SENATE JUDICIARY COMMITTEE

STATEMENT TO

SENATE, No. 3242

with committee amendments

STATE OF NEW JERSEY

DATED:  SEPTEMBER 26, 2024

      The Senate Judiciary Committee reports favorably and with committee amendments Senate Bill No. 3242.

      Under section 2 of P.L.1989, c.19 (C.45:9-22.5), a health care practitioner (defined in section 1 of P.L.1989, c.19 (C.45:9-22.4) to mean a physician, chiropractor, or podiatrist) is prohibited from referring a patient to a health care service in which the practitioner, or the practitioner's immediate family, or a combination of both has a significant beneficial interest, except as otherwise permitted under that section of law.

      This bill amends the section to expand the permissible exceptions under which a health care practitioner can refer a patient to a health care service under such circumstances involving a significant beneficial interest to include an exception in which the practitioner, the practitioner's immediate family, or a combination of both has a significant beneficial interest in a pharmacy that is integrated with an oncology practice, that only dispenses medications exclusively to patients of that practice, and that complies with the following additional requirements: (1) it has direct access to the oncology practice’s patient records; (2) it communicates with each patient in person or via telemedicine to review the prescription instructions and assesses the patient for interactions with other drugs and food; (3) it synchronously consults with the oncology practice’s treating physicians as appropriate; and (4) it complies with the requirements for timely delivery of medications, hours of operation, and recordkeeping that are established by rule or regulation by the State Board of Pharmacy.

      This bill, as amended and reported by the committee, is identical to Assembly Bill No. 4447, also amended and reported by the committee today.

      The committee amendments to the bill:

      - remove the exemption for permitting patient referrals to a pharmacy that had an application for a permit to operate a pharmacy site approved prior to the effective date of section 2 of P.L.1989, c.19 (C.45:9-22.5) (February 6, 1989); and

      -  add a new exemption for permitting patient referrals to a pharmacy that is integrated with an oncology practice and otherwise meets the criteria as set forth above in the statement.