EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*sb0692*
SENATE BILL 692
E1, J1, Q4 2lr0987
By: Senator Carter
Introduced and read first time: February 4, 2022
Assigned to: Finance and Budget and Taxation
A BILL ENTITLED
AN ACT concerning 1
Cannabis – Legalization and Regulation 2
(Cannabis Legalization and Reparations for the War on Drugs Act) 3
FOR the purpose of legalizing the use and possession of a certain amount of cannabis by an 4
individual who is at least a certain age; providing for the clearing of criminal records 5
and disposition of certain charges relating to the use and possession of cannabis; 6
establishing a system for the regulation and taxation of the market for the 7
production and sale of cannabis in the State; and generally relating to cannabis. 8
BY repealing and reenacting, without amendments, 9
Article – Criminal Law 10
Section 5–101(a) 11
Annotated Code of Maryland 12
(2021 Replacement Volume and 2021 Supplement) 13
BY adding to 14
Article – Criminal Law 15
Section 5–101(e–1) and (t), 5–601.2, 5–607.1, and 5–629 16
Annotated Code of Maryland 17
(2021 Replacement Volume and 2021 Supplement) 18
BY repealing and reenacting, with amendments, 19
Article – Criminal Law 20
Section 5–101(p), (s), and (t), 5–601(a), (c), and (d), 5–601.1, 5–602, 5–607, 5–612, 21
5–614, 5–619(c), 5–620, 10–113, 10–116, and 10–117 22
Annotated Code of Maryland 23
(2021 Replacement Volume and 2021 Supplement) 24
BY repealing 25
Article – Criminal Law 26
Section 5–101(r) 27 2 SENATE BILL 692
Annotated Code of Maryland 1
(2021 Replacement Volume and 2021 Supplement) 2
BY adding to 3
Article – Criminal Procedure 4
Section 1–211, 8–303, and 10–105.3 5
Annotated Code of Maryland 6
(2018 Replacement Volume and 2021 Supplement) 7
BY repealing and reenacting, with amendments, 8
Article – Economic Development 9
Section 5–1501 10
Annotated Code of Maryland 11
(2018 Replacement Volume and 2021 Supplement) 12
BY adding to 13
Article – Health – General 14
Section 23–101 through 23–702 to be under the new title “Title 23. Cannabis” 15
Annotated Code of Maryland 16
(2019 Replacement Volume and 2021 Supplement) 17
BY repealing and reenacting, without amendments, 18
Article – Health – General 19
Section 24–501(a), 24–504, and 24–508(a) 20
Annotated Code of Maryland 21
(2019 Replacement Volume and 2021 Supplement) 22
BY repealing and reenacting, with amendments, 23
Article – Health – General 24
Section 24–501(d) and (g), 24–502, 24–503, 24–507, and 24–510 25
Annotated Code of Maryland 26
(2019 Replacement Volume and 2021 Supplement) 27
BY adding to 28
Article – Tax – General 29
Section 12.5–101 through 12.5–104 to be under the new title “Title 12.5. Cannabis 30
Tax” 31
Annotated Code of Maryland 32
(2016 Replacement Volume and 2021 Supplement) 33
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 34
That the Laws of Maryland read as follows: 35
Article – Criminal Law 36
5–101. 37
SENATE BILL 692 3
(a) In this title the following words have the meanings indicated. 1
(E–1) (1) “CANNABIS” MEANS THE PLANT CANNABIS SATIVA L. AND ANY 2
PART OF THE PLANT , INCLUDING ALL DERIVA TIVES, EXTRACTS, CANNABINOIDS , 3
ISOMERS, ACIDS, SALTS, AND SALTS OF ISOMERS , WHETHER GROWING OR N OT, WITH 4
A DELTA–9–TETRAHYDROCANNABINOL CONCENTRATION GREATE R THAN 0.3% ON A 5
DRY WEIGHT BASIS . 6
(2) “CANNABIS” DOES NOT INCLUDE HEM P AS DEFINED IN § 14–101 7
OF THE AGRICULTURE ARTICLE. 8
(p) (1) “Drug paraphernalia” means equipment, a product, or material that is 9
used, intended for use, or designed for use, in: 10
(i) planting, propagating, cultivating, growing, harvesting, 11
manufacturing, compounding, converting, producing, processing, preparing, packaging, 12
repackaging, storing, containing, or concealing a controlled dangerous substance in 13
violation of this title; or 14
(ii) injecting, ingesting, inhaling, or otherwise introducing into the 15
human body a controlled dangerous substance in violation of this title. 16
(2) “Drug paraphernalia” includes: 17
(i) a kit used, intended for use, or designed for use in planting, 18
propagating, cultivating, growing, or harvesting any species of plant that is a controlled 19
dangerous substance OTHER THAN CANNABIS or from which a controlled dangerous 20
substance can be derived; 21
(ii) a kit used, intended for use, or designed for use in 22
manufacturing, compounding, converting, producing, processing, or preparing a controlled 23
dangerous substance OTHER THAN CANNABIS ; 24
(iii) an isomerization device used, intended for use, or designed for 25
use in increasing the potency of any species of plant that is a controlled dangerous 26
substance OTHER THAN CANNABIS ; 27
(iv) testing equipment used, intended for use, or designed for use in 28
analyzing the strength, effectiveness, or purity of a controlled dangerous substance OTHER 29
THAN CANNABIS ; 30
(v) a scale or balance used, intended for use, or designed for use in 31
weighing or measuring a controlled dangerous substance OTHER THAN CANNABIS ; 32
(vi) a diluent or adulterant, such as quinine hydrochloride, mannitol, 33
mannite, dextrose, or lactose, used, intended for use, or designed for use in cutting a 34 4 SENATE BILL 692
controlled dangerous substance OTHER THAN CANNABIS ; 1
(vii) a separation gin or sifter used, intended for use, or designed for 2
use in removing twigs and seeds from, or in otherwise cleaning or refining, [marijuana] A 3
CONTROLLED DANGEROUS SUBSTANCE OTHER THAN CANNABIS; 4
(viii) a blender, bowl, container, spoon, or mixing device used, 5
intended for use, or designed for use in compounding a controlled dangerous substance 6
OTHER THAN CANNABIS ; 7
(ix) a capsule, balloon, envelope, or other container used, intended 8
for use, or designed for use in packaging small quantities of a controlled dangerous 9
substance OTHER THAN CANNABIS ; 10
(x) a container or other object used, intended for use, or designed for 11
use in storing or concealing a controlled dangerous substance OTHER THAN CANNABIS ; 12
(xi) a hypodermic syringe, needle, or other object used, intended for 13
use, or designed for use in parenterally injecting a controlled dangerous substance into the 14
human body; and 15
(xii) an object used, intended for use, or designed for use in ingesting, 16
inhaling, or otherwise introducing [marijuana,] cocaine[, hashish, or hashish oil] into the 17
human body [such as: 18
1. a metal, wooden, acrylic, glass, stone, plastic, or ceramic 19
pipe with or without screen, permanent screen, hashish head, or punctured metal bowl; 20
2. a water pipe; 21
3. a carburetion tube or device; 22
4. a smoking or carburetion mask; 23
5. an object known as a roach clip used to hold burning 24
material, such as a marijuana cigarette that has become too small or too short to be held in 25
the hand; 26
6. a miniature spoon used for cocaine and cocaine vials; 27
7. a chamber pipe; 28
8. a carburetor pipe; 29
9. an electric pipe; 30
SENATE BILL 692 5
10. an air–driven pipe; 1
11. a chillum; 2
12. a bong; and 3
13. an ice pipe or chiller]. 4
(3) “DRUG PARAPHERNALIA ” DOES NOT INCLUDE CAN NABIS 5
ACCESSORIES AS DEFIN ED IN § 23–101 OF THE HEALTH – GENERAL ARTICLE. 6
[(r) (1) “Marijuana” means: 7
(i) all parts of any plant of the genus Cannabis, whether or not the 8
plant is growing; 9
(ii) the seeds of the plant; 10
(iii) the resin extracted from the plant; and 11
(iv) each compound, manufactured product, salt, derivative, mixture, 12
or preparation of the plant, its seeds, or its resin. 13
(2) “Marijuana” does not include: 14
(i) the mature stalks of the plant; 15
(ii) fiber produced from the mature stalks; 16
(iii) oil or cake made from the seeds of the plant; 17
(iv) except for resin, any other compound, manufactured product, 18
salt, derivative, mixture, or preparation of the mature stalks, fiber, oil, or cake; 19
(v) the sterilized seed of the plant that is incapable of germination; 20
or 21
(vi) hemp as defined in § 14–101 of the Agriculture Article.] 22
[(s)] (R) (1) “Narcotic drug” means a substance: 23
(i) that has been found to present an extreme danger to the health 24
and welfare of the community because of addiction–forming and addiction–sustaining 25
qualities; 26
(ii) that is: 27 6 SENATE BILL 692
1. an opiate; 1
2. a compound, manufactured substance, salt, derivative, or 2
preparation of opium, coca leaf, or an opiate; or 3
3. a substance and any compound, manufactured substance, 4
salt, derivative, or preparation that is chemically identical with a substance listed in items 5
1 and 2 of this item; and 6
(iii) that is produced: 7
1. directly or indirectly by extraction from substances of 8
vegetable origin; 9
2. independently by chemical synthesis; or 10
3. by a combination of extraction and chemical synthesis. 11
(2) “Narcotic drug” includes decocainized coca leaf or an extract of coca leaf 12
that does not contain cocaine or ecgonine. 13
[(t)] (S) “Noncontrolled substance” means a substance that is not classified as a 14
controlled dangerous substance under Subtitle 4 of this title. 15
(T) “PERSONAL USE AMOUNT ” MEANS: 16
(1) AN AMOUNT OF CANNABI S THAT DOES NOT EX CEED 4 OUNCES; 17
(2) AN AMOUNT OF CONCENT RATED CANNABIS THAT DOES NOT 18
EXCEED 24 GRAMS; OR 19
(3) SIX OR FEWER CANNABI S PLANTS. 20
5–601. 21
(a) Except as otherwise provided in this title, a person may not: 22
(1) possess or administer to another a controlled dangerous substance, 23
unless: 24
(I) obtained directly or by prescription or order from an authorized 25
provider acting in the course of professional practice; [or] 26
(II) THE CONTROLLED DANGE ROUS SUBSTANCE IS CA NNABIS, 27
THE INDIVIDUAL IS AT LEAST 21 YEARS OLD, AND THE AMOUNT POSSE SSED DOES 28 SENATE BILL 692 7
NOT EXCEED A PERSONA L USE AMOUNT ; OR 1
(III) THE CONTROLLED DANGE ROUS SUBSTANCE IS CA NNABIS 2
AND POSSESSION IS LE GAL UNDER TITLE 13, SUBTITLE 33 OR TITLE 23 OF THE 3
HEALTH – GENERAL ARTICLE; OR 4
(2) obtain or attempt to obtain a controlled dangerous substance, or 5
procure or attempt to procure the administration of a controlled dangerous substance by: 6
(i) fraud, deceit, misrepresentation, or subterfuge; 7
(ii) the counterfeiting or alteration of a prescription or a written 8
order; 9
(iii) the concealment of a material fact; 10
(iv) the use of a false name or address; 11
(v) falsely assuming the title of or representing to be a 12
manufacturer, distributor, or authorized provider; or 13
(vi) making, issuing, or presenting a false or counterfeit prescription 14
or written order. 15
(c) (1) Except as provided in paragraphs [(2), (3), and (4)] (2) AND (3) of this 16
subsection, a person who violates this section is guilty of a misdemeanor and on conviction 17
is subject to: 18
(i) for a first conviction, imprisonment not exceeding 1 year or a fine 19
not exceeding $5,000 or both; 20
(ii) for a second or third conviction, imprisonment not exceeding 18 21
months or a fine not exceeding $5,000 or both; or 22
(iii) for a fourth or subsequent conviction, imprisonment not 23
exceeding 2 years or a fine not exceeding $5,000 or both. 24
(2) [(i) Except as provided in subparagraph (ii) of this paragraph, a 25
person whose violation of this section involves the use or possession of marijuana is guilty 26
of a misdemeanor of possession of marijuana and is subject to imprisonment not exceeding 27
6 months or a fine not exceeding $1,000 or both.] 28
(I) 1. EXCEPT AS OTHERWISE P ROVIDED IN THIS TITL E, A 29
FINDING OF GUILT UND ER THIS SECTION INVO LVING THE USE OR POSSESSION OF AN 30
AMOUNT OF CANNABIS EXCEEDING THE PERSON AL USE AMOUNT IS A C IVIL OFFENSE 31
PUNISHABLE BY A FINE NOT EXCEEDING $150. 32 8 SENATE BILL 692
2. A PERSON WHO IS FOUND GUILTY OF A CIVIL OFFENSE 1
UNDER THIS SUBPARAGR APH MAY REQUEST , AND SHALL BE GRANTED , A PENALTY 2
OF UP TO 15 HOURS OF COMMUNITY S ERVICE IN LIEU OF A FINE. 3
(ii) 1. A [first] finding of guilt under this section involving the 4
use or possession of [less than 10 grams of marijuana] AN AMOUNT OF CANNABI S NOT 5
EXCEEDING THE PERSON AL USE AMOUNT BY AN INDIVIDUAL UNDER THE AGE OF 21 6
YEARS is a civil offense punishable by a fine not exceeding [$100] $50. 7
2. [A second finding of guilt under this section involving the 8
use or possession of less than 10 grams of marijuana is a civil offense punishable by a fine 9
not exceeding $250. 10
3. A third or subsequent finding of guilt under this section 11
involving the use or possession of less than 10 grams of marijuana is a civil offense 12
punishable by a fine not exceeding $500. 13
4. A. In addition to a fine, a] A court shall [order] 14
PROVIDE a person under the age of 21 years who commits a violation punishable under 15
subsubparagraph 1[, 2, or 3] of this subparagraph [to attend a drug education program 16
approved by the Maryland Department of Health, refer the person to an assessment for 17
substance abuse disorder, and refer the person to substance abuse treatment, if necessary] 18
WITH INFORMATION REL ATING TO CANNABIS US E DISORDER AND THE D ANGERS OF 19
UNDERAGE USE OF CANNABIS . 20
[B. In addition to a fine, a court shall order a person at least 21
21 years old who commits a violation punishable under subsubparagraph 3 of this 22
subparagraph to attend a drug education program approved by the Maryland Department 23
of Health, refer the person to an assessment for substance abuse disorder, and refer the 24
person to substance abuse treatment, if necessary. 25
C. A court that orders a person to a drug education program 26
or substance abuse assessment or treatment under this subsubparagraph may hold the 27
case sub curia pending receipt of proof of completion of the program, assessment, or 28
treatment.] 29
(3) (i) 1. In this paragraph the following words have the meanings 30
indicated. 31
2. “Bona fide physician–patient relationship” means a 32
relationship in which the physician has ongoing responsibility for the assessment, care, and 33
treatment of a patient’s medical condition. 34
3. “Caregiver” means an individual designated by a patient 35
with a debilitating medical condition to provide physical or medical assistance to the 36 SENATE BILL 692 9
patient, including assisting with the medical use of [marijuana] CANNABIS, who: 1
A. is a resident of the State; 2
B. is at least 21 years old; 3
C. is an immediate family member, a spouse, or a domestic 4
partner of the patient; 5
D. has not been convicted of a crime of violence as defined in 6
§ 14–101 of this article; 7
E. has not been convicted of a violation of a State or federal 8
controlled dangerous substances law; 9
F. has not been convicted of a crime of moral turpitude; 10
G. has been designated as caregiver by the patient in writing 11
that has been placed in the patient’s medical record prior to arrest; 12
H. is the only individual designated by the patient to serve as 13
caregiver; and 14
I. is not serving as caregiver for any other patient. 15
4. “Debilitating medical condition” means a chronic or 16
debilitating disease or medical condition or the treatment of a chronic or debilitating 17
disease or medical condition that produces one or more of the following, as documented by 18
a physician with whom the patient has a bona fide physician–patient relationship: 19
A. cachexia or wasting syndrome; 20
B. severe or chronic pain; 21
C. severe nausea; 22
D. seizures; 23
E. severe and persistent muscle spasms; or 24
F. any other condition that is severe and resistant to 25
conventional medicine. 26
(ii) 1. In a prosecution for the use or possession of [marijuana] 27
CANNABIS, the defendant may introduce and the court shall consider as a mitigating factor 28
any evidence of medical necessity. 29
10 SENATE BILL 692
2. Notwithstanding paragraph (2) of this subsection, if the 1
court finds that the person used or possessed [marijuana] CANNABIS because of medical 2
necessity, the court shall dismiss the charge. 3
(iii) 1. In a prosecution for the use or possession of [marijuana] 4
CANNABIS under this section, it is an affirmative defense that the defendant used or 5
possessed [marijuana] CANNABIS because: 6
A. the defendant has a debilitating medical condition that 7
has been diagnosed by a physician with whom the defendant has a bona fide 8
physician–patient relationship; 9
B. the debilitating medical condition is severe and resistant 10
to conventional medicine; and 11
C. [marijuana] CANNABIS is likely to provide the defendant 12
with therapeutic or palliative relief from the debilitating medical condition. 13
2. A. In a prosecution for the possession of [marijuana] 14
CANNABIS under this section, it is an affirmative defense that the defendant possessed 15
[marijuana] CANNABIS because the [marijuana] CANNABIS was intended for medical use 16
by an individual with a debilitating medical condition for whom the defendant is a 17
caregiver. 18
B. A defendant may not assert the affirmative defense under 19
this subsubparagraph unless the defendant notifies the State’s Attorney of the defendant’s 20
intention to assert the affirmative defense and provides the State’s Attorney with all 21
documentation in support of the affirmative defense in accordance with the rules of 22
discovery provided in Maryland Rules 4–262 and 4–263. 23
3. An affirmative defense under this subparagraph may not 24
be used if the defendant was: 25
A. [using marijuana in a public place or] assisting the 26
individual for whom the defendant is a caregiver in using the [marijuana] CANNABIS in a 27
public place; or 28
B. in possession of more than 1 ounce of [marijuana] 29
CANNABIS. 30
[(4) A violation of this section involving the smoking of marijuana in a 31
public place is a civil offense punishable by a fine not exceeding $500.] 32
(d) The provisions of subsection [(c)(2)(ii)] (C)(2) of this section making the 33
possession of [marijuana] CANNABIS a civil offense UNDER CERTAIN CIRCUM STANCES 34
AND THE PROVISIONS O F TITLE 23 OF THE HEALTH – GENERAL ARTICLE MAKING 35 SENATE BILL 692 11
THE POSSESSION OF CA NNABIS LEGA L FOR INDIVIDUALS AT LEAST 21 YEARS OLD 1
UNDER CERTAIN CIRCUM STANCES may not be construed to affect the laws relating to[: 2
(1)] operating a vehicle or vessel while under the influence of or while 3
impaired by a controlled dangerous substance[; or 4
(2) seizure and forfeiture]. 5
5–601.1. 6
(a) A police officer shall issue a citation to a person who the police officer has 7
probable cause to believe has committed a violation of § 5–601 of this part involving the use 8
or possession of [less than 10 grams of marijuana] MORE THAN THE PERSON AL USE 9
AMOUNT OF CANNABIS. 10
(b) (1) A violation of § 5–601 of this part involving the use or possession of [less 11
than 10 grams of marijuana] MORE THAN THE PERSON AL USE AMOUNT OF CANNABIS 12
is a civil offense. 13
(2) Adjudication of a violation under § 5–601 of this part involving the use 14
or possession of [less than 10 grams of marijuana] CANNABIS: 15
(i) is not a criminal conviction for any purpose; and 16
(ii) does not impose any of the civil disabilities that may result from 17
a criminal conviction. 18
(c) (1) A citation issued for a violation of § 5–601 of this part involving the use 19
or possession of [less than 10 grams of marijuana] CANNABIS shall be signed by the police 20
officer who issues the citation and shall contain: 21
(i) the name, address, and date of birth of the person charged; 22
(ii) the date and time that the violation occurred; 23
(iii) the location at which the violation occurred; 24
(iv) the fine OR AMOUNT OF COMMUNI TY SERVICE that may be 25
imposed; 26
(v) a notice stating that prepayment of the fine is allowed, except as 27
provided in paragraph (2) of this subsection; and 28
(vi) a notice in boldface type that states that the person shall: 29
1. pay the full amount of the preset fine; [or] 30 12 SENATE BILL 692
2. REQUEST COMMUNITY SERVICE IN LIEU OF THE FINE; 1
OR 2
3. request a trial date at the date, time, and place established 3
by the District Court by writ or trial notice. 4
(2) [(i)] If a citation for a violation of § 5–601 of this part involving the 5
use or possession of [less than 10 grams of marijuana] CANNABIS is issued to a person 6
under the age of 21 years, the court shall summon the person for trial. 7
[(ii) If the court finds that a person at least 21 years old who has been 8
issued a citation under this section has at least twice previously been found guilty under § 9
5–601 of this part involving the use or possession of less than 10 grams of marijuana, the 10
court shall summon the person for trial.] 11
(d) The form of the citation shall be uniform throughout the State and shall be 12
prescribed by the District Court. 13
(e) (1) The Chief Judge of the District Court shall establish a schedule for the 14
prepayment of the fine AND PROCEDURES FOR I NDIVIDUALS TO REQUES T AND BE 15
GRANTED COMMUNITY SE RVICE IN LIEU OF A F INE. 16
(2) Prepayment of a fine OR ACCEPTANCE OF COM MUNITY SERVICE IN 17
LIEU OF A FINE shall be considered a plea of guilty to a Code violation. 18
(3) A person described in subsection (c)(2) of this section may not prepay 19
the fine. 20
(f) (1) A person may request a trial by sending a request for trial to the District 21
Court in the jurisdiction where the citation was issued within 30 days of the issuance of the 22
citation. 23
(2) If a person other than a person described in subsection (c)(2) of this 24
section does not request a trial [or], prepay the fine, OR REQUEST COMMUNITY SERVICE 25
IN LIEU OF A FINE within 30 days of the issuance of the citation, the court may impose the 26
maximum fine and costs against the person and find the person is guilty of a Code violation 27
[for purposes of subsection (c)(2)(ii) of this section]. 28
(g) The issuing jurisdiction shall forward a copy of the citation and a request for 29
trial to the District Court in the district having venue. 30
(h) (1) The failure of a defendant to respond to a summons described in 31
subsection (c)(2) of this section shall be governed by § 5–212 of the Criminal Procedure 32
Article. 33
SENATE BILL 692 13
(2) If a person at least 21 years old fails to appear after having requested 1
a trial, the court may impose the maximum fine OR COMMUNITY SERVICE and costs 2
against the person and find the person is guilty of a Code violation [for purposes of 3
subsection (c)(2)(ii) of this section]. 4
(i) In any proceeding for a Code violation under § 5–601 of this part involving the 5
use or possession of [less than 10 grams of marijuana] CANNABIS: 6
(1) the State has the burden to prove the guilt of the defendant by a 7
preponderance of the evidence; 8
(2) the court shall apply the evidentiary standards as prescribed by law or 9
rule for the trial of a criminal case; 10
(3) the court shall ensure that the defendant has received a copy of the 11
charges against the defendant and that the defendant understands those charges; 12
(4) the defendant is entitled to cross–examine all witnesses who appear 13
against the defendant, to produce evidence or witnesses on behalf of the defendant, and to 14
testify on the defendant’s own behalf, if the defendant chooses to do so; 15
(5) the defendant is entitled to be represented by counsel of the defendant’s 16
choice and at the expense of the defendant; and 17
(6) the defendant may enter a plea of guilty or not guilty, and the verdict 18
of the court in the case shall be: 19
(i) guilty of a Code violation; 20
(ii) not guilty of a Code violation; or 21
(iii) probation before judgment, imposed by the court in the same 22
manner and to the same extent as is allowed by law in the trial of a criminal case. 23
(j) (1) The defendant is liable for the costs of the proceedings in the District 24
Court. 25
(2) The court costs in a Code violation case under § 5–601 of this part 26
involving the use or possession of [less than 10 grams of marijuana] CANNABIS in which 27
costs are imposed are $5. 28
(k) (1) The State’s Attorney for any county may prosecute a Code violation 29
under § 5–601 of this part involving the use or possession of [less than 10 grams of 30
marijuana] CANNABIS in the same manner as prosecution of a violation of the criminal 31
laws of the State. 32
14 SENATE BILL 692
(2) In a Code violation case under § 5–601 of this part involving the use or 1
possession of [less than 10 grams of marijuana] CANNABIS, the State’s Attorney may: 2
(i) enter a nolle prosequi or move to place the case on the stet docket; 3
and 4
(ii) exercise authority in the same manner as prescribed by law for 5
violation of the criminal laws of the State. 6
(l) A person issued a citation for a violation of § 5–601 of this part involving the 7
use or possession of [less than 10 grams of marijuana] CANNABIS who is under the age of 8
18 years shall be subject to the procedures and dispositions provided in Title 3, Subtitle 8A 9
of the Courts Article. 10
(m) A citation for a violation of § 5–601 of this part involving the use or possession 11
of [less than 10 grams of marijuana] CANNABIS and the official record of a court regarding 12
the citation are not subject to public inspection and may not be included on the public 13
website maintained by the Maryland Judiciary if: 14
(1) the defendant has prepaid the fine OR PERFORMED THE COM MUNITY 15
SERVICE; 16
(2) the defendant has pled guilty to or been found guilty of the Code 17
violation and has fully paid the fine OR PERFORMED THE COM MUNITY SERVICE and 18
PAID THE costs imposed for the violation; 19
(3) the defendant has received a probation before judgment and has fully 20
paid the fine OR PERFORMED THE COM MUNITY SERVICE and completed any terms 21
imposed by the court; 22
(4) the case has been removed from the stet docket after the defendant fully 23
paid the fine and completed any terms imposed by the court; 24
(5) the State has entered a nolle prosequi; 25
(6) the defendant has been found not guilty of the charge; or 26
(7) the charge has been dismissed. 27
5–601.2. 28
(A) A PERSON MAY NOT CULTI VATE CANNABIS PLANTS IN A MANNER THAT 29
IS CONTRARY TO THIS SECTION. 30
(B) CANNABIS PLANTS MAY N OT BE CULTIVATED IN A LOCATION WHERE 31
THE PLANTS ARE SUBJE CT TO PUBLIC VIEW, INCLUDING A VIEW FRO M ANOTHER 32 SENATE BILL 692 15
PRIVATE PROPERTY , WITHOUT THE USE OF B INOCULARS, AIRCRAFT, OR OTHER 1
OPTICAL AIDS. 2
(C) (1) IN THIS SUBSECTION , “REASONABLE PRECAUTIO NS” INCLUDES 3
CULTIVATING CANNABIS IN AN ENCLOSED LOCKE D SPACE TO WHICH PER SONS 4
UNDER THE AGE OF 21 YEARS DO NOT POSSESS A KEY. 5
(2) A PERSON WHO CULTIVATE S CANNABIS SHALL TAK E REASONABLE 6
PRECAUTIONS TO ENSUR E THE PLANTS ARE SEC URE FROM UNAUTHORIZE D ACCESS 7
AND ACCESS BY A PERS ON UNDER THE AGE OF 21 YEARS. 8
(D) CANNABIS CULTIVATION MAY OCCUR ONLY ON PRO PERTY LAWFULLY IN 9
POSSESSION OF THE CU LTIVATOR OR WITH THE CONSENT OF THE PERSO N IN 10
LAWFUL POSSESSION OF THE PROPERTY . 11
(E) A PERSON UNDER THE AGE OF 21 YEARS MAY NOT CULTIV ATE CANNABIS 12
PLANTS. 13
(F) (1) A PERSON MAY NOT CULTI VATE MORE THAN SIX CANNABIS 14
PLANTS. 15
(2) IF TWO OR MORE PERSON S AT LEAST 21 YEARS OLD RESIDE AT 16
THE SAME RESIDENCE , NO MORE THAN 12 CANNABIS PLANTS MAY BE CULTIVATED 17
AT THAT RESIDENCE . 18
(G) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , A 19
PERSON WHO VIOLATES THIS SECTIO N IS GUILTY OF A CIVIL OFFENSE PUNISHABL E 20
BY A FINE NOT EXCEED ING $750. 21
(2) A PERSON WHO VIOLATES THIS SECTION BY CULT IVATING MORE 22
THAN SIX PLANTS BUT FEWER THAN 12 PLANTS IS GUILTY OF A CIVIL OFFENSE 23
PUNISHABLE BY A FINE NOT EXCEED ING $250. 24
(3) A PERSON WHO IS FOUND RESPONSIBLE FOR A CI VIL OFFENSE 25
UNDER THIS SECTION M AY REQUEST, AND SHALL BE GRANTED , A PENALTY OF UP TO 26
50 HOURS OF COMMUNITY S ERVICE IN LIEU OF A FINE. 27
(H) A POLICE OFFICER SHALL ISSUE A CITATION TO A PERSON WHO T HE 28
POLICE OFFICER HAS P ROBABLE CAUSE TO BEL IEVE HAS COMMITTED A VIOLATION 29
OF THIS SECTION. 30
(I) (1) A VIOLATION OF THIS SE CTION IS A CIVIL OFFENSE. 31
16 SENATE BILL 692
(2) ADJUDICATION OF A VIO LATION UNDER THIS SE CTION: 1
(I) IS NOT A CRIMINAL CO NVICTION FOR ANY PUR POSE; AND 2
(II) DOES NOT IMPOSE ANY OF THE CIVIL DISABIL ITIES THAT 3
MAY RESULT FROM A CR IMINAL CONVICTION . 4
(J) (1) A CITATION ISSUED FOR A VIOLATION OF THIS SECTION SHALL BE 5
SIGNED BY THE POLICE OFFICER WHO ISSUES T HE CITATION AND SHAL L CONTAIN: 6
(I) THE NAME, ADDRESS, AND DATE OF BIRTH OF THE PERSON 7
CHARGED; 8
(II) THE DATE AND TIME TH AT THE VIOLATION OCC URRED; 9
(III) THE LOCATION AT WHIC H THE VIOLATION OCCU RRED; 10
(IV) THE FINE OR AMOUNT O F COMMUNITY SERVICE THAT MAY 11
BE IMPOSED; 12
(V) A NOTICE STATING THAT PREP AYMENT OF THE FINE I S 13
ALLOWED, EXCEPT AS PROVIDED I N PARAGRAPH (2) OF THIS SUBSECTION ; AND 14
(VI) A NOTICE IN BOLDFACE TYPE THAT STATES THA T THE 15
PERSON SHALL : 16
1. PAY THE FULL AMOUNT OF THE PRESET FINE ; 17
2. REQUEST COMMUNITY SERVICE IN LIEU OF T HE FINE; 18
OR 19
3. REQUEST A TRIAL AT T HE DATE, TIME, AND PLACE 20
ESTABLISHED BY THE DISTRICT COURT BY WRIT OR TRIA L NOTICE. 21
(2) IF A CITATION FOR A V IOLATION OF THIS SEC TION IS ISSUED TO A 22
PERSON UNDER THE AGE OF 21 YEARS, THE COURT SHALL SUMMON THE PER SON 23
FOR TRIAL. 24
(K) THE FORM OF THE CITAT ION SHALL BE UNIFORM THROUGHOUT THE 25
STATE AND SHALL BE PR ESCRIBED BY THE DISTRICT COURT. 26
(L) (1) THE CHIEF JUDGE OF THE DISTRICT COURT SHALL ESTABLISH A 27
SCHEDULE FOR THE PRE PAYMENT OF THE FINE AND PROCEDURES FOR 28 SENATE BILL 692 17
INDIVIDUALS TO REQUE ST AND BE GRANTED CO MMUNITY SERVICE IN L IEU OF A 1
FINE. 2
(2) PREPAYMENT OF A FINE OR ACCEPTANCE OF COM MUNITY 3
SERVICE IN LIEU OF A FINE SHALL BE CONSID ERED A PLEA OF GUILT Y TO A CODE 4
VIOLATION. 5
(3) A PERSON UNDER THE AGE OF 21 YEARS MAY NOT PREPAY THE 6
FINE. 7
(M) (1) A PERSON MAY REQUEST A TRIAL BY SENDING A R EQUEST FOR 8
TRIAL TO THE DISTRICT COURT IN THE JURISDIC TION WHERE THE CITAT ION WAS 9
ISSUED WITHIN 30 DAYS AFTER THE ISSUA NCE OF THE CITATION . 10
(2) IF A PERSON DOES NOT REQUEST A T RIAL, PREPAY THE FINE , OR 11
REQUEST COMMUNITY SE RVICE IN LIEU OF A F INE WITHIN 30 DAYS AFTER THE 12
ISSUANCE OF THE CITA TION, THE COURT MAY IMPOSE THE MAXIMUM FINE OR 13
COMMUNITY SERVICE AN D COSTS AGAINST THE PERSON AND FIND THE PERSON 14
GUILTY OF A CODE VIOLATION . 15
(N) THE ISSUING JURISDICT ION SHALL FORWARD A COPY OF THE CITATION 16
AND A REQUEST FOR TR IAL TO THE DISTRICT COURT IN THE DISTRICT HAVING 17
VENUE. 18
(O) (1) THE FAILURE OF A DEFE NDANT TO RESPOND TO A SUMMONS 19
DESCRIBED IN SUBSECT ION (J)(2) OF THIS SECTION SHAL L BE GOVERNED BY § 20
5–212 OF THE CRIMINAL PROCEDURE ARTICLE. 21
(2) IF A PERSON AT LEAST 21 YEARS OLD FAILS TO A PPEAR AFTER 22
HAVING REQUESTED A T RIAL, THE COURT MAY IMPOSE THE MAXIMUM FINE OR 23
COMMUNITY SERVICE AN D COSTS AGAINST THE PERSON AND FIND THE PER SON 24
GUILTY OF A CODE VIOLATION . 25
(P) IN ANY PROCEEDING FOR A CODE VIOLATION UNDER THIS SECTION: 26
(1) THE STATE HAS THE BURDEN TO PROVE THE GUILT O F THE 27
DEFENDANT BY A PREPO NDERANCE OF THE EVID ENCE; 28
(2) THE COURT SHALL APPL Y THE EV IDENTIARY STANDARDS AS 29
PRESCRIBED BY LAW OR RULE FOR THE TRIAL O F A CRIMINAL CASE ; 30
(3) THE COURT SHALL ENSU RE THAT THE DEFENDAN T HAS RECEIVED 31
A COPY OF THE CHARGE S AGAINST THE DEFEND ANT AND THAT THE DEF ENDANT 32 18 SENATE BILL 692
UNDERSTANDS THOSE CH ARGES; 1
(4) THE DEFEND ANT IS ENTITLED TO C ROSS–EXAMINE ALL 2
WITNESSES WHO APPEAR AGAINST THE DEFENDAN T, TO PRODUCE EVIDENCE OR 3
WITNESSES ON BEHALF OF THE DEFENDANT , AND TO TESTIFY ON TH E DEFENDANT ’S 4
OWN BEHALF , IF THE DEFENDANT CHO OSES TO DO SO; 5
(5) THE DEFENDANT IS ENT ITLED TO BE REPRESENTED BY COUNSEL 6
OF THE DEFENDANT ’S CHOICE AND AT THE EXPENSE OF THE DEFEN DANT; AND 7
(6) THE DEFENDANT MAY EN TER A PLEA OF GUILTY OR NOT GUILTY, 8
AND THE VERDICT OF T HE COURT IN THE CASE SHALL BE: 9
(I) GUILTY OF A CODE VIOLATION ; 10
(II) NOT GUILTY OF A CODE VIOLATION ; OR 11
(III) PROBATION BEFORE JUD GMENT, IMPOSED BY THE COURT 12
IN THE SAME MANNER A ND TO THE SAME EXTEN T AS IS ALLOWED BY L AW IN THE 13
TRIAL OF A CRIMINAL CASE. 14
(Q) (1) THE DEFENDANT IS LIAB LE FOR THE COSTS OF THE 15
PROCEEDINGS IN THE DISTRICT COURT. 16
(2) THE COURT COSTS IN A CODE VIOLATION CASE U NDER THIS 17
SECTION IN WHICH COS TS ARE IMPOSED ARE $5. 18
(R) (1) THE STATE’S ATTORNEY FOR ANY COUN TY MAY PROSECUTE A 19
CODE VIOLATION UNDER THIS SECTION IN THE SAME MANNER AS PROSE CUTION 20
FOR A VIOLATION OF TH E CRIMINAL LAWS OF T HE STATE. 21
(2) IN A CODE VIOLATION CASE U NDER THIS SECTION , THE STATE’S 22
ATTORNEY MAY : 23
(I) ENTER A NOLLE PROSEQ UI OR MOVE TO PLACE THE CASE ON 24
THE STET DOCKET ; AND 25
(II) EXERCISE AUTHORITY I N THE SAME MANNER AS 26
PRESCRIBED BY LAW FO R VIOLATION OF THE C RIMINAL LAWS OF THE STATE. 27
(S) A PERSON ISSUED A CITA TION FOR A VIOLATION OF THIS SECTION WHO 28
IS UNDER THE AGE OF 18 YEARS SHALL BE SUBJE CT TO THE PROCEDURES AND 29
DISPOSITIONS PROVIDE D IN TITLE 3, SUBTITLE 8A OF THE COURTS ARTICLE. 30 SENATE BILL 692 19
(T) A CITATION FOR A VIOLA TION OF THIS SECTION AND THE OFFICIAL 1
RECORD OF A COURT RE GARDING THE CITATION ARE NOT SUBJECT TO P UBLIC 2
INSPECTION AND MAY N OT BE INCLUDED ON TH E PUBLIC WEBSITE MAI NTAINED BY 3
THE MARYLAND JUDICIARY IF: 4
(1) THE DEFENDANT HAS PR EPAID THE FINE OR PE RFORMED THE 5
COMMUNITY SERVICE ; 6
(2) THE DEFENDANT HAS PL ED GUILTY TO OR BEEN FOUND GUILTY 7
OF THE CODE VIOLATION AND HA S FULLY PAID THE FIN E OR PERFORMED THE 8
COMMUNITY SERVICE AN D PAID THE COSTS IMP OSED FOR THE VIOLATION; 9
(3) THE DEFENDANT HAS RE CEIVED A PROBATION B EFORE 10
JUDGMENT AND HAS FUL LY PAID THE FINE OR PERFORMED THE COMMUN ITY 11
SERVICE AND COMPLETE D ANY TERMS IMPOSED BY THE COURT; 12
(4) THE CASE HAS BEEN RE MOVED FROM THE STET DOCKET AFTER 13
THE DEFENDANT FULLY PAID THE FINE AND COMPLETED ANY TE RMS IMPOSED BY 14
THE COURT; 15
(5) THE STATE HAS ENTERED A N OLLE PROSEQUI ; 16
(6) THE DEFENDANT HAS BE EN FOUND NOT GUILTY OF THE CHARGE ; 17
OR 18
(7) THE CHARGE HAS BEEN DISMISSED. 19
5–602. 20
(A) Except as otherwise provided in this title, a person may not: 21
(1) distribute or dispense a controlled dangerous substance; or 22
(2) possess a controlled dangerous substance in sufficient quantity 23
reasonably to indicate under all circumstances an intent to distribute or dispense a 24
controlled dangerous substance. 25
(B) THERE IS A PRESUMPTIO N THAT A PERSON IN P OSSESSION OF LESS 26
THAN THE PERSONAL US E AMOUNT OF CANNABIS IS NOT IN VIOLATION OF 27
SUBSECTION (A) OF THIS SECTION WITH REGARD TO CANNABIS , IN THE ABSENCE OF 28
ANY OTHER EV IDENCE OF A VIOLATIO N OF SUBSECTION (A) OF THIS SECTION. 29
5–607. 30 20 SENATE BILL 692
(a) Except as provided in §§ 5–608 and 5–609 of this subtitle AND SUBSECTION 1
(B) OF THIS SECTION , a person who violates a provision of §§ 5–602 through 5–606 of this 2
subtitle is guilty of a felony and on conviction is subject to imprisonment not exceeding 5 3
years or a fine not exceeding $15,000 or both. 4
(b) (1) A VIOLATION OF A PROVIS ION OF §§ 5–602 THROUGH 5–606 OF 5
THIS SUBTITLE INVOLV ING CANNABIS IS A CI VIL OFFENSE PUNISHAB LE BY A CIVIL 6
FINE NOT EXCEEDING $250. 7
(2) A PERSON WHO IS FOUND GUILTY OF A CIVIL OFFENSE UNDE R 8
THIS SUBSECTION MAY REQUE ST, AND SHALL BE GRANTED , A PENALTY OF UP TO 30 9
HOURS OF COMMUNITY S ERVICE IN LIEU OF A FINE. 10
(C) A person convicted under this section is not prohibited from participating in a 11
drug treatment program under § 8–507 of the Health – General Article because of the 12
length of the sentence. 13
5–607.1. 14
(A) A POLICE OFFICER SHALL ISSUE A CITATION TO A PERSON WHO THE 15
POLICE OFFICER HAS P ROBABLE CAUSE TO BEL IEVE HAS COMMITTED A VIOLATION 16
OF A PROVISION OF §§ 5–602 THROUGH 5–606 OF THIS SUBTITLE INV OLVING 17
CANNABIS. 18
(B) (1) A VIOLATION OF A PROVISION OF §§ 5–602 THROUGH 5–606 OF 19
THIS SUBTITLE INVOLV ING CANNABIS IS A CIVIL OFFENSE. 20
(2) ADJUDICATION OF A VIO LATION OF A PROVISION OF §§ 5–602 21
THROUGH 5–606 OF THIS SUBTITLE INV OLVING CANNABIS : 22
(I) IS NOT A CRIMINAL CO NVICTION FOR ANY PUR POSE; AND 23
(II) DOES NOT IMPOSE ANY OF TH E CIVIL DISABILITIES THAT 24
MAY RESULT FROM A CR IMINAL CONVICTION . 25
(C) (1) A CITATION ISSUED FOR A VIOLATION OF A PROVISION OF §§ 26
5–602 THROUGH 5–606 OF THIS SUBTITLE INV OLVING CANNABIS SHALL BE SIGNED 27
BY THE POLICE OFFICE R WHO ISSUES THE CITATION AND SHA LL CONTAIN: 28
(I) THE NAME, ADDRESS, AND DATE OF BIRTH OF THE PERSON 29
CHARGED; 30
(II) THE DATE AND TIME TH AT THE VIOLATION OCC URRED; 31 SENATE BILL 692 21
(III) THE LOCATION AT WHIC H THE VIOLATION OCCU RRED; 1
(IV) THE FINE OR AMOUNT O F COMMUNITY SE RVICE THAT MAY 2
BE IMPOSED; 3
(V) A NOTICE STATING THA T PREPAYMENT OF THE FINE IS 4
ALLOWED, EXCEPT AS PROVIDED I N PARAGRAPH (2) OF THIS SUBSECTION ; AND 5
(VI) A NOTICE IN BOLDFACE TYPE THAT STATES THA T THE 6
PERSON SHALL : 7
1. PAY THE FULL AMOUNT OF THE PRESET FINE; 8
2. REQUEST COMMUNITY SE RVICE IN LIEU OF THE FINE; 9
OR 10
3. REQUEST A TRIAL AT T HE DATE, TIME, AND PLACE 11
ESTABLISHED BY THE DISTRICT COURT BY WRIT OR TRIA L NOTICE. 12
(2) IF A CITATION FOR A V IOLATION OF THIS SEC TION IS ISSUED TO A 13
PERSON UNDER THE AGE OF 21 YEARS, THE COURT SHALL SUMM ON THE PERSON 14
FOR TRIAL. 15
(D) THE FORM OF THE CITAT ION SHALL BE UNIFORM THROUGHOUT THE 16
STATE AND SHALL BE PR ESCRIBED BY THE DISTRICT COURT. 17
(E) (1) THE CHIEF JUDGE OF THE DISTRICT COURT SHALL ESTABLISH A 18
SCHEDULE FOR THE PRE PAYMENT OF THE FINE AND PROCEDURES FOR 19
INDIVIDUALS TO REQUE ST AND BE GRANTED CO MMUNITY SERVICE IN L IEU OF A 20
FINE. 21
(2) PREPAYMENT OF A FINE OR ACCEPTANCE OF COM MUNITY 22
SERVICE IN LIEU OF A FINE SHALL BE CONSID ERED A PLEA OF GUILT Y TO A CODE 23
VIOLATION. 24
(3) A PERSON UNDER THE AGE OF 21 YEARS MAY NOT PREPAY THE 25
FINE. 26
(F) (1) A PERSON MAY REQUEST A TRIAL BY SENDING A R EQUEST FOR 27
TRIAL TO THE DISTRICT COURT IN THE JURISDIC TION WHERE THE CITAT ION WAS 28
ISSUED WITHIN 30 DAYS AFTER THE ISSU ANCE OF THE CITATION . 29
22 SENATE BILL 692
(2) IF A PERSON DOES NOT REQUEST A TRIAL , PREPAY THE FINE , OR 1
REQUEST COMMUNITY SE RVICE IN LIEU OF A F INE WITHIN 30 DAYS AFTER THE 2
ISSUANCE OF THE CITA TION, THE COURT MAY IMPOSE THE MAXIMUM FINE OR 3
COMMUNITY SERVICE AN D COSTS AGAIN ST THE PERSON AND FI ND THE PERSON 4
GUILTY OF A CODE VIOLATION . 5
(G) THE ISSUING JURISDICT ION SHALL FORWARD A COPY OF THE CITATION 6
AND A REQUEST FOR TR IAL TO THE DISTRICT COURT IN THE DISTRICT HAVING 7
VENUE. 8
(H) (1) THE FAILURE OF A DEFE NDANT TO RESPOND TO A SUMMONS 9
DESCRIBED IN SUBSECT ION (C)(2) OF THIS SECTION SHAL L BE GOVERNED BY § 10
5–212 OF THE CRIMINAL PROCEDURE ARTICLE. 11
(2) IF A PERSON AT LEAST 21 YEARS OLD FAILS TO A PPEAR AFTER 12
HAVING REQUESTED A T RIAL, THE COURT MAY IMPOSE THE MAXIMUM FINE OR 13
COMMUNITY SERVICE AN D COSTS AGAINST THE PERSON AND FIND THE PERSON 14
GUILTY OF A CODE VIOLATION . 15
(I) IN ANY PROCEEDING FOR A CODE VIOLATION UNDER THIS SECTION: 16
(1) THE STATE HAS THE BURDEN TO PROVE THE GUILT O F THE 17
DEFENDANT BY A PREPO NDERANCE OF THE EV IDENCE; 18
(2) THE COURT SHALL APPL Y THE EVIDENTIARY ST ANDARDS AS 19
PRESCRIBED BY LAW OR RULE FOR THE TRIAL O F A CRIMINAL CASE ; 20
(3) THE COURT SHALL ENSU RE THAT THE DEFENDAN T HAS RECEIVED 21
A COPY OF THE CHARGE S AGAINST THE DEFEND ANT AND THAT THE DEF ENDANT 22
UNDERSTANDS THOSE CHA RGES; 23
(4) THE DEFENDANT IS ENT ITLED TO CROSS –EXAMINE ALL 24
WITNESSES WHO APPEAR AGAINST THE DEFENDAN T, TO PRODUCE EVIDENCE OR 25
WITNESSES ON BEHALF OF THE DEFENDANT , AND TO TESTIFY ON TH E DEFENDANT ’S 26
OWN BEHALF , IF THE DEFENDANT CHO OSES TO DO SO; 27
(5) THE DEFENDANT IS ENT ITLED TO BE REPRESEN TED BY COUNSEL 28
OF THE DEFENDANT ’S CHOICE AND AT THE EXPENSE OF THE DEFEN DANT; AND 29
(6) THE DEFENDANT MAY EN TER A PLEA OF GUILTY OR NOT GUILTY, 30
AND THE VERDICT OF T HE COURT IN THE CASE SHALL BE: 31
(I) GUILTY OF A CODE VIOLATION ; 32 SENATE BILL 692 23
(II) NOT GUILTY OF A CODE VIOLATION ; OR 1
(III) PROBATION BEFORE JUD GMENT, IMPOSED BY THE COURT 2
IN THE SAME MANNER A ND TO THE SAME EXTEN T AS IS ALLOWED BY L AW IN THE 3
TRIAL OF A CRIMINAL CASE. 4
(J) (1) THE DEFENDANT I S LIABLE FOR THE COS TS OF THE 5
PROCEEDINGS IN THE DISTRICT COURT. 6
(2) THE COURT COSTS IN A CODE VIOLATION CASE U NDER THIS 7
SECTION IN WHICH COS TS ARE IMPOSED ARE $5. 8
(K) (1) THE STATE’S ATTORNEY FOR ANY COUN TY MAY PROSECUTE A 9
CODE VIOLATION UNDER THIS SECTION IN THE SAME MANNER AS PROSECUTIO N 10
FOR A VIOLATION OF T HE CRIMINAL LAWS OF THE STATE. 11
(2) IN A CODE VIOLATION CASE U NDER THIS SECTION , THE STATE’S 12
ATTORNEY MAY : 13
(I) ENTER A NOLLE PROSEQ UI OR MOVE TO PLACE THE CASE ON 14
THE STET DOCKET ; AND 15
(II) EXERCISE AUTHORITY I N THE SAME MANNER AS 16
PRESCRIBED BY LAW FO R VIOLATION OF THE C RIMINAL LAWS OF THE STATE. 17
(L) A PERSON ISSUED A CITA TION FOR A VIOLATION OF A PROVISION OF §§ 18
5–602 THROUGH 5–606 OF THIS SUBTITLE INV OLVING CANNABIS WHO IS UNDER THE 19
AGE OF 18 YEARS SHALL BE SUBJE CT TO THE PROCEDURES AND DISPOSITIONS 20
PROVIDED IN TITLE 3, SUBTITLE 8A OF THE COURTS ARTICLE. 21
(M) A CITATION FOR A VIOLA TION OF A PROVISION OF §§ 5–602 THROUGH 22
5–606 OF THIS SUBTITLE INV OLVING CANNABIS AND THE OFFICIAL RECORD OF A 23
COURT REGARDING THE CITATION ARE NOT SUB JECT TO PUBLIC INSPE CTION AND 24
MAY NOT BE INCLUDED ON THE PUBLIC WEBSIT E MAINTAINED BY THE MARYLAND 25
JUDICIARY IF: 26
(1) THE DEFENDANT HAS PR EPAID THE FINE OR PE RFORMED THE 27
COMMUNITY SERVICE ; 28
(2) THE DEFENDANT HAS PL ED GUILTY TO OR BEEN FOUND GUILTY 29
OF THE CODE VIOLATION AND HA S FULLY PAID THE FIN E OR PERFORMED THE 30
COMMUNITY SERVICE AN D PAID THE COSTS IMP OSED FOR THE VIOLATI ON; 31 24 SENATE BILL 692
(3) THE DEFENDANT HAS RE CEIVED A PROBATION B EFORE 1
JUDGMENT A ND HAS FULLY PAID TH E FINE OR PERFORMED THE COMMUNITY 2
SERVICE AND COMPLETE D ANY TERMS IMPOSED BY THE COURT; 3
(4) THE CASE HAS BEEN RE MOVED FROM THE STET DOCKET AFTER 4
THE DEFENDANT FULLY PAID THE FINE AND CO MPLETED ANY TERMS IM POSED BY 5
THE COURT; 6
(5) THE STATE HAS ENTERED A N OLLE PROSEQUI ; 7
(6) THE DEFENDANT HAS BE EN FOUND NOT GUILTY OF THE CHARGE ; 8
OR 9
(7) THE CHARGE HAS BEEN DISMISSED. 10
5–612. 11
(a) A person may not manufacture, distribute, dispense, or possess: 12
(1) 50 pounds or more of [marijuana] CANNABIS; 13
(2) 448 grams or more of cocaine; 14
(3) 448 grams or more of any mixture containing a detectable amount, as 15
scientifically measured using representative sampling methodology, of cocaine; 16
(4) 448 grams or more of cocaine base, commonly known as “crack”; 17
(5) 28 grams or more of morphine or opium or any derivative, salt, isomer, 18
or salt of an isomer of morphine or opium; 19
(6) 28 grams or more of any mixture containing a detectable amount, as 20
scientifically measured using representative sampling methodology, of morphine or opium 21
or any derivative, salt, isomer, or salt of an isomer of morphine or opium; 22
(7) 5 grams or more of fentanyl or any structural variation of fentanyl that 23
is scheduled by the United States Drug Enforcement Administration; 24
(8) 28 grams or more of any mixture containing a detectable amount, as 25
scientifically measured using representative sampling methodology, of fentanyl or any 26
structural variation of fentanyl that is scheduled by the United States Drug Enforcement 27
Administration; 28
(9) 1,000 dosage units or more of lysergic acid diethylamide; 29
SENATE BILL 692 25
(10) any mixture containing the equivalent of 1,000 dosage units of lysergic 1
acid diethylamide; 2
(11) 16 ounces or more of phencyclidine in liquid form; 3
(12) 448 grams or more of any mixture containing a detectable amount, as 4
scientifically measured using representative sampling methodology, of phencyclidine; 5
(13) 448 grams or more of methamphetamine; or 6
(14) 448 grams or more of any mixture containing a detectable amount, as 7
scientifically measured using representative sampling methodology, of methamphetamine. 8
(b) For the purpose of determining the quantity of a controlled dangerous 9
substance involved in individual acts of manufacturing, distributing, dispensing, or 10
possessing under subsection (a) of this section, the acts may be aggregated if each of the 11
acts occurred within a 90–day period. 12
(c) (1) A person who is convicted of a violation of subsection (a) of this section 13
shall be sentenced to imprisonment for not less than 5 years and is subject to a fine not 14
exceeding $100,000. 15
(2) The court may not suspend any part of the mandatory minimum 16
sentence of 5 years. 17
(3) Except as provided in § 4–305 of the Correctional Services Article, the 18
person is not eligible for parole during the mandatory minimum sentence. 19
5–614. 20
(a) (1) Unless authorized by law to possess the substance, a person may not 21
bring into the State: 22
(i) 45 kilograms or more of [marijuana] CANNABIS; 23
(ii) 28 grams or more of cocaine; 24
(iii) any mixture containing 28 grams or more of cocaine; 25
(iv) 4 grams or more of morphine or opium or any derivative, salt, 26
isomer, or salt of an isomer of morphine or opium; 27
(v) 1,000 dosage units of lysergic acid diethylamide; 28
(vi) any mixture containing the equivalent of 1,000 dosage units of 29
lysergic acid diethylamide; 30
26 SENATE BILL 692
(vii) 28 grams or more of phencyclidine in liquid or powder form; 1
(viii) 112 grams or more of any mixture containing phencyclidine; 2
(ix) 1,000 dosage units or more of methaqualone; 3
(x) 28 grams or more of methamphetamine; 4
(xi) any mixture containing 28 grams or more of methamphetamine; 5
or 6
(xii) 4 grams or more of fentanyl or a fentanyl analogue. 7
(2) A person who violates this subsection is guilty of a felony and on 8
conviction is subject to imprisonment not exceeding 25 years or a fine not exceeding $50,000 9
or both. 10
(b) (1) Unless authorized by law to possess the [marijuana] CANNABIS, a 11
person may not bring into the State more than 5 kilograms but less than 45 kilograms of 12
[marijuana] CANNABIS. 13
(2) A person who violates this subsection is guilty of a felony and on 14
conviction is subject to imprisonment not exceeding 10 years or a fine not exceeding $10,000 15
or both. 16
5–619. 17
(c) (1) [This subsection does not apply to the use or possession of drug 18
paraphernalia involving the use or possession of marijuana. 19
(2)] Unless authorized under this title, a person may not use or possess with 20
intent to use drug paraphernalia to: 21
(i) plant, propagate, cultivate, grow, harvest, manufacture, 22
compound, convert, produce, process, prepare, pack, repack, store, contain, or conceal a 23
controlled dangerous substance; or 24
(ii) inject, ingest, inhale, or otherwise introduce into the human body 25
a controlled dangerous substance. 26
[(3)] (2) A person who violates this subsection is guilty of a misdemeanor 27
and on conviction is subject to: 28
(i) for a first violation, a fine not exceeding $500; and 29
(ii) for each subsequent violation, imprisonment not exceeding 2 30
years or a fine not exceeding $2,000 or both. 31 SENATE BILL 692 27
[(4)] (3) A person who is convicted of violating this subsection for the first 1
time and who previously has been convicted of violating subsection (d)(4) of this section is 2
subject to the penalty specified under paragraph [(3)(ii)] (2)(II) of this subsection. 3
5–620. 4
(a) Unless authorized under this title, a person may not: 5
(1) obtain or attempt to obtain controlled paraphernalia by: 6
(i) fraud, deceit, misrepresentation, or subterfuge; 7
(ii) counterfeiting a prescription or a written order; 8
(iii) concealing a material fact or the use of a false name or address; 9
(iv) falsely assuming the title of or representing to be a 10
manufacturer, distributor, or authorized provider; or 11
(v) making or issuing a false or counterfeit prescription or written 12
order; or 13
(2) possess or distribute controlled paraphernalia under circumstances 14
which reasonably indicate an intention to use the controlled paraphernalia for purposes of 15
illegally administering a controlled dangerous substance. 16
(b) Evidence of circumstances that reasonably indicate an intent to use controlled 17
paraphernalia to manufacture, administer, distribute, or dispense a controlled dangerous 18
substance unlawfully include the close proximity of the controlled paraphernalia to an 19
adulterant, diluent, or equipment commonly used to illegally manufacture, administer, 20
distribute, or dispense controlled dangerous substances, including: 21
(1) a scale; 22
(2) a sieve; 23
(3) a strainer; 24
(4) a measuring spoon; 25
(5) staples; 26
(6) a stapler; 27
(7) a glassine envelope; 28
28 SENATE BILL 692
(8) a gelatin capsule; 1
(9) procaine hydrochloride; 2
(10) mannitol; 3
(11) lactose; 4
(12) quinine; and 5
(13) a controlled dangerous substance. 6
(c) Information that is communicated to a physician to obtain controlled 7
paraphernalia from the physician in violation of this subtitle is not a privileged 8
communication. 9
(d) [(1) Except as provided in paragraph (2) of this subsection, a] A person who 10
violates this section is guilty of a misdemeanor and on conviction is subject to imprisonment 11
not exceeding 4 years or a fine not exceeding $25,000 or both. 12
[(2) A person who violates this section involving the use or possession of 13
marijuana is subject to imprisonment not exceeding 1 year or a fine not exceeding $1,000 14
or both.] 15
5–629. 16
THE OFFENSES AND PENA LTIES IN THIS SUBTIT LE DO NOT APPLY TO 17
ACTIVITIES RELATED T O CANNABIS OR CANNAB IS ACCESSORIES THAT ARE LEGAL 18
UNDER: 19
(1) TITLE 13, SUBTITLE 33 OF THE HEALTH – GENERAL ARTICLE; OR 20
(2) TITLE 23 OF THE HEALTH – GENERAL ARTICLE. 21
10–113. 22
An individual may not knowingly and willfully make a misrepresentation or false 23
statement as to the age of that individual or another to any person licensed to sell alcoholic 24
beverages OR CANNABIS or engaged in the sale of alcoholic beverages OR CANNABIS , for 25
the purpose of unlawfully obtaining, procuring, or having unlawfully furnished an alcoholic 26
beverage OR CANNABIS to an individual. 27
10–116. 28
An individual may not obtain, or attempt to obtain by purchase or otherwise, an 29
alcoholic beverage OR CANNABIS from any person licensed to sell alcoholic beverages OR 30 SENATE BILL 692 29
CANNABIS for consumption by another who the individual obtaining or attempting to 1
obtain the beverage OR CANNAB IS knows is under the age of 21 years. 2
10–117. 3
(a) Except as provided in [subsection (c)] SUBSECTIONS (C) AND (D) of this 4
section, a person may not furnish an alcoholic beverage, CANNABIS, OR CANNABIS 5
ACCESSORIES AS DEFIN ED IN § 23–101 OF THE HEALTH – GENERAL ARTICLE to an 6
individual if: 7
(1) the person furnishing the alcoholic beverage, CANNABIS, OR 8
CANNABIS ACCESSORIES knows that the individual is under the age of 21 years; and 9
(2) the alcoholic beverage [is], CANNABIS, OR CANNABIS ACCESSOR IES 10
ARE furnished for the purpose of consumption by the individual under the age of 21 years. 11
(b) Except as provided in subsection (c) of this section, an adult may not 12
knowingly and willfully allow an individual under the age of 21 years actually to possess 13
or consume an alcoholic beverage OR CANNABIS at a residence, or within the curtilage of 14
a residence that the adult owns or leases and in which the adult resides. 15
(c) (1) The prohibition set forth in subsection (a) of this section does not apply 16
if [the] A person furnishing [the] AN alcoholic beverage and the individual to whom the 17
alcoholic beverage is furnished: 18
(i) are members of the same immediate family, and the alcoholic 19
beverage is furnished and consumed in a private residence or within the curtilage of the 20
residence; or 21
(ii) are participants in a religious ceremony. 22
(2) The prohibition set forth in subsection (b) of this section does not apply 23
if [the] AN adult allowing the possession or consumption of [the] AN alcoholic beverage and 24
the individual under the age of 21 years who possesses or consumes the alcoholic beverage: 25
(i) are members of the same immediate family, and the alcoholic 26
beverage is possessed and consumed in a private residence, or within the curtilage of the 27
residence, of the adult; or 28
(ii) are participants in a religious ceremony. 29
(d) THE PROHIBITIONS SET FORTH IN SUBSECTIONS (A) AND (B) OF THIS 30
SECTION DO NOT APPLY IN THE CASE OF AN IN DIVIDUAL UNDER THE A GE OF 21 31
YEARS WHO IS ALLOWED TO POSSESS CANNABIS AND CANNABI S ACCESSORIES 32
UNDER TITLE 13, SUBTITLE 33 OF THE HEALTH – GENERAL ARTICLE. 33
30 SENATE BILL 692
(E) A person may not violate subsection (a) or (b) of this section if the violation 1
involves an individual under the age of 21 years who: 2
(1) the person knew or reasonably should have known would operate a 3
motor vehicle after consuming the alcoholic beverage OR CANNABIS; and 4
(2) as a result of operating a motor vehicle while under the influence of 5
alcohol or while impaired by alcohol OR CANNABIS, causes serious physical injury or death 6
to the individual or another. 7
Article – Criminal Procedure 8
1–211. 9
(A) EXCEPT AS PROVIDED IN SUBSECTION (B) OF THIS SECTION, A FINDING 10
OR DETERMINATION OF REASONABLE SUSPICION OR PROBABLE CAUSE RELATING 11
TO POSSESSION OF CON TRABAND OR OTHER CRIMINAL ACTIVITY MA Y NOT BE BASED 12
SOLELY ON EVIDENCE O F: 13
(1) THE ODOR OF CANNABIS ; 14
(2) THE ODOR OF BURNT CA NNABIS; 15
(3) THE POSSESSION OF OR SUSPICION OF POSSESS ION OF CANNABIS ; 16
OR 17
(4) THE PRESENCE OF MONE Y IN PROXIMITY TO CA NNABIS. 18
(B) SUBSECTION (A) OF THIS SECTION DOES NOT APPLY WHEN A LAW 19
ENFORCEMENT OFFICER IS INVESTIGATING WHE THER A PERSON IS DRI VING, 20
OPERATING, OR CONTROLLING A MOT OR VEHICLE OR VESSEL WHILE IMPAIRED BY 21
DRUGS, EXCEPT THAT THE ODOR OF CANNABIS MAY NOT BE THE BASIS FOR FIN DING 22
PROBABLE CAUSE TO JU STIFY THE SEARCH OF AN AREA OF A VEHICLE OR VESSEL 23
THAT IS NOT: 24
(1) READILY ACCESSIBLE T O THE DRIVER OR OPER ATOR; OR 25
(2) REASONABLY LIKELY TO CONTAIN EVIDENCE REL EVANT TO THE 26
CONDITION OF THE DRI VER OR OPERATOR . 27
8–303. 28
(A) (1) A CONVICTION OF POSSESSION OF CAN NABIS UNDER § 5–601 OF 29
THE CRIMINAL LAW ARTICLE, POSSESSION OF CANNAB IS PARAPHERNALIA UNDER 30 SENATE BILL 692 31
§ 5–619 OR § 5–620 OF THE CRIMINAL LAW ARTICLE, POSSESSION WITH INTE NT TO 1
DISTRIBUTE CANNABIS UNDER § 5–602 OF THE CRIMINAL LAW ARTICLE, 2
MANUFACTURING CANNAB IS, OR DISTRIBUTION OF C ANNABIS ENTERED BEFORE 3
JULY 1, 2022, SHALL BE AUTOMATICAL LY VACATED ON OR BEFORE JULY 1, 2023. 4
(2) A FORMER CONVICTION THAT HAS BEEN VACATED UNDER THIS 5
SUBSECTION MAY NOT BE CONSIDERE D A CONVICTIO N FOR ANY PURPOSE . 6
(B) (1) A PERSON WHO HAS BEEN CONVICTED OF A CRIME , OR 7
ADJUDICATED DELINQUE NT FOR AN OFFENSE THAT WOUL D BE A CRIME IN ADUL T 8
COURT, MAY REQUEST THAT ANY CONVICTION BE VACATED OR REQUES T A NEW 9
TRIAL WHERE A CONVICTION OR DELINQUENT FINDING WAS BASED IN WHOLE OR IN 10
PART ON EVIDENCE GAT HERED DURING A SEARC H OR SEIZURE FOR WHI CH 11
REASONABLE SUSPICION OR PROBABLE CAUSE WAS BASED ON: 12
(I) THE ODOR OF CANNABIS ; 13
(II) THE ODOR OF BURNT CA NNABIS; 14
(III) THE POSSESSION OF OR SUSPICION OF POSSESSION OF 15
CANNABIS; OR 16
(IV) THE PRESENCE OF MONE Y IN PROXIMITY TO CA NNABIS. 17
(2) THE COURT SHALL GRANT A TIMELY REQUEST FOR 18
RECONSIDERATION MADE UNDER THIS SUBSECTIO N. 19
(C) (1) A PERSON REQUESTING VA CATUR OR A NEW TRIAL BECAUSE THE 20
PERSON’S CONVICTION WAS BAS ED ON EVIDENCE GATHE RED DURING A SEARCH OR 21
SEIZURE FOR WHICH RE ASONABLE SUSPICION O R PROBABLE CAUSE WAS BASED ON 22
FACTORS LISTED IN SUBSECTION (B)(1) OF THIS SECTION SHAL L FILE A PETITION 23
THAT: 24
(I) IS IN WRITING; 25
(II) STATES IN DETAIL THE GROUNDS ON WHICH THE PETITION 26
IS BASED, INCLUDING: 27
1. THE EVIDENCE THAT WOU LD HAVE BEEN 28
SUPPRESSED ; AND 29
2. THE RELEVANT CONSTITU TIONAL STANDARD ; 30
32 SENATE BILL 692
(III) IS ACCOMPANIED BY OR CONTAINS A REQUEST FOR A 1
HEARING IF A HEARING IS SOUGHT; AND 2
(IV) IS ACCOMPANIED BY THE TR ANSCRIPTS FROM ALL P RIOR 3
RELEVANT PROCEEDINGS . 4
(2) A PERSON FILING A PETI TION UNDER PARAGRAPH (1) OF THIS 5
SUBSECTION SHALL NOTIFY THE STATE IN WRITING OF T HE FILING OF THE 6
PETITION AND SERVE T HE STATE WITH A COPY OF THE PETITION AND 7
ACCOMPANYING TRANSCR IPTS. 8
(3) THE STATE MAY FILE A RESP ONSE TO THE PETITION WITHIN 60 9
DAYS AFTER RECEIPT O F THE NOTICE REQUIRE D UNDER PARAGRAPH (2) OF THIS 10
SUBSECTION OR WITHIN THE PERIOD OF TIME T HAT THE COURT ORDERS . 11
(4) (I) BEFORE A HEARING IS H ELD ON A PETITION FI LED UNDER 12
PARAGRAPH (1) OF THIS SUBSECTION, THE VICTIM OR VICTIM ’S REPRESENTATIVE 13
SHALL BE NOTIFIED OF THE HEARING AS PROVI DED UNDER § 11–104 OR § 11–503 14
OF THIS ARTICLE. 15
(II) THE VICTIM OR VICTIM’S REPRESENTATIVE HAS THE RIGHT 16
TO ATTEND THE HEARING ON THE PETITION AS PROVIDED UNDER § 11–102 OF THIS 17
ARTICLE. 18
(5) THE COURT SHALL HOLD A HEARING IF THE PERSON FILING TH E 19
PETITION REQUESTS A HEARING AND THE PETITION SATISFI ES THE REQUIREMENTS 20
OF PARAGRAPH (1) OF THIS SUBSECTION. 21
(6) (I) IF THE COURT FINDS TH AT, BUT FOR RELIANCE ON THE 22
FACTORS LISTED IN PARAGRAPH (1) OF THIS SUBSECTION, THE EVIDENCE IN 23
SUPPORT OF THE CONVI CTION WOULD BE EXCLUDED IN WHOLE OR IN PART UNDER 24
THE RELEVANT CONSTIT UTIONAL STANDARD , THE COURT SHALL: 25
1. SET ASIDE THE VERDICT ; OR 26
2. GRANT A NEW TRIAL . 27
(II) THE REMEDIES LISTED IN SUBPAR AGRAPH (I) OF THIS 28
PARAGRAPH ARE AVAILABLE REGARDLESS OF WHETHER THE PERSON FILING THE 29
PETITION PREVIOUSLY LITIGATED A SUPPRESSION ISSUE BEFORE BEING 30
CONVICTED. 31
(III) THE COURT SHALL STATE THE REASONS FOR ITS RULING ON 32 SENATE BILL 692 33
THE RECORD. 1
(7) AN APPEAL MAY BE TAKE N BY EITHER PARTY FR OM AN ORDER 2
ENTERED UNDER THIS SUBSECTION. 3
(8) (I) EXCEPT AS PROVIDED IN SUBPARAGRAPH (II) OF THIS 4
PARAGRAPH , A PETITION FILED UNDER PARAGRAPH (1) OF THIS SUBSECTION MUST 5
BE FILED BY DECEMBER 31, 2025. 6
(II) THE COURT MAY CONSIDER A PETITION FILED AFTER 7
DECEMBER 31, 2025, FOR GOOD CAUSE SHOWN . 8
(9) A PERSON WHOSE CONVICT ION IS SUBJECT TO A DIRECT APPEAL 9
FOR WHICH A FINAL DI SPOSITION HAS NOT BE EN REACHED MAY FILE A PETITION 10
UNDER THIS SECTION . 11
10–105.3. 12
(A) IN THIS SECTION, “PERSONAL USE AMOUNT ” HAS THE MEANING STATED 13
IN § 5–101 OF THE CRIMINAL LAW ARTICLE. 14
(B) (1) THE LEGALIZATION OF P OSSESSION AND CULTIV ATION OF A 15
PERSONAL USE AMOUNT OF CANNABIS BY PERSO NS AT LEAST 21 YEARS OLD UNDER 16
TITLE 23 OF THE HEALTH – GENERAL ARTICLE IS RETROACTIV E. 17
(2) ALL CHARGES PENDING O N JULY 1, 2022, FOR POSSESSION , 18
POSSESSION WITH INTE NT TO DISTRIBUTE , OR CULTIVATION OF A PERSONAL USE 19
AMOUNT OF CANNABIS B Y A PERSON WHO IS AT LEAST 21 YEARS OLD SHALL BE 20
DISMISSED. 21
(3) (I) A PERSON INCARCERATED OR UNDER SUPERVISIO N ON OR 22
AFTER JULY 1, 2022, FOR AN OFFENSE INVOL VING THE POSSESSION , POSSESSION 23
WITH INTENT TO DISTR IBUTE, OR CULTIVATION OF A PERSONAL USE AMOUNT OF 24
CANNABIS MAY PRESENT AN APPLICATION FOR R ELEASE TO THE COURT THAT 25
SENTENCED THE PERSON . 26
(II) 1. THE COURT SHALL GRANT TH E PETITION AND 27
VACATE THE CONVICTIO N. 28
2. IF THE PERSON IS NOT SERVING A CONCURRENT OR 29
CONSECUTIVE SENTENCE FOR ANOTHER OFFENSE , THE PERSON SHALL BE 30
RELEASED FROM INCARC ERATION OR SUPERVISI ON. 31
34 SENATE BILL 692
(C) (1) A PERSON INCARCERATED OR UNDER SUPERVISION ON JULY 1, 1
2022, FOR AN OFFENSE INVOL VING THE POSSESSION , POSSESSION WITH INTE NT TO 2
DISTRIBUTE, CULTIVATION, PROCESSING, OR SALE OF CANNABIS MAY PRESENT AN 3
APPLICATION FOR RESE NTENCING TO THE COUR T THAT SENTENCED THE PERSON 4
REGARDLESS OF WHET HER THE PERSON HAS P REVIOUSLY FILED A PE TITION FOR 5
RESENTENCING . 6
(2) THE COURT SHALL CONSI DER THE INDIVIDUAL C IRCUMSTANCES 7
OF EACH CASE AND SHA LL REDUCE THE APPLIC ANT’S SENTENCE IF THE CO URT 8
FINDS THAT DOING SO WOULD BE IN THE INTE REST OF JUSTICE , IN LIGHT OF THE 9
ELIMINATION AND REDU CTION IN PENALTIES A SSOCIATED WITH 10
CANNABIS–RELATED CONDUCT AND PAST RACIAL DISPARIT IES IN THE 11
ENFORCEMENT OF CANNA BIS LAWS. 12
(3) THE SENTENCE OF THE A PPLICANT MAY NOT BE INCREASED AT A 13
PROCEEDING DESCRIBED IN PARAGRAPH (2) OF THIS SUBSECTION . 14
(D) (1) A PERSON PREVIOUSLY CO NVICTED OF AN OFFENS E INVOLVING 15
THE POSSESSION , POSSESSION WITH INTE NT TO DISTRIBUTE , CULTIVATION, 16
PROCESSING, OR SALE OF CANNABIS NOT LISTED IN § 8–303(A) OF THIS SUBTITLE 17
WHO IS NOT INCARCERA TED OR UNDER SUPERVISION AT T HE TIME OF THE PETIT ION 18
MAY PRESENT AN APPLI CATION FOR EXPUNGEME NT TO THE COURT . 19
(2) THE COURT SHALL CONSI DER THE INDIVIDUAL C IRCUMSTANCES 20
OF A CASE DESCRIBED IN PARAGRAPH (1) OF THIS SUBSECTION A ND SHALL 21
EXPUNGE THE APPLICAN T’S RECORD IF THE COURT FIND S THAT DOING SO WOUL D 22
BE IN THE INTEREST O F JUSTICE, IN LIGHT OF THE ELIM INATION AND REDUCTIO N 23
IN PENALTIES ASSOCIA TED WITH CANNABIS –RELATED CONDUCT AND PAST RACIAL 24
DISPARITIES IN THE E NFORCEMENT OF CANNAB IS LAWS. 25
(E) (1) ANY INDIVIDUAL PETITIONING FOR R ELEASE OR RESENTENCI NG 26
IN ACCORDANCE WITH S UBSECTION (B) OR (C) OF THIS SECTION IS E LIGIBLE FOR 27
REPRESENTATION BY TH E OFFICE OF THE PUBLIC DEFENDER. 28
(2) ON AND AFTER JANUARY 1, 2024, ANY INDIVIDUAL PETIT IONING 29
FOR EXPUNGEMENT UNDE R SUBSECTION (D) OF THIS SECTION IS E LIGIBLE FOR 30
REPRESENTATION BY TH E OFFICE OF THE PUBLIC DEFENDER. 31
(F) (1) IN A PROCEEDING BROUG HT UNDER THIS SECTIO N, THE STATE’S 32
ATTORNEY SHALL RECEIV E NOTICE AND MAY BE HEARD. 33
(2) IN A FACTUAL DISPUTE WITHIN A PROCEEDING UNDER THIS 34
SECTION, THE PROSECUTION SHAL L BEAR THE BURDEN OF PROOF BY A 35 SENATE BILL 692 35
PREPONDERANCE OF THE EVIDENCE. 1
(3) IF THE STATE’S ATTORNEY DOES NOT REQ UEST TO BE HEARD IN 2
A PROCEEDING UNDER T HIS SECTION, THE COURT SHALL MAKE ALL FACTUAL 3
DETERMINATIONS BASED ON A PREPONDERANCE O F THE EVIDENCE . 4
(G) FUNDS SHALL BE ALLOCA TED BY THE OFFICE OF SOCIAL EQUITY FROM 5
THE COMMUNITY REINVESTMENT AND REPAIR FUND TO COVER THE COS T TO THE 6
OFFICE OF THE PUBLIC DEFENDER, STATE’S ATTORNEY’S OFFICES, AND COURTS, 7
AS PART OF THE COST OF ADMINISTERING TITLE 23 OF THE HEALTH – GENERAL 8
ARTICLE. 9
(H) IF A NONCITIZEN REQUE STS IN WRITING TO TH E OFFICE OF THE CLER K 10
OF THE COURT RECORDS RELATED TO AN OFFENS E LISTED IN SUBSECTI ON (B), (C), 11
OR (D) OF THIS SECTION FOR IMMIGRATION PURPOSES , THOSE RECORDS SHALL BE 12
PROVIDED IF AVAILABL E, OR A STATEMENT SHALL BE PROVIDED THAT NO RECORDS 13
CAN BE FOUND , WITHIN 30 DAYS AFTER THE REQUE ST. 14
Article – Economic Development 15
5–1501. 16
(a) There is a Small, Minority, and Women–Owned Businesses Account under the 17
authority of the Department. 18
(b) (1) (i) The Account shall receive money as required under § 9–1A–27 of 19
the State Government Article. 20
(ii) The Account shall receive money from the Strategic Energy 21
Investment Fund as required under § 9–20B–05 of the State Government Article. 22
(III) THE ACCOUNT SHALL RECEIVE MONEY FROM THE 23
CANNABIS REGULATION FUND AS REQUIRED UNDE R § 12.5–103 OF THE TAX – 24
GENERAL ARTICLE. 25
(2) Money in the Account shall be invested and reinvested by the Treasurer 26
and interest and earnings shall accrue to the Account. 27
(3) The Comptroller shall: 28
(i) account for the Account; and 29
(ii) on a properly approved transmittal prepared by the Department, 30
issue a warrant to pay out money from the Account in the manner provided under this 31
section. 32 36 SENATE BILL 692
(4) The Account is a special, nonlapsing fund that is not subject to § 7–302 1
of the State Finance and Procurement Article. 2
(5) Expenditures from the Account shall only be made on a properly 3
approved transmittal prepared by the Department as provided under subsection (c) of this 4
section. 5
(c) (1) In this subsection, “eligible fund manager”: 6
(i) means an entity that has significant financial or investment 7
experience, under criteria developed by the Department; and 8
(ii) includes an entity that the Department designates to manage 9
funds received under subsection (b)(1)(i) of this section. 10
(2) Subject to the provisions of paragraph (3) of this subsection, the 11
Department shall make grants to eligible fund managers to provide investment capital and 12
loans to small, minority, and women–owned businesses in the State. 13
(3) Except for money received from the Strategic Energy Investment Fund 14
OR THE CANNABIS REGULATION FUND, the Department shall ensure that eligible fund 15
managers allocate at least 50% of the funds from this Account to small, minority, and 16
women–owned businesses in the jurisdictions and communities surrounding a video lottery 17
facility. 18
(d) (1) Any money received from the Strategic Energy Investment Fund shall 19
be used to benefit small, minority, women–owned, and veteran–owned businesses in the 20
clean energy industry in the State. 21
(2) The Department shall make grants to eligible fund managers to provide 22
investment capital, including direct equity investments and similar investments and loans 23
to small, minority, women–owned, and veteran–owned businesses in the clean energy 24
industry in the State. 25
(E) (1) ANY MONEY RECEIVED FR OM THE CANNABIS REGULATION FUND 26
SHALL BE USED TO BEN EFIT SMALL , MINORITY, WOMEN–OWNED, AND 27
VETERAN–OWNED BUSINESSES IN THE CANNABIS INDUSTR Y IN THE STATE. 28
(2) THE DEPARTMENT SHALL MAKE GRANTS TO ELIGIBLE F UND 29
MANAGERS TO PROVIDE INVESTMENT CAPITAL , INCLUDING DIRECT EQU ITY 30
INVESTMENTS AND SIMI LAR INVESTMENTS AND LOANS TO SMALL , MINORITY, 31
WOMEN–OWNED, AND VETERAN –OWNED BUSINESSES IN THE CANNABIS INDUSTRY 32
IN THE STATE. 33
[(e)] (F) Fund managers receiving grants under this section shall: 34 SENATE BILL 692 37
(1) keep proper records of funds and accounts; 1
(2) provide an annual report to the Governor and, in accordance with § 2
2–1257 of the State Government Article, the General Assembly on investment capital and 3
loans made [pursuant to] IN ACCORDANCE WITH subsection (c) of this section; and 4
(3) be subject to audit by the Office of Legislative Audits of the Department 5
of Legislative Services. 6
[(f)] (G) (1) Subject to paragraph (2) of this subsection, an eligible fund 7
manager may use money from grants received under this section to pay expenses for 8
administrative, actuarial, legal, and technical services. 9
(2) The Department shall set the maximum amount of grant money that 10
each eligible fund manager may use under paragraph (1) of this subsection. 11
[(g)] (H) (1) Subject to paragraphs (2) through (4) of this subsection, an 12
eligible fund manager may use money from a grant received under subsection (d)(1) of this 13
section to pay ordinary and reasonable expenses for administrative, actuarial, legal, 14
marketing, and technical services and management fees. 15
(2) The Department shall: 16
(i) maintain all money received from the Strategic Energy 17
Investment Fund in a single account; [and] 18
(II) MAINTAIN ALL MONEY R ECEIVED FROM THE CANNABIS 19
REGULATION FUND IN A SINGLE ACCO UNT; AND 20
[(ii)] (III) make grant allocations to an eligible fund manager as the 21
manager advises the Department that the manager has approved and prepared to fund an 22
investment or a loan. 23
(3) Any allocation that the Department makes to an eligible fund manager 24
from the Strategic Energy Investment Fund shall include: 25
(i) the amount of the investment or loan; and 26
(ii) up to an additional 3% of the total investment or loan 27
commitment amount as a management fee for the benefit and compensation of the eligible 28
fund manager. 29
(4) An eligible fund manager that receives an allocation from the Strategic 30
Energy Investment Fund shall retain for the manager’s benefit: 31
38 SENATE BILL 692
(i) all management fees paid by the Department; and 1
(ii) all interest earned from a loan made by the eligible fund manager 2
under this subsection. 3
[(h)] (I) (1) Notwithstanding any provisions in this section to the contrary, 4
this subsection applies to businesses in areas of the State that are: 5
(i) declared to be federal disaster areas; 6
(ii) subject to a federal declaration of emergency; or 7
(iii) subject to an official declaration of emergency by the Governor. 8
(2) In an area of the State described in paragraph (1) of this subsection, an 9
eligible fund manager may: 10
(i) provide financial assistance under this section to a small, 11
minority, or women–owned business in the form of a grant; or 12
(ii) convert to a grant part or all of a loan that was provided to a 13
small, minority, or women–owned business before the area was declared a federal disaster 14
area or became subject to a declaration of emergency. 15
(3) (i) The amount of any grant or loan converted to a grant under this 16
subsection may not exceed $50,000 for a single business. 17
(ii) The aggregate total of financial assistance provided in the form 18
of grants and loans converted to grants under this subsection may not exceed $10,000,000 19
in a fiscal year. 20
[(i)] (J) The Legislative Auditor shall audit the utilization of the funds that are 21
allocated to small, minority, and women–owned businesses by eligible fund managers 22
under subsection (c)(3) of this section during an audit of the applicable State unit as 23
provided in § 2–1220 of the State Government Article. 24
[(j)] (K) (1) On or before October 1 each year, the Department shall submit a 25
report on the status of money received from the Strategic Energy Investment Fund under 26
subsection (d) of this section to the Senate Finance Committee and the House Economic 27
Matters Committee, in accordance with § 2–1257 of the State Government Article. 28
(2) With respect to the preceding fiscal year and each relevant prior fiscal 29
year, the report shall include: 30
(i) the amounts received from the Fund; 31
(ii) the amounts placed as grants with eligible fund managers; and 32 SENATE BILL 692 39
(iii) with respect to each eligible fund manager: 1
1. the identity of the manager; 2
2. the money provided to the manager; 3
3. the investments made by the manager; 4
4. the amounts retained by the manager as expenses and 5
management fees; 6
5. the small, minority, women–owned, and veteran–owned 7
businesses receiving the investments; and 8
6. the status of the investments listed under item 5 of this 9
item, along with any return made on each investment. 10
Article – Health – General 11
TITLE 23. CANNABIS. 12
SUBTITLE 1. DEFINITIONS. 13
23–101. 14
(A) IN THIS TITLE THE FOL LOWING WORDS HAVE TH E MEANINGS 15
INDICATED. 16
(B) “CANNABIS” HAS THE MEANING STAT ED IN § 5–101 OF THE CRIMINAL 17
LAW ARTICLE. 18
(C) “CANNABIS ACCESSORIES ” MEANS ANY EQUIPMENT , PRODUCTS, OR 19
MATERIALS OF ANY KIN D THAT ARE USED , INTENDED FOR USE , OR DESIGNED FOR 20
USE IN PLANTING , PROPAGATING , CULTIVATING, GROWING, HARVESTING, 21
COMPOSTING , MANUFACTURING , COMPOUNDING , CONVERTING , PRODUCING, 22
PROCESSING, PREPARING, TESTING, ANALYZING, PACKAGING, REPACKAGING , 23
STORING, VAPORIZING, OR CONTAINING CANNAB IS, OR FOR INGESTING , INHALING, 24
OR OTHERWISE INTRODU CING CANNABIS INTO T HE HUMAN BODY. 25
(D) “CANNABIS ESTABLISHMEN T” MEANS A CULTIVATOR , A DELIVERY 26
SERVICE, A PROCESSOR , A RETAILER, AN INDEPENDENT TESTI NG LABORATORY , A 27
TRANSPORTER , AN ON–SITE CONSUMPTION EST ABLISHMENT , OR ANY OTHER TYPE 28
OF CANNABIS BUSINESS LICENSED UNDER THIS TITLE AND AUTHORIZED BY TH E 29
COMMISSION. 30 40 SENATE BILL 692
(E) “CANNABIS ESTABLISHMEN T AGENT” OR “AGENT” MEANS AN 1
EMPLOYEE OR OTHER AU THORIZED PERSON WHO ACTS FOR OR AT THE D IRECTION 2
OF A CANNABIS ESTABL ISHMENT. 3
(F) “CANNABIS PRODUCTS ” MEANS PRODUCTS THAT ARE COMPOSED OF 4
CANNABIS, CANNABIS CONCENTRATE , OR CANNABIS EXTRACT AND OTHER 5
INGREDIENTS AND ARE INTENDED FOR USE OR CONSUMPTION , INCLUDING EDIBLE 6
PRODUCTS, OINTMENTS, AND TINCTURES . 7
(G) “CANNABIS REGULATION FUND” MEANS THE FUND ESTAB LISHED 8
UNDER § 12.5–103 OF THE TAX – GENERAL ARTICLE. 9
(H) “CLASS A PROCESSOR” MEANS A PROCESSOR TH AT MAY PERFORM 10
SOLVENT–BASED EXTRACTIONS ON CANNABIS IN COMPLIAN CE WITH REGULATIONS 11
ADOPTED BY THE COMMISSION. 12
(I) “CLASS B PROCESSOR” MEANS A PROCESSOR TH AT MAY NOT PERFORM 13
SOLVENT–BASED EXT RACTIONS ON CANNABIS USING SOLVENTS OTHER THAN 14
WATER, GLYCERIN, PROPYLENE GLYCOL , VEGETABLE OIL , OR FOOD–GRADE 15
ETHANOL. 16
(J) “COMMISSION” MEANS THE ALCOHOL AND TOBACCO COMMISSION OR 17
ITS SUCCESSOR AGENCY . 18
(K) “CONSUMER” MEANS AN INDIVIDUAL AT LEAST 21 YEARS OLD WHO 19
PURCHASES CANNABIS O R CANNABIS PRODUCTS FOR PERSONAL USE BY 20
INDIVIDUALS AT LEAST 21 YEARS OLD. 21
(L) “CULTIVATOR” MEANS AN ENTITY LICE NSED UNDER THIS TITL E THAT: 22
(1) CULTIVATES OR PACKAGE S CANNABIS; AND 23
(2) IS AUTHORIZED BY THE COMMISSION TO PROVIDE CANNABIS TO 24
OTHER CANNABIS ESTAB LISHMENTS. 25
(M) “DELIVERY SERVICE ” MEANS AN ENTITY LICE NSED UNDER THIS TITL E 26
THAT IS AUTHORIZED B Y THE COMMISSION TO DELIVER CANNABIS TO CONSUMER S. 27
(N) “FUND” MEANS THE COMMUNITY REINVESTMENT AND REPAIR FUND 28
ESTABLISHED UNDER § 23–201 OF THIS TITLE. 29
(O) “INDEPENDENT TESTING L ABORATORY ” MEANS A FACILITY , AN ENTITY, 30 SENATE BILL 692 41
OR A SITE THAT OFFER S OR PERFORMS TESTS RELATED TO THE INSPE CTION AND 1
TESTING OF CANNABIS AND PRODUCTS CONTAIN ING CANNABIS. 2
(P) “LOCALITY” MEANS A COUNTY , A MUNICIPAL CORPORAT ION, OR 3
ANOTHER POLITICAL SU BDIVISION OF THE STATE. 4
(Q) “MEDICAL CANNABIS DISP ENSARY” MEANS A DISPENSARY L ICENSED 5
UNDER TITLE 13, SUBTITLE 33 OF THIS ARTICLE. 6
(R) “MEDICAL CANNABIS GROW ER” MEANS A GROWER LICEN SED UNDER 7
TITLE 13, SUBTITLE 33 OF THIS ARTICLE. 8
(S) “MEDICAL CANNABIS INDE PENDENT TESTING LABO RATORY” MEANS AN 9
INDEPENDENT TESTING LABORATORY LICENSED UNDER TITLE 13, SUBTITLE 33 OF 10
THIS ARTICLE. 11
(T) “MEDICAL CANNABIS PROC ESSOR” MEANS A PROCESSOR LI CENSED 12
UNDER TITLE 13, SUBTITLE 33 OF THIS ARTICLE. 13
(U) “ON–SITE CONSUMPTION EST ABLISHMENT ” MEANS AN ENTITY 14
LICENSED UNDER THIS TITLE AND AUTHORIZED BY THE COMMISSION AND THE 15
LOCALITY IN WHICH IT IS LOCATED TO SELL C ANNABIS OR CANNABIS PRODUCTS FOR 16
ON–SITE CONSUMPTION. 17
(V) “PERSONAL USE AMOUNT ” HAS THE MEANING STAT ED IN § 5–101 OF 18
THE CRIMINAL LAW ARTICLE. 19
(W) (1) “PROCESSOR” MEANS AN ENTITY LICE NSED UNDER THIS TITL E 20
AND AUTHORIZED BY TH E COMMISSION TO : 21
(I) TRANSFORM CANNABIS IN TO ANOTHER PRODUCT O R 22
EXTRACT; AND 23
(II) PACKAGE AND LABEL CAN NABIS. 24
(2) “PROCESSOR” INCLUDES CLASS A AND CLASS B PROCESSORS . 25
(X) (1) “PUBLIC PLACE” MEANS ANY PLACE TO W HICH THE GENERAL 26
PUBLIC HAS ACCESS . 27
(2) “PUBLIC PLACE” DOES NOT INCLUDE : 28
(I) AN ON–SITE CONSUM PTION ESTABLISHMENT ; OR 29 42 SENATE BILL 692
(II) ANY VENUE OR AREA WHE RE INDIVIDUALS CONGR EGATE TO 1
CONSUME CANNABIS IN A MANNER CONSISTENT WITH LOCAL LAW . 2
(Y) “REMUNERATION ” MEANS A THING OF VAL UE, INCLUDING MONETARY 3
PAYMENT, A DONATION, THE PROVISION OF A S ERVICE, THE PURCHASE OF AN ITEM 4
AT ABOVE FAIR MARKET VALUE, OR THE TRADE OF A PH YSICAL ITEM OF VALUE . 5
(Z) “RETAILER” MEANS AN ENTITY LICE NSED TO: 6
(1) PURCHASE CANNABIS FRO M CANNABIS ESTABLISH MENTS; AND 7
(2) SELL CANNABIS AND CAN NABIS PRODUCTS TO CO NSUMERS. 8
(AA) “TRANSPORTER ” MEANS AN ENTITY LICE NSED UNDER THIS TITL E AND 9
AUTHORIZED BY THE COMMISSION TO TRANSPO RT CANNABIS BETWEEN CANNABIS 10
ESTABLISHMENTS . 11
SUBTITLE 2. COMMUNITY REINVESTMENT AND REPAIR FUND. 12
23–201. 13
(A) (1) THERE IS A COMMUNITY REINVESTMENT AND REPAIR FUND. 14
(2) THE PURPOSE OF THE FUND IS TO PROVIDE FUNDS TO 15
COMMUNITY –BASED ORGANIZATIONS THAT SERVICE COMMUNI TIES DETERMINED 16
BY THE OFFICE OF THE ATTORNEY GENERAL TO HAVE BEEN THE MOST IMPACT ED 17
BY DISPROPORTIONATE ENFORCEMENT OF THE CANNABIS PROHIBITION BEFORE 18
JULY 1, 2022. 19
(3) THE COMPTROLLER SHALL ADMINISTER THE FUND. 20
(4) (I) THE FUND IS A SPECIAL, NONLAPSING FUND THAT IS NOT 21
SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 22
(II) THE STATE TREASURER SHALL HOLD THE FUND 23
SEPARATELY, AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 24
(5) THE FUND CONSISTS OF : 25
(I) ANY MONEY ALLOCATED T O THE FUND UNDER § 12.5–103 26
OF THE TAX – GENERAL ARTICLE; AND 27
SENATE BILL 692 43
(II) ANY OTHER MONEY FROM ANY OTHER SOURCE ACC EPTED 1
FOR THE BENEFIT OF THE FUND, IN ACCORDANCE WITH A NY CONDITIONS ADOPTE D 2
BY THE COMPTROLLER FOR THE ACCEPTANCE O F DONATIONS OR GIFTS TO THE 3
FUND. 4
(6) (I) THE FUND MAY BE USED ONLY FOR: 5
1. FUNDING COMMUNITY –BASED INITIATIVES 6
INTENDED TO BENEFIT LOW–INCOME COMMUNITIES ; 7
2. FUNDING COMMUNITY –BASED INITIATIVES TH AT 8
SERVE COMMUNITIES DI SPROPORTIONATELY HAR MED BY THE CANNABIS 9
PROHIBITION AND ENFO RCEMENT; AND 10
3. ANY RELATED ADMINISTR ATIVE EXPENSES . 11
(II) MONEY MAY NOT BE EXPENDED FROM T HE FUND FOR LAW 12
ENFORCEMENT AGENCIES OR ACTIVITIES. 13
(III) MONEY EXPENDED FROM T HE FUND IS SUPPLEMENTAL TO 14
AND MAY NOT SUPPLANT FUN DING THAT OTHERWISE WOULD BE APPROPRIATED 15
FOR PREEXISTING LOCAL GO VERNMENT PROGRAMS . 16
(7) THE STATE TREASURER SHALL INVES T THE MONEY OF THE FUND 17
IN THE SAME MANNER A S OTHER STATE MONEY MAY BE IN VESTED. 18
(8) NO PART OF THE FUND MAY REVERT OR BE CREDITED TO: 19
(I) THE GENERAL FUND OF THE STATE; OR 20
(II) ANY OTHER SPECIAL FUN D OF THE STATE. 21
(9) THE COMPTROLLER SHALL PAY OUT MONEY FROM THE FUND. 22
(10) THE FUND IS SUBJECT TO AU DIT BY THE OFFICE OF LEGISLATIVE 23
AUDITS AS PROVIDED FO R IN § 2–1220 OF THE STATE GOVERNMENT ARTICLE. 24
(B) (1) THE COMPTROLLER SHALL DISTRIBUTE FUN DS FROM THE FUND 25
TO THE COUNTIES IN AN AMOUNT THAT , FOR THE PERIOD FROM JULY 1, 2002, TO 26
JUNE 30, 2022, BOTH INCLUSIVE , IS PROPORTIONATE TO THE TOTAL NUMBER OF 27
MARIJUANA ARRESTS IN THE COUNTY COMPARED TO THE TOTA L NUMBER OF 28
MARIJUANA ARRESTS IN THE STATE. 29
44 SENATE BILL 692
(2) (I) SUBJECT TO THE LIMITATIONS UNDER SU BSECTION (A)(6) 1
OF THIS SECTION, EACH COUNTY SHALL ADOPT A LAW ESTABLISHING THE PUR POSE 2
FOR WHICH MONEY RECE IVED FROM THE FUND MAY BE USED . 3
(II) ON OR BEFORE DECEMBER 1 EVERY 2 YEARS, BEGINNING 4
IN 2024, EACH LOCAL JURISDICTION SHALL SUBMIT A REPORT TO T HE GOVERNOR 5
AND, IN ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, THE 6
SENATE BUDGET AND TAXATION COMMITTEE, THE SENATE FINANCE COMMITTEE, 7
THE HOUSE JUDICIARY COMMITTEE, AND THE HOUSE HEALTH AND GOVERNMENT 8
OPERATIONS COMMITTEE ON HOW FUNDS RECEIVE D FROM THE FUND WERE SPENT 9
DURING THE IMMEDIATE LY PRECEDING 2 FISCAL YEARS. 10
SUBTITLE 3. CANNABIS REGULATION. 11
23–301. 12
(A) (1) ON OR BEFORE OCTOBER 1, 2023, THE COMMISSION SHALL 13
ADOPT REGULATIONS NE CESSARY FOR IMPLEMEN TATION OF THIS TITLE. 14
(2) THE REGULATIONS MAY N OT: 15
(I) PROHIBIT THE OPERATIO N OF CANNABIS 16
ESTABLISHMENTS , EITHER EXPRESSLY OR THROUGH THE APPLICAT ION OF THE 17
REGULATIONS ; OR 18
(II) REQUIRE A HIGH INVEST MENT OF RISK, MONEY, TIME, OR 19
ANY OTHER RESOURCE O R ASSET THAT WOULD RESULT IN THE OPERATION OF A 20
CANNABIS ESTABLISHME NT BEING CONSIDERED NOT WORTHY OF BEING CARRIED 21
OUT IN PRACTICE BY A REASONABLY PRUDENT B USINESSPERSON . 22
(3) THE REGULATIONS SHALL INCLUDE: 23
(I) PROCEDURES FOR THE IS SUANCE, RENEWAL, SUSPENSION, 24
AND REVOCATION OF A LICENSE TO OPERATE A CANNABIS ESTABLISHME NT; 25
(II) RULES, PROCEDURES , AND POLICIES TO PROM OTE AND 26
ENCOURAGE FULL PARTI CIPATION IN THE REGU LATED CANNABIS INDUS TRY BY 27
PEOPLE FROM COMMUNIT IES THAT HAVE PREVIO USLY BEEN 28
DISPROPORTIO NATELY HARMED BY CAN NABIS PROHIBITION AN D ENFORCEMENT 29
AND TO POSITIVELY IM PACT THOSE COMMUNITI ES, INCLUDING: 30
1. CONDUCTING NECESSARY AND APPROPRIATE 31
OUTREACH TO DIVERSE GROUPS THAT MAY QUAL IFY FOR PARTICIPATIO N IN 32 SENATE BILL 692 45
ACTIVITIES UNDER THI S TITLE; 1
2. REQUIRING EACH CANNAB IS ESTABLISHMENT TO 2
ESTABLISH AND ADHERE TO POLICIES THAT ENC OURAGE DIVERSITY IN 3
EMPLOYMENT , CONTRACTING , AND OTHER PROFESSION AL OPPORTUNITIES ; AND 4
3. REQUIRING EACH CANNAB IS ESTABLISHMENT TO 5
REPORT ON THE DIVERS ITY OF ITS WORKFOR CE, MANAGEMENT , CONTRACTS, AND 6
OWNERSHIP ON OR BEFO RE JANUARY 1 EACH YEAR; 7
(III) AN APPLICATION REVIEW PROCESS FOR GRANTING 8
LICENSES; 9
(IV) A PROCESS TO ALLOW CUL TIVATORS TO MOVE TO ANOTHER 10
TIER OF LICENSE; 11
(V) A SCHEDULE OF REASONAB LE APPLICATION, LICENSE, AND 12
RENEWAL FEES THAT : 13
1. ESTABLISHES APPLICATI ON FEES IN AN AMOUNT NOT 14
EXCEEDING $5,000, AS ADJUSTED ANNUALLY FOR INFLATION , UNLESS THE 15
COMMISSION DETERMINES A GREATER FEE IS NEC ESSARY TO CARRY OUT ITS 16
RESPONSIBILITIES UND ER THIS TITLE OR ANOTHER F EE AMOUNT IS REQUIRE D 17
UNDER THIS TITLE ; 18
2. BASES APPLICATION AND LICENSING FEES FOR 19
CULTIVATION ON TIER , WITH SUBSTANTIALLY L OWER FEES FOR TIER 1 20
CULTIVATORS THAN FOR TIER 5 CULTIVATORS ; AND 21
3. SETS APPLICATION AND LICENSING FEES FOR CLASS 22
B PROCESSORS SUBSTANTI ALLY LOWER THAN APPL ICATION AND LICENSIN G FEES 23
FOR CLASS A PROCESSORS ; 24
(VI) QUALIFICATIONS FOR A LICENSE THAT ARE DIR ECTLY AND 25
DEMONSTRABLY RELATED TO THE OPERATION OF A CANNABIS ESTABLISH MENT 26
AND THAT DO NOT DISQ UALIFY APPLICANTS FOR CANNABIS OFFENSES OC CURRING 27
BEFORE JULY 1, 2022; 28
(VII) SECURITY REQUIREMENTS ; 29
(VIII) REQUIREMENTS FOR THE SECURE TRANSPORTATIO N AND 30
STORAGE OF CANNABIS AND CANNABIS PRODUCT S BY CANNABIS ESTABL ISHMENTS; 31
46 SENATE BILL 692
(IX) REQUIREMENTS FOR DELIVERY SERVICES , INCLUDING: 1
1. SECURITY REQUIREMENTS ; 2
2. A PROHIBITION ON BUSIN ESS NAMES, LOGOS, AND 3
OTHER IDENTIFYING LA NGUAGE OR IMAGES ON DELIVERY VEHICLES ; AND 4
3. A PROHIBITION ON DELIV ERING TO ANY ADDRESS 5
LOCATED ON LAND OWNE D BY THE FEDERAL GOVERNMENT O R ANY ADDRESS ON 6
LAND OR IN A BUILDIN G LEASED BY THE FEDE RAL GOVERNMENT ; 7
(X) EMPLOYMENT AND TRAINI NG REQUIREMENTS THAT DO 8
NOT DISQUALIFY APPLI CANTS BASED ON CANNA BIS OFFENSES OCCURRI NG BEFORE 9
JULY 1, 2022, INCLUDING A REQUIREM ENT THAT EACH CANNABIS ES TABLISHMENT 10
CREATE AN IDENTIFICA TION BADGE FOR EACH AGENT; 11
(XI) REQUIREMENTS DESIGNED TO PREVENT THE SALE OR 12
DIVERSION OF CANNABI S AND CANNABIS PRODU CTS TO INDIVIDUALS U NDER THE 13
AGE OF 21 YEARS; 14
(XII) REQUIREMENTS FOR CANN ABIS AND CANNABIS PRODUCT S 15
SOLD OR DISTRIBUTED BY A CANNABIS ESTABL ISHMENT, INCLUDING: 16
1. A REQUIREMENT THAT LAB ELS BE ACCURATE AND 17
NOT MISLEADING ; 18
2. A REQUIREMENT THAT CAN NABIS PRODUCT LABELS 19
INCLUDE: 20
A. THE LENGTH OF TIME IT TYPICALLY TAKES FO R THE 21
PRODUCT TO TAKE EFFE CT; 22
B. A DISCLOSURE OF INGRED IENTS AND POSSIBLE 23
ALLERGENS; AND 24
C. A NUTRITIONAL FACT PAN EL; 25
3. A REQUIREMENT THAT CAN NABIS PRODUCTS HAVE 26
OPAQUE, CHILD–RESISTANT PACKAGING THAT IS DESIGNED OR CONSTRUCTED TO 27
BE SIGNIFICANTLY DIFFICULT FO R CHILDREN UNDER THE AGE OF 5 YEARS TO OPEN 28
AND NOT DIFFICULT FO R NORMAL ADULTS TO U SE PROPERLY AS DEFIN ED BY 16 29
C.F.R. 1700.20 (1995); AND 30
SENATE BILL 692 47
4. A REQUIREMENT THAT EDI BLE CANNABIS PRODUCT S 1
BE CLEARLY IDENTIFIA BLE, WHEN PRACTICABLE , WITH A STANDARD SYMBO L 2
INDICATING THAT IT C ONTAINS CANNABIS ; 3
(XIII) HEALTH AND SAFETY REG ULATIONS AND STANDAR DS FOR 4
THE MANUFACTURE OF C ANNABIS PRODUCTS AND BOTH THE INDOOR AND OUTDOOR 5
CULTIVATION OF CANNA BIS BY CANNABIS ESTA BLISHMENTS; 6
(XIV) REGULATIONS CONCERNING ADV ERTISING AND SIGNAGE , 7
INCLUDING RULES FOR AUDIENCE COMPOSITION TO REDUCE THE LIKELI HOOD OF 8
ADVERTISING EXPOSURE FOR MINORS; 9
(XV) CREATION OF A LICENSU RE TIER SYSTEM FOR 10
CULTIVATORS THAT : 11
1. IS BASED ON TOTAL CAN OPY; 12
2. ALLOWS CULTIVATORS TO A PPLY TO MOVE TO 13
ANOTHER TIER ; 14
3. BASES FEES ON TIER ; AND 15
4. INCLUDES, AT A MINIMUM, THE FOLLOWING TIERS OF 16
CULTIVATION LICENSES : 17
A. TIER 1 CULTIVATOR OR MICROB USINESS THAT 18
AUTHORIZES THE CULTI VATOR TO GROW A TOTA L CANOPY OF NOT MORE THAN 5,000 19
SQUARE FEET FOR INDO OR CULTIVATION OR 15,000 SQUARE FEET FOR OUTD OOR 20
CULTIVATION; 21
B. TIER 2 CULTIVATOR THAT AUTH ORIZES THE 22
CULTIVATOR TO GROW A TOTAL CANOPY OF NOT MORE THAN 10,000 SQUARE FEET 23
FOR INDOOR CULTIVATI ON OR 30,000 SQUARE FEET FOR OUTDOO R CULTIVATION; 24
C. TIER 3 CULTIVATOR THAT AUTH ORIZES THE 25
CULTIVATOR TO GROW A TOTAL CANOPY OF NOT MORE THAN 20,000 SQUARE FEET 26
FOR INDOOR CULTIVATI ON OR 60,000 SQUARE FEET FOR OUTD OOR CULTIVATION ; 27
D. TIER 4 CULTIVATOR THAT AUTH ORIZES A 28
CULTIVATOR TO GROW A TOTAL CANOPY OF NOT MORE THAN 35,000 SQUARE FEET 29
FOR INDOOR CULTIVATI ON OR 105,000 SQUARE FEET FOR OUTD OOR CULTIVATION ; 30
E. TIER 5 CULTIVATOR THAT AUTH ORIZES A 31 48 SENATE BILL 692
CULTIVATOR TO GROW A TOTAL CANOPY OF NOT MORE THAN 50,000 SQUARE FEET 1
FOR INDOOR CULTIVATI ON OR 150,000 SQUARE FEET FOR OUTD OOR CULTIVATION ; 2
AND 3
F. ADDITIONAL TIERS NECE SSARY TO ACCOMMODATE 4
THE EXPANSION OF CUL TIVATORS IN TIER 5 OR ABOVE THAT CAN DE MONSTRATE 5
THAT THEY HAVE BEEN OPERATING AT OR NEAR THE CANOP Y LIMIT OF THEIR TIE R 6
AND THAT THERE IS DE MAND FOR INCREASED C ULTIVATION; 7
(XVI) RESTRICTIONS OR PROHI BITIONS ON ADDITIVES TO 8
CANNABIS AND CANNABI S–INFUSED PRODUCTS , INCLUDING ADDITIVES THAT ARE 9
TOXIC OR DESIGNED TO MAKE THE PRODUCT MOR E ADDICTIVE; 10
(XVII) PROHIBITIONS ON PRODU CTS THAT ARE DESIGNE D TO 11
MAKE THE PRODUCT MOR E APPEALING TO CHILD REN, INCLUDING A PROHIBIT ION 12
ON THE USE OF ANY IM AGES DESIGNED OR LIK ELY TO APPEAL TO MIN ORS, 13
INCLUDING CARTOONS , TOYS, ANIMALS, OR CHILDREN , AND ANY OTHER LIKENE SS 14
TO IMAGES, CHARACTERS , OR PHRASES THAT ARE POPULARLY USED TO AD VERTISE 15
TO CHILDREN; 16
(XVIII) TESTING REQUIREMENTS AND STANDARDS FOR TH E 17
OPERATIONS OF TESTIN G LABS THAT ARE IDEN TICAL TO THOSE ISSUE D UNDER 18
TITLE 13, SUBTITLE 33 OF THIS ARTICLE, EXCEPT THAT THE REQUIREMENTS AND 19
STANDARDS MAY BE LES S RIGOROUS IF THE COMMISSION FINDS LESS RIGOROUS 20
STANDARDS ARE WARRAN TED DUE TO THE DIFFE RENCES BETWEEN ADULT –USE 21
CONSUMERS AND MEDICA L PATIENTS; 22
(XIX) SPECIFICATIONS GOVERN ING VISITS TO CULTIV ATORS AND 23
PROCESSORS, INCLUDING A REQUIREM ENT THAT THE CANNABI S ESTABLISHMENT 24
LOG VISITORS; 25
(XX) A DEFINITION OF THE AM OUNT OF 26
DELTA–9–TETRAHYDROCANNABINOL THAT CONSTITUTES A S INGLE SERVING IN A 27
CANNABIS PRODUCT ; 28
(XXI) STANDARDS FOR THE SAF E MANUFACTURE OF CAN NABIS 29
EXTRACTS AND CONCENT RATES; 30
(XXII) REQUIREMENTS THAT EDU CATIONAL MATERIALS B E 31
DISSEMINATED TO CONS UMERS WHO PURCHASE C ANNABIS–INFUSED PRODUCTS ; 32
(XXIII) REQUIREMENTS FOR RAND OM SAMPLE TESTING TO 33
ENSURE QUALITY CONTR OL, INCLUDING: 34 SENATE BILL 692 49
1. BY ENSURING THAT CANN ABIS AND 1
CANNABIS–INFUSED PRODUCTS ARE ACCURATELY LABELED F OR POTENCY; AND 2
2. UNLESS THE COMMISSION DETERMINES THAT 3
REMEDIATION OR TREAT MENT IS SUFFICIENT T O ENSURE PRODUCT SAF ETY, A 4
REQUIREMENT THAT TES TING INCLUDE TESTING FOR: 5
A. RESIDUAL SOLVENTS , POISONS, OR TOXINS; 6
B. HARMFUL CHEMICALS ; 7
C. DANGEROUS MOLDS OR MI LDEW; 8
D. FILTH; AND 9
E. HARMFUL MICROBIALS , SUCH AS E. COLI OR 10
SALMONELLA , AND PESTICIDES ; 11
(XXIV) CIVIL PENALTIES OF UP TO $20,000 FOR FAILURE TO 12
COMPLY WITH REGULATI ONS ADOPTED IN ACCOR DANCE WITH THIS TITL E; 13
(XXV) PROCEDURES FOR COLLEC TING TAXES LEVIED ON 14
CANNABIS ESTABLISHME NTS; 15
(XXVI) REQUIREMENTS FOR ON –SITE CONSUMPTION 16
ESTABLISHMENTS , INCLUDING FOR SECURI TY, VENTILATION, ODOR CON TROL, AND 17
CONSUMPTION BY PATRO NS, THAT MAY NOT PROHIBI T AN ON–SITE CONSUMPTION 18
LICENSEE ALSO HOLDIN G AN APPROPRIATE LICENSE TO SELL BEER AND WINE FOR 19
ON–PREMISES CONSUMPTION FROM SELLING BEER AN D WINE IF APPROVED B Y THE 20
LOCALITY IN WHICH TH E ON–SITE CONSUMPTION ESTABLIS HMENT PLANS TO 21
OPERATE; 22
(XXVII) PROCEDURES FOR INVENT ORY MANAGEMENT AND 23
TRACKING THAT MAY NO T REQUIRE THE DIFFER ENTIATION BETWEEN AD ULT–USE 24
AND MEDICAL CANNABIS OR CANNABIS PRODUCTS BE FORE THE POINT OF SA LE, 25
EXCEPT FOR HIGH –POTENCY CANNABIS PRODUCTS AL LOWED FOR PATIENTS T HAT 26
EXCEED POTENCY LIMIT S SET FOR ADULT–USE CANNABIS PRODUCT S; AND 27
(XXVIII) PROCEDURES ALLOWING C ANNABIS 28
ESTABLISHMENTS TO OB TAIN AND SELL HEMP A ND HEMP PRODUCTS AND 29
MANUFACTURE PRODUCTS USING HEMP–DERIVED ISOLATE . 30
50 SENATE BILL 692
(B) (1) AFTER CONSULTING WITH RESEARCHERS KNOWLEDG EABLE 1
ABOUT THE RISKS AND BENEFITS OF CANNABIS AND PROVIDING AN OPPORTUNITY 2
FOR PUBLIC COMMENT , THE COMMISSION SHALL DEVE LOP A SCIENTIFICALLY 3
ACCURATE SAFETY INFO RMATION LABEL , HANDOUT, OR BOTH. 4
(2) THE SAFETY INFORMATIO N MATERIALS DEVELOPE D UNDER 5
PARAGRAPH (1) OF THIS SUBSECTION S HALL BE AVAILABLE TO EACH CONSUMER . 6
(3) THE SAFETY INFORMATIO N MATERIALS DEVELOPE D UNDER 7
PARAGRAPH (1) OF THIS SUBSECTION S HALL INCLUDE : 8
(I) ADVICE ABOUT THE POTE NTIAL RISKS OF CANNA BIS, 9
INCLUDING: 10
1. THE RISKS OF DRIVING UNDER THE INFLUENCE OF 11
CANNABIS AND THE FAC T THAT DOING SO IS ILLEGAL; 12
2. ANY ADVERSE EFFECTS U NIQUE TO YOUNGER 13
ADULTS, INCLUDING EFFECTS RE LATED TO BRAIN DEVELOPMENT ; 14
3. POTENTIAL ADVERSE EVE NTS AND OTHER RISKS ; AND 15
4. RISKS OF USING CANNAB IS DURING PREGNANCY OR 16
BREASTFEEDING ; AND 17
(II) A WARNING ABOUT THE NEED TO SAFEGUARD ALL 18
CANNABIS AND CANNABI S PRODUCTS FROM CHIL DREN AND PETS . 19
(C) (1) THE COMMISSION SHALL REVI EW AND UPDATE THE SA FETY 20
INFORMATION MATERIAL S DEVELOPED UNDER SU BSECTION (B)(1) OF THIS 21
SECTION AT LEAST ONC E EVERY 2 YEARS TO E NSURE THE MATERIALS REMAIN 22
ACCURATE. 23
(2) THE REVIEW PERIOD SHA LL INCLUDE THE SOLIC ITATION OF 24
INPUT FROM RESEARCHE RS KNOWLEDGEABLE ABO UT THE RISKS AND BEN EFITS OF 25
CANNABIS AND AN OPPO RTUNITY FOR PUBLIC C OMMENT. 26
(D) IN ORDER TO ENSURE TH AT INDIVIDUAL PRIVACY IS PROTECTED : 27
(1) THE COMMISSION MAY NOT RE QUIRE A CONSUMER TO PROVIDE A 28
RETAILER WITH PERSON AL INFORMATION OTHER THAN GOVERNMENT –ISSUED 29
IDENTIFICATION TO DE TERMINE THE CONSUMER ’S AGE; AND 30
SENATE BILL 692 51
(2) A RETAILER MAY NOT BE REQUIRED TO ACQUIRE AND RECORD 1
PERSONAL INFORMATION ABOUT CONSUMERS . 2
(E) (1) THE COMMISSION SHALL DEVE LOP POLICIES AND PRO CEDURES 3
GOVERNING THE COMMISSION’S APPROVAL OF TRANSF ER OF LICENSES. 4
(2) THE POLICIES AND PROC EDURES MAY REQUIRE T HAT, BEFORE 5
THE TRANSFER IS APPR OVED: 6
(I) ADDITIONAL CONDITIONS BE MET; OR 7
(II) A REASONABLE PERIOD OF TIME ELAPSE S BEFORE THE 8
TRANSFER. 9
(F) (1) IN AWARDING LICENSES UNDER THIS TITLE , THE COMMISSION 10
SHALL ENSURE THAT AT LEAST 30% OF THE LICENSES AWAR DED ARE AWARDED TO 11
APPLICANTS THAT ARE 51% OR MORE OWNED BY MEM BERS OF A GROUP THAT HAS 12
BEEN HISTORICALLY NE GATIVELY IMPACTED BY THE ENFORCEMENT OF T HE 13
CANNABIS PROHIBITION . 14
(2) IF THE COMMISSION FAILS TO COMPLY WITH THE REQUIREMENT 15
IN PARAGRAPH (1) OF THIS SUBSECTION , THE COMMISSION SHA LL DOCUMENT THE 16
ACTIONS TAKEN BY THE COMMISSION TO COMPLY AND THE REASON FOR T HE 17
FAILURE. 18
SUBTITLE 4. CANNABIS LICENSING. 19
23–401. 20
(A) EACH APPLICATION OR R ENEWAL APPLICATION F OR A LICENSE TO 21
OPERATE A CANNABIS E STABLISHMENT SHALL B E SUBMITTED TO THE COMMISSION. 22
(B) CANNABIS ESTABLISHMEN TS, AND THE BOOKS AND RE CORDS 23
MAINTAINED AND CREAT ED BY CANNABIS ESTAB LISHMENTS, ARE SUBJECT TO 24
INSPECTION BY THE COMMISSION. 25
(C) ON DENIAL OF AN APPLI CATION, THE COMMISSION SHALL NOTI FY THE 26
APPLICANT IN WRITING OF THE SPECIFIC REASON FO R ITS DENIAL. 27
(D) THE COMMISSION MAY IMPOSE PENALTIES OR RESCIND THE LICENSE 28
OF A CANNABIS ESTABL ISHMENT THAT DOES NO T MEET THE STANDARDS FOR 29
LICENSURE SET BY THE COMMISSION. 30
52 SENATE BILL 692
(E) EXCEPT AS PROVIDED IN § 23–403(E) OF THIS SUBTITLE , A CANNABIS 1
ESTABLISHMENT LICENS E IS VALID FOR: 2
(1) 1 YEAR ON INITIAL LICE NSURE; AND 3
(2) 2 YEARS ON RENEWAL . 4
23–402. 5
(A) A PERSON MAY NOT HOLD A LEGAL, EQUITABLE, OR BENEFICIAL 6
INTEREST OF 5% OR MORE, DIRECTLY OR INDIRECT LY, IN MORE THAN: 7
(1) ONE CULTIVATOR ; OR 8
(2) FIVE RETAILERS. 9
(B) A CULTIVATOR MAY NOT P RODUCE CANNABIS CONC ENTRATES, 10
TINCTURES, EXTRACTS, OR OTHER CANNABIS PR ODUCTS UNLESS THE CU LTIVATOR 11
IS ALSO LICENSED AS A PROCESSOR. 12
(C) A CULTIVATOR MAY NOT C ULTIVATE MEDICAL CAN NABIS UNLESS THE 13
CULTIVATOR IS LICENSED AS A GROWER UNDER TITLE 13, SUBTITLE 33 OF THIS 14
ARTICLE. 15
(D) A PROCESSOR MAY NOT PR OCESS OR PRODUCE MED ICAL CANNABIS OR 16
MEDICAL CANNABIS PRO DUCTS UNLESS THE PRO CESSOR IS LICENSED AS A 17
PROCESSOR UNDER TITLE 13, SUBTITLE 33 OF THIS ARTICLE. 18
(E) A RETAILER MAY NOT SEL L MEDICAL CANNABIS O R MEDICAL CANNABIS 19
PRODUCTS TO PATIENTS UNLESS THE RETAILER IS LICENSED AS A DISPEN SARY 20
UNDER TITLE 13, SUBTITLE 33 OF THIS ARTICLE. 21
23–403. 22
(A) ON OR BEFORE OCTOBER 1, 2023, THE COMMISSION SHALL BEGIN 23
ACCEPTING AND PROCES SING APPLICATIONS FO R LICENSES TO OPERAT E AN 24
INDEPENDENT TESTING LABORATORY . 25
(B) ON RECEIVING AN APPLI CATION OR RENEWAL AP PLICATION FOR A 26
CANNABIS ESTABLISHME NT, THE COMMISSION SHALL IMME DIATELY FORWARD A 27
COPY OF EACH APPLICATION AND HALF OF THE LICENSE APPLI CATION FEE TO THE 28
LOCAL REGULATORY AUT HORITY FOR THE LOCAL ITY IN WHICH THE APP LICANT 29
DESIRES TO OPERATE T HE CANNABIS ESTABLIS HMENT, UNLESS THE LOCALITY HAS 30 SENATE BILL 692 53
NOT DESIGNATED A LOC AL REGULATORY AUTHOR ITY. 1
(C) WITHIN 90 DAYS AFTER RECEIVING AN APPLICATION OR A RENEWAL 2
APPLICATION TO OPERA TE AN INDEPENDENT TE STING LABORATORY , THE 3
COMMISSION SHALL ISSU E A LICENSE OR A CON DITIONAL LICENSE TO THE 4
APPLICANT, UNLESS THE COMMISSION: 5
(1) FINDS THAT THE APPLICANT IS NOT IN COMPLIANCE WITH 6
REGULATIONS ADOPTED UNDER § 23–301 OF THIS TITLE; OR 7
(2) IS NOTIFIED BY THE RE LEVANT LOCALITY THAT THE APPLICANT 8
IS NOT IN COMPLIANCE WITH LOCAL ZONING OR PLANNING REGULATIONS . 9
(D) (1) THE COMMISSION SHALL IMPL EMENT A SCORED PROCE SS TO 10
DETERMINE QUALIFYING APPLICANTS FOR CULTI VATION LICENSES , WHICH MAY 11
CONSIDER: 12
(I) SECURITY AND RECORD –KEEPING PLANS ; 13
(II) BUSINESS PLANS; 14
(III) KNOWLEDGE AND EXPERIE NCE; 15
(IV) SUITABILITY OF EMPLOY EE TRAINING; 16
(V) DIVERSITY PLANS; 17
(VI) LABOR AND EMPLOYMENT PRACTICES; 18
(VII) ENVIRONMENTAL PLANS ; 19
(VIII) VETERAN STATUS ; AND 20
(IX) MARYLAND RESIDENCY . 21
(2) AN APPLICANT THAT SCO RES ABOVE A NUMBER O F POINTS 22
ESTABLISHED BY THE COMMISSION SHALL BE E NTERED INTO A LOTTER Y TO 23
DETERMINE WHICH APPL ICANTS ARE ISSUED LI CENSES. 24
(E) (1) AN APPLICANT MAY APPL Y FOR CONDITIONAL AP PROVAL IF THE 25
APPLICANT HAS NOT PU RCHASED OR LEASED TH E PROPERTY WHERE THE CANNABIS 26
ESTABLISHMENT WOULD BE LOCATED. 27
54 SENATE BILL 692
(2) IF THE APPLICANT IS O THERWISE QUA LIFIED FOR LICENSURE , 1
THE COMMISSION SHALL PROV IDE CONDITIONAL APPR OVAL. 2
(3) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , THE 3
COMMISSION MAY REQUIR E A CULTIVATOR TO SE CURE A SITE WITHIN A 4
REASONABLE AMOUNT OF TIME. 5
(II) THE COMMISSION SHALL ALLOW AN APPLICANT T O SHOW 6
CAUSE TO ALLOW ONE O R MORE EXTENSIONS TO THE DEADLINE FOR EVE NTS 7
BEYOND THE APPLICANT ’S CONTROL. 8
(4) ONCE THE APPLICANT PR OVIDES THE COMMISSION WITH A 9
COMPLETED , SUPPLEMENTAL APPLICA TION THAT IDENTIFIES THE PROPERTY 10
WHERE THE CANNABIS ESTABLISHME NT IS TO BE LOCATED , THE COMMISSION 11
SHALL FORWARD THE IN FORMATION TO THE LOC AL REGULATORY AUTHOR ITY AND 12
APPROVE OR REJECT TH E FINAL APPLICATION WITHIN 45 DAYS. 13
(F) THE COMMISSION SHALL ACCE PT AND PROCESS APPLI CATIONS FOR 14
INDEPENDENT T ESTING LABORATORIES ON AN ONGOING BASIS . 15
23–404. 16
(A) (1) ON OR BEFORE OCTOBER 1, 2023, THE COMMISSION SHALL 17
BEGIN ACCEPTING AND PROCESSING APPLICATI ONS FOR LICENSES TO OPERATE A 18
RETAILER FROM QUALIF IED APPLICANT S. 19
(2) ON OR BEFORE APRIL 1, 2024, THE COMMISSION SHALL 20
INITIALLY ISSUE 47 RETAILER LICENSES IN A MANNER THAT EQUITA BLY 21
DISTRIBUTES THE LICE NSES THROUGHOUT THE STATE AT THE RATE OF ONE 22
LICENSE PER SENATORI AL DISTRICT. 23
(B) ON RECEIVING AN APPLI CATION OR A RENEWAL APPLICATION FOR A 24
RETAILER, THE COMMISSION SHALL PROM PTLY FORWARD A COPY OF EACH 25
APPLICATION AND HALF OF THE LICENSE APPLI CATION FEE TO THE LO CAL 26
REGULATORY AUTHORITY FOR THE LOCALITY IN WHICH THE APPLICANT DESIRES 27
TO OPERATE THE CANNA BIS ESTABLISHMENT , UNLESS THE LOCALITY HAS NOT 28
DESIGNATED A LOCAL R EGULATORY AUTHORITY . 29
(C) THE COMMISSION SHALL AWAR D UP TO 250 POINTS TO COMPLETE 30
APPLICATIONS BASED O N THE FOLLOWING FACT ORS: 31
(1) 50 POINTS AWARDED FOR S ECURITY AND RECORD K EEPING 32
BASED ON THE EXTENT TO WHICH THE SECURIT Y PLAN ACCOUNTS FOR THE 33 SENATE BILL 692 55
PREVENTION OF THEFT OR DIVERSION OF CANN ABIS, INCLUDING SAFE STORA GE OF 1
CANNABIS AND CURRENC Y, TRACKING PROCEDURES , AND A PLAN FOR THE 2
DESTRUCTION AND DISP OSAL OF CANNABIS ; 3
(2) 30 POINTS AWARDED FOR K NOWLEDGE AND EXPERIE NCE BASED 4
ON THE APPLICANT’S PRINCIPAL OFFICERS ’ DEMONSTRATED EXPERIE NCE AND 5
QUALIFICATIONS IN BU SINESS MANAGEMENT OR EXPERIENCE WITH THE CANNABIS 6
INDUSTRY, WHICH MAY BE DEMONST RATED THROUGH EXPERI ENCE IN OTHER 7
INDUSTRIES OR TRAINI NG THAT REFLECTS ON AN APPLICANT ’S ABILITY TO 8
OPERATE A CANNABIS B USINESS ESTABLISHMEN T; 9
(3) 30 POINTS AWARDED FOR B USINESS PLAN , FINANCIALS, 10
OPERATING, AND FLOOR PLANS ; 11
(4) 30 POINTS AWARDED BASED ON WHETHER THE APPLI CANT IS 51% 12
OR MORE OWNED BY MEMBERS OF A GROUP T HAT HAS BEEN HISTORI CALLY 13
NEGATIVELY IMPACTED BY THE ENFORCEMENT O F THE CANNABIS PROHI BITION; 14
(5) 30 POINTS AWARDED BASED ON WHETHER THE APPLI CANT IS 51% 15
OR MORE OWNED AND CO NTROLLED BY STATE RESIDENTS WHO C AN PROVE 16
RESIDENCY IN EACH OF THE IMMEDIATELY PREC EDING 5 YEARS WITH T AX 17
RECORDS; 18
(6) 30 POINTS FOR A PLAN TO ENGAGE WITH THE COMM UNITY IN 19
WHICH THE APPLICANT WILL BE LOCATED ; 20
(7) 20 POINTS AWARDED FOR A DIVERSITY PLAN BASED ON A 21
NARRATIVE OF NOT MOR E THAN 2,500 WORDS THAT ESTABLISH ES A GOAL OF 22
DIVERSITY IN OWNERSH IP, MANAGEMENT , EMPLOYMENT , AND CONTRACTING TO 23
ENSURE THAT DIVERSE PARTICIPANTS AND GRO UPS ARE AFFORDED EQU ALITY OF 24
OPPORTUNITY ; 25
(8) 10 POINTS AWARDED FOR T HE SUITABILITY OF TH E EMPLOYEE 26
TRAINING PLAN BASED ON THE EXTENT TO WHI CH THE APPLICANT ’S TRAINING PLAN 27
WILL ENSURE THAT EMPLOYEES UNDERSTAND THE RULES AND LAWS , ARE 28
KNOWLEDGEABLE ABOUT SECURITY MEASURES AN D OPERATING PROCEDUR ES, AND 29
ARE ABLE TO ADVISE C ONSUMERS ON HOW TO S AFELY CONSUME PRODUC TS AND 30
USE INDIVIDUAL PRODU CTS THAT ARE OFFERED ; 31
(9) 15 POINTS AWARDED FOR L ABOR AND EMPLOYMENT PRACTICES 32
BASED ON PLANS TO PR OVIDE A SAFE, HEALTHY, AND ECONOMICALLY BEN EFICIAL 33
WORKING ENVIRON MENT FOR THE CANNABI S ESTABLISHMENT ’S AGENTS, 34
INCLUDING CODES OF C ONDUCT, HEALTH CARE BENEFITS , EDUCATIONAL 35 56 SENATE BILL 692
BENEFITS, RETIREMENT BENEFITS , AND LIVING WAGE STAN DARDS; 1
(10) 10 POINTS AWARDED BASED ON AN ENVIRONMENTAL PLAN OF 2
ACTION TO MINIMIZE T HE CARBON FOOTPRINT, ENVIRONMENTAL IMPACT , AND 3
RESOURCE NEEDS FOR T HE DISPENSARY ; AND 4
(11) 5 POINTS AWARDED BASED ON WHETHER THE APPLI CANT IS 26% 5
OR MORE CONTROLLED A ND OWNED BY AN INDIV IDUAL OR INDIVIDUALS WHO MEET 6
THE QUALIFICATIONS O F A VETERAN AS DEFIN ED BY § 9–901 OF THE STATE 7
GOVERNMENT ARTICLE. 8
(D) (1) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , AN 9
APPLICANT MAY APPLY FOR CONDITIONAL APPR OVAL IF THE APPLICAN T HAS NOT 10
PURCHASED OR LEASED THE PROPERTY WHERE T HE CANNABIS ESTABLIS HMENT 11
WOULD BE LOCATE D. 12
(II) THE COMMISSION MAY REQUIR E AN APPLICANT TO SP ECIFY 13
THE LOCALITY IN WHIC H THE CANNABIS ESTAB LISHMENT IS INTENDED TO 14
OPERATE. 15
(2) IF THE APPLICANT IS O THERWISE QUALIFIED F OR LICENSURE , 16
THE COMMISSION SHALL PROV IDE CONDITIONAL APPR OVAL. 17
(3) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , THE 18
COMMISSION MAY REQUIR E AN APPLICANT TO SE CURE A SITE WITHIN A 19
REASONABLE AMOUNT OF TIME. 20
(II) THE COMMISSION SHALL ALLO W AN APPLICANT TO SH OW 21
CAUSE TO ALLOW ONE O R MORE EXTENSIONS TO THE DEADLINE FOR EVENTS 22
BEYOND THE APPLICANT ’S CONTROL. 23
(4) ONCE THE APPLICANT PR OVIDES THE COMMISSION WITH A 24
COMPLETED , SUPPLEMENTAL APPLICA TION THAT IDENTIFIES THE PROPERTY 25
WHERE THE CANNABIS E STABLISHMENT IS TO B E LOCATED, THE COMMISSION 26
SHALL FORWARD TH E INFORMATION TO THE LOCAL REGULATORY AUT HORITY AND 27
APPROVE OR REJECT TH E FINAL APPLICATION WITHIN 45 DAYS. 28
(E) THE COMMISSION MAY PROVID E THAT ANY APPLICANT THAT SCORES 29
ABOVE A SPECIFIED NU MBER OF POINTS MUST BE ENTERED INTO A LO TTERY THAT 30
IS CONDUCTED IN A MANNER THAT ENS URES EQUITABLE DISTR IBUTION OF 31
RETAILERS THROUGHOUT THE STATE. 32
23–405. 33 SENATE BILL 692 57
(A) ON OR BEFORE JANUARY 1 EACH YEAR, BEGINNING IN 2025, THE 1
COMMISSION SHALL EVAL UATE THE CANNABIS MA RKET IN THE STATE AND SOLICIT 2
INPUT FROM THE PUBLI C AND STAKEHOLDERS REGARDING : 3
(1) DIVERSITY IN OWNERSHI P, MANAGEMENT , AND STAFFING OF THE 4
CANNABIS INDUSTRY IN THE STATE; 5
(2) WHETHER THE TAX RATE AND REVENUE ARE MEET ING GOALS OF 6
DISPLACING THE ILLIC IT MARKET AND GENERA TING REVENUE FOR REI NVESTMENT 7
IN COMMUNITIES , CANNABIS TRAINING , AND OTHER NEEDS , INCLUDING A REVIEW 8
OF HOW TAX RATES COM PARE TO OTHER STATES ; AND 9
(3) ANY ANTICIPATED OR AC TUAL CHANGES TO FEDE RAL LAW OR 10
OTHER FACTORS THAT M AY WARRANT REVISIONS TO THIS TITLE. 11
(B) ON OR BEFORE JANUARY 1, 2027, AND BEFORE ANY ADDIT IONAL 12
CULTIVATION LICENSES ARE ISSUED UNDER § 23–406 OF THIS SUBTITLE , THE 13
COMMISSION SHALL COMM ISSION A STUDY OF TH E CANNABIS MARKET IN THE 14
STATE, WHICH SHALL ADDRESS : 15
(1) THE EXTENT TO WHICH C ONSUMERS HAVE SAFE , CONVENIENT 16
ACCESS TO LEGAL CANN ABIS AT PRICES THAT ARE LOWER THAN IN TH E ILLICIT 17
MARKET; 18
(2) WHETHER CANNABIS CULT IVATORS, PROCESSORS , AND 19
RETAILERS ARE MEETIN G DEMAND WITHOUT CRE ATING A SURPLUS ; AND 20
(3) WHETHER ADDITIONAL SU PPLY IS NEEDED. 21
(C) ON OR BEFORE JULY 1 EACH YEAR , BEGINNING IN 2025, THE 22
COMMISSION SHALL REPO RT ITS RECOMMENDATIO NS, BASED ON THE FINDING S OF 23
THE SOLICITATIONS CO NDUCTED UNDER SUBSEC TION (A) OF THIS SECTION, TO THE 24
GENERAL ASSEMBLY, IN ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT 25
ARTICLE, FOR ANY CHANGES TO C ANNABIS REGULATION A ND TAXATION , 26
INCLUDING: 27
(1) ANY CHANGES TO THE TA X RATE AND METHOD ; AND 28
(2) WHETHER AND UNDER WHA T CONDITIONS TO ALLO W THE IMPORT 29
AND EXPORT OF CANNAB IS TO OTHER STATES . 30
23–406. 31 58 SENATE BILL 692
(A) THE COMMISSION MAY ACCEPT ADDITIONAL AP PLICATIONS FOR 1
CULTIVATORS AND RETA ILERS BEGINNING FEBRUARY 1, 2027. 2
(B) ADDITIONAL CULTIVATIO N LICENSES MAY BE IS SUED ONLY IF THE 3
STUDY DONE IN ACCORD ANCE WITH § 23–405(B) OF THIS SUBTITLE DET ERMINES 4
THAT ADDITIONAL SUPP LY IS NEEDED. 5
(C) THE NUMBER OF LICENSE S ISSUED AND THE LIC ENSED CULTIVATION 6
SPACE SHALL BE DESIG NED TO MEET PROJECTE D DEMAND, INCLUDING FACTORING 7
IN THE PERCENT AGE OF LICENSED SPACE TH AT MAY NOT BE USED . 8
(D) IN DETERMINING THE NU MBER OF ADDITIONAL R ETAIL OR 9
CULTIVATION LICENSES TO I SSUE, THE COMMISSION SHALL CONS IDER: 10
(1) THE EXTENT TO WHICH C ONSUMERS WILL HAVE S AFE, 11
CONVENIENT ACCESS TO LEGAL CANNABIS AT PR ICES THAT ARE LOWER THAN THE 12
ILLICIT MARKET; 13
(2) EXPECTED CULTIVATION EXPANSION BY EXISTIN G CULTIVATOR S; 14
AND 15
(3) THE ANTICIPATED OR AC TUAL OPENING OF AN I NTERSTATE OR 16
INTERNATIONAL MARKET FOR CANNABIS PRODUCT S. 17
(E) LICENSES UNDER THIS S ECTION SHALL BE ISSU ED BY SCORING ALL 18
APPLICATIONS AND ENT ERING ALL APPLICANTS THAT ARE DETERMINED TO HAVE A 19
SUFFICIENT SCORE INTO A LOTT ERY. 20
23–407. 21
(A) ON OR BEFORE AUGUST 1, 2024, THE COMMISSION SHALL BEGI N 22
ACCEPTING AND PROCES SING APPLICATIONS FO R LICENSES TO OPERAT E AS A 23
CLASS A OR CLASS B PROCESSOR FROM ANY Q UALIFIED APPLICANT . 24
(B) ON RECEIVING AN APPLI CATION OR A RENEWAL APPLICATION FOR A 25
CLASS A OR CLASS B PROCESSOR, THE COMMISSION SHALL IMME DIATELY 26
FORWARD A COPY OF EA CH APPLICATION AND H ALF OF THE LICENSE A PPLICATION 27
FEE TO THE LOCAL REG ULATORY AUTHORITY FO R THE LOCALITY IN WH ICH THE 28
APPLICANT DESIRES TO OPERATE THE CANNABIS ESTABLISHMENT , UNLESS THE 29
LOCALITY HAS NOT DES IGNATED A LOCAL REGU LATORY AUTHORITY . 30
(C) WITHIN 90 DAYS AFTER RECEIVING AN APPLICATION OR A RENEWAL 31 SENATE BILL 692 59
APPLICATION, THE COMMISSION SHALL ISSU E A LICENSE OR A CONDITIONAL 1
LICENSE TO THE APPLI CANT, UNLESS THE COMMISSION: 2
(1) FINDS THAT THE APPLICANT IS NOT IN COMPLIANCE WITH 3
REGULATIONS ADOPTED UNDER § 23–301 OF THIS TITLE; OR 4
(2) IS NOTIFIED BY THE RE LEVANT LOCALITY THAT THE APPLICANT 5
IS NOT IN COMPLIANCE WITH LOCAL ZONING OR PLANNING LAWS . 6
(D) (1) AN APPLICANT MAY APPL Y FOR CONDITIONAL AP PROVAL IF THE 7
APPLICANT HAS NOT PU RCHASED OR LEASED TH E PROPERTY WHERE THE 8
PROCESSOR WOULD BE L OCATED. 9
(2) IF THE APPLICANT IS O THERWISE QUALIFIED F OR LICENSURE , 10
THE COMMISSION SHALL PROV IDE CONDITIONAL APPR OVAL. 11
(3) ONCE THE APPLICANT PR OVIDES THE COMMISSION WITH A 12
COMPLETED , SUPPLEMENTAL APPLICA TION THAT IDENTIFIES THE PROPERTY 13
WHERE THE PROCESSOR IS TO BE LOCATED, THE COMMISSION SHALL FORW ARD THE 14
INFORMATION TO THE LOCAL REGULATORY AUTHORITY AND APPROV E OR REJECT 15
THE FINAL APPLICATIO N WITHIN 45 DAYS. 16
SUBTITLE 5. LOCAL REGULATIONS. 17
23–501. 18
(A) AN ON–SITE CONSUMPTION EST ABLISHMENT MAY OPERA TE ONLY IF 19
THE LOCAL REGULATORY AUTHORITY IN THE LOC ALITY WHERE IT IS L OCATED 20
ISSUED A PERMIT OR L ICENSE THAT EXPRESSL Y ALLOWS THE OPERATI ON OF THE 21
ON–SITE CONSUMPTION EST ABLISHMENT . 22
(B) (1) EXCEPT AS PROVIDED IN THIS SUBSECTION , A LOCALITY MAY 23
PROHIBIT THE OPERATI ON OF ANY OR ALL TYP ES OF CANNABIS ESTAB LISHMENTS 24
WITHIN ITS JURISDICTION THROUGH THE ENACTMENT OF AN ORDINANCE OR 25
THROUGH AN INITIATED OR REFERRED MEASURE . 26
(2) AN INITIATED OR REFER RED MEASURE TO PROHI BIT THE 27
OPERATION OF CANNABI S ESTABLISHMENTS MUS T APPEAR ON A GENERA L 28
ELECTION BALLOT . 29
(3) A LOCALITY MAY N OT: 30
(I) PROHIBIT TRANSPORTATI ON THROUGH THE LOCAL ITY OR 31 60 SENATE BILL 692
DELIVERIES WITHIN TH E LOCALITY BY CANNAB IS ESTABLISHMENTS LO CATED IN 1
OTHER JURISDICTIONS ; 2
(II) PROHIBIT OR IMPACT A BUSINESS LICENSED UN DER TITLE 3
13, SUBTITLE 33 OF THIS ARTICLE , REGARDLESS OF WHETHER THE BUSINESS IS 4
GRANTED A LICENSE UN DER THIS TITLE; OR 5
(III) PREVENT AN ENTITY LIC ENSED UNDER TITLE 13, SUBTITLE 6
33 OF THIS ARTICLE THAT IS IN COMPLIANCE WIT H ALL RELEVANT MEDIC AL 7
CANNABIS REGULATIONS FROM BEING GRANTED A LICENSE UNDER THIS TITLE. 8
(C) A PERSON SEEKING LICEN SURE AS A CANNABIS E STABLISHMENT SHALL 9
MEET LOCAL ZONING AN D PLANNING REQUIREME NTS. 10
(D) A LOCALITY MAY NOT NEG OTIATE OR ENTER INTO AN AGREEMENT WITH 11
A CANNABIS ESTABLISH MENT OR A CANNABIS E STABLISHMENT APPLICA NT 12
REQUIRING THAT THE CANNABIS ES TABLISHMENT OR APPLI CANT PROVIDE MONEY , 13
DONATIONS, IN–KIND CONTRIBUTIONS , SERVICES, OR ANYTHING OF VALUE TO THE 14
LOCALITY. 15
SUBTITLE 6. CRIMINAL AND CIVIL IMMUNITIES AND LIABILITIES. 16
23–601. 17
(A) IN THIS SECTION , “PROCESSING” AND “MANUFACTURING ” DO NOT 18
INCLUDE: 19
(1) PERFORMING EXTRACTION S USING SOLVENTS OTH ER THAN 20
WATER, GLYCERIN, PROPYLENE GLYCOL , VEGETABLE OIL , OR FOOD–GRADE 21
ETHANOL; OR 22
(2) EXTRACTING COMPOUNDS FROM CANNABIS USING ETHANOL IN 23
THE PRESENCE OR VICI NITY OF OPEN FLAME . 24
(B) NOTWITHSTANDING ANY O THER PROVISION OF LA W, EXCEPT AS 25
OTHERWISE PROVIDED I N THIS SUBTITLE , THE FOLLOWING ACTS A RE NOT 26
UNLAWFUL UNDER STATE LAW OR THE LAW OF ANY POLITICAL SUBDIV ISION OF THE 27
STATE OR A BASIS FOR SEIZURE OR FORFEITUR E OF ASSETS UNDER STATE LAW FOR 28
INDIVIDUALS WHO ARE AT LEAST 21 YEARS OLD: 29
(1) POSSESSING, CONSUMING , GROWING, USING, PROCESSING, 30
MANUFACTURING , PURCHASING , OR TRANSPORTING AN A MOUNT OF CANNABIS 31
THAT DOES NOT EXCEED THE PERSONAL USE AMO UNT; 32 SENATE BILL 692 61
(2) TRANSFERRING AN AMOUN T OF CANNABIS THAT D OES NOT 1
EXCEED THE PERSONAL USE AMOUNT TO AN IND IVIDUAL WHO IS AT LE AST 21 YEARS 2
OLD WITHOUT REMUNERA TION; 3
(3) CONTROLLING PROPERTY WHERE AC TIONS DESCRIBED IN I TEM 4
(1) OR (2) OF THIS SUBSECTION O CCUR; OR 5
(4) ASSISTING ANOTHER IND IVIDUAL WHO IS AT LE AST 21 YEARS OLD 6
IN AN ACT DESCRIBED IN ITEM (1) OR (2) OF THIS SUBSECTION . 7
(C) NOTWITHSTANDING ANY O THER PROVISION OF LA W, UNLESS THE 8
COURT OR THE MARYLAND PAROLE COMMISSION MAKES A SP ECIFIC FINDING THAT 9
AN INDIVIDUAL DEFEND ANT’S, PAROLEE’S, OR PROBATIONER ’S USE OF CANNABIS 10
COULD CREATE A DANGE R TO THE INDIVIDUAL OR OTHER PERSONS , IT IS NOT A 11
VIOLATION OF CONDITI ONS OF PRETRIAL RELE ASE, PAROLE, OR PROBATION TO : 12
(1) ENGAGE IN CONDUCT ALL OWED BY THIS SECTION ; OR 13
(2) TEST POSITIVE FOR CAN NABIS, 14
DELTA–9–TETRAHYDROCANNABINOL , OR ANY OTHER CANNABI NOID. 15
23–602. 16
(A) NOTWITHSTANDING ANY O THER PROVISION OF LA W, IT IS NOT 17
UNLAWFUL UNDER STATE LAW AND MAY NOT BE A B ASIS FOR SEIZURE OR 18
FORFEITURE OF ASSETS UNDER STATE LAW FOR A CANNA BIS ESTABLISHMENT WI TH 19
A VALID LICENSE , OR A PERSON WHO IS A CTING IN THE PERSON ’S CAPACITY AS A 20
CANNABIS ESTABLISHME NT AGENT, TO ENGAGE IN ANY ACT IVITIES INVOLVING 21
CANNABIS, CANNABIS ACCESSORIES , OR CANNABIS PRODUCTS IF THE PERSON 22
CONDUCTING THE ACTIV ITIES POSSESSES A CU RRENT, VALID LICENSE TO OPE RATE 23
A CANNABIS ESTABLISH MENT, OR IS ACTING IN THE PERSON’S CAPACITY AS A 24
CANNABIS ESTABLISHME NT AGENT, AND THE ACTIVITIES A RE WITHIN THE SCOPE OF 25
ACTIVITIES ALLOWED B Y THE COMMISSION FOR THAT T YPE OF CANNABIS 26
ESTABLISHMENT . 27
(B) THIS SECTION DOES NOT PREVENT THE IMPOSITI ON OF PENALTIES FOR 28
VIOLATING THIS TITLE OR REGULATIONS ADOPT ED BY THE COMMISSION OR 29
LOCALITIES IN ACCORD ANCE WITH THIS TITLE. 30
23–603. 31
(A) NOTWITHSTANDING ANY O THER PROVISION OF LA W, IT IS NOT 32 62 SENATE BILL 692
UNLAWFUL UNDER STATE LAW OR THE LAW OF A POLITICAL SUBDI VISION OF THE 1
STATE OR A BASIS FOR SEIZURE OR FORFEITUR E OF ASSETS FOR AN I NDIVIDUAL 2
WHO IS AT LEAST 21 YEARS OLD TO MANUFACTURE , POSSESS, OR PURCHASE 3
CANNABIS ACCESSORIES , OR TO DISTRIBUTE OR SELL CANNABIS ACCESS ORIES TO: 4
(1) AN INDIVIDUAL WHO IS AT LEAST 21 YEARS OLD; OR 5
(2) AN INDIVIDUAL WHO IS A QUALIFYING PATIENT UNDER TITLE 13, 6
SUBTITLE 33 OF THIS ARTICLE. 7
(B) EXCEPT AS PROVIDED IN THIS SECTION, AN INDIVIDUAL WHO IS AT 8
LEAST 21 YEARS OLD MAY MANUFA CTURE, POSSESS, AND PURCHASE CANNABI S 9
ACCESSORIES AND DIST RIBUTE OR SELL CANNA BIS ACCESSORIES TO A PERSON WHO 10
IS AT LEAST 21 YEARS OLD. 11
(C) THIS SECTION IS I NCLUDED TO SATISFY T HE REQUIREMENTS OF 21 12
U.S.C. § 863(F) BY AUTHORIZING , UNDER STATE LAW, A PERSON IN COMPLIAN CE 13
WITH THIS SUBTITLE T O MANUFACTURE , POSSESS, OR DISTRIBUTE CANNAB IS 14
ACCESSORIES. 15
(D) THIS SECTION DOES NOT PREVENT THE IMPOSITI ON OF PENALTIES FOR 16
VIOLATING CONSUMER S AFETY OR BUSINESS LI CENSING LAWS OR REGU LATIONS. 17
23–604. 18
(A) ANY OF THE FOLLOWING PERSONS ACTING IN AC CORDANCE WITH THE 19
PROVISIONS OF THIS T ITLE MAY NOT BE SUBJ ECT TO ARREST , PROSECUTION , OR 20
ANY CIVIL OR ADMINIS TRATIVE PENALTY, INCLUDING A CIVIL PE NALTY OR 21
DISCIPLINARY ACTION BY A PROFESSIONAL LI CENSING BOARD , OR BE DENIED ANY 22
RIGHT OR PRIVILEGE , FOR THE USE , POSSESSION, MANUFACTURE , 23
TRANSPORTATION , OR DISTRIBUTION OF C ANNABIS: 24
(1) AN INDIVIDUAL WHO IS AT LEAST 21 YEARS OLD IN POSSESSI ON 25
OF AN AMOUNT OF CANN ABIS OR CANNABIS PRO DUCT FOR ADULT USE T HAT DOES 26
NOT EXCEED THE PERSO NAL USE AMOUNT ; 27
(2) A CANNABIS ESTABLISHME NT LICENSED UNDER TH IS TITLE OR 28
THE CANNABIS ESTABLI SHMENT AGENT ; 29
(3) A HOSPITAL, MEDICAL FACILI TY, OR HOSPICE PROGRAM W HERE 30
A QUALIFYING PATIENT IS RECEIVING TREATME NT; OR 31
(4) A THIRD–PARTY VENDOR AUTHORI ZED BY THE COMMISSION TO 32 SENATE BILL 692 63
TEST, TRANSPORT, OR DISPOSE OF CANNAB IS, CANNABIS PRODUCTS , OR CANNABIS 1
WASTE UNDER THE PROV ISIONS OF THIS TITLE. 2
(B) (1) EXCEPT AS PROVIDED IN THIS SECTION, NEITHER THE STATE NOR 3
ANY OF ITS POLITICAL SUBDIVISIONS MAY IMP OSE ANY PENALTY OR D ENY ANY 4
BENEFIT OR ENTITLEME NT FOR CONDUCT PERMI TTED UNDER THIS TITL E OR FOR 5
THE PRESENCE OF CANN ABINOIDS OR CANNABIN OID METABOLITE S IN THE URINE, 6
BLOOD, SALIVA, BREATH, HAIR, OR OTHER TISSUE OR F LUID OF AN INDIVIDUA L WHO 7
IS AT LEAST 21 YEARS OLD. 8
(2) EXCEPT AS PROVIDED IN THIS SECTION, NEITHER THE STATE NOR 9
ANY OF ITS POLITICAL SUBDIVISIONS MAY DEN Y A DRIVER ’S LICENSE, A 10
PROFESSIONAL LICENSE , HOUSING ASSISTANCE , SOCIAL SERVICES , OR OTHER 11
BENEFITS BASED ON CA NNABIS USE OR FOR TH E PRESENCE OF CANNAB INOIDS OR 12
CANNABINOID METABOLI TES IN THE URINE , BLOOD, SALIVA, BREATH, HAIR, OR 13
OTHER TISSUE OR FLUI D OF AN INDIVIDUAL W HO IS AT LEAST 21 YEARS OLD. 14
(C) AN INDIVIDUAL MAY NOT BE DENIED CUSTODY OF OR VISITATION WITH 15
A MINOR FOR ACTING I N ACCORDANCE WITH TH IS TITLE, UNLESS THE INDIVIDUA L’S 16
BEHAVIOR IS SUCH THA T IT CREATES AN UNRE ASONABLE DANGER TO T HE MINOR 17
THAT CAN BE CLEARLY ARTICULATED AND SUBSTANTIATED . 18
(D) EXCEPT AS PROVIDED IN THIS SECTION, NEITHER THE STATE NOR ANY 19
OF ITS POLITICAL SUB DIVISIONS MAY DENY E MPLOYMENT OR A CONTR ACT TO AN 20
INDIVIDUAL FOR ENGAG ING IN CONDUCT AUTHO RIZED UNDER THIS TIT LE FOR: 21
(1) A PRIOR CONVICTION FOR A NONVIOLENT CANNABIS OFFENSE 22
THAT DOES NOT INVOLV E DISTRIBUTION TO MI NORS; OR 23
(2) TESTING POSITIVE FOR THE PRESENCE OF CANN ABINOIDS OR 24
CANNABINOID METABOLI TES IN THE URINE , BLOOD, SALIVA, BREATH, HAIR, OR 25
OTHER TISSUE OR FLUI D OF THE INDIVIDUAL ’S BODY. 26
(E) FOR THE PURPOSES OF M EDICAL CARE, INCLUDING ORGAN AND TISSUE 27
TRANSPLANTS : 28
(1) THE USE OF CANNABIS D OES NOT CONSTITUTE T HE USE OF AN 29
ILLICIT SUBSTANCE OR OTHERWISE DISQUALIFY AN INDIVIDUAL FROM N EEDED 30
MEDICAL CARE ; AND 31
(2) MAY BE CONSIDERED ONL Y WITH RESPECT TO EV IDENCE–BASED 32
CLINICAL CRITERIA . 33
64 SENATE BILL 692
(F) (1) THIS SECTION DOES NOT PREVENT A GOVERNMENT EMPLOYER 1
FROM DISCIPLINING AN EMPLOYEE OR A CONTRACTOR FOR : 2
(I) INGESTING CANNABIS IN THE WORKPLACE ; OR 3
(II) WORKING WHI LE IMPAIRED BY CANNA BIS. 4
(2) THE PROTECTIONS PROVI DED BY THIS SECTION DO NOT APPLY TO 5
THE EXTENT THAT THEY CONFLICT WITH A GOVE RNMENT EMPLOYER ’S 6
OBLIGATIONS UNDER FE DERAL LAW OR TO THE EXTENT THAT THEY WOU LD 7
DISQUALIFY THE ENTIT Y FROM A MONETARY OR LICENSING–RELATED BENEFIT 8
UNDER FEDERAL LAW . 9
(3) THIS SECTION DOES NOT AUTHORIZE ANY PERSON TO ENGAGE IN, 10
AND DOES NOT PREVENT THE IMPOSITION OF AN Y CIVIL, CRIMINAL, DISCIPLINARY, 11
OR OTHER PENALTIES , INCLUDING DISCIPLINE OR TERMINATION BY A 12
GOVERNMENT EMPLO YER, FOR ENGAGING IN , ANY TASK WHILE UNDER THE 13
INFLUENCE OF CANNABI S, WHEN DOING SO WOULD CONSTITUTE NEGLIGENC E OR 14
PROFESSIONAL MALPRAC TICE. 15
(4) THIS SECTION DOES NOT AUTHORIZE ANY PERSON TO ENGAGE IN, 16
AND DOES NOT PREVENT THE IMPOSITION OF AN Y CIVIL, CRIMINAL, DISCIPLINE, OR 17
OTHER PENALTIES , INCLUDING DISCIPLINE OR TERMINATION BY A GOVERNMENT 18
EMPLOYER OR REVOCATI ON OF A DRIVER ’S LICENSE, FOR ENGAGING IN, DRIVING 19
WHILE IMPAIRED BY CA NNABIS. 20
(G) TO THE EXTENT ALLOWAB LE, A PERSON IS NOT CONS IDERED 21
INELIGIBLE TO POSSESS A FI REARM UNDER FEDERAL LAW OR TO BE AN UNLA WFUL 22
USER OF OR ADDICTED TO A CONTROLLED DANG EROUS SUBSTANCE SOLE LY 23
BECAUSE OF CONDUCT A UTHORIZED UNDER THIS TITLE. 24
(H) A PERSON MAY NOT BE DE NIED A STATE FIREARM LICENSE OR PERMIT, 25
INCLUDING A CONCEALED CARRY PERM IT, SOLELY BECAUSE OF CO NDUCT 26
AUTHORIZED UNDER THI S TITLE. 27
23–605. 28
(A) A HOLDER OF A PROFESSI ONAL OR OCCUPATIONAL LICENSE MAY NOT 29
BE SUBJECT TO PROFES SIONAL DISCIPLINE FO R PROVIDING ADVICE O R SERVICES 30
RELATED TO CANNABIS ESTABLISHME NTS OR APPLICATIONS TO OPERATE 31
CANNABIS ESTABLISHME NTS ON THE BASIS THA T CANNABIS IS ILLEGA L UNDER 32
FEDERAL LAW . 33
SENATE BILL 692 65
(B) AN APPLICANT FOR A PR OFESSIONAL OR OCCUPA TIONAL LICENSE MAY 1
NOT BE DENIED A LICE NSE BASED ON PREVIOU S EMPLOYMENT RELATED TO 2
CANNABIS ESTAB LISHMENTS OPERATING IN ACCORDANCE WITH STATE LAW. 3
23–606. 4
(A) FOR THE PURPOSES OF STATE LAW, ACTIONS RELATED TO C ANNABIS 5
ARE CONSIDERED LAWFU L AS LONG AS THEY AR E IN ACCORDANCE WITH THIS TITLE. 6
(B) AN AGENCY OR A POLITI CAL SUBDIVISION OF T HE STATE MAY NOT RELY 7
ON A VIOLATION OF FE DERAL LAW RELATED TO CANNABIS AS THE SOLE BASIS FOR 8
TAKING AN ADVERSE AC TION AGAINST A PERSO N. 9
23–607. 10
(A) IT IS THE PUBLIC POLI CY OF THE STATE THAT CONTRACTS RELATED TO 11
THE OPERATION OF A C ANNABIS ESTABLISHMEN T LICENSED IN ACCORDANCE WITH 12
THIS SUBTITLE ARE EN FORCEABLE. 13
(B) IT IS THE PUBLIC POLI CY OF THE STATE THAT NO CONTRAC T ENTERED 14
INTO BY A LICENSED C ANNABIS ESTABLISHMEN T OR ITS AGENTS AS A UTHORIZED IN 15
ACCORDANCE WITH A VA LID LICENSE, OR BY THOSE WHO ALLO W PROPERTY TO BE 16
USED BY A CANNABIS E STABLISHMENT , ITS EMPLOYEES , OR ITS AGENTS AS 17
AUTHORIZED IN ACCORD ANCE WITH A VALID LI CENSE, SHALL BE UNENFORCEAB LE 18
ON THE BASIS THAT CU LTIVATING, OBTAINING, MANUFACTURING , DISTRIBUTING, 19
DISPENSING, TRANSPORTING , SELLING, POSSESSING, OR USING CANNABIS IS 20
PROHIBITED BY FEDERA L LAW. 21
23–608. 22
(A) A LAW ENFORCEMENT OFFI CER EMPLOYED BY AN A GENCY THAT 23
RECEIVES STATE OR LOCAL GOVERN MENT FUNDS MAY NOT E XPEND STATE OR 24
LOCAL RESOURCES , INCLUDING THE OFFICE R’S TIME, TO EFFECT ANY ARREST OR 25
SEIZURE OF CANNABIS , OR CONDUCT ANY INVES TIGATION, ON THE SOLE BASIS OF 26
ACTIVITY THE OFFICER BELIEVES TO CONSTITU TE A VIOLATION OF FE DERAL LAW IF 27
THE OFFICER HAS REAS ON TO BELIEVE THAT T HE ACTIVITY IS IN COMPLIANCE WITH 28
THIS TITLE. 29
(B) A LAW ENFORCEME NT OFFICER MAY NOT E XPEND STATE OR LOCAL 30
RESOURCES, INCLUDING THE OFFICE R’S TIME, TO PROVIDE ANY INFOR MATION OR 31
LOGISTICAL SUPPORT R ELATED TO ACTIVITY D ESCRIBED IN SUBSECTI ON (A) OF 32
THIS SECTION TO ANY FEDERAL LAW ENFORCEM ENT AUTHORITY OR PRO SECUTING 33
ENTITY. 34 66 SENATE BILL 692
SUBTITLE 7. CONSTRUCTION OF TITLE. 1
23–701. 2
(A) THIS TITLE MAY NOT BE CONSTRUED TO AUTHORI ZE AN INDIVIDUAL TO 3
ENGAGE IN, AND DOES NOT PREVENT THE IMPOSITION OF AN Y CIVIL, CRIMINAL, OR 4
OTHER PENALTIES FOR : 5
(1) UNDERTAKING A TASK WH ILE UNDER THE INF LUENCE OF 6
CANNABIS, WHEN DOING SO WOULD CONSTITUTE NEGLIGENC E OR PROFESSIONAL 7
MALPRACTICE ; 8
(2) OPERATING, NAVIGATING, OR BEING IN ACTUAL P HYSICAL 9
CONTROL OF A MOTOR V EHICLE, AIRCRAFT, OR BOAT WHILE UNDER THE INFLUENCE 10
OF CANNABIS; OR 11
(3) POSSESSING CANNABIS , INCLUDING CANNABIS P RODUCTS, IN A 12
LOCAL DETENTION FACI LITY, COUNTY JAIL, STATE PRISON, REFORMATORY , OR 13
OTHER CORRECTIONAL F ACILITY, INCLUDING A FACILITY FOR THE DETENTION OF 14
JUVENILE OFFENDERS . 15
(B) THIS TITLE MAY NOT BE CONSTRUED TO PROHIBIT A PERSON FR OM 16
SMOKING CANNABIS IN ANY PUBLIC PLACE WHE RE TOBACCO SMOKING I S ALLOWED. 17
23–702. 18
(A) CONDUCT AUTHORIZED UN DER THIS TITLE MAY N OT BE THE BASIS FOR 19
DENYING PUBLIC BENEF ITS OR HOUSING OPPORTUNI TIES. 20
(B) IN THE CASE OF RESIDE NTIAL RENTAL PROPERTY , THE LANDLORD OR 21
PROPERTY MANAGER : 22
(1) MAY NOT PROHIBIT THE POSSESSION OF CANNAB IS OR THE 23
CONSUMPTION OF CANNA BIS BY MEANS OTHER THAN SMOKING ; AND 24
(2) MAY PROHIBIT THE SMOKING OF CANNA BIS PRODUCTS ON THE 25
PREMISES IF: 26
(I) THE PROPERTY HAS IN PLACE A SMOKE –FREE POLICY; AND 27
(II) THERE IS A DESIGNATED OUTDOOR SMOKING AREA . 28
SENATE BILL 692 67
(C) A SCHOOL, COLLEGE, OR UNIVERSITY MAY NO T REFUSE TO ENROLL O R 1
OTHERWISE PENALIZE A N INDIVIDUAL SOLELY FOR CONDUCT A UTHORIZED UNDER 2
THIS TITLE UNLESS RE QUIRED TO DO SO BY FEDERAL L AW. 3
24–501. 4
(a) In this subtitle the following words have the meanings indicated. 5
(d) “Environmental tobacco OR CANNABIS smoke” means the complex mixture 6
formed from the escaping smoke of a burning tobacco OR CANNABIS product or smoke 7
exhaled by the smoker. 8
(g) “Smoking” means the burning of a lighted cigarette, cigar, pipe, or any other 9
matter or substance that contains tobacco OR CANNABIS. 10
24–502. 11
It is the intent of the General Assembly that the State protect the public and 12
employees from involuntary exposure to environmental tobacco OR CANNABIS smoke in 13
indoor areas open to the public, indoor places of employment, and certain designated 14
private areas. 15
24–503. 16
The purpose of this subtitle is to preserve and improve the health, comfort, and 17
environment of the people of the State by limiting exposure to environmental tobacco OR 18
CANNABIS smoke. 19
24–504. 20
Except as provided in § 24–505 of this subtitle, beginning on February 1, 2008, a 21
person may not smoke in: 22
(1) An indoor area open to the public; 23
(2) An indoor place in which meetings are open to the public in accordance 24
with Title 3 of the General Provisions Article; 25
(3) A government–owned or government–operated means of mass 26
transportation including buses, vans, trains, taxicabs, and limousines; or 27
(4) An indoor place of employment. 28
24–507. 29
(a) The Department shall adopt regulations that prohibit environmental tobacco 30 68 SENATE BILL 692
OR CANNABIS smoke in indoor areas open to the public. 1
(b) On or before September 30 of each year, the Department shall report, in 2
accordance with § 2–1257 of the State Government Article, to the General Assembly on: 3
(1) The enforcement efforts of the Department to eliminate environmental 4
tobacco OR CANNABIS smoke in indoor areas open to the public during the prior year; and 5
(2) The results of these enforcement efforts. 6
24–508. 7
(a) Subject to subsection (c) of this section and except as provided in subsection 8
(d) of this section, a person who violates a provision of this subtitle or a regulation adopted 9
under § 24–507(a) of this subtitle: 10
(1) For a first violation, shall be issued a written reprimand by the 11
Secretary or the Secretary’s designee; 12
(2) For a second violation, is subject to a civil penalty of $100; and 13
(3) For each subsequent violation, is subject to a civil penalty not less than 14
$250. 15
24–510. 16
Nothing in this subtitle shall be construed to preempt a county or municipal 17
government from enacting and enforcing more stringent measures to reduce involuntary 18
exposure to environmental tobacco OR CANNABIS smoke. 19
Article – Tax – General 20
TITLE 12.5. CANNABIS TAX. 21
12.5–101. 22
(A) THIS SECTION IS NOT A PPLICABLE TO MEDICAL CANNABIS SOLD UNDER 23
TITLE 23 OF THE HEALTH – GENERAL ARTICLE. 24
(B) (1) UNTIL APRIL 1, 2026, A 10% EXCISE TAX IS IMPOSE D ON THE SALE 25
OR TRANSFER OF CANNA BIS FROM A CANNABIS ESTABLISHMENT LICENS ED UNDER 26
TITLE 23 OF THE HEALTH – GENERAL ARTICLE TO A CONSUMER . 27
(2) FROM APRIL 1, 2026, TO MARCH 30, 2028, BOTH INCLUSIVE , A 28
15% EXCISE TAX IS IMPOSED ON THE SALE OR TRANSFER OF CANNA BIS FROM A 29 SENATE BILL 692 69
CANNABIS ESTABLISHME NT LICENSED UNDER TITLE 23 OF THE HEALTH – GENERAL 1
ARTICLE TO A CONSUMER . 2
(3) BEGINNING APRIL 1, 2028, A 20% EXCISE TAX IS IMPOSE D ON THE 3
SALE OR TRANSFER OF CANNABIS FROM A CANN ABIS ESTABLISHMENT LICENS ED 4
UNDER TITLE 23 OF THE HEALTH – GENERAL ARTICLE TO A CONSUMER . 5
(C) SALES OF CANNABIS BY A CANNABIS ESTABLISH MENT TO A CONSUMER 6
ARE NOT SUBJECT TO A SALES AND USE TAX IM POSED UNDER TITLE 11 OF THIS 7
ARTICLE. 8
(D) (1) TAXES IMPOSED U NDER THIS SECTION SH ALL APPLY ONLY AT TH E 9
POINT OF SALE TO A C ONSUMER. 10
(2) NO TAXES SHALL APPLY TO SALES OR TRANSFER S OF CANNABIS 11
BETWEEN CANNABIS EST ABLISHMENTS . 12
12.5–102. 13
(A) EXCEPT AS PROVIDED IN SUBSECTION (B) OF THIS SECTION, A COUNTY, 14
A MUNICIPAL CORPORATION , A SPECIAL TAXING DISTR ICT, OR ANY OTHER 15
POLITICAL SUBDIVISIO N OF THE STATE MAY IMPOSE A SA LES TAX NOT EXCEEDIN G 16
3% ON SALES OF CANNABIS AND CANNABIS PRODUCT S TO CONSUMERS WITHI N ITS 17
JURISDICTION. 18
(B) A COUNTY, A MUNICIPAL CORPORATIO N, A SPECIAL TAXING DISTRI CT, 19
OR ANY OTHER POLITICAL SUBD IVISION OF THE STATE MAY NOT IMPOSE A SALES 20
TAX UNDER SUBSECTION (A) OF THIS SECTION ON S ALES OF MEDICAL CANN ABIS 21
UNDER TITLE 23 OF THE HEALTH – GENERAL ARTICLE. 22
12.5–103. 23
(A) (1) IN THIS SECTION, “FUND” MEANS THE CANNABIS REGULATION 24
FUND. 25
(2) THERE IS A CANNABIS REGULATION FUND. 26
(3) THE PURPOSE OF THE FUND IS TO PROVIDE FU NDS TO BE 27
DISTRIBUTED AND USED IN ACCORDANCE WITH S UBSECTION (C) OF THIS SECTION. 28
(4) THE ALCOHOL AND TOBACCO COMMISSION SHALL ADMI NISTER 29
THE FUND. 30
70 SENATE BILL 692
(5) (I) THE FUND IS A SPECIAL, NONLAPSING FUND THAT IS NOT 1
SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 2
(II) THE STATE TREASURER SHALL HOLD THE FUND 3
SEPARATELY, AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 4
(6) THE FUND CONSISTS OF : 5
(I) ALL APPLICATION AND LICENSING FEES PAID BY CANNABIS 6
ESTABLISHMENTS UNDER TITLE 23, SUBTITLE 4 OF THE HEALTH – GENERAL 7
ARTICLE; 8
(II) ALL TAXES COLLECTED UNDER § 12.5–101 OF THIS TITLE; 9
AND 10
(III) ANY OTHER MONEY FROM ANY OTHER SOURCE ACC EPTED 11
FOR THE BENEFIT OF T HE FUND, IN ACCORDANCE WITH A NY CONDITIONS ADOPTE D 12
BY THE ALCOHOL AND TOBACCO COMMISSION FOR THE AC CEPTANCE OF 13
DONATIONS OR GIFTS T O THE FUND. 14
(7) THE FUND MAY BE USED ONLY FOR CAR RYING OUT THIS TITLE . 15
(8) THE STATE TREASURER SHALL INVES T THE MONEY OF THE FUND 16
IN THE SAME MANNER A S OTHER STATE MONEY MAY BE IN VESTED. 17
(9) THE COMPTROLLER SHALL PAY OUT MONEY FROM THE FUND AS 18
DIRECTED BY THE ALCOHOL AND TOBACCO COMMISSION. 19
(10) THE FUND IS SUBJECT TO AU DIT BY THE OFFICE OF LEGISLATIVE 20
AUDITS AS PROVIDED FO R IN § 2–1220 OF THE STATE GOVERNMENT ARTICLE. 21
(B) ON OR BEFORE MARCH 15 EACH YEAR, THE ALCOHOL AND TOBACCO 22
COMMISSION SHALL PROD UCE AND PUBLISH ON I TS WEBSITE A DETAILED REP ORT 23
ON REVENUES AND EXPE NDITURES FROM THE FUND, INCLUDING A DETAILED 24
REPORTING OF MONEY R ETAINED AND SPENT TO DEFRAY THE COST OF 25
ADMINISTRATION OF TH IS TITLE. 26
(C) THE FUND SHALL BE DISTRIB UTED AS FOLLOWS : 27
(1) THE ALCOHOL AND TOBACCO COMMISSION SHALL RETA IN 28
SUFFICIENT MONEY TO DEFRAY THE ENTIRE CO ST OF ADMINISTRATION OF THIS 29
TITLE; AND 30
SENATE BILL 692 71
(2) REVENUES GENERATED I N EXCESS OF THE AMOU NT OF THOSE 1
NECESSARY TO DEFRAY THE ENTIRE COST OF A DMINISTRATION OF THI S TITLE 2
SHALL BE DISTRIBU TED NOT LESS THAN ON CE EVERY QUARTER AS FOLLOWS: 3
(I) 60% TO THE COMMUNITY REINVESTMENT AND REPAIR 4
FUND ESTABLISHED UNDE R § 23–204 OF THE HEALTH – GENERAL ARTICLE; 5
(II) 2% TO THE SMALL, MINORITY, AND WOMEN–OWNED 6
BUSINESSES ACCOUNT ESTABLISHED U NDER § 5–1501 OF THE ECONOMIC 7
DEVELOPMENT ARTICLE; AND 8
(III) THE REMAINDER TO THE GENERAL FUND OF THE STATE. 9
12.5–104. 10
NOTWITHSTANDING ANY F EDERAL TAX LAW TO TH E CONTRARY , IN 11
COMPUTING NET INCOME FOR BUSINESSES EXEMP TED FROM CRIMINAL PE NALTIES 12
UNDER STATE LAW, THERE SHALL BE ALLOW ED AS A DEDUCTION FR OM STATE 13
TAXES ALL THE ORDINA RY AND NECESSARY EXP ENSES PAID OR INCURR ED DURING 14
THE TAXABLE YEAR IN CARRYING ON A TRADE OR BUSINESS AS A CAN NABIS 15
ESTABLISHMENT AS DEF INED BY § 23–101 OF THE HEALTH – GENERAL ARTICLE, OR 16
AN ENTITY LICENSED U NDER TITLE 13, SUBTITLE 33 OF THE HEALTH – GENERAL 17
ARTICLE, INCLUDING REASONABLE ALLOWANCE FOR SALARI ES OR OTHER 18
COMPENSATION FOR PER SONAL SERVICES ACTUA LLY RENDERED . 19
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 20
1, 2022. 21