A new law in Colorado requires agencies that are paid to refer prospective residents to assisted living communities to disclose to consumers their business relationships with communities and the fact that they are paid for referrals.

Gov. Jared Polis signed HB19-1268 into law May 13. It had bipartisan support.

The bill also requires referral agencies to provide written or electronic documentation of the disclosures to the assisted living communities with which they work.

Agencies that don’t comply with the law are subject to civil penalties.

Arizona passed a similar law last year.

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