Audit finds repeat violations at Alabama Board of Pharmacy
State auditors found inaccurate minutes in seven of 34 meetings and said the board continued charging reinstatement fees without setting the amounts by rule.
An audit of the Alabama Board of Pharmacy found repeated violations of state law involving public meeting records, executive sessions, licensing fees and employee compensation, including several issues identified in earlier examinations.
The Alabama Department of Examiners of Public Accounts conducted the examination, which covered October 1, 2023, through September 30, 2025.
Auditors found that the board failed to maintain accurate meeting records, violating the Alabama Open Meetings Act. A review of 34 board meetings found that minutes from seven did not accurately reflect the board’s official actions.
The board entered executive session six times during the meetings reviewed. Minutes failed to document the purpose of those sessions on three occasions. In all six instances, the minutes omitted the sessions’ duration and whether the board would reconvene in public afterward.
The board’s 2023 audit also identified its failure to maintain accurate meeting records.
During a January 22, 2025, meeting, the board entered executive session after its legal counsel cited pending litigation, the reputation of people regulated and employed by the board, and job duties. After returning to the public meeting, members unanimously approved a motion authorizing a settlement agreement with the board’s former secretary.
Auditors concluded that the board’s stated reasons for entering executive session and its subsequent action violated the Alabama Open Meetings Act. State law prohibits discussing in executive session the job performance of certain employees required to file statements of economic interests with the Alabama Ethics Commission. Auditors determined that the former secretary fell under that provision.
The audit also found that the board failed to elect a new secretary after the former secretary’s departure. The board asked the governor to appoint its director of regulatory affairs as acting secretary, but auditors found no record of a board vote on the appointment, as state law requires.
Other findings involved licensing fees and financial records. Auditors found that the board continued charging reinstatement fees for lapsed pharmacist, controlled substance and pharmacy technician licenses without establishing specific amounts through administrative rules. The board’s 2023 examination also identified that issue.
The board also failed to update its administrative rule governing late renewal fees for pharmacy technicians after a 2025 state law authorized monthly penalties. The existing rule continued to impose a $20 fee for each lapsed year until an amended rule establishing a $5 monthly penalty took effect April 23, 2026.
Auditors found that the board incorrectly recorded $27,750 in nondisciplinary penalty fees collected from pharmacists and technicians as collaborative practice agreement fees. The report said the errors could misrepresent the board’s financial activity and violated reporting requirements tied to its authorization to maintain bank accounts outside the state treasury.
During the two-year examination period, the board reported about $10 million in receipts, including $8 million in licensing and permit fees, and about $10.1 million in disbursements. Its available balance declined from $4.36 million to $4.3 million.
The department held an exit conference with board officials October 1, 2026. The examination reviewed financial accountability, legal compliance, personnel matters and internal controls. It did not assess the board’s broader regulatory, investigative or enforcement activities.
