First Regular Session Sixty-eighth General Assembly STATE OF COLORADO INTRODUCED LLS NO. 11-1049.01 Esther van Mourik HOUSE BILL 11-1308 HOUSE SPONSORSHIP Baumgardner, Becker, Bradford, Brown, Coram, Holbert, Joshi, Kerr J., McKinley, Murray, Ramirez, Scott, Swerdfeger SENATE SPONSORSHIP King S., Harvey, White House Committees Senate Committees Agriculture, Livestock, & Natural Resources A BILL FOR AN ACT Concerning the distribution of federal mineral leasing revenues related to naval oil shale reserves to affected counties in Colorado. Bill Summary (Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://www.leg.state.co.us/billsummaries.) The bill specifies that all moneys received by the state from the United States treasury out of the anvil points fund shall be directly transferred by the state treasurer to the county treasurers of the affected counties as follows: 40% to Garfield county; 40% to Rio Blanco county; 10% to Mesa county; and 10% to Moffat county. Be it enacted by the General Assembly of the State of Colorado: SECTION 1. 34-63-104, Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW SUBSECTION to read: 34-63-104. Special funds relating to oil shale lands - legislative declaration. (3) (a) The general assembly hereby finds and declares that: (I) Colorado is the location of two federal naval oil shale reserves (NOSR), numbers 1 and 3; (II) Congress passed the "Transfer Act", codified at 10 U.S.C. sec. 7439, which transfers administrative jurisdiction over NOSR 1 and 3 from the United States secretary of energy to the United States secretary of the interior and requires the secretary of the interior to manage the transferred lands through the federal bureau of land management; (III) The federal "Transfer Act" further specifies that royalties collected from NOSR 1 and 3 would be placed in the United States treasury and not distributed to the affected states until there was enough money in the treasury to reimburse the United States for previous costs incurred relating to the transferred lands and to provide for cleanup of the anvil points site at NOSR 3; (IV) Revenue from oil and gas leases on NOSR 3 generated money quickly, and when an accounting of the amount of moneys in the fund occurred in August 2008, the anvil points fund contained one hundred twelve million two hundred thousand dollars; (V) Of the one hundred twelve million two hundred thousand dollars in the anvil points fund as of August 2008, thirty-nine million four hundred thousand dollars was obligated to the federal government to pay for previous costs incurred at the site, twenty-four million dollars was obligated to pay for the actual cleanup of the site, and the forty-eight million eight hundred thousand dollars remaining in the fund should go to the state of Colorado for disbursement to the counties affected by NOSR 1 and 3 pursuant to section 35 of the federal "Mineral Leasing Act", 30 U.S.C. sec. 181 et seq.; (VI) Since the August 2008 accounting, the amount of moneys in the anvil points fund has continued to increase far beyond what was needed to reimburse the federal government and to pay for the cleanup at the anvil points site; (VII) It was understood that once there was enough money to reimburse the federal government and to pay for the cleanup of the anvil points site, the remaining moneys in the fund would be distributed to the affected counties of Garfield, Rio Blanco, Mesa, and Moffat; (VIII) Due to an oversight in the federal "Transfer Act", the remaining moneys will remain in the United States treasury instead of being disbursed to the state of Colorado pursuant to the federal "Mineral Leasing Act" unless there is federal legislation directing such disbursement; and (IX) In 2009, United States Senators Mark Udall and Michael Bennett introduced bills to require the remaining moneys in the anvil points fund to be transferred from the United States treasury to the affected counties of the state of Colorado, but the legislation was never passed. (b) Pursuant to the authority specified in section 34-63-101, all moneys received by the state from the United States treasury out of the anvil points fund shall be directly transferred by the state treasurer to the county treasurers of the affected counties as follows: (I) Forty percent to Garfield county; (II) Forty percent to Rio Blanco county; (III) Ten percent to Mesa county; and (IV) Ten percent to Moffat county. SECTION 2. Safety clause. The general assembly hereby finds, determines, and declares that this act is necessary for the immediate preservation of the public peace, health, and safety.