BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 204
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          Date of Hearing:   June 24, 2014

              ASSEMBLY COMMITTEE ON BUSINESS, PROFESSIONS AND CONSUMER  
                                     PROTECTION
                               Susan A. Bonilla, Chair
                    SB 204 (Corbett) - As Amended:  June 10, 2014

           SENATE VOTE  :   Vote not relevant.
           
          SUBJECT  :   Prescription drugs: labeling.

           SUMMARY  :   Requires the Board of Pharmacy (BOP) to conduct a  
          survey of pharmacists and vendors of electronic health records  
          (EHRs) to gather information about the utilization of, and the  
          obstacles to, the use of BOP's standardized directions for use  
          (standardized directions) on prescription drug labels.    
          Specifically,  this bill  :   

          1)Requires the BOP to conduct a survey of a representative  
            sample of licensed pharmacists to determine the utilization of  
            the standardized directions in current law. 

          2) Requires the survey to  address, but not be limited to, the  
            following:

             a)   Whether the pharmacist utilizes the standardized  
               directions;

             b)   How often the pharmacist utilizes the standardized  
               directions;

             c)   Challenges or barriers to utilizing the standardized  
               directions; and,

             d)   Other directions utilized by the pharmacist.

          3)Requires the BOP to conduct a survey of vendors that provide  
            EHRs to pharmacies and prescribers to determine the type of  
            directions included in the vendor's EHR programming. 

          4)Requires the survey to address, but not be limited to, the  
            following:

             a)   Whether California's standardized directions are  
               included in the vendor's EHR programming;








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             b)   Challenges or barriers to utilizing the standardized  
               directions in the vendor's EHR programming; and,

             c)   Other directions utilized by the vendor in its EHR  
               programming.

          5)Authorizes the surveys to be conducted with other routine  
            surveys conducted by the BOP during its regular course of  
            business.

          6)Requires the BOP to report the findings of the surveys at its  
            July 2016 meeting and publish the findings on its Internet Web  
            site, as specified.

          7)Repeals the above provisions on January 1, 2020.

           EXISTING LAW  :

          1)Establishes BOP to license and regulate of pharmacies and  
            pharmacists under the Department of Consumer Affairs.  
            (Business and Professions Code (BPC) Section 4001)

          2)Specifies the information that must be printed on a drug  
            container and how it must be presented.  (Title 16 Code of  
            California Regulations (CCR) Section 1707.5)

          3)Provides standardized directions as part of a patient-centered  
            label and requires the BOP to publish on its Website  
            translations of those standardized directions for use into at  
            least five languages other than English to facilitate their  
            use by California pharmacies.  The following are examples of  
            the standardized directions: 

             a)   Take 1 [insert appropriate dosage form] at bedtime;

             b)   Take 1 [insert appropriate dosage form] in the morning;

             c)   Take 1 [insert appropriate dosage form] in the morning,  
               and Take 1 [insert appropriate dosage form] at bedtime;

             d)   Take 1 [insert appropriate dosage form] in the morning,  
               1 [insert appropriate dosage form] at noon, and l [insert  
               appropriate dosage form] in the evening; and,









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             e)   If you have pain, take [insert appropriate dosage form]  
               at a time. Wait at least __ hours before taking again. Do  
               not take more than [appropriate dosage form] in one day.   
               (16 CCR 1707.5)

          4)Specifies that beginning in October 2011, the BOP shall  
            collect and publish on its Web site examples of labels  
            conforming to these requirements, to aid pharmacies in label  
            design and compliance.  (16 CCR 1707.5)

           FISCAL EFFECT  :   Unknown

           COMMENTS  :   

           1)Purpose of this bill  .  This bill requires the BOP to conduct  
            surveys of pharmacists and vendors of EHRs to identify if and  
            how pharmacists and vendors of EHRs are utilizing standardized  
            directions on prescription labels.  The results of the survey  
            are intended to help the BOP identify if any changes are  
            necessary to make the standardized directions more effective  
            for consumers, pharmacists and EHR vendors.  This bill is  
            sponsored by the California Pan-Ethnic Health Network.     
           
          2)Author's statement  .  According to the author, "According to  
            the U.S. Pharmacopeial Convention, the main cause for  
            medication errors and patient misunderstanding is a lack of  
            universal standards.  In 2010, the [BOP] adopted regulations  
            to develop a patient-centered prescription label and  
            standardized directions for use. Despite this very important  
            step towards reducing dosage errors, the [BOP] does not know  
            how many pharmacies are using these standardized directions,  
            nor do they have any method for determining whether or not  
            pharmacies are utilizing them.  They also do not know and have  
            no method for determining if the vendors of [EHR] are using  
            the standardized directions for use in the products that they  
            market to prescribers and pharmacies.  

            "[This bill] directs the [BOP] to gather this important  
            information to determine if the standardized directions are  
            being used and what the barriers are to using the them in  
            prescriptions and [EHR] for prescribers and pharmacists. These  
            surveys will provide the [BOP] with the necessary data to  
            determine how we can better ensure the use of this important  
            aspect of the patient-centered regulations."









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           3)Legislative history of prescription drug labels  .  The  
            Medication Errors Panel (Panel) was created by SCR 49 (Speier)  
            Chapter 123, Statutes of 2005 to study the causes of  
            medication errors and recommend changes to the healthcare  
            system.  The Panel published its report in March 2007,  
            Prescription for Improving Patient Safety: Addressing  
            Medication Errors.  The Panel developed recommendations to  
            improve prescription labels to reduce errors associated with  
            prescription and over-the-counter medication use.   

             As a result of these recommendations, SB 472 (Corbett) Chapter  
            470, Statutes of 2007, was enacted to require the BOP to  
            promulgate regulations that required a standardized,  
            patient-centered, prescription drug label on all prescription  
            medication dispensed to patients in California.  In an effort  
            to create a consumer friendly drug label, the BOP elicited  
            feedback from consumers between May 2008 and November 2009,  
            with an open-ended prescription label survey which was  
            distributed at public outreach events.  After numerous  
            meetings, BOP adopted regulations in 2010 to create a  
            standardized, patient-centered prescription drug label, which  
            included the standardized directions for use.   

             This bill requires the BOP to conduct a survey of both  
            pharmacists and vendors of EHRs to elicit feedback regarding  
            the use, challenges and barriers to use, of the standardized  
            directions.  While this bill does not specifically require the  
            survey of licensed pharmacists to report back on the  
            standardized directions in different languages, the data  
            received would most likely capture information about the use  
            of standardized directions in the five languages available on  
            the BOP's Web site.  
             
             A 2006 Institute of Medicine report recommended that a way to  
            reduce medication errors is to ensure that drug information is  
            communicated clearly and effectively to providers and  
            patients.  This bill may help the BOP better determine if the  
            current standardized directions are sufficient to prevent  
            medication errors.  

           4)Arguments in support  .  According to the California Pan-Ethnic  
            Health Network, "a patient's first and best source of  
            information about their medications is the prescription  
            container label.  However, the Institute of Medicine estimates  
            that at least 1.5 million Americans are sickened, injured, or  








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            killed each year because of medication errors? Pursuant to  
            previous legislation, the BOP adopted standardized  
            instructions for use with the help of research experts;  
            however, there is no data about whether pharmacies are  
            actually using the instructions."
           
            Arguments in opposition  .  There is no opposition on file. 
             
          5)Senate vote not relevant  .  This bill was voted off the Senate  
            Floor (21-14), on May 28, 2013, as a substantially different  
            subject.  
           
          6)Previous legislation  .  SB 205 (Corbett), of 2013, would  
            require specified information on a prescription container  
            regarding its name, manufacturer, recipient, use, strength,  
            and purpose to be printed in at least 12-point typeface.  This  
            bill was vetoed by the Governor.
             
             AB 396 (Fox) of 2013, would require every prescription to  
            include a legible, clear notice of the condition or purpose  
            for which the drug is prescribed, unless the patient or  
            prescriber requests that this information be omitted.  The  
            bill was held in the Assembly without referral to a committee.  
              

            AB 1136 (Levine) Chapter 304, Statutes of 2013, requires a  
            pharmacist to include a written label on the drug container  
            indicating that the drug may impair a person's ability to  
            operate a vehicle or vessel.  

            SB 306 (Torres) of 2013, would authorize an automated drug  
            delivery to be located in a specified group practice and would  
            authorize specified entities, including a group practice that  
            uses an automated drug delivery system, to purchase drugs at  
            wholesale for administration or dispensing, under the  
            direction of a physician and surgeon or other prescriber, as  
            specified.  This bill was amended to an unrelated topic.

             SB 1390 (Corbett) of 2010, would have repealed the  
             requirement that the BOP promulgate regulations requiring a  
             standardized, patient-centered, prescription drug label on  
             all prescription medications dispensed to patients in  
             California on or before January 1, 2011, and instead  
             establish statutory requirements for standardized, patient  
             centered prescription drug labels.  The bill failed passage  








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             in the Assembly Committee on Business, Professions and  
             Consumer Protection.   

             SB 470 (Corbett) (Chapter 590, Statutes of 2009) permitted,  
             if requested by patients, the purpose of the prescribed  
             medication to be listed on prescription drug labels. 

             SB 472 (Corbett) (Chapter 470, Statutes of 2007), the  
             California Patient Medication Safety Act, required BOP to  
             promulgate regulations that require a standardized,  
             patient-centered, prescription drug label on all prescription  
             medication dispensed to patients in California.  The Board  
             was required to report to the Legislature by January 1, 2010,  
             on its progress in implementing these regulations. 

             SCR 49 (Speier) of 2005, created a panel to study the causes  
             of medication errors and recommend changes in the health care  
             system that reduces errors associated with the delivery of  
             prescription and over the counter medication to consumers.   
             This resolution required the panel to convene by October 1,  
             2005, and to submit to the Assembly Committee on Health and  
             the Senate Committee on Health a report on its finding by  
             June 1, 2006.

             AB 657 (Karnette) of 2005, would have required prescription  
             drug labels to include the intended purpose of the drug, if  
             indicated on the prescription, and required prescribers to  
             ask the patient, or the patient's authorized representative,  
             if the patient is either incapacitated or a minor who cannot  
             provide informed consent, whether to indicate the intended  
             purpose of the prescription on the label.  The bill was held  
             in the Senate Business, Professions and Economic Development  
             Committee.

           7)Double referral  .  This bill was double-referred from the  
            Assembly Health Committee where it passed (13-5) on June 17,  
            2014.  
           
           
           REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          California Pan-Ethnic Health Network (sponsor)
          California Alliance for Retired Americans








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            Opposition 
           
          None on file

           Analysis Prepared by  :    Elissa Silva / B.,P. & C.P. / (916)  
          319-3301