Read the full stored bill text
SENATE BILL 26-021
BY SENATOR(S) Mullica and Simpson, Hinrichsen, Exum, Benavidez,
Catlin, Daugherty, Jodeh, Kipp, Lindstedt, Marchman, Roberts, Snyder,
Wallace, Coleman;
also REPRESENTATIVE(S) Barron and Paschal, Stewart R., Lindsay,
Jackson, Bacon, Boesenecker, Duran, Lieder, McCormick, Nguyen,
Phillips, Smith, Story, McCluskie.
CONCERNING AUTHORIZING THE CLEAN FLEET ENTERPRISE TO ENCOURAGE
THE REPLACEMENT OF HIGH-EMITTING TRUCKS WITH LOW-EMITTING
TRUCKS IN MOTOR VEHICLE FLEETS.
Be it enacted by the General Assembly of the State of Colorado:
SECTION 1. In Colorado Revised Statutes, amend 25-7.5-102 as
follows:
25-7.5-102. Definitions.
As used in this article 7.5, unless the context otherwise requires:
(1) "A GING HEAVY-DUTY DIESEL TRUCK " MEANS A HEAVY -DUTY
DIESEL TRUCK WITH A MODEL YEAR NO LATER THAN 2009 THAT IS
NOTE: This bill has been prepared for the signatures of the appropriate legislative
officers and the Governor. To determine whether the Governor has signed the bill
or taken other action on it, please consult the legislative status sheet, the legislative
history, or the Session Laws.
________
Capital letters or bold & italic numbers indicate new material added to existing law; dashes
through words or numbers indicate deletions from existing law and such material is not part of
the act.
REGISTERED, OPERABLE , AND CAPABLE OF INDEPENDENT ROADWAY
OPERATION AT THE TIME OF APPLICATION.
(1) (2) "Battery electric motor vehicle" means a motor vehicle that
is powered exclusively by a rechargeable battery pack that can be recharged
by being plugged into an external source of electricity and that has no
secondary source of propulsion.
(2) (3) "Board" means the governing board of the enterprise.
(3) (4) "Car share ride" means a prearranged ride for which the rider
agrees, at the time the rider requests the ride through a digital network, to
be transported with another rider who has separately requested a
prearranged ride regardless of whether or not another rider is actually
transported with the rider.
(4) (5) "Commission" means the air quality control commission
created in section 25-7-104.
(5) (6) "Compressed natural gas motor vehicle" means a vehicle that
is powered by an engine fueled by compressed natural gas.
(7) "D ECOMMISSION" MEANS RENDERING INOPERABLE BOTH THE
ENGINE AND THE CHASSIS OF AN AGING HEAVY -DUTY DIESEL TRUCK BY
CUTTING A THREE -INCH HOLE THROUGH THE WALL OF THE ENGINE BLOCK
AND CUTTING THE CHASSIS RAILS IN HALF OR BY SIMILARLY EFFECTIVE
MEANS.
(6) (8) "Department" means the department of public health and
environment created in section 24-1-119 (1).
(7) (9) "Disproportionately impacted community" has the meaning
set forth in section 24-4-109 (2)(b)(II).
(8) (10) "Electric motor vehicle" means a battery electric motor
vehicle, a hydrogen fuel cell motor vehicle, or a plug-in hybrid electric
motor vehicle.
(9) (11) "Enterprise" means the clean fleet enterprise created in
section 25-7.5-103 (1)(a)(I).
PAGE 2-SENATE BILL 26-021
(10) (12) "Fund" means the clean fleet enterprise fund created in
section 25-7.5-103 (5).
(13) "HEAVY-DUTY DIESEL TRUCK" MEANS A HEAVY-DUTY MOTOR
VEHICLE THAT:
(a) I S POWERED BY A DIESEL -FUELED INTERNAL COMBUSTION
ENGINE;
(b) U SES COMPRESSION IGNITION TO START THE DIESEL -FUELED
INTERNAL COMBUSTION ENGINE;
(c) IS BASED IN THE STATE; AND
(d) I S PART OF A MOTOR VEHICLE FLEET WITH IN -STATE ANNUAL
MILES DRIVEN OF AT LEAST SEVENTY-FIVE PERCENT OF THE MOTOR VEHICLE
FLEET'S TOTAL ANNUAL MILES DRIVEN.
(11) (14) "Heavy-duty motor vehicle" means a motor vehicle that
has a gross vehicle weight rating, as defined in section 42-2-402 (6), of
greater than twenty-six thousand pounds.
(12) (15) "Hydrogen fuel cell motor vehicle" means a motor vehicle
that is powered by electricity produced from a fuel cell that uses hydrogen
gas as fuel.
(13) (16) "Inflation" means the average annual percentage change
in the United States department of labor, bureau of labor statistics,
consumer price index for Denver-Aurora-Lakewood for all items and all
urban consumers, or its applicable predecessor or successor index, for the
five years ending on the last December 31 before a state fiscal year for
which an inflation adjustment to be made to the clean fleet per ride fee
imposed by section 25-7.5-103 (7) or the clean fleet retail delivery fee
imposed by section 25-7.5-103 (8) begins.
(14) (17) "Medium-duty motor vehicle" means a motor vehicle that
has a gross vehicle weight rating, as defined in section 42-2-402 (6), of
more than ten thousand pounds and not more than twenty-six thousand
pounds.
PAGE 3-SENATE BILL 26-021
(15) (18) "Motor vehicle" has the meaning set forth in section
42-1-102 (58). The term does not include a personal delivery device.
(16) (19) "Motor vehicle fleet" means a group of motor vehicles that
is owned or operated:
(a) By a governmental entity for a public purpose including but not
limited to public school transportation or law enforcement; or
(b) By a business entity for a business if:
(I) The group of motor vehicles is composed primarily of
heavy-duty motor vehicles, medium-duty motor vehicles, or refrigerated
trailer units; or
(II) The group of motor vehicles is owned or operated by a company
that rents motor vehicles in the fleet to transportation network company
drivers for use in providing transportation network company services or is
owned and operated directly, or indirectly through independent contractors
who own or lease individual motor vehicles in the group, by a transportation
network company or by a retailer for the purpose of making retail deliveries.
(20) "N EW HEAVY -DUTY TRUCK " MEANS A HEAVY -DUTY MOTOR
VEHICLE THAT:
(a) IS A MODEL YEAR OF 2018 OR LATER;
(b) IS BASED IN THE STATE; AND
(c) I S PART OF A MOTOR VEHICLE FLEET WITH IN -STATE ANNUAL
MILES DRIVEN OF AT LEAST SEVENTY-FIVE PERCENT OF THE MOTOR VEHICLE
FLEET'S TOTAL ANNUAL MILES DRIVEN.
(17) (21) "Personal delivery device" means an autonomously
operated robot that is:
(a) Designed and manufactured for the purpose of transporting
tangible personal property primarily on sidewalks, crosswalks, and other
public rights-of-way that are typically used by pedestrians;
PAGE 4-SENATE BILL 26-021
(b) Weighs no more than five hundred fifty pounds, excluding any
tangible personal property being transported; and
(c) Operates at speeds of less than ten miles per hour when on
sidewalks, crosswalks, and other public rights-of-way that are typically used
by pedestrians.
(18) (22) "Plug-in hybrid electric motor vehicle" means a motor
vehicle that is powered by both a rechargeable battery pack that can be
recharged by being plugged into an external source of electricity and a
secondary source of propulsion such as an internal combustion engine.
(19) (23) "Prearranged ride" has the same meaning as set forth in
section 40-10.1-602 (2).
(20) (24) "Recovered methane" means any of the following if the air
pollution control division determines them to provide a net reduction in
greenhouse gas emissions:
(a) Biomethane;
(b) Methane derived from:
(I) Municipal solid waste;
(II) Biomass pyrolysis or enzymatic biomass; or
(III) Wastewater treatment; and
(c) Coal mine methane, as defined in section 40-2-124 (1)(a)(II).
(21) (25) "Retail delivery" has the same meaning as set forth in
section 43-4-218 (2)(e).
(22) (26) "Retailer" has the same meaning as set forth in section
39-26-102 (8).
(24) (27) "Rider" has the same meaning as set forth in section
40-10.1-602 (5).
PAGE 5-SENATE BILL 26-021
(25) (28) "Tangible personal property" has the same meaning as set
forth in section 39-26-102 (15).
(26) (29) "Transportation network company" has the same meaning
as set forth in section 40-10.1-602 (3).
(27) (30) "Transportation network company driver" has the same
meaning as set forth in section 40-10.1-602 (4).
(28) (31) "Transportation network company services" has the same
meaning as set forth in section 40-10.1-602 (6).
(29) (32) "Zero emissions motor vehicle" means a battery electric
motor vehicle or a hydrogen fuel cell motor vehicle.
SECTION 2. In Colorado Revised Statutes, 25-7.5-103, amend (3)
introductory portion, (6)(i), (9)(a), (9)(b)(I), (9)(b)(XI), and (11)(a)(IV); and
add (9)(b)(XIII) and (9)(b)(XIV) as follows:
25-7.5-103. Clean fleet enterprise - creation - board - powers
and duties - fees - fund - repeal.
(3) The business purpose of the enterprise is to incentivize and
support the use of electric motor vehicles, including motor vehicles that
originally were powered exclusively by internal combustion engines but
have been converted into electric motor vehicles, and, to the extent
temporarily necessitated by the limitations of current electric motor vehicle
technology for certain fleet uses, compressed natural gas motor vehicles that
are fueled by recovered methane, AND REFRIGERATED TRANSPORT UNITS
POWERED BY ZERO EMISSION TECHNOLOGY, by businesses and governmental
entities that own or operate fleets of motor vehicles, including fleets
composed of personal motor vehicles owned or leased by individual
contractors who provide prearranged rides for transportation network
companies or deliver goods for a third-party delivery service. To allow the
enterprise to accomplish this purpose and fully exercise its powers and
duties through the board, the enterprise may:
(6) In addition to any other powers and duties specified in this
section, the board has the following general powers and duties:
PAGE 6-SENATE BILL 26-021
(i) To have and exercise all rights and powers necessary or
incidental to or implied from the specific powers and duties granted by this
section WITHOUT REGARD TO THE "PROCUREMENT CODE", ARTICLES 101
THROUGH 112 OF TITLE 24.
(9) (a) In furtherance of its business purpose, and subject to the
requirements set forth in this subsection (9), the enterprise is authorized to
incentivize, support, and accelerate the adoption of electric motor vehicles
in motor vehicle fleets AND THE REPLACEMENT OF AGING HEAVY -DUTY
DIESEL TRUCKS WITH NEW HEAVY-DUTY TRUCKS.
(b) The enterprise may provide funding or financing through grant
programs, rebate programs, revolving loan funds, or such other strategies
as the board finds effective:
(I) To help public and private owners and operators of motor vehicle
fleets finance electric motor vehicle acquisitions to reduce the up-front costs
of acquiring electric motor vehicles through December 31, 2026, AND to
help public and private owners and operators of motor vehicle fleets finance
acquisitions of compressed natural gas motor vehicles that are trucks if at
least ninety percent of the fuel for the trucks will be recovered methane,
and, on and after January 1, 2027, for so long as the enterprise determines
that electric motor vehicles are not yet practically available or do not meet
the operational requirements such as cargo carrying capacity and driving
range for specific categories of trucks, to help public and private owners
and operators of motor vehicle fleets finance acquisitions of compressed
natural gas motor vehicles that are trucks if at least ninety percent of the
fuel for the trucks will be recovered methane;
(XI) To help transportation network companies provide incentives
for transportation network company drivers to provide prearranged rides in
electric motor vehicles; and
(XIII) TO HELP PUBLIC AND PRIVATE OWNERS AND OPERATORS OF
MOTOR VEHICLE FLEETS FINANCE THE REPLACEMENT OF AGING HEAVY-DUTY
DIESEL TRUCKS WITH NEW HEAVY-DUTY TRUCKS TO REDUCE THE UP-FRONT
COSTS OF ACQUIRING NEW HEAVY-DUTY TRUCKS THROUGH DECEMBER 31,
2031, SUBJECT TO THE FOLLOWING:
(A) T HE PURCHASER OF A NEW HEAVY -DUTY TRUCK MUST
PAGE 7-SENATE BILL 26-021
SURRENDER AN AGING HEAVY-DUTY DIESEL TRUCK TO THE SELLER OF THE
NEW HEAVY-DUTY TRUCK AT THE TIME OF THE TRANSACTION;
(B) T HE SELLER OF THE NEW HEAVY -DUTY TRUCK MUST
DECOMMISSION THE AGING HEAVY-DUTY DIESEL TRUCK;
(C) T HE SELLER MUST BE AN AUTHORIZED DEALER OF NEW
HEAVY-DUTY TRUCKS WHO MUST CERTIFY THAT THE NEW HEAVY -DUTY
TRUCK MEETS ALL STATE AND FEDERAL EMISSIONS AND SAFETY STANDARDS
FOR ITS MODEL YEAR AND THAT THE DEALER WILL DECOMMISSION THE
AGING HEAVY-DUTY DIESEL TRUCK THAT THE PURCHASER IS REQUIRED TO
SURRENDER TO THE SELLER;
(D) T HE ENTERPRISE SHALL NOT EXPEND MORE THAN TWENTY
PERCENT OF THE FUND'S INCOME DURING A STATE FISCAL YEAR TO REPLACE
AGING HEAVY-DUTY DIESEL TRUCKS WITH NEW HEAVY-DUTY TRUCKS;
(E) THE ENTERPRISE SHALL PRIORITIZE APPLICATIONS PURSUANT TO
THIS SUBSECTION (9)(b)(XIII) FROM BUSINESSES THAT ARE PRIVATELY
OWNED, INDEPENDENTLY OWNED, OR HAVE LIMITED ACCESS TO CAPITAL;
(F) THE ENTERPRISE SHALL NOT ACCEPT AN APPLICATION PURSUANT
TO THIS SUBSECTION (9)(b)(XIII) FROM AN OWNER OR OPERATOR OF A
MOTOR VEHICLE FLEET THAT OWNS, LEASES, OR OPERATES MORE THAN FIFTY
HEAVY-DUTY MOTOR VEHICLES OR FROM A BUSINESS ENTITY WITH ANNUAL
GROSS REVENUE EXCEEDING ONE HUNDRED MILLION DOLLARS;
(G) THE ENTERPRISE SHALL PRIORITIZE THE REPLACEMENT OF ANY
AGING HEAVY-DUTY DIESEL TRUCK THAT HAS A MODEL YEAR OF NO LATER
THAN 2006; AND
(H) THIS SUBSECTION (9)(b)(XIII) IS REPEALED EFFECTIVE JULY 1,
2032; AND
(XIV) T O SEEK TO ENSURE THAT ALL PROJECTS FUNDED BY THE
COLORADO CLEAN FLEET ENTERPRISE ACHIEVE MEASURABLE RESULTS AND
OUTCOMES.
(11) (a) To ensure transparency and accountability, the enterprise
shall:
PAGE 8-SENATE BILL 26-021
(IV) Prepare an annual report regarding its ALL COLORADO CLEAN
FLEET activities and funding, INCLUDING ESTIMATED POLLUTION REDUCTION
BENEFITS, and present the report to the transportation commission created
in section 43-1-106 (1) and to the transportation and local government and
energy and environment committees of the house of representatives and the
transportation and energy committee of the senate, or any successor
committees. The enterprise shall also post the annual report on its website.
Notwithstanding the requirement in section 24-1-136 (11)(a)(I), the
requirement to submit the report required in this subsection (11)(a)(IV) to
the specified legislative committees continues indefinitely.
SECTION 3. In Colorado Revised Statutes, 40-2-138, amend
(1)(i)(II) as follows:
40-2-138. Projects for the production of clean hydrogen -
proceeding - hydrogen hub projects - rules - reports - definitions.
(1) As used in this section, unless the context otherwise requires:
(i) "Qualified use" means the use of clean hydrogen in the state for:
(II) The operation of a heavy-duty motor vehicle, as defined in
section 25-7.5-102 (11) SECTION 25-7.5-102 (14); and
SECTION 4. In Colorado Revised Statutes, 43-4-1203, amend
(8)(b)(IV) as follows:
43-4-1203. Clean transit enterprise - creation - board - powers
and duties - rules - fees - fund.
(8) (b) The enterprise may make grants, loans, or rebates to fund:
(IV) The replacement of motor vehicles used by public transit
providers that are not electric motor vehicles by electric motor vehicles, or,
if electric motor vehicles are not practically available, by compressed
natural gas motor vehicles, as defined in section 25-7.5-102 (5) SECTION
25-7.5-102 (6), if at least ninety percent of the fuel for the compressed
natural gas motor vehicles will be recovered methane, as defined in section
25-7.5-102 (20) SECTION 25-7.5-102 (24).
PAGE 9-SENATE BILL 26-021
SECTION 5. Act subject to petition - effective date. This act
takes effect at 12:01 a.m. on the day following the expiration of the
ninety-day period after final adjournment of the general assembly (August
12, 2026, if adjournment sine die is on May 13, 2026); except that, if a
referendum petition is filed pursuant to section 1 (3) of article V of the state
constitution against this act or an item, section, or part of this act within
such period, then the act, item, section, or part will not take effect unless
approved by the people at the general election to be held in November 2026
PAGE 10-SENATE BILL 26-021
and, in such case, will take effect on the date of the official declaration of
the vote thereon by the governor.
____________________________ ____________________________
James Rashad Coleman, Sr. Julie McCluskie
PRESIDENT OF SPEAKER OF THE HOUSE
THE SENATE OF REPRESENTATIVES
____________________________ ____________________________
Esther van Mourik Vanessa Reilly
SECRETARY OF CHIEF CLERK OF THE HOUSE
THE SENATE OF REPRESENTATIVES
APPROVED________________________________________
(Date and Time)
_________________________________________
Jared S. Polis
GOVERNOR OF THE STATE OF COLORADO
PAGE 11-SENATE BILL 26-021