BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                   SB 484|
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                                 THIRD READING


          Bill No:  SB 484
          Author:   Wright (D)
          Amended:  5/12/09
          Vote:     21

           
           SENATE PUBLIC SAFETY COMMITTEE  :  6-1, 4/28/09
          AYES:  Leno, Benoit, Cedillo, Hancock, Steinberg, Wright
          NOES:  Huff

           SENATE APPROPRIATIONS COMMITTEE  :  7-5, 5/28/09
          AYES:  Kehoe, Corbett, DeSaulnier, Hancock, Leno, Oropeza,  
            Yee
          NOES:  Cox, Denham, Runner, Walters, Wyland
          NO VOTE RECORDED:  Wolk


           SUBJECT  :    Ephedrine and pseudoephedrine

           SOURCE  :     Attorney Generals Office


           DIGEST  :    This bill provides that any person who obtains  
          ephedrine, pseudoephedrine, and specified related drugs  
          without a prescription, as specified, shall be guilty of an  
          infraction or misdemeanor.

           ANALYSIS  :    Existing law classifies controlled substances  
          into five schedules, with the most restrictive limitations  
          placed on controlled substances classified in Schedule I,  
          and the least restrictive limitations placed on controlled  
          substances classified in Schedule V.  A controlled  
          substance in any of the schedules may be possessed or  
                                                           CONTINUED





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          dispensed only upon a lawful prescription, as specified.   
          Existing law does not classify ephedrine, pseudoephedrine,  
          and specified related drugs within any of these five  
          schedules, but provides that it is a crime, punishable as  
          specified, for a person in this state who engages in  
          specified transactions involving those drugs to fail to  
          submit a report to the Department of Justice of all of  
          those transactions, or to fail to submit an application to,  
          and obtain a permit for the conduct of that business from,  
          the Department of Justice, as specified.

          This bill provides in addition, that any person who obtains  
          ephedrine, pseudoephedrine, and specified related drugs  
          without a prescription, as specified, shall be guilty of an  
          infraction or a misdemeanor.  The bill makes conforming  
          changes to related provisions.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  Yes

          According to the Senate Appropriations Committee:

                          Fiscal Impact (in thousands)

           Major Provisions                       2009-10          2010-11   
                      2011-12              Fund  

          Potential revenue loss
          Sales Tax                            $345-4,350$435-4,350    
          $435-4,350       General
          PERS                Unknown, potential indirect costs to
                                Premiums

          Potential savings
          CDCR        ($1,989-$3,979)  ($1,989-$3,979)   
          ($1,989-$3,979) General
          Toxic Substance      ($500-1,000)       ($500-1,000)       
          ($500-1,000)  General
            control
          Bureau of                 ($500-1,200)      ($500-1,200)     
            ($500-1,200)  General
            Forensic Services

           SUPPORT  :   (Verified  5/28/09)







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          Attorney General's Office (source)
          California Correctional Supervisors Organization
          California Fraternal Order of Police 
          California Narcotic Officers' Association
          California Peace Officers' Association
          California Pharmacists Association
          California Police Chiefs Association
          California Society of Health-System Pharmacists
          California State Board of Pharmacy
          California State Sheriffs Association 
          Department of Justice
          Fresno County Board of Supervisors
          Office of the District Attorney, City and County of San  
          Francisco
          Office of the District Attorney, Sacramento County
          Oregon Association Chiefs of Police
          Oregon State Pharmacy Association
          Oregon State Sheriffs Association
          Long Beach Police Officers Association 
          Los Angeles County District Attorney's Office
          Los Angeles County Police Chiefs Association
          Los Angeles County Professional Peace Officers Association
          Los Angeles County Sheriff's Department
          Peace Officers Research Association of California 
          San Bernardino County Sheriff's Department 
          San Francisco District Attorney
          Santa Ana Police Officers Association

           OPPOSITION  :    (Verified  5/28/09)

          Association of California Life and Health Insurance  
          Companies
          California Grocers Association
          California Manufacturers and Technology Association
          California Public Defenders Association
          California Retailers Association
          Consumer Healthcare Products Association
          Friends Committee on Education
          Health Net
          Healthcare Distribution Management Association
          National Association of Chain Drugstores
          Rite-Aid
          Schering-Plough







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          Taxpayers for Improving Public Safety

           ARGUMENTS IN SUPPORT  :    The California Peace Officers'  
          Association and the California Police Chiefs Association,  
          which support this bill states, this bill may be the most  
          important anti-methamphetamine bill ever introduced in  
          California.  Currently, 90 percent of the methamphetamine  
          that is cooked in this state is produced from  
          pseudoephedrine that is sold in California retail outlets.   
          Clearly, California's current safeguards, as  
          well-intentioned as they were, have not worked.

          This bill, which is patterned after the very successful  
          Oregon statute, will require that pseudoephedrine products  
          will only be sold via prescription.  This will render  
          inoperative the sophisticated smurfing operations that,  
          today, can generate sufficient pseudeophedrine in one day  
          to produce a pound of methamphetamine.

           ARGUMENTS IN OPPOSITION  :    The Consumer Healthcare  
          Products Association argues in opposition, "Requiring  
          consumers to obtain a prescription to purchase PSE products  
          would impose substantial, and unnecessary, new costs on  
          consumers and the healthcare system.  CHPA supported  
          (requiring) all PSE-containing OTCs to be sold from behind  
          the counter, limits purchases to 3.6 grams per day and 9  
          grams per 30 days, and requires purchaser signatures in a  
          logbook.  California has yet to enact similar restrictions  
          that would give state and local law enforcement  
          jurisdiction to enforce these sales limits.  Since the CMEA  
          and similar state restrictions took effect, there has been  
          a 61% nationwide drop in meth lab incidents.  California's  
          lab incidents have been reduced by 86%, from a high of  
          2,579 incidents in 1999 to 349 lab incidents in 2008."  
           
          Millions of consumers still wait in line at the pharmacy  
          and subject themselves to state and federal criminal  
          prosecution if they exceed legal quantity limits to buy  
          PSE.  This demonstrates that for many, PSE is the best  
          remedy even though reformulated products are available on  
          the shelves and are easier to obtain. Prescription status  
          for PSE would mean substantial new costs for these  
          consumers, measured in both time and money, to access  
          important and needed medicines.







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          RJG:do  5/29/09   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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