§ 4632. Disclosure of allowable expenditures and gifts by manufacturers of prescribed products
(a)(1)(A) Annually on or before April 1 of each year, every manufacturer of prescribed products
shall disclose to the Office of the Attorney General for the preceding calendar year
the value, nature, purpose, and recipient information of any allowable expenditure
or gift permitted under subdivision 4631a(b)(2) of this title to any health care provider or to a member of the Green Mountain Care Board established
in chapter 220 of this title, except:
(i) Royalties and licensing fees as described in subdivision 4631a(a)(1)(F) of this title.
(ii) Rebates and discounts for prescribed products provided to health care providers in
the normal course of business as described in subdivision 4631a(b)(2)(F) of this title.
(iii) Payments for clinical trials as described in subdivision 4631a(a)(1)(C) of this title, which shall be disclosed after the earlier of the date of the approval or clearance
of the prescribed product by the Food and Drug Administration for the use for which
the clinical trial is being conducted or four calendar years after the date the payment
was made. For a clinical trial for which disclosure is delayed under this subdivision
(iii), the manufacturer shall identify to the Attorney General the clinical trial,
the start date, and the web link to the clinical trial registration on the national
clinical trials registry.
(iv) Interview or health care expenses as described in subdivision 4631a(a)(1)(G) of this title.
(v) Coffee or other snacks or refreshments at a booth at a conference or seminar.
(vi) Loans of medical devices for short-term trial periods pursuant to subdivision 4631a(b)(2)(B) of this title, provided the loan results in the purchase, lease, or other comparable arrangement
of the medical device after issuance of a certificate of need pursuant to chapter
221, subchapter 5 of this title.
(vii) Prescribed products distributed free of charge or at a discounted price pursuant to
a manufacturer-sponsored or manufacturer-funded patient assistance program.
(B) Annually on or before April 1 of each year, every manufacturer of prescribed products
shall disclose to the Office of the Attorney General for the preceding calendar year,
if the manufacturer is reporting other allowable expenditures or permitted gifts pursuant
to subdivision (A) of this subdivision (a)(1), the product, dosage, number of units,
and recipient information of over-the-counter drugs, nonprescription medical devices,
items of nonprescription durable medical equipment, medical food, and infant formula
provided to a health care provider for free distribution to patients pursuant to subdivision 4631a(b)(2)(A) of this title, provided that any public reporting of such information shall not include information
that allows for the identification of individual recipients of such products or connects
individual recipients with the monetary value of the products provided.
(C) Annually on or before April 1 of each year, every manufacturer of prescribed products
shall disclose to the Office of the Attorney General for the preceding calendar year
the value, nature, purpose, and recipient information of any allowable expenditure
or gift to an academic institution; to a nonprofit hospital foundation; or to a professional,
educational, or patient organization representing or serving health care providers
or consumers located in or providing services in Vermont, except:
(i) Royalties and licensing fees as described in subdivision 4631a(a)(1)(F) of this title.
(ii) Rebates and discounts for prescribed products provided in the normal course of business
as described in subdivision 4631a(b)(2)(F) of this title.
(iii) Payments for clinical trials as described in subdivision 4631a(a)(1)(C) of this title, which shall be disclosed after the earlier of the date of the approval or clearance
of the prescribed product by the Food and Drug Administration for the use for which
the clinical trial is being conducted or four calendar years after the date the payment
was made. For a clinical trial for which disclosure is delayed under this subdivision
(iii), the manufacturer shall identify to the Attorney General the clinical trial,
the start date, and the web link to the clinical trial registration on the national
clinical trials registry.
(D) Any public reporting of the provision of free prescription or over-the-counter drugs,
medical devices, biological products, medical equipment, combination products, medical
food, infant formula, or supplies to a free clinic shall not include information that
allows for the identification of individual recipients of such products or that connects
individual recipients with the monetary value of the products provided.
(2)(A)(i) Subject to the provisions of subdivision (B) of this subdivision (a)(2) and to the
extent allowed under federal law, annually on or before April 1 of each year beginning
in 2012, each manufacturer of prescribed products shall disclose to the Office of
the Attorney General all samples provided to health care providers during the preceding
calendar year, identifying for each sample the product, recipient, number of units,
and dosage.
(ii) The Office of the Attorney General may contract with academic researchers to release
to such researchers data relating to manufacturer distribution of samples, subject
to confidentiality provisions and without including the names or license numbers of
individual recipients, for analysis and aggregated public reporting.
(iii) Any public reporting of manufacturer distribution of samples shall not include information
that allows for the identification of individual recipients of samples or connects
individual recipients with the monetary value of the samples provided.
(B) Subdivision (A) of this subdivision (a)(2) shall not apply to samples of prescription
drugs required to be reported under Sec. 6004 of the Patient Protection and Affordable
Care Act of 2010, Public Law 111-148, as amended by the Health Care and Education
Reconciliation Act of 2010, Public Law 111-152, if the Office of the Attorney General
determines that the U.S. Department of Health and Human Services will collect and
report state- and recipient-specific information regarding manufacturer distribution
of samples of such prescription drugs.
(3) Annually on or before April 1, each manufacturer of prescribed products also shall
disclose to the Office of the Attorney General the name and address of the individual
responsible for the manufacturer’s compliance with the provisions of this section.
(4) Disclosure shall be made on a form and in a manner prescribed by the Office of the
Attorney General and shall require manufacturers of prescribed products to report
each allowable expenditure or gift permitted under subdivision 4631a(b)(2) of this title, including:
(A) except as otherwise provided in subdivisions (1)(B) and (2) of this subsection (a),
the value, nature, and purpose of each allowable expenditure and gift permitted under
subdivision 4631a(b)(2) of this title according to specific categories identified by the Office of the Attorney General;
(B) the name of the recipient;
(C) the recipient’s address;
(D) the recipient’s institutional affiliation;
(E) prescribed product or products being marketed, if any; and
(F) the recipient’s State board number or, in the case of an institution, foundation,
or organization, the federal tax identification number or the identification number
assigned by the Attorney General.
(5) [Repealed.]
(6) Except as otherwise provided in subdivisions (1)(B) and (2)(A) of this subsection,
the Office of the Attorney General shall make all disclosed data publicly available
and searchable through an internet website.
(7) [Repealed.]
(b)(1) Annually on or before April 1, the Office of the Attorney General shall collect a
$765.00 fee from each manufacturer of prescribed products filing annual disclosures
of expenditures greater than zero described in subsection (a) of this section.
(2) Fees collected under this section shall fund collection and analysis of information
on activities related to the marketing of prescribed products under section 4631a of this title and under this section. The fees shall be collected in a special fund assigned to
the Office.
(c) The Attorney General may bring an action in the Civil Division of the Washington Unit
of the Superior Court for injunctive relief, costs, and attorney’s fees and to impose
on a manufacturer of prescribed products that fails to disclose as required by subsection
(a) of this section a civil penalty of no more than $10,000.00 per violation. Each
unlawful failure to disclose shall constitute a separate violation. In any action
brought pursuant to this section, the Attorney General shall have the same authority
to investigate and to obtain remedies as if the action were brought under the Consumer
Protection Act, 9 V.S.A. chapter 63.
(d) The terms used in this section shall have the same meanings as in section 4631a of this title. (Added 2001, No. 127 (Adj. Sess.), § 1, eff. June 13, 2002; amended 2003, No. 122 (Adj. Sess.), § 128b; 2005, No. 71, § 54a; 2005, No. 191 (Adj. Sess.), § 45; 2007, No. 80, §§ 3, 4; 2009, No. 59, § 4; 2009, No. 128 (Adj. Sess.), § 33; 2009, No. 156 (Adj. Sess.), § I.23; 2011, No. 48, § 3e; 2011, No. 51, § 2, eff. Jan. 1, 2012; 2011, No. 171 (Adj. Sess.), § 32b; 2011, No. 109, (Adj. Sess.), § 3, eff. May 8, 2012; 2011, No. 136 (Adj. Sess.), § 1b, eff. May 18, 2012; 2011, No. 171 (Adj. Sess.), § 41(f), eff. May 16, 2012; 2015, No. 131 (Adj. Sess.), § 12; 2021, No. 73, § 15; 2025, No. 27, § E.200.2, eff. July 1, 2025.)