Florida Senate - 2011                        COMMITTEE AMENDMENT
       Bill No. CS for SB 1736
       
       
       
       
       
       
                                Barcode 165656                          
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
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       The Committee on Budget (Fasano) recommended the following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete lines 2714 - 2718
    4  and insert:
    5         3. For a prescribed drug billed as a 340B prescribed
    6  medication rendered to all Medicaid-eligible individuals,
    7  including claims for cost sharing for which the agency is
    8  responsible, the claim must meet the requirements of the Deficit
    9  Reduction Act of 2005 and the federal 340B program, and contain
   10  a national drug code.
   11  
   12         Delete lines 4006 - 4018
   13  and insert:
   14         Section 104. Subsection (23) and paragraph (a) of
   15  subsection (54) of section 499.003, Florida Statutes, are
   16  amended to read:
   17         499.003 Definitions of terms used in this part.—As used in
   18  this part, the term:
   19         (23) “Health care entity” means a closed pharmacy or any
   20  person, organization, or business entity that provides
   21  diagnostic, medical, surgical, or dental treatment or care, or
   22  chronic or rehabilitative care, but does not include any
   23  wholesale distributor or retail pharmacy licensed under state
   24  law to deal in prescription drugs. However, a blood
   25  establishment is a health care entity that may engage in the
   26  wholesale distribution of prescription drugs under s.
   27  499.01(2)(g)1.c.
   28         (54) “Wholesale distribution” means distribution of
   29  prescription drugs to persons other than a consumer or patient,
   30  but does not include:
   31         (a) Any of the following activities, which is not a
   32  violation of s. 499.005(21) if such activity is conducted in
   33  accordance with s. 499.01(2)(g):
   34         1. The purchase or other acquisition by a hospital or other
   35  health care entity that is a member of a group purchasing
   36  organization of a prescription drug for its own use from the
   37  group purchasing organization or from other hospitals or health
   38  care entities that are members of that organization.
   39         2. The sale, purchase, or trade of a prescription drug or
   40  an offer to sell, purchase, or trade a prescription drug by a
   41  charitable organization described in s. 501(c)(3) of the
   42  Internal Revenue Code of 1986, as amended and revised, to a
   43  nonprofit affiliate of the organization to the extent otherwise
   44  permitted by law.
   45         3. The sale, purchase, or trade of a prescription drug or
   46  an offer to sell, purchase, or trade a prescription drug among
   47  hospitals or other health care entities that are under common
   48  control. For purposes of this subparagraph, “common control”
   49  means the power to direct or cause the direction of the
   50  management and policies of a person or an organization, whether
   51  by ownership of stock, by voting rights, by contract, or
   52  otherwise.
   53         4. The sale, purchase, trade, or other transfer of a
   54  prescription drug from or for any federal, state, or local
   55  government agency or any entity eligible to purchase
   56  prescription drugs at public health services prices pursuant to
   57  Pub. L. No. 102-585, s. 602 to a contract provider or its
   58  subcontractor for eligible patients of the agency or entity
   59  under the following conditions:
   60         a. The agency or entity must obtain written authorization
   61  for the sale, purchase, trade, or other transfer of a
   62  prescription drug under this subparagraph from the State Surgeon
   63  General or his or her designee.
   64         b. The contract provider or subcontractor must be
   65  authorized by law to administer or dispense prescription drugs.
   66         c. In the case of a subcontractor, the agency or entity
   67  must be a party to and execute the subcontract.
   68         d. A contract provider or subcontractor must maintain
   69  separate and apart from other prescription drug inventory any
   70  prescription drugs of the agency or entity in its possession.
   71         d.e. The contract provider and subcontractor must maintain
   72  and produce immediately for inspection all records of movement
   73  or transfer of all the prescription drugs belonging to the
   74  agency or entity, including, but not limited to, the records of
   75  receipt and disposition of prescription drugs. Each contractor
   76  and subcontractor dispensing or administering these drugs must
   77  maintain and produce records documenting the dispensing or
   78  administration. Records that are required to be maintained
   79  include, but are not limited to, a perpetual inventory itemizing
   80  drugs received and drugs dispensed by prescription number or
   81  administered by patient identifier, which must be submitted to
   82  the agency or entity quarterly.
   83         e.f. The contract provider or subcontractor may administer
   84  or dispense the prescription drugs only to the eligible patients
   85  of the agency or entity or must return the prescription drugs
   86  for or to the agency or entity. The contract provider or
   87  subcontractor must require proof from each person seeking to
   88  fill a prescription or obtain treatment that the person is an
   89  eligible patient of the agency or entity and must, at a minimum,
   90  maintain a copy of this proof as part of the records of the
   91  contractor or subcontractor required under sub-subparagraph e.
   92         f.g. In addition to the departmental inspection authority
   93  set forth in s. 499.051, the establishment of the contract
   94  provider and subcontractor and all records pertaining to
   95  prescription drugs subject to this subparagraph shall be subject
   96  to inspection by the agency or entity. All records relating to
   97  prescription drugs of a manufacturer under this subparagraph
   98  shall be subject to audit by the manufacturer of those drugs,
   99  without identifying individual patient information.
  100  
  101  ================= T I T L E  A M E N D M E N T ================
  102         And the title is amended as follows:
  103         Delete line 360
  104  and insert:
  105         activities; redefining the term “wholesale
  106         distribution” to delete a provision requiring certain
  107         entities to keep prescription drugs of the agency
  108         separate from other drugs in their inventory; amending
  109         s. 499.005, F.S.; clarifying