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F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
A bill to be entitled 1
An act relating to applicants for licensure as a 2
medical marijuana treatment center; amending s. 3
381.986, F.S.; authorizing a joint venture partner of 4
specified applicants to be licensed as a medical 5
marijuana treatment center and receive maximum points 6
for its diversity plan; requiring the Department of 7
Health to license specified applicants that are 8
recognized class members of specified class actions; 9
providing that the rights of such recognized class 10
members inures to its successors or assignees; 11
authorizing an applicant for licensure as a medical 12
marijuana treatment center to demonstrate that such 13
applicant has maintained a bona fide business in the 14
agriculture industry for a certain amount of time 15
before submitting the application; revising diversity 16
plan requirements for applicants; providing an 17
effective date. 18
19
Be It Enacted by the Legislature of the State of Florida: 20
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Section 1. Paragraphs (a) and (b ) of subsection (8) of 22
section 381.986, Florida Statutes, are amended to read: 23
381.986 Medical use of marijuana. — 24
(8) MEDICAL MARIJUANA TREATMENT CENTERS. — 25
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(a) The department shall license medical marijuana 26
treatment centers to ensure reasonable stat ewide accessibility 27
and availability as necessary for qualified patients registered 28
in the medical marijuana use registry and who are issued a 29
physician certification under this section. 30
1. As soon as practicable, but no later than July 3, 2017, 31
the department shall license as a medical marijuana treatment 32
center any entity that holds an active, unrestricted license to 33
cultivate, process, transport, and dispense low -THC cannabis, 34
medical cannabis, and cannabis delivery devices, under former s. 35
381.986, Florida Statutes 2016, before July 1, 2017, and which 36
meets the requirements of this section. In addition to the 37
authority granted under this section, these entities are 38
authorized to dispense low -THC cannabis, medical cannabis, and 39
cannabis delivery devices ordered pursuant to former s. 381.986, 40
Florida Statutes 2016, which were entered into the compassionate 41
use registry before July 1, 2017, and are authorized to begin 42
dispensing marijuana under this section on July 3, 2017. The 43
department may grant varianc es from the representations made in 44
such an entity's original application for approval under former 45
s. 381.986, Florida Statutes 2014, pursuant to paragraph (e). 46
2. The department shall license as medical marijuana 47
treatment centers 10 applicants that me et the requirements of 48
this section, under the following parameters: 49
a. As soon as practicable, but no later than August 1, 50
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2017, the department shall license any applicant whose 51
application was reviewed, evaluated, and scored by the 52
department and which was denied a dispensing organization 53
license by the department under former s. 381.986, Florida 54
Statutes 2014; which had one or more administrative or judicial 55
challenges pending as of January 1, 2017, or had a final ranking 56
within one point of the highes t final ranking in its region 57
under former s. 381.986, Florida Statutes 2014; which meets the 58
requirements of this section; and which provides documentation 59
to the department that it has the existing infrastructure and 60
technical and technological ability t o begin cultivating 61
marijuana within 30 days after registration as a medical 62
marijuana treatment center. 63
b. As soon as practicable, the department shall license 64
one applicant that is a recognized class member of Pigford v. 65
Glickman, 185 F.R.D. 82 (D.D.C. 1999), or In Re Black Farmers 66
Litig., 856 F. Supp. 2d 1 (D.D.C. 2011). An applicant licensed 67
under this sub-subparagraph is exempt from the requirement of 68
subparagraph (b)2. An applicant or a joint venture partner of 69
such applicant that applies for licens ure under this sub-70
subparagraph, pays its initial application fee, is determined by 71
the department through the application process to qualify as a 72
recognized class member, and is not awarded a license under this 73
sub-subparagraph may transfer its initial ap plication fee to one 74
subsequent opportunity to apply for licensure under subparagraph 75
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4. and receive the maximum consideration for its diversity plan 76
as described in subparagraph (b)10. 77
c. As soon as practicable, but no later than August 1, 78
2023, the department shall license any applicant that is a 79
recognized class member of Pigford v. Glickman, 185 F.R.D. 82 80
(D.D.C. 1999) or In Re Black Farmers Litig., 856 F. Supp. 2d 1 81
(D.D.C. 2011) whose application was reviewed, evaluated, and 82
scored by the department and was denied a dispensing 83
organization license by the department under former s. 381.986, 84
Florida Statutes 2014; had one or more administrative or 85
judicial challenges pending as of October 11, 2022, or had a 86
final ranking within one point of the highest final ranking in 87
its region under former s. 381.986, Florida Statutes 2014; meets 88
the requirements of this section; provides documentation to the 89
department that he or she is a recognized class member of 90
Pigford v. Glickman, 185 F.R.D. 82 (D.D.C. 1999) or In Re Black 91
Farmers Litig., 856 F. Supp. 2d 1 (D.D.C. 2011) at the time of 92
the application; and provides documentation to the department 93
that it has the existing infrastructure and technical and 94
technological ability to begin cultivating marijuana within 30 95
days after registration as a medical marijuana treatment center. 96
The rights of the recognized class member under this sub -97
subparagraph inures to its successors or assignees. 98
d.c. As soon as practicable, but no later than October 3, 99
2017, the department shall license applicants that meet the 100
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requirements of this section in sufficient numbers to result in 101
10 total licenses issued under this subparagraph, while 102
accounting for the number of licenses issued under sub -103
subparagraphs a. and b. 104
3. For up to two of the licenses issued under subparagraph 105
2., the department shall give preference to applicants that 106
demonstrate in the their applications ownership of that they own 107
one or more facilities that are, or were, used for the canning, 108
concentrating, or othe rwise processing of citrus fruit or citrus 109
molasses and that will be used use or converted convert the 110
facility or facilities for the processing of marijuana. 111
4. Within 6 months after the registration of 100,000 112
active qualified patients in the medical m arijuana use registry, 113
the department shall license four additional medical marijuana 114
treatment centers that meet the requirements of this section. 115
Thereafter, the department shall license four medical marijuana 116
treatment centers within 6 months after the registration of each 117
additional 100,000 active qualified patients in the medical 118
marijuana use registry that meet the requirements of this 119
section. 120
(b) An applicant for licensure as a medical marijuana 121
treatment center shall apply to the department on a form 122
prescribed by the department and adopted in rule. The department 123
shall adopt rules pursuant to ss. 120.536(1) and 120.54 124
establishing a procedure for the issuance and biennial renewal 125
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of licenses, including initial application and biennial renewal 126
fees sufficient to cover the costs of implementing and 127
administering this section, and establishing supplemental 128
licensure fees for payment beginning May 1, 2018, sufficient to 129
cover the costs of administering ss. 381.989 and 1004.4351. The 130
department shall identify applicants with strong diversity plans 131
reflecting this state's commitment to diversity and implement 132
training programs and other educational programs to enable 133
minority persons and minority business enterprises, as defined 134
in s. 288.703, and vetera n business enterprises, as defined in 135
s. 295.187, to compete for medical marijuana treatment center 136
licensure and contracts. Subject to the requirements in 137
subparagraphs (a)2.-4., the department shall issue a license to 138
an applicant if the applicant meets the requirements of this 139
section and pays the initial application fee. The department 140
shall renew the licensure of a medical marijuana treatment 141
center biennially if the licensee meets the requirements of this 142
section and pays the biennial renewal fee. How ever, the 143
department may not renew the license of a medical marijuana 144
treatment center that has not begun to cultivate, process, and 145
dispense marijuana by the date that the medical marijuana 146
treatment center is required to renew its license. An individual 147
may not be an applicant, owner, officer, board member, or 148
manager on more than one application for licensure as a medical 149
marijuana treatment center. An individual or entity may not be 150
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awarded more than one license as a medical marijuana treatment 151
center. An applicant for licensure as a medical marijuana 152
treatment center must demonstrate: 153
1. That, for the 5 consecutive years before submitting the 154
application, the applicant has been registered to do business in 155
the state or has maintained a bona fide business in the 156
agriculture industry in the state . 157
2. Possession of a valid certificate of registration 158
issued by the Department of Agriculture and Consumer Services 159
pursuant to s. 581.131. 160
3. The technical and technological ability to cultivate 161
and produce marijuana, including, but not limited to, low -THC 162
cannabis. 163
4. The ability to secure the premises, resources, and 164
personnel necessary to operate as a medical marijuana treatment 165
center. 166
5. The ability to maintain accountability of all raw 167
materials, finished products, and any byproducts to prevent 168
diversion or unlawful access to or possession of these 169
substances. 170
6. An infrastructure reasonably located to dispense 171
marijuana to registered qualified patients statewide or 172
regionally as determined b y the department. 173
7. The financial ability to maintain operations for the 174
duration of the 2-year approval cycle, including the provision 175
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of certified financial statements to the department. 176
a. Upon approval, the applicant must post a $5 million 177
performance bond issued by an authorized surety insurance 178
company rated in one of the three highest rating categories by a 179
nationally recognized rating service. However, a medical 180
marijuana treatment center serving at least 1,000 qualified 181
patients is only requir ed to maintain a $2 million performance 182
bond. 183
b. In lieu of the performance bond required under sub -184
subparagraph a., the applicant may provide an irrevocable letter 185
of credit payable to the department or provide cash to the 186
department. If provided with c ash under this sub-subparagraph, 187
the department shall deposit the cash in the Grants and 188
Donations Trust Fund within the Department of Health, subject to 189
the same conditions as the bond regarding requirements for the 190
applicant to forfeit ownership of the f unds. If the funds 191
deposited under this sub -subparagraph generate interest, the 192
amount of that interest shall be used by the department for the 193
administration of this section. 194
8. That all owners, officers, board members, and managers 195
have passed a backgr ound screening pursuant to subsection (9). 196
9. The employment of a medical director to supervise the 197
activities of the medical marijuana treatment center. 198
10. A diversity plan that promotes and ensures the 199
involvement of minority persons and minority bu siness 200
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enterprises, as defined in s. 288.703, or veteran business 201
enterprises, as defined in s. 295.187, in ownership, management, 202
and employment. Any applicant that is a recognized class member 203
of Pigford v. Glickman, 185 F.R.D. 82 (D.D.C. 1999) or In Re 204
Black Farmers Litig., 856 F. Supp. 2d 1 (D.D.C. 2011) satisfies 205
the diversity plan requirement and shall receive the maximum 206
consideration on the application for administration of this 207
section. Any applicant that applies as a joint venture partner 208
with a recognized class member shall also receive the maximum 209
consideration on the application for administration of this 210
section. An applicant for licensure renewal must show the 211
effectiveness of the diversity plan by including the following 212
with his or her appli cation for renewal: 213
a. Representation of minority persons and veterans in the 214
medical marijuana treatment center's workforce; 215
b. Efforts to recruit minority persons and veterans for 216
employment; and 217
c. A record of contracts for services with minority 218
business enterprises and veteran business enterprises. 219
Section 2. This act shall take effect July 1, 2023. 220