District Of Columbia 2023-2024 Regular Session

District Of Columbia Council Bill B25-0873 Latest Draft

Bill / Enrolled Version Filed 07/09/2024

                              	ENROLLED ORIGINAL 
 
 
 
 
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AN ACT 
 
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IN THE COUNCIL OF THE DISTRICT OF COLUMBIA 
 
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To amend, on a temporary basis, the Legalization of Marijuana for Medical Treatment Initiative 
of 1999 to clarify that Alcoholic Beverage and Cannabis Administration investigators 
have the authority to conduct announced and unannounced inspections of unlicensed 
establishments, to make a conditional license for a manufacturer or cultivation center 
valid for 2 years, to extend existing public-comment period provisions to all unlicensed 
establishment registration applications, and to clarify the criteria to be considered when 
summarily closing an unlicensed establishment. 
 
BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this 
act may be cited as the “Medical Cannabis Conditional License and Unlicensed Establishment 
Closure Clarification Temporary Amendment Act of 2024”. 
 
Sec. 2. The Legalization of Marijuana for Medical Treatment Initiative of 1999, effective 
February 25, 2010 (D.C. Law 13-315; D.C. Official Code § 7-1671.01 et seq.), is amended as 
follows: 
(a) Section 6(b) (D.C. Official Code § 7-1671.05(b)) is amended by adding a new 
paragraph (14A) to read as follows:  
 “(14A) Conduct announced and unannounced inspections of unlicensed 
establishments.”. 
(b) Section 7 (D.C. Official Code § 7-1671.06) is amended as follows: 
(1) Subsection (k) is amended as follows: 
    (A) Paragraph (1) is amended by striking the phrase “proposed location” 
and inserting the phrase “proposed location; except, that the ABC Board shall be authorized to 
convert a one-year conditional license to 2 years for a cultivation center or manufacturer that 
does not currently have a proposed location” in its place. 
  (B) Paragraph (2) is amended by striking the phrase “one year” and 
inserting the phrase “one year or 2 years for a cultivation center or manufacturer applicant” in its 
place.    	ENROLLED ORIGINAL 
 
 
 
 
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 (C) Paragraph (4) is amended by striking the phrase “ABC Board.” and 
inserting the phrase “ABC Board; except that a 2-year conditional license for a cultivation center 
or manufacturer shall be canceled by the ABC Board after two years.”  
(2) A new subsection (k-1) is added to read as follows: 
“(k-1) A conditional license for a cultivation center or manufacturer that is in effect as of 
the effective date of the Medical Cannabis Conditional License and Unlicensed Establishment 
Closure Clarification Emergency Amendment Act of 2024, passed on emergency basis on June 
25, 2024 (Enrolled version of Bill 25-872), as of that date, shall be automatically converted to a 
2-year conditional license, expiring one year after the date the original conditional license was 
set to expire, at no additional cost and without additional ABC Board approval.”.  
 (4) Subsection (l) is amended by striking the phrase “one-year”. 
 (c) Section 7a(h)(4) (D.C. Official Code § 7-1671.06a(h)(4)) is repealed.  
(d) Section 9 (D.C. Official Code § 7-1671.08) is amended by adding a new subsection 
(g) to read as follows: 
“(g)(1) Notwithstanding sections 7(b) and 9(f), ABCA shall have the authority to inspect 
an unlicensed establishment. If, after an inspection, ABCA determines that an unlicensed 
establishment presents an imminent danger to the health or safety of the public, as described in 
paragraph (2) of this subsection, the ABC Board may summarily close and order the padlocking, 
by ABCA or MPD without a prior hearing, of the unlicensed establishment, and ABCA may 
seize all cannabis and cannabis products found at the premises. 
 “(2) For the purpose of this subsection, the term “imminent danger to the health or 
safety of the public” includes any of the following: 
“(A) The unlicensed establishment distributes or attempts to distribute 
cannabis or a cannabis product to one or more persons under the age of 21. 
“(B) Once a testing laboratory has been licensed under this act, the 
unlicensed establishment distributes or attempts to distribute cannabis or a cannabis product 
untested by a testing laboratory licensed under this act. 
“(C) The unlicensed establishment fails to comply with a cease and desist 
order.  
“(D) The unlicensed establishment engages in any activity or operation 
established as an imminent danger to the health or safety of the public by the Board by rule.  
“(E) The unlicensed establishment distributes or attempts to distribute 
Schedule I substances, or products that contain Schedule I substances, as enumerated in section 
204 of the District of Columbia Uniform Controlled Substances Act of 1981, effective August 5, 
1981 (D.C. Law 4-29; D.C. Official Code § 48-902.04). 
“(F) An employee, agent, or owner of the unlicensed establishment has 
unlawful firearms or weapons on the premises. 
“(G) A dangerous crime, as defined in D.C. Official Code § 23-1331(3), or 
a crime of violence, as defined in D.C. Official Code § 23-1331(4), was committed on the    	ENROLLED ORIGINAL 
 
 
 
 
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premises of the unlicensed establishment. 
“(3) ABCA shall provide the unlicensed establishment’s owner and the property 
owner with written notice of the summary closure and the right to request a hearing.  
“(4) The owner of the unlicensed establishment shall have 5 business days after 
service of the notice of summary closure to request a hearing with the Board, which shall hold a 
hearing within 5 business days of a timely request.” 
“(5) The Board shall issue a written decision within 5 business days after the 
hearing.”. 
(e) Section 13a (D.C. Official Code § 7-1671.12a (a)) is amended by striking the phrase 
“to the licensee.” and inserting the phrase “to the licensee or unlicensed establishment.” in its 
place. 
 
 Sec. 3. Section 2(c) of the Medical Cannabis Patient Card Extension and 4/20 Medical 
Cannabis Sales Tax Holiday Week Temporary Amendment Act of 2024, enacted on May 29, 
2024 (D.C. Act 25-481; 71 DCR 6749), is repealed. 
 
Sec. 4. Fiscal impact statement. 
The Council adopts the fiscal impact statement of the Budget Director as the fiscal impact 
statement required by section 4a of the General Legislative Procedures Act of 1975, approved 
October 16, 2006 (120 Stat. 2038; D.C. Official Code § 1-301.47a).  
 
Sec. 5. Effective date.  
(a) This act shall take effect following approval by the Mayor (or in the event of veto by 
the Mayor, action by the Council to override the veto) and a 30-day period of congressional 
review as provided in section 602(c)(1) of the District of Columbia Home Rule Act, approved 
December 24, 1973 (87 Stat. 813; D.C. Official Code § 1-206.02(c)(1)).  
(b) This act shall expire after 225 days of its having taken effect. 
 
 
 
___________________________ 
Chairman 
Council of the District of Columbia 
 
 
 
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Mayor 
District of Columbia