BILL ANALYSIS


                                                        H.B. 1506
                                       By: Van de Putte (Sponsor)
                                        Health and Human Services
                                                         05-04-95
                              Senate Committee Report (Unamended)
BACKGROUND

During the last legislative session the Texas Pharmacy Act (Article
4542a-1, V.T.C.S.) was amended by replacing its previous authority
to assess a fine with the authority to assess an administrative
penalty.  Section 28B was added to the Act to outline procedures
for the agency to follow in the assessment of an administrative
penalty.  These procedures differ from those the agency follows for
imposing other sanctions.  As a result of this change, the agency
may be required to conduct two separate disciplinary hearings to
assess an administrative penalty and another sanction, such as
probation.

PURPOSE

As proposed, H.B. 1506 requires the Texas State Board of Pharmacy
to impose administrative penalties under the provisions of Chapter
2001, Government Code.

RULEMAKING AUTHORITY

It is the committee's opinion that rulemaking authority is granted
to the Texas State Board of Pharmacy under SECTION 1 (Section
28B(d), Article 4542a-1, V.T.C.S.) of this bill.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Sections 28B(d)-(s), Article 4542a-1, V.T.C.S.
(Texas Pharmacy Act), as follows:

     (d) Requires the Texas State Board of Pharmacy (board), by
     rule, to prescribe procedures, consistent with Chapter 2001,
     Government Code, relating to contested cases, by which the
     board may impose an administrative penalty for violation of
     this Act, rather than authorizing the executive director or a
     designee to issue a report to the board concerning the
     violation.
     
     (e) Requires the board, if it finds by order that a violation
     has occurred and imposes a penalty, to give notice to the
     person who committed the violation of the order.  Requires the
     notice to include a statement of the person's right to
     judicial review of the order.  Deletes the time frame for
     issuing the notice and specific information to be included in
     the notice.  Deletes existing Subsections (f)-(i).
     
     (f) Requires the person to take specific measures within 30
     days after the board's order is final as provided by Section
     2001.144, Government Code, rather than Section 16(c), Article
     6252-13a, V.T.C.S.  Redesignates existing Subsection (j).
     
     (g)-(i) Redesignate existing Subsections (k)-(m) and make
     conforming changes.  Deletes existing Subsection (n).
     
     (j) Authorizes the court, if it sustains the occurrence of the
     violation on appeal, to uphold or reduce the penalty and order
     the person to pay the full or reduced penalty.  Redesignates
     existing Subsection (o).
     
     (k)-(l) Redesignate existing Subsections (p) and (q).
     
     (m) Redesignates existing Subsection (r) and makes conforming
     changes.
     
     (n) Redesignates existing Subsection (s).
     
     SECTION 2.     Effective date:  September 1, 1995.

SECTION 3. Emergency clause.