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SB 25-297

Implementation of Colorado Natural Medicine Initiative

2025 Regular Session Introduced by Matt Ball and 9 co-sponsors

Creates a 5-year, de-identified data pilot (CDPHE with DOR/DORA) to track health effects and program outcomes of regulated natural medicine, funded by gifts/grants.

Governor Signed
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Bill Summary · SB 25-297

SB 25‑297 — Implementation of Colorado Natural Medicine Initiative (Governor Signed)

Overview / Purpose

SB 25‑297 directs the Colorado Department of Public Health and Environment (CDPHE), working with the Department of Revenue (DOR) and the Department of Regulatory Agencies (DORA), to collect and maintain de‑identified data about the health effects and program impacts of regulated natural medicine and natural medicine products. The bill establishes a five‑year pilot data collection program, updates certain licensing and rulemaking provisions, and authorizes gubernatorial pardons for a class of possession convictions. The Governor signed the bill on June 3, 2025.

Key provisions

  • Data collection duties (CDPHE, in coordination with DOR and DORA)

    • Request and collect readily available/relevant data about:
    • law‑enforcement incidents;
    • adverse health events;
    • impacts on health‑care facilities and systems;
    • consumer protection claims;
    • behavioral‑health impacts.
    • Collect additional sources as available (all‑payer claims, hospital discharge data, peer‑reviewed studies).
    • Provide de‑identified data to DOR for use in its annual natural medicine report.
    • CDPHE’s collection under this section is contingent on available appropriations or gifts/grants/donations.

  • Pilot data collection program (database)

    • CDPHE shall create and maintain a de‑identified database built from data collected by DOR and DORA to track how regulated natural medicine is used and the public‑health/program outcomes.
    • Data in the database is designated proprietary/confidential, not subject to the Colorado Open Records Act, subpoena, discovery, or civil‑court use.
    • Limited exceptions allow release (minimum necessary) for department‑approved research, public‑health tracking, or regulatory duties.
    • CDPHE prohibited from accepting gifts/grants/donations from licensees or entities with a financial stake that could improperly influence results.
    • Pilot repeals September 1, 2030; CDPHE must report to the Legislature on continuation and funding.

  • Licensee reporting (effective July 1, 2026)

    • Facilitators must provide de‑identified health outcome data, demographics, session‑level outcomes, service details, pre/post participant information, and other data as specified by CDPHE.
    • Businesses must provide demographic and outcome data and other information as determined by DOR in consultation with CDPHE.

  • Regulatory and licensing changes (DOR/DORA)

    • Repeals prior requirement that DOR’s Natural Medicine Division collect certain incident data (moved to CDPHE).
    • Requires DOR to adopt rules on labeling and permits rulemaking on product registration and data collection forms.
    • Replaces fingerprint‑based criminal history checks for license applicants with name‑based judicial record checks.

  • Pardons

    • Authorizes the Governor to grant pardons to a class of defendants convicted of possession of natural medicine.

Fiscal impact and appropriations (summary)

  • CDPHE implementation is contingent on external funding (gifts, grants, donations) or appropriations.
  • Estimated state fiscal effects (as analyzed):
    • FY 2025‑26: State expenditures ≈ $445,594; State revenue (gifts/grants) ≈ $543,465; 1.0 FTE.
    • FY 2026‑27: Expenditures ≈ $222,777; revenue (gifts/grants) ≈ $320,648; 0.8 FTE.
    • Small increase to CBI Identification Unit Cash Fund revenue: $11,050/year (TABOR impact increases required refund by this amount).
  • The bill includes a reduction of $78,287 to the Natural Medicine Division cash fund appropriation to DOR and assumes reappropriated ITS funding of $208,240 for IT services.
  • JBC and LCS note risk: implementation depends on receipt of gifts/grants; absent those funds the program is at risk. State law limits using General Fund to backstop programs designated for gifts/grants only.

Who is affected

  • State agencies: CDPHE (lead), DOR, DORA, Governor’s Office of Information Technology.
  • Natural medicine facilitators, healing centers, and licensed natural medicine businesses (data reporting).
  • License applicants (shift from fingerprint to name‑based checks).
  • Health‑care systems, law enforcement, consumer protection entities, researchers, and persons with prior possession convictions (pardon provision).

Timeline & other conditions

  • Introduced: April 15, 2025. Governor signed: June 3, 2025.
  • Licensee data reporting begins July 1, 2026.
  • Pilot data program scheduled to repeal September 1, 2030, unless extended.
  • CDPHE’s obligations are conditional on appropriations or receipt of permitted gifts/grants/donations; funding cannot come from licensees or parties with a financial stake that may improperly influence data.

Notes / Considerations

  • The bill centralizes public‑health data functions at CDPHE while protecting proprietary and personal information through strict de‑identification and confidentiality rules.
  • Reliance on gifts/grants raises implementation risk; JBC flagged the Legislature should consider whether exclusive dependency on such funding is intended.

Compiled from official sources — confirm details with the bill’s official record.

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