Bill Text: HI SB3278 | 2024 | Regular Session | Introduced


Bill Title: Relating To Medical Cannabis.

Spectrum: Partisan Bill (Democrat 5-0)

Status: (Introduced) 2024-01-29 - Referred to HHS/CPN, JDC/WAM. [SB3278 Detail]

Download: Hawaii-2024-SB3278-Introduced.html

THE SENATE

S.B. NO.

3278

THIRTY-SECOND LEGISLATURE, 2024

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

relating to medical cannabis.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 


     SECTION 1.  The purpose of this Act is to amend state laws governing the medical use of cannabis and medical cannabis dispensary system to ensure patient access and protect patient safety, especially as the State contemplates authorizing the adult use of cannabis.

     SECTION 2.  Section 329-121, Hawaii Revised Statutes, is amended as follows:

     1.  By adding a new definition to be appropriately inserted and to read:

     ""Cannabis plant" means a plant of the genus Cannabis that is greater than twelve vertical inches in height from where the base of the stalk emerges from the growth medium to the tallest point of the plant, or greater than twelve horizontal inches in width from the end of one branch to the end of another branch; provided that multiple stalks emanating from the same root ball or root system shall be considered part of the same single plant."

     2.  By amending the definition of "adequate supply" to read:  ""Adequate supply" means an amount of [medical] cannabis jointly possessed between the qualifying patient and the primary caregiver that is not more than is reasonably necessary to ensure the uninterrupted availability of cannabis for the purpose of alleviating the symptoms or effects of a qualifying patient's debilitating medical condition; provided that an "adequate supply" shall not exceed:  ten cannabis plants[, whether immature or mature,] and four ounces of usable cannabis at any given time[.], or an amount determined by the

certifying physician or certifying advanced practice registered nurse.  The [four ounces] adequate supply [of usable cannabis]

obtained from a dispensary shall include any combination of [usable] cannabis and manufactured cannabis products, as provided in chapter 329D, with the cannabis in the manufactured cannabis products being calculated using information provided pursuant to section 329D-9(c)."

     3.  By amending the definition of "advanced practice registered nurse" to read:

     ""Advanced practice registered nurse" means [an advanced practice registered nurse with prescriptive authority as described in section 457-8.6 and registered under section 329-32.] a person licensed to practice under chapter 457."

     4.  By amending the definitions of "debilitating medical condition", "medical use", and "physician" to read:

     ""Debilitating medical condition" means[:

     (1)  Cancer, glaucoma, lupus, epilepsy, multiple sclerosis, rheumatoid arthritis, positive status for human immunodeficiency virus, acquired immune deficiency syndrome, or the treatment of these conditions;

     (2)  A chronic or debilitating disease or medical condition or its treatment that produces one or more of the following:

          (A)  Cachexia or wasting syndrome;

          (B)  Severe pain;

          (C)  Severe nausea;

          (D)  Seizures, including those characteristic of epilepsy;

          (E)  Severe and persistent muscle spasms, including those characteristic of multiple sclerosis or Crohn's disease; or

          (F)  Post-traumatic stress disorder; or

     (3)  Any other medical condition approved by the department of health pursuant to administrative rules in response to a request from a physician or advanced practice registered nurse or potentially qualifying patient.] a medical condition for which the certifying physician or certifying advanced practice registered nurse has determined that the medical use of cannabis is appropriate.

     "Medical use" means the acquisition, possession, cultivation, use, distribution, or transportation of cannabis or paraphernalia relating to the administration of cannabis to alleviate the symptoms or effects of a qualifying patient's debilitating medical condition; provided that "medical use" does not include the cultivation or distribution of cannabis or paraphernalia by a qualifying out-of-state patient or the caregiver of a qualifying out-of-state patient.  For the purposes of "medical use"[,] for qualifying patients, the term "distribution" is limited to the transfer of cannabis and paraphernalia[.] between qualifying patients.

     "Physician" means a person who is licensed to practice under chapter 453 [and is licensed with authority to prescribe drugs and is registered under section 329-32].  "Physician" does not include a physician assistant as described in section 453-5.3."

     5.  By amending the definitions of "usable cannabis" and "written certification" to read:

     ""Usable cannabis" means the dried leaves and flowers of the plant genus Cannabis [family Moraceae], and any mixture or preparation thereof, including hash and rosin, that are appropriate for [the] each patient's medical use of cannabis.  "Usable cannabis" does not include the seeds, stalks, and roots of the plant.

     "Written certification" means the qualifying patient's medical records or a statement signed by a qualifying patient's physician or advanced practice registered nurse, stating that in the physician's or advanced practice registered nurse's professional opinion, the qualifying patient has a debilitating medical condition and the potential benefits of the medical use of cannabis would likely outweigh the health risks for the qualifying patient.  The department of health [may] shall require, through its rulemaking authority, that all written certifications comply with a designated form.  "Written certifications" are valid for one year from the time of signing[; provided that the department of health may allow for the validity of any written certification for three years if the qualifying patient's physician or advanced practice registered nurse states that the patient's debilitating medical condition is chronic in nature]."

     SECTION 3.  Section 329-122, Hawaii Revised Statutes, is amended as follows:

     1.  By amending subsections (c) and (d) to read:

     "(c)  Notwithstanding any law to the contrary, the medical use of cannabis within the State by a qualifying out-of-state patient aged eighteen years or older legally authorized to use cannabis for medical purposes in another state, a United States territory, or the District of Columbia shall be permitted only if the qualifying out-of-state patient:

     (1)  [Provides to the department of health a valid medical use of cannabis card with an explicit expiration date that has not yet passed from the issuing jurisdiction and a valid photographic identification card or driver's license issued by the same jurisdiction;] Possesses a valid registration card from another medical cannabis state;

     (2)  [Attests under penalty of law pursuant to section 710-1063 that the condition for which the qualifying out-of-state patient is legally authorized to use cannabis for medical purposes is a debilitating medical condition as defined in section 329-121;] Possesses valid government-issued identification; and

    [(3)  Provides consent for the department of health to obtain information from the qualifying out-of-state patient's certifying medical provider and from the entity that issued the medical cannabis card for the purpose of allowing the department of health to verify the information provided in the registration process;

     (4)  Pays the required fee for out-of-state registration to use cannabis for medical purposes;

     (5)  Registers with the department of health pursuant to section 329-123.5 to use cannabis for medical purposes;

     (6)  Receives a medical cannabis registry card from the department of health; and

     (7)] (3)  Abides by all laws relating to the medical use of cannabis, including not possessing an amount of cannabis that exceeds an adequate supply.

     (d)  Notwithstanding any law to the contrary, the medical use of cannabis by a qualifying out-of-state patient under eighteen years of age shall only be permitted if:

     (1)  The qualifying out-of-state patient and the caregiver of the qualifying out-of-state patient [provides the information required pursuant to subsection (c); and] possess a valid registration card from another medical cannabis state;

     (2)  The qualifying out-of-state patient and the caregiver of the qualifying out-of-state patient [consents in writing to:

          (A)  Allow the qualifying out-of-state patient's medical use of cannabis;

          (B)  Undertake the responsibility for managing the well-being of the qualifying out-of-state patient who is under eighteen years of age with respect to the medical use of cannabis; and

          (C)  Control the acquisition of the cannabis, the dosage, and the frequency of the medical use of cannabis by the qualifying out-of-state patient who is under eighteen years of age.] possess a valid government-issued identification; and

     (3)  The qualifying out-of-state patient and the caregiver of the qualifying out-of-state patient abide by all laws relating to the medical use of cannabis, including not possessing an amount of cannabis that exceeds an adequate supply."

     2.  By amending subsection (f) to read

     "(f)  For the purposes of this section, "transport" means the transportation of cannabis, usable cannabis, or any manufactured cannabis product between:

     (1)  A qualifying patient and the qualifying patient's primary caregiver;

     (2)  A qualifying out-of-state patient under eighteen years of age and the caregiver of a qualifying out-of-state patient;

     (3)  The production centers and the retail dispensing locations under a dispensary licensee's license;

     (4)  Dispensaries, to the extent authorized by section 329D-6(r); or

     (5)  A production center, retail dispensing location, qualifying patient, primary caregiver, qualifying out-of-state patient, or caregiver of a qualifying out-of-state patient and a certified laboratory for the purpose of laboratory testing; provided that a qualifying patient, primary caregiver, qualifying out-of-state patient, or caregiver of a qualifying out-of-state patient may only transport up to one gram of cannabis per test to a certified laboratory for laboratory testing and may only transport the product if the qualifying patient, primary caregiver, qualifying out-of-state patient, or caregiver of a qualifying out-of-state patient:

          (A)  Secures an appointment for testing at a certified laboratory;

          (B)  Obtains confirmation, which may be electronic, that includes the specific time and date of the appointment and a detailed description of the product and amount to be transported to the certified laboratory for the appointment; and

          (C)  Has the confirmation, which may be electronic, available during transport.

     For purposes of interisland transportation, "transport" of cannabis, usable cannabis, or any manufactured cannabis product, by any means is allowable only between dispensaries to the extent authorized by section 329D-6(r) and between a production center or retail dispensing location and a certified laboratory for the sole purpose of laboratory testing pursuant to section 329D-8, as permitted under section 329D-6(m) and subject to section 329D-6(j), [and] or by qualifying patients or qualifying out-of-state patients for their own personal use, with the understanding that state law and its protections do not apply outside of the jurisdictional limits of the State.  [Allowable transport pursuant to this section does not include interisland transportation by any means or for any purpose between a qualifying patient, primary caregiver, qualifying out-of-state patient, or caregiver of a qualifying out-of-state patient and any other entity or individual, including an individual who is a qualifying patient, primary caregiver, qualifying out-of-state patient, or caregiver of a qualifying out-of-state patient.]"

     SECTION 4.  Section 329-123, Hawaii Revised Statutes, is amended to read as follows:

     "§329-123  Registration requirements; qualifying patients; primary caregivers.  (a)  Physicians or advanced practice registered nurses who issue written certifications shall provide, in each written certification, the name, address, patient identification number, and other identifying information of the qualifying patient.  The department of health shall require, in rules adopted pursuant to chapter 91, that all written certifications comply with a designated form completed by or on behalf of a qualifying patient.  The form shall require information from the applicant, primary caregiver, and physician or advanced practice registered nurse as specifically required or permitted by this chapter.  The form shall require the [address of the location where the cannabis is grown] adequate supply determined by the certifying physician or certifying advanced practice registered nurse and shall appear on the registry card issued by the department of health.  The certifying physician or advanced practice registered nurse shall be required to have a bona fide physician-patient relationship or bona fide advanced practice registered nurse-patient relationship, as applicable, with the qualifying patient.  All current active medical cannabis permits shall be honored through their expiration date.

     (b)  Qualifying patients shall register with the department of health.  The registration shall be effective until the expiration of the [certificate issued by the department of health and signed by the physician or advanced practice registered nurse.] written certification.  Every qualifying patient shall provide sufficient identifying information to establish the personal identities of the qualifying patient and the primary caregiver.  Qualifying patients shall report changes in information within ten working days.  [Every] A qualifying patient [shall have only one primary caregiver at any given time.] may share a primary caregiver with nine other registered patients.  The department of health shall issue to the qualifying patient a registration certificate and may charge a fee for the certificate in an amount adopted by rules pursuant to chapter 91.

     (c)  Primary caregivers shall register with the department of health.  [Every] A primary caregiver [shall] may be responsible for the care of [only one qualifying patient] ten qualifying patients at any given time[, unless the primary caregiver is the parent, guardian, or person having legal custody of more than one minor qualifying patient, in which case the primary caregiver may be responsible for the care of more than one minor qualifying patient at any given time; provided that the primary caregiver is the parent, guardian, or person having legal custody of all of the primary caregiver's qualifying patients].  The department of health may permit registration of up to two primary caregivers for a minor qualifying patient; provided that both primary caregivers are the parent, guardian, or person having legal custody of the minor qualifying patient.

     (d)  Upon inquiry by a law enforcement agency, which inquiry may be made twenty-four hours a day, seven days a week, the department of health shall immediately verify whether the subject of the inquiry has registered with the department of health and may provide reasonable access to the registry information for official law enforcement purposes.

     (e)  This section shall not apply to [registration of] a qualifying out-of-state patient or a caregiver of a qualifying out-of-state patient."

     SECTION 5.  Section 329-125.5, Hawaii Revised Statutes, is amended to read as follows:

     "§329-125.5  Medical cannabis patient and caregiver protections.  (a)  No school shall refuse to enroll or otherwise penalize, and no landlord shall refuse to lease property to or otherwise penalize, a person solely for the person's status as a qualifying patient or primary caregiver in the medical cannabis program under this part, unless failing to do so would cause the school or landlord to lose a monetary or licensing-related benefit under federal law or regulation; provided that the qualifying patient or primary caregiver strictly complied with the requirements of this part; provided further that the qualifying patient or primary caregiver shall present a medical cannabis registry card or certificate and photo identification, to ensure that the qualifying patient or primary caregiver is validly registered with the department of health pursuant to section 329-123.

     (b)  For the purposes of medical care, including organ transplants, a registered qualifying patient's use of cannabis in compliance with this part shall be considered the equivalent of the use of any other medication under the direction of a physician and shall not constitute the use of an illicit substance or otherwise disqualify a registered qualifying patient from medical care.

     (c)  No qualifying patient or primary caregiver under this part shall be denied custody of, visitation with, or parenting time with a minor, and there shall be no presumption of neglect or child endangerment, for conduct allowed under this part; provided that this subsection shall not apply if the qualifying patient's or primary caregiver's conduct created a danger to the safety of the minor, as established by a preponderance of the evidence.

     (d)  Unless a failure to do so would cause the employer to lose a monetary or licensing-related benefit under a contract or federal law, an employer shall not discriminate against a person in hiring, termination, or any term or condition of employment, other than that contained in a collective bargaining agreement, if the discrimination is based upon either of the following:

     (1)  The person's status as a cardholder; or

     (2)  A registered qualifying patient's positive drug test for cannabis components or metabolites, unless the registered qualifying patient was impaired by cannabis during the hours of employment;

provided that nothing in this subsection shall abridge any existing right of an employer to send an employee for medical evaluation when the employer has safety concerns about the impairment of the employee; provided further that an employer may take adverse action against or discipline an employee who uses or possesses medical cannabis in the workplace and is impaired.

     (e)  In a potentially dangerous occupation, an employer may use a fit—for—duty test as a risk—based assessment tool for a

registered qualifying patient.

     (f)  No employer shall have any liability to any employee who is injured or killed during the performance of the employee's job if the employee's impairment by medical cannabis was the sole contributing factor to the employee's death or injury.

     [(d)] (g)  This section shall apply to qualifying patients[,] and primary caregivers[,] who are validly registered with the department of health, and qualifying out-of-state patients[,] and caregivers of qualifying out-of-state patients who are [validly registered with the department of health] recognized pursuant to this part and the administrative rules of the department of health."

     SECTION 6.  Section 329-126, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:

     "(b)  For purposes of this section, a bona fide physician-patient relationship may be established via telehealth, as defined in section 453-1.3(j), and a bona fide advanced practice registered nurse-patient relationship may be established via telehealth, as defined in section 457-2[; provided that treatment recommendations that include certifying a patient for the medical use of cannabis via telehealth shall be allowed only after an initial in-person consultation between the certifying physician or advanced practice registered nurse and the patient]."

     SECTION 7.  Section 329-130, Hawaii Revised Statutes, is amended to read as follows:

     "§329-130  Authorized sources of medical cannabis.  (a)  [After December 31, 2024, a] A qualifying patient shall obtain medical cannabis or manufactured cannabis products only:

     (1)  From a dispensary licensed pursuant to chapter 329D; provided that the cannabis shall be purchased and paid for at the time of purchase; or

     (2)  By cultivating cannabis in an amount that does not exceed an adequate supply for the qualifying patient, pursuant to section 329-122; provided that each location used to cultivate cannabis shall be used by no more than [five] ten qualifying patients[.]; provided further that more than ten qualifying patients may utilize the same grow site if the grow site can demonstrate an underserved need by local qualifying patients; provided further that qualifying patients registered to the same grow site may assist each other with the cultivation and processing of cannabis; provided further that the department shall provide patient education and conduct voluntary routine grow site inspections without law enforcement at grow sites with more than ten qualifying patients to ensure grow site compliance; provided further that the department shall adopt rules to implement this section.

[After December 31, 2024, no primary caregiver shall be authorized to cultivate cannabis for any qualifying patient.

     (b)  This section shall not apply to:

     (1)  A qualifying patient who is a minor or an adult lacking legal capacity and the primary caregiver is the parent, guardian, or person having legal custody of a qualifying patient described in this paragraph; or

     (2)  A qualifying patient on any island on which there is no medical cannabis dispensary licensed pursuant to chapter 329D.

     (c)] (b)  A qualifying out-of-state patient and a caregiver of a qualifying out-of-state patient shall be authorized to obtain cannabis for medical use only from retail dispensing locations of dispensaries licensed pursuant to chapter 329D."

     SECTION 8.  Section 329D-1, Hawaii Revised Statutes, is amended by amending the definition of "manufactured cannabis product" to read as follows:

     ""Manufactured cannabis product" means:

     (1)  Any capsule, lozenge, oil or oil extract, tincture, ointment or skin lotion, pill, or transdermal patch[, or pre-filled and sealed container used to aerosolize and deliver cannabis orally or by inhalation, such as an inhaler, nebulizer, or device that provides safe pulmonary administration, that has been manufactured using cannabis];

     (2)  Edible cannabis products; or

    [(3)  Pre-rolled cannabis flower products; or

     (4)] (3)  Any other products as specified by the department pursuant to section [329D-10(a)(11).] 329D-10(a)(10)."

     SECTION 9.  Section 329D-6, Hawaii Revised Statutes, is amended to read as follows:

     "§329D-6  Dispensary operations.  (a)  No person shall operate a dispensary, or engage in the production, manufacture, or sale of cannabis or manufactured cannabis products, unless the person has obtained a license from the department pursuant to this chapter.

     (b)  No dispensary licensee, its officers, employees, or agents shall provide written certification for the use of medical cannabis or manufactured cannabis products for any person.

     (c)  No person under the age of twenty-one shall be employed by a dispensary licensee.

     (d)  Notwithstanding any other law to the contrary, including sections 378-2 and 378-2.5, dispensaries:

     (1)  Shall deny employment to any individual who has been:

          (A)  Convicted of murder in any degree;

          (B)  Convicted of a class A or class B felony; or

          (C)  Convicted of a class C felony involving trafficking, distributing, or promoting a schedule I or II controlled substance other than cannabis within the last ten years; and

     (2)  May deny employment to any individual who has been convicted of a class C felony involving:

          (A)  Fraud, deceit, misrepresentation, embezzlement, or theft; or

          (B)  Endangering the welfare of a minor.

Employment under this chapter shall be exempt from section 378‑2(a)(1), as it relates to arrest and court record discrimination, and section 378-2.5.

     (e)  Retail dispensing locations shall not be open for retail sales before 8:00 a.m. or after 8:00 p.m., Hawaii-Aleutian Standard Time, Monday through Sunday.

     (f)  All dispensary facilities, including production centers and retail dispensing locations, shall be enclosed indoor facilities and shall maintain twenty-four hour security measures, including an alarm system, video monitoring and recording on the premises, and exterior lighting.  A dispensary licensee that intends to utilize, as a production center, an enclosed indoor facility that includes a roof that is partially or completely transparent or translucent, as provided under section 329D-1, shall notify the department of that intention before altering or constructing the facility.  Production centers shall remain locked at all times.  Retail dispensing locations shall remain locked at all times, other than business hours as authorized by subsection (e), and shall only be opened for authorized persons.

     (g)  In all dispensary facilities, only the licensee, if an individual, registered employees of the dispensary licensee, registered employees of a subcontracted production center or retail dispensing location, employees of a certified laboratory for testing purposes, state employees authorized by the director of health, and law enforcement and other government officials acting in their official capacity shall be permitted to touch or handle any cannabis or manufactured cannabis products, except that a qualifying patient, primary caregiver, qualifying out-of-state patient, or caregiver of a qualifying out-of-state patient may receive manufactured cannabis products at a retail dispensing location following completion of a sale.

     (h)  A dispensary shall provide the department with the address, tax map key number, and a copy of the premises lease, if applicable, of the proposed location of a production center allowed under a license for a county no later than thirty days before any medical cannabis or manufactured cannabis products being produced or manufactured at that production center.

     (i)  A dispensary shall provide the department with the address, tax map key number, and a copy of the premises lease, if applicable, of the proposed location of each retail dispensing location allowed under a license [no] not less than sixty days before opening for business.

     (j)  The department shall establish, maintain, and control a computer software tracking system that shall have real time, twenty-four-hour access to the data of all dispensaries.

     (1)  The computer software tracking system shall collect data relating to:

          (A)  The total amount of cannabis in possession of all dispensaries from either seed or immature plant state, including all plants that are derived from cuttings or cloning, until the cannabis, cannabis plants, or manufactured cannabis product is sold or destroyed pursuant to section 329D-7;

          (B)  The total amount of manufactured cannabis product inventory, including the equivalent physical weight of cannabis that is used to manufacture manufactured cannabis products, purchased by a qualifying patient, primary caregiver, qualifying out-of-state patient, and caregiver of a qualifying out-of-state patient from all retail dispensing locations in the State in any fifteen-day period;

          (C)  The amount of waste produced by each plant at harvest; and

          (D)  The transport of cannabis and manufactured cannabis products between production centers and retail dispensing locations and as authorized by subsection (r), including tracking identification issued by the tracking system, the identity of the person transporting the cannabis or manufactured cannabis products, and the make, model, and license number of the vehicle being used for the transport;

     (2)  The procurement of the computer software tracking system established pursuant to this subsection shall be exempt from chapter 103D; provided that:

          (A)  The department shall publicly solicit at least three proposals for the computer software tracking system; and

          (B)  The selection of the computer software tracking system shall be approved by the director of the department and the chief information officer; and

     (3)  Notwithstanding any other provision of this subsection to the contrary, once the department has authorized a licensed dispensary to commence sales of cannabis or manufactured cannabis products, if the department's computer software tracking system is inoperable or is not functioning properly, as an alternative to requiring dispensaries to temporarily cease operations, the department may implement an alternate tracking system that will enable a qualifying patient, primary caregiver, qualifying out-of-state patient, and caregiver of a qualifying out-of-state patient to purchase cannabis or manufactured cannabis products from a licensed dispensary on a temporary basis.  The department shall seek input regarding the alternate tracking system from medical cannabis licensees.  The alternate tracking system may operate as follows:

          (A)  The department may immediately notify all licensed dispensaries that the computer software tracking system is inoperable; and

          (B)  Once the computer software tracking system is operational and functioning to meet the requirements of this subsection, the department may notify all licensed dispensaries, and the alternate tracking system in this subsection shall be discontinued.

     (k)  A dispensary licensed pursuant to this chapter shall purchase, operate, and maintain a computer software tracking system that shall:

     (1)  Interface with the department's computer software tracking system established pursuant to subsection (j);

     (2)  Allow each licensed dispensary's production center to submit to the department in real time, by automatic identification and data capture, all cannabis, cannabis plants, and manufactured cannabis product inventory in possession of that dispensary from either seed or immature plant state, including all plants that are derived from cuttings or cloning, until the cannabis or manufactured cannabis product is sold or destroyed pursuant to section 329D-7;

     (3)  Allow the licensed dispensary's retail dispensing location to submit to the department in real time for the total amount of cannabis and manufactured cannabis product purchased by a qualifying patient, primary caregiver, qualifying out-of-state patient, and caregiver of a qualifying out-of-state patient from the dispensary's retail dispensing locations in the State in any fifteen day period; provided that the software tracking system shall impose an automatic stopper in real time, which cannot be overridden, on any further purchases of cannabis or manufactured cannabis products, if the maximum allowable amount of cannabis has already been purchased for the applicable fifteen day period; provided further that additional purchases shall not be permitted until the next applicable period; and

     (4)  Allow the licensed dispensary to submit all data required by this subsection to the department and permit the department to access the data if the department's computer software tracking system is not functioning properly and sales are made pursuant to the alternate tracking system under subsection (j).

     (l)  No free samples of cannabis or manufactured cannabis products shall be provided at any time, and no consumption of cannabis or manufactured cannabis products shall be permitted by customers on any dispensary premises[.]; provided that dispensaries shall make an accommodation for employees who are registered patients and must engage in the medical use of cannabis during working hours to relieve the symptoms of their debilitating medical condition; provided further that such accommodation shall only be allowed if impairment does not result at work.

     (m)  Except as authorized by subsection (r), a dispensary shall not transport cannabis or manufactured cannabis products to another county or another island; provided that this subsection shall not apply to the transportation of cannabis or any manufactured cannabis product solely for the purposes of laboratory testing pursuant to section 329D-8, and subject to subsection (j), if no certified laboratory is located in the county or on the island where the dispensary is located; provided further that a dispensary shall only transport samples of cannabis and manufactured cannabis products for laboratory testing for purposes of this subsection in an amount and manner prescribed by the department, in rules adopted pursuant to this chapter, and with the understanding that state law and its protections do not apply outside of the jurisdictional limits of the State.

     (n)  A dispensary [shall be prohibited from] may engage in the off-premises delivery of cannabis or manufactured cannabis products to a qualifying patient, or primary caregiver[,]; provided that such delivery shall only occur to the qualifying patient's or primary caregiver's residential address. A dispensary shall be prohibited from the off-premises delivery of cannabis or manufactured cannabis products to a qualifying out-of-state patient, or caregiver of a qualifying out-of-state patient.

     (o)  A dispensary shall not:

     (1)  Display cannabis or manufactured cannabis products in windows or in public view; or

     (2)  Post any signage other than one or two signs, each no greater than one thousand six hundred square inches bearing only the business or trade name in text without any pictures or illustrations; provided that if any applicable law or ordinance restricting outdoor signage is more restrictive, that law or ordinance shall govern.

     (p)  No cannabis or manufactured cannabis products shall be transported to, from, or within any federal fort or arsenal, national park or forest, any other federal enclave, or any other property possessed or occupied by the federal government.

     (q)  A dispensary licensed pursuant to this chapter shall be prohibited from providing written certification pursuant to section 329-122 for the use of medical cannabis for any person.

     (r)  The department may authorize a dispensary to purchase cannabis and manufactured cannabis products from another dispensary in a manner prescribed by the department by rules adopted pursuant to section 329D-27; provided that:

     (1)  The purchasing dispensary establishes to the  department's satisfaction that:

          (A)  The purchase is necessary to ensure that qualifying patients have continuous access to cannabis for medical use; or

          (B)  The cannabis and manufactured cannabis products are for medical, scientific, or other legitimate purposes approved by the State;

     (2)  The selling dispensary may transport no more than eight hundred ounces, or other amounts with prior approval by the department, of cannabis or manufactured cannabis products to the purchasing dispensary within a thirty-day period;

     (3)  The cannabis and manufactured cannabis products are transported between the dispensaries for medical, scientific, or other legitimate purposes approved by the State; and

     (4)  Nothing in this subsection shall relieve any dispensary of its responsibilities and obligations under this chapter and chapter 329.

     (s)  Dispensaries may sell viable cannabis seeds; provided that such seeds shall be produced in the State with the understanding that state law and its protections do not apply

outside of the jurisdictional limits of the State."

     SECTION 10.  Section 329D-7, Hawaii Revised Statutes, is amended to read as follows:

     "§329D-7  Medical cannabis dispensary rules.  The department shall establish standards with respect to:

     (1)  The number of medical cannabis dispensaries that shall be permitted to operate in the State;

     (2)  A fee structure, set by rules adopted pursuant to chapter 91, for:

          (A)  The submission of applications and renewals of licenses to dispensaries; provided that the department shall consider the market conditions in each county in determining the license renewal fee amounts;

          (B)  The submission of applications and renewals for each additional production center; and

          (C)  Dispensary-to-dispensary sales authorized by section 329D-6(r);

          provided that no designated fee shall increase by more than two and one-half per cent annually;

     (3)  Criteria and procedures for the consideration and selection, based on merit, of applications for licensure of dispensaries; provided that the criteria shall include but not be limited to an applicant's:

          (A)  Ability to operate a business;

          (B)  Financial stability and access to financial resources; provided that applicants for medical cannabis dispensary licenses shall provide documentation that demonstrates control of not less than $1,000,000 in the form of escrow accounts, letters of credit, surety bonds, bank statements, lines of credit or the equivalent to begin operating the dispensary;

          (C)  Ability to comply with the security requirements developed pursuant to paragraph (6);

          (D)  Capacity to meet the needs of qualifying patients and qualifying out-of-state patients;

          (E)  Ability to comply with criminal background check requirements developed pursuant to paragraph (8); and

          (F)  Ability to comply with inventory controls developed pursuant to paragraph (13);

     (4)  Specific requirements regarding annual audits and reports required from each production center and dispensary licensed pursuant to this chapter;

     (5)  Procedures for announced and unannounced inspections by the department or its agents of production centers and dispensaries licensed pursuant to this chapter; provided that inspections for license renewals shall be unannounced;

     (6)  Security requirements for the operation of production centers and retail dispensing locations; provided that, at a minimum, the following shall be required:

          (A)  For production centers:

               (i)  Video monitoring and recording of the premises; provided that recordings shall be retained for fifty days;

              (ii)  Fencing that surrounds the premises and that is sufficient to reasonably deter intruders and prevent anyone outside the premises from viewing any cannabis in any form;

             (iii)  An alarm system; and

              (iv)  Other reasonable security measures to deter or prevent intruders, as deemed necessary by the department; and

          (B)  For retail dispensing locations:

               (i)  Presentation of a valid government-issued photo identification and a valid identification as issued by the department pursuant to section 329-123 by a qualifying patient or caregiver, or section 329-123.5 by a qualifying out-of-state patient or caregiver of a qualifying out-of-state patient, upon entering the premises;

              (ii)  Video monitoring and recording of the premises; provided that recording shall be retained for fifty days;

             (iii)  An alarm system;

              (iv)  Exterior lighting; and

               (v)  Other reasonable security measures as deemed necessary by the department;

     (7)  Security requirements for the transportation of cannabis and manufactured cannabis products between production centers and retail dispensing locations and between a production center, retail dispensing location, qualifying patient, primary caregiver, qualifying out-of-state patient, or caregiver of a qualifying out-of-state patient and a certified laboratory, pursuant to section 329-122(f);

     (8)  Standards and criminal background checks to ensure the reputable and responsible character and fitness of all license applicants, licensees, employees, subcontractors and their employees, and prospective employees of medical cannabis dispensaries to operate a dispensary; provided that the standards, at a minimum, shall exclude from licensure or employment any person convicted of any felony;

     (9)  The training and certification of operators and employees of production centers and dispensaries;

    (10)  The types of manufactured cannabis products that dispensaries shall be authorized to manufacture and sell pursuant to sections 329D-9 and 329D-10;

    (11)  Laboratory standards related to testing cannabis and manufactured cannabis products for content, contamination, and consistency;

    (12)  The quantities of cannabis and manufactured cannabis products that a dispensary may sell or provide to a qualifying patient, primary caregiver, qualifying out-of-state patient, or caregiver of a qualifying out-of-state patient; provided that no dispensary shall sell or provide to a qualifying patient, primary caregiver, qualifying out-of-state patient, or caregiver of a qualifying out-of-state patient any combination of cannabis and manufactured cannabis products that:

          (A)  During a period of fifteen consecutive days, exceeds the equivalent of four ounces of cannabis; or

          (B)  During a period of thirty consecutive days, exceeds the equivalent of eight ounces of cannabis;

    (13)  Dispensary and production center inventory controls to prevent the unauthorized diversion of cannabis or manufactured cannabis products or the distribution of cannabis or manufactured cannabis products to a qualifying patient, primary caregiver, qualifying out-of-state patient, or caregiver of a qualifying out-of-state patient in quantities that exceed limits established by this chapter; provided that the controls, at a minimum, shall include:

          (A)  A computer software tracking system as specified in section 329D-6(j) and (k); and

          (B)  Product packaging standards sufficient to allow law enforcement personnel to reasonably determine the contents of an unopened package;

    (14)  Limitation to the size or format of signs placed outside a retail dispensing location or production center; provided that the signage limitations, at a minimum, shall comply with section 329D-6(o)(2) and shall not include the image of a cartoon character or other design intended to appeal to children;

    (15)  The disposal or destruction of unwanted or unused cannabis and manufactured cannabis products;

    (16)  The enforcement of the following prohibitions against:

          (A)  The sale or provision of cannabis or manufactured cannabis products to unauthorized persons;

          (B)  The sale or provision of cannabis or manufactured cannabis products to a qualifying patient, primary caregiver, qualifying out-of-state patient, or caregiver of a qualifying out-of-state patient in quantities that exceed limits established by this chapter; and

          (C)  Any use or consumption of cannabis or manufactured cannabis products on the premises of a retail dispensing location or production center; and

    (17)  The establishment of a range of penalties for violations of this chapter or rule adopted thereto;

    (18)  A process to recognize [and register] patients who are authorized to purchase, possess, and use medical cannabis in another state, a United States territory, or the District of Columbia as qualifying out-of-state patients; provided that this [registration] process may commence no sooner than January 1, 2018; and

    (19)  Security requirements and restrictions regarding waiting rooms, including but not limited to:

          (A)  Security measures to prevent unauthorized access to any area within the retail dispensing location outside of the waiting room;

          (B)  Restrictions on marketing and advertising within the waiting room;

          (C)  Restrictions on signage within the waiting room; and

          (D)  Other reasonable security measures or restrictions as deemed necessary by the department."

     SECTION 11.  Section 329D-8, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

     "(a)  The department shall establish and enforce standards for laboratory-based testing of cannabis and manufactured cannabis products for content, contamination, and consistency; provided that in establishing these standards, the department shall:

     (1)  Review and take guidance from the testing programs and standards utilized in other jurisdictions;

     (2)  Consider the impact of the standards on the retail cost of the product to the qualifying patient;

     (3)  Review and take guidance from the testing programs and standards for pesticides under the regulations of the United States Environmental Protection Agency;

     (4)  [Consider] Establish processes that [may] allow cannabis or manufactured cannabis products that fail testing standards to be remediated[;] and make these processes available to the public;

     (5)  For the testing for microbiological impurities, consider the benefits of organically grown cannabis that features the use of bacteria in lieu of pesticides; [and]

     (6)  Include permission for qualifying patients and primary caregivers to obtain testing services directly from certified laboratories on the island where the qualifying patient and primary caregiver reside[.];

     (7)  Establish and maintain standards for testing of cannabis and manufactured cannabis products at the department's state lab for reference purposes and post-marketing testing; and

     (8)  Promote the formation of prep labs on islands that do not have a certified testing facility to facilitate the preparation of "de minimis" samples that fall below the threshold for federal regulation and can be transported legally to another island for required potency and contaminant testing."

     SECTION 12.  Section 329D-10, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

     "(a)  The types of medical cannabis products that may be manufactured and distributed pursuant to this chapter shall be limited to:

     (1)  Capsules;

     (2)  Lozenges;

     (3)  Pills;

     (4)  Oils and oil extracts;

     (5)  Tinctures;

     (6)  Ointments and skin lotions;

     (7)  Transdermal patches;

     (8)  Pre-filled and sealed containers used to aerosolize and deliver cannabis orally [or by inhalation, such as an inhaler, nebulizer, or device that provides safe pulmonary administration; provided that:

          (A)  Containers need not be manufactured by the licensed dispensary but shall be filled with cannabis, cannabis oils, or cannabis extracts manufactured by the licensed dispensary or purchased from another dispensary pursuant to section 329D-6(r); but shall not contain nicotine, tobacco-related products, or any other non-cannabis derived products; and

          (B)  For devices that provide safe pulmonary administration:

               (i)  The heating element of the device, if any, shall be made of inert materials such as glass, ceramic, or stainless steel, and not of plastic or rubber;

              (ii)  The device shall be distributed solely for use with single-use, pre-filled, tamper-resistant, sealed containers that do not contain nicotine or other tobacco products;

             (iii)  There shall be a temperature control on the device that is regulated to prevent the combustion of cannabis oil; and

              (iv)  The device need not be manufactured by the licensed dispensary;

     (9)  Pre-rolled cannabis flower products, as specified by the department];

   [(10)] (9)  Edible cannabis products, as specified by the department; and

   [(11)] (10)  Other products as specified by the department."

     SECTION 13.  Section 329D-13, Hawaii Revised Statutes, is amended by amending subsection (c) to read as follows:

     "(c)  Beginning on January 1, 2018, this section [may] shall apply to qualifying out-of-state patients from other states, territories of the United States, or the District of Columbia; provided that the patient meets the [registration] requirements of [section 329-123.5.] sections 329-122 and 329-130."

     SECTION 14.  Section 329D-25, Hawaii Revised Statutes, is amended to read as follows:

     "§329D-25  Coordination among state and federal agencies.  The department shall initiate ongoing dialogue among relevant state and federal agencies to identify processes and policies that ensure the privacy of qualifying patients and qualifying out-of-state patients and the compliance of qualifying patients, primary caregivers, qualifying out-of-state patients, and caregivers of qualifying out-of-state patients and medical cannabis dispensaries with state and federal laws and regulations related to medical cannabis."

     SECTION 15.  Section 329D-27, Hawaii Revised Statutes, is amended by amending subsections (b) and (c) to read as follows:

     "(b)  No later than January 4, 2016, the department shall adopt interim rules, which shall be exempt from chapter 91 and chapter 201M, to effectuate the purposes of this chapter; provided that the interim rules shall remain in effect until [July 1, 2025,] August 1, 2024, or until rules are adopted pursuant to subsection (a), whichever occurs sooner.

     (c)  The department may amend the interim rules, and the amendments shall be exempt from chapters 91 and 201M, to effectuate the purposes of this chapter; provided that any amended interim rules shall remain in effect until [July 1, 2025,] August 1, 2024, or until rules are adopted pursuant to subsection (a), whichever occurs sooner."

     SECTION 16.  Section 329-123.5, Hawaii Revised Statutes, is repealed.

     ["§329-123.5  Registration requirements; qualifying out-of-state patient; caregiver of a qualifying out-of-state patient.  (a)  Notwithstanding section 329-123, a qualifying out-of-state patient and a caregiver of a qualifying out-of-state patient shall register with the department of health as established by rule.  The registration shall be effective for no more than sixty days and may be renewed for no more than one additional sixty-day period that begins no later than twelve months after the preceding registration date; provided that the department shall not register any qualifying out-of-state patient for a period that exceeds the term of validity of the qualifying out-of-state patient's authority to use medical cannabis in the qualifying out-of-state patient's home jurisdiction.

     (b)  A qualifying out-of-state patient aged eighteen or older, at a minimum, shall meet the following criteria for registration:

     (1)  Provide a valid government-issued medical cannabis card issued to the qualifying out-of-state patient by another state, United States territory, or the District of Columbia; provided that the medical cannabis card has an expiration date and has not expired;

     (2)  Provide a valid photographic identification card or driver's license issued by the same jurisdiction that issued the medical cannabis card; and

     (3)  Have a debilitating medical condition, as defined in section 329-121.

     (c)  A qualifying out-of-state patient under eighteen years of age may be registered pursuant to this section only if the qualifying patient has a debilitating medical condition as defined in section 329-121 and the caregiver of the qualifying out-of-state patient, at a minimum, meets the requirements of paragraphs (1) and (2) of subsection (b) and consents in writing to:

     (1)  Allow the qualifying out-of-state patient's medical use of cannabis;

     (2)  Undertake the responsibility for managing the well-being of the qualifying out-of-state patient who is under eighteen years of age, with respect to the medical use of cannabis; and

     (3)  Control the acquisition of the cannabis, the dosage, and the frequency of the medical use of cannabis by the qualifying out-of-state patient who is under eighteen years of age.

     (d)  In the case of any qualifying out-of-state patient who is under eighteen years of age, the department of health shall register the qualifying out-of-state patient and the caregiver of the qualifying out-of-state patient; provided that the department may register two caregivers for a qualifying out-of-state patient if each caregiver is the parent, guardian, or person having legal custody of the qualifying out-of-state patient who is under eighteen years of age.

     (e)  Each qualifying out-of-state patient shall pay a fee in an amount established by rules adopted by the department pursuant to chapter 91 for each registration and renewal.

     (f)  Upon inquiry by a law enforcement agency, the department of health shall immediately verify whether the subject of the inquiry has registered with the department of health and may provide reasonable access to the registry information for official law enforcement purposes.  An inquiry and verification under this subsection may be made twenty-four hours a day, seven days a week.

     (g)  The department of health may temporarily suspend the registration of a qualifying out-of-state patient or a registered caregiver of a qualifying out-of-state patient for a period of up to thirty days if the department of health determines that the registration process for qualifying patients or primary caregivers is being adversely affected or the supply of cannabis for medical use available in licensed dispensaries is insufficient to serve qualifying patients and qualifying out-of-state patients.  A temporary suspension may be extended by thirty-day periods until the department of health determines that:

     (1)  Adequate capacity exists to register qualifying out-of-state patients and caregivers of qualifying out-of-state patients in addition to qualifying patients and primary caregivers; and

     (2)  The licensed dispensaries are able to meet the demands of qualifying patients."]

     SECTION 17.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 18.  This Act shall take effect upon its approval.

 

INTRODUCED BY:

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Report Title:

Medical Cannabis; Registration; Out-of-state patients; Caregivers; Medical Cannabis Dispensary System

 

Description:

Amends state laws governing medical use of cannabis and the medical cannabis dispensary system.

 

 

 

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.

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