FTC Staff Comment Before the Georgia State Examining Boards Concerning Regulation of Dispensing of Prescription Drugs by Physicians and Certain Other Health Care Practitioners

UNITED STATES OF AMERICA
FEDERAL TRADE COMMISSION
WASHINGTON. D.C. 20580
June 	26, 	1987
Mr. 	William 	G. 	Miller, 	Jr.
Joint 	Secretary
State 	Examining 	Boards
166 	Pryor 	Street, 	S.W.
Atlanta, 	Georgia 	30303
Dear Mr. 	Miller:
We 	are 	pleased 	to 	respond 	to 	your 	notice 	inviting 	~omments
on 	the 	proposed 	amendment 	to 	the 	Rules 	of 	the 	Georgia 	State 	Board
of 	Pharmacy 	(*the 	Board"). 	The 	new 	rule 	would 	govern 	the
dispensing 	of 	prescription 	drugs 	by 	physicians 	and 	certain 	other
health 	care 	practitioners. 1 	The 	proposed 	amendment 	requires 	that
dispensing 	practitioners 	meet 	health 	and 	safety 	standards 	similar
to 	those 	imposed 	upon 	pharmacists. 	This 	requirement.would 	not
interfere 	with 	the 	ability 	of 	physicians 	to 	dispense 	tlrugs
efficiently 	and 	thus 	would 	not 	deprive 	consumers 	of 	the 	benefits
of 	choice 	among 	qualified 	providers 	of 	prescription 	drugs. 	We
therefore 	support 	the 	adoption 	of ~he proposed 	amendment.
The 	proposed 	rule 	would 	implement 	the 	recent 	amendments 	to
the 	Georgia 	drug 	statutes 	(Act 	No. 	1537, 	Acts 	1986, 	eff. 	Apr. 	17,
1986). 	It 	would 	require 	practitioners 	to 	give 	notice 	to 	their
respective 	licensing 	boards 	of 	their 	intent 	to 	dispense; 	would
establish 	standards 	for 	recordkeeping, 	labeling, 	packaging,
storage, 	and 	use 	of 	support 	personnel; 	would 	require 	the
designation 	of 	a 	"practitioner-in-charge" 	for 	group 	practices:
would 	provide 	procedures 	in 	the 	event 	of 	loss 	or 	theft 	of
controlled 	substances; 	and 	would 	provide 	for 	inspection 	by 	the
Georgia 	Drugs 	and 	Narcotics 	Agency.
On 	November 	26, 	1986, 	we 	submitted 	comments 	opposing 	certain
provisions 	of 	the 	Board's 	earlier 	proposal 	that 	would 	have
imposed 	burdens 	on 	dispensing 	physicians 	that 	are 	not 	imposed 	on
pharmacists 	and 	did 	not 	appear 	reasonably 	related 	to 	protecting
lThese 	comments 	represent 	the 	views 	of 	the 	Federal 	Trade
Commission's 	Bureaus 	of 	Competition, 	Consumer 	Protection, 	and
Economics, 	and 	not 	necessarily 	those 	of 	the 	Commission 	itself.
The 	Commission 	has, 	however, 	voted 	to 	authorize 	us 	to 	submit
these 	comments 	to 	you.
I
I I, I
, I

Mr. 	Willia~ G. 	Miller, 	Jr. 	2
pUblic 	health 	and 	safety. 	The 	present 	proposal 	contains 	none 	of
the 	provisions 	that 	we 	found 	troublesome 	in 	the 	Board's
previously 	proposed 	rule.
The 	proposed 	amendment 	will 	sUbject 	dispensing· physicians 	to
standards 	similar 	to 	those 	that 	must 	be 	met 	by 	pharmacists. 	This
approach 	appears 	designed 	to 	protect 	pUblic 	health 	and 	safety
while 	still 	allowing 	consumers 	to 	choose 	among 	qualified
providers 	of 	prescription 	drugs. 	We 	do 	not 	suggest 	any
preference 	for 	physician 	dispensing 	or 	pharmacist 	dispensing.
Rather, 	our 	view 	is 	that 	consumers 	benefit 	from 	having 	increased
options 	in 	the 	purchase 	of 	prescription 	drugs. 	The 	resulting
competition 	among 	physicians, 	and 	between 	physicians 	and
pharmacists, 	may 	produce 	lower 	prices 	and 	improved 	services.
Thus, 	we 	support 	the 	adoption 	of 	the 	amendment.
Sincerely 	yours,
~~~4~~~Jeffrey 	I. 	Zuckerman
Director
Bureau 	of 	Competition