BILL ANALYSIS �
SB 360
Page 1
SENATE THIRD READING
SB 360 (DeSaulnier)
As Amended July 7, 2011
Majority vote
SENATE VOTE :39-0
PUBLIC SAFETY 7-0 APPROPRIATIONS 17-0
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|Ayes:|Ammiano, Knight, Cedillo |Ayes:|Fuentes, Harkey, |
| |Hagman, Hill, Mitchell, | |Blumenfield, Bradford, |
| |Skinner | |Charles Calderon, Campos, |
| | | |Davis, Donnelly, Gatto, |
| | | |Hall, Hill, Lara, |
| | | |Mitchell, Nielsen, Norby, |
| | | |Solorio, Wagner |
|-----+--------------------------+-----+--------------------------|
| | | | |
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SUMMARY : Makes changes to the Controlled Substance Utilization
Review and Evaluation System (CURES) and the Prescription Drug
Monitoring Program (PDMP). Specifically, this bill :
1)Expands the requirements imposed on security-printer
applicants to print prescription forms for controlled
substance prescriptions to include the names and addresses of
any individual owner, partner, corporate officer, manager,
agent, representative, employee or subcontractor with direct
access to, management of, or control over controlled substance
prescription forms; a signed statement regarding any prior
criminal convictions for these parties, and fingerprints for
the same.
2)Clarifies that the fee assessed by the Department of Justice
(DOJ) to process the application of a security printer shall
be sufficient to cover inspections of security printers in
addition to the other costs specified by statutes.
3)Requires that controlled substance forms shall be provided in
person only to established customers.
4)Requires a security printer to obtain the customer's photo
identification and log the information.
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5)Limits the mailing of controlled substance only to an address
verified by the Drug Enforcement Agency or Medical Board of
California.
6)Requires a security printer to report the theft or loss of
controlled substance prescription forms to DOJ within 24 hours
of its occurrence.
7)Requires DOJ to impose sanctions on security printers who
violate applicable statutes and regulations, including failure
to comply with guidelines, failure to take reasonably
precautions to prevent dishonest or illegal actions with
regard to the access and control of security prescription
forms, and the theft or fraudulent use of a prescriber's
identity to obtain forms.
8)Specifies that the sanctions for a violation of applicable
statutes and regulations are a fine of up to $1,000 for a
first violation, a fine of up to $2,500 for a second or
subsequent violation; disciplinary proceedings for suspension
or revocation of security printer status for third or
subsequent violations.
9)Modifies the PDMP to include the following features:
a) Allows any practitioner licensed to prescribe controlled
substances of Schedules II-IV or any pharmacist to apply to
participate in the PDMP, as specified; and,
b) Gives the program participant Internet access to view
the electronic history of controlled substances dispensed
to an individual under his or her case based on data
contained in CURES.
10)Provides that a PDMP application may be denied, or a
subscriber suspended from the program for material
falsification of an application, failure to maintain effective
controls for access to the patient activity report, a
suspended or revoked DEA registration, an arrest for a drug
offense, or accessing information for any reason other than
patient care.
11)Requires an authorized subscriber to notify DOJ within 10
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days of any changes to the subscriber account.
12)Allows, until July 12, 2012, a health care practitioner or
pharmacist to make a written request for controlled substance
history information about a person under the care of the
practitioner or pharmacist, in order to provide sufficient
time for subscribers to apply for access to PDMP.
13)Authorizes DOJ to audit the PDMP system and its users.
14)Authorizes DOJ to establish regulations for a system to issue
citations for unauthorized use of the CURES data by
subscribers with PDMP access, and provides for orders or
abatement, fines of up to $2,500 per violation, and a hearing
process if a subscriber is in violation of the CURES-PDMP
statutes or corresponding regulations.
15)Requires citations issued by DOJ to be in writing, to
particularly describe the violation including a specific
citation to the statute or regulation violated, and to notify
the subscriber of the opportunities to request a hearing
and/or an informal conference, and the deadlines for
requesting them.
16)Provides that the failure of a subscriber to pay a fine
within 30 days, or to comply with an abatement order within
the time subscribed, may result in disciplinary action unless
the citation is being appeal.
17)Provides that any administrative fines collected shall be
deposited in the CURES Program Special Fund.
18)Specifies that the sanctions authorized pursuant to this bill
shall be separate and in addition to any other administrative,
civil or criminal remedies, but that a criminal action may not
be initiated for a specific offense if a citation has been
issued for that matter, and that if a criminal action has been
filed, a citation cannot be issued for the same offense.
Notwithstanding this provision, nothing shall prevent DOJ from
prosecuting a suspension or revocation of a subscriber.
19)Requires an affected PMDP prescriber to immediately report
the theft or loss of controlled substance prescription forms
to DOJ, and specifies the reporting shall be done no later
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than three days after the discovery of the theft of loss.
FISCAL EFFECT : According to the Assembly Appropriations
Committee:
1)Unknown significant annual General Fund costs, in the range of
$150,000, for developing regulations, conducting PDMP audits,
and holding citation conferences and hearings, offset to some
degree by dedicated citation revenue.
DOJ states a willingness and ability to absorb the cost of
regulations. Moreover, DOJ does not anticipate a significant
number of audits, citations or hearings, contending the
deterrent value of the enforcement mechanism will suffice in
most cases.
2)Unknown, likely minor and absorbable administrative costs to
DOJ for security printer process changes, offset to an unknown
degree by increased fines.
COMMENTS : According to the author, "Due to the rise in
prescription drug abuse, controlled drugs prescription history
information is available and maintained by DOJ's CURES program.
In 2009, the DOJ launched an automated PDMP. The program allows
licensed health care practitioners eligible to prescribe
controlled substances access to patient controlled substance
prescription information. Prescribers and pharmacists can now
make informed decisions about patient care and detect patients
who may be abusing controlled substances by obtaining multiple
prescriptions from various practitioners. However, current
efforts at maintaining privacy and control of CURES data are
inadequate to protect confidential patient information and to
deter its misuse.
"SB 360 will help to prevent the misuse of confidential
information collected through the CURES and ensure the integrity
of the program and process for practitioners and pharmacists to
appropriately use patient's controlled substances history
information.
"The DOJ manages the California Security Prescription Printer
Program. While the DOJ has established guidelines for the
security of prescription forms, current law lacks sufficient
safeguards against theft and fraudulent use of prescription pads
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and the DOJ has seen an increase in criminal enterprises
involved in prescription form theft and fraud. SB 360 provides
additional requirements and sanctions for Security Printers to
deter fraudulent use of prescription pads and the illegal
distribution of controlled substances."
Please see the policy committee analysis for a full discussion
of this bill.
Analysis Prepared by : Sandy Uribe / PUB. S. / (916) 319-3744
FN: 0002206