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4934Ratification Number: 471Act Number: 400Type of Legislation: General Bill GBIntroducing Body: HouseIntroduced Date: 20000413Primary Sponsor: KelleyAll Sponsors: KelleyDrafted Document Number: l:\council\bills\psd\7192ac00.docCompanion Bill Number: 1306Date Bill Passed both Bodies: 20000621Date of Last Amendment: 20000621Governor's Action: SDate of Governor's Action: 20000912Subject: Continuing Care Retirement Community Act, contracts; Residential Care Facilities, Aging, Prescription drugs, PharmaciesHistory Body Date Action Description Com Leg Involved ______ ________ ______________________________________ _______ ____________ ------ 20000920 Act No. A400 ------ 20000912 Signed by Governor ------ 20000622 Ratified R471 ------ 20000622 Scrivener's error corrected House 20000621 Conference Committee Report 98 HCC adopted, enrolled for ratification Senate 20000620 Conference Committee Report adopted 88 SCC House 20000601 Conference powers granted, 98 HCC Kelley appointed Reps. to Committee of M. Hines Conference Wilder Senate 20000601 Conference powers granted, 88 SCC McConnell appointed Senators to Committee Reese of Conference Rankin Senate 20000601 Insists upon amendment House 20000601 Non-concurrence in Senate amendment Senate 20000601 Read third time, returned to House with amendment Senate 20000531 Amended, read second time Senate 20000524 Recalled from Committee, 02 SBI placed on the Calendar Senate 20000518 Introduced, read first time, 02 SBI referred to Committee House 20000518 Read third time, sent to Senate House 20000517 Read second time House 20000504 Recalled from Committee 27 H3M ------ 20000418 Companion Bill No. 1306 House 20000413 Introduced, read first time, 27 H3M referred to Committee Versions of This Bill Revised on May 4, 2000 - Word format Revised on May 24, 2000 - Word format Revised on May 31, 2000 - Word format Revised on June 21, 2000 - Word format Revised on June 22, 2000 - Word format
(A400, R471, H4934)
AN ACT TO AMEND SECTION 37-11-20, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEFINITION OF TERMS USED IN THE "STATE CONTINUING CARE RETIREMENT COMMUNITY ACT", SO AS TO REVISE THE DEFINITION OF "CONTINUING CARE CONTRACT" SUCH THAT ONLY THOSE COMMUNITIES THAT REQUIRE THE PAYMENT OF AN ENTRANCE FEE OR OTHER FEE IN RETURN FOR A PROMISE OF FUTURE CARE ARE SUBJECT TO THE PROVISIONS OF THE ACT; TO AMEND SECTION 37-11-135, RELATING TO EXEMPTIONS FROM CERTAIN PROVISIONS OF THE ACT, SO AS TO EXEMPT CONTINUING CARE RETIREMENT COMMUNITIES FROM ALL PROVISIONS OF THE ACT IF PAYMENT OF AN ENTRANCE FEE IS NOT REQUIRED; AND TO ADD SECTION 37-17-10 SO AS TO MAKE IT UNLAWFUL TO SELL, MARKET, PROMOTE, ADVERTISE, OR DISTRIBUTE A CARD OR OTHER DEVICE WHICH IS NOT INSURANCE BUT WHICH OFFERS DISCOUNTS ON PRESCRIPTION DRUG PURCHASES UNLESS CERTAIN CONDITIONS ARE MET, INCLUDING REGISTRATION WITH THE DEPARTMENT OF INSURANCE AND TO PROVIDE PENALTIES AND EXCEPTIONS.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Section 37-11-20(6) of the 1976 Code, as added by Act 97 of 1989, is amended to read:
"(6) 'Continuing care contract' means a contract to provide board or lodging together with nursing, medical, or other health-related services:
(a) to a person sixty-five years of age or older at the time the contract is signed or purchased; or
(b) which provides for services for the life of the person or for more than one year, including mutually terminable contracts; and
(c) which requires payment of an entrance fee or other fee in return for a promise of future care."
SECTION 2. Section 37-11-135 of the 1976 Code, as added by Act 19 of 1995, is amended to read:
"Section 37-11-135. A continuing care retirement community which does not require payment of an entrance fee is exempt from the requirements of this chapter."
Discount drug cards
SECTION 3. The 1976 Code is amended by adding:
"Section 37-17-10. (A) It is unlawful for a person to sell, market, promote, advertise, or distribute a card or other purchasing mechanism or device which is not insurance that purports to offer discounts or access to discounts from pharmacies for prescription drug purchases unless:
(1) the person is registered with the Department of Insurance for this express purpose;
(2) the card or other purchasing mechanism or device expressly states in bold and prominent type, prominently placed, that the discounts are not insurance;
(3) documentation is provided to the Department of Insurance that the discounts are specifically authorized and the person has a separate contract with each pharmacy or pharmacy chain listed in conjunction with the card or other purchasing mechanism or device; and
(4) the discounts or access to discounts offered, or the range of discounts or access to the range of discounts offered, are not misleading, deceptive, or fraudulent.
(B) A person who sells, markets, promotes, advertises, or distributes a card or other purchasing mechanism or device which is not insurance that purports to offer discounts or access to discounts from pharmacies for prescription drug purchases in this State shall designate a resident of this State as an agent for service of process and register the agent with the Secretary of State.
(C)(1) A person who violates subsection (A) is guilty of a misdemeanor and upon conviction must be imprisoned for not more than six months or fined not more than one thousand dollars, or both; for a second or subsequent violation a person must be imprisoned for not more than two years or fined not more than five thousand dollars, or both.
(D) This section does not apply to:
(1) a pharmacy holding a permit issued pursuant to Title 40, Chapter 43;
(2) eye or vision care services or glasses or contact lenses provided by an optometrist or ophthalmologist;
(3) an insured benefit administered by a health insurer, health care service contractor, or health maintenance organization; or
(4) an insured benefit administered by, or under contract with, the State of South Carolina.
(E) For purposes of this section, 'person' means an individual, corporation, partnership or any other business entity, including but not limited to, a health maintenance organization, an insurance company, or a third party payor.
SECTION 4. This act takes effect upon approval by the Governor.
Ratified the 22nd day of June, 2000.
Approved the 12th day of September, 2000.
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