‘‘(bb) the treating provider does 
not respond within that time. 
‘‘(x) Maintain, for such period of time 
as the Secretary shall prescribe by regula-
tion, a record of all direct communications 
with a treating provider regarding the dis-
pensing of a prescription drug, including 
verification of the prescription. 
‘‘(3) LICENSURE PROCEDURE.— 
‘‘(A) ACTION BY SECRETARY.—On receipt 
of a completed licensing application under para-
graph (2), the Secretary shall— 
‘‘(i) assign an identification number 
to each Internet pharmacy; 
‘‘(ii) notify the applicant of the receipt 
of the licensure application; and 
‘‘(iii) not later than 60 days after re-
ceipt of the licensure application, issue a li-
cense if the Internet pharmacy is in com-
pliance with conditions under paragraph 
(3). 
‘‘(B) ELECTRONIC FILING.— 
‘‘(i) IN GENERAL.—For the purpose 
of reducing paperwork and reporting bur-
dens, the Secretary shall require the use of
electronic methods of submitting to the 
Secretary a licensure application required 
under this section and provide for elec-
tronic methods of receiving the applica-
tions. 
‘‘(ii) AUTHENTICATION.—In providing 
for the electronic submission of such licen-
sure applications under this section, the 
Secretary shall ensure that adequate au-
thentication protocols are used to allow 
identification of the Internet pharmacy and 
validation of the data as appropriate. 
‘‘(4) LIST.— 
‘‘(A) IN
GENERAL.—The Secretary shall 
compile, maintain, and periodically update a list 
of licensees. 
‘‘(B) AVAILABILITY.—The Secretary shall 
make the list described under subparagraph (A) 
and information submitted by the licensee 
under paragraph (2)(B) available to the public 
on an Internet website and through a toll-free 
telephone number. 
‘‘(5) TERMINATION
OF
LICENSE.—The Sec-
retary, upon the initiative of the Secretary, may ter-
minate a license issued under subsection (c), after
notice to the Internet pharmacy and an opportunity 
for a hearing, and if the Secretary determines that 
an Internet pharmacy— 
‘‘(A) has demonstrated a pattern of non-
compliance with this section; 
‘‘(B) has made an untrue statement of ma-
terial fact in its license application; or 
‘‘(C) is in violation of any applicable Fed-
eral or State law relating to the dispensing of 
a prescription drug. 
‘‘(6) RENEWAL EVALUATION.— 
‘‘(A) IN GENERAL.—Before renewing a li-
cense of an Internet pharmacy under this sub-
section pursuant to the submission of a renewal 
application, the Secretary shall conduct an eval-
uation to determine whether the Internet phar-
macy is in compliance with this section. 
‘‘(B) EVALUATION.—At the discretion of 
the Secretary and as applicable, an evaluation 
under subparagraph (A) may include testing of 
the Internet pharmacy website or other systems 
through which the Internet pharmacy commu-
nicates with consumers, and a physical inspec-
tion of the records and premises of the phar-
macy.
‘‘(7) CONTRACT
FOR
OPERATION
OF
PRO-
GRAM.— 
‘‘(A) IN
GENERAL.—The Secretary may 
award a contract under this subsection for the 
operation of the licensing program. 
‘‘(B) TERM.—The duration of a contract 
under subparagraph (A) shall not exceed 5 
years and may be renewable. 
‘‘(C) PERFORMANCE
REVIEW.—The Sec-
retary shall annually review performance under 
a contract under subparagraph (A). 
‘‘(d) PROVIDERS OF INTERACTIVE COMPUTER SERV-
ICES OR ADVERTISING SERVICES.—A provider of inter-
active computer services (as defined in section 230(f) of 
the Communications Act of 1934 (47 U.S.C. 230(f))) or 
an advertising service provider shall be liable under this 
section for dispensing or selling prescription drugs in vio-
lation of this section on account of another person’s selling 
or dispensing of a prescription drug if the provider of the 
service— 
‘‘(1) accepts advertising for a prescription drug 
from an Internet pharmacy that is not licensed in 
accordance with this section; or
‘‘(2) accepts advertising stating that an indi-
vidual does not need a physician’s prescription to ob-
tain a prescription drug. 
‘‘(e) REPORTS REGARDING INTERNET-RELATED VIO-
LATIONS OF FEDERAL AND STATE LAWS ON DISPENSING 
OF DRUGS.—The Secretary shall, pursuant to the submis-
sion of an application meeting criteria prescribed by the 
Secretary, make an award of a grant or contract to an 
entity with experience in developing and maintaining sys-
tems for the purpose of— 
‘‘(1) identifying Internet pharmacy websites 
that are not licensed in accordance with this section 
or that appear to be operating in violation of Fed-
eral or State laws concerning the dispensing of 
drugs; 
‘‘(2) reporting such Internet pharmacy websites 
to State medical licensing boards and State phar-
macy licensing boards, and to the Attorney General 
and the Secretary, for further investigation; and 
‘‘(3) submitting, for each fiscal year for which 
the award under this subsection is made, a report to 
the Secretary describing investigations undertaken 
with respect to violations described in paragraph 
(1).’’.