The Board proposes the rule amendment to clarify that, for pharmacy permits held by business entities, the change of ownership of the entity does not itself require the issuance of a new permit unless the identity of entity changes.

 

DEPARTMENT OF HEALTH

Board of Pharmacy

RULE NO.:RULE TITLE:

64B16-28.2021Change of Ownership

PURPOSE AND EFFECT: The Board proposes the rule amendment to clarify that, for pharmacy permits held by business entities, the change of ownership of the entity does not itself require the issuance of a new permit unless the identity of entity changes.

SUMMARY: Change of ownership requirements for pharmacy permits will be clarified.

SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS AND LEGISLATIVE RATIFICATION: The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. A SERC has not been prepared by the Agency.

The Agency has determined that the proposed rule is not expected to require legislative ratification based on the statement of estimated regulatory costs or if no SERC is required, the information expressly relied upon and described herein: During discussion of the economic impact of this rule at its Board meeting, the Board, based upon the expertise and experience of its members, determined that a Statement of Estimated Regulatory Costs (SERC) was not necessary and that the rule will not require ratification by the Legislature. No person or interested party submitted additional information regarding the economic impact at that time.

Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.

RULEMAKING AUTHORITY: 465.005, 465.022 FS.

LAW IMPLEMENTED: 465.003(11)(a), 465.018, 465.019, 465.0193, 465.0196, 465.022 FS.

IF REQUESTED WITHIN 21 DAYS OF THE DATE OF THIS NOTICE, A HEARING WILL BE SCHEDULED AND ANNOUNCED IN THE FAR.

THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Allison Dudley, Executive Director, Board of Pharmacy, 4052 Bald Cypress Way, Bin C04, Tallahassee, Florida 32399-3254

 

THE FULL TEXT OF THE PROPOSED RULE IS:

 

64B16-28.2021 Change of Ownership.

(1) A pharmacy permit is not transferable. If uUpon the sale of an existing pharmacy, there is any change in the identity of the natural person, partnership, or business entity which holds the permit, a new application must be filed and a new permit obtained.  For purposes of this rule, the test for determining change of identity shall be whether the person or entity's Federal Employer Identification Number (FEIN) remains the same following the sale.

(2) Permits held by business entities with no change in identity.  In those cases where the permit is held by a business entity (e.g. a corporation, limited liability company, limited partnership, etc.) which entity continues to hold the permit without change in identity, a corporation the transfer of the ownership interests all the stock of said business entity corporation to another person or business entity does not constitute a change of ownership (requiring application for and issuance of a new pharmacy permit) provided that the initial corporation holding the permit continues to exist.  Upon transfer of the ownership interests in the business entity, the following steps shall be taken:

(a) Within fifteen (15) days of closing the transfer, the permittee shall notify the Board office of the transfer of ownership interests; and

(b) As specified in section 465.022(3), F.S., all persons, members, partners, officers, directors, and agents having an ownership or other financial interest of greater than five percent (5%), and all persons who directly or indirectly manage, oversee, or control the operation of the business entity, must file with the board a set of fingerprints as specified in Rule 64B16-28.100(1)(c), F.A.C.

(3) If a criminal history check identifies any person listed in paragraph (2)(b) above as meeting any of the provisions of section 465.022(4), (5), or (6), F.S., the Board staff shall refer the matter to the Department for investigation and possible prosecution as provided in section 465.023, F.S.

(2) through (3) renumbered (4) through (5) No change.

Rulemaking Authority 465.005, 465.022 FS. Law Implemented 465.003(11)(a), 465.018, 465.019, 465.0193, 465.0196, 465.022, 465.023 FS. History–New 4-19-00, Amended 1-2-02, Formerly 64B16-28.1135, Amended 4-5-05, 7-14-14,                    .

 

NAME OF PERSON ORIGINATING PROPOSED RULE: Board of Pharmacy

NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Board of Pharmacy

DATE PROPOSED RULE APPROVED BY AGENCY HEAD: April 5, 2016

DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAR: May 3, 2016