Initiative Language

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OFFICIAL TITLE

AN INITIATIVE MEASURE

AMENDING TITLE 36, ARIZONA REVISED STATUTES, BY ADDING CHAPTER 28.2; AMENDING TITLE 42, CHAPTER 3, ARIZONA REVISED STATUTES, BY ADDING ARTICLE 10; AMENDING TITLE 43, CHAPTER 1, ARTICLE 1, ARIZONA REVISED STATUTES, BY ADDING SECTION 43-108; AMENDING SECTION 13-3401, ARIZONA REVISED STATUTES; REPEALING SECTION 13-3405, ARIZONA REVISED STATUTES; AMENDING SECTION 13-3415, ARIZONA REVISED STATUTES; RELATING TO THE LEGALIZATION AND REGULATION OF MARIJUANA.

TEXT OF PROPOSED AMENDMENT

Be it enacted by the People of the State of Arizona:

Section 1.  Title.

This Act may be cited as the “Legalization and Regulation of Marijuana Act.”

Sec. 2.  Findings.

  1. The People of the State of Arizona find and declare that the distribution of marijuana should be removed from the illicit market and be controlled under a system that licenses, regulates and taxes the businesses involved and allocates the tax revenue to public education and public health.
  2. The People of the State of Arizona find and declare that the current statutory scheme regulating the adult use of marijuana is contrary to the interests of justice and ought to be repealed and replaced with new laws that better reflect the values and principles of Arizona voters.
  3. The People of the State of Arizona find and declare that marijuana should be legalized and regulated so that:
  4. Marijuana may be purchased legally only from a business that is licensed and regulated.
  5. Cultivating, manufacturing, testing, transporting and selling marijuana are controlled through licensing and regulation.
  6. Individuals are allowed to cultivate and produce a limited number of marijuana plants and possess and manufacture any amount of marijuana produced by those plants for personal use.
  7. Selling or giving marijuana to persons under the legal age remains illegal.
  8. Driving while impaired by marijuana remains illegal.
  9. Marijuana sold in this state at licensed retail facilities is taxed, tested, labeled and packaged securely.
  10. In the interest of the public health and public safety, to protect and maintain individual rights and the people’s freedom and to better focus state and local law enforcement resources on crimes involving violence and personal property, the people of the State of Arizona find and declare that the use of marijuana should be legal for persons who are at least twenty-one years of age and that the criminal penalties for marijuana offenses should be reduced. Hence, the purpose of this act is to protect adults who are at least twenty-one years of age and their providers from arrest and prosecution, criminal and other penalties and property forfeiture if such adults engage in the use or cultivation of marijuana.
  11. In the interest of enacting rational policies for the treatment of all variations of the cannabis plant, the people of the State of Arizona further find and declare that hemp should be legal and should be regulated separately from the strains of cannabis with higher delta-9 tetrahydrocannabinol concentrations.
  12. States are not required to enforce federal law or prosecute people for engaging in activities prohibited by federal law. Therefore, compliance with this act does not put the State of Arizona in violation of federal law.

Sec. 3.  Title 36, Arizona Revised Statutes, is amended by adding chapter 28.2, to read:

CHAPTER 28.2

LEGALIZATION AND REGULATION OF MARIJUANA ACT

ARTICLE 1.  GENERAL PROVISIONS

36-2851.  Definitions

IN THIS CHAPTER, UNLESS THE CONTEXT OTHERWISE REQUIRES:

  1. “CONCENTRATED MARIJUANA” MEANS THE RESIN EXTRACTED FROM ANY PART OF A PLANT OF THE GENUS CANNABIS AND EVERY COMPOUND, MANUFACTURE, SALT, DERIVATIVE, MIXTURE OR PREPARATION OF THAT RESIN OR TETRAHYDROCANNABINOL. CONCENTRATED MARIJUANA DOES NOT INCLUDE THE WEIGHT OF ANY OTHER INGREDIENT COMBINED WITH CANNABIS TO PREPARE TOPICAL OR ORAL ADMINISTRATIONS, FOOD, DRINK OR OTHER PRODUCTS.
  2. “CONSUMER” MEANS A PERSON WHO IS AT LEAST TWENTY-ONE YEARS OF AGE AND WHO OBTAINS, PURCHASES OR POSSESSES MARIJUANA, MARIJUANA PLANTS OR MARIJUANA PRODUCTS FOR PERSONAL USE OR FOR USE BY PERSONS WHO ARE AT LEAST TWENTY-ONE YEARS OF AGE.
  3. “CONTROLLING PERSON” MEANS A PRINCIPAL OFFICER, DIRECTOR OR BOARD MEMBER WHO HAS A FINANCIAL OR VOTING INTEREST OF TEN PERCENT OR GREATER IN A MARIJUANA ESTABLISHMENT.
  4. DEPARTMENT” MEANS THE DEPARTMENT OF MARIJUANA LICENSES AND CONTROL.
  1. “INDUSTRIAL HEMP” MEANS THE PLANT OF THE GENUS CANNABIS, THE SEEDS THEREOF, AND ANY PART OF THAT PLANT, WHETHER GROWING OR NOT, WITH A DELTA-9 TETRAHYDROCANNABINOL CONCENTRATION THAT DOES NOT EXCEED THREE-TENTHS PERCENT ON A DRY-WEIGHT BASIS OF ANY PART OF THE PLANT CANNABIS, OR PER VOLUME OR WEIGHT OF MARIJUANA PRODUCT, OR THE COMBINED PERCENTAGE OF DELTA-9 TETRAHYDROCANNABINOL AND TETRAHYDROCANNABINOLIC ACID IN ANY PART OF THE PLANT CANNABIS REGARDLESS OF MOISTURE CONTENT.
  2. “LOCALITY” MEANS A CITY OR TOWN OR, IN REFERENCE TO A LOCATION OUTSIDE THE BOUNDARIES OF A CITY OR TOWN, A COUNTY.
  3. “MANUFACTURE” MEANS TO COMPOUND, BLEND, EXTRACT, INFUSE OR OTHERWISE MAKE OR PREPARE A MARIJUANA PRODUCT.
  4. “MARIJUANA”:

(a)    MEANS THE DRIED FLOWERS OF ANY PLANT OF THE GENUS CANNABIS, THE SEEDS OF THE PLANT, THE RESIN EXTRACTED FROM ANY PART OF THE PLANT AND EVERY COMPOUND, MANUFACTURE, SALT, DERIVATIVE, MIXTURE OR PREPARATION OF THE PLANT, ITS FLOWERS, OR ITS SEEDS OR RESIN.

(b)    INCLUDES CANNABIS.

(c)    INCLUDES CONCENTRATED MARIJUANA.

(d)    DOES NOT INCLUDE:

(i)    INDUSTRIAL HEMP.

(ii)    THE MATURE STEMS AND ROOTS OF THE PLANT, FIBER PRODUCED FROM THE STEMS, OIL OR CAKE MADE FROM THE SEEDS OF THE PLANT OR ANY OTHER COMPOUND, MANUFACTURE, SALT, DERIVATIVE, MIXTURE OR PREPARATION OF THE MATURE STEMS OR ROOTS OF THE PLANT.

(iii)    THE WEIGHT OF ANY OTHER INGREDIENT COMBINED WITH MARIJUANA TO PREPARE TOPICAL OR ORAL ADMINISTRATIONS, FOOD, DRINK OR OTHER MARIJUANA PRODUCTS.

  1. “MARIJUANA ACCESSORIES” MEANS ANY EQUIPMENT, PRODUCT OR MATERIAL OF ANY KIND THAT IS USED, INTENDED FOR USE OR DESIGNED FOR USE IN PLANTING, PROPAGATING, CULTIVATING, GROWING, HARVESTING, MANUFACTURING, COMPOUNDING, CONVERTING, PRODUCING, PROCESSING, PREPARING, TESTING, ANALYZING, PACKAGING, REPACKAGING, STORING OR TRANSPORTING MARIJUANA, OR FOR INGESTING, INHALING OR OTHERWISE INTRODUCING MARIJUANA INTO THE HUMAN BODY.
  2. “MARIJUANA CULTIVATOR” MEANS AN ENTITY THAT IS LICENSED BY THE DEPARTMENT TO POSSESS, PRODUCE, CULTIVATE, HARVEST, PROCESS, TRANSPORT AND PACKAGE MARIJUANA AND MARIJUANA PLANTS, TO HAVE MARIJUANA TESTED BY A MARIJUANA TESTING FACILITY AND TO SELL AND TRANSPORT MARIJUANA AND MARIJUANA PLANTS TO OTHER MARIJUANA ESTABLISHMENTS, BUT NOT TO A CONSUMER.
  3. “MARIJUANA DISTRIBUTOR” MEANS AN ENTITY THAT IS LICENSED BY THE DEPARTMENT TO POSSESS AND STORE MARIJUANA AND MARIJUANA PRODUCTS AT A LOCATION THAT IS NOT LICENSED FOR THE PRODUCTION, MANUFACTURE OR RETAIL SALE OF MARIJUANA AND MARIJUANA PRODUCTS AND TO TRANSPORT MARIJUANA AND MARIJUANA PRODUCTS FROM A MARIJUANA ESTABLISHMENT TO ANOTHER MARIJUANA ESTABLISHMENT, BUT NOT TO A CONSUMER.
  4. “MARIJUANA ESTABLISHMENT” MEANS ANY ENTITY THAT IS A MARIJUANA CULTIVATOR, MARIJUANA DISTRIBUTOR, MARIJUANA TESTING FACILITY, MARIJUANA PRODUCT MANUFACTURER OR MARIJUANA RETAILER.
  5. “MARIJUANA PLANT”:

(a)    MEANS ANY GROWING PLANT OF THE GENUS CANNABIS CONNECTED TO A LIVING ROOT SYSTEM.

(b)    DOES NOT INCLUDE:

(i)    INDUSTRIAL HEMP.

(ii)    THE SEEDS OF THE PLANT OF THE GENUS CANNABIS.

  1. “MARIJUANA PRODUCT MANUFACTURER” MEANS AN ENTITY THAT IS LICENSED BY THE DEPARTMENT TO POSSESS, PURCHASE, MANUFACTURE, PROCESS, TRANSPORT AND PACKAGE MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS AND TO SELL AND TRANSPORT MARIJUANA AND MARIJUANA PRODUCTS TO OTHER MARIJUANA ESTABLISHMENTS, BUT NOT TO CONSUMERS.
  2. “MARIJUANA PRODUCTS” MEANS PRODUCTS THAT HAVE BEEN SUBJECT TO MANUFACTURE AND THAT CONTAIN MARIJUANA, CONCENTRATED MARIJUANA OR ANY EXTRACT FROM MARIJUANA, INCLUDING PRODUCTS COMPRISING MARIJUANA AND OTHER INGREDIENTS THAT ARE INTENDED FOR HUMAN USE OR CONSUMPTION, AND INCLUDES EDIBLE PRODUCTS, OINTMENTS, CONCENTRATED MARIJUANA PRODUCTS AND TINCTURES.
  3. “MARIJUANA RETAILER” MEANS AN ENTITY THAT IS LICENSED BY THE DEPARTMENT TO POSSESS AND PURCHASE MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS FROM MARIJUANA ESTABLISHMENTS, TO TRANSPORT MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS TO OR FROM MARIJUANA ESTABLISHMENTS AND TO PACKAGE AND SELL MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS TO MARIJUANA ESTABLISHMENTS AND TO CONSUMERS.
  4. “MARIJUANA TESTING FACILITY” MEANS AN ENTITY THAT IS LICENSED BY THE DEPARTMENT TO TEST, POSSESS AND TRANSPORT MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS, INCLUDING TESTING FOR POTENCY AND HARMFUL CONTAMINANTS.
  5. “PROCESS” MEANS TO HARVEST, DRY, CURE, TRIM AND SEPARATE PARTS OF THE MARIJUANA PLANT BY MANUAL OR MECHANICAL MEANS, INCLUDING SIEVING OR ICE WATER SEPARATION, BUT EXCLUDING CHEMICAL EXTRACTION WITH A COMPRESSED FLAMMABLE SOLVENT.
  6. “REORGANIZED MARIJUANA BUSINESS” MEANS AN ENTITY THAT IS ESTABLISHED TO OPERATE A MARIJUANA ESTABLISHMENT BY THE UNANIMOUS CONSENT OF ALL THE PRINCIPAL OFFICERS OF A NONPROFIT MEDICAL MARIJUANA DISPENSARY THAT IS REGISTERED AND IN GOOD STANDING PURSUANT TO CHAPTER 28.1 OF THIS TITLE.
  7. “UNREASONABLY IMPRACTICABLE” MEANS THAT THE MEASURES NECESSARY TO COMPLY WITH RULES OR ORDINANCES ADOPTED PURSUANT TO THIS CHAPTER SUBJECT LICENSEES TO UNREASONABLE FINANCIAL OR OTHER RISK OR REQUIRE SUCH A SIGNIFICANT INVESTMENT OF MONEY, TIME OR ANY OTHER RESOURCE OR ASSET THAT THE OPERATION OR ACQUISITION OF A MARIJUANA ESTABLISHMENT IS NOT WORTH BEING CARRIED OUT BY A REASONABLY PRUDENT BUSINESSPERSON.

36-2852.  Applicability of chapter

  1. THIS CHAPTER DOES NOT AUTHORIZE ANY PERSON TO ENGAGE IN AND DOES NOT PREVENT THE IMPOSITION OF ANY CIVIL, CRIMINAL OR OTHER PENALTY ON A PERSON FOR:
  2. OPERATING, NAVIGATING OR BEING IN ACTUAL PHYSICAL CONTROL OF ANY MOTOR VEHICLE, TRAIN, AIRCRAFT, MOTORBOAT OR OTHER MOTORIZED FORM OF TRANSPORT WHILE IMPAIRED BY MARIJUANA OR A MARIJUANA PRODUCT, EXCEPT THAT A PERSON SHALL NOT BE CONSIDERED IMPAIRED BY MARIJUANA OR A MARIJUANA PRODUCT AND SHALL NOT BE CONVICTED OF DRIVING UNDER THE INFLUENCE OF MARIJUANA SOLELY BECAUSE OF THE PRESENCE OF MARIJUANA METABOLITES OR COMPONENTS OF MARIJUANA IN THE PERSON’S BODY OR IN THE URINE, BLOOD, SALIVA, HAIR OR OTHER TISSUE OR FLUID OF THE PERSON’S BODY.
  3. INHALING OR CONSUMING MARIJUANA OR A MARIJUANA PRODUCT WHILE OPERATING A MOTOR VEHICLE, TRAIN, AIRCRAFT, MOTORBOAT OR OTHER MOTORIZED FORM OF TRANSPORT.
  4. KNOWINGLY DELIVERING, GIVING, SELLING OR ADMINISTERING OR OFFERING TO SELL, ADMINISTER, GIVE OR DELIVER MARIJUANA OR A MARIJUANA PRODUCT TO A PERSON WHO IS UNDER TWENTY-ONE YEARS OF AGE.
  5. SELLING MARIJUANA, MARIJUANA PLANTS OR MARIJUANA PRODUCTS IN THIS STATE WITHOUT PROCURING THE APPROPRIATE LICENSE TO OPERATE A MARIJUANA ESTABLISHMENT, EXCEPT THAT A MARIJUANA ESTABLISHMENT LICENSE SHALL NOT BE REQUIRED TO SELL MARIJUANA ACCESSORIES IN THIS STATE.
  6. POSSESSING OR USING MARIJUANA OR MARIJUANA ACCESSORIES ON THE GROUNDS OF OR WITHIN ANY CORRECTIONAL FACILITY.
  7. POSSESSING OR USING MARIJUANA, A MARIJUANA PLANT, OR A MARIJUANA PRODUCT ON SCHOOL GROUNDS, INSIDE SCHOOL BUILDINGS, IN SCHOOL PARKING LOTS OR PLAYING FIELDS OR IN SCHOOL BUSES OR VEHICLES. FOR THE PURPOSES OF THIS PARAGRAPH, “SCHOOL” MEANS ANY PUBLIC, CHARTER OR PRIVATE SCHOOL WHERE CHILDREN ATTEND CLASSES IN PRESCHOOL PROGRAMS, KINDERGARTEN PROGRAMS OR GRADES ONE THROUGH TWELVE.
  8. THIS CHAPTER DOES NOT REQUIRE AN EMPLOYER TO ALLOW THE POSSESSION OR CONSUMPTION OF MARIJUANA OR MARIJUANA PRODUCTS BY A PERSON AT THE WORKPLACE OR DURING THE PERSON’S HOURS OF EMPLOYMENT, EXCEPT THAT A PERSON SHALL NOT BE CONSIDERED TO BE IN POSSESSION OF, IMPAIRED BY, OR UNDER THE INFLUENCE OF MARIJUANA AT THE WORKPLACE OR DURING THE PERSON’S HOURS OF EMPLOYMENT SOLELY BECAUSE OF THE PRESENCE OF METABOLITES OR COMPONENTS OF MARIJUANA THAT APPEAR IN THE PERSON’S BODY OR IN THE URINE, BLOOD, SALIVA, HAIR OR OTHER TISSUE OR FLUID OF THE PERSON’S BODY.
  9. THIS CHAPTER DOES NOT PROHIBIT A PERSON WHO OWNS, MANAGES OR CONTROLS A PROPERTY FROM PROHIBITING OR OTHERWISE REGULATING THE CULTIVATION OR SALE OF MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS ON OR IN THAT PROPERTY.
  10. THIS CHAPTER DOES NOT PROHIBIT A PERSON FROM PROHIBITING OR OTHERWISE REGULATING THE POSSESSION OR CONSUMPTION OF MARIJUANA AND MARIJUANA PRODUCTS ON OR IN PROPERTY THE PERSON OWNS, MANAGES OR CONTROLS IF THE PROPERTY IS A PUBLIC BUILDING THAT IS HELD OR OWNED BY THIS STATE OR ANY POLITICAL SUBDIVISION OF THIS STATE.
  11. EXCEPT AS PROVIDED IN SECTION 36-2862, SECTION 36-2868, SUBSECTION B AND IN SECTION 36-2869, SUBSECTION C, THIS CHAPTER DOES NOT AFFECT ANY PROVISION OF CHAPTER 28.1 OF THIS TITLE RELATING TO THE USE OF MEDICAL MARIJUANA. CONDUCT ALLOWED UNDER THIS CHAPTER SHALL NOT PROVIDE THE BASIS FOR A VIOLATION OF CHAPTER 28.1 OF THIS TITLE AND SHALL NOT ALLOW FOR THE REVOCATION OR DENIAL OF A REGISTRY IDENTIFICATION CARD ISSUED PURSUANT TO CHAPTER 28.1 OF THIS TITLE.
  12. THIS CHAPTER DOES NOT PROHIBIT THE LEGISLATURE FROM PROVIDING FOR THE TAXATION OF INDUSTRIAL HEMP.

36-2853.  Department of marijuana licenses and control

  1. THE DEPARTMENT OF MARIJUANA LICENSES AND CONTROL IS ESTABLISHED CONSISTING OF THE MARIJUANA COMMISSION AND THE OFFICE OF DIRECTOR OF THE DEPARTMENT.
  2. THE GOVERNOR SHALL APPOINT A DIRECTOR OF THE DEPARTMENT PURSUANT TO SECTION 38-211 WHO IS QUALIFIED BY SUCCESSFUL EXPERIENCE IN BUSINESS ADMINISTRATION OR IN GOVERNMENT. THE GOVERNOR MAY REMOVE THE DIRECTOR FOR CAUSE. EXCEPT AS PROVIDED IN SUBSECTION D OF THIS SECTION, THE DIRECTOR SHALL ADMINISTER THIS CHAPTER. SUBJECT TO TITLE 41, CHAPTER 4, ARTICLE 4, THE DIRECTOR MAY EMPLOY, DETERMINE THE CONDITIONS OF EMPLOYMENT OF AND SPECIFY THE DUTIES OF EMPLOYEES AND CONTRACT TO HAVE THE SERVICES OF SUCH ADVISORS OR CONSULTANTS AS ARE REASONABLY NECESSARY TO ADEQUATELY PERFORM THE DEPARTMENT’S DUTIES..
  3. THE MARIJUANA COMMISSION CONSISTS OF SEVEN MEMBERS WHO ARE APPOINTED BY THE GOVERNOR PURSUANT TO SECTION 38-211, FIVE OF WHOM DO NOT HAVE ANY FINANCIAL INTEREST, DIRECTLY OR INDIRECTLY, IN ANY MARIJUANA ESTABLISHMENT AND TWO OF WHOM ARE AT ALL TIMES WHILE SERVING ON THE MARIJUANA COMMISSION CONTROLLING PERSONS OF A MARIJUANA ESTABLISHMENT. NOT MORE THAN TWO MEMBERS MAY BE APPOINTED FROM THE SAME COUNTY. THE TERM OF APPOINTMENT IS THREE YEARS, AND TERMS EXPIRE ON THE THIRD MONDAY IN JANUARY OF THE APPROPRIATE YEAR.
  4. THE MARIJUANA COMMISSION SHALL:
  5. ADOPT RULES FOR THE CONDUCT OF ITS MEETINGS.
  6. ANNUALLY ELECT FROM ITS MEMBERSHIP A CHAIRPERSON AND MAY ELECT FROM ITS MEMBERSHIP OTHER OFFICERS FOR SUCH TERMS AS THE MEMBERS DEEM NECESSARY OR DESIRABLE.
  7. KEEP RECORDS OF ALL OF ITS PROCEEDINGS.
  8. APPROVE AND DENY APPLICATIONS FOR LICENSURE.
  9. HOLD PUBLIC HEARINGS AS PROVIDED FOR BY LAW.
  10. A MAJORITY OF THE MEMBERS OF THE MARIJUANA COMMISSION CONSTITUTE A QUORUM. THE CONCURRENCE OF A MAJORITY OF A QUORUM IS SUFFICIENT FOR TAKING ANY ACTION.
  11. THE COMPENSATION OF THE DIRECTOR AND EMPLOYEES OF THE DEPARTMENT SHALL BE DETERMINED PURSUANT TO SECTION 38-611. NOTWITHSTANDING SECTION 38-611, SUBSECTION C, MEMBERS OF THE MARIJUANA COMMISSION ARE ENTITLED TO RECEIVE COMPENSATION AT THE RATE OF FIFTY DOLLARS PER DAY WHILE ENGAGED IN THE BUSINESS OF THE MARIJUANA COMMISSION.
  12. EXCEPT FOR A MEMBER OF THE MARIJUANA COMMISSION WHO IS APPOINTED BY THE GOVERNOR IN THE CAPACITY OF A CONTROLLING PERSON, MEMBERS OF THE MARIJUANA COMMISSION, EMPLOYEES OF THE DEPARTMENT AND THE DIRECTOR MAY NOT HAVE ANY FINANCIAL INTEREST, DIRECT OR INDIRECT, IN ANY MARIJUANA ESTABLISHMENT. A VIOLATION OF THIS SUBSECTION BY ANY MEMBER OF THE MARIJUANA COMMISSION CONSTITUTES A RESIGNATION BY THAT PERSON, AND A VIOLATION BY ANY EMPLOYEE OF THE DEPARTMENT OR THE DIRECTOR SHALL RESULT IN IMMEDIATE DISMISSAL.

36-2854.  Powers and duties of the department; rules

  1. THE DEPARTMENT SHALL ADOPT RULES PURSUANT TO TITLE 41, CHAPTER 6 THAT ARE NECESSARY OR CONVENIENT TO CARRY OUT THIS CHAPTER.
  2. THE DEPARTMENT MAY ADOPT AND ENFORCE RULES TO REGULATE ANY PRODUCT SOLD BY A MARIJUANA RETAILER THAT WAS PRODUCED BY A MARIJUANA ESTABLISHMENT, INCLUDING PRODUCTS MADE FROM INDUSTRIAL HEMP.
  3. THE DEPARTMENT MAY ADOPT RULES TO ALLOW FOR THE DELIVERY OF MARIJUANA TO A CONSUMER BY A MARIJUANA RETAILER AT ANY LOCATION OUTSIDE OF THE MARIJUANA RETAILER’S LICENSED PREMISES.
  4. UNTIL A MARIJUANA TESTING FACILITY HAS BEEN LICENSED BY THE DEPARTMENT FOR AT LEAST NINETY DAYS, THE DEPARTMENT MAY NOT ADOPT ANY RULE THAT REQUIRES THE TESTING OF MARIJUANA BY A MARIJUANA TESTING FACILITY.
  5. THE DEPARTMENT MAY CONTRACT WITH LICENSED MARIJUANA TESTING FACILITIES IN ORDER TO ENFORCE RULES ADOPTED BY THE DEPARTMENT AS REQUIRED BY SECTION 36-2855.
  6. THE DEPARTMENT MAY ADOPT AND ENFORCE RULES TO ALLOW FOR THE ISSUANCE OF LICENSES TO ALLOW THE CONSUMPTION OF MARIJUANA WITHIN A SPECIFIED AREA OF A MARIJUANA RETAILER. A LICENSE TO PERMIT MARIJUANA CONSUMPTION SHALL NOT BE REQUIRED TO ALLOW CONSUMERS TO USE MARIJUANA COLLECTIVELY AT A LOCATION THAT IS NOT A LICENSED MARIJUANA ESTABLISHMENT.
  7. RULES ADOPTED OR ENFORCED BY THE DEPARTMENT MAY NOT CONFLICT IN A WAY THAT WOULD PREVENT A NONPROFIT MEDICAL MARIJUANA DISPENSARY REGISTERED PURSUANT TO CHAPTER 28.1 OF THIS TITLE AND A REORGANIZED MARIJUANA BUSINESS FROM OPERATING COOPERATIVELY AT A SHARED LOCATION.
  8. THE DEPARTMENT SHALL APPROVE OR DENY APPLICATIONS FOR LICENSES AND SHALL ISSUE AND RENEW LICENSES PURSUANT TO THIS CHAPTER AS FOLLOWS:
  9. THE DEPARTMENT SHALL BEGIN ACCEPTING AND PROCESSING APPLICATIONS FOR LICENSURE FOR UP TO ONE MARIJUANA RETAILER LICENSE FROM EACH REORGANIZED MARIJUANA BUSINESS ON OR BEFORE SEPTEMBER 1, 2017. THE DEPARTMENT SHALL BEGIN ACCEPTING AND PROCESSING APPLICATIONS FOR MARIJUANA RETAILER LICENSES FROM ALL OTHER APPLICANTS ON AND AFTER DECEMBER 1, 2017.
  10. ON OR BEFORE DECEMBER 1, 2017, THE DEPARTMENT SHALL ISSUE ONE MARIJUANA RETAILER LICENSE TO EACH QUALIFIED REORGANIZED MARIJUANA BUSINESS. AFTER DECEMBER 1, 2017, A REORGANIZED MARIJUANA BUSINESS MAY NOT APPLY FOR A MARIJUANA RETAILER LICENSE.
  11. THE DEPARTMENT OF MARIJUANA LICENSES AND CONTROL SHALL ISSUE A NUMBER OF MARIJUANA RETAILER LICENSES EQUAL TO THE TOTAL NUMBER OF SERIES 9 LIQUOR LICENSES ISSUED BY THE ARIZONA DEPARTMENT OF LIQUOR LICENSES AND CONTROL OR ITS SUCCESSOR AGENCY, UNLESS THE NUMBER OF APPLICATIONS TO OPERATE MARIJUANA RETAILERS RECEIVED BY THE DEPARTMENT OF MARIJUANA LICENSES AND CONTROL FROM QUALIFIED APPLICANTS IS LESS THAN THE TOTAL NUMBER OF SERIES 9 LIQUOR LICENSES ISSUED BY THE ARIZONA DEPARTMENT OF LIQUOR LICENSES AND CONTROL OR ITS SUCCESSOR AGENCY. THE NUMBER OF MARIJUANA RETAILER LICENSES ISSUED BY THE DEPARTMENT OF MARIJUANA LICENSES AND CONTROL SHALL BE ADJUSTED ON AN ANNUAL BASIS.
  12. BEGINNING SEPTEMBER 1, 2021, THE DEPARTMENT MAY ISSUE ADDITIONAL MARIJUANA RETAILER LICENSES IF THE DEPARTMENT DETERMINES THAT ADDITIONAL LICENSES ARE NECESSARY TO MINIMIZE THE ILLEGAL MARKET FOR MARIJUANA IN THIS STATE, TO EFFICIENTLY MEET THE DEMAND FOR MARIJUANA OR TO PROVIDE FOR REASONABLE ACCESS TO MARIJUANA RETAILERS IN RURAL AREAS.
  13. THE DEPARTMENT SHALL BEGIN ACCEPTING AND PROCESSING APPLICATIONS FOR LICENSURE FOR A MARIJUANA CULTIVATOR, MARIJUANA DISTRIBUTOR, MARIJUANA TESTING FACILITY OR MARIJUANA PRODUCT MANUFACTURER FROM ALL APPLICANTS BEGINNING SEPTEMBER 1, 2017.
  14. BEGINNING DECEMBER 1, 2017, THE DEPARTMENT SHALL ISSUE LICENSES FOR A MARIJUANA RETAILER, MARIJUANA CULTIVATOR, MARIJUANA DISTRIBUTOR, MARIJUANA TESTING FACILITY OR MARIJUANA PRODUCT MANUFACTURER TO EACH QUALIFIED APPLICANT.
  15. THE DEPARTMENT MAY NOT IMPOSE A LIMIT ON THE NUMBER OF LICENSES THAT ARE AVAILABLE AND ISSUED FOR A MARIJUANA CULTIVATOR, MARIJUANA DISTRIBUTOR, MARIJUANA TESTING FACILITY OR MARIJUANA PRODUCT MANUFACTURER.
  16. THE DEPARTMENT SHALL CONDUCT PUBLIC HEARINGS PURSUANT TO TITLE 41, CHAPTER 6, ARTICLE 10 AS NECESSARY OR CONVENIENT TO LICENSE AND REGULATE MARIJUANA ESTABLISHMENTS AND MAY ACCEPT RELEVANT AND MATERIAL EVIDENCE AND TESTIMONY, ADMINISTER OATHS OR AFFIRMATIONS, ISSUE SUBPOENAS REQUIRING ATTENDANCE AND TESTIMONY OF WITNESSES, CAUSE DEPOSITIONS TO BE TAKEN AND REQUIRE BY SUBPOENA DUCES TECUM THE PRODUCTION OF BOOKS, PAPERS AND OTHER DOCUMENTS THAT ARE NECESSARY FOR THE ENFORCEMENT OF THIS CHAPTER.
  17. THE DEPARTMENT SHALL ENFORCE THE LAWS AND RULES RELATING TO THE PRODUCTION, MANUFACTURE, TRANSPORTATION, SALE, STORAGE, DISTRIBUTION AND TESTING OF MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS AT MARIJUANA ESTABLISHMENTS, AND SHALL CONDUCT INVESTIGATIONS OF COMPLIANCE WITH THIS CHAPTER, INCLUDING THE INSPECTION OF MARIJUANA ESTABLISHMENTS AND THE EXAMINATION OF BOOKS, RECORDS AND PAPERS OF ANY MARIJUANA ESTABLISHMENT AS NECESSARY TO ENFORCE THIS CHAPTER OR RULES ADOPTED PURSUANT TO THIS CHAPTER.
  18. THE DIRECTOR SHALL ESTABLISH IN THE DEPARTMENT AN INVESTIGATIONS UNIT TO INVESTIGATE THE COMPLIANCE OF MARIJUANA ESTABLISHMENTS WITH THIS CHAPTER, INCLUDING THE INVESTIGATION OF LICENSEES ALLEGED TO HAVE SOLD OR DISTRIBUTED MARIJUANA, MARIJUANA PLANTS OR MARIJUANA PRODUCTS TO A PERSON WHO IS UNDER TWENTY-ONE YEARS OF AGE.
  19. AFTER NOTICE AND A HEARING, THE DEPARTMENT MAY SUSPEND, REVOKE OR REFUSE TO RENEW ANY LICENSE ISSUED PURSUANT TO THIS CHAPTER AND IMPOSE A CIVIL PENALTY ON A LICENSEE FOR A VIOLATION OF THIS CHAPTER, ANY RULE ADOPTED PURSUANT TO THIS CHAPTER OR ANY CONDITION IMPOSED ON THE LICENSEE BY THE LICENSE. AN ACTION TAKEN BY THE DEPARTMENT PURSUANT TO THIS SUBSECTION IS A FINAL DECISION OF THE DEPARTMENT SUBJECT TO JUDICIAL REVIEW PURSUANT TO TITLE 12, CHAPTER 7, ARTICLE 6. JURISDICTION AND VENUE ARE VESTED IN THE SUPERIOR COURT.
  20. AFTER NOTICE, THE DEPARTMENT MAY TEMPORARILY SUSPEND ANY LICENSE ISSUED PURSUANT TO THIS CHAPTER IF THERE IS CLEAR AND CONVINCING EVIDENCE THAT THE LICENSEE HAS COMMITTED A DELIBERATE AND WILLFUL VIOLATION OF ANY APPLICABLE LAW OR RULE. THE DEPARTMENT SHALL PROVIDE AN OPPORTUNITY FOR A HEARING PURSUANT TO TITLE 41, CHAPTER 6, ARTICLE 10 WITHIN FOURTEEN CALENDAR DAYS AFTER A SUSPENSION PURSUANT TO THIS SUBSECTION.
  21. THE DEPARTMENT SHALL KEEP RECORDS OF ALL OF ITS PROCEEDINGS AND SHALL MAKE THOSE RECORDS AVAILABLE TO THE PUBLIC ON REQUEST.

36-2855.  Rulemaking

  1. ON OR BEFORE SEPTEMBER 1, 2017, THE DEPARTMENT SHALL ADOPT RULES PURSUANT TO TITLE 41, CHAPTER 6 THAT ARE NECESSARY OR CONVENIENT TO CARRY OUT THIS CHAPTER, INCLUDING:
  2. PROCEDURES FOR THE ISSUANCE, RENEWAL, SUSPENSION, RELOCATION AND REVOCATION OF A LICENSE TO OPERATE A MARIJUANA ESTABLISHMENT.
  3. REQUIREMENTS FOR THE INDOOR AND OUTDOOR SECURITY OF MARIJUANA ESTABLISHMENTS, INCLUDING LIGHTING, PHYSICAL SECURITY AND VIDEO AND ALARM REQUIREMENTS AND REQUIREMENTS FOR THE SECURE TRANSPORTATION AND STORAGE OF MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS.
  4. REQUIREMENTS TO PREVENT THE SALE OR DIVERSION OF MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS TO PERSONS WHO ARE UNDER TWENTY-ONE YEARS OF AGE, INCLUDING A SPECIFICATION OF THE ACCEPTABLE FORMS OF IDENTIFICATION THAT A MARIJUANA ESTABLISHMENT MAY ACCEPT WHEN VERIFYING THE AGE OF A CONSUMER THAT ARE SIMILAR TO REQUIREMENTS FOR VERIFYING THE AGE OF A PERSON WHO PURCHASES ALCOHOL.
  5. TRACKING PROCEDURES TO ENSURE THAT MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS THAT ARE PRODUCED, PROCESSED, MANUFACTURED, TRANSPORTED AND SOLD BY ANY MARIJUANA ESTABLISHMENT ARE NOT SOLD OR OTHERWISE TRANSFERRED EXCEPT BY A MARIJUANA ESTABLISHMENT TO ANOTHER MARIJUANA ESTABLISHMENT OR BY A MARIJUANA RETAILER TO A CONSUMER AND TO ENSURE THAT ALL MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS THAT ARE SOLD BY A MARIJUANA RETAILER WERE PRODUCED BY A MARIJUANA ESTABLISHMENT.
  6. HEALTH AND SAFETY STANDARDS FOR THE CULTIVATION, PROCESSING, MANUFACTURE AND DISTRIBUTION OF MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS AT MARIJUANA ESTABLISHMENTS, INCLUDING RULES REGARDING THE USE OF PESTICIDES AND ADDITIVES ON MARIJUANA AND MARIJUANA PLANTS THAT WOULD MAKE THE MARIJUANA OR MARIJUANA PRODUCTS INJURIOUS TO A PERSON’S HEALTH.
  7. REQUIREMENTS FOR THE PACKAGING OF MARIJUANA AND MARIJUANA PRODUCTS FOR SALE AT A MARIJUANA RETAILER, INCLUDING REQUIREMENTS FOR CHILD-RESISTANT PACKAGING SIMILAR TO THE POISON PREVENTION PACKAGING ACT OF 1970 (P.L. 91-601; 84 STAT. 1670; 15 UNITED STATES CODE SECTIONS 1471 THROUGH 1477) AND FOR DIVIDING OR SCORING A MARIJUANA PRODUCT INTO A STANDARDIZED SERVING SIZE.
  8. REQUIREMENTS FOR THE LABELING OF MARIJUANA PRODUCTS SOLD BY MARIJUANA ESTABLISHMENTS, INCLUDING ALL OF THE FOLLOWING:

(a)    A SYMBOL OR OTHER MARK INDICATING THAT THE PACKAGE CONTAINS MARIJUANA.

(b)    A LABEL INDICATING THE AMOUNT OF TETRAHYDROCANNABINOL AND CANNABIDIOL IN THE PACKAGE AND IN EACH SERVING OF THE MARIJUANA PRODUCT.

(c)    AN INDICATION OF THE NUMBER OF SERVINGS IN THE PACKAGE.

(d)    A LIST OF INGREDIENTS, ALLERGENS AND SOLVENTS USED IN THE MANUFACTURE OF THE MARIJUANA PRODUCT.

(e)    WARNING LABELS.

  1. REQUIREMENTS FOR THE TESTING OF MARIJUANA AND MARIJUANA PRODUCTS FOR SALE AT MARIJUANA RETAILERS TO MEASURE POTENCY AND TO ENSURE THAT PRODUCTS SOLD FOR HUMAN CONSUMPTION DO NOT CONTAIN CONTAMINANTS THAT ARE INJURIOUS TO HEALTH.
  2. REQUIREMENTS FOR THE MARKETING, DISPLAY AND ADVERTISING OF MARIJUANA, MARIJUANA PLANTS, MARIJUANA PRODUCTS AND MARIJUANA ACCESSORIES AT MARIJUANA ESTABLISHMENTS, INCLUDING RESTRICTING MARKETING OR ADVERTISING THAT APPEALS TO CHILDREN.
  3. PROCEDURES AND REQUIREMENTS TO ENABLE THE TRANSFER OR SALE OF A LICENSE FROM A MARIJUANA ESTABLISHMENT TO ANOTHER QUALIFIED PERSON OR GROUP OF PERSONS OR TO ANOTHER SUITABLE LOCATION.
  4. A STATEWIDE TIERED SYSTEM FOR THE LICENSURE OF MARIJUANA CULTIVATORS THAT:

(a)    ESTABLISHES AT LEAST THREE DIFFERENT LICENSING CLASS TIERS.

(b)    ESTABLISHES A LIMIT ON THE AMOUNT OF MARIJUANA THAT A MARIJUANA CULTIVATOR WITHIN EACH LICENSING CLASS TIER MAY PRODUCE BASED ON THE SIZE OF THE CULTIVATION AREA, EXCEPT THAT THE HIGHEST TIER SHALL PERMIT THE PRODUCTION OF AN UNLIMITED AMOUNT OF MARIJUANA.

  1. PROCEDURES AND REQUIREMENTS TO ENABLE A NONPROFIT MEDICAL MARIJUANA DISPENSARY REGISTERED AND IN GOOD STANDING PURSUANT TO CHAPTER 28.1 OF THIS TITLE AND A REORGANIZED MARIJUANA BUSINESS LICENSED TO ENGAGE IN THE SAME TYPE OF CONDUCT AS THE NONPROFIT MEDICAL MARIJUANA DISPENSARY TO OPERATE AT THE SAME LOCATION.
  2. PROCEDURES FOR ENFORCING THIS CHAPTER, INCLUDING PROCEDURES FOR IMPOSING CIVIL PENALTIES AGAINST MARIJUANA ESTABLISHMENTS FOR THE FAILURE TO COMPLY WITH ANY RULE ADOPTED PURSUANT TO THIS CHAPTER OR FOR ANY VIOLATION OF SECTION 36-2859, PROCEDURES FOR COLLECTING FEES AND CIVIL PENALTIES IMPOSED BY THIS CHAPTER, PROCEDURES FOR SUSPENDING OR TERMINATING A LICENSE ISSUED UNDER THIS CHAPTER AND PROCEDURES PROVIDING FOR A HEARING FOR THE APPEAL OF PENALTIES AND LICENSING ACTIONS UNDER THIS CHAPTER.
  3. THE DEPARTMENT OF MARIJUANA LICENSES AND CONTROL MAY REQUIRE EACH CONTROLLING PERSON OF A MARIJUANA ESTABLISHMENT LICENSE APPLICANT TO FURNISH BACKGROUND INFORMATION AND TO SUBMIT A FULL SET OF FINGERPRINTS TO THE DEPARTMENT OF MARIJUANA LICENSES AND CONTROL FOR THE PURPOSE OF OBTAINING A STATE AND FEDERAL CRIMINAL RECORDS CHECK PURSUANT TO SECTION 41-1750 AND PUBLIC LAW 92-544. THE DEPARTMENT OF PUBLIC SAFETY MAY EXCHANGE THIS FINGERPRINT DATA WITH THE FEDERAL BUREAU OF INVESTIGATION WITHOUT DISCLOSING THAT THE RECORDS CHECK IS RELATED TO THIS CHAPTER. THE DEPARTMENT OF MARIJUANA LICENSES AND CONTROL SHALL DESTROY EACH SET OF FINGERPRINTS AFTER THE CRIMINAL RECORDS CHECK IS COMPLETE.
  4. RULES ADOPTED BY THE DEPARTMENT MAY NOT PROHIBIT THE OPERATION OF MARIJUANA ESTABLISHMENTS, EITHER EXPRESSLY OR THROUGH REQUIREMENTS THAT MAKE THEIR OPERATION UNREASONABLY IMPRACTICABLE.
  5. TO ENSURE THAT INDIVIDUAL PRIVACY IS PROTECTED:
  6. THE DEPARTMENT MAY NOT REQUIRE A CONSUMER TO PROVIDE A MARIJUANA RETAILER WITH PERSONAL IDENTIFYING INFORMATION OTHER THAN IDENTIFICATION TO DETERMINE THE CONSUMER’S AGE.
  7. A MARIJUANA RETAILER SHALL NOT BE REQUIRED TO ACQUIRE OR RECORD PERSONAL IDENTIFYING INFORMATION ABOUT A CONSUMER OTHER THAN INFORMATION TYPICALLY ACQUIRED IN A RETAIL TRANSACTION.

36-2856.  Localities; control of marijuana and marijuana products

  1. THROUGH ENACTMENT OF A REFERENDUM OR INITIATIVE THAT IS CONDUCTED PURSUANT TO TITLE 19, CHAPTER 1, ARTICLE 4 AND THAT APPEARS ON A GENERAL ELECTION BALLOT, A LOCALITY MAY PROHIBIT THE OPERATION OF ONE OR MORE OF THE TYPES OF MARIJUANA ESTABLISHMENTS WITHIN THE LOCALITY, EXCEPT THAT IF A LOCALITY PROHIBITS THE OPERATION OF A MARIJUANA RETAILER, A MARIJUANA PRODUCT MANUFACTURER OR A MARIJUANA CULTIVATOR, IT MAY NOT PROHIBIT A REORGANIZED MARIJUANA BUSINESS OPERATING IN THE LOCALITY FROM OPERATING THE PROHIBITED TYPE OF MARIJUANA ESTABLISHMENT WITHIN THE LOCALITY IN ANY AREA THAT IS ZONED TO ALLOW THE OPERATION OF A NONPROFIT MEDICAL MARIJUANA DISPENSARY.
  2. LOCALITIES MAY ENACT REASONABLE ORDINANCES OR RULES THAT ARE NOT IN CONFLICT WITH THIS CHAPTER OR RULES ADOPTED PURSUANT TO THIS CHAPTER AND THAT:
  3. GOVERN THE TIME, PLACE AND MANNER OF MARIJUANA ESTABLISHMENT OPERATIONS.
  4. LIMIT THE USE OF LAND FOR MARIJUANA ESTABLISHMENTS TO SPECIFIED AREAS IN THE MANNER PROVIDED IN TITLE 9, CHAPTER 4, ARTICLE 6.1 AND TITLE 11, CHAPTER 6, ARTICLE 2, EXCEPT THAT ZONING MAY NOT PROHIBIT A MARIJUANA ESTABLISHMENT FROM OPERATING IN AN AREA THAT IS ZONED FOR THE OPERATION OF A NONPROFIT MEDICAL MARIJUANA DISPENSARY, A MEDICAL MARIJUANA CULTIVATION FACILITY OR A MEDICAL MARIJUANA PRODUCT MANUFACTURING FACILITY AND MAY NOT BE A BASIS FOR DENYING A LICENSE UNDER THIS CHAPTER.
  5. ESTABLISH REASONABLE RESTRICTIONS ON PUBLIC SIGNAGE REGARDING MARIJUANA ESTABLISHMENTS.
  6. ESTABLISH CIVIL PENALTIES FOR THE VIOLATION OF AN ORDINANCE OR RULE ADOPTED PURSUANT TO THIS SECTION.
  7. IF THE DEPARTMENT DOES NOT ADOPT RULES IN ACCORDANCE WITH SECTION 36-2855 OR ACCEPT OR PROCESS APPLICATIONS IN ACCORDANCE WITH SECTION 36-2854, SUBSECTION H OR SECTION 36-2858 A LOCALITY MAY:
  8. DESIGNATE A LOCAL REGULATORY AUTHORITY THAT IS RESPONSIBLE FOR PROCESSING APPLICATIONS SUBMITTED FOR A LICENSE TO OPERATE A MARIJUANA ESTABLISHMENT WITHIN THE LOCALITY.
  9. ISSUE AN ANNUAL LICENSE TO OPERATE A MARIJUANA ESTABLISHMENT WITHIN THE LOCALITY, SUSPEND OR REVOKE A LICENSE IT HAS ISSUED FOR CAUSE AND ESTABLISH A SCHEDULE OF APPLICATION AND LICENSING FEES FOR MARIJUANA ESTABLISHMENTS LICENSED BY THE LOCAL REGULATORY AUTHORITY.
  10. ADOPT REASONABLE ORDINANCES OR RULES NECESSARY OR CONVENIENT FOR THE LICENSING AND REGULATING OF MARIJUANA ESTABLISHMENTS.

36-2857.  Disposition of fees and penalties

ALL APPLICATION, LICENSING AND OTHER FEES AND ALL FINES AND CIVIL PENALTIES COLLECTED PURSUANT TO THIS CHAPTER SHALL BE DEPOSITED, PURSUANT TO SECTIONS 35-146 AND 35-147, IN THE MARIJUANA FUND ESTABLISHED BY SECTION 36-2868.

36-2858.  Licensing of marijuana establishments

  1. ON RECEIPT OF A COMPLETE MARIJUANA ESTABLISHMENT LICENSE APPLICATION, THE DEPARTMENT SHALL FORWARD A COPY OF THE APPLICATION TO THE LOCALITY IN WHICH THE PROPOSED LICENSED PREMISES WILL BE LOCATED.
  2. ON RECEIPT OF A COMPLETE MARIJUANA ESTABLISHMENT LICENSE APPLICATION, THE DEPARTMENT, WITHIN NINETY DAYS, SHALL EITHER:
  3. ISSUE THE APPROPRIATE LICENSE IF THE LICENSE APPLICATION IS APPROVED.
  4. SEND A NOTICE OF DENIAL SETTING FORTH SPECIFIC REASONS WHY THE DEPARTMENT DID NOT APPROVE THE LICENSE APPLICATION.
  5. THE DEPARTMENT SHALL APPROVE A LICENSE APPLICATION AND ISSUE OR RENEW A LICENSE UNLESS ANY OF THE FOLLOWING APPLIES:
  6. THE APPLICANT FOR A MARIJUANA ESTABLISHMENT HAS NOT SUBMITTED AN APPLICATION IN COMPLIANCE WITH RULES ADOPTED BY THE DEPARTMENT, DOES NOT MEET THE REQUIREMENTS ESTABLISHED BY THE DEPARTMENT OR IS NOT IN COMPLIANCE WITH THIS CHAPTER OR RULES ADOPTED PURSUANT TO THIS CHAPTER.
  7. THE LOCALITY IN WHICH THE PROPOSED MARIJUANA ESTABLISHMENT WILL BE LOCATED NOTIFIES THE DEPARTMENT THAT THE PROPOSED MARIJUANA ESTABLISHMENT IS NOT IN COMPLIANCE WITH ORDINANCES OR RULES THAT ARE ADOPTED BY THE LOCALITY PURSUANT TO SECTION 36-2856 AND IN EFFECT AT THE TIME OF APPLICATION.
  8. THE PROPERTY, AT THE TIME THE LICENSE APPLICATION IS RECEIVED BY THE DEPARTMENT, IS LOCATED WITHIN ONE THOUSAND HORIZONTAL FEET OF A BUILDING IN WHICH A PUBLIC OR PRIVATE SCHOOL OPERATES A KINDERGARTEN PROGRAM OR ANY OF GRADES ONE THROUGH TWELVE OR WITHIN ONE THOUSAND HORIZONTAL FEET OF A FENCED RECREATIONAL AREA ADJACENT TO A PUBLIC OR PRIVATE SCHOOL BUILDING. THIS PARAGRAPH DOES NOT PROHIBIT THE RENEWAL OF A VALID LICENSE ISSUED PURSUANT TO THIS CHAPTER.
  9. A CONTROLLING PERSON OF THE PROPOSED MARIJUANA ESTABLISHMENT HAS BEEN CONVICTED OF A VIOLENT CRIME AS DEFINED IN SECTION 13-901.03 THAT WAS CLASSIFIED AS A FELONY IN THE JURISDICTION WHERE THE PERSON WAS CONVICTED.
  10. ISSUANCE OF THE LICENSE WOULD EXCEED A NUMERICAL LIMIT IMPOSED BY SECTION 36-2854, SUBSECTION H, OR ENACTED BY A LOCALITY PURSUANT TO SECTION 36-2856, SUBSECTION A.
  11. IF THE NUMBER OF APPLICATIONS TO OPERATE MARIJUANA RETAILERS RECEIVED BY THE DEPARTMENT FROM QUALIFIED APPLICANTS IS GREATER THAN THAT ALLOWED UNDER THE LIMITS IMPOSED BY SECTION 36-2854, SUBSECTION H, THE DEPARTMENT SHALL:
  12. SELECT THE APPLICATION OF A REORGANIZED MARIJUANA BUSINESS THAT HAS PRIOR EXPERIENCE PRODUCING OR DISTRIBUTING MARIJUANA PURSUANT TO CHAPTER 28.1 OF THIS TITLE IN THE LOCALITY IN WHICH THE APPLICANT SEEKS TO OPERATE A MARIJUANA RETAILER OVER ANY COMPETING APPLICATION FROM AN APPLICANT WHO IS NOT A REORGANIZED MARIJUANA BUSINESS, UNLESS DOING SO WOULD PREVENT ANOTHER QUALIFIED APPLICANT WHO HAS APPLIED FROM RECEIVING A LICENSE OR IF THE REORGANIZED MARIJUANA BUSINESS HAS ALREADY APPLIED FOR OR RECEIVED ONE MARIJUANA RETAILER LICENSE FROM THE DEPARTMENT.
  13. AWARD EACH LICENSE PURSUANT TO A COMPETITIVE PROCESS INTENDED TO SELECT APPLICANTS WHO ARE BEST SUITED TO MEET THE DEMAND FOR MARIJUANA AND MARIJUANA PRODUCTS IN THIS STATE, OPERATE IN COMPLIANCE WITH THIS CHAPTER AND THE RULES ADOPTED PURSUANT TO THIS CHAPTER AND MINIMIZE THE UNLAWFUL MARKET FOR MARIJUANA IN THIS STATE.
  14. NOT GRANT A LICENSE FOR A MARIJUANA RETAILER TO A LICENSEE WHO HAS ALREADY RECEIVED A LICENSE TO OPERATE THE SAME TYPE OF MARIJUANA ESTABLISHMENT IF DOING SO WOULD PREVENT ANOTHER QUALIFIED APPLICANT WHO HAS APPLIED FROM RECEIVING A LICENSE.
  15. THE DENIAL OF A COMPLETE MARIJUANA ESTABLISHMENT APPLICATION PURSUANT TO SUBSECTION B OF THIS SECTION IS CONSIDERED A FINAL DECISION OF THE DEPARTMENT SUBJECT TO JUDICIAL REVIEW PURSUANT TO TITLE 12, CHAPTER 7, ARTICLE 6. JURISDICTION AND VENUE FOR JUDICIAL REVIEW ARE VESTED IN THE SUPERIOR COURT.

36-2858.01.  Fee schedule

  1. THE DEPARTMENT SHALL REQUIRE EACH APPLICANT FOR A MARIJUANA ESTABLISHMENT LICENSE TO PAY A ONE-TIME APPLICATION FEE OF $5,000.
  2. THE DEPARTMENT MAY REQUIRE PAYMENT OF AN ANNUAL LICENSING FEE OF NOT MORE THAN:

FOR THE INITIAL ISSUANCE OF A LICENSE FOR A MARIJUANA RETAILER    $20,000

FOR A RENEWAL LICENSE FOR A MARIJUANA RETAILER    $6,600

FOR THE INITIAL ISSUANCE OF A LICENSE FOR A MARIJUANA PRODUCT MANUFACTURER    $15,000

FOR A RENEWAL LICENSE FOR A MARIJUANA PRODUCT MANUFACTURER    $5,000

FOR THE INITIAL ISSUANCE OF A LICENSE FOR A MARIJUANA DISTRIBUTOR    $10,000

FOR A RENEWAL LICENSE FOR A MARIJUANA DISTRIBUTOR    $3,300

FOR THE INITIAL ISSUANCE OF A LICENSE FOR A MARIJUANA TESTING FACILITY    $10,000

FOR A RENEWAL LICENSE FOR A MARIJUANA TESTING FACILITY    $3,300

  1. THE DEPARTMENT SHALL ESTABLISH A TIERED SCHEDULE OF ANNUAL LICENSING FEES FOR MARIJUANA CULTIVATORS WITH FEE AMOUNTS RELATIVE TO THE SIZE OF THE LICENSED CULTIVATION AREA. THE DEPARTMENT MAY REQUIRE PAYMENT OF AN ANNUAL LICENSING FEE OF NOT MORE THAN $15,000 FOR THE INITIAL ISSUANCE OF A LICENSE FOR A MARIJUANA CULTIVATOR OR $5,000 FOR A RENEWAL LICENSE FOR A MARIJUANA CULTIVATOR. THE MAXIMUM FEE AMOUNT FOR THE LOWEST TIER SPECIFIED IN THE SCHEDULE MAY NOT BE MORE THAN ONE-FOURTH OF THE ANNUAL LICENSING FEE FOR THE HIGHEST TIER SPECIFIED IN THE SCHEDULE.
  2. IF A LICENSE RENEWAL APPLICATION IS FILED LATER THAN THIRTY DAYS BEFORE THE EXPIRATION OF THE LICENSE, THE DEPARTMENT MAY REQUIRE THE PAYMENT OF A LATE APPLICATION FEE OF UP TO $500.
  3. TO ACCOUNT FOR INFLATION, THE DEPARTMENT SHALL ADJUST TO THE NEAREST DOLLAR THE AMOUNTS SPECIFIED IN THIS SECTION EVERY TWO YEARS BY THE PERCENTAGE CHANGE IN THE CONSUMER PRICE INDEX AND PUBLISH THE NEW AMOUNTS. FOR THE PURPOSES OF THIS SUBSECTION, “CONSUMER PRICE INDEX” MEANS THE CONSUMER PRICE INDEX FOR ALL URBAN CONSUMERS, UNITED STATES CITY AVERAGE OR ITS SUCCESSOR INDEX AS PUBLISHED BY THE UNITED STATES DEPARTMENT OF LABOR, BUREAU OF LABOR STATISTICS, OR ITS SUCCESSOR AGENCY.

36-2858.02.  Licenses; expiration; renewal

  1. ALL LICENSES ISSUED PURSUANT TO THIS CHAPTER EXPIRE ONE YEAR AFTER THE DATE OF ISSUANCE.
  2. THE DEPARTMENT SHALL ISSUE A RENEWAL LICENSE WITHIN THIRTY DAYS AFTER RECEIPT OF A COMPLETE RENEWAL APPLICATION AND THE RENEWAL FEE FROM A MARIJUANA ESTABLISHMENT. THE DEPARTMENT MAY NOT RENEW ANY LICENSE ISSUED BY A LOCALITY.
  3. A LICENSEE WHOSE LICENSE HAS NOT BEEN EXPIRED FOR MORE THAN SIXTY DAYS, WHOSE LICENSE HAS NOT BEEN SUSPENDED OR REVOKED AND WHO HAS FILED A RENEWAL APPLICATION AND PAID THE RENEWAL FEE AND ANY REQUIRED LATE FEE MAY CONTINUE TO OPERATE UNTIL THE DEPARTMENT TAKES FINAL ACTION TO APPROVE OR DENY THE RENEWAL APPLICATION.

36-2858.03.  Licensing by a locality

  1. IF THE DEPARTMENT DOES NOT TIMELY ADOPT RULES AS REQUIRED BY SECTION 36-2855 OR ACCEPT OR PROCESS APPLICATIONS IN ACCORDANCE WITH SECTION 36-2854, SUBSECTION H, AFTER MARCH 1, 2018, AN APPLICANT FOR A MARIJUANA ESTABLISHMENT MAY SUBMIT ITS APPLICATION DIRECTLY TO A LOCAL REGULATORY AUTHORITY DESIGNATED PURSUANT TO SECTION 36-2856 BY THE LOCALITY WHERE THE MARIJUANA ESTABLISHMENT WILL BE LOCATED.
  2. IF A MARIJUANA ESTABLISHMENT SUBMITS AN APPLICATION TO A LOCAL REGULATORY AUTHORITY UNDER THIS SECTION:
  3. ON REQUEST OF THE LOCALITY, THE DEPARTMENT SHALL FORWARD TO THE LOCALITY THE AMOUNT OF THE APPLICATION FEE, IF ANY, PAID BY THE APPLICANT TO THE DEPARTMENT.
  4. THE LOCAL REGULATORY AUTHORITY SHALL ISSUE A LICENSE TO THE APPLICANT WITHIN NINETY DAYS AFTER RECEIPT OF THE APPLICATION UNLESS THE LOCALITY FINDS AND NOTIFIES THE APPLICANT THAT THE APPLICANT IS NOT IN COMPLIANCE WITH AN ORDINANCE OR RULE ADOPTED PURSUANT TO SECTION 36-2856 AND IN EFFECT AT THE TIME OF APPLICATION.
  5. IF A LOCAL REGULATORY AUTHORITY ISSUES A LICENSE PURSUANT TO THIS SECTION:
  6. THE LOCALITY SHALL NOTIFY THE DEPARTMENT THAT THE LICENSE HAS BEEN ISSUED.
  7. THE LICENSE HAS THE SAME FORCE AND EFFECT AS A LICENSE ISSUED BY THE DEPARTMENT PURSUANT TO SECTION 36-2858.
  8. THE HOLDER OF THE LICENSE IS NOT SUBJECT TO REGULATION OR ENFORCEMENT BY THE DEPARTMENT DURING THE LICENSE TERM BUT IS SUBJECT TO REGULATION BY THE LOCALITY.

36-2859.  Marijuana establishments; operating requirements; security; inspection, transportation, sale

  1. IN ADDITION TO REQUIREMENTS ESTABLISHED BY RULE PURSUANT TO SECTION 36-2855, A MARIJUANA ESTABLISHMENT SHALL DO ALL OF THE FOLLOWING:
  2. SECURE EVERY ENTRANCE TO AREAS CONTAINING MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS SO THAT ACCESS IS RESTRICTED TO PERSONS WHO ARE LEGALLY PERMITTED BY THE MARIJUANA ESTABLISHMENT TO ACCESS THE AREA.
  3. SECURE THE INVENTORY AND EQUIPMENT OF THE MARIJUANA ESTABLISHMENT DURING AND AFTER OPERATING HOURS TO DETER AND PREVENT THEFT OF MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS FROM THE PREMISES OR WHILE IN TRANSIT TO OR FROM THE PREMISES OF A MARIJUANA ESTABLISHMENT.
  4. PREVENT ANY PERSON WHO IS NOT AT LEAST TWENTY-ONE YEARS OF AGE FROM WORKING OR VOLUNTEERING FOR THE MARIJUANA ESTABLISHMENT.
  5. THE CULTIVATION, PROCESSING, STORAGE, MANUFACTURE OR SALE OF MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS AT MARIJUANA ESTABLISHMENTS SHALL TAKE PLACE AT THE PHYSICAL ADDRESS APPROVED BY THE DEPARTMENT AND WITHIN AN AREA THAT IS ENCLOSED AND LOCKED IN A MANNER THAT RESTRICTS ACCESS ONLY TO PERSONS WHO ARE LEGALLY PERMITTED BY THE MARIJUANA ESTABLISHMENT TO ACCESS THE AREA. THE AREA MAY INCLUDE A GREENHOUSE AND MAY BE UNCOVERED ONLY IF THAT AREA IS ENCLOSED WITH SECURITY FENCING THAT IS DESIGNED TO PREVENT UNAUTHORIZED ENTRY AND THAT IS AT LEAST EIGHT FEET HIGH.
  6. THE CULTIVATION, PROCESSING, MANUFACTURE, SALE AND DISPLAY OF MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS AT MARIJUANA ESTABLISHMENTS MAY NOT BE VISIBLE FROM A PUBLIC PLACE WITHOUT THE USE OF BINOCULARS, AIRCRAFT OR OTHER OPTICAL AIDS.
  7. A MARIJUANA ESTABLISHMENT IS SUBJECT TO REASONABLE INSPECTION BY THE DEPARTMENT.
  8. A MARIJUANA DISTRIBUTOR LICENSE IS NOT REQUIRED FOR A MARIJUANA ESTABLISHMENT TO TRANSPORT MARIJUANA TO ANOTHER MARIJUANA ESTABLISHMENT.
  9. A MARIJUANA RETAILER MAY NOT SELL OR OTHERWISE TRANSFER MARIJUANA TO A CONSUMER BEFORE MARCH 1, 2018.

36-2860.  Possession, personal use and production of marijuana, marijuana plants, marijuana products, marijuana accessories and industrial hemp

  1. NOTWITHSTANDING ANY OTHER LAW, EXCEPT AS OTHERWISE PROVIDED IN THIS CHAPTER, IT IS LAWFUL IN THIS STATE AND MAY NOT BE USED AS THE BASIS FOR PROSECUTION, PENALTY IN ANY MANNER OR SEIZURE OR FORFEITURE OF PROPERTY OR ASSETS OF ANY TYPE OR DENIAL OF ANY RIGHT OR PRIVILEGE, INCLUDING ANY CIVIL PENALTY OR DISCIPLINARY ACTION BY A COURT OR OCCUPATIONAL OR PROFESSIONAL LICENSING BOARD OR BUREAU FOR A PERSON WHO IS AT LEAST TWENTY-ONE YEARS OF AGE TO:
  2. POSSESS, USE, ADMINISTER, PURCHASE, OBTAIN, DISPLAY, PROCESS, MANUFACTURE, PRODUCE, TRANSFER OR TRANSPORT MARIJUANA ACCESSORIES AND ONE OUNCE OR LESS OF MARIJUANA.
  3. POSSESS OR TRANSPORT NOT MORE THAN TWELVE MARIJUANA PLANTS AND POSSESS, OBTAIN, PROCESS, MANUFACTURE, PRODUCE, CULTIVATE, TRANSFER OR TRANSPORT NOT MORE THAN TWELVE MARIJUANA PLANTS AT THE PERSON’S PLACE OF RESIDENCE AND POSSESS ANY AMOUNT OF MARIJUANA PRODUCED BY THE PLANTS ON THE PREMISES WHERE THE PLANTS WERE GROWN.
  4. GIVE OR OTHERWISE TRANSFER WITHOUT REMUNERATION ONE OUNCE OR LESS OF MARIJUANA TO A PERSON WHO IS AT LEAST TWENTY-ONE YEARS OF AGE.
  5. ASSIST ANOTHER PERSON WHO IS AT LEAST TWENTY-ONE YEARS OF AGE IN ANY OF THE ACTS DESCRIBED IN THIS SECTION.
  6. POSSESS, USE, CONSUME, OR VAPORIZE MARIJUANA AND MARIJUANA PRODUCTS IN A PUBLIC PLACE, EXCEPT AS PROVIDED IN SECTION 36-2866.
  7. A PERSON MAY NOT BE PENALIZED BY THIS STATE SOLELY BECAUSE OF THE PRESENCE OF METABOLITES OR COMPONENTS OF MARIJUANA IN THE PERSON’S BODY OR IN THE URINE, BLOOD, SALIVA, HAIR OR OTHER TISSUE OR FLUID OF THE PERSON’S BODY AND THIS STATE MAY NOT TAKE ANY TYPE OF REMEDIAL ACTION THAT AFFECTS A PERSON’S LICENSE TO OPERATE A MOTOR VEHICLE SOLELY BECAUSE OF THE PRESENCE OF.METABOLITES OR COMPONENTS OF MARIJUANA IN THE PERSON’S BODY OR IN THE URINE, BLOOD, SALIVA, HAIR, OR OTHER TISSUE OR FLUID OF THE PERSON’S BODY
  8. NOTWITHSTANDING ANY OTHER LAW, IT IS LAWFUL IN THIS STATE AND MAY NOT BE USED AS THE BASIS FOR PROSECUTION, PENALTY IN ANY MANNER OR SEIZURE OR FORFEITURE OF PROPERTY OR ASSETS OF ANY TYPE OR DENIAL OF ANY RIGHT OR PRIVILEGE, INCLUDING ANY CIVIL PENALTY OR DISCIPLINARY ACTION BY A COURT OR OCCUPATIONAL OR PROFESSIONAL LICENSING BOARD OR BUREAU FOR A PERSON TO POSSESS, PRODUCE, CULTIVATE, PROCESS, MANUFACTURE, PURCHASE, OBTAIN, SELL OR OTHERWISE TRANSFER OR TRANSPORT INDUSTRIAL HEMP.
  9. A PERSON MAY NOT BE DENIED CUSTODY OF OR VISITATION OR PARENTING TIME WITH A MINOR AND MAY NOT BE PRESUMED GUILTY OF NEGLECT, CHILD ABUSE, OR CHILD ENDANGERMENT SOLELY FOR CONDUCT THAT IS ALLOWED UNDER THIS CHAPTER UNLESS THE PERSON’S BEHAVIOR CREATES AN UNREASONABLE DANGER TO THE SAFETY OF THE MINOR AS ESTABLISHED BY CLEAR AND CONVINCING EVIDENCE.
  10. AN EMPLOYER MAY NOT DISCRIMINATE AGAINST A PERSON IN HIRING, TERMINATING OR IMPOSING ANY TERM OR CONDITION OF EMPLOYMENT OR OTHERWISE PENALIZE A PERSON BASED ON THE PERSON’S POSITIVE DRUG TEST FOR MARIJUANA COMPONENTS OR METABOLITES, UNLESS THE PERSON CLEARLY USED OR POSSESSED MARIJUANA ON THE PREMISES OF THE PLACE OF EMPLOYMENT OR DURING THE PERSON’S HOURS OF EMPLOYMENT.

36-2861.  Marijuana accessories authorized

  1. NOTWITHSTANDING ANY OTHER LAW, EXCEPT AS OTHERWISE PROVIDED IN THIS CHAPTER OR RULES ADOPTED PURSUANT TO THIS CHAPTER, A PERSON WHO IS AT LEAST TWENTY-ONE YEARS OF AGE IS AUTHORIZED AND IT IS LAWFUL IN THIS STATE AND MAY NOT BE USED AS THE BASIS FOR PROSECUTION, PENALTY IN ANY MANNER OR SEIZURE OR FORFEITURE OF PROPERTY OR ASSETS OF ANY TYPE OR DENIAL OF ANY RIGHT OR PRIVILEGE, INCLUDING ANY CIVIL PENALTY OR DISCIPLINARY ACTION BY A COURT OR OCCUPATIONAL OR PROFESSIONAL LICENSING BOARD OR BUREAU, TO POSSESS, USE, TRANSPORT, DELIVER, MANUFACTURE OR PURCHASE MARIJUANA ACCESSORIES OR DISTRIBUTE OR SELL MARIJUANA ACCESSORIES TO A PERSON WHO IS AT LEAST TWENTY-ONE YEARS OF AGE.
  2. NOTWITHSTANDING SECTION 13-3415, SUBSECTION C AND SUBJECT TO ANY RULES ADOPTED BY THE DEPARTMENT PURSUANT TO SECTION 36-2855, IT IS NOT UNLAWFUL AND MAY NOT BE AN OFFENSE OR A BASIS FOR SEIZURE OR FORFEITURE OF PROPERTY OR ASSETS OF ANY TYPE FOR A PERSON TO PLACE OR PUBLISH AN ADVERTISEMENT FOR MARIJUANA ACCESSORIES.
  3. A MARIJUANA ESTABLISHMENT LICENSE SHALL NOT BE REQUIRED TO PURCHASE MARIJUANA ACCESSORIES OR TO SELL MARIJUANA ACCESSORIES TO CONSUMERS.

36-2862.  Marijuana establishments; permissible activities

NOTWITHSTANDING ANY OTHER LAW, EXCEPT AS OTHERWISE PROVIDED IN THIS CHAPTER OR RULES ADOPTED PURSUANT TO THIS CHAPTER, IT IS LAWFUL IN THIS STATE AND MAY NOT BE THE BASIS FOR PROSECUTION, PENALTY IN ANY MANNER OR SEIZURE OR FORFEITURE OF PROPERTY OR ASSETS OF ANY TYPE OR DENIAL OF ANY RIGHT OR PRIVILEGE, INCLUDING ANY CIVIL PENALTY OR DISCIPLINARY ACTION BY A COURT OR OCCUPATIONAL OR PROFESSIONAL LICENSING BOARD OR BUREAU FOR:

  1. A MARIJUANA RETAILER, OR AN AGENT ACTING ON BEHALF OF A MARIJUANA RETAILER, TO POSSESS, PURCHASE, SELL, PACKAGE OR TRANSPORT MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS TO OR FROM A MARIJUANA ESTABLISHMENT OR TO SELL MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS TO CONSUMERS.
  2. A MARIJUANA CULTIVATOR, OR AN AGENT ACTING ON BEHALF OF A MARIJUANA CULTIVATOR, TO:

(a)    POSSESS, PRODUCE, CULTIVATE, HARVEST, PROCESS OR PACKAGE MARIJUANA AND MARIJUANA PLANTS.

(b)    POSSESS, SELL OR TRANSPORT MARIJUANA AND MARIJUANA PLANTS TO OR FROM A MARIJUANA ESTABLISHMENT.

  1. A MARIJUANA PRODUCT MANUFACTURER, OR AN AGENT ACTING ON BEHALF OF A MARIJUANA PRODUCT MANUFACTURER, TO PACKAGE, PROCESS, MANUFACTURE, MANUFACTURE BY CHEMICAL EXTRACTION, STORE, POSSESS, TRANSPORT, SELL AND PURCHASE MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS TO OR FROM A MARIJUANA ESTABLISHMENT.
  2. A MARIJUANA DISTRIBUTOR, OR AN AGENT ACTING ON BEHALF OF A MARIJUANA DISTRIBUTOR, TO POSSESS, STORE, TRANSPORT, SELL OR PURCHASE MARIJUANA AND MARIJUANA PRODUCTS TO OR FROM A MARIJUANA ESTABLISHMENT.
  3. A MARIJUANA TESTING FACILITY, OR AN AGENT ACTING ON BEHALF OF A MARIJUANA TESTING FACILITY, TO POSSESS, PROCESS, REPACKAGE, STORE, TRANSPORT OR TEST MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS.
  4. A NONPROFIT MEDICAL MARIJUANA DISPENSARY THAT IS REGISTERED PURSUANT TO CHAPTER 28.1 OF THIS TITLE, OR AN AGENT ACTING ON BEHALF OF A NONPROFIT MEDICAL MARIJUANA DISPENSARY THAT IS REGISTERED PURSUANT TO CHAPTER 28.1 OF THIS TITLE, TO SELL OR OTHERWISE TRANSFER MARIJUANA OR MARIJUANA PRODUCTS TO A REORGANIZED MARIJUANA BUSINESS THAT HAS OBTAINED A LICENSE TO OPERATE A MARIJUANA ESTABLISHMENT OR FOR A REORGANIZED MARIJUANA BUSINESS THAT HAS OBTAINED A LICENSE TO OPERATE A MARIJUANA ESTABLISHMENT, OR AN AGENT ACTING ON BEHALF OF A REORGANIZED MARIJUANA BUSINESS, TO SELL OR OTHERWISE TRANSFER MARIJUANA OR MARIJUANA PRODUCTS TO A NONPROFIT MEDICAL MARIJUANA DISPENSARY THAT IS REGISTERED PURSUANT TO CHAPTER 28.1 OF THIS TITLE.
  5. ANY PERSON TO LEASE OR OTHERWISE ALLOW PROPERTY THAT IS OWNED, MANAGED OR CONTROLLED BY THE PERSON TO BE USED FOR ANY LAWFUL ACTIVITY PURSUANT TO THIS CHAPTER.

36-2863.  Identification of underage persons

NOTWITHSTANDING ANY OTHER LAW, EXCEPT AS OTHERWISE PROVIDED IN THIS CHAPTER OR RULES ADOPTED PURSUANT TO THIS CHAPTER, A PERSON ACTING IN THE PERSON’S CAPACITY AS AN AGENT OF A MARIJUANA ESTABLISHMENT WHO DELIVERS, GIVES, SELLS OR ADMINISTERS OR OFFERS TO SELL, ADMINISTER, GIVE OR DELIVER MARIJUANA, A MARIJUANA PLANT OR A MARIJUANA PRODUCT TO A PERSON WHO IS UNDER TWENTY-ONE YEARS OF AGE IS NOT SUBJECT TO PROSECUTION, PENALTY IN ANY MANNER OR SEIZURE OR FORFEITURE OF PROPERTY OR ASSETS OF ANY TYPE IF:

  1. THE PERSON REQUESTED IDENTIFICATION FROM THE RECIPIENT, EXAMINED THE IDENTIFICATION TO DETERMINE THAT THE IDENTIFICATION REASONABLY APPEARED TO BE A VALID, UNALTERED IDENTIFICATION THAT HAD NOT BEEN DEFACED, EXAMINED THE PHOTOGRAPH IN THE IDENTIFICATION AND DETERMINED THAT THE RECIPIENT REASONABLY APPEARED TO BE THE SAME PERSON IN THE IDENTIFICATION AND DETERMINED THAT THE DATE OF BIRTH ON THE IDENTIFICATION INDICATED THAT THE RECIPIENT WAS NOT UNDER TWENTY-ONE YEARS OF AGE.
  2. THE RECIPIENT IS PERMITTED TO POSSESS THE MARIJUANA PURSUANT TO CHAPTER 28.1 OF THIS TITLE.

36-2864.  Contracts pertaining to marijuana enforceable

IT IS THE PUBLIC POLICY OF THIS STATE THAT CONTRACTS RELATED TO THE OPERATION OF MARIJUANA ESTABLISHMENTS UNDER THIS CHAPTER BE ENFORCEABLE, AND A CONTRACT ENTERED INTO BY A LICENSEE OR ITS AGENT AS ALLOWED PURSUANT TO A VALID LICENSE ISSUED BY THE DEPARTMENT OR BY A PERSON WHO ALLOWS PROPERTY TO BE USED BY A LICENSEE OR ITS AGENTS AS ALLOWED PURSUANT TO A VALID LICENSE ISSUED BY THE DEPARTMENT MAY NOT BE DEEMED UNENFORCEABLE ON THE BASIS THAT ANY ACTION OR CONDUCT ALLOWED PURSUANT TO THE LICENSE IS PROHIBITED BY FEDERAL LAW.

36-2865.  Disciplinary action prohibited

A PERSON WHO IS LICENSED, CERTIFICATED OR REGISTERED BY ANY DEPARTMENT, AGENCY OR REGULATORY BOARD OF THIS STATE IS NOT SUBJECT TO DISCIPLINARY ACTION BY THAT ENTITY FOR PROVIDING PROFESSIONAL ASSISTANCE TO A PROSPECTIVE OR LICENSED MARIJUANA ESTABLISHMENT OR OTHER PERSON FOR ANY LAWFUL ACTIVITY UNDER THIS CHAPTER.

36-2866.  Violations; classification

  1. EXCEPT AS OTHERWISE PROVIDED IN SECTION 36-2860 OF THIS CHAPTER, A PERSON WHO SMOKES MARIJUANA IN A PUBLIC PLACE IS GUILTY OF A PETTY OFFENSE PUNISHABLE BY A FINE OF NOT MORE THAN THREE HUNDRED DOLLARS.
  2. NOTWITHSTANDING ANY OTHER LAW AND EXCEPT AS PROVIDED IN THIS CHAPTER, A PERSON WHO MANUFACTURES MARIJUANA BY CHEMICAL EXTRACTION WITH A COMPRESSED FLAMMABLE SOLVENT, UNLESS DONE PURSUANT TO A MARIJUANA PRODUCT MANUFACTURE LICENSE ISSUED BY THE DEPARTMENT, IS GUILTY OF A CLASS 6 FELONY.
  3. A PERSON WHO IS UNDER TWENTY-ONE YEARS OF AGE AND WHO MISREPRESENTS THE PERSON’S AGE TO ANY OTHER PERSON BY MEANS OF A WRITTEN INSTRUMENT OF IDENTIFICATION OR WHO USES A FRAUDULENT OR FALSE WRITTEN INSTRUMENT OF IDENTIFICATION WITH THE INTENT TO INDUCE A PERSON TO SELL OR OTHERWISE TRANSFER MARIJUANA, A MARIJUANA PLANT OR A MARIJUANA PRODUCT OR TO GAIN ACCESS TO A MARIJUANA ESTABLISHMENT IS GUILTY OF A PETTY OFFENSE PUNISHABLE BY A FINE OF NOT MORE THAN THREE HUNDRED DOLLARS AND PERFORMANCE OF UP TO TWENTY-FOUR HOURS OF COMMUNITY RESTITUTION.
  4. A PERSON WHO IS UNDER TWENTY-ONE YEARS OF AGE AND WHO SOLICITS ANOTHER PERSON TO PURCHASE MARIJUANA, A MARIJUANA PLANT OR A MARIJUANA PRODUCT IN VIOLATION OF THIS CHAPTER IS GUILTY OF A PETTY OFFENSE PUNISHABLE BY A FINE OF NOT MORE THAN THREE HUNDRED DOLLARS AND PERFORMANCE OF UP TO TWENTY-FOUR HOURS OF COMMUNITY RESTITUTION.
  5. A PERSON ACTING IN THE PERSON’S CAPACITY AS AN AGENT OF A MARIJUANA ESTABLISHMENT WHO KNOWINGLY ALLOWS A PERSON WHO IS UNDER TWENTY-ONE YEARS OF AGE AND WHO IS NOT AUTHORIZED TO POSSESS MARIJUANA PURSUANT TO CHAPTER 28.1 OF THIS TITLE TO REMAIN IN A SECURED AREA ON THE LICENSED PREMISES WHERE MARIJUANA, MARIJUANA PLANTS OR MARIJUANA PRODUCTS ARE PRODUCED, PROCESSED, MANUFACTURED, SOLD OR USED IS GUILTY OF A PETTY OFFENSE PUNISHABLE BY A FINE OF NOT MORE THAN THREE HUNDRED DOLLARS.
  6. PURSUANT TO RULES ADOPTED BY THE DEPARTMENT AS REQUIRED BY SECTION 36-2855, A MARIJUANA ESTABLISHMENT THAT PRODUCES OR SELLS MARIJUANA, MARIJUANA PLANTS OR MARIJUANA PRODUCTS THAT ARE FOUND TO CONTAIN PESTICIDES OR ADDITIVES THAT WOULD MAKE THE MARIJUANA, MARIJUANA PLANTS OR MARIJUANA PRODUCTS INJURIOUS TO A PERSON’S HEALTH AND THAT HAVE BEEN RESTRICTED BY RULES ADOPTED BY THE DEPARTMENT PURSUANT TO THIS CHAPTER IS SUBJECT TO:
  7. FOR A FIRST VIOLATION, A FINE OF FIVE THOUSAND DOLLARS.
  8. FOR A SECOND OR SUBSEQUENT VIOLATION, A FINE OF TWENTY-FIVE THOUSAND DOLLARS.
  9. EXCEPT AS OTHERWISE PROVIDED IN CHAPTER 28.1 OF THIS TITLE, ANY UNLICENSED PERSON WHO PRODUCES OR CULTIVATES A MARIJUANA PLANT PURSUANT TO SECTION 36-2860 OUTSIDE OF AN ENCLOSED AREA THAT IS EQUIPPED WITH A LOCK OR OTHER SECURITY DEVICE IS GUILTY OF:
  10. FOR A FIRST VIOLATION, A PETTY OFFENSE PUNISHABLE BY A FINE OF NOT MORE THAN THREE HUNDRED DOLLARS.
  11. FOR A SECOND OR SUBSEQUENT VIOLATION, A CLASS 3 MISDEMEANOR.
  12. NOTWITHSTANDING ANY OTHER LAW, A PERSON WHO IS UNDER TWENTY-ONE YEARS OF AGE AND WHO POSSESSES OR USES ONE OUNCE OR LESS OF MARIJUANA OR WHO TRANSFERS ONE OUNCE OR LESS OF MARIJUANA WITH OR WITHOUT REMUNERATION FROM A PERSON WHO IS UNDER TWENTY-ONE YEARS OF AGE TO SOMEONE WHO IS WITHIN TWO YEARS OF THE AGE OF THE TRANSFEROR IS GUILTY OF A PETTY OFFENSE THAT IS PUNISHABLE BY A FINE OF NOT MORE THAN THREE HUNDRED DOLLARS, FORFEITURE OF THE MARIJUANA AND PERFORMANCE OF UP TO TWENTY-FOUR HOURS OF COMMUNITY RESTITUTION.
  13. NOTWITHSTANDING ANY OTHER LAW AND EXCEPT AS PROVIDED IN THIS CHAPTER, A PERSON WHO IS UNDER TWENTY-ONE YEARS OF AGE AND WHO POSSESSES AN AMOUNT OF MARIJUANA:
  14. HAVING A WEIGHT OF MORE THAN ONE OUNCE BUT NOT MORE THAN EIGHT OUNCES IS GUILTY OF A CLASS 2 MISDEMEANOR.
  15. HAVING A WEIGHT OF MORE THAN EIGHT OUNCES IS GUILTY OF A CLASS 6 FELONY.
  16.   NOTWITHSTANDING ANY OTHER LAW AND EXCEPT AS PROVIDED IN THIS CHAPTER, A PERSON WHO IS UNDER TWENTY-­ONE YEARS OF AGE AND WHO SELLS OR POSSESSES AN AMOUNT OF MARIJUANA FOR SALE:
  17. HAVING A WEIGHT OF NOT MORE THAN EIGHT OUNCES IS GUILTY OF A CLASS 1 MISDEMEANOR.
  18. HAVING A WEIGHT OF MORE THAN EIGHT OUNCES IS GUILTY OF A CLASS 5 FELONY.
  19.   NOTWITHSTANDING ANY OTHER LAW AND EXCEPT AS PROVIDED IN THIS CHAPTER, A PERSON WHO IS UNDER TWENTY-­ONE YEARS OF AGE AND WHO POSSESSES, OBTAINS, SELLS, POSSESSES FOR SALE, PRODUCES, CULTIVATES, PROCESSES OR MANUFACTURES MARIJUANA PLANTS AND ANY MARIJUANA PRODUCED BY THE MARIJUANA PLANTS ON THE PREMISES WHERE THE PLANTS WERE GROWN IS GUILTY OF A CLASS 5 FELONY.
  20. NOTWITHSTANDING ANY OTHER LAW AND EXCEPT AS PROVIDED IN THIS CHAPTER, A PERSON WHO IS TWENTY­-ONE YEARS OF AGE OR OLDER AND WHO POSSESSES AN AMOUNT OF MARIJUANA:
  21. HAVING A WEIGHT OF MORE THAN ONE OUNCE BUT NOT MORE THAN TWO­ AND ­ONE-­HALF OUNCES IS GUILTY OF A PETTY OFFENSE PUNISHABLE BY A FINE OF NOT MORE THAN THREE HUNDRED DOLLARS.

2    HAVING A WEIGHT OF MORE THAN TWO­ AND ­ONE-­HALF OUNCES BUT NOT MORE THAN EIGHT OUNCES IS GUILTY OF A CLASS 3 MISDEMEANOR.

  1. HAVING A WEIGHT OF MORE THAN EIGHT OUNCES IS GUILTY OF A CLASS 6 FELONY.
  2.   NOTWITHSTANDING ANY OTHER LAW AND EXCEPT AS PROVIDED IN THIS CHAPTER, A PERSON WHO IS TWENTY-­ONE YEARS OF AGE OR OLDER AND WHO SELLS OR POSSESSES AN AMOUNT OF MARIJUANA FOR SALE:
  3. HAVING A WEIGHT OF NOT MORE THAN TWO AND ­ONE-­HALF OUNCES IS GUILTY OF A CLASS 3 MISDEMEANOR.
  4. HAVING A WEIGHT OF MORE THAN TWO AND ­ONE-­HALF OUNCES BUT NOT MORE THAN EIGHT OUNCES IS GUILTY OF A CLASS 2 MISDEMEANOR.
  5. HAVING A WEIGHT OF MORE THAN EIGHT OUNCES IS GUILTY OF A CLASS 5 FELONY.
  6. NOTWITHSTANDING ANY OTHER LAW AND EXCEPT AS PROVIDED IN THIS CHAPTER, A PERSON WHO IS TWENTY-­ONE YEARS OF AGE OR OLDER AND WHO SELLS OR POSSESSES ANY AMOUNT OF MARIJUANA FOR SALE THAT WAS PRODUCED BY MARIJUANA PLANTS THAT WERE CULTIVATED IN COMPLIANCE WITH SECTION 36-2860 ON THE PREMISES WHERE THE MARIJUANA WAS GROWN IS GUILTY OF A CLASS 1 MISDEMEANOR.
  7. NOTWITHSTANDING ANY OTHER LAW AND EXCEPT AS PROVIDED IN THIS CHAPTER, A PERSON WHO IS TWENTY­-ONE YEARS OF AGE OR OLDER AND WHO POSSESSES, OBTAINS, SELLS, POSSESSES FOR SALE, PRODUCES, CULTIVATES, PROCESSES OR MANUFACTURES MORE THAN TWELVE MARIJUANA PLANTS BUT NOT MORE THAN NINETY-NINE MARIJUANA PLANTS AND ANY MARIJUANA PRODUCED BY THE PLANTS ON THE PREMISES WHERE THE PLANTS WERE GROWN IS GUILTY OF:
  8. FOR A FIRST VIOLATION, A CLASS 3 MISDEMEANOR.
  9. FOR A SECOND OR SUBSEQUENT VIOLATION, A CLASS 2 MISDEMEANOR.
  10. NOTWITHSTANDING ANY OTHER LAW AND EXCEPT AS PROVIDED IN THIS CHAPTER, A PERSON WHO IS TWENTY­-ONE YEARS OF AGE OR OLDER AND WHO POSSESSES, OBTAINS, SELLS, POSSESSES FOR SALE, PRODUCES, CULTIVATES, PROCESSES, OR MANUFACTURES MORE THAN NINETY-NINE MARIJUANA PLANTS AND ANY MARIJUANA PRODUCED BY THE PLANTS ON THE PREMISES WHERE THE PLANTS WERE GROWN IS GUILTY OF A CLASS 5 FELONY.
  11.   FOR THE PURPOSES OF THIS SECTION, WHEN DETERMINING THE TOTAL AMOUNT OF MARIJUANA, MARIJUANA PLANTS OR MARIJUANA PRODUCTS THAT A PERSON POSSESSED, THE COURT SHALL SEPARATELY CONSIDER EACH OFFENSE CHARGED AND NOT CONSIDER THE AGGREGATE AMOUNT OF MARIJUANA, MARIJUANA PLANTS OR MARIJUANA PRODUCTS IN OFFENSES THAT ARE CONSOLIDATED FOR TRIAL.
  12.   NOTWITHSTANDING ANY OTHER LAW, A PERSON WHO IS SENTENCED FOR ANY VIOLATION OF THIS CHAPTER IS NOT SUBJECT TO A LOSS OF PUBLIC BENEFITS AS DEFINED IN SECTION 13-­3418.
  13. A PERSON WHO IS ACCUSED OF COMMITTING ANY VIOLATION OF THIS CHAPTER SHALL NOT LOSE OR FORFEIT ANY OF THE LEGAL PROTECTIONS AFFORDED TO THEM UNDER THIS CHAPTER. A VIOLATION OF THIS CHAPTER SHALL NOT RENDER THE OTHER LEGAL PROTECTIONS OF THIS CHAPTER INVALID.
  14. NOTWITHSTANDING ANY OTHER LAW, ANY PERSON WHO WAS SENTENCED FOR ANY VIOLATION OF SECTION 13-3405, SECTION 13-3408, OR SECTION 13-3415 PRIOR TO THE EFFECTIVE DATE OF THIS CHAPTER, SHALL BE ELIGIBLE FOR RESENTENCING AS FOLLOWS:
  15. ANY PERSON WHO WAS SENTENCED TO INCARCERATION OR PROBATION PURSUANT TO SECTION 13-3405, SECTION 13-3408, OR SECTION 13-3415 PRIOR TO THE EFFECTIVE DATE OF THIS CHAPTER, MAY FILE A MOTION TO MODIFY SENTENCE WITH THE JUDGE, JUSTICE OF THE PEACE, OR MAGISTRATE WHO PRONOUNCED SENTENCE OR IMPOSES PROBATION OR SUCH JUDGE, JUSTICE OF THE PEACE, OR MAGISTRATE’S SUCCESSOR IN OFFICE.
  16. NO LATER THAN THIRTY DAYS FROM THE FILING DATE OF THE MOTION TO MODIFY SENTENCE, THE COURT SHALL EITHER GRANT THE MOTION TO MODIFY SENTENCE OR, IF THE STATE OBJECTS, SCHEDULE A CONTESTED RESENTENCING HEARING.
  17. AT THE RESENTENCING HEARING, THE COURT SHALL DETERMINE THE FOLLOWING:

(a)     IF CURRENTLY SERVING A TERM OF INCARCERATION, PROBATION, OR COMMUNITY SUPERVISION FOR A VIOLATION OF SECTION 13-3405, SECTION 13-3408, OR SECTION 13-3415, WHETHER THE DURATION OF THE PERSON’S INCARCERATION OR PROBATION SENTENCE WOULD HAVE BEEN SHORTER UNDER THE PROVISIONS OF THIS CHAPTER, AND;

(b)     IF PREVIOUSLY CONVICTED OF A FELONY OFFENSE FOR ANY VIOLATION OF SECTION 13-3405, SECTION 13-3408, OR SECTION 13-3415, WHETHER THE PERSON WOULD HAVE BEEN CONVICTED OF A MISDEMEANOR OFFENSE INSTEAD OF A FELONY OFFENSE UNDER THE PROVISIONS OF THIS CHAPTER.

  1. IF THE COURT DETERMINES THAT A SHORTER TERM OF INCARCERATION, PROBATION, OR COMMUNITY SUPERVISION WOULD HAVE BEEN IMPOSED UNDER THIS CHAPTER, EXCEPT THAT THE OFFENSE OCCURRED PRIOR TO THE EFFECTIVE DATE OF THIS CHAPTER, THEN IT SHALL GRANT THE MOTION TO MODIFY SENTENCE AND ORDER A MODIFICATION OF SENTENCE THAT IS CONSISTENT WITH SECTION 36-2866 OF THIS CHAPTER. UNDER NO CIRCUMSTANCE MAY A RESENTENCING UNDER THIS SECTION RESULT IN THE IMPOSITION OF A PENALTY THAT IS MORE HARSH THAN THE ORIGINAL SENTENCE.
  2. IF THE COURT DETERMINES THAT THE PERSON WOULD HAVE BEEN CONVICTED OF A MISDEMEANOR OFFENSE INSTEAD OF A FELONY OFFENSE HAD THE PERSON BEEN SENTENCED PURSUANT TO SECTION 36-2866 OF THIS CHAPTER, EXCEPT THAT THE FELONY OFFENSE OCCURRED BEFORE THE EFFECTIVE DATE OF THIS CHAPTER, THE COURT SHALL DESIGNATE THE FELONY OFFENSE AS A MISDEMEANOR OFFENSE.
  3. IF THE COURT DETERMINES THAT A PERSON IS ELIGIBLE FOR RESENTENCING PURSUANT TO THIS SECTION, THE STATE SHALL NOT BE REQUIRED TO REIMBURSE A PERSON WHO HAS PREVIOUSLY PAID ANY FINE, FEE, SURCHARGE, OR OTHER MONETARY PENALTY RELATED TO THE PRIOR CONVICTION, AND THE PERSON IS NOT ENTITLED TO RECEIVE A MONETARY REFUND OF ANY KIND FOR ANY PREVIOUSLY PAID FINE, FEE, SURCHARGE, OR OTHER MONETARY PENALTY.
  4. NO LATER THAN SIXTY DAYS FROM A RESENTENCING HEARING, THE COURT SHALL EITHER GRANT OR DENY THE MOTION TO MODIFY SENTENCE.
  5. NOTWITHSTANDING ANY OTHER LAW AND EXCEPT AS PROVIDED IN THIS CHAPTER, A PERSON WHO VIOLATES THE LAW BY COMMITTING AN OFFENSE THAT IS NOT OTHERWISE SET FORTH IN THIS SECTION, BUT THAT IS PREDICATED IN WHOLE OR IN PART ON CONDUCT INVOLVING THE POSSESSION, CONSUMPTION, SALE, TRANSFER, MANUFACTURE, TRANSPORTATION, IMPORTATION, EXPORTATION OR PRODUCTION OF NOT MORE THAN EIGHT OUNCES OF MARIJUANA IS GUILTY OF A CLASS 2 MISDEMEANOR.
  6. NOTWITHSTANDING ANY OTHER LAW AND EXCEPT AS PROVIDED IN THIS CHAPTER, A PERSON WHO VIOLATES THE LAW BY COMMITTING AN OFFENSE THAT IS NOT OTHERWISE SET FORTH IN THIS SECTION, BUT THAT IS PREDICATED IN WHOLE OR IN PART ON CONDUCT INVOLVING THE POSSESSION, CONSUMPTION, SALE, TRANSFER, MANUFACTURE, TRANSPORTATION, IMPORTATION, EXPORTATION OR PRODUCTION OF MORE THAN EIGHT OUNCES OF MARIJUANA IS GUILTY OF A CLASS 5 FELONY.
  7. NOTWITHSTANDING ANY OTHER LAW AND EXCEPT AS PROVIDED IN THIS CHAPTER, A PERSON WHO VIOLATES THE LAW BY COMMITTING AN OFFENSE THAT IS NOT OTHERWISE SET FORTH IN THIS SECTION, BUT THAT IS PREDICATED IN WHOLE OR IN PART ON CONDUCT INVOLVING THE POSSESSION, CONSUMPTION, SALE, TRANSFER, MANUFACTURE, TRANSPORTATION, PRODUCTION OR CULTIVATION OF NOT MORE THAN NINETY-NINE MARIJUANA PLANTS IS GUILTY OF A CLASS 2 MISDEMEANOR.
  8. NOTWITHSTANDING ANY OTHER LAW AND EXCEPT AS PROVIDED IN THIS CHAPTER, A PERSON WHO VIOLATES THE LAW BY COMMITTING AN OFFENSE THAT IS NOT OTHERWISE SET FORTH IN THIS SECTION, BUT THAT IS PREDICATED IN WHOLE OR IN PART ON CONDUCT INVOLVING THE POSSESSION, CONSUMPTION, SALE, TRANSFER, MANUFACTURE, TRANSPORTATION, PRODUCTION OR CULTIVATION OF MORE THAN NINETY-NINE MARIJUANA PLANTS IS GUILTY OF A CLASS 5 FELONY.
  9. THE LEGISLATURE MAY REDUCE OR ELIMINATE THE PENALTIES PROVIDED FOR IN THIS SECTION.

36-2867   Law enforcement investigations; probable cause; applicability

  1. THE ODOR OF MARIJUANA, WHETHER BURNT, FRESH OR IN THE PROCESS OF BEING CULTIVATED, DOES NOT CONSTITUTE PROBABLE CAUSE FOR A SEARCH OR SEIZURE OF A PERSON OR PROPERTY AND DOES NOT PROVIDE THE PROBABLE CAUSE REQUIRED BY SECTION 13-3913 TO OBTAIN A SEARCH WARRANT OF A PERSON OR PROPERTY FROM A MAGISTRATE.
  2. THIS SECTION APPLIES TO BOTH:
  3. SWORN PEACE OFFICERS WHO ARE ACTING IN THEIR OFFICIAL CAPACITY AS SWORN PEACE OFFICERS.
  4. CANINES THAT ARE ACTING UNDER THE SUPERVISION OF A SWORN PEACE OFFICER.

36-2868.  Marijuana fund

  1. THE MARIJUANA FUND IS ESTABLISHED CONSISTING OF ALL MONIES DEPOSITED PURSUANT TO SECTIONS 36-2857 AND 42-3384 AND INTEREST EARNED ON THOSE MONIES. THE STATE TREASURER SHALL DEPOSIT ALL MONIES RECEIVED UNDER SECTION 42-3384 INTO THIS FUND. THE DEPARTMENT SHALL ADMINISTER THE FUND. MONIES IN THE FUND ARE CONTINUOUSLY APPROPRIATED. MONIES IN THE FUND MAY NOT BE TRANSFERRED TO ANY OTHER FUND EXCEPT AS PROVIDED IN THIS SECTION.
  2. THE DEPARTMENT OF HEALTH SERVICES SHALL TRANSFER MONIES FROM THE MEDICAL MARIJUANA FUND ESTABLISHED BY SECTION 36-2817 WITHIN SIXTY DAYS AFTER THE EFFECTIVE DATE OF THIS SECTION TO THE DEPARTMENT OF MARIJUANA LICENSES AND CONTROL TO BE DEPOSITED INTO THE MARIJUANA FUND AND EXPENDED TO PAY THE COSTS INCURRED BY THE DEPARTMENT OF MARIJUANA LICENSES AND CONTROL OR BY THE DEPARTMENT OF REVENUE BEFORE MONIES ARE DEPOSITED PURSUANT TO SECTIONS 36-2857 AND 42-3384. THE AMOUNT OF MONEY TRANSFERRED BY THE DEPARTMENT OF HEALTH SERVICES TO THE MARIJUANA FUND SHALL FULLY COVER ALL COSTS INCURRED BY THE DEPARTMENT OF MARIJUANA LICENSES AND CONTROL OR BY THE DEPARTMENT OF REVENUE. ANY MONIES TRANSFERRED BY THE DEPARTMENT OF HEALTH SERVICES TO THE MARIJUANA FUND SHALL BE REPAID TO THE MEDICAL MARIJUANA FUND WHEN MONIES ARE AVAILABLE FROM THE MARIJUANA FUND.
  3. ALL MONIES IN THE MARIJUANA FUND MUST FIRST BE EXPENDED TO PAY THE COSTS INCURRED BY THE DEPARTMENT IN CARRYING OUT THIS CHAPTER AND RULES ADOPTED PURSUANT TO THIS CHAPTER.
  4. THE DEPARTMENT OF MARIJUANA LICENSES AND CONTROL SHALL TRANSFER MONIES FROM THE MARIJUANA FUND TO THE DEPARTMENT OF REVENUE FOR THE REASONABLE ADMINISTRATION AND ENFORCEMENT COSTS INCURRED BY THE DEPARTMENT OF REVENUE IN ADMINISTERING THE LEVY OF TAXES THAT ARE DEPOSITED IN THE FUND UNDER SECTION 42-3384.
  5. THE DEPARTMENT SHALL DISTRIBUTE EACH QUARTER ONE-HALF OF THE LICENSE FEES COLLECTED FROM MARIJUANA ESTABLISHMENTS IN A LOCALITY TO THE LOCALITY IN WHICH THE MARIJUANA ESTABLISHMENT IS LOCATED.
  6. THE DEPARTMENT OF MARIJUANA LICENSES AND CONTROL SHALL TRANSFER EACH QUARTER ALL MONIES IN EXCESS OF THE AMOUNT NEEDED TO IMPLEMENT AND ENFORCE THIS CHAPTER IN ANY FISCAL YEAR AS FOLLOWS:
  7. FORTY PERCENT TO SCHOOL DISTRICTS AND CHARTER SCHOOLS IN PROPORTION TO EACH SCHOOL’S WEIGHTED STUDENT COUNT FOR THE FISCAL YEAR PURSUANT TO SECTION 15-943, PARAGRAPH 2, SUBDIVISION (a), FOR EDUCATION-RELATED EXPENSES, INCLUDING COMPENSATION OF TEACHERS AND CONSTRUCTION, MAINTENANCE AND OPERATION COSTS OF ANY KINDERGARTEN PROGRAMS AND GRADES ONE THROUGH TWELVE.
  8. FORTY PERCENT TO SCHOOL DISTRICTS AND CHARTER SCHOOLS THAT CERTIFY AT THE BEGINNING OF A FISCAL YEAR THAT MONIES TRANSFERRED WILL BE USED TO PROVIDE FULL-DAY KINDERGARTEN INSTRUCTION. MONIES DISTRIBUTED PURSUANT TO THIS PARAGRAPH SHALL BE ALLOCATED IN PROPORTION TO EACH SCHOOL’S WEIGHTED STUDENT COUNT FOR THE FISCAL YEAR PURSUANT TO SECTION 15-943, PARAGRAPH 2, SUBDIVISION (a). ANY MONIES TRANSFERRED PURSUANT TO THIS PARAGRAPH THAT ARE NOT USED BY THE END OF THE FISCAL YEAR TO PROVIDE FULL-DAY KINDERGARTEN INSTRUCTION REVERT TO THE MARIJUANA FUND FOR REDISTRIBUTION PURSUANT TO THIS SUBSECTION.
  9. TWENTY PERCENT TO THE DEPARTMENT OF HEALTH SERVICES FOR THE ARIZONA POISON CONTROL SYSTEM ESTABLISHED PURSUANT TO SECTION 36-1161, INCLUDING PUBLIC EDUCATION CAMPAIGNS REGARDING THE RELATIVE HARMS OF ALCOHOL AND OTHER SUBSTANCES AS COMPARED TO MARIJUANA.
  10. THE MONIES TRANSFERRED PURSUANT TO SUBSECTION F OF THIS SECTION ARE IN ADDITION TO ANY OTHER APPROPRIATION, TRANSFER OR ALLOCATION OF MONIES AND MAY NOT SUPPLANT, REPLACE OR CAUSE A REDUCTION IN OTHER FUNDING SOURCES.
  11. MONIES IN THE FUND OR ITS ACCOUNTS MAY NOT REVERT TO THE STATE GENERAL FUND. MONIES IN THE FUND AND ITS ACCOUNTS ARE EXEMPT FROM THE PROVISIONS OF SECTION 35-190 RELATING TO LAPSING OF APPROPRIATIONS.

36-2869.  Enforcement of chapter; mandamus

  1. IF THE DEPARTMENT FAILS TO ADOPT RULES NECESSARY FOR THE IMPLEMENTATION OF THIS CHAPTER ON OR BEFORE SEPTEMBER 1, 2017, OR IF THE DEPARTMENT FAILS TO BEGIN ACCEPTING APPLICATIONS AS PROVIDED IN SECTION 36-2854, ANY CITIZEN MAY COMMENCE A MANDAMUS ACTION IN SUPERIOR COURT TO COMPEL THE DEPARTMENT TO PERFORM THE ACTIONS MANDATED UNDER THIS CHAPTER.
  2. IF THE DEPARTMENT FAILS TO ISSUE A LICENSE OR SEND A NOTICE OF DENIAL WITHIN NINETY DAYS AFTER RECEIVING A COMPLETE MARIJUANA ESTABLISHMENT APPLICATION PURSUANT TO SECTION 36-2858, THE APPLICANT MAY COMMENCE A MANDAMUS ACTION IN SUPERIOR COURT TO COMPEL THE DEPARTMENT TO PERFORM THE ACTIONS MANDATED UNDER THIS CHAPTER.
  3. IF THE DEPARTMENT FAILS TO ADOPT RULES NECESSARY FOR THE IMPLEMENTATION OF THIS CHAPTER ON OR BEFORE SEPTEMBER 1, 2018, NOTWITHSTANDING CHAPTER 28.1 OF THIS TITLE, EACH NONPROFIT MEDICAL MARIJUANA DISPENSARY THAT IS REGISTERED AND IN GOOD STANDING PURSUANT TO CHAPTER 28.1 OF THIS TITLE MAY BEGIN TO PRODUCE, PROCESS, CULTIVATE, MANUFACTURE, TRANSPORT AND TEST MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS AND MAY SELL OR OTHERWISE TRANSFER MARIJUANA, MARIJUANA PLANTS OR MARIJUANA PRODUCTS TO ANY PERSON WHO IS AT LEAST TWENTY-ONE YEARS OF AGE UNTIL THE DEPARTMENT ISSUES LICENSES TO QUALIFYING REORGANIZED MARIJUANA BUSINESSES THAT HAVE APPLIED TO OPERATE AS A MARIJUANA RETAILER.

Sec. 4. Title 42, chapter 3, Arizona Revised Statutes, is amended by adding article 10, to read:

ARTICLE 10.

MARIJUANA AND MARIJUANA PRODUCTS

42-3381.  Definitions

IN THIS ARTICLE, UNLESS THE CONTEXT OTHERWISE REQUIRES, “MARIJUANA”, “MARIJUANA ESTABLISHMENT”, “MARIJUANA PLANTS”, “MARIJUANA PRODUCTS”, “MARIJUANA RETAILER” AND “UNREASONABLY IMPRACTICABLE” HAVE THE SAME MEANINGS PRESCRIBED IN SECTION 36-2851.

42-3382.  Levy and rates of tax

  1. IN ADDITION TO ALL OTHER TAXES, THERE IS LEVIED AND IMPOSED AND THERE SHALL BE COLLECTED BY THE DEPARTMENT A TAX ON ALL MARIJUANA, MARIJUANA PLANTS AND MARIJUANA PRODUCTS SOLD TO ANY PERSON OTHER THAN A MARIJUANA ESTABLISHMENT BY A MARIJUANA RETAILER AT A RATE OF TEN PERCENT OF THE PRICE OF THE MARIJUANA, MARIJUANA PLANT OR MARIJUANA PRODUCT SOLD.
  2. A PRODUCT THAT IS SUBJECT TO THE TAX IMPOSED BY THIS SECTION MAY NOT BE BUNDLED WITH A PRODUCT OR SERVICE THAT IS NOT SUBJECT TO THE TAX IMPOSED BY THIS SECTION.
  3. NOTWITHSTANDING SECTION 42-3102, THE DEPARTMENT SHALL DEPOSIT, PURSUANT TO SECTIONS 35-146 AND 35-147, MONIES LEVIED AND COLLECTED PURSUANT TO THIS SECTION IN THE MARIJUANA FUND ESTABLISHED BY SECTION 36-2868.

42-3383.  Return and payment by marijuana retailer; penalty; interest

  1. EVERY MARIJUANA RETAILER IN THIS STATE SHALL PAY THE TAX DUE UNDER THIS ARTICLE TO THE DEPARTMENT MONTHLY AND SHALL PREPARE ON THE FORM PRESCRIBED BY THE DEPARTMENT A SWORN RETURN FOR EACH MONTH IN WHICH THE TAX ACCRUES.
  2. A MARIJUANA RETAILER WHO FAILS TO PAY THE TAX PRESCRIBED BY THIS ARTICLE WITHIN TEN DAYS AFTER THE DATE THE PAYMENT BECOMES DUE IS SUBJECT TO AND SHALL PAY A PENALTY DETERMINED UNDER SECTION 42-1125 PLUS INTEREST AT THE RATE DETERMINED PURSUANT TO SECTION 42-1123 FROM THE TIME THE TAX WAS DUE AND PAYABLE UNTIL PAID. THE DEPARTMENT MAY WAIVE ANY PENALTY OR INTEREST IF IT DETERMINES THAT THE MARIJUANA RETAILER HAS MADE A GOOD FAITH ATTEMPT TO COMPLY WITH THE REQUIREMENTS OF THIS ARTICLE.

42-3384.  Disposition of revenue

ALL TAXES AND PENALTIES COLLECTED PURSUANT TO THIS ARTICLE SHALL BE DEPOSITED, PURSUANT TO SECTIONS 35-146 AND 35-147, IN THE MARIJUANA FUND ESTABLISHED BY SECTION 36-2868.

42-3385.  Rules

NOT LATER THAN SIX MONTHS AFTER THE EFFECTIVE DATE OF THIS ARTICLE, THE DEPARTMENT SHALL ADOPT RULES THAT ARE NOT IN CONFLICT WITH TITLE 36, CHAPTER 28.2 AND PURSUANT TO TITLE 41, CHAPTER 6 THAT ARE NECESSARY OR CONVENIENT FOR THE ENFORCEMENT OF THIS ARTICLE, INCLUDING THE ESTABLISHMENT OF A PROCESS FOR THE PAYMENT, COLLECTION AND ENFORCEMENT OF THE TAX LEVIED UNDER THIS ARTICLE. THE RULES MAY NOT PROHIBIT THE OPERATION OF MARIJUANA ESTABLISHMENTS, EITHER EXPRESSLY OR THROUGH REQUIREMENTS THAT MAKE THEIR OPERATION UNREASONABLY IMPRACTICABLE.

Sec. 5.  Title 43, chapter 1, article 1, Arizona Revised Statutes, is amended by adding section 43-108, to read:

43-108.  Subtraction from gross income for ordinary and necessary expenses of a marijuana establishment

NOTWITHSTANDING ANY LAW TO THE CONTRARY, IN COMPUTING ARIZONA ADJUSTED

GROSS INCOME OR ARIZONA TAXABLE INCOME FOR A CORPORATION, ALL ORDINARY AND NECESSARY EXPENSES PAID OR INCURRED DURING THE TAXABLE YEAR IN CARRYING ON A TRADE OR BUSINESS AS A MARIJUANA ESTABLISHMENT SHALL BE SUBTRACTED FROM ARIZONA GROSS INCOME TO THE EXTENT NOT ALREADY EXCLUDED FROM ARIZONA GROSS INCOME OR ARIZONA TAXABLE INCOME.

Sec. 6.  Title 13, chapter 34, section 13-3401, Arizona Revised Statutes, is amended to read:

13-3401.  Definitions

In this chapter, unless the context otherwise requires:

  1.   “Administer” means to apply, inject or facilitate the inhalation or ingestion of a substance to the body of a person.
  2.   “Amidone” means any substance identified chemically as (4‑4‑diphenyl‑6‑dimethylamine‑heptanone‑3), or any salt of such substance, by whatever trade name designated.
  3.   “Board” means the Arizona state board of pharmacy.
  4.   “Cannabis” means the following substances under whatever names they may be designated:

(a)      The resin extracted from any part of a plant of the genus cannabis, and every compound, manufacture, salt, derivative, mixture or preparation of such plant, its seeds or its resin.  Cannabis does not include oil or cake made from the seeds of such plant, any fiber, compound, manufacture, salt, derivative, mixture or preparation of the mature stalks of such plant except the resin extracted from the stalks or any fiber, oil or cake or the sterilized seed of such plant which is incapable of germination.

(b)      Every compound, manufacture, salt, derivative, mixture or preparation of such resin or tetrahydrocannabinol.

  1.   “Coca leaves” means cocaine, its optical isomers and any compound, manufacture, salt, derivative, mixture or preparation of coca leaves, except derivatives of coca leaves which do not contain cocaine, ecgonine or substances from which cocaine or ecgonine may be synthesized or made.
  2.   “Dangerous drug” means the following by whatever official, common, usual, chemical or trade name designated:

(a)      Any material, compound, mixture or preparation that contains any quantity of the following hallucinogenic substances and their salts, isomers, whether optical, positional or geometric, and salts of isomers, unless specifically excepted, whenever the existence of such salts, isomers and salts of isomers is possible within the specific chemical designation:

(i)      Alpha-ethyltryptamine.

(ii)      Alpha-methyltryptamine.

(iii)      (2-aminopropyl) benzofuran (APB).

(iv)      (2-aminopropyl)-2, 3-dihydrobenzofuran (APDB).

(v)      Aminorex.

(vi)      4-bromo-2, 5-dimethoxyphenethylamine.

(vii)      4‑bromo‑2, 5‑dimethoxyamphetamine.

(viii)      Bufotenine.

(ix)      [3-(3-carbamoylphenyl)phenyl]N-cyclohexyl carbamate (URB-597).

(x)      Diethyltryptamine.

(xi)      2, 5‑dimethoxyamphetamine.

(xii)      Dimethyltryptamine.

(xiii)      5-methoxy-alpha-methyltryptamine.

(xiv)      5‑methoxy‑3, 4‑methylenedioxyamphetamine.

(xv)      4‑methyl‑2, 5‑dimethoxyamphetamine.

(xvi)      Ibogaine.

(xvii)      Lysergic acid amide.

(xviii)      Lysergic acid diethylamide.

(xix)      Mescaline.

(xx)      4-methoxyamphetamine.

(xxi)      Methoxymethylenedioxyamphetamine (MMDA).

(xxii)      Methylenedioxyamphetamine (MDA).

(xxiii)      3, 4‑methylenedioxymethamphetamine.

(xxiv)      3, 4‑methylenedioxy‑N‑ethylamphetamine.

(xxv)      N‑ethyl‑3‑piperidyl benzilate (JB‑318).

(xxvi)      N‑hydroxy‑3, 4‑methylenedioxyamphetamine.

(xxvii)      N‑methyl‑3‑piperidyl benzilate (JB‑336).

(xxviii)     N-methyltryptamine mimetic substances that are any substances derived from N-methyltryptamine by any substitution at the nitrogen, any substitution at the indole ring, any substitution at the alpha carbon, any substitution at the beta carbon or any combination of the above.  N‑methyltryptamine mimetic substances do not include melatonin (5-methoxy-n-acetyltryptamine).  Substances in the N-methyltryptamine generic definition include AcO-DMT, Baeocystine, Bromo-DALT, DiPT, DMT, DPT, HO-DET, HO-DiPT, HO-DMT, HO-DPT, HO-MET, MeO-DALT, MeO-DET, MeO-DiPT, MeO-DMT, MeO-DPT, MeO‑NMT, MET, NMT and Norbufotenin.

(xxix)      N‑(1‑phenylcyclohexyl) ethylamine (PCE).

(xxx)      Nabilone.

(xxxi)      1‑(1‑phenylcyclohexyl) pyrrolidine (PHP).

(xxxii)      1‑(1‑(2‑thienyl)‑cyclohexyl) piperidine (TCP).

(xxxiii)      1‑(1‑(2‑thienyl)‑cyclohexyl) pyrrolidine.

(xxxiv)      Para‑methoxyamphetamine (PMA).

(xxxv)      Psilacetin.

(xxxvi)      Psilocybin.

(xxxvii)  Psilocyn.

(xxxviii) Synhexyl.

(xxxix)      Trifluoromethylphenylpiperazine (TFMPP).

(xl)      Trimethoxyamphetamine (TMA).

(xli)      1-pentyl-3-(naphthoyl)indole (JWH-018 and isomers).

(xlii)      1-butyl-3-(naphthoyl)indole (JWH-073 and isomers).

(xliii)      1-hexyl-3-(naphthoyl)indole (JWH-019 and isomers).

(xliv)      1-pentyl-3-(4-chloro naphthoyl)indole (JWH-398 and isomers).

(xlv)      1-(2-(4-(morpholinyl)ethyl))-3-(naphthoyl)indole (JWH-200 and isomers).

(xlvi)      1-pentyl-3-(methoxyphenylacetyl)indole (JWH-250 and isomers).

(xlvii)      (2-methyl-1-propyl-1H-indol-3-YL)-1-naphthalenyl-methanone (JWH‑015 and isomers).

(xlviii)      (6AR, 10AR)-9-(hydroxymethyl)-6,6-dimethyl-3-(2-methyloctan2-YL)-6a,7,10,10a-tetrahydrobenzo[c]chromen-1-ol) (HU-210).

(xlix)      5-(1,1-dimethylheptyl)-2-(3-hydroxycyclohexyl)-phenol

(CP 47,497 and isomers).

(l)      5-(1,1-dimethyloctyl)-2-(3-hydroxycyclohexyl)-phenol

(cannabicyclohexanol, CP-47,497 C8 homologue and isomers).

(b)      Any material, compound, mixture or preparation that contains any quantity of cannabimimetic substances and their salts, isomers, whether optical, positional or geometric, and salts of isomers, unless specifically excepted, whenever the existence of such salts, isomers and salts of isomers is possible within the specific chemical designation.  For the purposes of this subdivision, “cannabimimetic substances” means any substances within the following structural classes:

(i)      2‑(3-hydroxycyclohexyl)phenol with substitution at the 5-position of the phenolic ring by alkyl or alkenyl, whether or not substituted on the cyclohexyl ring to any extent. Substances in the 2‑(3‑hydroxycyclohexyl)phenol generic definition include CP‑47,497, CP‑47,497 C8-Homolog, CP‑55,940 and CP‑56,667.

(ii)      3-(naphthoyl)indole or 3-(naphthylmethane)indole by substitution at the nitrogen atom of the indole ring, whether or not further substituted on the indole ring to any extent, whether or not substituted on the naphthoyl or naphthyl ring to any extent.  Substances in the 3-(naphthoyl)indole generic definition include AM-678, AM-2201, JWH-004, JWH-007, JWH-009, JWH‑015, JWH-016, JWH-018, JWH-019, JWH-020, JWH-046, JWH-047, JWH-048, JWH‑049, JWH-050, JWH-070, JWH-071, JWH-072, JWH-073, JWH-076, JWH-079, JWH‑080, JWH-081, JWH-082, JWH-094, JWH-096, JWH-098, JWH-116, JWH-120, JWH‑122, JWH-148, JWH-149, JWH-175, JWH-180, JWH-181, JWH-182, JWH-184, JWH‑185, JWH-189, JWH-192, JWH-193, JWH-194, JWH-195, JWH-196, JWH-197, JWH‑199, JWH-200, JWH-210, JWH-211, JWH-212, JWH-213, JWH-234, JWH-235, JWH‑236, JWH-239, JWH-240, JWH-241, JWH-242, JWH-262, JWH-386, JWH-387, JWH‑394, JWH-395, JWH-397, JWH-398, JWH-399, JWH-400, JWH-412, JWH-413, JWH‑414 and JWH-415.

(iii)      3-(naphthoyl)pyrrole by substitution at the nitrogen atom of the pyrrole ring, whether or not further substituted in the pyrrole ring to any extent, whether or not substituted on the naphthoyl ring to any extent. Substances in the 3-(naphthoyl)pyrrole generic definition include JWH-030, JWH-145, JWH-146, JWH-147, JWH-150, JWH-156, JWH-243, JWH-244, JWH-245, JWH‑246, JWH-292, JWH-293, JWH-307, JWH-308, JWH-346, JWH-348, JWH-363, JWH‑364, JWH-365, JWH-367, JWH-368, JWH-369, JWH-370, JWH-371, JWH-373 and JWH-392.

(iv)      1-(naphthylmethylene)indene by substitution of the 3-position of the indene ring, whether or not further substituted in the indene ring to any extent, whether or not substituted on the naphthyl ring to any extent. Substances in the 1-(naphthylmethylene)indene generic definition include JWH‑176.

(v)      3-(phenylacetyl)indole or 3-(benzoyl)indole by substitution at the nitrogen atom of the indole ring, whether or not further substituted in the indole ring to any extent, whether or not substituted on the phenyl ring to any extent. Substances in the 3-(phenylacetyl)indole generic definition include AM-694, AM‑2233, JWH-167, JWH-201, JWH-202, JWH-203, JWH-204, JWH‑205, JWH‑206, JWH‑207, JWH-208, JWH-209, JWH-237, JWH-248, JWH-250, JWH‑251, JWH‑253, JWH‑302, JWH-303, JWH-304, JWH-305, JWH-306, JWH-311, JWH‑312, JWH‑313, JWH‑314, JWH-315, JWH-316, RCS-4, RCS‑8, SR‑18 and SR‑19.

(vi)      3‑(cyclopropylmethanone) indole or 3-(cyclobutylmethanone) indole or 3‑(cyclopentylmethanone) indole by substitution at the nitrogen atom of the indole ring, whether or not further substituted in the indole ring to any extent, whether or not substituted on the cyclopropyl, cyclobutyl or cyclopentyl rings to any extent.   Substances in the 3‑(cyclopropylmethanone) indole generic definition include UR‑144, fluoro‑UR‑144 and XLR‑11.

(vii)      3‑adamantoylindole with substitution at the nitrogen atom of the indole ring, whether or not further substituted on the indole ring to any extent, whether or not substituted on the adamantyl ring to any extent.  Substances in the 3-adamantoylindole generic definition include AB‑001.

(viii)      N-(adamantyl)-indole-3-carboxamide with substitution at the nitrogen atom of the indole ring, whether or not further substituted on the indole ring to any extent, whether or not substituted on the adamantyl ring to any extent.  Substances in the N-(adamantyl)-indole-3-carboxamide generic definition include SDB-001.

(ix)      Indazole-3-carboxamide with substitution at a nitrogen atom of the indazole ring, whether or not further substituted on the indazole ring to any extent, whether or not substituted on the nitrogen of the carboxamide to any extent.  Substances in the indazole‑3‑carboxamide generic definition include AKB-48, fluoro‑AKB-48, APINACA, AB‑PINACA and AB‑FUBINACA.

(x)      8-quinolinyl-indole-3-carboxylate by substitution at the nitrogen atom of the indole ring, whether or not further substituted in the indole ring to any extent, whether or not substituted on the quinoline ring to any extent.  Substances in the 8-quinolinyl-indole-3-carboxylate generic definition include PB-22 and fluoro-PB-22.

(c)      Any material, compound, mixture or preparation that contains any quantity of the following substances and their salts, isomers, whether optical, positional or geometric, and salts of isomers having a potential for abuse associated with a stimulant effect on the central nervous system:

(i)      Alpha-pyrrolidinobutiophenone (Alpha-PBP).

(ii)      Alpha-pyrrolidinopropiophenone (Alpha-PPP).

(iii)      Alpha-pyrrolidinovalerophenone (Alpha-PVP).

(iv)      Alpha-pyrrolidinovalerothiophenone (Alpha-PVT).

(v)      Aminoindane mimetic substances that are derived from aminoindane by any substitution at the indane ring, replacement of the amino group with another N group or any combination of the above.  Substances in the aminoindane generic definition include MDAI, MMAI, IAI and AMMI.

(vi)      Amphetamine.

(vii)      Benzphetamine.

(viii)      Benzylpiperazine (BZP).

(ix)      Beta-keto-n‑methylbenzodioxolylbutanamine (Butylone).

(x)      Beta-keto-n‑methylbenzodioxolylpentanamine (Pentylone).

(xi)      Butorphanol.

(xii)      Cathine ((+)‑norpseudoephedrine).

(xiii)      Cathinomimetic substances that are any substances derived from cathinone, (2-amino-1-phenyl-1-propanone) by any substitution at the phenyl ring, any substitution at the 3 position, any substitution at the nitrogen atom or any combination of the above substitutions.

(xiv)      Cathinone.

(xv)      2-(4-Chloro-2,5-dimethoxyphenyl)ethanamine (2C-C).

(xvi)      Chlorphentermine.

(xvii)      Clortermine.

(xviii)      Diethylpropion.

(xix)      Dihydro-5H-indeno-(5,6-d)-1,3-dioxol-6-amine) (MDAI).

(xx)      2-(2,5-Dimethoxy-4-ethylphenyl)ethanamine (2C-E).

(xxi)      2-(2,5-Dimethoxy-4-methylphenyl)ethanamine (2C-D).

(xxii)      2-(2,5-Dimethoxy-4-nitro-phenyl)ethanamine (2C-N).

(xxiii)      2-(2,5-Dimethoxy-4-(n)-propylphenyl)ethanamine (2C-P).

(xxiv)      2-(2,5-Dimethoxyphenyl)ethanamine (2C-H).

(xxv)      Dimethylcathinone (Metamfepramone).

(xxvi)      Ethcathinone.

(xxvii)      2‑[4‑(Ethylthio)-2,5-dimethoxyphenyl]ethanamine (2C‑T‑2).

(xxviii)      Fencamfamin.

(xxix)      Fenethylline.

(xxx)      Fenproporex.

(xxxi)      Fluoroamphetamine.

(xxxii)      Fluoromethamphetamine.

(xxxiii)      Fluoromethcathinone.

(xxxiv)      2-(4-Iodo-2,5-dimethoxyphenyl)ethanamine (2C-I).

(xxxv)      2-[4-(Isopropylthio)-2,5-dimethoxyphenyl]ethanamine (2C-T-4).

(xxxvi)      Mazindol.

(xxxvii)  Mefenorex.

(xxxviii) Methamphetamine.

(xxxix)      Methcathinone.

(xl)      Methiopropamine.

(xli)      Methoxy-alpha-pyrrolidinopropiophenone (MOPPP).

(xlii)      Methoxymethcathinone (methedrone).

(xliii)      Methoxyphenethylamine mimetic substances that are any substances derived from 2, 5-dimethoxy-phenethylamine by any substitution at the phenyl ring, any substitution at the nitrogen atom, any substitutions at the carbon atoms of the ethylamine, or any combination of the above substitutions.

(xliv)      4‑methylaminorex.

(xlv)      Methyl-a-pyrrolidinobutiophenone (MPBP).

(xlvi)      Methylenedioxy-alphapyrrolidinopropiophenone (MDPPP).

(xlvii)      Methylenedioxyethcathinone (Ethylone).

(xlviii)      Methylenedioxymethcathinone (Methylone).

(xlix)      Methylenedioxypyrovalerone (MDPV).

(l)      Methylmethcathinone (Mephedrone).

(li)      Methylphenidate.

(lii)      Modafinil.

(liii)      Naphthylpyrovalerone (Naphyrone).

(liv)      N‑ethylamphetamine.

(lv)      N, N‑dimethylamphetamine.

(lvi)      Pemoline.

(lvii)      Phendimetrazine.

(lviii)      Phenmetrazine.

(lix)      Phentermine.

(lx)      Pipradol.

(lxi)      Propylhexedrine.

(lxii)      Pyrovalerone.

(lxiii)      Sibutramine.

(lxiv)      Spa ((-)‑1‑dimethylamino‑1,2‑diphenylethane).

(d)      Any material, compound, mixture or preparation that contains any quantity of the following substances having a potential for abuse associated with a depressant effect on the central nervous system:

(i)      Any substance which contains any quantity of a derivative of barbituric acid, or any salt of a derivative of barbituric acid, unless specifically excepted.

(ii)      Alprazolam.

(iii)      Bromazepam.

(iv)      Camazepam.

(v)      Carisoprodol.

(vi)      Chloral betaine.

(vii)      Chloral hydrate.

(viii)      Chlordiazepoxide.

(ix)      Chlorhexadol.

(x)      Clobazam.

(xi)      Clonazepam.

(xii)      Clorazepate.

(xiii)      Clotiazepam.

(xiv)      Cloxazolam.

(xv)      Delorazepam.

(xvi)      Diazepam.

(xvii)      Dichloralphenazone.

(xviii)      Estazolam.

(xix)      Ethchlorvynol.

(xx)      Ethinamate.

(xxi)      Ethyl loflazepate.

(xxii)      Fenfluramine.

(xxiii)      Fludiazepam.

(xxiv)      Flunitrazepam.

(xxv)      Flurazepam.

(xxvi)      Gamma hydroxy butyrate.

(xxvii)      Glutethimide.

(xxviii)      Halazepam.

(xxix)      Haloxazolam.

(xxx)      Hydroxyphencyclidine (HO-PCP).

(xxxi)      Ketamine.

(xxxii)      Ketazolam.

(xxxiii)      Loprazolam.

(xxxiv)      Lorazepam.

(xxxv)      Lormetazepam.

(xxxvi)      Lysergic acid.

(xxxvii)     Mebutamate.

(xxxviii)    Mecloqualone.

(xxxix)      Medazepam.

(xl)      Meprobamate.

(xli)      Methaqualone.

(xlii)      Methohexital.

(xliii)      2-(methoxyphenyl)-2-(ethylamino)cyclohexanone(Methoxetamine).

(xliv)      2-(methoxyphenyl)-2-(methylamino)cyclohexanone(Methoxyketamine).

(xlv)      Methoxyphencyclidine(MeO-PCP).

(xlvi)      Methyprylon.

(xlvii)      Midazolam.

(xlviii)      Nimetazepam.

(xlix)      Nitrazepam.

(l)      Nordiazepam.

(li)      Oxazepam.

(lii)      Oxazolam.

(liii)      Paraldehyde.

(liv)      Petrichloral.

(lv)      Phencyclidine (PCP).

(lvi)      Phencyclidine mimetic substances that are any substances derived from phenylcyclohexylpiperidine by any substitution at the phenyl ring, any substitution at the piperidine ring, any substitution at the cyclohexyl ring, any replacement of the phenyl ring or any combination of the above.  Substances in the phenylcyclohexylpiperidine generic definition include Amino‑PCP, BCP, Bromo‑PCP, BTCP, Chloro‑PCP, Fluoro‑PCP, HO‑PCP, MeO‑PCP, Methyl‑PCP, Nitro‑PCP, Oxo‑PCP, PCE, PCM, PCPY, TCP and TCPY.

(lvii)      Pinazepam.

(lviii)      Prazepam.

(lix)      Scopolamine.

(lx)      Sulfondiethylmethane.

(lxi)      Sulfonethylmethane.

(lxii)      Sulfonmethane.

(lxiii)      Quazepam.

(lxiv)      Temazepam.

(lxv)      Tetrazepam.

(lxvi)      Tiletamine.

(lxvii)      Triazolam.

(lxviii)      Zaleplon.

(lxix)      Zolazepam.

(lxx)      Zolpidem.

(e)      Any material, compound, mixture or preparation that contains any quantity of the following anabolic steroids and their salts, isomers or esters:

(i)      Boldenone.

(ii)      Clostebol (4‑chlorotestosterone).

(iii)      Dehydrochloromethyltestosterone.

(iv)      Drostanolone.

(v)      Ethylestrenol.

(vi)      Fluoxymesterone.

(vii)      Formebulone (formebolone).

(viii)      Mesterolone.

(ix)      Methandriol.

(x)      Methandrostenolone (methandienone).

(xi)      Methenolone.

(xii)      Methyltestosterone.

(xiii)      Mibolerone.

(xiv)      Nandrolone.

(xv)      Norethandrolon.

(xvi)      Oxandrolone.

(xvii)      Oxymesterone.

(xviii)      Oxymetholone.

(xix)      Stanolone (4‑dihydrotestosterone).

(xx)      Stanozolol.

(xxi)      Testolactone.

(xxii)      Testosterone.

(xxiii)      Trenbolone.

  1.   “Deliver” means the actual, constructive or attempted exchange from one person to another, whether or not there is an agency relationship.
  2.   “Director” means the director of the department of health services.
  3.   “Dispense” means distribute, leave with, give away, dispose of or deliver.
  4.   “Drug court program” means a program that is established pursuant to section 13‑3422 by the presiding judge of the superior court in cooperation with the county attorney in a county for the purpose of prosecuting, adjudicating and treating drug dependent persons who meet the criteria and guidelines for entry into the program that are developed and agreed on by the presiding judge and the prosecutor.
  5.   “Drug dependent person” means a person who is using a substance that is listed in paragraph 6, 19, 20, 21 or 28 of this section and who is in a state of psychological or physical dependence, or both, arising from the use of that substance.
  6.   “Federal act” has the same meaning prescribed in section 32‑1901.
  7.   “Isoamidone” means any substance identified chemically as (4‑4‑diphenyl‑5-methyl‑6-dimethylaminohexanone‑3), or any salt of such substance, by whatever trade name designated.
  8.   “Isonipecaine” means any substance identified chemically as (1‑methyl‑4‑phenyl‑piperidine‑4‑carboxylic acid ethyl ester), or any salt of such substance, by whatever trade name designated.
  9.   “Ketobemidone” means any substance identified chemically as (4‑(3‑hydroxyphenyl)‑1‑methyl‑4‑piperidylethyl ketone hydrochloride), or any salt of such substance, by whatever trade name designated.
  10.   “Licensed” or “permitted” means authorized by the laws of this state to do certain things.
  11.   “Manufacture” means produce, prepare, propagate, compound, mix or process, directly or indirectly, by extraction from substances of natural origin or independently by means of chemical synthesis, or by a combination of extraction and chemical synthesis.  Manufacture includes any packaging or repackaging or labeling or relabeling of containers.  Manufacture does not include any producing, preparing, propagating, compounding, mixing, processing, packaging or labeling done in conformity with applicable state and local laws and rules by a licensed practitioner incident to and in the course of his licensed practice.
  12.   “Manufacturer” means a person who manufactures a narcotic or dangerous drug or other substance controlled by this chapter.
  13.   “Marijuana” means all parts of any plant of the genus cannabis, from which the resin has not been extracted, whether growing or not, and the seeds of such plant.  Marijuana does not include the mature stalks of such plant or the sterilized seed of such plant which is incapable of germination.
  14.   “Narcotic drugs” means the following, whether of natural or synthetic origin and any substance neither chemically nor physically distinguishable from them:

(a)      Acetyl‑alpha-methylfentanyl.

(b)      Acetylmethadol.

(c)      Alfentanil.

(d)      Allylprodine.

(e)      Alphacetylmethadol.

(f)      Alphameprodine.

(g)      Alphamethadol.

(h)      Alpha‑methylfentanyl.

(i)      Alpha‑methylthiofentanyl.

(j)      Alphaprodine.

(k)      Amidone (methadone).

(l)      Anileridine.

(m)      Benzethidine.

(n)      Benzylfentanyl.

(o)      Betacetylmethadol.

(p)      Beta‑hydroxyfentanyl.

(q)      Beta‑hydroxy‑3‑methylfentanyl.

(r)      Betameprodine.

(s)      Betamethadol.

(t)      Betaprodine.

(u)      Bezitramide.

(v)      Buprenorphine and its salts.

(w)      Cannabis.

(x)      Carfentanil.

(y)      Clonitazene.

(z)      Coca leaves.

(aa)      Dextromoramide.

(bb)      Dextropropoxyphene.

(cc)      Diampromide.

(dd)      Diethylthiambutene.

(ee)      Difenoxin.

(ff)      Dihydrocodeine.

(gg)      Dimenoxadol.

(hh)      Dimepheptanol.

(ii)      Dimethylthiambutene.

(jj)      Dioxaphetyl butyrate.

(kk)      Diphenoxylate.

(ll)      Dipipanone.

(mm)      Ethylmethylthiambutene.

(nn)      Etonitazene.

(oo)      Etoxeridine.

(pp)      Fentanyl.

(qq)      Fentanyl mimetic substances that are any substances derived from fentanyl by any substitution in the phenethyl group, any substitution in the piperidine ring, any substitution in the aniline ring, any replacement of the phenyl portion of the phenethyl group, any replacement of the N-propionyl group or any combination of the above.

(rr)      Furethidine.

(ss)      Hydroxypethidine.

(tt)      Isoamidone (isomethadone).

(uu)      Pethidine (meperidine).

(vv)      Ketobemidone.

(ww)      Levomethorphan.

(xx)      Levomoramide.

(yy)      Levophenacylmorphan.

(zz)      Levorphanol.

(aaa)      Metazocine.

(bbb)      3‑methylfentanyl.

(ccc)      1‑methyl‑4‑phenyl‑4‑propionoxypiperidine (MPPP).

(ddd)      3‑methylthiofentanyl.

(eee)      Morpheridine.

(fff)      Noracymethadol.

(ggg)      Norlevorphanol.

(hhh)      Normethadone.

(iii)      Norpipanone.

(jjj)      Opium.

(kkk)      Para‑fluorofentanyl.

(lll)      Pentazocine.

(mmm)      Phenadoxone.

(nnn)      Phenampromide.

(ooo)      Phenazocine.

(ppp)      1‑(2‑phenethyl)‑4-phenyl‑4‑acetoxypiperidine (PEPAP).

(qqq)      Phenomorphan.

(rrr)      Phenoperidine.

(sss)      Piminodine.

(ttt)      Piritramide.

(uuu)      Proheptazine.

(vvv)      Properidine.

(www)      Propiram.

(xxx)      Racemethorphan.

(yyy)      Racemoramide.

(zzz)      Racemorphan.

(aaaa)      Remifentanil.

(bbbb)      Sufentanil.

(cccc)      Thenylfentanyl.

(dddd)      Thiofentanyl.

(eeee)      Tilidine.

(ffff)      Trimeperidine.

  1.   “Opium” means any compound, manufacture, salt, isomer, salt of isomer, derivative, mixture or preparation of the following, but does not include apomorphine or any of its salts:

(a)      Acetorphine.

(b)      Acetyldihydrocodeine.

(c)      Benzylmorphine.

(d)      Codeine.

(e)      Codeine methylbromide.

(f)      Codeine‑N‑oxide.

(g)      Cyprenorphine.

(h)      Desomorphine.

(i)      Dihydromorphine.

(j)      Drotebanol.

(k)      Ethylmorphine.

(l)      Etorphine.

(m)      Heroin.

(n)      Hydrocodone.

(o)      Hydromorphinol.

(p)      Hydromorphone.

(q)      Levo-alphacetylmethadol.

(r)      Methyldesorphine.

(s)      Methyldihydromorphine.

(t)      Metopon.

(u)      Morphine.

(v)      Morphine methylbromide.

(w)      Morphine methylsulfonate.

(x)      Morphine‑N‑oxide.

(y)      Myrophine.

(z)      Nalorphine.

(aa)      Nicocodeine.

(bb)      Nicomorphine.

(cc)      Normorphine.

(dd)      Oxycodone.

(ee)      Oxymorphone.

(ff)      Pholcodine.

(gg)      Thebacon.

(hh)      Thebaine.

  1.   “Ordinary ephedrine, pseudoephedrine, (-)‑norpseudoephedrine or phenylpropanolamine product” means a product that contains ephedrine, pseudoephedrine, (-)‑norpseudoephedrine or phenylpropanolamine and that is all of the following:

(a)      Approved for sale under the federal act.

(b)      Labeled, advertised and marketed only for an indication that is approved by the federal food and drug administration.

(c)      Either:

(i)      A nonliquid that is sold in package sizes of not more than three grams of ephedrine, pseudoephedrine, (-)‑norpseudoephedrine or phenlypropanolamine and that is packaged in blister packs containing not more than two dosage units or, if the use of blister packs is technically infeasible, that is packaged in unit dose packets or pouches.

(ii)      A liquid that is sold in package sizes of not more than three grams of ephedrine, pseudoephedrine, (-)‑norpseudoephedrine or phenylpropanolamine.

  1.   “Peyote” means any part of a plant of the genus lophophora, known as the mescal button.
  2.   “Pharmacy” means a licensed business where drugs are compounded or dispensed by a licensed pharmacist.
  3.   “Practitioner” means a person licensed to prescribe and administer drugs.
  4.   “Precursor chemical I” means any material, compound, mixture or preparation which contains any quantity of the following substances and their salts, optical isomers or salts of optical isomers:

(a)      N‑acetylanthranilic acid.

(b)      Anthranilic acid.

(c)      Ephedrine.

(d)      Ergotamine.

(e)      Isosafrole.

(f)      Lysergic acid.

(g)      Methylamine.

(h)      N‑ethylephedrine.

(i)      N‑ethylpseudoephedrine.

(j)      N‑methylephedrine.

(k)      N‑methylpseudoephedrine.

(l)      Norephedrine.

(m)     (-)‑Norpseudoephedrine.

(n)      Phenylacetic acid.

(o)      Phenylpropanolamine.

(p)      Piperidine.

(q)      Pseudoephedrine.

  1.   “Precursor chemical II” means any material, compound, mixture or preparation which contains any quantity of the following substances and their salts, optical isomers or salts of optical isomers:

(a)      4‑cyano‑2‑dimethylamino-4, 4‑diphenyl butane.

(b)      4‑cyano-1‑methyl‑4‑phenylpiperidine.

(c)      Chlorephedrine.

(d)      Chlorpseudoephedrine.

(e)      Ethyl‑4‑phenylpiperidine‑4‑carboxylate.

(f)      2‑methyl‑3‑morpholino‑1, 1‑diphenylpropane‑carboxylic acid.

(g)      1‑methyl‑4‑phenylpiperidine‑4‑carboxylic acid.

(h)      N‑formyl amphetamine.

(i)      N‑formyl methamphetamine.

(j)      Phenyl‑2‑propanone.

(k)      1‑piperidinocyclohexane carbonitrile.

(l)      1‑pyrrolidinocyclohexane carbonitrile.

  1.   “Prescription‑only drug” does not include a dangerous drug or narcotic drug but means:

(a)      Any drug which because of its toxicity or other potentiality for harmful effect, or the method of its use, or the collateral measures necessary to its use, is not generally recognized among experts, qualified by scientific training and experience to evaluate its safety and efficacy, as safe for use except by or under the supervision of a medical practitioner.

(b)      Any drug that is limited by an approved new drug application under the federal act or section 32‑1962 to use under the supervision of a medical practitioner.

(c)      Every potentially harmful drug, the labeling of which does not bear or contain full and adequate directions for use by the consumer.

(d)      Any drug required by the federal act to bear on its label the legend “Caution:  Federal law prohibits dispensing without prescription” or “Rx only”.

  1.   “Produce” means grow, plant, cultivate, harvest, dry, process or prepare for sale.
  2.   “Regulated chemical” means the following substances in bulk form that are not a useful part of an otherwise lawful product:

(a)      Acetic anhydride.

(b)      Hypophosphorous acid.

(c)      Iodine.

(d)      Sodium acetate.

(e)      Red phosphorus.

(f)      Gamma butyrolactone (GBL).

(g)      1, 4‑butanediol.

(h)      Butyrolactone.

(i)      1, 2 butanolide.

(j)      2‑oxanalone.

(k)      Tetrahydro‑2‑furanone.

(l)      Dihydro‑2(3H)‑furanone.

(m)      Tetramethylene glycol.

  1.   “Retailer” means either:

(a)      A person other than a practitioner who sells any precursor chemical or regulated chemical to another person for purposes of consumption and not resale, whether or not the person possesses a permit issued pursuant to title 32, chapter 18.

(b)      A person other than a manufacturer or wholesaler who purchases, receives or acquires more than twenty-four grams of a precursor chemical.

  1.   “Sale” or “sell” means an exchange for anything of value or advantage, present or prospective.
  2.   “Sale for personal use” means the retail sale for a legitimate medical use in a single transaction to an individual customer, to an employer for dispensing to employees from first aid kits or medicine chests or to a school for administration pursuant to section 15‑344.
  3.   “Scientific purpose” means research, teaching or chemical analysis.
  4.   “Suspicious transaction” means a transaction to which any of the following applies:

(a)      A report is required under the federal act.

(b)      The circumstances would lead a reasonable person to believe that any person is attempting to possess a precursor chemical or regulated chemical for the purpose of unlawful manufacture of a dangerous drug or narcotic drug, based on such factors as the amount involved, the method of payment, the method of delivery and any past dealings with any participant.

(c)      The transaction involves payment for precursor or regulated chemicals in cash or money orders in a total amount of more than two hundred dollars.

(d)      The transaction involves a sale, a transfer or furnishing to a retailer for resale without a prescription of ephedrine, pseudoephedrine, (‑)‑norpseudoephedrine or phenylpropanolamine that is not an ordinary ephedrine, pseudoephedrine, (-)‑norpseudoephedrine or phenylpropanolamine product.

  1.   “Threshold amount” means a weight, market value or other form of measurement of an unlawful substance as follows:

(a)      One gram of heroin.

(b)      Nine grams of cocaine.

(c)      Seven hundred fifty milligrams of cocaine base or hydrolyzed cocaine.

(d)      Four grams or 50 milliliters of PCP.

(e)      Nine grams of methamphetamine, including methamphetamine in liquid suspension.

(f)      Nine grams of amphetamine, including amphetamine in liquid suspension.

(g)      One‑half milliliter of lysergic acid diethylamide, or in the case of blotter dosage units fifty dosage units.

(h)      Two pounds of marijuana.

(i)      For any combination consisting solely of those unlawful substances listed in subdivisions (a) through (h) of this paragraph, an amount equal to or in excess of the threshold amount, as determined by the application of section 13‑3420.

(j)      For any unlawful substance not listed in subdivisions (a) through (h) of this paragraph or any combination involving any unlawful substance not listed in subdivisions (a) through (h) of this paragraph, a value of at least one thousand dollars.

  1.   “Transfer” means furnish, deliver or give away.
  2.   “Vapor‑releasing substance containing a toxic substance” means a material which releases vapors or fumes containing any of the following:

(a)      Ketones, including acetone, methyl ethyl ketone, mibk, miak, isophorone and mesityl oxide.

(b)      Hydrocarbons, including propane, butane, pentane, hexane, heptane and halogenated hydrocarbons.

(c)      Ethylene dichloride.

(d)      Pentachlorophenol.

(e)      Chloroform.

(f)      Methylene chloride.

(g)      Trichloroethylene.

(h)      Difluoroethane.

(i)      Tetrafluoroethane.

(j)      Aldehydes, including formaldehyde.

(k)      Acetates, including ethyl acetate and butyl acetate.

(l)      Aromatics, including benzene, toluene, xylene, ethylbenzene and cumene.

(m)      Alcohols, including methyl alcohol, ethyl alcohol, isopropyl alcohol, butyl alcohol and diacetone alcohol.

(n)      Ether, including Diethyl ether and petroleum ether.

(o)      Nitrous oxide.

(p)      Amyl nitrite.

(q)      Isobutyl nitrite.

  1.   “Weight” unless otherwise specified includes the entire weight of any mixture or substance that contains a detectable amount of an unlawful substance.  If a mixture or substance contains more than one unlawful substance, the weight of the entire mixture or substance is assigned to the unlawful substance that results in the greater offense.  If a mixture or substance contains lysergic acid diethylamide, the offense that results from the unlawful substance shall be based on the greater offense as determined by the entire weight of the mixture or substance or the number of blotter dosage units.  For the purposes of this paragraph, “mixture” means any combination of substances from which the unlawful substance cannot be removed without a chemical process.
  2. “Wholesaler” means a person who in the usual course of business lawfully supplies narcotic drugs, dangerous drugs, precursor chemicals or regulated chemicals that he himself has not produced or prepared, but not to a person for the purpose of consumption by the person, whether or not the wholesaler has a permit that is issued pursuant to title 32, chapter 18. Wholesaler includes a person who sells, delivers or dispenses a precursor chemical in an amount or under circumstances that would require registration as a distributor of precursor chemicals under the federal act.

Sec. 7.  Repeal of section 13-3405, Arizona Revised Statutes

  1. Section 13-3405, Arizona Revised Statutes, is repealed.

Sec. 8.  Title 13, chapter 34, section 13-3415, Arizona Revised Statutes, is amended to read:

13-3415.  Possession, manufacture, delivery and advertisement of drug paraphernalia; definitions; violation; classification; civil forfeiture; factors

  1. It is unlawful for any person to use, or to possess with intent to use, drug paraphernalia to plant, propagate, cultivate, grow, harvest, manufacture, compound, convert, produce, process, prepare, test, analyze, pack, repack, store, contain, conceal, inject, ingest, inhale or otherwise introduce into the human body a drug in violation of this chapter. Any person who violates this subsection is guilty of a class 6 felony.
  2. It is unlawful for any person to deliver, possess with intent to deliver or manufacture with intent to deliver drug paraphernalia knowing, or under circumstances where one reasonably should know, that it will be used to plant, propagate, cultivate, grow, harvest, manufacture, compound, convert, produce, process, prepare, test, analyze, pack, repack, store, contain, conceal, inject, ingest, inhale or otherwise introduce into the human body a drug in violation of this chapter. Any person who violates this subsection is guilty of a class 6 felony.
  3. It is unlawful for a person to place in a newspaper, magazine, handbill or other publication any advertisement knowing, or under circumstances where one reasonably should know, that the purpose of the advertisement, in whole or in part, is to promote the sale of objects designed or intended for use as drug paraphernalia. Any person who violates this subsection is guilty of a class 6 felony.
  4. All drug paraphernalia is subject to forfeiture pursuant to chapter 39 of this title. The failure to charge or acquittal of an owner or anyone in control of drug paraphernalia in violation of this chapter does not prevent a finding that the object is intended for use or designed for use as drug paraphernalia.
  5. In determining whether an object is drug paraphernalia, a court or other authority shall consider, in addition to all other logically relevant factors, the following:
  6. Statements by an owner or by anyone in control of the object concerning its use.
  7. Prior convictions, if any, of an owner, or of anyone in control of the object, under any state or federal law relating to any drug.
  8. The proximity of the object, in time and space, to a direct violation of this chapter.
  9. The proximity of the object to drugs.
  10. The existence of any residue of drugs on the object.
  11. Direct or circumstantial evidence of the intent of an owner, or of anyone in control of the object, to deliver it to persons whom he knows, or should reasonably know, intend to use the object to facilitate a violation of this chapter.
  12. Instructions, oral or written, provided with the object concerning its use.
  13. Descriptive materials accompanying the object which explain or depict its use.
  14. National and local advertising concerning its use.
  15. The manner in which the object is displayed for sale.
  16. Whether the owner, or anyone in control of the object, is a legitimate supplier of like or related items to the community, such as a licensed distributor or dealer of tobacco products.
  17. Direct or circumstantial evidence of the ratio of sales of the object to the total sales of the business enterprise.
  18. The existence and scope of legitimate uses for the object in the community.
  19. Expert testimony concerning its use.
  20. In this section, unless the context otherwise requires:
  21. “Drug” means any narcotic drug, dangerous drug, marijuana or peyote.
  22. “Drug paraphernalia” means all equipment, products and materials of any kind which are used, intended for use or designed for use in planting, propagating, cultivating, growing, harvesting, manufacturing, compounding, converting, producing, processing, preparing, testing, analyzing, packaging, repackaging, storing, containing, concealing, injecting, ingesting, inhaling or otherwise introducing into the human body a drug in violation of this chapter. It includes:

(a)     Kits used, intended for use or designed for use in planting, propagating, cultivating, growing or harvesting any species of plant which is a drug or from which a drug can be derived.

(b)     Kits used, intended for use or designed for use in manufacturing, compounding, converting, producing, processing or preparing drugs.

(c)     Isomerization devices used, intended for use or designed for use in increasing the potency of any species of plant which is a drug.

(d)     Testing equipment used, intended for use or designed for use in identifying or analyzing the strength, effectiveness or purity of drugs.

(e)     Scales and balances used, intended for use or designed for use in weighing or measuring drugs.

(f)     Diluents and adulterants, such as quinine hydrochloride, mannitol, mannite, dextrose and lactose, used, intended for use or designed for use in cutting drugs.

(g)     Separation gins and sifters used, intended for use or designed for use in removing twigs and seeds from, or in otherwise cleaning or refining, marijuana DRUGS.

(h)     Blenders, bowls, containers, spoons and mixing devices used, intended for use or designed for use in compounding drugs.

(i)     Capsules, balloons, envelopes and other containers used, intended for use or designed for use in packaging small quantities of drugs.

(j)     Containers and other objects used, intended for use or designed for use in storing or concealing drugs.

(k)     Hypodermic syringes, needles and other objects used, intended for use or designed for use in parenterally injecting drugs into the human body.

(l)     Objects used, intended for use or designed for use in ingesting, inhaling or otherwise introducing marijuana, a narcotic drug, a dangerous drug, hashish or hashish oil into the human body, such as:

(i)     Metal, wooden, acrylic, glass, stone, plastic or ceramic pipes with or without screens, permanent screens, hashish heads or punctured metal bowls.

(ii)     Water pipes.

(iii)     Carburetion tubes and devices.

(iv)     Smoking and carburetion masks.

(v)     Roach clips, meaning objects used to hold burning material, such as a marijuana cigarette, that has become too small or too short to be held in the hand.

(vi)     Miniature cocaine spoons and cocaine vials.

(vii)     Chamber pipes.

(viii)     Carburetor pipes.

(ix)     Electric pipes.

(x)     Air-driven pipes.

(xi)     Chillums.

(xii)     Bongs.

(xiii)     Ice pipes or chillers.

Sec. 9.  Initial terms of members of the marijuana commission

  1. Notwithstanding section 36-2853, Arizona Revised Statutes, the initial terms of members of the marijuana commission are:
  1. Two terms ending on the third Monday in January 2018.
  2. Three terms ending on the third Monday in January 2019.
  3. Two terms ending on the third Monday in January 2020.
  1. Notwithstanding section 36-2853, subsection C, a member who is appointed to the marijuana commission before March 1, 2018 is not required to be a controlling person of a marijuana establishment. Two members serving on the marijuana commission before March 1, 2018 must be principal officers of nonprofit medical marijuana dispensaries registered pursuant to Title 36, chapter 28.1, Arizona Revised Statutes.
  2. The governor shall make all subsequent appointments as prescribed by statute.

Sec. 10.  Exemption from rulemaking

For the purposes of this act, the department of revenue and the department of marijuana licenses and control are exempt from the rulemaking requirements of title 41, chapter 6, Arizona Revised Statutes, until January 1, 2018, except that each department shall provide the public with an opportunity to comment on proposed rules and shall publish otherwise exempted rules.

Sec. 11.  Lenity in criminal, civil, and administrative matters

If a provision of this act or its application to any person or circumstance is ambiguous or unclear, the court shall interpret the statutory language of the act in the manner that is most favorable to the defendant in any criminal, civil, or administrative proceeding.

Sec. 12.  Severability

If a provision of this act or its application to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of the act that can be given effect without the invalid provision or application, and to this end the provisions of this act are severable.