FUND10
CREATED IN SECTION 25-1.5-209 (2).11
(II) T
HIS SUBSECTION (7)(d) IS REPEALED, EFFECTIVE JULY 1, 2028.12
SECTION 10. Safety clause. The general assembly finds,13
determines, and declares that this act is necessary for the immediate14
preservation of the public peace, health, or safety or for appropriations for15
the support and maintenance of the departments of the state and state16
institutions.17
SB25-305
-11-