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136 1970/18 THE DRUG TARIFF 1970 PuRSUANT to the Social Security Act 1964, the Minister of Health hereby gives the following direction. ANALYSIS 11. Official requirements not in the First 1. Title and commencement Schedule to the Prescription 2. Interpretation Pricing Schedules 12. Rounding calculations 13. Minimum charges PART I-GENERAL RULES AFFECTING 14. Water THE TARIFF 15. Bulk supply orders and medical 3. Scope of Tariff practitioners' supply orders 4. Rules for standard 16. Proprietary .preparations 5. Prices for pharmaceutical require 17. Rec tified spirit ments PART Ill-MISCELLANEOUS PROVISIONS 18. Claims on the Department PART II-RuLES FOR PRICING 19. Allergy treatment sets 6. Application of rules for pricing 20. Intravenous flu~ds 7. Prescription pricing 21. Payment for anaesthetic gases 8. Computation of selling price 22. Period and quantity of supply 9. Items not listed in the First 23. Bulk supply orders Schedule to the Prescription 24. Medical practitioners' supply orders Pricing Schedules 25. Revocations and savings 10. Items dispensed by count Schedules THE DRUG TARIFF 1. Title and commencement-( 1) This direction may be cited as the Drug Tariff 1970. (2) llhis direction shall come into force on the 1st day of April 1970, and shall apply to all pharmaceutical requirements supplied on or after that date to persons entitled to claim pharmaceutical benefits under the Social Security Act 1964, and to the supply on or after that date of pharmaceutical requirements to such persons as aforesaid. 2. Interpretation-( 1) In this direction, unless the context otherwise requires,- "Commission" means the Trade Practices and Prices Commission constituted under the Trade Practices Act 1958 or the Price Tribunal constituted under the Control of Prices Act 1947 or any person to whom the powers of either are delegated: "Director-General" means the Director-General of Health within the meaning of section 5 of the Health Act 1956: 1970/18 Drug Tariff 1970 137 "Hospital Board" means a Hospital Board constituted under the Hospitals Act 1957: . .. "Licensed hospital" means a licensed hospItal wrthm the mearung of Part V of the Hospitals Act 1957: "Material allowance" means the allowance specified in :the column headed "Material Allowance" in the Table of Allowances: "Narcotic" means any substance, preparation, or mixture for tihe time being named or described in the First Schedule to the Narcotics Act 1965: "Outpatient" means' any person being treated at any hospital under the control of a Hospital Board otherwise than as an inmate: "Payment" means payment by the Department in accordance with the terms of this Tariff: "Prescription Pricing Schedules" means the official schedules and amendments for prescription pricing issued by the Depart ment from time to time for the purpose of determining the prices to be paid to contractors in respect of pharmaceutical requirements supplied by them: "Proprietary preparation" means any pharmaceutical require ment that is prescribed in any prescription by reference to any trade mark or trade name or by reference to the name of its manufacturer: "Registered nurse" means a registered nurse within the meaning of the Nurses and Midwives Act 1945: "The regulations" means the Social Security (Pharmaceutical Benefits) Regulations 1965*: "Selling price" means the price specified in the column headed "Prescription Selling Price" in the First Schedule to the Prescription Pricing Schedules or as calculated under clause 9 or clause 10 of this Tariff, as the case may be: "Table of Allowances" means the Table of Allowances on Specified Proprietary Products in the Prescription Pricing Schedules: "Tariff" means the Drug Tariff 1970. (2) Except as provided in this clause, expressions defined in section 88 of the Social Security Act 1964 and in regulation 2 of the regulations have the meanings so defined. PART I-GENERAL RULES AFFECTING THE TARIFF 3. Scope of Tariff-All medicines, drugs, and materials specified in the Schedule to this Tariff, and all preparations of anyone of them having an inert base, shall, subject to the restrictions (if any) as to their availability specified in that Schedule, be deemed to be included in this Tariff and to be pharmaceutical requirements for its purposes: Provided that 'pr~parations which ha~e not b~en ;nanufactured by the contractor claImmg payment shall be mcluded In thIS Tariff and shall be deemed to be pharmaceutical requirements for its purposes only if they have been manufactured by a manufacturer named in Part III of the Schedule to this Tariff: ·S.R. 1965/41 Amendment No. 1: S.R. 1969/240 138 Drug Tariff 1970 1970/18 Provided also that the following classes of material shall be excluded from this Tariff and shall not be deemed to be pharmaceutical require ments: (a) A substance or any combination of substances specified in Part II of 'the Sohedule to this Tariff where ordered for any purpose other than for the treatment of a patient's medical condition: (b) Aerosols and similar articles packed under pressure other than a preparation (if any) that is specified in Part II of the Schedule to this Tariff: (c) Electrode jellies: (d) Eye drops packed in single dose units other than those (if any) that are specified in Part II of the Schedule to this Tariff: ( e) Insect repellents and similar preparations: (f) Long acting preparations for oral use other than those (if any) that are specified in Part II of the Schedule to this Tariff: (g) Lozenges and similar products: (h) Plasters, madhine spread: (i) Pregnancy tests: (j) Preparations prescribed as foods: (k) Preparations prescribed for contraceptive purposes: (1) Proprietary medicines or proprietary articles (other than a product that is a pharmaceutical requirement elsewhere specified in this Tariff or a product to which clause 16 of this Tariff applies): (m) Shampoos (other than extemporaneously prepared medicated shampoos intended for the treatment of a patient's medical condition) : (n) Toilet preparations: (0) Tooth paste and powders. 4. Rules for standard-( 1) No claim by a contractor for payment in respeot of the supply of pharmaceutical requirements by him shall be allowed unless the requirements so supplied comply- (a) With the appropriate standards prescribed by regulations for the time being in force under the Food and Drug Act 1969; or (b) In the absence of any such standards, with the appropriate standards for the time being prescribed by the British Pharma copoeia; or ( c) In the 'absence of any of the standards prescribed by paragraph (a) or paragraph (b) of this subclause, then with the appro priate standards for the time being prescribed by the British Pharmaceutical Codex. (2) In the absence of any of the foregoing standards prescribed by subclause (1) of this clause, the grade or quality of the product supplied shall not be lower than that ordinarily used for medicinal purposes. (3) Where a medical practitioner indicates in a prescription the pharmaceutical requil1ement to be supplied by reference to a trade mark, trade name, or by reference to the name of its manufacturer, a contractor shall supply the pharmaceutical requirement specified in the prescription in the form so indica:ted and not in any other form unless the prescribing practitioner has sanctioned a change. 1970/18 Drug Tariff 1970 139 5. Prices for pharmaceutical requirements-(I) Subject to the pro visions of clause 18 of this Tariff, payment shall be made in respect of claims for pharmaceutical requirements in accordance with the prices specified in the First Schedule to the Prescription Pricing Schedules and in accordance with the rules for pricing contained in Part II of this Tariff. (2) Subject to the provisions of clause 18 of this Tariff, where the price of any pharmaceutical requirement is not specified as provided in subclause (1) of this clause, payment shall be made in accordance with the rules contained in Part II of this Tariff. (3) Any amendment to the Prescription Pricing Schedules shall come into force on the 1st day of April, August, or December, or such other date as may be recommended by the appropriate committee, and payment in respect of any claims for pharmaceutical requirements, whatever their date, received by a Medioal Officer of Health on or a:fter the 16th day following the effective date of the amendment shall be calculated in accordance with the prices specified in that amendment. (4) Subject to subclauses (5) and (6) of this clause, if any pharmaceutical requirements are supplied to a patient as pharmaceu tical benefits, they shall be so supplied free of charge to the patient, except that, if the requirements are to be delivered to the patient elsewhere than at the pharmacy or other place of business of the contractor, a reasonable charge in accordance with subclause (2) of regulation 14 of the regulations may be made for t!he delivery. (5) Notwithstanding anything in subclause (4) of this clause, a con tractor may charge a customer with- (a) The price of any pharmaceutical requirements that are supplied by him in excess of the maximum quantities specified in this Tariff; or (b) The excess of the price of any proprietary preparation (being 'a preparation that is specifically ordered by a medical practi ltioner and supplied by the contractor) above the amount payable as calculated in accordance with the Prescription Pricing Schedules and the rules for pricing contained in this Tariff. (6) Notwithstanding anything in subclause (4) of this clause, a con tractor may charge a customer 5c in respect of any prescription dispensed at any time not within the ordinary hours of shop trading in the locality where the contractor carries on business. PART II-RULES FOR PRICING 6. Application of rules for pricing-( 1) Subject to the discount pro vided for in clause 18 of this Tar,iff, or, in the case of 'a pharmaceutical requirement supplied by a medical practitioner, the discount of 10 per cent provided for in subsecition (1) of section 95 of the Socral Security Act 1964, the prices of pharmaceutical requirements supplied pursuant to the regulations shall be determined in accordance with the rules for pricing contained in this Part of this Tariff.