A BILL TO BE ENTITLED
AN ACT to amend the controlled substances reporting act to authorize the department of health and human services to release data collected under the Controlled Substance Reporting Act to a sheriff or a designated Deputy sheriff investigating the diversion and illegal use of controlled substances and to make CHANGES PERTAINING TO CONFIDENTIALITY OF PRESCRIPTION INFORMATION.
The General Assembly of North Carolina enacts:
SECTION 1.  G.S. 90‑113.73(a) reads as rewritten:
"§ 90‑113.73.  Requirements for controlled substances reporting system.
(a)	The Department shall establish and maintain a reporting system of prescriptions for all Schedule II through V controlled substances. Each dispenser shall submit the information in accordance with transmission methods and frequency established by rule by the Commission. The Department may issue a waiver to a dispenser that is unable to submit prescription information by electronic means. The waiver may permit the dispenser to submit prescription information by paper form or other means, provided all information required of electronically submitted data is submitted. The dispenser shall report the information required under this section on a monthly basis for the first 12 months of the Controlled Substances Reporting System's operation, and twice monthly thereafter, until January 2, 2010, at which time dispensers shall report no later than seven days after the prescription is dispensed. The data shall be transmitted in ASAP Telecommunication Format for Controlled Substances, published by the American Society for Automation in Pharmacy, and shall be updated to the version that is in use in the majority of the states operating a controlled substances reporting system."
SECTION 2.  G.S. 90‑113.74 reads as rewritten:
"§ 90‑113.74.  Confidentiality.
(a)	Prescription information submitted to the Department is privileged and confidential, is not a public record pursuant to G.S. 132‑1, is not subject to subpoena or discovery or any other use in civil proceedings, and except as otherwise provided below may only be used for investigative or evidentiary purposes related to violations of State or federal law and regulatory activities. Except as otherwise provided by this section, prescription information shall not be disclosed or disseminated to any person or entity by any person or entity authorized to review prescription information.
(b)	The Department may use prescription information data in the controlled substances reporting system only for purposes of implementing this Article in accordance with its provisions.
(c)	The Department shall release data in the controlled substances reporting system to the following persons only:
(1)	Persons authorized to prescribe or dispense controlled substances for the purpose of providing medical or pharmaceutical care for their patients.
(2)	An individual who requests the individual's own controlled substances reporting system information.
(3)	Special agents of the North Carolina State Bureau of Investigation who are assigned to the Diversion & Environmental Crimes Unit and whose primary duties involve the investigation of diversion and illegal use of prescription medication and who are engaged in a bona fide specific investigation related to enforcement of laws governing licit drugs. The SBI shall notify the Office of the Attorney General of North Carolina of each request for inspection of records maintained by the Department.
(4)	Primary monitoring authorities for other states pursuant to a specific ongoing investigation involving a designated person, if information concerns the dispensing of a Schedule II through V controlled substance to an ultimate user who resides in the other state or the dispensing of a Schedule II through V controlled substance prescribed by a licensed health care practitioner whose principal place of business is located in the other state.
(5)	To a court pursuant to a lawful court order in a criminal action.
(6)	The Division of Medical Assistance for purposes of administering the State Medical Assistance Plan.
(7)	Licensing boards with jurisdiction over health care disciplines pursuant to an ongoing investigation by the licensing board of a specific individual licensed by the board.
(8)	A sheriff or a designated deputy sheriff who is assigned to investigate the diversion and illegal use of prescription medication or pharmaceutical products identified in Article 5 of this Chapter of the General Statutes as Schedule II through V controlled substances and who is engaged in a bona fide specific investigation relating to the enforcement of laws governing licit drugs. The sheriff or designated deputy sheriff shall notify the Office of the Attorney General of North Carolina of each request for inspection of records maintained by the Department.
(d)	The Department may provide data to public or private entities for statistical, research, or educational purposes only after removing information that could be used to identify individual patients who received prescription medications from dispensers.
(e)	In the event that the Department finds patterns of prescribing medications that are unusual, the Department shall inform the Attorney General's Office of its findings. The Office of the Attorney General shall review the Department's findings to determine if the findings should be reported to the SBI for investigation of possible violations of State or federal law relating to controlled substances.
(f)	The Department shall purge from the controlled substances reporting system database all information more than six years old.
(g)	Nothing in the Article shall prohibit a person authorized to prescribe or dispense controlled substances pursuant to Article 1 of Chapter 90 of the General Statutes from disclosing or disseminating data regarding a particular patient obtained under subsection (c) of this section to another person (i) authorized to prescribe or dispense controlled substances pursuant to Article 1 of Chapter 90 of the General Statutes and (ii) authorized to receive the same data from the Department under subsection (c) of this section.
(h)	Nothing in the Article shall prevent persons licensed or approved to practice medicine or perform medical acts, tasks, and functions pursuant to Article 1 of Chapter 90 of the General Statutes from retaining data received pursuant to subsection (c) of this section in a patient's confidential health care record."
SECTION 3.  This act becomes effective December 1, 2009.