Collection of fees - limitation

Colo. Rev. Stat. § 40-2-113, under Utilities.

Colo. Rev. Stat. § 40-2-113

(1) On or before June 15 of each year, the department of revenue shall notify each public utility subject to this article 2 of the amount of its fee for the ensuing fiscal year beginning July 1, computed by multiplying its gross intrastate utility operating revenues for the preceding calendar year, as set forth in its return filed for that purpose, by the percentage determined in accordance with section 40-2-112; except that the department of revenue shall not require a public utility that is a telephone corporation to pay a fee in excess of two-fifths of one percent of its gross intrastate utility operating revenues for the preceding calendar year and shall not require any other public utility to pay a fee in excess of forty-five one-hundredths of one percent of its gross intrastate utility operating revenues for the preceding calendar year.

(2) Each public utility, including penal communications service providers, as defined in section 17-42-103 (2), shall pay the fee assessed against it to the department of revenue in equal quarterly installments on or before July 15, October 15, January 15, and April 15 in each fiscal year. If a public utility does not make a payment by one of the quarterly deadlines, the department of revenue shall charge the public utility a penalty of ten percent of the installment due, together with interest at the rate of one percent per month on the amount of the unpaid installment until the full amount of the installment, penalty, and interest has been paid. Upon failure, refusal, or neglect of any public utility to pay the fee, or any penalty or interest, the attorney general shall bring suit in the name of the state to collect the amount due.

(3) The commission shall allow a public utility that is not a telephone corporation full recovery of fees assessed and remitted to the department of revenue pursuant to this section. The recovery mechanism must include the ability of the utility, at its option, to use a deferred account to track changes in fees between rate proceedings.

Source: L. 55: p. 696, � 1. CRS 53: � 115-2-14. C.R.S. 1963: � 115-2-14. L. 2015: Entire section amended, (HB 15-1372), ch. 247, p. 906, � 1, effective May 29. L. 2021: Entire section amended, (SB 21-272), ch. 220, p. 1158, � 4, effective June 10; entire section amended, (HB 21-1201), ch. 389, p. 2599, � 3, effective June 30.

Editor's note: Amendments to this section by SB 21-272 and HB 21-1201 were harmonized.

40-2-114. Disposition of fees collected - telecommunications utility fund - fixed utility fund - appropriation. (1) (a) Three percent of the fees collected under section 40-2-113 by the department of revenue shall be remitted to the state treasurer and credited by the state treasurer as follows:

(I) Notwithstanding any other provision of this paragraph (a), for the 2016-17 fiscal year and for any fiscal year thereafter in which a grant match is required for the receipt of federal money under the federal Moving Ahead for Progress in the 21st Century Act, Pub.L. 112-141, 126 Stat. 405, for rail fixed guideway system safety oversight responsibilities under article 18 of this title, the lesser of all of the fees or up to one hundred fifty thousand dollars of the fees, or as much thereof as the commission deems necessary, to the public utilities commission fixed utility fund created in paragraph (b) of this subsection (1);

(II) For the 2017-18 fiscal year and for each fiscal year thereafter, the lesser of all of the fees remaining after fees are credited as required by subparagraph (I) of this paragraph (a) or an amount of the fees equal to two hundred forty thousand dollars plus a cumulative inflation adjustment of two percent for each fiscal year beginning with the 2017-18 fiscal year to the highway-rail crossing signalization fund created in section 40-29-116 (1); and

(III) Any remaining fees to the general fund.

(b) For the remaining ninety-seven percent of the fees collected, the state treasurer shall credit:

(I) Fees paid by public utilities that are telephone corporations to the telecommunications utility fund, which fund is hereby created; and

(II) Fees paid by other public utilities to the public utilities commission fixed utility fund, which fund is hereby created.

(2) (a) Money in the funds created in subsection (1) of this section shall be expended only to defray the full amount determined by the general assembly for:

(I) The administrative expenses of the commission for the supervision and regulation of the public utilities paying the fees;

(II) The financing of the office of the utility consumer advocate created in article 6.5 of this title 40; and

(III) With regard only to expenditures from the public utilities commission fixed utility fund created in subsection (1)(b) of this section, the administrative expenses, not to exceed five hundred thousand dollars annually, incurred by the Colorado electric transmission authority in carrying out its duties under article 42 of this title 40. The Colorado electric transmission authority shall remit to the public utilities commission fixed utility fund any amounts it receives in excess of its actual administrative expenses plus a fifty percent reserve margin.

(b) The state treasurer shall retain any unexpended balance remaining in either fund at the end of any fiscal year to defray the administrative expenses of the commission during subsequent fiscal years, and the executive director of the department of revenue shall take any such unexpended balance into account when computing the percentage upon which fees for the ensuing fiscal year will be based.

Source: L. 55: p. 697, � 1. CRS 53: � 115-2-15. L. 57: p. 600, � 1. C.R.S. 1963: � 115-2-15. L. 64: p. 654, � 10. L. 69: p. 930, � 11. L. 84: Entire section amended, p. 1047, � 4, effective July 1. L. 2015: Entire section amended, (HB 15-1372), ch. 247, p. 907, � 2, effective May 29. L. 2016: (1) amended, (HB 16-1186), ch. 212, p. 820, � 1, effective June 6; (1)(a) amended, (SB 16-087), ch. 217, p. 831, � 1, effective June 6. L. 2021: (2) amended, (SB 21-072), ch. 329, p. 2128, � 10, effective June 24; (2) amended, (SB 21-103), ch. 477, p. 3413, � 11, effective September 1. L. 2023: (2)(a)(III) amended, (SB 23-016), ch. 165, p. 744, � 17, effective August 7.

Editor's note: Amendments to subsection (2) by SB 21-072 and SB 21-103 were harmonized.

40-2-115. Cooperation with other states and with the United States - natural gas pipeline safety and repair - customer-owned service line maintenance and repairs notice of responsibility - rules - definitions. (1) (a) The commission may confer with or hold joint hearings with the authorities of any state or any agency of the United States in connection with any matter arising in proceedings under this title 40, under the laws of any state, or under the laws of the United States; avail itself of the cooperation, services, records, and facilities of authorities of this state, any other state, or any agency of the United States as may be practicable in the enforcement or administration of the provisions of this title 40; and enter into cooperative agreements with the various states and with any agency of the United States to enforce the economic and safety laws and rules of this state and of the United States.

(b) The commission may provide for the exchange of information concerning the enforcement of the economic and safety laws and rules of this state, any other state, and the United States relating to public utilities or to safety of transportation of gas by any person, including a municipality. In particular, the commission may submit a certification to, or enter into an agreement with, the United States secretary of transportation under 49 U.S.C. sec. 60105 or 60106, respectively, so that the commission may enforce the rules of the United States department of transportation concerning pipeline safety promulgated under 49 U.S.C. sec. 60101 et seq. The commission shall adopt such rules as are necessary and proper to comply with federal requirements.

(c) The commission's rules adopted pursuant to this section must apply to all persons and entities constituting the intrastate pipeline system to the maximum extent permissible under federal law and the Colorado constitution, including all:

(I) Public utilities and municipal or quasi-municipal corporations transporting gas or providing gas service;

(II) Operators of natural gas master metered systems;

(III) Operators of liquid petroleum gas distribution systems;

(IV) Operators of pipelines transporting gas in intrastate commerce; and

(V) Operators of intrastate liquefied natural gas facilities.

(d) (I) The commission shall adopt pipeline safety rules that incorporate the most current federal requirements under 49 CFR 191, 192, 193, and 199, as applicable, to maintain minimum standards for gas pipeline safety.

(II) The commission's gas pipeline safety rules must address, and may be more stringent than required by federal standards with regard to:

(A) Qualifications and verifiable credentials for personnel engaged in pipeline construction, inspection, and repair activities;

(B) Reduction of the risks posed by abandoned gas pipelines;

(C) Mapping of all pipelines within the commission's jurisdiction. For this purpose, the commission may incorporate information from any existing flowline maps or other maps prepared by the energy and carbon management commission created in section 34-60-104.3 (1) and showing pipelines subject to the jurisdiction of that agency. The public utilities commission's mapping requirements for pipelines within its jurisdiction must incorporate the same standards for confidentiality, security, and public access and limitations on the scale of publicly available images as adopted by the energy and carbon management commission in 2 CCR 404-1, rule 1101.e.

(D) Increased frequency of inspections of all pipelines within the commission's jurisdiction;

(E) Use of advanced leak detection technology to meet the need for pipeline safety and protection of the environment;

(F) Expansion of annual reporting requirements for pipeline operators;

(G) Requirements for commission investigation of specific types of pipeline damage and pursuit of appropriate civil remedies for such damage;

(H) On or before March 1, 2024, requirements for the installation or reinstallation of service regulators by the owner or operator so that any vents associated with the service regulators are at least twelve inches above ground level and located in an area that is protected from external blockage; and

(I) On or before March 1, 2024, requirements for the visual inspection of gas meters and service regulators by a qualified individual no less frequently than every five calendar years with intervals not to exceed sixty-three months and record documentation of each inspection and for the owner or operator of the gas meter or service regulator to retain the documentation for the lifetime of the gas meter or service regulator.

(e) In addition to all other powers and duties conferred on the commission by this title 40, the commission may issue orders requiring any person to comply with, or to cease and desist from any violation of, the rules adopted under this section.

(f) Notwithstanding any provision of this section to the contrary, the commission shall not adopt any rules that regulate underground natural gas storage facilities.

(g) On or before November 1, 2025, the commission shall adopt rules related to pipeline safety and repair and the use of advanced leak detection technology in accordance with subsection (1)(d)(II)(E) of this section.

(1.5) (a) On or before March 1, 2024, the commission shall promulgate rules to establish a process for determining whether an owner or operator or a customer has responsibility for the maintenance and repairs of a customer-owned service line installed on or after August 14, 1995, and before March 1, 2024.

(b) On or before March 1, 2024, the commission shall promulgate rules requiring an owner or operator that distributes natural gas to a customer-owned service line installed by the owner or operator on or after March 1, 2024, to provide written notice to the customer within ninety days after installation that, at a minimum, informs the customer whether the customer or the owner or operator is responsible for maintaining and repairing the customer-owned service line.

(c) The commission's rules pursuant to subsection (1.5)(b) of this section must include specific circumstances for when a customer may be responsible for maintaining and repairing the customer-owned service line and a requirement that:

(I) The owner or operator use best efforts to obtain a copy of the written notice described in subsection (1.5)(b) of this section with the customer's signature from the customer within ninety days after installation of the customer-owned service line;

(II) With respect to the copy of the written notice described in subsection (1.5)(b) of this section that includes the customer's signature in accordance with subsection (1.5)(c)(I) of this section, the owner or operator:

(A) Provide a copy to the customer for the customer's records;

(B) Maintain a copy for the owner's or operator's records for the duration of the lifetime of the customer-owned service line;

(C) Provide a copy to an inspector upon request; and

(D) If the property on which the customer-owned service line is located changes ownership, use best efforts to obtain a new copy of the written notice described in subsection (1.5)(b) of this section with the new property owner's signature from the new property owner within ninety days after the change of ownership if the owner or operator is aware of the change; and

(III) If the owner or operator fails to obtain a copy of the written notice described in subsection (1.5)(b) of this section with the customer's signature from the customer in accordance with subsection (1.5)(c)(I) of this section, the owner or operator either maintain proof of efforts to obtain the customer's signature or document the customer's refusal to provide a signature.

(d) Notwithstanding any other provision of this section to the contrary, an owner or operator is responsible for all maintenance and repairs of the portion of a service line that is upstream from the gas meter.

(e) Notwithstanding any other provision of this section to the contrary, the commission's gas pipeline safety rules pursuant to this section must permit any activity that is within the best practices and standards for the industry given continuous improvement and changes to technology.

(2) As used in this section, unless the context otherwise requires, or as otherwise defined in commission rules:

(a) Customer-owned service line means the portion of the service line that extends downstream from the gas meter to the customer's primary residential or commercial structure that is serviced with natural gas.

(b) (I) Distribution system means the piping and associated facilities used to deliver natural gas to customers.

(II) Distribution system does not include the facilities that an owner or operator owns that are classified as production, storage, gathering, or transmission facilities.

(c) Gas means natural gas, flammable gas, and any gas that is toxic or corrosive.

(d) Gas meter means the meter that measures the transfer of gas from an owner or operator of a customer-owned service line to a customer.

(e) Main line means the portion of a distribution system that serves, or is designed to serve, as a common source of gas supply for more than one service line.

(f) Owner or operator means an owner or operator of a distribution system or an investor-owned natural gas utility.

(g) Qualified has the meaning set forth in 49 CFR 192.803.

(h) Service line has the meaning set forth in 49 CFR 192.3.

(i) Service regulator means the device on a service line that controls the pressure of gas delivered from a higher pressure to the pressure provided to the customer. A service regulator may serve one customer or multiple customers through a meter header or manifold.

(j) Transportation of gas or transporting gas means the gathering, transmission, or distribution of gas by pipeline, as defined in 49 CFR 192.3.

(k) Underground natural gas storage facility has the meaning set forth in section 34-64-102 (3.5).

Source: L. 55: p. 697, � 1. CRS 53: � 115-2-16. L. 57: p. 600, � 1. C.R.S. 1963: � 115-2-16. L. 69: p. 931, � 12. L. 71: p. 1098, � 1. L. 89: (1) amended, p. 1526, � 7, effective April 12. L. 93: Entire section amended, p. 2061, � 11, effective July 1. L. 2000: (1) and (1.5) amended, p. 1868, � 95, effective August 2. L. 2003: (1), (1.5), and (2)(a) amended, p. 1699, � 5, effective May 14. L. 2021: Entire section amended, (SB 21-108), ch. 465, p. 3353, � 2, effective July 6. L. 2023: (1)(d)(II)(F) and (2) amended and (1)(d)(II)(H), (1)(d)(II)(I), and (1.5) added, (HB 23-1216), ch. 431, p. 2533, � 1, effective June 7; (1)(d)(II)(C) and (2)(b) amended and (1)(f) and (2)(k) added, (SB 23-285), ch. 235, p. 1246, � 14, effective July 1. L. 2025: (1)(g) added, (HB 25-1280), ch. 157, p. 633, � 1, effective April 30.

Editor's note: Amendments to subsection (2)(b) by SB 23-285 and HB 23-1216 were harmonized, resulting in the renumbering of subsection (2)(b) in SB 23-285 to subsection (2)(j).

Cross references: For the legislative declaration in SB 21-108, see section 1 of chapter 465, Session Laws of Colorado 2021.

40-2-116. Motor carriers - motor vehicle carriers exempt from regulation as public utilities - safety regulations. (Repealed)

Source: L. 69: p. 931, � 13. C.R.S. 1963: � 115-2-17. L. 78: Entire section amended, p. 518, � 1, effective July 1. L. 85: Entire section amended, p. 1308, � 5, effective May 29. L. 96: Entire section amended, p. 1546, � 2, effective July 1. L. 2003: (1) amended, p. 2381, � 5, effective August 6. L. 2010: (1) amended, (HB 10-1167), ch. 125, p. 415, � 1, effective April 15. L. 2011: Entire section repealed, (HB 11-1198), ch. 127, p. 416, � 3, effective August 10.

40-2-117. Legislative declaration - commission to conduct review of rate structures. (Repealed)

Source: L. 77: Entire section added, p. 1856, � 1, effective July 1.

Editor's note: Subsection (7) provided for the repeal of this section, effective July 1, 1979. (See L. 77, p. 1856.)