PRINTER'S NO. 260
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
193
Session of
2015
INTRODUCED BY COHEN, BOYLE, BROWNLEE, CALTAGIRONE, CONKLIN,
DIAMOND, GAINEY, J. HARRIS, McNEILL, MULLERY, O'BRIEN,
READSHAW, SABATINA, SCHLOSSBERG, VITALI AND FRANKEL,
FEBRUARY 2, 2015
REFERRED TO COMMITTEE ON HEALTH, FEBRUARY 2, 2015
AN ACT
Providing for the medical use of cannabis; establishing the
State Board of Medical Cannabis Licensing and providing for
its powers and duties; imposing duties on the Department of
Health and the Department of State; regulating the growing,
processing and dispensing of medical cannabis; imposing civil
and criminal penalties; and making inconsistent repeals.
TABLE OF CONTENTS
Chapter 1. Preliminary Provisions
Section 101. Short title.
Section 102. Definitions.
Chapter 3. Regulatory Oversight
Section 301. License.
Section 302. State Board of Medical Cannabis Licensing.
Section 303. Powers and duties of board.
Section 304. Subpoena power.
Section 305. Hearing examiners.
Section 306. Civil penalties.
Section 307. Confidentiality.
Chapter 5. Licensing
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Section 501. Medical cannabis growers.
Section 502. Medical cannabis processors.
Section 503. Medical cannabis dispensers.
Section 504. Applications.
Section 505. Location.
Section 506. Change in ownership or control.
Section 507. Licensing of owner or operator.
Section 508. Occupation permits.
Section 509. Store and transportation.
Section 510. Disposal and donation.
Section 511. Testing laboratories.
Section 512. Medical cannabis access card.
Section 513. Prohibitions and use.
Section 514. Unlawful activities.
Section 515. Criminal penalties.
Chapter 7. Medical Cannabis
Section 701. Medical use permitted.
Chapter 9. Protection, Prohibitions and Enforcement
Section 901. Civil discrimination protection.
Section 902. Prohibitions.
Section 903. Enforcement.
Chapter 51. Miscellaneous Provisions
Section 5101. Temporary regulations.
Section 5102. Applicability of other statutes.
Section 5103. Repeals.
Section 5104. Sovereign immunity.
Section 5105. Health insurance.
Section 5106. Effective date.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
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CHAPTER 1
PRELIMINARY PROVISIONS
Section 101. Short title.
This act shall be known and may be cited as the Medical
Cannabis Act.
Section 102. Definitions.
The following words and phrases when used in this act shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Authorized provider." A parent or guardian of a patient
with a valid medical cannabis access card or an individual
employed by a health care facility and who is authorized by the
board to purchase, possess, transport and transfer medical
cannabis from a medical cannabis dispenser and properly
administer the medical cannabis to the patient in accordance
with the recommendation of the patient's health care
practitioner.
"Board." The State Board of Medical Cannabis Licensing
established under section 302.
"Change in control." The acquisition by a person or group of
persons acting in concert of more than 20% of the license.
"Department." The Department of State of the Commonwealth.
"Health care facility." A facility that provides health care
to patients and does not receive Federal funding. The term
includes:
(1) A hospital, as defined under the act of July 19,
1979 (P.L.130, No.48), known as the Health Care Facilities
Act.
(2) A clinic, treatment facility or physician's office
operated by a hospital.
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(3) An ambulatory or surgical facility.
(4) A long-term care nursing facility.
(5) A cancer treatment center.
(6) A hospice care facility.
"Health care practitioner." An individual as defined under
section 2 of the act of December 20, 1985 (P.L.457, No.112),
known as the Medical Practice Act of 1985, who is authorized to
prescribe Schedule III drugs under the act of April 14, 1972
(P.L.233, No.64), known as The Controlled Substance, Drug,
Device and Cosmetic Act.
"Medical cannabis." Plants containing cannabidiol,
tetrahydrocannabinol or delta-9-tetrahydrocannabinol acid used
for medical purposes or any part of a cannabis plant, including
cannabis processed by extracting oil from the plant. The term
includes the delivery of extracted oil, edible products,
ointments, tinctures and vaporization or any other medical
device used to administer medical cannabis to a patient.
"Medical cannabis access card." A document issued by the
Department of Health to authorize a patient or authorized
provider to purchase and possess medical cannabis from a
licensed medical cannabis dispenser.
"Medical cannabis dispenser." A for-profit or nonprofit
entity licensed under section 503 to dispense medical cannabis.
"Medical cannabis employee." An individual who is eligible
to receive an occupation permit by meeting one of the following:
(1) An individual who meets all of the following:
(i) Is employed with the authority to make a
discretionary decision relating to the growing,
processing or dispensing of medical cannabis, including a
manager, supervisor or an individual who directly handles
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cannabis.
(ii) Is responsible for tracking the amount and
transportation of medical cannabis.
(2) Any other employee position designated by the board.
"Medical cannabis grower." A for-profit or nonprofit entity
licensed under section 501 who grows or cultivates medical
cannabis for distribution to authorized medical cannabis
processors and medical cannabis dispensers in accordance with
this act.
"Medical cannabis processor." A for-profit or nonprofit
entity licensed under section 502 who can purchase medical
cannabis from a medical cannabis grower for the purpose of
processing the medical cannabis and who can distribute medical
cannabis to a medical cannabis dispenser as authorized under
this act.
"Medical cannabis strains." The three types of pure cannabis
utilized for medical purposes, cannabis sativa, cannabis indica
and the combination of both cannabis sativa and cannabis indica,
which creates a cannabis hybrid.
"Medical use." The acquisition, possession or use of medical
cannabis by a patient, including the use of vaporization in the
public domain or the acquisition, possession and delivery of
medical cannabis by an authorized provider.
"Owner or operator." Any of the following:
(1) An officer, principal, owner or director of the
medical cannabis grower, processor or dispenser licensed
under section 507.
(2) A person who directly holds a beneficial interest in
or has a controlling interest in an applicant or licensee.
(3) A person who has the ability to elect a majority of
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the board of directors of a licensee or to otherwise control
a licensee.
"Occupation permit." A permit issued by the board
authorizing an individual to be employed by a medical cannabis
grower, processor or dispenser.
"Patient." An individual who has an established
practitioner-patient relationship and has been diagnosed by a
health care practitioner as having a qualified medical
condition.
"Practitioner-patient relationship." The relationship
established between a patient and health care practitioner
following an assessment of the patient's medical history and
current condition and the conduct of a personal examination.
"Qualified medical condition." A medical condition or its
treatment that is recognized by a licensed health care
practitioner attending to a patient as being treatable with
medical cannabis in a manner that is recommended by and under
the supervision of a health care practitioner who has
established a practitioner-patient relationship with the patient
and has provided written certification in order to notify the
Department of Health that the patient is to be issued a medical
cannabis access card after authorization of the certification in
accordance with section 512.
"Registered nurse." A person licensed to practice
professional nursing under the act of May 22, 1951 (P.L.317,
No.69), known as The Professional Nursing Law.
"Testing laboratory." An accredited clinical laboratory or
testing facility located within this Commonwealth, certified by
the board under section 511.
"Vaporizer." A medical device that enables the inhalation of
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medical cannabis as a method of ingestion, turning medical
cannabis into vapor and where a nontoxic water vapor is the only
byproduct of using medical cannabis through vaporization.
CHAPTER 3
REGULATORY OVERSIGHT
Section 301. License.
(a) Medical cannabis.--A person may not conduct an activity
related to the growing, processing or dispensing of medical
cannabis unless the person is licensed by the board under this
act.
(b) Employee.--A licensed medical cannabis grower, medical
cannabis processor or medical cannabis dispenser may not employ
an individual to directly participate in the growing,
processing, delivery or dispensing of authorized medical
cannabis unless the individual receives an occupation permit
from the board under this act.
Section 302. State Board of Medical Cannabis Licensing.
(a) Establishment.--The State Board of Medical Cannabis
Licensing is established within the department.
(b) Composition.--The board shall consist of the following:
(1) The Secretary of Health.
(2) Two public members.
(3) One member representing hospitals.
(4) Two members who are medical doctors representing
specialties which utilize medical cannabis to treat patients.
(5) Two members who are registered nurses.
(6) The Secretary of State or a designee from the
department who shall be an ex officio member.
(7) The Secretary of Human Services or a designee from
the Department of Human Services who shall be an ex officio
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member.
(8) The Commissioner of the Bureau of Professional and
Occupational Affairs.
(c) Meetings.--The board shall meet within 30 days of the
confirmation of the initial member and shall:
(1) Establish procedures to operate the board.
(2) Develop applications and other forms for licensure
and occupation permits and enforcement of this act and
certifications for testing laboratories.
(3) Promulgate regulations, as necessary, to implement
and enforce this act.
(d) Term.--Each professional and public member shall be
appointed by the Governor with the advice and consent of a
majority of the Senate. Each member shall:
(1) Be a citizen of the United States and a resident of
this Commonwealth.
(2) Except as provided in subsection (e), serve a term
of four years or until a successor has been appointed and
qualified, which may not be longer than six months beyond the
four-year period.
(3) Not be eligible to serve more than two consecutive
terms.
(4) Not hold any other public office during their term
on the board.
(e) Initial appointments.--For each member initially
appointed to the board, the term of office shall be as follows:
(1) Three members shall serve for a term of four years.
(2) Two members shall serve for a term of three years.
(3) Two members shall serve for a term of two years.
(f) Quorum.--A majority of the members of the board shall
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constitute a quorum. Each member must be physically in
attendance to be counted as part of a quorum or to vote on an
issue. A majority of the members present shall be necessary for
a vote to be considered binding.
(g) Chairperson.--The board shall annually select a
chairperson from the members of the board.
(h) Expenses.--With the exception of the Commissioner of the
Bureau of Professional and Occupational Affairs, the Secretary
of Health, the Secretary of State or a designee from the
department, the Secretary of Human Services or a designee from
the Department of Human Services, each member of the board shall
receive $100 per diem when attending to the work of the board. A
member shall also receive the amount of reasonable travel, hotel
and other necessary expenses incurred in the performance of the
member's duties in accordance with Commonwealth regulations.
(i) Forfeiture.--A member who fails to attend three
consecutive meetings shall forfeit the member's seat unless the
chairperson, upon written request from the member, finds that
the member should be excused because of illness or death of a
family member.
(j) Frequency of meetings.--The board shall meet at least
once per month for the first 12 months, including and after the
initial meeting required by section 302(c). After the first 12
months following the establishment of the board, the board shall
meet at least six times a year and may meet at additional times
as necessary to conduct the business of the board.
Section 303. Powers and duties of board.
The board shall have the following powers and duties:
(1) To provide for and regulate the licensing of the
following:
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(i) A medical cannabis grower.
(ii) A medical cannabis processor.
(iii) A medical cannabis dispenser.
(2) To issue occupation permits to medical cannabis
employees.
(3) To issue certifications to testing laboratories.
(4) To issue, deny, renew, reinstate or refuse to renew,
suspend and to revoke licenses, certifications of testing
laboratories and occupation permits in accordance with this
act.
(5) To administer and enforce the provisions of this
act.
(6) To investigate and conduct background checks for
each application for a license or occupation permit to
determine the fitness and eligibility of an individual
applying for a license or occupation permit.
(7) To establish fees for application and renewal of
licenses and occupation permits and the due dates for all
fees.
(8) To promulgate and enforce regulations, not
inconsistent with this act, necessary to carry out the
provisions of this act as follows:
(i) Regulations shall provide for accredited
research institutions, universities and colleges
recognized by the Commonwealth to study and research the
health benefits of medical cannabis.
(ii) Regulations shall prohibit the cost for medical
cannabis from exceeding 110% of the average wholesale
price of the product.
(iii) Regulations shall be developed in consultation
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with Cannabis Inflorescence, Cannabis Spp. Standards of
Identity, Analysis and Quality Control published by the
American Herbal Pharmacopeia, not inconsistent with this
act.
(iv) Except as provided for in section 5101(a),
regulations shall be adopted in conformity with all of
the following:
(A) The act of June 25, 1982 (P.L.633, No.181),
known as the Regulatory Review Act.
(B) The act of July 31, 1968 (P.L.769, No.240),
referred to as the Commonwealth Documents Law.
(9) To keep minutes and records of each transaction and
proceeding.
(10) To provide standards for the appearance of
dispensers to ensure a professional atmosphere.
(11) To promulgate regulations:
(i) In regards to childproof containers, packaging,
tracking, labeling and testing.
(ii) Providing for the development of a system to
ensure a medical cannabis dispenser can authorize a
patient's medical cannabis access card.
(iii) Prohibiting the board from limiting, changing
or restricting the definition of a qualified medical
condition.
(iv) Ensuring the diversity of medical cannabis
through establishing a medical cannabis strain and brand
registry.
(12) To develop regular inspection schedules, including
unannounced inspection, of all medical cannabis growers,
processors and dispensers.
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(13) To submit annually to the department an estimate of
financial requirements of the board for the board's
administrative, legal and other expenses.
(14) To submit an annual report to the Senate and the
House of Representatives regarding the activity of the board.
Section 304. Subpoena power.
The General Counsel of the Commonwealth, or the General
Counsel's designee, shall have the power to issue a subpoena on
behalf of the board in disciplinary and licensing matters before
the board in order to investigate an alleged violation in
accordance with the following:
(1) The power shall not apply to patient records without
order of a court of competent jurisdiction showing that the
records are reasonably necessary for the conduct of an
investigation.
(2) The court may impose limitations on the scope of a
subpoena as necessary to prevent unnecessary intrusion into
patient confidential information.
(3) The attorney representing the Commonwealth in a
disciplinary matter before the board may apply to
Commonwealth Court to enforce the subpoenas.
(4) Nothing in this section shall be construed to excuse
a person from producing documents and records as requested by
the board under any other provision of law.
Section 305. Hearing examiners.
(a) Appointment.--The Commissioner of the Bureau of
Professional and Occupational Affairs, after consultation with
the board, shall appoint hearing examiners as necessary to
conduct hearings in disciplinary matters before the board.
(b) Regulation.--Regulations promulgated by the board shall
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include the procedural rules to be followed by hearing examiners
under this act. Each proceeding shall be conducted in accordance
with 2 Pa.C.S. (relating to administrative law and procedure).
(c) Powers.--A hearing examiner shall have the following
powers:
(1) To conduct hearings.
(2) To issue subpoenas requiring:
(i) The attendance and testimony of individuals.
(ii) The production of pertinent records or other
papers by persons whom the examiner believes have
information relevant to matters pending before the
examiner.
(3) To issue decisions.
Section 306. Civil penalties.
(a) Authorization.--The board shall adopt a schedule of
civil penalties for operating without a current, registered,
unsuspended and unrevoked license or occupation permit and for
violations of this act. The schedule shall be published in the
Pennsylvania Bulletin.
(b) Imposition.--An agent of the board may issue citations
and impose penalties for a violation of this chapter. A penalty
may be appealed to a hearing examiner or the board pursuant to
regulations promulgated by the board. If the matter is initially
referred to a hearing examiner, the board shall render a
decision on an exception to the decision of the hearing examiner
or on any applications for review under 2 Pa.C.S. (relating to
administrative law and procedure).
(c) Board sanction.--
(1) In addition to any other penalty authorized by law,
the board may impose the following sanctions on a licensee:
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(i) Revocation of the license of a person convicted
of a criminal offense or violation of this act or
regulations of the board which would disqualify the
holder from growing, processing or dispensing medical
cannabis.
(ii) Revocation of the license of a person for
willfully and knowingly violating or attempting to
violate an order of the board directed to the person.
(iii) Revocation of an occupation permit of a person
for willfully and knowingly violating or attempting to
violate an order of the board directed to the person.
(iv) Suspension of the license or occupation permit
of a person pending the outcome of a hearing in a case in
which a license, occupation permit or certification
revocation could result.
(v) Suspension of the license of a licensed grower,
processor or dispenser for a violation or attempt to
violate any provision of this act.
(vi) Assessment of an administrative penalty as
necessary to address misconduct and deter future
violations.
(vii) Ordering of restitution of funds or property
unlawfully obtained or retained by a licensee.
(viii) Entrance of a cease and desist order which
specifies the conduct which is to be discontinued,
altered or implemented by the licensee.
(ix) Issuance of a letter of reprimand or censure,
which shall be made a permanent part of the file of each
licensee or occupation permit holder.
(2) If the board refuses to issue or renew a license or
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occupation permit or imposes a penalty under paragraph (1),
the board shall provide the applicant, licensee or permit
holder with written notification of the decision, including a
statement of the reasons for the decision by certified mail
within five business days of the decision of the board. The
applicant, licensee or permittee shall have the right to
appeal the decision in accordance with 2 Pa.C.S. Chs. 5
(relating to practice and procedure) and 7 (relating to
judicial review).
(3) A person who aids, abets, counsels, induces,
procures or causes another person to violate this act shall
be subject to all sanctions and penalties provided under this
subsection.
(d) Additional powers.--In addition to the penalties under
subsections (b) and (c), the board shall have the power to do
the following:
(1) Levy a civil penalty of not more than $25,000 for a
violation of this act.
(2) Impose a civil penalty of up to $15,000 per
violation if a person aids and abets the unlicensed growing,
processing, distribution or dispensing of medical cannabis.
The penalty may not be levied against a person solely as a
consequence of that person being a patient of the unlicensed
person.
(3) Assess against a respondent determined to be in
violation of this act the costs of investigation underlying
that disciplinary action. The cost of investigation shall not
include costs incurred by the board after the filing of
formal actions or disciplinary charges against a respondent.
(e) Judgment.--A civil penalty imposed under this section
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shall be a judgment in favor of the board upon the person or
property of the person upon whom the civil penalty is imposed.
The Attorney General shall be responsible for enforcing the
judgments in courts of competent jurisdiction in accordance with
the provisions of 42 Pa.C.S. (relating to judiciary and judicial
procedure).
Section 307. Confidentiality.
(a) General rule.--Investigative records of the board,
including prosecutorial memos and transcripts of depositions on
behalf of the board or concerning a licensure-related complaint
filed with the department, shall be confidential and privileged.
The following shall apply:
(1) No person who has investigated or has access to or
custody of documents, materials or information which is
confidential and privileged under this section may be
required to testify in a judicial or administrative
proceeding without the written consent of the board unless
directed to do so by a court of competent jurisdiction.
(2) This subsection shall not preclude or limit
introduction of the contents of an investigative file or
related witness testimony in a hearing or proceeding before
the board.
(3) This section shall not apply to a letter or other
document to a licensee or occupation permit holder that
discloses the final outcome of an investigation or to a final
adjudication or order of the board.
(b) Disclosure permitted.--Except as provided in subsection
(a), this section shall not prevent disclosure of documents,
materials or information pertaining to the status of a license
or occupation permit or the sharing of information with law
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enforcement officials or similar regulatory boards in other
jurisdictions. A violation of this section shall subject an
employee or agent of the board to administrative discipline,
including discharge, suspension or other formal or appropriate
disciplinary action.
(c) Affidavit.--Each employee or agent of the board must
execute a confidentiality affidavit which provides that
documents, materials or information in subsection (a) obtained
by the employee or agent shall be considered confidential and
may be disclosed only as permitted under this section.
(d) Waiver.--The board may not require an applicant to waive
any confidentiality under this section as a condition for the
approval of a license or other action of the board.
CHAPTER 5
LICENSING
Section 501. Medical cannabis growers.
(a) Licensing.--The board shall license medical cannabis
growers to supply medical cannabis for distribution to medical
cannabis processors and medical cannabis dispensers under this
act.
(b) Imposition.--At the time of license issuance, the board
shall impose a licensing fee in the amount of $5,000. The board
shall impose a $2,500 annual renewal fee for each year following
the year the license was issued.
(c) Term.--Upon payment of the fee under subsection (b), a
grower's license shall be in effect unless suspended, revoked or
not renewed by the board for good cause.
(d) Update.--A licensee under this section must notify the
board of a change relating to the status of its license or other
information contained in its application and other information
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filed with the board.
(e) Deposit.--The fee under subsection (b) shall be
deposited into the General Fund.
(f) Restriction.--There shall be no restriction on specific
strains of medical cannabis that may be grown under this act.
There shall be no use of genetically modified organisms or an
organism whose genetic material has been altered using genetic
engineering involved in the cultivation of medical cannabis.
(g) Requirements.--A medical cannabis grower shall do all of
the following:
(1) Only grow medical cannabis using conventional
growing methods on land or in a facility approved by the
board.
(2) Conduct quality testing utilizing a testing
laboratory certified by the board and submit to random
testing of medical cannabis conducted by the board.
(3) Package and label medical cannabis products in
accordance with 3 Pa.C.S. Ch. 57 (relating to food
protection) and regulations of the board.
(4) Only transport, sell or deliver medical cannabis to
a medical cannabis processor, a testing laboratory or to a
medical cannabis dispenser.
(5) Maintain records of all sales and other activities
as required by the board.
(h) Exchange.--The board shall promulgate regulations for
the exchange of seed and plant materials with growers.
Section 502. Medical cannabis processors.
(a) Licensing.--The board shall license medical cannabis
processors to process medical cannabis into oil-based medical
cannabis products.
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(b) Imposition.--At the time of license issuance, the board
shall impose a licensing fee in the amount of $10,000. The board
shall impose a $5,000 annual renewal fee for each year following
the year the license was issued.
(c) Term.--Upon payment of the fee under subsection (b), a
processor's license shall be in effect unless suspended, revoked
or not renewed by the board for good cause.
(d) Update.--A licensee under this section must notify the
board of a change relating to the status of its license or other
information contained in its application and other information
filed with the board.
(e) Deposit.--The fee under subsection (b) shall be
deposited into the General Fund.
(f) Requirements.--A medical cannabis processor shall do all
of the following:
(1) Only use extraction and processing methods approved
by the board.
(2) Conduct quality testing utilizing an accredited
testing laboratory approved by the board and submit to random
testing conducted by the board.
(3) Only sell, transport or deliver medical cannabis to
a testing laboratory or to a medical cannabis dispenser.
(4) Conduct processing activities in facilities approved
by the board.
(5) Maintain records of all sales and other activities
as required by the board.
Section 503. Medical cannabis dispensers.
(a) Licensing.--The board shall license medical cannabis
dispensers to accept medical cannabis access cards and dispense
medical cannabis to a patient with a qualifying medical
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condition in accordance with a health care practitioner's
instructions.
(b) Imposition.--At the time of license issuance, the board
shall impose a licensing fee in the amount of $15,000. The board
shall impose a $7,500 annual renewal fee for each year following
the year the license was issued.
(c) Term.--Upon payment of the fee under subsection (b), a
dispenser's license shall be in effect unless suspended, revoked
or not renewed by the board for good cause.
(d) Update.--A licensee under this section must notify the
board of a change relating to the status of its license or other
information contained in its application and other information
filed with the board.
(e) Deposit.--The fee under subsection (b) shall be
deposited into the General Fund.
(f) Requirements.--A medical cannabis dispenser shall do all
of the following:
(1) Maintain a system to verify medical cannabis access
cards.
(2) Maintain a record of all medical cannabis dispensed.
Each record shall include:
(i) The name of the holder of the medical cannabis
access card.
(ii) The amount of medical cannabis dispensed.
(iii) The date of each dispensing to the cardholder.
(3) Provide reports as required by the board relating to
amounts dispensed.
(4) Maintain a physical premises that meets the
regulations of the board. Medical cannabis may not be visible
from the entryway to an individual who is not an occupation-
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permitted employee, owner or operator of the premises.
(5) Maintain a security system as required by the board.
(6) Adopt accountability measures relating to the
request of medical cannabis from a medical cannabis grower or
processor.
(7) Provide for the supervision of the dispensing of
medical cannabis at all times by a registered nurse.
(8) Display appropriate signage as required by the
board.
Section 504. Applications.
(a) Application.--An application for a grower, processor or
dispenser license must be submitted on a form and in a manner as
required by the board. In reviewing an application, the board
shall confirm that all applicable fees have been paid.
(b) Information.--An applicant for a grower, processor or
dispenser license must do all of the following:
(1) Disclose the following information:
(i) Each arrest and citation for a nontraffic
summary offense of the applicant.
(ii) The name, address and photograph of the
applicant and each principal and the principal's position
within the corporation or organization.
(iii) Any financial information required by the
board.
(iv) The proposed location of the growing,
processing or dispensing operation.
(v) The details of each loan obtained to finance the
growing, processing or dispensing operation.
(vi) Any other information required by the board.
(2) Consent to the conduct of a background investigation
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by the board, the scope of which shall be determined by the
board consistent with this act. Consent shall include a
release signed by each person subject to the investigation of
information required to complete the investigation.
(c) Refusal.--A refusal to provide the information required
under this section or to consent to a background investigation
shall result in the immediate denial of a license.
(d) Character requirements.--Each application for a grower,
processor or dispenser license shall include information,
documentation and assurance required to establish by clear and
convincing evidence that the applicant is a person of good
character, honesty and integrity and is eligible and suitable to
be an owner or operator. Information shall include information
pertaining to associates during the 10-year period immediately
preceding the filing date of the application.
Section 505. Location.
(a) General rule.--Except as otherwise provided under this
act, each grower, processor and dispenser license shall be valid
for the specific physical location within the municipality and
county for which it was originally granted. A person may not
distribute medical cannabis from a location other than the
facility originally authorized.
(b) Zoning.--The following shall apply:
(1) The growing of medical cannabis shall be classified
as a normal agricultural operation as defined under section 2
of the act of June 10, 1982 (P.L.454, No.133), referred to as
the Right-to-Farm Law.
(2) Facilities for the manufacturing, preparation and
production of medical cannabis shall meet the same municipal
zoning and land use requirements as other manufacturing,
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preparation and production facilities.
(3) Facilities for the dispensing of medical cannabis
shall meet the same municipal zoning and land use
requirements as other commercial facilities.
(c) Petition.--An applicant or holder of a license under
this act may petition the board to relocate its facility. In
determining whether to grant a petition to relocate, the board
shall do all of the following:
(1) Evaluate the proposed new location and the reason
for relocation.
(2) Evaluate community support and compliance with local
ordinances.
(3) Consider any other information submitted by the
petitioner or required by the board.
Section 506. Change in ownership or control.
The following apply to notification and approval:
(1) A medical cannabis grower, processor or dispenser
must notify the board upon becoming aware of a proposed or
contemplated change of ownership or control of the licensee.
A new owner must pay a licensing fee as determined by the
board.
(2) The purchaser of the assets of a medical cannabis
grower, processor or dispenser must independently qualify for
a license in accordance with this act and must pay the
license fee required under this chapter.
(3) If the ownership of the operation of a licensed
grower, processor or dispenser or its affiliate changes, the
new owner must pay the annual renewal fee for each applicable
license.
Section 507. Licensing of owner or operator.
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(a) License required.--Each owner or operator shall obtain
an owner or operator license from the board.
(b) Application.--An owner or operator license application
shall be in a form prescribed by the board and shall include the
following:
(1) Verification of status as an owner or operator from
a medical cannabis dispenser, grower or processor.
(2) A description of responsibilities as an owner or
operator.
(3) Each release necessary to obtain information from
governmental agencies, employers and other organizations.
(4) Fingerprints, which shall be submitted to the
Pennsylvania State Police. The Pennsylvania State Police
shall submit fingerprint data to and receive national
criminal history record information from the Federal Bureau
of Investigation for use in investigating an applicant for an
owner or operator license.
(5) A photograph that meets the standards of the
Commonwealth Photo Imaging Network.
(6) Details relating to a similar license, permit or
other authorization obtained in another jurisdiction.
(7) Any additional information required by the board.
(c) Issuance.--Following review of the application and the
background investigation, the board may issue an owner or
operator license if the applicant has proven by clear and
convincing evidence that the applicant is a person of good
character, honesty and integrity and is eligible and suitable to
be licensed as an owner or operator.
(d) Nontransferability.--A license issued under this section
shall be nontransferable.
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(e) Owner or operator.--An individual who receives an owner
or operator license need not obtain an occupation permit.
Section 508. Occupation permits.
(a) Permit required.--Each medical cannabis employee, and
each authorized provider who is not a parent or guardian of a
patient, shall obtain an occupation permit from the board.
(b) Application.--An occupation permit application shall be
in a form prescribed by the board and shall include the
following:
(1) Verification of one of the following:
(i) The status as an occupation permit holder from a
medical cannabis grower, processor or dispenser.
(ii) From a health care facility that the authorized
provider is an employee designated to purchase, possess,
transport, deliver and properly administer medical
cannabis to a patient with a medical cannabis access card
who is unable to obtain the medical cannabis.
(2) A description of employment responsibilities.
(3) Each release necessary to obtain information from
governmental agencies, employers and other organizations.
(4) Fingerprints, which shall be submitted to the
Pennsylvania State Police. The Pennsylvania State Police
shall submit fingerprint data to and receive national
criminal history record information from the Federal Bureau
of Investigation for use in investigating an applicant for an
occupation permit.
(5) A photograph that meets the standards of the
Commonwealth Photo Imaging Network.
(6) Details relating to a similar license, permit or
other authorization obtained in another jurisdiction.
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(7) Any additional information required by the board.
(c) Issuance.--Following review of the application and the
background investigation, the board may issue an occupation
permit if the applicant has proven by clear and convincing
evidence that the applicant is a person of good character,
honesty and integrity and is eligible and suitable to be an
occupation permit holder.
(d) Nontransferability.--An occupation permit issued under
this section shall be nontransferable.
Section 509. Storage and transportation.
The board shall develop regulations relating to the storage
and transportation of medical cannabis between growers,
processors, testing laboratories and medical cannabis dispensers
which ensure adequate security to guard against in-transit
losses. The regulations shall provide for the following:
(1) Requirements relating to shipping containers and
packaging.
(2) The manner in which trailers or carriers must be
secured.
(3) Security systems that include a numbered seal on the
trailer.
(4) Obtaining copies of driver's licenses and
registrations.
(5) Use of GPS systems.
(6) Number of drivers or other security required to
ensure against storage or in-transit losses.
(7) Recordkeeping for delivery and receipt of medical
cannabis products.
Section 510. Disposal and donation.
(a) Disposal.--The board shall promulgate regulations
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relating to disposal of medical cannabis by medical cannabis
growers, processors, dispensers and law enforcement.
(b) Donation.--A medical cannabis dispenser, grower and
processor may donate medical cannabis that has been purchased or
produced and tested in this Commonwealth in accordance with this
act, subject to the following:
(1) The medical cannabis is unused and in an unopened
container.
(2) The medical cannabis may only be donated for
research purposes to an accredited research institution,
university or college within this Commonwealth that is
recognized by the Commonwealth.
Section 511. Testing laboratories.
(a) Certification.--The board may certify an accredited
laboratory to test medical cannabis as required by the board.
(b) Requirement.--A medical cannabis grower and a medical
cannabis processor must utilize a certified laboratory to test
the quality of medical cannabis before the sale or transaction
of medical cannabis is made as required by the board.
Section 512. Medical cannabis access card.
(a) Department of Health.--A patient with a qualified
medical condition may apply to the Department of Health for a
medical cannabis access card.
(b) Application.--An application for a medical cannabis
access card shall be developed by the Department of Health.
Applications for renewal shall be required on an annual basis.
An authorized provider may obtain a medical cannabis access card
on behalf of a patient.
(c) Certification.--Applications and renewals must include
written certification from a health care practitioner that the
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applicant has a qualified medical condition.
(d) Verification.--The Department of Health shall verify the
information in the application and renewal form. Verification
shall include verification of the certification under subsection
(c).
(e) Time.--The department must approve or deny an
application within 30 business days.
(f) Denial.--A denial must state the reason for the denial.
A denial shall be considered a final agency decision subject to
review under 2 Pa.C.S. (relating to administrative law and
procedure).
(g) Fee.--The department shall charge an application fee of
not more than $100.
(h) Residency.--A patient must reside in this Commonwealth
to receive a medical cannabis access card.
(i) Reciprocity.--A patient registered in another medical
cannabis state may submit to the department the patient's
credentials to utilize medical cannabis. After the department
authorizes the patient's credentials, the department shall issue
the patient a medical cannabis access card allowing the patient
to utilize medical cannabis in this Commonwealth.
(j) Issuance to authorized provider.--If an authorized
provider is no longer employed with a health care facility, the
authorized provider's medical cannabis access card shall be made
immediately null and void. A health care facility that employs
an authorized provider to pick up and administer medical
cannabis to its patients shall notify the Department of Health
immediately upon the termination of the authorized provider's
employment.
(k) Right-to-Know Law.--The Department of Health shall
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maintain a confidential list of each individual identified by
the individual's medical cannabis access card who has been
issued a medical cannabis access card. Other identifying
information on the list shall be confidential and shall not be
considered a public record under the act of February 14, 2008
(P.L.6, No.3), known as the Right-to-Know Law. The list may not
be disclosed except to any of the following:
(1) Authorized employees of the board as necessary to
perform official duties of the board and Department of
Health.
(2) Authorized employees of the board and Department of
Health, only as necessary to verify that a person who is
engaged in the suspected or alleged medical use of cannabis
is lawfully in possession of a medical cannabis access card.
Section 513. Prohibitions and use.
(a) Prohibitions.--
(1) No individual shall smoke medical cannabis in the
public domain.
(2) No individual may operate, drive, navigate or be in
physical control of any of the following while under the
influence with a blood content of more than 10 nanograms of
tetrahydrocannabis of medical cannabis:
(i) A motor vehicle.
(ii) An aircraft.
(iii) A motor boat.
(iv) Heavy machinery.
(v) A mode of transportation in a manner that would
constitute an offense under 75 Pa.C.S. Ch. 38 (relating
to driving after imbibing alcohol or utilizing drugs).
(3) An individual with a valid medical cannabis access
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card shall not be determined to be under the influence of
medical cannabis solely for having medical cannabis in the
individual's system.
(b) Use.--Except as provided under subsections (a) and (c),
an individual with a valid medical cannabis access card may
utilize medical cannabis in any public place, including the
following:
(1) Public transportation.
(2) On school grounds in accordance with the Department
of Education regulations regarding medication on school
grounds.
(3) In a correctional facility in accordance with the
Department of Corrections regulations regarding medications
in correctional facilities.
(4) At a public park or public beach.
(c) Vaporization.--Combusting and inhaling medical cannabis
by means of vaporization is permitted in the public domain.
(d) Adulteration.--With the exception of extraction methods
and processing operations approved by the board, a person may
not adulterate, fortify, contaminate or change the character or
purity of medical cannabis from the original sold by a licensed
medical cannabis grower, processor or dispenser.
Section 514. Unlawful activities.
(a) Licensing.--It shall be a criminal offense to knowingly
do any of the following:
(1) Grow, process or dispense medical cannabis without a
license under this act.
(2) Transport medical cannabis from or between an
unlicensed grower, processor or dispenser.
(3) Participate in the growing, processing or dispensing
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of medical cannabis in violation of this act.
(4) Fail to report, pay or truthfully account for and
pay any license fee, authorization fee or an assessment
imposed under this act.
(5) Violate any regulation of the board.
(b) False swearing.--The provisions of 18 Pa.C.S. § 4902
(relating to perjury), 4903 (relating to false swearing) or 4904
(relating to unsworn falsification to authorities) shall apply
to a person providing information or making an oral or written
statement to the board, a Commonwealth agency or to law
enforcement in relation to the enforcement of this act.
Section 515. Criminal penalties.
(a) Violation.--Except as provided under subsections (b),
(c) and (d), a violation of this act is a misdemeanor of the
second degree.
(b) Unauthorized actions.--A medical cannabis grower,
processor or dispenser that distributes, gives, sells or
provides medical cannabis to a person other than a person
authorized under this act commits a felony of the third degree.
(c) Falsification of application or certification.--An
individual who falsifies an application or certification under
section 511 commits a misdemeanor of the first degree.
(d) Subsequent violation.--A person that is convicted of a
second or subsequent violation of this act commits a felony of
the third degree.
CHAPTER 7
MEDICAL CANNABIS
Section 701. Medical use permitted.
(a) Patient.--
(1) A patient who possesses a valid medical cannabis
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access card shall not be subject to arrest, prosecution,
penalty, denial of a right or privilege, civil penalty or
disciplinary action by a professional licensing board due to
the use of medical cannabis in accordance with this act. Law
enforcement personnel may not unreasonably detain, question
or arrest a patient with a valid medical cannabis access
card.
(2) There shall exist a rebuttable presumption that a
patient is using medical cannabis if the patient possesses a
valid medical cannabis access card. The presumption may be
rebutted by evidence that conduct related to medical cannabis
use is not related to a patient's qualified medical
condition.
(3) A patient may assert the use of medical cannabis as
an affirmative defense to a prosecution involving medical
cannabis unless the individual is in violation of this act
when the events giving rise to the prosecution occurred. The
defense shall be presumed valid if the evidence shows one of
the following:
(i) Medical records and current medical condition
made in the course of a practitioner-patient relationship
indicate the potential benefits of medical cannabis
likely outweigh health risks.
(ii) A health care practitioner affirms that in the
health care practitioner's opinion, after full assessment
of the patient's medical history and current medical
condition, the potential benefits of medical cannabis
outweigh the health risks.
(4) Possession of or application for a medical cannabis
access card may not alone constitute probable cause to search
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a person, the person's property or otherwise subject the
person or property to inspection by a governmental agency.
(5) Law enforcement officials may not destroy, damage or
alter a patient's supply of medical cannabis if the patient
is in possession of a valid medical cannabis access card.
(b) Patients under 18 years of age.--Subsection (a) does not
apply to a patient under 18 years of age unless all of the
following have occurred:
(1) The minor's health care practitioner has explained
to the minor and the minor's custodial parent, guardian or
person having legal custody the potential risks and benefits
of medical cannabis.
(2) The custodial parent, guardian or person having
legal custody consents in writing to:
(i) Allow the minor's use of medical cannabis.
(ii) Serve as the minor's authorized provider.
(iii) Control the acquisition, dosage and frequency
of the minor's use of medical cannabis.
(c) Authorized provider.--
(1) An authorized provider who has possession of a valid
medical cannabis access card shall not be subject to
detrimental action, including arrest, prosecution, penalty,
denial of a right or privilege, civil penalty or disciplinary
action, by a professional licensing board for assisting a
patient to whom the authorized provider is connected through
the board's registration process with medical cannabis. Law
enforcement personnel may not unreasonably detain, question
or arrest or repeatedly detain, question or arrest an
authorized provider for assisting the patient.
(2) There shall exist a rebuttable presumption that an
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authorized provider is engaged in medical cannabis use if the
authorized provider possesses a valid medical cannabis access
card. The presumption may be rebutted by evidence that
conduct related to medical cannabis use is not for the
purpose of alleviating the symptoms or effects of a patient's
qualified medical condition.
(3) An authorized provider may assert the medical use of
cannabis as an affirmative defense to a prosecution involving
medical cannabis unless the authorized provider is in
violation of this act when the events giving rise to the
prosecution occurred. The defense shall be presumed valid if
the evidence shows either of the following at the time of the
events giving rise to the prosecution:
(i) The patient's medical records and current
medical condition made in the course of a practitioner-
patient relationship indicate the potential benefits of
medical cannabis outweigh the health risks for the
patient.
(ii) A health care practitioner states that in the
health care practitioner's opinion, after completing a
full assessment of the patient's medical history and
current medical condition, potential benefits of medical
cannabis likely outweigh the health risks for the
patient.
(4) Possession of or application for a medical cannabis
access card shall not alone constitute probable cause to
search a person, property of a person possessing or applying
for the medical cannabis access card or otherwise subject the
person or the person's property to inspection by a
governmental agency.
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(5) Law enforcement officials may not intentionally
destroy, damage or alter a patient's supply of medical
cannabis which is in the possession of the authorized
provider if the authorized provider is in possession of a
medical cannabis access card.
(d) Health care practitioner and registered nurse.--A health
care practitioner or registered nurse shall not be subject to
detrimental action, including arrest, prosecution, penalty,
denial of a right or privilege, civil penalty or disciplinary
action, by the health care practitioner's or registered nurse's
licensing board for providing written certification for the
medical use of cannabis to a patient in accordance with this
act.
(e) Registered nurse.--A registered nurse shall not be
subject to detrimental action, including arrest, prosecution,
penalty, denial of a right or privilege, civil penalty or
disciplinary action, by the registered nurse's licensing board
for dispensing medical cannabis to a patient in accordance with
this act.
(f) Personal proximity.--An individual shall not be subject
to arrest or prosecution for constructive possession, conspiracy
or another offense for being in the presence or vicinity of
medical cannabis as permitted under this act.
(g) Restriction.--An individual who has been sentenced for a
criminal act shall not be disqualified from obtaining or
possessing a valid medical cannabis access card on the basis of
the offense.
CHAPTER 9
PROTECTION, PROHIBITIONS AND ENFORCEMENT
Section 901. Civil discrimination protection.
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The following shall apply:
(1) For the purposes of medical care, including organ
transplant, a patient's authorized use of medical cannabis
under this act shall be considered the equivalent of the use
of other medication under the direction of a health care
practitioner. Medical cannabis, when used in accordance with
this act, may not be considered an illicit substance or
otherwise disqualify a patient from medical care.
(2) An individual may not be penalized in any of the
following ways due to the individual's use of medical
cannabis under this act:
(i) Denied custody, visitation or parenting time
with a minor child.
(ii) Presumed to neglect or endanger a minor child
unless the individual's behavior creates an unreasonable
danger to the safety of the minor by clear and convincing
evidence.
(3) A landlord may not refuse to lease or otherwise
penalize a patient solely for having a medical cannabis
access card or using medical cannabis in accordance with this
act unless the landlord would forfeit a monetary or
licensing-related benefit under Federal law or regulation.
(4) A school may not refuse to enroll or otherwise
penalize a patient solely for having a medical cannabis
access card or using medical cannabis in accordance with this
act unless the school would forfeit a monetary or licensing-
related benefit under Federal law or regulation.
(5) An employer may not discriminate against an
individual in the hiring, termination of benefits or
otherwise penalize the individual for being a medical
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cannabis access cardholder. The following shall apply:
(i) The employer may take an individual's status as
a cardholder into account only if the employer proves the
employee is abusing or misusing the employee's medical
cannabis on the premises of the place of employment
during ordinary hours of employment or if failure to do
so would cause an employer to forfeit a licensing benefit
under Federal law or regulation.
(ii) A individual's positive drug test for cannabis
components or metabolites may not be considered by an
employer unless the individual unlawfully used, possessed
or was impaired by the medical cannabis while on the
premises of the place of employment or during the hours
of employment.
Section 902. Prohibitions.
(a) Inspection.--A licensee may not refuse to allow an
authorized employee of the department to inspect the licensee's
premises at any time.
(b) Other prohibitions.--A licensee may be cited under this
act for:
(1) An unlawful act prohibited by State law which occurs
on the licensee's premises.
(2) An unlawful act which involves a licensee or the
licensee's agent or employee.
(3) The sale or purchase of an illegal drug by the
licensee or by the licensee's agent or employee.
Section 903. Enforcement.
(a) Officers.--To enforce the provisions of this act,
uniformed law enforcement officers may:
(1) Arrest on view, except in private homes, or with a
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warrant a person engaged in any of the following activities
contrary to this act or another law of this Commonwealth:
(i) Unlawful distribution, sale or transfer of
medical cannabis.
(ii) Unlawful importation of medical cannabis.
(iii) Unlawful manufacture of medical cannabis.
(iv) Unlawful transportation of medical cannabis.
(v) Unlawful possession of medical cannabis.
(vi) Unlawful growing of medical cannabis.
(2) Arrest on view, except in private homes or with a
warrant, a person whom the officer, while in the performance
of assigned duties under this act and regulations promulgated
under this act, observes to be in violation of any of the
following:
(i) 18 Pa.C.S. § 3302 (relating to causing or
risking catastrophe).
(ii) 18 Pa.C.S. § 3304 (relating to criminal
mischief).
(iii) 18 Pa.C.S. § 4101 (relating to forgery).
(iv) 18 Pa.C.S. § 5503 (relating to disorderly
conduct).
(v) 18 Pa.C.S. § 6310.3 (relating to carrying a
false identification card).
(3) Search, seize and dispose of seized property in
accordance with the following:
(i) Upon reasonable and probable cause with a
warrant, except in private homes, to search and seize the
following:
(A) Medical cannabis unlawfully possessed,
manufactured, sold, imported or transported.
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(B) Equipment, materials, utensils, vehicles,
boats, vessels or aircraft which are or have been
used in the unlawful manufacture, sale, importation
or transportation of medical cannabis.
(ii) Medical cannabis equipment, materials,
utensils, vehicles, boats, vessels or aircraft that have
been seized shall be disposed of as provided in this act
and in regulations promulgated under this act.
(4) Arrest a person who engages in the following
offenses when the offenses are committed against the officer
while the officer is performing assigned duties under this
act and the regulations promulgated under this act:
(i) 18 Pa.C.S. § 2701 (relating to simple assault).
(ii) 18 Pa.C.S. § 2702 (relating to aggravated
assault).
(iii) 18 Pa.C.S. § 2705 (relating to recklessly
endangering another person).
(iv) 18 Pa.C.S. § 2706 (relating to terroristic
threats).
(v) 18 Pa.C.S. § 2709 (relating to harassment).
(vi) 18 Pa.C.S. § 5104 (relating to resisting arrest
or other law enforcement).
(vii) 18 Pa.C.S. § 5501 (relating to riot).
(5) Serve and execute warrants issued by the proper
authorities for offenses under this subsection and to serve
subpoenas.
(6) Arrange for the administration of chemical tests of
blood or urine to a person for the purpose of determining the
tetrahydrocannabinol content of blood or the presence of a
controlled substance by qualified personnel of a State or
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local police department or qualified personnel of a clinical
laboratory licensed and approved by the department.
(7) To investigate and issue citations for the
following:
(i) A violation of this act.
(ii) A violation of a regulation of the board.
(iii) A violation of another law of this
Commonwealth.
(b) Confiscation.--Equipment or appurtenance actually used
in the commission of the unlawful acts may be confiscated. The
confiscation shall not divest or impair the rights or interest
of a bona fide lien holder in the equipment or appurtenance.
CHAPTER 51
MISCELLANEOUS PROVISIONS
Section 5101. Temporary regulations.
(a) Temporary regulations.--In order to facilitate the
implementation of this act, regulations promulgated by the board
shall be deemed temporary regulations which shall expire not
later than two years following the publication of the temporary
regulation. Temporary regulations shall not be subject to:
(1) Sections 201, 202, 203, 204 and 205 of act of July
31, 1968 (P.L.769, No.240), referred to as the Commonwealth
Documents Law.
(2) Sections 204(b) and 301(10) of the act of October
15, 1980 (P.L.950, No.164), known as the Commonwealth
Attorneys Act.
(3) The act of June 25, 1982 (P.L.633, No.181), known as
the Regulatory Review Act.
(b) Expiration.--The board's authority to adopt temporary
regulations under subsection (a) shall expire two years after
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the effective date of this section. Regulations adopted after
this period shall be promulgated as provided by law.
(c) Publication.--The board shall begin publishing temporary
regulations in the Pennsylvania Bulletin no later than six
months following the effective date of this section.
Section 5102. Applicability of other statutes.
The following acts shall apply to the board:
(1) The act of July 19, 1957 (P.L.1017, No.451), known
as the State Adverse Interest Act.
(2) The act of February 14, 2008 (P.L.6, No.3), known as
the Right-to-Know Law.
(3) 65 Pa.C.S. Chs. 7 (relating to open meetings) and 11
(relating to ethics standards and financial disclosure).
Section 5103. Repeals.
The following shall apply:
(1) Sections 4 and 13 of the act of April 14, 1972
(P.L.233, No.64), known as The Controlled Substance, Drug,
Device and Cosmetic Act, are repealed insofar as they are
inconsistent with this act.
(2) All acts and parts of acts are repealed insofar as
they are inconsistent with this act.
Section 5104. Sovereign immunity.
The Commonwealth may not be held liable for any deleterious
outcomes resulting from the medical use of cannabis by a
patient.
Section 5105. Health insurance.
Nothing in this act shall be construed to require a State
government medical assistance program or private health insurer
to reimburse a person for costs associated with the medical use
of cannabis or an employer to accommodate the medical use of
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cannabis in a workplace.
Section 5106. Effective date.
This act shall take effect in 60 days.
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