From USA Today:
States continue push for Canadian drugs
States leading the drive for legal purchases of lower-cost medicines from Canada are not backing down despite threats by federal regulators. One state health official accuses the Bush administration of raising "bogus" safety concerns to protect drugmakers' profits.

More than a dozen states are moving ahead with various programs. Some would direct their residents to approved drug sources in Canada. Some states intend to buy the drugs for state workers and retirees or help pharmacies purchase them.

From the Berkshire (MA) Eagle:
Discount Drugs president satisfied company compliant with U.S. rules
The president of Discount Drugs of Canada said yesterday that the company's designation as an online information provider complies with the federal Telecommunications Act of 1996 and is legal.

"We are not a pharmacy, and we have no intention of acting in that way," said Lonnie Curtis, who spoke from an Ohio office during a telephone interview. "We are a viable business because of what we do and how we do it. We don't do things that require regulation. We are an Internet information service provider, and we work under the Telecommunications Act of 1996. We don't do anything more, and we don't do anything less."