BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 1300
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          Date of Hearing:   April 26, 2011
          Counsel:                Milena Nelson


                         ASSEMBLY COMMITTEE ON PUBLIC SAFETY
                                 Tom Ammiano, Chair

                 AB 1300 (Blumenfield) - As Amended:  March 31, 2011
           

                                        REVISED
           

          SUMMARY  :   Defines "marijuana cooperative or collective" and 
          allows local governments to regulate marijuana cooperatives and 
          collectives.  Specifically,  this bill  :  

          1)Defines a "marijuana cooperative or collective" as a location 
            where qualified patients, persons with valid identification 
            cards, or the designated primary caregiver of qualified 
            patients or persons with identification cards associate within 
            this state in order to collectively or cooperatively cultivate 
            or dispense marijuana for medical purposes to person 
            authorized to possess medical marijuana, as specified. 

          2)Allows cities or other local governing bodies to adopt and 
            enforce local ordinances that regulate the location, operation 
            or establishment of a medical marijuana cooperative or 
            collective; the civilly or criminally enforce those local 
            ordinances; and to enact other laws consistent with the 
            Medical Marijuana Program (MMP), as specified.  

           EXISTING LAW  :

          1)States the People of the State of California hereby find and 
            declare that the purposes of the Compassionate Use Act of 1996 
            are as follows:

             a)   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 








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               marijuana provides relief.

             b)   To ensure that patients and their primary caregivers who 
               obtain and use marijuana for medical purposes upon the 
               recommendation of a physician are not subject to criminal 
               prosecution or sanction.

             c)   To encourage the Federal and State governments to 
               implement a plan to provide for the safe and affordable 
               distribution of marijuana to all patients in medical need 
               of marijuana. İHealth and Safety Code (HSC) Section 
               11362.5(b)(1)(A) to (C).] 

          2)Provides that nothing in this law shall be construed to 
            supersede legislation prohibiting persons from engaging in 
            conduct that endangers others, or to condone the diversion of 
            marijuana for non-medical purposes.  İHSC Section 
            11362.5(b)(2).]

          3)States notwithstanding any other provision of law, no 
            physician in California shall be punished, or denied any right 
            or privilege, for having recommended marijuana to a patient 
            for medical purposes.  İHSC Section 11362.5(c).]

          4)States existing law, relating to the possession of marijuana 
            and the cultivation of marijuana, shall not apply to a 
            patient, or to a patient's primary caregiver, who possesses or 
            cultivates marijuana for the personal medical purposes of the 
            patient upon the written or oral recommendation or approval of 
            a physician.  İHSC Section 11362.5(d).]

          5)Provides that 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 existing law.  (Welfare and 
            Institutions Code Section 11362.775.)

          6)Prohibits any medical marijuana cooperative, collective, 
            dispensary, operator, establishment, or provider who possess, 
            cultivates, or distributes medical marijuana, as specified, 
            from being located within 600 feet of a school.  (Welfare and 
            Institutions Code Section 11362.768.)








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           FISCAL EFFECT  :   Unknown

           COMMENTS  :   

           1)Author's Statement  : According to the author, "AB 1300 
            clarifies California's medical marijuana laws to protect the 
            right of communities to regulate dispensaries in a manner 
            consistent with the intent of the voters who authorized the 
            use of marijuana for medical purposes."

           2)Background  :  According to information provided by the author, 
            "AB 1300 clarifies two important components of our state's 
            medical marijuana laws.  The bill clarifies provisions of the 
            Medical Marijuana Program (MMP) Act of 2003 relating to the 
            authority of local governments to enact ordinances affecting 
            medical marijuana collectives or cooperatives.  This is 
            necessary due to the frequency of lawsuits challenging the 
            authority of local governments to regulate land use, zoning, 
            business licensure, and use permit conditions as they affect 
            the operations of what are commonly referred to as 
            dispensaries or pot clubs. 

          "Under article XI, section 7 of the California Constitution, 'A 
            county or city may make and enforce within its limits all 
            local, police, sanitary, and other ordinances and regulations 
            not in conflict with general laws.'  Yet some argue that the 
            Proposition 215 of 1996 and the MMP constitute the parameters 
            of medical marijuana cooperative or collective regulation and, 
            therefore, preclude local governments from enforcing any 
            additional requirements.  In the wake of key court cases on 
            point, this bill clarifies state law so that communities may 
            adopt ordinances and enforce them without the instability and 
            expense of lawsuits challenging legal issues that have already 
            been resolved.  

          "This provision of the bill is written to be consistent with our 
            state constitution and three appellate court decisions:  (1) 
            City of Claremont v. Darrell Kruse, which found that there is 
            nothing in the text or history of Proposition 215 suggesting 
            that the voters intended to mandate municipalities to allow 
            medical marijuana dispensaries to operate within their 
            jurisdictions, or to alter the fact that land use has 
            historically been a function of local government under their 
            grant of police power.  (2) City of Corona v. Ronald Naulls, 








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            which found that a dispensary's failure to comply with the 
            city's procedural requirements before opening and operating a 
            medical marijuana dispensary could be prosecuted as a 
            nuisance.  (3) County of Los Angeles v. Martin Hill, which 
            found the MMP does not confer on qualified patients and their 
            caregivers the unfettered right to cultivate or dispense 
            marijuana anywhere they choose, and that dispensaries are not 
            similarly situated to pharmacies and, therefore, do not need 
            to be treated equally under local zoning laws.

          "The bill also defines medical marijuana 'collaborative or 
            cooperative' in order to specify the parameters of local 
            authority for medical marijuana regulation consistent with 
            Proposition 215 of 1996 and the MMP.  While terms such as 
            'dispensary' or 'pot club' are frequently used, neither 
            construct is authorized under state law.  Section 11362.775 of 
            the MMP specifies collectives and/or cooperatives as the legal 
            basis through which medical marijuana may be legally obtained. 
             However, there is no definition for them in law.  All we have 
            in place are guidelines issued by the Attorney General in 2008 
            and two key elements of the MMP:  (1) a prohibition against 
            medical marijuana profiteering in Health and Safety Code 
            11362.765 and (2) a prohibition against citing them within a 
            600 foot radius of a school in Health and Safety Code 
            11362.768.  

          "The urgency to enact a definition is further enhanced by the 
            dramatic growth in medical marijuana dispensaries, which has 
            occurred primarily since the 2009 announcement that 
            dispensaries operating under state laws will not be prosecuted 
            by the US Department of Justice.  With medical marijuana sales 
            expected to be $1.7 billion this year, a definition is 
            necessary to prevent abuses in our medical marijuana program 
            and to help ensure that patients may obtain and use medical 
            marijuana in a manner consistent with the will of the voters 
            who approved Proposition 215 and the MMP which was enacted for 
            the benefit of patients and their caregivers."

           3)Compassionate Use Act of 1996 (Proposition 215)  :  In November 
            1996, Californians voted in favor of Proposition 215, the 
            "Compassionate Use Act".  Pursuant to HSC Section 11362.5, the 
            Act ensured the right of patients to obtain and use marijuana 
            in California to treat specified serious illnesses.  
            Additionally, the Act protected physicians who appropriately 
            recommended the use of marijuana to patients for medical 








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            purposes and exempted qualified patients and their primary 
            caregivers from California drug laws prohibiting possession 
            and cultivation of marijuana.  (McCabe, It's High Time:  
            California Attempts to Clear the Smoke Surrounding the 
            Compassionate Use Act, 35 McGeorge L. Rev. 545, 546.)

          "Although qualifying patients and their caregivers are exempt 
            from California state cultivation and possession laws under 
            the Act, there are no provisions addressing other relevant 
            issues, such as the formation of cooperatives for the purpose 
            of cultivating and distributing marijuana, transportation of 
            marijuana by patients or caregivers, or provisions 
            establishing the quantity of marijuana a qualified person may 
            possess.  Further, absence of uniform guidelines adversely 
            affected the ability of law enforcement officers to enforce 
            the Act, resulting in inconsistent application.  It has even 
            been alleged that Proposition 215 was purposely drafted to be 
            vague."  (Ibid at 547.)    

          The United States Supreme Court specifically ruled on whether 
            the Compassionate Use Act of 1996 could decriminalize the use 
            of marijuana for medicinal purposes.  Gonzalez vs. Raich 
            (2004) 125 S.Ct. 3195 held California could not exempt 
            marijuana for medicinal use from the criminal possession 
            statute.  The Court based its ruling on the idea that use of 
            "any commodity, be it wheat or marijuana, has a substantial 
            effect on the supply and demand in the national market for 
            that commodity" and, hence, falls within interstate commerce.  
            The Court ruled that the Federal Control Substances Act 
            preempts any state attempt to decriminalize marijuana (Raich 
            at 2208), meaning that federal agencies may enforce federal 
            law in California notwithstanding the Compassionate Use Act, 
            but there is no requirement that state law enforcement assist 
            in enforcement. 

          In City of Garden Grove vs. Superior Court of Orange County 
            (hereinafter City of Garden Grove) (2007) 157 Cal.App. 4th 
            355, the court of appeal argued that a defendant, whose 
            charges of marijuana transportation were dismissed, was 
            entitled to the return of seized marijuana.  The trial court 
            granted the patient's motion for return of property.  The 
            appellate court held that the city had standing under existing 
            law to seek a writ of mandate because the question of whether 
            medical marijuana patients were entitled to the return of 
            lawfully seized marijuana was an issue of considerable public 








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            interest.  The court stated that the patient's marijuana 
            possession was legal under state law but illegal under federal 
            law.  The court concluded that his possession was lawful for 
            purposes of obtaining the return of property because state 
            courts were not required to enforce federal drug laws.  
            Further, the federal drug laws did not preempt state law under 
            the supremacy clause of the United States Constitution as to 
            the return of medical marijuana to qualified users.  Due 
            process required the return of seized property after the 
            dismissal of a criminal charge.  (City of Garden Grove at 
            370.)

           4)California Constitutional Limitations on Legislative 
            Regulation of Medical Marijuana  :  SB 420 (Vasconcellos), 
            Chapter 875, Statutes of 2003, developed and clarified 
            Proposition 215.  Much of the state regulatory scheme for use 
            of medical marijuana defers to city and counties to draft 
            their own rules.  Health and Safety Code Section 11362.77 
            states, in relevant part, "Counties and cities may retain or 
            enact medical marijuana guidelines allowing qualified patients 
            or primary caregivers to exceed the state limits" for 
            marijuana possession set forth existing law.  İHSC Section 
            11362.77(c).]  Health and Safety Code Section 11362.72(a) 
            requires county departments of health to issue and regulate 
            medical marijuana identification cards.  As noted above, SB 
            420 provided statutory guidelines for a right established 
            through initiative.  

          The California Supreme Court very recently ruled on the 
            Legislature's ability to regulate the use of medical marijuana 
            because it was an initiative.  The California Constitution 
            states, "The Legislature may amend or repeal referendum 
            statutes.  It may amend or repeal an initiative statute by 
            another statute that becomes effective only when approved by 
            the electors unless the initiative statute permits amendment 
            or repeal without their approval."  İCal. Const., Art. II, 
            Sec. 10.]  Therefore, unless the initiative expressly 
            authorizes the Legislature to amend, only the voters may alter 
            statutes created by initiative.  Proposition 215 is silent as 
            to the Legislature's authority to amend that proposition. 

          "The purpose of California's constitutional limitation on the 
            Legislature's power to amend initiative statutes is to protect 
            the people's initiative powers by precluding the Legislature 
            from undoing what the people have done, without the 








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            electorate's consent.  Courts have a duty to jealously guard 
            the people's initiative power, and hence to apply a liberal 
            construction to this power wherever it is challenged in order 
            that the right to resort to the initiative process is not 
            improperly annulled by a legislative body.  At the same time, 
            despite the strict bar on the Legislature's authority to amend 
            initiative statutes, the Legislature is not precluded from 
            enacting laws addressing the general subject matter of an 
            initiative.  The Legislature remains free to address a related 
            but distinct area."  İProposition 103 Enforcement Project vs. 
            Quackenbush (1998) 64 Cal.App. 1473.] 

          In People vs. Kelly, the California Supreme Court ruled that the 
            Legislative restriction on the number of plants a person may 
            possess was unconstitutional as it interfered with the rights 
            established by the initiative.  Although the Legislature may 
            be able to clarify or expand the rights established in 
            Proposition 215, it may not enact legislation that interferes 
            with the use of marijuana for medicinal purposes.  The Kelly 
            Court stated:  

          "Under the CUA İCompassionate Use Act], as adopted by 
            Proposition 215, these individuals are not subject to any 
            specific limits and do not require a physician's 
            recommendation in order to exceed any such limits; instead 
            they may possess an amount of medical marijuana reasonably 
            necessary for their, or their charges', personal medical 
            needs.  By extending the reach of Health and Safety Code 
            Section 11362.77's quantity limitations beyond those persons 
            who voluntarily register under the MMP İMedical Marijuana 
            Program] and obtain an identification card that provides 
            protection against arrest - and by additionally restricting 
            the rights of all qualified patients and primary caregivers 
            who fall under the CUA - the language of Section Health and 
            Safety Code Section 11362.77 effectuates a change in the CUA 
            that takes away from rights granted by the initiative statute. 
             In this sense, İHealth and Safety Code Section 11362.77] 
            quantity limitations conflict with - and thereby substantially 

          restrict - the CUA's guarantee that a qualified patient may 
            possess and cultivate any amount of marijuana reasonably 
            necessary for his or her current medical condition.  In that 
            respect, Section 11362.77 improperly amends the CUA in 
            violation of the California Constitution." İPeople vs. Kelly 
            (hereinafter Kelly) (2010) 47 Cal.4th 1008, 1044.]








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          This bill specifies that local government entities may adopt 
            local ordinances that regulate the location, operation, or 
            establishment of medical marijuana cooperative or collective.  
            It is arguable this restriction may be used to completely 
            eliminate medical marijuana dispensaries.  In that case, the 
            prohibition may be viewed by the court as "substantially 
            restricting" access to medical marijuana.  If that is the 
            case, this proposed legislation, if enacted, may be 
            invalidated as unconstitutional.  

           5)Related Legislation  :

             a)   AB 1017 (Ammiano) makes the penalty for the cultivation 
               of marijuana an alternate felony/misdemeanor.  AB 1017 is 
               pending hearing by this Committee.

             b)   AB 223 (Ammiano) establishes a comprehensive and 
               multidisciplinary commission that is empowered to address 
               issues regarding the legality and implementation of the 
               Compassionate Use Act of 1996 and the state's medical 
               marijuana law.  AB 223 is pending hearing by this 
               Committee.  

             c)   AB 472 (Ammiano) provides that it shall not be a crime 
               for any person who experiences a drug overdose to seek 
               medical assistance or for any other person to seek medical 
               assistance for a person who overdoses.  AB 472 is pending a 
               vote on the Assembly Floor.  

           6)Previous Legislation  :

             a)   AB 390 (Ammiano) would have legalized the possession, 
               sale, cultivation and other conduct relating to marijuana 
               by persons over the age of 21.  AB 390 passed this 
               Committee and was never heard in the Assembly Committee on 
               Health.

             b)   SB 847 (Vasconcellos), Chapter 750, Statutes of 1999, 
               established the Marijuana Research Act of 1999 and provided 
               that the Regents of the University of California, if they 
               elect to do so, may implement a three-year program, the 
               "California Marijuana Research Program", under which funds 
               would be provided for studies intended to ascertain the 
               general medical safety and efficacy of marijuana and, if 








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               found valuable, to develop medical guidelines for the 
               appropriate administration and use of marijuana.

             c)   SB 791 (McPherson), of the 2001-02 Legislative Session, 
               would have reduced simple possession of not more than 28.5 
               grams of marijuana to an infraction for the first offense 
               and an alternate infraction/misdemeanor for the second 
               offense.  SB 791 failed passage on the Assembly Floor.

             d)   SB 420 (Vasconcellos), Chapter 875, Statutes of 2003, 
               establishes a voluntary registry identification card system 
               for patients authorized to engage in the medical use of 
               marijuana and their caregivers.

             e)   SB 131 (Sher), of the 2003-04 Legislative Session, would 
               have reduced simple possession of not more than 28.5 grams 
               of marijuana to an infraction for the first offense, would  
               have reduced simple possession for a subsequent offense to 
               an alternate infraction/misdemeanor, and would have 
               increased the penalty for an offense to a fine of not more 
               than $250.  SB 131 failed passage on the Assembly floor, 
               was granted reconsideration, and was never re-heard.

             f)   SB 797 (Romero), of the 2005-06 Legislative Session, 
               would have reclassified a first offense for simple 
               possession of not more than 28.5 grams of marijuana as an 
               alternate infraction/misdemeanor and increases the penalty 
               for the offense from $100 to $250.  SB 797 failed passage 
               on the Assembly Floor and was moved to the Inactive File 
               after being granted reconsideration.  

             g)   AB 684 (Leno), of the 2007-08 Legislative Session, would 
               have clarified the definition of "marijuana" contained in 
               the Uniformed CSA to exclude industrial hemp, except where 
               the plant is cultivated or processed for purposes not 
               expressly allowed, as specified.  AB 684 was vetoed. 

             h)   AB 2743 (Saldana), of the 2007-08 Legislative Session, 
               would have stated that it is the policy of California that 
               its agencies and agents not cooperate in federal raids and 
               prosecutions for marijuana related offenses if the target 
               is a qualified patient.  AB 2743 was moved to the Inactive 
               File on the Assembly Floor.

           REGISTERED SUPPORT / OPPOSITION  :   








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           Support 
           
          Americans for Safe Access
          California NORML
          Drug Policy Alliance

           Opposition 
           
          None
           
          Analysis Prepared by  :    Milena Nelson / PUB. S. / (916) 
          319-3744