Alabama 2024 Regular Session

Alabama House Bill HB390 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	~~HB390ENROLLED~~
	1	+	HB390INTRODUCED
2	2		Page 0
3	3		HB390
4		-	E6V8929-2
	4	+	E6V8929-1
5	5		By Representative Crawford
6	6		RFD: Health
7	7		First Read: 02-Apr-24
8	8		1
9	9		2
10	10		3
11	11		4
12		-	5 ~~HB390 Enrolled~~
	12	+	5 E6V8929-1 04/02/2024 PMG (L)tgw 2024-1314
13	13		Page 1
14	14		First Read: 02-Apr-24
15		-	Enrolled, An Act,
	15	+	SYNOPSIS:
	16	+	Under existing law, the Alabama Medical Cannabis
	17	+	Commission is responsible for the regulation,
	18	+	licensure, and enforcement of all aspects of the
	19	+	processing and dispensing of medical cannabis, while
	20	+	the Alabama Department of Agriculture and Industries
	21	+	shares responsibility with the commission for the
	22	+	regulation and enforcement of the cultivation of
	23	+	cannabis to be used for medical cannabis products.
	24	+	This bill would provide that the regulation,
	25	+	licensure, and enforcement functions relating to the
	26	+	cultivation of cannabis are duties of the Alabama
	27	+	Medical Cannabis Commission and would require the
	28	+	Alabama Department of Agriculture and Industries to
	29	+	cooperate with the commission in carrying out these
	30	+	functions.
	31	+	A BILL
	32	+	TO BE ENTITLED
	33	+	AN ACT
16	34		Relating to medical cannabis; to amend Sections
17	35		20-2A-3, 20-2A-50, 20-2A-51, 20-2A-52, 20-2A-53, 20-2A-57,
18	36		20-2A-59, 20-2A-62, and 20-2A-63, Code of Alabama 1975, to
19		-	provide that the Alabama Medical Cannabis Commission is
20		-	primarily responsible for the regulation, licensure, and
21		-	enforcement of cannabis cultivation.
22		-	BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
23		-	Section 1. Sections 20-2A-3, 20-2A-50, 20-2A-51,
24		-	20-2A-52, 20-2A-53, 20-2A-57, 20-2A-59, 20-2A-62, and
25		-	20-2A-63, Code of Alabama 1975, are amended to read as
26		-	follows:
27		-	"§20-2A-3
28		-	As used in this chapter, the following terms have the
29		-	following meanings:
30		-	(1) APPLICANT. The entity or individual seeking a
31		-	license under Article 4.
32		-	(2) BOARD. The State Board of Medical Examiners.
33		-	(3) CANNABIS. a. Except as provided in paragraph b.,
34		-	all parts of any plant of the genus cannabis, whether growing
35		-	or not, including the seeds, extractions of any kind from any
36		-	part of the plant, and every compound, derivative, mixture,
37		-	product, or preparation of the plant.
38		-	b. The term does not include industrial hemp or hemp
39		-	regulated under Article 11 of Chapter 8 of Title 2.
40		-	(4) COMMISSION. The Alabama Medical Cannabis Commission
41		-	created pursuant to Section 20-2A-20.
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69		-	28 HB390 ~~Enrolled~~
	64	+	28 HB390 INTRODUCED
70	65		Page 2
	66	+	20-2A-59, 20-2A-62, and 20-2A-63, Code of Alabama 1975, to
	67	+	provide that the Alabama Medical Cannabis Commission is
	68	+	primarily responsible for the regulation, licensure, and
	69	+	enforcement of cannabis cultivation.
	70	+	BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
	71	+	Section 1. Sections 20-2A-3, 20-2A-50, 20-2A-51,
	72	+	20-2A-52, 20-2A-53, 20-2A-57, 20-2A-59, 20-2A-62, and
	73	+	20-2A-63, Code of Alabama 1975, are amended to read as
	74	+	follows:
	75	+	"§20-2A-3
	76	+	As used in this chapter, the following terms have the
	77	+	following meanings:
	78	+	(1) APPLICANT. The entity or individual seeking a
	79	+	license under Article 4.
	80	+	(2) BOARD. The State Board of Medical Examiners.
	81	+	(3) CANNABIS. a. Except as provided in paragraph b.,
	82	+	all parts of any plant of the genus cannabis, whether growing
	83	+	or not, including the seeds, extractions of any kind from any
	84	+	part of the plant, and every compound, derivative, mixture,
	85	+	product, or preparation of the plant.
	86	+	b. The term does not include industrial hemp or hemp
	87	+	regulated under Article 11 of Chapter 8 of Title 2.
	88	+	(4) COMMISSION. The Alabama Medical Cannabis Commission
71	89		created pursuant to Section 20-2A-20.
72	90		(5) CULTIVATOR. An entity licensed by the Department of
73	91		Agriculture and Industries commission under Section 20-2A-62
74	92		authorized to grow cannabis pursuant to Article 4.
75	93		(6) DAILY DOSAGE. The total amount of one or more
76	94		cannabis derivatives, including, but not limited to,
77		-	cannabidiol and tetrahydrocannabinol, which may be present in
78		-	a medical cannabis product that may be ingested by a
79		-	registered qualified patient during a 24-hour period, as
80		-	determined by a registered certifying physician.
81		-	(7) DEPARTMENT. The Department of Agriculture and
82		-	Industries.
83		-	(8) DISPENSARY. An entity licensed by the commission
84		-	under Section 20-2A-64 authorized to dispense and sell medical
85		-	cannabis at dispensing sites to registered qualified patients
86		-	and registered caregivers pursuant to Article 4.
87		-	(9) DISPENSING SITE. A site operated by a dispensary
88		-	licensee or an integrated facility licensee pursuant to
89		-	Article 4.
90		-	(10) ECONOMIC INTEREST. The rights to either the
91		-	capital or profit interests of an applicant or licensee or, if
92		-	the applicant or licensee is a corporation, the rights to some
93		-	portion of all classes of outstanding stock in the
94		-	corporation.
95		-	(11) FACILITY or MEDICAL CANNABIS FACILITY. Any
96		-	facility, or land associated with a facility, of a licensee.
97		-	(12) INTEGRATED FACILITY. An entity licensed under
98		-	Section 20-2A-67 authorized to perform the functions of a
99		-	cultivator, processor, secure transporter, and dispensary
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127		-	56 HB390 ~~Enrolled~~
	122	+	56 HB390 INTRODUCED
128	123		Page 3
	124	+	cannabis derivatives, including, but not limited to,
	125	+	cannabidiol and tetrahydrocannabinol, which may be present in
	126	+	a medical cannabis product that may be ingested by a
	127	+	registered qualified patient during a 24-hour period, as
	128	+	determined by a registered certifying physician.
	129	+	(7) DEPARTMENT. The Department of Agriculture and
	130	+	Industries.
	131	+	(8) DISPENSARY. An entity licensed by the commission
	132	+	under Section 20-2A-64 authorized to dispense and sell medical
	133	+	cannabis at dispensing sites to registered qualified patients
	134	+	and registered caregivers pursuant to Article 4.
	135	+	(9) DISPENSING SITE. A site operated by a dispensary
	136	+	licensee or an integrated facility licensee pursuant to
	137	+	Article 4.
	138	+	(10) ECONOMIC INTEREST. The rights to either the
	139	+	capital or profit interests of an applicant or licensee or, if
	140	+	the applicant or licensee is a corporation, the rights to some
	141	+	portion of all classes of outstanding stock in the
	142	+	corporation.
	143	+	(11) FACILITY or MEDICAL CANNABIS FACILITY. Any
	144	+	facility, or land associated with a facility, of a licensee.
	145	+	(12) INTEGRATED FACILITY. An entity licensed under
	146	+	Section 20-2A-67 authorized to perform the functions of a
129	147		cultivator, processor, secure transporter, and dispensary
130	148		pursuant to Article 4.
131	149		(13) LICENSEE. A cultivator, processor, secure
132	150		transporter, state testing laboratory, dispensary, or
133	151		integrated facility licensed by the commission under Article
134	152		4.
135		-	(14) MEDICAL CANNABIS. a. A medical grade product in
136		-	the form of any of the following, as determined by rule by the
137		-	commission, that contains a derivative of cannabis for medical
138		-	use by a registered qualified patient pursuant to this
139		-	chapter:
140		-	1. Oral tablet, capsule, or tincture.
141		-	2. Non-sugarcoated gelatinous cube, gelatinous
142		-	rectangular cuboid, or lozenge in a cube or rectangular cuboid
143		-	shape.
144		-	3. Gel, oil, cream, or other topical preparation.
145		-	4. Suppository.
146		-	5. Transdermal patch.
147		-	6. Nebulizer.
148		-	7. Liquid or oil for administration using an inhaler.
149		-	b. The term does not include any of the following:
150		-	1. Raw plant material.
151		-	2. Any product administered by smoking, combustion, or
152		-	vaping.
153		-	3. A food product that has medical cannabis baked,
154		-	mixed, or otherwise infused into the product, such as cookies
155		-	or candies.
156		-	(15) MEDICAL CANNABIS CARD. A valid card issued
157		-	pursuant to Section 20-2A-36.
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185		-	84 HB390 ~~Enrolled~~
	180	+	84 HB390 INTRODUCED
186	181		Page 4
	182	+	4.
	183	+	(14) MEDICAL CANNABIS. a. A medical grade product in
	184	+	the form of any of the following, as determined by rule by the
	185	+	commission, that contains a derivative of cannabis for medical
	186	+	use by a registered qualified patient pursuant to this
	187	+	chapter:
	188	+	1. Oral tablet, capsule, or tincture.
	189	+	2. Non-sugarcoated gelatinous cube, gelatinous
	190	+	rectangular cuboid, or lozenge in a cube or rectangular cuboid
	191	+	shape.
	192	+	3. Gel, oil, cream, or other topical preparation.
	193	+	4. Suppository.
	194	+	5. Transdermal patch.
	195	+	6. Nebulizer.
	196	+	7. Liquid or oil for administration using an inhaler.
	197	+	b. The term does not include any of the following:
	198	+	1. Raw plant material.
	199	+	2. Any product administered by smoking, combustion, or
	200	+	vaping.
	201	+	3. A food product that has medical cannabis baked,
	202	+	mixed, or otherwise infused into the product, such as cookies
	203	+	or candies.
	204	+	(15) MEDICAL CANNABIS CARD. A valid card issued
187	205		pursuant to Section 20-2A-36.
188	206		(16) MEDICAL USE or USE OF MEDICAL CANNABIS or USE
189	207		MEDICAL CANNABIS. The acquisition, possession, use, delivery,
190	208		transfer, or administration of medical cannabis authorized by
191	209		this chapter. The term does not include possession, use, or
192	210		administration of cannabis that was not purchased or acquired
193		-	from a licensed dispensary.
194		-	(17) PACKAGE. Any container that a processor may use
195		-	for enclosing and containing medical cannabis. The term does
196		-	not include any carry-out bag or other similar container.
197		-	(18) PATIENT REGISTRY. The Alabama Medical Cannabis
198		-	Patient Registry System that is an electronic integrated
199		-	system that tracks physician certifications, patient
200		-	registrations, medical cannabis cards, the daily dosage and
201		-	type of medical cannabis recommended to qualified patients by
202		-	registered certifying physicians, and the dates of sale,
203		-	amounts, and types of medical cannabis that were purchased by
204		-	registered qualified patients at licensed dispensaries.
205		-	(19) PHYSICIAN CERTIFICATION. A registered certifying
206		-	physician's authorization for a registered qualified patient
207		-	to use medical cannabis.
208		-	(20) PROCESSOR. An entity licensed by the commission
209		-	under Section 20-2A-63 authorized to purchase cannabis from a
210		-	cultivator and extract derivatives from the cannabis to
211		-	produce a medical cannabis product or products for sale and
212		-	transfer in packaged and labeled form to a dispensing site
213		-	pursuant to Article 4.
214		-	(21) QUALIFYING MEDICAL CONDITION. Any of the following
215		-	conditions or symptoms of conditions, but only after
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243		-	112 HB390 ~~Enrolled~~
	238	+	112 HB390 INTRODUCED
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	240	+	administration of cannabis that was not purchased or acquired
	241	+	from a licensed dispensary.
	242	+	(17) PACKAGE. Any container that a processor may use
	243	+	for enclosing and containing medical cannabis. The term does
	244	+	not include any carry-out bag or other similar container.
	245	+	(18) PATIENT REGISTRY. The Alabama Medical Cannabis
	246	+	Patient Registry System that is an electronic integrated
	247	+	system that tracks physician certifications, patient
	248	+	registrations, medical cannabis cards, the daily dosage and
	249	+	type of medical cannabis recommended to qualified patients by
	250	+	registered certifying physicians, and the dates of sale,
	251	+	amounts, and types of medical cannabis that were purchased by
	252	+	registered qualified patients at licensed dispensaries.
	253	+	(19) PHYSICIAN CERTIFICATION. A registered certifying
	254	+	physician's authorization for a registered qualified patient
	255	+	to use medical cannabis.
	256	+	(20) PROCESSOR. An entity licensed by the commission
	257	+	under Section 20-2A-63 authorized to purchase cannabis from a
	258	+	cultivator and extract derivatives from the cannabis to
	259	+	produce a medical cannabis product or products for sale and
	260	+	transfer in packaged and labeled form to a dispensing site
	261	+	pursuant to Article 4.
	262	+	(21) QUALIFYING MEDICAL CONDITION. Any of the following
245	263		conditions or symptoms of conditions, but only after
246	264		documentation indicates that conventional medical treatment or
247	265		therapy has failed unless current medical treatment indicates
248	266		that use of medical cannabis is the standard of care:
249	267		a. Autism Spectrum Disorder (ASD).
250	268		b. Cancer-related cachexia, nausea or vomiting, weight
251		-	loss, or chronic pain.
252		-	c. Crohn's Disease.
253		-	d. Depression.
254		-	e. Epilepsy or a condition causing seizures.
255		-	f. HIV/AIDS-related nausea or weight loss.
256		-	g. Panic disorder.
257		-	h. Parkinson's disease.
258		-	i. Persistent nausea that is not significantly
259		-	responsive to traditional treatment, except for nausea related
260		-	to pregnancy, cannabis-induced cyclical vomiting syndrome, or
261		-	cannabinoid hyperemesis syndrome.
262		-	j. Post Traumatic Stress Disorder (PTSD).
263		-	k. Sickle Cell Anemia.
264		-	l. Spasticity associated with a motor neuron disease,
265		-	including Amyotrophic Lateral Sclerosis.
266		-	m. Spasticity associated with Multiple Sclerosis or a
267		-	spinal cord injury.
268		-	n. A terminal illness.
269		-	o. Tourette's Syndrome.
270		-	p. A condition causing chronic or intractable pain in
271		-	which conventional therapeutic intervention and opiate therapy
272		-	is contraindicated or has proved ineffective.
273		-	(22) REGISTERED CAREGIVER. An individual who meets the
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	296	+	140 HB390 INTRODUCED
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	298	+	b. Cancer-related cachexia, nausea or vomiting, weight
	299	+	loss, or chronic pain.
	300	+	c. Crohn's Disease.
	301	+	d. Depression.
	302	+	e. Epilepsy or a condition causing seizures.
	303	+	f. HIV/AIDS-related nausea or weight loss.
	304	+	g. Panic disorder.
	305	+	h. Parkinson's disease.
	306	+	i. Persistent nausea that is not significantly
	307	+	responsive to traditional treatment, except for nausea related
	308	+	to pregnancy, cannabis-induced cyclical vomiting syndrome, or
	309	+	cannabinoid hyperemesis syndrome.
	310	+	j. Post Traumatic Stress Disorder (PTSD).
	311	+	k. Sickle Cell Anemia.
	312	+	l. Spasticity associated with a motor neuron disease,
	313	+	including Amyotrophic Lateral Sclerosis.
	314	+	m. Spasticity associated with Multiple Sclerosis or a
	315	+	spinal cord injury.
	316	+	n. A terminal illness.
	317	+	o. Tourette's Syndrome.
	318	+	p. A condition causing chronic or intractable pain in
	319	+	which conventional therapeutic intervention and opiate therapy
	320	+	is contraindicated or has proved ineffective.
303	321		(22) REGISTERED CAREGIVER. An individual who meets the
304	322		requirements described in subsection (c) of Section 20-2A-30
305	323		and is authorized to acquire and possess medical cannabis and
306	324		to assist one or more registered qualified patients with the
307	325		use of medical cannabis pursuant to this chapter.
308	326		(23) REGISTERED CERTIFYING PHYSICIAN. A physician
309		-	authorized by the State Board of Medical Examiners to certify
310		-	patients for the use of medical cannabis under this chapter.
311		-	(24) REGISTERED QUALIFIED PATIENT. Either of the
312		-	following:
313		-	a. An adult who meets the requirements described in
314		-	subsection (a) of Section 20-2A-30 and is authorized to
315		-	acquire, possess, and use medical cannabis pursuant to this
316		-	chapter.
317		-	b. A minor who meets the requirements described in
318		-	subsection (b) of Section 20-2A-30 and is authorized to use
319		-	medical cannabis pursuant to this chapter with the assistance
320		-	of a registered caregiver.
321		-	(25) SECURE TRANSPORTER. An entity licensed by the
322		-	commission under Section 20-2A-65 authorized to transport
323		-	cannabis or medical cannabis from one licensed facility or
324		-	site to another licensed facility or site.
325		-	(26) STATE TESTING LABORATORY. An entity licensed under
326		-	Section 20-2A-66 authorized to test cannabis and medical
327		-	cannabis to ensure the product meets safety qualifications
328		-	required under this chapter.
329		-	(27) STATEWIDE SEED-TO-SALE TRACKING SYSTEM. The
330		-	tracking system established pursuant to Section 20-2A-54 that
331		-	tracks all cannabis and medical cannabis in the state.
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	354	+	168 HB390 INTRODUCED
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	356	+	(23) REGISTERED CERTIFYING PHYSICIAN. A physician
	357	+	authorized by the State Board of Medical Examiners to certify
	358	+	patients for the use of medical cannabis under this chapter.
	359	+	(24) REGISTERED QUALIFIED PATIENT. Either of the
	360	+	following:
	361	+	a. An adult who meets the requirements described in
	362	+	subsection (a) of Section 20-2A-30 and is authorized to
	363	+	acquire, possess, and use medical cannabis pursuant to this
	364	+	chapter.
	365	+	b. A minor who meets the requirements described in
	366	+	subsection (b) of Section 20-2A-30 and is authorized to use
	367	+	medical cannabis pursuant to this chapter with the assistance
	368	+	of a registered caregiver.
	369	+	(25) SECURE TRANSPORTER. An entity licensed by the
	370	+	commission under Section 20-2A-65 authorized to transport
	371	+	cannabis or medical cannabis from one licensed facility or
	372	+	site to another licensed facility or site.
	373	+	(26) STATE TESTING LABORATORY. An entity licensed under
	374	+	Section 20-2A-66 authorized to test cannabis and medical
	375	+	cannabis to ensure the product meets safety qualifications
	376	+	required under this chapter.
	377	+	(27) STATEWIDE SEED-TO-SALE TRACKING SYSTEM. The
	378	+	tracking system established pursuant to Section 20-2A-54 that
361	379		tracks all cannabis and medical cannabis in the state.
362	380		(28) UNIVERSAL STATE SYMBOL. The image established by
363	381		the commission pursuant to Section 20-2A-53 made available to
364	382		processors which indicates the package contains medical
365	383		cannabis."
366	384		"§20-2A-50
367		-	(a) The state hereby preemptively regulates medical
368		-	cannabis from seed to sale seed-to-sale and shall reasonably
369		-	regulate and control all aspects of the medical cannabis
370		-	industry to meet the intent of this chapter. All functions and
371		-	activities relating to the production of medical cannabis in
372		-	the state shall be licensed, and licenses shall be granted to
373		-	integrated facilities, as well as to independent entities in
374		-	the following categories: Cultivator, processor, dispensary,
375		-	secure transporter, and testing laboratory.
376		-	(b) The commission shall license ,and regulate, and
377		-	enforce all aspects of medical cannabis under this article ,
378		-	excluding cultivation . The Department of Agriculture and
379		-	Industries shall license and regulate the cultivation of
380		-	cannabis. For integrated facility licenses, the commission and
381		-	the department shall enter into a memorandum of understanding
382		-	relating to the sharing of regulatory and licensing and
383		-	enforcement authority over licensees with regard to the
384		-	cultivation function The commission may seek and shall receive
385		-	the cooperation of the Department of Agriculture and
386		-	Industries in the regulation and enforcement of this article.
387		-	The department may recover from the commission the
388		-	department's costs of cooperation ."
389		-	"§20-2A-51
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417		-	196 HB390 ~~Enrolled~~
	412	+	196 HB390 INTRODUCED
418	413		Page 8
	414	+	"§20-2A-50
	415	+	(a) The state hereby preemptively regulates medical
	416	+	cannabis from seed to sale seed-to-sale and shall reasonably
	417	+	regulate and control all aspects of the medical cannabis
	418	+	industry to meet the intent of this chapter. All functions and
	419	+	activities relating to the production of medical cannabis in
	420	+	the state shall be licensed, and licenses shall be granted to
	421	+	integrated facilities, as well as to independent entities in
	422	+	the following categories: Cultivator, processor, dispensary,
	423	+	secure transporter, and testing laboratory.
	424	+	(b) The commission shall license ,and regulate, and
	425	+	enforce all aspects of medical cannabis under this article ,
	426	+	excluding cultivation . The Department of Agriculture and
	427	+	Industries shall license and regulate the cultivation of
	428	+	cannabis. For integrated facility licenses, the commission and
	429	+	the department shall enter into a memorandum of understanding
	430	+	relating to the sharing of regulatory and licensing and
	431	+	enforcement authority over licensees with regard to the
	432	+	cultivation function The commission may seek and shall receive
	433	+	the cooperation of the Department of Agriculture and
	434	+	Industries in the regulation and enforcement of this article.
	435	+	The department may recover from the commission the
	436	+	department's costs of cooperation ."
419	437		"§20-2A-51
420	438		(a) Where the commission is authorized under this
421	439		article to determine the number of licenses of a specific
422	440		license category the commission will grant, or increase the
423	441		number of licenses of a specific license category to grant,
424	442		the commission shall consider the population of the state, the
425		-	number of active registered qualified patients, market demand,
426		-	the unemployment rate, the need for agricultural and other
427		-	business opportunities in communities, access to health care,
428		-	infrastructure, and other factors the commission deems
429		-	relevant in providing the greatest benefits to the residents
430		-	of this state and taking into account the racial and economic
431		-	makeup of the state.
432		-	(b) The commission , and where applicable the
433		-	department, shall ensure that at least one-fourth of all
434		-	licenses, or in the case of Section 20-2A-67, one-fifth of all
435		-	licenses, are awarded to business entities at least 51 percent
436		-	of which are owned by members of a minority group or, in the
437		-	case of a corporation, at least 51 percent of the shares of
438		-	the corporation are owned by members of a minority group, and
439		-	are managed and controlled by members of a minority group in
440		-	its daily operations. For purposes of this subsection,
441		-	minority group means individuals of African American, Native
442		-	American, Asian, or Hispanic descent.
443		-	(c)(1) Notwithstanding any other provision of this
444		-	chapter to the contrary, the commission shall not permit a
445		-	dispensary to operate a dispensing site in any municipality or
446		-	unincorporated area of a county unless the municipality or
447		-	county has authorized the operation of dispensing sites within
448	443		197
449	444		198
450	445		199
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475		-	224 HB390 ~~Enrolled~~
	470	+	224 HB390 INTRODUCED
476	471		Page 9
	472	+	the commission shall consider the population of the state, the
	473	+	number of active registered qualified patients, market demand,
	474	+	the unemployment rate, the need for agricultural and other
	475	+	business opportunities in communities, access to health care,
	476	+	infrastructure, and other factors the commission deems
	477	+	relevant in providing the greatest benefits to the residents
	478	+	of this state and taking into account the racial and economic
	479	+	makeup of the state.
	480	+	(b) The commission , and where applicable the
	481	+	department, shall ensure that at least one-fourth of all
	482	+	licenses, or in the case of Section 20-2A-67, one-fifth of all
	483	+	licenses, are awarded to business entities at least 51 percent
	484	+	of which are owned by members of a minority group or, in the
	485	+	case of a corporation, at least 51 percent of the shares of
	486	+	the corporation are owned by members of a minority group, and
	487	+	are managed and controlled by members of a minority group in
	488	+	its daily operations. For purposes of this subsection,
	489	+	minority group means individuals of African American, Native
	490	+	American, Asian, or Hispanic descent.
	491	+	(c)(1) Notwithstanding any other provision of this
	492	+	chapter to the contrary, the commission shall not permit a
	493	+	dispensary to operate a dispensing site in any municipality or
	494	+	unincorporated area of a county unless the municipality or
477	495		county has authorized the operation of dispensing sites within
478	496		its boundaries, as provided in subdivision (2).
479	497		(2) Any county commission, by resolution, may authorize
480	498		the operation of dispensing sites in the unincorporated areas
481	499		of the county, and the governing body of any municipality, by
482	500		ordinance, may authorize the operation of dispensing sites
483		-	within the corporate limits of the municipality. The county
484		-	commission or municipal governing body shall notify the
485		-	commission not more than seven calendar days after adopting
486		-	the resolution or ordinance.
487		-	(3) This subsection does not prohibit a municipality
488		-	from adopting zoning ordinances restricting the operation of
489		-	dispensing sites within its corporate limits."
490		-	"§20-2A-52
491		-	(a) The commission , and the department with regard to
492		-	cultivation facilities, shall have all powers necessary and
493		-	proper to fully and effectively oversee the operation of
494		-	medical cannabis facilities licensed pursuant to this article,
495		-	including the authority to do all of the following:
496		-	(1) Investigate applicants for licenses, determine the
497		-	eligibility for licenses, and grant licenses to applicants in
498		-	accordance with this article and the rules.
499		-	(2) Investigate all individuals employed by licensees.
500		-	(3) At any time, through its investigators, agents, or
501		-	auditors, without a warrant and without notice to the
502		-	licensee, enter the premises, offices, facilities, or other
503		-	places of business of a licensee, if evidence of compliance or
504		-	noncompliance with this article or rules is likely to be found
505		-	and consistent with constitutional limitations, for the
506	501		225
507	502		226
508	503		227
509	504		228
510	505		229
511	506		230
512	507		231
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531	526		250
532	527		251
533		-	252 HB390 ~~Enrolled~~
	528	+	252 HB390 INTRODUCED
534	529		Page 10
	530	+	ordinance, may authorize the operation of dispensing sites
	531	+	within the corporate limits of the municipality. The county
	532	+	commission or municipal governing body shall notify the
	533	+	commission not more than seven calendar days after adopting
	534	+	the resolution or ordinance.
	535	+	(3) This subsection does not prohibit a municipality
	536	+	from adopting zoning ordinances restricting the operation of
	537	+	dispensing sites within its corporate limits."
	538	+	"§20-2A-52
	539	+	(a) The commission , and the department with regard to
	540	+	cultivation facilities, shall have all powers necessary and
	541	+	proper to fully and effectively oversee the operation of
	542	+	medical cannabis facilities licensed pursuant to this article,
	543	+	including the authority to do all of the following:
	544	+	(1) Investigate applicants for licenses, determine the
	545	+	eligibility for licenses, and grant licenses to applicants in
	546	+	accordance with this article and the rules.
	547	+	(2) Investigate all individuals employed by licensees.
	548	+	(3) At any time, through its investigators, agents, or
	549	+	auditors, without a warrant and without notice to the
	550	+	licensee, enter the premises, offices, facilities, or other
	551	+	places of business of a licensee, if evidence of compliance or
	552	+	noncompliance with this article or rules is likely to be found
535	553		and consistent with constitutional limitations, for the
536	554		following purposes:
537	555		a. To inspect and examine all premises of licensees.
538	556		b. To inspect and examine relevant records of the
539	557		licensee and, if the licensee fails to cooperate with an
540	558		investigation, impound, seize, assume physical control of, or
541		-	summarily remove from the premises all books, ledgers,
542		-	documents, writings, photocopies, correspondence, records, and
543		-	videotapes, including electronically stored records, money
544		-	receptacles, or equipment in which the records are stored.
545		-	c. To inspect the person, and inspect or examine
546		-	personal effects of an individual who holds a license, while
547		-	that individual is present in a medical cannabis facility of
548		-	the licensee.
549		-	d. To investigate alleged violations of this article.
550		-	(4) Investigate alleged violations of this article or
551		-	rules and take appropriate disciplinary action against a
552		-	licensee.
553		-	(5) Require all relevant records of licensees,
554		-	including financial or other statements, to be kept on the
555		-	premises authorized for operation of the licensee or in the
556		-	manner prescribed by the commission.
557		-	(6) Eject, or exclude or authorize the ejection or
558		-	exclusion of, an individual from the premises of a licensee if
559		-	the individual violates this article, rules, or final orders
560		-	of the commission; provided, however, the propriety of the
561		-	ejection or exclusion is subject to a subsequent hearing by
562		-	the commission.
563		-	(7) Conduct periodic audits of licensees.
564	559		253
565	560		254
566	561		255
567	562		256
568	563		257
569	564		258
570	565		259
571	566		260
572	567		261
573	568		262
574	569		263
575	570		264
576	571		265
577	572		266
578	573		267
579	574		268
580	575		269
581	576		270
582	577		271
583	578		272
584	579		273
585	580		274
586	581		275
587	582		276
588	583		277
589	584		278
590	585		279
591		-	280 HB390 ~~Enrolled~~
	586	+	280 HB390 INTRODUCED
592	587		Page 11
	588	+	investigation, impound, seize, assume physical control of, or
	589	+	summarily remove from the premises all books, ledgers,
	590	+	documents, writings, photocopies, correspondence, records, and
	591	+	videotapes, including electronically stored records, money
	592	+	receptacles, or equipment in which the records are stored.
	593	+	c. To inspect the person, and inspect or examine
	594	+	personal effects of an individual who holds a license, while
	595	+	that individual is present in a medical cannabis facility of
	596	+	the licensee.
	597	+	d. To investigate alleged violations of this article.
	598	+	(4) Investigate alleged violations of this article or
	599	+	rules and take appropriate disciplinary action against a
	600	+	licensee.
	601	+	(5) Require all relevant records of licensees,
	602	+	including financial or other statements, to be kept on the
	603	+	premises authorized for operation of the licensee or in the
	604	+	manner prescribed by the commission.
	605	+	(6) Eject, or exclude or authorize the ejection or
	606	+	exclusion of, an individual from the premises of a licensee if
	607	+	the individual violates this article, rules, or final orders
	608	+	of the commission; provided, however, the propriety of the
	609	+	ejection or exclusion is subject to a subsequent hearing by
	610	+	the commission.
593	611		(7) Conduct periodic audits of licensees.
594	612		(8) Take disciplinary action as the commission
595	613		considers appropriate to prevent practices that violate this
596	614		article and rules.
597	615		(9) Take any other reasonable or appropriate action to
598	616		enforce this article and rules.
599		-	(b) The commission and department shall adopt rules
600		-	addressing the frequency of conducting periodic inspections
601		-	and audits of respective licensees.
602		-	(c) The commission may enter into one or more memoranda
603		-	of understanding with law enforcement agencies to assist with
604		-	enforcement of this article.
605		-	(d) The commission and department may seek and shall
606		-	receive the cooperation and assistance of the Alabama State
607		-	Law Enforcement Agency in conducting criminal background
608		-	checks and in fulfilling its responsibilities under this
609		-	article. The Alabama State Law Enforcement Agency may recover
610		-	its costs of cooperation under this article.
611		-	(e) The commission and department shall assist any
612		-	prosecuting agency in the investigation or prosecution of a
613		-	violation of a controlled substances law.
614		-	(f) Nothing in this article shall affect the authority
615		-	of the Alabama Department of Environmental Management to
616		-	administer and enforce any existing law over which the Alabama
617		-	Department of Environmental Management has jurisdiction."
618		-	"§20-2A-53
619		-	(a) The commission , and the department with regard to
620		-	cultivation, shall adopt rules as necessary to implement,
621		-	administer, and enforce this article in a timely manner that
622	617		281
623	618		282
624	619		283
625	620		284
626	621		285
627	622		286
628	623		287
629	624		288
630	625		289
631	626		290
632	627		291
633	628		292
634	629		293
635	630		294
636	631		295
637	632		296
638	633		297
639	634		298
640	635		299
641	636		300
642	637		301
643	638		302
644	639		303
645	640		304
646	641		305
647	642		306
648	643		307
649		-	308 HB390 ~~Enrolled~~
	644	+	308 HB390 INTRODUCED
650	645		Page 12
	646	+	enforce this article and rules.
	647	+	(b) The commission and department shall adopt rules
	648	+	addressing the frequency of conducting periodic inspections
	649	+	and audits of respective licensees.
	650	+	(c) The commission may enter into one or more memoranda
	651	+	of understanding with law enforcement agencies to assist with
	652	+	enforcement of this article.
	653	+	(d) The commission and department may seek and shall
	654	+	receive the cooperation and assistance of the Alabama State
	655	+	Law Enforcement Agency in conducting criminal background
	656	+	checks and in fulfilling its responsibilities under this
	657	+	article. The Alabama State Law Enforcement Agency may recover
	658	+	its costs of cooperation under this article.
	659	+	(e) The commission and department shall assist any
	660	+	prosecuting agency in the investigation or prosecution of a
	661	+	violation of a controlled substances law.
	662	+	(f) Nothing in this article shall affect the authority
	663	+	of the Alabama Department of Environmental Management to
	664	+	administer and enforce any existing law over which the Alabama
	665	+	Department of Environmental Management has jurisdiction."
	666	+	"§20-2A-53
	667	+	(a) The commission , and the department with regard to
	668	+	cultivation, shall adopt rules as necessary to implement,
651	669		administer, and enforce this article in a timely manner that
652	670		allows persons to begin applying for a license by September 1,
653	671		2022. Rules must ensure safety, security, and integrity of the
654	672		operation of medical cannabis facilities, that do all of the
655	673		following for each category of license:
656	674		(1) Establish operating standards to ensure the health,
657		-	safety, and security of the public and the integrity of
658		-	medical cannabis facility operations.
659		-	(2) Require a minimum of two million dollars
660		-	($2,000,000) of liability and casualty insurance and establish
661		-	minimum levels of other financial guarantees, if appropriate,
662		-	that licensees must maintain.
663		-	(3) Establish qualifications and restrictions for
664		-	individuals participating in or involved with operating
665		-	medical cannabis facilities.
666		-	(4) Establish an on-site inspection process to be
667		-	conducted at each facility of an applicant prior to being
668		-	issued a license, as well as ongoing on-site inspections of
669		-	the facilities of a licensee.
670		-	(5) Establish standards or requirements to ensure
671		-	cannabis and medical cannabis remain secure at all times,
672		-	including, but not limited to, requirements that all
673		-	facilities of licensees remain securely enclosed and locked as
674		-	appropriate.
675		-	(6) Subject to Section 20-2A-66, establish testing
676		-	standards, procedures, and requirements for medical cannabis
677		-	sold at dispensaries.
678		-	(7) Provide for the levy and collection of fines for a
679		-	violation of this article or rules.
680	675		309
681	676		310
682	677		311
683	678		312
684	679		313
685	680		314
686	681		315
687	682		316
688	683		317
689	684		318
690	685		319
691	686		320
692	687		321
693	688		322
694	689		323
695	690		324
696	691		325
697	692		326
698	693		327
699	694		328
700	695		329
701	696		330
702	697		331
703	698		332
704	699		333
705	700		334
706	701		335
707		-	336 HB390 ~~Enrolled~~
	702	+	336 HB390 INTRODUCED
708	703		Page 13
	704	+	(1) Establish operating standards to ensure the health,
	705	+	safety, and security of the public and the integrity of
	706	+	medical cannabis facility operations.
	707	+	(2) Require a minimum of two million dollars
	708	+	($2,000,000) of liability and casualty insurance and establish
	709	+	minimum levels of other financial guarantees, if appropriate,
	710	+	that licensees must maintain.
	711	+	(3) Establish qualifications and restrictions for
	712	+	individuals participating in or involved with operating
	713	+	medical cannabis facilities.
	714	+	(4) Establish an on-site inspection process to be
	715	+	conducted at each facility of an applicant prior to being
	716	+	issued a license, as well as ongoing on-site inspections of
	717	+	the facilities of a licensee.
	718	+	(5) Establish standards or requirements to ensure
	719	+	cannabis and medical cannabis remain secure at all times,
	720	+	including, but not limited to, requirements that all
	721	+	facilities of licensees remain securely enclosed and locked as
	722	+	appropriate.
	723	+	(6) Subject to Section 20-2A-66, establish testing
	724	+	standards, procedures, and requirements for medical cannabis
	725	+	sold at dispensaries.
	726	+	(7) Provide for the levy and collection of fines for a
709	727		violation of this article or rules.
710	728		(8) Establish annual license fees for each type of
711	729		license, provided the fee shall be not less than ten thousand
712	730		dollars ($10,000) and not more than fifty thousand dollars
713	731		($50,000), depending on the category of license.
714	732		(9) Establish quality control standards, procedures,
715		-	and requirements.
716		-	(10) Establish chain of custody standards, procedures,
717		-	and requirements.
718		-	(11) In compliance with Chapters 27 and 30 of Title 22,
719		-	establish standards, procedures, and requirements for waste
720		-	product storage and disposal and chemical storage.
721		-	(12) Establish standards, procedures, and requirements
722		-	for securely and safely transporting medical cannabis between
723		-	facilities.
724		-	(13) Establish standards, procedures, and requirements
725		-	for the storage of cannabis and medical cannabis.
726		-	(14) Subject to Section 20-2A-63, establish packaging
727		-	and labeling standards, procedures, and requirements for
728		-	medical cannabis sold at dispensaries.
729		-	(15) Establish marketing and advertising restrictions
730		-	for medical cannabis products and medical cannabis facilities.
731		-	(16) Establish standards and procedures for the
732		-	renewal, revocation, suspension, and nonrenewal of licenses.
733		-	(b) The commission, by rule, shall design a universal
734		-	state symbol that is a color image and made available to
735		-	licensed processors to include on all packages of medical
736		-	cannabis, as required under Section 20-2A-63."
737		-	"§20-2A-57
738	733		337
739	734		338
740	735		339
741	736		340
742	737		341
743	738		342
744	739		343
745	740		344
746	741		345
747	742		346
748	743		347
749	744		348
750	745		349
751	746		350
752	747		351
753	748		352
754	749		353
755	750		354
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760	755		359
761	756		360
762	757		361
763	758		362
764	759		363
765		-	364 HB390 ~~Enrolled~~
	760	+	364 HB390 INTRODUCED
766	761		Page 14
	762	+	(9) Establish quality control standards, procedures,
	763	+	and requirements.
	764	+	(10) Establish chain of custody standards, procedures,
	765	+	and requirements.
	766	+	(11) In compliance with Chapters 27 and 30 of Title 22,
	767	+	establish standards, procedures, and requirements for waste
	768	+	product storage and disposal and chemical storage.
	769	+	(12) Establish standards, procedures, and requirements
	770	+	for securely and safely transporting medical cannabis between
	771	+	facilities.
	772	+	(13) Establish standards, procedures, and requirements
	773	+	for the storage of cannabis and medical cannabis.
	774	+	(14) Subject to Section 20-2A-63, establish packaging
	775	+	and labeling standards, procedures, and requirements for
	776	+	medical cannabis sold at dispensaries.
	777	+	(15) Establish marketing and advertising restrictions
	778	+	for medical cannabis products and medical cannabis facilities.
	779	+	(16) Establish standards and procedures for the
	780	+	renewal, revocation, suspension, and nonrenewal of licenses.
	781	+	(b) The commission, by rule, shall design a universal
	782	+	state symbol that is a color image and made available to
	783	+	licensed processors to include on all packages of medical
	784	+	cannabis, as required under Section 20-2A-63."
767	785		"§20-2A-57
768	786		(a) If any of the following occurs, the commission may
769	787		deny, suspend, revoke, or restrict a license:
770	788		(1) An applicant or licensee fails to comply with this
771	789		article or rules.
772	790		(2) A licensee no longer meets the eligibility
773		-	requirements for a license under this article.
774		-	(3) An applicant or licensee fails to provide
775		-	information the commission requests to assist in any
776		-	investigation, inquiry, or commission hearing.
777		-	(b) The commission may impose civil fines of up to five
778		-	thousand dollars ($5,000) against an individual and up to
779		-	twenty-five thousand dollars ($25,000) or an amount equal to
780		-	the daily gross receipts, whichever is greater, against a
781		-	licensee for each violation of this article, rules, or an
782		-	order of the commission. Assessment of a civil fine under this
783		-	subsection is not a bar to the investigation, arrest,
784		-	charging, or prosecution of an individual for any other
785		-	violation of this article and is not grounds to suppress
786		-	evidence in any criminal prosecution that arises under this
787		-	article or any other law of this state.
788		-	(c) The commission shall comply with the hearing
789		-	procedures of the Administrative Procedure Act when denying,
790		-	revoking, suspending, or restricting a license or imposing a
791		-	fine. The commission may suspend a license without notice or
792		-	hearing upon a determination that the safety or health of
793		-	registered qualified patients, registered caregivers, or
794		-	employees is jeopardized by continuing a facility's operation.
795		-	If the commission suspends a license under this subsection
796	791		365
797	792		366
798	793		367
799	794		368
800	795		369
801	796		370
802	797		371
803	798		372
804	799		373
805	800		374
806	801		375
807	802		376
808	803		377
809	804		378
810	805		379
811	806		380
812	807		381
813	808		382
814	809		383
815	810		384
816	811		385
817	812		386
818	813		387
819	814		388
820	815		389
821	816		390
822	817		391
823		-	392 HB390 ~~Enrolled~~
	818	+	392 HB390 INTRODUCED
824	819		Page 15
	820	+	(2) A licensee no longer meets the eligibility
	821	+	requirements for a license under this article.
	822	+	(3) An applicant or licensee fails to provide
	823	+	information the commission requests to assist in any
	824	+	investigation, inquiry, or commission hearing.
	825	+	(b) The commission may impose civil fines of up to five
	826	+	thousand dollars ($5,000) against an individual and up to
	827	+	twenty-five thousand dollars ($25,000) or an amount equal to
	828	+	the daily gross receipts, whichever is greater, against a
	829	+	licensee for each violation of this article, rules, or an
	830	+	order of the commission. Assessment of a civil fine under this
	831	+	subsection is not a bar to the investigation, arrest,
	832	+	charging, or prosecution of an individual for any other
	833	+	violation of this article and is not grounds to suppress
	834	+	evidence in any criminal prosecution that arises under this
	835	+	article or any other law of this state.
	836	+	(c) The commission shall comply with the hearing
	837	+	procedures of the Administrative Procedure Act when denying,
	838	+	revoking, suspending, or restricting a license or imposing a
	839	+	fine. The commission may suspend a license without notice or
	840	+	hearing upon a determination that the safety or health of
	841	+	registered qualified patients, registered caregivers, or
	842	+	employees is jeopardized by continuing a facility's operation.
825	843		If the commission suspends a license under this subsection
826	844		without notice or hearing, a prompt post-suspension hearing
827	845		must be held to determine if the suspension should remain in
828	846		effect. The suspension may remain in effect until the
829	847		commission determines that the cause for suspension has been
830	848		abated. The commission may revoke the license or approve a
831		-	transfer or sale of the license upon a determination that the
832		-	licensee has not made satisfactory progress toward abating the
833		-	hazard.
834		-	(d) Any party aggrieved by an action of the commission
835		-	suspending, revoking, restricting, or refusing to renew a
836		-	license, or imposing a fine, shall be given a hearing before
837		-	the commission upon request. A request for a hearing must be
838		-	made to the commission in writing within 21 days after service
839		-	of notice of the action of the commission. Notice of the
840		-	action of the commission must be served either by personal
841		-	delivery or by certified mail, postage prepaid, to the
842		-	aggrieved party. Notice served by certified mail is considered
843		-	complete on the business day following the date of the
844		-	mailing.
845		-	(e) The commission may conduct investigative and
846		-	contested case hearings; issue subpoenas for the attendance of
847		-	witnesses; issue subpoenas duces tecum for the production of
848		-	books, ledgers, records, memoranda, electronically retrievable
849		-	data, and other pertinent documents; and administer oaths and
850		-	affirmations to witnesses as appropriate to exercise and
851		-	discharge the powers and duties of the commission under this
852		-	article.
853		-	(f) Any person aggrieved by an action of the commission
854	849		393
855	850		394
856	851		395
857	852		396
858	853		397
859	854		398
860	855		399
861	856		400
862	857		401
863	858		402
864	859		403
865	860		404
866	861		405
867	862		406
868	863		407
869	864		408
870	865		409
871	866		410
872	867		411
873	868		412
874	869		413
875	870		414
876	871		415
877	872		416
878	873		417
879	874		418
880	875		419
881		-	420 HB390 ~~Enrolled~~
	876	+	420 HB390 INTRODUCED
882	877		Page 16
	878	+	abated. The commission may revoke the license or approve a
	879	+	transfer or sale of the license upon a determination that the
	880	+	licensee has not made satisfactory progress toward abating the
	881	+	hazard.
	882	+	(d) Any party aggrieved by an action of the commission
	883	+	suspending, revoking, restricting, or refusing to renew a
	884	+	license, or imposing a fine, shall be given a hearing before
	885	+	the commission upon request. A request for a hearing must be
	886	+	made to the commission in writing within 21 days after service
	887	+	of notice of the action of the commission. Notice of the
	888	+	action of the commission must be served either by personal
	889	+	delivery or by certified mail, postage prepaid, to the
	890	+	aggrieved party. Notice served by certified mail is considered
	891	+	complete on the business day following the date of the
	892	+	mailing.
	893	+	(e) The commission may conduct investigative and
	894	+	contested case hearings; issue subpoenas for the attendance of
	895	+	witnesses; issue subpoenas duces tecum for the production of
	896	+	books, ledgers, records, memoranda, electronically retrievable
	897	+	data, and other pertinent documents; and administer oaths and
	898	+	affirmations to witnesses as appropriate to exercise and
	899	+	discharge the powers and duties of the commission under this
	900	+	article.
883	901		(f) Any person aggrieved by an action of the commission
884	902		or the department under this article, within 30 days after
885	903		receiving notice of the action, may appeal the action to the
886	904		circuit court in the county where the commission or department
887	905		is located."
888	906		"§20-2A-59
889		-	(a) The commission, prior to appointment, employment,
890		-	or service for a licensee, shall require all officers,
891		-	employees, contractors, and other individuals performing work
892		-	of any character who would have access to cannabis, a medical
893		-	cannabis facility, or related equipment or supplies, to submit
894		-	to a state and national criminal background check. The
895		-	commission shall determine the manner in which fingerprints of
896		-	the individuals shall be submitted to the Alabama State Law
897		-	Enforcement Agency along with a sufficient fee required to
898		-	perform the criminal history records background check by the
899		-	agency and the Federal Bureau of Investigation.
900		-	Notwithstanding any state law to the contrary, all records
901		-	related to any criminal background check conducted pursuant to
902		-	this subsection shall be accessible and made available, upon
903		-	request, by the commission.
904		-	(b) If the criminal background check of a prospective
905		-	officer, employee, or contractor indicates a pending charge or
906		-	conviction within the past five years for a controlled
907		-	substance-related felony or a controlled substance-related
908		-	misdemeanor, a licensee may not appoint, hire, or contract
909		-	with the prospective officer, employee, or contractor without
910		-	written permission of the commission; provided, however, a
911		-	licensee shall not consider any conviction overturned on
912	907		421
913	908		422
914	909		423
915	910		424
916	911		425
917	912		426
918	913		427
919	914		428
920	915		429
921	916		430
922	917		431
923	918		432
924	919		433
925	920		434
926	921		435
927	922		436
928	923		437
929	924		438
930	925		439
931	926		440
932	927		441
933	928		442
934	929		443
935	930		444
936	931		445
937	932		446
938	933		447
939		-	448 HB390 ~~Enrolled~~
	934	+	448 HB390 INTRODUCED
940	935		Page 17
	936	+	"§20-2A-59
	937	+	(a) The commission, prior to appointment, employment,
	938	+	or service for a licensee, shall require all officers,
	939	+	employees, contractors, and other individuals performing work
	940	+	of any character who would have access to cannabis, a medical
	941	+	cannabis facility, or related equipment or supplies, to submit
	942	+	to a state and national criminal background check. The
	943	+	commission shall determine the manner in which fingerprints of
	944	+	the individuals shall be submitted to the Alabama State Law
	945	+	Enforcement Agency along with a sufficient fee required to
	946	+	perform the criminal history records background check by the
	947	+	agency and the Federal Bureau of Investigation.
	948	+	Notwithstanding any state law to the contrary, all records
	949	+	related to any criminal background check conducted pursuant to
	950	+	this subsection shall be accessible and made available, upon
	951	+	request, by the commission.
	952	+	(b) If the criminal background check of a prospective
	953	+	officer, employee, or contractor indicates a pending charge or
	954	+	conviction within the past five years for a controlled
	955	+	substance-related felony or a controlled substance-related
	956	+	misdemeanor, a licensee may not appoint, hire, or contract
	957	+	with the prospective officer, employee, or contractor without
	958	+	written permission of the commission; provided, however, a
941	959		licensee shall not consider any conviction overturned on
942	960		appeal or any charge that has been expunged pursuant to
943	961		Chapter 27 of Title 15.
944	962		(c) Each licensee shall enter all transactions, current
945	963		inventory, and other information into the statewide
946	964		seed-to-sale tracking system in accordance with rules adopted
947		-	by the commission and the department ."
948		-	"§20-2A-62
949		-	(a)(1) A cultivator license authorizes all of the
950		-	following:
951		-	a. The cultivation of cannabis.
952		-	b. The sale or transfer of cannabis to a processor.
953		-	c. If the cultivator contracts with a processor to
954		-	process its cannabis into medical cannabis on the cultivator's
955		-	behalf, the sale or transfer of medical cannabis to a
956		-	dispensary.
957		-	(2) A cultivator license authorizes the cultivator to
958		-	transfer cannabis only by means of a secure transporter.
959		-	(b) The commission shall consult with the Department of
960		-	Agriculture and Industries when determining the number of
961		-	cultivator licenses to issue, provided the commission shall
962		-	issue no more than 12 cultivator licenses.
963		-	(c) An applicant for a license under this section shall
964		-	meet all of the following requirements:
965		-	(1) Demonstrate the ability to secure and maintain
966		-	cultivation facilities.
967		-	(2) Demonstrate the ability to obtain and use an
968		-	inventory control and tracking system as required under
969		-	Section 20-2A-60.
970	965		449
971	966		450
972	967		451
973	968		452
974	969		453
975	970		454
976	971		455
977	972		456
978	973		457
979	974		458
980	975		459
981	976		460
982	977		461
983	978		462
984	979		463
985	980		464
986	981		465
987	982		466
988	983		467
989	984		468
990	985		469
991	986		470
992	987		471
993	988		472
994	989		473
995	990		474
996	991		475
997		-	476 HB390 ~~Enrolled~~
	992	+	476 HB390 INTRODUCED
998	993		Page 18
	994	+	seed-to-sale tracking system in accordance with rules adopted
	995	+	by the commission and the department ."
	996	+	"§20-2A-62
	997	+	(a)(1) A cultivator license authorizes all of the
	998	+	following:
	999	+	a. The cultivation of cannabis.
	1000	+	b. The sale or transfer of cannabis to a processor.
	1001	+	c. If the cultivator contracts with a processor to
	1002	+	process its cannabis into medical cannabis on the cultivator's
	1003	+	behalf, the sale or transfer of medical cannabis to a
	1004	+	dispensary.
	1005	+	(2) A cultivator license authorizes the cultivator to
	1006	+	transfer cannabis only by means of a secure transporter.
	1007	+	(b) The commission shall consult with the Department of
	1008	+	Agriculture and Industries when determining the number of
	1009	+	cultivator licenses to issue, provided the commission shall
	1010	+	issue no more than 12 cultivator licenses.
	1011	+	(c) An applicant for a license under this section shall
	1012	+	meet all of the following requirements:
	1013	+	(1) Demonstrate the ability to secure and maintain
	1014	+	cultivation facilities.
	1015	+	(2) Demonstrate the ability to obtain and use an
	1016	+	inventory control and tracking system as required under
999	1017		Section 20-2A-60.
1000	1018		(3) Demonstrate the ability to commence cultivation of
1001	1019		cannabis within 60 days of application approval notification.
1002	1020		(4) Demonstrate the ability to destroy unused or waste
1003	1021		cannabis in accordance with rules adopted by the department.
1004	1022		(5) Demonstrate the financial stability to provide
1005		-	proper testing of individual lots and batches.
1006		-	(d) A licensed cultivator shall comply with all of the
1007		-	following, in accordance with rules adopted by the department
1008		-	commission:
1009		-	(1) All facilities shall be protected by a monitored
1010		-	security alarm system, be enclosed, and remain locked at all
1011		-	times.
1012		-	(2) All individuals entering and exiting facilities
1013		-	shall be monitored by video surveillance and keypad or access
1014		-	card entry.
1015		-	(3) All employees may not have any conviction within
1016		-	the past 10 years for a controlled substance-related felony or
1017		-	a controlled substance-related misdemeanor other than a
1018		-	conviction that was overturned on appeal or a charge that was
1019		-	expunged pursuant to Chapter 27 of Title 15.
1020		-	(4) Cultivatars Cultivars selected by a licensee must
1021		-	be approved by the department commission prior to acquisition
1022		-	of plant material for cultivation.
1023		-	(e) A cultivator shall be subject to inspection by the
1024		-	department commission.
1025		-	(f) The cultivation of cannabis pursuant to this
1026		-	chapter shall be considered an agricultural purpose for
1027		-	purposes of Section 40-23-4.
1028	1023		477
1029	1024		478
1030	1025		479
1031	1026		480
1032	1027		481
1033	1028		482
1034	1029		483
1035	1030		484
1036	1031		485
1037	1032		486
1038	1033		487
1039	1034		488
1040	1035		489
1041	1036		490
1042	1037		491
1043	1038		492
1044	1039		493
1045	1040		494
1046	1041		495
1047	1042		496
1048	1043		497
1049	1044		498
1050	1045		499
1051	1046		500
1052	1047		501
1053	1048		502
1054	1049		503
1055		-	504 HB390 ~~Enrolled~~
	1050	+	504 HB390 INTRODUCED
1056	1051		Page 19
	1052	+	(5) Demonstrate the financial stability to provide
	1053	+	proper testing of individual lots and batches.
	1054	+	(d) A licensed cultivator shall comply with all of the
	1055	+	following, in accordance with rules adopted by the department
	1056	+	commission:
	1057	+	(1) All facilities shall be protected by a monitored
	1058	+	security alarm system, be enclosed, and remain locked at all
	1059	+	times.
	1060	+	(2) All individuals entering and exiting facilities
	1061	+	shall be monitored by video surveillance and keypad or access
	1062	+	card entry.
	1063	+	(3) All employees may not have any conviction within
	1064	+	the past 10 years for a controlled substance-related felony or
	1065	+	a controlled substance-related misdemeanor other than a
	1066	+	conviction that was overturned on appeal or a charge that was
	1067	+	expunged pursuant to Chapter 27 of Title 15.
	1068	+	(4) Cultivatars Cultivars selected by a licensee must
	1069	+	be approved by the department commission prior to acquisition
	1070	+	of plant material for cultivation.
	1071	+	(e) A cultivator shall be subject to inspection by the
	1072	+	department commission.
	1073	+	(f) The cultivation of cannabis pursuant to this
	1074	+	chapter shall be considered an agricultural purpose for
1057	1075		purposes of Section 40-23-4.
1058	1076		(g) Nothing in this section shall be construed to
1059	1077		prohibit the hydroponic growing of cannabis.
1060	1078		(h) The department shall consult with the commission
1061	1079		when adopting rules pursuant to this article. "
1062	1080		"§20-2A-63
1063		-	(a)(1) A processor license authorizes all of the
1064		-	following:
1065		-	a. The purchase or transfer of cannabis from a
1066		-	cultivator.
1067		-	b. The processing of cannabis into medical cannabis
1068		-	which shall include properly packaging and labeling medical
1069		-	cannabis products, in accordance with this section.
1070		-	c. The sale or transfer of medical cannabis to a
1071		-	dispensary.
1072		-	(2) A processor license authorizes the processor to
1073		-	transfer medical cannabis only by means of a secure
1074		-	transporter.
1075		-	(b) The commission shall issue no more than four
1076		-	processor licenses.
1077		-	(c)(1) All medical cannabis products must be medical
1078		-	grade product, manufactured using documented good quality
1079		-	practices, and meet Good Manufacturing Practices, such that
1080		-	the product is shown to meet intended levels of purity and be
1081		-	reliably free of toxins and contaminants. Medical cannabis
1082		-	products may not contain any additives other than
1083		-	pharmaceutical grade excipients.
1084		-	(2) The department commission shall be responsible for
1085		-	enforcing Good Manufacturing Practices.
1086	1081		505
1087	1082		506
1088	1083		507
1089	1084		508
1090	1085		509
1091	1086		510
1092	1087		511
1093	1088		512
1094	1089		513
1095	1090		514
1096	1091		515
1097	1092		516
1098	1093		517
1099	1094		518
1100	1095		519
1101	1096		520
1102	1097		521
1103	1098		522
1104	1099		523
1105	1100		524
1106	1101		525
1107	1102		526
1108	1103		527
1109	1104		528
1110	1105		529
1111	1106		530
1112	1107		531
1113		-	532 HB390 ~~Enrolled~~
	1108	+	532 HB390 INTRODUCED
1114	1109		Page 20
	1110	+	"§20-2A-63
	1111	+	(a)(1) A processor license authorizes all of the
	1112	+	following:
	1113	+	a. The purchase or transfer of cannabis from a
	1114	+	cultivator.
	1115	+	b. The processing of cannabis into medical cannabis
	1116	+	which shall include properly packaging and labeling medical
	1117	+	cannabis products, in accordance with this section.
	1118	+	c. The sale or transfer of medical cannabis to a
	1119	+	dispensary.
	1120	+	(2) A processor license authorizes the processor to
	1121	+	transfer medical cannabis only by means of a secure
	1122	+	transporter.
	1123	+	(b) The commission shall issue no more than four
	1124	+	processor licenses.
	1125	+	(c)(1) All medical cannabis products must be medical
	1126	+	grade product, manufactured using documented good quality
	1127	+	practices, and meet Good Manufacturing Practices, such that
	1128	+	the product is shown to meet intended levels of purity and be
	1129	+	reliably free of toxins and contaminants. Medical cannabis
	1130	+	products may not contain any additives other than
	1131	+	pharmaceutical grade excipients.
	1132	+	(2) The department commission shall be responsible for
1115	1133		enforcing Good Manufacturing Practices.
1116	1134		(d) Medical cannabis products may not be processed into
1117	1135		a form that is attractive to or targets children, including
1118	1136		all of the following which are prohibited:
1119	1137		(1) Any product bearing any resemblance to a cartoon
1120	1138		character, fictional character whose target audience is
1121		-	children or youth, or pop culture figure.
1122		-	(2) Any product bearing a reasonable resemblance to a
1123		-	product available for consumption as a commercially available
1124		-	candy.
1125		-	(3) Any product whose design resembles, by any means,
1126		-	another object commonly recognized as appealing to, or
1127		-	intended for use by, children.
1128		-	(4) Any product whose shape bears the likeness or
1129		-	contains characteristics of a realistic or fictional human,
1130		-	animal, or fruit, including artistic, caricature, or cartoon
1131		-	rendering.
1132		-	(e) All of the following shall apply to all packages
1133		-	and labels of medical cannabis products:
1134		-	(1) Labels, packages, and containers shall not be
1135		-	attractive to minors and may not contain any content that
1136		-	reasonably appears to target children, including toys, cartoon
1137		-	characters, and similar images. Packages shall be designed to
1138		-	minimize appeal to children and must contain a label that
1139		-	reads: "Keep out of reach of children."
1140		-	(2) All medical cannabis products must be packaged in
1141		-	child-resistant, tamper-evident containers.
1142		-	(3) All medical cannabis product labels shall contain,
1143		-	at a minimum, the following information:
1144	1139		533
1145	1140		534
1146	1141		535
1147	1142		536
1148	1143		537
1149	1144		538
1150	1145		539
1151	1146		540
1152	1147		541
1153	1148		542
1154	1149		543
1155	1150		544
1156	1151		545
1157	1152		546
1158	1153		547
1159	1154		548
1160	1155		549
1161	1156		550
1162	1157		551
1163	1158		552
1164	1159		553
1165	1160		554
1166	1161		555
1167	1162		556
1168	1163		557
1169	1164		558
1170	1165		559
1171		-	560 HB390 ~~Enrolled~~
	1166	+	560 HB390 INTRODUCED
1172	1167		Page 21
	1168	+	character, fictional character whose target audience is
	1169	+	children or youth, or pop culture figure.
	1170	+	(2) Any product bearing a reasonable resemblance to a
	1171	+	product available for consumption as a commercially available
	1172	+	candy.
	1173	+	(3) Any product whose design resembles, by any means,
	1174	+	another object commonly recognized as appealing to, or
	1175	+	intended for use by, children.
	1176	+	(4) Any product whose shape bears the likeness or
	1177	+	contains characteristics of a realistic or fictional human,
	1178	+	animal, or fruit, including artistic, caricature, or cartoon
	1179	+	rendering.
	1180	+	(e) All of the following shall apply to all packages
	1181	+	and labels of medical cannabis products:
	1182	+	(1) Labels, packages, and containers shall not be
	1183	+	attractive to minors and may not contain any content that
	1184	+	reasonably appears to target children, including toys, cartoon
	1185	+	characters, and similar images. Packages shall be designed to
	1186	+	minimize appeal to children and must contain a label that
	1187	+	reads: "Keep out of reach of children."
	1188	+	(2) All medical cannabis products must be packaged in
	1189	+	child-resistant, tamper-evident containers.
	1190	+	(3) All medical cannabis product labels shall contain,
1173	1191		at a minimum, the following information:
1174	1192		a. Lot and batch numbers.
1175	1193		b. A license identification number for the cultivator
1176	1194		and a license identification number for the processor.
1177	1195		c. Cannabinoids content and potency.
1178	1196		d. The universal state symbol printed in color at least
1179		-	one-half inch by one-half inch in size.
1180		-	(f) The commission shall establish one universal flavor
1181		-	for all gelatinous cube, cuboid, and lozenge medical cannabis
1182		-	products.
1183		-	(g) The following statement shall be included on each
1184		-	label, if space permits, or as an insert within the package:
1185		-	"WARNING: This product may make you drowsy or dizzy. Do not
1186		-	drink alcohol with this product. Use care when operating a
1187		-	vehicle or other machinery. Taking this product with
1188		-	medication may lead to harmful side effects or complications.
1189		-	Consult your physician before taking this product with any
1190		-	medication. Women who are breastfeeding, pregnant, or plan to
1191		-	become pregnant should discuss medical cannabis use with their
1192		-	physicians."
1193		-	(h) Any advertisement and any package or label may not
1194		-	contain any false statement or statement that advertises
1195		-	health benefits or therapeutic benefits of medical cannabis.
1196		-	(i) The commission may require the implementation of a
1197		-	digital image such as a QR Code for purposes of tracking
1198		-	medical cannabis products. The digital image must interface
1199		-	with the statewide seed-to-sale tracking system.
1200		-	(j) The commission shall determine what information
1201		-	from the label shall be entered into the statewide
1202	1197		561
1203	1198		562
1204	1199		563
1205	1200		564
1206	1201		565
1207	1202		566
1208	1203		567
1209	1204		568
1210	1205		569
1211	1206		570
1212	1207		571
1213	1208		572
1214	1209		573
1215	1210		574
1216	1211		575
1217	1212		576
1218	1213		577
1219	1214		578
1220	1215		579
1221	1216		580
1222	1217		581
1223	1218		582
1224	1219		583
1225	1220		584
1226	1221		585
1227	1222		586
1228	1223		587
1229		-	588 HB390 ~~Enrolled~~
	1224	+	588 HB390 INTRODUCED
1230	1225		Page 22
	1226	+	d. The universal state symbol printed in color at least
	1227	+	one-half inch by one-half inch in size.
	1228	+	(f) The commission shall establish one universal flavor
	1229	+	for all gelatinous cube, cuboid, and lozenge medical cannabis
	1230	+	products.
	1231	+	(g) The following statement shall be included on each
	1232	+	label, if space permits, or as an insert within the package:
	1233	+	"WARNING: This product may make you drowsy or dizzy. Do not
	1234	+	drink alcohol with this product. Use care when operating a
	1235	+	vehicle or other machinery. Taking this product with
	1236	+	medication may lead to harmful side effects or complications.
	1237	+	Consult your physician before taking this product with any
	1238	+	medication. Women who are breastfeeding, pregnant, or plan to
	1239	+	become pregnant should discuss medical cannabis use with their
	1240	+	physicians."
	1241	+	(h) Any advertisement and any package or label may not
	1242	+	contain any false statement or statement that advertises
	1243	+	health benefits or therapeutic benefits of medical cannabis.
	1244	+	(i) The commission may require the implementation of a
	1245	+	digital image such as a QR Code for purposes of tracking
	1246	+	medical cannabis products. The digital image must interface
	1247	+	with the statewide seed-to-sale tracking system.
	1248	+	(j) The commission shall determine what information
1231	1249		from the label shall be entered into the statewide
1232	1250		seed-to-sale tracking system."
1233	1251		Section 2. This act shall become effective on June 1,
1234	1252		2024.
1235	1253		589
1236	1254		590
1237		-	591 HB390 Enrolled
1238		-	Page 23
1239		-	2024.
1240		-	________________________________________________
1241		-	Speaker of the House of Representatives
1242		-	________________________________________________
1243		-	President and Presiding Officer of the Senate
1244		-	House of Representatives
1245		-	I hereby certify that the within Act originated in and
1246		-	was passed by the House 16-Apr-24.
1247		-	John Treadwell
1248		-	Clerk
1249		-	Senate 08-May-24 Passed
	1255	+	591
1250	1256		592
1251	1257		593
1252	1258		594
1253	1259		595
1254	1260		596
1255	1261		597
1256	1262		598
1257	1263		599
1258	1264		600
1259	1265		601
1260	1266		602
1261	1267		603
1262	1268		604
1263	1269		605
1264	1270		606
1265	1271		607
1266	1272		608
1267	1273		609
1268	1274		610
1269	1275		611
1270	1276		612
1271	1277		613
1272	1278		614
1273		-	615
1274		-	616
1275		-	617
1276		-	618
1277		-	619
1278		-	620
1279		-	621
1280		-	622
1281		-	623
1282		-	624
1283		-	625
1284		-	626
1285		-	627