(1) The just transition office is created in the office of the executive director. The just transition office is a type 2 entity, as defined in section 24-1-105, and exercises its powers and performs its duties and functions under the department of labor and employment.
(2) The executive director shall appoint the director of the office. The director shall manage the operations of the office.
(3) It is the purpose of the office to:
(a) Identify or estimate, to the extent practicable, the timing and location of facility closures and job layoffs in coal-related industries and their impact on affected workers, businesses, and coal transition communities and regularly consult with the just transition advisory committee created in subsection (6) of this section on issues related to addressing these impacts in a manner that best ensures continued economic stability and prosperity for impacted workers and communities during and after the transition away from coal as an economic driver;
(a.5) Develop and implement plans to maximize the economic stability and prosperity of coal workers and communities through a variety of strategies outlined in or consistent with this part 5, giving strong consideration to strategies recommended by the just transition advisory committee;
(b) Provide administrative, logistical, research, and policy support to the just transition advisory committee's work as outlined in subsection (6) of this section;
(c) Participate in the department's presentation to the general assembly during the State Measurement for Accountable, Responsive, and Transparent (SMART) Government Act hearings, held pursuant to part 2 of article 7 of title 2, regarding requirements for financing components of the just transition plan, the administration of this part 5, and the expected results; and
(d) Report to the annual State Measurement for Accountable, Responsive, and Transparent (SMART) Government Act hearings, held pursuant to part 2 of article 7 of title 2, of the senate local government and housing committee and the house transportation, housing, and local government committee, or their successor committees, about the grants awarded by the office during the preceding fiscal year, their recipients, and the purpose for which they were awarded.
(4) Based primarily on the advice of and recommendations from the just transition advisory committee, and with the approval of the executive director of the department and the executive director of the department of local affairs, on or before December 31, 2020, the director shall submit to the governor and the general assembly a just transition plan for Colorado. The director shall submit updates to the plan as needed. This plan, and any updates to the plan, must include, at a minimum:
(a) Benefits, grants, and other components that the office, the department, or the department of local affairs shall coordinate and implement under existing authority;
(b) Benefits, grants, and other components that require additional legislative authority to implement;
(c) Sources of funding that may be accessed from federal, state, local, and other sources without additional legislative authority or approval; and
(d) Sources of funding that require legislative or voter approval.
(5) To further the purposes of the office created in this part 5, the director shall engage in relevant administrative proceedings, such as matters before the public utilities commission and the air quality control commission.
(6) (a) There is created the just transition advisory committee to develop and recommend a just transition plan for the state of Colorado and to advise the office of just transition concerning the office's role in implementing this part 5.
(b) Repealed.
(c) In advising and making recommendations to the office of just transition, the advisory committee shall consider options to:
(I) Align and target local, state, and federal resources and leverage additional resources to invest in communities and workers whose coal-related industries are subject to significant economic transition;
(II) Align and target existing local, state, and federal programming and establish additional programming to support communities and workers whose coal-related industries are subject to significant economic transition;
(III) Establish benefits for coal transition workers, including consideration of:
(A) Benefits similar in type, amount, and duration to federal benefits available pursuant to 20 CFR 617.20 to 617.49; and
(B) Wage differential benefits for affected workers, including consideration of eligibility and the duration of the benefits;
(IV) Educate dislocated workers, in collaboration with employers of dislocated workers and relevant labor unions, regarding how to apply for just transition benefits; and
(V) Establish and structure a grant program and other potential programmatic support for coal transition communities and organizations that support coal transition communities, including eligible entities.
(d) In developing the advisory committee's advice and recommendations, the advisory committee shall identify and consider:
(I) The projected short-term and long-term costs and benefits to the state of each plan component, including worker benefits, grant programs, and other supports;
(II) Potential sources for sustainable short-term and long-term funding for a just transition plan and its components;
(III) The potential fiscal, economic, workforce, and other implications of extending components of the just transition plan to other sectors and industries affected by similar economic disruptions; and
(IV) Which components of the just transition plan can be implemented by the departments under existing authority and which require additional legislation.
(e) The advisory committee consists of the following members:
(I) Ex officio members as follows:
(A) The executive director of the department of labor and employment or a designee;
(B) The director of the office of economic development or a designee;
(C) The director of the Colorado energy office or a designee;
(D) The executive director of the department of local affairs or a designee; and
(E) A representative of the office of the governor;
(II) One member of the senate, appointed by the president of the senate, and one member of the house of representatives, appointed by the speaker of the house of representatives; and
(III) The following members appointed by the director:
(A) Five representatives of coal transition workers, at least one of whom must work at a coal mine and at least one of whom must work at an electric utility;
(B) Three representatives from coal transition communities;
(C) Two representatives with professional economic development or workforce retraining experience;
(D) Two representatives of disproportionately impacted communities; and
(E) Two representatives of utilities that, on May 28, 2019, operated a coal-fueled electric generating unit.
(e.5) The director shall ensure that the composition of the advisory committee described in subsection (6)(e) of this section is as geographically diverse as possible, including members from each tier one transition community.
(f) The term of appointment or designation is four years; except that the initial term of members appointed pursuant to subsection (6)(e)(II) of this section is two years and the initial term of members appointed pursuant to subsection (6)(e)(III) of this section is three years. Each legislative member is entitled to receive payment of a per diem and reimbursement for actual and necessary expenses as authorized in section 2-2-326, appointed members are entitled to the same per diem and expense reimbursement, and ex officio members are entitled to the same expense reimbursement; except that all payments authorized by this subsection (6)(f) are at a rate fifty percent less than that authorized by law.
(g) The advisory committee shall elect a chair from among its members to serve for a term not to exceed two years, as determined by the advisory committee. The advisory committee shall meet at least once every quarter. The chair may call such additional meetings as are necessary for the advisory committee to complete its duties.
(h) The advisory committee may engage additional nonvoting members or advisors to provide additional expertise as needed.
(i) This subsection (6) is repealed, effective September 1, 2030. Before the repeal, this subsection (6) is scheduled for review in accordance with section 2-3-1203.
(7) The office, in consultation with the advisory committee, shall develop a proposed long-term budget to adequately finance the just transition plan. The office shall submit the proposed budget to the executive director of the department no later than July 1, 2022. The budget must include financing options from state, federal, and other sources. The department shall consider the proposed budget as part of its budget proposal for state fiscal year 2023-24.
Source: L. 2019: Entire part added, (HB 19-1314), ch. 323, p. 2989, � 1, effective May 28. L. 2021: (7) added, (HB 21-1266), ch. 411, p. 2750, � 19, effective July 2. L. 2024: (1), (2), and IP(4) amended, (HB 24-1410), ch. 319, p. 2135, � 2, effective May 31. L. 2025: (3)(b) and (3)(c) amended and (3)(d) added, (SB 25-037), ch. 364, p. 1975, � 1, effective June 3; (3)(a), IP(4), (6)(a), IP(6)(c), IP(6)(d), (6)(e)(III)(A), and (6)(i) amended, (3)(a.5) and (6)(e.5) added, and (6)(b) repealed, (SB 25-181), ch. 323, p. 1696, � 2, effective August 6.
Cross references: (1) Subsection (6)(c)(III)(A) refers to 20 CFR 617.20 to 617.49. The United States department of labor promulgated a rule consolidating 20 CFR 617, 20 CFR 618, and 20 CFR 90 into 20 CFR 618, effective September 21, 2020.
(2) For the short title (Environmental Justice Act) and the legislative declaration in HB 21-1266, see sections 1 and 2 of chapter 411, Session Laws of Colorado 2021.
8-83-504. Just transition cash fund - transfer from general fund - transfer from account - use of money - definition - repeal. (1) (a) The just transition cash fund is created in the state treasury. The fund consists of money credited to the fund in accordance with section 39-29-108 (2)(d) and any other money that the general assembly may appropriate or transfer to the fund. Subject to annual appropriation by the general assembly, the office may expend money from the fund and the department may expend money from the coal transition workforce assistance program account of the fund created in section 8-83-504.5 (1) for purposes specified in this part 5, including paying for the office's direct and indirect costs in administering this part 5. Any unexpended and unencumbered money in the fund at the end of any fiscal year remains in the fund and shall not be credited or transferred to the general fund.
(b) (I) For state fiscal years commencing on or before July 1, 2024, the state treasurer shall credit all interest and income derived from the deposit and investment of money in the just transition cash fund to the just transition cash fund.
(II) Notwithstanding subsection (1)(a) of this section, for state fiscal years commencing on or after July 1, 2025, in accordance with section 24-36-114 (1), the state treasurer shall credit all interest and income derived from the deposit and investment of money in the just transition cash fund to the general fund.
(III) (A) On June 30, 2025, the state treasurer shall transfer eight hundred thirty-one thousand six hundred forty-five dollars from the just transition cash fund to the general fund.
(B) This subsection (1)(b)(III) is repealed, effective July 1, 2026.
(2) The general assembly may appropriate money from the general fund for the purposes specified in this part 5. The office may seek, accept, and expend gifts, grants, or donations from private or public sources for the purposes of this part 5.
(3) Each construction project financed through the fund must comply with sections 24-92-115 and 24-92-201.
(4) (a) (I) (A) On June 30, 2021, the state treasurer shall transfer eight million dollars from the general fund to the fund.
(B) On March 7, 2022, the state treasurer shall transfer two million dollars from the account to the fund.
(C) On July 1, 2022, the state treasurer shall transfer five million dollars from the general fund to the fund.
(II) Subject to annual appropriation by the general assembly, the office shall expend the money transferred to the fund pursuant to this subsection (4)(a) to implement the just transition plan for Colorado prepared as required by section 8-83-503 (4), to provide supplemental funding for existing state programs that the office identifies as the most effective vehicles for targeted investment in coal transition communities, and to provide grants and other support directly to coal transition communities and other eligible entities. In expending money from the fund, the office shall place a heavy emphasis on investment in tier one and tier two coal transition communities and shall prioritize communities experiencing socioeconomic impacts of coal closures, opportunities for economic diversification, local community input, feasibility studies of specific proposed projects, and needs assessments. The office shall support programs and base funding decisions on factors that:
(A) Support targeted economic development, including expansion assistance for existing local businesses, programs expanding private financial investment, and site selector and technical assistance engagements;
(B) Assist with regional capacity for coordination of economic development programs and worker assistance programs;
(C) Support infrastructure projects and workforce development programs;
(D) Are consistent with the goals and strategies outlined in the just transition plan; or
(E) For money appropriated to the fund after July 1, 2025, support targeted investment in coal transition communities by collaborating with coal transition communities and eligible entities, state and regionally recognized governmental and economic development entities, employee organizations that represent coal transition workers, and workers who are not affiliated with employee organizations to implement effective projects and programs for those communities consistent with this part 5.
(II.5) (A) The office shall establish a timeline for reviewing project proposals and applications and shall promptly notify applicants of any deficiencies or incompleteness that may be remedied prior to a final funding determination. Applicants must be allowed fifteen days to make changes or add supplementary documentation.
(B) Project funding decisions must be issued within ninety days of receiving a final project proposal. If a decision is not possible within ninety days, the office shall provide a status update to the applicant at that time. All funding decisions must be publicly accessible with published reasons for denial of a project proposal along with recommendations for improvement.
(C) At the earliest regularly scheduled meeting of the joint budget committee following the close of a fiscal year, the office shall report to the joint budget committee about the grants awarded by the office during the preceding fiscal year, their recipients, and the purpose for which they were awarded and make the same presentation at the annual SMART Act hearings of the senate local government and housing committee and the house transportation, housing, and local government committee.
(III) Repealed.
(b) In addition to the requirements set forth in subsection (4)(a) of this section, the office shall expend money transferred to the fund pursuant to subsection (4)(a) of this section in accordance with the following requirements and limitations:
(I) The office shall consult with the just transition advisory committee on expenditure decisions and prioritize the expenditure of the money in a manner consistent with the final just transition plan and the level of support for any given proposed expenditure from coal transition communities and state action teams formed to assist with the development of rural economic diversification and transition roadmaps as set forth in the final just transition plan.
(II) The office may provide for the transfer of money from the fund to other state agencies only if the transfer is approved by the director, the executive director of the department, the executive director of the department of local affairs, and the director of the Colorado office of economic development.
(III) The office shall expend or encumber the money transferred to the fund pursuant to this section by the close of state fiscal year 2029-30.
(IV) The department is authorized to use up to five percent of the money in the fund to fund operational support for the office's expenditure of the money, including funding for the compensation of existing office employees.
(c) Subject to the requirements of this subsection (4) and notwithstanding any other law, the office may expend money from the fund to make grants to any eligible entity, and a state agency to which a transfer of money from the fund is made pursuant to this subsection (4) may expend the money transferred to make grants to any eligible entity.
(5) (a) Notwithstanding any other provision of this section, for the 2021-22 state fiscal year, the general assembly shall appropriate one hundred fifty thousand dollars from the fund to the department of higher education for use by the board of trustees of the Colorado school of mines to expand the CORE-CM initiative in the Greater Green river and Wind river basins.
(b) As used in this subsection (5), CORE-CM initiative means the Carbon Ore, Rare Earth, and Critical Minerals Initiative for U.S. Basins, an initiative through the office of fossil energy in the federal department of energy, the purpose of which is to develop and catalyze regional economic growth, job creation, and associated technology innovation across basins throughout the country.
Source: L. 2019: Entire part added, (HB 19-1314), ch. 323, p. 2993, � 1, effective May 28. L. 2021: (1) amended and (4) added, (HB 21-1290), ch. 400, p. 2652, � 2, effective June 30; (1) amended, (HB 21-1312), ch. 299, p. 1798, � 14, effective July 1. L. 2022: IP(4)(a) amended and (5) added, (HB 22-1193), ch. 11, p. 116, � 2, effective March 7; (1), (4)(a), (4)(b)(II), (4)(b)(III), and (4)(b)(IV) amended, (HB 22-1394), ch. 437, p. 3074, � 1, effective June 8. L. 2024: (1), (4)(a)(II), and (4)(b)(III) amended and (4)(a)(III) repealed, (HB 24-1410), ch. 319, p. 2136, � 3, effective May 31. L. 2025: (1) amended, (SB 25-317), ch. 385, p. 2142, � 7, effective June 3; IP(4)(a)(II), (4)(a)(II)(C), and (4)(a)(II)(D) amended and (4)(a)(II)(E) and (4)(a)(II.5) added, (SB 25-037), ch. 364, p. 1976, � 2, effective June 3.
Editor's note: Amendments to subsection (1) by HB 21-1290 and HB 21-1312 were harmonized.
Cross references: For the legislative declaration in HB 21-1312, see section 1 of chapter 299, Session Laws of Colorado 2021. For the legislative declaration in SB 25-317, see section 1 of chapter 385, Session Laws of Colorado 2025.
8-83-504.5. Additional coal transition workforce assistance program funding - coal transition workforce assistance program account. (1) (a) (I) The coal transition workforce assistance program account is hereby created in the fund.
(II) (A) On June 30, 2021, the state treasurer shall transfer seven million dollars from the general fund to the account.
(B) On July 1, 2022, the state treasurer shall transfer ten million dollars from the general fund to the account.
(III) Subject to annual appropriation by the general assembly, the department shall expend money from the account for coal transition workforce assistance programs that directly assist coal transition workers, their family members, and other household members, including those coal transition workers, their family members, and their household members who are members of a disproportionately impacted community, including programs that:
(A) Establish or expand existing apprenticeship programs, the training capacity of such programs, and the placement of coal transition workers into such programs, prioritizing programs that are recognized as registered apprenticeship programs by the department or a state apprenticeship agency recognized by the United States department of labor;
(B) Aid implementation of the just transition plan;
(C) Provide tuition assistance;
(D) Provide job search assistance;
(E) Provide career planning services and financial counseling;
(F) Support child care assistance;
(G) Support housing assistance;
(H) Support health-care and behavioral health assistance;
(I) Support retirement assistance;
(J) Provide business start-up assistance;
(K) Provide other services authorized by the federal Workforce Innovation and Opportunity Act, Pub.L. 113-128, such as on-the-job training, subsidized employment, and other strategies that aid in the implementation of individual transition plans; or
(L) Test innovative coal transition work support programs through a pilot program. The department is encouraged to limit any pilot program to no more than forty total participants who are coal transition workers, coal transition worker family members, coal transition worker households, or a combination of coal transition workers, family members, and households.
(IV) Repealed.
(b) and (c) Repealed.
(d) The department is authorized to use up to five percent of the money to fund operational support for the activities authorized by this section including funding for the compensation of one additional full-time equivalent employee.
(e) The department shall expend or encumber the money transferred to the account pursuant to subsection (1)(a)(II)(B) of this section by the close of state fiscal year 2029-30.
(f) Any unexpended and unencumbered money in the account at the end of any fiscal year remains in the account and shall not be credited or transferred to the general fund.
(2) Subject to the requirements of subsection (1) of this section, the office may expend money from the account to make grants to any eligible entity.
(3) On March 7, 2022, the state treasurer shall transfer two million dollars from the account to the fund.
Source: L. 2021: Entire section added, (HB 21-1290), ch. 400, p. 2654, � 3, effective June 30. L. 2022: IP(1), IP(1)(a), (1)(a)(V), and (2) amended, (1)(a)(VII), (1)(a)(VIII), and (3) added, and (1)(b) and (1)(c) repealed, (HB 22-1193), ch. 11, p. 117, � 3, effective March 7; IP(1) and (1)(a) amended and (1)(e) and (1)(f) added, (HB 22-1394), ch. 437, p. 3076, � 2, effective June 8. L. 2023: (1)(a)(III)(A) amended, (SB 23-051), ch. 37, p. 143, � 14, effective March 23. L. 2024: (1)(a)(III) amended and (1)(a)(IV) repealed, (HB 24-1410), ch. 319, p. 2137, � 4, effective May 31. L. 2025: (1)(e) amended, (SB 25-037), ch. 364, p. 1977, � 3, effective June 3.
8-83-505. Utility workforce transition plans - reemployment of affected workers. (1) Within thirty days after the approval to accelerate retirement of a generating unit by the utility's governing body and in no case less than six months before the retirement of an electric coal-fueled generating unit that has a nameplate capacity of at least fifty megawatts, the owner or operating agent of that unit shall submit to the office and to the affected community a workforce transition plan.
(2) To the extent practicable, a workforce transition plan must include estimates of:
(a) The number of workers employed by the electric utility or a contractor of the utility at the coal-fueled electric generating facility, which number must include all workers that directly deliver coal to the electric utility;
(b) The total number of workers whose existing jobs, as a result of the retirement of the coal-fueled electric generating facility:
(I) Will be retained; and
(II) Will be eliminated;
(c) With respect to the workers whose existing jobs will be eliminated due to the retirement of the coal-fueled electric generating facility, the total number and the number by job classification of workers:
(I) Whose employment will end without them being offered other employment;
(II) Who will retire as planned, be offered early retirement, or leave on their own;
(III) Who will be retained by being transferred to other electric generating facilities or offered other employment by the electric utility; and
(IV) Who will be retained to continue to work for the electric utility in a new job classification; and
(d) If the electric utility is replacing the coal-fueled electric generating facility being retired with a new electric generating facility, the number of:
(I) Workers from the retired coal-fueled electric generating facility who will be employed at the new electric generating facility; and
(II) Jobs at the new electric generating facility that will be outsourced to contractors or subcontractors.
(3) This section does not apply to an electric coal-fueled generating unit owned in whole or in part by a qualifying retail utility for which the qualifying retail utility, as that term is used in section 40-2-124, has submitted a workforce transition plan in an electric resource plan filed with the public utilities commission.
Source: L. 2019: Entire part added, (HB 19-1314), ch. 323, p. 2993, � 1, effective May 28.