SB 25-289 Fiscal Note Legislative Council Staff Nonpartisan Services for Colorado’s Legislature SB 25-289: CREATION OF A DRUG DONATION PROGRAM Prime Sponsors: Sen. Cutter Rep. Brown Published for: Senate Health & Human Services Drafting number: LLS 25-1042 Fiscal Analyst: Shukria Maktabi, 303-866-4720 shukria.maktabi@coleg.gov Version: Initial Fiscal Note Date: April 15, 2025 Fiscal note status: The fiscal note reflects the introduced bill. Summary Information Overview. The bill creates a drug donation program that allows the donation and redistribution of unused medicines. Types of impacts. The bill is projected to affect the following areas on an ongoing basis: Minimal State Workload Minimal State Revenue Local Government Appropriations. No appropriation is required. Table 1 State Fiscal Impacts Type of Impact Budget Year FY 2025-26 Out Year FY 2026-27 State Revenue $0 $0 State Expenditures $0 $0 Transferred Funds $0 $0 Change in TABOR Refunds $0 $0 Change in State FTE 0.0 FTE 0.0 FTE Page 2 April 15, 2025 SB 25-289 Summary of Legislation Current law allows certain licensed facilities and prescription drug outlets to redistribute unused medicine donated by patients. The bill expands these efforts by creating the Colorado Drug Donation Program in the Department of Regulatory Agencies (DORA) to facilitate the donation and redistribution of unused medicine to patients who are indigent, uninsured, underinsured, or enrolled in public health programs. Under the program, a donor is defined as any person or entity legally authorized to possess medicine and a donation recipient includes a wholesaler, distributor, third-party logistics provider, repackager, hospital, pharmacy, clinic, health-care provider, or prescriber's office. The bill establishes record-keeping requirements for donated medicines, types of medicines that may be donated, storage and disposal of donated medicines, and the process for re-dispensing medicine to eligible patients. The bill also requires the State Board of Pharmacy in DORA to develop program rules; clarifies that individuals and entities involved in the program are not liable when acting in good faith; and modifies the existing state laws that allow select facilities to re-dispense unused medicine to align with the redistribution of unused medicine through this program. State Revenue Beginning in FY 2025-26, the bill may increase state revenue to the Judicial Department from an increase in civil case filing fees for noncompliant entities participating in the program. The fiscal note assumes most participants will follow the law and any increase in fee revenue will be minimal. State Expenditures Beginning in FY 2025-26, the bill minimally increases workload in DORA, the Judicial Department, and other state agencies, as described below. Department of Regulatory Agencies Beginning in FY 2025-26, workload will increase for the Board of Pharmacy to develop rules and oversee the program. This workload is minimal and can be accomplished within existing resources. Judicial Department Trial court workload in the Judicial Department may increase for cases against noncompliant entities. The fiscal note assumes most participants will follow the law and that any increase can be accomplished within existing resources. Page 3 April 15, 2025 SB 25-289 Other state agencies To the extent that state health facilities opt to participate in the program, workload will increase to implement the program at the facility. The fiscal note assumes participation is at the discretion of the facility and any workload impacts will be absorbable within existing appropriations or will be requested through the annual budget process. Local Government Similar to state facilities, any local facility that elects to participate in the program will have increased administrative costs to follow the requirements of the program. Effective Date The bill takes effect 90 days following adjournment of the General Assembly sine die, assuming no referendum petition is filed. State and Local Government Contacts Corrections Higher Education Human Services Judicial Law Public Health and Environment Regulatory Agencies The revenue and expenditure impacts in this fiscal note represent changes from current law under the bill for each fiscal year. For additional information about fiscal notes, please visit the General Assembly website.