TO: | Honorable Jane Nelson, Chair, Senate Committee on Health & Human Services |
FROM: | John S. O'Brien, Director, Legislative Budget Board |
IN RE: | SB646 by Van de Putte (Relating to a study regarding the confidentiality of prescription information; providing a civil penalty.), Committee Report 1st House, Substituted |
Fiscal Year | Probable Net Positive/(Negative) Impact to General Revenue Related Funds |
---|---|
2010 | $0 |
2011 | $0 |
2012 | $0 |
2013 | $0 |
2014 | $0 |
Fiscal Year | Probable Savings/(Cost) from General Revenue Fund 1 |
Probable Revenue Gain/(Loss) from General Revenue Fund 1 |
---|---|---|
2010 | ($10,000) | $10,000 |
2011 | $0 | $0 |
2012 | $0 | $0 |
2013 | $0 | $0 |
2014 | $0 | $0 |
The bill would require the Board of Pharmacy to conduct a study on the license, transfer, use, and sale of prescription information records containing patient-identifiable and practitioner-identifiable information by pharmacy benefit managers, insurers, electronic transmission intermediaries, pharmacies, and other similar entities for the purpose of advertising, marketing, or promoting pharmaceutical products. The bill would require the Board of Pharmacy to submit a report regarding the results of the study to the governor, the lieutenant governor, the speaker of the house of representatives, and the appropriate standing committees. The bill would authorize a civil penalty not to exceed $5,000 for each violation when an entity other than a pharmacy subject to the study fails to provide the board the requested information within 90 days. The bill authorizes the Board of Pharmacy to take appropriate administrative action against a pharmacy that fails to provide the requested information within 90 days. The bill authorizes the Board of Pharmacy or the Attorney General to sue to collect a civil penalty.
The bill would take effect immediately if it receives a vote of two-thirds of all the members elected to each house. If not, the bill would take effect September 1, 2009.
Based on the analysis of the Board of Pharmacy, it is assumed that the board would contract with an independent entity to conduct the study at a cost of $10,000 in Fiscal Year 2010. This analysis also assumes that any increased costs to the agency, which is statutorily required to generate sufficient revenue to cover its costs of operation, would be offset by an increase in fee generated revenue.
The Office of the Attorney General indicates that any costs associated with the bill could be absorbed within the agency's existing resources.
Source Agencies: | 302 Office of the Attorney General, 515 Board of Pharmacy
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LBB Staff: | JOB, ES, CL, MW
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