By: Perry S.B. No. 1505
(In the Senate - Filed February 20, 2025;
February 26, 2025, read first time and referred to Committee on
State Affairs; March 17, 2025, reported favorably by the following
vote: Yeas 11, Nays 0; March 17, 2025, sent to printer.)
Click here to see the committee vote
A BILL TO BE ENTITLED
AN ACT
relating to the medical use of low-THC cannabis under and the
administration of the Texas Compassionate-Use Program.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 487.101, Health and Safety Code, is
amended to read as follows:
Sec. 487.101. LICENSE REQUIRED. (a) A license issued by
the department under this chapter is required to operate a
dispensing organization.
(b) A dispensing organization licensed under this chapter
is not required to apply for an additional license for the use of a
satellite location for secure storage of low-THC cannabis if:
(1) the address of the satellite location was included
in the application; or
(2) the dispensing organization obtains approval from
the department under Section 487.1035.
SECTION 2. Section 487.103(b), Health and Safety Code, is
amended to read as follows:
(b) The application must include:
(1) the name and address of the applicant;
(2) [,] the name and address of each of the applicant's
directors, managers, and employees;
(3) the address of any satellite location that will be
used by the applicant for secure storage of low-THC cannabis under
Section 487.1035;[,] and
(4) any other information considered necessary by the
department to determine the applicant's eligibility for the
license.
SECTION 3. Subchapter C, Chapter 487, Health and Safety
Code, is amended by adding Section 487.1035 to read as follows:
Sec. 487.1035. SATELLITE LOCATIONS. (a) A dispensing
organization licensed under this chapter may operate one or more
satellite locations in addition to the organization's primary
location to securely store low-THC cannabis for distribution.
(b) A satellite location must be approved by the department
before a dispensing organization may operate the location. A
dispensing organization may apply for approval in the form and
manner prescribed by the department.
(c) The department shall adopt rules regarding the design
and security requirements for satellite locations.
SECTION 4. Section 487.104, Health and Safety Code, is
amended by adding Subsections (d) and (e) to read as follows:
(d) The department may issue not more than six licenses
under this section for dispensing organizations in this state.
(e) The department shall issue and renew licenses under this
section in a manner that ensures adequate access to low-THC
cannabis for patients registered in the compassionate-use registry
in each public health region designated under Section 121.007.
SECTION 5. Subchapter C, Chapter 487, Health and Safety
Code, is amended by adding Section 487.1045 to read as follows:
Sec. 487.1045. REQUIREMENT OF LICENSE HOLDER TO BEGIN AND
MAINTAIN OPERATIONS. (a) An applicant issued a license to operate
a dispensing organization must begin dispensing low-THC cannabis
not later than 24 months after the date the license is issued and
continue dispensing low-THC cannabis during the term of a license
issued under this subchapter.
(b) The department shall adopt rules to:
(1) monitor whether a dispensing organization is using
a license issued under this subchapter to dispense low-THC
cannabis; and
(2) revoke the license of a dispensing organization
that does not dispense low-THC cannabis within the time required by
this section or that discontinues dispensing low-THC cannabis
during the term of a license.
SECTION 6. Section 487.107, Health and Safety Code, is
amended by adding Subsection (c) to read as follows:
(c) A dispensing organization may not dispense to a person
low-THC cannabis in a package or container that contains more than a
total of 300 milligrams of tetrahydrocannabinols.
SECTION 7. Section 487.201, Health and Safety Code, is
amended to read as follows:
Sec. 487.201. COUNTIES AND MUNICIPALITIES MAY NOT PROHIBIT
LOW-THC CANNABIS. A municipality, county, or other political
subdivision may not enact, adopt, or enforce a rule, ordinance,
order, resolution, or other regulation that prohibits the
cultivation, production, storage, dispensing, or possession of
low-THC cannabis, as authorized by this chapter.
SECTION 8. Sections 169.001(3), (4), and (5), Occupations
Code, are amended to read as follows:
(3) "Low-THC cannabis" means the plant Cannabis sativa
L., and any part of that plant or any compound, manufacture, salt,
derivative, mixture, preparation, resin, or oil of that plant that
contains not more than five milligrams [one percent by weight] of
tetrahydrocannabinols in each dosage unit.
(4) "Medical use" means the ingestion, absorption, or
insertion by a means of administration other than by smoking of a
prescribed amount of low-THC cannabis by a person for whom low-THC
cannabis is prescribed under this chapter.
(5) "Smoking" means burning or igniting a substance
and inhaling the smoke. The term does not include inhaling a
medication or other substance that is otherwise aerosolized or
vaporized for administration by pulmonary inhalation.
SECTION 9. Section 169.003, Occupations Code, is amended to
read as follows:
Sec. 169.003. PRESCRIPTION OF LOW-THC CANNABIS. (a) A
physician described by Section 169.002 may prescribe low-THC
cannabis to a patient if:
(1) the patient is a permanent resident of the state;
(2) the physician complies with the registration
requirements of Section 169.004; and
(3) the physician certifies to the department that:
(A) the patient is diagnosed with:
(i) epilepsy;
(ii) a seizure disorder;
(iii) multiple sclerosis;
(iv) spasticity;
(v) amyotrophic lateral sclerosis;
(vi) autism;
(vii) cancer;
(viii) an incurable neurodegenerative
disease;
(ix) post-traumatic stress disorder; or
(x) a medical condition that is approved
for a research program under Subchapter F, Chapter 487, Health and
Safety Code, and for which the patient is receiving treatment under
that program; and
(B) the physician determines the risk of the
medical use of low-THC cannabis by the patient is reasonable in
light of the potential benefit for the patient.
(b) Each prescription issued by a physician to a patient for
low-THC cannabis may only provide for a 90-day supply of low-THC
cannabis based on the dosage prescribed to the patient.
SECTION 10. Chapter 169, Occupations Code, is amended by
adding Section 169.006 to read as follows:
Sec. 169.006. ADMINISTRATION OF LOW-THC CANNABIS BY
PULMONARY INHALATION. (a) A physician may prescribe pulmonary
inhalation of an aerosol or vapor as a means of administration of
low-THC cannabis if the physician determines that based on the
patient's condition there is a medical necessity for that means of
administration.
(b) The executive commissioner of the Health and Human
Services Commission shall adopt rules related to medical devices
for pulmonary inhalation of low-THC cannabis.
SECTION 11. Not later than October 1, 2025:
(1) the Department of Public Safety shall adopt the
rules necessary to implement Sections 487.1035 and 487.1045, Health
and Safety Code, as added by this Act; and
(2) the executive commissioner of the Health and Human
Services Commission shall adopt the rules necessary to implement
Section 169.006, Occupations Code, as added by this Act.
SECTION 12. This Act takes effect September 1, 2025.
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