EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*hb0272*
HOUSE BILL 272
A3 4lr0849
By: Delegate Grammer
Introduced and read first time: January 12, 2024
Assigned to: Economic Matters
A BILL ENTITLED
AN ACT concerning 1
Cannabis Licensing and Registration – Use of Straw Ownership – Prohibition 2
FOR the purpose of prohibiting a person from applying for or holding a cannabis license or 3
registration under certain circumstances if an ownership interest in the license or 4
registration is for the limited purpose of satisfying certain requirements of 5
registration or licensure; requiring the Maryland Cannabis Administration to deny 6
a certain application or revoke a cannabis license or registration if the applicant, 7
licensee, or registrant is convicted of a violation of this Act; and generally relating to 8
straw ownership and cannabis licensing and registration. 9
BY adding to 10
Article – Alcoholic Beverages and Cannabis 11
Section 36–1103 12
Annotated Code of Maryland 13
(2016 Volume and 2023 Supplement) 14
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 15
That the Laws of Maryland read as follows: 16
Article – Alcoholic Beverages and Cannabis 17
36–1103. 18
(A) A PERSON MAY NOT APPLY FOR OR HOLD A CANNABIS LICENSE OR 19
REGISTRATION UNDER T HIS TITLE IF AN OWNERSHIP INTE REST IN THE LICENSE OR 20
REGISTRATION IS : 21
(1) NOMINAL OR WITHOUT T HE BENEFITS AND RISK S OF GENUINE 22
OWNERSHIP; AND 23
2 HOUSE BILL 272
(2) FOR THE LIMITED PURPOSE OF SATISFYING THE REQUIREMENTS 1
UNDER THIS TITLE FOR CANNABIS LICENSEES OR REGISTRANTS , INCLUDING 2
REQUIREMENTS FOR SOCIAL EQUITY LICENS EES OR REGISTRANTS . 3
(B) A PERSON WHO VIOLATES SUBSECTION (A) OF THIS SECTION IS G UILTY 4
OF A MISDEMEANOR AND ON CONVICTION IS SUB JECT TO A FINE OF NOT MORE T HAN 5
$2,500 OR IMPRISONMENT FOR NOT MORE THAN 1 YEAR OR BOTH. 6
(C) SUBJECT TO THE HEARIN G PROVISIONS OF § 36–202 OF THIS TITLE, THE 7
ADMINISTRATION SHALL DENY AN APPLICATION FOR A CANNABIS LICENSE OR 8
REGISTRATION OR REVOKE A CANNABIS LICENSE OR REGISTRATION UNDER THIS 9
TITLE IF THE APPLICANT , CANNABIS LICENSEE, OR REGISTRANT IS CONVICTED OF 10
VIOLATING SUBSECTION (A) OF THIS SECTION. 11
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 12
October 1, 2024. 13