Colorado Senate proposes tire fee hike

March 6, 2009

Buying a set of four tires will cost Colorado consumers an additional $13 if lawmakers approve a proposed increase in the state's tire fee to $3.25 per tire.

Last week, the Colorado Sentae approved a bill that would raise the state's tire fee by $1.75, earmarking the proceeds for "economic development," according to the Rubber Manufacturers Association (RMA).

However, RMA officials claim that none of the proceeds, which are expected to total $14 million annually, would be used to clean up the 4.5 million scrap tires generated in the state each year.

"Colorado's pro-environment reputation is challenged by the state's abysmal record in managing waste tires," says RMA Vice President Michael Blumenthal.

Colorado is home to more than one-third of all stockpiled scrap tires in the country, according to RMA research.

"The tire industry, led by the RMA, has been working for nearly two decades to promote market-based solutions to using scrap tires and reasonable regulations to clean up piles of scrap tires. RMA supports fees on new tires to fund scrap tire management goals."

The association "opposes efforts to use such revenue for non-scrap tire purposes. It makes sense to impose fees on tires if the funds are used to address scrap tire issues."