82R10311 JSC-D
 
  By: McClendon H.B. No. 3714
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the regulation of controlled substances and the
  establishment of an electronic system for monitoring controlled
  substances; providing criminal penalties.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subtitle J, Title 3, Occupations Code, is
  amended by adding Chapter 570 to read as follows:
  CHAPTER 570. CONTROLLED SUBSTANCE REGISTRATION;
  PRESCRIPTION DRUG ORDER MONITORING PROGRAM
  SUBCHAPTER A. GENERAL PROVISIONS
         Sec. 570.001.  PURPOSE. This chapter is intended to improve
  the state's ability to identify and stop diversion of Schedule II-V
  controlled substance prescription drug orders or other
  prescription drug orders in an efficient and cost-effective manner
  that will not impede the appropriate medical utilization of
  controlled substances or other potentially abusable drugs.
         Sec. 570.002.  DEFINITIONS. In this chapter:
               (1)  "Administer," "agent," "chemical laboratory
  apparatus," "chemical precursor," "controlled premises,"
  "controlled substance," "controlled substance analogue,"
  "deliver," "dispense," "dispenser," "distribute," "distributor,"
  "drug," "federal Controlled Substances Act," "federal Drug
  Enforcement Administration," "institutional practitioner,"
  "lawful possession," "manufacture," "medical purpose," "narcotic
  drug," "patient," "person," "pharmacist," "pharmacy,"
  "possession," "practitioner," "prescribe," and "prescription" have
  the meanings assigned by Section 481.002, Health and Safety Code.
               (2)  "Board" has the meaning assigned by Section
  551.003.
               (3)  "Hospital" means:
                     (A)  a general or special hospital as defined by
  Section 241.003, Health and Safety Code; or
                     (B)  an ambulatory surgical center as defined by
  Section 243.002, Health and Safety Code, and approved by the
  federal government to perform surgery paid by Medicaid on patients
  admitted for a period of not more than 24 hours.
               (4)  "Medication order" means an order from a
  practitioner to dispense a drug to a patient in a hospital for
  immediate administration while the patient is in the hospital or
  for emergency use on the patient's release from the hospital.
               (5)  "Pharmacist-in-charge" means the pharmacist
  designated on a pharmacy license as the pharmacist who has the
  authority or responsibility for the pharmacy's compliance with this
  chapter and other laws relating to pharmacy.
               (6)  "Principal place of business" means a location
  where a person manufactures, distributes, dispenses, analyzes, or
  possesses a controlled substance. The term does not include a
  location where a practitioner dispenses a controlled substance on
  an outpatient basis unless the controlled substance is stored at
  that location.
               (7)  "Ultimate user" means a person who has lawfully
  obtained and possesses a controlled substance for the person's own
  use, for the use of a member of the person's household, or for
  administering to an animal owned by the person or by a member of the
  person's household.
         Sec. 570.003.  RULES. (a) The board may adopt the rules
  necessary to implement this chapter.
         (b)  The board by rule shall establish and revise as
  necessary a standardized database format that may be used by a
  pharmacy to transmit the information required by this chapter to
  the board electronically.
         (c)  The board, in consultation with the Department of State
  Health Services, the Department of Public Safety, and the Texas
  Medical Board, by rule may:
               (1)  remove a controlled substance listed in Schedules
  II through V under Subchapter B, Chapter 481, Health and Safety
  Code, from the prescription drug order monitoring program, if the
  board determines that the burden imposed by the program
  substantially outweighs the risk of diversion of the particular
  controlled substance; or
               (2)  add a substance not listed in Schedules II through
  V under Subchapter B, Chapter 481, Health and Safety Code, to the
  prescription drug order monitoring program, if the board determines
  that the risk of diversion substantially outweighs the burden
  imposed by the program on the particular substance.
         (d)  The board by rule may:
               (1)  remove from or return to the prescription drug
  order monitoring program any aspect of a practitioner's or
  pharmacist's hospital practice, including administering or
  dispensing substances subject to the prescription drug order
  monitoring program;
               (2)  waive or delay any requirement relating to the
  time or manner of reporting to the prescription drug order
  monitoring program;
               (3)  establish compatibility protocols for electronic
  data transfer hardware, software, or format;
               (4)  establish a procedure to control the release of
  information under this chapter; and
               (5)  establish a minimum level of prescription drug
  order activity below which a reporting activity may be modified or
  discontinued.
         (e)  The board by rule shall authorize a practitioner to
  determine whether it is necessary to obtain an individual's patient
  identification number and to provide the number on the prescription
  drug order.
         Sec. 570.004.  AUTHORITY TO CONTRACT. The board may
  authorize a contract between the board and another agency of this
  state or a private vendor as necessary to ensure the effective
  operation of the prescription drug order monitoring program.
         Sec. 570.005.  ECONOMIC IMPACT CONSIDERATION. In adopting a
  rule relating to the electronic transfer of information under this
  chapter, the board shall:
               (1)  consider the economic impact of the proposed rule
  on practitioners and pharmacists, including potential costs
  related to computer hardware or software or to the transfer of
  information; and
               (2)  to the extent permitted by law, act to minimize any
  negative economic effect on practitioners or pharmacists.
         Sec. 570.006.  FEES. (a) The board may use fees collected
  under Subchapter B to administer this chapter.
         (b)  The board may not impose a fee for the electronic
  transfer of information in addition to the fees authorized by
  Subchapter B.
         (c)  The board may charge:
               (1)  a nonrefundable fee of not more than $25 before
  processing an application for annual registration; and
               (2)  a late fee of not more than $50 for each
  application for renewal the board receives after the date the
  applicant's registration expires.
         (d)  The board by rule shall set the fees under Subsection
  (c) in the amounts necessary to cover the cost of administering and
  enforcing this chapter.
         (e)  The board shall deposit the fees collected under this
  chapter to the credit of the general revenue fund.
         Sec. 570.007.  GIFTS AND GRANTS. The board may accept gifts
  or grants from private individuals, foundations, or the federal
  government for the purposes authorized by this chapter.
  [Sections 570.008-570.050 reserved for expansion]
  SUBCHAPTER B. REGULATION OF MANUFACTURE, DISTRIBUTION, AND
  DISPENSATION OF CONTROLLED SUBSTANCES, CHEMICAL PRECURSORS, AND
  CHEMICAL LABORATORY APPARATUS
         Sec. 570.051.  REGISTRATION REQUIRED. (a) Except as
  otherwise provided by this chapter, a person may not manufacture,
  distribute, prescribe, possess, analyze, or dispense a controlled
  substance in this state unless the person is registered by the board
  under this subchapter.
         (b)  A person who is registered by the board to manufacture,
  distribute, analyze, dispense, or conduct research with a
  controlled substance may possess, manufacture, distribute,
  analyze, dispense, or conduct research with that substance to the
  extent authorized by the person's registration and in conformity
  with this subchapter.
         (c)  Except as provided by Subsection (d), a separate
  registration is required at each principal place of business or
  professional practice where the applicant manufactures,
  distributes, analyzes, dispenses, or possesses a controlled
  substance.
         (d)  The board may not require separate registration for a
  practitioner engaged in research with a nonnarcotic controlled
  substance listed in Schedules II through V under Subchapter B,
  Chapter 481, Health and Safety Code, if the practitioner is already
  registered under this subchapter in another capacity.
         Sec. 570.052.  EXEMPTIONS. (a) The following persons are
  not required to register under this subchapter and may possess a
  controlled substance under this chapter:
               (1)  an agent or employee of a registered manufacturer,
  distributor, analyzer, or dispenser of the controlled substance
  acting in the usual course of business or employment;
               (2)  a common or contract carrier, a warehouseman, or
  an employee of a carrier or warehouseman whose possession of the
  controlled substance is in the usual course of business or
  employment;
               (3)  an ultimate user or a person in possession of the
  controlled substance under a lawful order of a practitioner or in
  lawful possession of the controlled substance if it is listed in
  Schedule V under Subchapter B, Chapter 481, Health and Safety Code;
               (4)  an officer or employee of this state, another
  state, a political subdivision of this state or another state, or
  the United States who is lawfully engaged in the enforcement of a
  law relating to a controlled substance or drug or to a customs law
  and authorized to possess the controlled substance in the discharge
  of the person's official duties; or
               (5)  if the substance is tetrahydrocannabinol or one of
  its derivatives:
                     (A)  a Department of State Health Services
  official, a medical school researcher, or a research program
  participant possessing the substance as authorized under
  Subchapter G, Chapter 481, Health and Safety Code; or
                     (B)  a practitioner or an ultimate user possessing
  the substance as a participant in a federally approved therapeutic
  research program that the executive director has reviewed and
  found, in writing, to contain a medically responsible research
  protocol.
         (b)  The board by rule may waive the requirement for
  registration of certain manufacturers, distributors, or dispensers
  if the board finds it consistent with the public health and safety
  and if the attorney general of the United States has issued a
  similar waiver under the federal Controlled Substances Act.
         Sec. 570.053.  EXCEPTIONS. (a) This subchapter does not
  apply to an educational or research program of a school district or
  a public or private institution of higher education. This
  subchapter does not apply to a manufacturer, wholesaler, retailer,
  or other person who sells, transfers, or furnishes materials
  covered by this subchapter to those educational or research
  programs.
         (b)  The board and the Texas Higher Education Coordinating
  Board shall adopt a memorandum of understanding that establishes
  the responsibilities of each agency and the public or private
  institutions of higher education in implementing and maintaining a
  program for reporting information concerning controlled
  substances, controlled substance analogues, chemical precursors,
  and chemical laboratory apparatus used in educational or research
  activities of institutions of higher education.
         (c)  The board and the Texas Education Agency shall adopt a
  memorandum of understanding that establishes the responsibilities
  of the agency, the board, and school districts in implementing and
  maintaining a program for reporting information concerning
  controlled substances, controlled substance analogues, chemical
  precursors, and chemical laboratory apparatus used in educational
  or research activities of those schools and school districts.
         Sec. 570.054.  REGISTRATION APPLICATION. An applicant for
  registration under this subchapter shall submit an application to
  the board on a form prescribed by the board.
         Sec. 570.055.  ISSUANCE OR DENIAL OF REGISTRATION. (a) The
  board may refuse to issue a registration to a person to manufacture,
  distribute, analyze, or conduct research with a controlled
  substance if the person fails or refuses to provide to the board a
  consent form signed by the person granting the board the right to
  inspect the person's controlled premises and any record, controlled
  substance, or other item covered by this chapter.
         (b)  The board may not issue a registration to a person to
  dispense a controlled substance unless the board receives a consent
  form signed by the person granting the board the right to inspect
  records as required by this chapter.
         (c)  The board shall register a person to manufacture,
  distribute, or analyze a controlled substance listed in Schedules
  II through V under Subchapter B, Chapter 481, Health and Safety
  Code, if:
               (1)  the person furnishes the board evidence that the
  person is registered for that purpose under the federal Controlled
  Substances Act;
               (2)  the person has made proper application and paid
  the applicable fee; and
               (3)  the person has not been found by the board to have
  violated a provision of Section 570.056.
         (d)  The board shall register a person to dispense or conduct
  research with a controlled substance listed in Schedules II through
  V under Subchapter B, Chapter 481, Health and Safety Code, if the
  person:
               (1)  is a practitioner licensed under the laws of this
  state;
               (2)  has made proper application and paid the
  applicable fee; and
               (3)  has not been found by the board to have violated a
  provision of Section 570.056.
         Sec. 570.056.  DENIAL; PROBATION. (a) An application for
  registration to manufacture, distribute, analyze, dispense, or
  conduct research with a controlled substance may be denied on a
  finding that the applicant:
               (1)  has furnished material information in an
  application filed under this chapter that the applicant knows is
  false or fraudulent;
               (2)  has been convicted of or placed on community
  supervision or other probation for:
                     (A)  a felony;
                     (B)  a violation of this chapter or of Chapters
  481-485, Health and Safety Code; or
                     (C)  an offense reasonably related to the
  registration sought;
               (3)  has voluntarily surrendered or has had suspended,
  denied, or revoked a registration or application for registration
  to manufacture, distribute, analyze, or dispense controlled
  substances under the federal Controlled Substances Act;
               (4)  has had suspended, probated, or revoked a
  registration or a practitioner's license under the laws of this
  state or another state;
               (5)  has intentionally or knowingly failed to establish
  and maintain effective security controls against diversion of
  controlled substances into other than legitimate medical,
  scientific, or industrial channels as provided by federal
  regulations or laws, this chapter, or a rule adopted under this
  chapter;
               (6)  has intentionally or knowingly failed to maintain
  records required to be kept by this chapter or a rule adopted under
  this chapter;
               (7)  has refused to allow an inspection authorized by
  this chapter or a rule adopted under this chapter;
               (8)  has intentionally or knowingly violated this
  chapter or a rule adopted under this chapter; or
               (9)  has voluntarily surrendered a registration that
  has not been reinstated.
         (b)  Chapter 2001, Government Code, does not apply to a
  denial of a registration under Subsection (a)(2)(A) or (B), (a)(3),
  (a)(4), or (a)(9).
         (c)  For good cause shown, the board may probate the denial
  of an application for registration. If a denial of an application
  is probated, the board may require the person to report regularly to
  the board on matters that are the basis of the probation or may
  limit activities of the person to those prescribed by the board, or
  both.
         Sec. 570.057.  INSPECTION. The board may inspect the
  premises or establishment of an applicant for registration in
  accordance with this chapter.
         Sec. 570.058.  TERM OF REGISTRATION. A registration is valid
  until the first anniversary of the date of issuance and may be
  renewed annually under rules adopted by the board, unless a rule
  provides for a longer period of validity or renewal.
         Sec. 570.059.  REGISTRATION FEES. (a) The board may charge
  a nonrefundable fee of not more than $25 before processing an
  application for annual registration and may charge a late fee of not
  more than $50 for each application for renewal the board receives
  after the date the registration expires.
         (b)  Not later than 60 days before the date the registration
  expires, the board shall send a renewal notice to the registrant at
  the last known address of the registrant according to board
  records.
         (c)  The board shall deposit the fees collected under this
  section to the credit of the general revenue fund.
         Sec. 570.060.  AUTHORIZATION FOR CERTAIN ACTIVITIES. (a)
  The board may authorize the possession, distribution, planting, and
  cultivation of controlled substances by a person engaged in
  research, training animals to detect controlled substances, or
  designing or calibrating devices to detect controlled substances.
  A person who obtains an authorization under this subsection does
  not commit an offense involving the possession or distribution of
  controlled substances to the extent that the possession or
  distribution is authorized.
         (b)  A person may conduct research with or analyze substances
  listed in Schedule I under Subchapter B, Chapter 481, Health and
  Safety Code, in this state only if the person is a practitioner
  registered under federal law to conduct research with or analyze
  those substances and the person provides the board with evidence of
  federal registration.
         Sec. 570.061.  VOLUNTARY SURRENDER, CANCELLATION,
  SUSPENSION, PROBATION, OR REVOCATION OF REGISTRATION. (a) The
  board may accept a voluntary surrender of a registration.
         (b)  The board may cancel, suspend, or revoke a registration,
  place on probation a person whose license has been suspended, or
  reprimand a registrant for a cause described by Section 570.056(a).
         (c)  The board may cancel a registration that was issued in
  error.
         (d)  The board may limit the cancellation, suspension,
  probation, or revocation to the particular schedule or controlled
  substance within a schedule under Subchapter B, Chapter 481, Health
  and Safety Code, for which grounds for cancellation, suspension,
  probation, or revocation exist.
         (e)  After accepting the voluntary surrender of a
  registration or ordering the cancellation, suspension, probation,
  or revocation of a registration, the board may seize or place under
  seal all controlled substances owned or possessed by the registrant
  under the authority of that registration. If the board orders the
  cancellation, suspension, probation, or revocation of a
  registration, a disposition may not be made of the seized or sealed
  substances until the time for administrative appeal of the order
  has elapsed or until all appeals have been concluded, except that
  the board may order the sale of perishable substances and deposit of
  the proceeds of the sale in a special interest-bearing account in
  the general revenue fund. When a surrender or cancellation,
  suspension, probation, or revocation order becomes final, all
  controlled substances may be forfeited to this state as provided
  under Subchapter E, Chapter 481, Health and Safety Code.
         (f)  The operation of a registrant in violation of this
  section is a public nuisance, and the board may apply to any court
  of competent jurisdiction for an injunction suspending the
  registration of the registrant.
         (g)  Chapter 2001, Government Code, applies to a proceeding
  under this section to the extent that that chapter does not conflict
  with this subchapter. Chapter 2001, Government Code, does not
  apply to a cancellation, suspension, probation, or revocation of a
  registration for a cause described by Section 570.056(a)(2)(A) or
  (B), (a)(3), (a)(4), or (a)(9).
         (h)  The board shall promptly notify appropriate state
  agencies of an order accepting a voluntary surrender or canceling,
  suspending, probating, or revoking a registration and the
  forfeiture of controlled substances.
         (i)  The board shall give written notice to the applicant or
  registrant of the acceptance of a voluntary surrender of a
  registration, or of the cancellation, suspension, probation,
  revocation, or denial of a registration. The notice shall be sent
  by certified mail, return receipt requested, to the most current
  address of the applicant or registrant contained in board files.
         (j)  After a voluntary surrender, cancellation, suspension,
  probation, revocation, or denial of a registration, on petition of
  the applicant or former registrant, the board may issue or
  reinstate the registration for good cause shown by the petitioner.
         Sec. 570.062.  RECORDS. (a) A person who is registered to
  manufacture, distribute, analyze, or dispense a controlled
  substance shall keep records and maintain inventories in compliance
  with recordkeeping and inventory requirements of federal law and
  with additional rules adopted by the board.
         (b)  The pharmacist-in-charge of a pharmacy shall maintain
  the records and inventories required by this section.
         (c)  A record required by this section must be made at the
  time of the transaction that is the basis of the record. A record or
  inventory required by this section must be kept or maintained for at
  least two years after the date the record or inventory is made.
         Sec. 570.063.  CONFIDENTIALITY. (a) The board may
  authorize a person engaged in research on the use and effects of a
  controlled substance to withhold the names and other identifying
  characteristics of individuals who are the subjects of the
  research. A person who obtains the authorization may not be
  compelled in a civil, criminal, administrative, legislative, or
  other proceeding to identify the individuals who are the subjects
  of the research for which the authorization is obtained.
         (b)  Except as provided by Section 570.069, a practitioner
  engaged in authorized medical practice or research may not be
  required to furnish the name or identity of a patient or research
  subject to the board, the Department of State Health Services,
  Division of Mental Health and Substance Abuse Services, or any
  other agency, public official, or law enforcement officer. A
  practitioner may not be compelled in a state or local civil,
  criminal, administrative, legislative, or other proceeding to
  furnish the name or identity of an individual that the practitioner
  is obligated to keep confidential.
         (c)  The board may not provide to a federal, state, or local
  law enforcement agency the name or identity of a patient or research
  subject whose identity could not be obtained under Subsection (b).
         Sec. 570.064.  ORDER FORMS. A registrant may not distribute
  or order a controlled substance listed in Schedule I or II under
  Subchapter B, Chapter 481, Health and Safety Code, to or from
  another registrant except under an order form. A registrant
  complying with the federal law concerning order forms is in
  compliance with this section.
         Sec. 570.065.  ADMINISTERING OR DISPENSING SCHEDULE I
  CONTROLLED SUBSTANCE. Except as permitted by this chapter, a
  person may not administer or dispense a controlled substance listed
  in Schedule I under Subchapter B, Chapter 481, Health and Safety
  Code.
         Sec. 570.066.  MEDICAL PURPOSE REQUIRED BEFORE PRESCRIBING,
  DISPENSING, DELIVERING, OR ADMINISTERING CONTROLLED SUBSTANCE.
  (a) A practitioner defined by Section 481.002(39)(A), Health and
  Safety Code, may not prescribe, dispense, deliver, or administer a
  controlled substance or cause a controlled substance to be
  administered under the practitioner's direction and supervision
  except for a valid medical purpose and in the course of medical
  practice.
         (b)  An anabolic steroid or human growth hormone listed in
  Schedule III of Subchapter B, Chapter 481, Health and Safety Code,
  may only be:
               (1)  dispensed, prescribed, delivered, or administered
  by a practitioner, as defined by Section 481.002(39)(A), Health and
  Safety Code, for a valid medical purpose and in the course of
  professional practice; or
               (2)  dispensed or delivered by a pharmacist according
  to a prescription issued by a practitioner, as defined by Section
  481.002(39)(A) or (C), Health and Safety Code, for a valid medical
  purpose and in the course of professional practice.
         (c)  For the purposes of Subsection (b), bodybuilding,
  muscle enhancement, or increasing muscle bulk or strength through
  the use of an anabolic steroid or human growth hormone listed in
  Schedule III of Subchapter B, Chapter 481, Health and Safety Code,
  by a person who is in good health is not a valid medical purpose.
         Sec. 570.067.  MEDICAL PURPOSE REQUIRED BEFORE DISTRIBUTING
  OR DISPENSING SCHEDULE V CONTROLLED SUBSTANCE. A person may not
  distribute or dispense a controlled substance listed in Schedule V
  under Subchapter B, Chapter 481, Health and Safety Code, except for
  a valid medical purpose.
         Sec. 570.068.  COMMUNICATION OF PRESCRIPTIONS BY AGENT. (a)
  Only a practitioner defined by Section 481.002(39)(A), Health and
  Safety Code, and an agent designated in writing by the practitioner
  in accordance with rules adopted by the board may communicate a
  prescription by telephone. A pharmacy that receives a
  telephonically communicated prescription shall promptly write the
  prescription and file and retain the prescription in the manner
  required by this subchapter. A practitioner who designates an
  agent to communicate prescriptions shall maintain the written
  designation of the agent in the practitioner's usual place of
  business and shall make the designation available for inspection by
  investigators for the Texas Medical Board, the State Board of
  Dental Examiners, the State Board of Veterinary Medical Examiners,
  and the board. A practitioner who designates a different agent
  shall designate that agent in writing and maintain the designation
  in the same manner in which the practitioner initially designated
  an agent under this section.
         (b)  On the request of a pharmacist, a practitioner shall
  furnish a copy of the written designation authorized under
  Subsection (a).
         (c)  This section does not relieve a practitioner or the
  practitioner's designated agent from the requirements of
  Subchapter A, Chapter 562. A practitioner is personally responsible
  for the actions of the designated agent in communicating a
  prescription to a pharmacist.
         Sec. 570.069.  PRESCRIPTIONS. (a) A pharmacist may not:
               (1)  dispense or deliver a controlled substance or
  cause a controlled substance to be dispensed or delivered under the
  pharmacist's direction or supervision except under a valid
  prescription and in the course of professional practice;
               (2)  dispense a controlled substance if the pharmacist
  knows or should have known that the prescription was issued without
  a valid patient-practitioner relationship;
               (3)  fill a prescription that is not prepared or issued
  as prescribed by this chapter;
               (4)  permit or allow a person who is not a licensed
  pharmacist or pharmacist intern to dispense, distribute, or in any
  other manner deliver a controlled substance even if under the
  supervision of a pharmacist, except that after the pharmacist or
  pharmacist intern has fulfilled his professional and legal
  responsibilities, a nonpharmacist may complete the actual cash or
  credit transaction and delivery; or
               (5)  permit the delivery of a controlled substance to
  any person not known to the pharmacist, the pharmacist intern, or
  the person authorized by the pharmacist to deliver the controlled
  substance without first requiring identification of the person
  taking possession of the controlled substance, except as provided
  by Subsection (o).
         (b)  Except in an emergency as defined by rule of the board or
  as provided by Subsection (p), a person may not dispense or
  administer a controlled substance listed in Schedule II under
  Subchapter B, Chapter 481, Health and Safety Code, without the
  written prescription of a practitioner. In an emergency, a person
  may dispense or administer a controlled substance listed in
  Schedule II on the oral or telephonically communicated prescription
  of a practitioner. The person who administers or dispenses the
  substance shall:
               (1)  if the person is a prescribing practitioner or a
  pharmacist, promptly comply with Subsection (c); or
               (2)  if the person is not a prescribing practitioner or
  a pharmacist, promptly write the oral or telephonically
  communicated prescription and include in the written record of the
  prescription the name, address, and federal Drug Enforcement
  Administration number of the prescribing practitioner.
         (c)  Not later than the seventh day after the date a
  prescribing practitioner authorizes an emergency oral or
  telephonically communicated prescription, the prescribing
  practitioner shall cause a written prescription to be delivered in
  person or mailed to the dispensing pharmacist at the pharmacy where
  the prescription was dispensed. The envelope of a prescription
  delivered by mail must be postmarked not later than the seventh day
  after the date the prescription was authorized.
         (d)  Except as specified in Subsections (f) and (g), the
  board, by rule and in consultation with the Texas Medical Board,
  shall establish the period after the date on which the prescription
  is issued that a person may fill a prescription for a controlled
  substance listed in Schedule II under Subchapter B, Chapter 481,
  Health and Safety Code. A person may not refill a prescription for
  a substance listed in Schedule II.
         (e)  Notwithstanding Subsection (d), a prescribing
  practitioner may issue multiple prescriptions authorizing the
  patient to receive a total of up to a 90-day supply of a controlled
  substance listed in Schedule II under Subchapter B, Chapter 481,
  Health and Safety Code, if:
               (1)  each separate prescription is issued for a
  legitimate medical purpose by a prescribing practitioner acting in
  the usual course of professional practice;
               (2)  the prescribing practitioner provides written
  instructions on each prescription to be filled at a later date
  indicating the earliest date on which a pharmacy may fill each
  prescription;
               (3)  the prescribing practitioner concludes that
  providing the patient with multiple prescriptions in this manner
  does not create an undue risk of diversion or abuse; and
               (4)  the issuance of multiple prescriptions complies
  with other applicable state and federal laws.
         (f)  The partial filling of a prescription for a controlled
  substance listed in Schedule II under Subchapter B, Chapter 481,
  Health and Safety Code, is permissible, if the pharmacist is unable
  to supply the full quantity called for in a written or emergency
  oral prescription and the pharmacist makes a notation of the
  quantity supplied on the face of the written prescription or
  written record of the emergency oral prescription. The remaining
  portion of the prescription may be filled within 72 hours of the
  first partial filling, except that if the remaining portion is not
  or cannot be filled within the 72-hour period, the pharmacist shall
  notify the prescribing practitioner. No further quantity may be
  supplied beyond 72 hours without a new prescription.
         (g)  A prescription for a Schedule II controlled substance
  under Subchapter B, Chapter 481, Health and Safety Code, that is
  written for a patient in a long-term care facility (LTCF) or for a
  patient with a medical diagnosis documenting a terminal illness may
  be filled in partial quantities to include individual dosage units.
  If there is any question about whether a patient may be classified
  as having a terminal illness, the pharmacist must contact the
  practitioner before partially filling the prescription. Both the
  pharmacist and the practitioner have a corresponding
  responsibility to assure that the controlled substance is for a
  terminally ill patient. The pharmacist must record on the
  prescription whether the patient is "terminally ill" or an "LTCF
  patient." A prescription that is partially filled and does not
  contain the notation "terminally ill" or "LTCF patient" is
  considered to have been filled in violation of this chapter. For
  each partial filling, the dispensing pharmacist shall record on the
  back of the prescription the date of the partial filling, the
  quantity dispensed, the remaining quantity authorized to be
  dispensed, and the identification of the dispensing pharmacist.
  Before any subsequent partial filling, the pharmacist must
  determine that the additional partial filling is necessary. The
  total quantity of Schedule II controlled substances dispensed in
  all partial fillings may not exceed the total quantity prescribed.
  Schedule II prescriptions for patients in a long-term care facility
  or patients with a medical diagnosis documenting a terminal illness
  are valid for a period not to exceed 60 days following the issue
  date unless sooner terminated by discontinuance of the medication.
         (h)  A person may not dispense a controlled substance in
  Schedule III or IV under Subchapter B, Chapter 481, Health and
  Safety Code, that is a prescription drug under the federal Food,
  Drug, and Cosmetic Act (21 U.S.C. Section 301 et seq.) without a
  written, oral, or telephonically or electronically communicated
  prescription of a practitioner defined by Section 551.003(34)(A),
  (C), or (D), and only if the pharmacist determines that the
  prescription was issued for a valid medical purpose and in the
  course of professional practice. A prescription for a controlled
  substance listed in Schedule III or IV may not be filled or refilled
  later than six months after the date on which the prescription is
  issued and may not be refilled more than five times, unless the
  prescription is renewed by the practitioner. A prescription under
  this subsection must comply with other applicable state and federal
  laws.
         (i)  A person may not dispense a controlled substance listed
  in Schedule V under Subchapter B, Chapter 481, Health and Safety
  Code, and containing 200 milligrams or less of codeine, or any of
  its salts, per 100 milliliters or per 100 grams, or containing 100
  milligrams or less of dihydrocodeine, or any of its salts, per 100
  milliliters or per 100 grams, without the prescription of a
  practitioner defined by Section 481.002(39)(A), Health and Safety
  Code, except that a practitioner may dispense the substance
  directly to an ultimate user. A prescription issued under this
  subsection may not be filled or refilled later than six months after
  the date the prescription is issued and may not be refilled more
  than five times, unless the prescription is renewed by the
  practitioner.
         (j)  A practitioner or institutional practitioner may not
  allow a patient, on the patient's release from the hospital, to
  possess a controlled substance prescribed by the practitioner
  unless:
               (1)  the substance was dispensed under a medication
  order while the patient was admitted to the hospital;
               (2)  the substance is in a properly labeled container;
  and
               (3)  the patient possesses not more than a seven-day
  supply of the substance.
         (k)  A prescription for a controlled substance must show:
               (1)  the quantity of the substance prescribed:
                     (A)  numerically, followed by the number written
  as a word, if the prescription is written; or
                     (B)  if the prescription is communicated orally or
  telephonically, as transcribed by the receiving pharmacist;
               (2)  the date of issue;
               (3)  the name, address, and date of birth or age of the
  patient or, if the controlled substance is prescribed for an
  animal, the species of the animal and the name and address of its
  owner;
               (4)  the name and strength of the controlled substance
  prescribed;
               (5)  the directions for use of the controlled
  substance;
               (6)  the intended use of the substance prescribed
  unless the practitioner determines the furnishing of this
  information is not in the best interest of the patient;
               (7)  the legibly printed or stamped name, address,
  federal Drug Enforcement Administration registration number, and
  telephone number of the practitioner at the practitioner's usual
  place of business; and
               (8)  if the prescription is handwritten, the signature
  of the prescribing practitioner.
         (l)  A pharmacist may exercise the pharmacist's professional
  judgment in refilling a prescription for a controlled substance in
  Schedule III, IV, or V under Subchapter B, Chapter 481, Health and
  Safety Code, without the authorization of the prescribing
  practitioner provided:
               (1)  failure to refill the prescription might result in
  an interruption of a therapeutic regimen or create patient
  suffering;
               (2)  either:
                     (A)  a natural or manmade disaster has occurred
  which prohibits the pharmacist from being able to contact the
  practitioner; or
                     (B)  the pharmacist is unable to contact the
  practitioner after reasonable effort;
               (3)  the quantity of prescription drug dispensed does
  not exceed a 72-hour supply;
               (4)  the pharmacist informs the patient or the
  patient's agent at the time of dispensing that the refill is being
  provided without that authorization and that authorization of the
  practitioner is required for future refills; and
               (5)  the pharmacist informs the practitioner of the
  emergency refill at the earliest reasonable time.
         (m)  Notwithstanding Subsection (l), in the event of a
  natural or manmade disaster, a pharmacist may dispense not more
  than a 30-day supply of a prescription drug, other than a controlled
  substance listed in Schedule II under Subchapter B, Chapter 481,
  Health and Safety Code, without the authorization of the
  prescribing practitioner if:
               (1)  failure to refill the prescription might result in
  an interruption of a therapeutic regimen or create patient
  suffering;
               (2)  the natural or manmade disaster prohibits the
  pharmacist from being able to contact the practitioner;
               (3)  the governor has declared a state of disaster
  under Chapter 418, Government Code; and
               (4)  the board, through its executive director, has
  notified pharmacies in this state that pharmacists may dispense up
  to a 30-day supply of a prescription drug.
         (n)  The prescribing practitioner is not liable for an act or
  omission by a pharmacist in dispensing a prescription drug under
  Subsection (m).
         (o)  A pharmacist may permit the delivery of a controlled
  substance by an authorized delivery person, by a person known to the
  pharmacist, a pharmacist intern, or the authorized delivery person,
  or by mail to the person or address of the person authorized by the
  prescription to receive the controlled substance. If a pharmacist
  permits delivery of a controlled substance under this subsection,
  the pharmacist shall retain in the records of the pharmacy for a
  period of not less than two years:
               (1)  the name of the authorized delivery person, if
  delivery is made by that person;
               (2)  the name of the person known to the pharmacist, a
  pharmacist intern, or the authorized delivery person if delivery is
  made by that person; or
               (3)  the mailing address to which delivery is made, if
  delivery is made by mail.
         (p)  A pharmacist may permit the delivery of a controlled
  substance to a person not known to the pharmacist, a pharmacist
  intern, or the authorized delivery person without first requiring
  the identification of the person to whom the controlled substance
  is delivered if the pharmacist determines that an emergency exists
  and that the controlled substance is needed for the immediate
  well-being of the patient for whom the controlled substance is
  prescribed. If a pharmacist permits delivery of a controlled
  substance under this subsection, the pharmacist shall retain in the
  records of the pharmacy for a period of not less than two years all
  information relevant to the delivery known to the pharmacist,
  including the name, address, and date of birth or age of the person
  to whom the controlled substance is delivered.
         (q)  A pharmacist may dispense a Schedule II controlled
  substance listed in Subchapter B, Chapter 481, Health and Safety
  Code, under a facsimile copy of a prescription completed in the
  manner required by board rule and transmitted by the practitioner
  or the practitioner's agent to the pharmacy if:
               (1)  the prescription is written for:
                     (A)  a Schedule II narcotic or nonnarcotic
  substance for a patient in a long-term care facility (LTCF), and the
  practitioner notes on the prescription "LTCF patient";
                     (B)  a Schedule II narcotic product to be
  compounded for the direct administration to a patient by
  parenteral, intravenous, intramuscular, subcutaneous, or
  intraspinal infusion; or
                     (C)  a Schedule II narcotic substance for a
  patient with a medical diagnosis documenting a terminal illness or
  a patient enrolled in a hospice care program certified or paid for
  by Medicare under Title XVIII, Social Security Act (42 U.S.C.
  Section 1395 et seq.), by Medicaid, or by a hospice program that is
  licensed under Chapter 142, Health and Safety Code, and the
  practitioner or the practitioner's agent notes on the prescription
  "terminally ill" or "hospice patient"; and
               (2)  after transmitting the prescription, the
  prescribing practitioner or the practitioner's agent:
                     (A)  writes across the face of the prescription
  "VOID--sent by fax to (name and telephone number of receiving
  pharmacy)"; and
                     (B)  files the prescription in the patient's
  medical records instead of delivering it to the patient.
         (r)  On receipt of the prescription, the dispensing pharmacy
  shall file the facsimile copy of the prescription and shall send
  information relating to the prescription to the board as required
  by board rule.
         (s)  A pharmacy in this state may fill a prescription for a
  controlled substance listed in Schedule II under Subchapter B,
  Chapter 481, Health and Safety Code, issued by a practitioner in
  another state if:
               (1)  a share of the pharmacy's business involves the
  dispensing and delivery or mailing of controlled substances;
               (2)  the prescription is issued by a prescribing
  practitioner in the other state in the ordinary course of practice;
  and
               (3)  the prescription is filled in compliance with a
  written plan providing the manner in which the pharmacy may fill a
  Schedule II prescription issued by a practitioner in another state
  that:
                     (A)  is submitted by the pharmacy to the board;
  and
                     (B)  is approved by the board.
         (t)  A prescription for a controlled substance must be on a
  tamper-evident prescription form or an electronic prescription
  that meets the requirements specified by the board by rule.
  [Sections 570.070-570.100 reserved for expansion]
  SUBCHAPTER C. CONTROLLED SUBSTANCE PRESCRIPTION DRUG ORDER
  MONITORING SYSTEM
         Sec. 570.101.  ESTABLISHMENT OF SYSTEM. (a) The board shall
  establish an electronic system for:
               (1)  tracking prescription drug orders for Schedule
  II-V controlled substances as listed in Subchapter B, Chapter 481,
  Health and Safety Code;
               (2)  monitoring Schedule II-V controlled substances
  that are dispensed in this state by a pharmacy or dispensed to an
  address in this state by a pharmacy licensed in this state;
               (3)  allowing a practitioner to have real-time Internet
  access to data in the system for prescribing purposes and for
  patient safety;
               (4)  allowing licensing agencies of practitioners
  authorized to prescribe Schedule II-V controlled substances to
  access the data; and
               (5)  alerting the board, licensing agencies of
  practitioners authorized to prescribe Schedule II-V controlled
  substances, or law enforcement agencies when episodes of
  inappropriate activity are identified by the system.
         (b)  The board by rule shall design and implement a system
  for submission of information to the board by electronic or other
  means and for retrieval of information submitted to the board under
  this subchapter. The board shall use automated information
  security techniques and devices to preclude improper access to the
  information.
         Sec. 570.102.  DATA SUBMITTED TO BOARD. (a) Each pharmacy
  licensed in this state that is authorized to dispense a controlled
  substance shall report to the board the data required by this
  section in a timely manner as prescribed by board rule, except that
  reporting may not be required for:
               (1)  a drug administered directly to a patient; or
               (2)  a drug dispensed by a practitioner at a health care
  facility licensed in this state, provided that the quantity
  dispensed is limited to an amount adequate to treat the patient for
  a maximum of 48 hours.
         (b)  Data to be reported by a pharmacy for each controlled
  substance prescription drug order that is dispensed shall include
  the following:
               (1)  a name and date of birth or age of the patient, or
  if the controlled substance is prescribed for an animal, the
  species of the animal and the name and address of its owner;
               (2)  the name and strength of the drug dispensed;
               (3)  the date of dispensing;
               (4)  the quantity dispensed;
               (5)  the practitioner's name, address, and federal Drug
  Enforcement Administration number;
               (6)  the name and address of the dispensing pharmacy;
  and
               (7)  any other information required by board rule.
         (c)  A pharmacy or pharmacist shall provide the data required
  under Subsection (b) to the board in the electronic format
  specified by board rule unless a waiver has been granted by the
  board to an individual pharmacy.
         (d)  The board shall establish acceptable error tolerance
  rates for data submitted under this section. A pharmacy or
  pharmacist who submits the data shall ensure that reports fall
  within the acceptable tolerances.
         (e)  A pharmacy or pharmacist who submits incomplete or
  inaccurate data shall correct the data on notification by the board
  if the pharmacy or pharmacist exceeds the acceptable error
  tolerance rates established by the board.
         Sec. 570.103.  DISCLOSURE OF DATA. (a) The board may not
  permit any person to have access to information submitted to the
  board under this subchapter except:
               (1)  an investigator for the Texas Medical Board, the
  Texas State Board of Podiatric Medical Examiners, the State Board
  of Dental Examiners, the State Board of Veterinary Medical
  Examiners, the Texas Board of Nursing, the board, or an agency in
  this state that licenses a practitioner who is authorized by state
  law to prescribe or dispense controlled substances; or
               (2)  if the board finds that proper need has been shown
  to the board:
                     (A)  an officer of the Department of Public
  Safety, a law enforcement or prosecutorial official engaged in the
  administration, investigation, or enforcement of this chapter,
  Chapter 481, Health and Safety Code, or another law governing
  illicit drugs in this state or another state;
                     (B)  a pharmacist or practitioner who is a
  physician, dentist, veterinarian, podiatrist, or advanced practice
  nurse or physician assistant or other health care professional
  authorized to dispense or prescribe controlled substances in this
  state and is inquiring about a recent Schedule II-V prescription
  drug order history of a particular patient of the practitioner; or
                     (C)  a pharmacist or practitioner who is inquiring
  about the person's own dispensing or prescribing activity.
         (b)  This section does not prohibit the board from creating,
  using, or disclosing statistical data about information received by
  the board under this section if the board removes any information
  reasonably likely to reveal the identity of each patient,
  practitioner, or other person who is a subject of the information.
         (c)  Information submitted to the board under this section
  may be used only for:
               (1)  the administration, investigation, or enforcement
  of this chapter or another law governing illicit drugs in this state
  or another state;
               (2)  investigatory or evidentiary purposes in
  connection with the functions of an agency listed in Subsection
  (a)(1); or
               (3)  dissemination by the board to the public in the
  form of a statistical tabulation or report if all information
  reasonably likely to reveal the identity of each patient,
  practitioner, or other person who is a subject of the information
  has been removed.
         (d)  Except as otherwise provided by this subsection, the
  board shall remove from the information retrieval system, destroy,
  and make irretrievable the record of the identity of a patient
  submitted under this section to the board not later than the end of
  the 12th calendar month after the month in which the identity is
  entered into the system. The board may retain a patient identity
  that is necessary for use in a specific ongoing investigation
  conducted in accordance with this section until the 30th day after
  the end of the month in which the necessity for retention of the
  identity ends.
         (e)  If the board permits access to information under
  Subsection (a)(2) relating to a person licensed or regulated by an
  agency listed in Subsection (a)(1), the board shall notify and
  cooperate with that agency regarding the disposition of the matter
  before taking action against the person, unless the board
  determines that notification is reasonably likely to interfere with
  an administrative or criminal investigation or prosecution.
         (f)  If the board permits access to information under
  Subsection (a)(2)(A) relating to a person licensed or regulated by
  an agency listed in Subsection (a)(1), the board shall notify that
  agency of the disclosure of the information not later than the 10th
  working day after the date the information is disclosed.
         (g)  Information submitted to the board under this
  subchapter is confidential and remains confidential regardless of
  whether the board permits access to the information under this
  section.
  [Sections 570.104-570.150 reserved for expansion]
  SUBCHAPTER D. CRIMINAL PENALTIES
         Sec. 570.151.  OFFENSE: FAILURE TO TRANSMIT DATA. (a) A
  person commits an offense if the person:
               (1)  is a pharmacist or owner of a pharmacy required to
  submit data under Section 570.102; and
               (2)  intentionally fails to transmit to the board the
  data required by Section 570.102.
         (b)  Except as provided by Subsection (c), an offense under
  Subsection (a) is a Class A misdemeanor.
         (c)  An offense under Subsection (a) is a state jail felony
  if it is shown on the trial of the offense that the person has been
  previously convicted of an offense under this section.
         Sec. 570.152.  OFFENSE: DISCLOSURE OF DATA. (a) A person
  commits an offense if the person discloses information in violation
  of Section 570.103.
         (b)  Except as provided by Subsection (c), an offense under
  Subsection (a) is a state jail felony.
         (c)  An offense under Subsection (a) is a felony of the third
  degree if it is shown on the trial of the offense that the person has
  been previously convicted of an offense under this section.
         SECTION 2.  Section 481.002(45), Health and Safety Code, is
  amended to read as follows:
               (45)  "Registrant" means a person who is registered
  under Subchapter B, Chapter 570, Occupations Code [Section
  481.063].
         SECTION 3.  Section 481.003(a), Health and Safety Code, is
  amended to read as follows:
         (a)  The director may adopt rules to administer and enforce
  this chapter, except that the Texas State Board of Pharmacy may
  adopt rules relating to the registration to manufacture,
  distribute, prescribe, possess, analyze, or dispense a controlled
  substance in this state and issuance of prescriptions and
  information submitted in connection with those prescriptions. The
  department and the board by rule shall adopt a memorandum of
  understanding outlining the responsibilities of each agency in
  regulating controlled substances under this chapter.
         SECTION 4.  Section 481.061, Health and Safety Code, is
  amended to read as follows:
         Sec. 481.061.  REGISTRATION REQUIRED. A [(a)     Except as
  otherwise provided by this chapter, a] person who is not registered
  with the Texas State Board of Pharmacy under Chapter 570,
  Occupations Code, [a registrant] may not manufacture, distribute,
  prescribe, possess, analyze, or dispense a controlled substance in
  this state.
         [(b)     A person who is registered by the director to
  manufacture, distribute, analyze, dispense, or conduct research
  with a controlled substance may possess, manufacture, distribute,
  analyze, dispense, or conduct research with that substance to the
  extent authorized by the person's registration and in conformity
  with this chapter.
         [(c)     A separate registration is required at each principal
  place of business or professional practice where the applicant
  manufactures, distributes, analyzes, dispenses, or possesses a
  controlled substance. However, the director may not require
  separate registration for a practitioner engaged in research with a
  nonnarcotic controlled substance listed in Schedules II through V
  if the registrant is already registered under this subchapter in
  another capacity.]
         SECTION 5.  Section 481.077(c), Health and Safety Code, is
  amended to read as follows:
         (c)  This section and Section 481.078 do not apply to a
  person to whom a registration has been issued under Subchapter B,
  Chapter 570, Occupations Code [Section 481.063].
         SECTION 6.  Section 481.080(d), Health and Safety Code, is
  amended to read as follows:
         (d)  This section and Section 481.081 do not apply to a
  person to whom a registration has been issued under Subchapter B,
  Chapter 570, Occupations Code [Section 481.063].
         SECTION 7.  Section 481.124(b), Health and Safety Code, is
  amended to read as follows:
         (b)  For purposes of this section, an intent to unlawfully
  manufacture the controlled substance methamphetamine is presumed
  if the actor possesses or transports:
               (1)  anhydrous ammonia in a container or receptacle
  that is not designed and manufactured to lawfully hold or transport
  anhydrous ammonia;
               (2)  lithium metal removed from a battery and immersed
  in kerosene, mineral spirits, or similar liquid that prevents or
  retards hydration; or
               (3)  in one container, vehicle, or building,
  phenylacetic acid, or more than nine grams, three containers
  packaged for retail sale, or 300 tablets or capsules of a product
  containing ephedrine or pseudoephedrine, and:
                     (A)  anhydrous ammonia;
                     (B)  at least three of the following categories of
  substances commonly used in the manufacture of methamphetamine:
                           (i)  lithium or sodium metal or red
  phosphorus, iodine, or iodine crystals;
                           (ii)  lye, sulfuric acid, hydrochloric acid,
  or muriatic acid;
                           (iii)  an organic solvent, including ethyl
  ether, alcohol, or acetone;
                           (iv)  a petroleum distillate, including
  naphtha, paint thinner, or charcoal lighter fluid; or
                           (v)  aquarium, rock, or table salt; or
                     (C)  at least three of the following items:
                           (i)  an item of equipment subject to
  regulation under Section 481.080, if the person is not registered
  under Subchapter B, Chapter 570, Occupations Code [Section
  481.063]; or
                           (ii)  glassware, a plastic or metal
  container, tubing, a hose, or other item specially designed,
  assembled, or adapted for use in the manufacture, processing,
  analyzing, storing, or concealing of methamphetamine.
         SECTION 8.  Section 481.127(a), Health and Safety Code, is
  amended to read as follows:
         (a)  A person commits an offense if the person knowingly
  gives, permits, or obtains unauthorized access to information
  submitted to the director under Section 570.069, Occupations Code
  [481.075].
         SECTION 9.  Section 481.128(a), Health and Safety Code, is
  amended to read as follows:
         (a)  A registrant or dispenser commits an offense if the
  registrant or dispenser knowingly:
               (1)  distributes, delivers, administers, or dispenses
  a controlled substance in violation of Sections 570.065-570.069,
  Occupations Code [481.070-481.075];
               (2)  manufactures a controlled substance not
  authorized by the person's registration or distributes or dispenses
  a controlled substance not authorized by the person's registration
  to another registrant or other person;
               (3)  refuses or fails to make, keep, or furnish a
  record, report, notification, order form, statement, invoice, or
  information required by this chapter;
               (4)  prints, manufactures, possesses, or produces an
  official prescription form without the approval of the director;
               (5)  delivers or possesses a counterfeit official
  prescription form;
               (6)  refuses an entry into a premise for an inspection
  authorized by this chapter;
               (7)  [refuses or fails to return an official
  prescription form as required by Section 481.075(k);
               [(8)]  refuses or fails to make, keep, or furnish a
  record, report, notification, order form, statement, invoice, or
  information required by a rule adopted by the director; or
               (8) [(9)]  refuses or fails to maintain security
  required by this chapter or a rule adopted under this chapter.
         SECTION 10.  Section 481.129(a), Health and Safety Code, is
  amended to read as follows:
         (a)  A person commits an offense if the person knowingly:
               (1)  distributes as a registrant or dispenser a
  controlled substance listed in Schedule I or II, unless the person
  distributes the controlled substance under an order form as
  required by Section 570.064, Occupations Code [481.069];
               (2)  uses in the course of manufacturing, prescribing,
  or distributing a controlled substance a registration number that
  is fictitious, revoked, suspended, or issued to another person;
               (3)  issues a prescription bearing a forged or
  fictitious signature;
               (4)  uses a prescription issued to another person to
  prescribe a Schedule II controlled substance;
               (5)  possesses, obtains, or attempts to possess or
  obtain a controlled substance or an increased quantity of a
  controlled substance:
                     (A)  by misrepresentation, fraud, forgery,
  deception, or subterfuge;
                     (B)  through use of a fraudulent prescription
  form; or
                     (C)  through use of a fraudulent oral or
  telephonically communicated prescription; or
               (6)  furnishes false or fraudulent material
  information in or omits material information from an application,
  report, record, or other document required to be kept or filed under
  this chapter.
         SECTION 11.  Section 481.159(a), Health and Safety Code, is
  amended to read as follows:
         (a)  If a district court orders the forfeiture of a
  controlled substance property or plant under Chapter 59, Code of
  Criminal Procedure, or under this code, the court shall also order a
  law enforcement agency to:
               (1)  retain the property or plant for its official
  purposes, including use in the investigation of offenses under this
  code;
               (2)  deliver the property or plant to a government
  agency for official purposes;
               (3)  deliver the property or plant to a person
  authorized by the court to receive it;
               (4)  deliver the property or plant to a person
  authorized by the director to receive it for a purpose described by
  Section 570.060(a), Occupations Code [481.065(a)]; or
               (5)  destroy the property or plant that is not
  otherwise disposed of in the manner prescribed by this subchapter.
         SECTION 12.  Section 481.186(a), Health and Safety Code, is
  amended to read as follows:
         (a)  The director shall cooperate with federal and state
  agencies in discharging the director's responsibilities concerning
  traffic in controlled substances and in suppressing the abuse of
  controlled substances. The director may:
               (1)  arrange for the exchange of information among
  government officials concerning the use and abuse of controlled
  substances;
               (2)  cooperate in and coordinate training programs
  concerning controlled substances law enforcement at local and state
  levels;
               (3)  cooperate with the Federal Drug Enforcement
  Administration and state agencies by establishing a centralized
  unit to accept, catalog, file, and collect statistics, including
  records on drug-dependent persons and other controlled substance
  law offenders in this state and, except as provided by Section
  570.063, Occupations Code [481.068], make the information
  available for federal, state, and local law enforcement purposes;
  and
               (4)  conduct programs of eradication aimed at
  destroying wild or illegal growth of plant species from which
  controlled substances may be extracted.
         SECTION 13.  Section 565.003(b), Occupations Code, is
  amended to read as follows:
         (b)  Unless compliance would violate the pharmacy or drug
  statutes or rules in the state in which the pharmacy is located the
  board may discipline an applicant for or the holder of a Class E
  pharmacy license if the board finds that the applicant or license
  holder has failed to comply with:
               (1)  Section 570.069 [481.074 or 481.075, Health and
  Safety Code];
               (2)  Texas substitution requirements regarding:
                     (A)  the practitioner's directions concerning
  generic substitution;
                     (B)  the patient's right to refuse generic
  substitution; or
                     (C)  notification to the patient of the patient's
  right to refuse substitution;
               (3)  any board rule relating to providing drug
  information to the patient or the patient's agent in written form or
  by telephone; or
               (4)  any board rule adopted under Section 554.051(a)
  and determined by the board to be applicable under Section
  554.051(b).
         SECTION 14.  The following provisions are repealed:
               (1)  Sections 481.002(10), (20), (28), (35), (42),
  (46), (47), and (48), Health and Safety Code;
               (2)  Sections 481.062, 481.0621, 481.063, 481.064,
  481.065, 481.066, 481.067, 481.068, 481.069, 481.070, 481.071,
  481.072, 481.073, 481.074, 481.075, 481.076, and 481.0761, Health
  and Safety Code;
               (3)  Subchapter H, Chapter 481, Health and Safety Code;
               (4)  Section 157.059(c), Occupations Code; and
               (5)  Section 552.118, Government Code.
         SECTION 15.  Section 8, Chapter 1391 (S.B. 1879), Acts of the
  80th Legislature, Regular Session, 2007, is repealed.
         SECTION 16.  (a) An advisory committee is created to advise
  the Texas State Board of Pharmacy on the implementation of Chapter
  570, Occupations Code, as added by this Act.
         (b)  The advisory committee is composed of:
               (1)  the executive board of the Texas State Board of
  Pharmacy or the executive board's designee;
               (2)  a physician appointed by the governor;
               (3)  a pharmacist appointed by the governor;
               (4)  a physician appointed by the lieutenant governor;
               (5)  a pharmacist appointed by the lieutenant governor;
               (6)  a physician appointed by the governor from a list
  of names submitted by the speaker of the house of representatives;
               (7)  a pharmacist appointed by the governor from a list
  of names submitted by the speaker of the house of representatives;
  and
               (8)  one member from each of the following boards:
                     (A)  Texas Medical Board;
                     (B)  Texas State Board of Pharmacy;
                     (C)  State Board of Dental Examiners; and
                     (D)  Texas Board of Nursing.
         (c)  The executive board of the Texas State Board of Pharmacy
  or the executive board's designee is the presiding officer of the
  advisory committee. The committee shall meet at the call of the
  presiding officer or at the request of any three members other than
  the presiding officer.
         (d)  The advisory committee shall:
               (1)  develop recommendations regarding the
  implementation of the electronic system for monitoring controlled
  substances established under Chapter 570, Occupations Code;
               (2)  develop recommendations on the data that should be
  provided to the Texas State Board of Pharmacy to support the
  electronic system for monitoring controlled substances, including
  provider identification information;
               (3)  monitor and develop recommendations regarding the
  implementation and enforcement of the electronic system for
  monitoring controlled substances;
               (4)  develop recommended procedures necessary for
  real-time point-of-service access for a practitioner authorized to
  prescribe or dispense controlled substances listed in Schedules II
  through V under Subchapter B, Chapter 481, Health and Safety Code,
  so that the practitioner may obtain:
                     (A)  the prescription drug order history for a
  particular patient; or
                     (B)  the practitioner's own dispensing or
  prescribing activity; and
               (5)  develop recommended procedures that should be
  followed by the Texas State Board of Pharmacy and the applicable
  licensing authority of this state, another state, or the United
  States when:
                     (A)  the board shares information related to
  diversion of controlled substances with a licensing authority for
  the purpose of licensing enforcement; or
                     (B)  a licensing authority shares information
  related to diversion of controlled substances with the board for
  the purpose of criminal enforcement.
         (e)  The executive board of the Texas State Board of Pharmacy
  shall report the recommendations developed under Subsection (d) of
  this section to the governor, lieutenant governor, speaker of the
  house of representatives, and appropriate committees of the senate
  and the house of representatives not later than July 1, 2012.
         (f)  This section expires and the advisory committee is
  abolished September 1, 2013.
         SECTION 17.  The executive board of the Texas State Board of
  Pharmacy or the executive board's designee shall adopt any rules
  necessary to administer and enforce Chapter 570, Occupations Code,
  as added by this Act, not later than June 1, 2012.
         SECTION 18.  (a) The Department of Public Safety, Texas
  Medical Board, Texas State Board of Pharmacy, State Board of Dental
  Examiners, and Texas Board of Nursing shall submit to the presiding
  officers of the Senate Committee on Health and Human Services and
  the House Committee on Public Health a report that details the
  number and type of actions relating to the prosecution of
  violations of Chapter 481, Health and Safety Code, as amended by
  this Act, or Chapter 570, Occupations Code, as added by this Act.
         (b)  Each agency shall submit its initial report under
  Subsection (a) of this section not later than November 1, 2011.
  Each agency shall submit an update of its initial report not later
  than May 1 and November 1 of each year.
         (c)  This section expires November 1, 2015.
         SECTION 19.  (a) The Texas State Board of Pharmacy and the
  public safety director of the Department of Public Safety shall
  enter into the memorandum of understanding required by Section
  481.003, Health and Safety Code, as amended by this Act, not later
  than January 1, 2012.
         (b)  The Texas State Board of Pharmacy shall adopt any rules
  required by Chapter 481, Health and Safety Code, as amended by this
  Act, not later than September 1, 2012.
         (c)  Not later than September 1, 2012, the Department of
  Public Safety shall transfer the records received under Sections
  481.074, 481.076, and 481.0761, Health and Safety Code, before the
  sections are repealed by this Act, to the Texas State Board of
  Pharmacy.
         (d)  A rule, form, policy, procedure, or decision adopted
  under Chapter 481, Health and Safety Code, as it existed before
  amendment by this Act, continues in effect as a rule, form, policy,
  procedure, or decision and remains in effect until amended or
  replaced.
         (e)  A reference in law or an administrative rule to the
  public safety director of the Department of Public Safety relating
  to rulemaking authority given and duties transferred to the Texas
  State Board of Pharmacy by this Act is a reference to the Texas
  State Board of Pharmacy.
         SECTION 20.  The change in law made by this Act applies only
  to an offense committed on or after the effective date of this Act.
  An offense committed before the effective date of this Act is
  governed by the law in effect when the offense was committed, and
  the former law is continued in effect for that purpose. For
  purposes of this section, an offense was committed before the
  effective date of this Act if any element of the offense was
  committed before that date.
         SECTION 21.  (a) Except as provided by Subsections (b) and
  (c) of this section, this Act takes effect September 1, 2011.
         (b)  Subchapter C, Chapter 570, Occupations Code, as added by
  this Act, takes effect September 1, 2012.
         (c)  Sections 2 through 14 of this Act take effect September
  1, 2012.