Bill Text: CA SB1262 | 2013-2014 | Regular Session | Amended
Bill Title: Medical marijuana.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Engrossed - Dead) 2014-08-14 - Set, second hearing. Held under submission. [SB1262 Detail]
Download: California-2013-SB1262-Amended.html
BILL NUMBER: SB 1262 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY AUGUST 4, 2014
AMENDED IN ASSEMBLY JULY 2, 2014
AMENDED IN ASSEMBLY JUNE 15, 2014
AMENDED IN SENATE MAY 27, 2014
AMENDED IN SENATE MAY 7, 2014
AMENDED IN SENATE APRIL 21, 2014
INTRODUCED BY Senator Correa
(Principal coauthor: Assembly Member Ammiano)
FEBRUARY 21, 2014
An act to amend Section 2220.05 of, to add Article 25 (commencing
with Section 2525) to Chapter 5 of Division 2 of, and to add Part 5
(commencing with Section 18100) to Division 7 of, the Business and
Professions Code, to add Section 23028 to the Government Code,
and to amend Section 11362.775 of, and to add Article 8
(commencing with Section 111658) to Chapter 6 of Part 5 of Division
104 of of, the Health and Safety Code,
relating to medical marijuana, and making an appropriation therefor.
LEGISLATIVE COUNSEL'S DIGEST
SB 1262, as amended, Correa. Medical marijuana:
regulation of physicians, dispensaries, cultivation sites, and
processing facilities. marijuana.
(1) Existing law, the Compassionate Use Act of 1996, an initiative
measure enacted by the approval of Proposition 215 at the November
6, 1996, statewide general election, authorizes the use of marijuana
for medical purposes. Existing law enacted by the Legislature
requires the establishment of a program for the issuance of
identification cards to qualified patients so that they may lawfully
use marijuana for medical purposes, and requires the establishment of
guidelines for the lawful cultivation of marijuana grown for medical
use. Existing law provides for the licensure of various professions
by the Department of Consumer Affairs. Existing law, the Sherman
Food, Drug, and Cosmetic Law, provides for the regulation of food,
drugs, devices, and cosmetics, as specified. A violation of that law
is a crime.
This bill would establish within the Department of Consumer
Affairs a Bureau of Medical Marijuana Regulation , under the
supervision and control of the Chief of the Bureau of Medical
Marijuana Regulation, as specified, to license dispensing
facilities, cultivation sites, and processing facilities
manufacturers that , among other things,
provide, process, and grow medical marijuana
for medical use , as specified, subject to local
ordinances . The bill would require every city, county, or city
and county that permits medical marijuana dispensing or cultivation
to submit to the bureau a list of approved entities providing medical
marijuana within that jurisdiction. The bill would require the
bureau to adopt regulations for the implementation and enforcement of
these provisions, specifically relating to procedures for licensing,
fees for licenses, and sanitation . The bill would require a
background check of applicants for licensure to be administered by
the Department of Justice , and submission of a statement signed
by an applicant, under penalty of perjury, that the information on
his or her application is true, thereby creating a crime and imposing
a state-mandated local program . The bill would make these
licenses subject to the restrictions of the local jurisdiction in
which the facility operates or proposes to operate. The bill would,
among other things, require licensees to implement sufficient
security measures to both deter and prevent unauthorized entrance
into areas containing marijuana and theft of marijuana at their
facilities, including establishing limited access areas accessible
only to authorized facility personnel, and would require these
licensees to notify appropriate law enforcement authorities within 24
hours after discovering specified breaches in security. The bill
would set forth provisions related to the transportation, testing,
and distribution of medical marijuana. The bill would set
forth provisions for the revocation or suspension of a license for a
violation of these provisions or of local ordinances , and
would require the bureau to make recommendations to the Legislature
pertaining to the establishment of a judicial review process
. The bill would prohibit the distribution of any form of
advertising for physician recommendations for medical marijuana,
unless the advertisement bears a specified notice and requires that
the advertisement meet specified requirements and not be fraudulent,
deceitful, or misleading, as specified. Violation of these provisions
would be punishable by a civil fine of up to $35,000 for each
individual violation, or as otherwise specified.
The bill would establish the Medical Marijuana Regulation Fund and
would require the deposit of fees collected pursuant to this act
into the fund. The bill would continuously appropriate moneys from
the fund to the bureau for the purposes of administering this act,
thereby making an appropriation. The bill would require the deposit
of penalty moneys collected pursuant to this act into the General
Fund.
The bill would provide that it shall not supersede provisions of
Measure D, as approved by the voters of the City of Los Angeles, as
specified.
The bill would require the bureau
authorize a city, county, or city and county to administer and
enforce these provisions. The bill would require the bureau to
establish quality assurance protocols by July 1, 2016, to ensure
uniform testing standards of medical marijuana, and would require
licensees to comply with these provisions. The bill would further set
forth provisions regulating edible medical marijuana
products, as specified. By adding these provisions to the Sherman
Food, Drug, and Cosmetic Law, a violation of which is a crime, the
bill would impose a state-mandated local program.
(2) Existing law, the Medical Practice Act, provides for the
licensure and regulation of physicians and surgeons by the Medical
Board of California. Existing law requires the board to prioritize
investigations and prosecutions of physicians and surgeons
representing the greatest threat of harm, as specified. Existing law
identifies the cases that are to be given priority, which include
cases of repeated acts of excessively prescribing, furnishing, or
administering controlled substances without a good faith prior
examination of the patient. Existing law provides that a violation of
the Medical Practice Act is a crime.
This bill would require the board to consult with the Center for
Medicinal Cannabis Research on developing and adopting medical
guidelines for the appropriate administration and use of marijuana.
The bill would also make it a misdemeanor for a physician and
surgeon who recommends marijuana to a patient for a medical purpose
to accept, solicit, or offer any remuneration from or to a licensed
dispensing facility in which the physician and surgeon or his or her
immediate family has a financial interest. By creating a new crime,
the bill would impose a state-mandated local program.
The bill would provide that specified acts of recommending
marijuana for medical purposes without a good faith
examination are among the types of cases that should be given
priority for investigation and prosecution by the board, as described
above. The bill would further prohibit a physician and surgeon from
recommending medical marijuana to a patient unless that person is the
patient's attending physician, as defined. Because a violation of
that provision would be a crime, the bill would impose a
state-mandated local program.
(3) Existing law authorizes the legislative body of a city or
county to impose various taxes, including a transactions and use tax
at a rate of 0.25%, or a multiple thereof, if approved by the
required vote of the legislative body and the required vote of
qualified voters, and limits the combined rate of transactions and
use taxes within a city or county to 2%.
This bill would authorize the board of supervisors of a county to
impose a tax on the privilege of cultivating, dispensing, producing,
processing, preparing, storing, providing, donating, selling, or
distributing marijuana or products containing marijuana. The bill
would authorize the tax to be imposed for either general or specific
governmental purposes. The bill would require a tax imposed pursuant
to this authority to be subject to any applicable voter approval
requirement.
(4) Existing law exempts qualified patients, persons with valid
identification cards, and the designated primary caregivers of
qualified patients and persons with identification cards from certain
crimes, including possession of concentrated cannabis and marijuana,
cultivation of marijuana, and possession of marijuana for sale.
This bill would also exempt from those crimes an employee,
officer, or board member of a licensed cultivation site or a licensed
dispensing facility, except as specified.
(4)
(5) This bill would provide that its provisions are
severable.
(5)
(6) Existing constitutional provisions require that a
statute that limits the right of access to the meetings of public
bodies or the writings of public officials and agencies be adopted
with findings demonstrating the interest protected by the limitation
and the need for protecting that interest.
This bill would make legislative findings to that effect.
(6)
(7) The California Constitution requires the state to
reimburse local agencies and school districts for certain costs
mandated by the state. Statutory provisions establish procedures for
making that reimbursement.
This bill would provide that no reimbursement is required by this
act for a specified reason.
Vote: majority. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. The Legislature finds and declares all of the
following:
(a) In 1996, the people of the State of California enacted the
Compassionate Use Act of 1996, codified in Section 11362.5 of the
Health and Safety Code. The people of the State of California
declared that their purpose in enacting the measure was, among other
things, "to ensure that seriously ill Californians have the right to
obtain and use marijuana for medical purposes where that medical use
is deemed appropriate and has been recommended by a physician who has
determined that the person's health would benefit from the use of
marijuana in the treatment of cancer, anorexia, AIDS, chronic pain,
spasticity, glaucoma, arthritis, migraine, or any other illness for
which marijuana provides relief."
(b) The Compassionate Use Act of 1996 called on state government
to implement a plan for the safe and affordable distribution of
marijuana to all patients in medical need of marijuana, while
ensuring that nothing in this act shall be construed to condone the
diversion of marijuana for nonmedical purposes.
(c) In 2003, the Legislature enacted the Medical Marijuana Program
Act (MMPA), codified in Article 2.5 (commencing with Section
11362.7) of Chapter 6 of Division 10 of the Health and Safety Code.
(d) Greater certainty and minimum statewide standards are urgently
needed regarding the obligations of medical marijuana facilities,
and for the imposition and enforcement of regulations to prevent
unlawful cultivation and the diversion of marijuana to nonmedical
use.
(e) Despite the passage of the Compassionate Use Act of 1996 and
the MMPA, because of the lack of an effective statewide system for
regulating and controlling medical marijuana, cities, counties and
local law enforcement officials have been confronted with uncertainty
about the legality of some medical marijuana cultivation and
distribution activities. The current state of affairs makes law
enforcement difficult and endangers patient safety because of an
inability to monitor the supply of medical marijuana in the state and
the lack of quality control, testing, and labeling requirements.
(f) The California Constitution grants cities and counties the
authority to make and enforce, within their borders, "all local
police, sanitary, and other ordinances and regulations not in
conflict with the general laws." This inherent local police power
includes broad authority to determine, for purposes of public health,
safety, and welfare, the appropriate uses of land within the local
jurisdiction's borders. The police power, therefore, allows each city
and county to determine whether or not a medical marijuana
dispensary or other facility that makes medical marijuana available
may operate within its borders. This authority has been upheld by
City of Riverside v. Inland Empire Patients Health & Wellness, Inc.
(2013) 56 Cal.4th 729 and County of Los Angeles v. Hill (2011) 192
Cal.App.4th 861. Nothing in this act shall diminish, erode, or modify
that authority.
(g) If, pursuant to this authority, a city or county determines
that a dispensary or other facility that makes medical marijuana
available may operate within its borders, then there is a need for
the state to license these dispensaries and other facilities for the
purpose of adopting and enforcing protocols for training and
certification of physicians who recommend the use of medical
marijuana and for agricultural cultivation practices. This licensing
requirement is not intended in any way nor shall it be construed to
preempt local ordinances, regulations, or enforcement actions
regarding the sale and use of medical marijuana, including, but not
limited to, security, signage, lighting, and inspections.
(h) All of the following elements are necessary to uphold
important state goals:
(1) Strict provisions to prevent the potential diversion of
marijuana for recreational use.
(2) Audits to accurately track the volume of both product movement
and sales.
(3) An effective means of restricting nonmedical access to medical
marijuana by minors.
(i) The public welfare and public safety require that there be a
limitation on the number of premises licensed for the cultivation of
marijuana to prevent the diversion of marijuana for nonmedical
purposes.
(i)
(j) Nothing in this act shall be construed to promote
or facilitate the nonmedical, recreational possession, sale, or use
of marijuana.
SEC. 2. Section 2220.05 of the Business and Professions Code is
amended to read:
2220.05. (a) In order to ensure that its resources are maximized
for the protection of the public, the Medical Board of California
shall prioritize its investigative and prosecutorial resources to
ensure that physicians and surgeons representing the greatest threat
of harm are identified and disciplined expeditiously. Cases involving
any of the following allegations shall be handled on a priority
basis, as follows, with the highest priority being given to cases in
the first paragraph:
(1) Gross negligence, incompetence, or repeated negligent acts
that involve death or serious bodily injury to one or more patients,
such that the physician and surgeon represents a danger to the
public.
(2) Drug or alcohol abuse by a physician and surgeon involving
death or serious bodily injury to a patient.
(3) Repeated acts of clearly excessive prescribing, furnishing, or
administering of controlled substances, or repeated acts of
prescribing, dispensing, or furnishing of controlled substances, or
recommending marijuana to patients for medical purposes, without a
good faith prior examination of the patient , including an
examination in full compliance with the federal Health Insurance
Portability and Accountability Act of 1996 (42 U.S.C. Sec. 1320d et
seq.), and medical reason therefor. However, in no event shall
a physician and surgeon prescribing, furnishing, or administering
controlled substances for intractable pain consistent with lawful
prescribing, including, but not limited to, Sections 725, 2241.5, and
2241.6 of this code and Sections 11159.2 and 124961 of the Health
and Safety Code, be prosecuted for excessive prescribing and prompt
review of the applicability of these provisions shall be made in any
complaint that may implicate these provisions.
(4) Sexual misconduct with one or more patients during a course of
treatment or an examination.
(5) Practicing medicine while under the influence of drugs or
alcohol.
(b) The board may by regulation prioritize cases involving an
allegation of conduct that is not described in subdivision (a). Those
cases prioritized by regulation shall not be assigned a priority
equal to or higher than the priorities established in subdivision
(a).
(c) The Medical Board of California shall indicate in its annual
report mandated by Section 2312 the number of temporary restraining
orders, interim suspension orders, and disciplinary actions that are
taken in each priority category specified in subdivisions (a) and
(b).
SEC. 3. Article 25 (commencing with Section 2525) is added to
Chapter 5 of Division 2 of the Business and Professions Code, to
read:
Article 25. Recommending Medical Marijuana
2525. (a) It is unlawful for a physician and surgeon who
recommends marijuana to a patient for a medical purpose to accept,
solicit, or offer any form of remuneration from or to a facility
licensed pursuant to Part 5 (commencing with Section 18100) of
Division 7, if the physician and surgeon or his or her immediate
family have a financial interest in that facility.
(b) For the purposes of this section, "financial interest" shall
have the same meaning as in Section 650.01.
(c) A violation of this section shall be a misdemeanor.
2525.1. The board Medical Board of
California shall consult with the California Marijuana Research
Program, known as the Center for Medicinal Cannabis Research,
authorized pursuant to Section 11362.9 of the Health and Safety Code,
on developing and adopting medical guidelines for the appropriate
administration and use of medical marijuana.
2525.2. A physician and surgeon shall not recommend medical
marijuana to a patient, unless that person is the patient's attending
physician, as defined by subdivision (a) of Section 11362.7 of the
Health and Safety Code.
SEC. 4. Part 5 (commencing with Section 18100) is added to
Division 7 of the Business and Professions Code, to read:
PART 5. Medical Marijuana
18100. For purposes of this part, the following definitions shall
apply:
(a) "Bureau" means the Bureau of Medical Marijuana Regulation in
the Department of Consumer Affairs.
(b) "Certified testing laboratory" means a laboratory that is
certified by the bureau to perform random sample testing of
medical marijuana pursuant to the certification standards for
these facilities promulgated by the bureau.
(c) "Chief" means the Chief of the Bureau of Medical Marijuana
Regulation.
(d) "Department" means the Department of Consumer Affairs.
(e) "Director" means the Director of Consumer Affairs.
(c)
(f) "Dispensary" means a distribution operation that
provides medical marijuana or medical marijuana
derived products or devices for the use of medical marijuana or
medical marijuana products to patients.
(d)
(g) "Fund" means the Medical Marijuana Regulation Fund
established pursuant to Section 18101.4 18113
.
(e)
(h) "Licensed cultivation site" means a facility that
plants, grows , cultivates, harvests, dries, or
processes medical marijuana for medical use
and that is licensed pursuant to this part.
(f)
(i) "Licensed dispensing facility" means a dispensary
or other facility that provides medical marijuana
for medical use , medical marijuana products, or
devices for the use of medical marijuana or medical marijuana
products that is licensed pursuant to this part.
(j) "Licensed manufacturer" means a person who extracts, prepares,
derives, produces, compounds, or repackages medical marijuana or
medical marijuana products into consumable and nonconsumable forms
and that is licensed pursuant to this part.
(g) "Licensed processing facility" means a facility where
marijuana or marijuana products are inspected, packaged, labeled, or
otherwise prepared, warehoused, or stored prior to being provided to
another facility licensed pursuant to this part, to a patient with a
medical marijuana recommendation, or otherwise distributed, and that
is licensed pursuant to this part.
(h)
(k) "Licensed transporter" means an individual or
entity licensed by the bureau to transport medical
marijuana to and from facilities licensed pursuant to this part.
(i)
( l ) "Marijuana" means all parts
of the plant Cannabis sativa, cannabis indica, or cannabis
ruderalis, whether growing or not; the seeds thereof; the resin,
whether crude or purified, extracted from any part of the plant; and
every compound, manufacture, salt, derivative, mixture, or
preparation of the plant, its seeds, or resin. "Marijuana" does not
include the mature stalks of the plant, fiber produced from the
stalks, oil or cake made from the seeds of the plant, any other
compound, manufacture, salt, derivative, mixture, or preparation of
the mature stalks (except the resin extracted therefrom), fiber, oil,
or cake, or the sterilized seed of the plant which is incapable of
germination. "Marijuana" also means marijuana, as defined by Section
11018 of the Health and Safety Code.
18101. (a) (1) There is hereby created in the Department of
Consumer Affairs the Bureau of Medical Marijuana Regulation. The
bureau shall be administered by an executive officer who shall be a
civil servant appointed pursuant to civil service rules by the
Governor, and who shall be known as the Executive Officer of the
Bureau of Medical Marijuana Regulation.
(2) Funds for the establishment and support of the bureau shall be
advanced as a loan by the Department of Consumer Affairs and shall
be repaid by the initial proceeds from fees collected pursuant to
subdivision (b) of Section 18101.1, paragraph (9) of subdivision (f)
of Section 18101.2, and subdivision (b) of Section 18101.3.
(b) (1) The bureau shall have the power to license persons for the
cultivation, manufacture, transportation, storage, distribution, and
sale of medical marijuana within the state and to collect licensing
fees in connection with these actions.
(2) The bureau shall exercise its authority pursuant to paragraph
(1) consistent with subdivision (f) of Section 1 of the act that
added this section and consistent with the provisions of this part.
18101.1. The bureau shall have the authority, subject to local
ordinances, to license persons for the cultivation, manufacture,
transportation, storage, and sale of medical marijuana within the
state, and to levy appropriate related licensing fees not to exceed
the reasonable costs of enforcement and administration of this part.
The bureau shall not issue a license if the applicant has not met all
requirements pursuant to this part. A license, once issued, shall be
suspended within 10 days of notification to the bureau by a local
agency that a licensee is no longer in compliance with any local
ordinance or regulation. The bureau shall have the power necessary
for the administration of this part, including, but not limited to,
the following:
(a) Establishing statewide minimum standards for the cultivation,
manufacturing, transportation, storage, distribution, provision,
donation, and sale of medical marijuana and medical marijuana
products, and procedures for the issuance, renewal, suspension, and
revocation of licenses.
(b) Establishing a scale of application, license, and renewal
fees, to be imposed by the state, for licenses for the cultivation,
manufacturing, transportation, distribution, and sale of medical
marijuana and medical marijuana products. The bureau may charge
separate fees for each license application for cultivation,
manufacturing, transportation, distribution, and sale. The total fees
imposed pursuant to this part shall be based on the actual costs of
administering and enforcing this part.
(c) Making and proscribing any rule that may be necessary or
proper to carry out the purposes and intent of this part and to
enable it to exercise the powers and perform the duties conferred
upon it by this part and in accordance with Chapter 3.5 (commencing
with Section 11340) of Part 1 of Division 3 of Title 2 of the
Government Code. For the performance of its duties, the bureau has
the powers as set forth in Article 2 (commencing with Section 11180)
of Chapter 2 of Part 1 of Division 3 of Title 2 of the Government
Code.
(d) Approving or denying applications, subject to local
ordinances, for cultivation, manufacturing, labeling, transportation,
distribution, provision, donation, and sale of medical marijuana
pursuant to this part.
(e) The bureau shall, with input from local agencies, deny,
suspend, or revoke any license issued pursuant to this part, or fine
any licensee, if the bureau determines that the granting or
continuance of the license would be contrary to public welfare or
morals or that a person holding or seeking a license has violated any
law prohibiting conduct involving moral turpitude or an applicable
local ordinance.
(f) Imposing any penalty authorized by this part or any rule or
regulation adopted pursuant to this part.
(g) Taking any action with respect to a license application in
accordance with procedures established pursuant to this part.
(h) The bureau shall make recommendations to the Legislature
pertaining to the establishment of an appeals and judicial review
process for persons aggrieved by a final decision of the bureau.
(i) Developing any forms, identification certificates, and
applications that are necessary or convenient in the discretion of
the bureau for the administration of this part or any of the rules or
regulations adopted pursuant to this part.
(j) Overseeing the operation of the Medical Marijuana Regulation
Fund established pursuant to Section 18101.4.
(k) Establishing reasonable fees for processing all applications,
licenses, notices, or reports required to be submitted to the bureau.
The amount of the fees shall reflect, but shall not exceed, the
direct and indirect costs of the bureau for the administration of
this part and the rules or regulations adopted pursuant to this part.
( l ) The bureau may consult with other state
agencies, departments, or public or private entities for the purposes
of establishing statewide standards and regulations.
18101. The following persons are exempt from the requirement of
licensure under this part:
(a) A patient who cultivates, possesses, stores, manufactures, or
transports marijuana exclusively for his or her personal medical use
and who does not sell, distribute, donate, or provide marijuana to
any other person or entity.
(b) A primary caregiver who cultivates, possesses, stores,
manufactures, transports, or provides marijuana exclusively for the
personal medical purposes to no more than five specified qualified
patients for whom he or she is the primary caregiver within the
meaning of Section 11362.7 of the Health and Safety Code and who does
not receive remuneration for these activities, except for
compensation in full compliance with subdivision (c) of Section
11362.765 of the Health and Safety Code. Nothing in this section
shall permit primary caregivers to organize themselves as
cooperatives or collectives of caregivers.
18102. (a) There is hereby created in the Department of Consumer
Affairs the Bureau of Medical Marijuana Regulation, under the
supervision and control of the Chief of the Bureau of Medical
Marijuana Regulation.
(b) Protection of the public shall be the highest priority for the
bureau in exercising its licensing, regulatory, and disciplinary
functions. Whenever the protection of the public is inconsistent with
other interests sought to be promoted, the protection of the public
shall be paramount.
(c) The bureau shall have the authority to license persons for the
cultivation, manufacture, transportation, storage, distribution, and
sale of medical marijuana within the state and to collect licensing
fees in connection with these actions.
(d) The Governor shall appoint the chief at a salary to be fixed
and determined by the director with the approval of the Director of
Finance. The chief shall serve in accordance with the State Civil
Service Act (Part 2 (commencing with Section 18500) of Division 5 of
Title 2 of the Government Code).
(e) The duty of enforcing and administering this part shall be
vested in the chief, who is responsible to the director. The chief
may adopt and enforce those rules and regulations that he or she
determines are reasonably necessary to carry out the purposes of this
part and declaring the policy of the bureau, including a system for
the issuance of citations for violations of this part as specified in
Section 125.9.
(f) The chief, as necessary to carry out the provisions of this
part, and in accordance with the State Civil Service Act (Part 2
(commencing with Section 18500) of Division 5 of Title 2 of the
Government Code), may appoint and fix the compensation of personnel,
including, but not limited to, clerical, inspection, investigation,
and auditing personnel, as well as an assistant chief. These
personnel shall perform their respective duties under the supervision
and the direction of the chief.
(g) Every power granted to, or duty imposed upon, the chief under
this part may be exercised or performed in the name of the chief by a
deputy or assistant chief, subject to conditions and limitations
that the chief may prescribe.
(h) The bureau shall exercise its authority pursuant to this part
consistent with Section 1 of the act that added this section and
consistent with the provisions of this part.
18103. Funds for the establishment and support of the bureau
shall be advanced as a loan by the department and shall be repaid by
the initial proceeds from fees collected pursuant to this part or any
rule or regulation adopted pursuant to this part.
18104. The bureau shall have the authority necessary for the
implementation of this part, including, but not limited to, all of
the following:
(a) Establishing any rule or regulation that is necessary or
proper to carry out the purposes and intent of this part and to
enable the bureau to exercise the powers and perform the duties
conferred upon it by this part and in accordance with Chapter 3.5
(commencing with Section 11340) of Part 1 of Division 3 of Title 2 of
the Government Code. For the performance of its duties, the bureau
has the powers as set forth in Article 2 (commencing with Section
11180) of Chapter 2 of Part 1 of Division 3 of Title 2 of the
Government Code.
(b) Licensing persons for the cultivation, manufacture,
transportation, storage, distribution, and sale of medical marijuana
within the state.
(c) Setting application, licensing, and renewal fees for licenses
issued pursuant to this part. Fees may be scaled and shall be in an
amount determined by the department sufficient to cover the
reasonable regulatory costs of enforcing and administering this part.
(d) Establishing standards for the cultivation, manufacturing,
transportation, storage, distribution, provision, donation, and sale
of medical marijuana and medical marijuana products.
(e) Establishing procedures for the issuance, renewal, suspension,
denial, and revocation of licenses.
(f) Imposing a penalty authorized by this part or any rule or
regulation adopted pursuant to this part.
(g) Taking action with respect to a license application in
accordance with procedures established pursuant to this part.
(h) Overseeing the operation of the Medical Marijuana Regulation
Fund established pursuant to Section 18113.
(i) Consulting with other state agencies, departments, or public
or private entities for the purposes of establishing statewide
standards and regulations.
18105. (a) On or before July 1, 2016, the bureau shall promulgate
regulations for implementation and enforcement of this part,
including, but not limited to, all of the following:
(1) Procedures for the issuance, renewal, suspension, denial, and
revocation of licenses.
(2) Application, licensing, and renewal forms and fees.
(3) A time period in which the bureau shall approve or deny an
application for a license to operate pursuant to this part.
(4) Qualifications for licensees.
(5) Standards for certification of testing laboratories to perform
random sample testing of all medical marijuana products, including
standards for onsite testing.
(A) Certification of testing laboratories shall be consistent with
general requirements for the competence of testing and calibration
activities, including sampling, using standard methods established by
the International Organization for Standardization, specifically
ISO/IEC 17025.
(B) These requirements shall apply to all entities, including
third-party laboratories, engaged in the testing of medical marijuana
pursuant to this part.
(6) Requirements to ensure conformance with standards analogous to
state statutory environmental, agricultural, consumer protection,
and food and product safety requirements. At a minimum, these
standards shall do all of the following:
(A) Prescribe sanitation standards analogous to the California
Retail Food Code (Part 7 (commencing with Section 113700) of Division
104 of the Health and Safety Code) for food preparation, storage,
handling, and sale of edible medical marijuana products.
(B) Require that edible medical marijuana products produced,
distributed, provided, donated, or sold by licensees shall be limited
to nonpotentially hazardous food, as established by the State
Department of Public Health pursuant to Section 114365.5 of the
Health and Safety Code.
(C) Provide standards for labeling edible medical marijuana
products to ensure that the products cannot be mistaken for food not
containing marijuana.
(D) Require that facilities in which edible medical marijuana
products are prepared shall be constructed in accordance with
applicable building standards, health and safety standards, and other
state laws.
(E) Provide that weighing or measuring devices used in connection
with the sale or distribution of medical marijuana are required to
meet standards analogous to Division 5 (commencing with
Section 12001).
(F) Require that the application of pesticides or other pest
control in connection with the indoor or outdoor cultivation of
medical marijuana shall meet standards analogous to Division 6
(commencing with Section 11401) of the Food and Agricultural Code and
its implementing regulations.
(b) On or before July 1, 2016, the bureau shall also promulgate
regulations for minimum statewide health and safety standards and
quality assurance standards associated with the cultivation,
transport, storage, manufacture, and sale of all medical marijuana
produced in this state. Local agencies shall have primary
responsibility for enforcement of these standards in accordance with
bureau regulations.
18101.2. 18106. (a) Except as
provided in Section 11362.5 of, and Article 2.5 (commencing with
Section 11362.7) of Chapter 6 of Division 10 of, the Health and
Safety Code, a person shall not sell or provide medical
marijuana other than at a licensed dispensing facility.
(b) Except as provided in Section 11362.5 of, and Article 2.5
(commencing with Section 11362.7) of Chapter 6 of Division 10 of, the
Health and Safety Code, a person shall not grow medical
marijuana other than at a licensed cultivation site.
(c) Except as provided in Section 11362.5 of, and Article 2.5
(commencing with Section 11362.7) of Chapter 6 of Division 10 of, the
Health and Safety Code, a person shall not process
manufacture medical marijuana or medical
marijuana products other than at a licensed processing
facility a licensed manufacturer .
(d) A person shall not transport medical marijuana from
one facility licensed pursuant to this part to another, other than a
licensed transporter.
(e) A licensed manufacturer may obtain medical cannabis from a
licensed cultivator and may furnish medical cannabis products to a
licensed dispensary.
(e)
(f) To meet the requirements of Article 8 (commencing
with Section 111658) of Chapter 6 of Part 5 of Division 104 of the
Health and Safety Code, medical marijuana and medical
marijuana products shall be tested by a certified testing
laboratory.
(f) The bureau shall require, prior to issuing a license pursuant
to this part, all of the following:
(1) The name of the owner or owners of a proposed facility,
including all persons or entities having an ownership interest other
than a security interest, lien, or encumbrance on any property that
will be used by the applicant.
(2) The name, address, and date of birth of each principal officer
and board member.
(3) The address and telephone number of the proposed facility.
(4) A description of the scope of business of the proposed
facility.
(5) A certified copy of the local jurisdiction's approval to
operate within its borders.
(6) Operating and inventory control procedures to ensure security
and prevent diversion.
(7) Detailed operating procedures for the proposed facility, which
shall include, but not be limited to, provisions for facility and
operational security, prevention of diversion, employee screening,
storage of medical marijuana, personnel policies, and recordkeeping
procedures.
(8) A completed application, as required by the bureau.
(9) Payment of a fee, in an amount to be determined by the bureau,
not to exceed the amount necessary, but that is sufficient to cover,
the actual costs of the administration of this part.
(10) (A) An applicant's fingerprint images and related information
required by the Department of Justice for the purpose of obtaining
information as to the existence and content of a record of state and
federal convictions and arrests, and information as to the existence
and content of a record of state and federal convictions and arrests
for which the Department of Justice establishes that the person is
free on bail, or on his or her own recognizance, pending trial or
appeal.
(B) The Department of Justice shall charge a fee sufficient to
cover the reasonable cost of processing the requests described in the
paragraph.
(11) In the case of a cultivation site, the GPS coordinates of the
site.
(12) Any other information as required by the bureau.
(13) The bureau shall deny a license based on a past felony
criminal conviction for drug trafficking, a felony conviction for
embezzlement, a felony conviction involving fraud or deceit, or any
violent or serious felony conviction pursuant to subdivision (c) of
Section 667.5 of, or subdivision (c) of Section 1192.7 of, the Penal
Code. The bureau may also deny a license based on a past criminal
conviction if the crime was substantially related to the
qualifications, functions, or duties of the business for which the
license will be issued.
(g) The bureau shall deny a license if the application fails to
state with sufficient specificity the jurisdiction in which the
applicant proposes to establish operations.
(h) (1) Each application for a license approved by the bureau
pursuant to this part is separate and distinct, and the bureau may
charge a separate fee for each. A licensee shall not hold a license
in more than one class of specified medical marijuana activities,
except that a licensee may have a transporter license in addition to
a license to cultivate, process, or dispense medical marijuana.
(2) A licensee shall not be an officer, director, member, owner,
or shareholder in another entity licensed pursuant to this part. The
officers, directors, owners, members, or shareholders of a licensee
in one class of license may not hold a license in another class, and
may not be an officer, director, member, owner, or shareholder of an
entity licensed pursuant to this part.
18101.3. 18107. Beginning January
1, 2015, the bureau shall provide for provisional licenses, as
follows:
(a) The bureau shall request that every
Every city, county, or city and county provide
that permits activities licensed under this
part shall submit to the bureau with a list of approved
entities providing medical marijuana to qualified patients and
caregivers within the city's, county's, or city and county's
jurisdiction, if any, the location at which the entity is operating,
and the names of the persons who operate the entity.
(1) If the jurisdiction represents that the entity has been
operating in compliance with local laws and regulations, or has
limited immunity under local laws, including, but not limited to,
Measure D, approved by the voters of the City of Los Angeles at the
May 21, 2013, general election, the bureau shall issue a provisional
license to the entity until the time that the entity's application
for a license has been approved or denied under this part, but no
later than 90 days after the bureau begins accepting applications for
licenses.
(2) The bureau shall may consult
with relevant local agencies in making a determination on whether a
provisional license applicant is in compliance with any applicable
ordinance. The bureau shall may issue a
provisional license to an individual or entity once the bureau has
obtained confirmation from the relevant local agency that the six
months prior to January 1, 2015, the applicant was regularly
cultivating or distributing medical marijuana collectively or
cooperatively in full compliance with any applicable local ordinance.
The bureau shall continue to issue provisional licenses until such
time as the licensee's application for a standard license has been
approved or denied under this part, but no later than 90 days after
the bureau begins accepting applications. To qualify for a
provisional license, an applicant shall be required to disclose to
the bureau the following information in writing on or before January
20, 2015, in order to obtain provisional licensure:
(A) The names, addresses, and dates of birth of each principal
officer, owner, or board member.
(B) The common street address and assessor's parcel number of the
property at which the applicant will conduct any activity under the
authority of the license.
(C) The common street address and assessor's parcel number of the
property at which any cultivation activity was or is to be conducted.
(D) For the six months prior to January 1, 2015, the quantity of
medical marijuana cultivated at a location and the quantity expected
to be cultivated from January 1, 2015, to June 30, 2015, inclusive.
The applicant shall make its records of current activity and activity
for the six months prior to January 1, 2015, available to the bureau
upon request.
(b) The bureau shall charge an application fee of eight thousand
dollars ($8,000) for each provisional license.
(b) An applicant for provisional licensure shall do all of the
following:
(1) Pay a fee not to exceed eight thousand dollars ($8,000) or an
amount determined by the bureau to cover the reasonable regulatory
costs of enforcing and administering this section.
(2) Provide, in writing, the following information:
(A) The names, addresses, and dates of birth of each principal
officer, owner, or board member.
(B) The common street address and assessor's parcel number of the
property at which the applicant will conduct any activity under the
authority of the license.
(C) The common street address and assessor's parcel number of the
property at which any cultivation activity was or is to be conducted.
(D) The quantity of medical marijuana cultivated at a location
from July 1, 2014, to January 1, 2015, inclusive, and the quantity
expected to be cultivated from January 1, 2015, to June 30, 2015,
inclusive. The applicant shall make its records of current activity
and activity for the period from July 1, 2014, to January 1, 2015,
inclusive, available to the bureau upon request.
(c) Upon receipt of the application materials and fee required in
subdivision (b), the bureau may issue a provisional license and send
a proof of issuance to the applicant, provided the applicant has not
committed any act or crime constituting grounds for the denial of
licensure under Section 18110.
(c)
(d) Notwithstanding any other provision of this
section, the bureau shall not issue a provisional license to
any an individual or entity, or for
any a premises, against whom there are pending
state or local administrative or judicial proceedings or actions
initiated by a city, county, or city and county under any applicable
local ordinance or who has been determined through those proceedings
to have violated any applicable local ordinance , or that
knowingly provides false or fraudulent information on an application
for licensure .
(e) Once the bureau begins issuing provisional licenses, a
dispensary, in order to benefit from the limited immunities provided
in Section 11362.775 of the Health and Safety Code, may only provide
patients medical marijuana and medical marijuana products obtained
from provisionally licensed entities.
(f) Provisional licensees shall record each shipment of medical
marijuana by weight and destination, and shall comply with state and
federal rules and regulations regarding reporting and taxation of
income received.
18101.35. Beginning July 1, 2016, the bureau shall provide for
standard licenses as follows:
(a) The bureau shall request that every city, county, or city and
county provide the bureau with a list of approved entities providing
medical marijuana to qualified patients and caregivers within the
city's, county's, or city and county's jurisdiction, if any, the
location at which the entity is operating, and the names of the
persons who operate the entity.
(b) If the jurisdiction represents that the entity has been
operating in compliance with local laws and regulations, or has
limited immunity under local laws, including, but not limited to,
Measure D, approved by the voters of the City of Los Angeles at the
May 21, 2013, general election, the bureau shall issue a license to
the entity if it meets the licensing requirements of this part.
(c) The bureau shall consult with relevant local agencies in
making a determination as to whether a standard license applicant is
in compliance with local ordinances. The bureau shall issue a
standard license only after it has obtained confirmation from the
relevant local agency that the applicant has satisfied all local
permitting requirements for cultivating or distributing medical
marijuana in compliance with local ordinances, and fulfilled all
other requirements under this part.
(d) The bureau shall charge an application fee of eight thousand
dollars ($8,000) for each standard license.
18108. (a) Beginning January 1, 2016, the bureau shall provide
for standard licenses.
(b) An applicant for licensure pursuant to this part shall do all
following:
(1) Pay the fee or fees required by this part for each license
being applied for.
(2) Register with the bureau on forms prescribed by the chief. The
forms shall contain sufficient information to identify the licensee,
including all of the following:
(A) Name of the owner or owners of a proposed facility, including
all persons or entities having an ownership interest other than a
security interest, lien, or encumbrance on any property that will be
used by the applicant.
(B) The name, address, and date of birth of each principal officer
and board member.
(C) The address and telephone number of the proposed facility.
(D) In the case of a cultivation site, the GPS coordinates of the
site.
(3) Describe, in writing, the scope of business of the proposed
facility.
(4) A certified copy of the local jurisdiction's approval to
operate within its borders.
(5) Detailed operating procedures, in writing, for the proposed
facility, which shall include, but not be limited to, procedures for
facility and operational security, prevention of diversion, employee
screening, storage of medical marijuana, personnel policies, and
recordkeeping procedures.
(6) An applicant's fingerprint images.
(A) The bureau shall electronically submit to the Department of
Justice fingerprint images and related information required by the
Department of Justice of all licensed cultivation site applicants,
licensed dispensing facility applications, manufacturing applicants,
or transport applicants, as defined in Section 18100, for the purpose
of obtaining information as to the existence and content of a record
of state or federal convictions and arrests, and information as to
the existence and content of a record of state or federal convictions
and arrests for which the Department of Justice establishes that the
person is free on bail, or on his or her own recognizance, pending
trial or appeal.
(B) The Department of Justice shall provide a response to the
department pursuant to paragraph (1) of subdivision (p) of Section
11105 of the Penal Code.
(C) The bureau shall request from the Department of Justice
subsequent notification service, as provided pursuant to Section
11105.2 of the Penal Code, for persons described in subparagraph (A).
(D) The Department of Justice shall charge a fee sufficient to
cover the reasonable cost of processing the requests described in
this paragraph.
(7) A statement signed by the applicant under penalty of perjury
that the information provided is true.
(8) Any other information as required by the bureau.
(c) Every city, county, or city and county that permits activities
licensed under this part shall submit to the bureau a list of
approved entities providing medical marijuana to qualified patients
and caregivers within the city's, county's, or city and county's
jurisdiction, if any, the location at which the entity is operating,
and the names of the persons who operate the entity.
(d) If the jurisdiction represents that the entity has been
operating in compliance with local laws and regulations, or has
limited immunity under local laws, including, but not limited to,
Measure D, approved by the voters of the City of Los Angeles at the
May 21, 2013, general election, the bureau may issue a license to the
entity if it meets the licensing requirements of this part.
(e) The bureau may consult with relevant local agencies in making
a determination as to whether a standard license applicant is in
compliance with local ordinances. The bureau may issue a standard
license only after it has obtained confirmation from the relevant
local agency that the applicant has satisfied all local permitting
requirements for cultivating or distributing medical marijuana in
compliance with local ordinances, and fulfilled all other
requirements under this part.
(f) Each application for a license approved by the bureau pursuant
to this part is separate and distinct, and the bureau may charge a
separate fee for each.
(g) A licensee shall not hold a license in more than one class of
specified medical marijuana activities, except as follows:
(1) A licensee may have a transporter license in addition to a
license to cultivate, dispense, or manufacture medical marijuana or
medical marijuana products.
(2) A licensed dispensary may obtain a license to cultivate in a
space not to exceed 1,000 square feet.
(h) A licensee shall not be an officer, director, member, owner,
or shareholder in another entity licensed pursuant to this part. The
officers, directors, owners, members, or shareholders of a licensee
in one class of license may not hold a license in another class, and
may not be an officer, director, member, owner, or shareholder of an
entity licensed pursuant to this part.
18109. (a) Upon receipt of the application materials and fee
required in Section 18108, the bureau may, provided the applicant has
not committed any act or crime constituting grounds for the denial
of licensure under Section 18110, issue the license and send a proof
of issuance to the applicant.
(b) The chief shall, by regulation, prescribe conditions upon
which a person whose license has previously been denied, suspended,
or revoked, may be issued a license.
18110. (a) An application for licensure may be denied and a
license may be suspended or revoked on any of the following grounds:
(1) The granting or continuance of the license would be contrary
to the public welfare or morals.
(2) A person holding or seeking a license has violated any law
prohibiting conduct involving moral turpitude.
(3) Past felony criminal conviction for drug trafficking, a felony
conviction for embezzlement, a felony conviction involving fraud or
deceit, or any violent or serious felony conviction pursuant to
subdivision (c) of Section 667.5 of, or subdivision (c) of Section
1192.7 of, the Penal Code.
(4) A city, county, or city and county notifies the bureau that a
licensee or applicant for licensure within their jurisdiction is in
violation of local ordinances or is otherwise not authorized to
conduct the activities associated with licensure pursuant to this
part.
(5) The application fails to state with sufficient specificity the
jurisdiction in which the applicant proposes to establish
operations.
(b) The chief, upon his or her determination, may deny, suspend,
or revoke a license issued pursuant to this part for any of the
following acts or omissions that are done by a licensee, applicant,
or employee, partner, officer, or member of an entity licensed
pursuant to this part:
(1) Making or authorizing in any manner or by any means whatever a
written or oral statement that is untrue or misleading, and that is
known, or that by exercise of reasonable care should be known, to be
untrue or misleading.
(2) Any other conduct that constitutes fraud.
(3) Conduct constituting gross negligence.
(4) Failure to comply with the provisions of this part, Article 8
(commencing with Section 111658) of Chapter 6 of Part 5 of Division
104 of the Health and Safety Code, or any rule or regulation adopted
pursuant to this part.
(5) Conduct that constitutes grounds for denial of licensure
pursuant to Chapter 2 (commencing with Section 480) of Division 1.5.
18111. (a) Upon denying, suspending, or revoking a provisional or
standard license issued pursuant to this part, the chief shall
notify the applicant or licensee, in writing, by personal service or
mail addressed to the address of the applicant or licensee set forth
in the application. The applicant or licensee shall be given a
hearing within 30 days thereafter if he or she files with the bureau
a written request for hearing. Otherwise, the denial, suspension, or
revocation is deemed affirmed.
(b) All proceedings to deny, suspend, or revoke a license shall be
conducted pursuant to Chapter 5 (commencing with Section 11500) of
Part 1 of Division 3 of Title 2 of the Government Code.
18112. A state agency is not authorized or required by this
section to enforce a city, county, city and county, or local law,
ordinance, rule, or regulation regarding the site or operation of a
licensee licensed pursuant to this part.
18101.4. 18113. (a) The Medical
Marijuana Regulation Fund is hereby established within the State
Treasury. Notwithstanding Section 16305.7 of the Government Code, the
fund shall include any interest and dividends earned on the money in
the fund.
(b) All fees collected pursuant to this part shall be deposited
into the Medical Marijuana Regulation Fund. Notwithstanding Section
13340 of the Government Code, all moneys within the fund are hereby
continuously appropriated, without regard to fiscal year, to the
bureau solely for the purposes of fully funding and administering
this part, including, but not limited to, the costs incurred by the
bureau for its administrative expenses.
(c) All moneys collected pursuant to this part as a result of
penalties imposed under this part shall be deposited directly into
the General Fund, to be available upon appropriation.
(d) The bureau may establish and administer a grant program to
allocate moneys from the Medical Marijuana Regulation Fund to state
and local entities for the purpose of assisting with medical
marijuana regulation and the enforcement of this part and other state
and local laws applicable to licensees.
18102. 18114. (a) A facility
licensed pursuant to this part shall not acquire, cultivate, process,
possess, store, manufacture, distribute, sell, deliver, transfer,
transport, or dispense medical marijuana for any purpose
other than those authorized by Article 2.5 (commencing with Section
11362.7) of Chapter 6 of Division 10 of the Health and Safety Code.
(b) A licensed dispensing facility shall not acquire, cultivate,
process, possess, store, manufacture, distribute, sell, deliver,
transfer, transport, or dispense medical marijuana plants
or medical marijuana products except through a licensed
cultivation site or processing facility a
licensed manufacturer .
18103. 18115. (a) A licensed
transporter shall ship only to facilities licensed pursuant to this
part and only in response to a request for a specific quantity and
variety from those facilities.
(b) Prior to transporting any medical marijuana product, a
licensed transporter shall do the following:
(1) Complete a shipping manifest using a form prescribed by the
bureau.
(2) Securely transmit a copy of the manifest to the licensee that
will receive the medical marijuana product, and to the bureau, prior
to transport.
(c) The licensed transporter making the shipment and the licensee
receiving the shipment shall maintain each shipping manifest and make
it available to local code enforcement officers, any other locally
designated enforcement entity, and the bureau upon request.
18104. 18116. (a) Transported
medical marijuana products shall:
(1) Be transported only in a locked, safe and secure storage
compartment that is securely affixed to the interior of the
transporting vehicle.
(2) Not be visible from outside the vehicle.
(b) Any vehicle transporting medical marijuana products shall
travel directly from one licensed facility to another licensed
facility authorized to receive the shipment.
18105. 18117. (a) All transport
vehicles shall be staffed with a minimum of two employees. At least
one transport team member shall remain with the vehicle at all times
that the vehicle contains medical marijuana.
(b) Each transport team member shall have access to a secure form
of communication by which each member can communicate with personnel
at the licensed facility at all times that the vehicle contains
medical marijuana.
(c) Each transport team member shall possess documentation of
licensing and a government-issued identification card at all times
when transporting or delivering medical marijuana and shall produce
it to any representative of the department or law enforcement
official upon request.
(d) This part shall not be construed to authorize or permit any
licensee to transport, or cause to be transported, medical
marijuana or medical marijuana products outside the
state.
18105.5. 18118. A local
jurisdiction shall not prevent transportation through or to
a licensed entity by a licensed transporter who acts in compliance
with this part into, out of, or through its
boundaries, or to a licensed entity, by a licensed transporter who
acts in compliance with this part .
18106. (a) The bureau shall promulgate, by July 1, 2016,
regulations for implementation and enforcement of this part,
including all of the following:
(1) Procedures for the issuance, renewal, suspension, and
revocation of licenses.
(2) Application, licensing, and renewal forms and fees.
(3) A time period in which the bureau shall approve or deny an
application for a license to operate a facility or dispensary.
(4) Qualifications for licensees.
(5) Standards for certification of testing laboratories to perform
random sample testing of all marijuana products intended for sale,
to identify and eliminate chemical residue, microbiological
contaminants, and mold.
(6) Requirements to ensure conformance with standards analogous to
state statutory environmental, agricultural, consumer protection,
and food and product safety requirements. At a minimum, these
standards shall do all of the following:
(A) Prescribe sanitation standards analogous to the California
Retail Food Code (Part 7 (commencing with Section 113700) of Division
104 of the Health and Safety Code) for food preparation, storage,
and handling and sale of edible marijuana products.
(B) Require that edible marijuana products produced, distributed,
provided, donated, or sold by licensees shall be limited to
nonpotentially hazardous food as established by the State Department
of Public Health pursuant to Section 114365.5 of Health and Safety
Code.
(C) Provide standards for labeling edible marijuana products to
ensure that the products cannot be mistaken as food not containing
marijuana.
(D) Require that facilities in which edible marijuana products are
prepared shall be constructed in accordance with applicable building
standards, health and safety standards, and other state laws.
(E) Provide that any weighing or measuring devices used in
connection with the sale or distribution of marijuana are required to
meet standards analogous to Division 5 (commencing with Section
12001).
(F) Require that any application of pesticides or other pest
control in connection with the indoor or outdoor cultivation of
marijuana shall meet standards analogous to Division 6 (commencing
with Section 11401) of the Food and Agricultural Code and its
implementing regulations.
(b) The bureau shall promulgate, by July 1, 2016, regulations for
minimum statewide health and safety standards and quality assurance
standards pursuant to Section 111658 of the Health and Safety Code
associated with the cultivation, transport, storage, and sale of all
medical marijuana produced in this state. Local agencies shall have
primary responsibility for enforcement of these standards in
accordance with bureau regulations.
(c) An application for or renewal of a license shall not be
approved if the bureau determines any of the following:
(1) The applicant fails to meet the requirements of this part or
any regulation adopted pursuant to this part or any applicable city
county, or city and county ordinance or regulation.
(2) The applicant, or any of its officers, directors, owners,
members, or shareholders is a minor.
(3) The applicant has knowingly answered a question or request for
information falsely on the application form, or failed to provide
information requested.
(4) The applicant, or any of its officers, directors, owners,
members, or shareholders has been sanctioned by the bureau, a city,
county, or city and county, for marijuana activities conducted in
violation of this part or any applicable local ordinance or has had a
license revoked in the previous five years.
(5) The proposed cultivation, processing, possession, storage,
manufacturing, testing, transporting, distribution, provision, or
sale of medical marijuana will violate any applicable local law or
ordinance.
(6) (A) The bureau shall deny an application for a license if
issuance of that license would tend to create a law enforcement
problem, or if issuance would result in or add to an undue
concentration of licenses.
(B) For purposes of this paragraph, the following definitions
shall apply:
(i) "Population within the census tract or census division" means
the population as determined by the most recent United States
decennial or special census. The population determination shall not
operate to prevent an applicant from establishing that an increase of
resident population has occurred within the census tract or census
division.
(ii) "Reported crimes" means the most recent yearly compilation by
the local law enforcement agency of reported offenses of criminal
homicide, forcible rape, robbery, aggravated assault, burglary,
larceny, theft, and motor vehicle theft, combined with all arrests
for other crimes, both felonies and misdemeanors, except traffic
citations.
(iii) "Reporting districts" means geographical areas within the
boundaries of a single governmental entity (city or the
unincorporated area of a county) that are identified by the local law
enforcement agency in the compilation and maintenance of statistical
information on reported crimes and arrests.
(iv) "Undue concentration" means:
(I) The applicant premises are located in a crime reporting
district that has a 20 percent greater number of reported crimes than
the average number of reported crimes as determined from all crime
reporting districts within the jurisdiction of the local law
enforcement agency.
(II) The ratio of licenses to population within the census tract
or census division in which the applicant premises are located
exceeds the ratio of licenses to population in the county in which
the applicant premises are located.
(d) The bureau may consult with other state agencies, state
departments, public entities, or private entities for the purposes of
establishing statewide standards and regulations.
(e) The bureau may assist state taxation authorities in the
development of uniform policies for the state taxation of licensees.
(f) The bureau may assist the Division of Occupational Safety and
Health in the Department of Industrial Relations in the development
of industry-specific regulations related to the activities of
licensees.
18119. An application for or renewal of a license shall not be
approved if the bureau determines any of the following:
(a) The applicant fails to meet the requirements of this part or
any regulation adopted pursuant to this part or any applicable city,
county, or city and county ordinance or regulation. Local governments
shall submit to the bureau documentation detailing their renewal
requirements.
(b) The applicant, or any of its officers, directors, owners,
members, or shareholders is a minor.
(c) The applicant has knowingly answered a question or request for
information falsely on the application form, or failed to provide
information requested.
(d) The applicant, or any of its officers, directors, owners,
members, or shareholders has been sanctioned by the bureau, a city,
county, or city and county, for medical marijuana activities
conducted in violation of this part or any applicable local ordinance
or has had a license revoked in the previous five years.
(e) The proposed cultivation, processing, possession, storage,
manufacturing, testing, transporting, distribution, provision, or
sale of medical marijuana will violate any applicable local law or
ordinance.
18120. The bureau may assist state taxation authorities in the
development of uniform policies for the state taxation of licensees.
18121. The bureau may assist the Division of Occupational Safety
and Health in the Department of Industrial Relations in the
development of industry-specific regulations related to the
activities of licensees.
18122. (a) For licensees licensed pursuant to this part located
within the incorporated area of a city, the city shall have full
power and authority to enforce this part and Article 8 (commencing
with Section 111658) of Chapter 6 of Part 5 of Division 104 of the
Health and Safety Code and the rules, regulations, and standards
promulgated by the bureau. The city shall further assume complete
responsibility for any regulatory function relating to those
licensees within the city limits that would otherwise be performed by
the county or any county officer or employee, without liability,
cost, or expense to the county.
(b) For licensed facilities located within the unincorporated area
of a county, the county shall have full power and authority to
enforce this part and Article 8 (commencing with Section 111658) of
Chapter 6 of Part 5 of Division 104 of the Health and Safety Code and
the rules, regulations, and standards promulgated by the bureau.
18107. 18123. (a) A person shall
not distribute any form of advertising for physician recommendations
for medical marijuana in California unless the advertisement bears
the following notice to consumers:
NOTICE TO CONSUMERS: The Compassionate Use Act of 1996 ensures
that seriously ill Californians have the right to obtain and use
marijuana for medical purposes where medical use is deemed
appropriate and has been recommended by a physician who has
determined that the person's health would benefit from the use of
medical marijuana. Physicians are licensed and regulated
by the Medical Board of California and arrive at the decision to make
this recommendation in accordance with accepted standards of medical
responsibility.
(b) Advertising for physician recommendations for medical
marijuana shall meet all requirements of Section 651. Price
advertising shall not be fraudulent, deceitful, or misleading,
including statements or advertisements of bait, discounts, premiums,
gifts, or statements of a similar nature.
18108. 18124. (a) A facility
licensed pursuant to this part shall implement sufficient security
measures to both deter and prevent unauthorized entrance into areas
containing marijuana and theft of marijuana at those facilities.
These security measures shall include, but not be limited to, all of
the following:
(1) Allow only qualifying patients, the patient's primary
caregiver, and facility agents access to the facility.
(2) Prevent individuals from remaining on the premises of the
facility if they are not engaging in activity expressly related to
the operations of the facility.
(3) Establish limited access areas accessible only to authorized
facility personnel.
(4) Store all finished marijuana in a secured and locked room,
safe, or vault, and in a manner as to prevent diversion, theft, and
loss.
(b) A facility licensed pursuant to this part shall notify
appropriate law enforcement authorities within 24 hours after
discovering any of the following:
(1) Discrepancies identified during inventory.
(2) Diversion, theft, loss, or any criminal activity involving the
facility or a facility agent.
(3) The loss or unauthorized alteration of records related to
marijuana, registered qualifying patients, personal caregivers, or
facility agents.
(4) Any other breach of security.
(c) A licensed cultivation site shall weigh, inventory, and
account for on video, all medical marijuana to be transported prior
to its leaving its origination location. Within eight hours after
arrival at the destination, the licensed dispensing facility shall
reweigh, reinventory, and account for on video, all transported
marijuana.
18125. The chief shall keep a complete record of all entities
licensed or certified pursuant to this part. This record shall be
made available on the bureau's Internet Web site.
18126. The bureau shall provide state and local law enforcement,
upon their request, with information to verify a license, track
transportation manifests, and track inventories of dispensing
facilities.
18108.5. 18127. (a) The bureau
shall require an annual audit of all licensees licensed pursuant to
this part or otherwise licensed by the bureau to cultivate,
manufacture, process, transport, store, or sell medical
marijuana to be paid for by each licensed vendor and dispensary.
(b) Completed audit reports shall also be submitted by the
licensee to local code enforcement offices, or the appropriate
locally designated enforcement entity, within 30 days of the
completion of the audit.
(c) It is the responsibility of each licensee licensed pursuant to
this part or otherwise licensed by the bureau to cultivate,
manufacture, process, transport, store, or sell medical
marijuana to develop a robust quality assurance protocol that
includes all of the provisions of this part.
18108.6. 18128. (a) A laboratory
certified by the bureau to perform random sample testing of
medical marijuana products pursuant to paragraph (5) of
subdivision (a) of Section 18106 18105
shall not acquire, cultivate, process, possess, store, manufacture,
distribute, sell, deliver, transfer, transport, or dispense
medical marijuana for any purpose other than those authorized
by Article 2.5 (commencing with Section 11362.7) of Chapter 6 of
Division 10 of the Health and Safety Code.
(b) A laboratory certified by the bureau to perform random sample
testing of medical marijuana products pursuant to
paragraph (5) of subdivision (a) of Section 18106
18105 shall not acquire, cultivate, process, possess,
store, manufacture, distribute, sell, deliver, transfer, transport,
or dispense medical marijuana plants or medical
marijuana products except through a licensed cultivation site, or
processing facility a licensed manufacturer
.
18109. 18129. In addition to the
provisions of this part, a license granted pursuant to this part
shall be subject to the restrictions of the local jurisdiction in
which the facility operates or proposes to operate. Even if a license
has been granted pursuant to this part, a facility shall not operate
in a local jurisdiction that prohibits the establishment of that
type of business.
18110. 18130. (a) A willful
violation of Section 18101.2 18106 ,
including any attempt to falsify information on an application as
required by Section 18101.2 18106 , or
to otherwise defraud or mislead a state or local agency in the course
of the application process, shall be punishable by a civil fine of
up to thirty-five thousand dollars ($35,000) for each individual
violation. This subdivision shall apply to both the provisional and
permanent licensing application processes under this part.
(b) A technical violation of Section 18101.2
18106 shall, at the bureau's discretion, be punishable by
a civil fine of up to ten thousand dollars ($10,000) for each
individual violation. This subdivision shall apply to both the
provisional and permanent licensing application processes under this
part.
18110.1. 18131. The executive
officer or any district attorney, county counsel, city attorney, or
city prosecutor may bring an action to enjoin a violation or the
threatened violation of any provision of this part, including, but
not limited to, a licensee's failure to correct objectionable
conditions following notice or as a result of any rule promulgated
pursuant to this part. The action shall be brought in the county in
which the violation occurred or is threatened to occur. Any
proceeding brought pursuant to this part shall conform to the
requirements of Chapter 3 (commencing with Section 525) of Title 7 of
Part 2 of the Code of Civil Procedure. Nothing in this section shall
diminish the authority of a local government to take
requisite enforcement actions pertaining to its own ordinances or
regulations.
18111. 18132. Nothing in this part
shall prevent a city or other local governing body from taking action
as specified in Section 11362.83 of the Health and Safety Code.
18112. 18133. This part shall in no
way supersede the provisions of Measure D, approved by the voters of
the City of Los Angeles on the May 21, 2013, ballot for the city,
which granted medical marijuana businesses and
dispensaries qualified immunity consistent with the terms of the
measure and local ordinances. Notwithstanding the provisions of this
part, marijuana businesses and dispensaries subject to the provisions
of Measure D and its qualified immunity shall continue to be subject
to the ordinances and regulations of the City of Los Angeles.
18134. The bureau shall limit the number of licensed cultivation
sites statewide to prevent the diversion of medical marijuana for
nonmedical purposes. In determining this number, the bureau shall
commence its calculation with the number of cultivation sites
licensed and permitted pursuant to a city, county, or city and county
cultivation ordinance. The bureau shall calculate the number of
sites pursuant to this section based upon the following, after
consultation with law enforcement representatives, health care
providers, and local and statewide health officials:
(a) The need to prevent the potential of diversion of medical
marijuana for nonmedical purposes.
(b) The number of applicants whose applications for licensed
cultivation sites demonstrate that they will be able to produce
consistent products with strict quality controls in full compliance
with this part and with all applicable state and local regulations,
and the amount of medical marijuana those applicants will be able to
provide.
(c) The need for the bureau to ensure that the number of licensed
cultivation sites it approves does not exceed the ability of the
bureau to enforce the provisions of this part, particularly with
respect to conducting regular site visits and audits, ensuring
patient safety, and preventing illegal diversion of marijuana.
(d) A license for a facility or cultivation site shall not be
issued for a premises that is located in a jurisdiction where the
exercise of the rights and privileges conferred by the license are
contrary to a valid zoning ordinance of the city, county, or city and
county.
18113. (a) A patient who cultivates, possesses, stores,
manufactures, or transports marijuana exclusively for his or her
personal medical use and who does not sell, distribute, donate, or
provide marijuana to any other person is not considered a licensee
under this part and is exempt from licensure under this part.
(b) A primary caregiver who cultivates, possesses, stores,
manufactures, transports, or provides marijuana exclusively for the
personal medical purposes of no more than five specified qualified
patients for whom he or she is the primary caregiver within the
meaning of Section 11362.7 of the Health and Safety Code and who does
not receive remuneration for these activities except for
compensation in full compliance with subdivision (c) of Section
11362.765 of the Health and Safety Code is not considered a licensee
under this part and is exempt from licensure under this part.
18114. 18135. (a) Information
identifying the names of patients, their medical conditions, or the
names of their primary caregivers received and contained in records
kept by the bureau for the purposes of administering this part are
confidential and exempt from the California Public Records Act
(Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1
of the Government Code) and are not subject to disclosure to any
individual or private entity, except as necessary for authorized
employees of the State of California to perform official duties
pursuant to this part:
(b) (1) Nothing in this section shall preclude any of the
following:
(A) Bureau employees notifying state or local agencies about
information submitted to the bureau that the employee suspects is
falsified or fraudulent.
(B) Notifications from the bureau to state or local agencies of
apparent violations of this part or any applicable local ordinance.
(C) Verification of requests by state or local agencies to confirm
licenses and certificates issued by the bureau or other state
agency.
(D) Provision of information requested pursuant to a court order
or subpoena issued by a court or an administrative agency or local
governing body authorized by law to issue subpoenas.
(2) Information shall not be disclosed beyond what is necessary to
achieve the goals of a specific investigation or notification or the
parameters of a specific court order or subpoena.
18115. 18136. (a) The actions of a
licensee or provisional licensee, its employees, and its agents,
permitted pursuant to a license or provisional license issued by the
bureau or otherwise permitted by this part, that are conducted in
accordance to the requirements of this part and regulations adopted
pursuant to the authority granted by this part, are not unlawful
under state law and shall not be an offense subject to arrest or
prosecution.
(b) The actions of a person who, in good faith and upon
investigation, allows his or her property to be used by a licensee or
provisional licensee, its employees, and its agents, as permitted
pursuant to a license or provisional license issued by the bureau or
otherwise permitted by this part, are not unlawful under state law
and shall not be an offense subject to arrest or prosecution.
(c) This section shall not be deemed to limit the authority or
remedies of a city, county, or city and county under any provision of
law, including, without limitation, Section 7 of Article XI of the
California Constitution.
18116. 18137. (a) A licensee shall
not cultivate, process, store, manufacture, transport, or sell
medical marijuana in the state unless accurate records are kept at
the licensed premises of the growing, processing, storing,
manufacturing, transporting, or selling by the licensee in the state.
These records shall include the name and address of the supplier of
any marijuana received or possessed by the licensee, the location at
which the marijuana was cultivated, the amount of marijuana received,
the form in which it is received, the name of the employee receiving
it, and the date of receipt. These records shall also include
receipts for all expenditures incurred by the licensee and banking
records, if any, for all funds obtained or expended in the
performance of any activity under the authority of the license,
provided that a licensee licensed to act at more than one premises
may keep all records at one of the licensed premises. Required
records shall be kept for a period of seven years from the date of
the transaction.
(b) The bureau and any state or local agency may make any
examination of the books and records of any licensee and may visit
and inspect the premises of any licensee that the bureau may deem
necessary to perform its duties under this part.
(c) Any books or records requested by the bureau or any state or
local agency shall be provided by the licensee no later than at the
end of the next business day after the request is made.
(d) The bureau or any state or local agency may enter and inspect
the premises of any facility operated by a licensee between the hours
of 8 a.m. and 8 p.m. on any day that the facility is open, or at any
reasonable time, to ensure compliance and enforcement of the
provisions of this part or any local ordinance.
(e) If a licensee or any employee of a licensee refuses, impedes,
obstructs, or interferes with an inspection pursuant to this part or
local ordinance, or if the licensee fails to maintain or provide the
books and records required by this section, the licensee may be
summarily suspended pursuant to this part and the bureau shall
directly commence proceedings for the revocation of the license in
accordance with this part.
18138. This
part shall not be construed to limit a law enforcement agency's
ability to investigate unlawful activity in relation to a licensee
licensed pursuant to this part.
SEC. 5. Section 23028 is added to the Government Code, to read:
23028. (a) (1) In addition to any authority otherwise provided by
law, the board of supervisors of any county may impose, by
ordinance, a tax on the privilege of cultivating, dispensing,
producing, processing, preparing, storing, providing, donating,
selling, or distributing marijuana by a licensee operating pursuant
to Chapter 18 (commencing with Section 26000) of Division 9 of the
Business and Professions Code. The tax may be imposed for general
governmental purposes or for purposes specified in the ordinance by
the board of supervisors.
(2) The board of supervisors shall specify in the ordinance
proposing the tax the activities subject to the tax, the applicable
rate or rates, the method of apportionment, and the manner of
collection of the tax. A tax imposed pursuant to this section is a
tax and not a fee or special assessment, and the tax is not required
to be apportioned on the basis of benefit to any person or property
or be applied uniformly to all taxpayers or all real property.
(3) A tax imposed by a county pursuant to this section by a county
may include a transactions and use tax imposed solely for marijuana
or marijuana products, which shall otherwise conform to Part 1.6
(commencing with Section 7251) of Division 2 of the Revenue and
Taxation Code. Notwithstanding Section 7251.1 of the Revenue and
Taxation Code, the tax may be imposed at any rate specified by the
board of supervisors, and the tax rate authorized by this section
shall not be considered for purposes of the combined tax rate
limitation established by that section.
(4) The tax authorized by this section may be imposed upon any or
all of the activities set forth in paragraph (1), regardless of
whether the activity is undertaken individually, collectively, or
cooperatively, and regardless of whether the activity is for
compensation or gratuitously, as determined by the board of
supervisors.
(5) The board of supervisors shall specify whether the tax applies
throughout the entire county or within the unincorporated area of
the county.
(b) In addition to any other method of collection authorized by
law, the board of supervisors may provide for the
collection of the tax imposed pursuant to this section in the same
manner, and subject to the same penalties and priority of lien, as
other charges and taxes fixed and collected by the county.
(c) Any tax imposed pursuant to this section shall be subject to
applicable voter approval requirements imposed by any other law.
(d) For purposes of this section, "marijuana" shall have the
meanings set forth in Section 18100 of the Business and Professions
Code.
(e) This section does not limit or prohibit the levy or collection
or any other fee, charge, or tax, or any license or service fee or
charge upon, or related to, the activities set forth in subdivision
(a) as otherwise provided by law. This section shall not be construed
as a limitation upon the taxing authority of any county as provided
by other law.
SEC. 6. Section 11362.775 of the Health
and Safety Code is amended to read:
11362.775. (a) Qualified patients, persons
with valid identification cards, and the designated primary
caregivers of qualified patients and persons with identification
cards, who associate within the State of California in order
collectively or cooperatively to cultivate marijuana for medical
purposes, shall not solely on the basis of that fact be subject to
state criminal sanctions under Section 11357, 11358, 11359, 11360,
11366, 11366.5, or 11570.
(b) An individual employee, officer, or board member of a
cultivation site licensee or provisional licensee licensed pursuant
to Part 5 (commencing with Section 18100) of Division 7 of the
Business and Professions Code shall not be subject to state criminal
sanctions under Section 11357, 11358, 11359, 11360, 11366, 11366.5,
or 11570 and any successor statutes, or under any local ordinance
imposing criminal liability for the activities described in those
sections, for the possession, cultivation, processing, packaging for
transport or sale, warehousing, transportation, or sale or
distribution of medical marijuana to a licensee licensed pursuant to
Part 5 (commencing with Section 18100) of Division 7 of the Business
and Professions Code or directly to qualified patients, persons with
valid identification cards, or the designated primary caregivers of
qualified patients or persons with a valid identification card,
within the State of California, unless the information contained on
the licensing paperwork is false or falsified, the license has been
obtained by means of fraud, or the person is otherwise in violation
of Part 5 (commencing with Section 18100) of Division 7 of the
Business and Professions Code.
(c) An individual employee, officer, or board member of a
dispensing facility licensee or provisional licensee licensed
pursuant to Part 5 (commencing with Section 18100) of Division 7 of
the Business and Professions Code shall not be subject to state
criminal sanctions under Section 11357, 11359, 11360, 11366, 11366.5,
or 11570 and any successor statutes, or under any local ordinance
imposing criminal liability for the activities described in those
sections, for the possession, packaging for transport, sale,
warehousing, transportation, sale, or distribution of medical
marijuana to qualified patients, persons with valid identification
cards, or the designated primary caregivers of qualified patients or
persons with a valid identification card, within the State of
California, unless the information contained on the licensing
paperwork is false or falsified, the license has been obtained by
means of fraud, or the person is otherwise in violation of Part 5
(commencing with Section 18100) of Division 7 of the Business and
Professions Code.
(d) This section shall in no way diminish the protections provided
in Section 18101 of the Business and Professions Code.
SEC. 6. SEC. 7. Article 8
(commencing with Section 111658) is added to Chapter 6 of Part 5 of
Division 104 of the Health and Safety Code, to read:
Article 8. Medical Marijuana
111658. For purpose of this article, the following definitions
shall apply:
(a) "Bureau" means the Bureau of Medical Marijuana Regulations in
the Department of Consumer Affairs.
(b) "Certified testing laboratories" means a laboratory that is
certified by the bureau to perform random sample testing of
medical marijuana pursuant to the certification standards for
those facilities promulgated by the bureau.
(c) "Edible medical marijuana product" means
medical marijuana or a medical marijuana-derived
product that is ingested or meant to be ingested through the mouth
and into the digestive system.
(d) "Marijuana" means all parts of the plant Cannabis sativa L.
sativa, cannabis indica, or cannabis ruderalis, whether growing or
not; the seeds thereof; the resin, whether crude or purified,
extracted from any part of the plant; and every compound,
manufacture, salt, derivative, mixture, or preparation of the plant,
its seeds, or resin. "Marijuana" does not include the mature stalks
of the plant, fiber produced from the stalks, oil or cake made from
the seeds of the plant, any other compound, manufacture, salt,
derivative, mixture, or preparation of the mature stalks (except the
resin extracted therefrom), fiber, oil, or cake, or the sterilized
seed of the plant which is incapable of germination. "Marijuana" also
means marijuana, as defined by Section 11018.
(e) "Representative samples" means samples taken from each batch
or shipment of medical marijuana received from a licensed
cultivation site or any other source if intended for sale.
111659. The bureau, by July 1, 2016, shall accomplish the
following:
(a) Establish quality assurance protocols to ensure uniform
testing standards for all medical marijuana sold via
dispensaries or other facilities, or cultivated or manufactured
by any facilities, that are licensed pursuant to Part 5
(commencing with Section 18100) of Division 7 of the Business and
Professions Code.
(b) In consultation with outside entities at its discretion,
develop a list of certified testing laboratories that can perform
uniform testing in compliance with this article, and post that list
on its Internet Web site.
111660. (a) Licensees licensed pursuant to Part 5 (commencing
with Section 18100) of Division 7 of the Business and Professions
Code shall bear the responsibility for contracting with certified
testing laboratories for regular, systematic testing of
representative samples of all medical marijuana cultivated
or intended for sale or distribution, and shall bear the cost of
that testing.
(b) Licensees licensed pursuant to Part 5 (commencing with Section
18100) of Division 7 of the Business and Professions Code shall
provide results of test reports to local code enforcement officers,
any other locally designated enforcement entity, and the bureau both
on a quarterly basis and upon request.
111661. Quality assurance protocols shall be required between all
licensed cultivation sites or licensed processing
facilities , licensed manufacturers, and
licensed dispensing facilities to guarantee safe and reliable
medicinal marijuana delivery to all patients. These quality assurance
protocols shall include:
(a) Providing of supplier information to dispensaries in order for
recall procedures to be implemented, if and when necessary.
(b) Safety testing of all medical marijuana prior to
packaging for sale and patient exposure to identify and eliminate
microbiological contaminants and chemical residue.
(c) Labeling of all medical marijuana and medical
marijuana products that shall, at a minimum, include the
following:
(1) Clear dosage in total milligrams delivered for all products.
(2) Clear indication, in bold font, that the product contains
medical marijuana.
(3) Tetrahydrocannabinol (THC) and
content, cannabidiol (CBD) content , and any
pharmacologically active ingredient as specified by the bureau
.
111662. For purposes of this article, edible medical
marijuana products are deemed to be unadulterated food products. In
addition to the quality assurance standards provided in Section
111661, all edible medical marijuana products shall comply
with the following requirements:
(a) Baked edible medical marijuana products (such as
brownies, bars, cookies, and cakes), tinctures, and other edible
medical marijuana products that do not require refrigeration
or hot holding may be manufactured, sold, or otherwise distributed at
facilities licensed pursuant to Part 5 (commencing with Section
18100) of Division 7 of the Business and Professions Code.
(b) Licensed medical marijuana facilities shall have an
owner or employee who has successfully passed an approved and
accredited food safety certification examination as specified in
Sections 113947.1, 113947.2, and 113947.3 of the Health and
Safety Code prior to selling, manufacturing, or
distributing edible medical marijuana products requiring
refrigeration or hot holding.
(c) Individuals' manufacturing or selling edible medical
marijuana products shall thoroughly wash their hands before
commencing production and before handling finished edible
medical marijuana products.
(d) All edible medical marijuana products shall be
individually wrapped at the original point of preparation. All edible
medical marijuana products shall be packaged in a fashion
that does not exceed a single individual serving size.
(e) Products containing tetrahydrocannabinol (THC) shall be
prepared in compliance with maximum potency standards for THC and THC
concentrates set forth in the bureau's regulations.
(f) Prior to sale or distribution at a licensed dispensing
facility, edible medical marijuana products shall be
labeled and in an opaque and tamper evident package. Labels and
packages of edible medical marijuana products shall meet
the following requirements:
(1) Edible medical marijuana packages and labels shall
not be made to be attractive to children.
(2) All edible medical marijuana product labels shall
include the following information, prominently displayed and in a
clear and legible font:
(A) Manufacture date.
(B) The statement "KEEP OUT OF REACH OF CHILDREN."
(C) The statement "FOR MEDICAL USE ONLY."
(D) Net weight of medical marijuana in package.
(E) A warning, if nuts or other known allergens are used, and
shall include the total weight, in ounces or grams, of medical
marijuana in the package.
(F) Tetrahydrocannabinol (THC) and cannabidiol (CBD) content.
(g) Photos or images of food are not allowed on edible
medical marijuana product packages or labels.
(h) Only generic food names may be used to describe edible
medical marijuana products. For example, "snickerdoodle" may
not be used to describe a cinnamon cookie.
SEC. 7. SEC. 8. The provisions of
this act are severable. If any provision of this act or its
application is held invalid, that invalidity shall not affect other
provisions or applications that can be given effect without the
invalid provision or application.
SEC. 8. SEC. 9. The Legislature
finds and declares that Section 4 of this act imposes a limitation on
the public's right of access to the meetings of public bodies or the
writings of public officials and agencies within the meaning of
Section 3 of Article I of the California Constitution. Pursuant to
that constitutional provision, the Legislature makes the following
findings to demonstrate the interest protected by this limitation and
the need for protecting that interest:
The limitation imposed under this act is necessary for purposes of
compliance with the federal Health Insurance Portability and
Accountability Act of 1996 (42 U.S.C. Sec. 1320d et seq.),
the Confidentiality of Medical Information Act (Part 2.6 (commencing
with Section 56) of Division 1 of the Civil Code), and the Insurance
Information and Privacy Protection Act (Article 6.6
(commencing with Section 79) 791) of
Chapter 1 of Part 2 of Division 1 of the Insurance
Code).
SEC. 9. SEC. 10. No reimbursement is
required by this act pursuant to Section 6 of Article XIII B of the
California Constitution because the only costs that may be incurred
by a local agency or school district will be incurred because this
act creates a new crime or infraction, eliminates a crime or
infraction, or changes the penalty for a crime or infraction, within
the meaning of Section 17556 of the Government Code, or changes the
definition of a crime within the meaning of Section 6 of Article XIII
B of the California Constitution.
