By Van de Putte H.B. No. 2528 76R2987 KEL-F A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the support of graduate pharmacy education and resident 1-3 pharmacists. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Chapter 61, Education Code, is amended by adding 1-6 Subchapter T to read as follows: 1-7 SUBCHAPTER T. ROBERTA HIGH MEMORIAL 1-8 PHARMACY RESIDENCY PROGRAM 1-9 Sec. 61.851. DEFINITIONS. In this subchapter: 1-10 (1) "Community pharmacy" means a pharmacy that holds a 1-11 Class A pharmacy license issued by the Texas State Board of 1-12 Pharmacy. 1-13 (2) "Compensation" includes a stipend, a payment for 1-14 services rendered, and a fringe benefit. 1-15 (3) "Faculty preceptor" means a licensed pharmacist 1-16 who: 1-17 (A) is affiliated with a school of pharmacy; 1-18 (B) meets the qualifications established by the 1-19 board to teach resident pharmacists; and 1-20 (C) has been designated as a pharmacy faculty 1-21 preceptor by the Texas State Board of Pharmacy. 1-22 (4) "Institutional pharmacy" means a pharmacy that 1-23 holds a Class C pharmacy license issued by the Texas State Board of 1-24 Pharmacy. 2-1 (5) "Nuclear pharmacy" means a pharmacy that holds a 2-2 Class B pharmacy license issued by the Texas State Board of 2-3 Pharmacy. 2-4 (6) "Pharmacy residency program" means a residency 2-5 program approved as an internship program by the Texas State Board 2-6 of Pharmacy. 2-7 (7) "Primary teaching pharmacy" means a pharmacy that 2-8 holds a permit issued by the Texas State Board of Pharmacy at which 2-9 a school of pharmacy educates and trains both resident pharmacists 2-10 and undergraduate pharmacy students, pursuant to a resident 2-11 pharmacist affiliation agreement between the pharmacy and the 2-12 school. 2-13 (8) "Resident pharmacist" means a person who: 2-14 (A) has received a bachelor of science degree in 2-15 pharmacy or a doctor of pharmacy degree from an educational 2-16 institution accredited by an organization recognized by the board 2-17 as accrediting schools of pharmacy; 2-18 (B) is licensed to practice pharmacy by the 2-19 Texas State Board of Pharmacy; and 2-20 (C) is appointed to a resident pharmacist 2-21 position by a school of pharmacy. 2-22 (9) "School of pharmacy" means a school of pharmacy in 2-23 this state that is accredited by an organization recognized by the 2-24 board as accrediting schools of pharmacy. 2-25 Sec. 61.852. COMPENSATION OF RESIDENT PHARMACIST. A school 2-26 of pharmacy shall compensate each resident pharmacist being 2-27 educated, trained, developed, and prepared for a career in pharmacy 3-1 while the person is undergoing education, training, development, 3-2 and preparation at or under the direction and supervision of the 3-3 school. 3-4 Sec. 61.853. NUMBER OF AVAILABLE RESIDENT PHARMACIST 3-5 POSITIONS. (a) In each year, the total number of compensated 3-6 first-year resident pharmacists may not exceed 50 percent of the 3-7 total number of persons in the preceding year's combined graduating 3-8 classes of all schools of pharmacy. 3-9 (b) At least 50 percent of the combined total number of 3-10 resident pharmacist positions must be in community pharmacy 3-11 practice. 3-12 Sec. 61.854. PREFERENCE TO APPLICANT FOR PRACTICE IN 3-13 MEDICALLY UNDERSERVED AREAS. Each school shall give priority 3-14 consideration to an applicant for a resident pharmacist position 3-15 who demonstrates a willingness to practice pharmacy in medically 3-16 underserved areas of this state, as defined by the Texas Department 3-17 of Health. 3-18 Sec. 61.855. DURATION OF PHARMACIST RESIDENCY. A person may 3-19 not hold a resident pharmacist position for more than two years, or 3-20 for a period longer than the period usually required for a resident 3-21 pharmacist to complete a graduate pharmacy education program 3-22 approved by the Texas State Board of Pharmacy for the specialty in 3-23 which the resident pharmacist seeks certification. 3-24 Sec. 61.856. PROGRAM FUNDING. (a) The legislature may 3-25 appropriate revenue to the board to fund the pharmacy residency 3-26 program. 3-27 (b) Funds appropriated and distributed under this subchapter 4-1 may not be transferred or diverted from the pharmacy residency 4-2 program. 4-3 (c) From program funds, the comptroller shall issue a 4-4 warrant to a pharmacy school or other entity designated by the 4-5 board to receive funds under this subchapter. 4-6 Sec. 61.857. STATE SUPPORT OF RESIDENT PHARMACIST 4-7 COMPENSATION. (a) To supplement the compensation of resident 4-8 pharmacists, the board may provide grants to schools of pharmacy in 4-9 amounts not to exceed $10,000 in a fiscal year for each resident 4-10 pharmacist position approved by the board and filled by the 4-11 applicable school for that year. 4-12 (b) A school of pharmacy may receive funds under this 4-13 section for a resident pharmacist position in any year only if the 4-14 school and the primary teaching pharmacy each contribute at least 4-15 $10,000 toward the compensation of the resident pharmacist for that 4-16 year. 4-17 (c) If a resident pharmacist does not perform in that 4-18 capacity during an entire fiscal year, the school of pharmacy shall 4-19 reduce proportionately the compensation paid to the person to cover 4-20 only the part of the fiscal year during which the person performed 4-21 the person's duties as a resident pharmacist. 4-22 (d) If a person is compensated by an agency or institution 4-23 of the federal government or by any other agency or institution, 4-24 other than a primary teaching pharmacy, for the person's 4-25 performance of the person's duties as a resident pharmacist, the 4-26 school of pharmacy shall reduce the compensation that would 4-27 otherwise be paid to the person by an amount equal to the amount of 5-1 the compensation received by the person from the agency or 5-2 institution. 5-3 (e) If the school receives from an agency or institution of 5-4 the federal government or from any other agency or institution, 5-5 other than a primary teaching pharmacy, compensation for a person's 5-6 performance of the person's duties as a resident pharmacist to or 5-7 for the benefit of the agency or institution, the compensation that 5-8 may be paid to the resident pharmacist from funds awarded for that 5-9 position under this section is reduced by the amount received from 5-10 the other agency or institution. 5-11 (f) To qualify for supplemental compensation provided under 5-12 this section, a resident pharmacist must enroll for at least nine 5-13 semester credit hours each fall and spring semester and for at 5-14 least six semester credit hours each summer term in graduate 5-15 pharmacy education experiential courses. The resident pharmacist 5-16 is exempt from fees required for enrollment, other than tuition. 5-17 Sec. 61.858. PLACEMENT OF RESIDENT PHARMACISTS IF FULL 5-18 FUNDING NOT AVAILABLE. (a) If a school of pharmacy determines 5-19 that it does not have sufficient available funds from legislative 5-20 appropriations and other sources to support adequately the full 5-21 number of resident pharmacists that the school considers necessary 5-22 to carry out the purposes of the school, the school may assign and 5-23 place for education and training a resident pharmacist who cannot 5-24 be supported adequately with available funds in a primary teaching 5-25 pharmacy with which the school has a resident pharmacist 5-26 affiliation agreement. 5-27 (b) During the period for which a resident pharmacist is 6-1 assigned and placed in a primary teaching pharmacy under this 6-2 section, the resident pharmacist shall receive compensation 6-3 primarily from the pharmacy. 6-4 (c) A resident pharmacist affiliation agreement between the 6-5 school and the primary teaching pharmacy must describe the exact 6-6 method and manner of compensating the resident pharmacist. 6-7 Sec. 61.859. ADDITIONAL FUNDING TO SUPPORT GRADUATE PHARMACY 6-8 EDUCATION PROGRAMS. (a) The board shall administer a program to 6-9 support graduate pharmacy education programs in this state 6-10 consistent with the needs of this state for graduate pharmacy 6-11 education and the training of resident pharmacists in appropriate 6-12 fields and specialties. 6-13 (b) From funds available to the program, the board may make 6-14 grants or formula distributions to a school of pharmacy or other 6-15 entity to: 6-16 (1) support appropriate graduate pharmacy education 6-17 programs or activities for which adequate funds are not otherwise 6-18 available; or 6-19 (2) foster new or expanded graduate pharmacy education 6-20 programs or activities that the board determines will address the 6-21 state's needs for graduate pharmacy education. 6-22 (c) To be eligible for a grant or distribution under this 6-23 section, a school or other entity must incur the costs of faculty 6-24 education or supervision in a graduate pharmacy education program 6-25 or the costs of compensating a resident pharmacist in the program. 6-26 The board shall take those incurred costs into account in making 6-27 grants or formula distributions under this section. 7-1 (d) The program is funded by appropriations, by gifts, 7-2 grants, and donations made to support the program, and by any other 7-3 funds the board obtains for the program, including federal funds. 7-4 (e) An amount granted or distributed to a school or other 7-5 entity under the program may be used only to cover expenses of 7-6 training resident pharmacists participating in the particular 7-7 program or activity for which the grant or distribution is made in 7-8 accordance with any conditions imposed by the board. The amount 7-9 may not be spent for the general support of the school or other 7-10 entity. 7-11 Sec. 61.860. ADVISORY COMMITTEE. (a) The board shall 7-12 appoint an advisory committee to advise the board regarding the 7-13 development and administration of the pharmacy residency program, 7-14 including evaluating requests for grants and establishing formulas 7-15 for distribution of funds under the program. 7-16 (b) The advisory committee consists of: 7-17 (1) the executive director of the Texas State Board of 7-18 Pharmacy or the executive director's designee; 7-19 (2) the executive director of the Texas State Board of 7-20 Medical Examiners or the executive director's designee; 7-21 (3) a physician participating in a health-related 7-22 residency program; 7-23 (4) the dean of each school of pharmacy, or the dean's 7-24 designee, who serve as nonvoting members; and 7-25 (5) the following members appointed by the board: 7-26 (A) four pharmacists in private practice, who 7-27 are recommended to the board by the Texas State Board of Pharmacy; 8-1 (B) one resident pharmacist, who serves as a 8-2 nonvoting member; and 8-3 (C) one pharmacy student, who serves as a 8-4 nonvoting member. 8-5 (c) Of the pharmacist members in private practice, two must 8-6 be active in community pharmacy practice, and two must be active in 8-7 hospital pharmacy practice. 8-8 (d) Members of the advisory committee serve staggered 8-9 three-year terms. The board shall appoint the initial members to 8-10 terms of one, two, or three years as necessary so that one-third of 8-11 the members' terms expire each year, as nearly as practicable. 8-12 (e) The advisory committee shall elect one of its members as 8-13 presiding officer for a one-year term. 8-14 (f) The advisory committee shall meet at least once each 8-15 year and as often as requested by the board or called into meeting 8-16 by the committee's presiding officer. 8-17 (g) A member of the advisory committee may not receive 8-18 compensation for committee service but may receive reimbursement 8-19 for travel to official meetings according to policies established 8-20 by the board. 8-21 Sec. 61.861. DUTIES OF ADVISORY COMMITTEE. The advisory 8-22 committee shall: 8-23 (1) review applications for the funding of graduate 8-24 pharmacy education programs and make recommendations for approval 8-25 or disapproval of those applications; 8-26 (2) make recommendations relating to the standards and 8-27 criteria for approval of grants and for the development of formulas 9-1 for distribution of funds under the pharmacy residency program; 9-2 (3) recommend to the board an allocation of funds 9-3 among schools of pharmacy; 9-4 (4) review applications for the funding of faculty 9-5 preceptor positions, make recommendations for approval or 9-6 disapproval of those applications, make recommendations relating to 9-7 the standards and criteria for approval of those applications, 9-8 monitor compliance with the contractual conditions associated with 9-9 funding faculty preceptor positions, and evaluate success in 9-10 increasing the number of those positions; and 9-11 (5) perform other duties assigned by the board. 9-12 Sec. 61.862. APPLICATION BY SCHOOL OF PHARMACY FOR FUNDING. 9-13 A school of pharmacy must include in an application for funds under 9-14 this subchapter: 9-15 (1) the names of the school and the dean of the 9-16 school, the mailing address of the school, and the accreditation 9-17 status for the undergraduate and graduate pharmacy programs of the 9-18 school; 9-19 (2) the number of resident pharmacist positions and 9-20 primary teaching pharmacies for which the school is requesting 9-21 funding; 9-22 (3) for each primary teaching pharmacy, the names of 9-23 the pharmacy, as recorded on its permit, and of the 9-24 pharmacist-in-charge, the mailing address of the pharmacy, and the 9-25 accreditation status of the pharmacy; 9-26 (4) a description of the learning objectives and 9-27 minimum competencies required of resident pharmacists at each 10-1 primary teaching pharmacy; 10-2 (5) a description of the learning activities and 10-3 resident pharmacists' duties at each primary teaching pharmacy, and 10-4 the time associated with each activity or duty; 10-5 (6) the name of the faculty preceptor responsible for 10-6 the learning program at each primary teaching pharmacy, and a 10-7 description of the preceptor's credentials; 10-8 (7) the amount and form of compensation to be provided 10-9 to each resident pharmacist; 10-10 (8) a copy of the resident pharmacist affiliation 10-11 agreement between the school and the primary teaching pharmacy; and 10-12 (9) other information required by the board. 10-13 Sec. 61.863. FUNDING OF FACULTY PRECEPTOR POSITIONS. (a) A 10-14 school of pharmacy may apply and receive a grant under this section 10-15 to support full-time, affiliated faculty preceptors who supervise 10-16 accredited pharmacy residencies. 10-17 (b) The advisory committee shall recommend to the board an 10-18 allocation of faculty preceptor positions that are to receive funds 10-19 under this section. 10-20 (c) An allocation of funds under this section must take into 10-21 account the following factors: 10-22 (1) the faculty-student ratio in community pharmacy 10-23 residencies at each applicant school; 10-24 (2) the length of time a budgeted faculty preceptor 10-25 position has gone unfilled and whether the position is a new 10-26 faculty preceptor position; and 10-27 (3) other factors determined by the board. 11-1 (d) Once funds are granted to support a faculty preceptor 11-2 position affiliated with a school, the board shall continue to 11-3 grant funds to support that position for a period not to exceed one 11-4 additional calendar year. After that time, the school shall 11-5 provide an amount equal to the annualized amount of the grant in 11-6 its operating budget to maintain the level of compensation for the 11-7 position for two years after the grant period has ended. 11-8 (e) The board may use not more than 10 percent of the total 11-9 amount appropriated for the pharmacy residency program under this 11-10 subchapter to fund faculty preceptor positions under this section. 11-11 (f) The board may solicit, receive, and spend grants, gifts, 11-12 and donations from public and private sources for purposes of this 11-13 section. 11-14 SECTION 2. (a) On the effective date of this Act, the 11-15 comptroller shall transfer $850,000 from the State Board of 11-16 Pharmacy fund account to the undedicated portion of the general 11-17 revenue fund. 11-18 (b) The legislature may appropriate funds transferred under 11-19 Subsection (a) of this section only for the pharmacy residency 11-20 program established under Subchapter T, Chapter 61, Education Code, 11-21 as added by this Act. 11-22 SECTION 3. This Act takes effect September 1, 1999. 11-23 SECTION 4. The importance of this legislation and the 11-24 crowded condition of the calendars in both houses create an 11-25 emergency and an imperative public necessity that the 11-26 constitutional rule requiring bills to be read on three several 11-27 days in each house be suspended, and this rule is hereby suspended.