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ii.death of a sole proprietor;
iii.the addition or deletion of one or more partners in a partnership;
iv.bankruptcy sale; or
v.a 50 percent, or more, change in ownership of a corporation, limited liability company, or association since the issuance of the original CDS license.
b.The new owner(s) shall submit a properly completed application, with all required attachments and appropriate fee, to the board.
c.Upon the receipt of the new CDS license, the previous licensee shall:
i.notify the board of the transaction, including the identity of the new owner(s); and
ii.surrender his CDS license to the board.
d.A CDS license is not transferable from the original owner to a new owner.
e.A change in ownership may require an inspection by the board or its designee.

AUTHORITY NOTE:Promulgated in accordance with R.S. 40:972.

HISTORICAL NOTE:Promulgated by the Department of Health and Hospitals, Board of Pharmacy, LR 34:2131 (October 2008).

§2709.Actions on Applications

A.Upon receipt of a properly completed application and appropriate fees from a qualified applicant, the board shall issue a Louisiana CDS license to the applicant, unless the board intends to deny the application.

B.The board may deny an application for the issuance or renewal of a CDS license for cause. For purposes of this Section, the term "for cause" includes surrender in lieu of, or as a consequence of, any federal or state administrative, civil or criminal action resulting from an investigation of the individual's handling of controlled substances.

AUTHORITY NOTE:Promulgated in accordance with R.S. 40:972.

HISTORICAL NOTE:Promulgated by the Department of Health and Hospitals, Board of Pharmacy, LR 34:2132 (October 2008).

§2711.Actions on Licenses

A.The board may refuse to renew a CDS license, or may suspend or revoke an existing CDS license, if the licensee has violated, or been found guilty of violating, any federal or state laws or regulations relating to controlled substances.

B.Violations Committee

1.Informal Hearings. The violations committee of the board may conduct an informal non-adversarial hearing with a licensee properly noticed of the inquiry regarding the issues to be discussed. The committee shall receive information and deliberate as to a cause of action regarding a potential violation. By an affirmative majority vote of the committee members, they may recommend a course of action to the full board, or they may dismiss the allegations. Should the committee recommend a course of action to the full board, the committee members participating in that decision shall not be permitted to participate in subsequent formal administrative hearings pertaining to the complaint or alleged violation(s) heard by the committee, unless the licensee allows otherwise.
2.Interlocutory Hearings. By interlocutory, or summary, hearing, the committee may summarily suspend a CDS license prior to a formal administrative board hearing wherein, based upon the committee’s judgment and reflected by adequate evidence and an affirmative majority decision, the licensee poses a danger to the public's health, safety, and welfare, and the danger requires emergency action.
a..Summons Notice. A summary proceeding summons notice shall be served at least five days before the scheduled hearing to afford the licensee an opportunity to be heard with respect to a potential summary suspension action. The notice shall contain a time, place, nature, and the grounds asserted relative to the alleged conduct warranting summary suspension.
b.Burden of Proof. Legal counsel shall have the burden of proof to support the contention the public's health, safety, or welfare is in danger and requires summary or emergency action.
c.Evidence. The licensee shall have the right to appear personally, to be represented by counsel, or both, to submit affidavits, documentary evidence, or testimony in response to the cause of action asserted as the basis for the summary suspension.
d.Decision. The committee shall determine whether to grant or deny the request for summary suspension based upon adequate evidence with an affirmative majority vote substantiated by findings(s) of fact and conclusion(s) of law the public’s health, safety, or welfare is in danger and requires emergency or summary action.
e.Report. The committee shall submit their findings and interlocutory decree to the board when rendered.
f.Suspensive Duration. The summary suspension decree shall be followed by a formal administrative hearing within 30 days from receipt of notice by the licensee.

C.Consent Agreements. A licensee may enter into a consent agreement with the board on any matter pending before the board. A consent agreement is not final until the board approves the consent agreement by an affirmative majority vote of the board. If the consent agreement is rejected in full or part, the matter shall be heard at the next regularly scheduled formal administrative hearing. However, nothing herein shall be construed to limit the board from modifying a consent agreement, with the licensee’s approval, to include less severe sanctions than those originally agreed to in a pending consent agreement.

D.Formal Administrative Hearing

1.Authority. The board shall convene a formal administrative hearing pertaining to the ability to hold a CDS license, in accordance with the Administrative Procedure Act, R.S. 49:950 et seq., with authority to take disciplinary action pursuant to R.S. 40:975.
2.Ex-Parte Communication. Once a formal administrative hearing has been initiated and notice served, board members participating in the decision process shall not communicate with a licensee or a licensee's attorney concerning any issue of fact or law involved in the formal administrative hearing.

Louisiana Register   Vol. 34, No. 10   October 20, 2008

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