Sen. Matt Jones

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Current law authorizes forced pooling, a process by which any interested person–typically an oil and gas operator–may apply to the Colorado oil and gas conservation commission for an order to pool oil and gas resources located within a particularly identified drilling unit. After giving notice to interested parties and holding a hearing, the commission can adopt an order to force owners of oil and gas resources within the drilling unit who have not consented to the application (nonconsenting owners) to allow an oil and gas operator to produce the oil and gas within the drilling unit notwithstanding the owners' lack of consent. The bill specifies that: The hearing notice must be given at least 90 days before the hearing; Before entry of a pooling order, the prospective drilling unit operator must give the affected interest owners a clearly stated, concise, neutral explanation of the laws governing forced pooling; and The operators of drilling units shall, before commencing drilling operations, file an electronic report with the commission that states the number of nonconsenting owners and the percentage of acres that have been pooled, and the commission shall post the reports in a searchable database on its website.(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

The bill, known as the 'Colorado Energy Impact Assistance Act', authorizes any investor-owned electric utility (utility) to apply to the public utilities commission (PUC) for a financing order that will authorize the utility to issue low-cost Colorado energy impact assistance bonds (bonds) to lower the cost to electric utility customers (ratepayers) when the retirement of a power plant occurs. A portion of bond proceeds will provide transition assistance for Colorado workers and communities directly affected by the retirement of the facilities (transition assistance). To repay the bonds at the lowest cost to ratepayers, the PUC is authorized to review and approve a financing order and authorize a special energy impact assistance charge that is separate and apart from the utility's base rates on all ratepayer bills. The establishment and ongoing adjustment of the separate charge will allow bonds to achieve the highest possible credit rating, at least AA/Aa2, from the national independent credit rating agencies and will therefore allow bonds to be issued at the lowest possible interest rate and lowest subsequent cost to ratepayers. Before issuing a financing order, the PUC must hold a public hearing, receive testimony from affected groups, and make specified determinations concerning the necessity, prudence, justness, reasonableness, and quantifiable benefits to utility ratepayers of issuing the financing order. After the public hearing process, if a financing order is approved by the PUC, it must include specific information and instructions for the utility to which it applies relating to the amount of bonds to be issued and the imposition of the energy impact assistance charge and must require the utility to pay a specified percentage of the net present value of the savings to a newly created Colorado energy impact assistance authority (authority) for the payment of transition assistance by the authority and the authority's reasonable and necessary administrative and operating costs. As an alternative to the financing order and bond issuance process, upon the closure of an electric generating facility, a Colorado electric utility may transfer to the authority an amount of up to 15% of the net present value of operational savings created by the closure of the electric generating facility, and such a transfer shall be deemed by the PUC to be a prudent action by the utility. The bill specifies that the authority is governed by a 7-member board of directors appointed by the governor and specifies mandatory and suggested occupational experience for the directors. The authority is authorized to receive bond proceeds from a utility to which a financing order applies and use the bond proceeds to provide transition assistance and pay its reasonable and necessary administrative and operating costs. Transition assistance is defined to include payment of retraining costs, including costs of apprenticeship programs and skilled worker retraining programs, for and financial assistance to directly displaced Colorado facility workers, compensation to Colorado local governments for lost property tax revenue directly resulting from the retirement of a facility, and similar payments, job retraining, assistance, and compensation for directly displaced Colorado workers and local governments in areas that produce fuel used in the retired facility directly resulting from the elimination of the need for fuel at the facility. When determining how best to provide transition assistance to a local community, the authority must, in conjunction with each board of county commissioners, municipal governing body, and school district that includes all or a portion of the impacted community, establish and take into consideration the advice of a local advisory committee. The authority is subject to open meeting and open records requirements and is required to submit a report to specified committees of the general assembly that sets forth a complete and detailed financial and operating statement of the authority for any fiscal year for which the authority has provided transition assistance. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

The bill requires candidates for president and vice president of the United States to file with the secretary of state the candidates' federal income tax return forms for the last 5 completed tax years. Neither the name of any candidate who fails to comply with the filing requirement nor the name of that candidate's running mate shall be printed on the official ballot. The secretary of state is required to publish the returns on his or her official website within 7 days of the returns being filed. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Current law's definition of a water supply that is 'adequate' for purposes of a local government's approval of a real estate development permit merely allows the inclusion of reasonable conservation measures and water demand management measures to account for hydrologic variability. The bill amends the definition to include reasonable conservation measures and water demand management measures to reduce water needs and account for hydrologic variability ( section 2 of the bill) and prohibits the local government from approving the permit application unless the applicant demonstrates that appropriate water conservation and demand management measures have been included in the water supply plan ( section 3 ). Current law also requires an applicant for a real estate development permit to demonstrate to the local government issuing the permit: The water conservation measures, if any, that may be implemented within the development; and The water demand management measures, if any, that may be implemented to account for hydrologic variability. Section 4 requires the applicant to demonstrate: The water conservation measures that may be implemented within the development to reduce indoor and outdoor demand; and The water demand management measures that may be implemented to account for hydrologic variability.(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Wildfire Matters Review Committee. Under current law, the borrower in a reverse mortgage transaction is relieved of the obligation to occupy the subject property as a principal residence if the borrower is temporarily absent for up to 60 days or, if the property is adequately secured, up to one year. The bill directs the wildfire matters review committee to examine, in 2017, the circumstances giving rise to the introduced version of House Bill 17-1026, including the necessity and desirability of adding a third exception to the principal-residence requirement to cover situations in which a natural disaster or other serious incident beyond the borrower's control renders the property uninhabitable.(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

As part of the Colorado oil and gas conservation commission's (commission) authority to regulate oil and gas operations to prevent and mitigate significant adverse environmental impacts to protect public health, safety, and welfare, the commission requires oil and gas production facilities and wells to be located at least 1,000 feet from school buildings and other high occupancy buildings. The bill clarifies that the minimum 1,000-foot distance from which newly permitted production facilities and wells must be located from any school applies to the school property line and not the school building. The bill further clarifies that it does not apply if a school commences operations near production facilities or wells that are already actively in use or permitted and, with respect to property owned by a school district, the distance requirement applies to the school building, other facilities used for school activities, and real property on which a future permanent or temporary school building is planned within 5 years after a production facility application is filed. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

The bill extends from 4 years to 8 years the period following the declaration by the governor of a disaster emergency in a county within which the board of county commissioners of the county may transfer county general fund money to the county road and bridge fund for the purposes of disaster response and recovery. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)