Colorado air regulators propose higher fees for pollution permits and reports
Colorado’s air quality agency plans to raise charges for air pollution permits and emissions reports for businesses that release even modest amounts of contaminants, potentially increasing fees by 65-70% over two years to generate $13.5-$14 million, according to state budget documents.
The Air Pollution Control Division has proposed updates to two existing regulations. The changes would increase fees for annual pollution reports that detail a facility’s emissions output, permit processing and yearly emissions fees, while cutting some duplicate paperwork.
The proposals aim to help fund the division’s work reviewing submissions and enforcing clean air standards, according to the agency.
Many small businesses must submit these annual reports if equipment such as spray guns or solvents release contaminants above state emissions thresholds. Businesses have faced this requirement since the late 1970s, when the Air Quality Control Commission adopted the core framework in 1978 under Regulation Number 3, following the 1979 Colorado Air Quality Control Act.
In recent years, amendments have incorporated environmental justice considerations and toxic substance tracking. Starting in July 2023, most permit applications under Regulation Number 3 must include an Environmental Justice Summary, using tools like Colorado EnviroScreen to check if a facility is in a disproportionately impacted community — such as areas with high pollution burdens or socioeconomic vulnerabilities. This can trigger extra steps like enhanced modeling, monitoring or pollution controls to address equity in affected neighborhoods.
Separately, House Bill 22-1244 established annual reporting for toxic air contaminants — a subset of hazardous pollutants — for certain sources, adding tracking of toxics like benzene or formaldehyde, building on but distinct from standard emissions reports.
The Air Quality Control Commission has scheduled a rulemaking hearing for May 20-22. Specific fee increases remain under review and could change with public input.
Business owners and residents can comment by emailing cdphe.commentsapcd@state.co.us with “Air emissions reporting and fees Public Comment” in the subject line. The hybrid hearing offers in-person or Zoom participation.
Proposal details, including all related documents, are available in the commission’s hearing folder. If approved, changes would likely take effect later in 2026.

