Bill Text: AZ HB2247 | 2024 | Fifty-sixth Legislature 2nd Regular | Introduced
Bill Title: Marijuana regulatory board; licensing qualifications
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2024-02-14 - House APPROP Committee action: Failed To Pass, voting: (4-6-6-1-0-0) [HB2247 Detail]
Download: Arizona-2024-HB2247-Introduced.html
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REFERENCE TITLE: marijuana regulatory board; licensing qualifications |
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State of Arizona House of Representatives Fifty-sixth Legislature Second Regular Session 2024
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HB 2247 |
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Introduced by Representative Payne
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An Act
amending title 36, chapter 28.1, Arizona Revised Statutes, by adding section 36-2823; amending title 36, chapter 28.2, Arizona Revised Statutes, by adding section 36-2866; amending title 36, Arizona Revised Statutes, by adding chapter 28.3; amending title 41, chapter 27, article 2, Arizona Revised Statutes, by adding section 41-3034.01; relating to marijuana.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Subject to the requirements of article IV, part 1, section 1, Constitution of Arizona, title 36, chapter 28.1, Arizona Revised Statutes, is amended by adding section 36-2823, to read:
36-2823. Registration certificates; qualifications; rules
A. An applicant for a new nonprofit medical marijuana dispensary registration certificate, in addition to meeting any requirements prescribed in this chapter, must be a resident of this state and must demonstrate residency with at least two of the following documents that list the applicant's name and address:
1. A driver license.
2. A state-issued identification card.
3. A property tax bill.
4. A verified copy of state or federal income tax returns for the previous year with an Arizona address.
5. A utility bill and copy of payments made for the previous year.
6. Any other documentation as prescribed in rule.
B. The director may prescribe rules to carry out this section.
Sec. 2. Subject to the requirements of article IV, part 1, section 1, Constitution of Arizona, title 36, chapter 28.2, Arizona Revised Statutes, is amended by adding section 36-2866, to read:
36-2866. Marijuana establishment licenses; qualifications; rules
A. An applicant for a new marijuana establishment license, in addition to meeting any requirements prescribed in this chapter, must be a resident of this state and must demonstrate residency with at least two of the following documents that list the applicant's name and address:
1. A driver license.
2. A state-issued identification card.
3. A property tax bill.
4. A verified copy of state or federal income tax returns for the previous year with an Arizona address.
5. A utility bill and copy of payments made for the previous year.
6. Any other documentation as prescribed in rule.
B. The director may prescribe rules to carry out this section.
Sec. 3. Subject to the requirements of article IV, part 1, section 1, Constitution of Arizona, title 36, Arizona Revised Statutes, is amended by adding chapter 28.3, to read:
CHAPTER 28.3
ARIZONA MARIJUANA REGULATORY BOARD
ARTICLE 1. GENERAL PROVISIONS
36-2881. Definitions
A. In this chapter, unless the context otherwise requires:
1. "Board" means the Arizona marijuana regulatory board.
2. "Independent third-party laboratory" has the same meaning prescribed in section 36-2801.
3. "Marijuana establishment" has the same meaning prescribed in section 36-2850.
4. "Marijuana testing facility" has the same meaning prescribed in section 36-2850.
5. "Nonprofit medical marijuana dispensary" has the same meaning prescribed in section 36-2801.
6. "Qualifying patient" has the same meaning prescribed in section 36-2801.
B. Notwithstanding any other law, for the purposes of chapters 28.1 and 28.2 of this title:
1. "Department" means the Arizona marijuana regulatory board.
2. "Director" means the director of the board.
36-2882. Arizona marijuana regulatory board; membership; appointments; duties; compensation
A. The Arizona marijuana regulatory board is established consisting of seven members as follows:
1. Two members who have public health expertise.
2. Two members who have laboratory testing expertise in this state and who are not affiliated with an independent third-party laboratory or marijuana testing facility.
3. Two public members who do not have an ownership interest in a nonprofit medical marijuana dispensary, a marijuana establishment, an independent third-party laboratory or a marijuana testing facility.
4. One member who is either a qualifying patient or a family member of a qualifying patient.
B. The members of the board shall be appointed by the governor pursuant to section 38-211. Not more than four board members may be of the same political party, and not more than four board members may be residents of the same county. Board member appointments are for a term of five years and expire on the third Monday in January of the appropriate year. The board shall meet at least once every month.
C. Each board member:
1. Shall sign an agreement to comply with all confidentiality requirements of matters that come before the board.
2. Is subject to the provisions of title 38, chapter 3, article 8 relating to conflict of interest, shall sign a conflict of interest statement that identifies and discloses any potential conflict of interest and may not participate, in any manner, in any matter in which the board member has a conflict of interest.
3. May not vote on any measure in which the board member or a family member or partner of the board member has a pecuniary interest.
4. May not miss more than one board meeting within a six-month period.
D. The governor may remove a board member only for cause. A board member who is removed for cause must be provided written notice and an opportunity to respond. The governor may remove a board member based on written findings that specify the reason for removal.
E. The board shall administer the laws of this state relating to marijuana as set forth in this chapter and chapters 28.1 and 28.2 of this title.
F. The members of the board are eligible to receive compensation not to exceed $200 per day for each day spent in the discharge of their duties and all expenses necessarily and properly incurred in attending meetings.
36-2883. Board; duties
The board shall have the authority and responsibilities prescribed in this chapter and chapters 28.1 and 28.2 of this title.
36-2884. Director; duties; rules; compensation
A. The board shall appoint a director who has the authority and responsibilities prescribed in this chapter and chapters 28.1 and 28.2 of this title and any other authority and responsibility that the board deems necessary. The director shall adopt rules as prescribed in this chapter and chapters 28.1 and 28.2 of this title.
B. The director's compensation shall be determined pursuant to section 38-611.
C. The director shall employ all employees of the board and may employ any necessary consultants. The compensation of employees of the board shall be as determined pursuant to section 38-611.
36-2885. Microbusiness license; restrictions; applicant requirements; rules
A. Notwithstanding any provision of chapter 28.2 of this title, except the location and zoning provisions, the board may issue a microbusiness license that allows a license holder to do all of the following at a single location:
1. Cultivate up to one hundred fifty marijuana plants.
2. Process the marijuana and marijuana products from the plants, including concentrates, edibles and other infused products.
3. Package the marijuana and marijuana products.
4. Sell the marijuana and marijuana products to persons who are at least twenty-one years of age.
B. A microbusiness license holder may not sell marijuana or marijuana products cultivated and processed at the microbusiness location to a nonprofit medical marijuana dispensary or a marijuana establishment.
C. An applicant for a microbusiness license:
1. May not own a nonprofit medical marijuana dispensary or a marijuana establishment in this state or a comparable business in another state.
2. Must be a resident of this state for at least the preceding two years before applying.
D. A microbusiness license is valid for two years. The board may establish in rule fees for the issuance of a microbusiness license and license renewal.
E. The board shall adopt any rules deemed necessary to implement this section.
Sec. 4. Subject to the requirements of article IV, part 1, section 1, Constitution of Arizona, title 41, chapter 27, article 2, Arizona Revised Statutes, is amended by adding section 41-3034.01, to read:
41-3034.01. Arizona marijuana regulatory board; termination July 1, 2034
A. The Arizona marijuana regulatory board terminates on July 1, 2034.
B. Title 36, chapter 28.3 and this section are repealed on January 1, 2035.
Sec. 5. Initial terms of members of the Arizona marijuana regulatory board
A. Notwithstanding section 36-2882, Arizona Revised Statutes, as added by this act, the initial terms of members of the Arizona marijuana regulatory board are:
1. Two terms ending January 1, 2028.
2. Three terms ending January 1, 2029.
B. The governor shall make all subsequent appointments as prescribed by statute.
Sec. 6. Succession; transfer; effect
A. As provided by this act, the Arizona marijuana regulatory board succeeds to the authority, powers, duties and responsibilities of the department of health services relating to the regulation of both medical marijuana and adult-use marijuana.
B. This act does not alter the effect of any actions that were taken or impair the valid obligations of the department of health services relating to the Arizona medical marijuana act and the responsible adult use of marijuana before January 1, 2026.
C. Administrative rules and orders that were adopted by the department of health services relating to the Arizona medical marijuana act and the responsible adult use of marijuana continue in effect until superseded by administrative action by the Arizona marijuana regulatory board.
D. All administrative matters, contracts and judicial and quasi-judicial actions, whether completed, pending or in process, of the department of health services relating to the Arizona medical marijuana act and the responsible adult use of marijuana on January 1, 2026 are transferred to and retain the same status with the Arizona marijuana regulatory board.
E. All certificates, licenses, registrations, permits and other indicia of qualification and authority that were issued by the department of health services relating to the Arizona medical marijuana act and the responsible adult use of marijuana retain their validity for the duration of their terms of validity as provided by law.
F. All equipment, records, furnishings and other property, all data and investigative findings and all obligations on January 1, 2026 of the department of health services relating to the Arizona medical marijuana act and the responsible adult use of marijuana are transferred to the Arizona marijuana regulatory board.
G. All personnel who are under the state personnel system and employed by the department of health services relating to the Arizona medical marijuana act and the responsible adult use of marijuana are transferred to comparable positions and pay classifications in the respective administrative units of the Arizona marijuana regulatory board on January 1, 2026.
Sec. 7. Purpose
Pursuant to section 41-2955, subsection E, Arizona Revised Statutes, the legislature establishes the Arizona marijuana regulatory board to promote the public health and safety relating to marijuana in this state.
Sec. 8. Conforming legislation
The legislative council staff shall prepare proposed legislation conforming the Arizona Revised Statutes to the provisions of this act for consideration in the fifty-seventh legislature, first regular session.
Sec. 9. Effective date
Title 36, chapter 28.3, Arizona Revised Statutes, added by this act, section 41-3034.01, Arizona Revised Statutes, as added by this act, and sections 5, 6 and 7 of this act are effective from and after December 31, 2025.
Sec. 10. Requirements for enactment; three-fourths vote
Pursuant to article IV, part 1, section 1, Constitution of Arizona, sections 36-2823 and 36-2866, Arizona Revised Statutes, title 36, chapter 28.3, Arizona Revised Statutes, and section 41-3034.01, Arizona Revised Statutes, as added by this act, are effective only on the affirmative vote of at least three-fourths of the members of each house of the legislature.
