Legislation, In force, Commonwealth
Commonwealth: National Health Amendment (Improved Monitoring of Entitlements to Pharmaceutical Benefits) Act 2000 (Cth)
An Act to amend the National Health Act 1953 to improve the monitoring of entitlements to pharmaceutical benefits, and for related purposes Contents 1 Short title.
          National Health Amendment (Improved Monitoring of Entitlements to Pharmaceutical Benefits) Act 2000
No. 146, 2000
National Health Amendment (Improved Monitoring of Entitlements to Pharmaceutical Benefits) Act 2000
No. 146, 2000
An Act to amend the National Health Act 1953 to improve the monitoring of entitlements to pharmaceutical benefits, and for related purposes
Contents
1 Short title...................................
2 Commencement...............................
3 Schedule(s)..................................
Schedule 1—Amendment of the National Health Act 1953
Schedule 2—Further amendment of the National Health Act 1953
National Health Amendment (Improved Monitoring of Entitlements to Pharmaceutical Benefits) Act 2000
No. 146, 2000
An Act to amend the National Health Act 1953 to improve the monitoring of entitlements to pharmaceutical benefits, and for related purposes
[Assented to 11 December 2000]
The Parliament of Australia enacts:
1  Short title
  This Act may be cited as the National Health Amendment (Improved Monitoring of Entitlements to Pharmaceutical Benefits) Act 2000.
2  Commencement
 (1) Subject to this section, this Act commences on the day on which it receives the Royal Assent.
 (2) Schedule 2 commences on 1 January 2001.
3  Schedule(s)
  Subject to section 2, each Act that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.
Schedule 1—Amendment of the National Health Act 1953
1  Subsection 84(1)
Insert:
communicated prescription means a prescription that is communicated to an approved pharmacist in the circumstances and manner set out in regulations made for the purposes of paragraph 89(a).
1A  Subsection 84(1)
Insert:
CTS claim means a claim made to the Health Insurance Commission using the procedures of the Claims Transmission System provided for in section 99AAA of the National Health Act 1953.
2  Subsection 84(1)
Insert:
expiry date, in relation to a medicare number, means:
 (a) if the number is recorded on a medicare card that specifies a particular date on which the card expires—that date; and
 (b) if the number is recorded on a medicare card that does not specify a particular date on which the card expires but that has recorded on it the month at the end of which the card expires—the last day of that month; and
 (c) if the number is not of a kind referred to in paragraph (a) or (b)—such date as the Minister specifies, in writing, in respect of the number.
3  Subsection 84(1)
Insert:
medicare card means:
 (a) a card issued by the Health Insurance Commission and commonly known as a medicare card; or
 (b) a card or written authorisation provided to a person that evidences a person's eligibility for pharmaceutical benefits under the scheme known as the Repatriation Pharmaceutical Benefits Scheme established under the Veterans' Entitlements Act 1986; or
 (c) any other card that is prescribed for the purposes of this definition.
4  Subsection 84(1)
Insert:
medicare number means:
 (a) in relation to a particular person covered by a medicare card—the particular combination of numbers, or letters and numbers, on the card that is applicable only to that person as a person covered by that card; and
 (b) in relation to a person who the Health Insurance Commission is satisfied is, or is entitled to be treated as, an eligible person within the meaning of the Health Insurance Act 1973 but who is not covered by a medicare card—the particular combination of numbers, or letters and numbers, that would be applicable to that person if that person were covered by a medicare card.
5  Subsection 84(1)
Insert:
special number, in relation to a particular person who is included within a class of persons identified by the Minister in a determination under subsection 86E(1)—the particular combination of numbers, or letters and numbers, allocated in accordance with a procedure set out in that determination, that is applicable to that person as a person included in that class.
6  At the end of section 84
Add:
 (8) A reference in this Part to the provision to a person or body of a medicare number as a number applicable to a particular individual is a reference to:
 (a) the production to that person or body of a medicare card having on it a medicare number as a number applicable to that particular individual; or
 (b) the provision to that person or body of any other information, whether documentary or oral, that indicates a medicare number as a number applicable to that particular individual.
 (9) A reference in this Part to the provision to a person or body of the expiry date in relation to a medicare number provided as a number applicable to a particular individual is a reference to:
 (a) the production to the person or body of a medicare card that indicates the expiry date in relation to that medicare number; or
 (b) the provision to the person or body of any other information, whether documentary or oral, that indicates the expiry date in relation to that medicare number.
 (10) A reference in this Part to a medicare number, or a special number, ultimately supplied to the Health Insurance Commission in relation to a prescription, is a reference to:
 (a) if the number is not inserted in a CTS claim relating to that prescription—the number in the form in which it appears on the prescription (or in the case of a communicated prescription, the written version of the prescription), at the time when the prescription is sent to the Health Insurance Commission by an approved supplier with a claim for payment; or
 (b) if that number is inserted in a CTS claim relating to the prescription—the number so inserted.
7  Section 86
Repeal the section, substitute:
86  Entitlement to receive pharmaceutical benefits
  Subject to this Part, a person who:
 (a) is, or is to be treated as, an eligible person within the meaning of the Health Insurance Act 1973; and
 (b) is receiving medical treatment by a medical practitioner or dental treatment by a participating dental practitioner;
is entitled to receive pharmaceutical benefits under this Part without the payment or furnishing of money or other consideration other than a charge made in accordance with section 87.
86A  Pharmaceutical benefits not to be supplied in respect of persons reasonably believed not to be in Australia
  An approved supplier must not supply a pharmaceutical benefit in respect of a person if the approved supplier has reason to believe that the person is not in Australia at the time of the supply.
86B  Approved supplier may request provision of medicare number
Approved supplier may request provision of medicare number
 (1) If:
 (a) an approved supplier is presented with a prescription for the supply of a pharmaceutical benefit to a person; and
 (b) the person presenting the prescription claims to be, or to be the agent of, the person to whom the prescription relates; and
 (c) the person presenting the prescription does not request that the drug or medicinal preparation to which the prescription relates not be supplied as a pharmaceutical benefit;
the approved supplier may request the person presenting the prescription to provide to the approved supplier a medicare number applicable to the person to whom the prescription relates and the expiry date in relation to the number.
Inclusion of medicare number in a prescription does not prevent later request
 (2) The approved supplier may make the request under subsection (1) whether or not:
 (a) the prescription already contains a medicare number as a number applicable to the person to whom the prescription relates; or
 (b) the approved supplier's records already contain such a number (whether with or without the expiry date in relation to that number) recorded and retained in accordance with section 86D.
Approved supplier's powers if medicare number is provided
 (3) If a medicare number is provided to the approved supplier as a number applicable to the person following a request under subsection (1), or is included as such a number in the approved supplier's records in accordance with section 86D, the approved supplier may:
 (a) if the prescription has already been endorsed with a medicare number as such a number, check the number so provided or included against the endorsed number and:
 (i) confirm that they are the same; or
 (ii) if they are not the same and the approved supplier considers the number so provided or included more reliable than the endorsed number—alter the endorsed number to the number so provided or included or insert the number so provided or included in the CTS claim relating to the prescription, noting the discrepancy; or
 (iii) if they are not the same and the approved supplier considers the endorsed number more reliable than the number so provided or included—disregard the number so provided or included and, if making a CTS claim, insert the endorsed number in the CTS claim relating to that prescription; and
 (b) if the prescription has not already been endorsed with a medicare number as such a number:
 (i) endorse the prescription with the medicare number so provided or included as a number applicable to the person; or
 (ii) insert the number so provided or included in the CTS claim relating to that prescription; and
 (c) if the approved supplier has also been provided with, or has, in the approved supplier's records, the expiry date in relation to the medicare number ultimately supplied to the Health Insurance Commission—confirm that the supply of a pharmaceutical benefit authorised by the prescription is not being sought after the expiry date.
Approved supplier's powers in respect of prescription (other than communicated prescription) covering person included in class determined under subsection 86E(1)
 (4) If:
 (a) the prescription for the supply of a pharmaceutical benefit that is presented to the approved supplier does not contain a medicare number as a number applicable to the person to whom the prescription relates; and
 (b) despite a request under subsection (1), a medicare number is not provided to the approved supplier as such a number; and
 (c) a medicare number is not retained in the approved supplier's records in accordance with section 86D as such a number; and
 (d) the approved supplier is satisfied that the person to whom the prescription relates is included within a class of persons identified by the Minister under subsection 86E(1);
the approved supplier may:
 (e) endorse on the prescription the special number applicable to the person as a member of that class; or
 (f) insert that number in the CTS claim relating to that prescription.
Approved supplier's powers in respect of written version of communicated prescription not containing medicare number
 (5) If:
 (a) a prescription for the supply of a pharmaceutical benefit is not presented to an approved supplier as described in subsection (1) but is communicated to the approved supplier in circumstances set out in regulations made for the purposes of paragraph 89(a); and
 (b) the approved supplier later receives a written version of the prescription that does not contain a medicare number as a number applicable to the person to whom the prescription relates;
the approved supplier may, after the written version of the prescription is received, endorse on the written version, or insert in the CTS claim relating to the prescription:
 (c) if a medicare number is already retained in the approved supplier's records in accordance with section 86D as a number applicable to the person to whom the prescription relates—that medicare number; or
 (d) if a medicare number is not so retained as a number applicable to the person to whom the prescription relates—the special number applicable to the person under subsection 86E(1) as a person in respect of whom a prescription has been so communicated.
86C  On and after 1 January 2001 approved supplier must request provision of medicare number in certain circumstances
Approved supplier must request provision of medicare numbers in certain circumstances
 (1) If:
 (a) an approved supplier is presented, on or after 1 January 2001, with a prescription for the supply of a pharmaceutical benefit to a person; and
 (b) the pharmaceutical benefit is one in respect of the supply of which the approved supplier would, but for the operation of subsection 99(7), be entitled to receive a payment under subsection 99(2) or (4); and
 (c) the person presenting the prescription claims to be, or to be the agent of, the person to whom the prescription relates; and
 (d) the person presenting the prescription does not request that the drug or medicinal preparation to which the prescription relates not be supplied as a pharmaceutical benefit;
the approved supplier must, if:
 (e) the prescription does not contain a medicare number as a number applicable to the person to whom the prescription relates; and
 (f) the approved supplier's records do not already contain a medicare number as such a number (whether with or without the expiry date in relation to that number) recorded and retained in accordance with section 86D;
request the person presenting the prescription to provide to the approved supplier a medicare number applicable to the person to whom the prescription relates and the expiry date in relation to that number.
Inclusion of medicare number in a prescription does not prevent later request
 (2) Even if:
 (a) the prescription presented to the approved supplier already contains a medicare number as a number applicable to the person to whom the prescription relates; or
 (b) the approved supplier's records already contain a medicare number as such a number (whether with or without the expiry date in relation to that number) recorded and retained in accordance with section 86D;
the approved supplier may request the person presenting the prescription to provide to the approved supplier a medicare number applicable to the person to whom the prescription relates and the expiry date in relation to that number.
Approved supplier's obligations in relation to medicare number provided
 (3) If:
 (a) a medicare number is provided to the approved supplier as a number applicable to the person to whom the prescription relates following a request under subsection (1) or is included as such a number in the approved supplier's records in accordance with section 86D; and
 (b) the prescription has not already been endorsed with a medicare number as a number applicable to the person to whom the prescription relates;
the approved supplier must:
 (c) endorse the prescription with the medicare number so provided or included; or
 (d) insert the number so provided or included in the CTS claim relating to the prescription.
If medicare number is provided, approved supplier may check prescription endorsed by practitioner
 (4) If:
 (a) a medicare number applicable to the person to whom the prescription relates is provided to the approved supplier following a request under subsection (2) or is included in the approved supplier's records in accordance with section 86D; and
 (b) the prescription has already been endorsed with a medicare number as a number applicable to the person to whom the prescription relates;
the approved supplier may check the number so provided or included against the endorsed number and:
 (c) confirm that they are the same; or
 (d) if they are not the same and the approved supplier considers the number so provided or included more reliable than the endorsed number:
 (i) alter the endorsed number to the number so provided or included; or
 (ii) insert the number so provided or included in the CTS claim relating to the prescription, noting the discrepancy; or
 (e) if they are not the same and the approved supplier considers the endorsed number more reliable than the number so provided or included—disregard the number so provided or included and, if making a CTS claim, insert the endorsed number in the CTS claim relating to that prescription.
Approved supplier may check to ensure that supply not being sought after relevant expiry date
 (5) If the approved supplier has also been provided with, or has in the approved supplier's records, the expiry date in relation to the medicare number ultimately supplied to the Health Insurance Commission, the approved supplier may confirm that the supply of the pharmaceutical benefit authorised by the prescription is not being sought after the expiry date.
Requirement in respect of prescription (other than communicated prescription) covering person included in class determined under subsection 86E(1)
 (6) If:
 (a) the prescription for the supply of a pharmaceutical benefit that is presented to the approved supplier does not contain a medicare number as a number applicable to the person to whom the prescription relates; and
 (b) despite a request under subsection (1), a medicare number is not provided to the approved supplier as such a number; and
 (c) a medicare number is not retained in the approved supplier's records in accordance with section 86D as such a number; and
 (d) the approved supplier is satisfied that the person to whom the prescription relates is included within a class of persons identified by the Minister in a determination under subsection 86E(1);
the approved supplier must:
 (e) endorse on the prescription the special number applicable to the person as a member of that class; or
 (f) insert that special number in the CTS claim relating to the prescription.
Requirement in respect of written version of communicated prescription not containing medicare number
 (7) If:
 (a) a prescription for the supply of a pharmaceutical benefit is not presented to an approved supplier as described in subsection (1) but is communicated to the approved supplier in circumstances set out in regulations made for the purposes of paragraph 89(a); and
 (b) the pharmaceutical benefit is one in respect of the supply of which the approved supplier would, but for the operation of subsection 99(7), be entitled to receive a payment under subsection 99(2) or (4); and
 (c) the approved supplier later receives a written version of the prescription that does not contain a medicare number as a number applicable to the person to whom the prescription relates;
the approved supplier must, after the written version of the prescription is received, endorse on the written version, or insert in the CTS claim relating to the prescription:
 (d) if a medicare number is already retained in the approved supplier's records in accordance with section 86D as a number applicable to the person to whom the prescription relates—that medicare number; or
 (e) if a medicare number is not so retained as a number applicable to the person to whom the prescription relates—the special number applicable to the person under subsection 86E(1) as a person in respect of whom a prescription has been so communicated.
Note 1: Subsection 99(7) sets out the consequences of a failure ultimately to supply a medicare number or special number to the Health Insurance Commission or, in the case of a medicare number that is so supplied, of a discrepancy with a medicare number held in the records of the Health Insurance Commission.
Note 2: If, because a medicare number is not provided and a special number is not applicable, a person pays the full amount to an approved supplier for the supply of a pharmaceutical benefit, the person may be entitled to an appropriate refund from the Commonwealth (see subsection 87A(2)).
86D  Power of approved suppliers to record and retain medicare numbers and expiry dates
Approved supplier may record and retain medicare numbers and expiry dates supplied by or on behalf of patients
 (1) If:
 (a) an approved supplier is provided with a medicare number as a number applicable to a person (whether with or without the expiry date in relation to that number) either:
 (i) as a result of a request under section 86B or 86C; or
 (ii) to facilitate the supply of pharmaceutical benefits at a later time or times; and
 (b) the approved supplier is satisfied that the person providing the number, or number and date, is:
 (i) the person in respect of whom the number was provided; or
 (ii) the legal guardian of that person; or
 (iii) another person who, in accordance with a written determination made by the Minister for the purposes of this subsection, is capable of giving an authorisation under this subsection;
the approved supplier may, with the authorisation of the person providing the number, or number and date, undertake the permitted recording and retention activities in relation to that number, or number and date.
Supplier may record and retain medicare numbers and expiry dates supplied by medical practitioners or participating dental practitioners in respect of communicated prescriptions
 (2) If:
 (a) a prescription for the supply of a pharmaceutical benefit is communicated to an approved supplier in circumstances set out in regulations made for the purposes of paragraph 89(a); and
 (b) at the time the prescription is communicated, the medical practitioner or participating dental practitioner communicating the prescription informs the approved supplier of a medicare number as a number applicable to the person to whom the prescription relates (whether with or without the expiry date in relation to that number);
the approved supplier may undertake the permitted recording and retention activities in relation to that number, or number and date.
Note: An approved supplier can only be informed of a medicare number under this section with the authority of the person whose number it is, or of another person on that person's behalf (see subsection 88(3B)).
Persons not obliged to authorise recording and retention of particulars
 (3) Nothing in this section implies that a person is under any obligation to authorise an approved supplier to undertake the permitted recording and retention activities in respect of a medicare number, or of a medicare number and the expiry date in relation to such a number, provided as a result of a request under section 86B or 86C.
Approved supplier responsible for storage and security
 (4) An approved supplier who, under this section, records and retains medicare numbers, or medicare numbers and expiry dates in relation to those numbers, in the approved supplier's records must ensure:
 (a) that the record of those numbers, or numbers and dates, is protected, by such security safeguards as it is reasonable in the circumstances to take, against loss, against unauthorised access, use, modification or disclosure, and against other misuse; and
 (b) if it is necessary for access to the record of those numbers, or numbers and dates, to be given to a person in connection with the provision of services to the approved supplier—that everything reasonably within the power of the approved supplier is done to prevent unauthorised use or disclosure of information contained in that record.
Determinations are disallowable instruments
 (5) Ministerial determinations for the purposes of subsection (1) are disallowable instruments within the meaning of section 46A of the Acts Interpretation Act 1901.
Permitted recording and retention activities
 (6) In this section:
permitted recording and retention activities, in relation to a medicare number provided to an approved supplier under subsection (1) or (2) as a number applicable to a person (whether with or without an expiry date in relation to that number), are:
 (a) to record and retain that number, or that number and date, in the approved supplier's records in relation to that person; or
 (b) if the approved supplier has already recorded and retained either or both of those particulars in relation to that person by virtue of a previous operation of this section—to check the accuracy and completeness of the recorded particulars in respect of that person and, if the recorded particulars are inaccurate or incomplete, to modify those particulars appropriately.
86E  Minister may determine certain persons to be special evidentiary categories
Determination of classes of persons whose entitlement to pharmaceutical benefits can be evidenced otherwise than by provision of medicare numbers
 (1) The Minister may, by written instrument, determine that certain classes of persons are classes of persons in respect of whom an entitlement to pharmaceutical benefits can be evidenced otherwise than by provision of a medicare number.
Classes that may be the subject of a determination
 (2) Without limiting the classes that may be so determined, those classes may include the following:
 (a) persons who are not legally competent;
 (b) persons requiring drugs or medicinal preparations in an emergency;
 (c) foreign persons:
 (i) who are entitled to be treated as eligible persons within the meaning of the Health Insurance Act 1973 under section 7 of that Act; and
 (ii) who are able to produce evidence, of a kind specified in the determination, to prove that entitlement;
 (d) persons in respect of whom a prescription is communicated in circumstances set out in regulations made for the purposes of paragraph 89(a).
Determinations may set out particulars of which suppliers must be satisfied
 (3) In a determination under subsection (1), the Minister may set out:
 (a) the particular matters in respect of which an approved supplier must be satisfied before being satisfied that a person is included within a particular class determined under that subsection; and
 (b) the procedure to be followed by the approved supplier in establishing such matters.
Determinations under subsection (1) must establish procedure for allocation of special numbers
 (4) The Minister must include, in each determination under subsection (1) that identifies a class of persons, a procedure for allocating a particular combination of numbers, or letters and numbers, that is to be the special number applicable to a person included within that class as a member of that class.
Determinations are disallowable instruments
 (5) Ministerial determinations under subsection (1) are disallowable instruments within the meaning of section 46A of the Acts Interpretation Act 1901.
8  After subsection 88(3)
Insert:
 (3A) A medical practitioner or a participating dental practitioner, when writing or communicating a prescription for the supply of a pharmaceutical benefit to a person, may:
 (a) request the provision of a medicare number applicable to the person and of the expiry date in relation to that number; and
 (b) if a medicare number (whether with or without the expiry date in relation to that number):
 (i) is so provided as a number applicable to the person; or
 (ii) is retained as such a number in the practitioner's records in accordance with section 88AA;
  endorse the medicare number on a prescription written for that person (including, in the case of a communicated prescription, a subsequent written version of that communicated prescription).
 (3B) A medical practitioner or a participating dental practitioner must not inform an approved supplier of a medicare number, or a medicare number and an expiry date in relation to that number, in the circumstances described in subsection 86D(2), unless:
 (a) the person in respect of whom the number was provided; or
 (b) the legal guardian of that person; or
 (c) another person identified in a determination made by the Minister under section 86D or 88AA as capable of authorising the recording and retention of such number or number and date;
authorises the practitioner to inform the approved supplier of that number, or number and date.
 (3C) Nothing in this section implies that a person is under any obligation:
 (a) to provide a medicare number, or a medicare number and the expiry date in relation to that number, to a medical practitioner or a participating dental practitioner; or
 (b) to authorise such a practitioner to inform an approved supplier of such a number, or number and date, in the circumstances described in subsection 86D(2).
9  After section 88
Insert:
88AA  Power of medical practitioners and participating dental practitioners to record and retain medicare numbers and expiry dates
 (1) If:
 (a) a medical practitioner or a participating dental practitioner is provided with a medicare number as a number applicable to a person (whether with or without the expiry date in relation to that number) either:
 (i) as a result of a request under subsection 88(3A); or
 (ii) to facilitate the writing of a prescription for the supply of pharmaceutical benefits at a later time or times; and
 (b) the practitioner is satisfied that the person providing the number, or number and date, is:
 (i) the person in respect of whom the number was provided; or
 (ii) the legal guardian of that person; or
 (iii) another person who, in accordance with a written determination made by the Minister for the purposes of this subsection, is capable of giving an authorisation under this subsection;
the practitioner may, with the authorisation of the person providing the number, or number and date:
 (c) record and retain that number, or number and date, in the practitioner's records; or
 (d) if the practitioner has already recorded and retained either or both of those particulars by virtue of a previous operation of this section—check the accuracy and completeness of the recorded particulars and, if the recorded particulars are inaccurate or incomplete, appropriately modify those particulars.
 (2) Nothing in subsection (1) implies that a person is under any obligation to authorise the recording and retention, in a practitioner's records, of a medicare number, or of the expiry date in relation to such a number, provided as a result of a request under subsection 88(3A).
Practitioner responsible for storage and security
 (3) A medical practitioner or a participating dental practitioner who, under this section, records and retains medicare numbers, or medicare numbers and expiry dates in relation to those numbers, in the practitioner's records must ensure:
 (a) that the record of those numbers, or numbers and dates, is protected, by such security safeguards as it is reasonable in the circumstances to take, against loss, against unauthorised access, use, modification or disclosure, and against other misuse; and
 (b) that if it is necessary for access to the record of those numbers, or numbers and dates, to be given to a person in connection with the provision of services to the practitioner, everything reasonably within the power of the practitioner is done to prevent unauthorised use or disclosure of information contained in that record.
 (4) Ministerial determinations for the purposes of subsection (1) are disallowable instruments within the meaning of section 46A of the Acts Interpretation Act 1901.
10  At the end of section 99
Add:
 (7) Subject to subsection (8), an approved supplier is not entitled:
 (a) if the supplier is an approved pharmacist or an approved medical practitioner—despite subsection 99(2); and
 (b) if the supplier is an approved hospital authority—despite subsection 99(4);
to be paid by the Commonwealth for the supply of a pharmaceutical benefit to a person on a prescription presented to the approved supplier on or after 1 July 2001 or such later date as is prescribed for the purposes of this subsection unless:
 (c) there is ultimately supplied to the Health Insurance Commission a medicare number, or a special number, as a number applicable to the person to whom the prescription relates; and
 (d) if the number so supplied is such a medicare number—that medicare number corresponds with a medicare number that is held in the records of the Health Insurance Commission as a number applicable to that person.
 (8) The Minister may, by written determination, identify circumstances in which subsection (7) does not prevent an approved supplier being paid by the Commonwealth for the supply of a pharmaceutical benefit in respect of a person to whom a prescription relates although a medicare number ultimately supplied to the Health Insurance Commission in relation to the prescription does not correspond with a medicare number that is held in the records of the Health Insurance Commission as a number applicable to that person.
 (9) Ministerial determinations for the purposes of subsection (8) are disallowable instruments within the meaning of section 46A of the Acts Interpretation Act 1901.
11  After section 135A
Insert:
135AAA  Prescribers and approved suppliers must observe secrecy in relation to medicare numbers and expiry dates provided for pharmaceutical benefit scheme purposes
 (1) If:
 (a) a medicare number, or a medicare number and the expiry date in relation to that number, are provided, as a result of a request under section 88, or under section 88AA, to a person who is a medical practitioner or participating dental practitioner; and
 (b) that number, or number and date, are provided solely for either or both of the following purposes:
 (i) enabling the person to write or communicate a prescription for the supply of a pharmaceutical benefit;
 (ii) enabling the person to record and retain that number, or number and date, to facilitate the writing of future prescriptions for the supply of pharmaceutical benefits;
the person is guilty of an offence if, while the person is, or after the person ceases to be, such a practitioner, the person directly or indirectly makes an unauthorised disclosure or an unauthorised use of that number or that date.
Penalty: 50 penalty units or imprisonment for 2 years, or both.
 (2) For the purposes of subsection (1):
 (a) the disclosure by a person referred to in that subsection of a medicare number, or of the expiry date in relation to a medicare number, to another person is an unauthorised disclosure of that number or that date; and
 (b) the use by a person referred to in that subsection of a medicare number, or of the expiry date in relation to a medicare number, is an unauthorised use of that number or that date;
if that disclosure or use is not made or undertaken:
 (c) in the performance of the duties, or in the exercise of the powers or functions, of that person as a medical practitioner or participating dental practitioner under this Act in relation to the Pharmaceutical Benefits Scheme; or
 (d) for the purpose of enabling a person to perform functions under the Health Insurance Commission Act 1973 in relation to that Scheme.
 (3) If:
 (a) a medicare number, or a medicare number and the expiry date in relation to that number, are provided, as a result of a request under section 86B or 86C, or under section 86D, to a person or body that is an approved supplier; and
 (b) that number, or number and date, are provided solely for one or more of the following purposes:
 (i) enabling the person or body to supply a pharmaceutical benefit;
 (ii) enabling the person or body to record and retain that number, or number and date, in order to facilitate the supply of pharmaceutical benefits at a later time or times;
 (iii) enabling the person or body to record and retain that number, or number and date, in order to complete the written version of a prescription that has been previously communicated;
the person or body is guilty of an offence if, while the person or body is, or after the person or body ceases to be, such an approved supplier, the person or body directly or indirectly makes an unauthorised disclosure or an unauthorised use of that number or that date.
Penalty: 50 penalty units or imprisonment for 2 years, or both.
 (4) For the purposes of subsection (3):
 (a) the disclosure by a person or body referred to in that subsection of a medicare number, or of the expiry date in relation to a medicare number, to another person is an unauthorised disclosure of that number or that date; and
 (b) the use by a person or body referred to in that subsection of a medicare number or of the expiry date in relation to a medicare number is an unauthorised use of that number or that date;
if that disclosure or use is not made or undertaken:
 (c) in the performance of the duties, or in the exercise of the powers or functions, of the person or body as an approved supplier under this Act in relation to the Pharmaceutical Benefits Scheme; or
 (d) for the purpose of enabling a person to perform functions under the Health Insurance Commission Act 1973 in relation to that Scheme.
 (5) If a medicare number, or a medicare number and the expiry date in relation to that number, are provided:
 (a) to a person who is employed or engaged by:
 (i) a medical practitioner or participating dental practitioner; or
 (ii) a company that provides services in support of a medical practitioner or participating dental practitioner;
  solely for a purpose or purposes referred to in paragraph (1)(b); or
 (b) to a person who is employed or engaged by:
 (i) an approved supplier; or
 (ii) a company that provides services in support of an approved supplier;
  solely for a purpose or purposes referred to in paragraph (3)(b);
that person is, while the person is, and after the person ceases to be, so employed or engaged, subject to the same obligations and liabilities as apply under subsection (1) or (3), as the case requires, in relation to the person or body by whom the person is or was so employed or engaged.
 (6) A person to whom a medicare number, or a medicare number and the expiry date in relation to that number, are disclosed in contravention of subsection (1), (3) or (5) is guilty of an offence if:
 (a) the person knows or ought reasonably to know that the disclosure of the number, or number and date, was in contravention of that subsection; and
 (b) the person directly or indirectly discloses that number or that date to any person, or otherwise makes use of that number or that date.
Penalty: 50 penalty units or imprisonment for 2 years, or both.
 (7) Despite subsection (1), (3) or (5), a person or body to whom a medicare number, or a medicare number and the expiry date in relation to that number, are provided solely for a purpose set out or referred to in that subsection may disclose that number or expiry date to another person for another specified purpose with the express authority of:
 (a) the person in respect of whom that number was provided; or
 (b) the legal guardian of that person; or
 (c) another person identified in a determination made by the Minister under section 86D or 88AA as capable of authorising the recording and retention of such number or number and date, on behalf of the person to whom the number applies.
 (8) A person to whom a medicare number, or a medicare number and the expiry date in relation to that number, are disclosed in accordance with an express authority under subsection (7) is guilty of an offence if the person:
 (a) directly or indirectly discloses that number or that date to another person; or
 (b) makes use of that number or that date;
other than for the purpose specified by the person giving the authority.
Penalty: 50 penalty units or imprisonment for 2 years, or both.
 (9) Nothing in subsection (1), (3), (5), (6) or (8) prevents a medicare number or an expiry date in relation to such a number from being communicated to a court for the purpose of proceedings under this section.
 (10) In this section:
approved supplier has the same meaning as in Part VII.
expiry date, in relation to a medicare number, has the same meaning as in Part VII.
medicare number, in relation to a person, has the same meaning as in Part VII.
participating dental practitioner has the same meaning as in Part VII.
 (11) A reference in this section to a number, or number and date, provided to an approved supplier or to a person engaged or employed by an approved supplier, includes a reference to such a number, or number and date, that are informed under section 86D to the approved supplier by a medical practitioner or a participating dental practitioner communicating a prescription to the supplier.
12  After subsection 135AA(5)
Insert:
 (5A) Nothing in this section, or in the guidelines issued by the Privacy Commissioner, precludes the inclusion, in a database of information held by the Health Insurance Commission and relating to claims for benefits under the Pharmaceutical Benefits Program, of the pharmaceutical entitlements number applicable to the person to whom each such claim relates:
 (a) as a person covered by a benefit entitlement card; or
 (b) as a person included within a class identified by the Minister in a determination under subsection 86E(1).
13  Subsection 135AA(11)
Insert:
benefit entitlement card means:
 (a) a medicare card within the meaning of subsection 84(1); and
 (b) a card that evidences the person's status as a concessional beneficiary within the meaning of subsection 84(1).
14  Subsection 135AA(11)
Insert:
pharmaceutical entitlements number, in relation to a person, means:
 (a) if the person is covered by a medicare card—a medicare number within the meaning of subsection 84(1) that is applicable to the person as a person covered by that card; and
 (b) if the person is covered by a card that evidences the person's status as a concessional beneficiary within the meaning of subsection 84(1)—the number applicable to that person as a person covered by that card.
Schedule 2—Further amendment of the National Health Act 1953
1  After section 100
Insert:
100A  Establishment and membership of the Pharmaceutical Benefits Advisory Committee
 (1) There is to be a Committee called the Pharmaceutical Benefits Advisory Committee.
 (2) The Committee is to consist of the Chairperson and 11 other members.
 (3) The Committee is to include 8 members selected from the following:
 (a) consumers;
 (b) health economists;
 (c) practising community pharmacists;
 (d) general practitioners;
 (e) clinical pharmacologists;
 (f) specialists;
with at least one member selected from each of the interests or professions mentioned in paragraphs (a) to (f).
 (4) The remaining members of the Committee are to be persons whom the Minister is satisfied have qualifications or experience:
 (a) in a field relevant to the functions of the Committee; and
 (b) that would enable them to contribute meaningfully to the deliberations of the Committee.
 (5) The Chairperson is a member of the Committee.
 (6) The members of the Committee hold office on a part‑time basis.
100B  Appointment etc. of members of the Pharmaceutical Benefits Advisory Committee
 (1) The members of the Pharmaceutical Benefits Advisory Committee are to be appointed by the Minister by written instrument.
 (1A) A person appointed under subsection 100A(3) must be appointed from nominations made by the following bodies:
 (a) in respect of paragraph 100A(3)(a)—consumer organisations;
 (b) in respect of paragraph 100A(3)(b)—professional associations of health economists;
 (c) in respect of paragraph 100A(3)(c)—professional associations of pharmacists;
 (d) in respect of paragraph 100A(3)(d)—professional associations of medical practitioners;
 (e) in respect of paragraph 100A(3)(e)—professional associations of clinical pharmacologists;
 (f) in respect of paragraph 100A(3)(f)—professional associations of specialists;
prescribed by the regulations for the purposes of this subsection.
 (1B) The regulations may prescribe matters relating to nominations, including (but not limited to) the number of nominations to be considered by the Minister before making an appointment.
 (2) A member of the Committee is eligible for reappointment.
 (3) The exercise or performance of the functions and powers of the Committee is not affected only because there is a vacancy in the office of a member of the Committee.
 (4) The names and qualifications of the members of the Committee must be published in the Gazette.
100C  Termination of appointment
  A member of the Pharmaceutical Benefits Advisory Committee holds office during the Minister's pleasure.
100D  Remuneration
 (1) A member of the Pharmaceutical Benefits Advisory Committee is to be paid the remuneration that is determined by the Remuneration Tribunal. If no determination of that remuneration by the Tribunal is in operation, the member is to be paid the remuneration that is prescribed.
 (2) A member is to be paid the allowances that are prescribed.
 (3) This section has effect subject to the Remuneration Tribunal Act 1973.
2  Subsections 101(1), (2), (2AAA), (2AA), (2A), (2B) and (2C)
Repeal the subsections.
Note: The heading to section 101 is altered by inserting "Functions of" before "Pharmaceutical".
3  Subsection 101(3)
Before "Committee", insert "Pharmaceutical Benefits Advisory".
[Minister's second reading speech made in—
House of Representatives on 6 September 2000
Senate on 27 November 2000]
(155/00)
        
      