77R12678 MXM-D                          
         By Moncrief                                             S.B. No. 65
         Substitute the following for S.B. No. 65:
         By Maxey                                            C.S.S.B. No. 65
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the regulation of telepharmacy as a method to dispense
 1-3     drugs.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Subchapter C, Chapter 562, Occupations Code, is
 1-6     amended by adding Section 562.110 to read as follows:
 1-7           Sec. 562.110.  TELEPHARMACY SYSTEMS.  (a)  In this section,
 1-8     "telepharmacy system" means a system that monitors the dispensing
 1-9     of prescription drugs and provides for related drug use review and
1-10     patient counseling services by an electronic method, including the
1-11     use of the following types of technology:
1-12                 (1)  audio and video;
1-13                 (2)  still image capture; and
1-14                 (3)  store and forward.
1-15           (b)  A Class A or Class C pharmacy located in this state may
1-16     provide pharmacy services, including the dispensing of drugs,
1-17     through a telepharmacy system in a facility that is not at the same
1-18     location as the Class A or Class C pharmacy.
1-19           (c)  A telepharmacy system is required to be under the
1-20     continuous supervision of a pharmacist as determined by board rule.
1-21     To qualify as continuous supervision for a telepharmacy system, the
1-22     pharmacist is not required to be physically present at the site of
1-23     the telepharmacy system.  The pharmacist shall supervise the system
1-24     electronically by audio and video communication.
 2-1           (d)  A telepharmacy system may be located only at a health
 2-2     care facility in this state that is regulated by this state or the
 2-3     United States.
 2-4           (e)  The board shall adopt rules regarding the use of a
 2-5     telepharmacy system under this section, including:
 2-6                 (1)  the types of health care facilities at which a
 2-7     telepharmacy system may be located, which must include the
 2-8     following facilities:
 2-9                       (A)  a clinic designated as a rural health clinic
2-10     regulated under 42 U.S.C. Section 1395x(aa), as amended; and
2-11                       (B)  a health center as defined by 42 U.S.C.
2-12     Section 254b, as amended;
2-13                 (2)  the areas that qualify under Subsection (f);
2-14                 (3)  recordkeeping requirements; and
2-15                 (4)  security requirements.
2-16           (f)  A telepharmacy system may not be located in a community
2-17     in which a Class A or Class C pharmacy is located as determined by
2-18     board rule.  If a Class A or Class C pharmacy is established in a
2-19     community in which a telepharmacy system has been located under
2-20     this section, the telepharmacy system may continue to operate in
2-21     that community.
2-22           SECTION 2.  (a)  This Act takes effect September 1, 2001.
2-23           (b)  Not later than February 28, 2002, the Texas State Board
2-24     of Pharmacy shall adopt the rules required by Section 562.110,
2-25     Occupations Code, as added by this Act.  Pharmacy services may not
2-26     be provided through a telepharmacy system under Section 562.110,
2-27     Occupations Code, as added by this Act, until the Texas State Board
 3-1     of Pharmacy adopts those rules.