BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 2018
                                                                  Page  1

          Date of Hearing:   May 17, 2000

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS 
                              Carole Migden, Chairwoman

                    AB 2018 (Thomson) - As Amended:  May 3, 2000 

          Policy Committee:                              Public  
          SafetyVote:  5-0
                        Health                                   14-0

          Urgency:     No                   State Mandated Local Program:   
          No      Reimbursable:              

           SUMMARY  

          This bill repeals the requirement that Schedule II controlled  
          substances be written on an official prescription form known as  
          the "triplicate form" issued by the Department of Justice (DOJ),  
          and repeals the July 1, 2003 sunset of the electronic  
          prescription tracking pilot project (CURES), thereby making the  
          program permanent. Specifically, this bill: 

           FISCAL EFFECT 
           
          Ongoing costs to operate CURES of about $300,000 per year (GF).  
          (Current CURES funding, from a $1 million appropriation from the  
          Pharmacy Board Contingent Fund, expires in 2000-01.)

          In addition to the $300,000 in contract and operating costs, the  
          DOJ contends it will need auditors to check prescriptions  
          against the CURES database. Four auditors cost about $300,000  
          (GF) annually. 
           
           COMMENT
           
           1)Rationale  . According to the author, California is one of only  
            eight states that require a government-issued prescription for  
            Schedule II drugs. Triplicate prescription is widely viewed by  
            the medical and patient community as a barrier to pain  
            management. Studies indicate that cancer-related pain could be  
            well controlled in 80% to 90% of affected patients, but recent  
            findings indicate more than 40% of cancer patients receive  
            inadequate pain relief. Many patients with chronic pain are  
            not treated effectively or appropriately. Some physicians  








                                                                  AB 2018
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            simply refuse to use triplicates. AB 2018 does not end  
            Schedule II monitoring, - it simply eliminates the  
            government-issued prescription required and makes electronic  
            monitoring permanent. 

          The 1994 California Pain Summit included a recommendation:  
            'Replace the requirement for a special, state-issued  
            prescription form (triplicate system) with electronic  
            monitoring of controlled substances prescription that can  
            foster better, more effective pain management and better  
            diversion detection.' AB 2018 implements that recommendation. 

           2)Current law  regarding triplicate prescriptions: 

             a)Requires each prescription for a controlled substance  
               classified in Schedule II to be written in the handwriting  
               of the prescriber on an official prescription form, in  
               triplicate, issued by DOJ. 

             b)Requires the original and duplicate of the prescription to  
               be delivered to the pharmacist and requires the duplicate  
               to be retained by the pharmacist and the original to be  
               transmitted to DOJ at the end of the month in which the  
               prescription was filled. 

             c)Requires triplicate prescription blanks to be issued by DOJ  
               in serially numbered groups of not more than 100 and  
               requires prescription blanks to bear the preprinted name,  
               address, and category of licensure of the practitioner, and  
               the federal registry number for controlled substances. 

             d)Requires the prescriber to maintain a prescription book  
               containing copies of issued prescriptions for three years  
               and permits DOJ to charge a fee for the prescription blanks  
               sufficient to reimburse the department for the actual costs  
               associated with the preparation and processing of the  
               forms.  

             e)   Exempts Schedule II prescriptions from the triplicate  
               procedure when prescribed for use by a patient who has a  
               terminal illness, defined in part as an illness that will,  
               in the judgment of the physician, bring about the death of  
               the patient within a period of one year. (Migden, AB  
               2693,1999)









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           3)The CURES Pilot Project  within DOJ for electronic monitoring  
            of the prescribing and dispensing of Schedule II controlled  
            substances, was created in 1996 (AB 3042, Takasugi). AB 3042  
            was sponsored by Attorney General Dan Lundgren, whose DOJ  
            noted at the time that "the information captured on the  
            current system is not complete and therefore not useful in  
            identifying and investigating those suspected of abusing the  
            prescribing and dispensing process?.By integrating existing  
            systems, virtually 100% of the data could be captured at the  
            point of sale, and the information made accessible to law  
            enforcement." 

          According to the 1999 CURES Report, CURES has been implemented  
            in a timely and cost-effective manner. The report also notes  
            that the triplicate program reached its peak production level  
            in 1995 by manually entering data from 256,303 triplicate  
            prescription forms into the computer system. Since 1995,  
            productivity has steadily declined, and in 1998 only 39,945  
            triplicate prescription forms, representing 1.7% of the total,  
            were manually entered into the system. The report states that  
            CURES has solved the data entry backlog problem experience by  
            the triplicate program. Through CURES, DOJ and medical-related  
            licensing boards have ready access to up-to-date information  
            on Schedule II drug prescriptions.

          The report made several recommendations, including making CURES  
            permanent, and reclassifying current triplicate prescription  
            program staff to classifications more suitable to the  
            investigative and analytical duties they will perform for  
            CURES. 

           4)Support  . The bill's sponsor, the Pharmacy Board, contends  
            CURES has clearly established electronic monitoring as a  
            superior alternative to collecting the more than 2 million  
            paper prescriptions written each year. The board argues that  
            CURES makes identifying patterns of abuse and diversion of  
            prescription drugs into illicit markets easier because all  
            data is readily available for analysis. The triplicate  
            prescription process has out-lived its utility as demonstrated  
            by the small percentage of forms actually being entered into  
            the database. 

          The American Cancer Society (ACS) states that research indicates  
            less than half of cancer patients get adequate pain relief,  
            even though the means to relieve almost all cancer pain  








                                                                  AB 2018
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            currently exist. The ACS contends that CURES best addresses  
            the conflict between the effort to restrict controlled  
            substances and compassionately treat patients experiencing  
            pain.  

          The California Medical Association sites survey data indicating  
            54% of physicians modify pain prescriptions based on concerns  
            of regulatory oversight, and that physicians continually  
            express concerns over restrictive regulations, feeling  
            threatened, and fearing harassment and/or prosecution by  
            enforcement authorities. 

           5)Opposition  . Law enforcement contends electronic monitoring,  
            unaccompanied by triplicate forms, is inadequate to safeguard  
            against forgery and counterfeiting of prescriptions, and that  
            serialized forms provide for self-monitoring before  
            prescribing, while CURES provides monitoring after the fact.  
            The DOJ states that CURES alone is insufficient to monitor  
            illegal diversion. Triplicate forms provide evidence in the  
            prosecution of diversion cases, since each prescription is  
            assigned to a specific, individual practitioner. Moreover, the  
            original document is required as evidence in a prosecution  
            because computer printouts are not admissible and present  
            substantial issues regarding authentication and reliability of  
            the record. 


           

           

           
           Analysis Prepared by  :    Geoff Long / APPR. / (916)319-2081