District Of Columbia 2023-2024 Regular Session

District Of Columbia Council Bill PR25-0625 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	ENROLLED ORIGINAL
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7		-	A RESOLUTION
	4	+	______________________________ 2
	5	+	Councilmember Kenyan R. McDuffie 3
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	10	+	A PROPOSED RESOLUTION 8
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	12	+	_________ 10
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	15	+	IN THE COUNCIL OF THE DISTRICT OF COLUMBIA 13
	16	+	14
	17	+	__________________ 15
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	20	+	To declare the existence of an emergency with respect to the need to amend the Legalization of 18
	21	+	Marijuana for Medical Treatment Initiative of 1999 to clarify which Advisory 19
	22	+	Neighborhood Commissions have standing to file a protest and allow the Alcoholic 20
	23	+	Beverage and Cannabis Board to extend the public comment period for up to 30-calendar 21
	24	+	days, to establish the requirement that all retailers be located more than 400 feet from 22
	25	+	each other, to clarify that cultivation center, retailer, and internet retailer licenses issued 23
	26	+	to unlicensed establishments count toward the overall 50% set aside requirement for 24
	27	+	social equity applicants, and to clarify the process for unlicensed establishments being 25
	28	+	issued a medical cannabis cultivation center, retailer, or internet retailer license. 26
	29	+	27
	30	+	RESOLVED, BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this 28
	31	+	resolution may be cited as the “Medical Cannabis License Clarification Emergency Declaration 29
	32	+	Resolution of 2024”. 30
	33	+	Sec. 2. (a) The Medical Cannabis Program Enforcement Emergency Amendment Act of 31
	34	+	2024, effective January 25, 2024 (D.C. Act 25-371) (“Act 25-371”), clarified that Advisory 32
	35	+	Neighborhood Commissions within 600 feet of where the establishment is or will be located can 33
	36	+	file a protest of an application filed by an unlicensed establishment during the statutory 90-34
	37	+	calendar day open application period. Act 25-371 also allowed the Alcoholic Beverage and 35
	38	+	Cannabis Board (“Board”) to extend the unlicensed establishment public comment period by an 36
	39	+	additional 30-calendar days. With the next open application period for retailer and internet 37 2
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9		-	25-428
	41	+	retailer social equity applicants beginning on March 1, 2024, it is necessary to apply this same 38
	42	+	protest standard and provide the Board the authority to extend the protest deadline to all 39
	43	+	cultivation center, manufacturer, retailer, and internet retailer applications. 40
	44	+	(b) The Medical Cannabis Amendment Act of 2022, effective March 22, 2023 (D.C. Law 41
	45	+	24-332; 70 DCR 4303) (“Act”) prohibits retailer applicants that apply during the unlicensed 42
	46	+	establishment 90-calendar day open application period from being located within 400 feet of 43
	47	+	each other. However, District law does not currently apply this 400-foot prohibition to retailer 44
	48	+	applications that are filed with the Alcoholic Beverage and Cannabis Administration (“ABCA”) 45
	49	+	during open application periods other than 90 calendar-day period for unlicensed establishments. 46
	50	+	To avoid issues of overconcentration in specific blocks or areas of the District it is imperative 47
	51	+	that all medical cannabis retailers be required to locate more than 400 feet from each other. 48
	52	+	(c) The Act requires that at least 50% of all new cultivation center, retailer, internet 49
	53	+	retailer, manufacturer, and courier licenses be set aside for social equity applicants. The 50
	54	+	emergency legislation clarifies that cultivation center, retailer, and internet retailer licenses 51
	55	+	issued to unlicensed establishments during the statutory 90 calendar-day open application period 52
	56	+	count toward the 50% set aside requirement for social equity applicants. 53
	57	+	(d) As noted above, the Act established a 90 calendar-day open application period for 54
	58	+	unlicensed establishments (“establishments”) to apply for cultivation center, retailer, and internet 55
	59	+	retailer licenses. 56
	60	+	(e) The open application period for unlicensed establishments began on November 1, 57
	61	+	2023, and ended on January 29, 2024. ABCA received 76 applications from unlicensed 58
	62	+	establishments, with 26 placarded thus far. 59 3
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11		-	IN THE COUNCIL OF THE DISTRICT OF COLUMBIA
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13		-	February 6, 2024
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16		-	To declare the existence of an emergency with respect to the need to amend the Legalization of
17		-	Marijuana for Medical Treatment Initiative of 1999 to provide a deadline date by which
18		-	existing cultivation centers and dispensaries must file their applications with ABCA for
19		-	additional medical cannabis facility licenses, to not allow a cultivation center to also hold
20		-	an internet retailer license, to provide that the 2 cultivation center registration applicants
21		-	that tied for second and received the same total score after submitting a medical cannabis
22		-	facility registration application to the Alcoholic Beverage Control Board between
23		-	November 29, 2021 and March 28, 2022, be awarded a cultivation center registration, to
24		-	provide that other cultivation center and dispensary registration applicants that scored
25		-	150 points or more after submitting a medical cannabis facility registration application to
26		-	the Alcoholic Beverage Control Board during the same open application period be
27		-	considered for a cultivation center or retailer registration, and to allow a cultivation center
28		-	and dispensary registration applicant that scored 150 points or more to change the
29		-	location of its facility without otherwise affecting the status of its application.
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31		-	RESOLVED, BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this
32		-	resolution may be cited as the “Medical Cannabis Clarification Supplemental Emergency
33		-	Declaration Resolution of 2024”.
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35		-	Sec. 2. (a) There existed an immediate need to provide a deadline date by which existing
36		-	cultivation centers and dispensaries must file their applications with ABCA for additional
37		-	medical cannabis facility licenses, increase medical cannabis product availability to prohibit a
38		-	cultivation center from also holding an internet retailer license, provide that the 2 cultivation
39		-	center registration applicants that submitted a medical cannabis facility registration application to
40		-	the Alcoholic Beverage Control Board (“ABC Board”) between November 29, 2021 and March
41		-	28, 2022 (“open application period”) that tied for second and received the same score be awarded
42		-	a cultivation center registration, and provide that other cultivation center and dispensary
43		-	registration applicants that scored 150 points or more after submitting a cultivation center or
44		-	dispensary application to the ABC Board during the same open application period to be
45		-	considered for a cultivation center or retailer registration. ENROLLED ORIGINAL
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51		-	(b) In April 2023, the Council enacted legislation to address the above-mentioned issues.
52		-	The temporary, the Medical Cannabis Clarification Supplemental Temporary Amendment Act of
53		-	2023, effective July 20, 2023 (D.C. Law 25-31; 70 DCR 7924) (“temporary act”), expires on
54		-	March 1, 2024.
55		-	(c) Comprehensive permanent legislation addressing these issues has been introduced but
56		-	must complete the legislative process.
57		-	(d) It is of vital importance that the provisions of the temporary act continue in effect
58		-	until the permanent legislation has become law.
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60		-	Sec. 3. The Council determines that the circumstances enumerated in section 2 constitute
61		-	emergency circumstances making it necessary that the Medical Cannabis Clarification
62		-	Supplemental Emergency Amendment Act of 2024 be adopted after a single reading.
63		-
64		-	Sec. 4. This resolution shall take effect immediately.
	64	+	(f) The Act requires the Board to notify successful establishments of license approval at 60
	65	+	least 15 days prior to the issuance of the license and to cease unlicensed activity immediately. 61
	66	+	(g) However, these cessations would impede the good faith and legitimate pathway to 62
	67	+	licensure that the Council intended with the unanimous passage of the Act if establishments are 63
	68	+	afforded no opportunity to transition into the regulated market. 64
	69	+	(h) Emergency legislation is necessary to allow ABCA to issue licenses by the later date 65
	70	+	of either September 30, 2024, or within 180 days of Board approval and require unlicensed 66
	71	+	activity to cease once an establishment’s license is issued by ABCA. This procedure would 67
	72	+	stagger the demand for supply at cultivation centers and set these establishments up for success. 68
	73	+	These changes would solely assist the establishments approved for licensure, while all other 69
	74	+	unlicensed activity would remain on track for enforcement. 70
	75	+	(i) Emergency legislation is also necessary to allow those establishments that choose to 71
	76	+	discontinue operations after Board approval and are not involved in unlicensed activity to request 72
	77	+	one additional 180-day period extension to allow the applicant to take steps to resume business 73
	78	+	operations at the applicant’s proposed location. This extension would only be granted if the 74
	79	+	applicant can demonstrate to the Alcoholic Beverage and Cannabis Board that it is making 75
	80	+	reasonable progress to resume business operations at the proposed location. 76
	81	+	(j) The Committee on Business and Economic Development is currently considering 77
	82	+	legislation to enact these changes on a permanent basis. 78
	83	+	Sec. 3. The Council determines that the circumstances enumerated in section 2 constitute 79
	84	+	emergency circumstances making it necessary that the Medical Cannabis License Clarification 80
	85	+	Emergency Amendment Act of 2024 be adopted after a single reading. 81
	86	+	Sec. 4. This resolution shall take effect immediately. 82