The Colorado Medical Marijuana Registry (FEE REDUCTION)

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Public Comment on Medical Marijuana Registry Fee Reduction

The Colorado Department of Public Health and Environment (department) is considering a reduction of the medical marijuana registration fee from $90 to $35. In making this downward adjustment, the Department has looked at the direct and indirect costs associated with managing the Medical Marijuana Registry Program.

This spreadsheet details the costs to run the Medical Marijuana Registry Program. In summary, the department is assuming a registrant level of 120,000 applications per calendar year. The Department is also assuming 20% of those applicants will claim indigent status (defined as 185% of the federal poverty level); thus, the fee will be waived in accord with state statute. Therefore, 96,000 applicants will pay the fee. (120,000 X 20% = 24,000. 120,000 – 24,000 = 96,000). The program is anticipated to cost $3,367,726 per year to run. $3,367,726 / 96,000 applicants = $35.08 per applicant. The fee will be rounded down to $35.

With this posting, the department is inviting public comment on the proposed reduced medical marijuana registry fee. The public comment period will be open from July 1 through July 29, 2011. Please send your comments to: cdphe.medicalmarijuanacomments@state.co.us


MORE iNFORMATION AT:

Colorado: Department of Public Health and Environment, Colorado Medical Marijuana Registry



Medical Marijuana Fee Analysis.

(2) Center for Health and Environmental Information
Long Bill Line Item Total Funds Cash Funds Comments
(A) Health Statistics and Vital Records
Personal Services
FY 2011-12 Total Appropriation $2,355,165 $2,355,165
Covers personnel expenses to
process registration
applications, program
management, etc.
Operating Expenses
FY 2011-12 Total Appropriation $176,448 $176,448
covers costs of registration
cards, travel, office supplies,
computers, etc.
Transfer to DORA for Medical Marijuana
FY 2011-12 Total Appropriation $121,766 $121,766
Transfer to the department of
Regulatory agencies for the
investigation of physicians
(B) Information Technology Services
Office of Information technology Costs
FY 2011-12 Total Appropriation $117,500 $117,500
Purchase of computer services
from the Office of Information
Technology.
(C) Indirect Cost Assessment
FY 2011-12 Total Appropriation $498,758 $498,758
Covers costs for leased space,
utilities, administrative
overhead, etc.
Contingency costs and computer upgrades
Contingency - 3 % for indigency variance, decreased applications,
unexpected costs, etc. $3,269,637 documented costs X 3% = 98,089 $98,089 e.g., new computer system
FY 2011-1FY 2011-12 Total Appropriation $3,269,637 $3,367,726
Fee Calculation $3,367,726 / 96,000 $35.08
Revenue calcualtion 96,000 X $35 $3,360,000





DetailedFinancialsMarijuana

APPROPRIATION FROM
ITEM &
SUBTOTAL
TOTAL GENERAL
FUND
GENERAL
FUND
EXEMPT
CASH
FUNDS
REAPPROPRIATED
FUNDS
FEDERAL
FUNDS
$ $ $ $ $ $ $
a These amounts shall be from various sources of cash funds.
b Of these amounts, $3,150,729 shall be from indirect cost recoveries, $144,547 shall be from Medicaid funds appropriated to the Department of Health Care Policy and Financing, and
$32,298 shall be from various sources of reappropriated funds.
(C) Indirect Cost
Assessment 1,075,177 700,663a 27,678b 346,836
14,378,149
a This amount shall be from various sources of cash funds.
b This amount shall be from various sources of reappropriated funds.
(3) LABORATORY SERVICES
(A) Director’s Office
Personal Services 508,847 472,550a 36,297
(5.3 FTE) (0.2 FTE)
Operating Expenses 22,421 22,421a
Indirect Cost Assessment 1,581,175 1,253,152a 328,023
2,112,443
a Of these amounts, $709,775 shall be from the Newborn Screening and Genetic Counseling Cash Fund created in Section 25-4-1006 (1), C.R.S., $532,904 shall be from the Laboratory
Cash Fund created in Section 25-1.5-101 (1) (e) (II), C.R.S., $252,444 shall be from the Law Enforcement Assistance Fund created in Section 43-4-401, C.R.S., and $253,000 shall be
from various sources of cash funds.
(B) Chemistry and Microbiology
Personal Services 4,489,354 750,536 2,400,825a 94,356b 1,243,637
(11.2 FTE) (33.0 FTE) (3.5 FTE) (15.9 FTE)
Operating Expenses 3,931,174 314,817 2,901,277a 140,119b 574,961
8,420,528
a Of these amounts, $4,113,955 shall be from the Newborn Screening and Genetic Counseling Cash Fund created in Section 25-4-1006 (1), C.R.S., $680,000 shall be from the Laboratory
Cash Fund created in Section 25-1.5-101 (1) (e) (II), C.R.S., $107,115 shall be from the Law Enforcement Assistance Fund created in Section 43-4-401, C.R.S., and $401,032 shall be
from various sources of cash funds.
PAGE 153-SENATE BILL 11-209 DEPARTMENT OF PUBLIC HEALTH AND ENVIRONMENT