1 STATE OF OKLAHOMA
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2 2nd Session of the 59th Legislature (2024)
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3 HOUSE BILL 3379 By: McEntire
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6 AS INTRODUCED
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7 An Act relating to prescriptions; creating the
7 Oklahoma Health Care Safety Net and Affordable
8 Prescriptions Accessibility Act; defining terms;
8 prohibiting certain discriminatory actions related to
9 reimbursement of certain entities; prohibiting
9 certain discriminatory actions by a manufacturer or
10 distributor related to certain entities; providing
10 for enforcement by the Attorney General and Insurance
11 Commissioner; providing for violations; providing for
11 federal preemption; providing for codification; and
12 providing an effective date.
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15 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
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16 SECTION 1. NEW LAW A new section of law to be codified
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17 in the Oklahoma Statutes as Section 5400 of Title 36, unless there
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18 is created a duplication in numbering, reads as follows:
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19 This act shall be known and may be cited as the "Oklahoma Health
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20 Care Safety Net and Affordable Prescriptions Accessibility Act".
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21 SECTION 2. NEW LAW A new section of law to be codified
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22 in the Oklahoma Statutes as Section 5401 of Title 36, unless there
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23 is created a duplication in numbering, reads as follows:
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24 As used in this act:
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Req. No. 9195 Page 1
1 1. "340B drug" means a drug that has been subject to any offer
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2 for reduced prices by a manufacturer pursuant to Section 256b of
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3 Title 42 of the United States Code and is purchased by a covered
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4 entity as defined in Section 256b(a)(4) of Title 42 of the United
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5 States Code;
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6 2. "340B entity" means an entity participating or authorized to
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7 participate in the federal 340B drug discount program, as described
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8 in Section 256b of Title 42 of the United States Code, including its
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9 pharmacy, or any pharmacy contracted with the participating entity
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10 to dispense drugs purchased through the 340B drug discount program;
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11 3. "Pharmacy" means a pharmacy licensed by the Oklahoma State
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12 Board of Pharmacy, except that patients who are provided pharmacy
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13 care shall be physically located in the state; and
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14 4. "Pharmacy benefit manager" means a person that performs
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15 pharmacy benefits management and any other person acting for such
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16 person under a contractual or employment relationship in the
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17 performance of pharmacy benefits management for a managed care
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18 company, nonprofit hospital, medical service organization, insurance
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19 company, third-party payor or a health program administered by a
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20 department of this state.
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21 SECTION 3. NEW LAW A new section of law to be codified
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22 in the Oklahoma Statutes as Section 5402 of Title 36, unless there
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23 is created a duplication in numbering, reads as follows:
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Req. No. 9195 Page 2
1 A. 1. With respect to reimbursement to a 340B entity for 340B
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2 drugs, a health insurance issuer, pharmacy benefit manager, other
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3 third-party payor, or its agent shall not:
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4 a. reimburse a 340B entity for 340B drugs at a rate lower
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5 than that paid for the same drug to entities that are
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6 not 340B entities or lower reimbursement for a claim
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7 on the basis that the claim is for a 340B drug,
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8 b. impose any terms or conditions on any 340B entity with
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9 respect to any of the following that differ from such
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10 terms or conditions applied to non-340B entities on
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11 the basis that the entity participates in the federal
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12 340B drug discount program set forth in Section 256b
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13 of Title 42 of the United States Code or that a drug
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14 is a 340B drug including, without limitation, any of
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15 the following:
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16 (1) fees, charges, clawbacks, or other adjustments or
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17 assessments. For purposes of this subsection,
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18 the term "other adjustments" includes placing any
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19 additional requirements, restrictions, or
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20 unnecessary burdens upon the 340B entity that
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21 result in administrative costs or fees to the
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22 340B entity that are not placed upon other
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23 entities that do not participate in the 340B drug
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24 discount program, including affiliate pharmacies
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1 of the health insurance issuer, pharmacy benefit
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2 manager, or other third-party payor,
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3 (2) dispensing fees that are less than the dispensing
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4 fees for non-340B entities,
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5 (3) restrictions or requirements regarding
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6 participation in standard or preferred pharmacy
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7 networks,
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8 (4) requirements relating to the frequency or scope
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9 of audits of inventory management systems,
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10 (5) requirements that a claim for a drug include any
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11 identification, billing modifier, attestation, or
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12 other indication that a drug is a 340B drug in
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13 order to be processed or resubmitted unless it is
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14 required by the Centers for Medicare and Medicaid
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15 Services or the Oklahoma Health Care Authority
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16 for the administration of the Oklahoma Medicaid
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17 program, or
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18 (6) any other restrictions, conditions, practices, or
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19 policies that are not imposed on non-340B
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20 entities.
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21 c. require a 340B entity to reverse, resubmit, or clarify
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22 a claim after the initial adjudication unless these
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23 actions are in the normal course of pharmacy business
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24 and not related to 340B drug pricing,
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1 d. discriminate against a 340B entity in a manner that
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2 prevents or interferes with any patient's choice to
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3 receive such drugs from the 340B entity, including the
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4 administration of such drugs. For purposes of this
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5 subsection, it is considered a discriminatory practice
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6 that prevents or interferes with a patient's choice to
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7 receive drugs at a 340B entity if a health insurance
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8 issuer, pharmacy benefit manager, or other third-party
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9 payor places any additional requirements,
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10 restrictions, or unnecessary burdens upon the 340B
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11 entity that results in administrative costs or fees to
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12 the 340B entity, including but not limited to,
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13 requiring a claim for a drug to include any
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14 identification, billing modifier, attestation, or
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15 other indication that a drug is a 340B drug in order
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16 to be processed or resubmitted unless it is required
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17 by the Centers for Medicare and Medicaid Services or
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18 the Oklahoma Health Care Authority in administration
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19 of the Oklahoma Medicaid program,
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20 e. include any other provision in a contract between a
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21 health insurance issuer, pharmacy benefit manager, or
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22 other third-party payor and a 340B entity that
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23 discriminates against the 340B entity or prevents or
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24 interferes with an individual's choice to receive a
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1 prescription drug from a 340B entity, including the
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2 administration of the drug, in person or via direct
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3 delivery, mail, or other form of shipment, or creation
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4 of a restriction or additional charge on a patient who
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5 chooses to receive drugs from a 340B entity,
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6 f. require or compel the submission of ingredient costs
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7 or pricing data pertaining to 340B drugs to any health
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8 insurance issuer, pharmacy benefit manager, or other
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9 third-party payor,
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10 g. exclude any 340B entity from the health insurance
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11 issuer, pharmacy benefit manager, or other third-party
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12 payor network on the basis that the 340B entity
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13 dispenses drugs subject to an agreement under Section
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14 256b of Title 42 of the United State Code, or refusing
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15 to contract with a 340B entity for reasons other than
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16 those that apply equally to non-340B entities.
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17 B. Nothing in this section applies to the Oklahoma Medicaid
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18 program as payor when Medicaid provides reimbursement for covered
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19 outpatient drugs as defined in section 1396r-8(k) of Title 42 of the
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20 United States Code.
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21 SECTION 4. NEW LAW A new section of law to be codified
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22 in the Oklahoma Statutes as Section 5403 of Title 36, unless there
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23 is created a duplication in numbering, reads as follows:
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1 A. A manufacturer or distributor shall not deny, restrict,
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2 prohibit, or otherwise interfere with, either directly or
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3 indirectly, the acquisition of a 340B drug by, or delivery of a 340B
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4 drug to, a pharmacy that is under contract with a 340B entity and is
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5 authorized under such contract to receive and dispense 340B drugs on
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6 behalf of the covered entity unless such receipt is prohibited by
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7 the United States Department of Health and Human Services.
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8 B. A manufacturer or distributor shall not interfere with a
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9 pharmacy contracted with a 340B entity.
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10 SECTION 5. NEW LAW A new section of law to be codified
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11 in the Oklahoma Statutes as Section 5404 of Title 36, unless there
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12 is created a duplication in numbering, reads as follows:
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13 The Attorney General may make rules and regulations interpreting
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14 the provisions of this act, and shall make recommendations to the
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15 Oklahoma Insurance Commissioner for enforcement with the
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16 jurisdiction of the Insurance Commissioner.
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17 The Insurance Commissioner may censure, suspend, revoke, or
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18 refuse to issue or renew a license of or levy a civil penalty
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19 against any person licensed under the insurance laws of this state
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20 for any violation of this act.
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21 In addition to or in lieu of any applicable censure, suspension
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22 or revocation of a license, a manufacturer, distributor, health
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23 insurance issuer, pharmacy benefit manager, other third-party payor,
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24 or its agent may be subject to a civil fine of not less than One
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1 Hundred Dollars ($100.00) and not greater than Ten Thousand Dollars
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2 ($10,000.00) for each violation of the provisions of this act.
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3 A violation occurs each time a prohibited act is committed.
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4 SECTION 6. NEW LAW A new section of law to be codified
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5 in the Oklahoma Statutes as Section 5405 of Title 36, unless there
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6 is created a duplication in numbering, reads as follows:
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7 A. Nothing in this section is to be construed or applied to be
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8 less restrictive than federal law for a person or entity regulated
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9 by this act.
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10 B. Nothing in this act is to be construed or applied to be in
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11 conflict with any of the following:
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12 1. Applicable federal law and related regulations; or
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13 2. Other laws of this state if the state law is compatible with
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14 applicable federal law.
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15 C. Limited distribution of a drug required under section 355-1
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16 of Title 21 of the United States Code is not to be construed as a
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17 violation of this section.
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18 SECTION 7. This act shall become effective November 1, 2024.
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20 59-2-9195 TJ 01/06/24
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