Montana Law Allows Phase I Drugs to Bypass Traditional FDA Approval
A new Montana law, SB535, signed in May 2025, authorizes investigational drugs that have cleared Phase I trials to be prescribed and sold without following the traditional FDA approval pathway, according to a report from Marginal Revolution. The law makes Montana the first state to license experimental treatment centers described as “one stop shops” for hard-to-access care. The report states this positions Montana as a highly attractive location for biopharma and life sciences companies seeking to accelerate time-to-market while continuing the federal FDA approval process. The article notes that experimental treatments under this law are cash-based, not covered by Medicaid, Medicare, or private insurance. The report also mentions a separate Florida law, CS/CS/SB 1768, that allows physicians to market and administer non-FDA approved stem cell therapies for orthopedic conditions, wound care, and pain management. The article describes these state-level experiments as “regulatory federalism” and suggests the Trump administration has been supportive of such frameworks.
What’s reported
Sources: marginalrevolution.com
