Impact of Pharmacy Legislation on Changing Practice Virgil Van - - PowerPoint PPT Presentation

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Impact of Pharmacy Legislation on Changing Practice Virgil Van - - PowerPoint PPT Presentation

Impact of Pharmacy Legislation on Changing Practice Virgil Van Dusen, RPh, JD Bernhardt Professor of Pharmacy Southwestern Oklahoma State University Weatherford, Oklahoma 5/26/2015 1 Change is the law of life. John F. Kennedy 5/26/2015 2


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Virgil Van Dusen, RPh, JD Bernhardt Professor of Pharmacy Southwestern Oklahoma State University Weatherford, Oklahoma

Impact of Pharmacy Legislation on Changing Practice

1 5/26/2015

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Change is the law of life.

John F. Kennedy

2 5/26/2015

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Legislation Has Been a Driving Force of Change in Pharmacy Practice

 Pure Food and Drug Act of 1906  Food Drug and Cosmetic Act of 1938  Comprehensive Drug Abuse and Prevention Act of 1970  Poison Prevention Packaging Act of 1970  Prescription Drug Marketing Act of 1987  Omnibus Budget Reconciliation Act of 1990

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Legislation Has Been a Driving Force of Change in Pharmacy Practice

 Health Insurance Portability and Accountability of 1996  FDA Modernization Act of 1997  Drug Addict Treatment Act of 2000  Combat Methamphetamine Epidemic Act of 2005  Ryan Haight Online Pharmacy Consumer Protection Act of

2008

 Drug Quality and Security Act of 2013

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So Many Laws Affecting Pharmacy…

 Advertising Law  Medication Guides  Patient Package Inserts  Medical Device Amendment  Drug Price Competition and

Patent Term Restoration Act

 REMS  Federal Anti-Tamper Act of 83

 Civil Rights Act of 1964  Employee Polygraph Protection

Act of 1988

 Age Discrimination in

Employment Act of 1967

 Fair Labor Standards Act  Americans with Disabilities Act

Equal Pay Act of 1963

 Family and Medical Leave Act  Communications Privacy Act of

1976

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Top 20

Legislative Acts and Regulations

Impacting Contemporary Pharmacy Practice

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1) Comprehensive Drug Abuse and Prevention Act of 1970: Records

 Required Records:

Acquisition Dispensation Inventory

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Rite Aid

Agrees to Pay $5 Million for CDS

Violations

http://www.justice.gov/archive/opa/pr/2009/January/09-opa-028.html

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2) Comprehensive Drug Abuse and Prevention Act of 1970: Valid Rxs

 Prescription Legitimacy

 A prescription for a controlled substance to be effective must

be issued for a legitimate medical purpose by an individual practitioner acting in the usual course of his professional

  • practice. The responsibility for the proper prescribing and

dispensing of controlled substances is upon the prescribing practitioner, but a corresponding responsibility rests with the pharmacist who fills the prescription. 21 C.F.R § 1306.04(a)

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Walgreens

Paid $80 Million for Oxycodone

Violations

http://www.justice.gov/usao/co/news/2013/jun/6-11-13.html

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3) Inspections

 State Board of Pharmacy  Food and Drug Administration  Drug Enforcement Administration

 An Arkansas Pharmacists Association memo (August 8, 2014)

indicated that each DEA office has to do a number of pharmacy inspections per year.

 There is a multitude of other state and federal agencies

that could inspect a pharmacy as well.

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4) Ryan Haight Online Pharmacy Consumer Protection Act of 2008

 While online pharmacies can be valid, this law has

requirements for such pharmacies;

 Notify the DEA of intent to distribute through the Internet  Declaration of compliance with laws and regulations  In-person medical evaluation of patient  Reporting of CDSs dispensed monthly

 http://www.dea.gov/pubs/pressrel/pr041309.html

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California Board of Pharmacy

 Fines Pharmacists and Pharmacies $600 Million Since

2009 for Invalid Prescriptions

http://www.nabp.net/news/state-boards-of-pharmacy-take-action-to-stop-licensees-involved-in-unlawful-internet-drug-outlet- schemes

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5) Comprehensive Drug Abuse and Prevention Act of 1970: Pain Treatment

 The treatment of pain with controlled substances is

unquestionably a legitimate medical purpose.

 Nevertheless, this area is a slippery slope.  Decisions to intervene and/or not dispense, however,

should be based on patient safety, weighing all factors.

 http://www.deadiversion.usdoj.gov/fed_regs/notices/2006/fr09062.htm

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Cardinal Health

Pays $34 Million To Settle Pain

Killer Case

http://www.justice.gov/usao/co/news/2008/October08/10_2_08.html

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6) Comprehensive Drug Abuse and Prevention Act of 1970: E-Prescribing

 Prescriber Requirements

 Two-factor authentication, no agent access to authentication

 Pharmacy Requirements

 System must be approved by certified third-party auditor  Must archive the e-script

 http://www.deadiversion.usdoj.gov/ecomm/e_rx/index.html

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6) Comprehensive Drug Abuse and Prevention Act of 1970: E-Prescribing

 The following links have a partial list of approved

pharmacies and prescribers:

 http://surescripts.com/network-connections/mns/connected-

pharmacies

 http://surescripts.com/network-connections/mns/prescriber-

software

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7) Comprehensive Drug Abuse and Prevention Act of 1970: Employment

 A registrant must not employ in a position which allows

access to controlled substances any person who has been convicted of a felony relating to controlled substances, or who, at any time, has had an application for DEA registration denied, revoked, or surrendered for cause.

21 C.F.R. § 1301.76(a)

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Obtaining a Waiver

Waiver requests are made by the registrant

http://www.nabp.net/news/missouri-news-waivers-required-to-employ-certain-individuals/

http://www.deadiversion.usdoj.gov/faq/waiver_1301_76.htm

Performing Background Checks

http://www.uspharmacist.com/content/c/10388/?t= men%27s_health,miscellaneous

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8) Combat Methamphetamine Epidemic Act of 2005

 Under the CMEA limits are placed on the OTC sale of

  • pseudoephedrine. (g/day and g/30days)

 The products must be stored behind the counter or in a

locked cabinet in an area where customers do not have access.

 http://www.deadiversion.usdoj.gov/meth/

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CVS

Pays $77.6 Million To Settle with DEA in

Meth Case

http://www.justice.gov/usao/cac/Pressroom/pr2010/148.html

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9) Prescription Monitoring Programs

 Federal legislation

 2002: Harold Rogers Prescription Drug Monitoring Program At:

 https://www.bja.gov/Funding/14PDMPsol.pdf

 2005: National All Schedules Prescription Electronic Reporting

Act

 www.deadiversion.usdoj.gov/faq/rx_monitor.htm

 State legislation

 Almost all states have such programs  Helps prevent “doctor shopping”

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CVS

Pays $11 Million to Settle Drug

Records Case

http://www.justice.gov/usao/okw/news/2013/2013_04_03.html

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10) Omnibus Budget Reconciliation Act of 1990

 OBRA-90 Mandate

 Prospective Drug Review

 Screening, professional judgment

 Patient Counseling

 Offer to discuss, waiver of counseling

 Documentation of Relevant Information

 Reasonable effort, patient information, comments

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10) Omnibus Budget Reconciliation Act of 1990

 Professional Standard

 Established by law/regulation

 Negligence-based cases

 Duty, breach of duty, causation, and damages

 Plaintiff Attorney’s Friend

 Primary standard used in prosecuting many actions

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11) Health Insurance Portability and Accountability Act of 1996

 The Health Insurance Portability and Accountability Act was enacted in 1996.

Effective dates: 2003, 2005.

 It’s purpose is to protect PHI (protected health information).  Privacy Rules and Security Rules

 Impact on: Employees, documents, computers, business agreements

 HIPAA rules continue to evolve with changes as recent as 2013.

http://www.hhs.gov/news/press/2013pres/01/20130117b.html

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11) Health Insurance Portability and Accountability Act of 1996

The OCR (Office of Civil Rights) first enforced HIPAA in 2008 with a charge against Providence Health.

http://www.hhs.gov/ocr/privacy/hipaa/enforcement/examples/providenceresolutionagreement.html 

Since that time other organizations have been found in violation of HIPAA and given hefty fines.

 CVS: $2,250,000

http://www.ftc.gov/news-events/press-releases/2009/02/cvs-caremark-settles-ftc-chargesfailed-protect-medical-financial  Rite-Aid: $1,000,000

http://www.youtube.com/watch?v= U0-FQQetEzY  Walgreens: $1,440,000

http://www.beckershospitalreview.com/legal-regulatory-issues/walgreens-pays-1-44m-for-alleged-hipaa-violation.html  2 large NYC hospitals fined $4.8 million for data breach in 2014.

http://www.esecurityplanet.com/network-security/two-nyc-hospitals-fined-4.8-million-for-data-breach.html

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12) Prescription Drug Marketing Act of 1987

 States authorized to license wholesalers  Banned the re-importation of prescription drugs  Banned counterfeiting of drug coupons  Prohibited the sale of prescription drugs by hospitals or

health care facilities, certain exception

 Drug pedigrees established  Addressed the issue of sample drugs

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12) Prescription Drug Marketing Act of 1987

 Primary Area of Concern for Pharmacy: Samples  1st offense: $250,000 + 10 years  2nd offense: $250,000  3rd offense: $1,000,000  Key: Finder’s fee up to ½ of fine ($125,000).

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13) Drug Quality and Security Act of 2013

 Drugs produced by compounders that are not registered as

  • utsourcing facilities must meet the conditions of section 503A

to qualify for the exemptions specified in that section.

http://www.fda.gov/Drugs/GuidanceComplianceRegulatoryInformation/PharmacyCompounding/default.htm

 This Act really has a focus on outsourcers!

 If compounders register with the FDA as outsourcing facilities,

hospitals and other health care providers can provide their patients with drugs that were compounded in outsourcing facilities that are subject to CGMP requirements and federal oversight.

 How do you know if someone is a licensed outsourcer?

 http://www.fda.gov/Drugs/GuidanceComplianceRegulatoryInformation/

PharmacyCompounding/ucm378645.htm

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13) Drug Quality and Security Act of 2013

 Enter the New England Compounding Center

 In 2012 NECC recalled more than 2,000 products after

distributing 17,000 vials of methylprednisolone for injection contaminated with fungi to 23 states that resulted in 44 deaths.

 U.S. Bankruptcy Judge Henry J. Boroff declared NECC insolvent,

clearing the way for meningitis victims from Tennessee to file product liability claims against medical providers, health clinics and other sellers of the tainted product.

 http://www.insurancejournal.com/news/national/2013/07/29/299797.htm

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14) Poison Prevention Packaging Act of 1970

 Intent of Act to protect children from accidental poisonings due to

“household substances”

 Administered by the CPSC Commission  The law establishes the standards for child resistant containers  Key: Act requires the use of child-resistant containers for

packaging on most OTC drugs and nearly all prescription drugs.

 Container may not be reused unless glass or threaded plastic and

then with new closure

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15) Veterans Health Care Act of 1992: 340B Drugs

In 1992, section 602 of the Veterans Health Care Act (P.L. 102-585) enacted section 340B of the Public Health Service Act, requiring that drug manufacturers provide outpatient drugs at special reduced prices to designated covered entities serving underserved and uninsured populations.

 Under the contract, the covered entity owns the inventory, but

the drugs are delivered directly to the pharmacy.

 The dispensing pharmacy receives a dispensing fee.  A separate physical inventory is not required as it can be

managed by means of software management.

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340B Drugs

 Who are these “covered entities?”  Certain federally qualified health centers

 Migrant Health Centers  Health Care for the Homeless  Office of Tribal Programs  Urban Indian organizations

 Family planning projects  State-operated AIDS Drug Assistance Programs & similar types

  • f clinics, facilities & hospitals

 Children’s hospitals

 http://www.hrsa.gov/opa/eligibilityandregistration/index.html 34 5/26/2015

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16) Non-Profit Institutions Act of 1938

 Major exception to the Robinson-Patman Act which then

allowed for price-discrimination among buyers.

 Exempts nonprofit schools, colleges, universities,

churches and charitable institutions from the R-P Act when the purchases are for their “own use.”

 This Act is an issue when you are trying to survive in your

business.

 There are limits on how the nonprofit can sell but

challenging violations is time consuming and expensive.

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17) State Criminal Laws and Malpractice

 Allows for criminal punishment for negligent acts.  Negligent acts of pharmacists can result in convictions.  You can be held liable for the acts of your subordinates.  State Boards of Pharmacy may act based on your

conviction.

 Accidents happen. However, breach of a law/regulation

intended to protect may subject a pharmacy to criminal prosecution.

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Pharmacist Negligence

Pharmacist Found Guilty of Manslaughter

in Medication Error

http://www.uspharmacist.com/content/d/pharmacy%20law/c/16572/

http://www.justice.gov/opa/pr/14-indicted-connection-new-england-compounding-center-and- nationwide-fungal-meningitis

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18) Expanded Pharmacy Role in Health Care

 Advanced Pharmacy Practice Designations

 Vary across the states

 Medication Therapy Management

 Vary across the states

 Collaborative Practice Agreements

 48 states allow in some capacity

 Provider Recognition

http://www.nga.org/files/live/sites/NGA/files/pdf/2015/1501TheExpandingRoleOfPharmacists.pdf

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19) Apology Legislation

 Approximately 30 states have enacted "I'm Sorry" laws, also

known as "apology" laws. I'm sorry laws protect health care providers that make statements of sympathy following an adverse incident from having those same statements used as proof of their liability in a subsequent malpractice lawsuit.

 Generally, I'm sorry laws only protect statements of sympathy or

benevolent gestures and not actual admissions of fault or

  • negligence. However, a few states have laws that allow a health

care provider to actually admit their fault or negligence as part of an apology without that admission being used against the health care provider as proof of liability in a subsequent lawsuit.

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Using the Apology

 Prepare for it.

 Chances are good that you will some day need to apologize.

 Imagine: 100 Rxs/day, working 25 days per month with an error rate

  • f 0.05% you will have one error per month.

 Practice it.

 Worst time to practice: In front of the patient!

 Perform it.

 You do it. Don’t send a technician out to handle this problem.

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20) Conscientious Objection Laws

 These laws/regulations address the right of a medical

professional to refuse to dispense prescriptions to which the professional has a moral or religious opposition.

 State specific  No consensus among the states

 Some require pharmacists to dispense  Others establish “conscience clauses” that allows refusal  Employers may have their own policies

https://scholarworks.iupui.edu/bitstream/handle/1805/4404/conscientiousobjectionpharmacists.pdf?sequence= 1

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Laws Can Make Life Complex

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Some Things Don’t Change

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