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0009o~ -34- TOOLS AND INITIATIVES FOR 1980 AND BEYOND: AN AGENDA Although the preferred scenario of Euture energy production cannot be identified precisely at this time, it is clear that the magnitude of this preferred scenario would be substantially above the low scenario identified here, probably close to the medium scenario in terms of total energy production. As a result, it is further clear::that additional resources and statutory authority would be required in order to accommodate and mitigate that preferred scenario. While it is a policy judgment whether Colorado should achieve a preferred level of energy production above the low scenario identified here, with appropriate additional resources and statutory authority Colorado could live with the preferred level of energy development. Further, the achievement 'ot tn~s pref~red level would be responsive to national energy needs in an orderly fashion. But the achievement of this preferred level would have to bring with it the necessary resources and statutory authority to mitigate as many undesirable consequences of rapid energy production in Colorado as can be achieved. Colorado should not support the growth of energy production.k above the low scenario toward a preferred level of production until these ~ mitigation resources and strategies are in place. The following possible initiatives suggest the types of actions which may be required if Colorado is to be::adequately prepared to deal with fvture energy production. Department of Local Affairs Suggestions for Possible Tools and Initiatives Implementation of a preferred development program depends to a considerable extent upon the ability of state and local governments to exercise some ./ control over their own destiny. Presently, Colorado's destiny is largely determined by private sector and Federal government initiatives. Colorado must exercise some means of gaining control over the state's destiny. This could be accomplished by the establishment of facility-siting law which addresses both the environmental-social and economic impacts and their ultimate prevention or mitigation. It could also be accomplished through the development of mechanisms to allow for the sharing of tax-revenues at the local level. There is a need for the generation of additional revenues. This might be accomplished through impact-assistance legislation at the Federal level, increases in the state severance tax, mandatory industrial cost-internalization, and implementation of existing revenue-generation capacity at the local level, such as sales tax increases. There is also a need to provide local officials with the mechanisms to allow them to exercise existing authorities to the fullest. These might include land-use plans and strategies, zoning programs, and conditional use strategies. There is also a need to develop impact development standards which provide guidelines to address optimum community development criteria. Department of Highways Suggestions for Possible Tools and Initiatives The Colorado Department of Highways firmly believes that the costs of / mitigating transportation impacts that are directly attributable to energy resource development activities should be the responsibility of that economic . sector. There are several potential means available for accomplishing that end. The first would be an increase in the current state severance tax to a level capable of generating the required revenass and earmarked those revenues specifically for highway improvements. The second would be the