These amendments to 6 CCR 1007-3, Part 262 and Part 100 are
made pursuant to the authority granted to the Solid and Hazardous Waste
Commission in §
§
25-15-302(2) and
(3.5), C.R.S.
Amendments to Hazardous Waste Fees
The Solid and Hazardous Waste Commission put the current
fees in place in 2009. After two years under the present hazardous waste fee
structure, the Department determined that a one-year temporary decrease of 12%
in hazardous waste fees was necessary for Calendar Year 2011. After further
review, the Department has determined that a one-year temporary decrease
of 30% in hazardous waste fees is necessary for Calendar Year
2012.
§ 25-15-301.5, C.R.S., provides general directives for
implementation of the hazardous waste regulatory program. These directives
include implementing a hazardous waste program that a) maintains program
authorization by the U.S. EPA, b) promotes a community ethic to reduce or
eliminate waste problems, c) is credible and accountable to industry and the
public, d) is innovative and cost-effective, and e) protects the environmental
quality of life for impacted residents of the state. §
25-15-302(2),
C.R.S., provides guidance for future fee adjustments by the Solid and Hazardous
Waste Commission. This guidance includes setting the fees such that the revenue
generated by each fee approximates the actual reasonable program costs
attributable to the facilities paying the fee.
The Department is authorized by the U.S. EPA to operate the
hazardous waste regulatory program in Colorado in lieu of the federal
government. One of the key criteria evaluated by the U.S. EPA in authorizing
the state program is resources, both in terms of funding and in terms of
qualified personnel.
Even with this fee decrease, the Department has determined
that it will continue to be able to operate an adequate program.
Amendments to these same sections of the regulations made
in May, 2009 implemented a balanced 15% increase in hazardous waste program
fees that the Department expected would provide adequate funding for the
hazardous waste program for a period of approximately two years. However,
because of several unanticipated events, the current fee structure has
collected too much money. The Department has benefitted from
higher-than-anticipated revenue and lower-than-expected costs. Revenues have
been higher due to 1) greater-than-expected volumes processed by Colorado's
permitted Treatment, Storage, and Disposal (TSD) facilities, 2) collecting a
sizable hazardous waste volume fee for a new waste stream at another TSD, and
3) other fee components (number of billable hours and number of hazardous waste
generators) remaining stronger than anticipated.
The Hazardous Waste Program has had lower expenses because
1) salaries did not increase in FY10 or FY11 and will not increase in FY12, 2)
salaries were actually cut 2.5% in FY11 and FY12 by legislative action
diverting more salary to PERA (the retirement program for state employees) and
decreasing the amount paid by the state the same amount, 3) the Hazardous Waste
Program has not spent the budgeted $200,000 that we built into the 2009 fee
increase for building a new data management system, 4) the Hazardous Waste
Program did not have to pay attorney costs out of the cash account in FY11, and
5) the Hazardous Waste Program lost 4 FTE in FY11 due to some minor
reorganization and movement of time and effort over to the Solid Waste
Program.
Higher revenues and lower expenses have caused overall
revenue to outpace expenses in both FY10 and FY11. This has caused the
Program's bank account to grow to a level that significantly exceeds what is
allowed by law. §
24-75-402, C.R.S., requires that
the fiscal-year end balance in this type of bank account not exceed 16.5% of
the previous year's expenditures. Because of the unanticipated events described
above, projections show that the 16.5% carry-over limit will be exceeded until
beyond FY15 unless the fees are decreased. With a fee decrease the bank account
balance will again reach the 16.5% limit in FY15.
This fee decrease rulemaking will become effective on
January 1, 2012.
The amendments being adopted at this time include a
one-year temporary fee decrease of 30% for all fee components. The 2009 fee
increase was calculated carefully to collect proportional amounts of revenue
from each hazardous waste sector equivalent to the amount of time and effort
the Department spent regulating that sector. That proportion between sectors is
still correct and, therefore, the fairest and simplest approach to the fee
decrease is an across-the-board equal fee reduction of 30%. This means that the
fees included in Parts 262.13 (Generator fees), 100.31 (TSD annual, volume, and
minimum fees), 100.32 (document review and activity fees), and 100.33
(notification fees) have all been reduced by 30% for calendar year 2012.
The maximum and ceilings for non-commercial TSDs in Part
100.31(b) and for document review in Parts 100.32(b) and (c) have not been
adjusted. These ceilings were not raised in 2009 when the last fee increase
(15%) was implemented so there is no reason to lower them now for this fee
decrease. In truth, these ceilings are only very rarely reached even under the
2009 fee amounts.
Statement of Basis and Purpose - Rulemaking Hearing
of May 15, 2012
Notes
6 CCR 1007-3-8.78
37
CR 24, December 25, 2014, effective 3/2/2015
38
CR 11, June 10, 2015, effective 6/30/2015
39
CR 05, March 10, 2016, effective
3/30/2016
39
CR 11, June 10, 2016, effective
6/30/2016
40
CR 06, March 25, 2017, effective
4/14/2017
40
CR 11, June 10, 2017, effective
6/30/2017
40
CR 21, November 10, 2017, effective
11/30/2017
41
CR 06, March 25, 2018, effective
4/14/2018
41
CR 11, June 10, 2018, effective
6/30/2018
41
CR 24, December 25, 2018, effective
1/14/2019
42
CR 06, March 25, 2019, effective
4/14/2019
42
CR 06, March 25, 2019, effective
5/30/2019
42
CR 11, June 10, 2019, effective
6/30/2019
43
CR 12, June 25, 2020, effective
7/15/2020
44
CR 06, March 25, 2021, effective
4/14/2021
44
CR 11, June 10, 2021, effective
6/30/2021
44
CR 24, December 25, 2021, effective
1/14/2022
45
CR 11, June 10, 2022, effective
6/30/2022
45
CR 17, September 10, 2022, effective
9/10/2022
45
CR 17, September 10, 2022, effective
9/30/2022
45
CR 23, December 10, 2022, effective
1/30/2023