C.R.S. § 25-17-1012: Annual fee - battery stewardship fund - responsibilities of the executive director - rules.

(1) (a) In addition to the annual fee described in subsection (1)(b) of this section, a battery stewardship organization shall pay a one-time plan review fee, in the amount of fifty thousand dollars, at the time the battery stewardship organization submits a plan to the executive director for approval. If the executive director approves the plan, the battery stewardship organization shall pay an additional administrative fee of eighty-six thousand dollars within three months after the plan is approved. There is no fee when a battery stewardship organization seeks to renew a plan that was previously approved by the executive director or submits a plan amendment.

(b) Within twelve months after a plan is approved, and on or before each July 1 thereafter, a battery stewardship organization shall pay to the department an annual fee to cover the department's cost of implementing, administering, and enforcing this part 10. 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 this part 10. The commission shall establish the fee amount by rule.

(2) (a) The battery stewardship fund is created in the state treasury.

(b) The fund consists of fees paid to the department pursuant to subsections (1) and (3) of this section and any other money that the general assembly may appropriate or transfer to the fund.

(c) The state treasurer shall credit all interest and income derived from the deposit and investment of money in the fund to the fund. Money not expended at the end of a state fiscal year remains in the fund and does not revert to the general fund or any other fund.

(d) The department shall use funds collected pursuant to this section to provide direct services to battery stewardship organizations with an approved plan to ensure effective program oversight, compliance support, and public engagement. Such services include:

(I) Reviewing, approving, and providing feedback on battery stewardship plans and plan amendments to ensure compliance with state law and to help organizations meet performance goals efficiently;

(II) Conducting compliance audits, reviewing annual reports submitted pursuant to section 25-17-1011 within ninety days after submission, and offering applicable technical recommendations to improve program effectiveness and transparency;

(III) Providing, upon request, a list of approved battery stewardship organizations, participating producers, and compliant retailers to increase consumer awareness and promote participation in a battery stewardship program;

(IV) Offering technical assistance, including regulatory guidance, best practices for collection site operations, and support for retailers and producers navigating compliance requirements;

(V) Collaborating with approved battery stewardship organizations to address operational challenges, facilitate coordination between producers, recyclers, and local governments, and ensure continuous program improvement; and

(VI) Enforcing this part 10 pursuant to section 25-17-1015, ensuring fair enforcement among participants, and protecting the integrity of battery stewardship programs.

(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 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 not be required to pay more than ten percent of the total amount of annual fees.