Legislative Update 2023, Weeks 4, January 30th to February 3rd 

There are six new marijuana bills this week. 

We have two new bills that include autism to the list of qualifying conditions for medical marijuana. SB1349 seeks to include just autism. However, SB1466 hopes to add not only autism but eliminate the hoops for PTSD patients as well. That is not all Senator Shope’s bill does. SB1466 provides a $50 dollar state expense for medical cards and free cards for veterans.

We likewise now have two testing bills. The first (Democratic) one is HB2393, which leaves everything to the Arizona Department of Health Services. The second (more republican leaning) is SB1709. SB1709 is a supergroup of sponsors. Freshman Senator Shamp is the prime sponsor. However, cannabis champions Borrelli, Gowan, and Shope are all co-sponsors. SB1709 illustrates batch size, and provides whistleblower protection, among other things. 

We have 2 conflicting hemp bills. Last week, Borrelli released SB1271, which reworks the Hemp Act. This week, Senator Shope dropped SB 1453. SB1453 desires to make it so that only dispensaries and those with marijuana licenses can produce and sell hemp-derived impairing cannabinoids such as Delta 8. Borrelli’s bill, introduced last week, avoids the ¾ vote requirement for the Voter Protection Act because it is being run as an agricultural bill. Therefore, SB1271 is going through the Natural Resources Committee instead of Health and Human Services, like Shope’s bill SB1453.

We have two mirror Concurrent Resolutions, meaning it would continue to the ballot in 2024. Both HCR2028 and SCR1022 bring the question of whether to modify state statutes to restrict the Department of Health Services from issuing a nonprofit medical marijuana dispensary registration certificate, a marijuana establishment license, a marijuana testing facility license or an independent third-party laboratory certification at a location in unincorporated territory that is surrounded on all sides. 

Another intriguing bill is SB1494. SB1494 hopes to instruct health and disability insurers to provide coverage for medical marijuana that encompasses the cost of the marijuana and the registry identification card.

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Summary

Bills introduced

SCR1022 – MARIJUANA; UNINCORPORATED AREAS; RESERVATIONS; PROHIBITION 

SB1709 – MARIJUANA TESTING; COMPLAINTS; DISCLOSURE 

SB1494 – HEALTH INSURANCE; COVERAGE; MEDICAL MARIJUANA 

SB1466 – MEDICAL MARIJUANA; ADULT USE MARIJUANA

SB1453 – HEMP-DERIVED IMPAIRING CANNABINOIDS; REGULATION

SB1349 – MEDICAL CONDITIONS; MEDICAL MARIJUANA

Bills assigned to committee

SB1709 – MARIJUANA TESTING; COMPLAINTS; DISCLOSURE 

SB1466 – MEDICAL MARIJUANA; ADULT USE MARIJUANA

SB1453 – HEMP-DERIVED IMPAIRING CANNABINOIDS; REGULATION

SB-1271 HEMP-DERIVED PRODUCTS; REGULATION

Hearing scheduled 2/7/23 2pm

HB2446- SMART AND SAFE FUND; DISTRIBUTION

Held in committee 

SB1064- SENTENCING ENHANCEMENTS; DRUG-FREE ZONE

Bills Second Read

HB2393- MARIJUANA; TESTING 

SB-1271 HEMP-DERIVED PRODUCTS; REGULATION

Withdrawal from Health and Human Services 

HB2486- CLINICAL RESEARCH; PSILOCYBIN; GRANTS; APPROPRIATION

No movement 

HCR2028- MARIJUANA; UNINCORPORATED AREAS; RESERVATIONS; PROHIBITION 

SB-1195 LICENSING; MARIJUANA ESTABLISHMENTS

SB-1196 MARIJUANA ESTABLISHMENTS; DUAL LICENSING 

Details

HB2393- MARIJUANA; TESTING

Second Read: 1/30/23

Assigned: House Health and Human Services 1/26/23

Introduced: 01/12/23 

The Arizona Department of Health Services (ADHS) is required to adopt rules for marijuana testing that define batch and ensure that nonprofit medical marijuana dispensaries are properly submitting marijuana and marijuana products for testing to ensure patient safety. ADHS is required to adopt and enforce rules regarding marijuana sampling procedures. ADHS is required to adopt rules to standardize how independent third-party laboratories test sample of marijuana and marijuana products, and to develop a standard form for laboratories to submit with test results. Beginning December 31, 2023, an independent third-party laboratory is required to be approved by ADHS to conduct testing for all of the contaminants required in order to be certified by ADHS. Beginning January 1, 2023, independent third-party laboratories are required to report to ADHS monthly aggregated testing data. Beginning December 31, 2025, ADHS is required to establish a laboratory to provide testing for medical marijuana, marijuana, and marijuana products to ensure compliant with certified independent third-party laboratories. Repeals the Medical Marijuana Testing Advisory Council. Due to voter protection, this legislation requires the affirmative vote of at least 3/4 of the members of each house of the Legislature for passage.

Sections Affected

36-2803 Amended

36-2804.07 Amended

36-2817 Amended

36-2821 Repealed

Sponsor

Longdon Prime

Hernandez A Co-Sponsor

Wilmeth Co-Sponsor

Shope             Co-Sponsor

FOR MORE INFO

HB2446- SMART AND SAFE FUND; DISTRIBUTION

Scheduled: House Commerce 2/7/23

Second Read: 1/24/23

Assigned to House Health and Human Services 1/23/23

Introduced: 01/12/23 

Modifies the distributions from the Smart and Safe Fund by adding Indian reservation police agencies, Indian reservation firefighting agencies, university police departments at universities under the jurisdiction of the Arizona Board of Regents, the Department of Public Safety, and joint powers authorities to the list of entities that receive 31.4 percent of Fund monies in proportion to the number of enrolled members in the Public Safety Personnel Retirement System. Retroactive to January 1, 2021. Due to voter protection, this legislation requires the affirmative vote of at least 3/4 of the members of each house of the Legislature for passage.

Sections Affected

36-2856 Amended

Sponsor: 

Martinez Prime

Cook.   Co-Sponsor

Gress.    Co-Sponsor

Wilmeth Co-Sponsor

FOR MORE INFO

HB2486- CLINICAL RESEARCH; PSILOCYBIN; GRANTS; APPROPRIATION

Withdrawal: House Health & Human Services 2/1/23

Second read: 1/23/23

Assigned to House Rules

Assigned to House Appropriations 

Assigned to House Health & Human Services 

House First Read: 1/19/23

Introduced: 01/12/23 

The Director of the Arizona Department of Health Services (ADHS) is required to provide competitive research grants for whom the Department of Health Services from issuing a nonprofit medical marijuana dispensary registration certificate, a marijuana establishment license, a marijuana testing facility license, or an independent third party laboratory certification at a location in unincorporated territory that is surrounded on all sides by an Indian Reservation in Arizona.

Payne             Prime

Longdon Co-Sponsor

Travers Co-Sponsor

Shope             Co-Sponsor

FOR MORE INFO 

HCR2028- MARIJUANA; UNINCORPORATED AREAS; RESERVATIONS; PROHIBITION 

NO NEW MOVEMENT 

Introduced: 1/17/23

The 2024 general election ballot is to carry the question of whether to amend state statute to prohibit the Department of Health Services from issuing a nonprofit medical marijuana dispensary registration certificate, a marijuana establishment license, a marijuana testing facility license, or an independent third party laboratory certification at a location in unincorporated territory that is surrounded on all sides by an Indian Reservation in Arizona. 

Peshlakai Prime

FOR MORE INFO 

SB1064- SENTENCING ENHANCEMENTS; DRUG-FREE ZONE

Held: Senate Judiciary- 2/1/23

Second Read- 1/23/23

Assigned to Senate Judiciary- 1/23/23

Introduced-1/17/23

It is unlawful for a person to knowingly be present in a drug-free neighborhood zone” (defined) to sell or transfer marijuana, peyote, prescription-only drugs, dangerous drugs or narcotic drugs. A person in violation is guilty of the same class of felony that the person would otherwise be guilty of had the violation not occurred within a drug-free neighborhood zone, except that the presumptive, minimum and maximum sentence must be increased by one year, and the court is required to order the person to pay a fine of at least $2,000 or three times the value of the drugs involved, whichever is greater.

Sections Affected

13-3411 Amended

13-3424 Added

Kavanagh Prime

FOR MORE INFO 

SB-1195 LICENSING; MARIJUANA ESTABLISHMENTS

Second Read- 1/26/23

Assigned Senate Health and Human Services1/25/23

Introduced- 1/24/24

Beginning on the effective date of this legislation, the Arizona Department of Health Services (ADHS) is required to allow “Arizona small businesses” (defined) that have been awarded a marijuana establishment license but not a nonprofit medical marijuana dispensary registration certificate to apply for and receive a nonprofit medical marijuana dispensary registration certificate and become a dual licensee. ADHS is required to issue a nonprofit medical marijuana dispensary registration certificate to each qualified Arizona small business applicant on submittal of a complete application and the application fee. Contains legislative findings. Due to voter protection, this legislation requires the affirmative vote of at least 3/4 of the members of each house of the Legislature for passage. Emergency clause.

Sections Affected

36-2803.01 Amended

Sponsor

Gowan Prime

FOR MORE INFO 

SB-1196 MARIJUANA ESTABLISHMENTS; DUAL LICENSING 

Second Read- 1/26/23

Assigned Senate Health and Human Services-1/25/23

Introduced- 1/24/24

A licensee is allowed to apply for a nonprofit medical marijuana dispensary registration certificate or a marijuana establishment license. The Arizona Department of Health Services is required to issue a nonprofit medical marijuana dispensary registration certificate or a marijuana establishment license to each qualified applicant on submittal of a complete application and the application fee. Due to voter protection, this legislation requires the affirmative vote of at least 3/4 of the members of each house of the Legislature for passage. Emergency clause.

Sections Affected

36-2854 Amended

Sponsor

Gowan Prime

FOR MORE INFO 

SB-1271 HEMP-DERIVED PRODUCTS; REGULATION

Second Read: 1/31/23

Assigned: Senate Natural Resources, Energy and Water- 1/30/23

Introduced: 1/25/23

Numerous changes to statutes regulating “hemp-derived products” (defined). The Director of the Arizona Department of Agriculture (AZDA) is requirefd to oversee and prescribe requirements for labeling and retail sale of hemp-derived products in Arizona. Manufacturers and retailers are added to the list of entities that must obtain an industrial hemp licensed from AZDA. Establishes a method for calculating the total delta-9 tetrahydrocannabinol concentration of a crop.

Sections Affected

3-311 Amended

3-312 Amended

3-313. 3-314 Amended

3-316 Amended

3-317 Amended

3-320 Amended

Sponsor

Borrelli Prime

Gowan Co-Sponsor

FOR MORE INFO 

SB1349 – MEDICAL CONDITIONS; MEDICAL MARIJUANA 

Introduced- 1/27/23

Summary: The definition of “debilitating medical condition” for the purpose of qualifying for a medical marijuana card is expanded to include any debilitating condition of autism spectrum disorder including agitation, rage attacks, or self-injurious conditions. A physician who provides written certification for a qualifying patient who is under 18 years of age and whose debilitating medical condition is autism is required to recommend to the patient’s designated caregiver the marijuana’s potency and quantity and the frequency of use, and must assess the patient monthly until the patient is taking a stable dose for the most beneficial results. Due to voter protection, this legislation requires the affirmative vote of at least 3/4 of the members of each house of the Legislature for passage.

Sections Affected

36-2801 Amended

36-2823 Added

Sponsor:

Sen. Juan Mendez (D)- Prime

Fernandez Co-Sponsor

Gonzales Co-Sponsor

Hernandez Co-Sponsor

Salman Co-Sponsor

SB1453 – HEMP-DERIVED IMPAIRING CANNABINOIDS; REGULATION

First Read- 2/1/23

Assigned- Senate Health and Human Services Committee 2/1/23

Introduced- 1/30/23

Summary:A person is prohibited from processing, manufacturing, distributing, or selling in Arizona “hemp-derived manufactured impairing cannabinoids” (defined) without a nonprofit medical marijuana dispensary registration certificate or a marijuana establishment license and without approval by the Arizona Department of Health Services (ADHS) to convert cannabidiol to tetrahydrocannabinol. ADHS is required to regulate hemp-derived manufactured impairing cannabinoids, and provisions that must be included in ADHS rules are listed, including labeling requirements, health warning requirements, and testing requirements. Establishes penalties for violations. ADHS is authorized to use monies in the Medical Marijuana Fund and the Smart and Safe Arizona Fund to implement and regulate hemp-derived manufactured impairing cannabinoids. Due to voter protection, this legislation requires the affirmative vote of at least 3/4 of the members of each house of the Legislature for passage.

Sponsor:

Sen. Thomas “T.J.” Shope (R)- Prime

SB1466 – MEDICAL MARIJUANA; ADULT USE MARIJUANA

First Read- 2/1/23

Assigned- Senate Health and Human Services Committee 2/1/23

Introduced- 1/30/23

Summary:By December 31, 2023, any marijuana or marijuana product packaging labeled for sale is required to include a consumer scannable tetrahydrocannabinol quick response code or similar technology linking to a webpage that displays a list of specified information for the specific marijuana product, including required warnings as determined by the Arizona Department of Health Services. By December 31, 2023, nonprofit medical marijuana dispensaries are required to procure, develop, acquire and maintain a system to track marijuana and marijuana products at all points of cultivation, manufacture and sale. Requirements for the system are listed. Nonprofit medical marijuana dispensaries are required to sell marijuana and marijuana products in clearly and conspicuously labeled containers with accurate warnings reagarding their use, and in child-resistant packaging on exit from the dispensary. Nonprofit medical marijuana dispensaries are prohibited from packaging or labeling marijuana or marijuana products in a false or misldeaing manner, and from selling or advertising maijuana or marijuana products to children or with names that resemble or imitate food or drink brands marketed to children. Due to voter protection, this legislation requires the affirmative vote of at least 3/4 of the members of each house of the Legislature for passage.

Sections Affected

36-2801.01 Amended

36-2801 Amended

36-2803 Amended

36-2803.03 Added

36-2804.05 Amended

36-2804.02 Amended

36-2806.03 Added

36-2817 Amended

36-2822 Amended

36-2854 Amended

36-2854.01 Amended

36-2856