Texas 2019 - 86th Regular

Texas House Bill HB3826 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	86R11597 JSC-D
2	2	By: J. Johnson of Dallas H.B. No. 3826
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to authorizing the possession, use, cultivation,
8	8	distribution, transportation, and delivery of medical cannabis for
9	9	medical use in lieu of an opioid by patients with acute or chronic
10	10	pain and the licensing of medical cannabis dispensing
11	11	organizations; authorizing fees.
12	12	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
13	13	SECTION 1. Section 481.0764, Health and Safety Code, is
14	14	amended by adding Subsection (f) to read as follows:
15	15	(f) A prescriber, other than a veterinarian, who issues a
16	16	prescription for an opioid for acute or chronic pain, on issuance of
17	17	the initial prescription and on issuance of the second prescription
18	18	for the same substance, shall discuss with the patient and, if the
19	19	patient is a minor, the patient's parent, conservator, or guardian,
20	20	or other person authorized to consent to the minor's medical
21	21	treatment:
22	22	(1) the risk of addiction associated with the drug
23	23	prescribed, including any risk of developing a physical or
24	24	psychological dependence on the drug;
25	25	(2) the risk of taking the drug in a dosage greater
26	26	than the dosage prescribed;
27	27	(3) the danger of taking the drug with
28	28	benzodiazepines, alcohol, or other central nervous system
29	29	depressants; and
30	30	(4) the availability of medical cannabis recommended
31	31	under Chapter 169A, Occupations Code, and any other alternative
32	32	drugs or treatments available for the acute or chronic pain.
33	33	SECTION 2. Subtitle C, Title 6, Health and Safety Code, is
34	34	amended by adding Chapter 488 to read as follows:
35	35	CHAPTER 488. USE OF CANNABIS FOR MEDICAL PURPOSES
36	36	SUBCHAPTER A. GENERAL PROVISIONS
37	37	Sec. 488.001. DEFINITIONS. In this chapter:
38	38	(1) "Department" means the Department of Public
39	39	Safety.
40	40	(2) "Director" means the public safety director of the
41	41	department.
42	42	(3) "Dispensing organization" means an organization
43	43	licensed by the department to cultivate, process, and dispense
44	44	medical cannabis to a patient for whom medical use is recommended
45	45	under Chapter 169A, Occupations Code.
46	46	(4) "Medical cannabis" and "medical use" have the
47	47	meanings assigned by Section 169A.001, Occupations Code.
48	48	SUBCHAPTER B. DUTIES OF DEPARTMENT
49	49	Sec. 488.051. DUTIES OF DEPARTMENT. The department shall
50	50	administer this chapter.
51	51	Sec. 488.052. RULES. (a) The director shall adopt any
52	52	rules necessary for the administration and enforcement of this
53	53	chapter.
54	54	(b) The director shall adopt rules imposing fees under this
55	55	chapter in amounts sufficient to cover the cost of administering
56	56	this chapter.
57	57	Sec. 488.053. LICENSING OF DISPENSING ORGANIZATIONS AND
58	58	REGISTRATION OF CERTAIN ASSOCIATED INDIVIDUALS. (a) The
59	59	department shall:
60	60	(1) issue or renew a license under Subchapter C to
61	61	operate as a dispensing organization to each applicant who
62	62	satisfies the requirements established under this chapter for
63	63	licensure as a dispensing organization; and
64	64	(2) register directors, managers, and employees under
65	65	Subchapter D of each dispensing organization.
66	66	(b) The department shall enforce compliance of license
67	67	holders and registrants and shall adopt procedures for suspending
68	68	or revoking a license or registration issued under this chapter and
69	69	for renewing a license or registration issued under this chapter.
70	70	Sec. 488.054. MEDICAL USE REGISTRY. (a) The department
71	71	shall establish and maintain a secure online medical use registry
72	72	that contains:
73	73	(1) the name of each physician who registers as the
74	74	physician recommending medical use for a patient under Section
75	75	169A.003, Occupations Code, and the name and date of birth of the
76	76	patient; and
77	77	(2) the amount of medical cannabis dispensed to each
78	78	patient.
79	79	(b) The department shall ensure the registry:
80	80	(1) is designed to prevent more than one physician
81	81	from registering as the physician recommending medical use for a
82	82	single patient;
83	83	(2) is accessible to law enforcement agencies and
84	84	dispensing organizations for the purpose of verifying whether a
85	85	patient is one for whom medical use is recommended under Chapter
86	86	169A, Occupations Code; and
87	87	(3) allows a physician recommending medical use under
88	88	Chapter 169A, Occupations Code, to input safety and efficacy data
89	89	derived from the treatment of patients for whom medical use is
90	90	recommended.
91	91	SUBCHAPTER C. LICENSING TO OPERATE AS DISPENSING ORGANIZATION
92	92	Sec. 488.101. LICENSE REQUIRED. A person may not operate as
93	93	a dispensing organization without a license issued by the
94	94	department under this subchapter.
95	95	Sec. 488.102. ELIGIBILITY FOR LICENSE. An applicant for a
96	96	license to operate as a dispensing organization is eligible for the
97	97	license if:
98	98	(1) as determined by the department, the applicant
99	99	possesses:
100	100	(A) the technical and technological ability to
101	101	cultivate and produce medical cannabis;
102	102	(B) the ability to secure:
103	103	(i) the resources and personnel necessary
104	104	to operate as a dispensing organization; and
105	105	(ii) premises reasonably located to allow
106	106	patients listed on the medical use registry access to the
107	107	organization through existing infrastructure;
108	108	(C) the ability to maintain accountability for
109	109	the raw materials, the finished product, and any by-products used
110	110	or produced in the cultivation or production of medical cannabis to
111	111	prevent unlawful access to or unlawful diversion or possession of
112	112	those materials, products, or by-products; and
113	113	(D) the financial ability to maintain operations
114	114	for not less than two years from the date of application;
115	115	(2) each director, manager, or employee of the
116	116	applicant is registered under Subchapter D; and
117	117	(3) the applicant satisfies any additional criteria
118	118	determined by the director to be necessary to safely implement this
119	119	chapter.
120	120	Sec. 488.103. APPLICATION. (a) A person may apply for an
121	121	initial or renewal license under this subchapter by submitting a
122	122	form prescribed by the department along with the application fee in
123	123	an amount set by the director.
124	124	(b) A person is not required to pay an application fee if the
125	125	person holds a license under Subchapter C, Chapter 487.
126	126	(c) The application must include the name and address of the
127	127	applicant, the name and address of each of the applicant's
128	128	directors, managers, and employees, and any other information
129	129	considered necessary by the department to determine the applicant's
130	130	eligibility for the license.
131	131	Sec. 488.104. ISSUANCE, RENEWAL, OR DENIAL OF LICENSE. (a)
132	132	The department shall issue or renew a license under this subchapter
133	133	only if:
134	134	(1) the department determines the applicant meets the
135	135	eligibility requirements described by Section 488.102; and
136	136	(2) issuance or renewal of the license is necessary to
137	137	ensure reasonable statewide access to, and the availability of,
138	138	medical cannabis for patients registered in the medical use
139	139	registry and for whom medical cannabis is recommended under Chapter
140	140	169A, Occupations Code.
141	141	(b) If the department denies the issuance or renewal of a
142	142	license under Subsection (a), the applicant is entitled to a
143	143	hearing. The department shall give written notice of the grounds
144	144	for denial to the applicant at least 30 days before the date of the
145	145	hearing.
146	146	(c) A license issued or renewed under this section expires
147	147	on the second anniversary of the date of issuance or renewal, as
148	148	applicable.
149	149	Sec. 488.105. CRIMINAL HISTORY BACKGROUND CHECK. (a) An
150	150	applicant for the issuance or renewal of a license under this
151	151	subchapter shall provide the department with the applicant's name
152	152	and the name of each of the applicant's directors, managers, and
153	153	employees.
154	154	(b) Before a dispensing organization under this subchapter
155	155	hires a manager or employee for the organization, the license
156	156	holder must provide the department with the name of the prospective
157	157	manager or employee. The license holder may not transfer the
158	158	license to another person before that prospective applicant and the
159	159	applicant's directors, managers, and employees pass a criminal
160	160	history background check and are registered as required by
161	161	Subchapter D.
162	162	(c) The department shall conduct a criminal history
163	163	background check on each individual whose name is provided to the
164	164	department under Subsection (a) or (b). The director by rule shall:
165	165	(1) determine the manner by which an individual is
166	166	required to submit a complete set of fingerprints to the department
167	167	for purposes of a criminal history background check under this
168	168	section; and
169	169	(2) establish criteria for determining whether an
170	170	individual passes the criminal history background check for the
171	171	purposes of this section.
172	172	(d) After conducting a criminal history background check
173	173	under this section, the department shall notify the relevant
174	174	applicant or organization and the individual who is the subject of
175	175	the criminal history background check as to whether the individual
176	176	passed the criminal history background check.
177	177	Sec. 488.106. DUTY TO MAINTAIN ELIGIBILITY. Each license
178	178	holder under this subchapter must maintain compliance at all times
179	179	with the eligibility requirements described by Section 488.102.
180	180	Sec. 488.107. DUTIES RELATING TO DISPENSING MEDICAL
181	181	CANNABIS. (a) Before dispensing medical cannabis to a person for
182	182	whom medical use is recommended under Chapter 169A, Occupations
183	183	Code, the dispensing organization must verify that the person is
184	184	listed as a patient in the medical use registry.
185	185	(b) After dispensing medical cannabis to a patient for whom
186	186	medical use is recommended under Chapter 169A, Occupations Code,
187	187	the dispensing organization shall record in the medical use
188	188	registry the form and quantity of the medical cannabis dispensed
189	189	and the date and time of dispensation.
190	190	Sec. 488.108. LABELING. Each product containing medical
191	191	cannabis dispensed under this chapter must bear a label that
192	192	clearly states the concentrations of tetrahydrocannabinol and
193	193	cannabidiol in the product.
194	194	Sec. 488.109. LICENSE SUSPENSION OR REVOCATION. (a) The
195	195	department may at any time suspend or revoke a license issued under
196	196	this subchapter if the department determines that the license
197	197	holder has not maintained the eligibility requirements described by
198	198	Section 488.102 or has failed to comply with a duty imposed under
199	199	this chapter.
200	200	(b) The director shall give written notice to the license
201	201	holder of a license suspension or revocation under this section and
202	202	the grounds for the suspension or revocation. The notice must be
203	203	sent by certified mail, return receipt requested.
204	204	(c) After suspending or revoking a license issued under this
205	205	subchapter, the director may seize or place under seal all medical
206	206	cannabis and drug paraphernalia owned or possessed by the
207	207	dispensing organization. If the director orders the revocation of
208	208	the license, a disposition may not be made of the seized or sealed
209	209	medical cannabis or drug paraphernalia until the time for
210	210	administrative appeal of the order has elapsed or until all appeals
211	211	have been concluded. When a revocation order becomes final, all
212	212	medical cannabis and drug paraphernalia may be forfeited to the
213	213	state as provided under Subchapter E, Chapter 481.
214	214	(d) Chapter 2001, Government Code, applies to a proceeding
215	215	under this section.
216	216	SUBCHAPTER D. REGISTRATION OF CERTAIN INDIVIDUALS
217	217	Sec. 488.151. REGISTRATION REQUIRED. (a) An individual who
218	218	is a director, manager, or employee of a dispensing organization
219	219	must apply for and obtain a registration under this section.
220	220	(b) An applicant for a registration under this section must:
221	221	(1) be at least 18 years of age;
222	222	(2) submit a complete set of fingerprints to the
223	223	department in the manner required by department rule; and
224	224	(3) pass a fingerprint-based criminal history
225	225	background check as required by Section 488.105.
226	226	(c) A registration expires on the second anniversary of the
227	227	date of the registration's issuance, unless suspended or revoked
228	228	under rules adopted under this chapter.
229	229	SUBCHAPTER E. DUTIES OF COUNTIES AND MUNICIPALITIES
230	230	Sec. 488.201. COUNTIES AND MUNICIPALITIES MAY NOT PROHIBIT
231	231	MEDICAL CANNABIS. A municipality, county, or other political
232	232	subdivision may not enact, adopt, or enforce a rule, ordinance,
233	233	order, resolution, or other regulation that prohibits the
234	234	cultivation, production, dispensing, or possession of medical
235	235	cannabis, as authorized by this chapter.
236	236	SECTION 3. Subtitle B, Title 3, Occupations Code, is
237	237	amended by adding Chapter 169A to read as follows:
238	238	CHAPTER 169A. AUTHORITY TO RECOMMEND MEDICAL CANNABIS TO CERTAIN
239	239	PATIENTS WITH ACUTE OR CHRONIC PAIN
240	240	Sec. 169A.001. DEFINITIONS. In this chapter:
241	241	(1) "Department" means the Department of Public
242	242	Safety.
243	243	(2) "Medical cannabis" means the plant Cannabis sativa
244	244	L., and any part of that plant or any compound, manufacture, salt,
245	245	derivative, mixture, preparation, resin, or oil of that plant that
246	246	contains:
247	247	(A) not more than 5 percent by weight of
248	248	tetrahydrocannabinols; and
249	249	(B) not less than 10 percent by weight of
250	250	cannabidiol.
251	251	(3) "Medical use" means the ingestion by a means of
252	252	administration other than by smoking of a recommended amount of
253	253	medical cannabis by a person for whom medical use is recommended
254	254	under this chapter.
255	255	(4) "Smoking" means burning or igniting a substance
256	256	and inhaling the smoke.
257	257	Sec. 169A.002. RECOMMENDATION OF MEDICAL USE. (a) A
258	258	physician may recommend medical use in accordance with this chapter
259	259	for a patient with acute or chronic pain.
260	260	(b) A physician who recommends medical use for a patient
261	261	must:
262	262	(1) comply with the registration requirements of
263	263	Section 169A.003; and
264	264	(2) certify to the department that:
265	265	(A) the patient has acute or chronic pain for
266	266	which a prescription of an opioid would be medically appropriate;
267	267	and
268	268	(B) the physician has determined that the risk of
269	269	medical use by the patient is reasonable in light of the potential
270	270	benefit for the patient and the risks of treating the pain with an
271	271	opioid.
272	272	Sec. 169A.003. RECOMMENDING PHYSICIAN REGISTRATION.
273	273	Before a physician may recommend medical use for a patient under
274	274	this chapter, the physician must register as the recommending
275	275	physician for that patient in the medical use registry maintained
276	276	by the department under Section 488.054, Health and Safety
277	277	Code. The physician's registration must indicate:
278	278	(1) the physician's name; and
279	279	(2) the patient's name and date of birth.
280	280	Sec. 169A.004. PATIENT TREATMENT PLAN. A physician who
281	281	recommends medical use for a patient under this chapter must
282	282	maintain a patient treatment plan that indicates:
283	283	(1) a plan for monitoring the patient's symptoms; and
284	284	(2) a plan for monitoring indicators of tolerance or
285	285	reaction to medical cannabis.
286	286	SECTION 4. Section 161.001(c), Family Code, is amended to
287	287	read as follows:
288	288	(c) A court may not make a finding under Subsection (b) and
289	289	order termination of the parent-child relationship based on
290	290	evidence that the parent:
291	291	(1) homeschooled the child;
292	292	(2) is economically disadvantaged;
293	293	(3) has been charged with a nonviolent misdemeanor
294	294	offense other than:
295	295	(A) an offense under Title 5, Penal Code;
296	296	(B) an offense under Title 6, Penal Code; or
297	297	(C) an offense that involves family violence, as
298	298	defined by Section 71.004 of this code;
299	299	(4) provided or administered low-THC cannabis to a
300	300	child for whom the low-THC cannabis was prescribed under Chapter
301	301	169, Occupations Code; [or]
302	302	(5) provided or administered medical cannabis to a
303	303	child for whom medical cannabis was recommended under Chapter 169A,
304	304	Occupations Code; or
305	305	(6) declined immunization for the child for reasons of
306	306	conscience, including a religious belief.
307	307	SECTION 5. Section 262.116(a), Family Code, is amended to
308	308	read as follows:
309	309	(a) The Department of Family and Protective Services may not
310	310	take possession of a child under this subchapter based on evidence
311	311	that the parent:
312	312	(1) homeschooled the child;
313	313	(2) is economically disadvantaged;
314	314	(3) has been charged with a nonviolent misdemeanor
315	315	offense other than:
316	316	(A) an offense under Title 5, Penal Code;
317	317	(B) an offense under Title 6, Penal Code; or
318	318	(C) an offense that involves family violence, as
319	319	defined by Section 71.004 of this code;
320	320	(4) provided or administered low-THC cannabis to a
321	321	child for whom the low-THC cannabis was prescribed under Chapter
322	322	169, Occupations Code; [or]
323	323	(5) provided or administered medical cannabis to a
324	324	child for whom medical cannabis was recommended under Chapter 169A,
325	325	Occupations Code; or
326	326	(6) declined immunization for the child for reasons of
327	327	conscience, including a religious belief.
328	328	SECTION 6. Section 481.062(a), Health and Safety Code, is
329	329	amended to read as follows:
330	330	(a) The following persons may possess a controlled
331	331	substance under this chapter without registering with the Federal
332	332	Drug Enforcement Administration:
333	333	(1) an agent or employee of a manufacturer,
334	334	distributor, analyzer, or dispenser of the controlled substance who
335	335	is registered with the Federal Drug Enforcement Administration and
336	336	acting in the usual course of business or employment;
337	337	(2) a common or contract carrier, a warehouseman, or
338	338	an employee of a carrier or warehouseman whose possession of the
339	339	controlled substance is in the usual course of business or
340	340	employment;
341	341	(3) an ultimate user or a person in possession of the
342	342	controlled substance under a lawful order of a practitioner or in
343	343	lawful possession of the controlled substance if it is listed in
344	344	Schedule V;
345	345	(4) an officer or employee of this state, another
346	346	state, a political subdivision of this state or another state, or
347	347	the United States who is lawfully engaged in the enforcement of a
348	348	law relating to a controlled substance or drug or to a customs law
349	349	and authorized to possess the controlled substance in the discharge
350	350	of the person's official duties;
351	351	(5) if the substance is tetrahydrocannabinol or one of
352	352	its derivatives:
353	353	(A) a Department of State Health Services
354	354	official, a medical school researcher, or a research program
355	355	participant possessing the substance as authorized under
356	356	Subchapter G; or
357	357	(B) a practitioner or an ultimate user possessing
358	358	the substance as a participant in a federally approved therapeutic
359	359	research program that the commissioner has reviewed and found, in
360	360	writing, to contain a medically responsible research protocol; [or]
361	361	(6) a dispensing organization licensed under Chapter
362	362	487 that possesses low-THC cannabis; or
363	363	(7) a dispensing organization licensed under Chapter
364	364	488 that possesses medical cannabis.
365	365	SECTION 7. Sections 481.111(e) and (f), Health and Safety
366	366	Code, are amended to read as follows:
367	367	(e) Sections 481.120, 481.121, 481.122, and 481.125 do not
368	368	apply to a person who engages in the acquisition, possession,
369	369	production, cultivation, delivery, or disposal of a raw material
370	370	used in or by-product created by the production or cultivation of
371	371	low-THC cannabis or medical cannabis if the person:
372	372	(1) for an offense involving possession only of
373	373	marihuana or drug paraphernalia, is a patient for whom low-THC
374	374	cannabis is prescribed under Chapter 169, Occupations Code, or the
375	375	patient's legal guardian, and the person possesses low-THC cannabis
376	376	obtained under a valid prescription from a dispensing organization;
377	377	[or]
378	378	(2) is a director, manager, or employee of a low-THC
379	379	cannabis dispensing organization and the person, solely in
380	380	performing the person's regular duties at the organization,
381	381	acquires, possesses, produces, cultivates, dispenses, or disposes
382	382	of:
383	383	(A) in reasonable quantities, any low-THC
384	384	cannabis or raw materials used in or by-products created by the
385	385	production or cultivation of low-THC cannabis; or
386	386	(B) any drug paraphernalia used in the
387	387	acquisition, possession, production, cultivation, delivery, or
388	388	disposal of low-THC cannabis;
389	389	(3) for an offense involving possession only of
390	390	marihuana or drug paraphernalia, is a patient for whom medical use
391	391	is recommended under Chapter 169A, Occupations Code; or
392	392	(4) is a director, manager, or employee of a medical
393	393	cannabis dispensing organization and the person, solely in
394	394	performing the person's regular duties at the organization,
395	395	acquires, possesses, produces, cultivates, dispenses, or disposes
396	396	of:
397	397	(A) in reasonable quantities, any medical
398	398	cannabis or raw materials used in or by-products created by the
399	399	production or cultivation of medical cannabis; or
400	400	(B) any drug paraphernalia used in the
401	401	acquisition, possession, production, cultivation, delivery, or
402	402	disposal of medical cannabis.
403	403	(f) For purposes of Subsection (e):
404	404	(1) ["Dispensing organization" has the meaning
405	405	assigned by Section 487.001.
406	406	[(2)] "Low-THC cannabis" has the meaning assigned by
407	407	Section 169.001, Occupations Code.
408	408	(2) "Low-THC cannabis dispensing organization" means
409	409	a dispensing organization as defined by Section 487.001.
410	410	(3) "Medical cannabis" and "medical use" have the
411	411	meanings assigned by Section 169A.001, Occupations Code.
412	412	(4) "Medical cannabis dispensing organization" means
413	413	a dispensing organization as defined by Section 488.001.
414	414	SECTION 8. Section 551.004, Occupations Code, is amended by
415	415	amending Subsection (a) and adding Subsection (a-1) to read as
416	416	follows:
417	417	(a) This subtitle does not apply to:
418	418	(1) a practitioner licensed by the appropriate state
419	419	board who supplies a patient of the practitioner with a drug in a
420	420	manner authorized by state or federal law and who does not operate a
421	421	pharmacy for the retailing of prescription drugs;
422	422	(2) a member of the faculty of a college of pharmacy
423	423	recognized by the board who is a pharmacist and who performs the
424	424	pharmacist's services only for the benefit of the college;
425	425	(3) a person who procures prescription drugs for
426	426	lawful research, teaching, or testing and not for resale;
427	427	(4) a home and community support services agency that
428	428	possesses a dangerous drug as authorized by Section 142.0061,
429	429	142.0062, or 142.0063, Health and Safety Code; [or]
430	430	(5) a low-THC cannabis dispensing organization[, as
431	431	defined by Section 487.001, Health and Safety Code,] that
432	432	cultivates, processes, and dispenses low-THC cannabis, as
433	433	authorized by a license issued under Subchapter C, Chapter 487,
434	434	Health and Safety Code, to a patient listed in the
435	435	compassionate-use registry established under that chapter; or
436	436	(6) a medical cannabis dispensing organization that
437	437	cultivates, processes, and dispenses medical cannabis, as
438	438	authorized by a license issued under Subchapter C, Chapter 488,
439	439	Health and Safety Code, to a patient listed in the medical use
440	440	registry established under that chapter.
441	441	(a-1) For purposes of Subsections (a)(5) and (6):
442	442	(1) "Low-THC cannabis dispensing organization" means
443	443	a dispensing organization as defined by Section 487.001, Health and
444	444	Safety Code.
445	445	(2) "Medical cannabis dispensing organization" means
446	446	a dispensing organization as defined by Section 488.001, Health and
447	447	Safety Code.
448	448	SECTION 9. Not later than January 1, 2020, the public safety
449	449	director of the Department of Public Safety shall adopt rules as
450	450	required to implement, administer, and enforce Chapter 488, Health
451	451	and Safety Code, as added by this Act, including rules to establish
452	452	the medical use registry required by that chapter.
453	453	SECTION 10. Section 481.0764(f), Health and Safety Code, as
454	454	added by this Act, applies only to a prescription issued on or after
455	455	January 1, 2020.
456	456	SECTION 11. This Act takes effect September 1, 2019.