WSR 01-22-099

PROPOSED RULES

DEPARTMENT OF HEALTH


[ Filed November 6, 2001, 4:41 p.m. ]

     Original Notice.

     Preproposal statement of inquiry was filed as WSR 01-19-076.

     Title of Rule: Chapter 246-30 WAC, The AWARDS program.

     Purpose: The purpose of this proposal is to repeal chapter 246-30 WAC, the AWARDS program.

     Statutory Authority for Adoption: RCW 43.70.020(5), 43.70.040, 43.70.060, 43.70.070, 43.70.130.

     Summary: Repeals WAC 246-30-010 What is the AWARDS program?, 246-30-020 How does the AWARDS program work?, and 246-30-030 Are there any limits on the AWARDS program?

     Reasons Supporting Proposal: In June 2001, in a lawsuit filed by a coalition of pharmacies against the Health Care Authority, a Thurston County Superior Court judge determined the Health Care Authority exceeded its statutory authority when it implemented the AWARDS program. Although the Department of Health was not a party to that case, a companion lawsuit was pending that did name the Department of Health. As part of the settlement of the companion case, the Department of Health agreed to repeal chapter 246-30 WAC. Repealing the rule is necessary to comply with the settlement agreement.

     Name of Agency Personnel Responsible for Drafting: Michelle Davis, Olympia, (360) 236-4044; Implementation and Enforcement: Nancy Ellison, 1112 S.E. Quince Street, Mailstop 7890, Olympia, WA 98504-7890, (360) 236-4010.

     Name of Proponent: Department of Health, governmental.

     Rule is not necessitated by federal law, federal or state court decision.

     Explanation of Rule, its Purpose, and Anticipated Effects: In June 2000, in a lawsuit filed by a coalition of pharmacies against the Health Care Authority, a Thurston County Superior Court judge determined the Health Care Authority exceeded its statutory authority when it implemented the AWARDS program. Although the Department of Health was not a party to that case, a companion lawsuit was pending that did name the Department of Health. As part of the settlement of the companion case, the Department of Health agreed to repeal chapter 246-30 WAC. Repealing the rule is necessary to comply with that settlement agreement.

     Proposal Changes the Following Existing Rules: Repeals WAC 246-30-010 What is the AWARDS program?, 246-30-020 How does the AWARDS program work?, and 246-30-030 Are there any limits on the AWARDS program?

     No small business economic impact statement has been prepared under chapter 19.85 RCW. The proposed repeal has no effect on the cost to small businesses that provide prescription drugs. The AWARDS program no longer exists and cannot exist due to a court ruling. For this reason, the existing rule cannot impose costs on pharmacies. However, retaining the rule text in absence of the program could create confusion for business owners, the rule repeal will eliminate any potential costs associated with confusion. No small business economic impact statement is required because the repeal eliminates any potential residual costs from the existing rule.

     RCW 34.05.328 does not apply to this rule adoption. The repeal does not impose any penalties and it does not create a requirement for licensure. The AWARDS program has been dismantled not as a result of this rule change but as a result of a court case. For this reason, the rule requiring the AWARDS program cannot legally have any impact due to the court ruling on the case. Eliminating these rules is essentially a housekeeping change.

     Hearing Location: Department of Health, 1101 Eastside Street, Large Conference Room, Olympia, WA 98504, on December 11, 2001, at 1:30 p.m.

     Assistance for Persons with Disabilities: Contact Michelle Davis by December 4, 2001, TDD (800) 833-6388.

     Submit Written Comments to: Michelle Davis, Department of Health, Regulatory Affairs Manager, 1107 Eastside Street, Mailstop 7879, Olympia, WA 98504-7879, e-mail michelle.davis@doh.wa.gov, fax (360) 586-2171, by December 8, 2001.

     Date of Intended Adoption: December 13, 2001.

November 6, 2001

Mary C. Selecky

Secretary

OTS-5277.1


REPEALER
     The following chapter of the Washington Administrative Code is repealed:
WAC 246-30-010 What is the AWARDS program?
WAC 246-30-020 How does the AWARDS program work?
WAC 246-30-030 Are there any limits on the AWARDS program?

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