A Bill for an Act
Page 1, Line 101Concerning the process to allow a transmission developer
Page 1, Line 102to locate high voltage transmission lines within a
Page 1, Line 103state highway right-of-way.
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 allows a transmission developer to locate high voltage transmission lines within a state highway right-of-way, according to a process developed by rule by the department of transportation (department). The department may impose surcharges on a transmission developer for its co-location of high voltage lines in a state highway right-of-way, including a one-time surcharge to cover the costs of a permit for the use of the state highway right-of-way and an annual use surcharge. Upon the request of a transmission developer, the department is required to provide to the transmission developer the best available information on potential future state highway development projects that could impact the placement of a high voltage line within a state highway right-of-way. In assessing potential sites for the placement of high voltage lines, a transmission developer is required to consider development sites in the following order of priority: First, existing utility corridors; second, state highway rights-of-way; and last, new utility corridors.
The bill also requires the Colorado energy office and the Colorado electric transmission authority, through a public-private partnership and in collaboration with the department, the Colorado public utilities commission, and other state agencies, to study state highway corridors to identify potential corridors that may be suitable for high voltage transmission line development.
This Unofficial Version Includes Committee
Amendments Not Yet Adopted on Second Reading
Page 2, Line 1Be it enacted by the General Assembly of the State of Colorado:
Page 2, Line 2SECTION 1. Legislative declaration. (1) The general assembly finds and declares that:
Page 2, Line 3(a) Colorado will need to expand electric transmission to meet its
Page 2, Line 4clean energy and greenhouse gas reduction targets and reliability and affordability obligations;
Page 2, Line 5(b) It is the policy of the state that high voltage transmission lines
Page 2, Line 6may be constructed or maintained within the access control lines of
Page 2, Line 7highway, freeway, and interstate highway rights-of-way unless the
Page 2, Line 8executive director of the Colorado department of transportation,
Page 2, Line 9consulting with appropriate state agencies, disapproves of this co-location
Page 2, Line 10to protect public safety, communities, and wildlife habitat, crossings, and
Page 2, Line 11migratory corridors or to ensure the proper functioning of a state
Page 2, Line 12highway, freeway, or interstate highway. If the installation is on an
Page 2, Line 13interstate highway, the express approval of the federal highway
Page 2, Line 14administration is required and the project may be required to undergo the
Page 3, Line 1review process required by the federal "National Environmental Policy Act of 1969", 42 U.S.C. sec. 4321, et seq.
Page 3, Line 2(c) Co-locating transmission lines along highways can
Page 3, Line 3significantly reduce impacts on wildlife and habitat compared to building
Page 3, Line 4new lines through greenfield areas. The impacts on communities,
Page 3, Line 5including disproportionately impacted communities, must be evaluated
Page 3, Line 6and mitigated through the use of approaches like those outlined in the
Page 3, Line 7Colorado electric transmission authority's 2024 "Principles of Community
Page 3, Line 8Engagement" and the Colorado environmental justice action task force's 2022 "Final Report of Recommendations".
Page 3, Line 9SECTION 2. In Colorado Revised Statutes, add 43-1-228 as follows:
Page 3, Line 1043-1-228. High voltage lines in state highway right-of-way -
Page 3, Line 11development projects and priorities - surcharge - study - rules -
Page 3, Line 12definitions. (1) Definitions.As used in this section, unless the context otherwise requires:
Page 3, Line 13(a) "High voltage line" means any line for the
Page 3, Line 14transmission of electric current with a nominal voltage in
Page 3, Line 15excess ofone hundred fifteenkilovolts that is co-located
Page 3, Line 16longitudinally in a state highway right-of-way, and all
Page 3, Line 17supporting structures and accessories necessary for such line.
Page 3, Line 18"High voltage line" does not include any line for the
Page 3, Line 19transmission of electric current that crosses a state highway right-of-way.
Page 3, Line 20(b) "Rule" has the same meaning as set forth in section 24-4-102 (15).
Page 3, Line 21(c) "State highway" means any highway owned,
Page 4, Line 1controlled, or maintained by the state, including federal-aid
Page 4, Line 2primary or secondary systems or the interstate system. "State
Page 4, Line 3highway" does not include a public highway operated by a public
Page 4, Line 4highway authority in accordance with the "Public Highway Authority Law", part 5 of article 4 of this title 43.
Page 4, Line 5(d) "Transmission developer" means:
Page 4, Line 6(I) A transmission utility, as defined in section 40-5-108 (1)(b);
Page 4, Line 7(II) The Colorado electric transmission authority created in section 40-42-103;
Page 4, Line 8(III) A generation and transmission cooperative or association;
Page 4, Line 9(IV) An independent transmission developer, which is an
Page 4, Line 10entity not owned by a public or investor-owned utility and which develops transmission lines and infrastructure; and
Page 4, Line 11(V) Any of the following entities that have voted to
Page 4, Line 12exempt themselves from the "Public Utilities Law", articles 1 to 7 of title 40, pursuant to section 40-9.5-103:
Page 4, Line 13(A) A municipally owned utility;
Page 4, Line 14(B) A power authority established pursuant to section 29-1-204 (1); or
Page 4, Line 15(C) A cooperative electric association, as defined in section 40-9.5-102 (1).
Page 4, Line 16(2) State highway high voltage line co-location projects.
Page 4, Line 17(a) (I) Upon the request of a transmission developer, the
Page 4, Line 18department shall provide to the transmission developer the best
Page 4, Line 19available information on potential future state highway
Page 5, Line 1development projects, as included in the statewide
Page 5, Line 2transportation plan, that could impact the placement of a high voltage line within a state highway right-of-way.
Page 5, Line 3(II) The department shall process such a request for
Page 5, Line 4information in the order that it was received, in accordance with the department's special use permitting process.
Page 5, Line 5(b) (I) If the department and a transmission developer
Page 5, Line 6agree that an identified site may be suitable for development or
Page 5, Line 7construction of a high voltage line within a state highway
Page 5, Line 8right-of-way, the department shall develop a preconstruction
Page 5, Line 9plan review schedule that includes all applicable sections of
Page 5, Line 10the state highway utility accommodation code, 2 CCR 601-18, or any successor code.
Page 5, Line 11(II) Upon approval of the preconstruction requirements
Page 5, Line 12outlined in a preconstruction plan, the transmission developer
Page 5, Line 13shall provide a constructability, access, and maintenance
Page 5, Line 14report to be utilized when transmission line co-location projects in a state highway right-of-way are being planned and approved.
Page 5, Line 15(III) The constructability, access, and maintenance report
Page 5, Line 16must include mitigation strategies for potential impacts of the
Page 5, Line 17proposed high voltage line, as identified by the department in
Page 5, Line 18consultation with the Colorado energy office created in
Page 5, Line 19section 24-38.5-101 and other consulting agencies in the
Page 5, Line 20discretion of the department. Potential impacts include impacts to:
Page 5, Line 21(A) Habitat, wildlife, and wildlife crossings;
Page 5, Line 22(B) Communities; and
Page 6, Line 1(C) Disproportionately impacted communities, as defined in section 24-4-109 (2)(b)(II).
Page 6, Line 2(IV) (A) A mitigation strategy for an impact to a
Page 6, Line 3disproportionately impacted community, as outlined in a
Page 6, Line 4constructability, access, and maintenance report, must include
Page 6, Line 5community engagement that follows best practices for
Page 6, Line 6community engagement. The department shall review whether
Page 6, Line 7a transmission developer has followed best practices for
Page 6, Line 8community engagement. In its review, the department shall
Page 6, Line 9consider the recommendations outlined in the Colorado
Page 6, Line 10environmental justice action task force's 2022 final report of the task force, as defined in section 25-1-133 (1)(f).
Page 6, Line 11(B) Community engagement activities that are consistent
Page 6, Line 12with regulations or requirements of the public utilities
Page 6, Line 13commission satisfy the requirements of this subsection (2)(b)(IV) for community engagement.
Page 6, Line 14(V) A constructability, access, and maintenance report
Page 6, Line 15must be approved by the department before the department issues a permit for the use of a state highway right-of-way.
Page 6, Line 16(c) All work performed under a contract for the location
Page 6, Line 17of a high voltage line within a state highway right-of-way, as
Page 6, Line 18allowed pursuant to this section, that is an energy sector public
Page 6, Line 19works project, as defined in section 24-92-303 (5)(a), must comply
Page 6, Line 20with the requirements of section 24-92-115 (7) and part 2 of
Page 6, Line 21article 92 of title 24. Any contractor hired to perform such
Page 6, Line 22work shall comply with the standards described in section
Page 6, Line 2340-42-107.
Page 7, Line 1(d) Notwithstanding any provision of this section to the
Page 7, Line 2contrary, a transmission developer seeking to locate a high
Page 7, Line 3voltage line within a state highway right-of-way within the
Page 7, Line 4exterior boundaries of an Indian reservation shall first obtain written consent of the applicable tribal government.
Page 7, Line 5 (3) High voltage line or facility site priorities - reports.
Page 7, Line 6(a) Beginning on January 1, 2027, within thirty calendar days of
Page 7, Line 7filing for a local permit for the construction or development of
Page 7, Line 8high voltage lines or facilities necessary for high voltage
Page 7, Line 9transmission, a transmission developer shall make available on a public-facing project website or utility website a report that:
Page 7, Line 10(I) Describes the analysis undertaken for route selection;
Page 7, Line 11(II) Demonstrates that the transmission developer
Page 7, Line 12considered or is considering development sites in the following order of priority:
Page 7, Line 13(A) First, existing utility corridors, where adding new
Page 7, Line 14lines or making improvements to existing lines can achieve expanded electric capacity at the lowest possible cost;
Page 7, Line 15(B) Second, state highway rights-of-way; and
(C) Last, new utility corridors; and
Page 7, Line 16(III) Includes an evaluation of the economic impacts,
Page 7, Line 17engineering considerations, and reliability of the electric system.
Page 7, Line 18(b) A transmission developer shall update the report
Page 7, Line 19described in subsection (3)(a) of this section if the transmission
Page 7, Line 20developer materially changes the transmission route beyond
Page 7, Line 21minor route adjustments and shall make the updated report
Page 8, Line 1available on the same public-facing project website or utility website.
Page 8, Line 2(c) Nothing in this subsection (3) requires a transmission
Page 8, Line 3developer to select an existing utility corridor or a state
Page 8, Line 4highway right-of-way for development of high voltage lines or facilities.
Page 8, Line 5(d) The failure of a transmission developer to comply with this subsection (3) does not:
Page 8, Line 6(I) Create a cause of action for a civil suit seeking monetary damages or injunctive relief; and
Page 8, Line 7(II) Constitute a legal basis for a governmental entity to
Page 8, Line 8deny a permit or withhold other approval for a high voltage line.
Page 8, Line 9(4) Compensation to department for right-of-way access.
Page 8, Line 10(a) (I) A transmission developer shall compensate the
Page 8, Line 11department for its co-location of high voltage lines in a state
Page 8, Line 12highway right-of-way. A transmission developer may
Page 8, Line 13compensate the department through surcharges as provided in
Page 8, Line 14subsection (4)(b) of this section or through a public-private initiative as provided in subsection (4)(c) of this section.
Page 8, Line 15(II) The surcharges for a transmission developer's use of
Page 8, Line 16a state highway right-of-way is an alternative method to
Page 8, Line 17compensating the state through in-kind infrastructure
Page 8, Line 18exchange in a public-private initiative, as defined in section
Page 8, Line 1943-1-1201 (3). The entity requesting access to the right-of-way
Page 8, Line 20has the discretion to choose which process it will use to
Page 8, Line 21compensate the state for its use of the right-of-way.
Page 9, Line 1(III) A transmission developer may enter into a
Page 9, Line 2public-private initiative to compensate the department for
Page 9, Line 3access to the state highway right-of-way after rulemaking
Page 9, Line 4pursuant to subsection (6) of this section is complete. The option
Page 9, Line 5to compensate the department for access to the state highway
Page 9, Line 6right-of-way by paying surcharges is available beginning on July 1, 2027.
Page 9, Line 7(b) The department may impose surcharges on a
Page 9, Line 8transmission developer for its access to a state highway
Page 9, Line 9right-of-way, including a one-time surcharge to cover the costs
Page 9, Line 10of a permit for the use of the right-of-way and an annual use
Page 9, Line 11surcharge for the use of the right-of-way. The department shall
Page 9, Line 12establish the surcharges by rule pursuant to subsection(6)(b)(IV) of this section.
Page 9, Line 13(c) A transmission developer may compensate the
Page 9, Line 14department for its access to a state highway right-of-way
Page 9, Line 15through in-kind infrastructure exchange in a public-private initiative, as defined in section 43-1-1201 (3).
Page 9, Line 16(5) State highway corridor study - report. (a) Through a
Page 9, Line 17public-private partnership, where funding is provided by private
Page 9, Line 18partners, the Colorado electric transmission authority
Page 9, Line 19created in section 40-42-103, in collaboration with the
Page 9, Line 20department, the Colorado energy office created in section
Page 9, Line 2124-38.5-101, the Colorado public utilities commission created in
Page 9, Line 22section 40-2-101, and other state agencies, including the division
Page 9, Line 23of parks and wildlife in the department of natural resources
Page 9, Line 24created in section 33-9-104, shall study state highway corridors
Page 10, Line 1to identify potential corridors that may be suitable for high
Page 10, Line 2voltage transmission line development.The study must identify all private entities providing funding.
Page 10, Line 3(b) The Colorado electric transmission authority
Page 10, Line 4shall complete the study required by this subsection (5) no later
Page 10, Line 5than eighteen months after the date that funding is secured from private partners.
Page 10, Line 6(c) The Colorado electric transmission authority shall
Page 10, Line 7publish a report on the findings of the study required by this
Page 10, Line 8subsection (5) on its website and shall share the report with the
Page 10, Line 9department, the Colorado energy office, the Colorado public
Page 10, Line 10utilities commission, the division of parks and wildlife in the
Page 10, Line 11department of natural resources created in section 33-9-104, and, as appropriate, other state agencies.
Page 10, Line 12(6) Rules. (a) The department shall update its rules
Page 10, Line 13concerning access to state highway rights-of-way to
Page 10, Line 14accommodate high voltage lines pursuant to the state highway
Page 10, Line 15utility accommodation code, 2 CCR 601-18, or any successor code.
Page 10, Line 16(b) The executive director shall adopt rules as necessary to implement this section. The rules must:
Page 10, Line 17(I) Clarify that longitudinal high voltage lines may be
Page 10, Line 18permitted in state highway rights-of-way if identified criteria are met;
Page 10, Line 19(II) Create a process through which a transmission
Page 10, Line 20developer must submit a request to the department for a permit
Page 10, Line 21for the use of a state highway right-of-way to construct a high voltage line;
Page 11, Line 1(III) Establish the process for the denial of a permit
Page 11, Line 2request submitted by a transmission developer for a high
Page 11, Line 3voltage line if the proposed project presents a risk to public
Page 11, Line 4safety or prevents the proper functioning of the state highway; and
Page 11, Line 5(IV) Set the surcharges for a transmission developer's
Page 11, Line 6access to a state highway right-of-way, as described in subsection (4) of this section, as follows:
Page 11, Line 7(A) Surcharges must be paid at a rate of six hundred dollars per mile;
Page 11, Line 8(B) Surcharges cover a twenty-year access term and may
Page 11, Line 9be paid as a lump sum one-time payment of twelve thousand
Page 11, Line 10dollars per mile or as an annual payment of six hundred dollars per mile for each year of the twenty-year access term;
Page 11, Line 11(C) Beginning on July 1, 2028, and on every July 1
Page 11, Line 12thereafter, the department may adjust the amount of the
Page 11, Line 13dollar-per-mile surcharge for inflation in accordance with the
Page 11, Line 14average annual percentage change in the United States
Page 11, Line 15department of transportation, federal highway administration,
Page 11, Line 16national highway construction cost index or its applicable
Page 11, Line 17predecessor or successor index for the five-year period ending
Page 11, Line 18on the last December 31 before a state fiscal year for which an inflation adjustment to the surcharge is made to begin;
Page 11, Line 19(D) The twenty-year access term covered by the surcharges may be renewed every twenty years; and
Page 11, Line 20(E) The department shall establish prorated surcharges
Page 12, Line 1for high voltage line transmission development projects with installations of less than three hundred feet.
Page 12, Line 2(c) The department shall update its rules as required by
Page 12, Line 3subsection (6)(a) of this section and adopt the rules required by subsection (6)(b) of this section no later than January 1, 2027.
Page 12, Line 4SECTION 3. In Colorado Revised Statutes, 12-10-602, amend (9)(b)(VI) as follows:
Page 12, Line 512-10-602. Definitions. As used in this part 6, unless the context otherwise requires:
Page 12, Line 6(9) (b) "Real estate appraiser" or "appraiser" does not include:
Page 12, Line 7(VI) A right-of-way acquisition agent, an appraiser who is
Page 12, Line 8licensed and certified pursuant to this part 6, or any other individual who
Page 12, Line 9has sufficient understanding of the local real estate market to be qualified
Page 12, Line 10to make a waiver valuation when the agent, appraiser, or other qualified
Page 12, Line 11individual is employed by or contracts with a public entity and provides
Page 12, Line 12an opinion of value that is not represented as an appraisal and when, for
Page 12, Line 13any purpose, the property or portion of property being valued is valued at
Page 12, Line 14
twenty-five thousand dollars or less, as not more than the specified amount permitted by federal law and 49 CFR 24.102 (c)(2), as amended;Page 12, Line 15SECTION 4. Act subject to petition - effective date. This act
Page 12, Line 16takes effect at 12:01 a.m. on the day following the expiration of the
Page 12, Line 17ninety-day period after final adjournment of the general assembly; except
Page 12, Line 18that, if a referendum petition is filed pursuant to section 1 (3) of article V
Page 12, Line 19of the state constitution against this act or an item, section, or part of this
Page 12, Line 20act within such period, then the act, item, section, or part will not take
Page 12, Line 21effect unless approved by the people at the general election to be held in
Page 13, Line 1November 2026 and, in such case, will take effect on the date of the official declaration of the vote thereon by the governor.