1 of 1 HOUSE DOCKET, NO. 2544 FILED ON: 1/16/2025 HOUSE . . . . . . . . . . . . . . . No. 171 The Commonwealth of Massachusetts _________________ PRESENTED BY: Dawne Shand _________________ To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General Court assembled: The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill: An Act to modernize the cannabis regulatory environment. _______________ PETITION OF: NAME:DISTRICT/ADDRESS :DATE ADDED:Dawne Shand1st Essex1/16/2025 1 of 8 HOUSE DOCKET, NO. 2544 FILED ON: 1/16/2025 HOUSE . . . . . . . . . . . . . . . No. 171 By Representative Shand of Newburyport, a petition (accompanied by bill, House, No. 171) of Dawne Shand relative to the cannabis regulatory environment. Cannabis Policy. The Commonwealth of Massachusetts _______________ In the One Hundred and Ninety-Fourth General Court (2025-2026) _______________ An Act to modernize the cannabis regulatory environment. Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows: 1 SECTION 1. Section 1 of chapter 94G of the General Laws, as so appearing, is hereby 2amended by inserting before the definition of “Cannabinoid” the following definition:- 3 “Agent registration card”, the identification card currently and validly issued by the 4 commission to a marijuana establishment or laboratory employee or agent, but not to a 5licensee, which shall entitle the holder to perform services marijuana establishments or 6laboratories. 7 SECTION 2. Section 1 of chapter 94G of the General Laws, as so appearing, is hereby 8amended by inserting after the definition of “Mycotoxin” the following definitions:- 9 “Owner”, any person or entity owning directly or indirectly through parent or holding 10company, or otherwise, 10 percent or more of the interest in a licensee, 2 of 8 11 “Person or Entity Having Direct Control”, any person or entity having direct control over 12the operations of a marijuana establishment, which satisfies one or more of the following criteria: 13 (a) An owner; 14 (b) A person or entity that possesses a voting interest of 10 percent or greater in a 15marijuana establishment; 16 (c) A close associate; 17 (d) A person or entity that has the right to control or authority, through contract or 18otherwise including, but not limited to: (1) To appoint more than 50% of the directors or their 19equivalent; (2) To appoint or remove corporate-level officers or their equivalent; or (3) To earn 2010 percent or more of the profits or collect more than 10 percent of the dividends. 21 (e) A court appointee or assignee pursuant to an agreement for a general assignment or 22assignment for the benefit of creditors; or 23 (f) A third-party technology platform provider that possesses any financial interest in a 24marijuana delivery licensee including, but not limited to, a delivery agreement or other 25agreement for services. 26 “Person or Entity Having Indirect Control”, any person or entity having indirect control 27over operations of a marijuana establishment. It specifically includes any person or entity having 28direct control over an indirect holding or parent company of the applicant, and the chief 29executive officer and executive director of those companies, or any person or entity in a position 30indirectly to control the decision-making of a marijuana establishment. 3 of 8 31 SECTION 3. Section 4 of chapter 94G subsection (a1/2)(xxix), as so appearing, is hereby 32amended by inserting in subsection (a1/2)(xxix)(6) after the word “marijuana” the following 33words:- 34 ;provided that the commission shall not prohibit advertising, marketing and branding of 35sales, discounts, and customer loyalty programs within a Marijuana Establishment, through a 36Delivery service, on an internet website maintained by a Marijuana Establishment, or through an 37opt-in email marketing campaign; 38 SECTION 4. Section 7 of chapter 94G, as so appearing, is hereby amended by striking 39paragraph 1 of subsection (a) and inserting in place thereof the following words:- 40 (1) possessing, using, purchasing, processing and/or manufacturing not more than 3 41ounces or less of marijuana, except that not more than 15 grams of marijuana may be in the form 42of marijuana concentrate and not more than 1.5 grams of Tetrahydrocannabinol (THC) may be 43contained in a single or multiple edible, beverage or other ingestible products. 44 SECTION 5. Section 12 of chapter 94G, as so appearing, is hereby amended by inserting 45the following subsection:- 46 (i)(1) Any employee, agent, volunteer or other person must register with the commission 47prior to engaging in any on-site services to a marijuana establishment or independent testing 48laboratory. The commission shall issue a single agent registration card to an individual, which 49agent registration card shall entitle the holder to provide such services at one or more marijuana 50establishments or independent testing laboratories. An agent registration card shall be valid for 51six years from the date of issuance. An agent shall be required to sign and submit a self- 52attestation form to the commission every 2 years from the date of issuance to verify the agent’s 4 of 8 53compliance with all agent registration card requirements. A licensee shall verify the validity of 54the agent registration cards. 55 (2) The commission shall not require a fee for agent registration card requests made by 56any social equity program participants and/or verified employee(s) of any social equity 57businesses. 58 SECTION 6. Section 15 of chapter 94G, as so appearing, is hereby amended by inserting 59in the first sentence of subsection (a) paragraph (1) after the word “resources” the following 60words:- 61 ;provided that the maximum batch size required by the Commission shall not be smaller 62than 40 pounds. 63 SECTION 7. Section 15 of chapter 94G, as so appearing, is hereby amended by inserting 64in the last sentence of subsection (a) paragraph (1) after the word “ingredients.” the following 65words:- 66 The commission, in collaboration with Independent Testing Labs and Marijuana 67Establishments, shall review such regulations and testing protocols, including, but not limited to, 68its testing batch size requirements, residual and pesticide limits, and “Total Viable Aerobic 69Bacteria (CFU/g)” and “Total Yeast and Mold (CFU/g)” tests, on an annual basis to ensure 70compliance with the most recent industry standards, research, data, and typical microbial 71composition in an outdoor grow in New England using best cultivation practices. The 72commission shall report its findings and plans to update such regulations and testing protocols to 73the relevant appointing authorities and the state legislature on a bi-annual basis. 5 of 8 74 SECTION 8. Section 15 of chapter 94G, as so appearing, is hereby amended by inserting 75in the first sentence of subsection (a) paragraph (1) after the word “ingredients.” the following 76words:- 77 “The commission shall not require testing of environmental media (e.g. soils, solid 78growing media, and water) beyond finished marijuana and marijuana product testing.” 79 SECTION 9. Section 16 of chapter 94G of the General Laws is hereby amended by 80striking out the existing language in its entirety and inserting in place thereof the following 81section:- 82 Section 16. (a) No Person or Entity having Direct or Indirect Control may become a 83licensee or Person or Entity having Direct or Indirect Control of more than 6 marijuana retailers, 843 medical marijuana treatment center licenses, 3 marijuana product manufacturer licenses and 3 85marijuana cultivator licenses; provided however that any licensee or any person or entity having 86direct or indirect control may become a person or entity having direct or indirect control of up to 874 additional marijuana retailer licenses or medical marijuana treatment center licenses if (i) such 88marijuana retailer licenses are majority owned by a social equity business, economic 89empowerment business, a Massachusetts Minority Business Enterprises (MBE), Women 90Business Enterprises (WBE), or Veteran Business Enterprises (VBE) with valid certification 91from the Supplier Diversity Office of the Massachusetts Operational Services Division as a 92Disadvantaged Business Enterprise (DBE); and (ii) such person or entity owns directly or 93indirectly through a parent or holding company, trust, or otherwise, no more than 35 percent of 94the interest of the business; provided however that until 1-year from the passage of this Act, no 95Person or Entity having Direct or Indirect Control may become a Person or Entity having Direct 6 of 8 96or Indirect Control of more than 4 marijuana retailers, and until 2-years from the passage of this 97Act, no Person or Entity having Direct or Indirect Control may become a Person or Entity having 98Direct or Indirect Control of more than 5 marijuana retailers. 99 (b) The commission shall adopt regulations to establish requirements that a Person or 100Entity seeking to have Direct or Indirect Control of more than 3 marijuana retailers must 101purchase a marijuana establishment or medical marijuana treatment center license authorized to 102commence operations by the commission; provided that priority consideration is given to the 103purchase of such marijuana retailer licenses that are majority owned by a social equity business, 104economic empowerment business, a Massachusetts Minority Business Enterprises (MBE), 105Women Business Enterprises (WBE), or Veteran Business Enterprises (VBE) with valid 106certification from the Supplier Diversity Office of the Massachusetts Operational Services 107Division. 108 SECTION 10. Chapter 94G of the Massachusetts General Laws shall be amended by 109adding after Section 22, the following section: 110 Section 23. 111 (a) The Commission shall collect, compile, and make available to the public on its Open 112Data Platform, the following data from independent testing laboratories as defined in Section 15 113of this Chapter: 114 Industry average for, 115 1) Failure rates for Pesticides 116 2) Failure rates for Heavy metals 7 of 8 117 3) Failure rates for Microbiological contaminants 118 4) Failure rates for Residual solvents 119 5) Failure rates for Mycotoxins 120 6) Total THC for flower 121 7) Total THC for Marijuana Vaporizer Devices 122 8) Total THC for concentrates 123 Per licensed Independent Testing Laboratory, their average for 124 1) Failure rates for Pesticides 125 2) Failure rates for Heavy metals 126 3) Failure rates for Microbiological contaminants 127 4) Failure rates for Residual solvents 128 5) Failure rates for Mycotoxins 129 6) Total THC for flower 130 7) Total THC for Marijuana Vaporizer Devices 131 8) Total THC for concentrates 132 (b)The initial data report shall include all prior Independent Testing Laboratory data 133submitted to the Commission. The initial report shall be published per Independent Testing 8 of 8 134Laboratory per quarter inclusive of reports. Subsequent data reports shall be updated and 135published on a quarterly basis detailing information from the preceding quarter. 136 (c)The Commission shall investigate and publicly report the reason for the discrepancy 137for individual Independent Testing Laboratories that are statistically significant outliers in terms 138of their testing results. 139 (d)The Commission shall promulgate regulations in accordance with this section no later 140than one year after the effective date of this act. 141 SECTION 11. Section 34 of Chapter 94C of the General Laws, as appearing in the 2022 142Official Edition, is hereby amended by striking the words “one ounce of marihuana” in line 18 143and inserting in place thereof the following words:- “three ounces of marijuana”. 144 SECTION 12. The commission shall promulgate or amend regulations as necessary to be 145consistent with Section 1-11 not later than 365 days from the effective date of this act.