Texas 2019 - 86th Regular

Texas House Bill HB4097 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	86R26070 JSC-D
2		-	By: Blanco, Moody, Romero, Jr. H.B. No. 4097
3		-	Substitute the following for H.B. No. 4097:
4		-	By: Zedler C.S.H.B. No. 4097
	1	+	86R3599 JSC-D
	2	+	By: Blanco H.B. No. 4097
5	3
6	4
7	5		A BILL TO BE ENTITLED
8	6		AN ACT
9	7		relating to the use of medical cannabis by veterans for
10	8		post-traumatic stress disorder and the licensing of associated
11	9		cultivating or dispensing organizations; authorizing fees.
12	10		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
13	11		SECTION 1. Subtitle C, Title 6, Health and Safety Code, is
14	12		amended by adding Chapter 488 to read as follows:
15	13		CHAPTER 488. MEDICAL CANNABIS FOR CERTAIN VETERANS
16	14		SUBCHAPTER A. GENERAL PROVISIONS
17	15		Sec. 488.001. DEFINITIONS. In this chapter:
18	16		(1) "Commission" means the Health and Human Services
19	17		Commission.
20	18		(2) "Cultivating or dispensing facility" means a
21	19		facility that:
22	20		(A) cultivates, processes, manufactures, or
23	21		dispenses medical cannabis under this chapter; and
24	22		(B) is owned or operated by a cultivating or
25	23		dispensing organization licensed under Subchapter C.
26	24		(3) "Cultivating or dispensing organization" means an
27	25		organization that cultivates, processes, manufactures, or
28	26		dispenses medical cannabis under this chapter.
29	27		(4) "Executive commissioner" means the executive
30	28		commissioner of the Health and Human Services Commission.
31	29		(5) "Historically underutilized business" has the
32	30		meaning assigned by Section 2161.001, Government Code.
33	31		(6) "Medical cannabis" means the plant Cannabis sativa
34	32		L. and any part of that plant or any compound, manufacture, salt,
35	33		derivative, mixture, preparation, resin, or oil of that plant.
36	34		(7) "Post-traumatic stress disorder" means a disorder
37	35		that:
38	36		(A) meets the diagnostic criteria for
39	37		posttraumatic stress disorder specified by the American
40	38		Psychiatric Association in the Diagnostic and Statistical Manual of
41	39		Mental Disorders, fifth edition, or a later edition adopted by the
42	40		executive commissioner; and
43	41		(B) results in an impairment of a person's
44	42		functioning in the person's community, employment, family, school,
45	43		or social group.
46	44		(8) "Psychoactive medication" means a medication that
47	45		is prescribed for the treatment of symptoms of psychosis or other
48	46		severe mental or emotional disorders and that is used to exercise an
49	47		effect on the central nervous system to influence and modify
50	48		behavior, cognition, or affective state when treating the symptoms
51	49		of mental illness. The term includes the following categories when
52	50		used as described by this subdivision:
53	51		(A) antipsychotics or neuroleptics;
54	52		(B) antidepressants;
55	53		(C) agents for control of mania or depression;
56	54		(D) antianxiety agents;
57	55		(E) sedatives, hypnotics, or other
58	56		sleep-promoting drugs; and
59	57		(F) psychomotor stimulants.
60	58		(9) "Veteran" means an individual who has served in:
61	59		(A) the army, navy, air force, coast guard, or
62	60		marine corps of the United States;
63	61		(B) the state military forces, as defined by
64	62		Section 431.001, Government Code; or
65	63		(C) a reserve component of the armed forces of
66	64		the United States.
67	65		Sec. 488.002. ADMINISTRATION BY COMMISSION; RULES. (a)
68	66		The commission shall administer this chapter.
69	67		(b) The executive commissioner shall adopt any rules
70	68		necessary for the administration and enforcement of this chapter.
71	69		SUBCHAPTER B. PURCHASE OF MEDICAL CANNABIS
72	70		Sec. 488.051. ELIGIBILITY; PURCHASER PERMIT REQUIRED. A
73	71		veteran suffering from post-traumatic stress disorder is eligible
74	72		to purchase medical cannabis from a cultivating or dispensing
75	73		facility if the veteran is issued a purchaser permit under this
76	74		subchapter.
77	75		Sec. 488.052. APPLICATION. A veteran may apply to the
78	76		commission for a purchaser permit by submitting a completed
79	77		application form as prescribed by the commission and:
80	78		(1) proof of the veteran's military service; and
81	79		(2) proof of the veteran's post-traumatic stress
82	80		disorder, including:
83	81		(A) a written diagnosis from a physician;
84	82		(B) the veteran's current prescription for a
85		-	psychoactive medication; or
	83	+	psychoactive medication; and
86	84		(C) any other proof acceptable to the commission
87	85		as provided by rule of the executive commissioner.
88	86		Sec. 488.053. ISSUANCE OF PERMIT. The commission shall
89	87		issue a purchaser permit to a veteran who submits an application
90	88		under Section 488.052 if the commission determines that the veteran
91	89		is eligible for the permit.
92	90		SUBCHAPTER C. CULTIVATING OR DISPENSING ORGANIZATION
93	91		Sec. 488.101. LICENSE REQUIRED. A cultivating or
94	92		dispensing organization may not cultivate, process, or dispense
95	93		medical cannabis for purposes of this chapter without a license
96	94		issued under this subchapter.
97	95		Sec. 488.102. ELIGIBILITY FOR LICENSE. To qualify for a
98	96		license under this subchapter, a cultivating or dispensing
99	97		organization must:
100		-	(1) for the purposes of research described by Section
101		-	488.103, have entered into a partnership with:
	98	+	(1) have entered into a partnership in connection with
	99	+	the establishment or operation of a cultivating or dispensing
	100	+	facility with:
102	101		(A) a health system that owns or operates a
103	102		health care facility with at least 200 beds;
104	103		(B) a public university in this state; or
105	104		(C) a registered clinical research organization;
106		-	(2) have sufficient net cash assets to ensure
107		-	financial stability and continued operations;
108		-	(3) have sufficient documented experience in the
109		-	cultivation, extraction, manufacturing, or dispensing of cannabis
110		-	in a jurisdiction in which cannabis is legal; and
111		-	(4) demonstrate experience in extraction and
	105	+	(2) show that a partnership described by Subdivision
	106	+	(1) has equity partners at least 50 percent of which must:
	107	+	(A) have experience in owning 15 or more private
	108	+	cannabis investments;
	109	+	(B) have experience in owning five or more
	110	+	private health care ventures; and
	111	+	(C) have resided in this state for five or more
	112	+	years;
	113	+	(3) have net cash assets that include an account with
	114	+	at least $5 million held at a financial institution as defined by
	115	+	Section 201.101, Finance Code; and
	116	+	(4) have a management and operations team that meets
	117	+	the requirements of Section 488.103.
	118	+	Sec. 488.103. ORGANIZATION OR FACILITY MANAGEMENT OR
	119	+	OPERATION TEAM. (a) At least one member of the cultivating or
	120	+	dispensing organization's governing authority or at least one
	121	+	manager of the organization's cultivating or dispensing facility
	122	+	must:
	123	+	(1) have at least three years' experience in legal
	124	+	cannabis operations;
	125	+	(2) have documented experience in the cultivation,
	126	+	extraction, manufacturing, or dispensing of cannabis in at least
	127	+	four jurisdictions in which cannabis is legal; and
	128	+	(3) with respect to an organization that cultivates or
	129	+	processes medical cannabis:
	130	+	(A) have experience overseeing at least five
	131	+	indoor or greenhouse cultivation and extraction facility
	132	+	operations with a total flowering canopy of not less than 100,000
	133	+	square feet; and
	134	+	(B) demonstrate experience in extraction and
112	135		refinement of medical cannabis to create products in tightly
113	136		controlled ratios of tetrahydrocannabinol and cannabidiol.
114		-	Sec. 488.103. MEDICAL CANNABIS RESEARCH. (a) To maintain
115		-	eligibility for a license under this subchapter, a cultivating or
116		-	dispensing organization in conjunction with the other entity in a
117		-	partnership described by Section 488.102(1) shall conduct research
118		-	on a continual basis to determine the potential risks and benefits
119		-	of medical cannabis as a treatment for post-traumatic stress
120		-	disorder.
121		-	(b) A cultivating or dispensing organization shall use the
122		-	research conducted under Subsection (a) to provide the optimal
123		-	ratios of tetrahydrocannabinol and cannabidiol for the treatment of
124		-	post-traumatic stress disorder.
125		-	(c) The cultivating or dispensing organization shall make
126		-	the findings, conclusions, data, and methodology of the research
127		-	conducted under Subsection (a) available for peer review.
	137	+	(b) The operating team of the cultivating or dispensing
	138	+	organization or a cultivating or dispensing facility of the
	139	+	organization must:
	140	+	(1) have at least six years' experience in legal
	141	+	cannabis operations, collectively; and
	142	+	(2) with respect to an organization that cultivates or
	143	+	processes medical cannabis, have overseen the growth of at least
	144	+	75,000 pounds of dry cannabis flower.
128	145		Sec. 488.104. LICENSE APPLICATION. (a) An eligible
129	146		cultivating or dispensing organization may apply for a license
130	147		under this subchapter by submitting an application, in the form
131	148		provided by the commission, along with the application fee
132	149		prescribed by Section 488.111.
133	150		(b) The application must:
134	151		(1) contain:
135	152		(A) the name and address of the applicant; and
136	153		(B) the name and address of each member of the
137	154		applicant's governing authority, as defined by Section 1.002,
138	155		Business Organizations Code;
139	156		(2) include a plan to hire a workforce for its
140	157		cultivating or dispensing facilities that, to the extent possible,
141	158		is composed of at least 33 percent veterans;
142	159		(3) include a plan to use technology and processes to
143	160		minimize water and electricity uses by the applicant's cannabis
144	161		cultivating and processing facilities while maintaining the
145	162		production of high quality medical cannabis;
146	163		(4) contain a detailed explanation of the applicant's
147	164		capability to cultivate and manufacture a sufficient amount of
148	165		quality-controlled medical cannabis to support the qualifying
149	166		veteran base in this state; and
150	167		(5) contain any other information considered
151	168		necessary by the commission to determine the applicant's
152	169		eligibility for the license.
153	170		Sec. 488.105. CRIMINAL HISTORY BACKGROUND CHECK. (a) An
154	171		applicant for the issuance or renewal of a license under this
155	172		subchapter shall provide to the Department of Public Safety the
156	173		applicant's name and the name of:
157	174		(1) each person who has a 20 percent equity interest in
158	175		the applicant; and
159	176		(2) each employee or prospective employee of each of
160	177		the applicant's cultivating or dispensing facilities.
161	178		(b) The Department of Public Safety shall conduct a criminal
162	179		history background check on each individual whose name is provided
163	180		to the department under Subsection (a). The public safety director
164	181		of the Department of Public Safety by rule shall:
165	182		(1) determine the manner by which an individual is
166	183		required to submit a complete set of fingerprints to the department
167	184		for purposes of a criminal history background check under this
168	185		section; and
169	186		(2) establish criteria for determining whether an
170	187		individual passes the criminal history background check for the
171	188		purposes of this section.
172	189		(c) After conducting a criminal history background check
173	190		under this section, the Department of Public Safety shall notify
174	191		the commission and the applicant organization or relevant facility
175	192		of the organization and the individual who is the subject of the
176	193		criminal history background check as to whether the individual
177	194		passed the criminal history background check.
178	195		Sec. 488.106. APPROVAL OR DENIAL OF APPLICATION. (a) The
179	196		commission shall approve the application and issue to the applicant
180	197		a license under this subchapter if the commission determines that:
181	198		(1) the applicant meets the eligibility requirements
182	199		of Section 488.102;
183	200		(2) the applicant satisfies any additional criteria
184	201		determined by the commission to be necessary to implement this
185	202		chapter; and
186	203		(3) issuance of the license is necessary to ensure
187	204		reasonable statewide access to, and the availability of, medical
188	205		cannabis for qualifying veterans under Subchapter B.
189	206		(b) The commission shall approve or deny the application not
190	207		later than the 120th day after the date of the filing of a completed
191	208		application with payment of the required fees under Section
192	209		488.111.
193	210		(c) If the commission denies the application, the
194	211		commission shall notify the applicant.
195	212		(d) If an applicant requests a hearing on the application
196	213		not later than the 30th day after the date of notification under
197	214		Subsection (c), the applicant is entitled to a hearing not later
198	215		than the 60th day after the date of the request.
199	216		Sec. 488.107. ORGANIZATION PREFERENCES. The commission
200	217		shall give preference to historically underutilized businesses in
201	218		the issuance or renewal of licenses under this subchapter.
202	219		Sec. 488.108. COMMENCEMENT OF OPERATIONS ON APPROVAL OF
203	220		APPLICATION. If an organization's application is approved, a
204	221		cultivating or dispensing facility owned or operated by the
205	222		organization shall commence operations in this state not later than
206	223		the 270th day after the date of the approval.
207	224		Sec. 488.109. DUTY TO MAINTAIN ELIGIBILITY. Each license
208	225		holder under this subchapter must maintain compliance at all times
209		-	with the eligibility requirements of Section 488.102 and continue
210		-	to perform the research required under Section 488.103.
	226	+	with the eligibility requirements of Section 488.102.
211	227		Sec. 488.110. TERM OF LICENSE; RENEWAL. (a) A license
212	228		issued or renewed under this subchapter expires on the second
213	229		anniversary of the date of issuance or renewal, as applicable.
214	230		(b) A license holder may apply for renewal of a license as
215	231		prescribed by rule of the executive commissioner.
216		-	Sec. 488.111. FEES. The executive commissioner by rule
	232	+	Sec. 488.111. FEES. (a) The executive commissioner by rule
217	233		shall set application and licensing fees under this subchapter in
218	234		amounts sufficient to cover the cost of administering and enforcing
219	235		this chapter.
	236	+	(b) In adopting rules under Subsection (a), the executive
	237	+	commissioner shall:
	238	+	(1) set an application fee in an amount that is at
	239	+	least $10,000 but not more than $25,000;
	240	+	(2) set an initial licensing fee in an amount that is
	241	+	at least $250,000 but not more than $1 million; and
	242	+	(3) set an annual licensing renewal fee in an amount
	243	+	that is at least $15,000 but not more than $25,000.
220	244		Sec. 488.112. LICENSE SUSPENSION OR REVOCATION. (a) The
221	245		commission may at any time suspend or revoke a license issued under
222	246		this subchapter if the commission determines that:
223	247		(1) the license holder has not maintained the
224		-	eligibility requirements described by Section 488.102 or continued
225		-	to perform research as required by Section 488.103;
	248	+	eligibility requirements described by Section 488.102;
226	249		(2) the license holder has failed to comply with this
227	250		chapter or a rule adopted under this chapter; or
228	251		(3) the license holder's cultivating or dispensing
229	252		facility has failed to comply with this chapter or a rule adopted
230	253		under this chapter.
231	254		(b) The commission shall give written notice to the license
232	255		holder of a license suspension or revocation under this section and
233	256		the grounds for the suspension or revocation. The notice must be
234	257		sent by certified mail, return receipt requested.
235	258		(c) After suspending or revoking a license issued under this
236	259		subchapter, the commission shall notify the public safety director
237	260		of the Department of Public Safety. The director may seize or place
238	261		under seal all medical cannabis and drug paraphernalia owned or
239	262		possessed by the license holder. If the commission orders the
240	263		revocation of the license, a disposition may not be made of the
241	264		seized or sealed medical cannabis or drug paraphernalia until the
242	265		time for administrative appeal of the order has elapsed or until all
243	266		appeals have been concluded. When a revocation order becomes
244	267		final, all medical cannabis and drug paraphernalia may be forfeited
245	268		to the state as provided under Subchapter E, Chapter 481.
246	269		(d) Chapter 2001, Government Code, applies to a proceeding
247	270		under this section.
248	271		SUBCHAPTER D. CULTIVATING AND MANUFACTURING PRACTICES
249	272		Sec. 488.151. POTENCY. Each medical cannabis product of a
250	273		cultivating or dispensing facility must consistently test within
251	274		five percent of the stated amount of tetrahydrocannabinol and
252	275		cannabidiol on the label of the product.
253	276		Sec. 488.152. SAFETY TESTING. (a) Medical cannabis
254	277		products of a cultivating or dispensing facility must be tested for
255	278		harmful substances, including microbials, pesticides, and residual
256	279		solvents.
257	280		(b) The executive commissioner shall consult with the
258	281		Department of Agriculture in adopting rules setting safety
259	282		standards for medical cannabis made available through a dispensary
260	283		under this chapter.
261	284		Sec. 488.153. GOOD MANUFACTURING PRACTICES. Medical
262	285		cannabis to be dispensed under this chapter must be produced using
263	286		good manufacturing practices, as defined by executive commissioner
264	287		rule.
265	288		SUBCHAPTER E. DISPENSING REGULATIONS
266	289		Sec. 488.201. FORM OF CANNABIS. (a) Medical cannabis may
267	290		be dispensed to veterans with a purchaser permit under Subchapter B
268	291		only as a pill, patch, oil, or other derivative form that may be
269	292		produced with consistent concentrations of tetrahydrocannabinol
270	293		and cannabidiol.
271	294		(b) Edible cannabis products may not be in shapes or forms
272	295		appealing to children.
273	296		Sec. 488.202. LABELING. Each product containing medical
274	297		cannabis dispensed under this chapter must bear a label that
275	298		clearly states the concentrations of tetrahydrocannabinol and
276	299		cannabidiol in the product.
277		-	SUBCHAPTER F. REQUIREMENTS FOR ~~LICENSE HOLDERS~~ AND FACILITIES
	300	+	SUBCHAPTER F. REQUIREMENTS FOR LICENSEES AND FACILITIES
278	301		Sec. 488.251. CHARITABLE DONATIONS. A license holder must
279	302		annually donate at least five percent of the license holder's net
280	303		profit to a nonprofit organization that focuses on getting veterans
281	304		access to treatment for post-traumatic stress disorder.
282	305		Sec. 488.252. LOCATION. A cultivating or dispensing
283	306		facility owned or operated by a license holder may not be located
284	307		within 1,000 feet of a primary or secondary school or day-care
285	308		center that exists on the date of the license holder's initial
286	309		application for licensure under Subchapter C.
287	310		SECTION 2. Section 481.062(a), Health and Safety Code, is
288	311		amended to read as follows:
289	312		(a) The following persons may possess a controlled
290	313		substance under this chapter without registering with the federal
291	314		[Federal] Drug Enforcement Administration:
292	315		(1) an agent or employee of a manufacturer,
293	316		distributor, analyzer, or dispenser of the controlled substance who
294	317		is registered with the federal [Federal] Drug Enforcement
295	318		Administration and acting in the usual course of business or
296	319		employment;
297	320		(2) a common or contract carrier, a warehouseman, or
298	321		an employee of a carrier or warehouseman whose possession of the
299	322		controlled substance is in the usual course of business or
300	323		employment;
301	324		(3) an ultimate user or a person in possession of the
302	325		controlled substance under a lawful order of a practitioner or in
303	326		lawful possession of the controlled substance if it is listed in
304	327		Schedule V;
305	328		(4) an officer or employee of this state, another
306	329		state, a political subdivision of this state or another state, or
307	330		the United States who is lawfully engaged in the enforcement of a
308	331		law relating to a controlled substance or drug or to a customs law
309	332		and authorized to possess the controlled substance in the discharge
310	333		of the person's official duties;
311	334		(5) if the substance is tetrahydrocannabinol or one of
312	335		its derivatives:
313	336		(A) a Department of State Health Services
314	337		official, a medical school researcher, or a research program
315	338		participant possessing the substance as authorized under
316	339		Subchapter G; or
317	340		(B) a practitioner or an ultimate user possessing
318	341		the substance as a participant in a federally approved therapeutic
319	342		research program that the commissioner has reviewed and found, in
320	343		writing, to contain a medically responsible research protocol; [or]
321	344		(6) a dispensing organization licensed under Chapter
322		-	487 that possesses low-THC cannabis;
	345	+	487 that possesses low-THC cannabis; or
323	346		(7) a cultivating or dispensing organization licensed
324		-	under Subchapter C, Chapter 488, that possesses medical cannabis;
325		-	or
326		-	(8) an entity described by Section 488.102(1) in
327		-	partnership with a cultivating or dispensing organization licensed
328		-	under Subchapter C, Chapter 488, that possesses medical cannabis
329		-	for the purpose of research conducted under Section 488.103.
	347	+	under Subchapter C, Chapter 488, that possesses medical cannabis.
330	348		SECTION 3. Sections 481.111(e) and (f), Health and Safety
331	349		Code, are amended to read as follows:
332	350		(e) Sections 481.120, 481.121, 481.122, and 481.125 do not
333	351		apply to a person who engages in the acquisition, possession,
334	352		production, cultivation, delivery, or disposal of a raw material
335	353		used in or by-product created by the production or cultivation of
336	354		low-THC cannabis or medical cannabis if the person:
337	355		(1) for an offense involving possession only of
338	356		marihuana or drug paraphernalia, is a patient for whom low-THC
339	357		cannabis is prescribed under Chapter 169, Occupations Code, or the
340	358		patient's legal guardian, and the person possesses low-THC cannabis
341	359		obtained under a valid prescription from a dispensing organization;
342	360		[or]
343	361		(2) is a director, manager, or employee of a low-THC
344	362		cannabis dispensing organization and the person, solely in
345	363		performing the person's regular duties at the organization,
346	364		acquires, possesses, produces, cultivates, dispenses, or disposes
347	365		of:
348	366		(A) in reasonable quantities, any low-THC
349	367		cannabis or raw materials used in or by-products created by the
350	368		production or cultivation of low-THC cannabis; or
351	369		(B) any drug paraphernalia used in the
352	370		acquisition, possession, production, cultivation, delivery, or
353	371		disposal of low-THC cannabis;
354	372		(3) for an offense involving possession only of
355	373		marihuana or drug paraphernalia, is a patient who holds a purchaser
356		-	permit under Subchapter B, Chapter 488;
	374	+	permit under Subchapter B, Chapter 488; or
357	375		(4) is a member of the governing authority, as defined
358	376		by Section 1.002, Business Organizations Code, or a manager or
359	377		employee of a medical cannabis cultivating or dispensing
360	378		organization or facility and the person, solely in performing the
361	379		person's duties at the organization or facility, acquires,
362	380		possesses, produces, cultivates, delivers, or disposes of:
363		-	(A) in reasonable quantities, any medical
364		-	cannabis or raw materials used in or by-products created by the
365		-	production or cultivation of medical cannabis; or
366		-	(B) any drug paraphernalia used in the
367		-	acquisition, possession, production, cultivation, delivery, or
368		-	disposal of medical cannabis; or
369		-	(5) is a person associated with an entity described by
370		-	Section 488.102(1) in partnership with a medical cannabis
371		-	cultivating or dispensing organization and solely in the
372		-	performance of the person's duties performing research under
373		-	Section 488.103, the person acquires, possesses, produces,
374		-	cultivates, delivers, or disposes of:
375	381		(A) in reasonable quantities, any medical
376	382		cannabis or raw materials used in or by-products created by the
377	383		production or cultivation of medical cannabis; or
378	384		(B) any drug paraphernalia used in the
379	385		acquisition, possession, production, cultivation, delivery, or
380	386		disposal of medical cannabis.
381	387		(f) For purposes of Subsection (e):
382	388		(1) ["Dispensing organization" has the meaning
383	389		assigned by Section 487.001.
384	390		[(2)] "Low-THC cannabis" has the meaning assigned by
385	391		Section 169.001, Occupations Code.
386	392		(2) "Low-THC cannabis dispensing organization" means
387	393		a dispensing organization as defined by Section 487.001.
388	394		(3) "Medical cannabis" has the meaning assigned by
389	395		Section 488.001.
390	396		(4) "Medical cannabis cultivating or dispensing
391	397		organization" means an organization licensed under Subchapter C,
392	398		Chapter 488.
393	399		SECTION 4. Section 551.004, Occupations Code, is amended by
394	400		amending Subsection (a) and adding Subsection (a-1) to read as
395	401		follows:
396	402		(a) This subtitle does not apply to:
397	403		(1) a practitioner licensed by the appropriate state
398	404		board who supplies a patient of the practitioner with a drug in a
399	405		manner authorized by state or federal law and who does not operate a
400	406		pharmacy for the retailing of prescription drugs;
401	407		(2) a member of the faculty of a college of pharmacy
402	408		recognized by the board who is a pharmacist and who performs the
403	409		pharmacist's services only for the benefit of the college;
404	410		(3) a person who procures prescription drugs for
405	411		lawful research, teaching, or testing and not for resale;
406	412		(4) a home and community support services agency that
407	413		possesses a dangerous drug as authorized by Section 142.0061,
408	414		142.0062, or 142.0063, Health and Safety Code; [or]
409	415		(5) a low-THC cannabis dispensing organization[, as
410	416		defined by Section 487.001, Health and Safety Code,] that
411	417		cultivates, processes, and dispenses low-THC cannabis, as
412	418		authorized by a license issued under Subchapter C, Chapter 487,
413	419		Health and Safety Code, to a patient listed in the
414	420		compassionate-use registry established under that chapter; or
415	421		(6) a medical cannabis cultivating or dispensing
416	422		organization that cultivates, manufactures, or dispenses medical
417	423		cannabis, as authorized by a license issued under Subchapter C,
418	424		Chapter 488, Health and Safety Code, to a patient who holds a
419	425		purchaser permit under Subchapter B of that chapter.
420	426		(a-1) For purposes of Subsections (a)(5) and (6):
421	427		(1) "Low-THC cannabis dispensing organization" means
422	428		a dispensing organization as defined by Section 487.001, Health and
423	429		Safety Code.
424	430		(2) "Medical cannabis cultivating or dispensing
425	431		organization" means an organization licensed under Subchapter C,
426	432		Chapter 488, Health and Safety Code.
427	433		SECTION 5. Not later than July 1, 2020, the executive
428	434		commissioner of the Health and Human Services Commission shall
429	435		adopt all rules necessary to administer Chapter 488, Health and
430	436		Safety Code, as added by this Act, and provide copies of
431	437		applications for prospective cultivating or dispensing
432	438		organization licensees.
433	439		SECTION 6. After September 1, 2020, but not later than
434	440		January 1, 2021, the Health and Human Services Commission shall
435	441		begin accepting applications under Chapter 488, Health and Safety
436	442		Code, as added by this Act.
437	443		SECTION 7. This Act takes effect September 1, 2019.