SB 20-038 — Statewide Biodiesel Blend Requirement Diesel Fuel Sales

Second Regular Session Seventy-second General Assembly STATE OF COLORADO ENGROSSEDREENGROSSED This Version Includes All Amendments Adopted on Second Reading in the House of Introduction LLS NO.

20-0339.01 Jennifer Berman x3286 SENATE BILL 20-038 SENATE SPONSORSHIP Fenberg, WinterWinter, Bridges, Gonzales, Hansen, Lee, Moreno HOUSE SPONSORSHIP Jaquez Lewis,Lewis and Young, Senate Committees House Committees Transportation & Energy A BILL FOR AN ACT C ONCERNING THE ESTABLISHMENT OF A STATEWIDE STANDARD FOR THE SALE OF BIODIESEL -BLENDEDBLENDED DIESEL FUEL IN C OLORADO .

This summary applies to this bill as introduced and does notreflectanyamendmentsthatmaybesubsequentlyadopted.Ifthisbill i 0 passes third reading in the house of introduction, a bill summary that a 0 applies to the reengrossed version of this bill will be available at E R , A r 4 http://leg.colorado.gov/.) N 3 a S e r n e EnergyLegislationReviewInterimStudyCommittee.Thebill m F requires that all diesel fuel sold or offered for sale in Colorado between A June 1 and September 15 of each year, commencing June 1, 2021, be blendedwithandcontainatleast5%biodieselandthatalldieselfuelsold g orofferedforsalein Colorado between June 1 and September15of each di 0a 2 year,commencingJune1,2023,beblendedwithandcontainatleast10% eE 0R 2 T Rd ,1 AN 2 3y Shading denotes HOUSE amendment.

ES de a Capital letters or bold & italic numbers indicate new material to be added to existing statune.n Dashes through the words indicate deletions from existing statute.

Dashes through the words indicate deletions from existing statute.

(A) ESTABLISH A WAIVER PROCESS BY WHICH A DISTRIBUTOR OR RETAILER OF DIESEL FUEL OR A REFINER OR TERMINAL OPERATOR IN C OLORADO MAY SEEK A TEMPORARY WAIVER FROM THE REQUIREMENTS SET FORTHFORTHINSUBSECTIONS IN(1)(aAND SUBSECTION(1)(b)(II)(OFTHISSECTIONFOR (1)(a)OFGOODCAUSESHOWN THIS,SUCHASDEMONSTRATINGANEXTREMEDISRUPTION SECTION FOR GOOD CAUSE SHOWN , SUCH AS DEMONSTRATING AN EXTREME DISRUPTION OR -2- 038 OR LIMITATION IN THE SUPPLY OF DIESEL OR BIODIESEL OR EXTREME WEATHER CONDITIONS;ANDCONDITIONS ;AND (B) FOR A BILL OF LADING ,REQUIRE THE LABELING OF BIODIESEL-BLENDED FUEL TO REFLECT THE PERCENTAGE OF BIODIESEL INCLUDEDINTHEBLENDEDFUELWHENTHEBLENDISEQUALTOORABOVE FIVE PERCENT BIODIESE(B5);AND (II) MAY PROMULGATE ADDITIONAL RULES TO IMPLEMENT THIS SECTION AS THE DIRECTOR DEEMS NECESSARY ,WHICH RULES MAY INCLUDE:

(d) "RENEWABLE DIESEL" MEANS DIESEL "HASFUEL CONFORMING TO THE MEANINGSPECIFICATIONS SETOASTM FORTHD975 INTHAT 26IS U.S.C.SEC.MADE FROM RENEWABLE (NONPETROLEUM )FEEDSTOCKSANDISNOTAMONO ALKYLESTER ;EXCEPT THAT "RENEWABLEDIESEL "DOESNOTINCLUDERENEWABLEFUELTHATIS CO-PROCESSED WITH PETROLEUM .

40A (f).

(g) Administrative costs necessaryfor the implementation of this articleanARTICLE20.5,section8-20-206.ANDSECTIONarticleandRTICLE20.5,section8-20-206.ANDSECTION 8-20-236;AND (h) FUEL QUALITY TESTIN.

except that, if a -5- 038 referendum petition is filed pursuant to section 1 (3) of article V of the state constitution against this act or an item, section, or part of this act within such period, then the act, item, section, or part will not take effect -5- 038 unless approved by the people at the general election to be held in November 2020 and, in such case, will take effect on the date of the official declaration of the vote thereon by the governor.