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92nd General Assembly

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Public Act 92-0586

SB1685 Enrolled                                LRB9215594ACcd

    AN ACT concerning the regulation of professions.

    Be it enacted by the People of  the  State  of  Illinois,
represented in the General Assembly:

    Section  5.  The  Regulatory  Sunset  Act  is  amended by
changing Section 4.13 and adding Section 4.23 as follows:

    (5 ILCS 80/4.13) (from Ch. 127, par. 1904.13)
    Sec. 4.13.  Acts repealed  on  December  31,  2002.   The
following Acts are repealed on December 31, 2002:
    The Environmental Health Practitioner Licensing Act.
    The Naprapathic Practice Act.
    The Wholesale Drug Distribution Licensing Act.
    The Dietetic and Nutrition Services Practice Act.
    The Funeral Directors and Embalmers Licensing Code.
    The  Professional  Counselor  and  Clinical  Professional
Counselor Licensing Act.
(Source: P.A. 88-45; 89-61, eff. 6-30-95; revised 8-22-01.)

    (5 ILCS 80/4.23 new)
    Sec.  4.23.   Act  repealed  on  January  1,  2013.   The
following Act is repealed on January 1, 2013:
    The Wholesale Drug Distribution Licensing Act.

    Section  10.   The  Wholesale Drug Distribution Licensing
Act is amended by changing Sections 25 and 35 as follows:

    (225 ILCS 120/25) (from Ch. 111, par. 8301-25)
    (Section scheduled to be repealed on December 31, 2002)
    Sec.   25.    Wholesale   drug   distributor    licensing
requirements.    All   wholesale  distributors  and  pharmacy
distributors,  wherever  located,  who  engage  in  wholesale
distribution into, out of,  or  within  the  State  shall  be
subject to the following requirements:
    (a)  No  person  or  distribution  outlet  shall act as a
wholesale drug distributor without first obtaining a  license
to  do  so  from the Department and paying any reasonable fee
required by the Department, the fee not to  exceed  $200  per
year.
    (b)  The  Department may grant a temporary license when a
wholesale drug distributor first applies  for  a  license  to
operate  within this State.  A temporary license shall remain
valid until the Department finds that the applicant meets  or
fails   to  meet  the  requirements  for  regular  licensure.
Nevertheless, no temporary license shall be  valid  for  more
than  90  days  from  the  date  of  issuance.  Any temporary
license issued under this subsection shall be renewable for a
similar period of time not to exceed 90 days  under  policies
and procedures prescribed by the Department.
    (c)  No   license  shall  be  issued  or  renewed  for  a
wholesale drug distributor to operate  unless  the  wholesale
drug  distributor shall operate in a manner prescribed by law
and according to the rules and regulations promulgated by the
Department.
    (d)  The Department may require a  separate  license  for
each facility directly or indirectly owned or operated by the
same  business  entity  within  this  State,  or for a parent
entity with divisions, subsidiaries, and affiliate  companies
within  this State when operations are conducted at more than
one location and there exists  joint  ownership  and  control
among all the entities.
    (e)  As  a  condition  for  receiving  and  renewing  any
wholesale  drug  distributor  license  issued under this Act,
each applicant shall satisfy the Department that it  has  and
will continuously maintain:
         (1)  acceptable storage and handling conditions plus
    facilities standards;
         (2)  minimum liability and other insurance as may be
    required under any applicable federal or State law;
         (3)  a  security  system  that includes after hours,
    central alarm or comparable entry  detection  capability;
    restricted  premises  access;  adequate outside perimeter
    lighting; comprehensive employment  applicant  screening;
    and safeguards against employee theft;
         (4)  an  electronic, manual, or any other reasonable
    system of records, describing all  wholesale  distributor
    activities  governed  by  this  Act for the 2 year period
    following disposition  of  each  product  and  reasonably
    accessible  during  regular  business hours as defined by
    the Department's rules in any  inspection  authorized  by
    the Department;
         (5)  officers,   directors,   managers,   and  other
    persons  in  charge  of  wholesale   drug   distribution,
    storage,  and  handling who must at all times demonstrate
    and maintain  their  capability  of  conducting  business
    according  to  sound financial practices as well as State
    and federal law;
         (6)  complete, updated information, to  be  provided
    the  Department as a condition for obtaining and renewing
    a  license,  about  each  wholesale  distributor  to   be
    licensed under this Act, including all pertinent licensee
    ownership   and   other   key  personnel  and  facilities
    information deemed necessary for enforcement of this Act.
    Any changes in this information shall be submitted at the
    time of license renewal or within 45 days from  the  date
    of the change;
         (7)  written  policies  and  procedures  that assure
    reasonable   wholesale   distributor   preparation   for,
    protection against and handling of any facility  security
    or  operation  problems,  including,  but not limited to,
    those caused by natural disaster or government emergency;
    inventory inaccuracies or product shipping and receiving;
    outdated product or other unauthorized  product  control;
    appropriate  disposition  of  returned goods; and product
    recalls;
         (8)  sufficient  inspection   procedures   for   all
    incoming and outgoing product shipments; and
         (9)  operations in compliance with all federal legal
    requirements applicable to wholesale drug distribution.
    (f)  The  Department  shall  consider,  at a minimum, the
following factors in reviewing the qualifications of  persons
who engage in wholesale distribution of prescription drugs in
this State:
         (1)  any  conviction  of  the  applicant  under  any
    federal,  State,  or local laws relating to drug samples,
    wholesale or retail drug distribution, or distribution of
    controlled substances;
         (2)  any felony convictions of the  applicant  under
    federal, State, or local laws;
         (3)  the   applicant's   past   experience   in  the
    manufacture  or  distribution  of   prescription   drugs,
    including controlled substances;
         (4)  the  furnishing  by  the  applicant of false or
    fraudulent material in any application made in connection
    with drug manufacturing or distribution;
         (5)  suspension or revocation by federal, State,  or
    local  government  of any license currently or previously
    held by the applicant for the manufacture or distribution
    of any drug, including controlled substances;
         (6)  compliance with  licensing  requirements  under
    previously granted licenses, if any;
         (7)  compliance  with  requirements  to maintain and
    make available to the Department or to federal, State, or
    local law enforcement officials those records required by
    this Act; and

         (8)  any  other  factors   or   qualifications   the
    Department  considers relevant to and consistent with the
    public health and safety, including whether the  granting
    of the license would not be in the public interest.
         (9)  All  requirements  set forth in this subsection
    shall conform to  wholesale  drug  distributor  licensing
    guidelines  formally  adopted  by  the U.S. Food and Drug
    Administration (FDA).  In case of  conflict  between  any
    wholesale  drug distributor licensing requirement imposed
    by the Department and any FDA wholesale drug  distributor
    licensing guideline, the FDA guideline shall control.
    (g)  An  agent or employee of any licensed wholesale drug
distributor need not seek licensure under  this  Section  and
may  lawfully  possess pharmaceutical drugs when the agent or
employee is  acting  in  the  usual  course  of  business  or
employment.
    (h)  The  issuance  of a license under this Act shall not
change or affect tax liability imposed by the  State  on  any
wholesale drug distributor.
    (i)  A  license  issued under this Act shall not be sold,
transferred, or assigned in any manner.
(Source: P.A. 87-594.)

    (225 ILCS 120/35) (from Ch. 111, par. 8301-35)
    (Section scheduled to be repealed on December 31, 2002)
    Sec. 35. Fees; Illinois State Pharmacy Disciplinary Fund.
    (a)  The Department shall provide by rule for a  schedule
of  fees  for the administration and enforcement of this Act,
including but not limited to original licensure, renewal, and
restoration. The fees shall be nonrefundable.  The  following
fees   shall  be  imposed  by  the  Department  and  are  not
refundable.
         (1)  The fee for application for  a  certificate  of
    registration as a wholesale drug distributor is $200.
         (2)  The  fee  for  the  renewal of a certificate of
    registration as a wholesale drug distributor is $200  per
    year.
         (3)  The  fee  for  the change of person responsible
    for drugs is $50.
         (4)  The fee for the issuance of a duplicate license
    to replace a license that has been lost or  destroyed  is
    $25.
         (5)  The  fee  for  certification  of a registrant's
    record for any purpose is $25.
         (6)  The fee for a roster of licensed wholesale drug
    distributors shall be the actual cost  of  producing  the
    roster.
         (7)  The   fee   for   wholesale   drug  distributor
    licensing,   disciplinary,   or   investigative   records
    obtained under subpoena is $1 per page.
    (b)  All fees collected under this Act shall be deposited
into the Illinois State Pharmacy Disciplinary Fund and  shall
be  appropriated  to  the  Department  for  the  ordinary and
contingent expenses of the Department in  the  administration
of this Act. All moneys received by the Department under this
Act  shall  be  deposited  into  the  Illinois State Pharmacy
Disciplinary Fund in the State Treasury  and  shall  be  used
only  for  the  following purposes: (i) by the State Board of
Pharmacy in the exercise of its powers and performance of its
duties, as such use  is  made  by  the  Department  upon  the
recommendations  of  the  State  Board  of Pharmacy, (ii) for
costs directly related to license renewal of persons licensed
under this Act, and (iii) for direct and  allocable  indirect
costs  related  to  the  public purposes of the Department of
Professional  Regulation.   Moneys  in  the   Fund   may   be
transferred   to   the  Professions  Indirect  Cost  Fund  as
authorized  by  Section  2105-300  of   the   Department   of
Professional Regulation Law (20 ILCS 2105/2105-300).
    The  moneys  deposited  into  the Illinois State Pharmacy
Disciplinary Fund shall be invested to  earn  interest  which
shall accrue to the Fund.
    The  Department shall present to the Board for its review
and comment all  appropriation  requests  from  the  Illinois
State  Pharmacy Disciplinary Fund.  The Department shall give
due consideration to any comments  of  the  Board  in  making
appropriation requests.
    (c)  Any  person who delivers a check or other payment to
the Department that is returned to the Department  unpaid  by
the financial institution upon which it is drawn shall pay to
the Department, in addition to the amount already owed to the
Department,  a  fine  of  $50.    The  fines  imposed by this
Section are in addition  to  any  other  discipline  provided
under  this  Act  for  unlicensed  practice  or practice on a
nonrenewed license.  The Department shall notify  the  person
that  payment  of  fees  and  fines  shall  be  paid  to  the
Department  by  certified  check  or  money  order  within 30
calendar days of the notification.  If, after the  expiration
of  30 days from the date of the notification, the person has
failed to submit the  necessary  remittance,  the  Department
shall  automatically  terminate the license or certificate or
deny the application, without hearing.  If, after termination
or denial, the person seeks a license or certificate,  he  or
she shall apply to the Department for restoration or issuance
of  the license or certificate and pay all fees and fines due
to the Department.  The Department may establish  a  fee  for
the processing of an application for restoration of a license
or  certificate  to  pay  all  expenses  of  processing  this
application.  The Director may waive the fines due under this
Section in individual cases where the Director finds that the
fines would be unreasonable or unnecessarily burdensome.
    (d)  The  Department shall maintain a roster of the names
and addresses of all registrants and  of  all  persons  whose
licenses  have  been suspended or revoked.  This roster shall
be available upon written request and payment of the required
fee.
(Source: P.A. 91-239, eff. 1-1-00; 92-146, eff. 1-1-02.)

    Section 99.  Effective date.  This Act takes effect  upon
becoming law.
    Passed in the General Assembly April 24, 2002.
    Approved June 26, 2002.
    Effective June 26, 2002.

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