First Regular Session Seventy-fourth General Assembly STATE OF COLORADO ENGROSSED This Version Includes All Amendments Adopted on Second Reading in the House of Introduction LLS NO. 23-0468.03 Brita Darling x2241 SENATE BILL 23-298 Senate Committees House Committees Health & Human Services Appropriations A BILL FOR AN ACT C ONCERNING ALLOWING CERTAIN PUBLIC HOSPITALS TO IMPROVE101 ACCESS TO HEALTH CARE THROUGH COLLABORATION , AND, IN 102 CONNECTION THEREWITH , MAKING AN APPROPRIATION .103 Bill Summary (Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov .) The bill permits a hospital that has fewer than 50 beds and is a county public hospital, a hospital formed by a health service district, or a hospital affiliated with either such hospital (hospital) to enter into collaborative agreements to engage in activities that may be characterized as anticompetitive or result in displacement of competition, such as SENATE Amended 2nd Reading May 1, 2023 SENATE SPONSORSHIP Gardner and Roberts, HOUSE SPONSORSHIP McCormick and Bockenfeld, Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment. Capital letters or bold & italic numbers indicate new material to be added to existing law. Dashes through the words or numbers indicate deletions from existing law. agreements to provide ancillary or specialty services, joint purchasing, shared services, consulting, and collaboration efforts with payers. The bill exempts collaborating hospitals from state antitrust laws and provides immunity from federal antitrust laws under the state action doctrine for approved collaborative activity. Prior to entering into a collaborative agreement, the hospitals must submit the proposed collaborative agreement (proposal) to the department of health care policy and financing (department) and to the attorney general. If the department determines that the collaborative agreement will result in cost savings or other efficiencies that will improve or expand the delivery of health-care services in rural and frontier communities, the department must refer the proposal to the attorney general. The attorney general must review each proposal that is referred by the department and determine, within a specified time, that the benefits are not outweighed by any anticompetitive harm that may result from the agreement. The department or the attorney general may request additional information concerning a proposal within 60 days after its original submission. If additional information is requested, the department and attorney general have an additional 45 days to review the proposal. If the department and the attorney general make a favorable determination, the proposal is approved and the hospitals may enter into a collaborative agreement. If neither the department nor the attorney general respond within the time frames set forth in the bill, the collaborative proposal is deemed approved. The department or the attorney general may review a collaborative agreement annually to ensure the outcomes related to the collaborative agreement are consistent with statute. Be it enacted by the General Assembly of the State of Colorado:1 SECTION 1. In Colorado Revised Statutes, add part 9 to article 2 1 of title 25.5 as follows:3 PART 94 HOSPITAL COLLABORATION AGREEMENTS5 25.5-1-901. Hospital collaborative agreements - review of6 proposed collaborative agreements - immunity - legislative7 declaration - definitions - rules. (1) T HE GENERAL ASSEMBLY FINDS AND8 DECLARES THAT:9 298-2- (a) (I) FRONTIER AND RURAL HOSPITALS CONTINUE TO STRUGGLE1 TO DELIVER HIGH-QUALITY, ACCESSIBLE, LOW-COST CARE DUE TO THE2 RISING COSTS OF MEDICATIONS , SUPPLIES, MEDICAL EQUIPMENT, AND3 CONTRACT LABOR;4 (II) F RONTIER AND RURAL HOSPITALS ARE LARGELY INDEPENDENT ,5 GOVERNMENTAL FACILITIES THAT ARE GOVERNED BY LOCAL COMMUNITY6 BOARDS;7 (III) F RONTIER AND RURAL HOSPITALS ARE GENERALLY8 SEPARATED BY LARGE DISTANCES AND ARE CHALLENGED BY THE NEED TO9 PROVIDE ESSENTIAL SERVICES TO LOCAL COMMUNITIES DUE TO THE10 SPARSE POPULATION IN RURAL AREAS ;11 (IV) F RONTIER AND RURAL HOSPITALS ARE INCREASINGLY12 CHALLENGED BY COMPLEX REQUIREMENTS IMPOSED BY GOVERNMENT AND13 PRIVATE PAYERS THAT DISPROPORTIONATELY NEGATIVELY IMPACT THESE14 PROVIDERS AND UNNECESSARILY DRIVE -UP ADMINISTRATIVE COSTS; AND 15 16 (V) I N CASES WHERE THE STATE DEPARTMENT , THE DIVISION OF 17 INSURANCE, IF APPLICABLE, AND THE ATTORNEY GENERAL APPROVE18 COLLABORATIVE ARRANGEMENTS , IT IS THE GENERAL ASSEMBLY'S INTENT19 TO PROVIDE PROTECTION TO FRONTIER AND RURAL HOSPITALS FROM20 CERTAIN ANTITRUST SCRUTINY THAT IMPEDES FRONTIER AND RURAL21 HOSPITALS FROM WORKING COLLABORATIVELY TO IMPROVE QUALITY ,22 INCREASE ACCESS, AND REDUCE COSTS OF CARE TO THE COMMUNITIES23 THEY SERVE;24 (b) (I) F ORTY-SEVEN OF COLORADO'S SIXTY-FOUR COUNTIES25 INCLUDE RURAL AND FRONTIER COMMUNITIES YET CONTAIN ONLY TWELVE26 PERCENT OF COLORADO'S POPULATION;27 298 -3- (II) THIRTY-TWO COUNTIES ARE SERVED BY CRITICAL ACCESS1 HOSPITALS THAT HAVE TWENTY -FIVE OR FEWER BEDS AND ARE2 GENERALLY LOCATED MORE THAN THIRTY -FIVE MILES FROM THE NEXT3 CLOSEST HOSPITAL; ELEVEN COUNTIES LACK ANY HOSPITAL ;4 (III) THE SCARCITY OF NEARBY HOSPITALS CAUSES MANY5 RESIDENTS TO STRUGGLE TO FIND QUALITY , AFFORDABLE HEALTH CARE6 NEAR THEIR HOMES;7 (IV) F URTHER, MANY RESIDENTS IN COLORADO'S RURAL AND8 FRONTIER COMMUNITIES FOREGO PREVENTIVE AND BEHAVIORAL HEALTH9 CARE AND LACK COMPREHENSIVE OR SPECIALIZED CARE OR CHOICE IN10 HEALTH-CARE SERVICES, AND TWENTY-FOUR COUNTIES IN COLORADO ARE11 CONSIDERED MATERNAL CARE "DESERTS";12 (V) W HERE HOSPITALS DO EXIST IN RURAL AND FRONTIER AREAS ,13 THOSE HOSPITALS RECEIVE LOW REIMBURSEMENT RATES DUE TO A14 PREPONDERANCE OF GOVERNMENT PAYERS AND DECLINING LOCAL TAX15 DOLLARS, WHICH RESULTS IN A REDUCED AMOUNT OF MONEY AVAILABLE16 TO INVEST IN EXPANDING OR UPGRADING FACILITIES OR TO PURCHASE17 NECESSARY, NEW, OR INNOVATIVE MEDICAL SUPPLIES , EQUIPMENT, OR18 TECHNOLOGY;19 (VI) M ANY HOSPITALS IN RURAL AND FRONTIER COMMUNITIES20 HAVE DIFFICULTY RECRUITING AND RETAINING QUALIFIED HEALTH -CARE21 PROFESSIONALS AND MAKING AVAILABLE NEEDED SERVICES ; AND22 (VII) COUNTY PUBLIC HOSPITALS, HEALTH SERVICE DISTRICTS,23 AND HOSPITAL AFFILIATES PERFORM ESSENTIAL PUBLIC FUNCTIONS ON24 BEHALF OF THE STATE;25 (c) A S PART OF THE GOVERNMENT 'S INTEREST IN PROVIDING26 NEEDED HEALTH-CARE SERVICES IN COLORADO'S RURAL AND FRONTIER27 298 -4- COMMUNITIES, IT IS IMPORTANT FOR THE GOVERNMENT TO SUPPORT 1 EFFORTS TO FIND COLLABORATIVE, INNOVATIVE SOLUTIONS TO THE MANY2 PROBLEMS CONFRONTING RURAL HEALTH CARE , INCLUDING3 COLLABORATIVE OR COORDINATED ACTIVITIES THAT OFFER THE4 OPPORTUNITY TO EXPAND HEALTH -CARE OPTIONS THROUGH JOINT5 PURCHASING AND STAFFING, SHARED SERVICES, AND JOINT ACQUISITION6 OF NEW AND EXPENSIVE DIAGNOSTIC AND TREATMENT SOLUTIONS ;7 (d) I T IS THE GENERAL ASSEMBLY 'S INTENT TO EXEMPT FROM8 STATE ANTITRUST LAWS, AND TO PROVIDE STATE ACTION IMMUNITY FROM9 FEDERAL ANTITRUST LAWS FOR CERTAIN ACTIVITIES THAT MIGHT BE10 CHARACTERIZED AS ANTICOMPETITIVE OR THAT MIGHT RESULT IN THE11 DISPLACEMENT OF COMPETITION IN THE PROVISION OF HOSPITAL ,12 PHYSICIAN, OR OTHER HEALTH -CARE-RELATED SERVICES OR13 ADMINISTRATIVE OR GENERAL BUSINESS SERVICES ; AND 14 (e) I N ORDER TO PROMOTE IMPROVED QUALITY OF , INCREASE15 ACCESS TO, AND REDUCE COSTS OF HEALTH-CARE SERVICES IN RURAL AND16 FRONTIER COMMUNITIES THROUGH COLLABORATIVE AGREEMENTS17 AUTHORIZED BY THIS SECTION , THE GENERAL ASSEMBLY FURTHER18 INTENDS TO PROVIDE A SYSTEM OF REVIEW OF RELEVANT COLLABORATIVE19 AGREEMENTS BY THE STATE DEPARTMENT , THE DIVISION OF INSURANCE, 20 IF APPLICABLE, AND THE ATTORNEY GENERAL TO ENSURE THAT ANY21 POTENTIAL BENEFITS OF SUCH COLLABORATIVE AGREEMENTS ARE NOT22 OUTWEIGHED BY THE HARM TO COMPETITION IN RURAL AND FRONTIER23 COMMUNITIES. 24 (2) A S USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE25 REQUIRES:26 (a) "C OLLABORATIVE AGREEMENT " MEANS AN AGREEMENT OR27 298 -5- SIMILAR ARRANGEMENT BETWEEN TWO OR MORE HOSPITALS OR HOSPITAL1 AFFILIATES THAT COMPLIES WITH THE REQUIREMENTS SET FORTH IN THIS2 SECTION.3 (b) "C OUNTY PUBLIC HOSPITAL" MEANS A PUBLIC HOSPITAL4 ESTABLISHED PURSUANT TO SECTION 25-3-301.5 (c) "D IVISION OF INSURANCE" MEANS THE DIVISION OF INSURANCE 6 IN THE DEPARTMENT OF REGULATORY AGENCIES .7 (d) "HEALTH SERVICE DISTRICT" HAS THE SAME MEANING AS SET8 FORTH IN SECTION 32-1-103 (9).9 (e) "HOSPITAL" MEANS A FACILITY WITH FEWER THAN FIFTY BEDS10 THAT IS:11 (I) A COUNTY PUBLIC HOSPITAL;12 (II) A HOSPITAL ESTABLISHED, MAINTAINED, OR OPERATED13 DIRECTLY OR INDIRECTLY BY A HEALTH SERVICE DISTRICT ; OR14 (III) A HOSPITAL AFFILIATE.15 (f) "HOSPITAL AFFILIATE" MEANS AN AFFILIATE OF A COUNTY16 PUBLIC HOSPITAL OR HEALTH SERVICE DISTRICT THAT IS UNDER THE SOLE17 CONTROL OF THE COUNTY PUBLIC HOSPITAL OR HEALTH SERVICE DISTRICT .18 (3) E XCEPT AS PROVIDED IN SUBSECTION (4) OF THIS SECTION, AND19 SUBJECT TO THE REQUIREMENTS IN SUBSECTIONS (5), (6), AND (7) OF THIS20 SECTION, A HOSPITAL IS AUTHORIZED TO ENTER INTO COLLABORATIVE21 AGREEMENTS WITH ONE OR MORE HOSPITALS OR HOSPITAL AFFILIATES TO22 ENGAGE IN THE FOLLOWING ACTIVITIES:23 (a) A NCILLARY CLINICAL SERVICES, ACQUISITION OF EQUIPMENT,24 CLINIC MANAGEMENT, OR HEALTH-CARE PROVIDER RECRUITMENT ;25 (b) J OINT PURCHASING OR LEASING ARRANGEMENTS , INCLUDING26 THE JOINT PURCHASING OR LEASING OF:27 298 -6- (I) MEDICAL AND GENERAL SUPPLIES;1 (II) M EDICAL AND GENERAL EQUIPMENT ;2 (III) P HARMACEUTICALS; OR3 (IV) T EMPORARY STAFFING THROUGH A STAFFING AGENCY ;4 (c) C ONSULTING SERVICES WITH A FOCUS ON PUBLIC HEALTH IN5 RURAL OR FRONTIER COMMUNITIES AND NON -HOSPITAL-SPECIFIC6 INNOVATIONS IN HEALTH-CARE DELIVERY IN THOSE COMMUNITIES ;7 (d) P URCHASING JOINT PROFESSIONAL , GENERAL LIABILITY, OR8 PROPERTY INSURANCE;9 (e) S HARING BACK-OFFICE SERVICES, SUCH AS SHARING A BUSINESS10 OFFICE, ACCOUNTING AND FINANCE SERVICES , HUMAN RESOURCES, AND11 RISK MANAGEMENT AND COMPLIANCE SERVICES , BUT NOT INCLUDING12 SHARING SERVICE CHARGING EXPENSES OR RATES AMONG HOSPITALS ;13 (f) S HARING DATA SERVICES, INCLUDING SHARED SERVICES FOR14 ELECTRONIC HEALTH RECORDS AND DATA EXTRACTION AND ANALYSIS15 SERVICES, CHARGE MANAGEMENT , AND POPULATION HEALTH ANALYSIS ;16 AND17 (g) N EGOTIATING WITH HEALTH INSURANCE OR GOVERNMENT18 PAYERS, WHICH NEGOTIATIONS ARE LIMITED TO:19 (I) S HARED CARE PROTOCOLS INTENDED TO IMPROVE PATIENT20 MANAGEMENT AND OUTCOMES , INCLUDING IMPLEMENTATION OF21 EVIDENCE-BASED PROTOCOLS, CLINICAL PATHWAYS, AND RECOGNIZED22 BEST PRACTICES IN THE CARE AND TREATMENT OF PATIENTS , INCLUDING23 CLINICAL THERAPIES, NUTRITION, EXERCISE, DIAGNOSTIC TESTING, AND24 MEDICATION MANAGEMENT ;25 (II) COLLABORATIVE EFFORTS WITH PAYERS TO PROMOTE26 APPROPRIATE AND ESSENTIAL SERVICES TO BE PROVIDED IN THE LOCAL27 298 -7- COMMUNITY;1 (III) MANAGEMENT OF PRIOR AUTHORIZATION REQUESTS ; AND2 (IV) ANALYSIS OF AGGREGATE DATA TO COMPARE COSTS OF3 PROCEDURES AND TO ANALYZE PATIENT OUTCOMES .4 (4) N OTWITHSTANDING ANY COLLABORATIVE AGREEMENTS5 DESCRIBED IN SUBSECTION (3) OF THIS SECTION, THE IMMUNITY AND6 PROTECTIONS GRANTED TO HOSPITALS AND HOSPITAL AFFILIATES7 ENTERING INTO COLLABORATIVE AGREEMENTS PURSUANT TO THIS8 SECTION DOES NOT EXTEND TO COLLABORATIVE AGREEMENTS WITH9 ANOTHER HOSPITAL OR HOSPITAL AFFILIATE THAT HAVE THE EFFECT OF :10 (a) S ETTING REIMBURSEMENT RATES OR OTHER COMPENSATION11 FROM ANY COMMERCIAL SELF -INSURED OR COMMERCIAL HEALTH12 INSURANCE OR GOVERNMENT PAYER ;13 (b) D IVIDING OR ALLOCATING AMONG HOSPITALS OR HOSPITAL14 AFFILIATES SPECIFIC MARKETS FOR THE DELIVERY OF ANY GENERAL ACUTE15 CARE OR SPECIALTY LINES OF HEALTH-CARE SERVICES; OR16 (c) N EGOTIATING OR AGREEING TO COMPENSATION UNDER17 HEALTH-CARE STAFFING ARRANGEMENTS FOR HOSPITAL EMPLOYEES THAT18 RESULTS IN A REDUCTION OF WAGES OF HOSPITAL STAFF , WHETHER 19 EMPLOYED BY THE HOSPITAL, A STAFFING AGENCY, OR OTHER EMPLOYER.20 (5) P RIOR TO ENGAGING IN ANY JOINT ACTIVITY DESCRIBED BY A21 PROPOSED COLLABORATIVE AGREEMENT EXECUTED PURSUANT TO22 SUBSECTION (3) OF THIS SECTION, THE HOSPITALS OR HOSPITAL AFFILIATES23 SHALL JOINTLY SUBMIT THE PROPOSED COLLABORATIVE AGREEMENT TO24 THE STATE DEPARTMENT AND TO THE DIVISION OF INSURANCE , IF THE 25 PROPOSED COLLABORATIVE AGREEMENT INCLUDES NEGOTIATING WITH26 HEALTH INSURANCE PAYERS, AS DESCRIBED IN SUBSECTION (3)(g) OF THIS27 298 -8- SECTION, PURSUANT TO RULES THAT MAY BE PROMULGATED FOR THE1 SUBMISSION AND REVIEW OF PROPOSALS BY THE STATE DEPARTMENT AND2 BY THE DIVISION OF INSURANCE, IF APPLICABLE. THE STATE DEPARTMENT3 AND THE DIVISION OF INSURANCE , IF APPLICABLE, MAY REQUEST4 ADDITIONAL INFORMATION NECESSARY TO REVIEW THE PROPOSAL .5 (6) W ITHIN FIFTEEN DAYS AFTER RECEIPT OF A PROPOSED 6 COLLABORATIVE AGREEMENT AND THE RECEIPT OF ADDITIONAL7 INFORMATION REQUESTED BY THE STATE DEPARTMENT AND BY THE8 DIVISION OF INSURANCE, IF APPLICABLE, IF THE DEPARTMENT OF HEALTH9 CARE POLICY AND FINANCING CONCLUDES THAT A PROPOSED10 COLLABORATIVE ACTIVITY WILL RESULT IN COST SAVINGS OR OTHER11 EFFICIENCIES THAT WILL IMPROVE OR EXPAND THE DELIVERY OF12 HEALTH-CARE SERVICES IN RURAL AND FRONTIER COMMUNITIES IN13 C OLORADO, THE DEPARTMENT OF HEALTH CARE POLICY AND FINANCING14 SHALL REFER THE PROPOSAL TO THE ATTORNEY GENERAL TO DETERMINE ,15 PURSUANT TO RULES WHICH MAY BE PROMULGATED FOR SUCH PURPOSE ,16 THAT THE BENEFITS OF THE COLLABORATIVE ACTIVITY ARE NOT17 OUTWEIGHED BY ANY ANTICOMPETITIVE HARM THAT MAY ARISE FROM THE18 COLLABORATIVE ACTIVITY.19 (7) W ITHIN FORTY-FIVE DAYS AFTER RECEIVING A REFERRAL20 AND REVIEW FROM THE STATE DEPARTMENT AND THE DIVISION OF21 INSURANCE, IF APPLICABLE, THE ATTORNEY GENERAL SHALL REVIEW THE22 PROPOSED COLLABORATIVE AGREEMENT AND EITHER APPROVE OR DENY23 THE PROPOSED COLLABORATIVE AGREEMENT OR REQUEST ADDITIONAL24 INFORMATION RELATED TO THE PROPOSAL . IF A REQUEST FOR ADDITIONAL25 INFORMATION IS MADE, THE ATTORNEY GENERAL HAS AN ADDITIONAL26 FORTY-FIVE DAYS TO COMPLETE THE REVIEW FOLLOWING RECEIPT OF THE27 298 -9- REQUESTED INFORMATION .1 (8) (a) A COLLABORATIVE AGREEMENT IS APPROVED IF : 2 (I) T HE STATE DEPARTMENT AND THE DIVISION OF INSURANCE , IF 3 APPLICABLE CONCLUDE THAT THE PROPOSED COLLABORATIVE AGREEMENT4 WILL RESULT IN IMPROVED QUALITY , INCREASED ACCESS OR COST5 SAVINGS, OR OTHER EFFICIENCIES THAT WILL IMPROVE OR EXPAND THE6 DELIVERY OF HEALTH -CARE SERVICES IN RURAL AND FRONTIER7 COMMUNITIES IN COLORADO; AND8 (II) T HE ATTORNEY GENERAL CONCLUDES THAT THE BENEFITS 9 IDENTIFIED BY THE STATE DEPARTMENT AND BY THE DIVISION OF10 INSURANCE, IF APPLICABLE, ARE OUTWEIGHED BY ANY COMPETITIVE11 CONCERNS IDENTIFIED BY THE ATTORNEY GENERAL , OR THE ATTORNEY12 GENERAL DOES NOT RESPOND WITHIN THE TIME FRAMES SPECIFIED IN13 SUBSECTION (7) OF THIS SECTION. 14 (b) (I) E XCEPT AS PROVIDED IN SUBSECTION (8)(b)(III) OF THIS 15 SECTION, IF A PROPOSED COLLABORATIVE AGREEMENT IS DENIED , THE16 HOSPITALS OR HOSPITAL AFFILIATES MAY REQUEST RECONSIDERATION BY17 RESUBMITTING THE PROPOSED AGREEMENT TO THE ATTORNEY GENERAL18 WITHIN THIRTY DAYS AFTER THE DENIAL ALONG WITH ADDITIONAL19 MATERIALS, INFORMATION, OR OTHER EVIDENCE THAT WAS NOT20 PREVIOUSLY SUBMITTED RELATING TO THE DETERMINATION OF THE21 BENEFITS OR ANTICOMPETITIVE HARM ASSOCIATED WITH THE PROPOSED22 COLLABORATIVE AGREEMENT .23 (II) T HE ATTORNEY GENERAL HAS FORTY -FIVE DAYS FROM THE 24 DATE OF THE REQUEST TO RECONSIDER THE DENIAL AND MAY CONSULT25 WITH THE DEPARTMENT OF HEALTH CARE POLICY AND FINANCING OR THE26 DIVISION OF INSURANCE AS PART OF THE RECONSIDERATION . THE27 298 -10- PROPOSED COLLABORATIVE AGREEMENT IS NOT DEEMED APPROVED IF THE1 ATTORNEY GENERAL FAILS TO RESPOND WITHIN THE FORTY -FIVE-DAY2 RECONSIDERATION PERIOD.3 (III) A REQUEST FOR RECONSIDERATION OF A PROPOSED 4 COLLABORATIVE AGREEMENT MAY BE MADE ONLY ONCE WITHIN THE5 THIRTY-DAY PERIOD FOLLOWING THE DENIAL OF THE PROPOSED6 COLLABORATIVE AGREEMENT . THE ATTORNEY GENERAL'S DECISION ON A7 PROPOSED COLLABORATIVE AGREEMENT THAT IS NOT SUBMITTED FOR8 RECONSIDERATION WITHIN THIRTY DAYS OR THAT IS DENIED UPON9 RECONSIDERATION IS FINAL AND NON-APPEALABLE.10 (c) THE STATE DEPARTMENT , THE DIVISION OF INSURANCE, IF11 APPLICABLE, OR THE ATTORNEY GENERAL MAY REVIEW A COLLABORATIVE12 AGREEMENT ANNUALLY TO ENSURE THE OUTCOMES RELATED TO THE13 COLLABORATIVE AGREEMENT ARE CONSISTENT WITH THIS SECTION .14 SECTION 2. In Colorado Revised Statutes, add 25-3-304.5 as15 follows:16 25-3-304.5. Hospital collaborative agreements - additional17 powers. I N ADDITION TO THE POWERS SPECIFIED IN SECTION 25-3-304, THE 18 BOARD OF TRUSTEES OF A COUNTY PUBLIC HOSPITAL MAY ENTER INTO A19 COLLABORATIVE AGREEMENT WITH ANOTHER COUNTY PUBLIC HOSPITAL ,20 HEALTH SERVICE DISTRICT, OR HOSPITAL AFFILIATE IN ACCORDANCE WITH21 SECTION 25.5-1-901.22 SECTION 3. In Colorado Revised Statutes, 32-1-1003, add23 (1)(c.5) as follows:24 32-1-1003. Health service districts - additional powers. (1) In25 addition to the powers specified in section 32-1-1001, the board of any26 health service district has any or all of the following powers for and on27 298 -11- behalf of such district:1 (c.5) T O ENTER INTO A COLLABORATIVE AGREEMENT WITH2 ANOTHER HEALTH SERVICE DISTRICT , COUNTY PUBLIC HOSPITAL , OR3 HOSPITAL AFFILIATE IN ACCORDANCE WITH SECTION 25.5-1-901. 4 SECTION 4. Appropriation. (1) For the 2023-24 state fiscal5 year, $30,260 is appropriated to the department of health care policy and6 financing for use by the executive director's office. This appropriation is7 from the healthcare affordability and sustainability fee cash fund created8 in section 25.5-4-402.4 (5)(a), C.R.S. To implement this act, the office9 may use this appropriation as follows:10 (a) $26,385 for personal services, which amount is based on an11 assumption that the office will require an additional 0.8 FTE; and12 (b) $3,875 for operating expenses.13 (2) For the 2023-24 state fiscal year, the general assembly14 anticipates that the department of health care policy and financing will15 receive $30,259 in federal funds to implement this act, which amount is16 subject to the "(I)" notation as defined in the annual general appropriation17 act for the same fiscal year. The appropriation in subsection (1) of this18 section is based on the assumption that the department will receive this19 amount of federal funds to be used as follows:20 (a) $26,384 for personal services; and21 (b) $3,875 for operating expenses.22 SECTION 5. Act subject to petition - effective date. This act23 takes effect at 12:01 a.m. on the day following the expiration of the24 ninety-day period after final adjournment of the general assembly; except25 that, if a referendum petition is filed pursuant to section 1 (3) of article V26 of the state constitution against this act or an item, section, or part of this27 298 -12- act within such period, then the act, item, section, or part will not take1 effect unless approved by the people at the general election to be held in2 November 2024 and, in such case, will take effect on the date of the3 official declaration of the vote thereon by the governor.4 298 -13-