Colorado recently passed a law requiring all companies who sell durable medical equipment (DME) within the state, and who expect to be reimbursed under the Medicare program, to receive a license to operate. The license will be administered through the Secretary of State’s office, and the law will take effect January 1, 2015. While this law seems harmless enough (albeit a bit of an annoyance), it also requires companies to have a physical presence in, or within 50 miles of the state. This creates a critical problem for several DME companies who supply essential equipment to patients in Colorado but have no physical presence in the state. The law prohibits them from obtaining a license and legally supplying vital equipment to patients. This not only creates an undue burden on companies, but it denies patients access to equipment from companies who exclusively supply it.

The Colorado Secretary of State’s office recently released information updating companies on the administration of the licensing process, which is posted below.

New Durable Medical Equipment Supplier Licensing System 

Our office will launch a new online durable medical equipment supplier licensing system no later than Wednesday, December 31, 2014.

The licensing system is a result of House Bill 14-1369. 

The legislation defines a durable medical equipment supplier as a “person or entity that delivers disposable medical supplies or durable medical equipment products directly to a recipient and that currently bills or plans to bill the Medicare program for services or products in the current calendar year.”

Effective December 31, 2014, a durable medical equipment supplier doing business in Colorado must obtain a license from the Secretary of State’s office. A supplier must prominently display its license at each of its physical business locations. 

A supplier will create an account and apply online using the new system. The system will be accessible via the Secretary of State’s homepage.

Applicants will need to pay an annual licensing fee of $350.00 to facilitate the program. Our office processes credit card payments through a secure server.

If you have any questions, please contact the office at (303) 894-2200 or email us at dme@sos.state.co.us.