Rural licensing had its day on the House Floor on Monday June 23rd. S.B. 1057 was the second incarnation of SB 1713 – “Marijuana; Dual Licensees; Rural Communities” – introduced by Republican Senator David Gowan (LD 19), Though the bill ultimately failed to advance, its goals lived on in the form of Striker SB 1057.
The 13-page striker, sponsored by Rep. Weinger (R–LD 13), directs the Department of Health Services (DHS) to establish rules for a new rural-focused cannabis licensing program. It authorizes up to 16 licenses, each allowing one retail location and one off-site facility for cultivation and manufacturing, specifically in underserved rural communities, only if they opt into the program.
Debate Over Cannabis Access vs. Market Expansion Continues at Capitol
During discussions in the House Appropriations Committee back in March on proposed rural cannabis licensing, some questioned whether the effort prioritizes patient access or market growth. Lobbyist for the Arizona Dispensaries Association Pele Fisher expressed concern that the bill expands both medical and recreational licenses, suggesting it strays from the original intent of Proposition 207—to regulate, not continually expand, the industry.
Backers Say Cannabis Bill Would Boost Rural Access, Cut Monopoly Pricing
Supporters of the rural cannabis licensing bill say it’s a critical step toward fixing a system that has left small towns behind. Jon Udell, representing the Arizona Rural Opportunity Alliance, called on lawmakers to eliminate barriers that prevent dispensaries from operating in rural areas.
S.B. 1057 Goes Up in Smoke on the House Floor
In true marijuana fashion, the fate of S.B. 1057 came down to a chaotic House Third Read — by blurring party lines the vote all over the place.
As often happens when a cannabis bill starts to falter during a floor vote, some lawmakers who initially supported it will start jumping ship mid-vote, flipping from yes to no. That shift was on full display during the vote count for S.B. 1057.
One member who offered insight into her decision was Rep. Cavero, who explained that the bill simply didn’t go far enough — especially criticizing the proposal for only 16 new licenses, which she said wasn’t sufficient.
In the end, the bill failed with a final vote count of 21 in favor, 34 against, and 5 present but not voting. With no motion to reconsider, the rural licensing bill is officially dead.