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Senate approves state-only funding measure to stabilize care for entities barred from federal reimbursement

Senate · August 22, 2025
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Summary

Senate Bill 25B-002 was adopted on second reading after floor debate over Planned Parenthood’s Medicaid status, privacy/HIPAA concerns about a transparency amendment (L003), and budget impacts; amendment L003 failed on a floor vote while the bill was adopted.

The Senate on Aug. 21 adopted Senate Bill 25B-002, a state-only funding measure allowing entities barred from receiving federal reimbursements from the Centers for Medicare and Medicaid Services (CMS) to receive state payments for covered services while a federal prohibition is in effect.

Senator Bridges, moving the bill, framed the measure as a way to "restore services to the people of Colorado" after Planned Parenthood was removed from the Medicaid provider network. On the floor Bridges said, "Planned Parenthood was removed with the stroke of a pen on July 4... No longer allowed to be a federal Medicaid provider for purely political reasons," and described the bill as targeted at family-planning and primary-care services, not abortion funding.

Senator Doherty emphasized stabilizing access and preventing major network adequacy shortages in the near term, arguing the bill provides state-only funding through the Health Insurance Affordability Enterprise Fund while the federal prohibition is in effect. Opponents raised fiscal and privacy concerns: Senator Rich noted the bill carries expenses "over $4,000,000," and Senator Bridges (during amendment debate) cautioned about "HIPAA concerns" and potential doxing arising from required claim-level disclosures.

An amendment, L003, offered by Senator Zamora Wilson would have required the state Department to publish a description of each claim reimbursed to a prohibited entity; proponents called the change "showing the receipts" for taxpayers, while opponents warned it risked exposing protected health information. The amendment failed on a voice vote ('the no's have it'). Following further debate about budget impacts and contingencies tied to federal litigation, the HHS committee report and SB25B-002 were adopted on second reading. The bill was ordered to engrossment and scheduled for third reading and final passage.

Next steps: SB25B-002 proceeds to third reading; floor debate focused on short-term continuity of care and budgetary tradeoffs rather than detailed implementation mechanics.