BILL NUMBER: AB 2385 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MARCH 18, 2016
INTRODUCED BY Assembly Member Jones-Sawyer
FEBRUARY 18, 2016
An act relating to medical marijuana. An
act to amend Section 19320 of the Business and Professions Code,
relating to marijuana.
LEGISLATIVE COUNSEL'S DIGEST
AB 2385, as amended, Jones-Sawyer. Medical marijuana: Los
Angeles. Medical Marijuana Regulation and Safety Act:
state licenses: Measure D.
Existing law, the Medical Marijuana Regulation and Safety Act,
provides for the licensure and regulation of medical marijuana and
authorizes licensing authorities to only issue state licenses to
qualified applicants. Existing law prohibits a person from engaging
in commercial cannabis activity without possessing both a state
license and a local permit, license, or other authorization.
This bill would prohibit licensing authorities from requiring a
local license, permit, or other authorization, and would require the
issuance of a state license, if the authorities determine that the
applicant meets all of the requirements of the act and specified
criteria relating to Measure D, which was approved by the voters of
the City of Los Angeles at the May 21, 2013, general election. The
bill would further provide that a license issued pursuant to the
above provision has the same force and effect, and confers the same
benefits and responsibilities, as licenses issued to licensees not
subject to the above-described exception.
Existing law of the City of Los Angeles, Proposition D, approved
by voters on the May 21, 2013, ballot for that city, prohibits the
operation of medical marijuana businesses, as defined, within the
city limits and grants immunity from that prohibition to those
businesses that have operated since September 2007, that previously
registered in accordance with the city's earlier medical marijuana
registration law, and that comply with specified operational
requirements.
Existing state law, the Medical Marijuana Regulation and Safety
Act, establishes the Bureau of Medical Marijuana Regulation within
the Department of Consumer Affairs and under the supervision and
control of the Director of Consumer Affairs. Existing law provides
that the bureau's licensure and regulation of dispensing facilities,
cultivation sites, transporters, and manufacturers of medical
marijuana and medical marijuana products is subject to express and
specific authorization by the applicable local jurisdiction. Existing
law also prohibits the issuance of a state license or a
determination of compliance with local law by a licensing authority,
in any way that limits the ability of the City of Los Angeles to
enforce Proposition D. Existing law prohibits the issuance of a
license or determination of compliance with local law by a licensing
authority from being deemed to establish, or being relied upon in
determining satisfaction with the immunity requirements of
Proposition D or local zoning law, in court or in any other context
or forum.
This bill would state the intent of the Legislature to enact
legislation to enable medical marijuana businesses in Los Angeles
granted immunity from prosecution under Proposition D to apply for a
state license to engage in commercial medical marijuana activities.
Vote: majority. Appropriation: no. Fiscal committee: no
yes . State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 19320 of the
Business and Professions Code , as added by Section 4 of
Chapter 689 of the Statutes of 2015, is amended to read:
19320. (a) (1) Licensing authorities
administering this chapter may issue state licenses only to qualified
applicants engaging in commercial cannabis activity pursuant to this
chapter. Upon the date of implementation of regulations by the
licensing authority, no person shall engage in commercial cannabis
activity without possessing both a state license and a local permit,
license, or other authorization. A licensee shall not commence
activity under the authority of a state license until the applicant
has obtained, in addition to the state license, a license or permit
from the local jurisdiction in which he or she proposes to operate,
following the requirements of the applicable local ordinance.
(2) (A) Notwithstanding any other provision of this article, with
regard to commercial cannabis activity in the City of Los Angeles,
the licensing authorities shall not require a local license, permit,
or other authorization and shall issue a state license to engage in
commercial cannabis activity only if the licensing authorities
determine the applicant satisfies all of the requirements of this act
and demonstrates that it meets all of the following criteria
established by Measure D, approved by the voters of the City of Los
Angeles at the May 21, 2013, general election:
(i) The applicant was operating in the City of Los Angeles as a
medical marijuana business by September 14, 2007, as evidenced by a
business tax registration certificate issued by the City of Los
Angeles on or before November 13, 2007.
(ii) The applicant registered with the City of Los Angeles city
clerk by November 13, 2007, in accordance with all of the
requirements of the City of Los Angeles' Interim Control Ordinance.
(iii) The applicant obtained a City of Los Angeles business tax
registration for taxation as a medical marijuana collective (class
L050).
(B) A state license issued pursuant to this paragraph for
commercial cannabis activity shall have the same force and effect and
shall confer the same benefits and responsibilities as licenses
issued to licensees outside the City of Los Angeles that obtain a
license, permit, or other authorization from the local jurisdiction.
(b) Revocation of a local license, permit, or other authorization
shall terminate the ability of a medical cannabis business to operate
within that local jurisdiction until the local jurisdiction
reinstates or reissues the local license, permit, or other required
authorization. Local authorities shall notify the bureau upon
revocation of a local license. The bureau shall inform relevant
licensing authorities.
(c) Revocation of a state license shall terminate the ability of a
medical cannabis licensee to operate within California until the
licensing authority reinstates or reissues the state license. Each
licensee shall obtain a separate license for each location where it
engages in commercial medical cannabis activity. However,
transporters only need to obtain licenses for each physical location
where the licensee conducts business while not in transport, or any
equipment that is not currently transporting medical cannabis or
medical cannabis products, permanently resides.
(d) In addition to the provisions of this chapter, local
jurisdictions retain the power to assess fees and taxes, as
applicable, on facilities that are licensed pursuant to this chapter
and the business activities of those licensees.
(e) Nothing in this chapter shall be construed to supersede or
limit state agencies, including the State Water Resources Control
Board and Department of Fish and Wildlife, from establishing fees to
support their medical cannabis regulatory programs.
SEC. 2. Section 19320 of the Business
and Professions Code , as added by Section 8 of Chapter
719 of the Statutes of 2015, is amended to read:
19320. (a) (1) Licensing authorities
administering this chapter may issue state licenses only to qualified
applicants engaging in commercial cannabis activity pursuant to this
chapter. Upon the date of implementation of regulations by the
licensing authority, no person shall engage in commercial cannabis
activity without possessing both a state license and a local permit,
license, or other authorization. A licensee shall not commence
activity under the authority of a state license until the applicant
has obtained, in addition to the state license, a license or permit
from the local jurisdiction in which he or she proposes to operate,
following the requirements of the applicable local ordinance.
(2) (A) Notwithstanding any other provision of this article, with
regard to commercial cannabis activity in the City of Los Angeles,
the licensing authorities shall not require a local license, permit,
or other authorization and shall issue a state license to engage in
commercial cannabis activity only if the licensing authorities
determine the applicant satisfies all of the requirements of this act
and demonstrates that it meets all of the following criteria
established by Measure D, approved by the voters of the City of Los
Angeles at the May 21, 2013, general election:
(i) The applicant was operating in the City of Los Angeles as a
medical marijuana business by September 14, 2007, as evidenced by a
business tax registration certificate issued by the City of Los
Angeles on or before November 13, 2007.
(ii) The applicant registered with the City of Los Angeles city
clerk by November 13, 2007, in accordance with all of the
requirements of the City of Los Angeles' Interim Control Ordinance.
(iii) The applicant obtained a City of Los Angeles business tax
registration for taxation as a medical marijuana collective (class
L050).
(B) A state license issued pursuant to this paragraph for
commercial cannabis activity shall have the same force and effect and
shall confer the same benefits and responsibilities as licenses
issued to licensees outside the City of Los Angeles that obtain a
license, permit, or other authorization from the local jurisdiction.
(b) Revocation of a local license, permit, or other authorization
shall terminate the ability of a medical cannabis business to operate
within that local jurisdiction until the local jurisdiction
reinstates or reissues the local license, permit, or other required
authorization. Local authorities shall notify the bureau upon
revocation of a local license. The bureau shall inform relevant
licensing authorities.
(c) Revocation of a state license shall terminate the ability of a
medical cannabis licensee to operate within California until the
licensing authority reinstates or reissues the state license. Each
licensee shall obtain a separate license for each location where it
engages in commercial medical cannabis activity. However,
transporters only need to obtain licenses for each physical location
where the licensee conducts business while not in transport, or any
equipment that is not currently transporting medical cannabis or
medical cannabis products, permanently resides.
(d) In addition to the provisions of this chapter, local
jurisdictions retain the power to assess fees and taxes, as
applicable, on facilities that are licensed pursuant to this chapter
and the business activities of those licensees.
(e) Nothing in this chapter shall be construed to supersede or
limit state agencies, including the State Water Resources Control
Board and Department of Fish and Wildlife, from establishing fees to
support their medical cannabis regulatory programs.
SECTION 1. It is the intent of the Legislature
to enact legislation to enable medical marijuana businesses in Los
Angeles granted immunity from prosecution under Proposition D to
apply for a state license to engage in commercial medical marijuana
activities.