Alabama Bill Proposes Rewrite of Pharmacy Practice Act

The future direction of the Alabama Board of Pharmacy (“the Board”) hangs in the balance following recent legislation that, if passed, would revise many portions of the state Pharmacy Practice Act. House Bill 123, sponsored by Representatives Underwood and Wilcox, is the latest effort to reform the Alabama Board of Pharmacy.

The Board has come under recent scrutiny following a 2024 Sunset Report issued by the Alabama Department of Examiners of Public Accounts that identified several issues with the Board’s structure, operations, and practices. In January 2025, the Sunset Committee, which reviews and reauthorizes state licensing boards, voted to approve a legislative proposal to modify the Pharmacy Practice Act. House Bill 123 adopts some of the Committee’s legislative proposal.

The Bill continues the Alabama Board of Pharmacy until October 1, 2026, with certain changes, including but not limited to:

• Board Composition:
  • Expands the Board from five members to nine.
  • Removes the requirement that all board members be licensed pharmacists.
  • Sets qualifications for Board members, including:
    • One hospital pharmacist;
    • One chain pharmacist;
    • One independent pharmacist;
    • One specialty pharmacist;
    • One institutional pharmacist;
    • One academic pharmacist;
    • One at-large pharmacist;
    • One pharmacy technician;
    • One at-large consumer.
  • Requires that members be appointed in a manner so that each congressional district in the state is represented by a board member who resides in the district.
• Structural Changes to the Board’s Legal Oversight
  • The bill splits the Board’s General Counsel office into two separate divisions:
    • Disciplinary Division – Handles enforcement and disciplinary matters.
    • Administrative Division – Provides regulatory guidance to licensees and applicants.
  • The administrative division cannot share information with the disciplinary division, unless there is a reasonable belief of a criminal violation.
• Monetary Penalties:
  • Allows the Board authority to impose monetary penalties, including disciplinary civil penalties and non-disciplinary administrative fines, for violations by an Alabama license, permit, certificate, or registration holder.
  • Requires the Board to adopt monetary penalty schedules by rule, including for civil penalties and administrative fines.
  • Prohibits the Board from imposing any monetary penalties after January 1, 2026, that are not addressed by the monetary penalty schedules.
  • Requires the Board to consider certain factors when determining the monetary penalty amount for a specific violation, including:
    • The level and scope of misconduct;
    • The level of risk to public health and safety;
    • The compliance history of the individual or entity; and
    • For entities, the size and annual revenue of the business.
• Non-Disciplinary Administrative Fines:
  • Allows the Board to impose administrative fines for non-disciplinary violations of the pharmacy statutes and Board rules in accordance with the adopted schedules.
• Disciplinary Actions:
  • Allows the Board to impose civil penalties for disciplinary violations of the pharmacy statutes and Board rules in accordance with the published schedules.
  • Allows the Board to seek injunctive relief for the practice of pharmacy without a license, operation of a pharmacy without a permit, or performing pharmacy technician functions without a registration.
  • Prohibits the Board from taking any disciplinary action, including imposing monetary penalties, for an individual or entity that is not licensed by Alabama and has not violated any provision of the pharmacy statutes or Board rules.
• Fees:
  • Gives the Board the authority to set fees such as license, permits, and certificates, and renewal fees, late fees, delinquency fees, and reinstatement fees.
  • Allows the Board to impose a late fee of $25 dollars per month that a renewal is late.
  • Increases the permit fee ranges for resident pharmacies and manufacturers, third-party logistic providers, wholesale drug distributors, and other licensed pharmacy business entities.
• Board Administration:
  • Sets qualifications for Secretary of the Board and requires the Board to appoint a new Secretary before November 1, 2025.

On February 20, 2025, the bill as amended was passed unanimously by the House of Representatives. The bill will be transmitted to the Senate for consideration next, where it will be assigned to a committee. To comment on the bill stakeholders may contact state senator or any senator belonging to the assigned committee or attend public hearings. Our team of attorneys will continue to track this bill’s progression.

If you have any questions regarding this bill, please contact your Quarles attorney or:

• Nick Meza: (602) 229-5439 / nicholas.meza@quarles.com
• Brenda Shafer: (602) 229-5774 / brenda.shafer@quarles.com
• Mary Saxon: (602) 229-5334 / mary.saxon@quarles.com