BILL ANALYSIS Ó ------------------------------------------------------------ |SENATE RULES COMMITTEE | SB 1182| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ THIRD READING Bill No: SB 1182 Author: Leno (D) Amended: 4/9/12 Vote: 21 SENATE PUBLIC SAFETY COMMITTEE : 5-2, 4/24/12 AYES: Hancock, Calderon, Liu, Price, Steinberg NOES: Anderson, Harman SUBJECT : Medical marijuana access and distribution SOURCE : Author DIGEST : This bill (1) provides that a cooperative, collective or other business entity that operates within the Attorney General's (AG) guidelines shall not be subject to prosecution for marijuana possession or commerce, as specified; and (2) provides that where such an entity operates within the AG's guidelines, the entity and its employees, officers and members shall not be subject to prosecution for marijuana commerce because the entity or its employees, officers, or members received compensation for actual expenses incurred in carrying out activities in compliance with the guidelines. ANALYSIS : Existing law, the Compassionate Use Act of 1996 (Act) (Health and Safety Code (HSC) Section 11362.5), includes the following purposes: 1. To ensure that seriously ill Californians have the right CONTINUED SB 1182 Page 2 to obtain and use marijuana for medical purposes where such use is deemed appropriate and has been recommended by a physician for treatment of cancer, anorexia, AIDS, chronic pain, spasticity, glaucoma, arthritis, migraine, or any other illness for which marijuana provides relief. 2. To ensure that patients and primary caregivers who obtain and use marijuana for medical purposes upon the recommendation of a physician are not subject to criminal prosecution. 3. 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. (HSC Section 11362.5, subd. (b)(1)(A)-(C)) The Act also provides: 1. The Act shall not 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. (HSC Section 11362.5, subd. (b)(2)) 2. No physician in California shall be punished or denied any right or privilege for recommending medical marijuana to a patient. (HSC Section 11362.5, subd. (c)) 3. Penal laws 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. (HSC Section 11362.5, subd. (d)) Existing law 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 SB 1182 Page 3 cultivate marijuana for medical purposes, shall not solely on the basis of that fact be subject to state criminal sanctions under existing law. (HSC Section 11362.775) Existing law directs the AG to develop and adopt appropriate guidelines to ensure the security and nondiversion of medical marijuana. (HSC Section 11362.81, subd. (d).) Section IV of the guidelines concern collectives and cooperatives. Existing law 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. There are specified exceptions for medical or elder care facilities, local ordinances adopted prior to enactment of the state standard and for later adopted ordinances that are more restrictive than state law. (HSC Section 11362.768) Existing law 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, as follows: 1. A local government entity may enforce a medical marijuana ordinance through civil or criminal remedies and actions. 2. A local government entity may enact other laws consistent with the Medical Marijuana Program, as specified. (HSC Section 11362.83) This bill provides that for any medical marijuana collective, cooperative, or other business entities that comply with medical marijuana guidelines published by the AG, the following shall apply: 1. The cooperative, collective or businesses entity, and the employees, officers and members thereof shall be exempt from criminal prosecution and nuisance abatement actions, as specified. 2. The fact that a cooperative, collective or businesses SB 1182 Page 4 entity, including an employee, officer or member thereof, receives compensation for actual expenses for activities carried out within the guidelines published by the AG shall not be subject to prosecution under HSC Sections 11359 and 11360. FISCAL EFFECT : Appropriation: No Fiscal Com.: No Local: No SUPPORT : (Verified 4/25/12) American Civil Liberties Union Americans for Safe Access California NORML California Public Defenders Association County of Mendocino Crusaders for Patients Rights Drug Policy Alliance Lawmen Protecting Patients Marijuana Policy Project The Greater Los Angeles Collective Alliance OPPOSITION : (Verified 5/1/12) Association for Los Angeles Deputy Sheriffs Association of Orange County Deputy Sheriffs California Fraternal Order of Police California Narcotic Officers' Association California Police Chiefs Association Long Beach Police Officers Association Los Angeles County Professional Peace Officers Association Los Angeles Police Protective League Riverside Sheriffs' Association Sacramento Deputy Sheriffs' Association Santa Ana Police Officers Association ARGUMENTS IN SUPPORT : According to the author: Senate Bill 1182 will clarify the legality of medical cannabis collectives, cooperatives, and other business entities that are organized and operated in compliance with the Guidelines For The Security And Non-Diversion of Marijuana Grown For Medical Use issued by the Attorney General in 2008. The bill also clarifies the rights of SB 1182 Page 5 these entities and their officers, employees and members to receive compensation pursuant to and consistent with statute and the guidelines of the Attorney General. The legality of medical marijuana collectives, cooperatives, and other business entities is ambiguous under current state law resulting in needless arrests and prosecutions. Lack of certainty in the law creates confusion on the part of local elected officials who increasingly choose to ban collectives and cooperatives rather than adopt reasonable regulations that protect public safety, prevent neighborhood nuisances and provide for safe access for qualified patients and their designated primary caregivers. SB 1182 provides a focused solution that clarifies elements of state law. This simple fix is compatible with, and may be enacted independently of, omnibus legislation that may provide a more comprehensive solution to state medical marijuana issues. While it is beyond our reach to resolve the conflict in federal and state law, there is no valid reason to further delay resolving existing ambiguities in state law that are within our power to fix. ARGUMENTS IN OPPOSITION : Law enforcement groups opposed to this bill indicate, "Not only is this measure in violation of federal law, but it also is even inconsistent with Proposition 215. Proposition 215 is very clear that marijuana may be cultivated or provided by qualified patients, or by caregivers. Proposition 215 did not authorize cultivation or distribution of marijuana by any other entities. Senate Bill 1182 dramatically changes that state of affairs by evidently permitting "collectives, cooperatives, or other business entities" to engage in cultivation or distribution of so-called medical marijuana. It appears that Senate Bill 1182 would permit the selling of so-called medical marijuana for profit - something that not only goes way beyond Proposition 215, but is unambiguously in violation of federal law. Currently medical marijuana dispensaries are a blight on neighborhoods and have been magnets for criminal activity. Law enforcement, with the assistance of the US Attorneys, has been successful in closing these dispensaries, but SB 1182 Page 6 Senate Bill 1182 would be aimed at giving legitimacy to these operations, in direct violation of federal law." RJG:kc 5/2/12 Senate Floor Analyses SUPPORT/OPPOSITION: SEE ABOVE **** END ****