LRB-2168/1
JPC:skw&amn
2021 - 2022 LEGISLATURE
2021 Assembly BILL 120
March 1, 2021 - Introduced by Representative Kerkman, cosponsored by Senator
Wanggaard. Referred to Committee on Regulatory Licensing Reform.
AB120,1,5 1An Act to amend 440.15, 450.01 (11m), 450.01 (21s) and 450.02 (1); and to
2create
440.08 (2) (a) 69g., 450.01 (13w), 450.01 (23) (p) and 450.075 of the
3statutes; relating to: third-party logistics providers, extending the time limit
4for emergency rule procedures, providing an exemption from emergency rule
5procedures, and granting rule-making authority.
Analysis by the Legislative Reference Bureau
This bill creates an optional license for third-party logistics providers that are
located in the state or are located outside the state but provide third-party logistics
provider services in the state. A third-party logistics provider is defined under
current law as a person that contracts with a prescription drug manufacturer to
provide or coordinate warehousing, distribution, or other services on behalf of the
manufacturer but that does not take title to the manufacturer's prescription drug or
have general responsibility to direct the prescription drug's sale or disposition.
The bill requires an applicant for a third-party logistics provider license to
submit certain information prior to licensure, including proof of a recent facility
inspection, and a personal statement relating to a designated representative of the
facility. The license created by this bill will no longer apply if the federal Food and
Drug Administration establishes a licensing program for third-party logistics
providers under federal law and the Pharmacy Examining Board determines that
state licensure is not required for a resident third-party logistics provider to provide
third-party logistics services in another state.

The bill also directs the Pharmacy Examining Board to promulgate rules that
regulate third-party logistics providers and out-of-state third-party logistics
providers consistent with federal law. The authority of the Pharmacy Examining
Board to promulgate rules is restricted to only rules that are equivalent to
requirements under federal law, and only rules that do not mandate licensing under
state law.
The bill requires the Pharmacy Examining Board to issue interim licenses for
third-party logistics providers and out-of-state third-party logistics providers
between the date of enactment until permanent or emergency rules take effect,
whichever is sooner, if, in the opinion of the board, the applicant is currently in
compliance with federal law relating to third-party logistics providers. An interim
license to act as a third-party logistics provider or out-of-state third-party logistics
provider expires 90 days after the date that emergency rules take effect, or 90 days
after the date that permanent rules take effect, whichever is sooner. No fee is
required for a holder of an interim license to act as a third-party logistics provider
or an out-of-state third-party logistics provider.
Finally, the bill requires third-party logistics providers, whether or not
licensed under the bill, to cooperate with inspections of their facilities and delivery
vehicles.
For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB120,1 1Section 1 . 440.08 (2) (a) 69g. of the statutes is created to read:
AB120,2,32 440.08 (2) (a) 69g. Third-party logistics provider: July 1 of each
3even-numbered year.
AB120,2 4Section 2 . 440.15 of the statutes is amended to read:
AB120,2,9 5440.15 No fingerprinting. Except as provided under ss. 440.03 (13) (c),
6441.51 (5) (a) 5., 448.980 (5) (b) 3., and 448.985 (3) (a) 4., 450.071 (3) (c) 9., and 450.075
7(3) (c) 9.,
the department or a credentialing board may not require that an applicant
8for a credential or a credential holder be fingerprinted or submit fingerprints in
9connection with the department's or the credentialing board's credentialing.
AB120,3 10Section 3 . 450.01 (11m) of the statutes is amended to read: