 |
ARIZONA STATE SENATE
Fifty-Fourth Legislature, First Regular Session
AMENDED
medical marijuana; fingerprinting; enforcement
Purpose
Subject to voter approval, statutorily requires officers, board members, employees and volunteers of medical marijuana dispensaries (dispensary agents) and designated caregivers to obtain a level 1 fingerprint clearance card (FPCC). Outlines requirements for regulation by the Arizona Department of Agriculture (AZDA), nonprofit medical marijuana dispensary (dispensary) inspections, confidentiality of records, civil penalties for violations of medical marijuana requirements and the expiration of medical marijuana registry identification cards (ID cards) and registration certificates.
Background
Arizona Medical Marijuana Act
In 2010, Arizona voters approved the Arizona Medical Marijuana Act (Act) which established a regulatory system, overseen by the Department of Health Services (DHS), for a permissible amount of medical marijuana to be dispensed to a qualifying patient for medical use or a person who has agreed to assist with a qualifying patient's medical use of marijuana (designated caregiver). Dispensaries, dispensary agents, qualifying patients and designated caregivers must register with DHS, which approves or denies an application or renewal within 10 days of receipt. Upon approval of an application for registration, DHS issues ID cards to qualifying patients, designated caregivers and dispensary agents and a registration certificate to dispensaries (A.R.S. § 36-2804.03). ID cards and registration certificates expire one year after the date of issuance (A.R.S. § 36-2804.06).
Each person applying as a designated caregiver or dispensary agent must submit a full set of fingerprints to DHS for the purpose of obtaining a state and federal criminal records check (A.R.S. § 36-2819). In order to qualify as a designated caregiver or dispensary agent, a person cannot have a conviction for an excluded felony offense, which includes violent crimes and controlled-substance violations that meet certain criteria (A.R.S. § 36-2801). DHS must immediately revoke the ID card of a dispensary agent who is convicted of an excluded felony offense and may revoke the ID card of any cardholder who knowingly violates any requirement of the Act (A.R.S. § 36-2815).
FPCCs
Statute requires personnel in various professions to have an active FPCC prior to or as a condition of licensure, certification or employment. The Fingerprinting Division (Division) of the Department of Public Safety, receives applications and reviews state and federal criminal records check of applicants to determine their suitability to receive FPCCs and periodically updates the status of current FPCCs. Upon receiving the state and federal criminal records check of an FPCC applicant, the Division verifies that the FPCC applicant is not awaiting trial and has not been previously convicted for committing certain crimes. If the FPCC applicant's state and federal criminal records check does not contain any of the precluding offenses, the Division issues the person an FPCC (A.R.S. § 41-1758.03). There are two types of FPCCs: 1) regular; and 2) level 1. A level 1 FPCC contains more precluding offenses than a regular FPCC (A.R.S. § 41-1758.07).
There may be a decrease in revenue to the Medical Marijuana Fund as a result of extending the expiration date for an ID card or registration certificate from one year to two years and modifying renewal fees for qualifying patients. S.C.R. 1021 requires qualifying patients to pay an ID card renewal fee of $100 every two years, instead of the annual fee of $150 in DHS rule.
Provisions
1. Requires a dispensary to include documentation with a registration certificate renewal application proving that all state and local tax deficiencies are paid or temporarily released.
2. Requires a designated caregiver or dispensary agent to obtain a level 1 FPCC, rather than prohibiting a person from qualifying as a designated caregiver or dispensary agent if the person has been convicted for certain excluded felony offenses.
3. Prohibits DHS from registering a dispensary unless each of the principal officers and board members of the dispensary have valid level 1 FPCCs.
4. Requires the Division to conduct state and federal criminal records checks on any person required to obtain a level 1 FPCC.
5. Requires a dispensary agent to submit a copy of the dispensary agent's level 1 FPCC to DHS when applying for an ID card.
6. Extends the expiration date for ID cards and registration certificates from one year to two years after issuance.
7. Requires a qualifying patient to pay a $100 renewal fee every two years to renew an ID card.
8. Allows DHS to inspect a dispensary during the dispensary's normal business hours, rather than requiring DHS to give reasonable notice of an inspection.
9. Allows information and records kept by DHS to administer the Act to be combined or linked with lists or databases for public health research purposes.
10. Allows DHS to notify the public of inspection and compliance information for dispensaries, including:
a) the name and address of the dispensary; and
b) any complaints and enforcement actions against the dispensary.
11. Allows the Director of DHS to suspend or revoke any medical marijuana registration if a registering party or an officer, agent or employee of a registered party:
a) violates the Act or any rule adopted by DHS relating to medical marijuana; or
b) has been, is or may continue to be in substantial violation of registration requirements and as a result, the health and safety of the public is in immediate danger.
12. Allows the Director of DHS to assess a civil penalty of up to $5,000 for each violation of the Act or a DHS rule (violation).
13. Specifies that each day a violation occurs constitutes a separate violation.
14. Caps the maximum amount of civil penalties assessed for a violation at $25,000 in a 30-day period.
15. Requires the Director of DHS to issue a notice of civil penalty assessments that include the proposed amount of the assessment.
16. Requires DHS to consider certain criteria when determining the amount of a civil penalty assessed for a violation, including:
a) repeated violations;
b) patterns of noncompliance;
c) types and the severity of violations;
d) the potential for and occurrences of actual harm;
e) threats to health and safety;
f) the number of violations;
g) the number of people affected by the violations; and
h) the period of time a violation has occurred.
17. Designates marijuana that a dispensary or designated caregiver cultivates for medical use (medical marijuana) as an agricultural commodity, as defined by AZDA rule.
18. Subjects, beginning June 1, 2021, medical marijuana to regulation by AZDA pursuant to statute and AZDA rule.
19. Allows the Director of AZDA to adopt rules relating to:
a) cultivating medical marijuana;
b) required testing by independent third-party laboratories of medical marijuana; and
c) certifying laboratories that analyze medical marijuana (certified labs), including required sampling and testing.
20. Allows the use of pesticide products that are exempt from federal regulation under the minimum risk exemption to be used for the cultivation of medical marijuana.
21. Requires a person that provides laboratory analysis of medical marijuana to apply for a certificate from the State Agricultural Laboratory.
22. Requires certified labs to report test results only to DHS, the State Agricultural Laboratory and the designated caregiver or dispensary that cultivates the medical marijuana.
23. Prohibits a certified lab from having any familial or financial relationship with or interest in a dispensary or designated caregiver for which the certified lab is testing medical marijuana.
24. Prohibits an employee of AZDA or a certified lab from being charged with or prosecuted for possession of medical marijuana that the employee is using as a sample for testing.
25. Allows the Director of AZDA to enter private property where medical marijuana is cultivated at reasonable time to determine compliance or noncompliance with AZDA rules and orders.
26. Requires the Director of AZDA or the Director of AZDA's agent to notify a dispensary or designated caregiver when entering private property if notice is practicable and will not inhibit enforcement.
27. Allows AZDA to use Medical Marijuana Fund monies to regulate medical marijuana as an agricultural commodity.
28. Modifies the definition of plant and crop to include medical marijuana.
29. Modifies the definition of agricultural seed to include seeds of medical marijuana.
30. Defines designated caregiver, marijuana, medical use, nonprofit medical marijuana dispensary and person.
31. Makes technical and conforming changes.
32. Requires the Secretary of State to submit the proposition to the voters at the next general election.
33. Becomes effective if approved by the voters and on proclamation of the Governor.
Amendments Adopted by Committee
1. Requires a qualifying patient to pay a $100 renewal fee every two years to renew an ID card.
2. Subjects medical marijuana to regulation by AZDA, including:
a) inspection by the Director of AZDA; and
b) testing by certified labs.
3. Allows the Director of AZDA to adopt rules relating to the regulation of medical marijuana.
4. Allows the use of federal minimum risk exemption pesticide products to be used for the cultivation of medical marijuana.
5. Requires a person that provides laboratory analysis of medical marijuana to apply for a certificate from the State Agricultural Laboratory.
6. Outlines requirements for inspection by the Director of AZDA of a private property where medical marijuana is cultivated.
7. Allows Medical Marijuana Fund monies to be used by AZDA to regulate medical marijuana.
8. Outlines confidentiality requirements for test results of certified labs.
9. Prohibits certified labs from having familial or financial relationships with dispensaries or designated caregivers.
10. Prohibits AZDA or certified lab employees for being charged with or prosecuted for possession of medical marijuana.
Senate Action
HHS 2/20/19 DPA 5-3-0
Prepared by Senate Research
February 21, 2019
MH/kja