BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | AB 1069| |Office of Senate Floor Analyses | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- THIRD READING Bill No: AB 1069 Author: Gordon (D), et al. Amended: 8/15/16 in Senate Vote: 21 SENATE BUS., PROF. & ECON. DEV. COMMITTEE: 7-0, 7/6/15 AYES: Hill, Bates, Berryhill, Block, Galgiani, Jackson, Mendoza NO VOTE RECORDED: Hernandez, Wieckowski SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8 ASSEMBLY FLOOR: 80-0, 6/1/15 - See last page for vote SUBJECT: Prescription drugs: collection and distribution program SOURCE: Supporting Initiatives to Redistribute Unused Medicine DIGEST: This bill authorizes a pharmacy that operates solely within a voluntary, county-operated prescription drug collection and distribution program to repackage a reasonable quantity of donated medicine in anticipation of dispensing the medicine to its patient population and requires that pharmacy to have repackaging policies and procedures in place for identifying and recalling medications. Senate Floor Amendments of 8/15/16 add language to require medication that is repackaged to be labeled with the earliest expiration date. AB 1069 Page 2 ANALYSIS: Existing law: 1)Establishes a voluntary unused medication repository and distribution program (Program) for the purpose of distributing surplus medications to persons in need of financial assistance to ensure access to necessary pharmaceutical therapies. (Health and Safety Code (HSC) § 150200-150207) 2)Authorizes a county to establish a Program, by an action of the county board of supervisors or by an action of the public health officer of the county, as directed by the county board of supervisors. Requires the county to notify the Board of Pharmacy (Board) within 30 days from the date it establishes a Program. (HSC § 150204) 3)Establishes requirements for medication donated to the Program, including that a pharmacist or physician shall adhere to standard pharmacy practices, as required by state and federal law, when dispensing all medications and medication that is donated to the Program shall either be dispensed to an eligible patient, destroyed, returned to a reverse distributor or licensed waste hauler or transferred to another participating entity within the county to be dispensed to eligible patients. Requires medication donated to the Program to be maintained in the donated packaging units until dispensed to an eligible patient who presents a valid prescription. 4)Defines "repackager" as a person or entity that is registered with the federal FDA as a repackager and operates an establishment that packages finished drugs from bulk or that repackages dangerous drugs into different containers, excluding shipping containers. (Business and Professions Code (BPC) § 4044) AB 1069 Page 3 5)Establishes a licensure category under the authority of the Board for a "surplus medication collection and distribution intermediary" (Intermediary) operating for the purpose of facilitating the donation of medications to, or transfer of medications between, participating entities under a county's Program. (BPC § 4169.5) This bill authorizes a pharmacy that operates solely within a Program to repackage a reasonable quantity of donated medicine in anticipation of dispensing the medicine to its patient population, labeled with the earliest expiration date, and requires that pharmacy to have repackaging policies and procedures in place for identifying and recalling medications. Background California's efforts to donate unused medication. SB 798 (Simitian, Chapter 444, Statutes of 2005) took effect in 2006, authorizing California counties to establish a "surplus prescription drug collection and distribution program" (Program) for the distribution of unused, unexpired medication to medically indigent patients. Under the Program, counties could adopt an ordinance to establish such a Program, under which skilled nursing facilities (SNFs), and SNFs that are institutions for mental disease, drug wholesalers, and drug manufacturers could donate unused medications to county-owned pharmacies, or pharmacies that contract with the county for dispensing to medically indigent patients free of charge. Prior to the enactment of SB 798, SNFs were required to either destroy the drugs in the presence of a pharmacist or nurse, or return the drugs to the issuing pharmacy (if unopened and in a sealed container) for disposition. SB 1329 (Simitian, Chapter 709, Statutes of 2012) made a number of changes to the way a Program could be authorized and the entities eligible to donate medications under a Program, authorizing a county public health officer, as delegated by a county board of supervisors, to implement a Program and adding several categories of licensed health care facilities that may donate medications. AB 467 (Stone, Chapter 10, Statutes of 2014) established a licensure category in the Pharmacy Law for a surplus medication collection AB 1069 Page 4 and distribution Intermediary. Two counties in California (Santa Clara and San Mateo) have established a Program through ordinance, although the Santa Clara Program is the only current operational program. As a result of changes in SB 1329, medication can be donated from a number of organizations, facilities and entities throughout the state, but the only recipients of donated medications must be located within Santa Clara County. Need for program changes. This bill is sponsored by Supporting Initiatives to Redistribute Unused Medicine (SIRUM), an organization in the author's district that coordinates Program efforts in Santa Clara County. Specifically, under the current law, participating entities must repackage medications in a new container prior to dispensing to a patient, but cannot do this in advance. The author states that repackaging donated medicine is very time-consuming because most medicine comes in unit-dose packaging, which means each pill needs to be individually popped out and placed in a new container. The author is concerned that this currently must be done while the patient waits and that allowing participating entities to repackage the medications in advance alleviates the time pressure on the pharmacist and prevents the patient from a needlessly long wait. The author intends for the changes in this bill, which only impact a pharmacy operating solely under a Program, to increase efficiency by allowing for a reasonable quantity of donated medicine to be packaged in anticipation of dispensing the medicine to its patient population. FISCAL EFFECT: Appropriation: No Fiscal Com.:NoLocal: No SUPPORT: (Verified8/16/16) AB 1069 Page 5 Supporting Initiatives to Redistribute Unused Medicine (source) Board of Pharmacy OPPOSITION: (Verified8/16/16) None received ARGUMENTS IN SUPPORT: SIRUM believes that AB 1069 will increase access to necessary, and in many cases lifesustaining, prescription drugs to medically indigent Californians while at the same time reduce the environmental impact of pharmaceutical waste. ASSEMBLY FLOOR: 80-0, 6/1/15 AYES: Achadjian, Alejo, Travis Allen, Baker, Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle, Daly, Dodd, Eggman, Frazier, Beth Gaines, Gallagher, Cristina Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden, Irwin, Jones, Jones-Sawyer, Kim, Lackey, Levine, Linder, Lopez, Low, Maienschein, Mathis, Mayes, McCarty, Medina, Melendez, Mullin, Nazarian, Obernolte, O'Donnell, Olsen, Patterson, Perea, Quirk, Rendon, Ridley-Thomas, Rodriguez, Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber, Wilk, Williams, Wood, Atkins Prepared by:Sarah Mason / B., P. & E.D. / (916) 651-4104 8/16/16 17:38:50 **** END **** AB 1069 Page 6