BILL NUMBER: AB 2516	AMENDED
	BILL TEXT

	AMENDED IN SENATE  AUGUST 1, 2016
	AMENDED IN SENATE  JUNE 22, 2016
	AMENDED IN ASSEMBLY  APRIL 6, 2016

INTRODUCED BY   Assembly Member Wood

                        FEBRUARY 19, 2016

   An act to amend Section 19332 of the Business and Professions
Code, relating to medical cannabis.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2516, as amended, Wood. Medical cannabis: state cultivator
license types: specialty cottage type.
   The Medical  Marijuana   Cannabis 
Regulation and Safety Act provides for the licensure and regulation
of commercial activities relating to medical cannabis and establishes
various types of state cultivator licenses to be issued to qualified
applicants by the Department of Food and Agriculture.
   This bill would also provide for the issuance of a Type 1C, or
"specialty cottage," state cultivator license, as specified, by the
Department of Food and Agriculture.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 19332 of the  
Business and Professions Code  is amended to read: 
   19332.  (a) The Department of Food and Agriculture shall
promulgate regulations governing the licensing of indoor and outdoor
commercial cultivation sites.
   (b) The Department of Pesticide Regulation shall develop
guidelines for the use of pesticides in the cultivation of cannabis
and residue in harvested cannabis.
   (c) The Department of Food and Agriculture shall serve as the lead
agency for purposes of the California Environmental Quality Act
(Division 13 (commencing with Section 21000) of the Public Resources
Code) related to the licensing of cannabis cultivation.
   (d) Pursuant to Section 13149 of the Water Code, the State Water
Resources Control Board, in consultation with the Department of Fish
and Wildlife and the Department of Food and Agriculture, shall ensure
that individual and cumulative effects of water diversion and
discharge associated with cultivation of cannabis do not affect the
instream flows needed for fish spawning, migration, and rearing, and
the flows needed to maintain natural flow variability.
   (e) The Department of Food and Agriculture shall have the
authority necessary for the implementation of the regulations it
adopts pursuant to this chapter. The regulations shall do all of the
following:
   (1) Provide that weighing or measuring devices used in connection
with the sale or distribution of medical cannabis are required to
meet standards equivalent to Division 5 (commencing with Section
12001).
   (2) Require that cannabis cultivation by licensees is conducted in
accordance with state and local laws. Nothing in this chapter, and
no regulation adopted by the  department,  
Department of Food and Agriculture,  shall be construed to
supersede or limit the authority of the State Water Resources Control
Board, regional water quality control boards, or the Department of
Fish and Wildlife to implement and enforce their statutory
obligations or to adopt regulations to protect water quality, water
supply, and natural resources.
   (3) Establish procedures for the issuance and revocation of unique
identifiers for activities associated with a cannabis cultivation
license, pursuant to Article 8 (commencing with Section 19337). All
cannabis shall be labeled with the unique identifier issued by the
Department of Food and Agriculture.
   (4) Prescribe standards, in consultation with the bureau, for the
reporting of information as necessary related to unique identifiers,
pursuant to Article 8 (commencing with Section 19337).
   (f) The Department of Pesticide Regulation shall require that the
application of pesticides or other pest control in connection with
the indoor or outdoor cultivation of medical cannabis complies with
Division 6 (commencing with Section 11401) of the Food and
Agricultural Code and its implementing regulations.
   (g) State cultivator license types issued by the Department of
Food and Agriculture may include:
   (1) Type 1, or "specialty outdoor," for outdoor cultivation using
no artificial lighting of less than or equal to 5,000 square feet of
total canopy size on one premises, or up to 50 mature plants on
noncontiguous plots.
   (2) Type 1A, or "specialty indoor," for indoor cultivation using
exclusively artificial lighting of  less than or equal to
  between 501 and  5,000 square feet of total
canopy size on one premises.
   (3) Type 1B, or "specialty mixed-light," for cultivation using a
combination of natural and supplemental artificial lighting at a
maximum threshold to be determined by the licensing authority, of
 less than or equal to     between
2,501 and  5,000 square feet of total canopy size on one
premises. 
   (4) Type 1C, or "specialty cottage," for cultivation using a
combination of natural and supplemental artificial lighting at a
maximum threshold to be determined by the licensing authority, of
2,500 square feet or less of total canopy size for mixed-light
cultivation, up to 25 mature plants for outdoor cultivation, or 500
square feet or less of total canopy size for indoor cultivation, on
one premises.  
   (4) 
    (5)  Type 2, or "small outdoor," for outdoor cultivation
using no artificial lighting between 5,001 and 10,000 square feet,
inclusive, of total canopy size on one premises. 
   (5) 
    (6)  Type 2A, or "small indoor," for indoor cultivation
using exclusively artificial lighting between 5,001 and 10,000 square
feet, inclusive, of total canopy size on one premises. 
   (6) 
    (7)  Type 2B, or "small mixed-light," for cultivation
using a combination of natural and supplemental artificial lighting
at a maximum threshold to be determined by the licensing authority,
between 5,001 and 10,000 square feet, inclusive, of total canopy size
on one premises. 
   (7) 
    (8)  Type 3, or "outdoor," for outdoor cultivation using
no artificial lighting from 10,001 square feet to one acre,
inclusive, of total canopy size on one premises. The Department of
Food and Agriculture shall limit the number of licenses allowed of
this type. 
   (8) 
    (9)  Type 3A, or "indoor," for indoor cultivation using
exclusively artificial lighting between 10,001 and 22,000 square
feet, inclusive, of total canopy size on one premises. The Department
of Food and Agriculture shall limit the number of licenses allowed
of this type. 
   (9) 
    (10)  Type 3B, or "mixed-light," for cultivation using a
combination of natural and supplemental artificial lighting at a
maximum threshold to be determined by the licensing authority,
between 10,001 and 22,000 square feet, inclusive, of total canopy
size on one premises. The Department of Food and Agriculture shall
limit the number of licenses allowed of this type. 
   (10) 
    (11)  Type 4, or "nursery," for cultivation of medical
cannabis solely as a nursery. Type 4 licensees may transport live
plants, if the licensee also holds a Type 12 transporter license
issued pursuant to this chapter. 
  SECTION 1.    Section 19332 of the Business and
Professions Code, as added by Section 1 of Chapter 688 of the
Statutes of 2015, is amended to read:
   19332.  (a) The Department of Food and Agriculture shall
promulgate regulations governing the licensing of indoor and outdoor
cultivation sites.
   (b) The Department of Pesticide Regulation, in consultation with
the Department of Food and Agriculture, shall develop standards for
the use of pesticides in cultivation, and maximum tolerances for
pesticides and other foreign object residue in harvested cannabis.
   (c) The State Department of Public Health shall develop standards
for the production and labeling of all edible medical cannabis
products.
   (d) The Department of Food and Agriculture, in consultation with
the Department of Fish and Wildlife and the State Water Resources
Control Board, shall ensure that individual and cumulative effects of
water diversion and discharge associated with cultivation do not
affect the instream flows needed for fish spawning, migration, and
rearing, and the flows needed to maintain natural flow variability.
   (e) The Department of Food and Agriculture shall have the
authority necessary for the implementation of the regulations it
adopts pursuant to this chapter. The regulations shall do all of the
following:
   (1) Provide that weighing or measuring devices used in connection
with the sale or distribution of medical cannabis are required to
meet standards equivalent to Division 5 (commencing with Section
12001).
   (2) Require that cannabis cultivation by licensees is conducted in
accordance with state and local laws related to land conversion,
grading, electricity usage, water usage, agricultural discharges, and
similar matters. Nothing in this chapter, and no regulation adopted
by the Department of Food and Agriculture, shall be construed to
supersede or limit the authority of the State Water Resources Control
Board, regional water quality control boards, or the Department of
Fish and Wildlife to implement and enforce their statutory
obligations or to adopt regulations to protect water quality, water
supply, and natural resources.
   (3) Establish procedures for the issuance and revocation of unique
identifiers for activities associated with a cannabis cultivation
license, pursuant to Article 8 (commencing with Section 19337). All
cannabis shall be labeled with the unique identifier issued by the
Department of Food and Agriculture.
   (4) Prescribe standards, in consultation with the bureau, for the
reporting of information as necessary related to unique identifiers,
pursuant to Article 8 (commencing with Section 19337).
   (f) The Department of Pesticide Regulation, in consultation with
the State Water Resources Control Board, shall promulgate regulations
that require that the application of pesticides or other pest
control in connection with the indoor or outdoor cultivation of
medical cannabis meets standards equivalent to Division 6 (commencing
with Section 11401) of the Food and Agricultural Code and its
implementing regulations.
   (g) State cultivator license types issued by the Department of
Food and Agriculture include:
   (1) Type 1, or "specialty outdoor," for outdoor cultivation using
no artificial lighting of between 2,501 and 5,000 square feet of
total canopy size on one premises, or up to 50 mature plants on
noncontiguous plots.
   (2) Type 1A, or "specialty indoor," for indoor cultivation using
exclusively artificial lighting of between 2,501 and 5,000 square
feet of total canopy size on one premises.
   (3) Type 1B, or "specialty mixed-light," for cultivation using a
combination of natural and supplemental artificial lighting at a
maximum threshold to be determined by the licensing authority, of
between 2,501 and 5,000 square feet of total canopy size on one
premises.
   (4) Type 1C, or "specialty cottage," for cultivation using a
combination of natural and supplemental artificial lighting at a
maximum threshold to be determined by the licensing authority, of
2,500 square feet or less of total canopy size for mixed-light
cultivation, up to 25 plants for outdoor cultivation, or 500 square
feet or less of total canopy size for indoor cultivation, on one
premises.
   (5) Type 2, or "small outdoor," for outdoor cultivation using no
artificial lighting between 5,001 and 10,000 square feet, inclusive,
of total canopy size on one premises.
   (6) Type 2A, or "small indoor," for indoor cultivation using
exclusively artificial lighting between 5,001 and 10,000 square feet,
inclusive, of total canopy size on one premises.
   (7) Type 2B, or "small mixed-light," for cultivation using a
combination of natural and supplemental artificial lighting at a
maximum threshold to be determined by the licensing authority,
between 5,001 and 10,000 square feet, inclusive, of total canopy size
on one premises.
   (8) Type 3, or "outdoor," for outdoor cultivation using no
artificial lighting from 10,001 square feet to one acre, inclusive,
of total canopy size on one premises. The Department of Food and
Agriculture shall limit the number of licenses allowed of this type.
   (9) Type 3A, or "indoor," for indoor cultivation using exclusively
artificial lighting between 10,001 and 22,000 square feet,
inclusive, of total canopy size on one premises. The Department of
Food and Agriculture shall limit the number of licenses allowed of
this type.
   (10) Type 3B, or "mixed-light," for cultivation using a
combination of natural and supplemental artificial lighting at a
maximum threshold to be determined by the licensing authority,
between 10,001 and 22,000 square feet, inclusive, of total canopy
size on one premises. The Department of Food and Agriculture shall
limit the number of licenses allowed of this type.
   (11) Type 4, or "nursery," for cultivation of medical cannabis
solely as a nursery. Type 4 licensees may transport live plants.
 
  SEC. 2.    Section 19332 of the Business and
Professions Code, as added by Section 13 of Chapter 719 of the
Statutes of 2015, is amended to read:
   19332.  (a) The Department of Food and Agriculture shall
promulgate regulations governing the licensing of indoor and outdoor
cultivation sites.
   (b) The Department of Pesticide Regulation, in consultation with
the Department of Food and Agriculture, shall develop standards for
the use of pesticides in cultivation, and maximum tolerances for
pesticides and other foreign object residue in harvested cannabis.
   (c) The State Department of Public Health shall develop standards
for the production and labeling of all edible medical cannabis
products.
   (d) The Department of Food and Agriculture, in consultation with
the Department of Fish and Wildlife and the State Water Resources
Control Board, shall ensure that individual and cumulative effects of
water diversion and discharge associated with cultivation do not
affect the instream flows needed for fish spawning, migration, and
rearing, and the flows needed to maintain natural flow variability.
   (e) The Department of Food and Agriculture shall have the
authority necessary for the implementation of the regulations it
adopts pursuant to this chapter. The regulations shall do all of the
following:
   (1) Provide that weighing or measuring devices used in connection
with the sale or distribution of medical cannabis are required to
meet standards equivalent to Division 5 (commencing with Section
12001).
   (2) Require that cannabis cultivation by licensees is conducted in
accordance with state and local laws related to land conversion,
grading, electricity usage, water usage, agricultural discharges, and
similar matters. Nothing in this chapter, and no regulation adopted
by the Department of Food and Agriculture, shall be construed to
supersede or limit the authority of the State Water Resources Control
Board, regional water quality control boards, or the Department of
Fish and Wildlife to implement and enforce their statutory
obligations or to adopt regulations to protect water quality, water
supply, and natural resources.
   (3) Establish procedures for the issuance and revocation of unique
identifiers for activities associated with a cannabis cultivation
license, pursuant to Article 8 (commencing with Section 19337). All
cannabis shall be labeled with the unique identifier issued by the
Department of Food and Agriculture.
   (4) Prescribe standards, in consultation with the bureau, for the
reporting of information as necessary related to unique identifiers,
pursuant to Article 8 (commencing with Section 19337).
   (f) The Department of Pesticide Regulation, in consultation with
the State Water Resources Control Board, shall promulgate regulations
that require that the application of pesticides or other pest
control in connection with the indoor or outdoor cultivation of
medical cannabis meets standards equivalent to Division 6 (commencing
with Section 11401) of the Food and Agricultural Code and its
implementing regulations.
   (g) State cultivator license types issued by the Department of
Food and Agriculture include:
   (1) Type 1, or "specialty outdoor," for outdoor cultivation using
no artificial lighting of between 2,501 and 5,000 square feet of
total canopy size on one premises, or up to 50 mature plants on
noncontiguous plots.
   (2) Type 1A, or "specialty indoor," for indoor cultivation using
exclusively artificial lighting of between 2,501 and 5,000 square
feet of total canopy size on one premises.
   (3) Type 1B, or "specialty mixed-light," for cultivation using a
combination of natural and supplemental artificial lighting at a
maximum threshold to be determined by the licensing authority, of
between 2,501 and 5,000 square feet of total canopy size on one
premises.
   (4) Type 1C, or "specialty cottage," for cultivation using a
combination of natural and supplemental artificial lighting at a
maximum threshold to be determined by the licensing authority, of
2,500 square feet or less of total canopy size for mixed-light
cultivation, up to 25 plants for outdoor cultivation, or 500 square
feet or less of total canopy size for indoor cultivation, on one
premises.
   (5) Type 2, or "small outdoor," for outdoor cultivation using no
artificial lighting between 5,001 and 10,000 square feet, inclusive,
of total canopy size on one premises.
   (6) Type 2A, or "small indoor," for indoor cultivation using
exclusively artificial lighting between 5,001 and 10,000 square feet,
inclusive, of total canopy size on one premises.
   (7) Type 2B, or "small mixed-light," for cultivation using a
combination of natural and supplemental artificial lighting at a
maximum threshold to be determined by the licensing authority,
between 5,001 and 10,000 square feet, inclusive, of total canopy size
on one premises.
   (8) Type 3, or "outdoor," for outdoor cultivation using no
artificial lighting from 10,001 square feet to one acre, inclusive,
of total canopy size on one premises. The Department of Food and
Agriculture shall limit the number of licenses allowed of this type.
   (9) Type 3A, or "indoor," for indoor cultivation using exclusively
artificial lighting between 10,001 and 22,000 square feet,
inclusive, of total canopy size on one premises. The Department of
Food and Agriculture shall limit the number of licenses allowed of
this type.
   (10) Type 3B, or "mixed-light," for cultivation using a
combination of natural and supplemental artificial lighting at a
maximum threshold to be determined by the licensing authority,
between 10,001 and 22,000 square feet, inclusive, of total canopy
size on one premises. The Department of Food and Agriculture shall
limit the number of licenses allowed of this type.
   (11) Type 4, or "nursery," for cultivation of medical cannabis
solely as a nursery. Type 4 licensees may transport live plants.