BILL ANALYSIS Ó AB 2592 Page 1 Date of Hearing: April 19, 2016 ASSEMBLY COMMITTEE ON BUSINESS AND PROFESSIONS Rudy Salas, Chair AB 2592 (Cooper) - As Amended April 11, 2016 NOTE: This bill is double referred, having previously been heard by the Assembly Committee on Health and passed on a 18-0 vote. SUBJECT: Controlled substances: medicine locking closure packages: grant program. SUMMARY: Creates within the California Department of Public Health (CDPH) a pilot program that would award grants to eligible pharmacies for the purpose of supplying medicine locking closure packages to patients with prescriptions for opioids. EXISTING LAW: 1)Provides for the licensure and regulation of pharmacies by the California State Board of Pharmacy (Board). (Business and Professions Code (BPC) Section 4001) 2)Defines "Pharmacist" to mean the holder of an unexpired and active pharmacist license issued by the board, and who is entitled to practice pharmacy. (BPC Section 4036) AB 2592 Page 2 3)Defines "Pharmacy" to mean an area, place, or premises licensed by the board in which the profession of pharmacy is practiced and where prescriptions are compounded. "Pharmacy" includes, but is not limited to, any area, place, or premises described in a license issued by the board wherein controlled substances, dangerous drugs, or dangerous devices are stored, possessed, prepared, manufactured, derived, compounded, or repackages, and from which those substances are furnished sold or dispensed at retail. (BPC Section 4037(a)) 4)Requires the Board to license a surplus medication collection and distribution intermediary established for the purpose of facilitating the donation of medications to or transfer of medications between participating entities under a program established pursuant to Division 116 of the Health and Safety Code. (HSC Section 4169.5(a)) 5)Requires all California licensed prescribers authorized to prescribe scheduled drugs to register for access to CURES 2.0 by July 1, 2016 or upon issuance of a Drug Enforcement Administration Controlled Substance Registration Certificate, whichever occurs later, and requires licensed pharmacists to register for access to CURES 2.0 by July 1, 2016, or upon issuance of a license, whichever occurs later. (HSC Section 11165.1) THIS BILL: 6)Makes various findings and declarations regarding the prescription opioid dependence problem facing California and the United States. 7)Requires the CDPH to launch a pilot program, to the extent funding is available, and award grants to participating AB 2592 Page 3 pharmacies in regions where opioid abuse is most prevalent. 8)Requires every medicine locking closure package to be dispensed with instructions for patient use unless the patient indicates orally or in writing that instructions are not needed. 9)Requires participating pharmacies to offer all patients with opioid prescriptions a medicine locking closure package along with their medication. The locking closure package shall be given only with the patient's consent. 10)Defines "medicine locking closure package" to include a locking closure container, unlocked only with a user-generated code that only allows the person with the prescription to access the medicine, which may include an amber prescription container combined with a resettable alphanumerical code. 11)Prohibits the CDPH from expending General Fund monies on this program unless those monies are specifically appropriated for this purpose, and permits the CDPH to seek funds from private entities, including foundations and nonprofit organizations, and may apply for federal or other grants, to fund the grant program. 12)Requires the CDPH to evaluate the effectiveness of the pilot program to combat prescription drug abuse in targeted areas and report its findings to the Legislature no later than December 31, 2019. The report shall be submitted in compliance with Section 9795 of the Government Code. 13)Repeals the pilot program on January 1, 2020. AB 2592 Page 4 FISCAL EFFECT: Unknown. This bill has been keyed fiscal by the Legislative Counsel. COMMENTS: Purpose. This bill is sponsored by GateKeepers Innovations, Inc . According to the author, "[This bill] is a prescription drug abuse prevention bill. The intent of the bill is to keep prescription drugs out of the hands of young people. Prescription drug abuse is arguably the largest healthcare epidemic in the United States. A study by the Partnership for Drug-Free Kids, found that one of the key drivers for abusing prescription pain killers among teens is the availability and easy access. In the Sacramento area, which includes portions of my district, 42 overdoses and 10 deaths have been blamed on the prescription painkiller fentanyl. AB 2592 establishes a pilot program to measure whether increasing safe storage of opioids reduces the number of accidental poisonings among young people, and reduces the overall prescription drug abuse rate among teens. The Department of Public Health would administer the voluntary pilot program and award grants to participating pharmacies in areas with high rates of prescription drug abuse. Finally, the bill requires a report to the Legislature and sunsets the program on January 1, 2020." Background. The Board regulates 140,000 licensees in the industry. During the Board's last sunset review in March, 2016, they identified the prescription drug abuse problem as an area of concern. The Senate Committee on Business, Professions, and Economic Development, staff 2016 Background Paper stated, "Federal data for 2014 showed that abuse of prescription pain killers now ranks second, just behind marijuana, as the nation's most widespread illegal drug problem. Abuse can stem from the fact that prescription drugs are legal and potentially more easily accessible, as they can be found at home in a medicine AB 2592 Page 5 cabinet. Data shows that individuals who misuse prescription drugs, particularly teens, believe these substances are safer than illicit drugs because they are prescribed by a health care professional and thus are safe to take under any circumstances." CURES 2.0. In recognition of the prescription drug abuse epidemic, the office of the Attorney General launched the Controlled Substance Utilization Review and Evaluation System (CURES). The board utilizes this prescription drug monitoring program more than any other regulatory board. Pharmacies are required to report the dispensing of controlled drugs to CURES by drug name, quantity, prescriber, patient, and pharmacy and the Board in turn conducts research and monitoring of this data. Legislation in Other States. Illinois is the first state to pass legislation to launch a pilot program similar to the program proposed by this bill. House Bill (HB) 3219 creates a pilot project requiring that Schedule II controlled substances containing hydrocodone be dispensed in non-reusable medicine locking closure packages with instructions for patient use, and provides that the pilot program only applies to pharmacies that voluntarily choose to participate. It provides that the Department of Financial and Professional Regulation shall not expend more than $150,000 on the pilot program. It exempts prescriptions reimbursed via the Medicare Part D and Medicaid programs from the pilot program and prescriptions for individuals residing in facilities licensed under the Nursing Home Care Act. Prior Related Legislation. SB 1329 (Simitian), Chapter 709, Statutes of 2012, made a number of changes to the way a surplus prescription drug collection and distribution program could be authorized and the entities eligible to donate medications under such a program. The bill authorized a county public health officer delegated by a county board of supervisors to implement a program, in addition current law which required a program to be implemented via a county ordinance. The bill also added several categories of licensed health care facilities that may donate medications and allowed both primary care clinic AB 2592 Page 6 pharmacies and primary care clinics that have Board licensees, to administer and dispense medication, provided these Board licensees are in good standing with the Board. SB 809 (De Saulnier), Chapter 400, Statutes of 2013, established a funding mechanism to update and maintain CURES while also requiring all prescribing health care practitioners to apply to access CURES information. AB 467 (Stone), Chapter 10, Statutes of 2014, established a new Board licensure category for a surplus medication collection and distribution intermediary for the purpose of facilitating the donation of medications to, or transfer of medications between, participating entities under a county's unused medication repository and distribution program. The Board now licenses one intermediary. ARGUMENTS IN SUPPORT: GateKeeper Innovation, Inc. writes, "This bill is inspired by recent legislation passed in Illinois (H.R. 3215). This pilot program will examine whether the increase in safe storage of prescription drugs will in fact reduce the number of abuse cases among children and young adults? Prescription drugs now kill more people than car accidents. According to the Center for Disease Control (CDC), 70% of medications are obtained for illegal use from a friend or relative, and more frequently from their medicine cabinets." C.O.R.E. Medical Clinic, Inc. writes, "Many of our current patients had their first exposure to opioids through a relative or friend's medicine cabinet. Unfortunately, many individuals switch to using street heroin due to cost or access issues related to opioid prescription pills?We believe your pilot program is a valuable first step in trying to increase safe storage of prescription medications." AB 2592 Page 7 Capitol Health Network writes, "Our mission is to support and strengthen the healthcare safety net and to advocate for vulnerable people in Sacramento and the surrounding region? "Increasing the safe storage of prescription drugs is a key prevention measure that will help limit teen and young adult's access to the nonmedical use of prescription drugs." POLICY ISSUES: The definition of "medicine locking closure package" as provided in this bill may be too prescriptive. AMENDMENTS: In order to ensure this bill would allow the pilot program to accept a variety of medicine locking containers, the author should amend the bill as follows: 1) Page 2, in line 16, strikeshall,and insert: may, 2) Page 3, in line 22, strikeunlocked only with a user-generated code, strike lines 23-26 inclusive and insert: accessible only by the designated patient with a passcode, an alphanumeric code, a key, or by another secure mechanism. REGISTERED SUPPORT: AB 2592 Page 8 GateKeeper Innovation, Inc. (sponsor) Capitol Health Network C.O.R.E. Medical Clinic, Inc. REGISTERED OPPOSITION: None on file. Analysis Prepared by:Tessa Nevarez / B. & P. / (916) 319-3301, Vincent Chee / B. & P. / (916) 319-3301