Maryland 2024 Regular Session

Maryland House Bill HB253 Compare Versions

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1- WES MOORE, Governor Ch. 241
21
3-– 1 –
4-Chapter 241
5-(House Bill 253)
62
7-AN ACT concerning
3+EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4+ [Brackets] indicate matter deleted from existing law.
5+ Underlining indicates amendments to bill.
6+ Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7+amendment.
8+ Italics indicate opposite chamber/conference committee amendments.
9+ *hb0253*
810
9-Cannabis Reform – Alterations
11+HOUSE BILL 253
12+A3 EMERGENCY BILL (4lr4578)
13+ENROLLED BILL
14+— Economic Matters/Finance —
15+Introduced by Chair, Economic Matters Committee (By Request – Maryland
16+Cannabis Administration)
1017
11-FOR the purpose of altering the best practices that the Alcohol, Tobacco, and Cannabis
12-Commission is required to develop; altering the membership of the Commission;
13-making alterations and clarifications related to the duties of the Commission, the
14-Office of Social Equity, the Advisory Board on Medical and Adult–Use Cannabis, and
15-the Maryland Cannabis Administration; altering the composition of the Advisory
16-Board; requiring the Governor to appoint the chair of the Advisory Board to elect a
17-chair and removing the Director of the Administration as chair; authorizing
18-processors to provide cannabis to cannabis licensees; requiring the Administration
19-to register and regulate cannabis nurseries; authorizing the Administration to
20-impose certain penalties on a cannabis license or registration for the violation of
21-certain laws and regulations; requiring the Administration rather than the
22-Comptroller to administer the Cannabis Regulation and Enforcement Fund; altering
23-the amount of cannabis that a qualifying patient may possess; altering the amount
24-of cannabis that processors may process; altering certain provisions of law related to
25-the registration of cannabis agents; providing for the temporary registration of
26-cannabis agents; altering certain provisions of law related to advertising and
27-cannabis; providing that certain violations may be charged by a citation; authorizing
28-the use of the Cannabis Business Assistance Fund for the administrative costs of the
29-Fund; authorizing the sharing of certain tax information with the Administration;
30-extending the period of time that the Administration is exempt from procurement
31-requirements under certain circumstances; and generally relating to medical and
32-adult–use cannabis.
18+Read and Examined by Proofreaders:
3319
34-BY repealing and reenacting, without amendments,
35- Article – Alcoholic Beverages and Cannabis
36- Section 1–101(a), 1–322(a)(1) and (8), 36–101(a) and (h), and 36–206(b)
37- Annotated Code of Maryland
38- (2016 Volume and 2023 Supplement)
20+_______________________________________________
21+Proofreader.
22+_______________________________________________
23+Proofreader.
3924
40-BY repealing and reenacting, with amendments,
41- Article – Alcoholic Beverages and Cannabis
42-Section 1–101(d), 1–202, 1–303(a)(1) and (3), 1–308(8) and (9), 1–309.1(d)(5) and
43-(f)(2), (e), and (f), 1–309.2, 1–322(a)(7) and (b)(2), 36–101(j), (aa), and (dd),
44-36–202, 36–206(d) and (j)(1), 36–302(g), 36–401(c)(1) and (2), (e), and (g),
45-36–402(d)(1)(vi) 36–402(b)(2)(i) and (d)(1)(vi), 36–404(i)(3), 36–407(a)(3) and
46-(b), 36–409(a), 36–501(a) and (d), 36–505, and 36–903(a), and 36–1102(e) and
47-(f)
48- Annotated Code of Maryland
49- (2016 Volume and 2023 Supplement) Ch. 241 2024 LAWS OF MARYLAND
25+Sealed with the Great Seal and presented to the Governor, for his app roval this
5026
51-– 2 –
27+_______ day of _______________ at ________________________ o’clock, ________M.
5228
53-BY repealing
54- Article – Alcoholic Beverages and Cannabis
55- Section 1–308(10) and (11)
56- Annotated Code of Maryland
57- (2016 Volume and 2023 Supplement)
29+______________________________________________
30+Speaker.
5831
59-BY adding to
60- Article – Alcoholic Beverages and Cannabis
61-Section 36–101(h–1)
62- Annotated Code of Maryland
63- (2016 Volume and 2023 Supplement)
32+CHAPTER ______
6433
65-BY repealing and reenacting, without amendments,
66- Article – Economic Development
67-Section 5–1901(b)
68- Annotated Code of Maryland
69- (2018 Replacement Volume and 2023 Supplement)
34+AN ACT concerning 1
7035
71-BY repealing and reenacting, with amendments,
72- Article – Economic Development
73-Section 5–1901(g)(1)
74- Annotated Code of Maryland
75- (2018 Replacement Volume and 2023 Supplement)
36+Cannabis Reform – Alterations 2
7637
77-BY repealing and reenacting, with amendments,
78- Article – Tax – General
79- Section 10–208(bb)(1), 10–308(b)(6), and 13–203(c)(10), (14), and (15)
80- Annotated Code of Maryland
81- (2022 Replacement Volume and 2023 Supplement)
38+FOR the purpose of altering the best practices that the Alcohol, Tobacco, and Cannabis 3
39+Commission is required to develop; altering the membership of the Commission; 4
40+making alterations and clarifications related to the duties of the Commission, the 5
41+Office of Social Equity, the Advisory Board on Medical and Adult–Use Cannabis, and 6
42+the Maryland Cannabis Administration; altering the composition of the Advisory 7
43+Board; requiring the Governor to appoint the chair of the Advisory Board to elect a 8
44+chair and removing the Director of the Administration as chair; authorizing 9
45+processors to provide cannabis to cannabis licensees; requiring the Administration 10
46+to register and regulate cannabis nurseries; authorizing the Administration to 11
47+impose certain penalties on a cannabis license or registration for the violation of 12
48+certain laws and regulations; requiring the Administration rather than the 13
49+Comptroller to administer the Cannabis Regulation and Enforcement Fund; altering 14 2 HOUSE BILL 253
8250
83-BY adding to
84- Article – Tax – General
85- Section 13–203(c)(16)
86- Annotated Code of Maryland
87- (2022 Replacement Volume and 2023 Supplement)
8851
89-BY repealing and reenacting, with amendments,
90- Chapter 254 of the Acts of the General Assembly of 2023
91-Section 10
52+the amount of cannabis that a qualifying patient may possess; altering the amount 1
53+of cannabis that processors may process; altering certain provisions of law related to 2
54+the registration of cannabis agents; providing for the temporary registration of 3
55+cannabis agents; altering certain provisions of law related to advertising and 4
56+cannabis; providing that certain violations may be charged by a citation; authorizing 5
57+the use of the Cannabis Business Assistance Fund for the administrative costs of the 6
58+Fund; authorizing the sharing of certain tax information with the Administration; 7
59+extending the period of time that the Administration is exempt from procurement 8
60+requirements under certain circumstances; and generally relating to medical and 9
61+adult–use cannabis. 10
9262
93-BY repealing and reenacting, with amendments,
94- Chapter 255 of the Acts of the General Assembly of 2023
95-Section 10
96- WES MOORE, Governor Ch. 241
63+BY repealing and reenacting, without amendments, 11
64+ Article – Alcoholic Beverages and Cannabis 12
65+ Section 1–101(a), 1–322(a)(1) and (8), 36–101(a) and (h), and 36–206(b) 13
66+ Annotated Code of Maryland 14
67+ (2016 Volume and 2023 Supplement) 15
9768
98-– 3 –
99- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
100-That the Laws of Maryland read as follows:
69+BY repealing and reenacting, with amendments, 16
70+ Article – Alcoholic Beverages and Cannabis 17
71+Section 1–101(d), 1–202, 1–303(a)(1) and (3), 1–308(8) and (9), 1–309.1(d)(5) and 18
72+(f)(2), (e), and (f), 1–309.2, 1–322(a)(7) and (b)(2), 36–101(j), (aa), and (dd), 19
73+36–202, 36–206(d) and (j)(1), 36–302(g), 36–401(c)(1) and (2), (e), and (g), 20
74+36–402(d)(1)(vi) 36–402(b)(2)(i) and (d)(1)(vi), 36–404(i)(3), 36–407(a)(3) and 21
75+(b), 36–409(a), 36–501(a) and (d), 36–505, and 36–903(a), and 36–1102(e) and 22
76+(f) 23
77+ Annotated Code of Maryland 24
78+ (2016 Volume and 2023 Supplement) 25
10179
102-Article – Alcoholic Beverages and Cannabis
80+BY repealing 26
81+ Article – Alcoholic Beverages and Cannabis 27
82+ Section 1–308(10) and (11) 28
83+ Annotated Code of Maryland 29
84+ (2016 Volume and 2023 Supplement) 30
10385
104-1–101.
86+BY adding to 31
87+ Article – Alcoholic Beverages and Cannabis 32
88+Section 36–101(h–1) 33
89+ Annotated Code of Maryland 34
90+ (2016 Volume and 2023 Supplement) 35
10591
106- (a) In this article the following words have the meanings indicated.
92+BY repealing and reenacting, without amendments, 36
93+ Article – Economic Development 37
94+Section 5–1901(b) 38
95+ Annotated Code of Maryland 39
96+ (2018 Replacement Volume and 2023 Supplement) 40
10797
108- (d) (1) “Cannabis” means the plant Cannabis sativa L. and any part of the
109-plant, including all derivatives, extracts, cannabinoids, isomers, acids, salts, and salts of
110-isomers, whether growing or not, with a delta–9–tetrahydrocannabinol concentration
111-greater than 0.3% on a dry weight basis.
98+BY repealing and reenacting, with amendments, 41 HOUSE BILL 253 3
11299
113- (2) “Cannabis” includes cannabis products, SEEDS, SEEDLINGS,
114-IMMATURE PLANTS , AND CLONES .
115100
116- (3) “Cannabis” does not include hemp or hemp products, as defined in §
117-14–101 of the Agriculture Article.
101+ Article – Economic Development 1
102+Section 5–1901(g)(1) 2
103+ Annotated Code of Maryland 3
104+ (2018 Replacement Volume and 2023 Supplement) 4
118105
119-1–202.
106+BY repealing and reenacting, with amendments, 5
107+ Article – Tax – General 6
108+ Section 10–208(bb)(1), 10–308(b)(6), and 13–203(c)(10), (14), and (15) 7
109+ Annotated Code of Maryland 8
110+ (2022 Replacement Volume and 2023 Supplement) 9
120111
121- (a) To the extent that a statement of a general rule of law conflicts or is
122-inconsistent with an exception or a qualification applicable to a special area, particular
123-person, or set of circumstances, the exception or qualification prevails.
112+BY adding to 10
113+ Article – Tax – General 11
114+ Section 13–203(c)(16) 12
115+ Annotated Code of Maryland 13
116+ (2022 Replacement Volume and 2023 Supplement) 14
124117
125- (b) A provision in Division II of this article prevails over a conflicting or
126-inconsistent provision in Division I of this article or a provision in the Tax – General Article
127-relating to alcoholic beverages.
118+BY repealing and reenacting, with amendments, 15
119+ Chapter 254 of the Acts of the General Assembly of 2023 16
120+Section 10 17
128121
129- (c) A provision in Division III of this article prevails over a conflicting or
130-inconsistent provision in Division I OR DIVISION II of this article or a provision in the Tax
131-– General Article relating to cannabis.
122+BY repealing and reenacting, with amendments, 18
123+ Chapter 255 of the Acts of the General Assembly of 2023 19
124+Section 10 20
132125
133-1–303.
126+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 21
127+That the Laws of Maryland read as follows: 22
134128
135- (a) (1) The Commission consists of [seven] FIVE members to be appointed by
136-the Governor with the advice and consent of the Senate.
129+Article – Alcoholic Beverages and Cannabis 23
137130
138- (3) Of the Commission members:
131+1–101. 24
139132
140- (i) one shall be knowledgeable and experienced in public health
141-matters;
133+ (a) In this article the following words have the meanings indicated. 25
142134
143- (ii) one shall be knowledgeable and experienced in law enforcement
144-matters; Ch. 241 2024 LAWS OF MARYLAND
135+ (d) (1) “Cannabis” means the plant Cannabis sativa L. and any part of the 26
136+plant, including all derivatives, extracts, cannabinoids, isomers, acids, salts, and salts of 27
137+isomers, whether growing or not, with a delta–9–tetrahydrocannabinol concentration 28
138+greater than 0.3% on a dry weight basis. 29
145139
146-– 4 –
140+ (2) “Cannabis” includes cannabis products, SEEDS, SEEDLINGS, 30
141+IMMATURE PLANTS , AND CLONES . 31
147142
148- (iii) one shall be knowledgeable and experienced in the alcoholic
149-beverages industry; AND
143+ (3) “Cannabis” does not include hemp or hemp products, as defined in § 32
144+14–101 of the Agriculture Article. 33
150145
151- (iv) [one shall have expertise in cannabis research and policy;
146+1–202. 34
147+ 4 HOUSE BILL 253
152148
153- (v) one shall have expertise in alcohol and tobacco policy; and
154149
155- (vi)] two shall be members of the public who are knowledgeable and
156-experienced in fiscal matters and shall have substantial experience:
150+ (a) To the extent that a statement of a general rule of law conflicts or is 1
151+inconsistent with an exception or a qualification applicable to a special area, particular 2
152+person, or set of circumstances, the exception or qualification prevails. 3
157153
158- 1. as an executive with fiduciary responsibilities in charge of
159-a large organization or foundation;
154+ (b) A provision in Division II of this article prevails over a conflicting or 4
155+inconsistent provision in Division I of this article or a provision in the Tax – General Article 5
156+relating to alcoholic beverages. 6
160157
161- 2. in an academic field relating to finance or economics; or
158+ (c) A provision in Division III of this article prevails over a conflicting or 7
159+inconsistent provision in Division I OR DIVISION II of this article or a provision in the Tax 8
160+– General Article relating to cannabis. 9
162161
163- 3. as an accountant, an economist, or a financial analyst.
162+1–303. 10
164163
165-1–308.
164+ (a) (1) The Commission consists of [seven] FIVE members to be appointed by 11
165+the Governor with the advice and consent of the Senate. 12
166166
167- The Commission shall develop best practices for:
167+ (3) Of the Commission members: 13
168168
169- (8) the development of a public health impact statement for all changes to
170-the State alcoholic beverages laws; AND
169+ (i) one shall be knowledgeable and experienced in public health 14
170+matters; 15
171171
172- (9) ensuring that:
172+ (ii) one shall be knowledgeable and experienced in law enforcement 16
173+matters; 17
173174
174- (i) all license holders, managers, and servers receive certification
175-from an approved alcohol awareness program; and
175+ (iii) one shall be knowledgeable and experienced in the alcoholic 18
176+beverages industry; AND 19
176177
177- (ii) at least one employee who is certified in an alcohol awareness
178-program be on the licensed premises at all times when alcoholic beverages are served[;
178+ (iv) [one shall have expertise in cannabis research and policy; 20
179179
180- (10) regulating the cannabis industry and implementing public health
181-measures relating to cannabis; and
180+ (v) one shall have expertise in alcohol and tobacco policy; and 21
182181
183- (11) regulating, to the extent possible, medical and adult–use cannabis in a
184-similar manner].
182+ (vi)] two shall be members of the public who are knowledgeable and 22
183+experienced in fiscal matters and shall have substantial experience: 23
185184
186-1–309.1.
185+ 1. as an executive with fiduciary responsibilities in charge of 24
186+a large organization or foundation; 25
187187
188- (d) The Office of Social Equity shall:
188+ 2. in an academic field relating to finance or economics; or 26
189189
190- (5) provide recommendations to the [Commission] MARYLAND
191-CANNABIS ADMINISTRATION on regulations related to: WES MOORE, Governor Ch. 241
190+ 3. as an accountant, an economist, or a financial analyst. 27
192191
193- 5 –
192+1308. 28
194193
195- (i) diversity; and
194+ The Commission shall develop best practices for: 29
195+ HOUSE BILL 253 5
196196
197- (ii) social equity applications;
198197
199- (e) (1) On or before March 1 each year, the Office of Social Equity shall produce
200-and make publicly available a report on how the funds in the Community Reinvestment
201-and Repair Fund under § 1–322 of this subtitle were allocated during the immediately
202-preceding calendar year.
198+ (8) the development of a public health impact statement for all changes to 1
199+the State alcoholic beverages laws; AND 2
203200
204- (2) The report shall also be submitted to the General Assembly in
205-accordance with § 2–1257 of the State Government Article.
201+ (9) ensuring that: 3
206202
207- (3) THE OFFICE MAY REQUEST IN FORMATION FROM POLIT ICAL
208-SUBDIVISIONS AND ENT ITIES RECEIVING DIST RIBUTIONS FROM THE FUND TO
209-ASSIST WITH THE COMP LETION OF THE REPORT .
203+ (i) all license holders, managers, and servers receive certification 4
204+from an approved alcohol awareness program; and 5
210205
211- (f) (1) On or before November 1 [each year] EVERY 2 YEARS, BEGINNING IN
212-2024, the Office of Social Equity shall solicit public input on the uses of the funds in the
213-Community Reinvestment and Repair Fund under § 1–322 of this subtitle.
206+ (ii) at least one employee who is certified in an alcohol awareness 6
207+program be on the licensed premises at all times when alcoholic beverages are served[; 7
214208
215- (f) (2) On or before December 15 each year EVERY 2 YEARS, BEGINNING IN
216-2024, the Office of Social Equity shall publish a review of the input received under
217-paragraph (1) of this subsection on a publicly accessible part of the [Commission’s]
218-OFFICE’S website.
209+ (10) regulating the cannabis industry and implementing public health 8
210+measures relating to cannabis; and 9
219211
220- (3) THE OFFICE SHALL INCLUDE IN THE REVIEW INFORM ATION ON
221-HOW THE FUNDS RECEIV ED FROM THE FUND WERE SPENT DURING THE
222-IMMEDIATELY PRECEDIN G 2 CALENDAR YEARS .
212+ (11) regulating, to the extent possible, medical and adult–use cannabis in a 10
213+similar manner]. 11
223214
224-1–309.2.
215+1–309.1. 12
225216
226- (a) In this section, “Advisory Board” means the Advisory Board on Medical and
227-Adult–Use Cannabis.
217+ (d) The Office of Social Equity shall: 13
228218
229- (b) There is an Advisory Board on Medical and Adult–Use Cannabis.
219+ (5) provide recommendations to the [Commission] MARYLAND 14
220+CANNABIS ADMINISTRATION on regulations related to: 15
230221
231- (c) The Advisory Board shall:
222+ (i) diversity; and 16
232223
233- (1) consider all matters submitted to it by the [Commission] OFFICE OF
234-SOCIAL EQUITY, the Governor, the Maryland Cannabis Administration, or the General
235-Assembly; and
224+ (ii) social equity applications; 17
236225
237- (2) on its own initiative, provide recommendations to the [Commission]
238-OFFICE OF SOCIAL EQUITY or the Maryland Cannabis Administration established under Ch. 241 2024 LAWS OF MARYLAND
226+ (e) (1) On or before March 1 each year, the Office of Social Equity shall produce 18
227+and make publicly available a report on how the funds in the Community Reinvestment 19
228+and Repair Fund under § 1–322 of this subtitle were allocated during the immediately 20
229+preceding calendar year. 21
239230
240-– 6 –
241-§ 36–201 of this article regarding guidelines, rules, and regulations that the Advisory Board
242-considers important or necessary for review and consideration by the [Commission]
243-OFFICE OF SOCIAL EQUITY or the Maryland Cannabis Administration. STUDY AND
244-MAKE RECOMMENDATIONS ON:
231+ (2) The report shall also be submitted to the General Assembly in 22
232+accordance with § 2–1257 of the State Government Article. 23
245233
246- (I) THE IMPACT ON THE LE GAL MEDICAL AND ADUL T–USE
247-CANNABIS INDUSTRY IN THE STATE IF THE FEDERAL GOVERNMENT :
234+ (3) THE OFFICE MAY REQUEST INFORMAT ION FROM POLITICAL 24
235+SUBDIVISIONS AND ENT ITIES RECEIVING DIST RIBUTIONS FROM THE FUND TO 25
236+ASSIST WITH THE COMP LETION OF THE REPORT . 26
248237
249- 1. RESCHEDULES CANNABIS FROM SCHEDULE I TO
250-SCHEDULE III UNDER THE FEDERAL CONTROLLED SUBSTANCES ACT; OR
238+ (f) (1) On or before November 1 [each year] EVERY 2 YEARS, BEGINNING IN 27
239+2024, the Office of Social Equity shall solicit public input on the uses of the funds in the 28
240+Community Reinvestment and Repair Fund under § 1–322 of this subtitle. 29
251241
252- 2. REMOVES CANNABIS FRO M THE LIST OF CONTRO LLED
253-SUBSTANCES UNDER THE FEDERAL CONTROLLED SUBSTANCES ACT;
242+ (f) (2) On or before December 15 each year EVERY 2 YEARS, BEGINNING IN 30
243+2024, the Office of Social Equity shall publish a review of the input received under 31 6 HOUSE BILL 253
254244
255- (II) MEASURES TO PROTECT AND PROMOTE THE LEGA L
256-MEDICAL AND ADULT–USE CANNABIS INDUSTR Y IN THE STATE IF CANNABIS IS:
257245
258- 1. RESCHEDULED FROM SCHEDULE I TO SCHEDULE III;
259-OR
246+paragraph (1) of this subsection on a publicly accessible part of the [Commission’s] 1
247+OFFICE’S website. 2
260248
261- 2. REMOVED FROM THE FED ERAL CONTROLLED
262-SUBSTANCES ACT;
249+ (3) THE OFFICE SHALL INCLUDE IN THE REVIEW INFORM ATION ON 3
250+HOW THE FUNDS RECEIV ED FROM THE FUND WERE SPENT DURIN G THE 4
251+IMMEDIATELY PRECEDIN G 2 CALENDAR YEARS . 5
263252
264- (III) MEASURES TO ENABLE S TANDARD AND MICRO CA NNABIS
265-LICENSEES AND SMALL BUSINESSES TO COMPETE IN I NTERSTATE COMMERCE
266-RELATED TO THE CULTI VATION, MANUFACTURE , DISTRIBUTION, AND TESTING OF
267-CANNABIS AND CANNABI S PRODUCTS;
253+1–309.2. 6
268254
269- (IV) METHODS TO ENSURE TH AT THERE IS AN ADEQU ATE
270-SUPPLY OF AFFORDABLE CANNABIS AND CANNABI S PRODUCTS FOR QUALI FYING
271-PATIENTS, INCLUDING CANNABIS A ND CANNABIS PRODUCTS CONTAINING VARYING
272-LEVELS OF POTENCY ; AND
255+ (a) In this section, “Advisory Board” means the Advisory Board on Medical and 7
256+Adult–Use Cannabis. 8
273257
274- (V) METHODS TO ASSIST SO CIAL EQUITY APPLICAN TS, SOCIAL
275-EQUITY LICENSEES , AND SMALL, MINORITY, AND WOMEN –OWNED BUSINESSES TO :
258+ (b) There is an Advisory Board on Medical and Adult–Use Cannabis. 9
276259
277- 1. ACCESS FUNDS FOR OPE RATING OR CAPITAL
278-EXPENSES ASSOCIATED WITH A BUSINESS PART ICIPATING IN THE MED ICAL AND
279-ADULT–USE CANNABIS INDUSTR Y;
260+ (c) The Advisory Board shall: 10
280261
281- 2. OBTAIN FINANCING FRO M A LENDER, AS DEFINED IN §
282-36–1401 OF THIS ARTICLE; AND
283- WES MOORE, Governor Ch. 241
262+ (1) consider all matters submitted to it by the [Commission] OFFICE OF 11
263+SOCIAL EQUITY, the Governor, the Maryland Cannabis Administration, or the General 12
264+Assembly; and 13
284265
285-– 7 –
286- 3. PARTNER WITH OPERATI ONAL CANNABIS LICENS EES
287-IN WAYS THAT THE SOCIAL EQUITY APPLICANTS OR LICENSEES OR SMALL ,
288-MINORITY, OR WOMEN–OWNED BUSINESSES RET AIN OWNERSHIP AND CO NTROL OF
289-THE LICENSES AND BUS INESSES.
266+ (2) on its own initiative, provide recommendations to the [Commission] 14
267+OFFICE OF SOCIAL EQUITY or the Maryland Cannabis Administration established under 15
268+§ 36–201 of this article regarding guidelines, rules, and regulations that the Advisory Board 16
269+considers important or necessary for review and consideration by the [Commission] 17
270+OFFICE OF SOCIAL EQUITY or the Maryland Cannabis Administration. STUDY AND 18
271+MAKE RECOMMENDATIONS ON: 19
290272
291- (d) (1) The Advisory Board consists of[:
273+ (I) THE IMPACT ON THE LE GAL MEDICAL AND ADUL T–USE 20
274+CANNABIS INDUSTRY IN THE STATE IF THE FEDERAL GOVERNMENT : 21
292275
293- (1) the Director of the Maryland Cannabis Administration, who shall serve
294-as Chair of the Advisory Board; and
276+ 1. RESCHEDULES CANNABIS FROM SCHEDULE I TO 22
277+SCHEDULE III UNDER THE FEDERAL CONTROLLED SUBSTANCES ACT; OR 23
295278
296- (2)] the following members, appointed by the Governor with the advice and
297-consent of the Senate:
279+ 2. REMOVES CANNABIS FRO M THE LIST OF CONTRO LLED 24
280+SUBSTANCES UNDER THE FEDERAL CONTROLLED SUBSTANCES ACT; 25
298281
299- (i) three members that have substantial experience in one or more
300-of the following:
282+ (II) MEASURES TO PROTECT AND PROMOTE THE LEGA L 26
283+MEDICAL AND ADULT –USE CANNABIS INDUSTR Y IN THE STATE IF CANNABIS IS: 27
301284
302- 1. cannabis law, science, or policy;
285+ 1. RESCHEDULED FROM SCHEDULE I TO SCHEDULE III; 28
286+OR 29
303287
304- 2. public health or health care;
288+ 2. REMOVED FROM THE FED ERAL CONTROLLED 30
289+SUBSTANCES ACT; 31
290+ HOUSE BILL 253 7
305291
306- 3. agriculture;
307292
308- 4. finance; or
293+ (III) MEASURES TO ENABLE S TANDARD AND MICRO CA NNABIS 1
294+LICENSEES AND SMALL BUSINESSES TO COMPET E IN INTERSTATE CO MMERCE 2
295+RELATED TO THE CULTI VATION, MANUFACTURE , DISTRIBUTION, AND TESTING OF 3
296+CANNABIS AND CANNABI S PRODUCTS; 4
309297
310- 5. addiction treatment;
298+ (IV) METHODS TO ENSURE TH AT THERE IS AN ADEQU ATE 5
299+SUPPLY OF AFFORDABLE CANNABIS AND CANNABI S PRODUCTS FOR QUALI FYING 6
300+PATIENTS, INCLUDING CANNABI S AND CANNABIS PRODU CTS CONTAINING VARYI NG 7
301+LEVELS OF POTENCY ; AND 8
311302
312- (ii) one academic researcher with at least 5 years of experience in
313-social or health equity;
303+ (V) METHODS TO ASSIST SO CIAL EQUITY APPLICAN TS, SOCIAL 9
304+EQUITY LICENSEES , AND SMALL, MINORITY, AND WOMEN –OWNED BUSINESSES TO : 10
314305
315- (iii) one representative of an independent testing laboratory
316-registered under § 36–408 of this article;
306+ 1. ACCESS FUNDS FOR OPE RATING OR CAPITAL 11
307+EXPENSES ASSOCIATED WITH A BU SINESS PARTICIPATING IN THE MEDICAL AND 12
308+ADULT–USE CANNABIS INDUSTR Y; 13
317309
318- (iv) two representatives who hold a standard grower license under §
319-36–401 of this article;
310+ 2. OBTAIN FINANCING FRO M A LENDER, AS DEFINED IN § 14
311+36–1401 OF THIS ARTICLE; AND 15
320312
321- (v) two representatives who hold a standard processor license under
322-§ 36–401 of this article;
313+ 3. PARTNER WITH OPERATI ONAL CANNABIS LICENS EES 16
314+IN WAYS THAT THE SOC IAL EQUITY APPLICANTS OR LICENS EES OR SMALL , 17
315+MINORITY, OR WOMEN–OWNED BUSINESSES RET AIN OWNERSHIP AND CO NTROL OF 18
316+THE LICENSES AND BUS INESSES. 19
323317
324- (vi) two representatives who hold a standard dispensary license
325-under § 36–401 of this article;
318+ (d) (1) The Advisory Board consists of[: 20
326319
327- (vii) two representatives who hold a micro grower license under §
328-36–401 of this article;
320+ (1) the Director of the Maryland Cannabis Administration, who shall serve 21
321+as Chair of the Advisory Board; and 22
329322
330- (viii) two representatives who hold a micro processor license under §
331-36–401 of this article; Ch. 241 2024 LAWS OF MARYLAND
323+ (2)] the following members, appointed by the Governor with the advice and 23
324+consent of the Senate: 24
332325
333-– 8 –
326+ (i) three members that have substantial experience in one or more 25
327+of the following: 26
334328
335- (ix) two representatives who hold a micro dispensary license under §
336-36–401 of this article;
329+ 1. cannabis law, science, or policy; 27
337330
338- (x) one representative who holds an incubator space license under §
339-36–401 of this article;
331+ 2. public health or health care; 28
340332
341- (xi) one representative who holds an on–site consumption license
342-under § 36–401 of this article;
333+ 3. agriculture; 29
343334
344- (xii) one representative of an organization that advocates on behalf of
345-patients who engage in the medical use of cannabis;
335+ 4. finance; or 30
346336
347- (xiii) one representative of an organization that advocates on behalf of
348-consumers who engage in the adult use of cannabis; and
337+ 5. addiction treatment; 31 8 HOUSE BILL 253
349338
350- (xiv) one health care provider who is registered to certify patients to
351-obtain medical cannabis under § 36–301 of this article.
352339
353- (2) FROM AMONG THE MEMBER S OF THE THE ADVISORY BOARD, THE
354-GOVERNOR SHALL APPOINT ELECT A CHAIR FROM AMONG ITS MEMBE RS.
355340
356- (e) The President of the Senate and the Speaker of the House may recommend to
357-the Governor a list of individuals for appointment to the Advisory Board.
341+ (ii) one academic researcher with at least 5 years of experience in 1
342+social or health equity; 2
358343
359- (f) (1) The term of a member of the Advisory Board is 4 years.
344+ (iii) one representative of an independent testing laboratory 3
345+registered under § 36–408 of this article; 4
360346
361- (2) At the end of a term, a member continues to serve until a successor is
362-appointed and qualifies.
347+ (iv) two representatives who hold a standard grower license under § 5
348+36–401 of this article; 6
363349
364- (3) An appointed member may not serve more than two full terms.
350+ (v) two representatives who hold a standard processor license under 7
351+§ 36–401 of this article; 8
365352
366- (4) The positions for members appointed under subsection [(d)(2)(vii)
367-through (xi)] (D)(1)(VII) THROUGH (XI) of this section become effective when the first
368-licenses are issued under those respective license types.
353+ (vi) two representatives who hold a standard dispensary license 9
354+under § 36–401 of this article; 10
369355
370- (g) An appointed member of the Advisory Board must be:
356+ (vii) two representatives who hold a micro grower license under § 11
357+36–401 of this article; 12
371358
372- (1) at least 25 years old;
359+ (viii) two representatives who hold a micro processor license under § 13
360+36–401 of this article; 14
373361
374- (2) a resident of the State who has resided in the State for at least the
375-immediately preceding 5 years before the appointment; and
362+ (ix) two representatives who hold a micro dispensary license under § 15
363+36–401 of this article; 16
376364
377- (3) a registered voter of the State.
378- WES MOORE, Governor Ch. 241
365+ (x) one representative who holds an incubator space license under § 17
366+36–401 of this article; 18
379367
380-– 9 –
381- (h) The Advisory Board shall establish at least two subcommittees to focus on
382-medical and adult–use cannabis.
368+ (xi) one representative who holds an on–site consumption license 19
369+under § 36–401 of this article; 20
383370
384- (i) To the extent practicable and consistent with federal and State law, the
385-membership of the Advisory Board shall reflect the racial, ethnic, and gender diversity of
386-the State.
371+ (xii) one representative of an organization that advocates on behalf of 21
372+patients who engage in the medical use of cannabis; 22
387373
388- (J) THE MARYLAND CANNABIS ADMINISTRATION SHALL PROVIDE STAFF
389-FOR THE ADVISORY BOARD.
374+ (xiii) one representative of an organization that advocates on behalf of 23
375+consumers who engage in the adult use of cannabis; and 24
390376
391-1–322.
377+ (xiv) one health care provider who is registered to certify patients to 25
378+obtain medical cannabis under § 36–301 of this article. 26
392379
393- (a) (1) There is a Community Reinvestment and Repair Fund.
380+ (2) FROM AMONG THE MEMBER S OF THE THE ADVISORY BOARD, THE 27
381+GOVERNOR SHALL APPOINT ELECT A CHAIR FROM AMONG ITS MEMBE RS. 28
394382
395- (7) (I) The State Treasurer shall invest the money of the Fund in the
396-same manner as other State money may be invested.
383+ (e) The President of the Senate and the Speaker of the House may recommend to 29
384+the Governor a list of individuals for appointment to the Advisory Board. 30
397385
398- (II) ANY INTEREST EARNINGS OF THE FUND SHALL BE
399-CREDITED TO THE GENERAL FUND OF THE STATE.
386+ (f) (1) The term of a member of the Advisory Board is 4 years. 31 HOUSE BILL 253 9
400387
401- (8) No part of the Fund may revert or be credited to:
402388
403- (i) the General Fund of the State; or
404389
405- (ii) any other special fund of the State.
390+ (2) At the end of a term, a member continues to serve until a successor is 1
391+appointed and qualifies. 2
406392
407- (b) (2) [(i)] Subject to the limitations under subsection (a)(6) of this section,
408-each county shall adopt a law establishing the purpose for which money received from the
409-Fund may be used.
393+ (3) An appointed member may not serve more than two full terms. 3
410394
411- [(ii) On or before December 1 every 2 years, beginning in 2024, each
412-political subdivision that receives funds from the Fund under paragraph (1) of this
413-subsection shall submit a report to the Governor and, in accordance with § 2–1257 of the
414-State Government Article, the Senate Budget and Taxation Committee and the House
415-Appropriations Committee on how funds received from the Fund were spent during the
416-immediately preceding 2 fiscal years.]
395+ (4) The positions for members appointed under subsection [(d)(2)(vii) 4
396+through (xi)] (D)(1)(VII) THROUGH (XI) of this section become effective when the first 5
397+licenses are issued under those respective license types. 6
417398
418-36–101.
399+ (g) An appointed member of the Advisory Board must be: 7
419400
420- (a) In this title the following words have the meanings indicated.
401+ (1) at least 25 years old; 8
421402
422- (h) “Cannabis licensee” means a business licensed by the Administration to
423-operate in the cannabis industry.
403+ (2) a resident of the State who has resided in the State for at least the 9
404+immediately preceding 5 years before the appointment; and 10
424405
425- (H–1) “CANNABIS NURSERY ” MEANS A BUSINESS THA T PROVIDES CANNABIS
426-SEEDS, SEEDLINGS, IMMATURE PLANTS , OR CLONES TO A CANNA BIS BUSINESS. Ch. 241 2024 LAWS OF MARYLAND
406+ (3) a registered voter of the State. 11
427407
428-– 10 –
408+ (h) The Advisory Board shall establish at least two subcommittees to focus on 12
409+medical and adult–use cannabis. 13
429410
430- (j) “Cannabis registrant” means an indep endent testing laboratory, a
431-transporter, a security guard company, a waste disposal company, A CANNABIS NURSERY ,
432-and any other type of cannabis business registered under this title and authorized by the
433-Administration.
411+ (i) To the extent practicable and consistent with federal and State law, the 14
412+membership of the Advisory Board shall reflect the racial, ethnic, and gender diversity of 15
413+the State. 16
434414
435- (aa) “Ownership interest” means a direct or indirect equity interest in a cannabis
436-licensee, including in its PROFITS, REVENUES, shares, or stock.
415+ (J) THE MARYLAND CANNABIS ADMINISTRATION SHALL PROVIDE STAFF 17
416+FOR THE ADVISORY BOARD. 18
437417
438- (dd) “Processor” means an entity licensed under this title that:
418+1–322. 19
439419
440- (1) transforms cannabis into another product or an extract and packages
441-and labels the cannabis product; and
420+ (a) (1) There is a Community Reinvestment and Repair Fund. 20
442421
443- (2) is authorized by the Administration to provide cannabis to [licensed
444-dispensaries] CANNABIS LICENSEES and registered independent testing laboratories.
422+ (7) (I) The State Treasurer shall invest the money of the Fund in the 21
423+same manner as other State money may be invested. 22
445424
446-36–202.
425+ (II) ANY INTEREST EARNINGS OF THE FUND SHALL BE 23
426+CREDITED TO THE GENERAL FUND OF THE STATE. 24
447427
448- (a) The Administration shall:
428+ (8) No part of the Fund may revert or be credited to: 25
449429
450- (1) develop and maintain a seed–to–sale tracking system that tracks
451-cannabis from either the seed or immature plant stage until the cannabis is sold to a
452-patient, caregiver, or consumer;
430+ (i) the General Fund of the State; or 26
453431
454- (2) conduct financial and criminal background investigations of any person
455-who submits an application for a cannabis license or a cannabis licensee, as required under
456-this title;
432+ (ii) any other special fund of the State. 27
433+ 10 HOUSE BILL 253
457434
458- (3) develop a process for consumers and qualifying patients to purchase
459-clones and seeds, seedlings, stalks, roots, and stems of the cannabis plant for cultivation in
460-accordance with § 5–601.2 of the Criminal Law Article;
461435
462- (4) solicit, evaluate, and issue or deny applications for cannabis licenses
463-and cannabis registrations, including:
436+ (b) (2) [(i)] Subject to the limitations under subsection (a)(6) of this section, 1
437+each county shall adopt a law establishing the purpose for which money received from the 2
438+Fund may be used. 3
464439
465- (i) licenses to operate a cannabis business in accordance with this
466-title; and
440+ [(ii) On or before December 1 every 2 years, beginning in 2024, each 4
441+political subdivision that receives funds from the Fund under paragraph (1) of this 5
442+subsection shall submit a report to the Governor and, in accordance with § 2–1257 of the 6
443+State Government Article, the Senate Budget and Taxation Committee and the House 7
444+Appropriations Committee on how funds received from the Fund were spent during the 8
445+immediately preceding 2 fiscal years.] 9
467446
468- (ii) registration for independent testing laboratories, transporters,
469-security guard companies, [and] waste disposal companies, AND CANNABIS NURSERI ES;
447+36–101. 10
470448
471- (5) award or deny:
449+ (a) In this title the following words have the meanings indicated. 11
472450
473- (i) a license to operate a cannabis business in accordance with this
474-title; and WES MOORE, Governor Ch. 241
451+ (h) “Cannabis licensee” means a business licensed by the Administration to 12
452+operate in the cannabis industry. 13
475453
476-– 11 –
454+ (H–1) “CANNABIS NURSERY ” MEANS A BUSINESS THA T PROVIDES CANNABIS 14
455+SEEDS, SEEDLINGS, IMMATURE PLANTS , OR CLONES TO A CANNA BIS BUSINESS. 15
477456
478- (ii) registration to independent testing laboratories, transporters,
479-security guard companies, waste disposal companies, CANNABIS NURSERIES , and any
480-other type of cannabis business authorized by the Administration;
457+ (j) “Cannabis registrant” means an independent testing laborat ory, a 16
458+transporter, a security guard company, a waste disposal company, A CANNABIS NURSERY , 17
459+and any other type of cannabis business registered under this title and authorized by the 18
460+Administration. 19
481461
482- (6) conduct announced and unannounced inspections of any business
483-licensed or registered under this title to ensure compliance with this title;
462+ (aa) “Ownership interest” means a direct or indirect equity interest in a cannabis 20
463+licensee, including in its PROFITS, REVENUES, shares, or stock. 21
484464
485- (7) after a determination that a violation of this title or a regulation
486-adopted under this title has occurred, suspend, fine, restrict, or revoke cannabis licenses
487-and cannabis registrations, whether active, expired, or surrendered, or impose any other
488-penalty authorized by this title or any regulation adopted under this title;
465+ (dd) “Processor” means an entity licensed under this title that: 22
489466
490- (8) (i) give notice and hold a hearing in accordance with Title 10,
491-Subtitle 2 of the State Government Article, for any:
467+ (1) transforms cannabis into another product or an extract and packages 23
468+and labels the cannabis product; and 24
492469
493- 1. contested cannabis license or registration denial; or
470+ (2) is authorized by the Administration to provide cannabis to [licensed 25
471+dispensaries] CANNABIS LICENSEES and registered independent testing laboratories. 26
494472
495- 2. violation of this title or any regulation adopted under this
496-title;
473+36–202. 27
497474
498- (ii) administer oaths in a proceeding under this section; and
475+ (a) The Administration shall: 28
499476
500- (iii) subject to subsection (b)(3) of this section, allow the person
501-against whom the action is contemplated to be represented at the hearing by counsel;
477+ (1) develop and maintain a seed–to–sale tracking system that tracks 29
478+cannabis from either the seed or immature plant stage until the cannabis is sold to a 30
479+patient, caregiver, or consumer; 31
480+ HOUSE BILL 253 11
502481
503- (9) adopt regulations necessary to carry out its duties under this title; and
504482
505- (10) perform any other power authorized or duty required under this title or
506-any other provision of State law.
483+ (2) conduct financial and criminal background investigations of any person 1
484+who submits an application for a cannabis license or a cannabis licensee, as required under 2
485+this title; 3
507486
508- (b) The Administration may:
487+ (3) develop a process for consumers and qualifying patients to purchase 4
488+clones and seeds, seedlings, stalks, roots, and stems of the cannabis plant for cultivation in 5
489+accordance with § 5–601.2 of the Criminal Law Article; 6
509490
510- (1) issue a subpoena for the attendance of a witness to testify or the
511-production of evidence in connection with:
491+ (4) solicit, evaluate, and issue or deny applications for cannabis licenses 7
492+and cannabis registrations, including: 8
512493
513- (i) any disciplinary action under this title; or
494+ (i) licenses to operate a cannabis business in accordance with this 9
495+title; and 10
514496
515- (ii) any investigation or proceeding initiated for an alleged violation
516-of this title;
497+ (ii) registration for independent testing laboratories, transporters, 11
498+security guard companies, [and] waste disposal companies, AND CANNABIS NURSERI ES; 12
517499
518- (2) delegate the hearing authority authorized under subsection (a)(8) of
519-this section to an employee within the Administration; [and]
500+ (5) award or deny: 13
520501
521- (3) if, after due notice, the person against whom a disciplinary action is
522-contemplated does not appear at a hearing, hear and determine the matter; AND Ch. 241 2024 LAWS OF MARYLAND
502+ (i) a license to operate a cannabis business in accordance with this 14
503+title; and 15
523504
524-– 12 –
505+ (ii) registration to independent testing laboratories, transporters, 16
506+security guard companies, waste disposal companies, CANNABIS NURSERIES , and any 17
507+other type of cannabis business authorized by the Administration; 18
525508
526- (4) AFTER A HEARING UNDE R THIS SUBSECTION , FINE A CANNABIS
527-LICENSEE OR SUSPEND , RESTRICT, OR REVOKE A CANNABIS LICENSE OR A
528-CANNABIS REGISTRATIO N FOR A VIOLATION OF :
509+ (6) conduct announced and unannounced inspections of any business 19
510+licensed or registered under this title to ensure compliance with this title; 20
529511
530- (I) THIS TITLE OR A REGU LATION ADOPTED UNDER THIS TITLE;
531-OR
512+ (7) after a determination that a violation of this title or a regulation 21
513+adopted under this title has occurred, suspend, fine, restrict, or revoke cannabis licenses 22
514+and cannabis registrations, whether active, expired, or surrendered, or impose any other 23
515+penalty authorized by this title or any regulation adopted under this title; 24
532516
533- (II) ANY OTHER STATE LAW OR REGULATI ON RELATED TO
534-CANNABIS OR THE OPER ATIONS OF A CANNABIS BUSINESS OR REGISTRA NT.
517+ (8) (i) give notice and hold a hearing in accordance with Title 10, 25
518+Subtitle 2 of the State Government Article, for any: 26
535519
536-36–206.
520+ 1. contested cannabis license or registration denial; or 27
537521
538- (b) There is a Cannabis Regulation and Enforcement Fund.
522+ 2. violation of this title or any regulation adopted under this 28
523+title; 29
539524
540- (d) The [Comptroller] ADMINISTRATION shall administer the Fund [at the
541-direction of the Administration].
525+ (ii) administer oaths in a proceeding under this section; and 30
542526
543- (j) (1) On or before March 15 each year, the [Comptroller] ADMINISTRATION
544-shall publish on its website a detailed report on revenue distributed to and expenditures
545-from the Fund.
527+ (iii) subject to subsection (b)(3) of this section, allow the person 31
528+against whom the action is contemplated to be represented at the hearing by counsel; 32
529+ 12 HOUSE BILL 253
546530
547-36–302.
548531
549- (g) A qualifying patient may NOT possess [up to:
532+ (9) adopt regulations necessary to carry out its duties under this title; and 1
550533
551- (1) 120 grams of usable cannabis; or
534+ (10) perform any other power authorized or duty required under this title or 2
535+any other provision of State law. 3
552536
553- (2) 36 grams of delta–9–tetrahydrocannabinol (THC) in the case of a
554-cannabis–infused product] MORE THAN THE AMOUNT OF CANNABIS OR
555-CANNABIS–INFUSED PRODUCT THAT IS AUTHORIZED IN THE WRITTEN
556-CERTIFICATION OF THE PATIENT.
537+ (b) The Administration may: 4
557538
558-36–401.
539+ (1) issue a subpoena for the attendance of a witness to testify or the 5
540+production of evidence in connection with: 6
559541
560- (c) (1) A standard license authorizes the holder of the license:
542+ (i) any disciplinary action under this title; or 7
561543
562- (i) for growers, to operate more than 10,000 square feet, but not
563-more than 300,000 square feet, of indoor canopy or its equivalent, as calculated by the
564-Administration;
544+ (ii) any investigation or proceeding initiated for an alleged violation 8
545+of this title; 9
565546
566- (ii) for processors, to process more than [1,000] 2,000 pounds of
567-cannabis per year, as calculated by the Administration; and
568- WES MOORE, Governor Ch. 241
547+ (2) delegate the hearing authority authorized under subsection (a)(8) of 10
548+this section to an employee within the Administration; [and] 11
569549
570-– 13 –
571- (iii) for dispensaries, to operate a store at a physical location that
572-sells cannabis or cannabis products.
550+ (3) if, after due notice, the person against whom a disciplinary action is 12
551+contemplated does not appear at a hearing, hear and determine the matter; AND 13
573552
574- (2) A micro license authorizes the holder of the license:
553+ (4) AFTER A HEARING UNDE R THIS SUBSECTION , FINE A CANNABIS 14
554+LICENSEE OR SUSPEND , RESTRICT, OR REVOKE A CANNABIS LICENSE OR A 15
555+CANNABIS REGISTRATIO N FOR A VIOLATION OF : 16
575556
576- (i) for growers, to operate not more than 10,000 square feet of indoor
577-canopy or its equivalent, as calculated by the Administration;
557+ (I) THIS TITLE OR A REGU LATION ADOPTED UNDER THIS TITLE; 17
558+OR 18
578559
579- (ii) for processors, to process not more than [1,000] 2,000 pounds of
580-cannabis per year, as calculated by the Administration; and
560+ (II) ANY OTHER STATE LAW OR REGULATI ON RELATED TO 19
561+CANNABIS OR THE OPER ATIONS OF A CANNABIS BUSINESS OR REGISTRA NT. 20
581562
582- (iii) for dispensaries, to operate a delivery service that sells cannabis
583-or cannabis products without a physical storefront, provided that the licensee employs not
584-more than 10 employees.
563+36–206. 21
585564
586- (e) (1) This subsection applies to all licenses, including licenses converted
587-under subsection (b)(1)(ii) of this section.
565+ (b) There is a Cannabis Regulation and Enforcement Fund. 22
588566
589- (2) Subject to paragraph (3) of this subsection, a person may have an
590-ownership interest in or control of, including the power to manage and operate:
567+ (d) The [Comptroller] ADMINISTRATION shall administer the Fund [at the 23
568+direction of the Administration]. 24
591569
592- (i) for standard licenses and micro licenses:
570+ (j) (1) On or before March 15 each year, the [Comptroller] ADMINISTRATION 25
571+shall publish on its website a detailed report on revenue distributed to and expenditures 26
572+from the Fund. 27
593573
594- 1. one grower licensee;
574+36–302. 28
595575
596- 2. one processor licensee; and
576+ (g) A qualifying patient may NOT possess [up to: 29
577+ HOUSE BILL 253 13
597578
598- 3. not more than four dispensary licensees;
599579
600- (ii) for incubator space licenses, not more than two licensees; and
580+ (1) 120 grams of usable cannabis; or 1
601581
602- (iii) for on–site consumption licenses, not more than two licensees.
582+ (2) 36 grams of delta–9–tetrahydrocannabinol (THC) in the case of a 2
583+cannabis–infused product] MORE THAN THE AMOUNT OF CANNABIS OR 3
584+CANNABIS–INFUSED PRODUCT THA T IS AUTHORIZED IN T HE WRITTEN 4
585+CERTIFICATION OF THE PATIENT. 5
603586
604- (3) (i) A person who owns or controls an incubator space licensee or an
605-on–site consumption licensee may not own or control any [other] cannabis licensee LISTED
606-UNDER PARAGRAPH (2)(I) OF THIS SUBSECTION .
587+36–401. 6
607588
608- (ii) The Administration shall adopt regulations limiting a person or
609-fund from acquiring a nonmajority ownership interest in multiple cannabis businesses
610-beyond the limitations established under this subsection.
589+ (c) (1) A standard license authorizes the holder of the license: 7
611590
612- (4) The restrictions in paragraph (2) of this subsection do not apply to a
613-person or an entity who holds an ownership interest only as a passive investor.
591+ (i) for growers, to operate more than 10,000 square feet, but not 8
592+more than 300,000 square feet, of indoor canopy or its equivalent, as calculated by the 9
593+Administration; 10
614594
615- (g) Notwithstanding any provisions of this title, the holder of a dispensary license
616-issued by the Natalie M. LaPrade Medical Cannabis Commission who converts the license Ch. 241 2024 LAWS OF MARYLAND
595+ (ii) for processors, to process more than [1,000] 2,000 pounds of 11
596+cannabis per year, as calculated by the Administration; and 12
617597
618-– 14 –
619-or a registrant with the Natalie M. LaPrade Medical Cannabis Commission may continue
620-to deliver medical cannabis until July 1, [2024] 2025.
598+ (iii) for dispensaries, to operate a store at a physical location that 13
599+sells cannabis or cannabis products. 14
621600
622-36–402.
601+ (2) A micro license authorizes the holder of the license: 15
623602
624- (b) (2) (i) Except as provided in subparagraph (ii) of this paragraph and
625-subject to subparagraph (iii) of this paragraph, on or before January 1, [2026] 2027, an
626-operational business that holds a grower license issued before December 31, 2022, may
627-expand the canopy of its operations as it existed on December 31, 2022, and based on facility
628-square footage of indoor canopy space or its equivalent, as calculated by the Administration
629-in accordance with subsection (d) of this section, only as follows:
603+ (i) for growers, to operate not more than 10,000 square feet of indoor 16
604+canopy or its equivalent, as calculated by the Administration; 17
630605
631- 1. if the canopy is under 25,000 square feet, to 25,000 square
632-feet or by 20%, whichever is greater;
606+ (ii) for processors, to process not more than [1,000] 2,000 pounds of 18
607+cannabis per year, as calculated by the Administration; and 19
633608
634- 2. if the canopy is at or above 25,000 square feet, by 20%; or
609+ (iii) for dispensaries, to operate a delivery service that sells cannabis 20
610+or cannabis products without a physical storefront, provided that the licensee employs not 21
611+more than 10 employees. 22
635612
636- 3. if the cannabis licensee has a square footage expansion
637-that was preapproved before December 31, 2022, the preapproved expansion or 20%,
638-whichever is greater.
613+ (e) (1) This subsection applies to all licenses, including licenses converted 23
614+under subsection (b)(1)(ii) of this section. 24
639615
640- (d) (1) (vi) If the amount of square feet of production for a licensed grower
641-exceeds the canopy authorized under this section and § 36–401 of this subtitle, the
642-[Commission] ADMINISTRATION may:
616+ (2) Subject to paragraph (3) of this subsection, a person may have an 25
617+ownership interest in or control of, including the power to manage and operate: 26
643618
644- 1. reduce the canopy of the licensed grower by the same
645-percentage as it exceeds the authorized canopy; and
619+ (i) for standard licenses and micro licenses: 27
646620
647- 2. seize, destroy, confiscate, or place an administrative hold
648-on any flowering cannabis plants produced in excess of the canopy.
621+ 1. one grower licensee; 28
649622
650-36–404.
623+ 2. one processor licensee; and 29
651624
652- (i) (3) On or before 6 months after the issuance of a cannabis license under §
653-36–401 of this subtitle, the Governor’s Office of Small, Minority, and Women Business
654-Affairs, in consultation with the Office of the Attorney General and the Office of Social
655-Equity within the [Alcohol, Tobacco, and Cannabis Commission] ADMINISTRATION and
656-the cannabis licensee, shall establish a clear plan for setting reasonable and appropriate
657-minority business enterprise participation goals and procedures for the procurement of
658-goods and services related to cannabis, including the cultivation, manufacturing, and
659-dispensing of cannabis.
625+ 3. not more than four dispensary licensees; 30 14 HOUSE BILL 253
660626
661-36–407.
662627
663- (a) (3) An on–site consumption establishment may operate only if the [county
664-and, if applicable, the municipality,] POLITICAL SUBDIVISIO N where the business is WES MOORE, Governor Ch. 241
665628
666-– 15 –
667-located [have] HAS issued a permit or license that expressly allows the operation of the
668-on–site consumption establishment.
629+ (ii) for incubator space licenses, not more than two licensees; and 1
669630
670- (b) Subject to the limitations in § 36–405 of this subtitle, a [county and, if
671-applicable, a municipality] POLITICAL SUBDIVISIO N may:
631+ (iii) for on–site consumption licenses, not more than two licensees. 2
672632
673- (1) prohibit the operation of on–site consumption establishments;
633+ (3) (i) A person who owns or controls an incubator space licensee or an 3
634+on–site consumption licensee may not own or control any [other] cannabis licensee LISTED 4
635+UNDER PARAGRAPH (2)(I) OF THIS SUBSECTION . 5
674636
675- (2) prohibit or restrict the smoking or vaping of cannabis at on–site
676-consumption establishments; or
637+ (ii) The Administration shall adopt regulations limiting a person or 6
638+fund from acquiring a nonmajority ownership interest in multiple cannabis businesses 7
639+beyond the limitations established under this subsection. 8
677640
678- (3) adopt zoning and planning requirements for on–site consumption
679-establishments.
641+ (4) The restrictions in paragraph (2) of this subsection do not apply to a 9
642+person or an entity who holds an ownership interest only as a passive investor. 10
680643
681-36–409.
644+ (g) Notwithstanding any provisions of this title, the holder of a dispensary license 11
645+issued by the Natalie M. LaPrade Medical Cannabis Commission who converts the license 12
646+or a registrant with the Natalie M. LaPrade Medical Cannabis Commission may continue 13
647+to deliver medical cannabis until July 1, [2024] 2025. 14
682648
683- (a) The following businesses shall register with the Administration in order to
684-provide services to a cannabis licensee:
649+36–402. 15
685650
686- (1) a transporter;
651+ (b) (2) (i) Except as provided in subparagraph (ii) of this paragraph and 16
652+subject to subparagraph (iii) of this paragraph, on or before January 1, [2026] 2027, an 17
653+operational business that holds a grower license issued before December 31, 2022, may 18
654+expand the canopy of its operations as it existed on December 31, 2022, and based on facility 19
655+square footage of indoor canopy space or its equivalent, as calculated by the Administration 20
656+in accordance with subsection (d) of this section, only as follows: 21
687657
688- (2) a security guard agency;
658+ 1. if the canopy is under 25,000 square feet, to 25,000 square 22
659+feet or by 20%, whichever is greater; 23
689660
690- (3) a waste disposal company; [and]
661+ 2. if the canopy is at or above 25,000 square feet, by 20%; or 24
691662
692- (4) A CANNABIS NURSERY ; AND
663+ 3. if the cannabis licensee has a square footage expansion 25
664+that was preapproved before December 31, 2022, the preapproved expansion or 20%, 26
665+whichever is greater. 27
693666
694- (5) any other type of cannabis business that is authorized by the
695-Administration to provide plant or product–touching services to cannabis licensees.
667+ (d) (1) (vi) If the amount of square feet of production for a licensed grower 28
668+exceeds the canopy authorized under this section and § 36–401 of this subtitle, the 29
669+[Commission] ADMINISTRATION may: 30
696670
697-36–501.
671+ 1. reduce the canopy of the licensed grower by the same 31
672+percentage as it exceeds the authorized canopy; and 32
673+ HOUSE BILL 253 15
698674
699- (a) A cannabis agent [shall] MUST be registered with the Administration before
700-the agent may volunteer or work for a cannabis licensee or cannabis registrant.
701675
702- (d) (1) The Administration may not register as a cannabis agent an individual
703-who[:
676+ 2. seize, destroy, confiscate, or place an administrative hold 1
677+on any flowering cannabis plants produced in excess of the canopy. 2
704678
705- (1)] does not meet the criteria established under subsection (c) of this
706-section[; or].
679+36–404. 3
707680
708- (2) THE ADMINISTRATION MAY DI SQUALIFY AN INDIVIDU AL FROM
709-REGISTERING AS A CAN NABIS AGENT IF THE I NDIVIDUAL has been convicted of or
710-pleaded nolo contendere to a crime involving moral turpitude, whether or not any appeal
711-or other proceeding is pending to have the conviction or plea set aside. Ch. 241 2024 LAWS OF MARYLAND
681+ (i) (3) On or before 6 months after the issuance of a cannabis license under § 4
682+36–401 of this subtitle, the Governor’s Office of Small, Minority, and Women Business 5
683+Affairs, in consultation with the Office of the Attorney General and the Office of Social 6
684+Equity within the [Alcohol, Tobacco, and Cannabis Commission] ADMINISTRATION and 7
685+the cannabis licensee, shall establish a clear plan for setting reasonable and appropriate 8
686+minority business enterprise participation goals and procedures for the procurement of 9
687+goods and services related to cannabis, including the cultivation, manufacturing, and 10
688+dispensing of cannabis. 11
712689
713- 16 –
690+36407. 12
714691
715-36–505.
692+ (a) (3) An on–site consumption establishment may operate only if the [county 13
693+and, if applicable, the municipality,] POLITICAL SUBDIVISIO N where the business is 14
694+located [have] HAS issued a permit or license that expressly allows the operation of the 15
695+on–site consumption establishment. 16
716696
717- (a) In this section, “Central Repository” means the Criminal Justice Information
718-System Central Repository in the Department of Public Safety and Correctional Services.
697+ (b) Subject to the limitations in § 36–405 of this subtitle, a [county and, if 17
698+applicable, a municipality] POLITICAL SUBDIVISIO N may: 18
719699
720- (b) As part of an application to the Central Repository for a State and national
721-criminal history records check, an applicant shall submit to the Central Repository:
700+ (1) prohibit the operation of on–site consumption establishments; 19
722701
723- (1) two complete sets of legible fingerprints taken on forms approved by the
724-Director of the Central Repository and the Director of the Federal Bureau of Investigation;
702+ (2) prohibit or restrict the smoking or vaping of cannabis at on–site 20
703+consumption establishments; or 21
725704
726- (2) the fee authorized under § 10221(b)(7) of the Criminal Procedure
727-Article for access to State criminal history records; and
705+ (3) adopt zoning and planning requirements for onsite consumption 22
706+establishments. 23
728707
729- (3) the processing fee required by the Federal Bureau of Investigation for
730-a national criminal history records check.
708+36–409. 24
731709
732- (c) In accordance with §§ 10–201 through 10–228 of the Criminal Procedure
733-Article, the Central Repository shall forward to the Administration and to the applicant
734-the applicant’s criminal history record information.
710+ (a) The following businesses shall register with the Administration in order to 25
711+provide services to a cannabis licensee: 26
735712
736- (d) If an applicant has made two or more unsuccessful attempts at securing
737-legible fingerprints, the Administration may accept an alternate method of a criminal
738-history records check as permitted by the Director of the Central Repository and the
739-Director of the Federal Bureau of Investigation.
713+ (1) a transporter; 27
740714
741- (e) Information obtained from the Central Repository under this section shall be:
715+ (2) a security guard agency; 28
742716
743- (1) confidential and may not be redisseminated; and
717+ (3) a waste disposal company; [and] 29
744718
745- (2) used only for the purpose of registration under this title.
719+ (4) A CANNABIS NURSERY ; AND 30
720+ 16 HOUSE BILL 253
746721
747- (f) (1) THE ADMINISTRATION MAY IS SUE A TEMPORARY CANN ABIS
748-AGENT REGISTRATION I F:
749722
750- (I) AN ALTERNATE METHOD OF A CRIMINAL HISTOR Y RECORDS
751-CHECK, AS AUTHORIZED BY THE DIRECTOR OF THE CENTRAL REPOSITORY AND THE
752-DIRECTOR OF THE FEDERAL BUREAU OF INVESTIGATION , IS USED A
753-PRE–EMPLOYMENT BACKGROUN D CHECK COMPLETED BY A THIRD–PARTY VENDOR IS
754-SUBMITTED TO AND APP ROVED BY THE ADMINISTRATION ; AND
723+ (5) any other type of cannabis business that is authorized by the 1
724+Administration to provide plant or product–touching services to cannabis licensees. 2
755725
756- (II) THE APPLICANT HAS SU BMITTED AN APPLICATI ON TO THE
757-CENTRAL REPOSITORY, AS REQUIRED IN SUBSE CTION (B) OF THIS SECTION.
758- WES MOORE, Governor Ch. 241
726+36–501. 3
759727
760-– 17 –
761- (2) THE PERIOD OF A TEMPO RARY CANNABIS AGENT REGISTRATION
762-ISSUED UNDER PARAGRA PH (1) OF THIS SUBSECTION M AY NOT EXCEED 60 90
763-CALENDAR DAYS .
728+ (a) A cannabis agent [shall] MUST be registered with the Administration before 4
729+the agent may volunteer or work for a cannabis licensee or cannabis registrant. 5
764730
765- (G) The subject of a criminal history records check under this section may contest
766-the criminal history record information disseminated by the Central Repository, as
767-provided in § 10–223 of the Criminal Procedure Article.
731+ (d) (1) The Administration may not register as a cannabis agent an individual 6
732+who[: 7
768733
769-36–903.
734+ (1)] does not meet the criteria established under subsection (c) of this 8
735+section[; or]. 9
770736
771- (a) (1) [This subsection does not apply to an advertisement placed on property
772-owned or leased by a dispensary, grower, or processor.
737+ (2) THE ADMINISTRATION MAY DISQUALIF Y AN INDIVIDUAL FROM 10
738+REGISTERING AS A CAN NABIS AGENT IF THE I NDIVIDUAL has been convicted of or 11
739+pleaded nolo contendere to a crime involving moral turpitude, whether or not any appeal 12
740+or other proceeding is pending to have the conviction or plea set aside. 13
773741
774- (2)] An advertisement for a cannabis licensee, cannabis product, or
775-cannabis–related service may not:
742+36–505. 14
776743
777- (i) violate Title 13, Subtitle 3 of the Commercial Law Article;
744+ (a) In this section, “Central Repository” means the Criminal Justice Information 15
745+System Central Repository in the Department of Public Safety and Correctional Services. 16
778746
779- (ii) directly or indirectly target individuals under the age of 21 years;
747+ (b) As part of an application to the Central Repository for a State and national 17
748+criminal history records check, an applicant shall submit to the Central Repository: 18
780749
781- (iii) contain a design, an illustration, a picture, or a representation
782-that:
750+ (1) two complete sets of legible fingerprints taken on forms approved by the 19
751+Director of the Central Repository and the Director of the Federal Bureau of Investigation; 20
783752
784- 1. targets or is attractive to minors, including a cartoon
785-character, a mascot, or any other depiction that is commonly used to market products to
786-minors;
753+ (2) the fee authorized under § 10–221(b)(7) of the Criminal Procedure 21
754+Article for access to State criminal history records; and 22
787755
788- 2. displays the use of cannabis, including the consumption,
789-smoking, or vaping of cannabis;
756+ (3) the processing fee required by the Federal Bureau of Investigation for 23
757+a national criminal history records check. 24
790758
791- 3. encourages or promotes cannabis for use as an intoxicant;
792-or
759+ (c) In accordance with §§ 10–201 through 10–228 of the Criminal Procedure 25
760+Article, the Central Repository shall forward to the Administration and to the applicant 26
761+the applicant’s criminal history record information. 27
793762
794- 4. is obscene;
763+ (d) If an applicant has made two or more unsuccessful attempts at securing 28
764+legible fingerprints, the Administration may accept an alternate method of a criminal 29
765+history records check as permitted by the Director of the Central Repository and the 30
766+Director of the Federal Bureau of Investigation. 31
795767
796- (iv) engage in advertising by means of television, radio, Internet,
797-mobile application, social media, or other electronic communication, EVENT
798-SPONSORSHIP , or print publication, unless at least 85% of the audience is reasonably
799-expected to be at least 21 years old as determined by reliable and current audience
800-composition data; or
768+ (e) Information obtained from the Central Repository under this section shall be: 32 HOUSE BILL 253 17
801769
802- (v) EXCEPT AS PROVIDED I N PARAGRAPH (2) OF THIS
803-SUBSECTION, engage in advertising by means of placing an advertisement on the side of a
804-building or another publicly visible location of any form, including a sign, a poster, a
805-placard, a device, a graphic display, an outdoor billboard, or a freestanding signboard.
806- Ch. 241 2024 LAWS OF MARYLAND
807770
808-– 18 –
809- (2) A CANNABIS BUSINESS MA Y PLACE EXTERIOR SIG NAGE ON THE
810-PREMISES OF THE BUSI NESS FOR THE LIMITED PURPOSE OF IDENTIFYI NG THE
811-BUSINESS TO THE PUBL IC.
812771
813-36–1102.
772+ (1) confidential and may not be redisseminated; and 1
814773
815- (e) A person who violates subsection (b) of this section:
774+ (2) used only for the purpose of registration under this title. 2
816775
817- (1) MAY BE CHARGED BY A CITATION; AND
776+ (f) (1) THE ADMINISTRATION MAY IS SUE A TEMPORARY CANN ABIS 3
777+AGENT REGISTRATION I F: 4
818778
819- (2) is guilty of a misdemeanor and on conviction is subject to a fine not
820-exceeding $5,000.
779+ (I) AN ALTERNATE METHOD OF A CRIMINAL HISTOR Y RECORDS 5
780+CHECK, AS AUTHORIZED BY THE DIRECTOR OF THE CENTRAL REPOSITORY AND THE 6
781+DIRECTOR OF THE FEDERAL BUREAU OF INVESTIGATION , IS USED A 7
782+PRE–EMPLOYMENT BACKGROUN D CHECK COMPLETED BY A THIRD–PARTY VENDOR IS 8
783+SUBMITTED TO AND APP ROVED BY THE ADMINISTRATION ; AND 9
821784
822- (f) A person who violates subsection (c) of this section:
785+ (II) THE APPLICANT HAS SU BMITTED AN APPLICATI ON TO THE 10
786+CENTRAL REPOSITORY, AS REQUIRED IN SUBSE CTION (B) OF THIS SECTION. 11
823787
824- (1) MAY BE CHARGED BY A CITATION; AND
788+ (2) THE PERIOD OF A TEMPO RARY CANNABIS AGENT REGISTRATION 12
789+ISSUED UNDER PARAGRA PH (1) OF THIS SUBSECTION M AY NOT EXCEED 60 90 13
790+CALENDAR DAYS . 14
825791
826- (2) is guilty of a misdemeanor and on conviction is subject to a fine not
827-exceeding $10,000.
792+ (G) The subject of a criminal history records check under this section may contest 15
793+the criminal history record information disseminated by the Central Repository, as 16
794+provided in § 10–223 of the Criminal Procedure Article. 17
828795
829-Article – Economic Development
796+36–903. 18
830797
831-5–1901.
798+ (a) (1) [This subsection does not apply to an advertisement placed on property 19
799+owned or leased by a dispensary, grower, or processor. 20
832800
833- (b) There is a Cannabis Business Assistance Fund.
801+ (2)] An advertisement for a cannabis licensee, cannabis product, or 21
802+cannabis–related service may not: 22
834803
835- (g) (1) Subject to paragraph (2) of this subsection, the Fund may be used only
836-for:
804+ (i) violate Title 13, Subtitle 3 of the Commercial Law Article; 23
837805
838- (i) grants or loans to small, minority–owned, or women–owned
839-businesses for:
806+ (ii) directly or indirectly target individuals under the age of 21 years; 24
840807
841- 1. license application assistance for participation in the
842-adult–use cannabis industry;
808+ (iii) contain a design, an illustration, a picture, or a representation 25
809+that: 26
843810
844- 2. assistance with the operating or capital expenses of a
845-business participating in the adult–use cannabis industry; or
811+ 1. targets or is attractive to minors, including a cartoon 27
812+character, a mascot, or any other depiction that is commonly used to market products to 28
813+minors; 29
814+ 18 HOUSE BILL 253
846815
847- 3. targeted training to support participation in the adult–use
848-cannabis industry; [and]
849816
850- (ii) grants to historically black colleges and universities for
851-cannabis–related programs and business development organizations, including incubators,
852-to train and assist small, minority, and women business owners and entrepreneurs seeking
853-to become licensed to participate in the adult–use cannabis industry; AND WES MOORE, Governor Ch. 241
817+ 2. displays the use of cannabis, including the consumption, 1
818+smoking, or vaping of cannabis; 2
854819
855-– 19 –
820+ 3. encourages or promotes cannabis for use as an intoxicant; 3
821+or 4
856822
857- (III) THE ADMINISTRATIVE C OSTS OF THE FUND.
823+ 4. is obscene; 5
858824
859-Article – Tax – General
825+ (iv) engage in advertising by means of television, radio, Internet, 6
826+mobile application, social media, or other electronic communication, EVENT 7
827+SPONSORSHIP , or print publication, unless at least 85% of the audience is reasonably 8
828+expected to be at least 21 years old as determined by reliable and current audience 9
829+composition data; or 10
860830
861-10–208.
831+ (v) EXCEPT AS PROVIDED IN PARAG RAPH (2) OF THIS 11
832+SUBSECTION, engage in advertising by means of placing an advertisement on the side of a 12
833+building or another publicly visible location of any form, including a sign, a poster, a 13
834+placard, a device, a graphic display, an outdoor billboard, or a freestanding signboard. 14
862835
863- (bb) (1) The subtraction under subsection (a) of this section includes the amount
864-of ordinary and necessary expenses paid or incurred during the taxable year in carrying on
865-a trade or a business as a [medical] cannabis grower, processor, dispensary, or any other
866-cannabis establishment licensed OR REGISTERED by the State, if the deduction for
867-ordinary and necessary expenses is disallowed under § 280E of the Internal Revenue Code.
836+ (2) A CANNABIS BUSINESS MA Y PLACE EXTERIOR SIG NAGE ON THE 15
837+PREMISES OF THE BUSI NESS FOR THE LIMITED PURPOSE OF IDENTIFYI NG THE 16
838+BUSINESS TO THE PUBL IC. 17
868839
869-10308.
840+361102. 18
870841
871- (b) The subtraction under subsection (a) of this section includes the amounts
872-allowed to be subtracted for an individual under:
842+ (e) A person who violates subsection (b) of this section: 19
873843
874- (6) § 10–208(bb) of this title (Trade or business expenses of [medical] A
875-LICENSED OR REGISTER ED cannabis grower, processor, dispensary, or any other
876-cannabis establishment).
844+ (1) MAY BE CHARGED BY A CITATION; AND 20
877845
878-13–203.
846+ (2) is guilty of a misdemeanor and on conviction is subject to a fine not 21
847+exceeding $5,000. 22
879848
880- (c) Tax information may be disclosed to:
849+ (f) A person who violates subsection (c) of this section: 23
881850
882- (10) the Alcohol [and], Tobacco, AND CANNABIS Commission;
851+ (1) MAY BE CHARGED BY A CITATION; AND 24
883852
884- (14) a hospital, the Health Services Cost Review Commission, the
885-Department of Human Services, the Maryland Department of Health, and the State
886-Department of Education, to the extent necessary to administer § 19–214.4 of the Health –
887-General Article; [and]
853+ (2) is guilty of a misdemeanor and on conviction is subject to a fine not 25
854+exceeding $10,000. 26
888855
889- (15) subject to subsection (e) of this section, the Maryland Small Business
890-Retirement Savings Board and its authorized contractors for the purpose of administering
891-the Maryland Small Business Retirement Savings Program and Trust as authorized under
892-Title 12 of the Labor and Employment Article; AND
856+Article – Economic Development 27
893857
894- (16) THE MARYLAND CANNABIS ADMINISTRATION .
858+5–1901. 28
895859
896-Chapter 254 of the Acts of 2023
860+ (b) There is a Cannabis Business Assistance Fund. 29
861+ HOUSE BILL 253 19
897862
898- SECTION 10. AND BE IT FURTHER ENACTED, That, notwithstanding any other
899-provision of law, from the date this Act takes effect to December 31, [2023] 2024, both
900-inclusive, the Maryland Cannabis Administration is exempt from procurement
901-requirements under the State Finance and Procurement Article if the procurement is for: Ch. 241 2024 LAWS OF MARYLAND
902863
903-– 20 –
864+ (g) (1) Subject to paragraph (2) of this subsection, the Fund may be used only 1
865+for: 2
904866
905- (1) banking services for the Administration to collect fees and tax revenue;
867+ (i) grants or loans to small, minority–owned, or women–owned 3
868+businesses for: 4
906869
907- (2) banking services to help support cannabis businesses to transition from
908-an all cash system;
870+ 1. license application assistance for participation in the 5
871+adult–use cannabis industry; 6
909872
910- (3) a consultant to support the Administration in the process for cannabis
911-licensure, including services related to investigations and the financial or criminal history
912-review of applicants;
873+ 2. assistance with the operating or capital expenses of a 7
874+business participating in the adult–use cannabis industry; or 8
913875
914- (4) a consultant to provide technical assistance to social equity applicants;
876+ 3. targeted training to support participation in the adult–use 9
877+cannabis industry; [and] 10
915878
916- (5) communication services for public and consumer education campaigns
917-on cannabis laws and regulations and potential health and safety risks associated with
918-cannabis use; and
879+ (ii) grants to historically black colleges and universities for 11
880+cannabis–related programs and business development organizations, including incubators, 12
881+to train and assist small, minority, and women business owners and entrepreneurs seeking 13
882+to become licensed to participate in the adult–use cannabis industry; AND 14
919883
920- (6) establishing a State cannabis testing laboratory at a preexisting site.
884+ (III) THE ADMINISTRATIVE C OSTS OF THE FUND. 15
921885
922-Chapter 255 of the Acts of 2023
886+Article – Tax – General 16
923887
924- SECTION 10. AND BE IT FURTHER ENACTED, That, notwithstanding any other
925-provision of law, from the date this Act takes effect to December 31, [2023] 2024, both
926-inclusive, the Maryland Cannabis Administration is exempt from procurement
927-requirements under the State Finance and Procurement Article if the procurement is for:
888+10–208. 17
928889
929- (1) banking services for the Administration to collect fees and tax revenue;
890+ (bb) (1) The subtraction under subsection (a) of this section includes the amount 18
891+of ordinary and necessary expenses paid or incurred during the taxable year in carrying on 19
892+a trade or a business as a [medical] cannabis grower, processor, dispensary, or any other 20
893+cannabis establishment licensed OR REGISTERED by the State, if the deduction for 21
894+ordinary and necessary expenses is disallowed under § 280E of the Internal Revenue Code. 22
930895
931- (2) banking services to help support cannabis businesses to transition from
932-an all cash system;
896+10–308. 23
933897
934- (3) a consultant to support the Administration in the process for cannabis
935-licensure, including services related to investigations and the financial or criminal history
936-review of applicants;
898+ (b) The subtraction under subsection (a) of this section includes the amounts 24
899+allowed to be subtracted for an individual under: 25
937900
938- (4) a consultant to provide technical assistance to social equity applicants;
901+ (6) § 10–208(bb) of this title (Trade or business expenses of [medical] A 26
902+LICENSED OR REGISTER ED cannabis grower, processor, dispensary, or any other 27
903+cannabis establishment). 28
939904
940- (5) communication services for public and consumer education campaigns
941-on cannabis laws and regulations and potential health and safety risks associated with
942-cannabis use; and
905+13–203. 29
943906
944- (6) establishing a State cannabis testing laboratory at a preexisting site.
907+ (c) Tax information may be disclosed to: 30
945908
946- SECTION 2. AND BE IT FURTHER ENACTED, That this Act is an emergency
947-measure, is necessary for the immediate preservation of the public health or safety, has
948-been passed by a yea and nay vote supported by three–fifths of all the members elected to WES MOORE, Governor Ch. 241
909+ (10) the Alcohol [and], Tobacco, AND CANNABIS Commission; 31 20 HOUSE BILL 253
949910
950-– 21 –
951-each of the two Houses of the General Assembly, and shall take effect from the date it is
952-enacted.
953911
954-Approved by the Governor, April 25, 2024.
912+
913+ (14) a hospital, the Health Services Cost Review Commission, the 1
914+Department of Human Services, the Maryland Department of Health, and the State 2
915+Department of Education, to the extent necessary to administer § 19–214.4 of the Health – 3
916+General Article; [and] 4
917+
918+ (15) subject to subsection (e) of this section, the Maryland Small Business 5
919+Retirement Savings Board and its authorized contractors for the purpose of administering 6
920+the Maryland Small Business Retirement Savings Program and Trust as authorized under 7
921+Title 12 of the Labor and Employment Article; AND 8
922+
923+ (16) THE MARYLAND CANNABIS ADMINISTRATION . 9
924+
925+Chapter 254 of the Acts of 2023 10
926+
927+ SECTION 10. AND BE IT FURTHER ENACTED, That, notwithstanding any other 11
928+provision of law, from the date this Act takes effect to December 31, [2023] 2024, both 12
929+inclusive, the Maryland Cannabis Administration is exempt from procurement 13
930+requirements under the State Finance and Procurement Article if the procurement is for: 14
931+
932+ (1) banking services for the Administration to collect fees and tax revenue; 15
933+
934+ (2) banking services to help support cannabis businesses to transition from 16
935+an all cash system; 17
936+
937+ (3) a consultant to support the Administration in the process for cannabis 18
938+licensure, including services related to investigations and the financial or criminal history 19
939+review of applicants; 20
940+
941+ (4) a consultant to provide technical assistance to social equity applicants; 21
942+
943+ (5) communication services for public and consumer education campaigns 22
944+on cannabis laws and regulations and potential health and safety risks associated with 23
945+cannabis use; and 24
946+
947+ (6) establishing a State cannabis testing laboratory at a preexisting site. 25
948+
949+Chapter 255 of the Acts of 2023 26
950+
951+ SECTION 10. AND BE IT FURTHER ENACTED, That, notwithstanding any other 27
952+provision of law, from the date this Act takes effect to December 31, [2023] 2024, both 28
953+inclusive, the Maryland Cannabis Administration is exempt from procurement 29
954+requirements under the State Finance and Procurement Article if the procurement is for: 30
955+
956+ (1) banking services for the Administration to collect fees and tax revenue; 31
957+ HOUSE BILL 253 21
958+
959+
960+ (2) banking services to help support cannabis businesses to transition from 1
961+an all cash system; 2
962+
963+ (3) a consultant to support the Administration in the process for cannabis 3
964+licensure, including services related to investigations and the financial or criminal history 4
965+review of applicants; 5
966+
967+ (4) a consultant to provide technical assistance to social equity applicants; 6
968+
969+ (5) communication services for public and consumer education campaigns 7
970+on cannabis laws and regulations and potential health and safety risks associated with 8
971+cannabis use; and 9
972+
973+ (6) establishing a State cannabis testing laboratory at a preexisting site. 10
974+
975+ SECTION 2. AND BE IT FURTHER ENACTED, That this Act is an emergency 11
976+measure, is necessary for the immediate preservation of the public health or safety, has 12
977+been passed by a yea and nay vote supported by three–fifths of all the members elected to 13
978+each of the two Houses of the General Assembly, and shall take effect from the date it is 14
979+enacted. 15
980+
981+
982+
983+
984+Approved:
985+________________________________________________________________________________
986+ Governor.
987+________________________________________________________________________________
988+ Speaker of the House of Delegates.
989+________________________________________________________________________________
990+ President of the Senate.