Step 1: Compare the given equation with parabola definition.
The given equation is
\[
(x-2)^2+(y-3)^2=\frac{1}{25}(3x-4y+7)^2
\]
This can be written as
\[
\sqrt{(x-2)^2+(y-3)^2}
=
\frac{|3x-4y+7|}{5}
\]
Now,
\[
\frac{|3x-4y+7|}{\sqrt{3^2+(-4)^2}}
=
\frac{|3x-4y+7|}{5}
\]
So, the equation represents the set of points whose distance from the point
\[
(2,3)
\]
is equal to their distance from the line
\[
3x-4y+7=0
\]
Hence, the focus is
\[
S(2,3)
\]
and the directrix is
\[
3x-4y+7=0
\]
Step 2: Find the distance between focus and directrix.
The distance of point \((2,3)\) from the line \(3x-4y+7=0\) is
\[
d=\frac{|3(2)-4(3)+7|}{\sqrt{3^2+(-4)^2}}
\]
\[
d=\frac{|6-12+7|}{5}
\]
\[
d=\frac{|1|}{5}
\]
\[
d=\frac{1}{5}
\]
Step 3: Use the relation between focus-directrix distance and latus rectum.
For a parabola, the distance between the focus and the directrix is
\[
2a
\]
Here,
\[
2a=\frac{1}{5}
\]
So,
\[
a=\frac{1}{10}
\]
The length of the latus rectum of a parabola is
\[
4a
\]
Therefore,
\[
4a=4\left(\frac{1}{10}\right)
\]
\[
4a=\frac{2}{5}
\]
Step 4: Final conclusion.
Hence, the length of the latus rectum is
\[
\boxed{\frac{2}{5}}
\]