Ever since the passage of the Medicinal and Adult-Use Cannabis Regulation and Safety Act (“MAUCRSA”), the California legislature has been busy debating and amending a wide variety of laws related to cannabis. We have been tracking these developments so you don’t have to. Below is an update on pending California cannabis legislation.
AB 2914 loosens the protections on alcohol and tobacco retailers and no longer prohibits those retailers from being able to apply for and obtain a commercial cannabis license. However, AB 2914 will continue to prohibit the infusion of cannabis and alcohol products. This bill was introduced on February 16, 2018 and was amended in assembly on May 1, 2018.
AB 2255 prohibits a law enforcement officer from being able to seize cannabis and cannabis products from licensed distributors who are in violation of MAUCRSA. If a licensed distributor is transporting cannabis in excess of what is stated on its shipping manifest, they will be issued a fine depending on whether this is a first, second, or additional violation. However, a law enforcement officer may still seize cannabis or cannabis products if the law enforcement officer has probable cause to believe a criminal violation has occurred. The bill clarifies that if a shipping manifest has been counterfeited, this would amount to a criminal violation. This bill was introduced on February 13, 2018 and was last amended in assembly on April 26, 2018. It was referred to committee on April 30, 2018.
AB 2641 places a restrictions on non-retailer cannabis businesses from holding temporary event licenses. If this bill were to pass, non-retailers would only be able to secure a maximum of 4 temporary event licenses within a calendar year. This prevents manufacturers, distributors, and cultivators from engaging in constant retails sale without a retail license. This bill was introduced on February 15, 2018 and was last amended in assembly on April 19, 2018. It was referred to committee on April 23, 2018.
SB 930 would provide for the licensure and regulation of cannabis limited charter banks and credit unions whose sole purpose would be to provide banking services to the cannabis industry. For more information about this, see our related post here. This bill was introduced on January 25, 2018 and was last amended in assembly on April 9, 2018. On May 1, 2018, committee recommended its passage and the bill is now awaiting the Governor’s signature.
AB 2555 makes a slight amendment to the unique identifier requirement under the state’s track and trace program. Instead of requiring cultivators to issue a unique identifier for all cannabis plants, the state would only require a unique identifier to be issued to mature cannabis plants. This bill was introduced on February 15, 2018 and was last amended in assembly on April 4, 2018. On April 25, 2018, committee recommended its passage and the bill is now awaiting the Governor’s signature.
AB 2215 allows medical and adult-use retailers to sell cannabis products to adults who intend to use the products for animals. This bill was introduced on February 12, 2018 and was last amended in assembly on April 24, 2018. It was referred to committee on April 25, 2018.
SB 1409 allows individual cities or counties to prohibit the cultivation of industrial hemp regardless of whether the grower meets the requirements for the cultivation of industrial hemp. For more information on industrial hemp nationwide, see our related post here. This bill was introduced on February 16, 2018 and was last amended in assembly on May 1, 2018. On May 1, 2018, committee recommended its passage and the bill is now awaiting the Governor’s signature.
The bottom line? We can expect some significant technical changes to California’s cannabis laws and regulations in the near future, so keep checking in, and prepare your marijuana business accordingly.