(DENVER, CO) – The Machine Tools Sales Tax Exempt Recovered Materials bill (SB16-124) was signed into law by Governor Hickenlooper yesterday. The bill extends the tax exemptions on machinery and equipment enjoyed for decades by traditional manufacturers in Colorado to also include machinery and equipment used in the sustainable manufacturing practices of reprocessing, remanufacturing and reuse of recycled materials.
The tax exemption secured by this bill will spur investment by recycling processors and remanufacturers, bolster local businesses and support a robust and reliable source of local materials and supplies for recycled materials processors and manufacturers in the state. Ultimately, the tax exemption will help grow the state’s recycled materials processing and manufacturing industries, provide Colorado with additional economic benefits that are currently being lost to other states and boost the diversion of valuable recyclable materials from disposal in Colorado’s landfills.
The bill was sponsored by Sen. Kevin Grantham and Rep. Kevin Priola. The signing comes just days before the annual Summit for Recycling hosted by the Colorado Association for Recycling, which will be held in Grand Junction June 12 through 14.
The recycling and remanufacturing industry helps to preserve and create new jobs in Colorado and is an important part of our state’s economy. A 2014 study found that recycling, reuse and remanufacturing sectors sustain more than 85,000 jobs in the state – more than 5,000 of them in rural Colorado.