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House Finance Committee advances bill to fund state Office of Rail Safety with railroad fee
Summary
The House Finance Committee voted to send Senate Bill 162 to appropriations after sponsors and dozens of witnesses debated creating a funded state rail safety program, including a fee on railroads to hire inspectors and support emergency response.
The House Finance Committee on Oct. 12 advanced Senate Bill 162 to the committee on appropriations after sponsors and witnesses described the measure as necessary to fund the state Office of Rail Safety.
Sponsors and agency witnesses said the bill implements recommendations from advisory committees formed after House Bill 1030 and creates a fee structure to pay for rail inspectors, equipment, and emergency-response planning. Representative Adrienne Mabry, a bill co-prime sponsor, told the committee the office needs a dedicated revenue source because Colorado currently lacks federal MP&E (motive power and equipment) inspectors stationed in-state and relies on distant FRA resources.
The bill would require railroads to notify the state's watch center and the Office of Rail Safety immediately after emergencies and create data‑collection standards for train length, wayside detector failures and blocked crossings. Rebecca White, director of the Public Utilities Commission, said the bill would house the state inspection program in the PUC, add inspectors beginning in fiscal 2027–28, and lower an initial statutory cap in amendments from $4.8 million to $2.9 million.
Supporters including labor unions, environmental groups and municipal officials said the office and its data collection will improve emergency response and protect communities near rail lines. Elena Santarella of the BlueGreen Alliance and Paul Pearson of the Brotherhood of Locomotive Engineers and Trainmen testified that objective state data and staff would bolster response to hazardous‑materials derailments.
Class I and short‑line railroads opposed parts of the bill. Union Pacific and BNSF representatives said the PUC’s proposed reporting requirements exceed FRA reporting and raised concerns about duplicate fees, the bill’s fee design, and potential litigation. A short‑line representative said many small railroads already report to the FRA and sought exemption language included in amendments.
Committee amendments pushed the fee effective date from 2026 to 2027 and lowered the statutory cap on the assessed fee from $4.8 million to $2.9 million. The committee recorded an 8–5 vote to advance the bill to appropriations.
The measure now moves to the appropriations committee for fiscal review and further consideration.
