32-1982

32-1982. Full service wholesale permittees;
bonds; designated representatives; application

A. A full service wholesale permittee that engages in the wholesale
distribution of prescription-only drugs into, within or from this state must maintain a
bond and have a designated representative.

B. The designated representative of a full service wholesale permittee must:

1. Be at least twenty-one years of age.

2. Have been employed full time for at least three years in a pharmacy or with a
full service wholesale permittee in a capacity related to the dispensing and distribution
of, and record keeping relating to, prescription-only drugs.

3. Be employed by the full service wholesale permittee in a managerial level
position.

4. Be actively involved in the daily operation of the wholesale distribution of
prescription-only drugs.

5. Be physically present at the full service wholesale permittee facility during
regular business hours unless the absence of the designated representative is authorized.

6. Serve as a designated representative for only one full service wholesale
permittee.

7. Not have any criminal convictions under any federal, state or local laws
relating to wholesale or retail prescription-only drug distribution or distribution of
controlled substances.

C. The board may require the applicant's designated representative to submit a full
set of fingerprints to the board. The board shall submit the fingerprints to the
department of public safety for the purpose of obtaining a state and federal criminal
records check pursuant to section 41-1750 and Public Law 92-544. The department of public
safety may exchange the fingerprint data with the federal bureau of investigation. The
board may charge each applicant a fee determined by the department of public safety. The
board shall forward this fee to the department of public safety.

D. The board shall require every full service wholesale permittee that is applying
for an initial permit or renewal of a permit to submit a bond of at least one hundred
thousand dollars or other equivalent means of security acceptable to the board. The board
may use this bond to secure payment of any fines or penalties that are imposed by the
board and any fees or costs that are incurred by the board regarding the permit
authorized by law and that the permittee fails to pay within thirty days after the fine,
penalty or cost becomes final. The bond must cover all permits held by the permittee in
this state.

E. The board may waive the bond requirement if the full service wholesale permittee
has previously obtained a comparable surety bond or other equivalent means of security
for the purpose of licensure in another state where the full service wholesale permittee
possesses a valid license in good standing.

F. For the purposes of this article, a full service wholesale permittee does not
include a hospital, chain pharmacy warehouse or third party logistics provider.