Oversize Overweight Permitting

Second Regular Session Seventy-fifth General Assembly STATE OF COLORADO INTRODUCED HOUSE BILL 26-1248 LLS NO. 26-0773.01 Rebecca Bayetti x4348 HOUSE SPONSORSHIP Johnson, SENATE SPONSORSHIP Pelton R., House Committees Senate Committees Transportation, Housing & Local Government A BILL FOR AN ACT CONCERNING FREIGHT TRANSPORT, AND, IN CONNECTION THEREWITH, MODIFYING PERMITTING PROCESSES FOR OVERSIZE AND OVERWEIGHT VEHICLES.

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://leg.colorado.gov.) Beginning on July 1, 2026, the bill directs state-level permit fees and supplemental surcharges for oversize and overweight vehicles and longer vehicle combinations to the freight cash fund (fund), which is newly created in the office of freight mobility and safety (office) in the transportation development division of the department of transportation Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.

Capital letters or bold & italic numbers indicate new material to be added to existing law. Dashes through the words or numbers indicate deletions from existing law.

(department). The fund is appropriated for use by the office for the following main purposes: ! For funding freight-related projects; and ! To support the office in functions related to freight projects, movement, and infrastructure, including the administrative costs of the office. In funding freight-related projects from the fund, the office is required to attempt to direct money in a manner that is proportional to the amount of freight routes and the impact of freight traffic in the affected community or region of the state. The office may also use money in the fund to create and maintain a centralized online permitting system for oversize permits, overweight permits, and other types of freight or transport permits issued by the department, the Colorado state patrol, or any local government. The centralized permitting system must allow a person to apply for and be issued all necessary state and local permits for a route in a single transaction and pay for all associated permit fees and surcharges for that route in a single transaction. By September 1, 2027, the office is required to conduct a feasibility study relating to the centralized permitting system and must report to the transportation legislation review committee during the 2027 legislative interim on the completed feasibility study and any progress toward implementing the centralized permitting system. The office is required to implement the centralized permitting system by July 1, 2029, either by creating a new online permitting system or by modifying an existing online permitting system.

Be it enacted by the General Assembly of the State of Colorado: SECTION 1. In Colorado Revised Statutes, 42-4-505, add (1)(d) as follows:

42-4-505. Longer vehicle combinations - rules.

(1) (d) FOR PERMIT FEES COLLECTED ON OR AFTER JULY 1, 2026, THE DEPARTMENT OF TRANSPORTATION AND THE COLORADO STATE PATROL SHALL TRANSMIT ALL PERMIT FEES COLLECTED PURSUANT TO SUBSECTION (1)(a) OF THIS SECTION TO THE STATE TREASURER, WHO SHALL CREDIT THE PERMIT FEES TO THE FREIGHT CASH FUND CREATED IN

SECTION 43-1-117 (6).

SECTION 2. In Colorado Revised Statutes, 42-4-510, add (11)(c) and (11.5) as follows: 42-4-510.

Permits for excess size and weight and for manufactured homes - penalty - rules - definitions.

(11) (c) (I) FOR PERMIT FEES COLLECTED ON OR AFTER JULY 1, 2026, THE DEPARTMENT OF TRANSPORTATION AND THE COLORADO STATE PATROL SHALL TRANSMIT ALL PERMIT FEES COLLECTED PURSUANT TO SUBSECTION (11)(a) OF THIS SECTION TO THE STATE TREASURER, WHO SHALL CREDIT THE PERMIT FEES TO THE FREIGHT CASH FUND CREATED IN

SECTION 43-1-117 (6).

(II) THIS SUBSECTION (11)(c) DOES NOT APPLY TO LOCAL FEES IMPOSED BY A LOCAL GOVERNMENT OR LOCAL AUTHORITY PURSUANT TO SUBSECTION (11)(b) OF THIS SECTION, WHICH ARE REMITTED TO THE APPROPRIATE LOCAL GOVERNMENT OR LOCAL AUTHORITY.

(11.5) (I) BEGINNING ON JULY 1, 2026, THE DEPARTMENT OF TRANSPORTATION OR THE COLORADO STATE PATROL MAY CHARGE A SUPPLEMENTAL OVERSIZE AND OVERWEIGHT VEHICLE SURCHARGE IN AN AMOUNT EQUAL TO THE AMOUNT OF THE FEE CHARGED PURSUANT TO SUBSECTION (11)(a) OF THIS SECTION FOR THE ISSUANCE OF THE SINGLE TRIP PERMIT; EXCEPT THAT THE SURCHARGE MUST NOT BE IMPOSED ON A VEHICLE IF THE SINGLE TRIP PERMIT FEE WAS IMPOSED PURSUANT TO SUBSECTION (11)(a)(VI)(B) OF THIS SECTION.

(II) THE DEPARTMENT OF TRANSPORTATION OR THE COLORADO STATE PATROL SHALL COLLECT THE SUPPLEMENTAL OVERSIZE AND OVERWEIGHT VEHICLE SURCHARGE AT THE SAME TIME AS IT COLLECTS THE SINGLE TRIP PERMIT FEE. THE DEPARTMENT OF TRANSPORTATION AND THE COLORADO STATE PATROL SHALL TRANSMIT ALL SUPPLEMENTAL SURCHARGES COLLECTED PURSUANT TO THIS SUBSECTION (11.5) TO THE STATE TREASURER, WHO SHALL CREDIT THE SUPPLEMENTAL SURCHARGES TO THE FREIGHT CASH FUND CREATED IN SECTION 43-1-117 (6).

SECTION 3. In Colorado Revised Statutes, add 42-4-514 as follows:

42-4-514. Centralized online permitting system - feasibility study - office of freight mobility and safety - reporting - rules - definitions.

(1) Definitions. AS USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE REQUIRES:

(a) "CENTRALIZED PERMITTING SYSTEM" MEANS THE CENTRALIZED ONLINE PERMITTING SYSTEM FOR OVERSIZE PERMITS, OVERWEIGHT PERMITS, AND OTHER TYPES OF FREIGHT OR TRANSPORT PERMITS ISSUED BY THE DEPARTMENT OF TRANSPORTATION, THE COLORADO STATE PATROL, OR ANY LOCAL GOVERNMENT OR LOCAL AUTHORITY.

(b) "OFFICE" MEANS THE OFFICE OF FREIGHT MOBILITY AND SAFETY CREATED IN SECTION 43-1-117 (4) IN THE TRANSPORTATION DEVELOPMENT DIVISION OF THE DEPARTMENT OF TRANSPORTATION.

(2) Centralized permitting system.

(a) (I) ON OR BEFORE JULY 1, 2029, THE OFFICE SHALL IMPLEMENT AN ONLINE CENTRALIZED PERMITTING SYSTEM TO ALLOW A PERSON TO OBTAIN ANY NECESSARY OVERSIZE PERMIT, OVERWEIGHT PERMIT, OR OTHER FREIGHT OR TRANSPORT PERMITS FROM A STATE OR LOCAL GOVERNMENT OR LOCAL AUTHORITY. THE CENTRALIZED PERMITTING SYSTEM MUST ALLOW A PERSON TO APPLY FOR AND BE ISSUED ALL NECESSARY STATE AND LOCAL PERMITS FOR A ROUTE IN A SINGLE TRANSACTION AND PAY FOR ALL ASSOCIATED PERMIT FEES AND SURCHARGES FOR THAT ROUTE IN A SINGLE TRANSACTION.

(II) IN IMPLEMENTING THE CENTRALIZED PERMITTING SYSTEM, THE OFFICE SHALL COORDINATE WITH THE DEPARTMENT OF TRANSPORTATION, THE COLORADO STATE PATROL, AND APPLICABLE LOCAL GOVERNMENTS OR LOCAL AUTHORITIES.

(III) TO COMPLY WITH THIS SUBSECTION (2)(a), THE OFFICE MAY CREATE A NEW ONLINE PERMITTING SYSTEM OR MODIFY AN EXISTING ONLINE PERMITTING SYSTEM.

(b) (I) ALL STATE FEES OR SURCHARGES COLLECTED THROUGH THE CENTRALIZED PERMITTING SYSTEM MUST BE TRANSMITTED TO THE STATE TREASURER, WHO SHALL CREDIT THE PERMIT FEES TO THE FREIGHT CASH FUND CREATED IN SECTION 43-1-117 (6).

(II) ALL LOCAL FEES COLLECTED THROUGH THE CENTRALIZED PERMITTING SYSTEM MUST BE REMITTED TO THE APPROPRIATE LOCAL GOVERNMENT OR LOCAL AUTHORITY.

(c) IN ADDITION TO ANY OTHER POWERS GRANTED BY LAW, THE EXECUTIVE DIRECTOR OF THE DEPARTMENT OF TRANSPORTATION, OR THE EXECUTIVE DIRECTOR'S DESIGNEE, IS AUTHORIZED TO NEGOTIATE AND ENTER INTO APPROPRIATE AGREEMENTS WITH LOCAL GOVERNMENTS AND LOCAL AUTHORITIES TO FACILITATE THE CENTRALIZED PERMITTING SYSTEM.

(3) Feasibility study.

(a) NO LATER THAN SEPTEMBER 1, 2027, THE OFFICE SHALL STUDY THE FEASIBILITY OF IMPLEMENTING A CENTRALIZED PERMITTING SYSTEM AS REQUIRED BY SUBSECTION (2) OF THIS SECTION AND EVALUATE OPPORTUNITIES TO IMPROVE PERMITTING PROCESSES.

(b) DURING THE 2027 LEGISLATIVE INTERIM, THE OFFICE SHALL REPORT TO THE TRANSPORTATION LEGISLATION REVIEW COMMITTEE CREATED IN SECTION 43-2-145 ON THE COMPLETED FEASIBILITY STUDY AND ANY PROGRESS TOWARD IMPLEMENTING THE CENTRALIZED PERMITTING SYSTEM.

(4) Rules. THE TRANSPORTATION COMMISSION MAY ADOPT RULES AS NECESSARY TO IMPLEMENT AND ADMINISTER THIS SECTION.

SECTION 4. In Colorado Revised Statutes, 43-1-117, amend (4); and add (6) as follows:

43-1-117. Transportation development division - created - duties - office of freight mobility and safety - freight cash fund - repeal.

(4) The OFFICE OF freight mobility and safety branch is created in the transportation development division. The function of the OFFICE OF freight mobility and safety branch is to plan, design, and implement programs and projects that enhance freight mobility and safety within the state. No later than January 1, 2022, the OFFICE OF freight mobility and safety branch shall provide to the commission a long-term strategic plan that sets forth the vision and goals for the branch OFFICE, key priorities for all freight-related programs, activities, and projects, and guidelines for coordination between the branch OFFICE and the freight advisory committee.

(6) (a) THE FREIGHT CASH FUND IS CREATED IN THE STATE TREASURY. THE FUND CONSISTS OF THE PERMIT FEES CREDITED TO THE FUND PURSUANT TO SECTIONS 42-4-505 (1)(d) AND 42-4-510 (11)(c), THE SUPPLEMENTAL OVERSIZE AND OVERWEIGHT SURCHARGES CREDITED TO THE FUND PURSUANT TO SECTION 42-4-510 (11.5), AND ANY OTHER MONEY THAT THE GENERAL ASSEMBLY MAY APPROPRIATE OR TRANSFER TO THE FUND.

(b) THE STATE TREASURER SHALL CREDIT ALL INTEREST AND INCOME DERIVED FROM THE DEPOSIT AND INVESTMENT OF MONEY IN THE FREIGHT CASH FUND TO THE FUND.

(c) (I) MONEY IN THE FREIGHT CASH FUND IS CONTINUOUSLY APPROPRIATED TO THE OFFICE OF FREIGHT MOBILITY AND SAFETY FOR THE FOLLOWING PURPOSES:

(A) TO CONDUCT THE FEASIBILITY STUDY AND SUPPORT THE IMPLEMENTATION AND MAINTENANCE OF A CENTRALIZED ONLINE PERMITTING SYSTEM PURSUANT TO SECTION 42-4-514;

(B) FOR FUNDING FREIGHT-RELATED PROJECTS; AND

(C) TO SUPPORT THE OFFICE IN FUNCTIONS RELATED TO FREIGHT PROJECTS, MOVEMENT, ADMINISTRATIVE COSTS OF THE OFFICE.

AND INFRASTRUCTURE, INCLUDING THE

(II) IN FUNDING FREIGHT-RELATED PROJECTS FROM THE FUND, THE OFFICE SHALL ATTEMPT TO DIRECT MONEY IN A MANNER THAT IS PROPORTIONAL TO THE AMOUNT OF FREIGHT ROUTES AND THE IMPACT OF FREIGHT TRAFFIC IN THE AFFECTED COMMUNITY OR REGION OF THE STATE.

(d) THE FREIGHT CASH FUND IS EXEMPT FROM THE LIMITATIONS SET FORTH IN SECTION 24-75-402.

SECTION 5. In Colorado Revised Statutes, 43-4-804, amend (1)(c)(I); and add (1)(c)(III) as follows:

43-4-804. Highway safety projects - surcharges, fees, and fines - crediting of money to highway users tax fund - rules - definitions - repeal.

(1) The following surcharges, fees, and fines shall be collected and credited to the highway users tax fund created in section 43-4-201 (1)(a) and allocated to the state highway fund, counties, and municipalities as specified in section 43-4-205 (6.3):

(c) (I) ON AND BEFORE JUNE 30, 2026, a supplemental oversize and overweight vehicle surcharge in an amount equal to the amount of the fee charged pursuant to section 42-4-510 (11)(a) C.R.S., by the department or the Colorado state patrol for the issuance of the single trip permit; except that the surcharge shall not be imposed on a vehicle if the single trip permit fee was imposed pursuant to section 42-4-510 (11)(a)(VI)(B). C.R.S.

(III) THIS SUBSECTION (1)(c) IS REPEALED, EFFECTIVE JANUARY 1, 2027. SECTION 6. In Colorado Revised Statutes, 24-75-402, amend (5)(mmm) and (5)(nnn); and add (5)(ooo) as follows: 24-75-402. Cash funds - limit on uncommitted reserves reduction in the amount of fees - exclusions - definitions.

(5) Notwithstanding any provision of this section to the contrary, the following cash funds are excluded from the limitations specified in this section:

(mmm) The reentry services for justice-involved individuals reinvestment cash fund created in section 25.5-4-505.7; and (nnn) The health-related social needs reinvestment cash fund created in section 25.5-5-340; AND

(ooo) THE FREIGHT CASH FUND CREATED IN SECTION 43-1-117 (6).

SECTION 7.

Safety clause. The general assembly finds, determines, and declares that this act is necessary for the immediate preservation of the public peace, health, or safety or for appropriations for the support and maintenance of the departments of the state and state institutions.