2005 -- S 0560

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LC01071

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STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2005

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A N A C T

RELATING TO STATE AFFAIRS AND GOVERNMENT -- STATE PHARMACEUTICAL

PURCHASES

     

     

     Introduced By: Senators Badeau, Cote, Connors, Felag, and Lanzi

     Date Introduced: February 10, 2005

     Referred To: Senate Health & Human Services

It is enacted by the General Assembly as follows:

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     SECTION 1. Title 42 of the General Laws entitled "State Affairs and Government" is

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hereby amended by adding thereto the following chapter:

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     CHAPTER 140

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STATE PHARMACEUTICAL PURCHASES

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     42-140-1.Contracts. – Any state entity that uses state funds to purchase pharmaceuticals

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is authorized, empowered and directed to enter into exclusive or nonexclusive contracts with

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manufacturers or suppliers of pharmaceuticals to purchase pharmaceuticals pursuant to section

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42-135-3(b). The manufacturers and suppliers shall include, but are not limited to, Canadian

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sources. The contracts shall be entered into in accordance with the state purchasing law, sections

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37-2-1 et. seq. Those state entities may obtain from those manufacturers and suppliers, discounts,

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rebates, or refunds based on quantities purchased insofar as permissible under federal law.

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     42-140-2. Safegaurds. – All contracts entered into under this chapter shall include

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appropriate safeguards, and oversight and regulatory requirements, to ensure Rhode Island's

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public safety. These oversight and regulatory requirements shall comply with the safety and drug

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efficacy standards established by the Federal Food, Drug, and Cosmetic Act (FFDCA) and by the

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Food and Drug Administration (FDA). At a minimum, these requirements shall ensure the

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purchase of only FDA approved drugs, including so called version specific drugs. All

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pharmaceuticals purchased shall meet FDA requirements relating to the product, including, but

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not limited to, manufacturing location, formulation, sources and specifications of active

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ingredients, processing methods, manufacturing controls, container/closure systems and

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appearance. Oversight and regulatory requirements shall ensure that the acquisition, shipping,

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distribution, labeling, and information disclosure of all medication comply with the United States

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pharmaceutical industry practices and FDA standards.

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     42-140-3. Waiver. – The state shall seek appropriate federal waivers as necessary to

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comply with the Medicare Prescription Drug, Improvement and Modernization Act of 2003 (P.L.

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108-173) and any other applicable federal law or regulation.

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     SECTION 2. This act shall take effect upon passage.

     

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LC01071

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N A C T

RELATING TO STATE AFFAIRS AND GOVERNMENT -- STATE PHARMACEUTICAL

PURCHASES

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     This act would authorize and direct and state entity that uses state funds to purchase

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pharmaceuticals to enter into exclusive or nonexclusive contracts with manufacturers or suppliers

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for the purchase of pharmaceuticals.

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     This act would take effect upon passage.

     

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LC01071

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S0560