SB 3

NOTE: This bill has been prepared for the signatures of the appropriate legislative
officers and the Governor. To determine whether the Governor has signed the bill
or taken other action on it, please consult the legislative status sheet, the legislative
history, or the Session Laws.
     SENATE BILL 26-003
     BY SENATOR(S) Wallace and Cutter, Amabile, Ball, Benavidez, Bridges,
     Danielson, Exum, Gonzales J., Hinrichsen, Jodeh, Kipp, Lindstedt, Roberts,
     Sullivan, Weissman, Coleman;
     also REPRESENTATIVE(S) Brown and Stewart R., Boesenecker,
     Gonzalez R., Lindsay, Martinez, Mauro, McCormick, Ricks, Smith,
     Velasco.
     CONCERNING EXPANDING THE SCOPE OF THE "BATTERY STEWARDSHIP ACT"
          TO COVER THE END-OF-LIFE MANAGEMENT OF ELECTRIC VEHICLE
          BATTERIES.
     Be it enacted by the General Assembly of the State of Colorado:
            SECTION 1. Short title. The short title of this act is the
     "Promoting Responsible End-of-Life Management of Electric Vehicle
     Batteries Act".
            SECTION 2. In Colorado Revised Statutes, 25-17-1002, amend
     (2); and add (1.5) as follows:
             25-17-1002. Legislative declaration.
     ________
     Capital letters or bold & italic numbers indicate new material added to existing law; dashes
     through words or numbers indicate deletions from existing law and such material is not part of
     the act.
       (1.5) THE GENERAL ASSEMBLY FURTHER FINDS THAT:
       (a) ELECTRIC VEHICLES ARE CRUCIAL TOOLS FOR REDUCING
GREENHOUSE GAS EMISSIONS, WHICH THE STATE IS STRIVING TO ELIMINATE
BY 2050. ELECTRIC VEHICLES ARE ALSO VITAL TO REDUCING LOCAL AIR
POLLUTION IN AREAS OF THE STATE, SUCH AS THE DENVER METRO AND
NORTH FRONT RANGE AREAS, THAT THE FEDERAL ENVIRONMENTAL
PROTECTION AGENCY HAS DESIGNATED AS BEING IN NONATTAINMENT WITH
A NATIONAL AMBIENT AIR QUALITY STANDARD. TO ACHIEVE EMISSION
REDUCTIONS NEEDED TO MEET STATE-MANDATED CLIMATE GOALS AND
FEDERALLY REQUIRED OZONE LEVELS, MANY MORE ELECTRIC VEHICLES WILL
NEED TO BE DEPLOYED IN COLORADO.
       (b) AS ELECTRIC VEHICLE SALES IN THE STATE CONTINUE TO GROW,
SUBSTANTIALLY MORE ELECTRIC VEHICLES WILL BE RETIRED IN THE COMING
YEARS, AND THEIR BATTERIES, KNOWN AS PROPULSION BATTERIES, WILL
NEED RESPONSIBLE END-OF-LIFE MANAGEMENT;
       (c) PROPULSION BATTERIES OFTEN RETAIN VALUE EVEN AFTER THEY
CEASE TO POWER THE ORIGINAL VEHICLES INTO WHICH THEY WERE PLACED
AND CAN BE REUSED, REMANUFACTURED, REPURPOSED, OR RECYCLED.
EXTENDING THE USEFUL LIFESPAN OF PROPULSION BATTERIES IMPROVES THE
SUSTAINABILITY PROFILE OF THE ELECTRIC VEHICLE INDUSTRY AND CREATES
LOCAL ECONOMIC OPPORTUNITIES.
      (d) MULTIPLE ANALYSES HAVE ESTABLISHED THAT EXPENSIVE AND
HAZARDOUS RISKS RESULT FROM THE IMPROPER HANDLING, STORAGE, AND
DISPOSAL OF PROPULSION BATTERIES; AND
       (e) UNWANTED PROPULSION BATTERIES THAT ARE STORED
IMPROPERLY INSTEAD OF BEING SORTED FOR REUSE, REMANUFACTURING,
REPURPOSING, OR ULTIMATE RECYCLING AND RECOVERY OF VALUABLE
MATERIALS COULD POTENTIALLY REDUCE THE ENVIRONMENTAL BENEFITS OF
A ROBUST CIRCULAR ECONOMY FOR PROPULSION BATTERIES WHILE ALSO
INCREASING THE RISK OF BATTERY FIRES. A ROBUST EXTENDED PROVIDER
RESPONSIBILITY POLICY IS NEEDED TO ENABLE A PROPULSION BATTERY
CIRCULAR ECONOMY.
       (2) The general assembly therefore declares that it is in the public
interest of Colorado to:
PAGE 2-SENATE BILL 26-003
       (a) Require producers of batteries AND PROVIDERS OF PROPULSION
BATTERIES to finance and implement a coordinated, state-approved system
that increases access to the safe disposal AND RESPONSIBLE END-OF-LIFE
MANAGEMENT of batteries in Colorado;
     (b) REDUCE THE INHERENT RISK OF FIRE THAT CAN OCCUR WHEN
PROPULSION BATTERIES ARE IMPROPERLY DISPOSED OF; AND
       (c) ENCOURAGE THE REUSE, REMANUFACTURING, AND REPURPOSING
OF PROPULSION BATTERIES AND THE ULTIMATE RECYCLING AND RECOVERY
OF THE VALUABLE MATERIALS IN A PROPULSION BATTERY THAT CAN BE PUT
BACK INTO THE SUPPLY CHAIN.
       SECTION 3. In Colorado Revised Statutes, 25-17-1003, amend
(8)(b)(VI); and add (1.5), (2.5), (8.5), (10.5), (12.5), (13.5), (19.5), (23.3),
(23.5), (23.7), (23.9), (24.5), (26.3), (26.5), (26.7), (26.8), (26.9), (27.1),
(27.2), (27.3), (27.4), (27.5), (27.6), and (30.5) as follows:
       25-17-1003. Definitions - rules.
       As used in this part 10, unless the context otherwise requires:
      (1.5) "BATTERY" MEANS A DEVICE CONSISTING OF ONE OR MORE
ELECTRICALLY CONNECTED ELECTROCHEMICAL CELLS, WHICH DEVICE IS
DESIGNED TO RECEIVE, STORE, AND DELIVER ELECTRIC ENERGY.
      (2.5) "BATTERY MANAGEMENT HIERARCHY" MEANS THE PROCESS OF
SECONDARY HANDLERS, REMANUFACTURERS , REPURPOSERS, AND
PROPULSION BATTERY PROVIDERS FIRST STRIVING TO REUSE, REPURPOSE, OR
REMANUFACTURE PROPULSION BATTERIES, WHEN DOING SO IS POSSIBLE AND
COST-EFFECTIVE, BEFORE PROPULSION BATTERY RECYCLING.
       (8) (b) "Covered battery" does not include:
       (VI) A battery, INCLUDING A PROPULSION BATTERY, assembled by
or for a vehicle manufacturer, or franchised dealer, that is designed to
power a motor vehicle, a part of a motor vehicle, or a component part of a
motor vehicle, including a replacement part for use in a motor vehicle.
       (8.5) "CRITICAL MINERALS" MEANS MINERALS DESIGNATED AS
PAGE 3-SENATE BILL 26-003
CRITICAL MINERALS BY THE UNITED STATES SECRETARY OF THE INTERIOR,
ACTING THROUGH THE DIRECTOR OF THE UNITED STATES GEOLOGICAL
SURVEY, PURSUANT TO 30 U.S.C. SEC. 1606 (c).
      (10.5) (a)      "DISPOSITIONING"
                                    OR "DISPOSITIONED" MEANS
EVALUATING A PROPULSION BATTERY TO DETERMINE THE MOST SUITABLE
BATTERY MANAGEMENT OPTION BASED ON METRICS SUCH AS THE
CHEMISTRY, CONDITION, FORMAT, AND LOCATION OF THE PROPULSION
BATTERY.
      (b)      "DISPOSITIONING"
                             OR "DISPOSITIONED" MAY INCLUDE
EVALUATING A PROPULSION BATTERY FOR SECONDARY USE BY A
REPURPOSER OR A PROPULSION BATTERY RECYCLER.
      (12.5)      "EDUCATION AND OUTREACH PLAN" MEANS A PLAN
SUBMITTED BY A PROPULSION BATTERY PROVIDER OR GROUP OF PROPULSION
BATTERY PROVIDERS TO THE EXECUTIVE DIRECTOR PURSUANT TO SECTION
25-17-1019 (2).
      (13.5) "END OF LIFE" MEANS:
      (a) THE STAGE WHEN A COVERED BATTERY IS NO LONGER SUITABLE
FOR USE AS A BATTERY AND MUST BE RECYCLED; OR
      (b)   THE STAGE WHEN A PROPULSION BATTERY IS NO LONGER
SUITABLE FOR USE AS A PROPULSION BATTERY OR FOR REPURPOSING AND IS
DIRECTED FOR PROPULSION BATTERY RECYCLING.
      (19.5) "ORPHANED BATTERY" MEANS:
      (a)   A PROPULSION BATTERY THAT HAS AN UNIDENTIFIABLE
PROPULSION BATTERY PROVIDER OR REMANUFACTURER OR A PROPULSION
BATTERY PROVIDER OR REMANUFACTURER THAT NO LONGER EXISTS; OR
      (b) AN UNWANTED PROPULSION BATTERY THAT HAS NOT BEEN
COLLECTED OR MANAGED  IN   ACCORDANCE   WITH   THE   BATTERY
MANAGEMENT HIERARCHY.
      (23.3)      "PROPULSION BATTERY" MEANS A BATTERY THAT IS
PRIMARILY USED TO SUPPLY POWER TO PROPEL A BATTERY ELECTRIC MOTOR
PAGE 4-SENATE BILL 26-003
VEHICLE, AS DEFINED IN SECTION 43-4-1202 (1.5), A PLUG-IN HYBRID
ELECTRIC MOTOR VEHICLE, AS DEFINED IN SECTION 43-4-1202 (14), OR A
HYBRID VEHICLE, AS DEFINED IN SECTION 42-4-1012 (2.5)(a)(III).
      (23.5) (a) "PROPULSION BATTERY PROVIDER" MEANS:
       (I) A PERSON THAT FIRST SELLS, OFFERS FOR SALE, OR DISTRIBUTES
A PROPULSION BATTERY OR A VEHICLE CONTAINING A PROPULSION BATTERY
IN OR INTO THE STATE, INCLUDING VEHICLE MANUFACTURERS LICENSED
PURSUANT TO APPLICABLE STATE LAWS OR PROPULSION BATTERY
MANUFACTURERS THAT DISTRIBUTE PROPULSION BATTERIES UNDER THEIR
OWN NAME OR BRAND;
       (II) IF THERE IS NOT A PERSON THAT SUBSECTION (23.5)(a)(I) OF THIS
SECTION APPLIES TO, THE OWNER OR LICENSEE OF THE BRAND OR
TRADEMARK UNDER WHICH THE PROPULSION BATTERY IS SOLD, OFFERED FOR
SALE, OR DISTRIBUTED IN OR INTO THE STATE. THIS INCLUDES AN EXCLUSIVE
LICENSEE WITH THE EXCLUSIVE RIGHT TO USE THE BRAND OR TRADEMARK
IN CONNECTION WITH THE DISTRIBUTION OR SALE OF PROPULSION BATTERIES.
       (III) IF THERE IS NOT A PERSON THAT SUBSECTION (23.5)(a)(I) OR
(23.5)(a)(II) OF THIS SECTION APPLIES TO, THE PERSON THAT IMPORTS THE
PROPULSION BATTERY INTO THE STATE FOR SALE, DISTRIBUTION, OR
INSTALLATION.
      (b) "PROPULSION BATTERY PROVIDER" DOES NOT INCLUDE:
      (I) A DEALER OF A VEHICLE CONTAINING A PROPULSION BATTERY;
      (II)   A SECONDARY HANDLER THAT SELLS, OFFERS FOR SALE,
REGISTERS, OR DISTRIBUTES A VEHICLE CONTAINING A PROPULSION BATTERY
IN OR INTO THE STATE; OR
      (III) A PERSON THAT SELLS A USED VEHICLE IN OR INTO THE STATE.
      (c) FOR THE PURPOSES OF THIS SUBSECTION (23.5), THE SALE OF A
PROPULSION BATTERY OCCURS IN THE STATE IF THE PROPULSION BATTERY,
OR THE VEHICLE CONTAINING THE PROPULSION BATTERY, IS DELIVERED TO
A LICENSED DEALER OR DIRECTLY TO A CONSUMER IN THE STATE.
PAGE 5-SENATE BILL 26-003
      (23.7) (a) "PROPULSION BATTERY RECYCLER" MEANS AN ENTITY OR
FACILITY THAT:
      (I) OPERATES IN ACCORDANCE WITH ALL REQUIRED PERMITS AND
REGULATORY EXCLUSIONS IN ALL APPLICABLE FEDERAL, STATE, AND LOCAL
LAWS;
      (II) CONDUCTS PROPULSION BATTERY RECYCLING; AND
      (III) PERFORMS AT LEAST ONE OF THE FOLLOWING ACTIVITIES:
      (A) EXTRACTS AND SEPARATES MATERIALS FROM END-OF-LIFE
PROPULSION BATTERIES , INCLUDING METALS , COMPOUNDS , OR
INTERMEDIATE FRACTIONS, AND DIRECTS THESE MATERIALS TO ONE OR MORE
ADDITIONAL PROPULSION BATTERY RECYCLERS FOR FURTHER PROCESSING
OR REFINING; OR
       (B) REFINES END-OF-LIFE PROPULSION BATTERIES OR PROPULSION
BATTERY MATERIALS, SUCH AS ALUMINUM, COBALT, COPPER, GRAPHITE,
IRON, LITHIUM COMPOUNDS, MANGANESE, AND NICKEL, BACK TO USEABLE
MATERIALS SUITABLE FOR REINTRODUCTION INTO BATTERY ,
MANUFACTURING, OR OTHER INDUSTRIAL SUPPLY CHAINS.
      (b) "PROPULSION BATTERY RECYCLER" DOES NOT INCLUDE AN
ENTITY OR FACILITY THAT ONLY ENGAGES IN THE COLLECTION OR
TRANSPORTATION OF, OR THE LOGISTICS OF MOVING, PROPULSION BATTERIES
OR PROPULSION BATTERY MATERIALS DURING THE RECYCLING PROCESS.
      (23.9) (a)   "PROPULSION BATTERY RECYCLING" MEANS THE
RECOVERY OF CRITICAL MINERALS THAT ARE PRESENT IN THE PROPULSION
BATTERY FEEDSTOCK, USING ONE OR MORE PROPULSION BATTERY
RECYCLERS.
      (b) (I) "PROPULSION BATTERY RECYCLING" DOES NOT INCLUDE
DISPOSAL OR SHAM RECYCLING UNDER THE FEDERAL "RESOURCE
CONSERVATION AND RECOVERY ACT OF 1976", 42 U.S.C. SEC. 6901 ET SEQ.,
OR OTHER APPLICABLE FEDERAL LAW.
      (II)   FOR THE PURPOSES OF THIS SUBSECTION (23.9)(b), SHAM
RECYCLING AND LEGITIMATE RECYCLING ARE DETERMINED IN ACCORDANCE
PAGE 6-SENATE BILL 26-003
WITH THE LEGITIMACY CRITERIA SET FORTH IN 40 CFR 260.43.
      (24.5) (a) "RECOVERY" MEANS THE EXTRACTION, SEPARATION, OR
REGENERATION OF CRITICAL MINERALS OR CATHODE MATERIALS IN THEIR
ELEMENTAL, COMPOUND, OR INTERMEDIATE FORM, SUCH AS REFINED
METALS, SALTS, OXIDES, HYDROXIDES, OR REGENERATED CATHODE
MATERIALS, OR OTHER COMMERCIALLY USABLE FORMS.
      (b) "RECOVERY" DOES NOT INCLUDE LITHIUM RECOVERED AS SLAG
AND USED AS CONCRETE ADDITIVES.
       (26.3) "REMANUFACTURE" MEANS A STANDARDIZED INDUSTRIAL
PROCESS THROUGH WHICH BATTERY CORES ARE RETURNED TO SAME-AS-NEW
OR BETTER CONDITION AND PERFORMANCE, WHICH PROCESS IS IN LINE WITH
SPECIFIC TECHNICAL SPECIFICATIONS INCLUDING ENGINEERING, QUALITY,
AND TESTING STANDARDS.
      (26.5)    "REMANUFACTURER"       MEANS    A   PERSON   THAT
REMANUFACTURES A PROPULSION BATTERY.
      (26.7)  "REPURPOSE" MEANS THE PROCESS OF MODIFYING A
PROPULSION BATTERY OR PROPULSION BATTERY PACK, MODULE, OR CELL TO
STORE AND SUPPLY ELECTRICITY IN A MANNER OTHER THAN THE ORIGINAL
INTENDED PURPOSE OF THE PROPULSION BATTERY.
     (26.8) "REPURPOSER" MEANS A PERSON THAT USES A PROPULSION
BATTERY TO FULFILL A DIFFERENT USE THAN THE USE FOR WHICH THE
PROPULSION BATTERY WAS ORIGINALLY DESIGNED.
      (26.9) "RESPONSIBLE PROPULSION BATTERY MANAGEMENT" MEANS
ENSURING A PROPULSION BATTERY IS DISPOSITIONED AND MANAGED
PURSUANT TO THE BATTERY MANAGEMENT HIERARCHY, WHILE ALSO
ENSURING THAT ANY PROPULSION BATTERY NO LONGER SUITABLE FOR USE
IN A VEHICLE IS ULTIMATELY DIRECTED TO EITHER A REPURPOSER OR A
PROPULSION BATTERY RECYCLER.
      (27.1) "REUSE" MEANS THE USE OF A PROPULSION BATTERY IN A
VEHICLE OTHER THAN THE ORIGINAL VEHICLE INTO WHICH THE PROPULSION
BATTERY WAS PLACED.
PAGE 7-SENATE BILL 26-003
       (27.2) (a) "SECONDARY HANDLER" MEANS A COMMERCIAL ENTITY
OTHER THAN THE PROPULSION BATTERY PROVIDER THAT TAKES POSSESSION
OF A PROPULSION BATTERY OR REMOVES A PROPULSION BATTERY FROM A
VEHICLE FOR THE PURPOSE OF SELLING, DISPOSITIONING, REPAIRING,
REUSING, OR RECYCLING THE PROPULSION BATTERY WITH A PROPULSION
BATTERY RECYCLER.
      (b) "SECONDARY HANDLER" INCLUDES A SOLID WASTE DISPOSAL SITE
AND FACILITY.
      (27.3) "SOLID WASTE COLLECTOR" MEANS A PERSON THAT OPERATES
COLLECTION ROUTES FOR THE REMOVAL OF SOLID WASTE FROM
RESIDENTIAL, MULTIRESIDENTIAL, COMMERCIAL, OR INDUSTRIAL PREMISES.
      (27.4) "SOLID WASTE DISPOSAL SITE AND FACILITY" HAS THE SAME
MEANING AS "SOLID WASTES DISPOSAL SITE AND FACILITY" AS DEFINED IN
SECTION 30-20-101 (8).
      (27.5) "STATE OF CHARGE" MEANS THE MEASURE OF A PROPULSION
BATTERY'S REMAINING CAPACITY, EXPRESSED AS A PERCENTAGE OF ITS
TOTAL CAPACITY.
      (27.6) "STATE OF HEALTH" MEANS A CALCULATED PARAMETER THAT
CORRELATES TO USABLE PROPULSION BATTERY ENERGY FOR THE CERTIFIED
RANGE VALUE AND IS NORMALIZED FROM ZERO TO ONE HUNDRED PERCENT.
     (30.5) (a) "UNWANTED PROPULSION BATTERY" MEANS A PROPULSION
BATTERY THAT IS NO LONGER WANTED BY THE OWNER.
      (b) "UNWANTED PROPULSION BATTERY" INCLUDES A PROPULSION
BATTERY THAT HAS BEEN DAMAGED, INCLUDING IN A THERMAL RUNAWAY
INCIDENT.
        SECTION 4. In Colorado Revised Statutes, 25-17-1012, amend
(2)(b); and add (3) as follows:
      25-17-1012.       Annual fee - battery stewardship fund -
responsibilities of the executive director - rules.
      (2) (b) The fund consists of fees paid to the department pursuant to
PAGE 8-SENATE BILL 26-003
subsection (1) SUBSECTIONS (1) AND (3) of this section and any other money
that the general assembly may appropriate or transfer to the fund.
      (3) (a) (I) IN ADDITION TO THE ANNUAL FEE DESCRIBED IN
SUBSECTION (3)(b) OF THIS SECTION, A PROPULSION BATTERY PROVIDER
SHALL PAY A PROGRAM INITIATION FEE. THE PROGRAM INITIATION FEE MUST
BE SPLIT INTO THREE PAYMENTS, AND A PROPULSION BATTERY PROVIDER
SHALL MAKE ONE OF EACH OF THE PAYMENTS ON JULY 1, 2027, JULY 1, 2028,
AND JULY 1, 2029, RESPECTIVELY. THE SUM OF THE PROGRAM INITIATION
FEES PAID BY PROPULSION BATTERY PROVIDERS IN A GIVEN YEAR MUST
OFFSET ANY GENERAL FUND ALLOCATIONS BY COVERING ANY COSTS
INCURRED BY THE DEPARTMENT IN IMPLEMENTING SECTION 25-17-1019.
      (II) THE PROGRAM INITIATION FEE AMOUNT REQUIRED TO BE PAID BY
EACH PROPULSION BATTERY PROVIDER IS BASED ON EACH PROPULSION
BATTERY PROVIDER'S PERCENTAGE OF ALL PROPULSION BATTERY VEHICLES
REGISTERED IN THE STATE, ACCORDING TO REGISTRATION DATA COLLECTED
BY THE DIVISION OF MOTOR VEHICLES IN THE DEPARTMENT OF REVENUE AS
OF APRIL 26, 2026, AS FOLLOWS:
      (A) A PROPULSION BATTERY PROVIDER THAT IS RESPONSIBLE FOR
MORE THAN FIVE PERCENT OF ALL PROPULSION BATTERY VEHICLES
REGISTERED IN THE STATE AS OF APRIL 26, 2026, SHALL PAY A PROGRAM
INITIATION FEE OF TWENTY-NINE THOUSAND SEVEN HUNDRED DOLLARS,
CONSISTING OF THREE SEPARATE PAYMENTS OF NINE THOUSAND NINE
HUNDRED DOLLARS, EACH MADE ON JULY 1, 2027; JULY 1, 2028; AND JULY
1, 2029, RESPECTIVELY;
      (B) A PROPULSION BATTERY PROVIDER THAT IS RESPONSIBLE FOR
MORE THAN TWO PERCENT BUT NO MORE THAN FIVE PERCENT OF ALL
PROPULSION BATTERY VEHICLES REGISTERED IN THE STATE AS OF APRIL 26,
2026, SHALL PAY A PROGRAM INITIATION FEE OF FOURTEEN THOUSAND EIGHT
HUNDRED FIFTY DOLLARS, CONSISTING OF THREE SEPARATE PAYMENTS OF
FOUR THOUSAND NINE HUNDRED FIFTY DOLLARS, EACH MADE ON JULY 1,
2027; JULY 1, 2028; AND JULY 1, 2029, RESPECTIVELY;
      (C) A PROPULSION BATTERY PROVIDER THAT IS RESPONSIBLE FOR
MORE THAN ONE-FIFTH PERCENT BUT NO MORE THAN TWO PERCENT OF ALL
PROPULSION BATTERY VEHICLES REGISTERED IN THE STATE AS OF APRIL 26,
2026, SHALL PAY A PROGRAM INITIATION FEE OF FOUR THOUSAND NINE
PAGE 9-SENATE BILL 26-003
HUNDRED FIFTY DOLLARS, CONSISTING OF THREE SEPARATE PAYMENTS OF
ONE THOUSAND SIX HUNDRED FIFTY DOLLARS, EACH MADE ON JULY 1, 2027;
JULY 1, 2028; AND JULY 1, 2029, RESPECTIVELY; AND
      (D) A PROPULSION BATTERY PROVIDER THAT IS RESPONSIBLE FOR
ONE-FIFTH PERCENT OR LESS OF ALL PROPULSION BATTERY VEHICLES
REGISTERED IN THE STATE AS OF APRIL 26, 2026, IS NOT REQUIRED TO PAY
A PROGRAM INITIATION FEE.
      (III)   ANY GENERAL FUND ALLOCATIONS REQUIRED FOR THE
DEPARTMENT TO PROCESS THE PROGRAM INITIATION FEES SHALL BE
REIMBURSED TO THE GENERAL FUND THE FOLLOWING YEAR USING THE
MONEY GATHERED FROM THE PROGRAM INITIATION FEES.
      (IV) A PROPULSION BATTERY PROVIDER IS NOT REQUIRED TO PAY
THE PROGRAM INITIATION FEE WHEN THE PROPULSION BATTERY PROVIDER
SEEKS TO UPDATE THEIR REGISTRATION INFORMATION THAT THEY
PREVIOUSLY PROVIDED TO THE EXECUTIVE DIRECTOR PURSUANT TO SECTION
25-17-1019 (1)(a).
      (b) (I) ON OR BEFORE JULY 1, 2030, AND ON OR BEFORE EACH JULY
1 THEREAFTER, A PROPULSION BATTERY PROVIDER SHALL PAY TO THE
DEPARTMENT AN ANNUAL FEE TO COVER THE DEPARTMENT'S COST OF
IMPLEMENTING, ADMINISTERING, AND ENFORCING SECTION 25-17-1019. THE
STATE TREASURER SHALL CREDIT THE ANNUAL FEES TO THE FUND, AND THE
DEPARTMENT SHALL USE THE FEES FOR COSTS ASSOCIATED WITH THE
ADMINISTRATION OF SECTION 25-17-1019.
      (II) ON OR BEFORE JULY 1, 2029, THE COMMISSION SHALL ESTABLISH
THE ANNUAL FEE AMOUNT BY RULE. THE FEE AMOUNT MUST BE BASED ON
FACTORS SUCH AS THE PROPULSION BATTERY PROVIDER'S RELATIVE MARKET
SHARE OF PROPULSION BATTERIES IN THE STATE AND THE NUMBER OF
UNWANTED PROPULSION BATTERIES COLLECTED BY THE PROPULSION
BATTERY PROVIDER. THE SUM OF ANNUAL FEES PAID BY PROPULSION
BATTERY PROVIDERS THAT ARE REGISTERED PURSUANT TO SECTION
25-17-1019 (1)(a) AND FEES PAID BY SECONDARY HANDLERS PURSUANT TO
SECTION 25-17-1015 (2)(d) MUST COVER THE DEPARTMENT'S ANNUAL COSTS
OF ADMINISTERING SECTION 25-17-1019 STARTING IN 2030 AND MUST NOT
EXCEED ONE HUNDRED FORTY THOUSAND DOLLARS ACROSS ALL
PARTICIPATING ENTITIES. A SINGLE PROPULSION BATTERY PROVIDER SHALL
PAGE 10-SENATE BILL 26-003
NOT BE REQUIRED TO PAY MORE THAN TEN PERCENT OF THE TOTAL AMOUNT
OF ANNUAL FEES.
      SECTION 5. In Colorado Revised Statutes, amend 25-17-1015 as
follows:
      25-17-1015. Enforcement - responsibilities of the department.
      (1)    For violations related to covered batteries, PROPULSION
BATTERIES, and the management of universal waste pursuant to this part 10,
the enforcement process is conducted pursuant to section 25-15-308 and
rules adopted by the commission in accordance with section 25-15-302.
      (2) TO IMPLEMENT SECTION 25-17-1019, THE DEPARTMENT SHALL:
      (a) NOTIFY SOLID WASTE COLLECTORS THAT THE DISPOSAL OF
PROPULSION BATTERIES IN LANDFILLS IS PROHIBITED AND THAT SECONDARY
HANDLERS CAN CONTACT A PROPULSION BATTERY PROVIDER OR
REMANUFACTURER TO TAKE RESPONSIBILITY FOR AN UNWANTED
PROPULSION BATTERY;
      (b) DETERMINE HOW TO PROCEED IF THE FEDERAL GOVERNMENT
ENACTS A LAW OR ADOPTS REGULATIONS PERTAINING TO PROPULSION
BATTERIES THAT MAY IMPACT THE REQUIREMENTS OF SECTION 25-17-1019;
     (c) PROVIDE A LINK ON THE DEPARTMENT'S PUBLIC WEBSITE TO EACH
PROPULSION BATTERY PROVIDER'S WEBSITE IN ORDER TO EXPEDITE THE
COLLECTION OF UNWANTED PROPULSION BATTERIES;
      (d) ASSESS THE ANNUAL REPORTS SUBMITTED PURSUANT TO SECTION
25-17-1019 (9) TO DETERMINE WHETHER ANY SECONDARY HANDLERS
REQUIRED THE COLLECTION OF TEN OR MORE UNWANTED PROPULSION
BATTERIES IN A GIVEN YEAR AND, IF SO, ASSESS A COLLECTION CHARGE OF
ONE THOUSAND DOLLARS TO BE PAID TO THE DEPARTMENT BY THE
SECONDARY HANDLER AND CREDITED TOWARD THE ANNUAL FEE AMOUNT TO
REDUCE THE AMOUNT OF PROPULSION BATTERY PROVIDER ANNUAL FEES;
      (e) PROVIDE A LINK ON THE DEPARTMENT'S PUBLIC WEBSITE TO A
DIGITAL REGISTRATION FORM THAT AN ENTITY CAN USE TO REGISTER
PURSUANT TO SECTION 25-17-1019 (1);
PAGE 11-SENATE BILL 26-003
      (f) COMPILE A LIST OF ENTITIES REGISTERED PURSUANT TO SECTION
25-17-1019 (1) AND MAKE THE LIST AVAILABLE UPON REQUEST; AND
      (g) CONDUCT AN EMAIL SURVEY WITH ENTITIES REGISTERED
PURSUANT TO SECTION 25-17-1019 (1) AND SOLID WASTE DISPOSAL SITES
AND FACILITIES TO REQUEST FEEDBACK ON THE FUNCTIONING OF THE
PROPULSION BATTERY RECYCLING PROGRAM SET FORTH IN SECTION
25-17-1019 TO UNDERSTAND THEIR EXPERIENCE, ANY KNOWLEDGE OF
ORPHANED BATTERIES, AND ANY RECOMMENDED PROGRAM IMPROVEMENTS.
BASED ON THE FINDINGS OF THE SURVEY, THE DEPARTMENT SHALL ASSESS
THE EFFECTIVENESS OF THE RESPONSIBILITY FRAMEWORK OUTLINED IN
SECTION 25-17-1019 TO COLLECT UNWANTED PROPULSION BATTERIES. THE
DEPARTMENT SHALL INCLUDE A SUMMARY OF THE SURVEY FINDINGS AND
THE DEPARTMENT'S ASSESSMENT WITH THE AGGREGATED NONPROPRIETARY
DATA POSTED ANNUALLY ON THE DEPARTMENT'S PUBLIC WEBSITE PURSUANT
TO SUBSECTION (3) OF THIS SECTION.
      (3)    THE  DEPARTMENT SHALL INCLUDE THE AGGREGATED
NONPROPRIETARY DATA COLLECTED ON PROPULSION BATTERIES PURSUANT
TO SECTION 25-17-1019 (9) WITH THE DATA ON RECYCLING, SOLID WASTE,
AND SOLID WASTE DIVERSION THAT IS COLLECTED AND REPORTED ANNUALLY
BY THE DEPARTMENT TO THE STANDING COMMITTEE OF REFERENCE IN EACH
HOUSE OF THE GENERAL ASSEMBLY EXERCISING JURISDICTION OVER
MATTERS CONCERNING PUBLIC HEALTH AND THE ENVIRONMENT PURSUANT
TO SECTION 30-20-122 (1) AND SHALL ANNUALLY POST THE DATA ON THE
DEPARTMENT'S PUBLIC WEBSITE.
     (4) NOTHING IN THIS PART 10 EXEMPTS A PERSON FROM COMPLYING
WITH ANY OTHER APPLICABLE LOCAL, STATE, OR FEDERAL LAWS OR
REGULATORY REQUIREMENTS.
      SECTION 6. In Colorado Revised Statutes, add 25-17-1019 and
25-17-1020 as follows:
       25-17-1019. Propulsion batteries - propulsion battery providers
- remanufacturers - secondary handlers - public outreach and
education - collection of unwanted propulsion batteries - reporting
requirement - marking and labeling requirements - solid waste disposal
site and facility disposal prohibited.
PAGE 12-SENATE BILL 26-003
      (1) (a) ON OR BEFORE JULY 1, 2027, A PROPULSION BATTERY
PROVIDER SHALL REGISTER WITH THE DEPARTMENT BY:
      (I) PROVIDING TO THE DEPARTMENT, THROUGH INFORMAL DIGITAL
CORRESPONDENCE OR BY SUBMITTING A DIGITAL FORM, THE PROPULSION
BATTERY PROVIDER'S BUSINESS NAME, CONTACT INFORMATION, ADDRESS,
AND BUSINESS DESCRIPTION; AND
      (II)   INFORMING THE DEPARTMENT WHETHER THE PROPULSION
BATTERY PROVIDER PLANS TO FILE ITS EDUCATION AND OUTREACH PLAN
INDIVIDUALLY OR AS PART OF A GROUP OF PROPULSION BATTERY PROVIDERS.
A PROPULSION BATTERY PROVIDER INTENDING TO FILE AS PART OF A GROUP
SHALL PROVIDE TO THE DEPARTMENT THE NAMES OF THE OTHER PROPULSION
BATTERY PROVIDERS IN THE GROUP, IF FEASIBLE. A PROPULSION BATTERY
PROVIDER MAY PARTICIPATE IN A GROUP EDUCATION AND OUTREACH PLAN
WITHOUT PARTICIPATING IN GROUP PROPULSION BATTERY COLLECTION
ACTIVITIES.
      (b) A REMANUFACTURER OR REPURPOSER MAY ELECT TO REGISTER
WITH THE DEPARTMENT AT ANY TIME BY PROVIDING, THROUGH INFORMAL
DIGITAL CORRESPONDENCE OR BY SUBMITTING A DIGITAL FORM, THE
ENTITY'S BUSINESS NAME, CONTACT INFORMATION, ADDRESS, AND BUSINESS
DESCRIPTION. A REMANUFACTURER OR REPURPOSER IS NOT REQUIRED TO
PAY THE REGISTRATION FEE.
      (c) BEFORE AN UNWANTED PROPULSION BATTERY IS COLLECTED
FROM A SECONDARY HANDLER BY A PROPULSION BATTERY PROVIDER OR
REMANUFACTURER, THE SECONDARY HANDLER SHALL REGISTER WITH THE
DEPARTMENT BY PROVIDING TO THE DEPARTMENT, THROUGH INFORMAL
DIGITAL CORRESPONDENCE OR BY SUBMITTING A DIGITAL FORM, THE
SECONDARY HANDLER'S BUSINESS NAME, CONTACT INFORMATION, ADDRESS,
AND BUSINESS DESCRIPTION. A SECONDARY HANDLER IS NOT REQUIRED TO
PAY THE REGISTRATION FEE.
      (2) ON OR BEFORE JANUARY 2, 2029, A PROPULSION BATTERY
PROVIDER OR GROUP OF PROPULSION BATTERY PROVIDERS SHALL SUBMIT TO
THE EXECUTIVE DIRECTOR AN EDUCATION AND OUTREACH PLAN. THE
EDUCATION AND OUTREACH PLAN MUST:
      (a) INCLUDE A PUBLIC EDUCATION AND OUTREACH STRATEGY FOR
PAGE 13-SENATE BILL 26-003
SECONDARY HANDLERS THAT DESCRIBES:
      (I) THE SOLID WASTE DISPOSAL SITE AND FACILITY BAN IN
SUBSECTION (12) OF THIS SECTION;
       (II) THE REQUIREMENTS FOR SECONDARY HANDLERS IN SUBSECTION
(10) OF THIS SECTION;
      (III) THE PROCESS FOR HOW A SECONDARY HANDLER CAN NOTIFY
THE PROPULSION BATTERY PROVIDER THAT AN UNWANTED PROPULSION
BATTERY NEEDS COLLECTION; AND
      (IV) INFORMATION ABOUT SECONDARY HANDLER REGISTRATION,
INCLUDING A LINK TO THE REGISTRATION FORM CREATED BY THE
DEPARTMENT PURSUANT TO SECTION 25-17-1015 (2)(e);
      (b) SPECIFY HOW THE PROPULSION BATTERY PROVIDER'S CONTACT
INFORMATION FOR SECONDARY HANDLERS CAN BE ACCESSED;
      (c) INCLUDE INFORMATION THAT THE PROPULSION BATTERY
PROVIDER REQUIRES TO DETERMINE THE ELIGIBILITY OF A PROPULSION
BATTERY THAT NEEDS COLLECTION, INCLUDING:
      (I) CONFIRMATION THAT THE BATTERY IS A PROPULSION BATTERY
THAT HAS BEEN REMOVED FROM A VEHICLE;
      (II) CONFIRMATION THAT, TO THE BEST OF THE SECONDARY
HANDLER'S KNOWLEDGE, THE PROPULSION BATTERY HAS NOT BEEN
MODIFIED OR TAKEN APART;
      (III) CONFIRMATION THAT THE PROPULSION BATTERY IS FULLY
OWNED BY THE SECONDARY HANDLER WITH NO KNOWN PENDING CLAIMS FOR
LOSS OR DAMAGES BY AN INSURANCE PROVIDER;
      (IV) THE MAKE, MODEL, AND YEAR OF THE VEHICLE FROM WHICH
THE PROPULSION BATTERY CAME, IF AVAILABLE;
      (V) THE DIMENSIONS AND WEIGHT OF THE PROPULSION BATTERY, IF
AVAILABLE;
PAGE 14-SENATE BILL 26-003
     (VI) A PHOTOGRAPH OF THE PROPULSION BATTERY AND A
PHOTOGRAPH OF THE LABEL ON THE PROPULSION BATTERY;
     (VII) AN ASSESSMENT AS TO WHETHER, TO THE BEST OF THE
SECONDARY HANDLER'S KNOWLEDGE, THE PROPULSION BATTERY IS
DAMAGED OR DEFECTIVE;
      (VIII)   A    COPY OF THE SECONDARY HANDLER'S FEDERAL
DEPARTMENT OF TRANSPORTATION HAZMAT TRANSPORTATION SHIPPING
CERTIFICATION, IF AVAILABLE; AND
      (IX) SECONDARY HANDLER REGISTRATION INFORMATION; AND
      (d) DESCRIBE HOW SECONDARY HANDLERS AND FIRST RESPONDERS
CAN ACCESS EMERGENCY RESPONSE GUIDES FOR ELECTRIC VEHICLES.
      (3) ON AND AFTER JULY 1, 2029, A PROPULSION BATTERY PROVIDER
SHALL NOT SELL, MAKE AVAILABLE FOR SALE, OR DISTRIBUTE A PROPULSION
BATTERY IN OR INTO THE STATE UNLESS THE PROPULSION BATTERY
PROVIDER HAS SUBMITTED AN EDUCATION AND OUTREACH PLAN TO THE
EXECUTIVE DIRECTOR IN ACCORDANCE WITH SUBSECTION (2) OF THIS
SECTION.
      (4)  A PROPULSION BATTERY PROVIDER SHALL DEVELOP AND
MAINTAIN ONE OR MORE WEBSITES OR EQUIVALENT MEANS, AVAILABLE IN
BOTH ENGLISH AND SPANISH, THAT INCLUDE THE INFORMATION IN THE
PROPULSION BATTERY PROVIDER'S EDUCATION AND OUTREACH PLAN. AT
LEAST ONE WEBSITE MUST INCLUDE THE FOLLOWING:
      (a) A LINK TO THE PROPULSION BATTERY PROVIDER'S EMERGENCY
RESPONSE GUIDES FOR ELECTRIC VEHICLES;
      (b) THE PROPULSION BATTERY PROVIDER'S CONTACT INFORMATION
FOR SECONDARY HANDLERS; AND
      (c) INSTRUCTIONS FOR HOW SECONDARY HANDLERS CAN PROVIDE
THE INFORMATION DESCRIBED IN SUBSECTION (2)(a)(III) OF THIS SECTION
FOR A PROPULSION BATTERY PROVIDER TO DETERMINE THE ELIGIBILITY OF
AN UNWANTED PROPULSION BATTERY.
PAGE 15-SENATE BILL 26-003
      (5) A PROPULSION BATTERY PROVIDER SHALL:
      (a) EXCEPT AS PROVIDED IN SUBSECTION (5)(c) OF THIS SECTION,
UPON RECEIVING NOTIFICATION IN ACCORDANCE WITH THE NOTIFICATION
PROCESS OUTLINED IN SUBSECTION (2)(a)(III) OF THIS SECTION THAT AN
UNWANTED PROPULSION BATTERY NEEDS COLLECTION, RETRIEVE THE
BATTERY AND ENSURE RESPONSIBLE PROPULSION BATTERY MANAGEMENT.
THE PROPULSION BATTERY PROVIDER SHALL RETRIEVE AN UNWANTED
PROPULSION BATTERY:
     (I) WITHIN SIXTY DAYS AFTER RECEIVING NOTIFICATION FROM A
SECONDARY HANDLER, UNLESS MUTUALLY AGREEABLE TERMS FOR A
LONGER COLLECTION TIMELINE ARE MADE WITH A SECONDARY HANDLER OR
THERE IS AN UNEXPECTED DELAY DUE TO CIRCUMSTANCES FORCE MAJEURE;
AND
      (II) WITHIN THIRTY DAYS AFTER RECEIVING NOTIFICATION FROM A
SOLID WASTE DISPOSAL SITE AND FACILITY;
       (b) ENSURE THE RESPONSIBLE PROPULSION BATTERY MANAGEMENT
OF ALL PROPULSION BATTERIES WITHIN THE POSSESSION OF THE PROPULSION
BATTERY PROVIDER IN ACCORDANCE WITH THE BATTERY MANAGEMENT
HIERARCHY;
     (c) FULLY FUND THE COSTS OF THE COLLECTION OF AN UNWANTED
PROPULSION BATTERY OFFERED BY A SECONDARY HANDLER; EXCEPT THAT
A PROPULSION BATTERY PROVIDER IS NOT RESPONSIBLE FOR THE COLLECTION
OF A PROPULSION BATTERY THAT:
      (I) HAS BEEN REMANUFACTURED BY A REMANUFACTURER, UNLESS
THE REMANUFACTURER IS IN A CONTRACTUAL RELATIONSHIP WITH THE
PROPULSION BATTERY PROVIDER AND THE CONTRACT PROVIDES THAT THE
PROPULSION BATTERY PROVIDER RETAINS RESPONSIBILITY FOR RESPONSIBLE
PROPULSION BATTERY MANAGEMENT;
      (II)   HAS BEEN REPURPOSED BY A REPURPOSER, UNLESS THE
REPURPOSER IS IN A CONTRACTUAL RELATIONSHIP WITH THE PROPULSION
BATTERY PROVIDER AND THE CONTRACT PROVIDES THAT THE PROPULSION
BATTERY PROVIDER RETAINS RESPONSIBILITY FOR RESPONSIBLE PROPULSION
BATTERY MANAGEMENT;
PAGE 16-SENATE BILL 26-003
      (III) HAS BEEN DISASSEMBLED INTO MODULES OR CELLS; OR
      (IV) IS CONTAINED WITHIN A VEHICLE OR PRODUCT THAT IS
DIRECTLY OWNED OR CONTROLLED BY AN INSURANCE COMPANY; AND
      (d) PROVIDE THE STATE OF HEALTH OF A PROPULSION BATTERY
EMBEDDED IN A VEHICLE THROUGH THE VEHICLE'S IN-VEHICLE DISPLAY OR
THROUGH A NONPROPRIETARY ON-BOARD DIAGNOSTIC SCAN TOOL, FOR A
VEHICLE THAT IS MODEL YEAR 2028 OR LATER. A PROPULSION BATTERY
PROVIDER MAY, BUT IS NOT REQUIRED TO, SUPPLY STATE OF HEALTH
INFORMATION FOR A PROPULSION BATTERY THAT HAS BEEN REMOVED FROM
OR IS OUTSIDE OF A VEHICLE. FOR A PROPULSION BATTERY EMBEDDED IN A
HYBRID VEHICLE, A PROPULSION BATTERY PROVIDER SATISFIES THIS
REQUIREMENT BY MAKING THE STATE OF HEALTH AVAILABLE THROUGH A
NONPROPRIETARY ON-BOARD DIAGNOSTIC SCAN TOOL.
      (6) ON AND AFTER JULY 1, 2029, A PROPULSION BATTERY PROVIDER
SHALL NOT SELL, OFFER FOR SALE, OR DISTRIBUTE IN OR INTO THE STATE A
PROPULSION BATTERY UNLESS THE PROPULSION BATTERY PROVIDER:
      (a) (I)   APPLIES A LABEL TO THE PROPULSION BATTERY THAT
INCLUDES THE NAME OF THE PROPULSION BATTERY PROVIDER RESPONSIBLE
FOR THE PROPULSION BATTERY, ITS DATE OF MANUFACTURE, AND THE
FOLLOWING:
      (A) AN IDENTIFICATION OF THE CHEMISTRY OF THE PROPULSION
BATTERY, INCLUDING THE CATHODE TYPE AND ANODE TYPE, IN ACCORDANCE
WITH SAE INTERNATIONAL J2984 STANDARD, "CHEMICAL IDENTIFICATION
OF TRANSPORTATION BATTERIES FOR RECYCLING";
      (B) THE RATED CAPACITY OR ENERGY AS MEASURED BY SAE
INTERNATIONAL J2288 STANDARD, "LIFE CYCLE TESTING OF ELECTRIC
VEHICLE BATTERY MODULES";
     (C) THE HAZARDOUS SUBSTANCES CONTAINED IN THE PROPULSION
BATTERY;
      (D) PRODUCT SAFETY AND RECALL INFORMATION; AND
      (E) SAFE DISPOSAL INFORMATION.
PAGE 17-SENATE BILL 26-003
      (II) A PROPULSION BATTERY PROVIDER THAT APPLIES A LABEL SHALL
ATTACH THE LABEL TO THE EXTERIOR OF THE PROPULSION BATTERY SO THAT
THE LABEL IS VISIBLE AND ACCESSIBLE WHEN THE PROPULSION BATTERY IS
REMOVED FROM THE VEHICLE IN ACCORDANCE WITH THE MANUFACTURER'S
RECOMMENDED PROCEDURES FOR BATTERY REMOVAL. THE LABEL MUST
REMAIN LEGIBLE, ADHERED, AND FUNCTIONALLY INTACT UNDER EXPECTED
ENVIRONMENTAL AND LIFE-CYCLE CONDITIONS WITHIN THE VEHICLE.
      (b) (I) TO COMPLY WITH SUBSECTION (6)(a)(I) OF THIS SECTION, A
PROPULSION BATTERY PROVIDER MAY APPLY A QUICK RESPONSE (QR) CODE
TO THE PROPULSION BATTERY THAT LINKS TO A DATA REPOSITORY WEBSITE.
      (II) THE DATA REPOSITORY WEBSITE MAY INCLUDE INFORMATION
THAT COVERS A PERIOD OF TIME REPRESENTING MULTIPLE DATES OF
MANUFACTURE IF THE REST OF THE LABEL INFORMATION REQUIRED BY THIS
SUBSECTION (6) IS CONSISTENT ACROSS THE MULTIPLE DATES OF
MANUFACTURE AND THE DATA REPOSITORY WEBSITE ENTRY INCLUDES THE
APPLICABLE RANGE OF DATES OF MANUFACTURE.
     (7) ON AND AFTER JULY 1, 2029, A REMANUFACTURER SELLING
PROPULSION BATTERIES IN THE STATE:
      (a) SHALL RELABEL A PROPULSION BATTERY TO ENSURE THAT THE
REMANUFACTURER'S BRAND IS CLEARLY MARKED ON THE LABEL. IF THE
ORIGINAL LABEL REMAINS, THE REMANUFACTURER SHALL PLACE THE NEW
LABEL ADJACENT TO THE ORIGINAL LABEL AND CLEARLY IDENTIFY THE
ORIGINAL LABEL AS OBSOLETE. IF THE REMANUFACTURER ALTERS THE
PROPULSION BATTERY ' S COMPOSITION OR CHEMISTRY , THE
REMANUFACTURER SHALL UPDATE THE LABEL OR PROVIDE A NEW DATA
REPOSITORY WEBSITE LINK OR QUICK RESPONSE (QR) CODE TO REFLECT THE
NEW COMPOSITION.
      (b)  SHALL      ENSURE   RESPONSIBLE   PROPULSION    BATTERY
MANAGEMENT WHEN:
      (I)   A  PROPULSION BATTERY THAT THE REMANUFACTURER
DISASSEMBLES OR REMANUFACTURES IS ULTIMATELY NOT SOLD FOR USE IN
A VEHICLE; AND
      (II) AN UNWANTED PROPULSION BATTERY THAT HAS BEEN REMOVED
PAGE 18-SENATE BILL 26-003
FROM A VEHICLE BY A SECONDARY HANDLER IN THE STATE IS COLLECTED BY
THE REMANUFACTURER;
      (c) SHALL FULLY FUND THE COSTS OF THE COLLECTION OF AN
UNWANTED PROPULSION BATTERY THAT THE REMANUFACTURER HAS
REMANUFACTURED IF OFFERED BY A SECONDARY HANDLER;
     (d) IS NOT RESPONSIBLE FOR COLLECTING A REMANUFACTURED
PROPULSION BATTERY IF:
      (I) THE REMANUFACTURED PROPULSION BATTERY HAS BEEN
REPURPOSED BY A REPURPOSER, UNLESS THE REPURPOSER IS IN A
CONTRACTUAL RELATIONSHIP WITH THE REMANUFACTURER AND THE
CONTRACT PROVIDES THAT THE REMANUFACTURER RETAINS RESPONSIBILITY
FOR RESPONSIBLE PROPULSION BATTERY MANAGEMENT;
      (II) THE REMANUFACTURED PROPULSION BATTERY IS CONTAINED
WITHIN A VEHICLE OR PRODUCT THAT IS DIRECTLY OWNED OR CONTROLLED
BY AN INSURANCE COMPANY;
      (III) THE REMANUFACTURER IS IN A CONTRACTUAL RELATIONSHIP
WITH THE PROPULSION BATTERY PROVIDER AND THE CONTRACT PROVIDES
THAT THE PROPULSION BATTERY PROVIDER RETAINS RESPONSIBILITY FOR
THE DISPOSITIONING AND MANAGEMENT OF THE PROPULSION BATTERY; OR
      (IV) THE REMANUFACTURED PROPULSION BATTERY HAS BEEN
DISASSEMBLED INTO MODULES OR CELLS;
      (e) EXCEPT AS PROVIDED IN SUBSECTION (7)(d) OF THIS SECTION,
UPON RECEIVING NOTIFICATION THAT AN UNWANTED PROPULSION BATTERY
NEEDS COLLECTION IN ACCORDANCE WITH THE NOTIFICATION PROCESS
OUTLINED IN SUBSECTION (7)(f) OF THIS SECTION, SHALL RETRIEVE THE
BATTERY:
     (I) WITHIN SIXTY DAYS AFTER RECEIVING NOTIFICATION FROM A
SECONDARY HANDLER, UNLESS MUTUALLY AGREEABLE TERMS FOR A
LONGER COLLECTION TIMELINE ARE MADE WITH A SECONDARY HANDLER OR
THERE IS AN UNEXPECTED DELAY DUE TO CIRCUMSTANCES FORCE MAJEURE;
AND
PAGE 19-SENATE BILL 26-003
      (II) WITHIN THIRTY DAYS AFTER RECEIVING NOTIFICATION FROM A
SOLID WASTE DISPOSAL SITE AND FACILITY; AND
      (f) SHALL ESTABLISH A PROCESS FOR A SECONDARY HANDLER TO
NOTIFY THE REMANUFACTURER THAT AN UNWANTED PROPULSION BATTERY
NEEDS COLLECTION. THE PROCESS MUST INCLUDE THE FOLLOWING:
     (I) AN EDUCATION AND OUTREACH PROGRAM FOR SECONDARY
HANDLERS;
      (II)   THEREMANUFACTURER'S CONTACT INFORMATION FOR
SECONDARY HANDLERS; AND
      (III) INFORMATION THAT THE REMANUFACTURER REQUIRES TO
DETERMINE THE ELIGIBILITY OF A PROPULSION BATTERY THAT NEEDS
COLLECTION, INCLUDING:
      (A) CONFIRMATION THAT THE BATTERY IS A PROPULSION BATTERY
THAT HAS BEEN REMOVED FROM A VEHICLE;
     (B) CONFIRMATION THAT, TO THE BEST OF THE SECONDARY
HANDLER'S KNOWLEDGE, THE PROPULSION BATTERY HAS NOT BEEN
MODIFIED OR TAKEN APART BY ANYONE OTHER THAN THE PROPULSION
BATTERY PROVIDER OR REMANUFACTURER;
     (C) CONFIRMATION THAT, TO THE BEST OF THE SECONDARY
HANDLER'S KNOWLEDGE, THE PROPULSION BATTERY IS FULLY OWNED BY THE
SECONDARY HANDLER WITH NO KNOWN PENDING CLAIMS FOR LOSS OR
DAMAGES BY AN INSURANCE PROVIDER;
     (D) THE MAKE, MODEL, AND YEAR OF THE VEHICLE FROM WHICH THE
PROPULSION BATTERY CAME, IF AVAILABLE;
      (E) THE DIMENSIONS AND WEIGHT OF THE PROPULSION BATTERY, IF
AVAILABLE;
      (F) A PHOTOGRAPH OF THE PROPULSION BATTERY AND A
PHOTOGRAPH OF THE LABEL ON THE PROPULSION BATTERY;
      (G)    AN ASSESSMENT AS TO WHETHER, TO THE BEST OF THE
PAGE 20-SENATE BILL 26-003
SECONDARY HANDLER'S KNOWLEDGE, THE PROPULSION BATTERY IS
DAMAGED OR DEFECTIVE;
       (H) A COPY OF THE SECONDARY HANDLER'S FEDERAL DEPARTMENT
OF TRANSPORTATION HAZMAT TRANSPORTATION SHIPPING CERTIFICATION,
IF AVAILABLE; AND
      (I) SECONDARY HANDLER REGISTRATION INFORMATION.
      (8) (a) A PROPULSION BATTERY PROVIDER OR REMANUFACTURER
SHALL NOT RECOVER THE COSTS OF COMPLIANCE WITH THIS PART 10 BY
IMPOSING A FEE OR OTHER CHARGE ON A FRANCHISED MOTOR VEHICLE
DEALER.
      (b) A PROPULSION BATTERY PROVIDER OR REMANUFACTURER MAY
CONTRACT WITH A THIRD PARTY TO MANAGE PROPULSION BATTERIES TO
SATISFY THE REQUIREMENTS OF THIS SECTION.
      (9) (a) ON OR BEFORE JUNE 1, 2030, AND ON OR BEFORE EACH JUNE
1 THEREAFTER, A PROPULSION BATTERY PROVIDER AND A REMANUFACTURER
SHALL SUBMIT AN ANNUAL REPORT TO THE EXECUTIVE DIRECTOR COVERING
THE PRECEDING CALENDAR YEAR OF THE RESPONSIBLE PROPULSION BATTERY
MANAGEMENT OF THE PROPULSION BATTERIES COLLECTED BY THE
PROPULSION BATTERY PROVIDER OR REMANUFACTURER PURSUANT TO THIS
SECTION. THE REPORT MUST INCLUDE THE FOLLOWING:
     (I) ANY UPDATES TO EDUCATION AND OUTREACH MATERIALS FOR
SECONDARY HANDLERS AND HOW THE UPDATES WERE COMMUNICATED;
      (II) THE NUMBER OF UNWANTED PROPULSION BATTERIES THAT
NEEDED TO BE COLLECTED FROM A SECONDARY HANDLER AND THE NUMBER
OF UNWANTED PROPULSION BATTERIES COLLECTED, BY CHEMISTRY;
     (III) FOR EACH REQUEST RECEIVED TO COLLECT AN UNWANTED
PROPULSION BATTERY:
      (A) THE DATE THAT THE SECONDARY HANDLER NOTIFIED THE
PROPULSION BATTERY PROVIDER OR REMANUFACTURER THAT THE
UNWANTED PROPULSION BATTERY NEEDED TO BE COLLECTED AND PROVIDED
THE ELIGIBILITY INFORMATION DESCRIBED IN SUBSECTIONS (2)(c) AND
PAGE 21-SENATE BILL 26-003
(7)(f)(III) OF THIS SECTION;
     (B) THE DATE A PLAN WAS COMMUNICATED TO THE SECONDARY
HANDLER FOR COLLECTING THE UNWANTED PROPULSION BATTERY; AND
       (C) THE DATE THE UNWANTED PROPULSION BATTERY WAS
COLLECTED OR, IF APPLICABLE, THE REASONS THAT THE UNWANTED
PROPULSION BATTERY WAS NOT COLLECTED, INCLUDING SUPPORTING
INFORMATION SUCH AS PHOTOGRAPHS;
      (IV) THE NUMBER OF PROPULSION BATTERIES, SEPARATED BY
CHEMISTRY, SENT FOR REUSE, REMANUFACTURING, REPURPOSING, AND
PROPULSION BATTERY RECYCLING, RESPECTIVELY;
      (V) THE PROPULSION BATTERY RECYCLERS USED IN THE PROPULSION
BATTERY RECYCLING PROCESS, INCLUDING IDENTIFICATION OF A RECYCLER'S
LOCATION;
       (VI) A DESCRIPTION OF THE GENERAL PROCESSES USED BY
PROPULSION BATTERY RECYCLERS TO ACHIEVE REQUIRED RECOVERY RATES;
AND
       (VII) FOR EACH PROPULSION BATTERY RECYCLER USED:
       (A) THE RECOVERY RATE OF LITHIUM, COBALT, AND NICKEL PRESENT
IN THE PROPULSION BATTERY FEEDSTOCK, USING THE CALCULATIONS
DESCRIBED IN THIS SUBSECTION (9). THE TARGETED CRITICAL MINERALS AND
SPECIFIC RATIOS MUST BE LISTED SEPARATELY. A MINERAL THAT IS NOT
TARGETED IN THE RECOVERY PROCESS MAY BE LISTED AS A PERCENT OR IT
CAN BE STATED THAT THE MINERAL IS NOT TARGETED AND RECOVERED BY
THE PROPULSION BATTERY RECYCLER.
      (B) THE FORM OF THE MAJORITY OF RECOVERED BATTERY MATERIAL
MUST BE IDENTIFIED AS ELEMENTAL, COMPOUND, OR INTERMEDIATE,
CONSISTENT WITH THE RECOVERY DEFINITION IN SECTION 25-17-1003 (24.5).
       (b)A PROPULSION BATTERY RECYCLER SHALL RECOVER THE
FOLLOWING CRITICAL MINERALS IN THE ELEMENTAL, COMPOUND, OR
INTERMEDIATE FORM AT THE FOLLOWING MINIMUM RATES, WHICH RATES
ARE CALCULATED BASED ON EACH PROPULSION BATTERY RECYCLER'S
PAGE 22-SENATE BILL 26-003
FACILITY-LEVEL YEARLY AVERAGE:
      (I) BY 2031:
      (A) NINETY PERCENT OF COBALT;
      (B) NINETY PERCENT OF NICKEL; AND
      (C) FIFTY PERCENT OF LITHIUM; AND
      (II) BY 2035:
      (A) NINETY PERCENT OF COBALT;
      (B) NINETY PERCENT OF NICKEL; AND
      (C) EIGHTY PERCENT OF LITHIUM.
      (c) THE RECOVERY RATE FOR EACH TARGET CRITICAL MINERAL MUST
BE CALCULATED ON AN ANNUAL BASIS FOR EACH PROPULSION BATTERY
RECYCLER USING A MASS BALANCE APPROACH. THE CALCULATION MUST
ACCOUNT FOR THE MASS OF THE TARGET CRITICAL MINERAL CONTAINED IN
MATERIALS ENTERING THE RECYCLING PROCESS, INCLUDING WASTE
PROPULSION BATTERIES OR INTERMEDIATE MATERIALS, AND THE MASS OF
THE TARGET CRITICAL MINERAL RECOVERED IN MATERIALS LEAVING THE
RECYCLING PROCESS THAT MEET THE DEFINITION OF "RECOVERY" AS
DEFINED IN SECTION 25-17-1003 (24.5).
      (d) THE RECOVERY RATE OF A TARGET CRITICAL MINERAL EQUALS
THE MASS OF TARGET CRITICAL MINERAL RECOVERED IN MATERIALS
LEAVING THE RECYCLING PROCESS DIVIDED BY THE MASS OF TARGET
CRITICAL MINERAL PRESENT IN MATERIALS ENTERING THE RECYCLING
PROCESS. THE MASS OF TARGET CRITICAL MINERALS ENTERING AND LEAVING
THE RECYCLING PROCESS SHALL BE DETERMINED BASED ON THEIR CHEMICAL
COMPOSITION, USING ANALYTICAL METHODS AND SAMPLING PROCEDURES
THAT ARE REPRESENTATIVE OF THE MATERIAL FLOWS.
      (e) A PROPULSION BATTERY RECYCLER SHALL DETERMINE THE
PROPORTION OF DIFFERENT BATTERY CHEMISTRIES PRESENT IN MATERIALS
ENTERING THE RECYCLING PROCESS BY MEANS OF A SORTING ANALYSIS
PAGE 23-SENATE BILL 26-003
BASED ON CONTINUOUS SAMPLING OR REPRESENTATIVE SAMPLING METHODS
CONSISTENT WITH GENERALLY ACCEPTED INDUSTRY STANDARDS.
      (f) (I)THE EXECUTIVE DIRECTOR SHALL KEEP PROPRIETARY
INFORMATION, AS MARKED BY A PROPULSION BATTERY PROVIDER,
REMANUFACTURER, OR PROPULSION BATTERY RECYCLER, CONFIDENTIAL
AND MAKE NONPROPRIETARY INFORMATION AVAILABLE UPON REQUEST.
        (II) THE INFORMATION DESCRIBED IN SUBSECTIONS (9)(a)(I),
(9)(a)(II), (9)(a)(IV), (9)(a)(VI), AND (9)(a)(VII) OF THIS SECTION AND
AGGREGATED INFORMATION FROM SUBSECTIONS (9)(a)(III) AND (9)(a)(V)
OF THIS SECTION IS NOT PROPRIETARY.
     (III) ANY INFORMATION MADE PUBLICLY AVAILABLE MUST BE
AGGREGATED SO THAT NO INDIVIDUAL PROPULSION BATTERY PROVIDER,
REMANUFACTURER, OR PROPULSION BATTERY RECYCLER IS IDENTIFIABLE.
      (IV)   AN ANNUAL REPORT SUBMITTED PURSUANT TO THIS
SUBSECTION (9) MAY BE UNIQUE TO COLORADO OR INCLUDE INFORMATION
FOR MULTIPLE STATES.
      (V)       A
             PROPULSION BATTERY PROVIDER THAT IS ALSO A
REMANUFACTURER MAY SUBMIT ONE ANNUAL REPORT.
      (10) (a) ON AND AFTER JULY 1, 2029:
      (I) A SECONDARY HANDLER SHALL MANAGE A PROPULSION BATTERY
BY ENSURING RESPONSIBLE PROPULSION BATTERY MANAGEMENT;
     (II) IF A SECONDARY HANDLER DETERMINES THAT A PROPULSION
BATTERY IS AN UNWANTED PROPULSION BATTERY, THE SECONDARY
HANDLER SHALL NOTIFY THE APPROPRIATE PROPULSION BATTERY PROVIDER
OR REMANUFACTURER OR ANY ENTITY THAT THE PROPULSION BATTERY
PROVIDER OR REMANUFACTURER HAS DESIGNATED TO FACILITATE THE
COLLECTION OF UNWANTED PROPULSION BATTERIES;
      (III) A SECONDARY HANDLER MANAGING PROPULSION BATTERIES
SHALL MAINTAIN RECORDS FOR THREE YEARS DETAILING THE PROPULSION
BATTERIES SOLD OR TRANSFERRED BY THE SECONDARY HANDLER AND THE
PERSON THE BATTERIES WERE SOLD OR TRANSFERRED TO;
PAGE 24-SENATE BILL 26-003
      (IV) WHEN SHIPPING A PROPULSION BATTERY, A SECONDARY
HANDLER IS RESPONSIBLE FOR ENSURING COMPLIANCE WITH PROPER
PERSONNEL TRAINING REQUIREMENTS FOR SHIPPING UNDER 49 CFR 172.700
TO 172.704;
      (V) WHEN REMOVING A PROPULSION BATTERY FROM A VEHICLE, A
SECONDARY HANDLER SHALL RECORD THE LAST KNOWN STATE OF HEALTH
AND STATE OF CHARGE, IF AVAILABLE, AND DISCLOSE THESE VALUES AT THE
TIME OF SALE OR TRANSFER OF THE PROPULSION BATTERY TO ANOTHER
PERSON;
      (VI)    IN ORDER TO PROMOTE THE BATTERY MANAGEMENT
HIERARCHY, A SECONDARY HANDLER SHALL STORE PROPULSION BATTERIES
NOT SUSPECTED OF DAMAGE OR INSTABILITY IN A COVERED AREA,
MINIMIZING EXPOSURE TO PRECIPITATION AND EXTREME HEAT OR COLD. A
SECONDARY HANDLER SHALL STORE PROPULSION BATTERIES THAT ARE
VISIBLY DAMAGED OR OTHERWISE SUSPECTED TO HAVE THE POTENTIAL FOR
THERMAL RUNAWAY IN AN ISOLATED AREA AWAY FROM FLAMMABLE
MATERIALS.
      (VII)   A SECONDARY HANDLER WORKING WITH PROPULSION
BATTERIES SHALL OBTAIN RELEVANT SAFETY TRAINING TO ASSIST WITH THE
SAFE HANDLING AND STORAGE OF PROPULSION BATTERIES.
       (b) SUBSECTIONS (10)(a)(III), (10)(a)(V), (10)(a)(VI), AND
(10)(a)(VII) OF THIS SECTION DO NOT APPLY TO A SOLID WASTE DISPOSAL
SITE AND FACILITY.
      (c) NOTWITHSTANDING SECTION 25-17-1018, THE COMMISSION
SHALL NOT ADOPT RULES FOR THE PURPOSES OF IMPLEMENTING
SUBSECTIONS (10)(a)(VI) AND (10)(a)(VII) OF THIS SECTION.
      (11) (a) ON AND AFTER JULY 1, 2029, A REPURPOSER SHALL:
      (I) RELABEL A PROPULSION BATTERY THAT IS REPURPOSED IN THE
STATE TO ENSURE THAT THE REPURPOSER'S BRAND IS CLEARLY MARKED ON
THE LABEL. IF THE ORIGINAL LABEL REMAINS, THE REPURPOSER SHALL PLACE
THE NEW LABEL ADJACENT TO THE ORIGINAL LABEL AND CLEARLY IDENTIFY
THE ORIGINAL LABEL AS OBSOLETE.
PAGE 25-SENATE BILL 26-003
      (II) ENSURE THE PROPULSION BATTERY RECYCLING OF PROPULSION
BATTERIES THAT ARE WITHIN THE REPURPOSER'S POSSESSION AND THAT CAN
NO LONGER BE REPURPOSED UNLESS THE PROPULSION BATTERY PROVIDER OR
REMANUFACTURER AGREES TO ACCEPT CONTINUED RESPONSIBILITY FOR THE
PROPULSION BATTERY BY CONTRACT.
      (b) (I) ON OR BEFORE JUNE 1, 2030, AND ON OR BEFORE EACH JUNE
1 THEREAFTER, A REGISTERED REPURPOSER SHALL SUBMIT AN ANNUAL
REPORT TO THE EXECUTIVE DIRECTOR COVERING THE PRECEDING CALENDAR
YEAR OF THE REPURPOSER'S RESPONSIBLE PROPULSION BATTERY
MANAGEMENT. THE REPORT MUST INCLUDE THE FOLLOWING:
     (A) THE NUMBER OF PROPULSION BATTERIES THAT THE REPURPOSER
REPURPOSED FROM COLORADO; AND
      (B) THE NAME AND ADDRESS OF WHERE THE REPURPOSED BATTERIES
WERE SOLD OR TRANSFERRED, INCLUDING FOR BATTERIES SENT FOR USE IN
A SECONDARY APPLICATION AND THOSE SENT FOR PROPULSION BATTERY
RECYCLING.
      (II) THE ANNUAL REPORT SUBMITTED PURSUANT TO THIS
SUBSECTION (11) MAY BE UNIQUE TO COLORADO OR MAY INCLUDE
INFORMATION FOR MULTIPLE STATES.
      (III) A REPURPOSER THAT IS ALSO A REMANUFACTURER MAY SUBMIT
ONE ANNUAL REPORT.
      (12) ON AND AFTER JULY 1, 2029:
      (a) A PERSON SHALL NOT DISPOSE OF A PROPULSION BATTERY BY
TAKING THE PROPULSION BATTERY TO A SOLID WASTE DISPOSAL SITE AND
FACILITY; AND
      (b) A PERSON NOT IDENTIFIED IN THIS SECTION IS RESPONSIBLE FOR
ENSURING THE RESPONSIBLE PROPULSION BATTERY MANAGEMENT OF
PROPULSION BATTERIES BY WORKING WITH A SECONDARY HANDLER,
PROPULSION BATTERY PROVIDER, REMANUFACTURER, REPURPOSER, OR
PROPULSION BATTERY RECYCLER.
      25-17-1020. Applicability.
PAGE 26-SENATE BILL 26-003
      A VEHICLE CONTAINING A PROPULSION BATTERY ORIGINALLY SOLD
IN THE STATE IS NOT SUBJECT TO THIS PART 10 WHEN THE VEHICLE IS
RETIRED OUT OF STATE.
       SECTION 7. Act subject to petition - effective date. This act
takes effect at 12:01 a.m. on the day following the expiration of the
ninety-day period after final adjournment of the general assembly (August
12, 2026, if adjournment sine die is on May 13, 2026); except that, if a
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 unless
approved by the people at the general election to be held in November 2026
PAGE 27-SENATE BILL 26-003
and, in such case, will take effect on the date of the official declaration of
the vote thereon by the governor.
____________________________  ____________________________
James Rashad Coleman, Sr.  Julie McCluskie
PRESIDENT OF  SPEAKER OF THE HOUSE
THE SENATE  OF REPRESENTATIVES
____________________________  ____________________________
Esther van Mourik  Vanessa Reilly
SECRETARY OF  CHIEF CLERK OF THE HOUSE
THE SENATE  OF REPRESENTATIVES
       APPROVED________________________________________
                          (Date and Time)
                    _________________________________________
                   Jared S. Polis
                   GOVERNOR OF THE STATE OF COLORADO
PAGE 28-SENATE BILL 26-003