House Bill 25-1165 Preamended

A Bill for an Act

• Page 1, Line 101Concerning the management of underground energy

• Page 1, Line 102resources.

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 creates the geologic storage stewardship enterprise (enterprise) in the department of natural resources (department) for the purpose of:

• Imposing and determining the amount of annual stewardship fees;
• Funding the long-term stewardship of geologic storage facilities in the state;
• Funding the plugging, abandoning, reclaiming, and remediating of orphaned geologic storage facilities in the state; and
• Ensuring that costs associated with long-term stewardship of geologic storage facilities are borne by geologic storage operators in the form of stewardship fees.
• Ownership of the injection carbon dioxide, and ownership of any remaining facilities used to inject or store injection carbon dioxide, transfer to the state without payment of additional compensation;
• Except in specified circumstances, the geologic storage operator is released from all regulatory liability associated with the continued storage of the injection carbon dioxide and the long-term stewardship of the associated geologic storage facility; and
• The enterprise undertakes long-term stewardship of the injection carbon dioxide and any associated geologic storage facility.
• Clarifying that "nontributary groundwater" does not include "designated groundwater", as these terms are defined in current law;
• Exempting certain geothermal operations from needing a well permit from the state engineer;
• Requiring the state engineer to notify the operator of a prior geothermal operation of an application for a proposed well, and allowing the operator the opportunity to request a hearing if the application causes concern for material injury to the prior geothermal operation;
• Establishing that the authority to regulate shallow geothermal operations is shared by the state engineer and the state board of examiners;
• Renaming the state board of examiners of water well construction and pump installation contractors as the "state board of examiners of water well and ground heat exchanger contractors" (state board of examiners); and
• Regulating ground heat exchanger contractors in the same manner that currently exists for water well construction contractors and pump installation contractors.

The bill creates the geologic storage stewardship enterprise board (enterprise board) to administer the enterprise.

The bill requires each geologic storage operator to pay an annual stewardship fee for each ton of injection carbon dioxide that the geologic storage operator injects in the state. The energy and carbon management commission (commission) collects the stewardship fee on the enterprise's behalf. All money collected as stewardship fees is credited to the geologic storage stewardship enterprise cash fund, which is created in the bill. Money in the geologic storage stewardship enterprise cash fund is continuously appropriated to the enterprise.

The enterprise and the commission may each adopt rules to implement the bill.

Upon the commission's approval of a site closure:

The bill makes several updates to laws concerning the administration of underground geothermal resources, including:

• This Unofficial Version Includes Committee

• Amendments Not Yet Adopted on Second Reading

• Page 3, Line 1Be it enacted by the General Assembly of the State of Colorado:

• Page 3, Line 2SECTION 1.  Legislative declaration. (1)  The general assembly finds that:

• Page 3, Line 3(a)  Colorado has established statewide emission targets to reduce

• Page 3, Line 4greenhouse gas emissions based on the levels that existed in 2005,

• Page 3, Line 5including a 26% reduction by 2025, a 50% reduction by 2030, a 65%

• Page 3, Line 6reduction by 2035, a 75% reduction by 2040, a 90% reduction by 2045,and net-zero emissions by 2050;

• Page 3, Line 7(b)  Meeting these goals will involve multiple, simultaneously pursued strategies, as well as a streamlined administrative structure;

• Page 3, Line 8(c)  Carbon capture and storage, or "CCS", has been identified as an essential tool for hard-to-decarbonize sectors;

• Page 3, Line 9(d)  The geologic sequestration of carbon dioxide, or "CO2", in the

• Page 3, Line 10subsurface is necessary to reach net-zero emission targets globally and may be equally critical to Colorado's own climate targets;

• Page 3, Line 11(e)  Through CCS, stored CO2 remains in the subsurface

• Page 3, Line 12permanently. These CO2 storage projects require an extended

• Page 3, Line 13post-injection site care phase, typically lasting for decades after injection

• Page 3, Line 14has ceased, in which the injected CO2 is monitored to thoroughly

• Page 3, Line 15demonstrate that the injected CO2 is stable and will not pose a risk to underground sources of drinking water.

• Page 4, Line 1(f)  When a storage operator ceases to exist, for example, through

• Page 4, Line 2bankruptcy, current law does not provide for monitoring and stewardship of the the storage facility;

• Page 4, Line 3(g)  These are some of the reasons why the Colorado carbon

• Page 4, Line 4management roadmap, the energy and carbon management commission's

• Page 4, Line 5CCS study, and Colorado's carbon capture sequestration and utilization

• Page 4, Line 6task force all called for the state to create a process for long-term

• Page 4, Line 7stewardship of CO2 storage sites whereby CCS storage sites can be monitored and maintained for decades after site closure;

• Page 4, Line 8(h)  Establishing an enterprise funded by a fee imposed on

• Page 4, Line 9geologic storage operators to provide the necessary resources for the state

• Page 4, Line 10to conduct long-term monitoring and stewardship activities protects

• Page 4, Line 11Colorado communities from future impacts from storage facilities,

• Page 4, Line 12supports our state's climate goals, relieves state taxpayers of a potential burden to manage these sites, and provides certainty to operators;

• Page 4, Line 13(i)  Geothermal energy also provides many opportunities to support

• Page 4, Line 14the state's transition to a low-carbon economy by offering more reliable

• Page 4, Line 15energy service and predictable, affordable costs while improving local air quality and offering new economic growth opportunities;

• Page 4, Line 16(j)  The energy and carbon management commission and the

• Page 4, Line 17division of water resources are responsible for regulating geothermal development in Colorado;

• Page 4, Line 18(k)  In 2023, in Senate Bill 23-285, the general assembly directed

• Page 4, Line 19the energy and carbon management commission and the division of water

• Page 4, Line 20resources to study the state regulatory structure for geothermal resources

• Page 4, Line 21and determine if additional changes are necessary;

• Page 5, Line 1(l)  In support of the state's climate and energy goals, the

• Page 5, Line 2department of natural resources has identified statutory changes that will

• Page 5, Line 3clarify and streamline Colorado's regulatory framework while facilitating responsible development of geothermal resources in Colorado; and

• Page 5, Line 4(m)  These recommendations will minimize costs, expedite

• Page 5, Line 5permitting, reduce risks to industry and the public, and clarify regulatory authority across state agencies.

• Page 5, Line 6(2)  The general assembly therefore declares that it is important

• Page 5, Line 7that Colorado drive and oversee the deployment of CCS and geothermal

• Page 5, Line 8technologies in a manner that encourages protective growth and

• Page 5, Line 9adaptation of infrastructure and improved coordination for permitting authorities.

• Page 5, Line 10SECTION 2.  In Colorado Revised Statutes, amend 34-60-101 as follows:

• Page 5, Line 1134-60-101.  Short title.The short title of this article shall be

• Page 5, Line 12known and may be cited as article 60 is the "Oil and Gas Conservation "Energy and Carbon Management Act".

• Page 5, Line 13SECTION 3.  In Colorado Revised Statutes, 34-60-103, add (40.5) as follows:

• Page 5, Line 1434-60-103.  Definitions - rules. As used in this article 60, unless the context otherwise requires:

• Page 5, Line 15(40.5) (a)  "Site closure" means that an operator of a

• Page 5, Line 16geologic storage facility has demonstrated, in accordance with all rules of the commission, that:

• Page 5, Line 17(I)  Geologic storage operations at the facility no longer

• Page 5, Line 18pose a danger to public health, safety, or welfare or to the

• Page 5, Line 19environment, including underground sources of drinking water and wildlife resources; and

• Page 6, Line 1(II)  The operator has received approval from the commission for the facility to be closed.

• Page 6, Line 2(b)  "Site closure" requires that:

• Page 6, Line 3(I)  All wells are plugged, equipment is removed, and land

• Page 6, Line 4is reclaimed, unless otherwise required for long-term

• Page 6, Line 5stewardship and monitoring or as determined by the director of the commission; and

• Page 6, Line 6(II)  Monitoring equipment is installed if required by the

• Page 6, Line 7post-injection site care and site closure plan or by rules of the commission.

• Page 6, Line 8SECTION 4.  In Colorado Revised Statutes, add 34-60-144 as follows:

• Page 6, Line 934-60-144.  Geologic storage stewardship enterprise - created

• Page 6, Line 10- legislative declaration - powers and duties of enterprise - geologic

• Page 6, Line 11storage stewardship enterprise board - membership and duties of

• Page 6, Line 12enterprise board - stewardship fees - geologic storage stewardship

• Page 6, Line 13enterprise cash fund - definitions - rules - repeal. (1)  Legislative declaration. (a)  The general assembly finds that:

• Page 6, Line 14(I)  Geologic storage operations are an important tool to help the state meet its greenhouse gas emission reduction goals;

• Page 6, Line 15(II)  Geologic storage operations involve permanently storing injection carbon dioxide underground;

• Page 6, Line 16(III)  It is prudent to monitor and otherwise conduct

• Page 6, Line 17long-term stewardship of injection carbon dioxide to

• Page 6, Line 18demonstrate that the injection carbon dioxide is stable and will

• Page 6, Line 19not pose a risk to underground sources of drinking water;

• Page 7, Line 1(IV)  Geologic storage operations present the state with risks of orphaned geologic storage facilities;

• Page 7, Line 2(V)  It is necessary, appropriate, and in the best interest of

• Page 7, Line 3geologic storage operators for the state to conduct long-term stewardship; and

• Page 7, Line 4(VI)  It is necessary, appropriate, and in the best interest

• Page 7, Line 5of geologic storage operators for the state to ensure that

• Page 7, Line 6orphaned geologic storage facilities are plugged, abandoned,

• Page 7, Line 7reclaimed, and remediated, if necessary, in a timely manner if available financial assurance is insufficient.

• Page 7, Line 8(b)  The general assembly also finds that:

• Page 7, Line 9(I)  Current law in January 2025 provides no mechanism to

• Page 7, Line 10pay for the state's long-term stewardship of geologic storage facilities; and

• Page 7, Line 11(II)  Current law in January 2025 authorizes the

• Page 7, Line 12commission to require geologic storage operators to maintain

• Page 7, Line 13and demonstrate certain financial assurances to plug, abandon, reclaim, and remediate geologic storage facilities.

• Page 7, Line 14(c)  Now, therefore, the general assembly declares that:

• Page 7, Line 15(I)  It is in the public interest to create an enterprise

• Page 7, Line 16within the department that is committed to funding long-term

• Page 7, Line 17stewardship of injection carbon dioxide and, if necessary, the

• Page 7, Line 18plugging, abandonment, reclaiming, and remediating of orphaned geologic storage facilities;

• Page 7, Line 19(II)  The activities of the enterprise shall be funded by

• Page 7, Line 20revenue generated from stewardship fees paid by operators of

• Page 7, Line 21class VI injection wells in Colorado;

• Page 8, Line 1(III)  It is appropriate that geologic storage operators

• Page 8, Line 2should pay such stewardship fees, as geologic storage operators

• Page 8, Line 3are the direct beneficiaries of the services provided by the

• Page 8, Line 4enterprise, which are long-term stewardship and, where

• Page 8, Line 5necessary, the plugging, abandonment, reclaiming, and remediating of orphaned geologic storage facilities;

• Page 8, Line 6(IV)  Geologic storage operators benefit from long-term

• Page 8, Line 7stewardship because services, such as long-term monitoring and

• Page 8, Line 8site management, allow geologic storage operators to operate

• Page 8, Line 9class VI injection wells in Colorado by addressing the risks

• Page 8, Line 10presented by the permanent storage of injection carbon dioxide

• Page 8, Line 11without requiring geologic storage operators to conduct long-term stewardship;

• Page 8, Line 12(V)  Consistent with the determination of the Colorado

• Page 8, Line 13supreme court in Nicholl v. E-470 Public Highway Authority, 896

• Page 8, Line 14P.2d 859 (Colo. 1995), that the power to impose taxes is

• Page 8, Line 15inconsistent with enterprise status under section 20 of article

• Page 8, Line 16X of the state constitution, the general assembly concludes

• Page 8, Line 17that the stewardship fee is a fee, not a tax, and the enterprise

• Page 8, Line 18operates as a business because the stewardship fee is imposed for the following specific business purposes:

• Page 8, Line 19(A)  The long-term stewardship services authorized by this

• Page 8, Line 20section provide a benefit to geologic storage operators by

• Page 8, Line 21allowing a geologic storage operator to be released of

• Page 8, Line 22regulatory and long-term stewardship responsibilities

• Page 8, Line 23associated with injection carbon dioxide after the commission

• Page 8, Line 24approves site closure of a geologic storage facility; and

• Page 9, Line 1(B)  The plugging, abandonment, reclaiming, and

• Page 9, Line 2remediating services authorized by this section provide a benefit

• Page 9, Line 3to geologic storage operators by allowing them to operate

• Page 9, Line 4class VI injection wells in Colorado despite the risk that

• Page 9, Line 5available financial assurance may be insufficient to protect the

• Page 9, Line 6public from the costs of geologic storage facilities being orphaned; and

• Page 9, Line 7(VI)  So long as the enterprise qualifies as an enterprise

• Page 9, Line 8for purposes of section 20 of article X of the state constitution,

• Page 9, Line 9the revenue from the stewardship fee administered by the

• Page 9, Line 10enterprise and collected by the commission is not state fiscal

• Page 9, Line 11year spending, as defined in section 24-77-102 (17), or state

• Page 9, Line 12revenues, as defined in section 24-77-103.6 (6)(c), and does not

• Page 9, Line 13count against either the state fiscal year spending limit imposed

• Page 9, Line 14by section 20 of article X of the state constitution or the excess state revenues cap, as defined in section 24-77-103.6 (6)(b)(I)(G).

• Page 9, Line 15(2)  Definitions.As used in this section, unless the context otherwise requires:

• Page 9, Line 16(a)  "Department" means the department of natural resources.

• Page 9, Line 17(b)  "Enterprise" means the geologic storage stewardship enterprise created in subsection (3) of this section.

• Page 9, Line 18(c)  "Enterprise board" means the geologic storage

• Page 9, Line 19stewardship enterprise board created in subsection (4) of this section.

• Page 9, Line 20(d)  "Geologic storage stewardship enterprise cash fund"

• Page 9, Line 21means the geologic storage stewardship enterprise cash fund created in subsection (7) of this section.

• Page 10, Line 1(e)  "Long-term stewardship" means monitoring and

• Page 10, Line 2integrity maintenance of geologic storage facilities after the

• Page 10, Line 3commission approves a site closure, as well as any associated

• Page 10, Line 4action necessary to protect public health, safety, welfare, the environment, or wildlife resources.

• Page 10, Line 5(f)  "Orphaned geologic storage facility" means a geologic

• Page 10, Line 6storage facility in the state for which no owner or operator can

• Page 10, Line 7be found or for which the owner or operator is unwilling or

• Page 10, Line 8unable to pay the costs of plugging, abandoning, remediating,

• Page 10, Line 9reclaiming, or other action necessary to obtain site closure pursuant to commission rules.

• Page 10, Line 10(g)  "Stewardship fee" means the stewardship fee

• Page 10, Line 11authorized and imposed pursuant to subsection (6) of this section.

• Page 10, Line 12(3)  Enterprise created. (a)  The geologic storage

• Page 10, Line 13stewardship enterprise is created in the department, is a type 1

• Page 10, Line 14entity, as defined in section 24-1-105, and exercises its powers

• Page 10, Line 15and performs its duties and functions under the department. The enterprise is created for the purpose of:

• Page 10, Line 16(I)  Determining the amount of stewardship fees;

• Page 10, Line 17(II)  Funding the long-term stewardship of geologic storage facilities in the state;

• Page 10, Line 18(III)  Funding the plugging, abandonment, reclaiming, and,

• Page 10, Line 19as necessary, remediating of orphaned geologic storage

• Page 10, Line 20facilities in the state if the commission, after notice and a

• Page 10, Line 21hearing, determines that available financial assurance is insufficient; and

• Page 11, Line 1(IV)  Ensuring that costs associated with long-term

• Page 11, Line 2stewardship of geologic storage facilities are borne by geologic storage operators in the form of stewardship fees.

• Page 11, Line 3(b)  The enterprise board, in consultation with the

• Page 11, Line 4commission, shall administer the enterprise in accordance with this section.

• Page 11, Line 5(c) (I)  The enterprise constitutes an enterprise for

• Page 11, Line 6purposes of section 20 of article X of the state constitution so

• Page 11, Line 7long as it retains the authority to issue revenue bonds and

• Page 11, Line 8receives less than ten percent of its total revenues in grants, as

• Page 11, Line 9defined in section 24-77-102 (7), from all Colorado state and

• Page 11, Line 10local governments combined. So long as it constitutes an

• Page 11, Line 11enterprise, the enterprise is not subject to section 20 of article X of the state constitution.

• Page 11, Line 12(II)  The enterprise is authorized to issue revenue bonds for

• Page 11, Line 13the expenses of the enterprise, secured by revenue of the enterprise.

• Page 11, Line 14(4)  Enterprise board created - membership - duties - repeal.

• Page 11, Line 15(a) (I)  The geologic storage stewardship enterprise board is

• Page 11, Line 16created to administer the enterprise. The enterprise board includes the following five members:

• Page 11, Line 17(A)  The chair of the commission;

• Page 11, Line 18(B)  The director of the commission or the director's designee;

• Page 11, Line 19(C)  An individual with substantial experience in geologic

• Page 11, Line 20storage, preferably with an actuarial science background as

• Page 12, Line 1related to evaluating the long-term risk of geologic storage

• Page 12, Line 2facilities, to be appointed by the governor and confirmed by the senate;

• Page 12, Line 3(D)  An individual with formal training or substantial

• Page 12, Line 4experience in environmental protection, public health, or other

• Page 12, Line 5relevant fields, to be appointed by the governor and confirmed by the senate; and

• Page 12, Line 6(E)  An individual with formal training or substantial

• Page 12, Line 7experience in wellbore monitoring, long-term stewardship, or

• Page 12, Line 8other relevant technical fields, to be appointed by the governor and confirmed by the senate.

• Page 12, Line 9(II) (A)  The governor shall appoint the initial members of

• Page 12, Line 10the enterprise board pursuant to subsections (4)(a)(I)(C),

• Page 12, Line 11(4)(a)(I)(D), and (4)(a)(I)(E) of this section on or before September 1, 2025.

• Page 12, Line 12(B)  This subsection (4)(a)(II) is repealed, effective July 1, 2026.

• Page 12, Line 13(III)  The members of the enterprise board described in

• Page 12, Line 14subsections (4)(a)(I)(C), (4)(a)(I)(D), and (4)(a)(I)(E) of this section

• Page 12, Line 15shall each serve terms of three years; except that the initial

• Page 12, Line 16term of the member appointed pursuant to subsection (4)(a)(I)(C)

• Page 12, Line 17of this section is one year, and the initial term of the member

• Page 12, Line 18appointed pursuant to subsection (4)(a)(I)(D) of this section is

• Page 12, Line 19two years. In the event of a vacancy, the governor may appoint

• Page 12, Line 20an individual to complete the term of the member whose seat has become vacant.

• Page 12, Line 21(IV)  An individual may be appointed to serve as a member

• Page 13, Line 1of the enterprise board pursuant to subsection (4)(a)(I)(C),

• Page 13, Line 2(4)(a)(I)(D), or (4)(a)(I)(E) of this section for an unlimited number of terms.

• Page 13, Line 3(V)  Enterprise board members serving pursuant to

• Page 13, Line 4subsections (4)(a)(I)(C), (4)(a)(I)(D), and (4)(a)(I)(E) of this section

• Page 13, Line 5may receive compensation from the enterprise on a per diem basis

• Page 13, Line 6for reasonable expenses actually incurred in the performance

• Page 13, Line 7of duties required of enterprise board members under this section.

• Page 13, Line 8(VI)  The governor shall select a member of the enterprise board to serve as chair of the enterprise board.

• Page 13, Line 9(b)  In addition to administering the enterprise, the enterprise board shall:

• Page 13, Line 10(I)  Set the amount of the stewardship fee at an amount

• Page 13, Line 11that is reasonably related to the overall cost of the long-term

• Page 13, Line 12stewardship services provided by the enterprise. The enterprise

• Page 13, Line 13board shall set the initial amount within six months after the enterprise board is confirmed.

• Page 13, Line 14(II)  As frequently as the enterprise board determines

• Page 13, Line 15necessary, consider whether the amount of the stewardship fee should be increased or reduced, based on:

• Page 13, Line 16(A)  The overall cost of the enterprise's long-term

• Page 13, Line 17stewardship services, including reasonably anticipated future

• Page 13, Line 18expenditures from the geologic storage stewardship enterprise cash fund; and

• Page 13, Line 19(B)  The need to comply with subsection (7)(b) of this

• Page 13, Line 20section;

• Page 14, Line 1(III)  Consider the importance of financial

• Page 14, Line 2predictability for operators when determining the frequency of changes to the stewardship fee amount;

• Page 14, Line 3(IV)  If the enterprise board determines that an increase

• Page 14, Line 4or reduction of the stewardship fee amount is warranted, adjust

• Page 14, Line 5the stewardship fee amount to an amount that is reasonably

• Page 14, Line 6related to the overall cost of the long-term stewardship services provided by the enterprise; and

• Page 14, Line 7(V)  Advise the commission of the outcome of the enterprise board's deliberations pursuant to this subsection (4).

• Page 14, Line 8(5)  Powers and duties.In addition to any other powers and

• Page 14, Line 9duties specified in this section, the enterprise board has the

• Page 14, Line 10following general powers and duties on behalf of the enterprise:

• Page 14, Line 11(a)  To adopt procedures for conducting the enterprise board's affairs;

• Page 14, Line 12(b)  To acquire, hold title to, and dispose of real and

• Page 14, Line 13personal property, including ownership of injection carbon

• Page 14, Line 14dioxide upon approval of site closure of an associated geologic storage facility by the commission;

• Page 14, Line 15(c)  To employ and supervise individuals, professional

• Page 14, Line 16consultants, and contractors as are necessary in the enterprise board's judgment to carry out its business purposes;

• Page 14, Line 17(d)  To engage the services of contractors, consultants,

• Page 14, Line 18and the attorney general's office for professional and

• Page 14, Line 19technical assistance and advice and to supply other services

• Page 14, Line 20related to the conduct of the affairs of the enterprise. The

• Page 15, Line 1enterprise may contract with the department for the provision

• Page 15, Line 2of office space and administrative staff to the enterprise at a fair market rate.

• Page 15, Line 3(e)  To seek, accept, and expend gifts, grants, donations, or

• Page 15, Line 4other payments from private or public sources for the purposes

• Page 15, Line 5of this section, so long as the total amount of all grants from

• Page 15, Line 6Colorado state and local governments received in any state

• Page 15, Line 7fiscal year is less than ten percent of the enterprise's total

• Page 15, Line 8annual revenue for the state fiscal year. All money received as

• Page 15, Line 9gifts, grants, and donations shall be credited to the geologic storage stewardship enterprise cash fund.

• Page 15, Line 10(f)  To create and impose upon geologic storage operators

• Page 15, Line 11an additional fee to address plugging, abandoning, reclaiming,

• Page 15, Line 12and remediating of orphaned geologic storage facilities, which

• Page 15, Line 13fee is in an amount that is reasonably related to the overall

• Page 15, Line 14cost of plugging, abandoning, reclaiming, and remediating

• Page 15, Line 15orphaned geologic storage facilities, so long as the enterprise board finds that:

• Page 15, Line 16(I)  Geologic storage operations in the state are likely to create orphaned geologic storage facilities in the future;

• Page 15, Line 17(II)  Financial assurance provided by operators will be insufficient to address orphaned geologic storage facilities; and

• Page 15, Line 18(III)  Stewardship fees deposited into the geologic storage

• Page 15, Line 19stewardship cash fund will be insufficient to address both

• Page 15, Line 20long-term stewardship and orphaned geologic storage facilities;

• Page 15, Line 21(g)  To have and exercise all rights and powers necessary

• Page 16, Line 1or incidental to or implied from the specific powers and duties granted by this section; and

• Page 16, Line 2(h)  To perform all acts necessary to accomplish site

• Page 16, Line 3closures pursuant to commission rules for orphaned geologic storage facilities.

• Page 16, Line 4(6)  Stewardship fees - rules. (a)  On or before April 30, 2026,

• Page 16, Line 5and on or before April 30 each year thereafter, each geologic

• Page 16, Line 6storage operator shall pay a stewardship fee to the commission,

• Page 16, Line 7which shall collect the stewardship fee on the enterprise's

• Page 16, Line 8behalf, for each ton of injection carbon dioxide that the geologic storage operator injects in the state.

• Page 16, Line 9(b)  Money collected as stewardship fees shall be credited to the geologic storage stewardship enterprise cash fund.

• Page 16, Line 10(c)  The money collected by the commission for transfer to

• Page 16, Line 11the geologic storage stewardship enterprise cash fund pursuant to subsection (6)(b) of this section is:

• Page 16, Line 12(I)  Collected for the enterprise;

• Page 16, Line 13(II)  Custodial money intended for the enterprise and held

• Page 16, Line 14temporarily by the commission and the state treasurer solely

• Page 16, Line 15for the purpose of transferring the money to the geologic storage stewardship enterprise cash fund; and

• Page 16, Line 16(III)  Based on the enterprise's status as an enterprise, not

• Page 16, Line 17subject to section 20 of article X of the state constitution at any time during the money's collection, transfer, and use.

• Page 16, Line 18(d)  The commission may adopt rules to implement this subsection (6).

• Page 16, Line 19(7)  Geologic storage stewardship enterprise cash fund - repeal.

• Page 17, Line 1(a)  The geologic storage stewardship enterprise cash fund is

• Page 17, Line 2created in the state treasury. The geologic storage stewardship enterprise cash fund consists of:

• Page 17, Line 3(I)  Money received as stewardship fees;

• Page 17, Line 4(II)  Any money received from the issuance of revenue bonds, as described in subsection (3)(c)(II) of this section;

• Page 17, Line 5(III)  Any gifts, grants, or donations received pursuant to subsection (5)(e) of this section; and

• Page 17, Line 6(IV)  Any other money that the general assembly may

• Page 17, Line 7appropriate or transfer to the geologic storage stewardship enterprise cash fund.

• Page 17, Line 8(b) (I)  The total amount of money credited or

• Page 17, Line 9appropriated to the geologic storage stewardship enterprise

• Page 17, Line 10cash fund as stewardship fees shall not exceed one hundred

• Page 17, Line 11million dollars in the first five years of the enterprise's existence.

• Page 17, Line 12(II)  This subsection (7)(b) is repealed, effective July 1, 2031.

• Page 17, Line 13(c)  The state treasurer shall credit all interest and

• Page 17, Line 14income derived from the deposit and investment of money in the

• Page 17, Line 15geologic storage stewardship enterprise cash fund to the

• Page 17, Line 16geologic storage stewardship enterprise cash fund. Any

• Page 17, Line 17unexpended and unencumbered money remaining in the geologic

• Page 17, Line 18storage stewardship enterprise cash fund at the end of a fiscal

• Page 17, Line 19year remains in the geologic storage stewardship enterprise

• Page 17, Line 20cash fund and shall not be credited or transferred to the general fund or to any other fund.

• Page 17, Line 21(d)  Money credited to the geologic storage stewardship

• Page 18, Line 1enterprise cash fund is continuously appropriated to the enterprise and shall be expended to pay the costs of:

• Page 18, Line 2(I)  Long-term stewardship;

• Page 18, Line 3(II)  Plugging, abandoning, reclaiming, and remediating

• Page 18, Line 4services for orphaned geologic storage facilities at the request

• Page 18, Line 5of the director of the commission if the commission, after notice

• Page 18, Line 6and a hearing, determines that available financial assurance is insufficient; and

• Page 18, Line 7(III)  The enterprise's reasonable and necessary operating expenses.

• Page 18, Line 8(8)  Rules.The enterprise shall adopt rules as necessary to

• Page 18, Line 9implement this section. In adopting any rules concerning

• Page 18, Line 10subsection (6) of this section, the enterprise shall consult with the commission.

• Page 18, Line 11(9)  Governmental immunity.Nothing in this section

• Page 18, Line 12constitutes a waiver, abrogation, or limitation of governmental

• Page 18, Line 13immunity, as described in article 10 of title 24. Geologic storage

• Page 18, Line 14facilities, geologic storage locations, geologic storage

• Page 18, Line 15resources, injection carbon dioxide, and facilities associated

• Page 18, Line 16with geologic storage operations are not gas facilities for the

• Page 18, Line 17purposes of section 24-10-106 (1)(f) and do not constitute any

• Page 18, Line 18other area or facility for which sovereign immunity is waived pursuant to section 24-10-106 (1).

• Page 18, Line 19SECTION 5.  In Colorado Revised Statutes, 34-60-106, amend

• Page 18, Line 20(9)(c)(II) and (9)(c)(IV)(D); repeal(9)(c)(IV)(D.5) and (9)(e)(VI); and add (9.4) as follows:

• Page 18, Line 2134-60-106.  Additional powers of commission - fees - rules -

• Page 19, Line 1definitions - repeal. (9) (c) (II) (A)  The commission may issue and

• Page 19, Line 2enforce permits for geologic storage operations and may regulate geologic

• Page 19, Line 3storage operations after the commission makes the determination and

• Page 19, Line 4holds the hearing set forth in subsection (9)(c)(I) of this section and the

• Page 19, Line 5commission and the governor satisfy the requirements set forth in subsection (9)(a) of this section.

• Page 19, Line 6(B)  A person that willfully violates a class VI rule,

• Page 19, Line 7regulation, permit, or order of the commission issued pursuant

• Page 19, Line 8to subsection (9)(c)(II)(A) of this section commits a misdemeanor

• Page 19, Line 9and, upon conviction by a court of competent jurisdiction, is

• Page 19, Line 10subject to a fine of at least five thousand dollars and no more

• Page 19, Line 11than seven thousand five hundred dollars for each act of violation and for each day that the person remains in violation.

• Page 19, Line 12(IV) (D)  A geologic storage operator shall maintain the financial

• Page 19, Line 13assurance required under by this subsection (9)(c)(IV) or under any rules

• Page 19, Line 14adopted pursuant to this subsection (9)(c)(IV) until the commission

• Page 19, Line 15approves site closure, as specified in rules adopted by the commission.

• Page 19, Line 16Except as described in subsection (9.4) of this section, commission

• Page 19, Line 17approval of a site closure does not otherwise modify an operator's responsibility to comply with applicable laws.

• Page 19, Line 18(D.5)  If a geologic storage operator makes a material

• Page 19, Line 19misrepresentation or omission that causes the commission to approve a

• Page 19, Line 20site closure pursuant to subsection (9)(c)(IV)(D) of this section, the

• Page 19, Line 21commission may reimpose any regulatory responsibility or financial

• Page 19, Line 22assurance obligation imposed on the geologic storage operator pursuant to subsection (9)(c)(IV)(A) of this section.

• Page 19, Line 23(e)  As used in this subsection (9), unless the context otherwise requires:

• Page 20, Line 1(VI)  "Site closure" has the meaning set forth in 40 CFR 146.81.

• Page 20, Line 2(9.4) (a)  Before the commission approves a site closure,

• Page 20, Line 3title to the injection carbon dioxide stored by a geologic

• Page 20, Line 4storage operator remains with the geologic storage operator

• Page 20, Line 5or any party to which the geologic storage operator transferred title.

• Page 20, Line 6(b)  In addition to any criteria for site closure required by

• Page 20, Line 7rules adopted by the commission, the commission shall not

• Page 20, Line 8approve a site closure until the commission has determined that

• Page 20, Line 9the geologic storage operator requesting the site closure has

• Page 20, Line 10contributed money to the geologic storage stewardship

• Page 20, Line 11enterprise cash fund created in section 34-60-144 (7) in an

• Page 20, Line 12amount sufficient to pay for long-term stewardship of the

• Page 20, Line 13geologic storage facility for which the operator requests the site closure.

• Page 20, Line 14(c)  Upon approval by the commission of a site closure:

• Page 20, Line 15(I)  Ownership of the injection carbon dioxide and

• Page 20, Line 16ownership of any remaining geologic storage facilities,

• Page 20, Line 17including those used to inject, monitor, or store injection

• Page 20, Line 18carbon dioxide, transfer to the state without payment of compensation;

• Page 20, Line 19(II)  The geologic storage stewardship enterprise created

• Page 20, Line 20in section 34-60-144 shall undertake long-term stewardship of

• Page 20, Line 21the injection carbon dioxide and any associated geologic storage facility; and

• Page 20, Line 22(III)  The geologic storage operator is released from all

• Page 21, Line 1further regulatory liability associated with the geologic

• Page 21, Line 2storage operations or associated geologic storage facility, except as provided in subsection (9.4)(d) of this section.

• Page 21, Line 3(d)  Regulatory liability remains with the geologic

• Page 21, Line 4storage operator to the extent that the commission determines, after notice and hearing, that:

• Page 21, Line 5(I)  The geologic storage operator was in material

• Page 21, Line 6violation of a state law or regulation related to the geologic

• Page 21, Line 7storage operations or any associated geologic storage facility

• Page 21, Line 8that was not remedied prior to approval of site closure and has

• Page 21, Line 9not been remedied since that time, and any applicable statutes of limitation have not run;

• Page 21, Line 10(II)  The geologic storage operator provided deficient or

• Page 21, Line 11erroneous information that was material and relied upon by the commission to support the approval of site closure;

• Page 21, Line 12(III)  Contractual, civil, or criminal liability arises from

• Page 21, Line 13conduct of the geologic storage operator associated with the

• Page 21, Line 14geologic storage operations or any associated geologic storage

• Page 21, Line 15facility and such liability materially affects the commission's decision to approve site closure; or

• Page 21, Line 16(IV)  There is fluid migration for which the geologic

• Page 21, Line 17storage operator is responsible that causes or threatens to

• Page 21, Line 18cause imminent and substantial endangerment to an underground source of drinking water.

• Page 21, Line 19(e)  After notice and hearing, the commission may reimpose

• Page 21, Line 20any regulatory liability from which the geologic storage

• Page 21, Line 21operator has been released pursuant to subsection (9.4)(c)(III) of

• Page 22, Line 1this section and financial assurance obligations, if the commission determines that:

• Page 22, Line 2(I)  The geologic storage operator made a material

• Page 22, Line 3misrepresentation or omission that caused the commission to approve a site closure;

• Page 22, Line 4(II)  The geologic storage operator was in material

• Page 22, Line 5violation of a duty imposed on the operator by state law,

• Page 22, Line 6including by rules, prior to approval of a site closure, the

• Page 22, Line 7material violation has not been remedied, and any applicable statutes of limitation have not run; or

• Page 22, Line 8(III)  There is migration of the injection carbon dioxide for

• Page 22, Line 9which the geologic storage operator is responsible that causes

• Page 22, Line 10or threatens to cause imminent and substantial endangerment to an underground source of drinking water.

• Page 22, Line 11(f)  Nothing in this subsection (9.4) waives, abrogates, or

• Page 22, Line 12limits governmental immunity, as described in article 10 of title

• Page 22, Line 1324. Geologic storage facilities, geologic storage locations,

• Page 22, Line 14geologic storage resources, injection carbon dioxide, and

• Page 22, Line 15facilities associated with geologic storage operations are not

• Page 22, Line 16gas facilities for the purposes of section 24-10-106 (1)(f) and do

• Page 22, Line 17not constitute any other area or facility for which sovereign immunity is waived pursuant to section 24-10-106 (1).

• Page 22, Line 18(g)  As used in this subsection (9.4), unless the context otherwise requires:

• Page 22, Line 19(I)  "Regulatory liability" means a geologic storage

• Page 22, Line 20operator's obligation to comply with any rule, regulation,

• Page 22, Line 21permit condition, or order of the commission adopted or issued

• Page 23, Line 1pursuant to subsection (9)(c)(II) of this section for geologic storage operations.

• Page 23, Line 2(II)  "Regulatory liability" includes a geologic storage

• Page 23, Line 3operator's exposure to penalties assessed in accordance with

• Page 23, Line 4section 34-60-121 for violations of any rule, regulation, permit

• Page 23, Line 5condition, or order of the commission adopted or issued

• Page 23, Line 6pursuant to subsection (9)(c)(II) of this section for geologic storage operations.

• Page 23, Line 7(III)  "Regulatory liability" does not include a geologic storage operator's civil, contractual, or criminal liability.

• Page 23, Line 8SECTION 6.  In Colorado Revised Statutes, 34-60-140, amend (2)(a)(II) introductory portion as follows:

• Page 23, Line 934-60-140.  Ownership of geologic storage resources and

• Page 23, Line 10injection carbon dioxide - legislative declaration. (2) (a)  Except as set forth in subsection (5) of this section:

• Page 23, Line 11(II)  Until ownership of injection carbon dioxide and the facilities

• Page 23, Line 12and equipment that store injection carbon dioxide in the state transfer

• Page 23, Line 13to the state pursuant to section 34-60-106 (9.4)(c)(I), such ownership is vested in:

• Page 23, Line 14SECTION 7.  In Colorado Revised Statutes, 37-80-111.5, amend (1)(d) as follows:

• Page 23, Line 1537-80-111.5.  Fees - rules - satellite monitoring system cash

• Page 23, Line 16fund - well inspection cash fund - created. (1) (d)  Of each fee collected

• Page 23, Line 17pursuant to sections 37-90-105 (3)(a)(I) and (4)(a); 37-90-107 (7)(d)(I);

• Page 23, Line 1837-90-116 (1)(a), (1)(c), and (1)(h); 37-90-137 (2)(a); 37-90.5-106;

• Page 23, Line 1937-90.5-107; and 37-92-602 (3)(a) and (5), forty dollars a portion shall

• Page 23, Line 20be credited to the well inspection cash fund, which fund is hereby created.

• Page 24, Line 1Moneys The amount of the portion transferred to the well

• Page 24, Line 2inspection cash fund is forty dollars, and this amount may be

• Page 24, Line 3modified by rules adopted by the board of examiners pursuant to

• Page 24, Line 4section 37-91-104 (1)(c). Money in the well inspection cash fund shall

• Page 24, Line 5be continuously appropriated to and expended by the state engineer for

• Page 24, Line 6the purposes established in section 37-91-113. Any moneys money

• Page 24, Line 7credited to the well inspection cash fund and unexpended at the end of

• Page 24, Line 8any given state fiscal year remain remains in the fund and do does not

• Page 24, Line 9revert to the general fund. All interest derived from the deposit and

• Page 24, Line 10investment of this fund remain remains in the fund and do does not revert to the general fund.

• Page 24, Line 11SECTION 8.  In Colorado Revised Statutes, 37-80-111.7, amend (2) introductory portion and (2)(b) as follows:

• Page 24, Line 1237-80-111.7.  Water resources cash fund - created - uses.

• Page 24, Line 13(2)  The state engineer shall collect the following fees and transmit them

• Page 24, Line 14to the state treasurer, who shall credit them to the fund, except as

• Page 24, Line 15specified in paragraph (b) of this subsection (2) subsection (2)(b) of this section:

• Page 24, Line 16(b)  The state engineer shall collect fees pursuant to sections

• Page 24, Line 1737-90-105 (3)(a) and (4); 37-90-107 (7)(c)(I) and (7)(d)(I); 37-90-108 (4)

• Page 24, Line 18and (6); 37-90-116 (1)(a), (1)(c), (1)(h), and (1)(i); 37-90-137 (2), (3)(a),

• Page 24, Line 19and (3)(c); 37-90.5-106; 37-90.5-107; 37-92-305 (17); 37-92-308; and

• Page 24, Line 2037-92-602 (1)(g)(III)(C), (3)(a), and (5). The state treasurer shall credit

• Page 24, Line 21the fees collected pursuant to this paragraph (b) subsection (2)(b) to the fund except as specified in section 37-80-111.5 (1)(d).

• Page 24, Line 22SECTION 9.  In Colorado Revised Statutes, 37-90-103, amend

• Page 24, Line 23(10.5) as follows:

• Page 25, Line 137-90-103.  Definitions - repeal. As used in this article 90, unless the context otherwise requires:

• Page 25, Line 2(10.5)  "Nontributary groundwater" means that groundwater,

• Page 25, Line 3located outside the boundaries of any designated groundwater basins in

• Page 25, Line 4existence on January 1, 1985 excluding designated groundwater,

• Page 25, Line 5the withdrawal of which will not, within one hundred years of continuous

• Page 25, Line 6withdrawal, deplete the flow of a natural stream, including a natural

• Page 25, Line 7stream as defined in sections 37-82-101 (2) and 37-92-102 (1)(b), at an

• Page 25, Line 8annual rate greater than one-tenth of one percent of the annual rate of

• Page 25, Line 9withdrawal. The determination of whether groundwater is nontributary

• Page 25, Line 10shall be based on aquifer conditions existing at the time of permit

• Page 25, Line 11application; except that, in recognition of the de minimis amount of water

• Page 25, Line 12discharging from the Dawson, Denver, Arapahoe, and Laramie-Fox Hills

• Page 25, Line 13aquifers into surface streams due to artesian pressure, when compared

• Page 25, Line 14with the great economic importance of the groundwater in those aquifers,

• Page 25, Line 15and the feasibility and requirement of full augmentation by wells located

• Page 25, Line 16in the tributary portions of those aquifers, it is specifically found and

• Page 25, Line 17declared that, in determining whether groundwater of the Dawson,

• Page 25, Line 18Denver, Arapahoe, and Laramie-Fox Hills aquifers is nontributary, it shall

• Page 25, Line 19be assumed that the hydrostatic pressure level in each such aquifer has

• Page 25, Line 20been lowered at least to the top of that aquifer throughout that aquifer;

• Page 25, Line 21except that not nontributary groundwater, as defined in subsection (10.7)

• Page 25, Line 22of this section, in the Denver basin shall not become nontributary

• Page 25, Line 23groundwater as a result of the aquifer's hydrostatic pressure level

• Page 25, Line 24dropping below the alluvium of an adjacent stream due to Denver basin

• Page 25, Line 25well pumping activity. Nothing in this subsection (10.5) shall preclude

• Page 25, Line 26precludes the designation of any aquifer or basin, or any portion thereof,

• Page 26, Line 1which of an aquifer or basin, that is otherwise eligible for

• Page 26, Line 2designation under the standard set forth in subsection (6) of this section

• Page 26, Line 3relating to groundwater in areas not adjacent to a continuously flowing

• Page 26, Line 4natural stream wherein groundwater withdrawals have constituted the

• Page 26, Line 5principal water usage for at least fifteen years preceding the date of the first hearing on the proposed designation of a basin.

• Page 26, Line 6SECTION 10.  In Colorado Revised Statutes, 37-90-137, amend

• Page 26, Line 7(2)(a)(II), (2)(b)(I), (2)(b)(II) introductory portion, (2)(b)(II)(A), (2)(b)(II)(B), and (2)(c); and add (2)(e) and (7.5) as follows:

• Page 26, Line 837-90-137.  Permits to construct wells outside designated

• Page 26, Line 9basins - fees - permit no groundwater right - evidence - time

• Page 26, Line 10limitation - well permits - rules - definition. (2) (a) (II)  Effective July

• Page 26, Line 111, 2006, upon receipt of an application for a replacement well or a new,

• Page 26, Line 12increased, or additional supply of groundwater from an area outside the

• Page 26, Line 13boundaries of a designated groundwater basin, accompanied by a filing

• Page 26, Line 14fee of one hundred dollars, the state engineer shall make a determination

• Page 26, Line 15as to whether or not the exercise of the requested permit will materially

• Page 26, Line 16injure the vested water rights or prior geothermal operations of others.

• Page 26, Line 17(b) (I)  The state engineer shall issue a permit to construct a well only if:

• Page 26, Line 18(A)  The state engineer finds, as substantiated by hydrological and

• Page 26, Line 19geological facts, that there is unappropriated water available for

• Page 26, Line 20withdrawal by the proposed well and that the vested water rights or prior geothermal operations of others will not be materially injured; and

• Page 26, Line 21(B)  Except as specified in subparagraph (II) of this paragraph (b)

• Page 26, Line 22subsection (2)(b)(II) of this section, the location of the proposed well

• Page 27, Line 1will be more than six hundred feet from an existing well completed in

• Page 27, Line 2the same aquifer and more than one-fourth of a mile from a prior geothermal operation utilizing water from the same aquifer.

• Page 27, Line 3(II)  If the state engineer, after a hearing, finds that circumstances

• Page 27, Line 4in a particular instance so warrant, or if a court decree is entered for the

• Page 27, Line 5proposed well location after notice has been given in accordance with

• Page 27, Line 6sub-subparagraph (B) of this subparagraph (II) subsection (2)(b)(II)(B)

• Page 27, Line 7of this section, the state engineer may issue a permit without regard to

• Page 27, Line 8the limitation specified in sub-subparagraph (B) of subparagraph (I) of

• Page 27, Line 9this paragraph (b) subsection (2)(b)(I)(B) of this section; except that

• Page 27, Line 10no a hearing shall be is not required and the state engineer may issue a

• Page 27, Line 11well permit without regard to the limitation specified in sub-subparagraph

• Page 27, Line 12(B) of subparagraph (I) of this paragraph (b) subsection (2)(b)(I)(B) of this section:

• Page 27, Line 13(A)  If the state engineer notifies the owners of all wells within six

• Page 27, Line 14hundred feet of the proposed well by certified mail and receives no

• Page 27, Line 15response within the time set forth in the notice, and if the proposed

• Page 27, Line 16well is located within one-fourth of a mile of a prior

• Page 27, Line 17geothermal operation, and the state engineer notifies the prior

• Page 27, Line 18geothermal operation's designated individuals and the energy

• Page 27, Line 19and carbon management commission by electronic mail and receives no response within the time set forth in the notice;

• Page 27, Line 20(B)  If the proposed well is part of a water court proceeding

• Page 27, Line 21adjudicating the water right for the well, or if the proposed well is part of

• Page 27, Line 22an adjudication of a plan for augmentation or change of water right and

• Page 27, Line 23if evidence is provided to the water court that the applicant has given

• Page 27, Line 24notice of the water court application, at least fourteen days before making

• Page 28, Line 1the application, by registered or certified mail, return receipt requested,

• Page 28, Line 2to the owners of record of all wells within six hundred feet of the

• Page 28, Line 3proposed well and to all designated individuals of prior

• Page 28, Line 4geothermal operations within one-fourth of a mile of the proposed well;

• Page 28, Line 5(c)  The permit shall set forth such the conditions for drilling,

• Page 28, Line 6casing, and equipping wells and other diversion facilities as are

• Page 28, Line 7reasonably necessary to prevent waste, pollution, or material injury to existing rights or prior geothermal operations.

• Page 28, Line 8(e)  As used in this subsection (2), unless the context otherwise requires:

• Page 28, Line 9(I)  "Material injury to a prior geothermal operation" has the meaning set forth in section 37-90.5-106 (1)(c).

• Page 28, Line 10(II)  "Prior geothermal operation" has the meaning set forth in section 37-90.5-103 (14.5).

• Page 28, Line 11(7.5) (a)  Except as required by subsection (7.5)(b) of this

• Page 28, Line 12section, a permit from the state engineer is not required in the

• Page 28, Line 13case of withdrawing nontributary groundwater from a geologic

• Page 28, Line 14formation if the withdrawal is permitted as a deep geothermal

• Page 28, Line 15operation, as defined in section 37-90.5-103 (3), and the

• Page 28, Line 16withdrawn nontributary groundwater will be used only for operations to extract or utilize heat, including:

• Page 28, Line 17(I)  Generating electricity;

• (II)  Heating and cooling buildings;

• Page 28, Line 18(III)  Heating swimming pools, public bathhouses, or developed hot springs facilities;

• Page 28, Line 19(IV)  Heating aquaculture;

• (V)  Melting snow or ice;

• Page 29, Line 1(VI)  Heating to facilitate carbon dioxide capture or hydrogen production;

• Page 29, Line 2(VII)  Deep geothermal exploration, resource confirmation, or reservoir enhancement; and

• Page 29, Line 3(VIII)  Heating and drying for other industrial processes.

• Page 29, Line 4(b)  A well permit is required if the operator will use the

• Page 29, Line 5nontributary groundwater for additional beneficial uses unrelated to the extraction or utilization of heat.

• Page 29, Line 6SECTION 11.  In Colorado Revised Statutes, 37-90.5-102, amend (1)(b) as follows:

• Page 29, Line 737-90.5-102.  Legislative declaration. (1)  The general assembly hereby declares that:

• Page 29, Line 8(b)  The development of geothermal resources should be

• Page 29, Line 9undertaken in such a manner as to safeguard life, health, property, public

• Page 29, Line 10welfare, historic geothermal hot springs, and the environment,

• Page 29, Line 11including wildlife resources; encourage the maximum economic recovery

• Page 29, Line 12of each resource and prevent its waste; and protect associated correlative rights.

• Page 29, Line 13SECTION 12.  In Colorado Revised Statutes, 37-90.5-103,

• Page 29, Line 14amend (1)(b) and (3)(c)(II); repeal (13); and add(9.5) and (14.5) as follows:

• Page 29, Line 1537-90.5-103.  Definitions. As used in this article 90.5, unless the context otherwise requires:

• Page 29, Line 16(1) (b)  "Allocated geothermal resource" does not include

• Page 29, Line 17groundwater in the Denver basin aquifers or nontributary

• Page 29, Line 18groundwater aquifers entirely located shallower than two thousand five hundred feet.

• Page 30, Line 1(3) (c)  "Deep geothermal operation" does not include:

• Page 30, Line 2(II)  The use of any heat extracted with produced fluids in an oil

• Page 30, Line 3and gas operation if the utilization of the heat is only utilized to reduce

• Page 30, Line 4emissions from the operation in the same location as the well from which

• Page 30, Line 5it was produced and would otherwise not be economically feasible as a standalone geothermal resource project.

• Page 30, Line 6(9.5)  "Historic hot spring" means a hot spring that is registered as described in section 37-90.5-106 (7) and is either:

• Page 30, Line 7(a)  A commercial geothermal hot spring with a vested water right; or

• Page 30, Line 8(b)  A noncommercial geothermal hot spring that is accessible to and enjoyed by the public.

• Page 30, Line 9(13)  "Nonconsumptive geothermal operation" means an operation

• Page 30, Line 10using geothermal resources in which the volume of geothermal fluid

• Page 30, Line 11extracted from an aquifer or formation is no more than the volume of the

• Page 30, Line 12geothermal fluid reinjected in the same aquifer or formation over a reasonable time frame and distance.

• Page 30, Line 13(14.5)  "Prior geothermal operation" means:

• Page 30, Line 14(a)  A geothermal well, operation, district, or unit

• Page 30, Line 15authorized by the state engineer or the energy and carbon management commission pursuant to this article 90.5; or

• Page 30, Line 16(b)  A historic hot spring.

• Page 30, Line 17SECTION 13.  In Colorado Revised Statutes, 37-90.5-104, amend (2) and (4); and repeal (5) as follows:

• Page 30, Line 1837-90.5-104.  Ownership declaration. (2)  The property right to

• Page 30, Line 19a hot dry rock resource or a geothermal resource associated with

• Page 31, Line 1nontributary groundwater is an incident of the ownership of the overlying

• Page 31, Line 2surface, unless the property right is severed, reserved, or transferred with

• Page 31, Line 3the subsurface estate expressly or is otherwise expressly separate

• Page 31, Line 4from the surface estate. Geothermal resources associated with

• Page 31, Line 5nontributary groundwater shall not be transferred separately

• Page 31, Line 6from the nontributary groundwater. With respect to any

• Page 31, Line 7severance, reservation, or transfer occurring after September 1, 2025:

• Page 31, Line 8(a)  For any severance, reservation, or transfer of

• Page 31, Line 9nontributary groundwater, there is a rebuttable presumption

• Page 31, Line 10that the severance, reservation, or transfer includes any

• Page 31, Line 11associated geothermal resources unless the severance, reservation, or transfer expressly states otherwise; and

• Page 31, Line 12(b)  For any severance, reservation, or transfer of

• Page 31, Line 13geothermal resources associated with nontributary

• Page 31, Line 14groundwater, there is a rebuttable presumption that the

• Page 31, Line 15severance, reservation, or transfer includes the associated

• Page 31, Line 16nontributary groundwater unless the severance, reservation, or transfer expressly states otherwise.

• Page 31, Line 17(4)  Notwithstanding any provision of this section to the contrary, nothing in this section:

• Page 31, Line 18(a)  Derogates the rights of a landowner to nontributary groundwater; or

• Page 31, Line 19(b)  Affects any ownership or rights to a geothermal resource

• Page 31, Line 20associated with nontributary groundwater, which resource is acquired before July 1, 2023; or

• Page 31, Line 21(c)  Prevents an owner of nontributary groundwater

• Page 32, Line 1rights from accessing nontributary groundwater for

• Page 32, Line 2nongeothermal purposes that will not materially injure a prior geothermal operation.

• Page 32, Line 3(5)  Notwithstanding any provision of this section to the contrary,

• Page 32, Line 4geothermal resources associated with nontributary groundwater shall not be transferred separately from the nontributary groundwater.

• Page 32, Line 5SECTION 14.  In Colorado Revised Statutes, 37-90.5-106,

• Page 32, Line 6amend (1)(a)(I), (1)(a)(II), (1)(b)(III), (3), and (6); and add(1)(a)(IV), (1)(a)(V), (1)(c), (2)(c), and (7) as follows:

• Page 32, Line 737-90.5-106.  Regulation of geothermal resource operations -

• Page 32, Line 8reinjection - fees - rules - definition. (1) (a) (I)  The state engineer has

• Page 32, Line 9and the board of examiners of water well and ground heat

• Page 32, Line 10exchanger contractors created in section 37-91-103 have the

• Page 32, Line 11exclusive authority to regulate shallow geothermal operations and may adopt rules that regulate shallow geothermal operations.

• Page 32, Line 12(II)  Prior to Before constructing a test bore, ground heat

• Page 32, Line 13exchanger, monitoring well, or production well or reworking an

• Page 32, Line 14existing well associated with shallow geothermal operations, a person

• Page 32, Line 15shall obtain an operations permit must be obtained from the state engineer.

• Page 32, Line 16(IV)  The state engineer shall maintain a tributary geothermal notification list for each water division.

• Page 32, Line 17(V) (A)  An applicant for a new geothermal well permit

• Page 32, Line 18withdrawing tributary groundwater at a rate greater than

• Page 32, Line 19fifty gallons per minute shall provide a copy of the application

• Page 32, Line 20by electronic mail to all parties that have subscribed to the

• Page 32, Line 21tributary geothermal notification list for the water division in

• Page 33, Line 1which the well will be located and shall file proof of such notice with the state engineer.

• Page 33, Line 2(B)  The state engineer shall allow the owners or

• Page 33, Line 3operators of prior geothermal operations, vested water rights,

• Page 33, Line 4or wells thirty-five days after the date of the electronic

• Page 33, Line 5mailing of the notice to submit a claim of material injury. Any

• Page 33, Line 6such claim may request conditions to be imposed upon the well

• Page 33, Line 7permit in order to prevent such injury and provide other

• Page 33, Line 8information to be considered by the state engineer in reviewing the application.

• Page 33, Line 9(C)  If an applicant proposes a geothermal well

• Page 33, Line 10withdrawing tributary groundwater at a rate greater than

• Page 33, Line 11fifty gallons per minute, and the proposed well is in a

• Page 33, Line 12hydrogeologic setting where it has the potential to materially

• Page 33, Line 13injure a historic hot spring, the applicant shall provide geologic

• Page 33, Line 14and hydrologic evidence to be considered by the state engineer.

• Page 33, Line 15The evidence must demonstrate that the proposed well will not

• Page 33, Line 16materially injure the historic hot spring. The state engineer

• Page 33, Line 17shall amend the geothermal rules adopted pursuant to

• Page 33, Line 18subsection (1)(a)(I) of this section to implement the requirements of this subsection (1)(a)(V)(C).

• Page 33, Line 19(b) (III)  In issuing an operations permit pursuant to subsection (1)(b)(II) of this section, the commission:

• Page 33, Line 20(A)  May allow for the use of groundwater as part of

• Page 33, Line 21nonconsumptive geothermal operations pursuant to section 37-90-137

• Page 33, Line 22(7.5)(a) as a material medium for allocated geothermal resources that

• Page 33, Line 23have been determined to be nontributary pursuant to section 37-90.5-107 (1)(b); and

• Page 34, Line 1(B)  Shall make a finding based upon available data that

• Page 34, Line 2the proposed operation will not materially injure a prior geothermal operation; and

• Page 34, Line 3(C)  Shall require each applicant for a permit concerning

• Page 34, Line 4deep geothermal operations to provide notice of the application

• Page 34, Line 5to the designated individuals of prior geothermal operations

• Page 34, Line 6registered pursuant to subsection (7) of this section and located

• Page 34, Line 7within one-fourth of a mile of the proposed deep geothermal operations.

• Page 34, Line 8(c)  As used in this section, unless the context otherwise

• Page 34, Line 9requires, "material injury to a prior geothermal operation"

• Page 34, Line 10includes injury to any aspect of the vested water rights of a

• Page 34, Line 11prior geothermal operation, which may include water quantity,

• Page 34, Line 12pressure, rate of flow, mineral content, or temperature.

• Page 34, Line 13Regardless of whether water quantity, pressure, rate of flow,

• Page 34, Line 14mineral content, or temperature are decreed, "material injury

• Page 34, Line 15to a prior geothermal operation" also includes diminution or

• Page 34, Line 16alteration of any such parameter that results in an adverse effect to a prior geothermal operation.

• Page 34, Line 17(2) (c)  The commission may enforce rules adopted pursuant to this subsection (2) in accordance with section 34-60-121.

• Page 34, Line 18(3)  Where the maintenance of underground pressures, the

• Page 34, Line 19prevention of subsidence, or the disposal of brines is necessary,

• Page 34, Line 20reinjection of geothermal fluid or water may be required by the state engineer or the commission.

• Page 34, Line 21(6) (a)  On and after July 1, 2023, Except as set forth in subsection

• Page 35, Line 1(6)(b)(II) of this section, the commission is responsible for administering

• Page 35, Line 2and enforcing any permits issued by the state engineer pursuant to this section that cover deep geothermal operations.

• Page 35, Line 3(b)  The powers, duties, functions, and obligations concerning

• Page 35, Line 4permits issued by the state engineer pursuant to this section that cover

• Page 35, Line 5deep geothermal operations are transferred, effective July 1, 2023, to the

• Page 35, Line 6commission. The state engineer retains or the board of examiners of

• Page 35, Line 7water well and ground heat exchanger contractors may

• Page 35, Line 8exercise any powers, duties, functions, and obligations power, duty,

• Page 35, Line 9function, or obligation necessary to issue, administer, and enforce any permits or licenses that cover:

• Page 35, Line 10(I)  Shallow geothermal operations; and

• Page 35, Line 11(II)  The use of geothermal fluid in deep geothermal operations

• Page 35, Line 12pursuant to section 37-90.5-107, except for nonconsumptive deep geothermal operations subject to section 37-90-137 (7.5)(a).

• Page 35, Line 13(c)  The rules of the state engineer pertaining to the powers, duties,

• Page 35, Line 14functions, and obligations transferred to the commission pursuant to

• Page 35, Line 15subsection (6)(b) of this section continue in effect and apply to the

• Page 35, Line 16commission until the rules are replaced by rules adopted by the commission pursuant to subsection (1)(b)(I) of this section.

• Page 35, Line 17(d)  The commission and the state engineer shall enter into

• Page 35, Line 18memoranda of understanding, interagency agreements, or both, as

• Page 35, Line 19appropriate, to provide for the timely transfer of the powers, duties,

• Page 35, Line 20functions, and obligations transferred to the commission pursuant to subsection (6)(b) of this section.

• Page 35, Line 21(7) (a)  An owner or operator of a prior geothermal

• Page 35, Line 22operation, or a government entity with an interest in the public's

• Page 36, Line 1enjoyment of a noncommercial geothermal hot spring, shall register with the state engineer:

• Page 36, Line 2(I)  The location of the prior geothermal operation; and

• Page 36, Line 3(II)  Designated individuals to receive electronic mail

• Page 36, Line 4notifications from the state engineer and the commission as

• Page 36, Line 5described in section 37-90-137 (2) and subsection (1)(b)(III)(C) of this section.

• Page 36, Line 6(b)  The state engineer shall add the designated

• Page 36, Line 7individuals to the tributary geothermal notification list

• Page 36, Line 8described in subsection (1)(a)(IV) of this section for the water division in which the prior geothermal operation is located.

• Page 36, Line 9SECTION 15.  In Colorado Revised Statutes, 37-90.5-107, amend (1)(a) and (4); and repeal (3)(b) and (3)(d) as follows:

• Page 36, Line 1037-90.5-107.  Permits for the use of geothermal resources -

• Page 36, Line 11rules. (1) (a)  After receipt of the necessary application, the state engineer

• Page 36, Line 12shall issue a use permit to use distributed geothermal resources consistent

• Page 36, Line 13with the requirements described in section 37-90-137 section 37-90-107, 37-90-108, 37-90-109, 37-90-137, or 37-90.5-106.

• Page 36, Line 14(3) (b)  The requirement to issue a use permit pursuant to

• Page 36, Line 15subsection (1)(b) of this section does not apply to operations that are

• Page 36, Line 16solely nonconsumptive geothermal operations using allocated geothermal resources.

• Page 36, Line 17(d)  The use permit issued pursuant to subsection (1) of this section

• Page 36, Line 18may allow for nonconsumptive secondary uses of geothermal fluid,

• Page 36, Line 19including the recovery of geothermal by-products, and may allow for

• Page 36, Line 20consumptive secondary uses of geothermal fluid, including sale, which do

• Page 36, Line 21not impair valid, prior water rights.

• Page 37, Line 1(4)  Notwithstanding any provision of this section to the contrary,

• Page 37, Line 2section 37-90-137 (4) applies to any consumptive beneficial use of

• Page 37, Line 3allocated geothermal resources, except for those operations described in section 37-90-137 (7.5)(a).

• Page 37, Line 4SECTION 16.  In Colorado Revised Statutes, 37-90.5-111, amend (1)(b) as follows:

• Page 37, Line 537-90.5-111.  Coordination between the commission and the

• Page 37, Line 6state engineer. (1)  When an operations permit is issued by the

• Page 37, Line 7commission pursuant to section 37-90.5-106 (1)(b)(II) and a use permit

• Page 37, Line 8is issued by the state engineer pursuant to section 37-90.5-107 (1), the commission and the state engineer shall coordinate to:

• Page 37, Line 9(b)  Determine whether an accounting for the use and reinjection

• Page 37, Line 10of geothermal fluid or water pursuant to the applicable permit may be

• Page 37, Line 11submitted to only the commission, or only to the state engineer, or to both.

• Page 37, Line 12SECTION 17.  In Colorado Revised Statutes, amend 37-91-101 as follows:

• Page 37, Line 1337-91-101.  Legislative declaration. (1)  The general assembly hereby finds, determines, and declares that:

• Page 37, Line 14(a)  It has been established by Scientific evidence has

• Page 37, Line 15established that improperly constructed wells, improperly abandoned

• Page 37, Line 16wells, improperly constructed or abandoned ground heat

• Page 37, Line 17exchangers, and improperly installed pumping equipment can adversely

• Page 37, Line 18affect groundwater resources and the public health, safety, and welfare; and

• Page 37, Line 19(b)  Therefore, the proper location, construction, repair, and

• Page 37, Line 20abandonment of wells; the proper location, construction, repair,

• Page 38, Line 1and abandonment of ground heat exchangers; the proper

• Page 38, Line 2installation and repair of pumping equipment; the licensing and regulation

• Page 38, Line 3of persons engaging in the business of contracting either for the

• Page 38, Line 4construction of wells, the construction of ground heat

• Page 38, Line 5exchangers, or for the installation of pumping equipment; and the

• Page 38, Line 6periodic inspection of well construction, ground heat exchanger

• Page 38, Line 7construction, and pump installation are essential for the protection of

• Page 38, Line 8the public health, safety, and welfare and the preservation of groundwater resources.

• Page 38, Line 9SECTION 18.  In Colorado Revised Statutes, 37-91-102, amend

• Page 38, Line 10(3), (10), (10.5), (14), (15), (15.5), (16)(b)(I)(B), (16)(b)(I)(C),

• Page 38, Line 11(16)(b)(II), and (17); and add (4.1), (6.5), (6.7), (7.5), and (16)(b)(I)(D) as follows:

• Page 38, Line 1237-91-102.  Definitions. As used in this article 91, unless the context otherwise requires:

• Page 38, Line 13(3)  "Board" means the state board of examiners of water well

• Page 38, Line 14construction and pump installation and ground heat exchanger contractors created by in section 37-91-103.

• Page 38, Line 15(4.1) (a)  "Construction or installation of a ground heat

• Page 38, Line 16exchanger" means any act undertaken at a ground heat

• Page 38, Line 17exchanger site for the establishment or modification of a ground heat exchanger.

• Page 38, Line 18(b)  "Construction or installation of a ground heat

• Page 38, Line 19exchanger" includes the locating of a ground heat exchanger

• Page 38, Line 20and the excavating or fracturing necessary to install a ground heat exchanger.

• Page 38, Line 21(c)  "Construction or installation of a ground heat

• Page 39, Line 1exchanger" does not include surveying, site preparation, site modification, or other preparatory acts.

• Page 39, Line 2(6.5)  "Ground heat exchanger" means a continuous,

• Page 39, Line 3sealed, subsurface heat exchanger consisting of a closed loop

• Page 39, Line 4through which a heat-transfer fluid passes to and returns from

• Page 39, Line 5a heat pump or manifold. A ground heat exchanger may be

• Page 39, Line 6vertically or horizontally configured or submerged in surface water.

• Page 39, Line 7(6.7)  "Ground heat exchanger contractor" means an

• Page 39, Line 8individual licensed pursuant to this article 91 who is responsible

• Page 39, Line 9for the drilling, construction, grouting, repair, testing, or

• Page 39, Line 10abandonment of a ground heat exchanger, either by contract or for hire, for any consideration whatsoever.

• Page 39, Line 11(7.5)  "Heat-transfer fluid" means a fluid heat-transfer

• Page 39, Line 12medium to convey thermal energy to and from the thermal source or sink.

• Page 39, Line 13(10)  "License" means the document issued by the board to a

• Page 39, Line 14qualified persons making application therefor, applicant pursuant to

• Page 39, Line 15section 37-91-105, authorizing such persons which document

• Page 39, Line 16authorizes the applicant to engage in one or more methods of well

• Page 39, Line 17construction, ground heat exchanger construction, or pump installation or any combination of such methods.

• Page 39, Line 18(10.5)  "Monitoring and observation well" includes any excavation

• Page 39, Line 19that is drilled, cored, bored, washed, fractured, driven, dug, jetted, or

• Page 39, Line 20otherwise constructed when the intended use of such the excavation is

• Page 39, Line 21for locating such a well, pumping equipment or aquifer testing,

• Page 39, Line 22monitoring groundwater, groundwater remediation, or collection of water quality samples.

• Page 40, Line 1(14)  "Pump installation contractor" means any person an

• Page 40, Line 2individual licensed to install, remove, modify, or repair pumping equipment for compensation.

• Page 40, Line 3(15)  "Repair" means:

• Page 40, Line 4(a)  Any change, replacement, or other alteration of any well or

• Page 40, Line 5pumping equipment which that requires a breaking or opening of the

• Page 40, Line 6well seal or any waterlines up to and including the pressure tank and any coupling appurtenant thereto to the pressure tank; or

• Page 40, Line 7(b)  Any change, replacement, or other alteration of a

• Page 40, Line 8ground heat exchanger that requires excavation of any portion

• Page 40, Line 9of the ground heat exchanger to repair or replace components

• Page 40, Line 10of surface casing, piping or grout within the borefield, or piping between the borefield and the manifold.

• Page 40, Line 11(15.5)  "Supervision" means personal and continuous on-the-site

• Page 40, Line 12on-site direction by a licensed well construction contractor, licensed

• Page 40, Line 13ground heat exchanger contractor, or licensed pump installation

• Page 40, Line 14contractor, unless the licensed contractor has applied for and received

• Page 40, Line 15from the board an exemption from continuous on-the-site on-site direction for a specific task.

• Page 40, Line 16(16) (b) (I)  "Well" does not include:

• Page 40, Line 17(B)  An excavation made for the purpose of obtaining or

• Page 40, Line 18prospecting for minerals or those wells subject to the jurisdiction of the

• Page 40, Line 19energy and carbon management commission, as provided in article 60 of title 34 or in article 90.5 of this title 37;

• Page 40, Line 20(C)  Wells A well subject to the jurisdiction of the office of mined

• Page 40, Line 21land reclamation division of reclamation, mining, and safety, as provided in article 33 articles 32 to 34 of title 34; or

• Page 41, Line 1(D)  Recharge basins or infiltration basins that are

• Page 41, Line 2constructed in such a manner that the intent of their design is to remain above the groundwater level.

• Page 41, Line 3(II)  "Well" does not include a naturally flowing spring or springs

• Page 41, Line 4where the natural spring discharge is captured or concentrated by

• Page 41, Line 5installation of a near-surface structure or device less then than ten feet

• Page 41, Line 6in depth located at or within fifty feet of the spring or springs' natural

• Page 41, Line 7discharge point and the water is conveyed directly by gravity flow or into

• Page 41, Line 8a separate sump or storage, if so long as the owner obtains a water right

• Page 41, Line 9for such the structure or device as a spring pursuant to article 92 of this title title 37.

• Page 41, Line 10(17)  "Well construction contractor" means any person an

• Page 41, Line 11individual licensed pursuant to this article article 91 and responsible

• Page 41, Line 12for the construction, test-pumping, or development of wells, either by contract or for hire, or for any consideration whatsoever.

• Page 41, Line 13SECTION 19.  In Colorado Revised Statutes, 37-91-103, amend (1) and (3) as follows:

• Page 41, Line 1437-91-103.  State board of examiners of water well and ground

• Page 41, Line 15heat exchanger contractors. (1) (a)  There is created, in the division of

• Page 41, Line 16water resources in the department of natural resources, a The state board

• Page 41, Line 17of examiners of water well construction and pump installation and

• Page 41, Line 18ground heat exchanger contractors consisting of five members and

• Page 41, Line 19comprised of is created in the division of water resources within

• Page 41, Line 20the department of natural resources. The board includes the following persons six individuals:

• Page 41, Line 21(I)  The state engineer or a representative designated by the state engineer engineer's designee;

• Page 42, Line 1(II)  A representative of the department of public health and environment designated by the executive director of the department; and

• Page 42, Line 2(III)  three Four members appointed by the governor, two of

• Page 42, Line 3whom must shall be well construction contractors or pump installation

• Page 42, Line 4contractors, each with a minimum of ten years' experience in the well

• Page 42, Line 5construction or pump installation business preceding the individual's

• Page 42, Line 6appointment, and one of whom must shall be an engineer or geologist

• Page 42, Line 7with a minimum of ten years' experience in water supply and well

• Page 42, Line 8construction preceding the individual's appointment, and one of whom

• Page 42, Line 9shall be an individual with a minimum of ten years' experience

• Page 42, Line 10relating to ground heat exchangers preceding the individual's appointment.

• Page 42, Line 11(b)  The state board of examiners of water well construction and

• Page 42, Line 12pump installation and ground heat exchanger contractors is a type 1 entity, as defined in section 24-1-105.

• Page 42, Line 13(3)  The board shall meet at least once every three months and at

• Page 42, Line 14such other times as it deems necessary or advisable. Special Board

• Page 42, Line 15meetings may be called at any time on order of the chairman chair or

• Page 42, Line 16vice-chairman vice-chair or any three four members of the board. The

• Page 42, Line 17board shall determine the time and place of all meetings, but at least one

• Page 42, Line 18meeting every three months shall be held in Denver. Three Four

• Page 42, Line 19members of the board shall constitute a quorum, and the affirmative vote

• Page 42, Line 20of three at least four members shall be is required to pass any action

• Page 42, Line 21or motion of the board. The board may adopt bylaws to govern its own procedure.

• Page 42, Line 22SECTION 20.  In Colorado Revised Statutes, 37-91-104, amend (1)(b), (1)(i), and (1)(l) as follows:

• Page 43, Line 137-91-104.  Duties of the board. (1)  The board shall:

• Page 43, Line 2(b)  Have general supervision and authority over the construction

• Page 43, Line 3and abandonment of wells, construction and abandonment of

• Page 43, Line 4ground heat exchangers, and the installation of pumping equipment, as provided by sections 37-91-109 and 37-91-110;

• Page 43, Line 5(i)  Disseminate information to pump installation contractors,

• Page 43, Line 6ground heat exchanger contractors, and well construction

• Page 43, Line 7contractors in order to protect and preserve the groundwater resources of the state;

• Page 43, Line 8(l) (I)  Assure protection of groundwater resources and the public

• Page 43, Line 9health by ordering the nondestructive investigation, abandonment, repair,

• Page 43, Line 10drilling, redrilling, casing, recasing, deepening, or excavation of a well or

• Page 43, Line 11ground heat exchanger where it the board finds such action to be

• Page 43, Line 12an order necessary to correct violations of this article article 91 or

• Page 43, Line 13rules promulgated adopted by the board with respect pursuant to this

• Page 43, Line 14article article 91 or to protect groundwater resources and the public health.

• Page 43, Line 15(II)  An existing wells well or ground heat exchanger that

• Page 43, Line 16were was constructed in compliance with the laws and regulations in

• Page 43, Line 17effect at the time of their its construction shall is not be required to be

• Page 43, Line 18repaired, redrilled, or otherwise modified to meet the current standards for

• Page 43, Line 19well construction or ground heat exchanger construction

• Page 43, Line 20contained in this article article 91 or the in rules adopted by the board

• Page 43, Line 21pursuant to this article 91. The board may order any such wells

• Page 43, Line 22well or ground heat exchanger that present presents an imminent

• Page 43, Line 23threat to public health or an imminent threat of groundwater

• Page 44, Line 1contamination may be ordered to be repaired or abandoned. The Any

• Page 44, Line 2remedial action required by the board for such wells shall a well or

• Page 44, Line 3ground heat exchanger must be the minimum repair necessary to

• Page 44, Line 4remove the threat to public health or of groundwater pollution. An order

• Page 44, Line 5to abandon a well that is issued under this article article 91 is not a

• Page 44, Line 6determination of intent to abandon any water right associated with the well.

• Page 44, Line 7SECTION 21.  In Colorado Revised Statutes, 37-91-105, amend (1), (2)(d), (2.5), (5), and (7); and add (8) as follows:

• Page 44, Line 837-91-105.  Licensing - registration of rigs. (1)  Every person,

• Page 44, Line 9Before engaging in the business of contracting either for the construction

• Page 44, Line 10of wells a well,the installation of a ground heat exchanger, or

• Page 44, Line 11for the installation of pumping equipment, an individual shall obtain a

• Page 44, Line 12license for one or more methods of well construction, ground heat

• Page 44, Line 13exchanger installation, or pump installation from the board and shall

• Page 44, Line 14secure a registration from the board for each well-drilling, ground heat

• Page 44, Line 15exchanger, or pump-installing rig to be operated or leased by him or his the individual or the individual's employee.

• Page 44, Line 16(2)  The board shall issue a license to each applicant who files an

• Page 44, Line 17application upon a form and in such manner as the board prescribes,

• Page 44, Line 18accompanied by such fees and bond as required by section 37-91-107, and who furnishes evidence satisfactory to the board that the applicant:

• Page 44, Line 19(d)  Has had not less than two years' experience in the type of well

• Page 44, Line 20construction work, ground heat exchanger work, or pump

• Page 44, Line 21installation work for which the applicant is initially applying for a license; however:

• Page 44, Line 22(I)  Once a person An individual who is licensed in one or more

• Page 45, Line 1methods of well construction the person is eligible without further

• Page 45, Line 2experience to take an examination to obtain a license for a different method of well construction;

• Page 45, Line 3(II)  Once a person An individual who is licensed for installing

• Page 45, Line 4one or more types of pumps the person is eligible without further

• Page 45, Line 5experience to take an examination to obtain a license for a different type of pump installation; and

• Page 45, Line 6(III)  An individual's education in an accredited program

• Page 45, Line 7approved by the board may substitute for well construction, ground

• Page 45, Line 8heat exchanger installation, or pump installation experience upon application to and acceptance by the board; and

• Page 45, Line 9(IV)  An individual's possession of a license for well

• Page 45, Line 10construction may substitute for ground heat exchanger

• Page 45, Line 11installation experience upon application to and acceptance by the board.

• Page 45, Line 12(2.5)  The board shall issue a special license for the use of special

• Page 45, Line 13equipment or limited procedures in well construction, ground heat

• Page 45, Line 14exchanger installation, or pump installation to each applicant who

• Page 45, Line 15files an application upon a form and in such manner as the board

• Page 45, Line 16prescribes, accompanied by such fees and bond as are required by section

• Page 45, Line 1737-91-107, and who furnishes evidence satisfactory to the board that he

• Page 45, Line 18the applicant meets the requirements established in subsection (2) of

• Page 45, Line 19this section; except that a special licensee shall is not be eligible to take

• Page 45, Line 20an examination to obtain a license for a different method of well

• Page 45, Line 21construction, ground heat exchanger installation, or pump

• Page 45, Line 22installation unless said the licensee has at least two years of experience

• Page 45, Line 23in the method of well construction, ground heat exchanger

• Page 46, Line 1installation, or pump installation for which the additional license is sought.

• Page 46, Line 2(5)  The examination shall must consist of an oral and written

• Page 46, Line 3examination and shall fairly test the applicant's knowledge and

• Page 46, Line 4application thereof in of the following subjects, respectively, depending on the license type:

• Page 46, Line 5(a)  For a well construction contractor license: Basics of

• Page 46, Line 6drilling methods, specific drilling methods, basics of pump installation

• Page 46, Line 7methods, specific pump installation methods, and basics of well

• Page 46, Line 8construction and his the applicant's knowledge and application of state

• Page 46, Line 9laws and local ordinances concerning the construction of wells or and rules adopted in connection with such laws and ordinances;

• Page 46, Line 10(b)  For a pump installation contractor license: Basics of

• Page 46, Line 11pump installation methods, specific pump installation methods

• Page 46, Line 12and associated pumping equipment, and the applicant's

• Page 46, Line 13knowledge and application of state laws and local ordinances

• Page 46, Line 14concerning the installation of pumping equipment or both, and rules

• Page 46, Line 15promulgated adopted in connection therewith with such laws and ordinances; and

• Page 46, Line 16(c)  For a ground heat exchanger contractor license:

• Page 46, Line 17Basics of ground heat exchanger installation, specific methods

• Page 46, Line 18related to ground heat exchanger installation, and the

• Page 46, Line 19applicant's knowledge and application of state laws and local

• Page 46, Line 20ordinances concerning the installation of ground heat

• Page 46, Line 21exchangers and rules adopted in connection with such laws and ordinances.

• Page 46, Line 22(7)  Each licensee shall complete eight hours of continuing

• Page 47, Line 1education training as approved by the board every year in order to maintain or renew a license.

• Page 47, Line 2(8) (a)  Until the governor appoints to the board a member

• Page 47, Line 3with ten or more years of ground heat exchanger experience,

• Page 47, Line 4and until the board adopts rules concerning the licensing of

• Page 47, Line 5ground heat exchanger contractors, an individual operating

• Page 47, Line 6pursuant to a permit issued from the state engineer may install

• Page 47, Line 7ground heat exchangers in accordance with rules adopted by the state engineer pursuant to section 37-90.5-106.

• Page 47, Line 8(b)  After the time frame described in subsection (8)(a) of

• Page 47, Line 9this section, an individual operating under a permit issued by the

• Page 47, Line 10state engineer who applies for a ground heat exchanger

• Page 47, Line 11contractor license is required to pass an oral examination

• Page 47, Line 12pursuant to subsection (2)(e) of this section but is not required to:

• Page 47, Line 13(I)  Demonstrate their experience pursuant to subsection (2)(d) of this section; or

• Page 47, Line 14(II)  Pass a written examination pursuant to subsection (2)(e) of this section.

• Page 47, Line 15SECTION 22.  In Colorado Revised Statutes, 37-91-106, amend (2) as follows:

• Page 47, Line 1637-91-106.  License - exemptions - rules. (2)  A license shall is

• Page 47, Line 17not be required of any person individual who performs labor or services

• Page 47, Line 18if he the individual is directly employed by, or under the supervision of,

• Page 47, Line 19a licensed well construction contractor, licensed ground heat exchanger contractor, or licensed pump installation contractor.

• Page 47, Line 20SECTION 23.  In Colorado Revised Statutes, 37-91-107, amend (2), (3), (4), (4.5), (5), and (6) as follows:

• Page 48, Line 137-91-107.  Fees and bonds - license renewal - continuing

• Page 48, Line 2education. (2) (a)  The board shall charge require an application fee to

• Page 48, Line 3be paid in the amount of twenty dollars. to The payment of the fee

• Page 48, Line 4must accompany each application from a resident of the state. of

• Page 48, Line 5Colorado and The board shall also require an applicant to pay a

• Page 48, Line 6further fee in the amount of fifty dollars upon the applicant's

• Page 48, Line 7successful completion of the examination and before issuance of the board issues a license.

• Page 48, Line 8(b)  In addition topaying a fee pursuant to subsection (2)(a)

• Page 48, Line 9of this section, each successful resident applicant shall file and

• Page 48, Line 10maintain with the board evidence of financial responsibility in the form

• Page 48, Line 11of a savings account, deposit, or certificate of deposit in the amount of ten

• Page 48, Line 12thousand dollars, meeting the requirements of section 11-35-101, C.R.S.,

• Page 48, Line 13or an irrevocable letter of credit for the amount of ten thousand dollars,

• Page 48, Line 14meeting the requirements of section 11-35-101.5, C.R.S., or shall file and

• Page 48, Line 15maintain with the board an approved compliance bond with a corporate

• Page 48, Line 16surety authorized to do business in the state, of Colorado, in the amount

• Page 48, Line 17of ten thousand dollars, for the use and benefit of any person or the state

• Page 48, Line 18of Colorado suffering loss or damage, conditioned that such the licensee

• Page 48, Line 19will comply with the laws of the state of Colorado in engaging in the

• Page 48, Line 20business for which he the licensee receives a license and the rules of the board promulgated adopted in the regulation of such business.

• Page 48, Line 21(3) (a)  The board shall charge an application fee in the amount

• Page 48, Line 22of fifty dollars, to the payment of which application fee must

• Page 48, Line 23accompany each application from a nonresident of the state. of Colorado

• Page 48, Line 24and The board shall also charge a further nonresident fee of four

• Page 49, Line 1hundred dollars, which a nonresident shall pay upon successful completion of the examination and before the issuance of a license.

• Page 49, Line 2(b)  In addition to paying any fees required by subsection

• Page 49, Line 3(3)(a) of this section, each successful nonresident applicant shall file

• Page 49, Line 4and maintain with the board evidence of financial responsibility in the

• Page 49, Line 5form of a savings account, deposit, or certificate of deposit in the amount

• Page 49, Line 6of twenty thousand dollars, meeting the requirements of section

• Page 49, Line 711-35-101, C.R.S., or shall file and maintain with the board an approved

• Page 49, Line 8compliance bond in the amount of twenty thousand dollars with a

• Page 49, Line 9corporate surety authorized to do business in the state of Colorado for the

• Page 49, Line 10use and benefit of any person or the state of Colorado suffering loss or

• Page 49, Line 11damage, conditioned that such the licensee will shall comply with the

• Page 49, Line 12laws of the state in engaging in the business for which he the licensee

• Page 49, Line 13receives a license and the rules of adopted by the board promulgated in compliance therewith with such laws.

• Page 49, Line 14(4) (a) (I)  Every Each licensed well construction contractor,

• Page 49, Line 15licensed ground heat exchanger contractor, and licensed pump installation contractor in this state shall:

• Page 49, Line 16(A)  Pay to the board during the month of January of each year,

• Page 49, Line 17beginning in the year immediately subsequent to his or her following the licensee's initial licensing, a renewal fee of fifty dollars; shall

• Page 49, Line 18(B)  Concurrently file and thereafter maintain a new bond or letter of credit if required pursuant to this section; and shall

• Page 49, Line 19(C)  Annually file a certificate of completion of continuing education as required pursuant to section 37-91-105 (7).

• Page 49, Line 20(II)  Upon a licensee's satisfaction of the requirements

• Page 49, Line 21described in subsection (4)(a)(I) of this section, the secretary shall

• Page 50, Line 1thereupon issue a renewal license for one year. The license of any well

• Page 50, Line 2construction contractor, ground heat exchanger contractor, or

• Page 50, Line 3pump installation contractor who fails to have his or her their license

• Page 50, Line 4renewed during the month of January in each year shall lapse. Any

• Page 50, Line 5lapses. A lapsed license may be renewed, without reexamination, within

• Page 50, Line 6a period of one year after such lapse it lapses upon payment of all fees

• Page 50, Line 7in arrears. Licensees A licensee may elect to renew their licenses

• Page 50, Line 8license and file and maintain a bond or letter of credit for a term of up

• Page 50, Line 9to three years, paying fifty dollars for each year the license will be in effect.

• Page 50, Line 10(b)  The board shall not set a license renewal fee

• Page 50, Line 11described in subsection (4)(a) of this section or a rig registration

• Page 50, Line 12fee described in subsection (5) of this section in an amount

• Page 50, Line 13greater than is necessary to further the purposes of this article

• Page 50, Line 1491. The amount must not cause the total amount of money

• Page 50, Line 15collected under this article 91 to exceed the direct and indirect costs of the board in administering this article 91.

• Page 50, Line 16(4.5)  A licensee shall maintain the amount of financial

• Page 50, Line 17responsibility required by subsections (2), (3), and (4) of this section for

• Page 50, Line 18the life duration of the license for which the financial responsibility is

• Page 50, Line 19required. The license of any well construction contractor, ground heat

• Page 50, Line 20exchanger contractor, or pump installation contractor who fails to

• Page 50, Line 21maintain such financial responsibility shall lapse lapses. A lapsed

• Page 50, Line 22license that has so lapsed may be reinstated upon the licensee's

• Page 50, Line 23submission of current evidence of the required financial responsibility to

• Page 50, Line 24the board and payment to the board of a one-hundred-dollar reinstatement

• Page 50, Line 25fee in the amount of one hundred dollars.

• Page 51, Line 1(5)  The board shall charge an annual registration fee of ten dollars

• Page 51, Line 2for each well drilling or rig, ground heat exchanger installation rig, and pump installation rig to be operated in the state. of Colorado.

• Page 51, Line 3(6)  The board shall no later than January 7, 2007, develop

• Page 51, Line 4maintain a continuing education program in conjunction with the

• Page 51, Line 5Colorado water well contractors association or any analogous or successor organization.

• Page 51, Line 6SECTION 24.  In Colorado Revised Statutes, 37-91-108, amend

• Page 51, Line 7(1) introductory portion, (1)(d), (1)(f), (1)(g), (1)(h), (3), (4), and (5) as follows:

• Page 51, Line 837-91-108.  Denial, revocation, or suspension of license. (1)  The

• Page 51, Line 9board, by an affirmative vote of three at least four of its five six

• Page 51, Line 10members, may withhold, deny, revoke, or suspend any license issued or

• Page 51, Line 11applied for in accordance with the provisions of this article this article 91, upon proof that the licensee or applicant:

• Page 51, Line 12(d)  Has Knowingly constructed a well, installed a ground

• Page 51, Line 13heat exchanger, or installed pumping equipment without a valid permit;

• Page 51, Line 14(f)  Has Used fraud or deception in collecting fees from persons

• Page 51, Line 15with whom he has the licensee contracted for well construction, ground heat exchanger installation, or pump installation;

• Page 51, Line 16(g)  Has Failed to submit a well completion report or a pump

• Page 51, Line 17installation report pursuant to the requirement therefor in report required by the rules and regulations of the board;

• Page 51, Line 18(h)  Has Authorized a person not directly employed or directly

• Page 51, Line 19supervised by the licensee to construct wells, install ground heat

• Page 51, Line 20exchangers, or install pumping equipment under the authority of the licensee's license; or

• Page 52, Line 1(3)  A hearing upon a complaint may be initiated only if the

• Page 52, Line 2complaint was filed with the board within two years of after the filing

• Page 52, Line 3of the completion report for the well, ground heat exchanger, or

• Page 52, Line 4pumping equipment, the construction or installation of which formed the

• Page 52, Line 5basis of the complaint. If no completion report was filed, a hearing upon

• Page 52, Line 6the complaint may be initiated only if the complaint was filed with the

• Page 52, Line 7board within two years of after the discovery of the violation or defect that constituted the grounds for the complaint.

• Page 52, Line 8(4)  The board may order the nondestructive investigation,

• Page 52, Line 9abandonment, repair, drilling, redrilling, casing, recasing, deepening, or

• Page 52, Line 10excavation of a well or ground heat exchanger to protect

• Page 52, Line 11groundwater resources and the public health if the board finds such the

• Page 52, Line 12action to be necessary to correct violations of article 90 of this title title

• Page 52, Line 1337, this article article 91, or the rules promulgated adopted by the board pursuant to this article article 91.

• Page 52, Line 14(5)  The board may assess fines of not less than at least fifty

• Page 52, Line 15dollars nor more than one thousand dollars for violations of article 90 of

• Page 52, Line 16this title title 37, this article article 91, or the rules promulgated

• Page 52, Line 17adopted by the board pursuant to this article article 91 for each such

• Page 52, Line 18violation. Such The fines shall be transmitted to the state treasurer, who

• Page 52, Line 19shall credit them credited to the well inspection cash fund created in section 37-80-111.5.

• Page 52, Line 20SECTION 25.  In Colorado Revised Statutes, 37-91-109, amend (1) as follows:

• Page 52, Line 2137-91-109.  Further scope of article - orders - penalties.

• Page 52, Line 22(1) (a)  In addition to the licensing of well construction contractors, and

• Page 53, Line 1pump installation contractors as required by this article, no A well or

• Page 53, Line 2ground heat exchanger shall not be located, constructed, repaired, or

• Page 53, Line 3abandoned and no pumping equipment shall not be installed or repaired

• Page 53, Line 4contrary to the provisions of this article this article 91 and applicable

• Page 53, Line 5rules of the board promulgated adopted to effectuate the purposes of this article article 91.

• Page 53, Line 6(b)  The board may by order require any a licensee, private driller,

• Page 53, Line 7or private pump installer to remedy any such noncompliant installation,

• Page 53, Line 8construction, or repair and may, pursuant to rules and after due notice and a hearing, impose penalties for such noncompliance.

• Page 53, Line 9(c)  The provisions of this article shall apply This article 91 applies to:

• Page 53, Line 10(I)  Any well or any pumping equipment that is not otherwise subject to regulation under the laws of this state; and to

• Page 53, Line 11(II)  Any distribution, observation, monitoring, or dewatering of

• Page 53, Line 12water therefrom; but this article shall from any such well or pumping

• Page 53, Line 13equipment; except that this article 91 does not apply to any

• Page 53, Line 14distribution of water beyond the point of discharge from the pressure tank

• Page 53, Line 15or to any distribution of water beyond the point of discharge from the

• Page 53, Line 16pumping equipment if no pressure tank or an overhead pressure tank is employed.

• Page 53, Line 17(d)  This article 91 applies to any ground heat exchanger

• Page 53, Line 18that is not otherwise subject to regulation under the laws of

• Page 53, Line 19this state; except that this article 91 does not apply to any

• Page 53, Line 20distribution of heat-transfer fluid beyond the point of

• Page 53, Line 21transition between the ground heat exchanger piping or ground

• Page 53, Line 22heat exchanger manifold and the distribution lines from the ground heat exchanger manifold.

• Page 54, Line 1SECTION 26.  In Colorado Revised Statutes, 37-91-110, amend (1) introductory portion, (2), and (3); and add (1)(c) as follows:

• Page 54, Line 237-91-110.  Basic principles and minimum standards. (1)  The

• Page 54, Line 3following basic principles, general in scope and fundamental in character,

• Page 54, Line 4shall govern the construction, repair, or abandonment of any a well; the

• Page 54, Line 5installation, repair, or abandonment of a ground heat exchanger; and the installation or repair of any pumping equipment:

• Page 54, Line 6(c)  A ground heat exchanger shall be:

• Page 54, Line 7(I)  Located in a manner that considers the physical

• Page 54, Line 8limitations of the land area and the proximity to other elements

• Page 54, Line 9that might affect the type and configuration of the ground heat exchanger; and

• Page 54, Line 10(II)  Installed or abandoned in a manner that maintains

• Page 54, Line 11natural protection against pollution of water-bearing formations and excludes known sources of contamination.

• Page 54, Line 12(2)  The board shall adopt and may, from time to time, amend rules

• Page 54, Line 13and regulations reasonably necessary to insure ensure the proper

• Page 54, Line 14construction or proper abandonment of wells, the proper installation

• Page 54, Line 15or proper abandonment of ground heat exchangers, and the

• Page 54, Line 16proper installation of pumping equipment. The board has the authority to

• Page 54, Line 17may require the filing of information and reports relating to the

• Page 54, Line 18construction or abandonment of wells, the installation or

• Page 54, Line 19abandonment of ground heat exchangers, and the installation of

• Page 54, Line 20pumping equipment whenever if it may deem deems such action to be necessary.

• Page 54, Line 21(3)  All wells and ground heat exchangers shall be

• Page 55, Line 1constructed or abandoned and all pumping equipment shall be installed

• Page 55, Line 2in compliance with this article article 91 and with the rules and regulations promulgated adopted by the board.

• Page 55, Line 3SECTION 27.  In Colorado Revised Statutes, 37-91-111, amend (1) and (3) as follows:

• Page 55, Line 437-91-111.  Violations and penalties. (1)  It is unlawful:

• Page 55, Line 5(a)  For any person an individual to represent himself themself

• Page 55, Line 6as a well construction contractor, ground heat exchanger

• Page 55, Line 7contractor, or a pump installation contractor who if the individual

• Page 55, Line 8is not licensed under this article article 91 or to so represent himself

• Page 55, Line 9after his the individual's license has been suspended or revoked or has lapsed;

• Page 55, Line 10(b)  For any person an individual who is not licensed under this

• Page 55, Line 11article article 91 to advertise or issue any sign, card, or other device

• Page 55, Line 12which would indicate that he that indicates the individual is a well

• Page 55, Line 13construction contractor, ground heat exchanger contractor, or a pump installation contractor;

• Page 55, Line 14(c)  For any person an individual who is not licensed or whose

• Page 55, Line 15license is suspended to construct wells unless he the individual is a

• Page 55, Line 16private driller or directly employed by or under the supervision of a licensed well construction contractor;

• Page 55, Line 17(d)  For any person an individual who is not licensed or whose

• Page 55, Line 18license is suspended to install pumping equipment unless he the

• Page 55, Line 19individual is a private pump installer or directly employed by or under

• Page 55, Line 20the supervision of a licensed pump installation contractor, except as excluded pursuant to described in section 37-91-106 (4); or

• Page 55, Line 21(d.5)  For an individual who is not licensed or whose

• Page 56, Line 1license is suspended to install a ground heat exchanger unless

• Page 56, Line 2the individual is directly employed by or under the supervision

• Page 56, Line 3of a licensed ground heat exchanger contractor, except as described in section 37-91-105 (8); or

• Page 56, Line 4(e)  For any person an individual to otherwise violate any of the provisions of this article this article 91.

• Page 56, Line 5(3)  Any In addition to any penalty assessed pursuant to

• Page 56, Line 6subsection (2) of this section, a person who violates any provision of

• Page 56, Line 7subsection (1) of this section shall also be is subject to a civil penalty

• Page 56, Line 8assessed by the court of not less than one hundred dollars nor more than

• Page 56, Line 9five thousand dollars for each such violation. All civil penalties collected

• Page 56, Line 10under this subsection (3) shall be transmitted to the state treasurer, who

• Page 56, Line 11shall credit the same credited to the well inspection cash fund created in section 37-80-111.5.

• Page 56, Line 12SECTION 28.  In Colorado Revised Statutes, 37-91-113, amend

• Page 56, Line 13(1), (2) introductory portion, (2)(a), (3) introductory portion, (3)(a), (3)(e), and (3)(f) as follows:

• Page 56, Line 1437-91-113.  Well inspection program. (1)  The state engineer

• Page 56, Line 15shall monitor compliance with this article article 91, including by

• Page 56, Line 16inspecting water well construction, ground heat exchanger

• Page 56, Line 17installation, and pump installation, and the state engineer may

• Page 56, Line 18employ inspectors for such this purpose. The costs of such monitoring

• Page 56, Line 19and inspection shall be paid from the well inspection cash fund created by in section 37-80-111.5.

• Page 56, Line 20(2)  Inspectors shall have the following qualifications, but need not be licensed pursuant to this article article 91:

• Page 56, Line 21(a)  Knowledge of proper well construction, ground heat

• Page 57, Line 1exchanger installation, and pump installation techniques and practices;

• Page 57, Line 2(3)  Inspectors shall annually spend a majority of their time

• Page 57, Line 3conducting field inspections and a minority of their time preparing and

• Page 57, Line 4evaluating reports and related office work. Duties shall include the following:

• Page 57, Line 5(a)  Well construction, ground heat exchanger installation, and pump installation inspection and observation;

• Page 57, Line 6(e)  Field inspections of existing wells, ground heat exchangers, and pumps;

• Page 57, Line 7(f)  Field inspections of well, ground heat exchanger, and hole plugging and abandonment; and

• Page 57, Line 8SECTION 29.  In Colorado Revised Statutes, 24-1-124, amend (4)(d) as follows:

• Page 57, Line 924-1-124.  Department of natural resources - creation - divisions. (4)  The division of water resources includes the following:

• Page 57, Line 10(d)  The state board of examiners of water well construction and

• Page 57, Line 11pump installation and ground heat exchanger contractors created in

• Page 57, Line 12article 91 of title 37 section 37-91-103. The state board of examiners of

• Page 57, Line 13water well construction and pump installation and ground heat

• Page 57, Line 14exchanger contractors is a type 1 entity, as defined in section 24-1-105,

• Page 57, Line 15and exercises its powers and performs its duties and functions under the

• Page 57, Line 16department of natural resources and is allocated to the division of water resources as a section thereof of the division of water resources.

• Page 57, Line 17SECTION 30.  In Colorado Revised Statutes, 24-33-104, amend (1)(e) introductory portion and (1)(e)(IV) as follows:

• Page 57, Line 1824-33-104.  Composition of the department. (1)  The department

• Page 58, Line 1of natural resources consists of the following commissions, divisions, boards, offices, and councils:

• Page 58, Line 2(e)  The division of water resources, the head of which shall be is

• Page 58, Line 3the state engineer. The division shall consist consists of the following sections:

• Page 58, Line 4(IV)  The state board of examiners of water well construction and pump installation and ground heat exchanger contractors.

• Page 58, Line 5SECTION 31.  Act subject to petition - effective date. This act

• Page 58, Line 6takes effect at 12:01 a.m. on the day following the expiration of the

• Page 58, Line 7ninety-day period after final adjournment of the general assembly; except

• Page 58, Line 8that, if a referendum petition is filed pursuant to section 1 (3) of article V

• Page 58, Line 9of the state constitution against this act or an item, section, or part of this

• Page 58, Line 10act within such period, then the act, item, section, or part will not take

• Page 58, Line 11effect unless approved by the people at the general election to be held in

• Page 58, Line 12November 2026 and, in such case, will take effect on the date of the official declaration of the vote thereon by the governor.