Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:

SECTION 1. (a) The department of public health, in conjunction with the board of registration in pharmacy and the division of medical assistance, shall convene a task force to review and make recommendations on methods to reduce medication waste in facilities licensed by the departments of public health, mental health and corrections. The task force shall recommend such methods, based on its review, that are determined to be effective in reducing waste without imposing unreasonable costs on the health care delivery system. The task force's review shall address, but not be limited to, the following areas: (1) current technology, standards and reimbursement mechanisms for dispensing and distributing medications to facilities; (2) other states' requirements for limiting prescription drug waste and any cost savings realized; (3) the commonwealth's standards for the return and re-dispensing of patient-specific schedule VI prescription drugs; and (4) possible incentive mechanisms to prevent the creation of prescription drug waste.

(b) The task force shall consist of up to 2 representatives from each of the following offices: the department of public health, the board of registration in pharmacy and the division of medical assistance. The task force shall consult with representatives from the board of registration in nursing, the board of registration in medicine, the department of mental health, the department of corrections, and may consult with representatives from the following entities, as the task force deems necessary: the Massachusetts Society of Consultant Pharmacists, Massachusetts Extended Care Federation, Massachusetts Society of Health System Pharmacists, Massachusetts Medical Society, Massachusetts Nurses Association, Massachusetts Hospital Association, the Long-Term Care Pharmacy Alliance, the Home and Health Care Association of Massachusetts and other industry representatives and consultants.

SECTION 2. The task force shall submit a report to the joint committee on health care and the house and senate committees on ways and means on or before September 30, 2002.