HB 3496

86(R) - 2019
House Public Health
Senate Business & Commerce
House Public Health
Senate Business & Commerce

Vote Recommendation

  • Neutral
  • Neutral
  • Neutral
  • Negative
  • Neutral


J.D. Sheffield


Brandon Creighton

Bill Caption

Relating to the licensing and regulation of certain pharmacies; providing an administrative penalty.

Fiscal Notes

No fiscal implication to the State is anticipated.

Bill Analysis

HB 3496 would impose certain financial disclosure and surety bond requirements on non-publicly traded pharmacies. More specifically, it would require an applicant for a pharmacy license to submit a sworn disclosure statement a prescribed by this bill unless the pharmacy for which the application is made is operated by a publicly traded company or retail grocery store chain, or the applicant is applying for a Class B or C pharmacy license. The application for a pharmacy license must include a notice that a surety bond may be required. 

This bill would also authorize the Texas State Board of Pharmacy (TSBP) to discipline an applicant for or holder of a pharmacy license if the TSBP finds that the individual has engaged in fraud, deceit, or misrepresentation in dispensing drugs for nontherapeutic purposes. It would also allow TSBP to require a pharmacy license holder to submit a surety bond to the TSBP in an amount prescribed by rule, but capped at $25,000. TSBP may use the bond to secure payment of a fine, fee, or penalty.

Lastly, the bill would direct TSBP to notify a pharmacy who has ceased to operate for 30 days or longer that the pharmacy license could potentially be revoked and sets forth procedures to follow through with revocation. 

Vote Recommendation Notes

Texas Action recommends opposing HB 3496 because it infringes upon limited government principles. This bill would impose additional, burdensome regulations on smaller, independent pharmacies, which already compete with larger chain pharmacies with better ability to absorb government regulation.