Fiscal Note
3rd Sub. H.B. 54 (Cherry)
2025 General Session
Cannabinoid Amendments
by Dailey-Provost, Jennifer
(Vickers, Evan J.)
General, Income Tax, and Uniform School Funds JR4-4-101
Ongoing One-time Total
Net GF/ITF/USF (rev.-exp.) $0 $0 $0
State Government UCA 36-12-13(2)(c)
Revenues FY 2025 FY 2026 FY 2027
Qualified Production Enterprise
Fund
$0 $18,000 $18,000
Total Revenues $0 $18,000 $18,000
Enactment of this Legislation could increase revenues to the Qualified Production Enterprise Fund by
$18,000 ongoing beginning in FY 2026 from issuing 2 additional pharmacy licenses per year and also
reducing the price of the rural pharmacy license.
Expenditures FY 2025 FY 2026 FY 2027
Cannabinoid Proceeds Restricted
Account (GFR)
$0 $(500) $(500)
Cannabinoid Proceeds Restricted
Account (GFR), One-time
$0 $3,600 $0
Qualified Production Enterprise
Fund
$0 $190,200 $190,200
Qualified Production Enterprise
Fund, One-time
$0 $900 $0
Total Expenditures $0 $194,200 $189,700
Enactment of this Legislation could reduce expenditures by the Department of Agriculture and Food
(UDAF) by $500 ongoing from the Cannabinoid Proceeds Restricted Account beginning in FY 2026
from an estimated reduction of 11 hours annually spent processing unique producer registration types.
This Legislation could also cost the department $3,600 one-time in FY 2026 for rule making costs,
which the agency can absorb. Enactment may also cost UDAF $900 one-time and $190,200 ongoing
starting in FY 2026 from the Qualified Production Enterprise Fund to inspect additional medical
cannabis pharmacy locations, to contract with an administrative law judge, and for rule making.
FY 2025 FY 2026 FY 2027
Net All Funds $0 $(176,200) $(171,700)
3rd Sub. H.B. 54 (Cherry)
2025/03/07 12:28, Lead Analyst: Lacey Moore, Attorney: Williams, C. Local Government UCA 36-12-13(2)(c)
Enactment of this legislation likely will not result in direct, measurable costs for local governments.
Individuals & Businesses UCA 36-12-13(2)(c)
Enactment of this Legislation could cost two businesses who apply for and are selected to receive an
independent medical cannabis pharmacy license $100,500 in aggregate in FY 2026 for licensure from
the Department of Agriculture and Food. Enactment could also reduce license fees paid by current
licensees of rural pharmacies an estimated $82,500 in aggregate.
Regulatory Impact UCA 36-12-13(2)(d)
Enactment of this legislation could result in a small increase in the regulatory burden for Utah residents
or businesses.
Performance Evaluation JR1-4-601
This bill does not create a new program or significantly expand an existing program.
Notes on Notes
Fiscal explanations estimate the direct costs or revenues of enacting a bill. The Legislature uses them to balance the budget. They do not
measure a bill's benefits or non-fiscal impacts like opportunity costs, wait times, or inconvenience. A fiscal explanation is not an appropriation. The
Legislature decides appropriations separately.
3rd Sub. H.B. 54 (Cherry)
2025/03/07 12:28, Lead Analyst: Lacey Moore, Attorney: Williams, C.