AB 2149, as amended, Bonilla. State Board of Equalization: counties: state agencies: collection of cash payments: medical cannabis-related businesses.
Existing law, the Compassionate Use Act of 1996, an initiative measure enacted by the approval of Proposition 215 at the November 5, 1996, statewide general election, exempts from specified criminal penalties the possession or cultivation of medical marijuana by patients and primary caregivers. The Medicalbegin delete Marijuanaend deletebegin insert Cannabisend insert Regulation and Safety Act provides for the licensure and regulation of commercial medicalbegin delete marijuanaend deletebegin insert cannabisend insert activity by various state entities, as specified.
This bill would authorize the State Board of Equalization or a county to collect cash payments from medical cannabis-related businesses for state agencies, including the Department of Consumer Affairs and the Employment Development Department, if that state agency has entered into an agreement with the board or county. This bill would require a county to collect only if both the board of supervisors of the county and the county tax collector or county treasurer-tax collector approves of entering into an agreement with a state agency to make those collections. The bill would require the agreement to include specified provisions, including that the board or county transmit the collected moneys to the Treasurer to be deposited in the State Treasury to the credit of the funds or accounts which the fees, fines, penalties, or other charges are otherwise required by law to be deposited, as specified.
For the collection by the board or a county of regulatory fees on the behalf of a state agency pursuant to an agreement, this bill would continuously appropriate to the board or county an amount equal to the amount necessary for its costs of collection, not to exceed 10% of the amounts collected, from the funds or accounts which those regulatory fees are to be deposited. For the collection by the board or a county of fines, penalties, taxes, or other charges on the behalf of a state agency pursuant to an agreement, the bill would require the board or county to be reimbursed for its costs of collection from the funds or accounts which those fines, penalties, taxes, or other charges are to be deposited, not to exceed 10% of the amounts collected, upon appropriation by the Legislature.
This bill would also allow a state agency that enters into an agreement with the board or a county to impose a cash collection fee in an amount reasonably necessary to recover the collection costs to be incurred by the board or county in dealing with cash payments, not to exceed 10% of any amounts collected. The bill would require the cash collection fee to be determined by the state agency and the board or county, and would require any cash collection fees to be deposited into the funds or accounts which the fine, penalty, or other charge to be collected is deposited.
Vote: majority. Appropriation: yes. Fiscal committee: yes. State-mandated local program: no.
The people of the State of California do enact as follows:
Part 13.5 (commencing with Section 31001) is
2added to Division 2 of the Revenue and Taxation Code, to read:
3
This part shall be known, and may be cited, as the
8Medical Cannabis State Payment Collection Law.
All of the following definitions shall apply for purposes
10of this part:
11(a) “County” means a county and a city and county.
12(b) “Regulatory fee” means a charge as defined in paragraph
13(3) of subdivision (b) of Section 3 of Article XIII A of the
14California Constitution.
15(c) “State agency” means a state entity, as defined in Section
1611000 of the Government Code, that administers any fee, fine,
17penalty, or other charge payable by a medical cannabis-related
18business. As used in this part, “state agency” includes, but is not
19limited to, the
following:
20(1) The Department of Consumer Affairs.
21(2) The Department of Food and Agriculture.
22(3) The State Department of Public Health.
23(4) The Employment Development Department.
24(5) The State Water Resources Control Board.
25(6) The Franchise Tax Board.
26(7) The regional water boards described in Chapter 4
27(commencing with Section 13200) of Division 7 of the Water
28Code.
(a) The board or a county may enter into an agreement
30with a state agency to collect cash payments for any fee, fine,
31penalty, or other charge payable to the state agency by a person
32that is a medical cannabis-related business in accordance with
33provisions of this part.
34(b) (1) The board shall collect fees, fines, penalties, and other
35charges if the board enters into an agreement with a state agency
36to make those collections described in subdivision (a).
37(2) A county shall collect fees, fines, penalties, and other charges
38only if both the board of supervisors of the county and the
county
P4 1tax collector or county treasurer-tax collector approves of entering
2into an agreement with a state agency to make those collections
3described in subdivision (a).
4(c) (1) For the collection by the board or a county of regulatory
5fees on the behalf of a state agency pursuant to an agreement
6authorized by this part, the board or county shall be reimbursed
7for its costs of collection from the funds or accountsbegin insert inend insert which those
8regulatory fees are to be deposited, not to exceed 10 percent of the
9amounts collected. Notwithstanding Section 13340 of the
10Government Code, there is hereby continuously appropriated to
11the board or county an amount equal to the amount necessary for
12its costs of collection of regulatory fees on
the behalf of a state
13agency pursuant to an agreement authorized by this part, not to
14exceed 10 percent of the amounts collected, from the funds or
15accountsbegin insert inend insert which those regulatory fees are to be deposited.
16(2) For the collection by the board or a county of fines, penalties,
17taxes, or other charges on the behalf of a state agency pursuant to
18an agreement authorized by this part, the board or county shall be
19reimbursed for its costs of collection from the funds or accounts
20which those fines, penalties, taxes, or other charges are to be
21deposited, not to exceed 10 percent of the amounts collected, upon
22appropriation by the Legislature.
23(d) (1) A state agency that
enters into an agreement with the
24board or a county pursuant to the authorization of this part may
25impose a cash collection fee in an amount reasonably necessary
26to recover the collection costs to be incurred by the board or county
27in dealing with cash payments, which may include, but are not
28limited to, the costs of processing and securing the cash payments,
29but shall not exceed 10 percent of any amounts collected.
30(2) The amount of the cash collection fee shall be determined
31by the state agency and the board or county.
32(3) A cash collection fee shall not be imposed pursuant to this
33subdivision if the fine, penalty, or other charge already includes
34amounts reasonably necessary to recover the collection costs of
35cash payments.
36(4) Any cash collection fees imposed shall be deposited into
37the funds or accounts which the fine, penalty, or other charge to
38be collected is deposited.
P5 1(5) This subdivision does not authorize a cash collection fee to
2be imposed for the collection of a tax, as defined in Section 3 of
3Article XIII A of the California Constitution.
4(e) An agreement between the board or a county and a state
5agency shall include all of the following:
6(1) A provision that the board or county be reimbursed for the
7administrative costs of the collection from the funds or accounts
8which the fees, fines, penalties, taxes, or other charges are
9otherwise required by law to be deposited, and shall specify
10whether
that reimbursement is continuously appropriated or made
11upon appropriation by the Legislature, as described in subdivision
12(c).
13(2) A provision that the board or county transmit the collected
14moneys to the Treasurer to be deposited in the State Treasury to
15the credit of the funds or accounts which the fees, fines, penalties,
16taxes, or other charges are otherwise required by law to be
17deposited.
18(3) A provision that describes the administrative costs the board
19or county will incur in carrying out the collection, which costs
20shall not exceed 10 percent of the moneys collected.
21(4) If the state agency decides to impose a cash collection fee
22pursuant to subdivision (d), the amount of the cash collection fee
23and
how that amount was determined by the state agency and the
24board or county.
25(5) Any other provisions the board or county and state agency
26determines is necessary to properly implement the collection of
27the fees, fines, penalties, taxes, or other charges.
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