Final
STAFF SUMMARY OF MEETING

HOUSE COMMITTEE ON STATE, VETERANS, & MILITARY AFFAIRS

Date:03/02/2015
ATTENDANCE
Time:01:38 PM to 05:51 PM
Foote
X
Humphrey
*
Place:LSB A
Lontine
X
Neville P.
X
This Meeting was called to order by
Primavera
X
Representative Ryden
Tate
X
Thurlow
X
This Report was prepared by
Tyler
X
Jessika Shipley
Willett
X
Salazar
X
Ryden
X
X = Present, E = Excused, A = Absent, * = Present after roll call
Bills Addressed: Action Taken:
HB15-1148
HB15-1044
SB15-044		Postponed Indefinitely
Postponed Indefinitely
Postponed Indefinitely


01:38 PM -- HB15-1148

Representative Brown, prime sponsor, presented House Bill 15-1148. The bill requires that the State Treasurer transfer all of the year-end General Fund excess reserve to the State Highway Fund (SHF). The year-end excess reserve is calculated once all other required transfers and appropriations have taken place. The State Treasurer is required by the bill to make the transfer on the date that the State Controller publishes the comprehensive annual financial report for the state for FY 2014-15.

01:49 PM -- Andy Karsian, representing the Colorado Department of Transportation (CDOT), testified about the bill. Mr. Karsian distributed information about transportation funding and highway use in Colorado (Attachment A). He discussed the information in the handout. He stressed the importance of funding for transportation infrastructure. He responded to questions from the committee.

15HouseState0302AttachA.pdf15HouseState0302AttachA.pdf













02:05 PM

Committee discussion about transportation funding continued.

02:08 PM -- R.J. Hicks, representing the Colorado Motor Carriers' Association, testified in support of the bill. Mr. Hicks spoke about the prioritization of state expenditures and revenues. He discussed the importance of transportation in terms of economic development and the importance of safety in the transportation system. He expressed concerns about the state of transportation infrastructure in the state. He responded to questions from the committee.


02:16 PM

Representative Brown distributed and explained amendment L.001 (Attachment B).

15HouseState0302AttachB.pdf15HouseState0302AttachB.pdf
BILL:HB15-1148
TIME: 02:18:14 PM
MOVED:Tate
MOTION:Adopt amendment L.001 (Attachment B). The motion passed on a vote of 8-3.
SECONDED:Neville P.
VOTE
Foote
Yes
Humphrey
Yes
Lontine
Yes
Neville P.
Yes
Primavera
Yes
Tate
Yes
Thurlow
Yes
Tyler
No
Willett
Yes
Salazar
No
Ryden
No
YES: 8 NO: 3 EXC: 0 ABS: 0 FINAL ACTION: PASS














02:19 PM

Representative Brown wrapped up his presentation of the bill and asked for a favorable recommendation.
BILL:HB15-1148
TIME: 02:36:49 PM
MOVED:Neville P.
MOTION:Refer House Bill 15-1148, as amended, to the Committee on Finance. The motion failed on a vote of 5-6.
SECONDED:Humphrey
VOTE
Foote
No
Humphrey
Yes
Lontine
No
Neville P.
Yes
Primavera
No
Tate
Yes
Thurlow
Yes
Tyler
No
Willett
Yes
Salazar
No
Ryden
No
YES: 5 NO: 6 EXC: 0 ABS: 0 FINAL ACTION: FAIL


























BILL:HB15-1148
TIME: 02:37:42 PM
MOVED:Willett
MOTION:Refer House Bill 15-1148, as amended, to the Committee on Transportation. The motion failed on a vote of 5-6.
SECONDED:Thurlow
VOTE
Foote
No
Humphrey
Yes
Lontine
No
Neville P.
Yes
Primavera
No
Tate
Yes
Thurlow
Yes
Tyler
No
Willett
Yes
Salazar
No
Ryden
No
YES: 5 NO: 6 EXC: 0 ABS: 0 FINAL ACTION: FAIL

BILL:HB15-1148
TIME: 02:38:11 PM
MOVED:Salazar
MOTION:Postpone House Bill 15-1148 indefinitely. The motion passed on a vote of 6-5.
SECONDED:Foote
VOTE
Foote
Yes
Humphrey
No
Lontine
Yes
Neville P.
No
Primavera
Yes
Tate
No
Thurlow
No
Tyler
Yes
Willett
No
Salazar
Yes
Ryden
Yes
Final YES: 6 NO: 5 EXC: 0 ABS: 0 FINAL ACTION: PASS







02:39 PM -- HB15-1044

The committee took a brief recess.


02:44 PM

The committee reconvened. Representative Klingenschmitt, prime sponsor, presented House Bill 15-1044. Under current law, the Department of Regulatory Agencies (DORA) must establish a schedule for the review of the existing administrative rules of each principal department. This review must consider eight different statutory criteria and, at the discretion of the principal department, may result in the continuation, amendment, or repeal of rules based on the review.

The bill replaces DORA's schedule for review with a detailed timeline, to be set by each principal department in an initial report to the Committee on Legal Services (COLS) and the applicable legislative committees of reference. Departmental schedules for the review of existing administrative rules are confined to a four-year period of review between 2015 and 2019. A department must revise its rules to reflect the results of its review.

The initial report of each principal department is a written product due by October 1, 2015, and must include:

Each principal department must submit a written progress report to the COLS and committees of reference by October 1 of each year between 2016 and 2018. The progress report includes the status of rules review, a list of any rules modified as a result of review, and any change in the department's review schedule.

By October 1, 2019, principal departments must conclude their review of existing administrative rules and submit a final written report to the COLS and committees of reference. The final report lists all departmental rules by CCR citation and whether rules were revised, unrevised, or eliminated.


02:48 PM

Representative Klingenschmitt distributed and discussed amendments L.002, L.004, and L.005, and a packet of information about regulations (Attachments C through F).

15HouseState0302AttachC.pdf15HouseState0302AttachC.pdf 15Housestate0302AttachD.pdf15Housestate0302AttachD.pdf

15HouseState0302AttachE.pdf15HouseState0302AttachE.pdf 15HouseState0302AttachF.pdf15HouseState0302AttachF.pdf





02:56 PM

Representative Klingenschmitt responded to questions about rules and regulations that he characterized as onerous.

03:00 PM -- Russ Josephson, representing himself, testified in support of the bill. Mr. Josephson expressed his opinion that the bill addresses a threat to his liberty as a citizen. He discussed the separation of powers at length.

03:05 PM -- Andy Karsian, representing the Colorado Department of Transportation, testified in opposition to the bill as drafted. Mr. Karsian indicated that the bill, as drafted, would drive a very high cost and would be difficult to manage within the given time frame. He described the rule review process and stated that the bill is duplicative. He responded to questions from the committee.


03:15 PM

Committee questioning of Mr. Karsian continued.

03:18 PM -- Michael Nicoletti, representing DORA, testified about the bill. Mr. Nicoletti spoke about rule review under current law.


03:21 PM

Representative Klingenschmitt explained amendments L.004 and L.005, which amend L.002. Amendment L.002 is a strike-below amendment.


03:24 PM

The committee recessed.


03:26 PM

The committee reconvened.

BILL:HB15-1044
TIME: 03:31:01 PM
MOVED:Humphrey
MOTION:Adopt amendment L.002 (Attachment C), as amended. The motion passed without objection.
SECONDED:Neville P.
VOTE
Foote
Humphrey
Lontine
Neville P.
Primavera
Tate
Thurlow
Tyler
Willett
Salazar
Ryden
YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection

BILL:HB15-1044
TIME: 03:30:16 PM
MOVED:Humphrey
MOTION:Adopt amendment L.004 (Attachment D). The motion passed without objection.
SECONDED:Neville P.
VOTE
Foote
Humphrey
Lontine
Neville P.
Primavera
Tate
Thurlow
Tyler
Willett
Salazar
Ryden
YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection









03:32 PM

Representative Klingenschmitt wrapped up his presentation of the bill and asked for a favorable recommendation.
BILL:HB15-1044
TIME: 03:39:59 PM
MOVED:Humphrey
MOTION:Refer House Bill 15-1044, as amended, to the Committee on Appropriations. The motion failed on a vote of 4-7.
SECONDED:Neville P.
VOTE
Foote
No
Humphrey
Yes
Lontine
No
Neville P.
Yes
Primavera
No
Tate
Yes
Thurlow
Yes
Tyler
No
Willett
No
Salazar
No
Ryden
No
YES: 4 NO: 7 EXC: 0 ABS: 0 FINAL ACTION: FAIL

























BILL:HB15-1044
TIME: 03:41:22 PM
MOVED:Salazar
MOTION:Postpone House Bill 15-1044 indefinitely. The motion passed on a vote of 6-5.
SECONDED:Foote
VOTE
Foote
Yes
Humphrey
No
Lontine
Yes
Neville P.
No
Primavera
Yes
Tate
No
Thurlow
No
Tyler
Yes
Willett
No
Salazar
Yes
Ryden
Yes
Final YES: 6 NO: 5 EXC: 0 ABS: 0 FINAL ACTION: PASS


03:42 PM -- SB15-044

The committee recessed briefly.


03:47 PM

The committee reconvened. Representative Thurlow, sponsor, presented Senate Bill 15-044. He distributed a fact sheet about the bill (Attachment G). This bill modifies the statute governing Colorado's renewable energy standard (RES), which is administered by the Colorado Public Utilities Commission (PUC).

15HouseState0302AttachG.pdf15HouseState0302AttachG.pdf

Current law contains a RES that applies to investor-owned utilities (IOUs), cooperative electric associations (CEAs) and municipally-owned utilities (MOUs). Specifically, IOUs are required to generate the following percentages of retail electricity sales from eligible, renewable energy resources:










Similarly, CEAs and MOUs serving more than 40,000 customers are required to generate the following percentages of retail electricity sales from eligible, renewable energy resources:

In addition, most CEAs (those serving more than 100,000 meters and generation and transmission CEAs providing wholesale electricity to other CEAs) must meet a 20 percent standard beginning in 2020.

Beginning in 2015, this bill reduces the standard for IOUs to 15 percent. The 20 percent standard for most CEAs is also reduced to 15 percent, beginning in 2020. The standard for MOUs is unaffected.


03:57 PM

Representative Thurlow responded to questions from the committee.

04:04 PM -- Mark Gormley, representing himself, testified in opposition to the bill. Mr. Gormley expressed his opinion that renewable energy is the best way forward for the state. He opposed the idea of reducing the RES. He responded to questions from the committee about his solar panels.

04:14 PM -- Nissa Szabo, representing the Colorado Technology Association, testified in support of the bill. Ms. Szabo spoke about new data centers in Colorado that would benefit from lower energy costs.

04:16 PM -- Douglas Holland, representing the Colorado chapter of the Sierra Club, testified in opposition to the bill. Mr. Holland provided written testimony (Attachment H). He responded to questions from the committee.

15HouseState0302AttachH.pdf15HouseState0302AttachH.pdf

04:21 PM -- Michael Sandoval, representing the Independence Institute, testified in support of the bill. Mr. Sandoval advocated that the government remain neutral in the energy market, thereby allowing the free market to choose energy "winners and losers." He expressed his opinion that all tax credits and subsidies should be ended. He responded to questions from the committee.

04:32 PM -- Dana Gutwein and Christy Cerrone, representing Colorado Moms Know Best, testified in opposition to the bill. Ms. Gutwein spoke about her children and her need to keep them healthy and safe. She described the effects of pollution on children. She expressed her opinion that the RES is working and should be continued. Ms. Cerrone discussed how she gets her power at her house. She asked the committee not to amend current law.

04:39 PM -- Dianna Orf, representing the Colorado Mining Association and the Associated Governments of Northwest Colorado, testified in support of the bill. Ms. Orf spoke about the cost of energy in Colorado. She discussed the impact of a mandated marketplace on energy costs. She responded to questions from the committee about the health care costs related to air pollution.








04:48 PM -- Sam Weaver, representing Cool Energy, Inc., testified in opposition to the bill. Mr. Weaver spoke about the effects of the RES on clean technology businesses. He discussed the economic impacts of such businesses. He described current subsidies for solar and wind power. He responded to questions from the committee about German use of coal-fired power plants.

04:55 PM -- Nick Stubler, representing himself, testified in opposition to the bill. Mr. Stubler expressed his opinion that the bill will negatively impact his generation's ability to combat climate change. He characterized the bill as selfish and irresponsible.

04:58 PM -- Sarah Propst, representing Interwest Energy Alliance, testified in opposition to the bill. Ms. Propst discussed the renewable energy industry in Colorado. She expressed her opinion that the RES is working.

05:00 PM -- Lori Boydston, representing herself, testified in opposition to the bill. Ms. Boydston discussed her use of solar energy and thermal power in her home. She talked about her commitment to "saving the planet."

05:03 PM -- T.J. Slocum, representing Sunrun Solar, testified in opposition to the bill. Mr. Slocum spoke about the effect of the RES on Colorado's economy. He talked about solar energy companies in Colorado and the number of citizens they employ. He responded to questions from the committee.

05:12 PM -- Roger Freeman, representing the Colorado Clean Technology Industry Association, testified in opposition to the bill. Mr. Freeman commented that the RES is supported by many businesses in Colorado. He spoke about climate change. He responded to questions from the committee.

05:18 PM -- Gwen Farnsworth, representing Western Resource Advocates, testified in opposition to the bill. Ms. Farnsworth expressed her opinion that the bill would undo the good work accomplished by the RES. She spoke about the average subsidy of various types of energy on the Xcel Energy power system. She talked about the volatility of fossil fuel prices. She responded to questions from the committee.

05:25 PM -- Steven Winter, representing Clean Energy Action, testified in opposition to the bill. Mr. Winter spoke about the importance of the RES and clean energy. He responded to questions from the committee.

05:33 PM -- Ryan Famiglietti, Jared Minoi, and Breanna Huizar, representing themselves, testified in opposition to the bill. Mr. Famiglietti discussed air pollution and the RES. Ms. Huizar expressed her opinion that the bill is not what the state needs. Mr. Minoi expressed his opinion that climate change is the greatest threat to his generation. The witnesses responded to questions from the committee about the negative impacts of renewable energy sources.

















05:44 PM

Representative Thurlow wrapped up his presentation of the bill and asked for a favorable recommendation.
BILL:SB15-044
TIME: 05:49:49 PM
MOVED:Thurlow
MOTION:Refer Senate Bill 15-044 to the Committee of the Whole. The motion failed on a vote of 5-6.
SECONDED:Willett
VOTE
Foote
No
Humphrey
Yes
Lontine
No
Neville P.
Yes
Primavera
No
Tate
Yes
Thurlow
Yes
Tyler
No
Willett
Yes
Salazar
No
Ryden
No
YES: 5 NO: 6 EXC: 0 ABS: 0 FINAL ACTION: FAIL


























BILL:SB15-044
TIME: 05:50:32 PM
MOVED:Salazar
MOTION:Postpone Senate Bill 15-044 indefinitely. The motion passed on a vote of 6-5.
SECONDED:Foote
VOTE
Foote
Yes
Humphrey
No
Lontine
Yes
Neville P.
No
Primavera
Yes
Tate
No
Thurlow
No
Tyler
Yes
Willett
No
Salazar
Yes
Ryden
Yes
Final YES: 6 NO: 5 EXC: 0 ABS: 0 FINAL ACTION: PASS


05:50 PM

Representative Ryden announced that House Bill 15-1212 would be laid over to a future date.


05:51 PM

The committee adjourned.