Primary Care Fund
In accordance with Section 21 of Article X (Tobacco Taxes for Health Related Purposes) of the State Constitution, an increase in Colorado's tax on cigarettes and tobacco products became effective January 1, 2005, and created a cash fund that was designated for health related purposes. House Bill 05-1262 divided the tobacco tax cash fund into separate funds. The law assigns 19% of the tax collections to establish the Primary Care Fund and it specifies how the funds are to be allocated.
The Primary Care Fund provides an allocation of moneys to health care providers that qualify under a specific criteria and that make basic health care services available in an outpatient setting to residents of Colorado who are considered medically indigent. Moneys are allocated based on the number of medically indigent patients served by one health care provider in an amount proportionate to the total number of medically indigent patients served by all health care providers who qualify for moneys from this fund.