A Bill for an Act
Page 1, Line 101Concerning the continuation of the "Commodity Handler
Page 1, Line 102and Farm Products Act", and, in connection therewith,
Page 1, Line 103implementing the recommendations contained in the
Page 1, Line 1042024 sunset report by the department of regulatory
Page 1, Line 105agencies.
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/.)
Sunset Process - Senate Agriculture and Natural Resources Committee. The bill continues the department of agriculture's (department) oversight of the "Commodity Handler and Farm Products Act" (act) for 7 years until 2032.
The bill also increases the "small-volume dealer" limit (limit) from $20,000 to $45,000. The limit is a limit on the amount of farm products or commodities that a person may buy, in aggregate, per year. The bill permits the commissioner of agriculture to periodically adjust the limit.
The bill explicitly excludes marijuana from the definition of "commodity" under the act.
Under current law, civil penalties collected by the department for violations of the act are deposited into the inspection and consumer services cash fund (fund). The bill requires those civil penalties to be transferred to the general fund rather than the department's fund.
Page 2, Line 1Be it enacted by the General Assembly of the State of Colorado:
Page 2, Line 2SECTION 1. In Colorado Revised Statutes, 24-34-104, repeal (26)(a)(XI); and add (33)(a)(X) as follows:
Page 2, Line 324-34-104. General assembly review of regulatory agencies
Page 2, Line 4and functions for repeal, continuation, or reestablishment - legislative
Page 2, Line 5declaration - repeal. (26) (a) The following agencies, functions, or both, are scheduled for repeal on September 1, 2025:
Page 2, Line 6(XI)
The licensing and regulation of persons by the department of agriculture in accordance with article 36 of title 35;Page 2, Line 7(33) (a) The following agencies, functions, or both, are scheduled for repeal on September 1, 2032:
Page 2, Line 8(X) The licensing and regulation of persons by the
Page 2, Line 9department of agriculture in accordance with article 36 of title 35.
Page 2, Line 10SECTION 2. In Colorado Revised Statutes, amend 35-36-109 as follows:
Page 2, Line 1135-36-109. Repeal of article - subject to review. This article 36
Page 2, Line 12is repealed, effective September 1,
2025 2032. Before the repeal,thePage 2, Line 13
licensing functions of the commissioner are this article 36 is scheduled for review in accordance with section 24-34-104.Page 3, Line 1SECTION 3. In Colorado Revised Statutes, 35-36-102, amend (34) introductory portion and (34)(c) as follows:
Page 3, Line 235-36-102. Definitions. As used in this article 36, unless the context otherwise requires:
Page 3, Line 3(34) "Small-volume dealer" means a person
who that:Page 3, Line 4(c) Subject to adjustment made by the commissioner by
Page 3, Line 5rule, as authorized under section 35-36-103 (1)(c), buys less than
Page 3, Line 6
twenty forty-five thousand dollars' worth of farm products orPage 3, Line 7commodities, in aggregate, per year from the owners for processing or resale; and
Page 3, Line 8SECTION 4. In Colorado Revised Statutes, 35-36-103, add (1)(c) as follows:
Page 3, Line 935-36-103. Commissioner - rules - delegation of powers and
Page 3, Line 10duties. (1) (c) The commissioner may by rule periodically adjust
Page 3, Line 11the purchase limit for qualification as a small-volume dealer as set forth in section 35-36-102 (34)(c).
Page 3, Line 12SECTION 5. In Colorado Revised Statutes, 35-36-313, amend (1)(m) as follows:
Page 3, Line 1335-36-313. Unlawful acts - definition. (1) It is unlawful and a violation of this part 3 for any person to:
Page 3, Line 14(m) If licensed as a small-volume dealer, purchase
twentyPage 3, Line 15forty-five thousand dollars' worth or more of farm products in one year
Page 3, Line 16from the owner for processing or resale. Violation of this subsection
Page 3, Line 17(1)(m) is a class 2 misdemeanor. The commissioner may adjust the
Page 3, Line 18threshold amount provided in this subsection (1)(m) by rule
Page 3, Line 19pursuant to section 35-36-103 (1)(c).
Page 4, Line 1SECTION 6. In Colorado Revised Statutes, 35-36-102, amend (7) as follows:
Page 4, Line 235-36-102. Definitions. As used in this article 36, unless the context otherwise requires:
Page 4, Line 3(7) (a) "Commodity" means unprocessed small, hard seeds or
Page 4, Line 4fruits such as wheat, corn, oats, barley, rye, sunflower seeds, soybeans,
Page 4, Line 5beans, grain sorghum, industrial hemp, and such other seeds or fruits as the commissioner may determine.
Page 4, Line 6(b) "Commodity" does not include marijuana.
Page 4, Line 7SECTION 7. In Colorado Revised Statutes, 35-36-105, amend (5) as follows:
Page 4, Line 835-36-105. Civil penalties. (5) The commissioner shall transmit
Page 4, Line 9all money collected from civil penalties pursuant to this section to the
Page 4, Line 10state treasurer, who shall credit
it the money to theinspection andPage 4, Line 11
consumer services cash fund created in section 35-1-106.5 general fund.Page 4, Line 12SECTION 8. Act subject to petition - effective date. This act
Page 4, Line 13takes effect at 12:01 a.m. on the day following the expiration of the
Page 4, Line 14ninety-day period after final adjournment of the general assembly; except
Page 4, Line 15that, if a referendum petition is filed pursuant to section 1 (3) of article V
Page 4, Line 16of the state constitution against this act or an item, section, or part of this
Page 4, Line 17act within such period, then the act, item, section, or part will not take
Page 4, Line 18effect unless approved by the people at the general election to be held in
Page 4, Line 19November 2026 and, in such case, will take effect on the date of the official declaration of the vote thereon by the governor.