COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



L.R. No.: 3666-01

Bill No.: SB 1160

Subject: Drugs and Controlled Substances; Health Care; Health Care Professionals; Health Department; Hospitals; Pharmacy

Type: Original

Date: February 16, 2004




FISCAL SUMMARY



ESTIMATED NET EFFECT ON GENERAL REVENUE FUND
FUND AFFECTED FY 2005 FY 2006 FY 2007
Total Estimated

Net Effect on

General Revenue

Fund

$0 $0 $0



ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED FY 2005 FY 2006 FY 2007
Total Estimated

Net Effect on All

State Funds

$0 $0 $0



Numbers within parentheses: ( ) indicate costs or losses.

This fiscal note contains 4 pages.











ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 2005 FY 2006 FY 2007
Total Estimated

Net Effect on All

Federal Funds

$0 $0 $0



ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 2005 FY 2006 FY 2007
Local Government $0 $0 $0




FISCAL ANALYSIS



ASSUMPTION



Officials from the Department of Social Services assume this proposal would not fiscally impact their agency.



The Department of Economic Development- Division of Professional Registration (DED-PR) did not respond to our fiscal note request. However, in a similar proposal, the DED-PR assumed there would be no fiscal impact.



Officials from the Department of Health and Senior Services (DOH) did not respond to our fiscal note request. However, in a similar proposal the DOH stated there would be no fiscal impact as a result of this proposal.



Oversight assumes this proposal would require the DOH to take on additional responsibilities. Since the DOH states there would be no fiscal impact, Oversight assumes the DOH plans to absorb any additional costs.



Officials from the Secretary of State Office (SOS) state this proposal assigns the Department of Health and Senior Services administration with help from the Department of Economic

ASSUMPTION (continued)



Development, a drug repository program. The Department of Health and Senior Services is charged with creating rules to administer this program, as well as establish fees therefor. These rules would be published in both the Missouri Register and the Code of State Regulations. These rules could require as many as 48 pages in the Code of State Regulations and half again as

many pages in the Missouri Register because cost statements, fiscal notes and the like are not repeated in Code. These costs are estimated. The estimated cost of a page in the Register is $23 and the estimated cost of a page in the Code is $27. The actual cost could be more or less than the numbers given. The impact of the legislation in future years is unknown and depends upon the frequency and length of rules filed, amended, rescinded or withdrawn. The SOS estimates the cost for FY 05 to be $2,952.



Oversight assumes the SOS could absorb the costs of printing and distributing regulations related to this proposal. If multiple bills pass which require the printing and distribution of

regulations at substantial costs, the SOS could request funding through the appropriation process. Any decisions to raise fees to defray costs would likely be made in subsequent fiscal years.

FISCAL IMPACT - State Government FY 2005

(10 Mo.)

FY 2006 FY 2007
$0 $0 $0



FISCAL IMPACT - Local Government FY 2005

(10 Mo.)

FY 2006 FY 2007
$0 $0 $0



FISCAL IMPACT - Small Business



Pharmacies that are small business would be required to store these products. Additional staff may be necessary to maintain the inventory and documentation. Additional staff may be needed to review donated medications to determine if the medications are appropriate and acceptable for donation.



DESCRIPTION



This proposal establishes the Prescription Drug Repository Program within the Department of Health and Senior Services by January 1, 2005. The program shall accept and dispense donated DESCRIPTION (Continued)



prescription drugs to eligible Missouri residents. Only sealed and unopened prescription drugs will be accepted.



Any person or entity may donate prescription drugs at any pharmacy, hospital, or non-profit clinic that elects to participate in the program. These participating pharmacies, hospitals, and non-profit clinics shall dispense the donated prescription drugs to eligible Missouri residents in compliance with federal and state drug laws. Persons receiving the donated prescription drugs may be charged a handling fee. However, the donated prescription drugs must not be resold. Any person or entity who acts in good faith relating to the provisions of this act shall not be subject to civil or criminal liability.



The Director of the Department of Health and Senior Services, in consultation with the State Board of Pharmacy, must promulgate rules to implement this program.



This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space.



SOURCES OF INFORMATION



Secretary of State

Department of Social Services



Not Responding: Department of Economic Development - Division of Professional Registration and Department of Health and Senior Services







Mickey Wilson, CPA

Director

February 16, 2004