Amended
IN
Senate
June 27, 2021 |
Amended
IN
Assembly
February 18, 2021 |
Introduced by Committee on Budget (Assembly Members Ting (Chair), Arambula, Bennett, Bloom, Carrillo, Chiu, Cooper, Frazier, Friedman, Cristina Garcia, Jones-Sawyer, Lee, McCarty, Medina, Mullin, Nazarian, O’Donnell, Ramos, Reyes, Luz Rivas, Blanca Rubio, Stone, and Wood) |
January 08, 2021 |
This bill would express the intent of the Legislature to enact statutory changes, relating to the Budget Act of 2021.
(f)The Bureau of Cannabis Control shall disclose information on its licensees.
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(am)The Bureau of Cannabis Control.
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(27)Bureau of Cannabis Control.
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(e)“Bureau” means the Bureau of Cannabis Control within the Department of Consumer Affairs, formerly named the Bureau of Marijuana Control, the Bureau of Medical Cannabis Regulation, and the Bureau of Medical Marijuana Regulation.
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(ah)“Manufacturer” means a licensee that conducts the production, preparation, propagation, or compounding of cannabis or cannabis products either directly or indirectly or by extraction methods, or independently by means of chemical synthesis, or by a combination of extraction and chemical synthesis at a fixed location that packages or repackages cannabis or cannabis products or labels or relabels its container.
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In addition to the definitions listed in Section 26001, for purposes of this division, “microbusiness” means a person holding a license issued under paragraph (3) of subdivision (a) of Section 26070.
(e)The bureau and the director shall succeed to and are vested with all the duties, powers, purposes, responsibilities, and jurisdiction formerly vested in the Bureau of Marijuana Control, also formerly known as the Bureau of Medical Cannabis Regulation and the Bureau of Medical Marijuana Regulation, under the former Medical Cannabis Regulation and Safety Act (former Chapter 3.5 (commencing with Section 19300) of Division 8).
(f)Upon the effective date of this section, whenever “Bureau of Marijuana Control,” “Bureau of Medical Cannabis Regulation,” or “Bureau of Medical Marijuana Regulation” appears in any statute, regulation, or contract, or in any other code, it shall be construed to refer to the bureau.
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(a)It being a matter of statewide concern, except as otherwise authorized in this division:
(1)The bureau
(2)The Department of Food and Agriculture shall administer the provisions of this division related to and associated with the cultivation of cannabis. The Department of Food and Agriculture shall have the authority to create, issue, deny, and suspend or revoke cultivation licenses for violations of this division.
(3)The State Department of Public Health shall administer the provisions of this division related to and associated with the manufacturing of cannabis products. The State Department of Public Health shall have the authority to create, issue, deny, and suspend or revoke manufacturing licenses for violations of this division.
(d)Licensing authorities shall begin issuing licenses under this division by January 1, 2018.
(e)Upon suspension or revocation of a license, the licensing authority shall inform the bureau. The bureau shall then inform all other licensing authorities. Upon any other enforcement action against a licensee, the licensing authority shall notify all other licensing authorities.
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(a)A licensing authority shall give priority in issuing licenses under this division to applicants that can demonstrate to the authority’s satisfaction that the applicant operated in compliance with the Compassionate Use Act of 1996 (Section 11362.5 of the Health and Safety Code) and its implementing laws before September 1, 2016.
(b)The licensing authorities shall request that local jurisdictions identify for the licensing authorities potential applicants for licensure based on the applicants’ prior operation in the local jurisdiction in compliance with state law, including the Compassionate Use Act of 1996 (Section 11362.5 of the Health and Safety Code) and its implementing laws, and any applicable local laws.
(c)In addition to or in lieu of the information described in subdivision (b), an applicant may furnish other evidence as deemed appropriate by the licensing authority to demonstrate operation in compliance with the Compassionate Use Act of 1996 (Section 11362.5 of the Health and Safety Code). The licensing authorities may accept such evidence to demonstrate eligibility for the priority provided for in subdivision (a).
(d)This section shall cease to be operative on December 31, 2019, unless otherwise provided by law.
(3)The bureau shall share the information required by this subdivision with the other licensing authorities.
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(a) (1) For the purposes of this division, cannabis is an agricultural product.(a)Regulations issued by
(c)The Department of Food and Agriculture shall serve as the lead agency for purposes of the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code) related to the licensing of cannabis cultivation.
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(B)The department shall immediately inform the bureau upon the finding of an irregularity or suspicious finding related to a licensee, applicant, or commercial cannabis activity for investigatory purposes.
(5)The department shall be authorized to enter into memoranda of understandings with licensing authorities for data sharing purposes, as deemed necessary by the department.
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(a)The department shall establish a Cannabis Cultivation Program to be administered by the secretary. The secretary shall administer this section as it pertains to the cultivation of cannabis. For purposes of this division, cannabis is an agricultural product.
(b)A person or entity shall not cultivate cannabis without first obtaining a state license issued by the department pursuant to this division.
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(E)The department may promulgate regulations to implement this section.
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(e)(1)This
(2)Subdivision (b) does not apply to persons or entities licensed under subdivision (b) of Section 26070.5.
For purposes of this chapter:
(a)“Department” means the Department of Food and Agriculture.
(b)“Secretary” means the Secretary of Food and Agriculture.
(C)The bureau may enter into interagency agreements with licensing authorities to implement and enforce the provisions of this division related to microbusinesses. The costs of activities carried out by the licensing authorities as requested by the bureau pursuant to the interagency agreement shall be calculated into the application and licensing fees collected pursuant to this division, and shall provide for reimbursement to state agencies for associated costs as provided for in the interagency agreement.
(l)Beginning January 1, 2018, a licensee may sell cannabis or cannabis products that have not been tested for a limited and finite time as determined by the bureau. The cannabis or cannabis products must have a label affixed to each package containing the cannabis or cannabis products that clearly states “This product has not been tested as required by the Medicinal and Adult-Use Cannabis Regulation and Safety Act” and must comply with any other requirement as determined by the bureau.
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(1) Manufactured,
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(h) When, under
(i)The State Department of Public Health may condemn a cannabis product under provisions of this division. The cannabis product shall be destroyed at the expense of the licensee or owner.
(a)The State Department of Public Health may issue a citation, which may contain an order of abatement and an order to pay an administrative fine assessed by the department if the licensee is in violation of this division or any regulation adopted pursuant to it.
(1)Citations shall be in writing and shall describe with particularity the nature of the violation, including specific reference to the law determined to have been violated.
(2)If appropriate, the citation shall contain an order of abatement fixing a reasonable time for abatement of the violation.
(3)The administrative fine assessed by the State Department of Public Health
shall not exceed five thousand dollars ($5,000) for each violation, unless a different fine amount is expressly provided by this division. In assessing a fine, the department shall give due consideration to the appropriateness of the amount of the fine with respect to factors such as the gravity of the violation, the good faith of the licensee, and the history of previous violations.
(4)A citation issued or a fine assessed pursuant to this section shall notify the licensee that if the licensee desires a hearing to contest the finding of a violation, that hearing shall be requested by written notice to the State Department of Public Health within 30 days of the date of issuance of the citation or fine. If a hearing is not requested pursuant to this section, payment of any fine shall not constitute an admission of the violation charged. Hearings shall be held pursuant to Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title
2 of the Government Code.
(5)Failure of a licensee to pay a fine within 30 days of the date of assessment of the fine, unless assessment of the fine or the citation is being appealed, may result in further legal action being taken by the State Department of Public Health. If a licensee does not contest a citation or pay the fine, the full amount of the fine shall be added to the fee for renewal of the license. A license shall not be renewed without payment of the renewal fee, including the amount of the fine.
(6)A citation may be issued without the assessment of an administrative fine.
(7)The State Department of Public Health may limit the assessment of administrative fines to only particular violations of this division and establish any other requirement for implementation of the citation system by
regulation.
(b)Notwithstanding any other law, if a fine is paid to satisfy an assessment based on the finding of a violation, payment of the fine shall be represented as satisfactory resolution of the matter for purposes of public disclosure.
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(e)The bureau may enter into an interagency agreement with the Governor’s Office of Business and Economic Development to administer this section on its behalf.
(f)(1)All powers and authority granted to the bureau in this section are also granted to the Governor’s Office of Business and Economic Development to carry out the purposes of this section.
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(B)This paragraph shall remain in effect only until July 1, 2021, and as of that date is repealed.
(a)In coordination with the other licensing authorities, serve as a point of contact for local equity programs.
(d)“Bureau” means the Bureau of Cannabis Control within the Department of Consumer Affairs.
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It is the intent of the Legislature to enact statutory changes, relating to the Budget Act of 2021.