Final
STAFF SUMMARY OF MEETING

HOUSE COMMITTEE ON TRANSPORTATION & ENERGY

Date:02/15/2006
ATTENDANCE
Time:01:43 PM to 02:59 PM
Borodkin
*
Green
X
Place:HCR 0112
Hefley
X
Knoedler
X
This Meeting was called to order by
Larson
X
Representative Pommer
Lindstrom
X
Ragsdale
X
This Report was prepared by
Sullivan
X
Jamila Rockette
Welker
X
McFadyen
X
Pommer
X
X = Present, E = Excused, A = Absent, * = Present after roll call
Bills Addressed: Action Taken:
HB06-1281
HB06-1294		Amended, Referred to Appropriations
Amended, Referred to Appropriations


01:44 PM -- House Bill 06-1281

Representative Pommer, prime sponsor, presented House Bill 06-1281 which directs the Public Utilities Commission (PUC) to approve the development of integrated gasification combined cycle electric generation facilities upon a showing of feasibility, environmental benefits, and cost-effectiveness. The bill allows the PUC to recover the costs incurred from conducting the forementioned studies through an adjustment clause, and encourages the Governor's Office of Energy Management and Conservation as well as other state agencies to assist public utilities in developing proposals and applying for federal or state financial assistance.

Representative Pommer distributed two handouts, one from the Colorado Apollo Alliance (Attachment A), and another from a coalition of groups, supporting House Bill 06-1281 (Attachment B).

01:50 PM

Frank Prager, with Xcel Energy, spoke in support of the bill. Mr. Prager discussed the integrated gasification combined cycle (IGCC) process and distributed a handout (Attachment C) that explains the IGCC process as well.

Responding to questions from members, Representative Pommer explained that this technology has been used approximately four times in the world, but only at lower altitudes. Representative Pommer stated that the planning phase allows decision makers to know whether or not this technology will work with western coal and at lower altitudes. Representative Pommer also stated that the required funding for this project, $3 million, is available only if House Bill 06-1322 becomes state law. House Bill 06-1322 transfers $6 million annually for three years from the operational account of the Severance Tax Trust Fund into a newly created Clean Energy Development Fund.



Mr. Prager explained that the site for the IGCC facility needs to be at a place where the site will easily have transmission access to send electricity back to its load, primarily the Front Range, and where it will have access to rails to provide the coal, access to oil fields for the operators to put the carbon dioxide emanating from the system, and access to water.

01:57 PM

Fred Stoffel, Vice President of Policy Development for Xcel Energy, testified in support of the bill. Mr. Stoffel explained the phases of the project. He stated that the first phase of the project, the project development phase, will be funded by severance tax revenue. After that phase, participating state agencies will petition the federal government for additional funding. After the project is fully developed, the participating state agencies will apply for a certificate of public convenience and necessity from the PUC so that they may go forward with the facility.

02:08 PM

Ray Clifton, Executive Director of the Colorado Rural Electric Association, testified in support of the bill. Mr. Clifton stated that the state has an abundance of coal, and while the project is experimental, it is needed to move the energy industry forward.

02:12 PM

Eric Guidry, Energy Program Staff Attorney for Western Resource Advocates, testified in support of the bill. Mr. Guidry stated that the IGCC technology's improved environmental performance, more efficient design, and rate payer benefits makes it a good investment for rate payers and the environment.

02:13 PM

Stuart Sanderson, President of the Colorado Mining Association (CMA), testified in support of the bill. Mr. Sanderson stated that Colorado coal is very low in sulfur and very high in energy, designating it as super-compliance coal. Mr. Sanderson stated that the future of this industry and our energy security is dependent on the continued refinement of clean coal technologies.



02:19 PM

Representative Pommer distributed and explained amendment L.002 (Attachment D).
BILL:HB06-1281
TIME: 02:19:00 PM
MOVED:Pommer
MOTION:Moved amendment L.002 (Attachment D). The motion passed without objection.
SECONDED:Sullivan
VOTE
Borodkin
Green
Hefley
Knoedler
Larson
Lindstrom
Ragsdale
Sullivan
Welker
McFadyen
Pommer
Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection
BILL:HB06-1281
TIME: 02:20:46 PM
MOVED:Pommer
MOTION:Moved to refer House Bill 06-1281, as amended, to the Committee on Appropriations. The motion passed 11-0.
SECONDED:Larson
VOTE
Borodkin
Yes
Green
Yes
Hefley
Yes
Knoedler
Yes
Larson
Yes
Lindstrom
Yes
Ragsdale
Yes
Sullivan
Yes
Welker
Yes
McFadyen
Yes
Pommer
Yes
Final YES: 11 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS




02:22 PM -- House Bill 06-1294

Representative Decker, prime sponsor, presented House Bill 06-1294 which creates a rebuilder's title for a motor vehicle. The bill requires an applicant for a rebuilder's title to furnish a statement indicating the means by which the applicant acquired the vehicle, the source of the vehicle's title of ownership, and other information the Department of Revenue (DOR) may require. The bill also requires the applicant to furnish a bond and evidence that the applicant has had a certified vehicle identification number inspection performed on the vehicle. After certain conditions are met, DOR must issue to the rebuilder's title holder a standard title and a new vehicle identification number (VIN).

Representative Decker stated that hobbyists, or rebuilders, need a way to claim or prove ownership while they are making a vehicle that is 25 years or older roadworthy. He stated that in the past rebuilders have invested thousands of dollars and hundreds of hours of work into repairing a vehicle only to have the original owner claim the vehicle; and that under current law, the rebuilder must return the vehicle to the original owner without any ability to recover their investment.

02:28 PM

Don Whissen, member of the Old Car Council of Colorado (OCCC), testified in support of the bill. Mr. Whissen stated that most of the cars that rebuilders acquire do have titles, but occasionally they do not. Mr. Whissen stated that if the vehicle is not roadworthy it is issued a salvage title, which stays with the vehicle for the remainder of the vehicle's life. He stated that the salvage title depreciates the value of the vehicle, but House Bill 06-1294 will give the vehicle a rebuilder's title, which will certify that the rebuilder has ownership of the title and may begin investing money in and rebuilding it. Mr. Whissen stated that once the vehicle is roadworthy, the rebuilder will bring the vehicle to DOR for another VIN inspection and title search and if everything is fine the rebuilder is given a clear title with no restrictions.

Responding to questions from members, Mr. Whissen stated that he did not have personal experience of unknowingly purchasing a vehicle that had been stolen in the past, but that he was familiar with that situation happening to other rebuilders.

02:33 PM

Richard Fritz, representing the OCCC, testified in support of the bill. Mr. Fritz stated that he would like a procedure whereby DOR can process a title soon after a rebuilder finds an abandoned vehicle. He stated that if a rebuilder immediately applies for a title for a car that is not roadworthy the rebuilder risks the vehicle being designated as salvage. Rebuilders would like to have the VIN run as soon as possible to ensure the vehicle is not stolen. Mr. Fritz stated that the title should establish ownership, not roadworthiness.

02:36 PM

Harold Naber, representing the Old Car Council of Colorado, testified in support of the bill. Mr. Naber stated that under current law, individuals have 45 days from the date of receiving the bill of sale to apply for a title. He stated that this process is fine if the vehicle is roadworthy, but not for vehicles that need significant work to make them roadworthy. Mr. Naber stated that rebuilders simply want to make sure the vehicles are not stolen before investing money in them.



02:39 PM

PJ Taylor, representing the County Clerks Association (CCA), testified in support of the bill. Ms. Taylor stated the CCA would like a procedure to ensure that the vehicles have some sort of ownership document that they can use to transfer into a title when the vehicle is roadworthy. Responding to questions from members, Ms. Taylor stated that the clerks have little to do with the fiscal note and could not address DOR's calculations. The fiscal note has an anticipated cash fund impact of $133,700. She stated that she believes the fiscal impact is a result of required programming for CSTARS, DOR's motor vehicle registration computer system.

02:46 PM

Jim Kautz, Detective for the Westminster Police Department, testified in support of the bill. Mr. Kautz stated that he would like to see that the vehicle the rebuilder begins investing in remains in their ownership and is not later hampered by someone trying to claim ownership.

02:53 PM

John Mack, representing the OCCC did not testify, but Representative McFadyen noted for the record that Mr. Mack supports House Bill 06-1294.
BILL:HB06-1294
TIME: 02:53:47 PM
MOVED:Pommer
MOTION:Moved amendment L.001 (Attachment E). The motion passed without objection.
SECONDED:Ragsdale
VOTE
Borodkin
Green
Hefley
Knoedler
Larson
Lindstrom
Ragsdale
Sullivan
Welker
McFadyen
Pommer
Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:HB06-1294
TIME: 02:55:26 PM
MOVED:Pommer
MOTION:Moved amendment L.002 (Attachment F). The motion passed without objection.
SECONDED:Ragsdale
VOTE
Borodkin
Green
Hefley
Knoedler
Larson
Lindstrom
Ragsdale
Sullivan
Welker
McFadyen
Pommer
Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection

02:56 PM

Representative Decker gave his closing remarks.
BILL:HB06-1294
TIME: 02:57:21 PM
MOVED:Pommer
MOTION:Move to refer House Bill 06-1294, as amended, to the Committee on Appropriations. The motion passed 10-0.
SECONDED:Hefley
VOTE
Borodkin
Yes
Green
Yes
Hefley
Yes
Knoedler
Yes
Larson
Excused
Lindstrom
Yes
Ragsdale
Yes
Sullivan
Yes
Welker
Yes
McFadyen
Yes
Pommer
Yes
Final YES: 10 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: PASS

02:59 PM

The committee adjourned.