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HB 377: "An Act restricting the dispensing, administering, and repackaging of certain controlled substances for employees receiving workers' compensation benefits."

00 HOUSE BILL NO. 377 01 "An Act restricting the dispensing, administering, and repackaging of certain controlled 02 substances for employees receiving workers' compensation benefits." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 08.36.070(a) is amended to read: 05 (a) The board shall 06 (1) provide for the examination of applicants and the credentialing, 07 registration, and licensure of those applicants it finds qualified; 08 (2) maintain a registry of licensed dentists, licensed dental hygienists, 09 and registered dental assistants who are in good standing; 10 (3) affiliate with the American Association of Dental Boards and pay 11 annual dues to the association; 12 (4) hold hearings and order the disciplinary sanction of a person who 13 violates this chapter, AS 08.32, or a regulation of the board; 14 (5) supply forms for applications, licenses, permits, certificates,

01 registration documents, and other papers and records; 02 (6) enforce the provisions of this chapter and AS 08.32 and adopt or 03 amend the regulations necessary to make the provisions of this chapter and AS 08.32 04 effective; 05 (7) adopt regulations ensuring that renewal of a license, registration, or 06 certificate under this chapter or a license, certificate, or endorsement under AS 08.32 07 is contingent upon proof of continued professional competence; 08 (8) at least annually, cause to be published on the Internet and in a 09 newspaper of general circulation in each major city in the state a summary of 10 disciplinary actions the board has taken during the preceding calendar year; 11 (9) issue permits or certificates to licensed dentists, licensed dental 12 hygienists, and dental assistants who meet standards determined by the board for 13 specific procedures that require specific education and training; 14 (10) adopt regulations necessary to implement the requirements of 15 AS 23.30.095(p). 16 * Sec. 2. AS 08.36.315 is amended to read: 17 Sec. 08.36.315. Grounds for discipline, suspension, or revocation of license. 18 The board may revoke or suspend the license of a dentist, or may reprimand, censure, 19 or discipline a dentist, or both, if the board finds after a hearing that the dentist 20 (1) used or knowingly cooperated in deceit, fraud, or intentional 21 misrepresentation to obtain a license; 22 (2) engaged in deceit, fraud, or intentional misrepresentation in the 23 course of providing or billing for professional dental services or engaging in 24 professional activities; 25 (3) advertised professional dental services in a false or misleading 26 manner; 27 (4) received compensation for referring a person to another dentist or 28 dental practice; 29 (5) has been convicted of a felony or other crime that affects the 30 dentist's ability to continue to practice dentistry competently and safely; 31 (6) engaged in the performance of patient care, or permitted the

01 performance of patient care by persons under the dentist's supervision, regardless of 02 whether actual injury to the patient occurred, 03 (A) that did not conform to minimum professional standards of 04 dentistry; or 05 (B) when the dentist, or a person under the supervision of the 06 dentist, did not have the permit, registration, or certificate required under 07 AS 08.32 or this chapter; 08 (7) failed to comply with this chapter, with a regulation adopted under 09 this chapter, or with an order of the board; 10 (8) continued to practice after becoming unfit due to 11 (A) professional incompetence; 12 (B) addiction or dependence on alcohol or other drugs that 13 impair the dentist's ability to practice safely; 14 (C) physical or mental disability; 15 (9) engaged in lewd or immoral conduct in connection with the 16 delivery of professional service to patients; 17 (10) permitted a dental hygienist or dental assistant who is employed 18 by the dentist or working under the dentist's supervision to perform a dental procedure 19 in violation of AS 08.32.110 or AS 08.36.346; 20 (11) failed to report to the board a death that occurred on the premises 21 used for the practice of dentistry within 48 hours; 22 (12) falsified or destroyed patient or facility records or failed to 23 maintain a patient or facility record for at least seven years after the date the record 24 was created; 25 (13) dispensed or repackaged a controlled substance in a manner 26 inconsistent with AS 23.30.095(p) or the regulations adopted under AS 08.36.070 27 to implement that section. 28 * Sec. 3. AS 08.64.101 is amended to read: 29 Sec. 08.64.101. Duties. The board shall 30 (1) examine and issue licenses to applicants; 31 (2) develop written guidelines to ensure that licensing requirements are

01 not unreasonably burdensome and the issuance of licenses is not unreasonably 02 withheld or delayed; 03 (3) after a hearing, impose disciplinary sanctions on persons who 04 violate this chapter or the regulations or orders of the board; 05 (4) adopt regulations ensuring that renewal of licenses is contingent 06 upon proof of continued competency on the part of the licensee; [AND] 07 (5) under regulations adopted by the board, contract with private 08 professional organizations to establish an impaired medical professionals program to 09 identify, confront, evaluate, and treat persons licensed under this chapter who abuse 10 alcohol, other drugs, or other substances or are mentally ill or cognitively impaired; 11 and 12 (6) adopt regulations necessary to implement the requirements of 13 AS 23.30.095(p). 14 * Sec. 4. AS 08.64.326(a) is amended to read: 15 (a) The board may impose a sanction if the board finds after a hearing that a 16 licensee 17 (1) secured a license through deceit, fraud, or intentional 18 misrepresentation; 19 (2) engaged in deceit, fraud, or intentional misrepresentation while 20 providing professional services or engaging in professional activities; 21 (3) advertised professional services in a false or misleading manner; 22 (4) has been convicted, including conviction based on a guilty plea or 23 plea of nolo contendere, of 24 (A) a class A or unclassified felony or a crime in another 25 jurisdiction with elements similar to a class A or unclassified felony in this 26 jurisdiction; 27 (B) a class B or class C felony or a crime in another jurisdiction 28 with elements similar to a class B or class C felony in this jurisdiction if the 29 felony or other crime is substantially related to the qualifications, functions, or 30 duties of the licensee; or 31 (C) a crime involving the unlawful procurement, sale,

01 prescription, or dispensing of drugs; 02 (5) has procured, sold, prescribed, or dispensed drugs in violation of a 03 law regardless of whether there has been a criminal action; 04 (6) intentionally or negligently permitted the performance of patient 05 care by persons under the licensee's supervision that does not conform to minimum 06 professional standards even if the patient was not injured; 07 (7) failed to comply with this chapter, a regulation adopted under this 08 chapter, or an order of the board; 09 (8) has demonstrated 10 (A) professional incompetence, gross negligence, or repeated 11 negligent conduct; the board may not base a finding of professional 12 incompetence solely on the basis that a licensee's practice is unconventional or 13 experimental in the absence of demonstrable physical harm to a patient; 14 (B) addiction to, severe dependency on, or habitual overuse of 15 alcohol or other drugs that impairs the licensee's ability to practice safely; 16 (C) unfitness because of physical or mental disability; 17 (9) engaged in unprofessional conduct, in sexual misconduct, or in 18 lewd or immoral conduct in connection with the delivery of professional services to 19 patients; in this paragraph, "sexual misconduct" includes sexual contact, as defined by 20 the board in regulations adopted under this chapter, or attempted sexual contact with a 21 patient outside the scope of generally accepted methods of examination or treatment of 22 the patient, regardless of the patient's consent or lack of consent, during the term of the 23 physician-patient relationship, as defined by the board in regulations adopted under 24 this chapter, unless the patient was the licensee's spouse at the time of the contact or, 25 immediately preceding the physician-patient relationship, was in a dating, courtship, 26 or engagement relationship with the licensee; 27 (10) has violated AS 18.16.010; 28 (11) has violated any code of ethics adopted by regulation by the 29 board; 30 (12) has denied care or treatment to a patient or person seeking 31 assistance from the physician if the only reason for the denial is the failure or refusal

01 of the patient to agree to arbitrate as provided in AS 09.55.535(a); [OR] 02 (13) has had a license or certificate to practice medicine in another 03 state or territory of the United States, or a province or territory of Canada, denied, 04 suspended, revoked, surrendered while under investigation for an alleged violation, 05 restricted, limited, conditioned, or placed on probation unless the denial, suspension, 06 revocation, or other action was caused by the failure of the licensee to pay fees to that 07 state, territory, or province; or 08 (14) has dispensed or repackaged a controlled substance in a 09 manner inconsistent with AS 23.30.095(p) or the regulations adopted under 10 AS 08.64.101 to implement that section. 11 * Sec. 5. AS 08.68.100(a) is amended to read: 12 (a) The board shall 13 (1) adopt regulations necessary to implement this chapter, including 14 regulations 15 (A) pertaining to practice as an advanced nurse practitioner and 16 a nurse anesthetist, including regulations necessary to implement the 17 requirements of AS 23.30.095(p); and 18 (B) [REGULATIONS] necessary to implement AS 08.68.331 - 19 08.68.336 relating to certified nurse aides in order to protect the health, safety, 20 and welfare of clients served by nurse aides; 21 (2) approve curricula and adopt standards for basic education programs 22 that prepare persons for licensing under AS 08.68.190; 23 (3) provide for surveys of the basic nursing education programs in the 24 state at the times it considers necessary; 25 (4) approve education programs that meet the requirements of this 26 chapter and of the board, and deny, revoke, or suspend approval of education 27 programs for failure to meet the requirements; 28 (5) examine, license, and renew the licenses of qualified applicants; 29 (6) prescribe requirements for competence before a former nurse may 30 resume the practice of nursing under this chapter; 31 (7) define by regulation the qualifications and duties of the executive

01 secretary and delegate authority to the executive secretary that is necessary to conduct 02 board business; 03 (8) develop reasonable and uniform standards for nursing practice; 04 (9) publish advisory opinions regarding whether nursing practice 05 procedures or policies comply with acceptable standards of nursing practice as defined 06 under this chapter; 07 (10) require applicants under this chapter to submit fingerprints and the 08 fees required by the Department of Public Safety under AS 12.62.160 for criminal 09 justice information and a national criminal history record check; the department shall 10 submit the fingerprints and fees to the Department of Public Safety for a report of 11 criminal justice information under AS 12.62 and a national criminal history record 12 check under AS 12.62.400. 13 * Sec. 6. AS 08.68.270 is amended to read: 14 Sec. 08.68.270. Grounds for denial, suspension, or revocation. The board 15 may deny, suspend, or revoke the license of a person who 16 (1) has obtained or attempted to obtain a license to practice nursing by 17 fraud or deceit; 18 (2) has been convicted of a felony or other crime if the felony or other 19 crime is substantially related to the qualifications, functions, or duties of the licensee; 20 (3) habitually abuses alcoholic beverages, or illegally uses controlled 21 substances; 22 (4) has impersonated a registered or practical nurse; 23 (5) has intentionally or negligently engaged in conduct that has 24 resulted in a significant risk to the health or safety of a client or in injury to a client; 25 (6) practices or attempts to practice nursing while afflicted with 26 physical or mental illness, deterioration, or disability that interferes with the 27 individual's performance of nursing functions; 28 (7) is guilty of unprofessional conduct as defined by regulations 29 adopted by the board; 30 (8) has wilfully or repeatedly violated a provision of this chapter or 31 regulations adopted under it;

01 (9) is professionally incompetent; 02 (10) denies care or treatment to a patient or person seeking assistance 03 if the sole reason for the denial is the failure or refusal of the patient or person seeking 04 assistance to agree to arbitrate as provided in AS 09.55.535(a); 05 (11) has dispensed or repackaged a controlled substance in a 06 manner inconsistent with AS 23.30.095(p) or the regulations adopted under 07 AS 08.68.100 to implement that section. 08 * Sec. 7. AS 23.30.095 is amended by adding new subsections to read: 09 (p) A physician or other provider who dispenses or administers a controlled 10 substance that is a schedule II or schedule III controlled substance under federal law to 11 an employee under this chapter 12 (1) may not dispense or repackage a controlled substance unless the 13 physician or other provider 14 (A) dispenses or repackages the substance in the same manner 15 and to the same extent that a retail pharmacy is required to dispense or 16 repackage a substance recognized as a drug in the official United States 17 Pharmacopoeia, official Homeopathic Pharmacopoeia of the United States, or 18 official National Formulary; 19 (B) identifies the national drug code assigned to the controlled 20 substance by the United States Food and Drug Administration and, if the 21 repackaged controlled substance has a different national drug code, identifies 22 the national drug code for the repackaged controlled substance; a physician or 23 other provider who fails to comply with this subparagraph may not charge a 24 price for the controlled substance that exceeds the drug reimbursement rate for 25 the medical assistance program set under AS 47.07.065 for the lowest priced 26 therapeutically equivalent drug if that rate is lower than the amount authorized 27 under AS 23.30.097; 28 (2) may not charge a price for a drug that the physician or other 29 provider dispenses or repackages that exceeds the amount authorized under 30 AS 23.30.097; 31 (3) may be disciplined as provided under the conditions of the license

01 of the physician or other provider if the physician or other provider does not comply 02 with this subsection. 03 (q) Subsection (p) of this section does not apply to the dispensing of a 04 controlled substance that is a schedule II or schedule III controlled substance under 05 federal law 06 (1) that is a drug sample dispensed without charge to the patient of a 07 practitioner in the regular course of the practitioner's practice; 08 (2) in connection with 09 (A) the performance of a surgical procedure for not more than 10 14 days following the surgical procedure; 11 (B) an approved clinical trial; in this subparagraph, "approved 12 clinical trial" has the meaning given in AS 21.42.415. 13 (r) If a provision of (p) or (q) of this section conflicts with federal law 14 concerning the authorization of physicians or other providers to dispense or administer 15 controlled substances, the provision does not apply to the extent of the conflict.