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SF 3991

as introduced - 91st Legislature (2019 - 2020) Posted on 03/06/2020 08:18am

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - as introduced

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A bill for an act
relating to health; reducing Board of Pharmacy application and renewal fees for
medical gas dispensers; changing terminology and making related changes;
modifying term lengths and appointment procedures for the Opiate Epidemic
Response Advisory Council; making technical changes to the opiate epidemic
response account; eliminating refill timelines for opiate or narcotic pain relievers;
appropriating money; amending Minnesota Statutes 2018, section 151.071,
subdivision 8; Minnesota Statutes 2019 Supplement, sections 16A.151, subdivision
2; 151.065, subdivisions 1, 3, 6, 7; 151.071, subdivision 2; 151.19, subdivision 3;
151.252, subdivision 1; 152.11, subdivision 1; 256.042, subdivisions 2, 4; 256.043;
Laws 2019, chapter 63, article 3, sections 1; 2.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2019 Supplement, section 16A.151, subdivision 2, is
amended to read:


Subd. 2.

Exceptions.

(a) If a state official litigates or settles a matter on behalf of specific
injured persons or entities, this section does not prohibit distribution of money to the specific
injured persons or entities on whose behalf the litigation or settlement efforts were initiated.
If money recovered on behalf of injured persons or entities cannot reasonably be distributed
to those persons or entities because they cannot readily be located or identified or because
the cost of distributing the money would outweigh the benefit to the persons or entities, the
money must be paid into the general fund.

(b) Money recovered on behalf of a fund in the state treasury other than the general fund
may be deposited in that fund.

(c) This section does not prohibit a state official from distributing money to a person or
entity other than the state in litigation or potential litigation in which the state is a defendant
or potential defendant.

(d) State agencies may accept funds as directed by a federal court for any restitution or
monetary penalty under United States Code, title 18, section 3663(a)(3)new text begin,new text end or United States
Code, title 18, section 3663A(a)(3). Funds received must be deposited in a special revenue
account and are appropriated to the commissioner of the agency for the purpose as directed
by the federal court.

(e) Tobacco settlement revenues as defined in section 16A.98, subdivision 1, paragraph
(t), may be deposited as provided in section 16A.98, subdivision 12.

(f) Any money received by the state resulting from a settlement agreement or an assurance
of discontinuance entered into by the attorney general of the state, or a court order in litigation
brought by the attorney general of the state, on behalf of the state or a state agency, against
one or more opioid manufacturers or opioid wholesale drug distributors related to alleged
violations of consumer fraud laws in the marketing, sale, or distribution of opioids in this
state or other alleged illegal actions that contributed to the excessive use of opioids, must
be deposited in a separate account in the state treasury and the commissioner shall notify
the chairs and ranking minority members of the Finance Committee in the senate and the
Ways and Means Committee in the house of representatives that an account has been created.
This paragraph does not apply to attorney fees and costs awarded to the state or the Attorney
General's Office, to contract attorneys hired by the state or Attorney General's Office, or to
other state agency attorneys. If the licensing fees under section 151.065, subdivision 1,
clause (16), and subdivision 3, clause (14), are reduced and the registration fee under section
151.066, subdivision 3, is repealed in accordance with section 256.043, subdivision 4, then
the commissioner shall transfer from the separate account created in this paragraph to the
opiate epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end under section 256.043 an amount that ensures that
$20,940,000 each fiscal year is available for distribution in accordance with section 256.043,
subdivisions 2
and 3.

Sec. 2.

Minnesota Statutes 2019 Supplement, section 151.065, subdivision 1, is amended
to read:


Subdivision 1.

Application fees.

Application fees for licensure and registration are as
follows:

(1) pharmacist licensed by examination, $175;

(2) pharmacist licensed by reciprocity, $275;

(3) pharmacy intern, $50;

(4) pharmacy technician, $50;

(5) pharmacy, $260;

(6) drug wholesaler, legend drugs only, $5,260;

(7) drug wholesaler, legend and nonlegend drugs, $5,260;

(8) drug wholesaler, nonlegend drugs, veterinary legend drugs, or both, $5,260;

(9) drug wholesaler, medical gases, $5,260;

(10) third-party logistics provider, $260;

(11) drug manufacturer, nonopiate legend drugs only, $5,260;

(12) drug manufacturer, nonopiate legend and nonlegend drugs, $5,260;

(13) drug manufacturer, nonlegend or veterinary legend drugs, $5,260;

(14) drug manufacturer, medical gases, $5,260;

(15) drug manufacturer, also licensed as a pharmacy in Minnesota, $5,260;

(16) drug manufacturer of opiate-containing controlled substances listed in section
152.02, subdivisions 3 to 5, deleted text begin$55,000deleted text endnew text begin $55,260new text end;

(17) medical gas deleted text begindistributordeleted text endnew text begin dispensernew text end, deleted text begin$5,260deleted text endnew text begin $260new text end;

(18) controlled substance researcher, $75; and

(19) pharmacy professional corporation, $150.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2020, and applies to any license
issued on or after that date.
new text end

Sec. 3.

Minnesota Statutes 2019 Supplement, section 151.065, subdivision 3, is amended
to read:


Subd. 3.

Annual renewal fees.

Annual licensure and registration renewal fees are as
follows:

(1) pharmacist, $175;

(2) pharmacy technician, $50;

(3) pharmacy, $260;

(4) drug wholesaler, legend drugs only, $5,260;

(5) drug wholesaler, legend and nonlegend drugs, $5,260;

(6) drug wholesaler, nonlegend drugs, veterinary legend drugs, or both, $5,260;

(7) drug wholesaler, medical gases, $5,260;

(8) third-party logistics provider, $260;

(9) drug manufacturer, nonopiate legend drugs only, $5,260;

(10) drug manufacturer, nonopiate legend and nonlegend drugs, $5,260;

(11) drug manufacturer, nonlegend, veterinary legend drugs, or both, $5,260;

(12) drug manufacturer, medical gases, $5,260;

(13) drug manufacturer, also licensed as a pharmacy in Minnesota, $5,260;

(14) drug manufacturer of opiate-containing controlled substances listed in section
152.02, subdivisions 3 to 5, deleted text begin$55,000deleted text endnew text begin $55,260new text end;

(15) medical gas deleted text begindistributordeleted text endnew text begin dispensernew text end, deleted text begin$5,260deleted text endnew text begin $260new text end;

(16) controlled substance researcher, $75; and

(17) pharmacy professional corporation, $100.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2020, and applies to any license
renewed on or after that date.
new text end

Sec. 4.

Minnesota Statutes 2019 Supplement, section 151.065, subdivision 6, is amended
to read:


Subd. 6.

Reinstatement fees.

(a) A pharmacist who has allowed the pharmacist's license
to lapse may reinstate the license with board approval and upon payment of any fees and
late fees in arrears, up to a maximum of $1,000.

(b) A pharmacy technician who has allowed the technician's registration to lapse may
reinstate the registration with board approval and upon payment of any fees and late fees
in arrears, up to a maximum of $90.

(c) An owner of a pharmacy, a drug wholesaler, a drug manufacturer, third-party logistics
provider, or a medical gas deleted text begindistributordeleted text endnew text begin dispensernew text end who has allowed the license of the
establishment to lapse may reinstate the license with board approval and upon payment of
any fees and late fees in arrears.

(d) A controlled substance researcher who has allowed the researcher's registration to
lapse may reinstate the registration with board approval and upon payment of any fees and
late fees in arrears.

(e) A pharmacist owner of a professional corporation who has allowed the corporation's
registration to lapse may reinstate the registration with board approval and upon payment
of any fees and late fees in arrears.

Sec. 5.

Minnesota Statutes 2019 Supplement, section 151.065, subdivision 7, is amended
to read:


Subd. 7.

Deposit of fees.

(a) The license fees collected under this section, with the
exception of the fees identified in paragraphs (b) and (c), shall be deposited in the state
government special revenue fund.

(b) $5,000 of each fee collected under subdivision 1, clauses (6) to (15) deleted text beginand (17)deleted text end, and
subdivision 3, clauses (4) to (13) deleted text beginand (15)deleted text end, and deleted text beginthe feesdeleted text endnew text begin $55,000 of each feenew text end collected under
subdivision 1, clause (16), and subdivision 3, clause (14), shall be deposited in the opiate
epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end established in section 256.043.

(c) If the fees collected under subdivision 1, clause (16), or subdivision 3, clause (14),
are reducednew text begin under section 256.043new text end, $5,000 of the reduced fee shall be deposited in the opiate
epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end in section 256.043.

Sec. 6.

Minnesota Statutes 2019 Supplement, section 151.071, subdivision 2, is amended
to read:


Subd. 2.

Grounds for disciplinary action.

The following conduct is prohibited and is
grounds for disciplinary action:

(1) failure to demonstrate the qualifications or satisfy the requirements for a license or
registration contained in this chapter or the rules of the board. The burden of proof is on
the applicant to demonstrate such qualifications or satisfaction of such requirements;

(2) obtaining a license by fraud or by misleading the board in any way during the
application process or obtaining a license by cheating, or attempting to subvert the licensing
examination process. Conduct that subverts or attempts to subvert the licensing examination
process includes, but is not limited to: (i) conduct that violates the security of the examination
materials, such as removing examination materials from the examination room or having
unauthorized possession of any portion of a future, current, or previously administered
licensing examination; (ii) conduct that violates the standard of test administration, such as
communicating with another examinee during administration of the examination, copying
another examinee's answers, permitting another examinee to copy one's answers, or
possessing unauthorized materials; or (iii) impersonating an examinee or permitting an
impersonator to take the examination on one's own behalf;

(3) for a pharmacist, pharmacy technician, pharmacist intern, applicant for a pharmacist
or pharmacy license, or applicant for a pharmacy technician or pharmacist intern registration,
conviction of a felony reasonably related to the practice of pharmacy. Conviction as used
in this subdivision includes a conviction of an offense that if committed in this state would
be deemed a felony without regard to its designation elsewhere, or a criminal proceeding
where a finding or verdict of guilt is made or returned but the adjudication of guilt is either
withheld or not entered thereon. The board may delay the issuance of a new license or
registration if the applicant has been charged with a felony until the matter has been
adjudicated;

(4) for a facility, other than a pharmacy, licensed or registered by the board, if an owner
or applicant is convicted of a felony reasonably related to the operation of the facility. The
board may delay the issuance of a new license or registration if the owner or applicant has
been charged with a felony until the matter has been adjudicated;

(5) for a controlled substance researcher, conviction of a felony reasonably related to
controlled substances or to the practice of the researcher's profession. The board may delay
the issuance of a registration if the applicant has been charged with a felony until the matter
has been adjudicated;

(6) disciplinary action taken by another state or by one of this state's health licensing
agencies:

(i) revocation, suspension, restriction, limitation, or other disciplinary action against a
license or registration in another state or jurisdiction, failure to report to the board that
charges or allegations regarding the person's license or registration have been brought in
another state or jurisdiction, or having been refused a license or registration by any other
state or jurisdiction. The board may delay the issuance of a new license or registration if an
investigation or disciplinary action is pending in another state or jurisdiction until the
investigation or action has been dismissed or otherwise resolved; and

(ii) revocation, suspension, restriction, limitation, or other disciplinary action against a
license or registration issued by another of this state's health licensing agencies, failure to
report to the board that charges regarding the person's license or registration have been
brought by another of this state's health licensing agencies, or having been refused a license
or registration by another of this state's health licensing agencies. The board may delay the
issuance of a new license or registration if a disciplinary action is pending before another
of this state's health licensing agencies until the action has been dismissed or otherwise
resolved;

(7) for a pharmacist, pharmacy, pharmacy technician, or pharmacist intern, violation of
any order of the board, of any of the provisions of this chapter or any rules of the board or
violation of any federal, state, or local law or rule reasonably pertaining to the practice of
pharmacy;

(8) for a facility, other than a pharmacy, licensed by the board, violations of any order
of the board, of any of the provisions of this chapter or the rules of the board or violation
of any federal, state, or local law relating to the operation of the facility;

(9) engaging in any unethical conduct; conduct likely to deceive, defraud, or harm the
public, or demonstrating a willful or careless disregard for the health, welfare, or safety of
a patient; or pharmacy practice that is professionally incompetent, in that it may create
unnecessary danger to any patient's life, health, or safety, in any of which cases, proof of
actual injury need not be established;

(10) aiding or abetting an unlicensed person in the practice of pharmacy, except that it
is not a violation of this clause for a pharmacist to supervise a properly registered pharmacy
technician or pharmacist intern if that person is performing duties allowed by this chapter
or the rules of the board;

(11) for an individual licensed or registered by the board, adjudication as mentally ill
or developmentally disabled, or as a chemically dependent person, a person dangerous to
the public, a sexually dangerous person, or a person who has a sexual psychopathic
personality, by a court of competent jurisdiction, within or without this state. Such
adjudication shall automatically suspend a license for the duration thereof unless the board
orders otherwise;

(12) for a pharmacist or pharmacy intern, engaging in unprofessional conduct as specified
in the board's rules. In the case of a pharmacy technician, engaging in conduct specified in
board rules that would be unprofessional if it were engaged in by a pharmacist or pharmacist
intern or performing duties specifically reserved for pharmacists under this chapter or the
rules of the board;

(13) for a pharmacy, operation of the pharmacy without a pharmacist present and on
duty except as allowed by a variance approved by the board;

(14) for a pharmacist, the inability to practice pharmacy with reasonable skill and safety
to patients by reason of illness, use of alcohol, drugs, narcotics, chemicals, or any other type
of material or as a result of any mental or physical condition, including deterioration through
the aging process or loss of motor skills. In the case of registered pharmacy technicians,
pharmacist interns, or controlled substance researchers, the inability to carry out duties
allowed under this chapter or the rules of the board with reasonable skill and safety to
patients by reason of illness, use of alcohol, drugs, narcotics, chemicals, or any other type
of material or as a result of any mental or physical condition, including deterioration through
the aging process or loss of motor skills;

(15) for a pharmacist, pharmacy, pharmacist intern, pharmacy technician, medical gas
deleted text begin distributordeleted text endnew text begin dispensernew text end, or controlled substance researcher, revealing a privileged
communication from or relating to a patient except when otherwise required or permitted
by law;

(16) for a pharmacist or pharmacy, improper management of patient records, including
failure to maintain adequate patient records, to comply with a patient's request made pursuant
to sections 144.291 to 144.298, or to furnish a patient record or report required by law;

(17) fee splitting, including without limitation:

(i) paying, offering to pay, receiving, or agreeing to receive, a commission, rebate,
kickback, or other form of remuneration, directly or indirectly, for the referral of patients;

(ii) referring a patient to any health care provider as defined in sections 144.291 to
144.298 in which the licensee or registrant has a financial or economic interest as defined
in section 144.6521, subdivision 3, unless the licensee or registrant has disclosed the
licensee's or registrant's financial or economic interest in accordance with section 144.6521;
and

(iii) any arrangement through which a pharmacy, in which the prescribing practitioner
does not have a significant ownership interest, fills a prescription drug order and the
prescribing practitioner is involved in any manner, directly or indirectly, in setting the price
for the filled prescription that is charged to the patient, the patient's insurer or pharmacy
benefit manager, or other person paying for the prescription or, in the case of veterinary
patients, the price for the filled prescription that is charged to the client or other person
paying for the prescription, except that a veterinarian and a pharmacy may enter into such
an arrangement provided that the client or other person paying for the prescription is notified,
in writing and with each prescription dispensed, about the arrangement, unless such
arrangement involves pharmacy services provided for livestock, poultry, and agricultural
production systems, in which case client notification would not be required;

(18) engaging in abusive or fraudulent billing practices, including violations of the
federal Medicare and Medicaid laws or state medical assistance laws or rules;

(19) engaging in conduct with a patient that is sexual or may reasonably be interpreted
by the patient as sexual, or in any verbal behavior that is seductive or sexually demeaning
to a patient;

(20) failure to make reports as required by section 151.072 or to cooperate with an
investigation of the board as required by section 151.074;

(21) knowingly providing false or misleading information that is directly related to the
care of a patient unless done for an accepted therapeutic purpose such as the dispensing and
administration of a placebo;

(22) aiding suicide or aiding attempted suicide in violation of section 609.215 as
established by any of the following:

(i) a copy of the record of criminal conviction or plea of guilty for a felony in violation
of section 609.215, subdivision 1 or 2;

(ii) a copy of the record of a judgment of contempt of court for violating an injunction
issued under section 609.215, subdivision 4;

(iii) a copy of the record of a judgment assessing damages under section 609.215,
subdivision 5; or

(iv) a finding by the board that the person violated section 609.215, subdivision 1 or 2.
The board deleted text beginshalldeleted text endnew text begin mustnew text end investigate any complaint of a violation of section 609.215, subdivision
1 or 2;

(23) for a pharmacist, practice of pharmacy under a lapsed or nonrenewed license. For
a pharmacist intern, pharmacy technician, or controlled substance researcher, performing
duties permitted to such individuals by this chapter or the rules of the board under a lapsed
or nonrenewed registration. For a facility required to be licensed under this chapter, operation
of the facility under a lapsed or nonrenewed license or registration; and

(24) for a pharmacist, pharmacist intern, or pharmacy technician, termination or discharge
from the health professionals services program for reasons other than the satisfactory
completion of the program.

Sec. 7.

Minnesota Statutes 2018, section 151.071, subdivision 8, is amended to read:


Subd. 8.

Temporary suspension of license for pharmacies, drug wholesalers, drug
manufacturers, medical gas manufacturers, and medical gas deleted text begindistributorsdeleted text endnew text begin dispensersnew text end.

In
addition to any other remedy provided by law, the board may, without a hearing, temporarily
suspend the license or registration of a pharmacy, drug wholesaler, drug manufacturer,
medical gas manufacturer, or medical gas deleted text begindistributordeleted text endnew text begin dispensernew text end if the board finds that the
licensee or registrant has violated a statute or rule that the board is empowered to enforce
and continued operation of the licensed facility would create a serious risk of harm to the
public. The suspension deleted text beginshalldeleted text endnew text begin mustnew text end take effect upon written notice to the licensee or registrant,
specifying the statute or rule violated. The suspension deleted text beginshalldeleted text endnew text begin mustnew text end remain in effect until the
board issues a final order in the matter after a hearing. At the time it issues the suspension
notice, the board deleted text beginshalldeleted text endnew text begin mustnew text end schedule a disciplinary hearing to be held pursuant to the
Administrative Procedure Act. The licensee or registrant deleted text beginshalldeleted text endnew text begin mustnew text end be provided with at
least 20 days' notice of any hearing held pursuant to this subdivision. The hearing deleted text beginshalldeleted text endnew text begin mustnew text end
be scheduled to begin no later than 30 days after the issuance of the suspension order.

Sec. 8.

Minnesota Statutes 2019 Supplement, section 151.19, subdivision 3, is amended
to read:


Subd. 3.

Sale of federally restricted medical gases.

(a) A person or establishment not
licensed as a pharmacy or a practitioner deleted text beginshalldeleted text endnew text begin mustnew text end not engage in the retail sale or deleted text begindistributiondeleted text endnew text begin
dispensing
new text end of federally restricted medical gases without first obtaining a registration from
the board and paying the applicable fee specified in section 151.065. The registration deleted text beginshalldeleted text endnew text begin
must
new text end be displayed in a conspicuous place in the business for which it is issued and expires
on the date set by the board. It is unlawful for a person to sell or deleted text begindistributedeleted text endnew text begin dispensenew text end federally
restricted medical gases unless a certificate has been issued to that person by the board.

(b) Application for a medical gas deleted text begindistributordeleted text endnew text begin dispensernew text end registration under this section
deleted text begin shalldeleted text endnew text begin mustnew text end be made in a manner specified by the board.

(c) deleted text beginNodeleted text endnew text begin Anew text end registration deleted text beginshalldeleted text endnew text begin must notnew text end be issued or renewed for a medical gas deleted text begindistributordeleted text endnew text begin
dispenser
new text end located within the state unless the applicant agrees to operate in a manner prescribed
by federal and state law and according to the rules adopted by the board. deleted text beginNodeleted text endnew text begin Anew text end license deleted text beginshalldeleted text endnew text begin
must not
new text end be issued for a medical gas deleted text begindistributordeleted text endnew text begin dispensernew text end located outside of the state unless
the applicant agrees to operate in a manner prescribed by federal law and, when deleted text begindistributingdeleted text endnew text begin
dispensing
new text end medical gases for residents of this state, the laws of this state and Minnesota
Rules.

(d) deleted text beginNodeleted text endnew text begin Anew text end registration deleted text beginshalldeleted text endnew text begin must notnew text end be issued or renewed for a medical gas deleted text begindistributordeleted text endnew text begin
dispenser
new text end that is required to be licensed or registered by the state in which it is physically
located unless the applicant supplies the board with proof of the licensure or registration.
The board may, by rule, establish standards for the registration of a medical gas deleted text begindistributordeleted text endnew text begin
dispenser
new text end that is not required to be licensed or registered by the state in which it is physically
located.

(e) The board deleted text beginshalldeleted text endnew text begin mustnew text end require a separate registration for each medical gas deleted text begindistributordeleted text endnew text begin
dispenser
new text end located within the state and for each facility located outside of the state from
which medical gases are deleted text begindistributeddeleted text endnew text begin dispensednew text end to residents of this state.

(f) Prior to the issuance of an initial or renewed registration for a medical gas deleted text begindistributordeleted text endnew text begin
dispenser
new text end, the board may require the medical gas deleted text begindistributordeleted text endnew text begin dispensernew text end to pass an inspection
conducted by an authorized representative of the board. In the case of a medical gas
deleted text begin distributordeleted text endnew text begin dispensernew text end located outside of the state, the board may require the applicant to pay
the cost of the inspection, in addition to the license fee in section 151.065, unless the applicant
furnishes the board with a report, issued by the appropriate regulatory agency of the state
in which the facility is located, of an inspection that has occurred within the 24 months
immediately preceding receipt of the license application by the board. The board may deny
licensure unless the applicant submits documentation satisfactory to the board that any
deficiencies noted in an inspection report have been corrected.

Sec. 9.

Minnesota Statutes 2019 Supplement, section 151.252, subdivision 1, is amended
to read:


Subdivision 1.

Requirements.

(a) No person shall act as a drug manufacturer without
first obtaining a license from the board and paying any applicable fee specified in section
151.065.

(b) In addition to the license required under paragraph (a), each manufacturer required
to pay the registration fee under section 151.066 must pay the fee by June 1 of each year,
beginning June 1, 2020. In the event of a change of ownership of the manufacturer, the new
owner must pay the registration fee specified under section 151.066, subdivision 3, that the
original owner would have been assessed had the original owner retained ownership. The
registration fee collected under this paragraph shall be deposited in the opiate epidemic
response deleted text beginaccountdeleted text endnew text begin fundnew text end established under section 256.043.

(c) Application for a drug manufacturer license under this section shall be made in a
manner specified by the board.

(d) No license shall be issued or renewed for a drug manufacturer unless the applicant
agrees to operate in a manner prescribed by federal and state law and according to Minnesota
Rules.

(e) No license shall be issued or renewed for a drug manufacturer that is required to be
registered pursuant to United States Code, title 21, section 360, unless the applicant supplies
the board with proof of registration. The board may establish by rule the standards for
licensure of drug manufacturers that are not required to be registered under United States
Code, title 21, section 360.

(f) No license shall be issued or renewed for a drug manufacturer that is required to be
licensed or registered by the state in which it is physically located unless the applicant
supplies the board with proof of licensure or registration. The board may establish, by rule,
standards for the licensure of a drug manufacturer that is not required to be licensed or
registered by the state in which it is physically located.

(g) The board shall require a separate license for each facility located within the state at
which drug manufacturing occurs and for each facility located outside of the state at which
drugs that are shipped into the state are manufactured, except a manufacturer of
opiate-containing controlled substances shall not be required to pay the fee under section
151.065, subdivision 1, clause (16), or subdivision 3, clause (14), for more than one facility.

(h) Prior to the issuance of an initial or renewed license for a drug manufacturing facility,
the board may require the facility to pass a current good manufacturing practices inspection
conducted by an authorized representative of the board. In the case of a drug manufacturing
facility located outside of the state, the board may require the applicant to pay the cost of
the inspection, in addition to the license fee in section 151.065, unless the applicant furnishes
the board with a report, issued by the appropriate regulatory agency of the state in which
the facility is located or by the United States Food and Drug Administration, of an inspection
that has occurred within the 24 months immediately preceding receipt of the license
application by the board. The board may deny licensure unless the applicant submits
documentation satisfactory to the board that any deficiencies noted in an inspection report
have been corrected.

Sec. 10.

Minnesota Statutes 2019 Supplement, section 152.11, subdivision 1, is amended
to read:


Subdivision 1.

General prescription requirements for controlled substances.

(a) A
written prescription or an oral prescription reduced to writing, when issued for a controlled
substance in Schedule II, III, IV, or V, is void unless (1) it is written in ink and contains the
name and address of the person for whose use it is intended; (2) it states the amount of the
controlled substance to be compounded or dispensed, with directions for its use; (3) if a
written prescription, it contains the handwritten signature, address, and federal registry
number of the prescriber and a designation of the branch of the healing art pursued by the
prescriber; and if an oral prescription, the name and address of the prescriber and a
designation of the prescriber's branch of the healing art; and (4) it shows the date when
signed by the prescriber, or the date of acceptance in the pharmacy if an oral prescription.

(b) An electronic prescription for a controlled substance in Schedule II, III, IV, or V is
void unless it complies with the standards established pursuant to section 62J.497 and with
those portions of Code of Federal Regulations, title 21, parts 1300, 1304, 1306, and 1311,
that pertain to electronic prescriptions.

(c) A prescription for a controlled substance in Schedule II, III, IV, or V that is transmitted
by facsimile, either computer to facsimile machine or facsimile machine to facsimile machine,
is void unless it complies with the applicable requirements of Code of Federal Regulations,
title 21, part 1306.

(d) Every licensed pharmacy that dispenses a controlled substance prescription shall
retain the original prescription in a file for a period of not less than two years, open to
inspection by any officer of the state, county, or municipal government whose duty it is to
aid and assist with the enforcement of this chapter. An original electronic or facsimile
prescription may be stored in an electronic database, provided that the database provides a
means by which original prescriptions can be retrieved, as transmitted to the pharmacy, for
a period of not less than two years.

(e) Every licensed pharmacy shall distinctly label the container in which a controlled
substance is dispensed with the directions contained in the prescription for the use of that
controlled substance.

deleted text begin (f) No prescription for an opiate or narcotic pain reliever listed in Schedules II through
IV of section 152.02 may be initially dispensed more than 30 days after the date on which
the prescription was issued. No subsequent refills indicated on a prescription for a Schedule
III or IV opiate or narcotic pain reliever may be dispensed more than 30 days after the
previous date on which the prescription was initially filled or refilled. After the authorized
refills for Schedule III or IV opiate or narcotic pain relievers have been used up or are
expired, no additional authorizations may be accepted for that prescription. If continued
therapy is necessary, a new prescription must be issued by the prescriber.
deleted text end

Sec. 11.

Minnesota Statutes 2019 Supplement, section 256.042, subdivision 2, is amended
to read:


Subd. 2.

Membership.

(a) The council shall consist of the following 19 voting members,
appointed by the commissioner of human services except as otherwise specified, and three
nonvoting members:

(1) two members of the house of representatives, appointed in the following sequence:
the first from the majority party appointed by the speaker of the house and the second from
the minority party appointed by the minority leader. Of these two members, one member
must represent a district outside of the seven-county metropolitan area, and one member
must represent a district that includes the seven-county metropolitan area. The appointment
by the minority leader must ensure that this requirement for geographic diversity in
appointments is met;

(2) two members of the senate, appointed in the following sequence: the first from the
majority party appointed by the senate majority leader and the second from the minority
party appointed by the senate minority leader. Of these two members, one member must
represent a district outside of the seven-county metropolitan area and one member must
represent a district that includes the seven-county metropolitan area. The appointment by
the minority leader must ensure that this requirement for geographic diversity in appointments
is met;

(3) one member appointed by the Board of Pharmacy;

(4) one member who is a physician appointed by the Minnesota Medical Association;

(5) one member representing opioid treatment programs, sober living programs, or
substance use disorder programs licensed under chapter 245G;

(6) one member appointed by the Minnesota Society of Addiction Medicine who is an
addiction psychiatrist;

(7) one member representing professionals providing alternative pain management
therapies, including, but not limited to, acupuncture, chiropractic, or massage therapy;

(8) one member representing nonprofit organizations conducting initiatives to address
the opioid epidemic, with the commissioner's initial appointment being a member
representing the Steve Rummler Hope Network, and subsequent appointments representing
this or other organizations;

(9) one member appointed by the Minnesota Ambulance Association who is serving
with an ambulance service as an emergency medical technician, advanced emergency
medical technician, or paramedic;

(10) one member representing the Minnesota courts who is a judge or law enforcement
officer;

(11) one public member who is a Minnesota resident and who is in opioid addiction
recovery;

(12) two members representing Indian tribes, one representing the Ojibwe tribes and
one representing the Dakota tribes;

(13) one public member who is a Minnesota resident and who is suffering from chronic
pain, intractable pain, or a rare disease or condition;

(14) one mental health advocate representing persons with mental illness;

(15) one member deleted text beginrepresentingdeleted text endnew text begin appointed bynew text end the Minnesota Hospital Association;

(16) one member representing a local health department; and

(17) the commissioners of human services, health, and corrections, or their designees,
who shall be ex officio nonvoting members of the council.

(b) The commissioner of human services shall coordinate the commissioner's
appointments to provide geographic, racial, and gender diversity, and shall ensure that at
least one-half of council members appointed by the commissioner reside outside of the
seven-county metropolitan area. Of the members appointed by the commissioner, to the
extent practicable, at least one member must represent a community of color
disproportionately affected by the opioid epidemic.

(c) The council is governed by section 15.059, except that members of the council new text beginshall
serve three-year terms and
new text endshall receive no compensation other than reimbursement for
expenses. Notwithstanding section 15.059, subdivision 6, the council shall not expire.

(d) The chair shall convene the council at least quarterly, and may convene other meetings
as necessary. The chair shall convene meetings at different locations in the state to provide
geographic access, and shall ensure that at least one-half of the meetings are held at locations
outside of the seven-county metropolitan area.

(e) The commissioner of human services shall provide staff and administrative services
for the advisory council.

(f) The council is subject to chapter 13D.

Sec. 12.

Minnesota Statutes 2019 Supplement, section 256.042, subdivision 4, is amended
to read:


Subd. 4.

Grants.

(a) The commissioner of human services shall submit a report of the
grants proposed by the advisory council to be awarded for the upcoming fiscal year to the
chairs and ranking minority members of the legislative committees with jurisdiction over
health and human services policy and finance, by March 1 of each year, beginning March
1, 2020.

(b) The commissioner of human services shall award grants from the opiate epidemic
response deleted text beginaccountdeleted text endnew text begin fundnew text end under section 256.043. The grants shall be awarded to proposals
selected by the advisory council that address the priorities in subdivision 1, paragraph (a),
clauses (1) to (4), unless otherwise appropriated by the legislature. No more than three
percent of the grant amount may be used by a grantee for administration.

Sec. 13.

Minnesota Statutes 2019 Supplement, section 256.043, is amended to read:


256.043 OPIATE EPIDEMIC RESPONSE deleted text beginACCOUNTdeleted text endnew text begin FUNDnew text end.

Subdivision 1.

Establishment.

The opiate epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end is established
in the deleted text beginspecial revenue fund in thedeleted text end state treasury. The registration fees assessed by the Board
of Pharmacy under section 151.066 and the license fees identified in section 151.065,
subdivision 7
, paragraphs (b) and (c), shall be deposited into the deleted text beginaccountdeleted text endnew text begin fundnew text end. Beginning
in fiscal year 2021, for each fiscal year, the deleted text beginfunds in the accountdeleted text endnew text begin fundnew text end shall be administered
according to this section.

deleted text begin Subd. 2. deleted text end

deleted text begin Transfers from account to state agencies. deleted text end

deleted text begin (a) The commissioner shall transfer
the following amounts to the agencies specified in this subdivision.
deleted text end

deleted text begin (b) $126,000 to the Board of Pharmacy for the collection of the registration fees under
section 151.066.
deleted text end

deleted text begin (c) $672,000 to the commissioner of public safety for the Bureau of Criminal
Apprehension. Of this amount, $384,000 is for drug scientists and lab supplies and $288,000
is for special agent positions focused on drug interdiction and drug trafficking.
deleted text end

Subd. 3.

Appropriations from deleted text beginaccountdeleted text endnew text begin fundnew text end.

(a) After the deleted text begintransfers described in
subdivision 2, and the
deleted text end appropriations in new text beginLaws 2019, chapter 63, new text endarticle 3, section 1,
paragraphs (e), (f), (g), and (h) are made, $249,000 is appropriated new text beginto the commissioner of
human services
new text endfor the provision of administrative services to the Opiate Epidemic Response
Advisory Council and for the administration of the grants awarded under paragraph deleted text begin(c)deleted text endnew text begin (e)new text end.

new text begin (b) $126,000 is appropriated to the Board of Pharmacy for the collection of the registration
fees under section 151.066.
new text end

new text begin (c) $672,000 is appropriated to the commissioner of public safety for the Bureau of
Criminal Apprehension. Of this amount, $384,000 is for drug scientists and lab supplies
and $288,000 is for special agent positions focused on drug interdiction and drug trafficking.
new text end

deleted text begin (b)deleted text endnew text begin (d)new text end After the deleted text begintransfers in subdivision 2 and thedeleted text end appropriations in deleted text beginparagraphdeleted text endnew text begin paragraphsnew text end
(a)new text begin to (c)new text end are made, 50 percent of the remaining amount is appropriated to the commissioner
new text begin of human services new text endfor distribution to county social service and tribal social service agencies
to provide child protection services to children and families who are affected by addiction.
The commissioner shall distribute this money proportionally to counties and tribal social
service agencies based on out-of-home placement episodes where parental drug abuse is
the primary reason for the out-of-home placement using data from the previous calendar
year. County and tribal social service agencies receiving funds from the opiate epidemic
response deleted text beginaccountdeleted text endnew text begin fundnew text end must annually report to the commissioner on how the funds were
used to provide child protection services, including measurable outcomes, as determined
by the commissioner. County social service agencies and tribal social service agencies must
not use funds received under this paragraph to supplant current state or local funding received
for child protection services for children and families who are affected by addiction.

deleted text begin (c)deleted text endnew text begin (e)new text end After making the deleted text begintransfers in subdivision 2 and thedeleted text end appropriations in paragraphs
(a) deleted text beginand (b)deleted text endnew text begin to (d)new text end, the remaining deleted text beginfunds in the account aredeleted text endnew text begin amount in the fund isnew text end appropriated
to the commissioner to award grants as specified by the Opiate Epidemic Response Advisory
Council in accordance with section 256.042, unless otherwise appropriated by the legislature.

Subd. 4.

Settlement; sunset.

(a) If the state receives a total sum of $250,000,000 either
as a result of a settlement agreement or an assurance of discontinuance entered into by the
attorney general of the state, or resulting from a court order in litigation brought by the
attorney general of the state on behalf of the state or a state agency, against one or more
opioid manufacturers or opioid wholesale drug distributors related to alleged violations of
consumer fraud laws in the marketing, sale, or distribution of opioids in this state, or other
alleged illegal actions that contributed to the excessive use of opioids, or from the fees
collected under sections 151.065, subdivisions 1 and 3, and 151.066, that are deposited into
the opiate epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end established in new text beginthis new text endsection deleted text begin256.043deleted text end, or from a
combination of both, the fees specified in section 151.065, subdivisions 1, clause (16), and
3, clause (14), shall be reduced to $5,260, and the opiate registration fee in section 151.066,
subdivision 3
, shall be repealed.

(b) The commissioner of management and budget shall inform the board of pharmacy,
the governor, and the legislature when the amount specified in paragraph (a) has been
reached. The board shall apply the reduced license fee for the next licensure period.

(c) Notwithstanding paragraph (a), the reduction of the license fee in section 151.065,
subdivisions 1
and 3, and the repeal of the registration fee in section 151.066 shall not occur
before July 1, 2024.

Sec. 14.

Laws 2019, chapter 63, article 3, section 1, is amended to read:


Section 1. APPROPRIATIONS.

(a) Board of Pharmacy; administration. $244,000 in fiscal year 2020 is appropriated
from the general fund to the Board of Pharmacy for onetime information technology and
operating costs for administration of licensing activities under Minnesota Statutes, section
151.066. This is a onetime appropriation.

(b) Commissioner of human services; administration. $309,000 in fiscal year 2020
is appropriated from the general fund and $60,000 in fiscal year 2021 is appropriated from
the opiate epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end to the commissioner of human services for the
provision of administrative services to the Opiate Epidemic Response Advisory Council
and for the administration of the grants awarded under paragraphs (f), (g), and (h). The
opiate epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end base for this appropriation is $60,000 in fiscal year
2022, $60,000 in fiscal year 2023, $60,000 in fiscal year 2024, and $0 in fiscal year 2025.

(c) Board of Pharmacy; administration. $126,000 in fiscal year 2020 is appropriated
from the general fund to the Board of Pharmacy for the collection of the registration fees
under section 151.066.

(d) Commissioner of public safety; enforcement activities. $672,000 in fiscal year
2020 is appropriated from the general fund to the commissioner of public safety for the
Bureau of Criminal Apprehension. Of this amount, $384,000 is for drug scientists and lab
supplies and $288,000 is for special agent positions focused on drug interdiction and drug
trafficking.

(e) Commissioner of management and budget; evaluation activities. $300,000 in
fiscal year 2020 is appropriated from the general fund and $300,000 in fiscal year 2021 is
appropriated from the opiate epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end to the commissioner of
management and budget for evaluation activities under Minnesota Statutes, section 256.042,
subdivision 1
, paragraph (c). The opiate epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end base for this
appropriation is $300,000 in fiscal year 2022, $300,000 in fiscal year 2023, $300,000 in
fiscal year 2024, and $0 in fiscal year 2025.

(f) Commissioner of human services; grants for Project ECHO. $400,000 in fiscal
year 2020 is appropriated from the general fund and $400,000 in fiscal year 2021 is
appropriated from the opiate epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end to the commissioner of human
services for grants of $200,000 to CHI St. Gabriel's Health Family Medical Center for the
opioid-focused Project ECHO program and $200,000 to Hennepin Health Care for the
opioid-focused Project ECHO program. The opiate epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end base
for this appropriation is $400,000 in fiscal year 2022, $400,000 in fiscal year 2023, $400,000
in fiscal year 2024, and $0 in fiscal year 2025.

(g) Commissioner of human services; opioid overdose prevention grant. $100,000
in fiscal year 2020 is appropriated from the general fund and $100,000 in fiscal year 2021
is appropriated from the opiate epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end to the commissioner of
human services for a grant to a nonprofit organization that has provided overdose prevention
programs to the public in at least 60 counties within the state, for at least three years, has
received federal funding before January 1, 2019, and is dedicated to addressing the opioid
epidemic. The grant must be used for opioid overdose prevention, community asset mapping,
education, and overdose antagonist distribution. The opiate epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end
base for this appropriation is $100,000 in fiscal year 2022, $100,000 in fiscal year 2023,
$100,000 in fiscal year 2024, and $0 in fiscal year 2025.

(h) Commissioner of human services; traditional healing. $2,000,000 in fiscal year
2020 is appropriated from the general fund and $2,000,000 in fiscal year 2021 is appropriated
from the opiate epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end to the commissioner of human services to
award grants to tribal nations and five urban Indian communities for traditional healing
practices to American Indians and to increase the capacity of culturally specific providers
in the behavioral health workforce. The opiate epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end base for
this appropriation is $2,000,000 in fiscal year 2022, $2,000,000 in fiscal year 2023,
$2,000,000 in fiscal year 2024, and $0 in fiscal year 2025.

(i) Board of Dentistry; continuing education. $11,000 in fiscal year 2020 is
appropriated from the state government special revenue fund to the Board of Dentistry to
implement the continuing education requirements under Minnesota Statutes, section 214.12,
subdivision 6
.

(j) Board of Medical Practice; continuing education. $17,000 in fiscal year 2020 is
appropriated from the state government special revenue fund to the Board of Medical Practice
to implement the continuing education requirements under Minnesota Statutes, section
214.12, subdivision 6.

(k) Board of Nursing; continuing education. $17,000 in fiscal year 2020 is appropriated
from the state government special revenue fund to the Board of Nursing to implement the
continuing education requirements under Minnesota Statutes, section 214.12, subdivision
6
.

(l) Board of Optometry; continuing education. $5,000 in fiscal year 2020 is
appropriated from the state government special revenue fund to the Board of Optometry to
implement the continuing education requirements under Minnesota Statutes, section 214.12,
subdivision 6
.

(m) Board of Podiatric Medicine; continuing education. $5,000 in fiscal year 2020
is appropriated from the state government special revenue fund to the Board of Podiatric
Medicine to implement the continuing education requirements under Minnesota Statutes,
section 214.12, subdivision 6.

(n) Commissioner of health; nonnarcotic pain management and wellness. $1,250,000
is appropriated in fiscal year 2020 from the general fund to the commissioner of health, to
provide funding for:

(1) statewide mapping and assessment of community-based nonnarcotic pain management
and wellness resources; and

(2) up to five demonstration projects in different geographic areas of the state to provide
community-based nonnarcotic pain management and wellness resources to patients and
consumers.

The demonstration projects must include an evaluation component and scalability analysis.
The commissioner shall award the grant for the statewide mapping and assessment, and the
demonstration project grants, through a competitive request for proposal process. Grants
for statewide mapping and assessment and demonstration projects may be awarded
simultaneously. In awarding demonstration project grants, the commissioner shall give
preference to proposals that incorporate innovative community partnerships, are informed
and led by people in the community where the project is taking place, and are culturally
relevant and delivered by culturally competent providers. This is a onetime appropriation.

(o) Commissioner of health; administration. $38,000 in fiscal year 2020 is appropriated
from the general fund to the commissioner of health for the administration of the grants
awarded in paragraph (n).

Sec. 15.

Laws 2019, chapter 63, article 3, section 2, is amended to read:


Sec. 2. TRANSFER.

By June 30, 2021, the commissioner of human services shall transfer $5,439,000 from
the opiate epidemic response deleted text beginaccountdeleted text endnew text begin fundnew text end to the general fund. This is a onetime transfer.