Colorado Code § 44-50-203

State licensing authority - rules
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(1) Mandatory rule-making. Rules
promulgated pursuant to section 44-50-202 (1)(b) must include the following subjects:
(a) Procedures and requirements consistent with this article 50 for the issuance, denial,
renewal, reinstatement, modification, suspension, and revocation of licenses;
(b) Oversight requirements for licensees;
(c) A schedule of application, licensing, and renewal fees for licenses;
(d) Qualifications and eligibility requirements for licensure pursuant to this article 50,
including continuing eligibility expectations, including timely paying taxes owed to the
department of revenue, timely filing tax returns, and timely curing any tax deficiencies, and
authorization for the department of revenue to have access to licensing information to ensure tax
payment for the effective administration of this article 50;
(e) Permissible and prohibited financial interests in a license issued pursuant to this
article 50 or a license issued pursuant to article 170 of title 12; except that an individual shall not
have a financial interest in more than five natural medicine business licenses;
(f) (I) Establishment of a natural medicine independent testing and certification program
for licensees within an implementation time frame established by the division, requiring
licensees to test regulated natural medicine and regulated natural medicine product to ensure, at a
minimum, that regulated natural medicine and regulated natural medicine product transferred for
human consumption by persons licensed pursuant to this article 50 do not contain contaminants
that are injurious to health and to ensure correct labeling, as well as:
(A) Certification requirements for laboratories that test regulated natural medicine and
regulated natural medicine product and requirements that the test results produced by a
laboratory must not be used unless the laboratory is certified;
(B) Testing requirements for regulated natural medicine and regulated natural medicine
product by licensees;
(C) Whether to allow for any natural person to request and utilize testing services of
natural medicine and natural medicine product if the natural person is twenty-one years of age or
older;
(D) Definitions, permissions, and prohibitions concerning conflicts of interest related to,
and economic interests for, persons who own or are associated with a natural medicine testing
license and other licenses; and
(E) Procedures and requirements necessary to facilitate the coordination of duties with
respect to the natural medicine testing and certification program with the department of public
health and environment.
(II) The state licensing authority shall promulgate rules pursuant to this subsection (1)(f)
in coordination with the department of public health and environment to ensure consistency
between rules.
(g) Regulation of a licensed premises, including rules that allow a natural medicine
healing center licensee's licensed premises to be co-located with another natural medicine
healing center licensee's licensed premises or a health-care facility;
(h) Requirements for the transportation of regulated natural medicine and regulated
natural medicine product, including:
(I) Security requirements;
(II) Transportation vehicle requirements, including requirements for surveillance;
(III) Limits on the amount of regulated natural medicine and regulated natural medicine
product that may be carried in a transportation vehicle;
(IV) Record-keeping requirements; and
(V) Transportation manifest requirements;
(i) Limits on the amount of regulated natural medicine and regulated natural medicine
product that is allowed for production by a natural medicine cultivation facility license or natural
medicine product manufacturer license based on a metric or set of metrics. When considering
any limitations, the state licensing authority shall consider the total current and anticipated
demand for regulated natural medicine and regulated natural medicine product in Colorado and
attempt to minimize the market for unlawful natural medicine and natural medicine product.
(j) Records to be kept by licensees and the required availability of the records for
inspection by the state licensing authority;
(k) Requirements to prevent the transfer or diversion of natural medicine or natural
medicine product to persons under twenty-one years of age;
(l) Permitted and prohibited transfers of regulated natural medicine and regulated natural
medicine product between licensees;
(m) Standards for advertising and marketing a licensee's services, including: Avoiding
the misappropriation and exploitation of the federally recognized American tribes, as defined in
section 12-170-104 (7), and Indigenous people, communities, cultures, and religions; avoiding
the excessive commercialization of natural medicine, natural medicine product, and natural
medicine services; prohibiting advertising and marketing of natural medicine, natural medicine
product, and natural medicine services directed to individuals who are under twenty-one years of
age; and other parameters determined necessary by the state licensing authority;
(n) Standards for qualification as a licensee, including environmental, social, and
governance criteria directed to the findings and declarations set forth in section 12-170-102.
(2) Permissive rule-making. Rules promulgated pursuant to section 44-50-202 (1)(b)
may include, but need not be limited to, the following subjects:
(a) Establishment of licenses, and the privileges and restrictions pursuant to such
licenses, determined necessary by the state licensing authority to implement or administer this
article 50;
(b) Establishment of a principle file process and requirements for an applicant seeking to
exercise the privileges of a license type in multiple locations or seeking to exercise the privileges
of multiple license types;
(c) Requirements for issuance of co-location permits to a licensee authorizing co-
location with another licensed premises;
(d) Requirements and restrictions on different types of regulated natural medicine or
regulated natural medicine product;
(e) Packaging and labeling requirements for regulated natural medicine or regulated
natural medicine product, including:
(I) Warning labels;
(II) Individual serving and per-package serving amounts; and
(III) Concentration of the regulated natural medicine or regulated natural medicine
product;
(f) Security requirements for licensed premises, including lighting, physical security,
video, and alarm requirements, and other minimum procedures for internal control as deemed
necessary by the state licensing authority to properly administer and enforce the provisions of
this article 50, including reporting requirements for changes, alterations, modifications to the
premises, or activities or incidents on the premises;
(g) Health and safety regulations and standards;
(h) Sanitary requirements;
(i) Waste, disposal, and destruction requirements of regulated natural medicine or
regulated natural medicine product, including record-keeping requirements;
(j) Storage and transportation of regulated natural medicine or regulated natural
medicine product;
(k) Requirements of licensees to track and manage inventory;
(l) Compliance with, enforcement of, or violation of any provision of this article 50,
article 18 of title 18, or any rule promulgated pursuant to this article 50, including procedures
and grounds for denying, suspending, fining, modifying, restricting, or revoking a state license
issued pursuant to this article 50 or any rule promulgated pursuant to this article 50;
(m) Establishing a schedule of penalties for alleged violations of statutes and rules;
(n) Specifications of duties of officers and employees of the state licensing authority;
(o) Guidance for law enforcement officers;
(p) Requirements for inspections, investigations, searches, seizures, forfeitures,
embargoes, quarantines, recalls, destruction, and such additional activities as may become
necessary;
(q) Prohibition of misrepresentation and unfair practices; and
(r) Such other matters as are necessary for the fair, impartial, stringent, and
comprehensive administration of this article 50.
(3) The state licensing authority shall consult the board when considering and
promulgating rules pursuant to this section.
(4) (a) The state licensing authority may, by rule, establish procedures for the
conditional issuance of an employee license identification card at the time of application.
(b) (I) The state licensing authority shall base its issuance of an employee license
identification card pursuant to this subsection (4) on the results of an initial investigation that
demonstrates the applicant is qualified to hold a license. The employee license application for
which an employee license identification card was issued pursuant to this subsection (4) remains
subject to denial pending the complete results of the applicant's initial fingerprint-based criminal
history record check.
(II) Results of a fingerprint-based criminal history record check that demonstrate that an
applicant possessing an employee license identification card pursuant to this subsection (4) is not
qualified to hold a license issued pursuant to this article 50 are grounds for denial of the
employee license application. If the employee license application is denied, the applicant shall
return the employee license identification card to the state licensing authority within a time
period that the state licensing authority establishes by rule.
(III) The state licensing authority shall require the applicant to have the applicant's
fingerprints taken by a local law enforcement agency or a third party approved by the Colorado
bureau of investigation. If an approved third party takes the applicant's fingerprints, the
fingerprints may be electronically captured using the Colorado bureau of investigation's
approved livescan equipment. A third party shall not keep the applicant information for more
than thirty days unless requested by the applicant. The state licensing authority shall send the
applicant's fingerprints to the Colorado bureau of investigation for the purpose of fingerprint
processing by utilizing the files and records of the Colorado bureau of investigation and the
federal bureau of investigation.

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