1 _____________________________ _____________________________ 1 Chairman Phil Mendelson Councilmember Kenyan R. McDuffie 2 3 4 5 6 A BILL 7 8 _________ 9 10 11 IN THE COUNCIL OF THE DISTRICT OF COLUMBIA 12 13 __________________ 14 15 16 To amend, on a temporary basis, the Legalization of Marijuana for Medical Treatment Initiative 17 of 1999 to allow the Alcoholic Beverage and Cannabis Board (“ABC Board”) to issue 18 temporary non-resident registration identification cards that are valid for periods between 19 3 days and no longer than one year in length, allow licensed testing laboratories to 20 receive and test samples of medical cannabis products from qualifying patients, allow 21 licensed testing laboratories to conduct quality assurance or research and development 22 testing for cultivation centers and manufacturers, amend the definition of a social equity 23 applicant to include arrests and convictions of qualifying family members for a cannabis 24 or drug offense, expand the list of eligible family members under the social equity 25 applicant definition to include siblings and grandparents, clarify that existing licensed 26 cultivation centers and retailers and applicants that scored 150 points or more during the 27 open application period that occurred between November 29, 2021 and March 28, 2022, 28 that are authorized by statute to receive a cultivation center, manufacturer, or retailer 29 license apart from a designated open application period are not counted in calculating the 30 50% set aside requirement, clarify that the 5 cultivation center registration applicants that 31 scored 150 points or more during the same open application period shall automatically 32 receive a manufacturer license provided that they pay the annual fee and register with the 33 ABC Board, allow the Alcoholic Beverage and Cannabis Board to issue conditional 34 licenses to testing laboratory applicants, and to waive the application fee for testing 35 laboratory licenses. 36 37 BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this 38 act may be cited as the “Medical Cannabis Clarification and Non-Resident Patient Access 39 Temporary Amendment Act of 2023”. 40 2 Sec. 2. The Legalization of Marijuana for Medical Treatment Initiative of 1999, effective 41 February 25, 2010 (D.C. Law 13-315; D.C. Official Code § 7-1671.01 et seq.), is amended as 42 follows: 43 (a) Section 2 (D.C. Official Code § 7-1671.01) is amended as follows: 44 (1) Paragraph (13B)(B) is amended by striking the phrase “30-day registration 45 identification card” and inserting the phrase "registration identification card valid for periods 46 established by the ABC Board by rulemaking, which are between 3 days and no longer than one 47 year in length” in its place. 48 (2) Paragraph (20C)(B) is amended by striking the phrase “or has a non-parent legal 49 guardian who is or has been incarcerated” and inserting the phrase “or has a non-parent legal 50 guardian, or a grandparent or a sibling who is or has been arrested, convicted, or incarcerated”. 51 (b) Section 6(b) (D.C. Official Code § 7-1671.05(b)) is amended as follows: 52 (1) Paragraph (4) is amended as follows: 53 (A) Subparagraph (A) is amended by striking the phrase “30 days” and 54 inserting the phrase "periods established by the ABC Board by rulemaking, which are between 3 55 days and no longer than one year in length”. 56 (B) Subparagraph (B) is amended by striking the phrase "30-day”. 57 (2) Paragraph (5)(C) is amended by striking the phrase "3 years.” and inserting the 58 phrase “3 years, except for temporary non-resident registration identification cards that are valid 59 for periods established by the ABC Board by rulemaking, which shall be between 3 days and no 60 longer than one year in length.” in its place. 61 (3) A new paragraph (11A) is added to read as follows: 62 “(11A) Allow testing laboratories to: 63 3 “(A) Receive and test samples of medical cannabis products from 64 qualifying patients; provided, that the qualifying patient must present proof that he or she is 65 currently registered, and that the medical cannabis product was purchased from a retailer or 66 internet retailer licensed with ABCA. 67 “(B) Receive and test samples of medical cannabis products from licensed 68 cultivation centers or manufacturers for purposes of quality assurance or research and 69 development. Samples collected for quality assurance or research and development testing may 70 be selected by the cultivation center or manufacturer non-randomly. Any tests conducted for 71 purposes of quality assurance or research and development shall not satisfy the requirements of 72 paragraphs (8) through (11) of this subsection.”. 73 (c) Section 7 (D.C. Official Code § 7-1671.06) is amended as follows: 74 (1) Subsection (h) is amended by striking the phrase "cultivation centers who 75 receive a manufacturer’s license pursuant to subsection (d) of this section.” and inserting the 76 phrase "cultivation centers and retailers, and applicants who scored 150 points or more during 77 the ABC Board open application period that occurred between November 29, 2021 and March 78 28, 2022, who receive a cultivation center, manufacturer, or retailer’s license pursuant to 79 subsections (d), (w), (x) and (y) of this section.”. 80 (2) Subsection (k)(1) is amended to read as follows: 81 “(k)(1) The ABC Board shall be authorized to issue a one-year conditional license for a 82 cultivation center, retailer, internet retailer, manufacturer, courier, or testing laboratory that does 83 not currently have a proposed location.”. 84 (3) Subsection (n)(2) is amended to read as follows: 85 4 “(2)(A) The ABC Board shall, by rules issued pursuant to section 14, establish the 86 initial application and renewal fees for cultivation center, manufacturer, retailer, internet retailer, 87 and courier licenses. The ABC Board may revise these fees as considered necessary. 88 “(B) There shall be no initial application fee for a testing laboratory 89 license. Renewal fees for a testing laboratory license shall be established by rules issued pursuant 90 to sub-paragraph (A) of this paragraph.”. 91 (3) A new subsection (y) is added to read as follows: 92 “(y) The 5 cultivation center registration applicants that submitted medical 93 cannabis facility registration applications to the ABC Board between November 29, 2021 and 94 March 28, 2022, that scored 150 points or more shall automatically receive a manufacturer 95 license provided that the annual fee is paid after the effective date of the Medical Cannabis 96 Manufacturer Clarification Emergency Amendment Act of 2023, effective June 29, 2023 (D.C. 97 Act 25-152; 70 DCR ___); provided, that the applicant registers on a form provided by ABCA 98 with the ABC Board by May 1, 2024.”. 99 Sec. 3. Repealer. 100 The Medical Cannabis Manufacturer Clarification Temporary Amendment Act of 2023, 101 passed on 2nd reading on June 20, 2023 (Enrolled version of Bill 25-304), is repealed. 102 Sec. 4. Fiscal impact statement. 103 The Council adopts the fiscal impact statement of the Budget Director as the fiscal impact 104 statement required by section 4a of the General Legislative Procedures Act of 1975, approved 105 October 16, 2006 (120 Stat. 2038; D.C. Official Code § 1-301.47a). 106 Sec. 5. Effective date. 107 (a) This act shall take effect following approval by the Mayor (or in the event of veto by 108 5 the Mayor, action by the Council to override the veto), a 30-day period of Congressional review 109 as provided in section 602(c)(1) of the District of Columbia Home Rule Act, approved December 110 24, 1973 (87 Stat. 813; D.C. Official Code § 1-206.02(c)(1)), and publication in the District of 111 Columbia Register. 112 (b) This act shall expire after 225 days of its having taken effect. 113