(1) Except as provided in sections 25-7-130 and 25-7-131, the commission shall promulgate such rules and regulations as are consistent with the legislative declaration set forth in section 25-7102 and necessary for the proper implementation and administration of this article 7, including, but not limited to:
(a) (I) A comprehensive state implementation plan which will assure attainment and maintenance of national ambient air quality standards and which will prevent significant deterioration of air quality, all in conformity with the provisions of this article. The comprehensive plan shall meet all requirements of the federal act and shall be revised whenever necessary or appropriate.
The comprehensive state implementation plan of the commission shall, whereverfeasible, include local or regional air pollution plans and programs adopted or enforceable by municipal or county governments. Before making any changes to those portions of the state implementation plan which include such air pollution plans and programs or to such plans and programs which are suggested for inclusion in the state implementation plan, the commission shall give thirty days' notice of the proposed changes to the affected municipal or county government to allow a reasonable opportunity to prepare comments on the proposed changes. The commission shall consider such comments in its action on the state implementation plan and shall document in the record of the hearing its reasons for any changes to such plans and programs. Any such plans and programs which are approved by the commission and formally submitted as a part of the state implementation plan shall be deemed a part of the comprehensive program of the commission and shall be enforced as such.
The revisions to the Denver element of the PM-10 state implementation plan adopted by the commission on February 16, 1995, which contain a sixty tons-per-day PM-10 mobile source emissions budget which expires January 1, 1998, and reverts to a forty-four tonsper-day budget, are amended to provide that such forty-four tons-per-day reversion shall not be a part of the state implementation plan and shall only apply as a regulation adopted exclusively under reserved state authority pursuant to the provisions of section 25-7-105.1. The sixty tonsper-day emissions budget shall, unless modified by the commission through rule-making, apply for federal transportation conformity and is included in the state implementation plan only as required by the federal act. Any entity with authority to adopt a transportation plan required under section 43-1-1103, C.R.S., shall consider any mobile source emissions budgets in effect under this article in the development of transportation improvement programs for federal purposes.
Notwithstanding the provisions of section 25-7-133, the expiration of the state implementation plan for ozone maintenance and related rules of the air quality control commission, and the amendments to commission regulations number 3 and 7, which state implementation plan and rules, and amendments to regulations number 3 and 7, were adopted or amended by the commission on March 21, 1996, and which are therefore scheduled for expiration May 15, 1997, is postponed until December 31, 2005, and the provisions of section 24-4-108, C.R.S., shall apply.
Emission control regulations in conformity with section 25-7-109;
A prevention of significant deterioration program in conformity with part 2 of thisarticle and federal requirements; except that definitions used in the program shall not differ from any definitions pertaining to the prevention of significant deterioration program which appear in section 169 of the federal act or in federal regulations promulgated thereunder, and an attainment program in conformity with part 3 of this article;
A satisfactory process of consultation with general purpose local governments andany federal land manager having authority over federal land to which the state implementation plan applies, effective with respect to measures adopted after August 7, 1978, pertaining to transportation controls, air quality maintenance plan requirements, preconstruction review of stationary sources of air pollution, or any measure referred to in the prevention of significant deterioration program established pursuant to part 2 of this article or the attainment program established pursuant to part 3 of this article, or granting delayed compliance orders pursuant to section 25-7-118.
(I) Statewide greenhouse gas pollution abatement.
Consistent with section 25-7-102 (2)(g), the commission shall timely promulgateimplementing rules and regulations. The implementing rules may take into account other relevant laws and rules, as well as voluntary actions taken by local communities and the private sector, to enhance efficiency and cost-effectiveness, and shall be revised as necessary over time to ensure timely progress toward the 2025, 2030, and 2050 goals. The implementing rules shall provide for ongoing tracking of emission sources that adversely affect disproportionately impacted communities and are subject to rules implemented pursuant to this subsection (1)(e) and must include strategies designed to achieve reductions in harmful air pollution affecting those communities.
The commission will identify disproportionately impacted communities. In identifying these communities, the commission will consider: Minority, low-income, tribal, or indigenous populations in the state that potentially experience disproportionate environmental harms and risks. This disproportionality can be a result of increased vulnerability to environmental degradation, lack of opportunity for public participation, or other factors. Increased vulnerability may be attributable to an accumulation of negative or lack of positive environmental, health, economic, or social conditions within these populations. "Disproportionately impacted communities" describes situations where multiple factors, including both environmental and socioeconomic stressors, may act cumulatively to affect health and the environment and contribute to persistent environmental health disparities.
The division, at the direction of the commission, shall solicit input from other stateagencies, stakeholders, and the public on the advantages of different statewide greenhouse gas pollution mitigation measures, specifically soliciting input from those most impacted by climate change, including disproportionately impacted communities; large emission sources; workers in relevant industries, including advanced energy and fuel delivery; and communities that are currently economically dependent on industries with high levels of greenhouse gas emissions.
The implementing rules and policies may include, in addition to renewable energydevelopment strategies, regulatory strategies that have been deployed by another jurisdiction to reduce multi-sector greenhouse gas emissions, that facilitate adoption of technologies that have very low or zero emissions, and that enhance cost-effectiveness, compliance flexibility, and transparency around compliance costs, among other regulatory strategies. The commission may coordinate with other jurisdictions in securing emission reductions, including in satisfying future federal regulations. The commission may account for reductions in net greenhouse gas emissions that occur under coordinated jurisdictions' programs if the commission finds that the implementing regulations of each coordinated jurisdiction are of sufficient rigor to ensure the integrity of the reductions in greenhouse gas emissions to the atmosphere and may account for carbon dioxide that electricity consumption in this state causes to be emitted elsewhere.
In carrying out its responsibilities under this subsection (1)(e), the commission shallconsider: The benefits of compliance, including health, environmental, and air quality; the costs of compliance; economic and job impacts and opportunities; the time necessary for compliance; the relative contribution of each source or source category to statewide greenhouse gas pollution based on current data updated at reasonable intervals as determined by the commission; harmonizing emission reporting requirements with existing federal requirements, where the commission deems appropriate; the importance of striving to equitably distribute the benefits of compliance, opportunities to incentivize renewable energy resources and pollution abatement opportunities in disproportionately impacted communities, opportunities to encourage clean energy in transitioning communities; issues related to the beneficial use of electricity to reduce greenhouse gas emissions; whether program design could enhance the reliability of electric service; the potential to enhance the resilience of Colorado's communities and natural resources to climate impacts; and whether greater or more cost-effective emission reductions are available through program design.
Notwithstanding section 24-1-136 (11)(a)(I), the division, at the direction of thecommission, shall report to the general assembly every odd-numbered year after May 30, 2019, regarding: Progress toward the goals set forth in section 25-7-102 (2)(g); any newly available, final cost-benefit or regulatory analysis, developed under section 24-4-103 (2.5) or (4.5), for rules adopted to attain the goals; and any recommendations on future legislative action to address climate change, such as implementation of climate adaptation policies or accelerating deployment of cleaner technologies.
(A) In carrying out its responsibilities under this subsection (1)(e), the commission shall consult with the public utilities commission, including on issues of cost of electricity, reliability of electric service, technology developments in electricity production, and beneficial electrification, and keep a record of its consultation.
The general assembly hereby finds, determines, and declares that it is beneficial toencourage the development of clean energy plans that will require greenhouse gas emissions caused by Colorado retail electricity sales to decrease eighty percent by 2030 relative to 2005 levels to provide for the cost-effective and proactive deployment of clean energy resources.
In designing, implementing, and enforcing programs and requirements under thissubsection (1)(e), the commission and the division shall take into consideration any clean energy plan at the public utilities commission that, as filed, will achieve at least an eighty percent reduction in greenhouse gas emissions caused by the utility's Colorado retail electricity sales by 2030 relative to 2005 levels, as verified by the division. When including public utilities in its programs or requirements under this subsection (1)(e), the commission shall not mandate that a public utility reduce greenhouse gas emissions caused by the utility's Colorado retail electricity sales by 2030 more than is required under such an approved clean energy plan or impose any direct, nonadministrative cost on the public utility directly associated with quantities of greenhouse gas emissions caused by the utility's Colorado retail electricity sales that remain after the reductions required by such a clean energy plan through 2030 if those reductions are achieved and the division has verified that the approved clean energy plan will achieve at least a seventy-five percent reduction in greenhouse gas emissions caused by the utility's Colorado retail electricity sales by 2030 relative to 2005 levels.
Implementing rules developed by the commission must not include any
requirements dictating the mix of electric generating resources that any public utility shall use to meet applicable pollution limits.
Implementing rules developed by the commission must consider issues relating tojoint ownership of electric generating resources as between multiple parties and the extent to which the public utility is relying on power purchased from third parties in meeting its obligations under such a clean energy plan.
A clean energy plan voluntarily filed by a cooperative electric association that hasvoted to exempt itself from regulation by the public utilities commission pursuant to article 9.5 of title 40 or by a municipal utility shall be deemed approved by the public utilities commission as filed if: The division, in consultation with the public utilities commission, publicly verifies that the plan demonstrates that, by 2030, the cooperative electric association or municipal utility will achieve at least an eighty percent reduction in greenhouse gas emissions caused by the entity's Colorado retail electricity sales relative to 2005 levels; and the clean energy plan has previously been approved by a vote of the entity's governing body. Voluntary submission of a clean energy plan by a cooperative electric association or municipal utility does not alter the entity's regulatory status with respect to the public utilities commission, including under article 9.5 of title 40.
(IX) (A) In addressing greenhouse gas emissions from an energy-intensive, tradeexposed manufacturing source, the commission shall require the source to execute an energy and emission control audit, according to criteria established by the commission, of the source's operations every five years through at least 2035. A qualified third party, as determined by the commission, shall conduct the audit and submit the results to the commission. If the commission determines that the source currently employs best available emission control technologies for greenhouse gas emissions and best available energy efficiency practices, the commission shall not impose a direct nonadministrative cost on the source directly associated with at least ninetyfive percent of the source's greenhouse gas emissions attributable to manufacturing a good in this state for a period of five years, if the source's emissions are not greater than the emissions associated with use of the best available emission control technologies as determined by the commission. The commission shall consider how program design as relevant to those sources can further mitigate the cost of reducing emissions for such manufacturers while providing an incentive to improve efficiency and reduce emissions. Specifically, the commission shall design the program as relevant to those sources such that as the sources are subject to emission reduction requirements, those sources will have, under the program, a pathway to obtain equivalent lower-cost emission reductions at other regulated sources to satisfy their compliance obligations.
(B) As used in this subsection (1)(e)(IX), "energy-intensive, trade-exposed manufacturing source" means an entity that principally manufactures iron, steel, aluminum, pulp, paper, or cement and that is engaged in the manufacture of goods through one or more emissions-intensive, trade-exposed processes, as determined by the commission.
Nothing in this subsection (1)(e) diminishes the existing authority of the commissionor the division. Nothing in this subsection (1)(e) alters the regulatory exemptions provided in section 25-7-109 (8)(a). Nothing authorized in this subsection (1)(e), including the assignment of emission reduction obligations or emission authorizations and excluding program development and administrative costs, implicates state fiscal year spending as defined in section 24-77-102. Nothing in this subsection (1)(e) alters any requirement to prepare a cost-benefit analysis under section 24-4-103 (2.5) or any requirement to issue a regulatory analysis under section 24-4-103 (4.5). Nothing in this subsection (1)(e) diminishes the authority of the public utilities commission under the public utilities law, including sections 40-3-101 and 40-3-102.
As used in this subsection (1)(e):
"Cost-effective" or "cost-effectiveness" means the cost per unit of reduced emissionsof greenhouse gases expressed as carbon dioxide equivalent.
"Greenhouse gas" includes carbon dioxide, methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons, nitrogen trifluoride, and sulfur hexafluoride, expressed as carbon dioxide equivalent.
"Retail electricity sales" means electric energy sold to retail end-use electric consumers.
The commission shall provide forms of application and shall receive all such applications for review of the classification of any attainment, nonattainment, or unclassifiable area within the state made pursuant to section 25-7-106 (1) or 25-7-107 (2), all applications for designation or redesignation made pursuant to section 25-7-208, and all applications for any revision of general application of the state implementation plan and shall set such applications for hearing and determination by the commission in accordance with the provisions of section 25-7-119.
The commission shall employ a technical secretary and shall delegate to such secretary such duties and responsibilities as it may deem necessary; except that no authority shall be delegated to such secretary to adopt, promulgate, amend, or repeal standards or regulations, or to make determinations, or to issue or countermand orders of the commission. Such secretary shall have appropriate practical, educational, and administrative experience related to air pollution control and shall be employed pursuant to the state personnel system laws.
(a) The commission and the state board of health shall hold a joint public hearing during the month of October of each year in order to hear public comment on air pollution problems within the state, alleged sources of air pollution within the state, and the availability of practical remedies therefor; and at such hearing the technical secretary shall answer reasonable questions from the public concerning administration and enforcement of the various provisions of this article, as well as rules and regulations promulgated under the authority of this article.
(b) On or before September 30, 1993, the commission shall publish and revise from time to time thereafter, as is necessary, a regulatory agenda which includes its schedule for future rule-making and its schedule for implementing section 25-7-109.3 and other air quality programs.
(5) Prior to the hearing required under subsection (4) of this section, the commission shall prepare and make available to the public a report, which shall contain the following specific information:
A description of the pollution problem in each of the polluted areas of the state,described separately for each such area;
To the extent possible, the identification of the sources of air pollution in each separate area of the state, such as motor vehicles, industrial sources, and power-generating facilities;
A list of all alleged violations of emission control regulations showing the status ofcontrol procedures in effect with respect to each such alleged violation; and (d) Stationary industrial sources permitting information as follows:
The total number of permits issued;
The total number of hours billed for permitting;(III) The average number of hours billed per permit; and (IV) The number of general permits issued.
(6) and (7) Repealed.
(Deleted by amendment, L. 92, p. 1170, § 7, effective July 1, 1992.)
The commission shall adopt exhaust emissions standards for motor vehicles purchased for state use and shall assist the executive director of the department of personnel in determining those vehicles which meet or exceed such standards.
The commission shall promulgate such rules and regulations as are necessary toimplement the provisions of part 5 of this article concerning asbestos control.
The commission shall promulgate rules concerning CFC and ozone-depleting compounds as follows:
Regulations requiring the recycling or reuse of any refrigerant containing CFC whichis removed from the refrigeration system of a retail store, cold storage warehouse, or commercial or industrial building by any person who installs, services, repairs, or disposes of such system as a result of service to or disposal of such system;
Regulations prohibiting the intentional venting or disposal of any refrigerant containing CFC by the owner or operator of a retail store, cold storage warehouse, or commercial or industrial building and requiring the recycling or reuse of such refrigerant;
Regulations requiring the use of approved motor vehicle refrigerant recycling equipment during the repair or servicing of a motor vehicle air conditioner, requiring that such repair or servicing be done by a person certified in accordance with federal regulations, and including requirements for reclamation of refrigerants during the disposal of a vehicle; (d) Repealed.
Regulations which establish requirements for recycling;
Regulations which conform with the requirements of section 608 of the federal "Clean Air Act Amendments of 1990" to establish standards and requirements regarding the use and disposal of class I and class II ozone depleting compounds during the service, repair, or disposal of appliances and industrial process refrigeration. If federal training and certification requirements are adopted under section 609 of the federal "Clean Air Act Amendments of 1990" as of January 1, 1993, no state training and certification requirements shall be adopted. If the federal regulations are not adopted, then such state regulations shall contain training and certification requirements substantially similar to those required under section 609 of the federal "Clean Air Act Amendments of 1990". Such regulations shall also include provisions for the imposition and collection of a certification fee sufficient to implement the training, certification, and enforcement requirements of this paragraph (f).
Repealed.
Rules that are necessary for the imposition and collection of a fee for registering asstationary sources refrigeration systems and other appliances that contain a minimum of one hundred pounds or use a drive system of one hundred horsepower or more and use ozonedepleting compounds. The fee set by the commission shall reflect the direct and indirect costs of registering refrigeration systems and appliances; however, such fee shall not exceed seventy-five dollars per unit and shall not exceed a maximum of three hundred dollars per facility.
The commission shall promulgate such rules and regulations as are necessary toimplement the provisions of the emission notice and construction permit programs and the minimum elements of a permit program provided in Title V of the federal act.
(a) The commission shall promulgate rules and regulations requiring motor vehicles which have manufacturer-installed diagnostic systems for emission controls to have such diagnostic systems inspected and maintained consistent with section 202 of the federal act as part of the periodic inspection of vehicle emission control systems required pursuant to this article.
(b) This subsection (13) shall take effect July 1, 1994.
The commission shall repeal the clean vehicle fleet program mandated by section246 of the federal act and shall replace such program if required by federal law.
The commission shall promulgate rules and regulations as are necessary to providean emission reduction incentive permit fee credit program which provides for a permit fee reduction in the year following the year in which a permittee achieves an early reduction in emissions of hazardous air pollutants, consistent with the provisions of section 112 of the federal act and section 25-7-114.3.
The commission shall give priority to and take expeditious action upon consideration of the following:
A request by a unit of local government to investigate and resolve air quality problems associated with a source;
A request by a unit of local government for inclusion of a locally developed airpollution control measure in a state implementation plan;
A request by a unit of local government that the commission consider local concernsrespecting environmental and economic effects in the context of a proceeding where the state is targeting a source for imposition of additional air pollution controls.
(17) (a) Not later than December 31, 2002, and no less frequently than every five years thereafter, the commission shall conduct rule-making hearings to approve an update to the emission inventories from state and federal public land management agency activities on public lands resulting in emissions of any criteria pollutant, including surrogates or precursors for that pollutant, that affect any mandatory class I federal areas in Colorado by reducing visibility in such areas. At a minimum, such inventories shall report on emissions from the sources set forth in paragraph (d) of this subsection (17).
The commission shall ensure that the division prepares inventories for all state landmanagement agencies with jurisdiction over state lands, including, without limitation, the state land board, the department of agriculture, and the department of natural resources, to provide an inventory of emissions from land management activities that are sources of pollutant emissions that may affect any mandatory class I federal area in Colorado by reducing visibility in such areas; except that the commission shall exempt from the inventory requirement any sources or categories of sources that it determines to be of minor significance.
The commission shall use the emission inventories provided under this subsection(17) to develop control strategies for reducing emissions within the state as a component of the visibility long-term strategies for inclusion in the state implementation plan and for inclusion in any environmental impact statement or environmental assessment required to be performed under the federal "National Environmental Policy Act of 1969", 42 U.S.C. secs. 4321 to 4347.
The rule-making hearing held to approve the inventories provided under this subsection (17) shall require public participation and shall require the reporting of both current emissions and projected future emissions, over at least a five-year period, from the following sources on public land that affect any mandatory class I federal areas in Colorado:
Stationary source emissions, based on existing air pollution emission notices filedwith the division;
Mobile sources utilizing state lands, excluding state and federal highways;
Paved and unpaved roads;
Fires on public lands from all sources;
Biogenic sources, including emissions from flora and fauna.
(e) Each inventory provided under this subsection (17) shall state the basis and methodology used to accumulate the data and shall be based upon data that are: (I) Developed no later than three years prior to the submittal; and (II) No more than five years old.
Upon petition by any person or on its own motion, for good cause shown, the commission may determine that the emission inventory of any criteria pollutant, including a surrogate or precursor for that pollutant, for a region of the state is inadequate for purposes of commission rule-making or adjudications in connection with development of the state implementation plan, selection of pollution control strategies, attribution of emissions to sources or categories of sources, or findings of adverse impacts. If, after conducting a public hearing in accordance with the rule-making provisions of the "State Administrative Procedure Act", article 4 of title 24, C.R.S., the commission finds that the emission inventory should be revised to take into consideration existing credible studies or scientific data in order to reasonably attribute emissions to source categories, it shall direct that such revision be performed prior to a final rule-making or adjudication.
The commission may coordinate with the United States secretary of the interior andthe United States secretary of agriculture to develop air quality management plans consistent with this article for federal lands pursuant to 16 U.S.C. sec. 530, 16 U.S.C. sec. 1604, and 43 U.S.C. sec. 1712.
The commission may, within existing resources:
Analyze a range of residential, commercial, and industrial biomass equipment for airemissions standards;
Identify biomass equipment that meets the emissions standards; and
Publicly post a statement of the parameters for equipment fueled by biomass that issmaller than one million British thermal units, as defined in section 8-20-201 (1.3), C.R.S., per hour and include a list of biomass equipment that meets the emissions standards.
Source: L. 79: Entire article R&RE, p. 1021, § 1, effective June 20; (9) added, p. 1551, § 14, effective June 20. L. 81: (9) amended, p. 1296, § 35, effective January 1, 1982. L. 84: (2) and (8) amended and (7) repealed, p. 768, §§ 3, 1, effective July 1. L. 87: (10) added, p. 1151, § 2, effective July 1. L. 89: (11) added, p. 1156, § 3, effective January 1, 1990. L. 92: (1)(c), (4), (8), and IP(11) amended and (11)(c) to (11)(g) and (12) to (16) added, pp. 1170, 1292, §§ 7, 2, effective July 1. L. 93: (11)(h) added, p. 958, § 1, effective May 28. L. 95: (1)(a)(III) added, p. 1149, § 1, effective May 31. L. 96: (1)(a)(IV) added, p. 1038, § 2, effective May 23; (9) amended, p. 1541, § 130, effective June 1; (6) repealed, p. 1257, § 149, effective August 7. L. 99: (17) and (18) added, p. 1246, § 1, effective June 2. L. 2002: (14) R&RE, p. 1066, § 1, effective August 7. L. 2003: (19) added, p. 1035, § 6, effective April 17; (11)(d) repealed, p. 724, § 3, effective July 1. L. 2005: (11)(g) repealed, p. 282, § 18, effective August 8. L. 2008: IP(11) and (11)(h) amended, p. 882, § 1, effective May 20. L. 2010: (5) amended, (HB 10-1042), ch. 209, p. 908, § 1, effective September 1. L. 2011: (14) amended, (SB 11-163), ch. 13, p. 37, § 3, effective March 9. L. 2013: (20) added, (SB 13-273), ch. 406, p. 2374, § 4, effective June 5. L. 2016: (11)(f) amended, (SB 16-189), ch. 210, p. 771, § 63, effective June 6. L. 2019: IP(1) amended and (1)(e) added, (HB 19-1261), ch. 355, p. 3264, § 3, effective May 30. L. 2020: (14) amended, (HB 20-1402), ch. 216, p. 1055, § 57, effective June 30.
Cross references: (1) For the legislative declaration contained in the 1996 act enacting subsection (1)(a)(IV), see section 1 of chapter 210, Session Laws of Colorado 1996. For the legislative declaration contained in the 1996 act repealing subsection (6), see section 1 of chapter 237, Session Laws of Colorado 1996. For the legislative declaration contained in the 2003 act enacting subsection (19), see section 1 of chapter 145, Session Laws of Colorado 2003. For the legislative declaration in the 2013 act adding subsection (20), see section 1 of chapter 406, Session Laws of Colorado 2013.
(2) For sections 608 and 609 of the federal "Clean Air Act Amendments of 1990", see 42
U.S.C. §§ 7671g and 7671h, respectively.