November 2023 Bite-Size Colorado Legislation News

Keeping up with the latest developments in Colorado State Legislation is crucial, and HR Green is actively providing updates on key priorities of our state legislators. Here are our team’s insights on three topics that are making an immediate impact in Colorado.

SB23-090 Uniform Commercial Code 2022 Amendments

(https://leg.colorado.gov/bills/sb23-090) As stated in the title, this bill is incorporating the 2022 amendments into the Uniform Commercial Code (UCC), drafted by the Uniform Law Commission.

• Within the UCC a new article was created that governs controllable electronic records. Various definitions were amended, added and changed with this law.  One example of one such change is amending “writing” or “written” to refer to a “record”.
• The following is an example of the addition of new security interests:
  • 4-9-314. Perfection by control. (a) A security interest in investment property, deposit accounts, letter-of-credit rights, electronic chattel paper, or electronic documents CONTROLLABLE ACCOUNTS, CONTROLLABLE ELECTRONIC RECORDS, CONTROLLABLE PAYMENT INTANGIBLES, DEPOSIT ACCOUNTS, ELECTRONIC DOCUMENTS, INVESTMENT PROPERTY, OR LETTER-OF-CREDIT RIGHTS may be perfected by control of the collateral under section 4-7-106, 4-9-104, 4-9-105, 4-9-106, or 4-9-107, OR 4-9-107.5.
• Chattel Paper’s definition has been replaced with
  • (A) A RIGHT TO PAYMENT OF A MONETARY OBLIGATION SECURED BY SPECIFIC GOODS, IF THE RIGHT TO PAYMENT AND SECURITY AGREEMENT ARE EVIDENCED BY A RECORD; OR
  • (B) A RIGHT TO PAYMENT OF A MONETARY OBLIGATION OWED BY A LESSEE UNDER A LEASE AGREEMENT WITH RESPECT TO SPECIFIC GOODS AND A MONETARY OBLIGATION OWED BY THE LESSEE IN CONNECTION WITH THE TRANSACTION GIVING RISE TO THE LEASE, IF:
    •  (i) THE RIGHT TO PAYMENT AND LEASE AGREEMENT ARE EVIDENCED BY A RECORD; AND
    • (ii) THE PREDOMINANT PURPOSE OF THE TRANSACTION GIVING RISE TO THE LEASE WAS TO GIVE THE LESSEE THE RIGHT TO POSSESSION AND USE OF THE GOODS. THE TERM DOES NOT INCLUDE A RIGHT TO PAYMENT ARISING OUT OF A CHARTER OR OTHER CONTRACT INVOLVING THE USE OR HIRE OF A VESSEL OR A RIGHT TO PAYMENT ARISING OUT OF THE USE OF A CREDIT OR CHARGE CARD OR INFORMATION CONTAINED ON OR FOR USE WITH THE CARD.

HB23-1260 Advanced Industry and Semiconductor Manufacturing Incentives:  

(https://leg.colorado.gov/bills/hb23-1260) This bill sets up the requirements, rules, and nuances to meet the CHIPS act to support advanced manufacturing in the state, such as semi-conductor manufacturing.

• (a) “ADVANCED MANUFACTURING” MEANS THE USE OF INNOVATIVE TECHNOLOGIES AND PROCESSES TO ENHANCE EXISTING AND CREATE NEW PRODUCTS, INCLUDING, BUT NOT LIMITED TO, PRODUCTION ACTIVITIES THAT DEPEND ON AUTOMATION, COMPUTATION, ENHANCED PROTOTYPING, LASERS, NETWORKING, ROBOTICS, SENSING, SIMULATION, AND SOFTWARE, AND OTHER SIMILAR ACTIVITIES AS MAY BE DETERMINED BY THE COMMISSION, IN THIS STATE.
• (b) To PROPOSE AN AREA FOR DESIGNATION AS A CHIPS ZONE, A LOCAL GOVERNMENT SHALL SUBMIT A DEVELOPMENT PLAN TO THE DIRECTOR. THE PLAN MUST INCLUDE THE FOLLOWING ITEMS:
  • (I) THE BOUNDARIES OF THE PROPOSED ZONE;(II) THE PROPOSED ZONE’S POTENTIAL FOR SEMICONDUCTOR MANUFACTURING BUSINESS DEVELOPMENT AND JOB CREATION;(III) HOW THE PROPOSED ZONE WILL SUPPORT AND BE CONSISTENT WITH MAINTENANCE OF THE AREA’S ECONOMY; AND
  • (IV) ANY OTHER PERTINENT INFORMATION THE DIRECTOR OR THE COMMISSION MAY REQUIRE, WHICH MAY INCLUDE INFORMATION RELATED TO LOCAL PLANNING, CAPACITY, AND INFRASTRUCTURE.
• Local governments may keep in mind that zoning can be used to help define these special manufacturing zones. Special development agreements such as an opportunity zoning are also an option. The following documents facilitate long-term planning for a region:
  • Master Water Plan
  • Master Utility Plan
  • Designated Truck Haul Route and Maps
  • Master Transportation Plan
  • Engineering Standards and Regulations such as an Engineering and Construction Manual

Recent Development of Federal ADA PROWAG Rules Clarifications

Recent development of Federal ADA PROWAG rules clarifications. (https://www.access-board.gov/prowag/preamble.html)

Citations from the September 7, 2023 Federal Register Publication. (https://www.federalregister.gov/documents/2023/08/08/2023-16149/accessibility-guidelines-for-pedestrian-facilities-in-the-public-right-of-way) below:

• Alterations. There are three major changes in the way alterations are treated in the final rule. First, any portion of a pedestrian facility that is altered must be altered to comply with these guidelines regardless of the intended “scope of the project” by the entity undertaking the alteration (R201.1). This approach is consistent with the way accessibility guidelines for roadways, buildings and sites are applied.
• Second, in the final rule, facilities and portions of facilities that are “added” to an existing, developed public right-of-way are “alterations,” and are subject to the requirements for altered facilities (see R104.3; R201.1; R202). This includes compliance with the requirements to the maximum extent feasible where existing physical constraints make compliance with the applicable requirements technically infeasible (R202.3). In the proposed rule, added elements were treated as new construction and subject to full compliance with all applicable requirements regardless of existing physical constraints (NPRM R202.2)
• Third, altered facilities must be connected to an existing pedestrian circulation path by a pedestrian access route (R202.2). In the proposed rule, only select alterations required a connection; however, to ensure that pedestrians with disabilities can realize the benefits of an altered pedestrian facility that is made accessible consistent with these guidelines, the final rule requires all altered facilities to connect to a pedestrian circulation path.
• Crosswalk Treatments at Roundabouts. The final rule expands the crosswalk treatment options for jurisdictions to select for installation at multilane pedestrian crossings and at roundabouts to include: a traffic control signal with a pedestrian signal head, a pedestrian hybrid beacon, a pedestrian-actuated rectangular rapid flashing beacon, and a raised crossing.

In next month’s newsletter, we will discuss two more bills that are impacting local governments.

Note: The material contained in this newsletter is provided for informational purposes only and does not represent a legal opinion on any subject matter. We encourage you to review this summary and consult with your legal counsel to determine applicability to your particular situation.

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