Michigan 2023-2024 Regular Session

Michigan House Bill HB4322 Compare Versions

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11 HOUSE BILL NO. 4322 A bill to amend 2018 IL 1, entitled "Michigan Regulation and Taxation of Marihuana Act," by amending the title and sections 3, 4, 5, 8, 10, and 11 (MCL 333.27953, 333.27954, 333.27955, 333.27958, 333.27960, and 333.27961), sections 3 and 8 as amended by 2021 PA 56. the people of the state of michigan enact: TITLE An initiation of legislation to allow under state law the personal possession and use of marihuana by persons 21 years of age or older; to provide for the lawful cultivation and sale of marihuana and industrial hemp by certain persons; 21 years of age or older; to permit the taxation of revenue derived from commercial marihuana facilities; to permit the promulgation of administrative rules; and to prescribe certain penalties for violations of this act. If not enacted by the Michigan State Legislature in accordance with the Michigan Constitution of 1963, the proposed legislation is to be voted on at the General Election, November 6, 2018. Sec. 3. As used in this act: (a) "Cannabis regulatory agency" means the marijuana regulatory agency created under Executive Reorganization Order No. 2019-2, MCL 333.27001, renamed the cannabis regulatory agency under Executive Reorganization Order No. 2022-1, MCL 333.27002. (b) (a) "Cultivate" means to propagate, breed, grow, harvest, dry, cure, or separate parts of a marihuana plant by manual or mechanical means. (c) (b) "Department" means the department of licensing and regulatory affairs.cannabis regulatory agency. (d) (c) "Industrial hemp" means any of the following: (i) A plant of the genus Cannabis, whether growing or not, with a THC concentration of 0.3% or less on a dry-weight basis. (ii) A part of a plant of the genus Cannabis, whether growing or not, with a THC concentration of 0.3% or less on a dry-weight basis. (iii) The seeds of a plant of the genus Cannabis with a THC concentration of 0.3% or less on a dry-weight basis. (iv) If it has a THC concentration of 0.3% or less on a dry-weight basis, a compound, manufacture, derivative, mixture, preparation, extract, cannabinoid, acid, salt, isomer, or salt of an isomer of any of the following: (A) A plant of the genus Cannabis. (B) A part of a plant of the genus Cannabis. (v) A product to which 1 of the following applies: (A) If the product is intended for human or animal consumption, the product, in the form in which it is intended for sale to a consumer, meets both of the following requirements: (I) Has a THC concentration of 0.3% or less on a dry-weight or per volume basis. (II) Contains a total amount of THC that is less than or equal to the limit established by the marijuana cannabis regulatory agency under section 8(1)(n). (B) If the product is not intended for human or animal consumption, the product meets both of the following requirements: (I) Contains a substance listed in subparagraph (i), (ii), (iii), or (iv). (II) Has a THC concentration of 0.3% or less on a dry-weight basis. (e) (d) "Licensee" means a person holding a state license. (f) (e) "Marihuana" means any of the following: (i) A plant of the genus Cannabis, whether growing or not. (ii) A part of a plant of the genus Cannabis, whether growing or not. (iii) The seeds of a plant of the genus Cannabis. (iv) Marihuana concentrate. (v) A compound, manufacture, salt, derivative, mixture, extract, acid, isomer, salt of an isomer, or preparation of any of the following: (A) A plant of the genus Cannabis. (B) A part of a plant of the genus Cannabis. (C) The seeds of a plant of the genus Cannabis. (D) Marihuana concentrate. (vi) A marihuana-infused product. (vii) A product with a THC concentration of more than 0.3% on a dry-weight or per volume basis in the form in which it is intended for sale to a consumer. (viii) A product that is intended for human or animal consumption and that contains, in the form in which it is intended for sale to a consumer, a total amount of THC that is greater than the limit established by the marijuana cannabis regulatory agency under section 8(1)(n). (g) (f) Except for marihuana concentrate extracted from any of the following, "marihuana" does not include any of the following: (i) The mature stalks of a plant of the genus Cannabis. (ii) Fiber produced from the mature stalks of a plant of the genus Cannabis. (iii) Oil or cake made from the seeds of a plant of the genus Cannabis. (iv) A compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks of a plant of the genus Cannabis. (v) Industrial hemp. (vi) An ingredient combined with marihuana to prepare topical or oral administrations, food, drink, or other products. (vii) A drug for which an application filed in accordance with 21 USC 355 is approved by the Food and Drug Administration. (h) (g) "Marihuana accessories" means any equipment, product, material, or combination of equipment, products, or materials, that is specifically designed for use in planting, propagating, cultivating, growing, harvesting, manufacturing, compounding, converting, producing, processing, preparing, testing, analyzing, packaging, repackaging, storing, containing, ingesting, inhaling, or otherwise introducing marihuana into the human body. (i) (h) "Marihuana concentrate" means the resin extracted from any part of a plant of the genus Cannabis. (j) (i) "Marihuana establishment" means a marihuana grower, marihuana safety compliance facility, marihuana processor, marihuana microbusiness, marihuana retailer, marihuana secure transporter, or any other type of marihuana-related business licensed by the marijuana cannabis regulatory agency. (k) (j) "Marihuana grower" means a person licensed to cultivate marihuana and sell or otherwise transfer marihuana to marihuana establishments. (l) (k) "Marihuana-infused product" means a topical formulation, tincture, beverage, edible substance, or similar product containing marihuana and other ingredients and that is intended for human consumption. (m) (l) "Marihuana microbusiness" means a person licensed to cultivate not more than 150 marihuana plants; process and package marihuana; and sell or otherwise transfer marihuana to individuals who are 21 years of age or older or to a marihuana safety compliance facility, but not to other marihuana establishments. (n) (m) "Marihuana processor" means a person licensed to obtain marihuana from marihuana establishments; process and package marihuana; and sell or otherwise transfer marihuana to marihuana establishments. (o) (n) "Marihuana retailer" means a person licensed to obtain marihuana from marihuana establishments and to sell or otherwise transfer marihuana to marihuana establishments and to individuals who are 21 years of age or older. (p) (o) "Marihuana secure transporter" means a person licensed to obtain marihuana from marihuana establishments in order to transport marihuana to marihuana establishments. (q) (p) "Marihuana safety compliance facility" means a person licensed to test marihuana, including certification for potency and the presence of contaminants. (r) (q) "Marijuana regulatory agency" means the marijuana regulatory agency created under Executive Reorganization Order No. 2019-2, MCL 333.27001. (s) (r) "Municipal license" means a license issued by a municipality pursuant to section 16 that allows a person to operate a marihuana establishment in that municipality. (t) (s) "Municipality" means a city, village, or township. (u) (t) "Person" means an individual, corporation, limited liability company, partnership of any type, trust, or other legal entity. (v) (u) "Process" or "processing" means to separate or otherwise prepare parts of a marihuana plant and to compound, blend, extract, infuse, or otherwise make or prepare marihuana concentrate or marihuana-infused products. (w) (v) "State license" means a license issued by the marijuana cannabis regulatory agency that allows a person to operate a marihuana establishment. (x) (w) "THC" means any of the following: (i) Tetrahydrocannabinolic acid. (ii) Unless excluded by the marijuana cannabis regulatory agency under section 8(2)(c), a tetrahydrocannabinol, regardless of whether it is artificially or naturally derived. (iii) A tetrahydrocannabinol that is a structural, optical, or geometric isomer of a tetrahydrocannabinol described in subparagraph (ii). (y) (x) "Unreasonably impracticable" means that the measures necessary to comply with the rules or ordinances adopted pursuant to this act subject licensees to unreasonable risk or require such a high investment of money, time, or any other resource or asset that a reasonably prudent businessperson would not operate the marihuana establishment. Sec. 4. (1) 1. This act does not authorize any of the following: (a) operating, Operating, navigating, or being in physical control of any motor vehicle, aircraft, snowmobile, off-road recreational vehicle, or motorboat while under the influence of marihuana. ; (b) transfer of Except as otherwise allowed under section 10, transferring marihuana or marihuana accessories to a person under the age of who is younger than 21 years of age. ; (c) any Except as otherwise allowed under section 10, a person under the age of who is younger than 21 years of age to possess, consume, purchase or otherwise obtain, cultivate, process, transport, or sell marihuana. ; (d) separation of Separating plant resin by butane extraction or another method that utilizes a substance with a flashpoint below 100 degrees Fahrenheit in any public place, motor vehicle, or within the curtilage of any residential structure. ; (e) consuming Consuming marihuana in a public place or smoking marihuana where prohibited by the person who owns, occupies, or manages the property, except for purposes of this subdivision a public place does not include an area designated for consumption within a municipality that has authorized consumption in designated areas that are not accessible to persons under who are younger than 21 years of age. ; (f) cultivating Cultivating marihuana plants if the plants are visible from a public place without the use of binoculars, aircraft, or other optical aids or outside of an enclosed area equipped with locks or other functioning security devices that restrict access to the area. ; (g) consuming Consuming marihuana while operating, navigating, or being in physical control of any motor vehicle, aircraft, snowmobile, off-road recreational vehicle, or motorboat, or smoking marihuana within the passenger area of a vehicle upon a public way. ; (h) possessing Possessing marihuana accessories or possessing or consuming marihuana on the grounds of a public or private school where children attend classes in preschool programs, kindergarten programs, or grades 1 through 12, in a school bus, or on the grounds of any correctional facility. ; or (i) Possessing more than 2.5 ounces of marihuana within a person's place of residence unless the excess marihuana is stored in a container or area equipped with locks or other functioning security devices that restrict access to the contents of the container or area. (2) 2. This act does not limit any privileges, rights, immunities, or defenses of a person as provided in the Michigan medical marihuana act, Medical Marihuana Act, 2008 IL 1, MCL 333.26421 to 333.26430, the medical marihuana facilities licensing act, 2016 PA 281, MCL 333.27101 to 333.27801, or any other law of this state allowing for or regulating marihuana for medical use. (3) 3. This act does not require an employer to permit or accommodate conduct otherwise allowed by this act in any workplace or on the employer's property. This act does not prohibit an employer from disciplining an employee for violation of a workplace drug policy or for working while under the influence of marihuana. This act does not prevent an employer from refusing to hire, discharging, disciplining, or otherwise taking an adverse employment action against a person with respect to hire, tenure, terms, conditions, or privileges of employment because of that person's violation of a workplace drug policy or because that person was working while under the influence of marihuana. (4) 4. This act allows a person to prohibit or otherwise regulate the consumption, cultivation, distribution, processing, sale, or display of marihuana and marihuana accessories on property the person owns, occupies, or manages, except that a lease agreement may not prohibit a tenant from lawfully possessing and consuming marihuana by means other than smoking. (5) 5. All other laws inconsistent with this act do not apply to conduct that is permitted by this act. Sec. 5. (1) 1. Notwithstanding any other law or provision of this act, and except as otherwise provided in section 4, of this act, the following acts by a person who is 21 years of age or older are not unlawful, are not an offense, are not grounds for seizing or forfeiting property, are not grounds for arrest, prosecution, or penalty in any manner, are not grounds for search or inspection, and are not grounds to deny any other right or privilege: (a) except Except as permitted by subdivision (b), possessing, using or consuming, internally possessing, purchasing, transporting, or processing 2.5 ounces or less of marihuana, except that not more than 15 grams of marihuana may be in the form of marihuana concentrate. ; (b) within Within the person's residence, possessing, storing, and processing not more than 10 ounces of marihuana and any marihuana produced by marihuana plants cultivated on the premises and cultivating not more than 12 marihuana plants for personal use, provided that no more than 12 marihuana plants are possessed, cultivated, or processed on the premises at once. ; (c) assisting Assisting another person who is 21 years of age or older in any of the acts described in this section. ; and (d) giving Giving away or otherwise transferring without remuneration up to 2.5 ounces of marihuana, except that not more than 15 grams of marihuana may be in the form of marihuana concentrate, to a person who is 21 years of age or older, as long as the transfer is not advertised or promoted to the public. (2) 2. Notwithstanding any other law or provision of this act, except as otherwise provided in section 4 and subsection (4), of this act, the use, manufacture, possession, and purchase of marihuana accessories by a person who is 21 years of age or older, or 19 years of age or older as allowed under section 10, and the distribution or sale of marihuana accessories to a person who is 21 years of age or older is authorized, is not unlawful, is not an offense, is not grounds for seizing or forfeiting property, is not grounds for arrest, prosecution, or penalty in any manner, and is not grounds to deny any other right or privilege. (3) 3. A person shall not be denied custody of or visitation with a minor for conduct that is permitted by this act, unless the person's behavior is such that it creates an unreasonable danger to the minor that can be clearly articulated and substantiated. (4) A person who is 19 years of age or older may manufacture, purchase, distribute, and sell marihuana accessories if the person is an agent acting on behalf of a marihuana establishment. Sec. 8. (1) The marijuana cannabis regulatory agency shall promulgate rules to implement and administer this act that include all of the following: (a) Procedures for issuing a state license pursuant to section 9 and for renewing, suspending, and revoking a state license. (b) A schedule of fees in amounts not more than necessary to pay for implementation, administration, and enforcement costs of this act and that relate to the size of each licensee or the volume of business conducted by the licensee. (c) Qualifications for licensure that are directly and demonstrably related to the operation of a marihuana establishment. However, a prior conviction solely for a marihuana-related offense must not disqualify an individual or otherwise affect eligibility for licensure, unless the offense involved distribution of a controlled substance to a minor. (d) Requirements and standards for safe cultivation, processing, and distribution of marihuana by marihuana establishments, including health standards to ensure the safe preparation of marihuana-infused products and prohibitions on pesticides that are not safe for use on marihuana. (e) Testing, packaging, and labeling standards, procedures, and requirements for marihuana, including, but not limited to, all of the following: (i) A maximum THC level for marihuana-infused products. (ii) A requirement that a representative sample of marihuana be tested by a marihuana safety compliance facility. (iii) A requirement that the amount of marihuana or marihuana concentrate contained within a marihuana-infused product be specified on the product label. (iv) A requirement that all marihuana sold through marihuana retailers and marihuana microbusinesses include on the exterior of the marihuana packaging the following warning printed in clearly legible type and surrounded by a continuous heavy line: WARNING: USE BY PREGNANT OR BREASTFEEDING WOMEN, OR BY WOMEN PLANNING TO BECOME PREGNANT, MAY RESULT IN FETAL INJURY, PRETERM BIRTH, LOW BIRTH WEIGHT, OR DEVELOPMENTAL PROBLEMS FOR THE CHILD. (f) Security requirements, including lighting, physical security, and alarm requirements, and requirements for securely transporting marihuana between marihuana establishments. The requirements described in this subdivision must not prohibit cultivation of marihuana outdoors or in greenhouses. (g) Record keeping requirements for marihuana establishments and monitoring requirements to track the transfer of marihuana by licensees. (h) Requirements for the operation of marihuana secure transporters to ensure that all marihuana establishments are properly serviced. (i) Reasonable restrictions on advertising, marketing, and display of marihuana and marihuana establishments. (j) A plan to promote and encourage participation in the marihuana industry by people from communities that have been disproportionately impacted by marihuana prohibition and enforcement and to positively impact those communities. (k) Penalties for failure to comply with a rule promulgated pursuant to this section or for a violation of this act by a licensee, including civil fines and suspension, revocation, or restriction of a state license. (l) Informational pamphlet standards for marihuana retailers and marihuana microbusinesses, including, but not limited to, a requirement to make available to every customer at the time of sale a pamphlet measuring 3.5 inches by 5 inches that includes safety information related to marihuana use by minors and the poison control hotline number. (m) Procedures and standards for approving an appointee to operate a marihuana establishment under section 9a. (n) A limit on the total amount of THC that a product described in section 3(c)(v)(A) 3(d)(v)(a) may contain. (2) The marijuana cannabis regulatory agency may promulgate rules to do any of the following: (a) Provide for the issuance of additional types or classes of state licenses to operate marihuana-related businesses, including licenses that authorize any of the following: (i) Limited cultivation, processing, transportation, delivery, storage, sale, or purchase of marihuana. (ii) Consumption of marihuana within designated areas. (iii) Consumption of marihuana at special events in limited areas and for a limited time. (iv) Cultivation for purposes of propagation. (v) Facilitation of scientific research or education. (b) Regulate the cultivation, processing, distribution, and sale of industrial hemp. (c) Exclude from the definition of THC in section 3 a tetrahydrocannabinol if, after the marijuana cannabis regulatory agency makes findings with respect to each of the following factors, the marijuana cannabis regulatory agency determines that the tetrahydrocannabinol does not have a potential for abuse: (i) The actual or relative potential for abuse of the tetrahydrocannabinol. (ii) The scientific evidence of the tetrahydrocannabinol's pharmacological effect, if known. (iii) The state of current scientific knowledge regarding the tetrahydrocannabinol. (iv) The history and current pattern of abuse of the tetrahydrocannabinol. (v) The scope, duration, and significance of abuse of the tetrahydrocannabinol. (vi) The tetrahydrocannabinol's risk to the public health. (vii) The potential of the tetrahydrocannabinol to produce psychic or physiological dependence liability. (3) The marijuana cannabis regulatory agency shall not promulgate a rule that is unreasonably impracticable or does any of the following: (a) Establishes a limit on the number of any type of state license that may be granted. (b) Requires a customer to provide a marihuana retailer with identifying information other than identification to determine the customer's age or requires the marihuana retailer to acquire or record personal information about customers other than information typically required in a retail transaction. (c) Prohibits a marihuana establishment from operating at a shared location of a marihuana facility operating pursuant to the medical marihuana facilities licensing act, 2016 PA 281, MCL 333.27101 to 333.27801, or prohibits a marihuana grower, marihuana processor, or marihuana retailer from operating within a single facility. (d) Is unreasonably impracticable. (4) A rule promulgated under this act must be promulgated pursuant to the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328. Sec. 10. (1) 1. Notwithstanding any other law or provision of this act, and except as otherwise provided in section 4 of this act or the rules promulgated thereunder, under this act, the following acts are not unlawful, are not an offense, are not grounds for seizing or forfeiting property, are not grounds for arrest, prosecution, or penalty in any manner, are not grounds for search or inspection except as authorized by this act, and are not grounds to deny any other right or privilege: (a) For a marihuana grower or an agent acting on behalf of a marihuana grower who is 21 19 years of age or older, cultivating not more than the number of marihuana plants authorized by the state license class; possessing, packaging, storing, or testing marihuana; acquiring marihuana seeds or seedlings from a person who is 21 years of age or older; selling or otherwise transferring, purchasing or otherwise obtaining, or transporting marihuana to or from a marihuana establishment; or receiving compensation for goods or services. ; (b) For a marihuana processor or agent acting on behalf of a marihuana processor who is 21 19 years of age or older, possessing, processing, packaging, storing, or testing marihuana; selling or otherwise transferring, purchasing or otherwise obtaining, or transporting marihuana to or from a marihuana establishment; or receiving compensation for goods or services. ; (c) For a marihuana secure transporter or an agent acting on behalf of a marihuana secure transporter who is 21 19 years of age or older, possessing or storing marihuana; transporting marihuana to or from a marihuana establishment; or receiving compensation for services. ; (d) For a marihuana safety compliance facility or an agent acting on behalf of a marihuana safety compliance facility who is 21 19 years of age or older, testing, possessing, repackaging, or storing marihuana; transferring, obtaining, or transporting marihuana to or from a marihuana establishment; or receiving compensation for services. ; (e) For a marihuana retailer or an agent acting on behalf of a marihuana retailer who is 21 19 years of age or older, possessing, storing, or testing marihuana; selling or otherwise transferring, purchasing or otherwise obtaining, or transporting marihuana to or from a marihuana establishment; selling or otherwise transferring marihuana to a person who is 21 years of age or older; or receiving compensation for goods or services. ; or (f) For a marihuana microbusiness or an agent acting on behalf of a marihuana microbusiness who is 21 19 years of age or older, cultivating not more than 150 marihuana plants; possessing, processing, packaging, storing, or testing marihuana from marihuana plants cultivated on the premises; selling or otherwise transferring marihuana cultivated or processed on the premises to a person who is 21 years of age or older; or receiving compensation for goods or services. (g) leasing Leasing or otherwise allowing the use of property owned, occupied, or managed for activities allowed under this act. ; (h) enrolling Enrolling or employing a person who engages in marihuana-related activities allowed under this act. ; (i) possessing, Possessing, cultivating, processing, obtaining, transferring, or transporting industrial hemp. ; or (j) providing Providing professional services to prospective or licensed marihuana establishments related to activity under this act. (2) 2. A person acting as an agent of a marihuana retailer who sells or otherwise transfers marihuana or marihuana accessories to a person under who is younger than 21 years of age is not subject to arrest, prosecution, forfeiture of property, disciplinary action by a professional licensing board, denial of any right or privilege, or penalty in any manner, if the person reasonably verified that the recipient appeared to be 21 years of age or older by means of government-issued photographic identification containing a date of birth, and the person complied with any rules promulgated pursuant to this act. (3) 3. It is the public policy of this state that contracts related to the operation of marihuana establishments be enforceable. Sec. 11. (1) (a) A marihuana establishment may shall not allow cultivation, processing, sale, or display of marihuana or marihuana accessories to be visible from a public place outside of the marihuana establishment without the use of binoculars, aircraft, or other optical aids. (2) (b) A marihuana establishment may shall not cultivate, process, test, or store marihuana at any location other than a physical address approved by the department cannabis regulatory agency and within an enclosed area that is secured in a manner that prevents access by persons not permitted by the marihuana establishment to access the area. (3) (c) A marihuana establishment shall secure every entrance to the establishment so that access to areas containing marihuana is restricted to employees and other persons permitted by the marihuana establishment to access the area and to agents of the department cannabis regulatory agency or state and local law enforcement officers and emergency personnel and shall secure its inventory and equipment during and after operating hours to deter and prevent theft of marihuana and marihuana accessories. (4) (d) No A marihuana establishment may shall not refuse representatives of the department cannabis regulatory agency the right during the marihuana establishment's hours of operation to inspect the licensed premises or to audit the books and records of the marihuana establishment. (5) (e) No A marihuana establishment may shall not allow a person under 21 who is younger than 19 years of age to volunteer or work for the marihuana establishment. (6) (f) No A marihuana establishment may shall not sell or otherwise transfer marihuana that was not produced, distributed, and taxed in compliance with this act. (7) (g) A marihuana grower, marihuana retailer, marihuana processor, marihuana microbusiness, or marihuana testing facility, or agents an agent acting on their its behalf, may not transport more than 15 ounces of marihuana or more than 60 grams of marihuana concentrate at one 1 time. (8) (h) A marihuana secure transporter may not hold title to marihuana. (9) (i) No A marihuana processor may shall not process and no a marihuana retailer may shall not sell edible marihuana-infused candy in shapes or packages that are attractive to children or that are easily confused with commercially sold candy that does not contain marihuana. (10) (j) No A marihuana retailer may shall not sell or otherwise transfer marihuana that unless the marihuana is not contained in an opaque, resealable, child-resistant package designed to be significantly difficult for children under a child younger than 5 years of age to open and not difficult for a normal adults adult to use properly as defined by 16 C.F.R. 1700.20 (1995), unless the provided for under 16 CFR 1700.20. This subsection does not apply to marihuana that is transferred for consumption on the premises where it is sold. (11) (k) No A marihuana establishment may shall not sell or otherwise transfer tobacco.
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2323 HOUSE BILL NO. 4322
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2626
2727 A bill to amend 2018 IL 1, entitled
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2929 "Michigan Regulation and Taxation of Marihuana Act,"
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3131 by amending the title and sections 3, 4, 5, 8, 10, and 11 (MCL 333.27953, 333.27954, 333.27955, 333.27958, 333.27960, and 333.27961), sections 3 and 8 as amended by 2021 PA 56.
3232
3333 the people of the state of michigan enact:
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3535 TITLE
3636
3737 An initiation of legislation to allow under state law the personal possession and use of marihuana by persons 21 years of age or older; to provide for the lawful cultivation and sale of marihuana and industrial hemp by certain persons; 21 years of age or older; to permit the taxation of revenue derived from commercial marihuana facilities; to permit the promulgation of administrative rules; and to prescribe certain penalties for violations of this act. If not enacted by the Michigan State Legislature in accordance with the Michigan Constitution of 1963, the proposed legislation is to be voted on at the General Election, November 6, 2018.
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3939 Sec. 3. As used in this act:
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4141 (a) "Cannabis regulatory agency" means the marijuana regulatory agency created under Executive Reorganization Order No. 2019-2, MCL 333.27001, renamed the cannabis regulatory agency under Executive Reorganization Order No. 2022-1, MCL 333.27002.
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4343 (b) (a) "Cultivate" means to propagate, breed, grow, harvest, dry, cure, or separate parts of a marihuana plant by manual or mechanical means.
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4545 (c) (b) "Department" means the department of licensing and regulatory affairs.cannabis regulatory agency.
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4747 (d) (c) "Industrial hemp" means any of the following:
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4949 (i) A plant of the genus Cannabis, whether growing or not, with a THC concentration of 0.3% or less on a dry-weight basis.
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5151 (ii) A part of a plant of the genus Cannabis, whether growing or not, with a THC concentration of 0.3% or less on a dry-weight basis.
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5353 (iii) The seeds of a plant of the genus Cannabis with a THC concentration of 0.3% or less on a dry-weight basis.
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5555 (iv) If it has a THC concentration of 0.3% or less on a dry-weight basis, a compound, manufacture, derivative, mixture, preparation, extract, cannabinoid, acid, salt, isomer, or salt of an isomer of any of the following:
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5757 (A) A plant of the genus Cannabis.
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5959 (B) A part of a plant of the genus Cannabis.
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6161 (v) A product to which 1 of the following applies:
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6363 (A) If the product is intended for human or animal consumption, the product, in the form in which it is intended for sale to a consumer, meets both of the following requirements:
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6565 (I) Has a THC concentration of 0.3% or less on a dry-weight or per volume basis.
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6767 (II) Contains a total amount of THC that is less than or equal to the limit established by the marijuana cannabis regulatory agency under section 8(1)(n).
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6969 (B) If the product is not intended for human or animal consumption, the product meets both of the following requirements:
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7171 (I) Contains a substance listed in subparagraph (i), (ii), (iii), or (iv).
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7373 (II) Has a THC concentration of 0.3% or less on a dry-weight basis.
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7575 (e) (d) "Licensee" means a person holding a state license.
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7777 (f) (e) "Marihuana" means any of the following:
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7979 (i) A plant of the genus Cannabis, whether growing or not.
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8181 (ii) A part of a plant of the genus Cannabis, whether growing or not.
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8383 (iii) The seeds of a plant of the genus Cannabis.
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8585 (iv) Marihuana concentrate.
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8787 (v) A compound, manufacture, salt, derivative, mixture, extract, acid, isomer, salt of an isomer, or preparation of any of the following:
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8989 (A) A plant of the genus Cannabis.
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9191 (B) A part of a plant of the genus Cannabis.
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9393 (C) The seeds of a plant of the genus Cannabis.
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9595 (D) Marihuana concentrate.
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9797 (vi) A marihuana-infused product.
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9999 (vii) A product with a THC concentration of more than 0.3% on a dry-weight or per volume basis in the form in which it is intended for sale to a consumer.
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101101 (viii) A product that is intended for human or animal consumption and that contains, in the form in which it is intended for sale to a consumer, a total amount of THC that is greater than the limit established by the marijuana cannabis regulatory agency under section 8(1)(n).
102102
103103 (g) (f) Except for marihuana concentrate extracted from any of the following, "marihuana" does not include any of the following:
104104
105105 (i) The mature stalks of a plant of the genus Cannabis.
106106
107107 (ii) Fiber produced from the mature stalks of a plant of the genus Cannabis.
108108
109109 (iii) Oil or cake made from the seeds of a plant of the genus Cannabis.
110110
111111 (iv) A compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks of a plant of the genus Cannabis.
112112
113113 (v) Industrial hemp.
114114
115115 (vi) An ingredient combined with marihuana to prepare topical or oral administrations, food, drink, or other products.
116116
117117 (vii) A drug for which an application filed in accordance with 21 USC 355 is approved by the Food and Drug Administration.
118118
119119 (h) (g) "Marihuana accessories" means any equipment, product, material, or combination of equipment, products, or materials, that is specifically designed for use in planting, propagating, cultivating, growing, harvesting, manufacturing, compounding, converting, producing, processing, preparing, testing, analyzing, packaging, repackaging, storing, containing, ingesting, inhaling, or otherwise introducing marihuana into the human body.
120120
121121 (i) (h) "Marihuana concentrate" means the resin extracted from any part of a plant of the genus Cannabis.
122122
123123 (j) (i) "Marihuana establishment" means a marihuana grower, marihuana safety compliance facility, marihuana processor, marihuana microbusiness, marihuana retailer, marihuana secure transporter, or any other type of marihuana-related business licensed by the marijuana cannabis regulatory agency.
124124
125125 (k) (j) "Marihuana grower" means a person licensed to cultivate marihuana and sell or otherwise transfer marihuana to marihuana establishments.
126126
127127 (l) (k) "Marihuana-infused product" means a topical formulation, tincture, beverage, edible substance, or similar product containing marihuana and other ingredients and that is intended for human consumption.
128128
129129 (m) (l) "Marihuana microbusiness" means a person licensed to cultivate not more than 150 marihuana plants; process and package marihuana; and sell or otherwise transfer marihuana to individuals who are 21 years of age or older or to a marihuana safety compliance facility, but not to other marihuana establishments.
130130
131131 (n) (m) "Marihuana processor" means a person licensed to obtain marihuana from marihuana establishments; process and package marihuana; and sell or otherwise transfer marihuana to marihuana establishments.
132132
133133 (o) (n) "Marihuana retailer" means a person licensed to obtain marihuana from marihuana establishments and to sell or otherwise transfer marihuana to marihuana establishments and to individuals who are 21 years of age or older.
134134
135135 (p) (o) "Marihuana secure transporter" means a person licensed to obtain marihuana from marihuana establishments in order to transport marihuana to marihuana establishments.
136136
137137 (q) (p) "Marihuana safety compliance facility" means a person licensed to test marihuana, including certification for potency and the presence of contaminants.
138138
139139 (r) (q) "Marijuana regulatory agency" means the marijuana regulatory agency created under Executive Reorganization Order No. 2019-2, MCL 333.27001.
140140
141141 (s) (r) "Municipal license" means a license issued by a municipality pursuant to section 16 that allows a person to operate a marihuana establishment in that municipality.
142142
143143 (t) (s) "Municipality" means a city, village, or township.
144144
145145 (u) (t) "Person" means an individual, corporation, limited liability company, partnership of any type, trust, or other legal entity.
146146
147147 (v) (u) "Process" or "processing" means to separate or otherwise prepare parts of a marihuana plant and to compound, blend, extract, infuse, or otherwise make or prepare marihuana concentrate or marihuana-infused products.
148148
149149 (w) (v) "State license" means a license issued by the marijuana cannabis regulatory agency that allows a person to operate a marihuana establishment.
150150
151151 (x) (w) "THC" means any of the following:
152152
153153 (i) Tetrahydrocannabinolic acid.
154154
155155 (ii) Unless excluded by the marijuana cannabis regulatory agency under section 8(2)(c), a tetrahydrocannabinol, regardless of whether it is artificially or naturally derived.
156156
157157 (iii) A tetrahydrocannabinol that is a structural, optical, or geometric isomer of a tetrahydrocannabinol described in subparagraph (ii).
158158
159159 (y) (x) "Unreasonably impracticable" means that the measures necessary to comply with the rules or ordinances adopted pursuant to this act subject licensees to unreasonable risk or require such a high investment of money, time, or any other resource or asset that a reasonably prudent businessperson would not operate the marihuana establishment.
160160
161161 Sec. 4. (1) 1. This act does not authorize any of the following:
162162
163163 (a) operating, Operating, navigating, or being in physical control of any motor vehicle, aircraft, snowmobile, off-road recreational vehicle, or motorboat while under the influence of marihuana. ;
164164
165165 (b) transfer of Except as otherwise allowed under section 10, transferring marihuana or marihuana accessories to a person under the age of who is younger than 21 years of age. ;
166166
167167 (c) any Except as otherwise allowed under section 10, a person under the age of who is younger than 21 years of age to possess, consume, purchase or otherwise obtain, cultivate, process, transport, or sell marihuana. ;
168168
169169 (d) separation of Separating plant resin by butane extraction or another method that utilizes a substance with a flashpoint below 100 degrees Fahrenheit in any public place, motor vehicle, or within the curtilage of any residential structure. ;
170170
171171 (e) consuming Consuming marihuana in a public place or smoking marihuana where prohibited by the person who owns, occupies, or manages the property, except for purposes of this subdivision a public place does not include an area designated for consumption within a municipality that has authorized consumption in designated areas that are not accessible to persons under who are younger than 21 years of age. ;
172172
173173 (f) cultivating Cultivating marihuana plants if the plants are visible from a public place without the use of binoculars, aircraft, or other optical aids or outside of an enclosed area equipped with locks or other functioning security devices that restrict access to the area. ;
174174
175175 (g) consuming Consuming marihuana while operating, navigating, or being in physical control of any motor vehicle, aircraft, snowmobile, off-road recreational vehicle, or motorboat, or smoking marihuana within the passenger area of a vehicle upon a public way. ;
176176
177177 (h) possessing Possessing marihuana accessories or possessing or consuming marihuana on the grounds of a public or private school where children attend classes in preschool programs, kindergarten programs, or grades 1 through 12, in a school bus, or on the grounds of any correctional facility. ; or
178178
179179 (i) Possessing more than 2.5 ounces of marihuana within a person's place of residence unless the excess marihuana is stored in a container or area equipped with locks or other functioning security devices that restrict access to the contents of the container or area.
180180
181181 (2) 2. This act does not limit any privileges, rights, immunities, or defenses of a person as provided in the Michigan medical marihuana act, Medical Marihuana Act, 2008 IL 1, MCL 333.26421 to 333.26430, the medical marihuana facilities licensing act, 2016 PA 281, MCL 333.27101 to 333.27801, or any other law of this state allowing for or regulating marihuana for medical use.
182182
183183 (3) 3. This act does not require an employer to permit or accommodate conduct otherwise allowed by this act in any workplace or on the employer's property. This act does not prohibit an employer from disciplining an employee for violation of a workplace drug policy or for working while under the influence of marihuana. This act does not prevent an employer from refusing to hire, discharging, disciplining, or otherwise taking an adverse employment action against a person with respect to hire, tenure, terms, conditions, or privileges of employment because of that person's violation of a workplace drug policy or because that person was working while under the influence of marihuana.
184184
185185 (4) 4. This act allows a person to prohibit or otherwise regulate the consumption, cultivation, distribution, processing, sale, or display of marihuana and marihuana accessories on property the person owns, occupies, or manages, except that a lease agreement may not prohibit a tenant from lawfully possessing and consuming marihuana by means other than smoking.
186186
187187 (5) 5. All other laws inconsistent with this act do not apply to conduct that is permitted by this act.
188188
189189 Sec. 5. (1) 1. Notwithstanding any other law or provision of this act, and except as otherwise provided in section 4, of this act, the following acts by a person who is 21 years of age or older are not unlawful, are not an offense, are not grounds for seizing or forfeiting property, are not grounds for arrest, prosecution, or penalty in any manner, are not grounds for search or inspection, and are not grounds to deny any other right or privilege:
190190
191191 (a) except Except as permitted by subdivision (b), possessing, using or consuming, internally possessing, purchasing, transporting, or processing 2.5 ounces or less of marihuana, except that not more than 15 grams of marihuana may be in the form of marihuana concentrate. ;
192192
193193 (b) within Within the person's residence, possessing, storing, and processing not more than 10 ounces of marihuana and any marihuana produced by marihuana plants cultivated on the premises and cultivating not more than 12 marihuana plants for personal use, provided that no more than 12 marihuana plants are possessed, cultivated, or processed on the premises at once. ;
194194
195195 (c) assisting Assisting another person who is 21 years of age or older in any of the acts described in this section. ; and
196196
197197 (d) giving Giving away or otherwise transferring without remuneration up to 2.5 ounces of marihuana, except that not more than 15 grams of marihuana may be in the form of marihuana concentrate, to a person who is 21 years of age or older, as long as the transfer is not advertised or promoted to the public.
198198
199199 (2) 2. Notwithstanding any other law or provision of this act, except as otherwise provided in section 4 and subsection (4), of this act, the use, manufacture, possession, and purchase of marihuana accessories by a person who is 21 years of age or older, or 19 years of age or older as allowed under section 10, and the distribution or sale of marihuana accessories to a person who is 21 years of age or older is authorized, is not unlawful, is not an offense, is not grounds for seizing or forfeiting property, is not grounds for arrest, prosecution, or penalty in any manner, and is not grounds to deny any other right or privilege.
200200
201201 (3) 3. A person shall not be denied custody of or visitation with a minor for conduct that is permitted by this act, unless the person's behavior is such that it creates an unreasonable danger to the minor that can be clearly articulated and substantiated.
202202
203203 (4) A person who is 19 years of age or older may manufacture, purchase, distribute, and sell marihuana accessories if the person is an agent acting on behalf of a marihuana establishment.
204204
205205 Sec. 8. (1) The marijuana cannabis regulatory agency shall promulgate rules to implement and administer this act that include all of the following:
206206
207207 (a) Procedures for issuing a state license pursuant to section 9 and for renewing, suspending, and revoking a state license.
208208
209209 (b) A schedule of fees in amounts not more than necessary to pay for implementation, administration, and enforcement costs of this act and that relate to the size of each licensee or the volume of business conducted by the licensee.
210210
211211 (c) Qualifications for licensure that are directly and demonstrably related to the operation of a marihuana establishment. However, a prior conviction solely for a marihuana-related offense must not disqualify an individual or otherwise affect eligibility for licensure, unless the offense involved distribution of a controlled substance to a minor.
212212
213213 (d) Requirements and standards for safe cultivation, processing, and distribution of marihuana by marihuana establishments, including health standards to ensure the safe preparation of marihuana-infused products and prohibitions on pesticides that are not safe for use on marihuana.
214214
215215 (e) Testing, packaging, and labeling standards, procedures, and requirements for marihuana, including, but not limited to, all of the following:
216216
217217 (i) A maximum THC level for marihuana-infused products.
218218
219219 (ii) A requirement that a representative sample of marihuana be tested by a marihuana safety compliance facility.
220220
221221 (iii) A requirement that the amount of marihuana or marihuana concentrate contained within a marihuana-infused product be specified on the product label.
222222
223223 (iv) A requirement that all marihuana sold through marihuana retailers and marihuana microbusinesses include on the exterior of the marihuana packaging the following warning printed in clearly legible type and surrounded by a continuous heavy line:
224224
225225 WARNING: USE BY PREGNANT OR BREASTFEEDING WOMEN, OR BY
226226
227227 WOMEN PLANNING TO BECOME PREGNANT, MAY RESULT IN FETAL
228228
229229 INJURY, PRETERM BIRTH, LOW BIRTH WEIGHT, OR DEVELOPMENTAL
230230
231231 PROBLEMS FOR THE CHILD.
232232
233233 (f) Security requirements, including lighting, physical security, and alarm requirements, and requirements for securely transporting marihuana between marihuana establishments. The requirements described in this subdivision must not prohibit cultivation of marihuana outdoors or in greenhouses.
234234
235235 (g) Record keeping requirements for marihuana establishments and monitoring requirements to track the transfer of marihuana by licensees.
236236
237237 (h) Requirements for the operation of marihuana secure transporters to ensure that all marihuana establishments are properly serviced.
238238
239239 (i) Reasonable restrictions on advertising, marketing, and display of marihuana and marihuana establishments.
240240
241241 (j) A plan to promote and encourage participation in the marihuana industry by people from communities that have been disproportionately impacted by marihuana prohibition and enforcement and to positively impact those communities.
242242
243243 (k) Penalties for failure to comply with a rule promulgated pursuant to this section or for a violation of this act by a licensee, including civil fines and suspension, revocation, or restriction of a state license.
244244
245245 (l) Informational pamphlet standards for marihuana retailers and marihuana microbusinesses, including, but not limited to, a requirement to make available to every customer at the time of sale a pamphlet measuring 3.5 inches by 5 inches that includes safety information related to marihuana use by minors and the poison control hotline number.
246246
247247 (m) Procedures and standards for approving an appointee to operate a marihuana establishment under section 9a.
248248
249249 (n) A limit on the total amount of THC that a product described in section 3(c)(v)(A) 3(d)(v)(a) may contain.
250250
251251 (2) The marijuana cannabis regulatory agency may promulgate rules to do any of the following:
252252
253253 (a) Provide for the issuance of additional types or classes of state licenses to operate marihuana-related businesses, including licenses that authorize any of the following:
254254
255255 (i) Limited cultivation, processing, transportation, delivery, storage, sale, or purchase of marihuana.
256256
257257 (ii) Consumption of marihuana within designated areas.
258258
259259 (iii) Consumption of marihuana at special events in limited areas and for a limited time.
260260
261261 (iv) Cultivation for purposes of propagation.
262262
263263 (v) Facilitation of scientific research or education.
264264
265265 (b) Regulate the cultivation, processing, distribution, and sale of industrial hemp.
266266
267267 (c) Exclude from the definition of THC in section 3 a tetrahydrocannabinol if, after the marijuana cannabis regulatory agency makes findings with respect to each of the following factors, the marijuana cannabis regulatory agency determines that the tetrahydrocannabinol does not have a potential for abuse:
268268
269269 (i) The actual or relative potential for abuse of the tetrahydrocannabinol.
270270
271271 (ii) The scientific evidence of the tetrahydrocannabinol's pharmacological effect, if known.
272272
273273 (iii) The state of current scientific knowledge regarding the tetrahydrocannabinol.
274274
275275 (iv) The history and current pattern of abuse of the tetrahydrocannabinol.
276276
277277 (v) The scope, duration, and significance of abuse of the tetrahydrocannabinol.
278278
279279 (vi) The tetrahydrocannabinol's risk to the public health.
280280
281281 (vii) The potential of the tetrahydrocannabinol to produce psychic or physiological dependence liability.
282282
283283 (3) The marijuana cannabis regulatory agency shall not promulgate a rule that is unreasonably impracticable or does any of the following:
284284
285285 (a) Establishes a limit on the number of any type of state license that may be granted.
286286
287287 (b) Requires a customer to provide a marihuana retailer with identifying information other than identification to determine the customer's age or requires the marihuana retailer to acquire or record personal information about customers other than information typically required in a retail transaction.
288288
289289 (c) Prohibits a marihuana establishment from operating at a shared location of a marihuana facility operating pursuant to the medical marihuana facilities licensing act, 2016 PA 281, MCL 333.27101 to 333.27801, or prohibits a marihuana grower, marihuana processor, or marihuana retailer from operating within a single facility.
290290
291291 (d) Is unreasonably impracticable.
292292
293293 (4) A rule promulgated under this act must be promulgated pursuant to the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328.
294294
295295 Sec. 10. (1) 1. Notwithstanding any other law or provision of this act, and except as otherwise provided in section 4 of this act or the rules promulgated thereunder, under this act, the following acts are not unlawful, are not an offense, are not grounds for seizing or forfeiting property, are not grounds for arrest, prosecution, or penalty in any manner, are not grounds for search or inspection except as authorized by this act, and are not grounds to deny any other right or privilege:
296296
297297 (a) For a marihuana grower or an agent acting on behalf of a marihuana grower who is 21 19 years of age or older, cultivating not more than the number of marihuana plants authorized by the state license class; possessing, packaging, storing, or testing marihuana; acquiring marihuana seeds or seedlings from a person who is 21 years of age or older; selling or otherwise transferring, purchasing or otherwise obtaining, or transporting marihuana to or from a marihuana establishment; or receiving compensation for goods or services. ;
298298
299299 (b) For a marihuana processor or agent acting on behalf of a marihuana processor who is 21 19 years of age or older, possessing, processing, packaging, storing, or testing marihuana; selling or otherwise transferring, purchasing or otherwise obtaining, or transporting marihuana to or from a marihuana establishment; or receiving compensation for goods or services. ;
300300
301301 (c) For a marihuana secure transporter or an agent acting on behalf of a marihuana secure transporter who is 21 19 years of age or older, possessing or storing marihuana; transporting marihuana to or from a marihuana establishment; or receiving compensation for services. ;
302302
303303 (d) For a marihuana safety compliance facility or an agent acting on behalf of a marihuana safety compliance facility who is 21 19 years of age or older, testing, possessing, repackaging, or storing marihuana; transferring, obtaining, or transporting marihuana to or from a marihuana establishment; or receiving compensation for services. ;
304304
305305 (e) For a marihuana retailer or an agent acting on behalf of a marihuana retailer who is 21 19 years of age or older, possessing, storing, or testing marihuana; selling or otherwise transferring, purchasing or otherwise obtaining, or transporting marihuana to or from a marihuana establishment; selling or otherwise transferring marihuana to a person who is 21 years of age or older; or receiving compensation for goods or services. ; or
306306
307307 (f) For a marihuana microbusiness or an agent acting on behalf of a marihuana microbusiness who is 21 19 years of age or older, cultivating not more than 150 marihuana plants; possessing, processing, packaging, storing, or testing marihuana from marihuana plants cultivated on the premises; selling or otherwise transferring marihuana cultivated or processed on the premises to a person who is 21 years of age or older; or receiving compensation for goods or services.
308308
309309 (g) leasing Leasing or otherwise allowing the use of property owned, occupied, or managed for activities allowed under this act. ;
310310
311311 (h) enrolling Enrolling or employing a person who engages in marihuana-related activities allowed under this act. ;
312312
313313 (i) possessing, Possessing, cultivating, processing, obtaining, transferring, or transporting industrial hemp. ; or
314314
315315 (j) providing Providing professional services to prospective or licensed marihuana establishments related to activity under this act.
316316
317317 (2) 2. A person acting as an agent of a marihuana retailer who sells or otherwise transfers marihuana or marihuana accessories to a person under who is younger than 21 years of age is not subject to arrest, prosecution, forfeiture of property, disciplinary action by a professional licensing board, denial of any right or privilege, or penalty in any manner, if the person reasonably verified that the recipient appeared to be 21 years of age or older by means of government-issued photographic identification containing a date of birth, and the person complied with any rules promulgated pursuant to this act.
318318
319319 (3) 3. It is the public policy of this state that contracts related to the operation of marihuana establishments be enforceable.
320320
321321 Sec. 11. (1) (a) A marihuana establishment may shall not allow cultivation, processing, sale, or display of marihuana or marihuana accessories to be visible from a public place outside of the marihuana establishment without the use of binoculars, aircraft, or other optical aids.
322322
323323 (2) (b) A marihuana establishment may shall not cultivate, process, test, or store marihuana at any location other than a physical address approved by the department cannabis regulatory agency and within an enclosed area that is secured in a manner that prevents access by persons not permitted by the marihuana establishment to access the area.
324324
325325 (3) (c) A marihuana establishment shall secure every entrance to the establishment so that access to areas containing marihuana is restricted to employees and other persons permitted by the marihuana establishment to access the area and to agents of the department cannabis regulatory agency or state and local law enforcement officers and emergency personnel and shall secure its inventory and equipment during and after operating hours to deter and prevent theft of marihuana and marihuana accessories.
326326
327327 (4) (d) No A marihuana establishment may shall not refuse representatives of the department cannabis regulatory agency the right during the marihuana establishment's hours of operation to inspect the licensed premises or to audit the books and records of the marihuana establishment.
328328
329329 (5) (e) No A marihuana establishment may shall not allow a person under 21 who is younger than 19 years of age to volunteer or work for the marihuana establishment.
330330
331331 (6) (f) No A marihuana establishment may shall not sell or otherwise transfer marihuana that was not produced, distributed, and taxed in compliance with this act.
332332
333333 (7) (g) A marihuana grower, marihuana retailer, marihuana processor, marihuana microbusiness, or marihuana testing facility, or agents an agent acting on their its behalf, may not transport more than 15 ounces of marihuana or more than 60 grams of marihuana concentrate at one 1 time.
334334
335335 (8) (h) A marihuana secure transporter may not hold title to marihuana.
336336
337337 (9) (i) No A marihuana processor may shall not process and no a marihuana retailer may shall not sell edible marihuana-infused candy in shapes or packages that are attractive to children or that are easily confused with commercially sold candy that does not contain marihuana.
338338
339339 (10) (j) No A marihuana retailer may shall not sell or otherwise transfer marihuana that unless the marihuana is not contained in an opaque, resealable, child-resistant package designed to be significantly difficult for children under a child younger than 5 years of age to open and not difficult for a normal adults adult to use properly as defined by 16 C.F.R. 1700.20 (1995), unless the provided for under 16 CFR 1700.20. This subsection does not apply to marihuana that is transferred for consumption on the premises where it is sold.
340340
341341 (11) (k) No A marihuana establishment may shall not sell or otherwise transfer tobacco.