Colorado Passes Natural Medicine Health Act Clean-Up Bill
On May 13, 2024, Colorado passed Senate Bill 24-198, a clean-up bill designed to assist with the implementation of the Colorado Natural Medicine Health Act (NMHA). Among technical fixes to add more clarity to the statute, the NMHA was amended to shift the responsibility of approving facilitator education and training programs from the Division of Private Occupational Schools (DPOS), within the Colorado Department of Higher Education, to the Department of Regulatory Agencies (DORA). SB 24-198 exempts facilitator education and training programs from regulation as private educational schools in hopes of making the licensing process less burdensome for aspiring educators and practitioners.
Although DPOS is the state agency responsible for overseeing postsecondary private occupational schools and their educational content, the bill amends the NMHA to explicitly grant DORA (the agency responsible for regulating facilitators pursuant to the NMHA) the authority to regulate, license, approve, and deny facilitator training programs. This important clarification assuages public concerns that, if DPOS retained authority to review, approve, and license facilitator training programs, the NMHA’s implementation could be significantly delayed.
Prospective psilocybin facilitators in Oregon faced a similar issue during implementation in 2022 where the agency responsible for regulating Oregon’s natural medicine program, the Oregon Health Authority, announced that facilitator training program applicants were required to additionally apply to the Oregon Higher Education Coordinating Commission (HECC) for school licensure. This oversight of applicable law created a longer, more arduous path to licensure for facilitators in the state.
With the passage of SB 24-198, it is now clear that the Director of DORA, and not DPOS, is the sole agency responsible for approving these educational programs, their curricula, and ensuring regulatory compliance. DORA also has the power to deny approval of a facilitator educational program applicant if it fails to meet the required standards established by the State, as well as withdraw the approval of education programs subsequently found to be deficient.
SB 24-198 also grants DORA the authority to determine when accreditation of a natural medicine facilitator education program by another state may serve as a basis for approval of licensure. This means that DORA can recognize accreditation from other states, such as Oregon, as sufficient evidence of meeting Colorado’s standards for licensure, streamlining the process for individuals educated in states with comparable standards. Similarly, DORA is allowed to adopt rules that authorize individuals educated outside of Colorado and whose training programs meet the same standards as those educated within Colorado to potentially receive licensure through reciprocity.
In addition to providing clarity on the regulation of Colorado’s facilitator training programs, SB 24-198 includes language on enhancing the regulatory framework surrounding the co-location of different types of laboratory testing facilities. The bill clarifies that a person may operate a natural medicine testing facility at the same location as a regulated cannabis testing facility. This clarification streamlines regulatory processes and eliminates costly barriers for businesses operating in both sectors, while still maintaining stringent oversight. The Department of Revenue will collaborate with the Department of Public Health and Environment to create testing standards and laboratory requirements for the NMHA program. Changes were also made regarding financial interests in natural medicine licenses. The bill specifies that individuals (as opposed to “persons”) are prohibited from having a financial interest in more than five natural medicine licenses.
The most recent changes made to Colorado’s NMHA are a significant step forward in the State’s efforts to balance accessibility, safety, and quality without placing undue burden upon licensees. By updating regulatory processes, clarifying legal requirements, and enhancing oversight mechanisms, Colorado is fostering legislation to support a thriving natural medicine industry.
For more information on Colorado’s implementation of the Natural Medicine Health Act, please email cbarnes@feldmanlegaladvisors.com