Amend SB 1645 (house committee printing) by adding the 
following appropriately numbered SECTIONS to the bill and 
renumbering subsequent SECTIONS of the bill accordingly:
	SECTION ____.  NORMAL DISTRIBUTION CHANNEL. Section 
431.401(5), Health and Safety Code, is amended to read as follows:
		(5)  "Normal distribution channel" means a chain of 
custody for a prescription drug, either directly or by drop 
shipment, from the manufacturer of the prescription drug, the 
manufacturer to the manufacturer's co-licensed product partner, 
the manufacturer to the manufacturer's third-party logistics 
provider, or the manufacturer to the manufacturer's exclusive 
distributor, to:
			(A)  a pharmacy to:                                                          
				(i)  a patient; or                                                          
				(ii)  another designated person authorized 
by law to dispense or administer the drug to a patient;
			(B)  an authorized distributor of record to:                                 
				(i)  a pharmacy to a patient; or                                            
				(ii)  another designated person authorized 
by law to dispense or administer the drug to a patient;
			(C)  an authorized distributor of record to a 
wholesale distributor licensed under this chapter to another 
designated person authorized by law to dispense or administer the 
drug to a patient;
			(D)  an authorized distributor of record to a 
pharmacy warehouse to the pharmacy warehouse's intracompany 
pharmacy;
			(E) [(D)]  a pharmacy warehouse to the pharmacy 
warehouse's intracompany pharmacy or another designated person 
authorized by law to dispense or administer the drug to a patient;
			(F) [(E)]  a person authorized by law to prescribe 
a prescription drug that by law may be administered only under the 
supervision of the prescriber; or
			(G) [(F)]  an authorized distributor of record to 
one other authorized distributor of record to a licensed 
practitioner for office use.
	SECTION ____.  EXEMPTION FROM CERTAIN PROVISIONS FOR CERTAIN 
WHOLESALE DISTRIBUTORS.  Section 431.4031, Health and Safety Code, 
is amended to read as follows:
	Sec. 431.4031.  EXEMPTION FROM CERTAIN PROVISIONS FOR 
CERTAIN WHOLESALE DISTRIBUTORS.  (a)  A wholesale distributor that 
distributes prescription drugs that are medical gases or a 
wholesale distributor that is a manufacturer or a third-party 
logistics provider on behalf of a manufacturer is exempt from 
Sections 431.404(a)(5) and (6), (b), and (c), 431.4045(2), 431.405, 
431.407, and 431.408.
	(b)  A state agency or a political subdivision of this state 
that distributes prescription drugs using federal or state funding 
to nonprofit health care facilities or local mental health or 
mental retardation authorities for distribution to a pharmacy, 
practitioner, or patient is exempt from Sections 431.405(b), 
431.407, 431.408, 431.412, and 431.413.
	SECTION ____.  RULES.  As soon as practicable after the 
effective date of this Act, the executive commissioner of the 
Health and Human Services Commission shall adopt, modify, or repeal 
rules as necessary to implement the changes in law made by this Act 
to Chapter 431, Health and Safety Code.