| 1 | A bill to be entitled | 
| 2 | An act relating to veterinary prescription drugs; amending | 
| 3 | s. 499.003, F.S.; providing a definition; amending s. | 
| 4 | 499.01, F.S.; requiring a person or establishment to | 
| 5 | obtain a permit in order to operate as a veterinary | 
| 6 | prescription drug wholesaler; amending s. 499.012, F.S.; | 
| 7 | requiring a person to have a veterinary prescription drug | 
| 8 | wholesaler permit to distribute veterinary prescription | 
| 9 | drugs in or into this state; requiring a veterinary | 
| 10 | prescription drug wholesaler who also distributes human | 
| 11 | prescription drugs that it did not manufacture to obtain a | 
| 12 | prescription drug wholesaler or out-of-state prescription | 
| 13 | drug wholesaler permit in lieu of the veterinary | 
| 14 | prescription drug wholesaler permit; amending s. 499.0121, | 
| 15 | F.S.; requiring certain prescription wholesalers and | 
| 16 | repackagers to use due diligence when purchasing | 
| 17 | prescription drugs from certain distributors; amending s. | 
| 18 | 499.041, F.S.; requiring an annual fee for a veterinary | 
| 19 | prescription drug wholesaler's permit; amending s. | 
| 20 | 499.065, F.S.; requiring the Department of Health to | 
| 21 | inspect veterinary prescription drug wholesale | 
| 22 | establishments; authorizing the department to close the | 
| 23 | establishment if it creates an imminent danger to the | 
| 24 | public health; providing an effective date. | 
| 25 | 
 | 
| 26 | Be It Enacted by the Legislature of the State of Florida: | 
| 27 | 
 | 
| 28 | Section 1.  Subsection (40) is added to section 499.003, | 
| 29 | Florida Statutes, to read: | 
| 30 | 499.003  Definitions of terms used in ss. 499.001- | 
| 31 | 499.081.--As used in ss. 499.001-499.081, the term: | 
| 32 | (40)  "Veterinary prescription drug wholesaler" means any | 
| 33 | person engaged in wholesale distribution of veterinary | 
| 34 | prescription drugs in or into this state. | 
| 35 | Section 2.  Subsection (1) of section 499.01, Florida | 
| 36 | Statutes, is amended to read: | 
| 37 | 499.01  Permits; applications; renewal; general | 
| 38 | requirements.-- | 
| 39 | (1)  Prior to operating, a permit is required for each | 
| 40 | person and establishment that intends to operate as: | 
| 41 | (a)  A prescription drug manufacturer; | 
| 42 | (b)  A prescription drug repackager; | 
| 43 | (c)  An over-the-counter drug manufacturer; | 
| 44 | (d)  A compressed medical gas manufacturer; | 
| 45 | (e)  A device manufacturer; | 
| 46 | (f)  A cosmetic manufacturer; | 
| 47 | (g)  A prescription drug wholesaler; | 
| 48 | (h)  A veterinary prescription drug wholesaler; | 
| 49 | (i) (h)A compressed medical gas wholesaler; | 
| 50 | (j) (i)An out-of-state prescription drug wholesaler; | 
| 51 | (k) (j)A nonresident prescription drug manufacturer; | 
| 52 | (l) (k)A freight forwarder; | 
| 53 | (m) (l)A retail pharmacy drug wholesaler; | 
| 54 | (n) (m)A veterinary legend drug retail establishment; | 
| 55 | (o) (n)A medical oxygen retail establishment; | 
| 56 | (p) (o)A complimentary drug distributor; or | 
| 57 | (q) (p)A restricted prescription drug distributor. | 
| 58 | Section 3.  Paragraph (g) is added to subsection (2) of | 
| 59 | section 499.012, Florida Statutes, to read: | 
| 60 | 499.012  Wholesale distribution; definitions; permits; | 
| 61 | applications; general requirements.-- | 
| 62 | (2)  The following types of wholesaler permits are | 
| 63 | established: | 
| 64 | (g)  A veterinary prescription drug wholesaler permit. A | 
| 65 | veterinary prescription drug wholesaler permit is required for | 
| 66 | any person who engages in the distribution of veterinary | 
| 67 | prescription drugs in or into this state. A veterinary | 
| 68 | prescription drug wholesaler who also distributes prescription | 
| 69 | drugs subject to, defined by, or described by s. 503(b) of the | 
| 70 | Federal Food, Drug, and Cosmetic Act that it did not manufacture | 
| 71 | must obtain a permit as a prescription drug wholesaler or out- | 
| 72 | of-state prescription drug wholesaler in lieu of the veterinary | 
| 73 | prescription drug wholesaler permit. A veterinary prescription | 
| 74 | drug wholesaler must comply with the requirements for wholesale | 
| 75 | distributors under s. 499.0121, except those set forth in s. | 
| 76 | 499.0121(6)(d), (e), and (f). | 
| 77 | Section 4.  Subsection (12) of section 499.0121, Florida | 
| 78 | Statutes, is amended to read: | 
| 79 | 499.0121  Storage and handling of prescription drugs; | 
| 80 | recordkeeping.--The department shall adopt rules to implement | 
| 81 | this section as necessary to protect the public health, safety, | 
| 82 | and welfare. Such rules shall include, but not be limited to, | 
| 83 | requirements for the storage and handling of prescription drugs | 
| 84 | and for the establishment and maintenance of prescription drug | 
| 85 | distribution records. | 
| 86 | (12)  DUE DILIGENCE OF SUPPLIERS.--Prior to purchasing any | 
| 87 | prescription drugs from another wholesale drug distributor, a | 
| 88 | prescription drug wholesaler, an out-of-state prescription drug | 
| 89 | wholesaler, or a prescription drug repackager a wholesale drug | 
| 90 | distributormust: | 
| 91 | (a)  Enter an agreement with the selling wholesale drug | 
| 92 | distributor by which the selling wholesale drug distributor will | 
| 93 | indemnify the purchasing wholesale drug distributor for any loss | 
| 94 | caused to the purchasing wholesale drug distributor related to | 
| 95 | the purchase of drugs from the selling wholesale drug | 
| 96 | distributor which are determined to be counterfeit or to have | 
| 97 | been distributed in violation of any federal or state law | 
| 98 | governing the distribution of drugs. | 
| 99 | (b)  Determine that the selling wholesale drug distributor | 
| 100 | has insurance coverage of not less than the greater of 1 percent | 
| 101 | of the amount of total dollar volume of the prescription drug | 
| 102 | sales reported to the department under pursuant tos. | 
| 103 | 499.012(3)(g) or $500,000; however the coverage need not exceed | 
| 104 | $2 million. | 
| 105 | (c)  Obtain information from the selling wholesale drug | 
| 106 | distributor, including the length of time the selling wholesale | 
| 107 | drug distributor has been licensed in this state, a copy of the | 
| 108 | selling wholesale drug distributor's licenses or permits, and | 
| 109 | background information concerning the ownership of the selling | 
| 110 | wholesale drug distributor, including the experience of the | 
| 111 | wholesale distributor in the wholesale distribution of | 
| 112 | prescription drugs. | 
| 113 | (d)  Verify that the selling wholesale drug distributor's | 
| 114 | Florida permit is valid. | 
| 115 | (e)  Inspect the selling wholesale drug distributor's | 
| 116 | licensed establishment to document that it has a policies and | 
| 117 | procedures manual relating to the distribution of drugs, the | 
| 118 | appropriate temperature controlled environment for drugs | 
| 119 | requiring temperature control, an alarm system, appropriate | 
| 120 | access restrictions, and procedures to ensure that records | 
| 121 | related to the wholesale distribution of prescription drugs are | 
| 122 | maintained as required by law: | 
| 123 | 1.  Before purchasing any drug from the wholesale drug | 
| 124 | distributor, and at least once each subsequent year; or | 
| 125 | 2.  Before purchasing any drug from the wholesale drug | 
| 126 | distributor, and each subsequent year obtain a complete copy of | 
| 127 | the most recent inspection report for the establishment which | 
| 128 | was prepared by the department or the regulatory authority | 
| 129 | responsible for wholesale drug distributors in the state in | 
| 130 | which the establishment is located. | 
| 131 | Section 5.  Paragraph (g) is added to subsection (2) of | 
| 132 | section 499.041, Florida Statutes, to read: | 
| 133 | 499.041  Schedule of fees for drug, device, and cosmetic | 
| 134 | applications and permits, product registrations, and free-sale | 
| 135 | certificates.-- | 
| 136 | (2)  The department shall assess an applicant that is | 
| 137 | required to have a wholesaling permit an annual fee within the | 
| 138 | ranges established in this section for the specific type of | 
| 139 | wholesaling. | 
| 140 | (g)  The fee for a veterinary prescription drug | 
| 141 | wholesaler's permit may not be less than $300 nor more than $500 | 
| 142 | annually. | 
| 143 | Section 6.  Section 499.065, Florida Statutes, is amended | 
| 144 | to read: | 
| 145 | 499.065  Imminent danger.-- | 
| 146 | (1)  Notwithstanding s. 499.051, the department shall | 
| 147 | inspect each prescription drug wholesale establishment, | 
| 148 | prescription drug repackager establishment, veterinary | 
| 149 | prescription drug wholesale establishment, and retail pharmacy | 
| 150 | drug wholesaler establishment that is required to be permitted | 
| 151 | under this chapter as often as necessary to ensure compliance | 
| 152 | with applicable laws and rules. The department shall have the | 
| 153 | right of entry and access to these facilities at any reasonable | 
| 154 | time. | 
| 155 | (2)  To protect the public from prescription drugs that are | 
| 156 | adulterated or otherwise unfit for human or animal consumption, | 
| 157 | the department may examine, sample, seize, and stop the sale or | 
| 158 | use of prescription drugs to determine the condition of those | 
| 159 | drugs. The department may immediately seize and remove any | 
| 160 | prescription drugs if the Secretary of Health or his or her | 
| 161 | designee determines that the suchprescription drugs represent a | 
| 162 | threat to the public health. The owner of any property seized | 
| 163 | under this section may, within 10 days after the seizure, apply | 
| 164 | to a court of competent jurisdiction for whatever relief is | 
| 165 | appropriate. At any time after 10 days, the department may | 
| 166 | destroy the drugs as contraband. | 
| 167 | (3)  The department may determine that a prescription drug | 
| 168 | wholesale establishment, prescription drug repackager | 
| 169 | establishment, veterinary prescription drug wholesale | 
| 170 | establishment, or retail pharmacy drug wholesaler establishment | 
| 171 | that is required to be permitted under this chapter is an | 
| 172 | imminent danger to the public health and shall require its | 
| 173 | immediate closure if the suchestablishment fails to comply with | 
| 174 | applicable laws and rules and, because of the suchfailure, | 
| 175 | presents an imminent threat to the public's health, safety, or | 
| 176 | welfare. Any establishment so deemed and closed shall remain | 
| 177 | closed until allowed by the department or by judicial order to | 
| 178 | reopen. | 
| 179 | 
 | 
| 180 | For purposes of this section, a refusal to allow entry to the | 
| 181 | department for inspection at reasonable times, or a failure or | 
| 182 | refusal to provide the department with required documentation | 
| 183 | for purposes of inspection, constitutes an imminent danger to | 
| 184 | the public health. | 
| 185 | Section 7.  This act shall take effect July 1, 2004. |