SENATE BILL No. 47

 

 

January 18, 2017, Introduced by Senators ZORN and NOFS and referred to the Committee on Health Policy.

 

 

     A bill to amend 1978 PA 368, entitled

 

"Public health code,"

 

by amending section 7333a (MCL 333.7333a), as amended by 2012 PA

 

44.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 7333a. (1) The department shall establish, by rule, an

 

electronic system for monitoring schedule 2, 3, 4, and 5 controlled

 

substances dispensed in this state by veterinarians, and by

 

pharmacists and dispensing prescribers licensed under part 177 or

 

dispensed to an address in this state by a pharmacy licensed in

 

this state. The rules shall must provide an appropriate electronic

 

format for the reporting of data including, but not limited to,

 

patient identifiers, the name of the controlled substance


dispensed, the date of dispensing, the quantity dispensed, the

 

prescriber, and the dispenser. The department shall require a

 

veterinarian, pharmacist, or dispensing prescriber to utilize the

 

electronic data transmittal process developed by the department or

 

the department's contractor. A The department shall not require a

 

veterinarian, pharmacist, or dispensing prescriber shall not be

 

required to pay a new fee dedicated to the operation of the

 

electronic monitoring system and shall not or to incur any

 

additional costs solely related to the transmission of data to the

 

department. The rules promulgated department's authority to

 

promulgate rules under this subsection shall exempt both is subject

 

to both of the following:

 

     (a) The department's authority does not include the authority

 

to promulgate or enforce a rule that exempts any of the following

 

circumstances from the reporting requirements under this section:

 

     (i) (a) The Except as otherwise provided in subdivision (b),

 

the administration of a controlled substance directly to a patient.

 

     (ii) (b) The dispensing from a health facility or agency

 

licensed under article 17 of a controlled substance by a dispensing

 

prescriber in a quantity adequate to treat a patient for not more

 

than 48 hours.

 

     (iii) The dispensing or administration of buprenorphine or a

 

drug containing buprenorphine and methadone.

 

     (b) The rules promulgated under this subsection must exempt

 

from the reporting requirements under this section the dispensing

 

of a controlled substance in all of the following:

 

     (i) An emergency department, emergency room, or trauma center


of a hospital that is licensed under article 17.

 

     (ii) A hospice.

 

     (iii) An oncology department of a hospital that is licensed

 

under article 17.

 

     (iv) A hospital that is licensed under article 17 that

 

administers the controlled substance to an inpatient.

 

     (2) Notwithstanding any practitioner-patient privilege, the

 

director of the department may provide data obtained under this

 

section to all of the following:

 

     (a) A designated representative of a board responsible for the

 

licensure, regulation, or discipline of a practitioner, pharmacist,

 

or other person who that is authorized to prescribe, administer, or

 

dispense controlled substances.

 

     (b) An employee or agent of the department.

 

     (c) A state, federal, or municipal employee or agent whose

 

duty is to enforce the laws of this state or the United States

 

relating to drugs.

 

     (d) A state-operated medicaid Medicaid program.

 

     (e) A state, federal, or municipal employee who is the holder

 

of a search warrant or subpoena properly issued for the records.

 

     (f) A practitioner or pharmacist who requests information and

 

certifies that the requested information is for the purpose of

 

providing medical or pharmaceutical treatment to a bona fide

 

current patient.

 

     (g) An individual with whom the department has contracted

 

under subsection (8).

 

     (h) A practitioner or other person who that is authorized to


prescribe controlled substances for the purpose of determining if

 

prescriptions written by that practitioner or other person have

 

been dispensed.

 

     (i) Until December 31, 2016, the health care payment or

 

benefit provider for the purposes of ensuring patient safety and

 

investigating fraud and abuse.

 

     (3) Except as otherwise provided in this part, information

 

submitted under this section shall be used only for bona fide drug-

 

related criminal investigatory or evidentiary purposes or for the

 

investigatory or evidentiary purposes in connection with the

 

functions of a disciplinary subcommittee or 1 or more of the

 

licensing or registration boards created in article 15.

 

     (4) A person who that receives data or any report under

 

subsection (2) containing any patient identifiers of the system

 

from the department shall not provide it to any other person or

 

entity except by order of a court of competent jurisdiction.

 

     (5) Except as otherwise provided in this subsection, reporting

 

under subsection (1) is mandatory for a veterinarian, pharmacist,

 

and dispensing prescriber. However, the department may issue a

 

written waiver of the electronic reporting requirement to a

 

veterinarian, pharmacist, or dispensing prescriber who establishes

 

grounds that he or she is unable to use the electronic monitoring

 

system. The department shall require the applicant for the waiver

 

to report the required information in a manner approved by the

 

department.

 

     (6) In addition to the information required to be reported

 

annually under section 7112(3), the controlled substances advisory


commission shall include in the report information on the

 

implementation and effectiveness of the electronic monitoring

 

system.

 

     (7) The department, in consultation with the controlled

 

substances advisory commission, the Michigan board of pharmacy, the

 

Michigan board of medicine, the Michigan board of osteopathic

 

medicine and surgery, the Michigan department of state police, and

 

appropriate medical professional associations, shall examine the

 

need for and may promulgate rules for the production of a

 

prescription form on paper that minimizes the potential for

 

forgery. The rules shall must not include any requirement that

 

sequential numbers, bar codes, or symbols be affixed, printed, or

 

written on a prescription form or that the prescription form be a

 

state produced prescription form. In examining the need for rules

 

for the production of a prescription form on paper that minimizes

 

the potential for forgery, the department shall consider and

 

identify the following:

 

     (a) Cost, benefits, and barriers.

 

     (b) Overall cost-benefit analysis.

 

     (c) Compatibility with the electronic monitoring system

 

required under this section.

 

     (8) The department may enter into 1 or more contractual

 

agreements for the administration of this section.

 

     (9) The department, all law enforcement officers, all officers

 

of the court, and all regulatory agencies and officers, in using

 

the data for investigative or prosecution purposes, shall consider

 

the nature of the prescriber's and dispenser's practice and the


condition for which the patient is being treated.

 

     (10) The data and any report containing any patient

 

identifiers obtained from the data are not public records and are

 

not subject to disclosure under the freedom of information act,

 

1976 PA 442, MCL 15.231 to 15.246.

 

     (11) Beginning February 1, 2013 and through February 1, 2016,

 

the department may issue a written request to a health care payment

 

or benefit provider to determine if the provider has accessed the

 

electronic monitoring system as provided in subsection (2)(i) in

 

the previous calendar year and, if so, to determine the number of

 

inquiries the provider made in the previous calendar year and any

 

other information the department requests in relation to the

 

provider's access to the electronic monitoring system. A health

 

care payment or benefit provider shall respond to the written

 

request on or before the March 31 following the request. The

 

department shall collaborate with health care payment or benefit

 

providers to develop a reasonable request and reporting form for

 

use under this subsection.

 

     (12) R 338.3162e of the Michigan Administrative Code is

 

rescinded.

 

     (13) (12) As used in this section:

 

     (a) "Department" means the department of licensing and

 

regulatory affairs.

 

     (b) "Health care payment or benefit provider" means a person

 

that provides health benefits, coverage, or insurance in this

 

state, including a health insurance company, a nonprofit health

 

care corporation, a health maintenance organization, a multiple


employer welfare arrangement, a medicaid Medicaid contracted health

 

plan, or any other person providing a plan of health benefits,

 

coverage, or insurance subject to state insurance regulation.

 

     (c) "Hospice" means that term as defined in section 20106.

 

     Enacting section 1. This amendatory act takes effect 90 days

 

after the date it is enacted into law.