Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committees on Health and Human Services and Commerce, Consumer Protection and Housing, to which was referred S.B. No. 257 entitled:

beg leave to report as follows:

The purpose of this measure, as received, is to allow prescription drugs that were previously dispensed in multi dose containers to be redispensed or redistributed.

Your Committees received testimony in support of this measure by the Hawaii Pharmacists Association. Your Committees received testimony in opposition to this measure by the Department of Human Services and the State Attorney General.

Your Committees are concerned that the measure as drafted could present serious concerns for the health and safety of consumers and the elderly. It could potentially put "expired soon" drugs or a drug that fell on the floor back into the hands of consumers. Your Committees have learned that current law which allows the return of prescription drugs has resulted in a large fraud case by one of the pharmaceutical companies. While this case is still under investigation by the Attorney General's Office, your Committees were informed of the facts of that case and the problems under the current law with elderly care and long term care facilities.

Your Committees have amended this measure by allowing only acute care hospitals to return prescription drugs, and repealing this Act on June 20, 2003, or the day before the effective date of the rules adopted by the Department of Human Services on the return of prescription drugs and reinstating section 461-11(c), Hawaii Revised Statutes, as it was the day before this effective date.

As affirmed by the records of votes of the members of your Committees on Health and Human Services and Commerce, Consumer Protection and Housing that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 257, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 257, S.D. 1, and be referred to the Committee on Ways and Means.