Sen. Kerry Donovan

Passenger tramway safety board - continuation under sunset law. The act implements some of the recommendations of the department of regulatory agencies' sunset review and report on the passenger tramway safety board (board) by: Continuing the functions of the board for 11 years, until 2030; Removing the requirement that letters of admonition be sent by certified mail; and Replacing statutory references to the program administrator with references to the program director. Specified provisions of the act are contingent upon House Bill 19-1172 becoming law. (Note: This summary applies to this bill as enacted.) Read More

Internet service providers - state-funded broadband deployment - state procurement preferences - open internet requirements to receive state funds or contracts - complaints to federal trade commission. Section 1 of the act disqualifies an internet service provider (ISP) from receiving money through a grant from the broadband deployment board (board) or through any state fund established to help finance broadband deployment if the ISP engages in any of the following practices: Blocking lawful internet content, applications, services, or devices unless such blocking is conducted in a manner consistent with reasonable network management practices; Engaging in paid prioritization of internet content; Regulating network traffic by throttling bandwidth or otherwise impairing or degrading lawful internet traffic on the basis of internet content, application, service, or use of a nonharmful device unless the impairment or degradation is conducted in a manner consistent with reasonable network management practices; or Not providing reasonable transparency regarding its network management practices. Section 1 also requires that, if an ISP is found to have engaged in any of the practices listed above, the ISP must refund any money that it received in the prior 24 months through a grant from the board or from any other state funding source established to help finance broadband deployment. Section 2 requires the broadband deployment board to periodically review the federal trade commission's and federal communications commission's websites to identify any actions the federal agencies have taken against an ISP that seeks or has received broadband deployment grant money from the board. If the board determines from a review of the federal agency action that the ISP engaged in one of the practices listed above, the board shall deny the application or inform the public utilities commission of the action. Section 3 requires the attorney general or the attorney general's designee, in collaboration with the board, to develop guidance for consumers on how to file a complaint with the federal trade commission to allege that an ISP has engaged in any of the practices that violate federal law regarding interference with the open internet. The department of law shall post the guidance on its website. Section 4 requires a governmental body, when contracting for broadband internet access service, to give preference to an ISP that certifies to the governmental body that it will not engage in any of the practices listed in section 1. (Note: This summary applies to this bill as enacted.) Read More

Traction control equipment. The act amends the traction-control statute, which requires certain equipment during a winter storm, by: Updating the equipment options to authorize current technology and traction options; Setting minimum standards for tires; and Requiring the traction equipment to be carried on I-70 between milepost 133 (Dotsero) and milepost 259 (Morrison) from September 1 through May 31 for icy or snow-packed conditions.(Note: This summary applies to this bill as enacted.) Read More

County, municipality, and other political subdivisions - retirement benefits plan or system for elected or appointed officers and employees - contribution rates. For any county, municipality, or other political subdivision (local government) or group of local governments that has established and maintains a plan or system (plan) of retirement benefits for its elected or appointed officers and its employees, the minimum contribution rate of participants in the plan is changed to 3% of the participant's basic salary or wage. In addition, the contribution rate of the local government and the contribution rate of the participant do not have to be the same, as was previously required, as long as the contribution rate for each is at least 3% of the participant's salary or wage.(Note: This summary applies to this bill as enacted.) Read More

Reinsurance program - creation - payments for high-cost insurance claims - program contingent on federal waiver or funding approval - special fees - premium tax revenues - other funding sources - cash fund created - appropriation - repeal. The act authorizes the commissioner of insurance to apply to the secretary of the United States department of health and human services for a state innovation waiver, federal funding, or both, to allow the state to implement and operate a two-year reinsurance program to assist health insurers in paying high-cost insurance claims. The state cannot implement the program absent waiver or funding approval from the secretary. The program is established as an enterprise for purposes of section 20 of article X of the state constitution so long as the program satisfies enterprise status requirements. The commissioner is to establish payment parameters at levels to effectuate targeted insurance premium reductions. The payment parameters include: The attachment point, above which claims costs are eligible for reinsurance payments; The coinsurance rate at which the program will reimburse carriers for claims above the attachment point; and The reinsurance cap, above which claims costs are no longer eligible for reinsurance payments from the program. The commissioner is authorized to assess special fees against hospitals and, under specified circumstances, against health insurers to provide funding for the program. Additionally, the program is to receive money from the following sources to operate the program: Federal pass-through funding or other federal funds made available for the program; For the 2020-21 and 2021-22 fiscal years, an amount of premium tax revenues collected under current law that exceeds the amount collected in calendar year 2019; $15 million in 2020 and $40 million in 2021 from the general fund, contingent on the passage of House Bill 19-1245; and Any money the general assembly appropriates to the program fund. The act creates the reinsurance program cash fund and continuously appropriates the money in the fund to the division of insurance to operate the program. The commissioner is also authorized to seek, accept, and expend gifts, grants, or donations from private or public sources. The program repeals on September 1, 2023, unless the federal government denies the waiver or funding request, in which case the program repeals upon that denial. $785,904 is appropriated to the department of regulatory agencies for use by the division of insurance to implement the act. (Note: This summary applies to this bill as enacted.) Read More

Health care cooperatives - consumer protections - consumers negotiating rates. The act modernizes laws authorizing health care cooperatives in the state to incorporate consumer protections such as coverage for preexisting conditions and to encourage consumers to help control health care costs by negotiating rates on a collective basis directly with providers. The act authorizes the commissioner of insurance to apply for a federal waiver as necessary to implement the act. (Note: This summary applies to this bill as enacted.) Read More

Species conservation trust fund projects - appropriation - transfers. The act appropriates $3.9 million from the species conservation trust fund for programs submitted by the executive director of the department of natural resources that are designed to conserve native species that state or federal law list as threatened or endangered or that are candidate species or are likely to become candidate species as determined by the United States fish and wildlife service, allocated as follows: Native terrestrial wildlife conservation, $615,500; Native aquatic wildlife conservation, $839,000; Platte river recovery implementation program, $1,940,000; Colorado river basin native fish recovery programs, $205,500; and Federal endangered species act litigation program, $300,000. On July 1, 2019, the act transfers $600,000 from the Colorado water conservation board construction fund to the species conservation trust fund. For the 2019-20 state fiscal year and each of the 4 subsequent state fiscal years, the act transfers $5,000,000 from the severance tax operational fund to the species conservation trust fund. (Note: This summary applies to this bill as enacted.) Read More

Proposal for a state option for health care coverage - creation - division of insurance - appropriation. The act requires the department of health care policy and financing and the division of insurance in the department of regulatory agencies (departments) to develop and submit a proposal (proposal) to certain committees of the general assembly concerning the design, costs, benefits, and implementation of a state option for health care coverage. Additionally, the departments shall present a summary of the proposal at the annual joint hearings with the legislative committees of reference during the interim before the 2020 legislative session. The proposal must contain a detailed description of a state option and must identify the most effective implementation of a state option based on affordability to consumers at different income levels, administrative and financial burden to the state, ease of implementation, and likelihood of success in meeting the objectives described in the act. The proposal must also identify any necessary changes to state law to implement the proposal. In developing the proposal, the departments shall engage in a stakeholder process that includes public and private health insurance experts, consumers, consumer advocates, employers, providers, and carriers. Further, the departments shall review any information relating to a pilot program operated by the state personnel director as a result of legislation that may be enacted during the 2019 legislative session. The departments shall prepare and submit any necessary federal waivers or state plan amendments to implement the proposal, unless a bill is filed within the filing deadlines for the 2020 legislative session that substantially alters the federal authorization required for the proposal and the bill is not postponed indefinitely in the first committee. For the 2018-19 state fiscal year, the act appropriates $75,000 from the general fund to the department of health care policy and financing for professional services, and $115,500 from the general fund to the department of regulatory agencies for the division of insurance for personal services. For the 2019-20 state fiscal year, the act appropriates $150,000 from the general fund to the department of health care policy and financing for professional services, and $231,000 from the general fund to the department of regulatory agencies for the division of insurance for personal services. (Note: This summary applies to this bill as enacted.) Read More

Alcohol beverage regulation - formation of entertainment districts. The act allows an entertainment district to be formed in an area located within a city and county or within an unincorporated area of a county and adds optional premises licensees to the list of licensed premises permitted to attach to an entertainment district.(Note: This summary applies to this bill as enacted.) Read More

Section 1 of the bill enacts the "Colorado Prescription Drug Cost Reduction Act of 2019", which requires: Health insurers, starting in 2020, to submit to the commissioner of insurance (commissioner) information regarding prescription drugs covered under their health insurance plans that the plan paid for in the preceding calendar year, including information about rebates received from prescription drug manufacturers, a certification regarding how rebates were accounted for in insurance premiums, and a list of all pharmacy benefit management firms (PBMs) with whom they contract; Prescription drug manufacturers to notify the commissioner, state purchasers, health insurers, and PBMs when the manufacturer, on or after January 1, 2020, increases the price of certain prescription drugs by more than specified amounts or introduces a new specialty drug in the commercial market; Prescription drug manufacturers, within 15 days after the end of each calendar quarter that starts on or after January 1, 2020, to provide specified information to the commissioner regarding the drugs about which the manufacturer notified purchasers; Health insurers or, if applicable, PBMs to annually report specified information to the commissioner regarding rebates and administrative fees received from manufacturers for prescription drugs for which they received the required notice from a manufacturer; and Certain nonprofit organizations to compile and submit to the commissioner an annual report indicating the amount of each payment, donation, subsidy, or thing of value received by the nonprofit organization or its executive director, chief operating officer, board of directors, or any member of the board of directors from a prescription drug manufacturer, PBM, or health insurer and the percentage of the nonprofit organization's total gross income that is attributable to those payments, donations, subsidies, or things of value. The commissioner is required to post the information received from health insurers, prescription drug manufacturers, PBMs, and nonprofit organizations on the division of insurance's website, excluding any information that is proprietary. Additionally, the commissioner, or a disinterested third-party contractor, is to analyze the data reported by health insurers, prescription drug manufacturers, PBMs, and nonprofit organizations and other relevant information to determine the effect of prescription drug costs on health insurance premiums. The commissioner is to publish a report each year, submit the report to the governor and specified legislative committees, and present the report during annual "State Measurement for Accountable, Responsive, and Transparent (SMART) Government Act" hearings. The commissioner is authorized to adopt rules as necessary to implement the requirements of the bill. Section 2 prohibits PBMs from retroactively reducing payment on a clean claim submitted by a pharmacy unless the PBM determines, through an audit conducted in accordance with state law, that the claim was not a clean claim. Health insurers that contract with PBMs must ensure that the PBMs are complying with this prohibition and the reporting requirements and are subject to penalties for failure to do so. Section 3 requires a carrier to reduce the cost sharing a covered person is required to pay for prescription drugs by an amount equal to the greater of 51% of the average aggregate rebates received by the carrier for all prescription drugs, including price protection rebates, or an amount that ensures cost sharing will not exceed 125% of the carrier's cost for the prescription drug. Under sections 5 and 6 , a prescription drug manufacturer that fails to notify purchasers or fails to report required data to the commissioner is subject to discipline by the state board of pharmacy, including a penalty of up to $10,000 per day for each day the manufacturer fails to comply with the notice or reporting requirements. The commissioner is to report manufacturer violations to the state board of pharmacy. Additionally, health insurers that fail to report the required data are subject to a fine of up to $10,000 per day. Sections 7 and 8 of the bill make conforming amendments necessary to harmonize the bill with the title 12 recodification bill, House Bill 19-1172.(Note: This summary applies to this bill as introduced.) Read More