BILL ANALYSIS Ó AB 243 Page 1 Date of Hearing: April 15, 2015 ASSEMBLY COMMITTEE ON AGRICULTURE Henry T. Perea, Chair AB 243 (Wood) - As Amended April 8, 2015 SUBJECT: Medical marijuana cultivation. SUMMARY: This bill would require all medical marijuana cultivation (MMC) to be conducted in accordance with state and local laws and best practices, as specified, and would require state agencies to address environmental impacts of MMC and coordinate with local governments in enforcement efforts. This bill establishes a MMC permitting system. Specifically, this bill: 1)Requires all MMC to be conducted in accordance with state and local laws and best practices related to land conversion, grading, electricity usage, water usage, water quality, woodland and riparian protection, agricultural discharges, and similar matters. 2)Requires state agencies, including, but not limited to, the State Board of Forestry and Fire Protection, the Department of Fish and Wildlife, the State Water Resources Control Board (State Water Board), the California regional water quality control boards (regional water boards), and traditional state law enforcement agencies to address environmental impacts of MMC. 3)Requires state agencies, as specified above and when appropriate, to coordinate with local governments and their law enforcement agencies in enforcement efforts. AB 243 Page 2 4)Requires regional water boards to and to address waste discharge resulting from MMC and associated activities by adopting a general permit, establishing waste discharge standards or taking action based on current waste discharge requirement laws 5)Allows the State Water Board to address waste discharge resulting from MMC and associated activities by adopting a general permit, establishing waste discharge standards or taking action based on current waste discharge requirement laws. 6)Requires County Board of Supervisors (CBOS), by July 1, 2016 to adopt an ordinance to implement a MMC wastewater discharge policy or, by resolution, opt out of the being the entity in charge of the MMC wastewater discharge policy. a) Requires the Governor, when a county opts out as stated above, to designate an appropriate state agency to implement a MMC wastewater discharge policy in the respective county. b) Defines designated state agency (DSA) as the agency selected by the Governor to implement a MMC wastewater discharge policy when the CBOS has opted out of MMC wastewater discharge policy. 7)Requires all qualified, as specified, medical marijuana (MM) cultivators to do the following: a) Obtain a MMC permit from the county sheriff or other designated entity; i) Requires the permit to specify the location and number of MM plants allowed; ii) Allows CBOS or DSA to charge a fee to cover cost of issuing permits and caring out the requirements of the MMC wastewater discharge policy; and, iii) Requires permits to be renewed annually. b) Requires each county to establish the number of MM plants that can be cultivated at any location; i) Requires MMC permits to be within a MMC specified zone, with specified exemption for a residential home; ii) Requires in counties where a DSA is in charge that the maximum number of MM plants at a location is 99 or less; and, AB 243 Page 3 iii) Allows CBOS or DSA to set limits on the maximum square footage cultivated at a location. c) Requires outdoor MMC sites to be more than 100 feet from any school offering any Kindergarten (K) through 12 grade education; i) Allows a county to expand this distance up to 1 mile; ii) Requires all outdoor MMC sites to have a secure fence, as specified; iii) Requires all outdoor MMC sites to out of view of the public; and, iv) Requires all outdoor MMC sites that use lights to assist in cultivation not to exceed 1,200 watts per 100 square feet of cultivated area. d) Requires indoor MMC sites to be more than 100 feet from any school offering any K through 12 grade education; e) Requires a residential MMC site to not exceed the number of plants established by the county; i) Requires in counties where a DSA is in charge the maximum number of MM plants at a residential location is six or less, unless the county has an ordinance allowing a higher number; ii) Requires areas specifically zoned for MMC in counties that allow more than six MM plants at a residential site; iii) Requires residential MMC sites to be more than 100 feet from any school offering any K through 12 grade education; and, iv) Allows a county to expand this distance up to 1 mile. f) Requires all buildings where MM is cultivated to be secure from authorized entry; g) Requires a county or DSA to issues zip ties for the identification of MM plants; i) Allows a county to designate the county sheriff to issue zip ties; ii) Requires the zip ties to be attached to the base of each MM plant; and, AB 243 Page 4 iii) Allows the county or DSA to charge a fee to cover cost of issuing zip ties, monitoring, tracking and inspecting the MM plants, and caring out the requirement of the MMC wastewater discharge policy. h) Requires, at all MMC sites, a copy of a current and valid state issued MM identification card to be displayed so that it may be seen from outside a building or fenced area; i) Allows a county or DSA to revoke or suspend a permit, deny reissue or impose fines for violation of the MMC wastewater discharge policy; i) Allows a county to abate a violation by use of current abatement laws and regulation; and, ii) Allows a county to set maximum noise levels specifically related to MMC. 8)Requires regional water boards, in addressing MMC discharges, to include, but not limited to, the following conditions to be addressed: a) Site development and maintenance, erosion control, and drainage features; b) Stream crossing installation and maintenance; c) Riparian and wetland protection and management; d) Soil disposal; e) Water storage and use; f) Irrigation runoff; g) Fertilizers and soil; h) Pesticides and herbicides; i) Petroleum products and other chemicals; j) Cultivation-related waste; aa) Refuse and human waste; and, bb) Cleanup, restoration, and mitigation. EXISTING LAW: AB 243 Page 5 1)Authorizes the use of marijuana for medical purposes. 2)Makes it a crime to plant, cultivate, harvest, dry, or process marijuana, except as otherwise authorized by law, such as the medical marijuana program. 3)Provides that the State Water Board and the regional water boards are the principal state agencies with responsibility for the coordination and control of water quality in the state. FISCAL EFFECT: Unknown. COMMENTS: Proposition 215 (Prop 215), the Compassionate Use Act of 1996, provides certain legal protections for qualified patients and caregivers that possess or cultivate marijuana. In addition to Prop 215, the Legislature passed the Medical Marijuana Program Act, which extends certain legal protections to those that collectively or cooperatively cultivate marijuana for medical purposes. There are limited environmental regulations for MMC, which have caused environmental damage to the North Coast region of the State. Last year, a thriving and healthy stream - Sproul Creek in the County of Humboldt - went dry for the first time in a number of years, which devastated the watershed's ecosystem. Sproul Creek is also home to five endangered salmon species. State officials believe that the stream went dry from illegal water diversions of marijuana cultivators. According to a CDFW press media release " ? AB 243 Page 6 [state and local] agencies are concerned about potentially significant pollutants entering the watershed from sediments, pesticides, fertilizers and other contaminants that, when not properly regulated or monitored, degrade the environment and threaten native plants and wildlife." In 2014, Governor Brown responded by approving $1.8 million to create a pilot program in Northern California called the "Watershed Enforcement Team" (WET). WET charged the State Water Board along with the North Coast Regional Water Board to create guidelines that address wastewater discharges from MMC. According to the author, this bill continues the work of WET by establishing parameters that can guide statewide standards and to create regulations around a product that has never been regulated in California. Supporters point out that the environmental degradation cause by marijuana growers needs to be addressed. This bill addresses these concerns by directing state agencies to coordinate a plan to address impact on water quality and the local environment of MMC. Opponents find several problems with this bill stating the permitting structure is too prescriptive and would interfere with lawful MM production. Prop 215 allows a MM patient, or a MM patient's primary caregiver, to cultivate MM for use. By requiring permits for residential MMC for individual use, an unnecessary financial and administrative burden is placed on MM patients. Furthermore, opponents state that in the case People vs. Kelly (2010) Cal.41h 1008, 1013, the court held that numerical limits on the number of MM plants were an unconstitutional legislative amendment to Prop 215. The restriction on location of MMC, wattage of lighting and specification for secure facilities is best left up the local jurisdiction, according to opponents. Opponents state while there is a need to find reasonable regulation for MMC, this bill is too restrictive in its approach. AB 243 Page 7 RELATED LEGISLATION: SB 1262 (Correa) of 2014 would have established a licensing and regulatory framework for the cultivation, processing, transportation, testing, recommendation and sale of medical marijuana to be administered by the Bureau of Medical Marijuana Regulation in the Department of Consumer Affairs. This bill was held in the Assembly Committee on Appropriations. AB 473 (Ammiano) of 2013 would have enacted the Medical Marijuana Regulation and Control Act, and created the Division of Medical Marijuana Regulation and Enforcement in order to regulate the cultivation, manufacture, testing, transportation, distribution, and sale of medical marijuana. This bill failed passage on the Assembly floor. AB 2284 (Chesbro), Chapter 390, Statutes of 2012, imposed an additional civil penalty for cultivating marijuana within a state park, and allowed law enforcement to stop any vehicle transporting agricultural irrigation supplies into a specified area, if agricultural irrigation supplies are in plain view. REGISTERED SUPPORT / OPPOSITION: AB 243 Page 8 AB 243 Page 9 Support Associated Students Council of Humboldt State University Association of California Water Agencies California Cattlemen's Association California Forestry Association California Narcotic Officers' Association California Trout Defenders of Wildlife Humboldt Redwood Company Rural County Representatives of California AB 243 Page 10 Sierra Club California Sonoma County Water Agency The Nature Conservancy Trout Unlimited Trust for Public Land Opposition American for Safe Access California NORML 3 individuals Analysis Prepared by:Victor Francovich / AGRI. / (916) 319-2084 AB 243 Page 11