TITLE examining-boards

Part XV. Texas State Board of Pharmacy

Chapter 281. Administrative Practice and Procedures

Subchapter A. General Provisions

22 TAC §281.8, §281.17

The Texas State Board of Pharmacy proposes amendments to §281.8, concerning Grounds for Discipline of a Pharmacy License and proposes new rule §281.17, concerning Historically Underutilized Businesses. The amendments to §281.8, if adopted, will clarify the action that may result in the discipline of a pharmacy license. The 75th Texas Legislature amended Section 26(b) of the Texas Pharmacy Act to add subsection (10), which provides that the Board may discipline the holder of a pharmacy license if the Board finds that the applicant or licensee has "engaged in any fraud, deceit, or misrepresentation as defined by the rules adopted by the board in operating a pharmacy or in seeking a license to operate a pharmacy." The new rule §281.17, if adopted, will incorporate by reference the rules adopted by the General Services Commission for historically underutilized businesses and implements Section 124 of Article IX of the General Appropriations Act adopted by the 75thTexas Legislature.

Gay Dodson, R.Ph., Executive Director/Secretary has determined that, for the first five-year period the rule is in effect, there will be possible fiscal implications for the state as a result of enforcing or administering the amendment to rule 281.8. There are no anticipated fiscal implications for local government.

For the amendment to rule 281.8, the fiscal implications for the state are based on the cost of an enforcement action by the Texas State Board of Pharmacy. Fiscal implications for the agency, based on an enforcement action, are anticipated to be minimal because the enforcement and administration of the proposed amendment to rule 281.8 can be adequately managed with existing resources. In fiscal year 1997, the agency referred four cases for formal hearings for which the State Office of Administrative Hearings billed the Texas State Board of Pharmacy approximately $4,700.00. The agency cannot accurately project whether the adoption of the proposed amendment, which enumerates grounds for discipline of a pharmacy license, will increase the number of complaints or the number of cases that may proceed to formal hearing.

Ms. Dodson also has determined that, for each year of the first five-year period rule 281.8 will be in effect, the public benefit anticipated as a result of enforcing the rule will be the protection of the public health, safety and welfare because the proposed amendments to rule 281.8 add definitions for the terms "fraud," "deceit," and "misrepresentation" as provided for in section 26(b)(10) of the Texas Pharmacy Act and also clarifies other conduct or action that may result in the discipline of a pharmacy license. The amendment to rule 281.8 will result in a rule that is easier for the holders of pharmacy licenses and the public to be aware of prohibited conduct.

The cost to small and large businesses, as well as persons required to comply with rule 281.8, will be the costs of a possible violation of rule 281.8. A violation of rule 281.8 may result in a sanction imposed by the Texas State Board of Pharmacy pursuant to section 28(a) of the Texas Pharmacy Act.

Gay Dodson, R.Ph., Executive Director/Secretary has determined that, for the first five-year period the rule is in effect, there will be no additional fiscal implications for state or local government as a result of enforcing or administering new rule 281.17.

For the amendment to rule 281.17, the fiscal implications for state and local government are based on the fact that the agency must already comply with the rules adopted by the General Services Commission for historically underutilized businesses which implement Section 124 of Article IX of the General Appropriations Act adopted by the 75th Texas Legislature.

Ms. Dodson also has determined that, for each year of the first five-year period rule 281.17 will be in effect the public benefit as a result of enforcing the rule will be the promotion of full and equal business opportunity for all businesses in state contracting. There are no additional economic costs anticipated for individuals or small or large businesses.

Comments on the proposal may be submitted to Steve Morse, R.Ph., Director of Compliance, Texas State Board of Pharmacy, 333 Guadalupe Street, Suite 3-600, Box 21, Austin, Texas, 78701-3942.

The amendments are proposed under sections 4, 16(a), and 26(b)(10) of the Texas Pharmacy Act (Article 4542a-1, Texas Civil Statutes) and Section 124 of Article IX of the General Appropriations Act adopted by the 75th Texas Legislature. The Board interprets section 4 as authorizing the agency to adopt rules to protect the public health, safety, and welfare through the effective control and regulation of the practice of pharmacy. The Board interprets section 16(a) as authorizing the agency to adopt rules for the proper administration and enforcement of the Act. The Board interprets section 26(b)(10) as authorizing the agency to adopt rules to define "fraud," "deceit," and "misrepresentation" in operating a pharmacy or in seeking a license to operate a pharmacy. The Board interprets Section 124 of Article IX of the General Appropriations Act adopted by the 75th Texas Legislature as requiring all state agencies to adopt the General Services Commission's rules regarding historically underutilized businesses.

The statutes affected by this rule: Texas Civil Statutes, Article 4542a-1.

§281.8. Grounds for Discipline for a Pharmacy License.

(a)

For the purposes of Section 26(b)(9) of the Act [ subdivision (9) of subsection (b) of § 26 of the Act ], a pharmacy fails to establish and maintain effective controls against diversion of prescription drugs when:

(1)

there is inadequate security to prevent unauthorized access to prescription drugs; or

(2)

there is inadequate security to prevent the diversion of prescription drugs . [ ; ]

(b)

For the purposes of Section 26(b)(3) of the Act, it is grounds for discipline for a pharmacy license when:

(1)

[ (3) ] during the time an individual's license to practice pharmacy is revoked, canceled, or suspended, the pharmacy employs or allows such individual access to prescription drugs;

(2)

[ (4) ] the pharmacy possesses or engages in the sale, purchase, or trade or the offer to sell, purchase, or trade prescription drug samples; provided however, this subparagraph does not apply to:

(A)

prescription drugs provided by a manufacturer as starter prescriptions or as replacement for such manufacturer's outdated drugs;

(B)

prescription drugs provided by a manufacturer in replacement for such manufacturer's drugs that were dispensed pursuant to written starter prescriptions; or

(C)

prescription drug samples possessed by a pharmacy of a health care entity which provides health care primarily to indigent or low income patients at no or reduced cost and if:

(i)

the samples are possessed in compliance with the Prescription Drug Marketing Act of 1987;

(ii)

the pharmacy is owned by a charitable organization described in the Internal Revenue Code of 1986, or by a city, state or county government; and

(iii)

the samples are for dispensing or provision at no charge to patients of such health care entity;

(3)

[ (5) ] the pharmacy possesses or engages in the sale, purchase, or trade or the offer to sell, purchase, or trade of prescription drugs:

(A)

sold for export use only;

(B)

purchased by a public or private hospital or other health care entity; or

(C)

donated or supplied at a reduced price to a charitable organization described in the Internal Revenue Code of 1986, §501(c)(3), and possessed by a pharmacy other than one owned by the charitable organization;

(D)

provided that subparagraphs (A)-(C) of this paragraph do not apply to:

(i)

the purchase or other acquisition by a hospital or other health care entity which is a member of a group purchasing organization or from other hospitals or health care entities which are members of such organization;

(ii)

the sale, purchase, or trade of a drug or an offer to sell, purchase, or trade a drug by an organization described in paragraph (2)(C)(ii) [ (4)(C)(ii) ] of this section to a nonprofit affiliate of the organization to the extent otherwise permitted by law;

(iii)

the sale, purchase or trade of a drug or an offer to sell, purchase, or trade a drug among hospitals or other health care entities which are under common control;

(iv)

the sale, purchase, or trade of a drug or an offer to sell, purchase, or trade a drug for emergency medical reasons including the transfer of a drug between pharmacies to alleviate temporary shortages of the drug arising from delays in or interruptions of regular distribution schedules; or

(v)

the dispensing of a prescription drug pursuant to a valid prescription drug order to the extent otherwise permitted by law; [ or ]

(4)

[ (6) ] the sale, purchase, or trade or the offer to sell, purchase, or trade of:

(A)

misbranded prescription drugs; or

(B)

prescription drugs beyond the manufacturer's expiration date ; or [ . ]

(5)

For the purposes of Section 26(b)(10) of the Act, the terms "fraud," "deceit," or "misrepresentation" in operating a pharmacy or in seeking a license to operate shall be defined as follows:

(A)

"Fraud" means an intentional perversion of truth for the purpose of inducing another in reliance upon it to part with some valuable thing belonging to him, or to surrender a legal right, or to issue a license; a false representation of a matter of fact, whether by words or by conduct, by false or misleading allegations, or by concealment of that which should have been disclosed, which deceives or is intended to deceive another;

(B)

"Deceit" means the assertion, as a fact, of that which is not true by any means whatsoever to deceive or defraud another, and

(C)

"Misrepresentation" means a manifestation by words or other conduct which is a false representation of a matter of fact.

§281.17.Historically Underutilized Businesses.

The Texas State Board of Pharmacy adopts by reference the rules promulgated by the General Services Commission, which are set forth in Subchapter B of 1 TAC §§111.11 - 111.24 regarding Historically Underutilized Business Certification Program.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 5, 1999.

TRD-9901360

Gay Dodson, R.Ph.

Executive Director/Secretary

Texas State Board of Pharmacy

Earliest possible date of adoption: April 18, 1999

For further information, please call: (512) 305-8028


Chapter 291. Pharmacies

Subchapter A. All Classes of Pharmacies

22 TAC §§291.7, 291.8, 291.10, 291.17

The Texas State Board of Pharmacy proposes amendments to §291.7, concerning Change of Pharmacist Employment, §291.8, concerning Return of Prescription Drugs, §291.10, concerning Pharmacy Balance Registration/Inspection, and §291.17, concerning Inventory Requirements. The amendments, if adopted, will: (1) make a change in the notification requirement for a change of pharmacist-in-charge consistent with the Texas Pharmacy Act; (2) clarify that a dispensed prescription drug may not be returned to a pharmacy and re-dispensed; (3) clarify expiration dates, registration requirements, and delete obsolete language concerning prescription balances; and (4) clarify inventory requirements and make changes necessary when butorphanol was scheduled as a controlled substance.

Gay Dodson, R.Ph., Executive Director/Secretary, has determined that, for the first five-year period the rule is in effect, there will be no fiscal implications for state or local government as a result of enforcing or administering the rule.

Ms. Dodson has determined that, for each year of the first five-year period the rule will be in effect, the public benefit anticipated as a result of enforcing the rule will be increased safety of the prescription drug supply by clarifying the requirements for operation of a pharmacy. Since these proposed amendments primarily clarify existing requirements or make them consistent with other statutory or regulatory requirements, there are no additional economic costs anticipated for individuals. Economic cost for licensed pharmacies owned by both small and large businesses, as defined by section 2006.002 of the Texas Government Code, will be $12.50 for each additional prescription balance registered.

Comments on the proposal may be submitted to Steve Morse, R.Ph., Director of Compliance, Texas State Board of Pharmacy, 333 Guadalupe Street, Suite 3-600, box 21, Austin, Texas, 78701-3942.

The amendments are proposed under sections 4, 16(a), and 17(b) of the Texas Pharmacy Act (Article 4542a-1, Texas Civil Statutes). The Board interprets section 4 as authorizing the agency to adopt rules to protect the public health, safety, and welfare through the effective control and regulation of the practice of pharmacy. The Board interprets section 16(a) as authorizing the agency to adopt rules for the proper administration and enforcement of the Act. The Board interprets section 17(b) as authorizing the agency to regulate the delivery or distribution of prescription drugs as they relate to the practice of pharmacy, specify the minimum standards for the maintenance of prescription drug records, and register/inspect prescription balances used for the compounding of drugs in pharmacies.

The statutes affected by this rule: Texas Civil Statutes, Article 4542a-1.

§291.7.Change of Pharmacist Employment.

(a)

(No change.)

(b)

Change of pharmacist-in-charge of a pharmacy.

(1)-(3)

(No change.)

(4)

The incoming pharmacist-in-charge shall be responsible for the following actions:

(A)-(B)

(No change.)

(C)

notifying the board within 10 days in writing that a change of pharmacist-in-charge has occurred. The notification shall include the following:

(i)-(iv)

(No change.)

§291.8.Return of Prescription Drugs.

(a)

In the interest of the public health of the state of Texas and the possible adverse effects which the resale of drugs may have upon the health of the public, the board hereby declares the following acts and the causing thereof within the State of Texas to be unlawful and prohibited. It shall be unlawful, after the effective date of this section, for any pharmacist licensed by the board to accept any unused prescription or drug, in whole or part, after it has been dispensed or sold, for the purpose of re-dispensing or resale to any person.

(b)

(No change.)

§291.10.Pharmacy Balance Registration/Inspection.

(a)

(No change.)

(b)

Registration.

(1)

A pharmacy shall annually register each pharmacy balance which may be used in the compounding of drugs. The fee for the annual registration shall be $12.50 per pharmacy balance.

(2)

[ The annual registration fee for the 1995-1996 renewal cycle shall be prorated to establish staggered expiration dates which coincide with the pharmacy license expiration date. ]

[ (3)

New registrations issued after September 1, 1995, shall be assigned an ] The expiration date for pharmacy balance registrations shall coincide [ that coincides ] with the pharmacy license expiration date.

(c)

(No change.)

§291.17.Inventory Requirements.

(a)

General requirements.

(1)

(No change.)

(2)

The inventory shall be maintained in a written, typewritten, or printed form. An inventory taken by use of an oral recording device must be promptly transcribed.

(3)-(4)

(No change.)

(5)

The inventory shall be in a written, typewritten, or printed form and include all stocks of the following drugs on hand on the date of the inventory (including any which are out-of-date):

(A)

all controlled substances;

(B)

[ all dosage forms containing butorphanol (e.g., Stadol); ]

[ (C) ]

all dosage forms containing nalbuphine (e.g., Nubain); and

(C)

[ (D) ] all dosage forms containing carisoprodol (e.g., Soma).

(6)-(11)

(No change.)

(12)

If the pharmacy maintains a perpetual inventory of any of the drugs required to be inventoried, the perpetual inventory shall be reconciled on the date of the inventory.

(b)

Initial inventory.

(1)

A new Class A (community) pharmacy or Class C (institutional) pharmacy shall take an inventory on the opening day of business. Such inventory shall include all stocks (including any out-of-date drugs) of the following:

(A)

all controlled substances;

(B)

[ all dosage forms containing butorphanol (e.g., Stadol); ]

[ (C) ]

all dosage forms containing nalbuphine (e.g., Nubain); and

(C)

[ (D) ] all dosage forms containing carisoprodol (e.g., Soma).

(2)-(3)

(No change.)

(c)

Annual inventory.

(1)

A Class A or C pharmacy shall take an inventory on May 1 of each year, or on the pharmacy's regular general physical inventory date. Such inventory may be taken within four days of the specified inventory date and shall include all stocks (including out-of-date drugs) of the following:

(A)

all controlled substances;

(B)

[ all dosage forms containing butorphanol (e.g., Stadol); ]

[ (C) ]

all dosage forms containing nalbuphine (e.g., Nubain); and

(C)

[ (D) ] all dosage forms containing carisoprodol (e.g., Soma).

(2)

(No change.)

(d)

Change of ownership.

(1)

A Class A or C pharmacy that changes ownership shall take an inventory of all of the following drugs on hand (including any which are out-of-date) on the date of change of ownership:

(A)

all controlled substances;

(B)

[ all dosage forms containing butorphanol (e.g., Stadol); ]

[ (C) ]

all dosage forms containing nalbuphine (e.g., Nubain); and

(C)

[ (D) ] all dosage forms containing carisoprodol (e.g., Soma).

(2)-(3)

(No change.)

(e)

(No change.)

(f)

Requirements for Class C (institutional) pharmacies.

(1)

Perpetual inventory.

(A)

A Class C pharmacy shall maintain a perpetual inventory of all Schedule II controlled substances.

(B)

The perpetual inventory shall be reconciled on the date of the annual inventory.

(2)

Annual inventory.

(A)

An inventory shall be conducted on May 1 of each year, or on the pharmacy's regular general physical inventory date. Such inventory may be taken within four days of the specified inventory date and shall be in a written, typewritten, or printed form and include all stocks (including out-of-date drugs) of the following:

(i)

all controlled substances;

(ii)

[ all dosage forms containing butorphanol (e.g., Stadol); ]

[ (iii) ]

all dosage forms containing nalbuphine (e.g., Nubain); and

(iii)

[ (iv) ] all dosage forms containing carisoprodol (e.g., Soma).

(B)-(C)

(No change.)

(g)

(No change.)

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on March 5, 1999.

TRD-9901361

Gay Dodson, R.Ph.

Executive Director/Secretary

Texas State Board of Pharmacy

Earliest possible date of adoption: April 18, 1999

For further information, please call: (512) 305-8028


Part XXIX. Texas Board of Professional Land Surveying

Chapter 663. Standards of Responsibility and Rules of Conduct

Subchapter B. Professional and Technical Standards

22 TAC §§663.13, 663.21, 663.23

The Texas Board of Professional Land Surveying proposes an amendment to §663.13 and new §663.21 and §663.23, concerning Introduction, Descriptions Prepared for Political Subdivisions and Certifying Services.

Section 663.13 and §663.21 are being proposed to provide the public with a better, more informative, surveying product. The minimum conditions require descriptions to be unambiguous and locatable on the ground.

Section 663.23 is being proposed to establish a regulation that will allow professional land surveyors to sign and seal documents, which are not within the definition of professional land surveying.

Sandy Smith, executive director, has determined that for the first five-year period the rules are in effect, there will be no fiscal implications for state or local government.

Ms. Smith also has determined that for each year of the first five years the rules are in effect the public benefit anticipated as a result of enforcing the rules will be a better, more informative, surveying product and an established regulation that will allow professional land surveyors to sign and seal documents, which are not within the definition of professional land surveying. There will be no effect on small businesses. There is no anticipated economic cost to persons who are required to comply with the rules as proposed.

Comments on the proposal may be submitted to Sandy Smith, Texas Board of Professional Land Surveying, 7701 North Lamar, Suite 400, Austin, Texas 78752.

The amendment and new sections are proposed under Texas Civil Statutes, Article 5282c, §9, which provides the Texas Board of Professional Land Surveying with the authority to make and enforce all reasonable and necessary rules, regulations and bylaws not inconsistent with the Texas Constitution, the laws of this state, and this Act.

No other statute, article, or code is affected by this proposal.

§663.13.Introduction.

The Board establishes these minimum standards of practice to better serve the general public in regulating the practice of professional surveying in Texas. Professional surveying performed in Texas, unless otherwise specifically exempted herein, shall meet or exceed the requirements of these standards. The Board considers any survey, the purpose of which is to delineate, segregate, separate, or partition any interest in real property of any kind, under these standards. [ To better serve the general public in regulating the practice of land surveying in Texas, these minimum standards of practice (standards) are established. All surveys performed by registered professional land surveyors in Texas shall adhere to these standards by meeting or exceeding the requirements hereof. ]

§663.21.Descriptions Prepared for Political Subdivisions.

A registrant or licensee may prepare, sign, and seal a metes and bounds description from public land title records upon satisfying all of the following minimum conditions:

(1)

The description is prepared for a political subdivision of the State, which is defined as a county, city, district, or other body politic of the State having a jurisdiction over only a portion of the State;

(2)

The description must be unambiguous and locatable on the ground by ordinary surveying procedures;

(3)

Any record monument or physical monumentation called for in the description must be in place at the time the surveyor prepares the description and the surveyor must have personal knowledge of such monument sufficient to give a proper current description for the monument and its accessories;

(4)

The surveyor signing the work must have performed an on the ground survey to support any course and distance recited in the description, except that the description may quote courses and distances from recorded documents (such as deeds) as long as the recording reference for any recited document is also quoted in the description; and

(5)

Any survey document prepared under this rule shall bear a note as follows: "This document was prepared under 22 TAC 663.21, does not reflect the results of an on the ground survey, and is not to be used to convey or establish interests in real property except those rights and interests implied or established by the creation or reconfiguration of the political subdivision for which it was prepared."

§663.23.Certifying Services.

Registered professional land surveyors may certify, using the registrants signature and official seal, services which are not within the definition of professional land surveying as defined in the Act, provided that such certification does not violate any Texas or federal law.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State, on March 8, 1999.

TRD-9901425

Sandy Smith

Executive Director

Texas Board of Professional Land Surveying

Earliest possible date of adoption: April 18, 1999

For further information, please call: (512) 452-9427