PRINTER'S NO. 2059

THE GENERAL ASSEMBLY OF PENNSYLVANIA

SENATE BILL

No.

1213

Session of

2015

INTRODUCED BY COSTA, WOZNIAK, KITCHEN, FONTANA, BREWSTER, WILEY,

TARTAGLIONE, FARNESE, SCHWANK, BLAKE, DINNIMAN, YUDICHAK AND

HUGHES, SEPTEMBER 16, 2016

collection, administration and enforcement thereof; providing

for tax credits in certain cases; conferring powers and

imposing duties upon the Department of Revenue, certain

employers, fiduciaries, individuals, persons, corporations

and other entities; prescribing crimes, offenses and

penalties," providing for addiction prevention and treatment

assessment and establishing the Opioid Addiction Prevention

and Treatment Fund.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

The following words and phrases when used in this article

shall have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Assessment." The addiction prevention and treatment

assessment imposed under this article.

"Department." The Department of Revenue of the Commonwealth.

"Fund." The Opioid Addiction Prevention and Treatment Fund

established under section 1210-B.

"Opioid product." A pharmaceutical drug containing opiates.

"Person." An individual, unincorporated association,

unincorporated association or other joint venture, and as

applied to a corporation shall mean each officer and director of

the corporation.

"Program." The Emergency Addiction Treatment Program

established under 35 Pa.C.S. § 8304 (relating to Emergency

Addiction Treatment Program).

"Purchase price." The total value of anything paid or

delivered, or promised to be paid or delivered, money or

otherwise, in complete performance of a sale or purchase,

without any deduction on account of any of the following:

1

2

3

4

5

6

7

8

(3) tax imposed by the Commonwealth; or

(4) any other expense.

Section 1202-B. Addiction prevention and treatment assessment.

(a) Imposition of assessment.--An addiction prevention and

treatment assessment shall be paid by a person that

manufactures, produces, distributes, sells or offers to sell

opioid products in this Commonwealth. The ultimate end user of

an opioid product may not be required to pay any portion of the

product to the initial buyer within this Commonwealth and

remitted to the department. A person required to remit the

assessment shall separately state the amount of the assessment

on an invoice or other sales document.

(c) Exceptions.--The assessment may not be imposed on opioid

products that:

(1) are exported for sale and use outside this

Commonwealth; or

(2) are not subject to taxation by the Commonwealth

under any Federal law.

1

2

3

4

5

6

7

8

effective date of this article. The report shall contain the

information listed in section 1207-B(b) for the previous

month.

(2) The assessment is due at the time the report is due.

(3) The department may require the filing of reports and

the remittance of the assessment on a less frequent basis at

its discretion.

(e) Other provisions.--Unless otherwise specifically noted,

this article and shall adopt rules and regulations for those

purposes.

Section 1204-B. Assessment.

The department may make the inquiries, determinations and

valuations of the assessment, including interest, additions and

penalties, imposed by this article.

Section 1205-B. Electronic filing.

The department may require that a report required to be filed

under this article be filed electronically.

Section 1206-B. Extension of limitation period.

1

2

3

4

5

6

7

8

made before the expiration of the extended period.

Section 1207-B. Reports, records and inspections.

(a) Reports of shipments and receipts of opioid products

required.--The department may, at such times as it deems

necessary, require a report from a common carrier or contract

carrier who transports opioid products to any point or points

within this Commonwealth, and from any bonded warehouseman or

bailee who has in the possession of the warehouseman or bailee

to the shipment or receipt of opioid products.

(b) Records of manufacturers and wholesalers.--A person who

sells opioid products subject to the assessment shall keep, on

an annual basis, for a period of four years, records showing for

each calendar year:

(1) The number or units and pharmaceutical name or

description of opioid products sold.

(2) The date the opioid products were sold.

(3) The name, address or other contact information, as

may be required by the department, of the person to whom the

1

2

3

4

5

6

7

8

the books and records, the stock of opioid products and the

premises and equipment of any person in order to verify the

accuracy of the payment of the assessment imposed by this

article. The person subject to an inspection shall give to the

department or its duly authorized representative the means,

facilities and opportunity for the inspection.

Section 1208-B. Information exchange.

The department is authorized to exchange information with any

whenever transactions subject to the assessment are not

reported.

(2) If a person willfully files a false or fraudulent

report with the intent to evade the assessment, the amount of

the assessment due may be imposed and collected by the

department at any time.

(b) Failure to furnish information, returning false

information or failure to permit inspection.--

(1) A person who fails to keep or make a record, report,

inventory or statement or keeps or makes any false or

1

2

3

4

5

6

7

8

commits a misdemeanor and shall, upon conviction, be

sentenced to pay a fine of $500 or to imprisonment for not

more than one year, or both.

(c) Penalties.--

(1) A person who sells an opioid product for which the

proper assessment has not been paid commits a summary offense

and shall, upon conviction, be sentenced to pay a fine of not

less than $100 nor more than $1,000 or to imprisonment for

more than $15,000 or to imprisonment for not more than five

years, or both.

(3) In addition to the penalties prescribed in

paragraphs (1) and (2), if a person fails to file the report

required under section 1202-B(d) or fails to pay the

assessment, the department may impose an administrative

penalty equal to the amount of the assessment not paid. The

penalty shall be added to the assessment not paid and imposed

and collected at the same time and in the same manner as the

assessment.

1

2

3

4

5

6

7

8

article. The penalty shall be in addition to any administrative

penalty imposed under subsection (c)(3). The criminal penalty

for failure to file a report electronically shall be the same as

the criminal penalty for failure to furnish information or file

a report under subsection (b)(1).

(e) Fines and penalties payable to department.--All fines

and penalties imposed and collected under the provisions of this

article shall be payable to the Commonwealth and appropriated to

1202-B into the fund. Money in the fund may not lapse and shall

be appropriated on a continuing basis for the purposes set forth

in this section.

(b) Distributions.--Money in the fund shall be distributed

quarterly as follows:

(1) Fifty-five percent to the Department of Drug and

Alcohol Programs to fund the implementation and

administration of the program.

(2) Five percent to the Department of Drug and Alcohol

Programs for grants for the purchase of naloxone for local

1

2

3

4

5

6

7

8

(ii) Costs to the criminal justice system related to

drug and alcohol addiction.

(iii) Establishment and maintenance of procedures to

ensure the transition of overdose survivors to addiction

treatment programs.

(4) Five percent to the department to fund the

activities under 35 Pa.C.S. Ch. 83 (relating to emergency

addiction treatment).

(7) Seven and one-half percent to the Pennsylvania

Higher Education Assistance Agency to fund the Alcohol and

Drug Addiction Counselor Loan Forgiveness Program as provided

for under the act of , (P.L. , No. ), known

as the Alcohol and Drug Addiction Counselor Loan Forgiveness

Program Act.

(8) One percent to the Department of Health to be used

exclusively for prescription drug monitoring under the act of

October 27, 2014 (P.L.2911, No.191), known as the Achieving

Better Care by Monitoring All Prescriptions Program (ABC-MAP)

Section 2. This act shall take effect in 60 days.

1

2

3

4

5

6

7

8