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SB 1286: medical marijuana; dispensary registration; priority

PRIME SPONSOR: Senator Gowan, LD 14

BILL STATUS: Caucus & COW

                                RA: DP 7-0-0-0

 

Overview

☒ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal NoteEstablishes an order of priority for the issuance of nonprofit medical marijuana dispensary (dispensary) registration certificates. Outlines requirements for approval and relocation of dispensary locations.

History

Dispensaries are required to operate on a not-for-profit basis and register with the Department of Health Services (DHS). If an applicant meets all statutorily outlined requirements, DHS is required to register a dispensary and issue a registration certificate with a random 20-digit identification number within 90 days. DHS is prohibited from issuing more than one dispensary registration certificate for every 10 registered pharmacies, except to ensure that there is at least one dispensary in each county (A.R.S. § 36-2804).

Each year, DHS is required to review current dispensary registration certificates to determine if additional certificates may be issued. If DHS receives more applications than they are allowed to issue, DHS must allocate the dispensary registration certificates as follows: 1) to a county that does not contain a dispensary; 2) to a Community Health Analysis Area (CHAA) that has the most registry identification cards issued to qualifying patients who reside in the CHAA; and 3) to the applicant whose location will provide services to the most qualifying patients based on specified criteria (A.A.C. R9-17-303).

Provisions

1.       Requires DHS to issue new dispensary registration certificates based on the dispensary's geographic area, in the following order of priority:

a.       Priority 1: The geographic area had a dispensary move from the area and is at least 25 miles from another dispensary;

b.       Priority 2: The geographic area is at least 25 miles from another dispensary; and

c.        Priority 3: According to rule, if there are no Priority 1 or 2 dispensary registration certificate applications.  (Sec. 1)

2.       Stipulates that if multiple Priority 1 applications are received from previously approved dispensary locations, DHS must approve the application that serves the most qualifying patients within five miles of the proposed dispensary location. (Sec. 1)

3.       Allows DHS to issue the registration certificate by random drawing if multiple Priority 2 applications are received or if there are not applications from previously approved dispensary locations. (Sec. 1)

4.       Requires a dispensary to be opened at the approved location within 18 months after the application is approved or the registration certificate becomes invalid. (Sec. 1)

5.       Allows a dispensary that is issued a Priority 1 or 2 registration certificate to relocate only as follows:

a.       Within the same city or town; or

b.       If the dispensary is located in an unincorporated area, within the same county but not within 25 miles of another dispensary. (Sec. 1)

6.       Requires DHS to accept and process any application for a dispensary in a county that does not have an operating dispensary if the maximum number of allowed licenses has not been reached. (Sec. 1)

7.       Contains a legislative intent clause. (Sec. 2)

8.       Contains a Proposition 105 clause. (Sec. 3)

 

 

 

 

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Fifty-fourth Legislature                               SB 1286

First Regular Session                    Version 2: Caucus & COW

 

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