23 LC 28 0560 H. B. 196 - 1 - House Bill 196 By: Representatives Powell of the 33 rd , Washburn of the 144 th , Wilkerson of the 38 th , Daniel of the 117 th , McCollum of the 30 th , and others A BILL TO BE ENTITLED AN ACT To amend Article 9 of Chapter 12 of Title 16 of the Official Code of Georgia Annotated, 1 relating to access to medical cannabis, so as to provide that the Georgia Access to Medical2 Cannabis Commission shall be subject to the Administrative Procedure Act and laws3 governing open meetings and open records; to provide for exceptions; to provide for4 legislative oversight; to authorize the location of retail outlets for the dispensing of low THC5 oil and products to registered patients at Class 1 and Class 2 production facilities; to6 authorize the dispensing of low THC oil and products from any Class 1 or Class 2 production7 licensee by any dispensing licensee; to provide for additional Class 1 and Class 2 production8 licenses; to provide for criteria; to amend Code Section 31-2A-18 of the Official Code of9 Georgia Annotated, relating to the Low THC Oil Patient Registry, so as to add ulcerative10 colitis as a condition for which low THC oil may be used for treatment; to provide for related11 matters; to repeal conflicting laws; and for other purposes.12 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:13 SECTION 1.14 Article 9 of Chapter 12 of Title 16 of the Official Code of Georgia Annotated, relating to15 access to medical cannabis, is amended by revising Code Section 16-12-202, relating to the16 23 LC 28 0560 H. B. 196 - 2 - creation of Georgia Access to Medical Cannabis Commission, terms, designation, meetings, 17 vacancy, and compensation, by adding a new subsection to read as follows:18 "(f) The commission shall be subject to the provisions of Chapters 13 and 14 of Title 50 19 and, except as otherwise specifically provided in this article, the provisions of Article 4 of20 Chapter 18 of Title 50."21 SECTION 2.22 Said article is further amended by revising Code Section 16-12-206, relating to annual,23 nontransferable dispensing license, adoption of rules, and fees, as follows:24 "16-12-206.25 (a)(1) Upon request by a licensed pharmacy in this state, the State Board of Pharmacy26 shall be authorized to develop an annual, nontransferable specialty dispensing license for27 an independent pharmacy with a registered office located within this state to dispense low28 THC oil and products to registered patients. The State Board of Pharmacy shall develop29 rules and regulations regarding dispensing pharmacies in this state in accordance with the30 requirements contained in subsection (b) of this Code section.31 (2) The commission shall be authorized to issue five dispensing licenses to each Class32 1 production licensee and each Class 2 production licensee for retail outlets to dispense33 low THC oil and products to registered patients. In addition, the commission shall be34 authorized to issue a dispensing license for a retail outlet to each Class 1 production35 licensee and each Class 2 production licensee for the purpose of establishing a retail36 outlet for the dispensing of low THC oil and products to registered patients at the location37 of the Class 1 production licensee's production facility or at the location of the Class 238 production licensee's production facility. The commission shall ensure that dispensing39 licenses shall be issued so that retail outlets are dispersed throughout the state. The40 commission shall develop rules and regulations regarding retail dispensing licensees in41 this state in accordance with the requirements contained in subsection (b) of this Code42 23 LC 28 0560 H. B. 196 - 3 - section. The commission shall be authorized to issue one additional dispensing license 43 to each Class 1 and Class 2 production licensee when the Low THC Oil Patient Registry44 established and maintained pursuant to Code Section 31-2A-18 reaches 25,000 patients45 and for every increase of 10,000 patients thereafter.46 (b) The State Board of Pharmacy and the commission shall separately adopt rules relating47 to the dispensing of low THC oil and products, with the State Board of Pharmacy48 promulgating rules and regulations for pharmacies that dispense low THC oil and products49 and the commission promulgating rules and regulations for other retail outlets that dispense50 low THC oil and products. Such rules shall include but not be limited to:51 (1) Standards, procedures, and protocols for the effective use of low THC oil and52 products as authorized by state law and related rules and regulations;53 (2) Standards, procedures, and protocols for the dispensing of low THC oil and products54 by a pharmacy with a dispensing license and by retail dispensing licensees and for the55 utilization of a tracking system;56 (3) Procedures and protocols to provide that no low THC oil or products may be sold to57 or transferred to a location outside of this state;58 (4) The establishment of standards, procedures, and protocols for determining the59 amount of usable low THC oil and products that is necessary to constitute an adequate60 supply for registered patients in this state to ensure uninterrupted availability for a period61 of one month, including amounts for topical treatments;62 (5) The establishment of standards, procedures, and protocols to ensure that all low THC63 oil and products dispensed are consistently pharmaceutical grade;64 (6) The establishment of standards and procedures for the revocation, suspension, and65 nonrenewal of dispensing licenses;66 (7) The establishment of other licensing, renewal, and operational standards which are67 deemed necessary by the State Board of Pharmacy and the commission;68 23 LC 28 0560 H. B. 196 - 4 - (8) The establishment of standards and procedures for testing low THC oil and products 69 for levels of tetrahydrocannabinol or other testing parameters deemed appropriate by the70 State Board of Pharmacy and the commission;71 (9) The establishment of health, safety, and security requirements for pharmacies and72 retail dispensing licensees dispensing low THC oil and products; and73 (10) Requirements for the issuance of dispensing licenses to pharmacies and Class 1 and74 Class 2 production licensees.75 (c) The commission shall be authorized, by rules and regulations, to establish fees for76 dispensing licenses to Class 1 and Class 2 production licensees commensurate with the77 location of the retail outlet and demand for low THC oil and products at such location.78 (d) Each dispensing location shall be authorized to sell low THC oil and products from any 79 Class 1 or Class 2 production licensee in this state."80 SECTION 3.81 Said article is further amended by revising Code Section 16-12-207, relating to establishment82 of Medical Cannabis Commission Oversight Committee, membership, inspections, provision83 of information, plan for accredited lab testing, and patient and physician input, as follows:84 "16-12-207.85 (a) The There is created as a joint committee of the General Assembly shall establish a the86 Georgia Access to Medical Cannabis Commission Legislative Oversight Committee with87 two members appointed by the Lieutenant Governor and two members appointed by the88 Speaker of the House of Representatives to be composed of the members of the House89 Committee on Regulated Industries and the Senate Economic Development Committee.90 The chairpersons of such committees shall serve as cochairpersons of the legislative91 oversight committee. The oversight committee shall periodically inquire into and review92 the operations of the Georgia Access to Medical Cannabis Commission, as well as93 periodically review and evaluate the success with which the commission is accomplishing94 23 LC 28 0560 H. B. 196 - 5 - its statutory duties and functions as provided in this chapter. The oversight committee may95 conduct any independent audit or investigation of the commission that it deems necessary.96 Any member of the Georgia Access to Medical Cannabis Commission Legislative97 Oversight Committee shall be permitted to inspect any production facility upon request and98 after reasonable notice is provided to the production facility.99 (b) The commission shall promptly provide any document or information requested by the100 legislative oversight committee that is in its possession, provided that the commission shall101 not share documents containing data identifying individual patients or physicians,102 information marked as trade secrets by applicants or licensees, information that in the view103 of the commission would interfere with an ongoing licensing applicant selection process,104 or information that in the judgment of the commission would create law enforcement or105 security risks to the citizens of Georgia.106 (c) No later than August 1, 2021, the oversight committee shall recommend to the107 commission a process and plan for providing accredited lab testing of products produced108 by licensees and for labeling such products. The commission shall consider the109 recommendations of the oversight committee in adopting policies, procedures, and110 regulations regarding such testing and labeling Reserved.111 (d) The legislative oversight committee may regularly seek input from patients and112 physicians as to the availability and quality of products produced pursuant to this chapter,113 and recommend to the commission changes to policies, procedures, and regulations to114 improve availability and quality. The commission shall consider such recommendations115 in adopting policies, procedures, and regulations."116 SECTION 4.117 Said article is further amended by revising subsection (a) of Code Section 16-12-211, relating118 to Class 1 production licenses, application fees, revocation, and limitation of ownership, as119 follows:120 23 LC 28 0560 H. B. 196 - 6 - "(a) The commission may issue up to two six Class 1 production licenses, provided that121 the total number of Class 1 and Class 2 production licenses shall not exceed 13 production122 licenses. A Class 1 production licensee shall be authorized to:123 (1) Grow cannabis only in indoor facilities for use in producing low THC oil, limited to124 100,000 square feet of cultivation space; and125 (2) Manufacture low THC oil and products."126 SECTION 5.127 Said article is further amended by revising subsection (a) of Code Section 16-12-212, relating128 to Class 2 production licenses, application fees, revocation, and limitation of ownership, as129 follows:130 "(a) The commission may issue up to four nine Class 2 production licenses, provided that131 the total number of Class 1 and Class 2 production licenses shall not exceed 13 production132 licenses. A Class 2 production licensee shall be authorized to:133 (1) Grow cannabis only in indoor facilities for use in producing low THC oil, limited to134 50,000 square feet of cultivation space; and135 (2) Manufacture low THC oil and products."136 SECTION 6.137 Said article is further amended by revising subsection (a) of Code Section 16-12-221, relating138 to contracts awarded through bids or proposals, minimum contract terms and renewals,139 subcontracting, and giving or receiving things of value limited, by designating the existing140 text as paragraph (1) and adding a new paragraph as follows:141 "(2) No later than July 31, 2023, the commission shall award up to four additional142 Class 1 production licenses and up to five additional Class 2 production licenses. Such143 licenses shall be awarded to the apparent successful applicants identified in the144 commission's notices of intent to award, dated July 24, 2021, pursuant to its competitive145 23 LC 28 0560 H. B. 196 - 7 - application request for proposals for Class 1 and Class 2 production licenses, and shall146 be awarded to those applicants that filed post-award protests to such notices of intent to147 award who have appealed the decisions regarding such protests. A person that filed a148 post-award protest which is on appeal who had applied for both a Class 1 and a Class 2149 production license pursuant to such notices of intent to award shall choose which class150 of license such person wants to receive. A person designated under this subsection shall151 be awarded or issued either a Class 1 or a Class 2 production license, but not both. The152 aggregate number of Class 1 and Class 2 production licenses awarded or issued shall not153 exceed six licenses."154 SECTION 7.155 Code Section 31-2A-18 of the Official Code of Georgia Annotated, relating to the Low THC156 Oil Patient Registry, is amended by revising paragraph (3) of subsection (a) as follows:157 "(3) 'Condition' means:158 (A) Cancer, when such disease is diagnosed as end stage or the treatment produces159 related wasting illness or recalcitrant nausea and vomiting;160 (B) Amyotrophic lateral sclerosis, when such disease is diagnosed as severe or end161 stage;162 (C) Seizure disorders related to a diagnosis of epilepsy or trauma related head injuries;163 (D) Multiple sclerosis, when such disease is diagnosed as severe or end stage;164 (E) Crohn's disease;165 (F) Mitochondrial disease;166 (G) Parkinson's disease, when such disease is diagnosed as severe or end stage;167 (H) Sickle cell disease, when such disease is diagnosed as severe or end stage;168 (I) Tourette's syndrome, when such syndrome is diagnosed as severe;169 23 LC 28 0560 H. B. 196 - 8 - (J) Autism spectrum disorder, when such disorder is diagnosed for a patient who is at 170 least 18 years of age, or severe autism, when diagnosed for a patient who is less than171 18 years of age;172 (K) Epidermolysis bullosa;173 (L) Alzheimer's disease, when such disease is diagnosed as severe or end stage;174 (M) Acquired immune deficiency syndrome, when such syndrome is diagnosed as175 severe or end stage;176 (N) Peripheral neuropathy, when such symptoms are diagnosed as severe or end stage;177 (O) Post-traumatic stress disorder resulting from direct exposure to or the witnessing178 of a trauma for a patient who is at least 18 years of age; or 179 (P) Intractable pain; or180 (Q) Ulcerative colitis."181 SECTION 8.182 All laws and parts of laws in conflict with this Act are repealed. 183