Committee advances coal-transition bill to prioritize local hiring and allow broader investment of settlement funds

The House Agriculture, Natural Resources and Water Committee voted to advance legislation aimed at helping communities and workers affected by the decline of coal-fired generation.

Sponsors Representatives Lukens and Morrow said Senate Bill 26,052 creates a "first opportunity" hiring preference for qualified former coal workers in designated coal transition communities and permits covered businesses (railroads, utilities, energy generation, advanced manufacturing and similar industries operating in those communities) to give qualified coal-transition workers priority when hiring for comparable positions. Representative Morrow described the preference as a "good faith" effort and said the bill includes annual reporting requirements to the Office of Just Transition.

Local officials and labor leaders testified in support. Carl Smith (Smart Transportation Division) and Robert Lindgren (Colorado AFL‑CIO) urged the committee to back preferential hiring so skilled workers can remain in their communities. Moffat County officials and a county negotiator described settlement funds from utility and regulatory processes and said their local authority needs a technical fix (section 3) to invest those funds more effectively to replace lost tax base and attract employers. Moffat County witnesses said guaranteed settlement payments include an initial cash payment already deposited, with estimates referenced in testimony of $27,000,000 up to a possible $70,000,000 in total settlement funds; they urged allowing conservative investment options beyond CDs and bonds so the fund can generate larger annual returns for community reinvestment.

Debate and concerns: Several members supported the bill but expressed unease that past regulatory choices led to local economic losses and questioned whether the state has previously provided sufficient transition funding. Representative Johnson asked why the bill was not addressed earlier and called attention to existing workforce programs; Representative Garcia Sander raised guardrail questions about how local governments will ensure prudent investment of settlement funds. Sponsors said last year’s statute unintentionally limited investment options and that section 3 is a narrowly tailored technical fix to expand permissible conservative investment vehicles under strict local policies.

Vote and outcome: The committee moved Senate Bill 26,052 to the Committee of the Whole with a favorable recommendation. The roll-call vote was 11–2; Representatives Garcia Sander and Sukhla recorded nos in the roll call as transcribed.

Next steps: The bill will proceed to the Committee of the Whole. Sponsors and Moffat County testified they will continue developing local investment policies and reporting mechanisms required by the bill.