MISSISSIPPI LEGISLATURE

2010 Regular Session

To: Public Health and Human Services

By: Representative Dedeaux

House Bill 1543

AN ACT TO AMEND SECTION 73-21-73, MISSISSIPPI CODE OF 1972, TO REVISE CERTAIN DEFINITIONS UNDER THE MISSISSIPPI PHARMACY PRACTICE ACT; TO AMEND SECTION 73-21-91, MISSISSIPPI CODE OF 1972, TO REVISE THE CONTINUING EDUCATION REPORTING REQUIREMENTS FOR THE ANNUAL RENEWAL OF A LICENSE TO PRACTICE PHARMACY; TO AMEND SECTION 73-21-105, MISSISSIPPI CODE OF 1972, TO INCREASE THE MAXIMUM BIENNIAL FEE THAT MAY BE CHARGED BY THE STATE BOARD OF PHARMACY FOR A PERMIT TO ENGAGE IN THE PRESCRIPTION DRUG BUSINESS; TO AMEND SECTION 73-21-106, MISSISSIPPI CODE OF 1972, TO CLARIFY PERMITTING REQUIREMENTS FOR NONRESIDENT PHARMACIES THAT DELIVER PRESCRIPTION DRUGS INTO THIS STATE AND TO REQUIRE THOSE PHARMACIES TO COMPLY WITH ALL RULES AND REGULATIONS OF THE STATE BOARD OF PHARMACY; TO AMEND SECTION 73-21-127, MISSISSIPPI CODE OF 1972, TO REQUIRE THE STATE BOARD OF PHARMACY TO ASSESS A FEE AGAINST EACH PERSON LICENSED TO DISPENSE CONTROLLED SUBSTANCES IN MISSISSIPPI FOR THE PURPOSE OF FUNDING THE MISSISSIPPI PRESCRIPTION MONITORING PROGRAM; TO AMEND SECTION 41-29-125, MISSISSIPPI CODE OF 1972, TO REQUIRE THE REGISTRATION OF OUT-OF-STATE FACILITIES THAT DISTRIBUTE OR DISPENSE CONTROLLED SUBSTANCES WITHIN THE STATE; AND FOR RELATED PURPOSES.

     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

     SECTION 1.  Section 73-21-73, Mississippi Code of 1972, is amended as follows:

     73-21-73.  As used in this chapter, unless the context requires otherwise:

          (a)  "Administer" means the direct application of a prescription drug pursuant to a lawful order of a practitioner to the body of a patient by injection, inhalation, ingestion or any other means.

          (b)  "Board of Pharmacy," "Pharmacy Board," "MSBP" or "board" means the State Board of Pharmacy.

          (c)  "Compounding" means (i) the production, preparation, propagation, conversion or processing of a sterile or nonsterile drug or device either directly or indirectly by extraction from substances of natural origin or independently by means of chemical or biological synthesis or from bulk chemicals or the preparation, mixing, measuring, assembling, packaging or labeling of a drug or device as a result of a practitioner's prescription drug order or initiative based on the practitioner/patient/pharmacist relationship in the course of professional practice, or (ii) for the purpose of, as an incident to, research, teaching or chemical analysis and not for sale or dispensing.  Compounding also includes the preparation of drugs or devices in anticipation of prescription drug orders based on routine regularly observed prescribing patterns.

          (d)  "Continuing education unit" means ten (10) clock hours of study or other such activity and shall include either of the following:  (i) programs that have been approved by the American Council on Pharmaceutical Education, or (ii) programs that have been approved by the board before presentation.

          (e)  "Deliver" or "delivery" means the actual, constructive or attempted transfer in any manner of a drug or device from one person to another, whether or not for a consideration, including, but not limited to, delivery by mailing or shipping.

          (f)  "Device" means an instrument, apparatus, implement, machine, contrivance, implant, in vitro reagent or other similar or related article, including any component part or accessory which is required under federal or state law to be prescribed by a practitioner and dispensed by a pharmacist.

          (g)  "Dispense" or "dispensing" means the interpretation of a valid prescription of a practitioner by a pharmacist and the subsequent preparation of the drug or device for administration to or use by a patient or other individual entitled to receive the drug.

          (h)  "Distribute" means the delivery of a drug or device other than by administering or dispensing to persons other than the ultimate consumer.

          (i)  "Drug" means:

              (i)  Articles recognized as drugs in the official United States Pharmacopeia, official National Formulary, official Homeopathic Pharmacopeia, other drug compendium or any supplement to any of them;

              (ii)  Articles intended for use in the diagnosis, cure, mitigation, treatment or prevention of disease in man or other animals;

              (iii)  Articles other than food intended to affect the structure or any function of the body of man or other animals; and

              (iv)  Articles intended for use as a component of any articles specified in subparagraph (i), (ii) or (iii) of this paragraph.

          (j)  "Drugroom" means a business, which does not require the services of a pharmacist, where prescription drugs or prescription devices are bought, sold, maintained or provided to consumers.

          (k)  "Extern" means a student in the professional program of a school of pharmacy accredited by the American Council on Pharmaceutical Education who is making normal progress toward completion of a professional degree in pharmacy.

          (l)  "Foreign pharmacy graduate" means a person whose undergraduate pharmacy degree was conferred by a recognized school of pharmacy outside of the United States, the District of Columbia and Puerto Rico.  Recognized schools of pharmacy are those colleges and universities listed in the World Health Organization's World Directory of Schools of Pharmacy, or otherwise approved by the Foreign Pharmacy Graduate Examination Committee (FPGEC) certification program as established by the National Association of Boards of Pharmacy.

          (m)  "Generic equivalent drug product" means a drug product which (i) contains the identical active chemical ingredient of the same strength, quantity and dosage form; (ii) is of the same generic drug name as determined by the United States Adoptive Names and accepted by the United States Food and Drug Administration; and (iii) conforms to such rules and regulations as may be adopted by the board for the protection of the public to assure that such drug product is therapeutically equivalent.

          (n)  "Internet" means collectively the myriad of computer and telecommunications facilities, including equipment and operating software, which comprise the interconnected worldwide network of networks that employ the Transmission Control Protocol/Internet Protocol, or any predecessor or successor protocol to such protocol, to communicate information of all kinds by wire or radio.

          (o)  "Interested directly" means being employed by, having full or partial ownership of, or control of, any facility permitted or licensed by the Mississippi State Board of Pharmacy.

          (p)  "Interested indirectly" means having a spouse who is employed by any facility permitted or licensed by the Mississippi State Board of Pharmacy.

          (q)  "Intern" means a person who has graduated from a school of pharmacy but has not yet become licensed as a pharmacist.

          (r)  "Manufacturer" means a person, business or other entity engaged in the production, preparation, propagation, conversion or processing of a prescription drug or device, if such actions are associated with promotion and marketing of such drugs or devices.

          (s)  "Manufacturer's distributor" means any person or business who is not an employee of a manufacturer, but who distributes sample drugs or devices, as defined under subsection (i) of this section, under contract or business arrangement for a manufacturer to practitioners.

          (t)  "Manufacturing" of prescription products means the production, preparation, propagation, conversion or processing of a drug or device, either directly or indirectly, by extraction from substances from natural origin or independently by means of chemical or biological synthesis, or from bulk chemicals and includes any packaging or repackaging of the substance(s) or labeling or relabeling of its container, if such actions are associated with promotion and marketing of such drug or devices.

          (u)  "Misappropriation of a prescription drug" means to illegally or unlawfully convert a drug, as defined in subsection (i) of this section, to one's own use or to the use of another.

          (v)  "Nonprescription drugs" means nonnarcotic medicines or drugs that may be sold without a prescription and are prepackaged and labeled for use by the consumer in accordance with the requirements of the statutes and regulations of this state and the federal government.

          (w)  "Person" means an individual, corporation, partnership, association or any other legal entity.

          (x)  "Pharmacist" means an individual health care provider licensed by this state to engage in the practice of pharmacy.  This recognizes a pharmacist as a learned professional who is authorized to provide patient services.

          (y)  "Pharmacy" means any location for which a pharmacy permit is required and in which prescription drugs are maintained, compounded and dispensed for patients by a pharmacist.  This definition includes any location where pharmacy-related services are provided by a pharmacist.

          (z)  "Prepackaging" means the act of placing small precounted quantities of drug products in containers suitable for dispensing or administering in anticipation of prescriptions or orders.

          (aa)  Unlawful or unauthorized "possession" means physical holding or control by a pharmacist of a controlled substance outside the usual and lawful course of employment.

          (bb)  "Practice of pharmacy" means a health care service that includes, but is not limited to, the compounding, dispensing, and labeling of drugs or devices; interpreting and evaluating prescriptions; administering and distributing drugs and devices; the compounding, dispensing and labeling of drugs and devices; maintaining prescription drug records; advising and consulting concerning therapeutic values, content, hazards and uses of drugs and devices; prescribing legend drugs within the regulations as set forth by the board; providing comprehensive drug therapy management and comprehensive patient management as set forth by the board; initiating or modifying of drug therapy in accordance with written guidelines or protocols * * * approved by the board; selecting drugs; participating in drug utilization reviews; storing prescription drugs and devices; ordering lab work in accordance with written guidelines or protocols as defined by paragraph (ll) of this section; providing pharmacotherapeutic consultations; supervising supportive personnel and such other acts, services, operations or transactions necessary or incidental to the conduct of the foregoing.

          (cc)  "Practitioner" means a physician, dentist, veterinarian, pharmacist, or other health care provider authorized by law to diagnose and prescribe drugs.

          (dd)  "Prescribing pharmacist" means a licensed pharmacist who has been granted prescriptive authority by the board.

          (ee)  "Prescription" means a written, verbal or electronically transmitted order issued by a practitioner for a drug or device to be dispensed for a patient by a pharmacist.

          (ff)  "Prescription drug" or "legend drug" means a drug  that is required under federal law or state law to be dispensed by prescription on order of a licensed physician, dentist, veterinarian or any other health care provider so authorized and is required to bear the statement * * *:  "Caution:  Federal or state law prohibits dispensing without prescription," "Rx only," or similar wording indicating that the drug may be sold or dispensed only upon the prescription of a licensed health care provider.

          (gg)  "Product selection" means the dispensing of a generic equivalent drug product in lieu of the drug product ordered by the prescriber.

          (hh)  "Provider" or "primary health care provider" includes a pharmacist who provides health care services within his or her scope of practice pursuant to state law and regulation.

          (ii)  "Registrant" means a pharmacy or other entity which is registered with the Mississippi State Board of Pharmacy to buy, sell or maintain controlled substances.

          (jj)  "Repackager" means a person registered by the Federal Food and Drug Administration as a repackager who removes a prescription drug product from its marketed container and places it into another, usually of smaller size, to be distributed to persons other than the consumer.

          (kk)  "Reverse distributor" means a business operator that is responsible for the receipt and appropriate return or disposal of unwanted, unneeded or outdated stocks of controlled or uncontrolled drugs from a pharmacy.

          (ll)  "Supportive personnel" or "pharmacist technician" means those individuals utilized in pharmacies whose responsibilities are to provide nonjudgmental technical services concerned with the preparation and distribution of drugs under the direct supervision and responsibility of a pharmacist.

          (mm)  "Written guideline or protocol" means an agreement in which any practitioner authorized to prescribe drugs delegates to a pharmacist authority to conduct specific prescribing functions in an institutional setting, or with individual patients, provided that a specific protocol agreement is signed on each patient and is filed as required by law or by rule or regulation of the board.

          (nn)  "Wholesaler" means a person who buys or otherwise acquires prescription drugs or prescription devices for resale or distribution, or for repackaging for resale or distribution, to persons other than consumers.

     SECTION 2.  Section 73-21-91, Mississippi Code of 1972, is amended as follows:

     73-21-91.  (1)  Except as provided in Section 33-1-39, every pharmacist shall renew his license annually.  To renew his license, a pharmacist shall:

          (a)  Submit an application for renewal on the form prescribed by the board;

          (b)  Indicate on the renewal application form the number of continuing education hours earned for licensure.  For the licensure period beginning on January 1, 2010, and ending on December 31, 2010, and for each subsequent licensure period, one (1) continuing education unit consisting of ten (10) clock hours is required for renewal;

          (c)  Pay any renewal fees as required by the board, not to exceed One Hundred Dollars ($100.00) for each annual licensing period, provided that the board may add a surcharge of not more than Five Dollars ($5.00) to a license renewal fee to fund a program to aid impaired pharmacists or pharmacy students.  Any pharmacist license renewal received postmarked after December 31 of the renewal period will be returned and a Fifty Dollar ($50.00) late renewal fee will be assessed before renewal.

     (2)  Any pharmacist who has defaulted in license renewal may be reinstated within two (2) years upon payment of renewal fees in arrears and presentation of evidence of the required continuing education.  Any pharmacist defaulting in license renewal for a period in excess of two (2) years shall be required to successfully complete the examination given by the board pursuant to Section 73-21-85 before being eligible for reinstatement as a pharmacist in Mississippi, or shall be required to appear before the board to be examined for his competence and knowledge of the practice of pharmacy, and may be required to submit evidence of continuing education.  If the person is found fit by the board to practice pharmacy in this state, the board may reinstate his license to practice pharmacy upon payment of all renewal fees in arrears.

     (3)  Each application or filing made under this section shall include the social security number(s) of the applicant in accordance with Section 93-11-64.

     SECTION 3.  Section 73-21-105, Mississippi Code of 1972, is amended as follows:

     73-21-105.  (1)  Every facility/business that engages in the wholesale distribution of prescription drugs, to include without limitation, manufacturing in this state, distribution into this state, or selling or offering to sell in this state, or distribution from or within this state, and every reverse distributor located in or outside of this state that conducts business with pharmacies in this state, shall register biennially with the Mississippi State Board of Pharmacy by applying for a permit on a form supplied by the board and accompanied by a fee as set by subsection (4) of this section.  The Pharmacy Board shall by regulation determine the classification of permit(s) that shall be required.

     (2)  Every business/facility/pharmacy located in this state that engages in or proposes to engage in the dispensing and delivery of prescription drugs to consumers shall register with the Mississippi State Board of Pharmacy by applying for a permit on a form supplied by the board and accompanied by a fee as set by subsection (4) of this section.  The Pharmacy Board shall by regulation determine the classification of permit(s) that shall be required.

     (3)  The board shall establish by rule or regulation the criteria which each business shall meet to qualify for a permit in each classification.  The board shall issue a permit to any applicant who meets the criteria as established.  The board may issue various types of permits with varying restrictions to businesses where the board deems it necessary by reason of the type of activities conducted by the business requesting a permit.

     (4)  The board shall specify by rule or regulation the registration procedures to be followed, including, but not limited to, specification of forms for use in applying for such permits and times, places and fees for filing such applications.  However, the biennial fee for an original or renewal permit shall not exceed Five Hundred Dollars ($500.00).

     (5)  Applications for permits shall include the following information about the proposed business:

          (a)  Ownership;

          (b)  Location;

          (c)  Identity of the responsible person or pharmacist licensed to practice in the state, who shall be the pharmacist in charge of the pharmacy, where one is required by this chapter, and such further information as the board may deem necessary.

     (6)  Permits issued by the board pursuant to this section shall not be transferable or assignable.

     (7)  The board shall specify by rule or regulation minimum standards for the responsibility in the conduct of any business/facility and/or pharmacy that has been issued a permit.  The board is specifically authorized to require that the portion of the facility located in this state to which a pharmacy permit applies be operated only under the direct supervision of no less than one (1) pharmacist licensed to practice in this state, and to provide such other special requirements as deemed necessary.  Nothing in this subsection shall be construed to prevent any person from owning a pharmacy.

     (8)  All businesses permitted by the board shall report to the board the occurrence of any of the following changes:

          (a)  Permanent closing;

          (b)  Change of ownership, management, location or pharmacist in charge;

          (c)  Any and all other matters and occurrences as the board may require by rule or regulation.

     (9)  Disasters, accidents and emergencies which may affect the strength, purity or labeling of drugs, medications, devices or other materials used in the diagnosis or the treatment of injury, illness and disease shall be immediately reported to the board.

     (10)  No business that is required to obtain a permit shall be operated until a permit has been issued for such business by the board.  Any person, firm or corporation violating any of the provisions of this section shall be guilty of a misdemeanor and, upon conviction thereof, shall be punished by a fine of not less than One Hundred Dollars ($100.00) nor more than One Thousand Dollars ($1,000.00), or imprisonment in the county jail for not less than thirty (30) days nor more than ninety (90) days, or by both such fine and imprisonment.  However, the provisions of this chapter shall not apply to physicians, dentists, veterinarians, osteopaths or other practitioners of the healing arts who are licensed under the laws of the State of Mississippi and are authorized to dispense and administer prescription drugs in the course of their professional practice.

     SECTION 4.  Section 73-21-106, Mississippi Code of 1972, is amended as follows:

     73-21-106.  (1)  Any pharmacy located outside this state that ships, mails or delivers, in any manner, controlled substances or prescription or legend drugs or devices into this state shall be considered a nonresident pharmacy, shall be permitted by the board, and shall:

          (a)  Disclose to the board the location, names, and titles of all principal corporate officers and all pharmacists-in-charge.  A report containing this information shall be made on an annual basis and within thirty (30) days after any change of office, corporate officer or pharmacist-in-charge;

          (b)  Comply with all lawful directions and requests for information from the regulatory or licensing agency of the state in which it is licensed as well as with all requests for information made by the board under this section.  The nonresident pharmacy shall maintain at all times a valid unexpired license, permit or registration to conduct the pharmacy in compliance with the laws of the state in which it is a resident.  As a prerequisite to being permitted by the board, the nonresident pharmacy shall submit a copy of the most recent inspection report resulting from an inspection conducted by the regulatory or licensing agency of the state in which it is located; * * *

          (c)  Maintain its records of controlled substances and prescription or legend drugs or devices dispensed to patients in this state so that the records are readily retrievable from the records of other drugs dispensed; and

          (d)  Be subject to all rules and regulations of the board in the same manner as pharmacies in this state that are permitted by the board.

     (2)  Any pharmacy subject to this section shall provide during its regular hours of operation, but not less than six (6) days per week and for a minimum of forty (40) hours per week, a toll-free telephone service to facilitate communication between patients in this state and a pharmacist at the pharmacy who has access to the patient's records.  This toll-free number shall be disclosed on a label affixed to each container of drugs dispensed to patients in this state.

     (3)  The permit fee for nonresident pharmacies shall be the same as the fee as set by subsection (4) of Section 73-21-105.

     (4)  The requirements of this section shall apply to any nonresident pharmacy that dispenses, distributes, ships, mails or delivers controlled substances or prescription or legend drugs and devices into this state directly to a consumer.

     (5)  The board may deny, revoke or suspend a nonresident pharmacy permit only for:

          (a)  Failure to comply with any requirement of this section or the board's regulations;

          (b)  Conduct that causes serious bodily or serious psychological injury to a resident of this state if the board has referred the matter to the regulatory or licensing agency in the state in which the pharmacy is located and the regulatory or licensing agency fails to initiate an investigation within forty-five (45) days of the referral; or

          (c)  Violation of the Uniform Controlled Substances Law.

     (6)  It is unlawful for any nonresident pharmacy that is not permitted under this section to advertise its services in this state, or for any person who is a resident of this state to advertise the pharmacy services of a nonresident pharmacy that is not permitted with the board, with the knowledge that the advertisement will or is likely to induce members of the public in this state to use the pharmacy to fill prescriptions.

     (7)  When requested to do so by the board or the Mississippi Bureau of Narcotics, each nonresident pharmacy shall supply any inspection reports, controlled substances dispensing records, warning notices, notice of deficiency reports or any other related reports from the state in which it is located concerning the operation of a nonresident pharmacy for review of compliance with state and federal drug laws.

     SECTION 5.  Section 73-21-127, Mississippi Code of 1972, is amended as follows:

     73-21-127.  The Board of Pharmacy shall develop and implement a computerized program to track prescriptions for controlled substances and to report suspected abuse and misuse of controlled substances in compliance with the federal regulations promulgated under authority of the National All Schedules Prescription Electronic Reporting Act of 2005 and in compliance with the federal HIPAA law, under the following conditions:

          (a)  Reporting of dispensing information shall be mandatory and required by the State Board of Pharmacy for any entity dispensing controlled substances in or into the State of Mississippi.

          (b)  The prescriptions tracked shall be prescriptions for controlled substances listed in Drug Enforcement Agency Schedule II, III, IV or V and specified noncontrolled substances authorized by the State Board of Pharmacy, that are dispensed to residents in the State of Mississippi by licensed pharmacies, nonresident pharmacies, institutions, dispensing practitioners and the dispenser of veterinary controlled substance drugs, regardless of dispenser location.

          (c)  The Board of Pharmacy shall report any activity it reasonably suspects may be fraudulent or illegal to the appropriate law enforcement agency or occupational licensing board and provide them with the relevant information obtained for further investigation.

          (d)  The program shall provide information regarding the potential inappropriate use of controlled substances to practitioners, pharmacists-in-charge and appropriate state agencies in order to prevent the inappropriate or illegal use of such controlled substances.  The specific purposes of the program shall be to:  be proactive in safeguarding public health and safety; support the legitimate use of controlled substances; facilitate and encourage the identification, intervention with and treatment of individuals addicted to controlled substances and specified noncontrolled drugs; identify and prevent drug diversion; provide assistance to those state and federal law enforcement and regulatory agencies investigating cases of drug diversion or other misuse; and * * * inform the public and health care professionals of the use and abuse trends related to controlled substance and specified noncontrolled drugs.

          (e)  Access to collected data shall be confidential and not subject to the provisions of the federal Freedom of Information Act or the Mississippi Open Records Act.  The State Board of Pharmacy shall be authorized to provide collected information to:  pharmacists or practitioners that are properly registered with the State Board of Pharmacy and are authorized to prescribe or dispense controlled substances for the purpose of providing medical and pharmaceutical care for their patients; local, state and federal law enforcement officials engaged in the administration, investigation or enforcement of the laws governing illicit drug use; regulatory and licensing boards in this state; Division of Medicaid regarding Medicaid and Medicare Program recipients; judicial authorities under grand jury subpoena or court order; an individual who requests his or her own prescription monitoring information; and prescription monitoring programs in other states through mutual agreement adhering to State Board of Pharmacy policies.  The State Board of Pharmacy may also provide generic statistical data for research or educational purposes.

          (f)  A dispenser pharmacist or practitioner licensed to dispense controlled substances and specified noncontrolled substance drugs who knowingly fails to submit drug monitoring information or knowingly submits incorrect dispensing information shall be subject to actions against their license, registrations or permit and/or an administrative penalty as provided in Sections 73-21-97 and 73-21-103.

          (g)  "Practitioner," as used in this section, shall include any person licensed, registered or otherwise permitted to distribute, dispense or administer a controlled substance, as defined under Section 41-29-105(y).

          (h)  Each practitioner in this state shall be assessed an annual fee not to exceed Ten Dollars ($10.00) to support the operation of the Mississippi Prescription Monitoring Program (PMP).  The fee, which shall be designated as the "PMP Fee," shall be in addition to any other fee that may be required of the practitioner and must be collected by the practitioner's licensing board.  All PMP Fees must be deposited into a special fund in the State Treasury to be expended by the State Board of Pharmacy in the administration and enforcement of this section.  The State Board of Pharmacy may adopt such rules and regulations relating to the collection of the PMP Fee as deemed necessary by the board. 

          (i)  The State Board of Pharmacy may apply for any available grants and accept any gifts, grants or donations to assist in future development or in maintaining the program.

     SECTION 6.  Section 41-29-125, Mississippi Code of 1972, is amended as follows:

     41-29-125.  The State Board of Pharmacy may promulgate rules and regulations relating to the registration and control of the manufacture, distribution and dispensing of controlled substances within this state and the distribution and dispensing of controlled substances into this state from an out-of-state location.

          (a)  Every person who manufactures, distributes or dispenses any controlled substance within this state or who distributes or dispenses any controlled substance into this state from an out-of-state location, or who proposes to engage in the manufacture, distribution or dispensing of any controlled substance within this state or the distribution or dispensing of any controlled substance into this state from an out-of-state location, must obtain a registration issued by the State Board of Pharmacy, the State Board of Medical Licensure, the State Board of Dental Examiners, the Mississippi Board of Nursing or the Mississippi Board of Veterinary Medicine, as appropriate, in accordance with its rules and the law of this state.  Such registration shall be obtained annually or biennially, as specified by the issuing board, and a reasonable fee may be charged by the issuing board for such registration.

          (b)  Persons registered by the State Board of Pharmacy, with the consent of the United States Drug Enforcement Administration and the State Board of Medical Licensure, the State Board of Dental Examiners, the Mississippi Board of Nursing or the Mississippi Board of Veterinary Medicine to manufacture, distribute, dispense or conduct research with controlled substances may possess, manufacture, distribute, dispense or conduct research with those substances to the extent authorized by their registration and in conformity with the other provisions of this article.

          (c)  The following persons need not register and may lawfully possess controlled substances under this article:

              (1)  An agent or employee of any registered manufacturer, distributor or dispenser of any controlled substance if he is acting in the usual course of his business or employment;

              (2)  A common or contract carrier or warehouse, or an employee thereof, whose possession of any controlled substance is in the usual course of business or employment;

              (3)  An ultimate user or a person in possession of any controlled substance pursuant to a valid prescription or in lawful possession of a Schedule V substance as defined in Section 41-29-121.

          (d)  The State Board of Pharmacy may waive by rule the requirement for registration of certain manufacturers, distributors or dispensers if it finds it consistent with the public health and safety.

          (e)  A separate registration is required at each principal place of business or professional practice where an applicant within the state manufactures, distributes or dispenses controlled substances and for each principal place of business or professional practice located out of state from which controlled substances are distributed or dispensed into the state.

          (f)  The State Board of Pharmacy, the Mississippi Bureau of Narcotics, the State Board of Medical Licensure, the State Board of Dental Examiners, the Mississippi Board of Nursing and the Mississippi Board of Veterinary Medicine may inspect the establishment of a registrant or applicant for registration in accordance with the regulations of these agencies as approved by the board.

     SECTION 7.  This act shall take effect and be in force from and after July 1, 2010.