1     
MEDICAL CANNABIS ACT

2     
2016 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Mark B. Madsen

5     
House Sponsor: Gage Froerer

6     

7     LONG TITLE
8     General Description:
9          This bill modifies and enacts provisions related to medical cannabis.
10     Highlighted Provisions:
11          This bill:
12          ▸     allows an individual with a qualifying illness who registers with the Department of
13     Health to possess and use, under certain circumstances, cannabis, a cannabis
14     product, or a medical cannabis device;
15          ▸     directs the Department of Health to issue:
16               •     a license to operate a cannabis dispensary to a person who meets certain
17     qualifications; and
18               •     to an individual who meets certain qualifications, a registration card to act as an
19     agent of a cannabis dispensary;
20          ▸     directs the Department of Agriculture and Food to issue, to a person who meets
21     certain qualifications, a license to operate a cannabis production establishment,
22     including:
23               •     a cannabis cultivation facility;
24               •     a cannabis processing facility; or
25               •     an independent cannabis testing laboratory;
26          ▸     directs the Department of Agriculture and Food to issue, to an individual who meets
27     certain qualifications, a registration card to act as an agent of a cannabis production

28     establishment;
29          ▸     directs the Department of Health to issue a medical cannabis card to an individual
30     who meets the requirements of:
31               •     a qualified patient;
32               •     a parent or guardian of a minor who is a qualified patient; or
33               •     a designated caregiver of a qualified patient;
34          ▸     allows a licensed cannabis dispensary to possess cannabis, a cannabis product, or a
35     medical cannabis device, and to sell the cannabis, cannabis product, or medical
36     cannabis device to an individual with a medical cannabis card;
37          ▸     allows a licensed cannabis cultivation facility to grow cannabis, possess cannabis,
38     and sell the cannabis to a licensed cannabis processing facility or a licensed
39     cannabis dispensary;
40          ▸     allows a licensed cannabis processing facility to possess cannabis, process cannabis
41     into a cannabis product, and sell the cannabis product to a licensed cannabis
42     dispensary;
43          ▸     allows a licensed independent cannabis testing laboratory to possess cannabis or a
44     cannabis product for the purpose of testing the cannabis or cannabis product for
45     content and safety;
46          ▸     preempts an ordinance enacted by a political subdivision that is not essentially
47     identical to state medical cannabis law;
48          ▸     provides that a licensed cannabis production establishment may operate, in a
49     political subdivision:
50               •     as a conditional use in a commercial zone or similar zone; and
51               •     as a permitted use in an industrial zone or similar zone;
52          ▸     provides that a licensed cannabis dispensary may operate, in a political subdivision,
53     as a permitted use in a commercial, industrial, or similar zone;
54          ▸     allows an individual driving with a measurable metabolite of cannabis to assert, as
55     an affirmative defense, that the individual used the cannabis pursuant to Utah law or
56     the law of another state;
57          ▸     prohibits a court from discriminating against a parent in a child custody case based
58     on the parent's lawful possession or use of medical cannabis;

59          ▸     prohibits a peace officer or child welfare worker from removing a child from an
60     individual's home on the basis of the individual's lawful possession or use of
61     cannabis;
62          ▸     prohibits a state employer from discriminating against a public employee because of
63     the employee's lawful use of cannabis, a cannabis product, or a medical cannabis
64     device;
65          ▸     imposes a tax on the sale of cannabis, a cannabis product, or a medical cannabis
66     device at a cannabis dispensary;
67          ▸     exempts from sales and use tax the sale of cannabis, a cannabis product, or a
68     medical cannabis device by a cannabis dispensary;
69          ▸     creates the Medical Cannabis Restricted Account, consisting of:
70               •     proceeds of the medical cannabis tax;
71               •     medical cannabis card application fees;
72               •     cannabis dispensary application and licensing fees;
73               •     cannabis production establishment application and licensing fees; and
74               •     fines collected for violations of state medical cannabis law; and
75          ▸     repeals, after state medical cannabis regulation is implemented, the Hemp Extract
76     Regulation Act.
77     Money Appropriated in this Bill:
78          None
79     Other Special Clauses:
80          This bill provides a special effective date.
81     Utah Code Sections Affected:
82     AMENDS:
83          10-9a-104, as last amended by Laws of Utah 2013, Chapter 309
84          17-27a-104, as last amended by Laws of Utah 2013, Chapter 309
85          30-3-10, as last amended by Laws of Utah 2014, Chapter 409
86          41-6a-517, as last amended by Laws of Utah 2013, Chapter 333
87          62A-4a-202.1, as last amended by Laws of Utah 2012, Chapters 221 and 293
88          63I-1-226, as last amended by Laws of Utah 2015, Chapters 16, 31, and 258
89          63I-1-258, as last amended by Laws of Utah 2015, Chapters 40, 186, 187, 320, 367,

90     and 432
91          78A-6-508, as last amended by Laws of Utah 2014, Chapter 409
92     ENACTS:
93          4-42-101, Utah Code Annotated 1953
94          4-42-102, Utah Code Annotated 1953
95          4-42-103, Utah Code Annotated 1953
96          4-42-104, Utah Code Annotated 1953
97          4-42-105, Utah Code Annotated 1953
98          4-42-201, Utah Code Annotated 1953
99          4-42-202, Utah Code Annotated 1953
100          4-42-203, Utah Code Annotated 1953
101          4-42-204, Utah Code Annotated 1953
102          4-42-205, Utah Code Annotated 1953
103          4-42-206, Utah Code Annotated 1953
104          4-42-207, Utah Code Annotated 1953
105          4-42-208, Utah Code Annotated 1953
106          4-42-209, Utah Code Annotated 1953
107          4-42-301, Utah Code Annotated 1953
108          4-42-401, Utah Code Annotated 1953
109          4-42-402, Utah Code Annotated 1953
110          4-42-403, Utah Code Annotated 1953
111          4-42-501, Utah Code Annotated 1953
112          4-42-502, Utah Code Annotated 1953
113          4-42-503, Utah Code Annotated 1953
114          4-42-601, Utah Code Annotated 1953
115          26-58-101, Utah Code Annotated 1953
116          26-58-102, Utah Code Annotated 1953
117          26-58-103, Utah Code Annotated 1953
118          26-58-104, Utah Code Annotated 1953
119          26-58-201, Utah Code Annotated 1953
120          26-58-202, Utah Code Annotated 1953

121          26-58-203, Utah Code Annotated 1953
122          26-58-204, Utah Code Annotated 1953
123          26-58-205, Utah Code Annotated 1953
124          26-58-206, Utah Code Annotated 1953
125          26-58-207, Utah Code Annotated 1953
126          26-58-208, Utah Code Annotated 1953
127          26-58-209, Utah Code Annotated 1953
128          26-58-301, Utah Code Annotated 1953
129          26-58-302, Utah Code Annotated 1953
130          26-58-303, Utah Code Annotated 1953
131          26-58-304, Utah Code Annotated 1953
132          26-58-305, Utah Code Annotated 1953
133          26-58-401, Utah Code Annotated 1953
134          26-58-402, Utah Code Annotated 1953
135          26-58-403, Utah Code Annotated 1953
136          26-58-404, Utah Code Annotated 1953
137          26-58-405, Utah Code Annotated 1953
138          26-58-406, Utah Code Annotated 1953
139          26-58-407, Utah Code Annotated 1953
140          26-58-501, Utah Code Annotated 1953
141          53-1-106.5, Utah Code Annotated 1953
142          58-37-3.6, Utah Code Annotated 1953
143          59-12-104.7, Utah Code Annotated 1953
144          59-28-101, Utah Code Annotated 1953
145          59-28-102, Utah Code Annotated 1953
146          59-28-103, Utah Code Annotated 1953
147          59-28-104, Utah Code Annotated 1953
148          59-28-105, Utah Code Annotated 1953
149          59-28-106, Utah Code Annotated 1953
150          59-28-107, Utah Code Annotated 1953
151          59-28-108, Utah Code Annotated 1953

152          63F-1-104.5, Utah Code Annotated 1953
153     

154     Be it enacted by the Legislature of the state of Utah:
155          Section 1. Section 4-42-101 is enacted to read:
156     
CHAPTER 42. CANNABIS PRODUCTION ESTABLISHMENTS

157     
Part 1. General Provisions

158          4-42-101. Title.
159          (1) This chapter is known as "Cannabis Production Establishments."
160          (2) This part is known as "General Provisions."
161          Section 2. Section 4-42-102 is enacted to read:
162          4-42-102. Definitions.
163          As used in this chapter:
164          (1) "Cannabinoid profile" means the percentage of cannabis or a cannabis product, by
165     weight, that is composed of the cannabinoids:
166          (a) Tetrahydrocannabinol or THC;
167          (b) Tetrahyrdocannabinolic acid or THCa;
168          (c) Cannabidiol or CBD;
169          (d) Cannabinol or CBN; and
170          (e) Cannabigerol or CBG.
171          (2) "Cannabis" means the same as that term is defined in Section 58-37-3.6.
172          (3) "Cannabis cultivation facility" means a person that:
173          (a) grows cannabis; or
174          (b) possesses cannabis with the intent to grow cannabis.
175          (4) "Cannabis cultivation facility agent" means an individual who is an owner, officer,
176     board member, employee, or volunteer of a cannabis cultivation facility.
177          (5) "Cannabis cultivation facility registration card" means a registration card, issued by
178     the department under Section 4-42-202, that authorizes an individual to act as a cannabis
179     cultivation facility agent.
180          (6) "Cannabis dispensary" means the same as that term is defined in Section
181     26-58-102.
182          (7) "Cannabis processing facility" means a person that:

183          (a) manufactures a cannabis product from unprocessed cannabis;
184          (b) purchases or possesses cannabis with the intent to manufacture a cannabis product;
185     or
186          (c) sells or intends to sell a cannabis product to a cannabis dispensary.
187          (8) "Cannabis product" means the same as that term is defined in Section 58-37-3.6.
188          (9) "Cannabis production establishment" means:
189          (a) an independent testing laboratory;
190          (b) a cannabis cultivation facility; or
191          (c) a cannabis processing facility.
192          (10) "Cannabis production establishment agent" means an owner, officer, employee, or
193     volunteer of a cannabis production establishment.
194          (11) "Cannabis production establishment agent registration card" means a registration
195     card that authorizes an individual to act as a cannabis production establishment agent.
196          (12) "Electronic verification system" means the system described in Section 26-58-202.
197          (13) "Independent testing laboratory" means a person that:
198          (a) conducts a chemical or other analysis of cannabis or a cannabis product; or
199          (b) possesses cannabis or a cannabis product with the intent to conduct a chemical or
200     other analysis of the cannabis or cannabis product.
201          (14) "Inventory control system" means the system described in Section 4-42-104.
202          (15) "Medical cannabis card" means the same as that term is defined in Section
203     26-58-201.
204          (16) "Medical cannabis establishment" means:
205          (a) an independent testing laboratory;
206          (b) a cannabis cultivation facility;
207          (c) a cannabis processing facility; or
208          (d) a cannabis dispensary.
209          (17) "Medical Cannabis Restricted Account" means the account created in Section
210     26-58-104.
211          (18) "Participating entity" means:
212          (a) the Department of Health;
213          (b) the Department of Agriculture and Food;

214          (c) the Department of Public Safety; and
215          (d) the Department of Technology Services.
216          (19) "Physician" means the same as that term is defined in Section 26-58-201.
217          Section 3. Section 4-42-103 is enacted to read:
218          4-42-103. Duties -- Coordination with participating entities.
219          (1) The department shall administer and enforce the licensing of a cannabis production
220     establishment in accordance with this chapter.
221          (2) The department shall coordinate with the participating entities to:
222          (a) enforce state law related to medical cannabis; and
223          (b) develop, or participate in the development of, an electronic verification system and
224     an inventory control system.
225          Section 4. Section 4-42-104 is enacted to read:
226          4-42-104. Inventory control system.
227          (1) A medical cannabis establishment shall maintain an inventory control system that
228     meets the requirements of this section.
229          (2) An inventory control system shall track cannabis in real time from the point that a
230     cannabis plant is eight inches tall until the cannabis is sold, in the form of unprocessed
231     cannabis or a cannabis product, to an individual with a medical cannabis card.
232          (3) An inventory control system installed in a medical cannabis establishment shall
233     include a video recording system that:
234          (a) tracks all handling and processing of cannabis or a cannabis product in the medical
235     cannabis establishment;
236          (b) is tamper proof;
237          (c) stores in real time a record of the amount of cannabis or cannabis products in the
238     medical cannabis establishment's possession; and
239          (d) is capable of storing a video record for 45 days.
240          (4) An inventory control system installed in a medical cannabis establishment shall
241     maintain compatibility with:
242          (a) the electronic verification system described in Section 26-58-202; and
243          (b) an inventory control system installed in another medical cannabis establishment.
244          (5) A cannabis production establishment shall allow access to an inventory control

245     system by the participating entities.
246          (6) The department may establish compatibility standards for an inventory control
247     system by rule made in accordance with Title 63G, Chapter 3, Utah Administrative
248     Rulemaking Act.
249          Section 5. Section 4-42-105 is enacted to read:
250          4-42-105. Preemption.
251          This chapter preempts any ordinance enacted by a political subdivision of the state
252     regarding a cannabis production establishment.
253          Section 6. Section 4-42-201 is enacted to read:
254     
Part 2. Cannabis Production Establishments

255          4-42-201. Cannabis production establishment -- License -- Renewal.
256          (1) A person may not operate a cannabis production establishment without a license
257     issued by the department under this chapter.
258          (2) Subject to Subsections (6) and (7), the department shall, within 30 days after
259     receiving a complete application, issue a license to operate a cannabis production establishment
260     to a person who submits to the department:
261          (a) a proposed name, address, and physical location where the person will operate the
262     cannabis production establishment;
263          (b) evidence that the person possesses or controls a minimum of $250,000 in liquid
264     assets for each type of license for which the person applies;
265          (c) for each location of a cannabis production establishment for which the person
266     applies, a complete application for a business license;
267          (d) an application fee established by the department in accordance with Section
268     63J-1-504, that is necessary to cover the department's cost to implement this chapter;
269          (e) evidence that the person can comply with the requirements:
270          (i) in this part;
271          (ii) for a cannabis cultivation facility, in Part 3, Cannabis Cultivation Facilities;
272          (iii) for a cannabis processing facility, in Part 4, Cannabis Processing Facilities; and
273          (iv) for an independent cannabis testing laboratory, in Part 5, Independent Cannabis
274     Testing Laboratories;
275          (f) evidence that the person will implement an inventory control system at the cannabis

276     production establishment; and
277          (g) the results of a criminal background check for each proposed cannabis production
278     establishment agent for the cannabis production establishment.
279          (3) A person applying for a license to operate a cannabis production facility shall
280     submit to the department, with the person's application, a proposed operation plan that
281     includes:
282          (a) a description of the physical characteristics of the proposed facility;
283          (b) a description of the credentials and experience of any officer, director, or owner of
284     the proposed cannabis production establishment;
285          (c) the cannabis production facility's employee training standards;
286          (d) a security plan;
287          (e) for a cannabis cultivation facility:
288          (i) evidence that the cannabis cultivation facility has entered into a preliminary
289     agreement with a licensed cannabis processing facility or a licensed cannabis dispensary in the
290     state for the purchase of the cannabis cultivation facility's output; and
291          (ii) the cannabis cultivation facility's proposed cannabis cultivation practices, including
292     the cannabis cultivation facility's:
293          (A) pesticide use;
294          (B) proposed square footage under cultivation; and
295          (C) anticipated cannabis yield;
296          (f) for a cannabis processing facility:
297          (i) evidence that the cannabis production facility has entered into a preliminary
298     agreement with a licensed cannabis dispensary in the state for the purchase of the cannabis
299     processing facility's output; and
300          (ii) the cannabis processing facility's proposed cannabis processing practices, including
301     the cannabis processing facility's:
302          (A) proposed cannabis extraction method;
303          (B) processing equipment; and
304          (C) other processing techniques; and
305          (g) for an independent cannabis testing laboratory, the independent cannabis testing
306     laboratory's proposed cannabis and cannabis product testing capability.

307          (4) If the department determines that a cannabis production establishment is eligible for
308     a license under this section, the department shall:
309          (a) before January 1, 2017, charge the cannabis production establishment an initial
310     license fee of $25,000; and
311          (b) on or after January 1, 2017, charge the cannabis establishment an initial license fee
312     in an amount determined by the department in accordance with Section 63J-1-504.
313          (5) Except as provided in Subsection (6)(b), the department shall, for a cannabis
314     production establishment to which the department issues a license, designate whether the
315     license authorizes the cannabis production establishment to operate as:
316          (a) a cannabis cultivation facility;
317          (b) a cannabis processing facility; or
318          (c) an independent cannabis testing laboratory.
319          (6) The department shall require a separate license for each type of cannabis production
320     establishment and each location of a cannabis production establishment.
321          (7) Notwithstanding Subsection (6), the department may issue a cannabis cultivation
322     facility license and a cannabis processing facility license to be operated by:
323          (a) the same person at the same physical location; or
324          (b) the same person at separate physical locations.
325          (8) The department may not issue a license to operate an independent cannabis testing
326     laboratory to a person:
327          (a) that holds a license or has an ownership interest in a cannabis dispensary, a
328     cannabis processing facility, or a cannabis cultivation facility in the state;
329          (b) that has an owner, officer, director, or employee whose immediate family member
330     holds a license or has an ownership interest in a cannabis dispensary, a cannabis processing
331     facility, or a cannabis cultivation facility; or
332          (c) proposes to operate the independent testing laboratory at the same physical location
333     as a cannabis dispensary, a cannabis processing facility, or a cannabis cultivation facility.
334          (9) The department shall renew a person's license under this chapter every two years if,
335     at the time of renewal, the person meets the requirements of Subsection (2).
336          (10) The department shall charge a cannabis production establishment that the
337     department determines is eligible for license renewal a license renewal fee in an amount

338     determined by the department in accordance with Section 63J-1-504.
339          Section 7. Section 4-42-202 is enacted to read:
340          4-42-202. Cannabis production establishment agent -- Registration.
341          (1) An individual may not act as an owner, shareholder, employee, or agent of a
342     cannabis production establishment unless the individual is registered by the department as a
343     cannabis production establishment agent.
344          (2) The department shall, within 15 business days after receiving a complete
345     application, register and issue a cannabis production establishment agent registration card to an
346     individual who:
347          (a) has not been convicted of an offense that is a felony under either state or federal
348     law;
349          (b) provides to the department:
350          (i) the individual's name and address; and
351          (ii) the name and location of a licensed cannabis production establishment where the
352     individual seeks to act as the cannabis production establishment's agent;
353          (c) pays the department a fee, determined by the department in accordance with Section
354     63J-1-504, that is necessary to cover the department's cost to implement this part; and
355          (d) complies with the requirement for and passes a criminal background check
356     described in Section 26-58-408.
357          (3) The department shall designate, for a cannabis production establishment agent
358     registration card the department issues under Subsection (2), whether the cannabis production
359     establishment agent registration card holder is authorized to act as an agent for:
360          (a) a cannabis cultivation facility;
361          (b) a cannabis processing facility;
362          (c) both a cannabis cultivation facility and a cannabis processing facility; or
363          (d) an independent cannabis testing laboratory.
364          (4) A cannabis production establishment agent shall comply with a certification
365     standard designated by the department by rule made in accordance with Title 63G, Chapter 3,
366     Utah Administrative Rulemaking Act.
367          (5) The department may revoke the cannabis production establishment agent
368     registration card of an individual who:

369          (a) violates the requirements of this chapter; or
370          (b) commits an offense that is a felony under state or federal law.
371          Section 8. Section 4-42-203 is enacted to read:
372          4-42-203. Cannabis production establishment agents -- Criminal background
373     checks.
374          (1) An individual applying for a cannabis production establishment agent registration
375     card under this chapter shall:
376          (a) submit, at the time of application, a fingerprint card in a form acceptable to the
377     department; and
378          (b) consent to a fingerprint background check by:
379          (i) the Utah Bureau of Criminal Identification; and
380          (ii) the Federal Bureau of Investigation.
381          (2) The department shall request that the Department of Public Safety complete a
382     Federal Bureau of Investigation criminal background check for each cannabis production
383     establishment agent card applicant.
384          (3) The department may revoke or refuse to issue an individual's cannabis production
385     establishment agent registration card if the individual has committed an offense that is a felony
386     under state or federal law.
387          Section 9. Section 4-42-204 is enacted to read:
388          4-42-204. Cannabis production establishment agent registration card --
389     Rebuttable presumption.
390          (1) An individual who has a cannabis production establishment agent registration card
391     shall carry the individual's cannabis production establishment agent registration card with the
392     individual at all times when:
393          (a) the individual is on the premises of a cannabis production establishment; and
394          (b) the individual is transporting cannabis, a cannabis product, or a medical cannabis
395     device between two medical cannabis establishments.
396          (2) If an individual handling cannabis, a cannabis product, or a medical cannabis
397     device at a cannabis production establishment, or transporting cannabis, a cannabis product, or
398     a medical cannabis device, possesses the cannabis, cannabis product, or medical cannabis
399     device in compliance with Subsection (1):

400          (a) there is a rebuttable presumption that the individual possesses the cannabis,
401     cannabis product, or medical cannabis device legally; and
402          (b) a law enforcement officer does not have probable cause, based solely on the
403     individual's possession of the cannabis, cannabis product, or medical cannabis device in
404     compliance with Subsection (1), to believe that the individual is engaging in illegal activity.
405          Section 10. Section 4-42-205 is enacted to read:
406          4-42-205. Operating requirements -- General -- Physician may not be a cannabis
407     production establishment agent.
408          (1) A cannabis production establishment shall have:
409          (a) a single, secure public entrance;
410          (b) a security system with a backup power source that:
411          (i) detects and records entry into the cannabis production establishment when the
412     cannabis production establishment is closed; and
413          (ii) provides notice of an unauthorized entry to law enforcement; and
414          (c) a lock on any area where the cannabis production establishment stores cannabis or a
415     cannabis product.
416          (2) (a) A cannabis production establishment shall follow the operation plan submitted
417     to the department at the time of licensing under Section 4-42-201.
418          (b) A cannabis production establishment shall notify the department within 30 days of
419     any change in the cannabis production establishment's operation plan.
420          (3) A physician may not serve as a cannabis production establishment agent.
421          Section 11. Section 4-42-206 is enacted to read:
422          4-42-206. Zoning.
423          (1) A municipality or local government may not enact a zoning ordinance that prohibits
424     a cannabis production establishment from operating in a location within the municipality's or
425     local government's jurisdiction, on the sole basis that the cannabis production establishment is
426     a cannabis production establishment.
427          (2) A municipality or local government shall allow a cannabis production
428     establishment to operate as a permitted use in an agricultural, industrial, or manufacturing
429     zone, or a comparable zone.
430          Section 12. Section 4-42-207 is enacted to read:

431          4-42-207. Inspections.
432          (1) Subject to Subsection (2), the department shall inspect the records and facility of a
433     cannabis production establishment in order to determine if the cannabis production
434     establishment complies with the licensing requirements of this chapter.
435          (2) The department may inspect the records and facility of a cannabis production
436     establishment:
437          (a) as many as three scheduled times per year;
438          (b) as many as one unscheduled time per year; and
439          (c) if the department has reason to believe that the cannabis production establishment
440     has violated the law, at any time, scheduled or unscheduled.
441          Section 13. Section 4-42-208 is enacted to read:
442          4-42-208. Advertising.
443          (1) A cannabis production establishment may not advertise to the general public in any
444     medium.
445          (2) Notwithstanding Subsection (1), a cannabis production establishment may advertise
446     employment opportunities at the cannabis production facility.
447          Section 14. Section 4-42-209 is enacted to read:
448          4-42-209. Cannabis, cannabis product, or medical cannabis device transportation.
449          (1) An individual may not transport cannabis, a cannabis product, or a medical
450     cannabis device unless the individual has a valid cannabis production establishment
451     registration card or valid cannabis dispensary registration card.
452          (2) An individual transporting cannabis, a cannabis product, or a medical cannabis
453     device shall keep a transportation record that includes:
454          (a) a bar code or identification number that links the cannabis, cannabis product, or
455     medical cannabis device to a relevant medical cannabis establishment's inventory control
456     system;
457          (b) origin and destination information for any cannabis, cannabis product, or medical
458     cannabis device the individual is transporting; and
459          (c) a record of the departure and arrival time of the individual transporting the
460     cannabis, cannabis product, or medical cannabis device.
461          (3) In addition to the requirements in Subsections (1) and (2), the department may

462     establish, by rule made in accordance with Title 63G, Chapter 3, Utah Administrative
463     Rulemaking Act, requirements for transporting cannabis, a cannabis product, or a medical
464     cannabis device that are related to human consumption safety.
465          Section 15. Section 4-42-301 is enacted to read:
466     
Part 3. Cannabis Cultivation Facilities

467          4-42-301. Cannabis cultivation facility -- Operating requirements.
468          (1) Except as provided in Subsection (4), a cannabis cultivation facility shall cultivate
469     cannabis only:
470          (a) in a facility that is accessible only by an individual with a valid cannabis production
471     establishment agent registration card issued under Section 4-42-202; and
472          (b) at the physical address provided to the department under Section 4-42-201.
473          (2) A cannabis cultivation facility shall ensure that any cannabis growing at the
474     cannabis cultivation facility is not visible from street level outside the cannabis cultivation
475     facility.
476          (3) A cannabis cultivation facility shall use a unique identifier for:
477          (a) each batch of cannabis transferred to a cannabis dispensary, a cannabis processing
478     facility, or an independent cannabis testing laboratory; and
479          (b) any particular harvest of cannabis plants.
480          (4) A cannabis cultivation facility may allow the press, a visitor, or a contractor access
481     to the cannabis cultivation facility if:
482          (a) the cannabis cultivation facility tracks and monitors the individual at all times while
483     the individual is in the cannabis cultivation facility; and
484          (b) a record of the individual's access to the cannabis cultivation facility is maintained
485     by the cannabis cultivation facility.
486          (5) For the purpose of ensuring that the cannabis that a cultivation facility cultivates is
487     safe for human use, the department may establish standards, by rule made in accordance with
488     Title 63G, Chapter 3, Utah Administrative Rulemaking Act, for a cannabis cultivation
489     facility's:
490          (a) use of pesticides;
491          (b) use of fertilizers; and
492          (c) cultivation techniques.

493          Section 16. Section 4-42-401 is enacted to read:
494     
Part 4. Cannabis Processing Facilities

495          4-42-401. Cannabis processing facility -- Operating requirements -- Facility.
496          (1) A cannabis processing facility shall ensure that a cannabis product that the cannabis
497     processing facility sells or provides to a cannabis dispensary complies with the requirements of
498     this part.
499          (2) Except as provided in Subsection (3), a cannabis processing facility shall produce a
500     cannabis product:
501          (a) in an enclosed, locked facility that is accessible only by an individual with a valid
502     cannabis production establishment agent registration card issued under Section 4-42-202; and
503          (b) at the physical address the cannabis processing facility provided the department at
504     the time of registration or renewal.
505          (3) A cannabis processing facility may allow the press, a visitor, or a contractor access
506     to the cannabis processing facility if the cannabis processing facility:
507          (a) tracks and monitors the individual at all times while the individual is in the
508     cannabis processing facility; and
509          (b) maintains a record of the individual's access to the cannabis processing facility.
510          Section 17. Section 4-42-402 is enacted to read:
511          4-42-402. Cannabis product -- Labeling and packaging.
512          (1) A cannabis product shall have a label that:
513          (a) clearly and unambiguously states that the cannabis product contains cannabis;
514          (b) clearly displays:
515          (i) the cannabinoid profile of the cannabis product; and
516          (ii) the total amount of cannabinoids by weight in the cannabis product;
517          (c) has a unique batch identifier that identifies the date and particular manufacturing
518     process when the cannabis product was manufactured; and
519          (d) has a bar code or other identifier that allows the cannabis product to be tracked by
520     an inventory control system and the electronic verification system.
521          (2) A cannabis processing facility shall package a cannabis product in a container that:
522          (a) is tamper resistant;
523          (b) is not appealing to children or similar to a candy container;

524          (c) is opaque; and
525          (d) complies with the child-resistant effectiveness standards contained in 16 C.F.R.
526     Sec. 1700.15 and related sections.
527          Section 18. Section 4-42-403 is enacted to read:
528          4-42-403. Cannabis product -- Product quality.
529          (1) (a) A cannabis processing facility may not produce a cannabis product in a physical
530     form that is appealing to children.
531          (b) The Department of Health may determine, by rule made in accordance with Title
532     63G, Chapter 3, Utah Administrative Rulemaking Act, physical criteria for a cannabis product
533     to comply with Subsection (1)(a).
534          (2) A cannabis processing facility may not manufacture a cannabis product by applying
535     a cannabis agent to the surface of a food product that is not produced by the cannabis
536     processing facility.
537          (3) A cannabis product may vary in the cannabis product's labeled cannabis profile by
538     up to 15% of the indicated amount of a given cannabinoid, by weight.
539          (4) (a) Subject to Subsection (4)(b), the department shall establish, by rule made in
540     accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, additional
541     product quality standards for a cannabis product that are consistent with rules for products for
542     human consumption issued by the United States Food and Drug Administration.
543          (b) The department may establish a rule under Subsection (4)(a) that is not consistent
544     with rules issued by the United States Food and Drug Administration to the extent necessary to
545     adapt the United States Food and Drug Administration rules to the specific characteristics of
546     cannabis or a cannabis product.
547          Section 19. Section 4-42-501 is enacted to read:
548     
Part 5. Independent Cannabis Testing Laboratories

549          4-42-501. Independent cannabis testing laboratory -- Operating requirements --
550     Facility.
551          (1) Except as provided in Subsection (2), an independent cannabis testing laboratory
552     shall operate:
553          (a) in an enclosed, locked facility that is accessible only by an individual with a valid
554     cannabis production establishment agent registration card issued under Section 4-42-201; and

555          (b) at the physical address the independent cannabis testing laboratory provided the
556     department at the time of registration or renewal.
557          (2) An independent cannabis testing laboratory agent may not act as an agent for a
558     cannabis dispensary, a cannabis processing facility, or a cannabis cultivation facility.
559          (3) An independent cannabis testing laboratory may allow the press, a visitor, or a
560     contractor access to the facility if:
561          (a) the facility tracks and monitors the individual at all times while the individual is in
562     the facility; and
563          (b) a record of the individual's access to the facility is maintained by the facility.
564          Section 20. Section 4-42-502 is enacted to read:
565          4-42-502. Cannabis and cannabis product testing.
566          (1) An independent cannabis testing laboratory shall, before cannabis or a cannabis
567     product is offered for sale at a cannabis dispensary, test the cannabis or cannabis product as
568     described in this section.
569          (2) An independent testing laboratory shall determine the cannabinoid profile of
570     cannabis or a cannabis product.
571          (3) An independent cannabis testing laboratory shall determine if cannabis or a
572     cannabis product contains, in an amount that is harmful to human health:
573          (a) mold;
574          (b) fungus;
575          (c) pesticides; or
576          (d) other microbial contaminants.
577          (4) For a cannabis product that is manufactured using a process that involves extraction
578     using hydrocarbons, an independent cannabis testing laboratory shall test the cannabis product
579     for residual solvents.
580          (5) An independent cannabis testing laboratory may not operate unless the independent
581     cannabis testing laboratory is capable of accurately testing cannabis or a cannabis product as
582     described in this section.
583          (6) The department may determine, by rule made in accordance with Title 63G,
584     Chapter 3, Utah Administrative Rulemaking Act, the amount of substances described in
585     Subsection (3) and the amount of residual solvents that are safe for human consumption.

586          Section 21. Section 4-42-503 is enacted to read:
587          4-42-503. Reporting -- Inspections.
588          (1) If an independent testing laboratory determines that the results of a lab test indicate
589     that a cannabis or cannabis product batch may be unsafe for human consumption:
590          (a) the independent testing laboratory shall report the results and the cannabis or
591     cannabis product batch to the department; and
592          (b) provide the department with a period of time, designated by the department, by rule
593     made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, to
594     respond to the lab test results before the independent cannabis testing laboratory releases the
595     cannabis or cannabis product batch to a cannabis dispensary or cannabis production
596     establishment.
597          (2) If the department determines, under Subsection (1)(b), that a cannabis or cannabis
598     product prepared by a cannabis production establishment is unsafe for human consumption, the
599     department may seize, embargo, and destroy a cannabis or cannabis product batch in
600     accordance with Section 4-42-601.
601          Section 22. Section 4-42-601 is enacted to read:
602     
Part 6. Enforcement

603          4-42-601. Enforcement -- Fine -- Citation.
604          (1) The department may, for a violation of this chapter by a person that is a cannabis
605     production establishment or a cannabis production establishment agent for a violation of the
606     licensing provisions of this chapter:
607          (a) revoke the person's license;
608          (b) refuse to renew the person's license;
609          (c) assess the person an administrative penalty; or
610          (d) take any other appropriate administrative action.
611          (2) The department shall deposit an administrative penalty imposed under this section
612     in the Medical Cannabis Restricted Account.
613          (3) (a) The department may take an action described in Subsection (3)(b) if the
614     department concludes, upon inspection or investigation, that, for a person that is a cannabis
615     production establishment or a cannabis production establishment agent:
616          (i) the person has violated the provisions of this chapter, a rule made under this

617     chapter, or an order issued under this chapter; or
618          (ii) the person prepared a cannabis or cannabis product batch in a manner, or such that
619     the batch contains a substance, that poses a threat to human health.
620          (b) If the department makes the determination about a person described in Subsection
621     (3)(a)(i), the department shall:
622          (i) issue the person a citation in writing;
623          (ii) attempt to negotiate a stipulated settlement; or
624          (iii) direct the person to appear before an adjudicative proceeding conducted under
625     Title 63G, Chapter 4, Administrative Procedures Act.
626          (c) If the department makes the determination about a person described in Subsection
627     (3)(a)(ii), the department may:
628          (i) seize, embargo, or destroy a cannabis or cannabis product batch; and
629          (ii) direct the person to appear before an adjudicative proceeding conducted under Title
630     63G, Chapter 4, Administrative Procedures Act.
631          (4) The department may, for a person subject to an uncontested citation, a stipulated
632     settlement, or a finding of a violation in an adjudicative proceeding under this section:
633          (a) assess the person a fine, established in accordance with Section 63J-1-504, of up to
634     $5,000 per violation, in accordance with a fine schedule established by rule made in accordance
635     with Title 63G, Chapter 3, Utah Administrative Rulemaking Act; or
636          (b) order the person to cease and desist from the action that creates a violation.
637          (5) The department may not revoke a cannabis production establishment's license via a
638     citation.
639          (6) If within 20 calendar days after the day on which a department serves a citation for
640     a violation of this chapter, the person that is the subject of the citation fails to request a hearing
641     to contest the citation, the citation becomes the department's final order.
642          (7) The department may, for a person who fails to comply with a citation under this
643     section:
644          (a) refuse to issue or renew the person's license or cannabis production establishment
645     agent registration card; or
646          (b) suspend, revoke, or place on probation the person's license or cannabis production
647     establishment registration card.

648          Section 23. Section 10-9a-104 is amended to read:
649          10-9a-104. Stricter requirements.
650          (1) Except as provided in Subsection (2), a municipality may enact an ordinance
651     imposing stricter requirements or higher standards than are required by this chapter.
652          (2) A municipality may not impose stricter requirements or higher standards than are
653     required by:
654          (a) Section 4-42-206;
655          [(a)] (b) Section 10-9a-305; [and]
656          [(b)] (c) Section 10-9a-514[.]; and
657          (d) Section 26-58-406.
658          Section 24. Section 17-27a-104 is amended to read:
659          17-27a-104. Stricter requirements.
660          (1) Except as provided in Subsection (2), a county may enact an ordinance imposing
661     stricter requirements or higher standards than are required by this chapter.
662          (2) A county may not impose stricter requirements or higher standards than are
663     required by:
664          (a) Section 4-42-206;
665          [(a)] (b) Section 17-27a-305; [and]
666          [(b)] (c) Section 17-27a-513[.]; and
667          (d) Section 26-58-406.
668          Section 25. Section 26-58-101 is enacted to read:
669     
CHAPTER 58. MEDICAL CANNABIS ACT

670     
Part 1. General Provisions

671          26-58-101. Title.
672          This chapter is known as "Medical Cannabis Act."
673          Section 26. Section 26-58-102 is enacted to read:
674          26-58-102. Definitions.
675          As used in this chapter:
676          (1) "Cannabinoid profile" means the percentage of cannabis or a cannabis product, by
677     weight, that is composed of the cannabinoids:
678          (a) Tetrahydrocannabinol or THC;

679          (b) Tetrahyrdocannabinolic acid or THCa;
680          (c) Cannabidiol or CBD;
681          (d) Cannabinol or CBN; and
682          (e) Cannabigerol or CBG.
683          (2) "Cannabis" means the same as that term is defined in Section 58-37-3.6.
684          (3) "Cannabis cultivation facility" means the same as that term is defined in Section
685     4-42-102.
686          (4) "Cannabis dispensary" means a person that:
687          (a) sells cannabis, a cannabis product, or a medical cannabis device; or
688          (b) purchases or possesses cannabis, a cannabis product, or a medical cannabis device,
689     with the intent to sell the cannabis, cannabis product, or medical cannabis device.
690          (5) "Cannabis dispensary agent" means an owner, officer, board member, employee, or
691     volunteer of a cannabis dispensary.
692          (6) "Cannabis dispensary agent registration card" means a registration card, issued
693     under Section 26-58-304, that authorizes an individual to be a cannabis dispensary agent.
694          (7) "Cannabis processing facility" means the same as that term is defined in Section
695     4-42-102.
696          (8) "Cannabis product" means the same as that term is defined in Section 58-37-3.6.
697          (9) "Cannabis production establishment agent" means the same as that term is defined
698     in Section 4-42-102.
699          (10) "Cannabis production establishment agent registration card" means the same as
700     that term is defined in Section 4-42-102.
701          (11) "Designated caregiver" means an individual:
702          (a) whom a patient with a medical cannabis card designates as the patient's caregiver
703     under Section 26-58-201; and
704          (b) who obtains a medical cannabis card as a designated caregiver.
705          (12) "Electronic verification system" means the system described in Section 26-58-202.
706          (13) "Independent testing laboratory" means the same as that term is defined in Section
707     4-42-102.
708          (14) "Inventory control system" means the system described in Section 4-42-104.
709          (15) "Medical cannabis card" means an official document or card, issued by the

710     Department of Health under Section 26-58-201, that is connected to an electronic verification
711     system.
712          (16) "Medical cannabis device" means the same as that term is defined in Subsection
713     58-37-3.6(1)(b).
714          (17) "Medical cannabis establishment" means:
715          (a) an independent testing laboratory;
716          (b) a cannabis cultivation facility;
717          (c) a cannabis processing facility; or
718          (d) a cannabis dispensary.
719          (18) "Medical Cannabis Restricted Account" means the account created in Section
720     26-58-104.
721          (19) "Participating entity" means:
722          (a) the Department of Public Safety;
723          (b) the Department of Agriculture and Food;
724          (c) the Department of Health; and
725          (d) the Department of Technology Services.
726          (20) "Physician" means an individual who is qualified to recommend cannabis under
727     Section 26-58-207.
728          (21) "Qualifying illness" means a condition described in Section 26-58-208.
729          Section 27. Section 26-58-103 is enacted to read:
730          26-58-103. Preemption.
731          This chapter preempts any ordinance enacted by a political subdivision of the state that
732     regulates a cannabis dispensary.
733          Section 28. Section 26-58-104 is enacted to read:
734          26-58-104. Medical Cannabis Restricted Account -- Creation.
735          (1) There is created in the General Fund a restricted account known as the "Medical
736     Cannabis Restricted Account."
737          (2) The account created in this section is funded from:
738          (a) money deposited by the State Tax Commission under Title 59, Chapter 28, Medical
739     Cannabis Tax;
740          (b) money deposited into the account by the Department of Agriculture and Food under

741     Section 4-42-601;
742          (c) money deposited into the account by the department under Section 26-58-501;
743          (d) appropriations made to the account by the Legislature; and
744          (e) the interest described in Subsection (3).
745          (3) Interest earned on the account is deposited in the account.
746          (4) The money in the account may only be used to fund the state regulation of medical
747     cannabis, including implementing:
748          (a) Title 4, Chapter 42, Cannabis Production Establishments;
749          (b) Title 26, Chapter 58, Medical Cannabis Act; and
750          (c) Title 59, Chapter 28, Medical Cannabis Tax Act.
751          Section 29. Section 26-58-201 is enacted to read:
752     
Part 2. Medical Cannabis Card Registration

753          26-58-201. Medical cannabis card -- Application -- Fees -- Database.
754          (1) The Department of Health shall, no earlier than December 1, 2016, and within 15
755     days after an individual submits an application in compliance with this section, issue a medical
756     cannabis card, via the electronic verification system described in Section 26-58-202, to an
757     individual if the individual:
758          (a) is at least 18 years old;
759          (b) is a Utah resident;
760          (c) submits to the Department of Health, via the electronic verification system, a
761     recommendation electronically signed by a physician that indicates that the individual:
762          (i) suffers from a qualifying illness, including the type of qualifying illness; and
763          (ii) may benefit from treatment with cannabis or a cannabis product;
764          (d) pays the Department of Health a fee established by the department in accordance
765     with Section 63J-1-504; and
766          (e) submits an application to the Department of Health, using the electronic verification
767     system that contains:
768          (i) the individual's name, gender, age, and address; and
769          (ii) a copy of the individual's valid photo identification.
770          (2) The Department of Health shall, no earlier than December 1, 2016, and within 15
771     days after an individual submits an application in compliance with this Subsection (2), issue a

772     medical cannabis card, via the electronic verification system, to an individual who is the parent
773     or legal guardian of a minor if the individual:
774          (a) is at least 18 years old;
775          (b) is a Utah resident;
776          (c) provides the Department of Health, via the electronic verification system, with a
777     recommendation electronically signed by a physician that indicates that the minor:
778          (i) suffers from a qualifying illness, including:
779          (A) the type of qualifying illness; and
780          (B) the age, name, and gender of the minor with the qualifying illness; and
781          (ii) may benefit from treatment with cannabis or a cannabis product;
782          (d) pays the department a fee established by the department in accordance with Section
783     63J-1-504; and
784          (e) submits an application to the Department of Health, using the electronic verification
785     system, that contains:
786          (i) the parent's or legal guardian's name and address; and
787          (ii) a copy of the parent's or legal guardian's valid photo identification.
788          (3) An individual who applies for a medical cannabis card under Subsection (1) or (2)
789     shall fill out and submit the application described in Subsection (1) or (2):
790          (a) online, in connection with the electronic verification system; and
791          (b) with a physician, during an office visit with the physician.
792          (4) (a) An individual who holds a valid medical cannabis card under Subsection (1)
793     who a physician determines is unable to obtain cannabis or a cannabis product from a cannabis
794     dispensary may register with the Department of Health, via the electronic verification system,
795     up to two individuals to serve as designated caregivers of the individual.
796          (b) An individual may serve as a designated caregiver under Subsection (4)(a) if the
797     individual:
798          (i) is at least 18 years old;
799          (ii) is a Utah resident;
800          (iii) applies online with the Department of Health through the electronic verification
801     system for a medical cannabis card as a designated caregiver;
802          (iv) pays to the Department of Health a fee, established by the department in

803     accordance with Section 63J-1-504, plus the cost of a criminal background check; and
804          (v) meets the requirements of Section 26-58-205.
805          (5) A medical cannabis card the department issues under Subsection (1), (2), or (4) is:
806          (a) valid for the lesser of:
807          (i) an amount of time determined by the physician who recommends treatment with
808     cannabis or a cannabis product under Subsection (1) or (2); or
809          (ii) two years; and
810          (b) (i) renewable if, at the time of renewal the individual with the medical cannabis
811     card meets the requirements of Subsection (1) or (2); and
812          (ii) renewable for a designated caregiver, if at the time of renewal, the individual
813     described in Subsection (5)(b)(i) renews the designation of the caregiver.
814          (6) The Department of Health may revoke an individual's medical cannabis card if the
815     individual violates this chapter.
816          Section 30. Section 26-58-202 is enacted to read:
817          26-58-202. Electronic verification system -- Department of Technology Services.
818          (1) In accordance with Section 63F-1-104.5, the participating entities shall establish
819     and maintain a secure electronic verification system that:
820          (a) allows an individual, under Subsection 26-58-201(1), or an individual who is the
821     parent or legal guardian of a minor under Subsection 26-58-201(2), to:
822          (i) apply, in the presence of a physician, to the Department of Health for a medical
823     cannabis card; and
824          (ii) designate up to two caregivers for the patient;
825          (b) allows a physician to electronically recommend, during a visit with a patient,
826     treatment with cannabis or a cannabis product for the patient;
827          (c) issues to an individual, if the individual meets the requirements in Section
828     26-58-201, a medical cannabis card;
829          (d) issues to a designated caregiver, if the designated caregiver meets the requirements
830     in Section 26-58-205, a medical cannabis card on behalf of a named patient;
831          (e) connects with an inventory control system used by a cannabis dispensary to track, in
832     real time, for the purchase of cannabis or a cannabis product by a medical cannabis card holder:
833          (i) the time and date of the purchase;

834          (ii) the quantity and type of cannabis or a cannabis product purchased; and
835          (iii) any medical cannabis establishment associated with the cannabis or cannabis
836     product;
837          (f) is accessible by the participating entity to the extent necessary for the participating
838     entity to carry out the functions and responsibilities given to the participating entity under this
839     chapter;
840          (g) is accessible by state or local law enforcement:
841          (i) during a traffic stop for the purpose of determining if the individual subject to the
842     traffic stop is complying with state medical cannabis law; or
843          (ii) after obtaining a warrant; and
844          (h) creates a record each time the database is accessed that identifies the individual
845     who accessed the database and the individual whose records were accessed.
846          (2) The Department of Agriculture and Food, the Department of Health, and the
847     Department of Public Safety:
848          (a) shall enter into a memorandum of understanding in order to determine the function
849     and operation of the electronic verification system;
850          (b) may direct the Department of Technology Services to work with a third party
851     provider to develop and maintain the electronic verification system; and
852          (c) shall coordinate with the Division of Purchasing under Title 63G, Chapter 6a, Utah
853     Procurement Code, to select a third party provider described in Subsection (2)(b).
854          (3) The Department of Health may release the data collected by the system under
855     Subsection (1) for the purpose of conducting medical research if the medical research is
856     approved by an institutional review board associated with a university medical school.
857          Section 31. Section 26-58-203 is enacted to read:
858          26-58-203. Standard of care -- Medical practitioners not liable -- No private right
859     of action.
860          (1) It is not a breach of the applicable standard of care for a physician to recommend
861     treatment with cannabis or a cannabis product to an individual under this chapter.
862          (2) A physician who recommends treatment with cannabis or a cannabis product to an
863     individual in accordance with this chapter may not, based on the recommendation, be subject
864     to:

865          (a) civil liability;
866          (b) criminal liability; or
867          (c) licensure sanctions under:
868          (i) Title 58, Chapter 67, Utah Medical Practice Act; or
869          (ii) Title 58, Chapter 68, Utah Osteopathic Medical Practice Act.
870          Section 32. Section 26-58-204 is enacted to read:
871          26-58-204. Medical cannabis card -- Patient and designated caregiver
872     requirements -- Rebuttable presumption.
873          (1) An individual who has a medical cannabis card issued by the Department of Health
874     under Section 26-58-201 and who possesses cannabis or a cannabis product outside of the
875     individual's residence shall:
876          (a) carry, with the individual at all times, the individual's medical cannabis card; and
877          (b) carry, with the cannabis or cannabis product, a label that identifies that the cannabis
878     or cannabis product was originally sold from a dispensary licensed under Section 26-58-301,
879     including the bar code or identification number that links the cannabis or cannabis product to
880     the dispensary's inventory control system.
881          (2) (a) If an individual possesses cannabis or a cannabis product in compliance with
882     Subsection (1), or a medical cannabis device that corresponds with the cannabis or cannabis
883     product:
884          (i) there is a rebuttable presumption that the individual possesses the cannabis,
885     cannabis product, or medical cannabis device legally; and
886          (ii) a law enforcement officer does not have probable cause, based solely on the
887     individual's possession of the cannabis, cannabis product, or medical cannabis device, to
888     believe that the individual is engaging in illegal activity.
889          (b) (i) If a law enforcement officer stops an individual who possesses cannabis, a
890     cannabis product, or a medical cannabis device, and the individual represents to the law
891     enforcement officer that the individual holds a valid medical cannabis card, but the individual
892     does not have the medical cannabis card in the individual's possession at the time of the stop by
893     the law enforcement officer, the law enforcement officer shall attempt to access the electronic
894     verification system to determine whether the individual holds a valid medical cannabis card.
895          (ii) If the law enforcement officer is able to verify that the individual holds a valid

896     medical cannabis card, the law enforcement officer:
897          (A) may not arrest or take the individual into custody for the sole reason that the
898     individual is in possession of cannabis, a cannabis product, or a medical cannabis device;
899          (B) may not seize the cannabis, cannabis product, or medical cannabis device; and
900          (C) may only issue a citation to the individual for an infraction for not carrying the
901     medical cannabis card in accordance with Subsection (1)(a).
902          Section 33. Section 26-58-205 is enacted to read:
903          26-58-205. Designated caregiver -- Criminal background check.
904          (1) An individual registered as a designated caregiver under Subsection 26-58-201(4):
905          (a) may:
906          (i) carry a valid medical cannabis card with the patient's name and the designated
907     caregiver's name; and
908          (ii) purchase and possess, in accordance with this chapter, cannabis, a cannabis
909     product, or a medical cannabis device on behalf of the patient whose name appears on the
910     designated caregiver's medical cannabis card; and
911          (b) shall submit to a criminal background check in accordance with Subsection (2).
912          (2) Each designated caregiver shall:
913          (a) submit, to the department, a fingerprint card in a form acceptable to the department
914     and the Department of Public Safety; and
915          (b) consent to a fingerprint background check by:
916          (i) the Utah Bureau of Criminal Identification; and
917          (ii) the Federal Bureau of Investigation.
918          (3) The Department of Public Safety shall complete a Federal Bureau of Investigation
919     Criminal Background Check for each designated caregiver under Subsection (2) and report the
920     results of the background check to the Department of Health.
921          (4) (a) The Department of Health shall issue a card to a designated caregiver within 15
922     business days after the designated caregiver passes the criminal background check under
923     Subsection (2). The card issued to a designated caregiver shall include the name of the
924     caregiver and the name of the patient for whom the caregiver is designated.
925          (b) The Department of Health may revoke or refuse to issue the registration of a
926     designated caregiver if the designated caregiver has committed a felony that is:

927          (i) a crime of violence involving the use of force or violence against another person; or
928          (ii) a felony conviction of a state or federal law pertaining to controlled substances.
929          Section 34. Section 26-58-206 is enacted to read:
930          26-58-206. Compassionate Use Board.
931          (1) The Department of Health shall establish a Compassionate Use Board consisting
932     of:
933          (a) four physicians who are knowledgeable about the medical use of cannabis and
934     certified by the appropriate American board in one of the following specialties:
935          (i) neurology;
936          (ii) pain medicine and pain management;
937          (iii) medical oncology;
938          (iv) psychiatry;
939          (v) infectious disease;
940          (vi) internal medicine and pediatrics; and
941          (vii) gastroenterology; and
942          (b) the director of the Department of Health or the director's designee.
943          (2) The department shall appoint at least one member of the board who has a specialty
944     in addiction medicine.
945          (3) (a) Two of the members of the board first appointed shall serve for a term of three
946     years and two of the members of the board first appointed shall serve for a term of four years.
947          (b) After the first members' terms expire, members of the board shall serve for a term
948     of four years and shall be eligible for reappointment.
949          (c) Any member of the board may serve until a successor is appointed.
950          (d) The director of the Department of Health or the director's designee shall serve as
951     the chair of the board.
952          (4) A quorum of the Compassionate Use Board shall consist of three members.
953          (5) A member of the board may not receive compensation or benefits for the member's
954     service, but may receive per diem and travel expenses in accordance with:
955          (a) Section 63A-3-106;
956          (b) Section 63A-3-107; and
957          (c) rules made by the Division of Finance pursuant to Sections 63A-3-106 and

958     63A-3-107.
959          (6) The Compassionate Use Board shall:
960          (a) review and recommend to the department approval for an individual who is not
961     otherwise qualified to receive a medical cannabis card to obtain a medical cannabis card for
962     compassionate use if:
963          (i) the individual and the individual's physician appear before the board and offer, in
964     the board's discretion, satisfactory evidence that the individual suffers from a condition that:
965          (A) substantially impairs the individual's quality of life;
966          (B) is intractable; and
967          (C) is not responsive to other treatments; and
968          (ii) the board determines it is in the best interest of the patient to allow the
969     compassionate use of medical cannabis;
970          (b) meet to receive or review compassionate use petitions:
971          (i) quarterly, unless no petitions are pending; or
972          (ii) as often as necessary if there are more petitions than the board can receive or
973     review during the board's regular schedule;
974          (c) report before November 1 of each year, to the Legislature's Health and Human
975     Services Interim Committee, the number of compassionate use approvals the board issued
976     during the past year and the types of conditions for which the board approved compassionate
977     use;
978          (d) evaluate whether the number of cannabis dispensaries in a geographic area meets
979     the needs for a geographic area and recommend to the Legislature whether the number of
980     cannabis dispensaries should be increased in a geographic area;
981          (e) evaluate physician appeals under Subsection 26-58-207(5); and
982          (f) perform other duties related to the medical use of cannabis upon the request of the
983     director of the Department of Health.
984          (7) The department shall review any compassionate use approved by the board under
985     this section to determine if the board properly exercised the board's discretion under this
986     section.
987          (8) If the department determines the board properly approved an individual for a
988     compassionate use under this section, the department shall issue the individual approval to

989     obtain a medical cannabis card in accordance with this chapter.
990          (9) Any individually identifiable health information contained in a petition received
991     under this section shall be a protected record in accordance with Title 63G, Chapter 2,
992     Government Records Access and Management Act.
993          (10) The Compassionate Use Board shall, before November 1 of each year,
994     recommend to the Health and Human Services Interim Committee:
995          (a) a condition to designate as a qualifying illness under Section 26-58-208; or
996          (b) a condition to remove as a qualifying illness under Section 26-58-208.
997          Section 35. Section 26-58-207 is enacted to read:
998          26-58-207. Physician qualification.
999          (1) For the purposes of this section, a physician means an individual who is licensed to
1000     practice:
1001          (a) medicine under Title 58, Chapter 67, Utah Medical Practice Act; or
1002          (b) osteopathic medicine under Title 58, Chapter 68, Utah Osteopathic Medical
1003     Practice Act.
1004          (2) A physician may recommend cannabis if the physician:
1005          (a) completes the training requirements described in Subsection (3); and
1006          (b) except as described in Subsection (4), recommends cannabis to no more than 20%
1007     of the physician's patients at any given time.
1008          (3) A physician shall complete, before recommending cannabis to a patient, a training
1009     program in cannabis recommendation best practices that is approved by the department, by rule
1010     made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
1011          (4) A physician may recommend cannabis to greater than 20% of the physician's
1012     patients if the physician:
1013          (a) is certified, by the appropriate American medical board, in one of the following
1014     specialties:
1015          (i) anesthesiology;
1016          (ii) gastroenterology;
1017          (iii) neurology;
1018          (iv) oncology;
1019          (v) pain and palliative care;

1020          (vi) physiatry; or
1021          (vii) psychiatry;
1022          (b) appears before the Compassionate Use Board described in Section 26-58-206; and
1023          (c) demonstrates, to the satisfaction of the board and with the department's approval,
1024     that:
1025          (i) the physician's practice has unique characteristics that warrant allowing the
1026     physician to recommend cannabis to greater than 20% of the physician's patients; and
1027          (ii) the physician has established expertise in medical cannabis.
1028          Section 36. Section 26-58-208 is enacted to read:
1029          26-58-208. Qualifying illness.
1030          (1) For the purposes of this chapter, the following conditions are considered a
1031     qualifying illness:
1032          (a) acquired immune deficiency syndrome or an autoimmune disorder;
1033          (b) Alzheimer's disease;
1034          (c) amyotrophic lateral sclerosis;
1035          (d) cancer, cachexia, or a similar condition with symptoms that include physical
1036     wasting, nausea, or malnutrition associated with chronic disease;
1037          (e) Crohn's disease or a similar gastrointestinal disorder;
1038          (f) epilepsy or a similar condition that causes debilitating seizures;
1039          (g) multiple sclerosis or a similar condition that causes persistent and debilitating
1040     muscle spasms;
1041          (h) post-traumatic stress disorder related to military service; and
1042          (i) chronic pain in an individual, if a physician determines that the individual is at risk
1043     of becoming chemically dependent on, or overdosing on, opiate-based pain medication.
1044          (2) In addition to the conditions described in Subsection (1), a condition approved
1045     under Section 26-58-206, in an individual, on a case-by-case basis, is considered a qualifying
1046     illness for the purposes of this chapter.
1047          Section 37. Section 26-58-209 is enacted to read:
1048          26-58-209. Nondiscrimination against public employees for use of cannabis, a
1049     cannabis product, or a medical cannabis device.
1050          (1) As used in this section:

1051          (a) "Discriminate in matters of compensation" means the same as that term is defined
1052     in Section 34A-5-106.
1053          (b) "Public employee" means an individual who is employed by a public employer.
1054          (c) "Public employer" means the following entities:
1055          (i) a department, division, board, council, committee, institution, office, bureau, or
1056     other similar administrative unit of state government;
1057          (ii) a municipality;
1058          (iii) a county;
1059          (iv) a school district; or
1060          (v) an institution of higher education as described in Section 53B-2-101.
1061          (2) A public employer may not do the following to an individual because the individual
1062     uses cannabis, a cannabis product, or a medical cannabis device in accordance with this
1063     chapter:
1064          (a) refuse to hire or promote the individual;
1065          (b) discharge, demote, or terminate the individual;
1066          (c) retaliate against or harass the individual; or
1067          (d) discriminate against the individual in matters of compensation or in terms,
1068     privileges, and conditions of employment.
1069          Section 38. Section 26-58-301 is enacted to read:
1070     
Part 3. Cannabis Dispensary License

1071          26-58-301. Cannabis dispensary -- License -- Eligibility.
1072          (1) A person may not operate as a cannabis dispensary without a license from the
1073     department issued under this part.
1074          (2) Subject to the requirements of this part, the department shall, within 30 business
1075     days after receiving a complete application, issue a license to operate a cannabis dispensary to a
1076     person who submits to the department:
1077          (a) a proposed name, address, and physical location where the person will operate the
1078     cannabis dispensary;
1079          (b) evidence that the person:
1080          (i) possesses or controls a minimum of $500,000 in liquid assets for each application
1081     submitted to the department;

1082          (ii) can comply with the operating requirements for a cannabis dispensary described in
1083     this chapter; and
1084          (iii) will implement an inventory control system at the cannabis dispensary;
1085          (c) a complete application for a business license;
1086          (d) an application fee, in an amount determined by the department in accordance with
1087     Section 63J-1-504, that is necessary to cover the department's cost to implement this part;
1088          (e) an operational plan that complies with Subsection (3); and
1089          (f) the results of a criminal background check for each cannabis dispensary agent.
1090          (3) A person applying for a cannabis dispensary license shall submit to the department
1091     a proposed operation plan for the cannabis dispensary that includes:
1092          (a) a description of the cannabis dispensary's employee training standards;
1093          (b) a security plan for the cannabis dispensary;
1094          (c) the time period in which the person estimates the cannabis dispensary will become
1095     operational; and
1096          (d) the products, and anticipated sources of the products, that a cannabis dispensary
1097     plans to sell.
1098          (4) If the department determines that a cannabis dispensary is eligible for a license
1099     under this section, the department shall:
1100          (a) before January 1, 2017, charge the cannabis dispensary an initial license fee of
1101     $25,000; and
1102          (b) on or after January 1, 2017, charge the cannabis dispensary an initial license fee in
1103     an amount determined by the department in accordance with Section 63J-1-504.
1104          (5) Except as provided in Subsection (6), the department shall renew a person's license
1105     under this part every two years if, at the time of renewal:
1106          (a) the person meets the requirements of Subsection (1); and
1107          (b) the person pays the department a license renewal fee in an amount determined by
1108     the department in accordance with Section 63J-1-504.
1109          (6) (a) The department may not renew a cannabis dispensary's license for a sixth
1110     consecutive time unless the department publishes a notice, in a newspaper of general
1111     circulation for the geographic area in which the cannabis dispensary is located, one year before
1112     the day on which the cannabis dispensary's license expires, that includes:

1113          (i) the name and location of the cannabis dispensary;
1114          (ii) the day on which the license for the cannabis dispensary will expire; and
1115          (iii) a solicitation for cannabis dispensary license applicants.
1116          (b) If, after the department publishes the notice described in Subsection (6)(a), the
1117     department receives an application for a cannabis dispensary from a new applicant and also
1118     receives an application for renewal from the existing cannabis dispensary, the department shall
1119     issue the license to the applicant that the department determines best meets the criteria
1120     established in Section 26-58-302.
1121          (7) (a) If a licensed cannabis dispensary abandons the cannabis dispensary's license, the
1122     department shall publish notice of an available license in the same manner as described in
1123     Subsection (6)(a).
1124          (b) The department may establish criteria, in accordance with Title 63G, Chapter 3,
1125     Utah Administrative Rulemaking Act, for what actions by a cannabis dispensary constitute
1126     abandonment of a cannabis dispensary license.
1127          (8) The department may revoke a license under this part if the cannabis dispensary is
1128     not operational within one year of the issuance of the initial license.
1129          (9) The department shall deposit the proceeds of a fee imposed by this section in the
1130     Medical Cannabis Restricted Account.
1131          (10) The department shall begin accepting applications under this part no later than
1132     December 1, 2016.
1133          Section 39. Section 26-58-302 is enacted to read:
1134          26-58-302. Maximum number of licenses.
1135          (1) The department may not issue more than the greater of, in each county in the state:
1136          (a) one cannabis dispensary license; or
1137          (b) an amount of cannabis dispensary licenses equal to the number of residents in the
1138     county divided by 200,000, rounded up to the nearest greater whole number.
1139          (2) If more than one applicant for a license in a geographic area meets the
1140     qualifications of this chapter for a cannabis dispensary, the department shall evaluate the
1141     applicants to determine which applicant has best demonstrated:
1142          (a) experience with:
1143          (i) establishing and running a business in a related field;

1144          (ii) operating a secure inventory control system;
1145          (iii) complying with a regulatory environment; and
1146          (iv) training, evaluating, and monitoring employees;
1147          (b) connections to the local community; and
1148          (c) the extent to which the applicant can reduce the cost of cannabis or cannabis
1149     products to a patient.
1150          Section 40. Section 26-58-303 is enacted to read:
1151          26-58-303. Cannabis dispensary agent -- Registration card.
1152          (1) An individual may not act as a cannabis dispensary agent of a cannabis dispensary
1153     unless the individual is registered by the department as a cannabis dispensary agent.
1154          (2) The department shall, within 15 days after receiving a complete application,
1155     register and issue a cannabis dispensary agent registration card to an individual who:
1156          (a) has not been convicted of an offense that is a felony under either state or federal
1157     law;
1158          (b) provides to the department:
1159          (i) the individual's name and address; and
1160          (ii) the name and location of the licensed cannabis dispensary where the individual
1161     seeks to act as the cannabis dispensary agent;
1162          (c) pays a fee to the department, in an amount determined by the department in
1163     accordance with Section 63J-1-504, that is necessary to cover the department's cost to
1164     implement this part; and
1165          (d) complies with the requirement for and passes a criminal background check
1166     described in Section 26-58-304.
1167          (3) A cannabis dispensary agent shall comply with a certification standard designated
1168     by the department by rule made in accordance with Title 63G, Chapter 3, Utah Administrative
1169     Rulemaking Act.
1170          (4) The department may revoke the cannabis dispensary agent registration card of an
1171     individual who:
1172          (a) violates the requirements of this chapter; or
1173          (b) is convicted of an offense that is a felony under state or federal law.
1174          Section 41. Section 26-58-304 is enacted to read:

1175          26-58-304. Cannabis dispensary agents -- Criminal background checks.
1176          (1) An individual applying for a cannabis dispensary agent registration card under this
1177     chapter shall:
1178          (a) submit, at the time of application, a fingerprint card in a form acceptable to the
1179     department; and
1180          (b) consent to a fingerprint background check by:
1181          (i) the Utah Bureau of Criminal Identification; and
1182          (ii) the Federal Bureau of Investigation.
1183          (2) The department shall request that the Department of Public Safety complete a
1184     Federal Bureau of Investigation criminal background check for each cannabis dispensary agent
1185     registration card applicant.
1186          (3) The department may revoke or refuse to issue an individual's cannabis dispensary
1187     agent registration card if the individual has committed an offense that is a felony under state or
1188     federal law.
1189          Section 42. Section 26-58-305 is enacted to read:
1190          26-58-305. Cannabis dispensary agent registration card -- Rebuttable
1191     presumption.
1192          (1) An individual who has a cannabis dispensary agent registration card shall carry the
1193     individual's cannabis dispensary agent registration card with the individual at all times when:
1194          (a) the individual is on the premises of a cannabis dispensary; and
1195          (b) transporting cannabis, a cannabis product, or a medical cannabis device between
1196     two medical cannabis establishments.
1197          (2) If an individual handling cannabis, a cannabis product, or a medical cannabis
1198     device at a cannabis dispensary, or transporting cannabis, a cannabis product, or a medical
1199     cannabis device, possesses the cannabis, cannabis product, or medical cannabis device in
1200     compliance with Subsection (1):
1201          (a) there is a rebuttable presumption that the individual possesses the cannabis,
1202     cannabis product, or medical cannabis device legally; and
1203          (b) a law enforcement officer does not have probable cause to believe that the
1204     individual is engaging in illegal activity, based solely on the individual's possession of the
1205     cannabis, cannabis product, or medical cannabis device in compliance with Subsection (1).

1206          Section 43. Section 26-58-401 is enacted to read:
1207     
Part 4. Cannabis Dispensary Operation

1208          26-58-401. Operating requirements -- General.
1209          (1) A cannabis dispensary shall have a single, secure, public entrance.
1210          (2) A cannabis dispensary may sell cannabis, a cannabis product, or a medical cannabis
1211     device only in a secure area where only an individual with a medical cannabis card may enter.
1212          (3) A cannabis dispensary may not operate without:
1213          (a) a security system with a backup power source in the event of a power outage to:
1214          (i) detect and record entry at all times the cannabis dispensary is closed; and
1215          (ii) provide notice to local law enforcement of unauthorized entry;
1216          (b) a lock on any entrance to the part of the cannabis dispensary where medical
1217     cannabis is stored; and
1218          (c) an inventory control system that complies with Section 4-42-104.
1219          (4) A physician may not:
1220          (a) serve as an owner, principal, or shareholder of a cannabis dispensary; or
1221          (b) except online, advertise that the physician may or will recommend cannabis or a
1222     cannabis product.
1223          (5) A cannabis dispensary shall post the limit on the purchase of cannabis, as described
1224     in Subsection 26-58-402(3), clearly and conspicuously in the cannabis dispensary.
1225          (6) A cannabis dispensary may not allow any individual to consume cannabis on the
1226     property or premises of the establishment.
1227          (7) A cannabis dispensary may not sell cannabis, a cannabis product, or a medical
1228     cannabis device before January 1, 2017.
1229          Section 44. Section 26-58-402 is enacted to read:
1230          26-58-402. Dispensing -- Amount a cannabis dispensary may dispense --
1231     Reporting -- Form of cannabis or cannabis product.
1232          (1) A cannabis dispensary may only sell, subject to this chapter:
1233          (a) cannabis;
1234          (b) a cannabis product;
1235          (c) a medical cannabis device; or
1236          (d) educational materials related to the medical use of cannabis.

1237          (2) A cannabis dispensary may only sell cannabis, a cannabis product, or a medical
1238     cannabis device to an individual with a medical cannabis card issued by the department.
1239          (3) A cannabis dispensary may not dispense on behalf of any one individual with a
1240     medical cannabis card, in any one 30-day period:
1241          (a) an amount of unprocessed cannabis that exceeds two ounces by weight; or
1242          (b) an amount of cannabis products that contains, in total, greater than 10 grams of
1243     cannabinoids by weight.
1244          (4) An individual with a medical cannabis card may not purchase more cannabis or
1245     cannabis products than the amounts designated in Subsection (3).
1246          (5) A designated caregiver designated by any one individual with a medical cannabis
1247     card may not purchase, for the individual, an amount of cannabis or cannabis products that
1248     exceeds the amounts designated in Subsection (3).
1249          (6) A cannabis dispensary shall:
1250          (a) submit a record, to the electronic verification system, of each time the cannabis
1251     dispensary dispenses cannabis or a cannabis product to an individual with a medical cannabis
1252     card; and
1253          (b) access the electronic verification system before dispensing cannabis or a cannabis
1254     product to an individual with a medical cannabis card in order to determine if the individual
1255     has exceeded the amount of cannabis or cannabis products described in Subsection (3).
1256          (7) (a) Except as provided in Subsection (7)(b), a cannabis dispensary may not sell a
1257     medical cannabis device that is constructed or produced to resemble a cigarette.
1258          (b) A cannabis dispensary may sell a medical cannabis device that creates a vapor that
1259     delivers cannabis to an individual's respiratory system.
1260          (8) A cannabis dispensary may give to an individual with a medical cannabis card, for
1261     free, any product the cannabis dispensary is allowed to sell under Subsection (1).
1262          Section 45. Section 26-58-403 is enacted to read:
1263          26-58-403. Product quality -- Labeling -- Packaging.
1264          (1) A cannabis dispensary may not sell or offer to sell cannabis or a cannabis product
1265     unless:
1266          (a) the cannabinoid profile in the cannabis or cannabis product is clearly and accurately
1267     stated on the cannabis or cannabis product packaging; and

1268          (b) the cannabis or cannabis product is sealed in a tamper resistant, resealable container
1269     with a label that includes a bar code or identification number that links the cannabis or
1270     cannabis product to the cannabis dispensary's inventory control system.
1271          (2) A cannabis dispensary may only sell cannabis or a cannabis product that has been
1272     inspected by an independent testing laboratory in accordance with Section 4-42-502.
1273          Section 46. Section 26-58-404 is enacted to read:
1274          26-58-404. Advertising.
1275          (1) Except as provided in Subsection (2), a cannabis dispensary may not advertise in
1276     any medium.
1277          (2) A cannabis dispensary may only advertise using:
1278          (a) signage on the outside of the cannabis dispensary that includes only:
1279          (i) the cannabis dispensary's name and hours of operation; and
1280          (ii) a green cross; and
1281          (b) a website that includes information about the location of the dispensary, products
1282     and services available at the dispensary, and educational materials related to the use of
1283     cannabis.
1284          Section 47. Section 26-58-405 is enacted to read:
1285          26-58-405. Inspections.
1286          (1) The department shall inspect, in accordance with Subsection (2), a cannabis
1287     dispensary's facility and records in order to determine if the cannabis dispensary complies with
1288     the licensing requirements of this part.
1289          (2) The department may inspect the records and facility of a cannabis dispensary:
1290          (a) as many as three scheduled times per year;
1291          (b) as many as one unscheduled time per year; and
1292          (c) if the department has reason to believe that the cannabis dispensary has violated the
1293     law, at any time, scheduled or unscheduled.
1294          Section 48. Section 26-58-406 is enacted to read:
1295          26-58-406. Zoning.
1296          (1) Except as provided in Subsection (2), a municipality or local government may not
1297     enact a zoning ordinance that prohibits a cannabis dispensary from operating in a location
1298     within the municipality's or local government's jurisdiction, on the basis that the cannabis

1299     dispensary is a cannabis dispensary.
1300          (2) (a) A municipality or local government may not prohibit a cannabis dispensary
1301     from operating, as a permitted use, in an agricultural, industrial, or commercial zone, or in a
1302     zone with similar characteristics to an agricultural, industrial, or commercial zone.
1303          (b) A municipality may prohibit a cannabis dispensary from operating in a zone not
1304     described in Subsection (2)(a).
1305          Section 49. Section 26-58-407 is enacted to read:
1306          26-58-407. Cannabis, cannabis product, or medical cannabis device
1307     transportation.
1308          (1) An individual may not transport cannabis, a cannabis product, or a medical
1309     cannabis device unless the individual has a valid cannabis production establishment
1310     registration card or valid cannabis dispensary registration card.
1311          (2) An individual transporting cannabis, a cannabis product, or a medical cannabis
1312     device shall keep a transportation record that includes:
1313          (a) a bar code or identification number that links the cannabis, cannabis product, or
1314     medical cannabis device to a relevant medical cannabis establishment's inventory control
1315     system;
1316          (b) origin and destination information for any cannabis, cannabis product, or medical
1317     cannabis device the individual is transporting; and
1318          (c) a record of the departure and arrival time of the individual transporting the
1319     cannabis, cannabis product, or medical cannabis device.
1320          (3) In addition to the requirements in Subsections (1) and (2), the Department of
1321     Agriculture and Food may establish, by rule made in accordance with Title 63G, Chapter 3,
1322     Utah Administrative Rulemaking Act, requirements for transporting cannabis, a cannabis
1323     product, or a medical cannabis device that are related to human consumption safety.
1324          Section 50. Section 26-58-501 is enacted to read:
1325     
Part 5. Enforcement

1326          26-58-501. Enforcement -- Fine -- Citation.
1327          (1) The department may, for a violation of this chapter by a person who is a cannabis
1328     dispensary or cannabis dispensary agent:
1329          (a) revoke the person's license;

1330          (b) refuse to renew the person's license;
1331          (c) assess the person an administrative penalty; or
1332          (d) take any other appropriate administrative action.
1333          (2) The department shall deposit an administrative penalty imposed under this section
1334     into the Medical Cannabis Restricted Account.
1335          (3) The department may, for a person subject to an uncontested citation, a stipulated
1336     settlement, or a finding of a violation in an adjudicative proceeding under this section:
1337          (a) assess the person a fine, established in accordance with Section 63J-1-504, of up to
1338     $5,000 per violation, in accordance with a fine schedule established by rule made in accordance
1339     with Title 63G, Chapter 3, Utah Administrative Rulemaking Act; or
1340          (b) order the person to cease and desist from the action that creates a violation.
1341          (4) The department may not revoke a cannabis dispensary's license via a citation.
1342          (5) If, within 20 calendar days after the day on which the department issues a citation
1343     for a violation of this chapter, the person that is the subject of the citation fails to request a
1344     hearing to contest the citation, the citation becomes the department's final order.
1345          (6) The department may, for a person who fails to comply with a citation under this
1346     section:
1347          (a) refuse to issue or renew the person's license or cannabis dispensary agent
1348     registration card; or
1349          (b) suspend, revoke, or place on probation the person's license or cannabis dispensary
1350     agent registration card.
1351          Section 51. Section 30-3-10 is amended to read:
1352          30-3-10. Custody of children in case of separation or divorce -- Custody
1353     consideration.
1354          (1) If a husband and wife having minor children are separated, or their marriage is
1355     declared void or dissolved, the court shall make an order for the future care and custody of the
1356     minor children as it considers appropriate.
1357          (a) In determining any form of custody, including a change in custody, the court shall
1358     consider the best interests of the child without preference for either the mother or father solely
1359     because of the biological sex of the parent and, among other factors the court finds relevant, the
1360     following:

1361          (i) the past conduct and demonstrated moral standards of each of the parties;
1362          (ii) which parent is most likely to act in the best interest of the child, including
1363     allowing the child frequent and continuing contact with the noncustodial parent;
1364          (iii) the extent of bonding between the parent and child, meaning the depth, quality,
1365     and nature of the relationship between a parent and child;
1366          (iv) whether the parent has intentionally exposed the child to pornography or material
1367     harmful to a minor, as defined in Section 76-10-1201; and
1368          (v) those factors outlined in Section 30-3-10.2.
1369          (b) There shall be a rebuttable presumption that joint legal custody, as defined in
1370     Section 30-3-10.1, is in the best interest of the child, except in cases where there is:
1371          (i) domestic violence in the home or in the presence of the child;
1372          (ii) special physical or mental needs of a parent or child, making joint legal custody
1373     unreasonable;
1374          (iii) physical distance between the residences of the parents, making joint decision
1375     making impractical in certain circumstances; or
1376          (iv) any other factor the court considers relevant including those listed in this section
1377     and Section 30-3-10.2.
1378          (c) The person who desires joint legal custody shall file a proposed parenting plan in
1379     accordance with Sections 30-3-10.8 and 30-3-10.9. A presumption for joint legal custody may
1380     be rebutted by a showing by a preponderance of the evidence that it is not in the best interest of
1381     the child.
1382          (d) The children may not be required by either party to testify unless the trier of fact
1383     determines that extenuating circumstances exist that would necessitate the testimony of the
1384     children be heard and there is no other reasonable method to present their testimony.
1385          (e) The court may inquire of the children and take into consideration the children's
1386     desires regarding future custody or parent-time schedules, but the expressed desires are not
1387     controlling and the court may determine the children's custody or parent-time otherwise. The
1388     desires of a child 14 years of age or older shall be given added weight, but is not the single
1389     controlling factor.
1390          (f) If interviews with the children are conducted by the court pursuant to Subsection
1391     (1)(e), they shall be conducted by the judge in camera. The prior consent of the parties may be

1392     obtained but is not necessary if the court finds that an interview with the children is the only
1393     method to ascertain the child's desires regarding custody.
1394          (2) In awarding custody, the court shall consider, among other factors the court finds
1395     relevant, which parent is most likely to act in the best interests of the child, including allowing
1396     the child frequent and continuing contact with the noncustodial parent as the court finds
1397     appropriate.
1398          (3) If the court finds that one parent does not desire custody of the child, the court shall
1399     take that evidence into consideration in determining whether to award custody to the other
1400     parent.
1401          (4) (a) Except as provided in Subsection (4)(b), a court may not discriminate against a
1402     parent due to a disability, as defined in Section 57-21-2, in awarding custody or determining
1403     whether a substantial change has occurred for the purpose of modifying an award of custody.
1404          (b) If a court takes a parent's disability into account in awarding custody or determining
1405     whether a substantial change has occurred for the purpose of modifying an award of custody,
1406     the parent with a disability may rebut any evidence, presumption, or inference arising from the
1407     disability by showing that:
1408          (i) the disability does not significantly or substantially inhibit the parent's ability to
1409     provide for the physical and emotional needs of the child at issue; or
1410          (ii) the parent with a disability has sufficient human, monetary, or other resources
1411     available to supplement the parent's ability to provide for the physical and emotional needs of
1412     the child at issue.
1413          (c) Nothing in this section may be construed to apply to adoption proceedings under
1414     Title 78B, Chapter 6, Part 1, Utah Adoption Act.
1415          (5) This section establishes neither a preference nor a presumption for or against joint
1416     physical custody or sole physical custody, but allows the court and the family the widest
1417     discretion to choose a parenting plan that is in the best interest of the child.
1418          (6) In considering the past conduct and demonstrated moral standards of each of the
1419     parties as described under Subsection (1)(a)(i), a court may not discriminate against a parent
1420     because of the parent's possession or consumption of cannabis, a cannabis product, or a
1421     medical cannabis device, in accordance with Title 26, Chapter 58, Medical Cannabis Act.
1422          Section 52. Section 41-6a-517 is amended to read:

1423          41-6a-517. Definitions -- Driving with any measurable controlled substance in the
1424     body -- Penalties -- Arrest without warrant.
1425          (1) As used in this section:
1426          (a) "Controlled substance" has the same meaning as in Section 58-37-2.
1427          (b) "Practitioner" has the same meaning as in Section 58-37-2.
1428          (c) "Prescribe" has the same meaning as in Section 58-37-2.
1429          (d) "Prescription" has the same meaning as in Section 58-37-2.
1430          (2) In cases not amounting to a violation of Section 41-6a-502, a person may not
1431     operate or be in actual physical control of a motor vehicle within this state if the person has any
1432     measurable controlled substance or metabolite of a controlled substance in the person's body.
1433          (3) It is an affirmative defense to prosecution under this section that the controlled
1434     substance was:
1435          (a) involuntarily ingested by the accused;
1436          (b) prescribed by a practitioner for use by the accused; [or]
1437          (c) cannabis or a cannabis product that was:
1438          (i) recommended by a physician to the accused, if the accused holds a valid medical
1439     cannabis card under Title 26, Chapter 58, Medical Cannabis Act; or
1440          (ii) ingested by the accused in another state in which the use of cannabis or a cannabis
1441     product is legal under state law; or
1442          [(c)] (d) otherwise legally ingested.
1443          (4) (a) A person convicted of a violation of Subsection (2) is guilty of a class B
1444     misdemeanor.
1445          (b) A person who violates this section is subject to conviction and sentencing under
1446     both this section and any applicable offense under Section 58-37-8.
1447          (5) A peace officer may, without a warrant, arrest a person for a violation of this
1448     section when the officer has probable cause to believe the violation has occurred, although not
1449     in the officer's presence, and if the officer has probable cause to believe that the violation was
1450     committed by the person.
1451          (6) The Driver License Division shall, if the person is 21 years of age or older on the
1452     date of arrest:
1453          (a) suspend, for a period of 120 days, the driver license of a person convicted under

1454     Subsection (2) of an offense committed on or after July 1, 2009; or
1455          (b) revoke, for a period of two years, the driver license of a person if:
1456          (i) the person has a prior conviction as defined under Subsection 41-6a-501(2); and
1457          (ii) the current violation under Subsection (2) is committed on or after July 1, 2009,
1458     and within a period of 10 years after the date of the prior violation.
1459          (7) The Driver License Division shall, if the person is 19 years of age or older but
1460     under 21 years of age on the date of arrest:
1461          (a) suspend, until the person is 21 years of age or for a period of one year, whichever is
1462     longer, the driver license of a person convicted under Subsection (2) of an offense committed
1463     on or after July 1, 2011; or
1464          (b) revoke, until the person is 21 years of age or for a period of two years, whichever is
1465     longer, the driver license of a person if:
1466          (i) the person has a prior conviction as defined under Subsection 41-6a-501(2); and
1467          (ii) the current violation under Subsection (2) is committed on or after July 1, 2009,
1468     and within a period of 10 years after the date of the prior violation.
1469          (8) The Driver License Division shall, if the person is under 19 years of age on the date
1470     of arrest:
1471          (a) suspend, until the person is 21 years of age, the driver license of a person convicted
1472     under Subsection (2) of an offense committed on or after July 1, 2009; or
1473          (b) revoke, until the person is 21 years of age, the driver license of a person if:
1474          (i) the person has a prior conviction as defined under Subsection 41-6a-501(2); and
1475          (ii) the current violation under Subsection (2) is committed on or after July 1, 2009,
1476     and within a period of 10 years after the date of the prior violation.
1477          (9) The Driver License Division shall subtract from any suspension or revocation
1478     period the number of days for which a license was previously suspended under Section
1479     53-3-223 or 53-3-231, if the previous suspension was based on the same occurrence upon
1480     which the record of conviction is based.
1481          (10) The Driver License Division shall:
1482          (a) deny, suspend, or revoke a person's license for the denial and suspension periods in
1483     effect prior to July 1, 2009, for a conviction of a violation under Subsection (2) that was
1484     committed prior to July 1, 2009; or

1485          (b) deny, suspend, or revoke the operator's license of a person for the denial,
1486     suspension, or revocation periods in effect from July 1, 2009, through June 30, 2011, if:
1487          (i) the person was 20 years of age or older but under 21 years of age at the time of
1488     arrest; and
1489          (ii) the conviction under Subsection (2) is for an offense that was committed on or after
1490     July 1, 2009, and prior to July 1, 2011.
1491          (11) A court that reported a conviction of a violation of this section for a violation that
1492     occurred on or after July 1, 2009, to the Driver License Division may shorten the suspension
1493     period imposed under Subsection (7)(a) or (8)(a) prior to completion of the suspension period
1494     if the person:
1495          (a) completes at least six months of the license suspension;
1496          (b) completes a screening;
1497          (c) completes an assessment, if it is found appropriate by a screening under Subsection
1498     (11)(b);
1499          (d) completes substance abuse treatment if it is found appropriate by the assessment
1500     under Subsection (11)(c);
1501          (e) completes an educational series if substance abuse treatment is not required by the
1502     assessment under Subsection (11)(c) or the court does not order substance abuse treatment;
1503          (f) has not been convicted of a violation of any motor vehicle law in which the person
1504     was involved as the operator of the vehicle during the suspension period imposed under
1505     Subsection (7)(a) or (8)(a);
1506          (g) has complied with all the terms of the person's probation or all orders of the court if
1507     not ordered to probation; and
1508          (h) (i) is 18 years of age or older and provides a sworn statement to the court that the
1509     person has not consumed a controlled substance not prescribed by a practitioner for use by the
1510     person or unlawfully consumed alcohol during the suspension period imposed under
1511     Subsection (7)(a) or (8)(a); or
1512          (ii) is under 18 years of age and has the person's parent or legal guardian provide an
1513     affidavit or other sworn statement to the court certifying that to the parent or legal guardian's
1514     knowledge the person has not consumed a controlled substance not prescribed by a practitioner
1515     for use by the person or unlawfully consumed alcohol during the suspension period imposed

1516     under Subsection (7)(a) or (8)(a).
1517          (12) If the court shortens a person's license suspension period in accordance with the
1518     requirements of Subsection (11), the court shall forward the order shortening the person's
1519     license suspension period prior to the completion of the suspension period imposed under
1520     Subsection (7)(a) or (8)(a) to the Driver License Division.
1521          (13) (a) The court shall notify the Driver License Division if a person fails to:
1522          (i) complete all court ordered screening and assessment, educational series, and
1523     substance abuse treatment; or
1524          (ii) pay all fines and fees, including fees for restitution and treatment costs.
1525          (b) Upon receiving the notification, the division shall suspend the person's driving
1526     privilege in accordance with Subsections 53-3-221(2) and (3).
1527          (14) The court shall order supervised probation in accordance with Section 41-6a-507
1528     for a person convicted under Subsection (2).
1529          Section 53. Section 53-1-106.5 is enacted to read:
1530          53-1-106.5. Medical Cannabis Act -- Department duties.
1531          (1) In addition to the duties described in Section 53-1-106, the department shall:
1532          (a) enter into a memorandum of understanding with the participating entities, as that
1533     term is defined in Section 26-58-102, for the purpose of providing peace officers and law
1534     enforcement agencies with access to the electronic verification system as described in Section
1535     26-58-202;
1536          (b) provide standards for training peace officers and law enforcement agencies in the
1537     use of the electronic verification system; and
1538          (c) collaborate with the Department of Health and the Department of Agriculture and
1539     Food to provide standards for training peace officers and law enforcement agencies in medical
1540     cannabis.
1541          (2) The department may not allow a law enforcement official to access the electronic
1542     verification system unless the law enforcement official has completed the training described in
1543     Subsections (1)(b) and (1)(c).
1544          Section 54. Section 58-37-3.6 is enacted to read:
1545          58-37-3.6. Exemption for possession or use of cannabis to treat a qualifying
1546     illness.

1547          (1) As used in this section:
1548          (a) "Cannabis" means marijuana.
1549          (b) "Cannabis dispensary" means the same as that term is defined in Section
1550     26-58-102.
1551          (c) "Cannabis product" means a product that:
1552          (i) is intended for human ingestion; and
1553          (ii) contains cannabis or tetrahydrocannabinol.
1554          (d) "Designated caregiver" means the same as that term is defined in Section
1555     26-58-102.
1556          (e) "Drug paraphernalia" means the same as that term is defined in Section 58-37a-3.
1557          (f) "Marijuana" means the same as that term is defined in Section 58-37-2.
1558          (g) "Medical cannabis card" means an official document or card, issued by the
1559     Department of Health under Section 26-58-201, that is connected to the electronic verification
1560     system described in Section 26-58-202.
1561          (h) "Medical cannabis device" means a device, except for a device that facilitates
1562     cannabis combustion, that is used to aid an individual in ingesting cannabis or a cannabis
1563     product.
1564          (i) "Medical cannabis establishment" means the same as that term is defined in Section
1565     26-58-102.
1566          (j) "Qualifying illness" means the same as that term is defined in Section 26-58-102.
1567          (k) "Tetrahydrocannabinol" means a substance derived from cannabis that meets the
1568     description in Subsection 58-37-4(2)(a)(iii)(AA).
1569          (2) Notwithstanding any other provision of this chapter, except as described in
1570     Subsection (7), an individual who possesses or uses cannabis, a cannabis product, or a medical
1571     cannabis device is not subject to, for the possession or use of the cannabis, cannabis product, or
1572     medical cannabis device, the penalties described in this title for possession or use of marijuana,
1573     tetrahydrocannabinol, or drug paraphernalia, if the individual holds a valid medical cannabis
1574     card.
1575          (3) Notwithstanding any other provision of this chapter, except as described in
1576     Subsection (7), an individual who possesses cannabis, a cannabis product, or a medical
1577     cannabis device, or who distributes cannabis, a cannabis product, or a medical cannabis device

1578     to a patient, is not subject to, for the possession or distribution of the cannabis, cannabis
1579     product, or medical cannabis device, the penalties described in this title for possession or
1580     distribution of marijuana, tetrahydrocannabinol, or drug paraphernalia, if the individual:
1581          (a) for a patient who is a minor, is the patient or the patient's parent or guardian and
1582     holds a valid medical cannabis card;
1583          (b) for a patient that is 18 years of age or older, is the patient who holds a valid medical
1584     cannabis card; or
1585          (c) for a patient who is 18 years of age or older, is the patient's designated caregiver
1586     and holds a valid medical cannabis card that names the patient and the designated caregiver.
1587          (4) Notwithstanding any other provision of this chapter, except as described in
1588     Subsection (7), a person who possesses, sells, or offers to sell cannabis, a cannabis product, or
1589     a medical cannabis device is not subject to, for the possession, sale, or offer for sale of
1590     cannabis, the cannabis product, or the medical cannabis device, the penalties described in this
1591     title for the possession, sale, or offering for sale of marijuana, tetrahydrocannabinol, or drug
1592     paraphernalia if the person:
1593          (a) produces, sells, or offers to sell the cannabis, cannabis product, or medical cannabis
1594     device for the end purpose of providing the cannabis, cannabis product, or medical cannabis
1595     device to a patient with a qualifying illness;
1596          (b) is licensed under Title 26, Chapter 58, Medical Cannabis Act, or Title 4, Chapter
1597     42, Cannabis Production Establishments; and
1598          (c) complies with the operating requirements for:
1599          (i) a cannabis dispensary under Title 26, Chapter 58, Part 3, Cannabis Dispensary
1600     License; or
1601          (ii) a cannabis production establishment under Title 4, Chapter 42, Cannabis
1602     Production Establishments.
1603          (5) Notwithstanding any other provision of this chapter, a person who grows, sells, or
1604     offers to sell cannabis is not subject to, for the growth or sale of the cannabis, the penalties
1605     described in this title for the growth or sale of marijuana, if the person:
1606          (a) grows, sells, or offers to sell the cannabis only for the purpose of selling the
1607     cannabis to a licensed medical cannabis establishment or a licensed medical cannabis
1608     dispensary, for the end purpose of providing the cannabis to a patient with a qualifying illness;

1609          (b) is licensed under Title 26, Chapter 58, Medical Cannabis Act, or Title 4, Chapter
1610     42, Cannabis Production Establishments; and
1611          (c) complies with the operating requirements for:
1612          (i) a cannabis dispensary under Title 26, Chapter 58, Part 3, Cannabis Dispensary
1613     License; or
1614          (ii) a cannabis production establishment under Title 4, Chapter 42, Cannabis
1615     Production Establishments.
1616          (6) Notwithstanding any other provision of this chapter, except as described in
1617     Subsection (7), an individual who grows cannabis, or possesses, sells, or offers to sell cannabis,
1618     a cannabis product, or a medical cannabis device, is not subject to, for the growth of cannabis,
1619     or for the possession, sale, or offer for sale of cannabis, the cannabis product, or the medical
1620     cannabis device, the penalties described in this title for the growth, possession, sale, or offering
1621     for sale of marijuana, tetrahydrocannabinol, or drug paraphernalia if the individual:
1622          (a) grows, possesses, sells, or offers to sell the cannabis as an agent of:
1623          (i) a cannabis dispensary that is licensed under Title 26, Chapter 58, Part 3, Cannabis
1624     Dispensary License; or
1625          (ii) a cannabis production establishment that is licensed under Title 4, Chapter 42,
1626     Cannabis Production Establishments;
1627          (b) is the holder of a valid:
1628          (i) cannabis production establishment agent registration card; or
1629          (ii) cannabis dispensary agent registration card; and
1630          (c) complies with administrative rules related to a cannabis production establishment
1631     agent or a cannabis dispensary agent.
1632          (7) An individual is not exempt from the penalties described in Subsections (2) through
1633     (6) if the individual:
1634          (a) uses cannabis through a means involving cannabis combustion at a temperature
1635     greater than 500 degrees Fahrenheit;
1636          (b) uses or possesses a medical cannabis device that facilitates the use of cannabis
1637     through cannabis combustion; or
1638          (c) uses or possesses drug paraphernalia that is not a medical cannabis device used to
1639     ingest the medical cannabis.

1640          Section 55. Section 59-12-104.7 is enacted to read:
1641          59-12-104.7. Exemption from sales tax for medical cannabis.
1642          (1) As used in this section:
1643          (a) "Cannabis" means the same as that term is defined in Section 58-37-3.6.
1644          (b) "Cannabis dispensary" means the same as that term is defined in Section
1645     26-58-102.
1646          (c) "Cannabis product" means the same as that term is defined in Section 26-58-306.
1647          (d) "Medical cannabis device" means the same as that term is defined in Section
1648     58-37-3.6.
1649          (2) In addition to the exemptions described in Section 59-12-104, the sale, by a
1650     licensed cannabis dispensary, of cannabis, a cannabis product, or a medical cannabis device, is
1651     not subject to the taxes imposed by this chapter.
1652          Section 56. Section 59-28-101 is enacted to read:
1653     
CHAPTER 28. MEDICAL CANNABIS TAX ACT

1654          59-28-101. Title.
1655          This chapter is known as the "Medical Cannabis Tax Act."
1656          Section 57. Section 59-28-102 is enacted to read:
1657          59-28-102. Definitions.
1658          As used in this chapter:
1659          (1) "Cannabis" means the same as that term is defined in Section 58-37-3.6.
1660          (2) "Cannabis dispensary" means the same as that term is defined in Section
1661     26-58-102.
1662          (3) "Cannabis product" means the same as that term is defined in Section 26-58-306.
1663          (4) "Medical cannabis device" means the same as that term is defined in Section
1664     58-37-3.6.
1665          (5) "Medical Cannabis Restricted Account" means the account created in Section
1666     26-58-104.
1667          Section 58. Section 59-28-103 is enacted to read:
1668          59-28-103. Imposition of tax -- Rate.
1669          There is imposed a tax on the retail purchaser of cannabis, a cannabis product, or a
1670     medical cannabis device at a cannabis dispensary in the state, in an amount equal to 4.70% of

1671     amounts paid or charged for the cannabis, cannabis product, or medical cannabis device.
1672          Section 59. Section 59-28-104 is enacted to read:
1673          59-28-104. Collection of tax.
1674          A cannabis dispensary shall:
1675          (1) collect the tax imposed by Section 59-28-103 from a cannabis, cannabis product, or
1676     medical cannabis device purchaser; and
1677          (2) pay the tax collected under Subsection (1):
1678          (a) to the commission quarterly on or before the last day of the month immediately
1679     following the last day of the previous quarter; and
1680          (b) using a form prescribed by the commission.
1681          Section 60. Section 59-28-105 is enacted to read:
1682          59-28-105. Deposit of tax revenue.
1683          The commission shall deposit revenues generated by the tax imposed by this chapter
1684     into the Medical Cannabis Restricted Account.
1685          Section 61. Section 59-28-106 is enacted to read:
1686          59-28-106. Records.
1687          (1) A cannabis dispensary shall maintain any record necessary to determine the amount
1688     of tax that the cannabis dispensary is required to remit to the commission under this chapter.
1689          (2) The commission may require a cannabis dispensary to keep any record the
1690     commission considers sufficient evidence of the amount of tax the cannabis dispensary is
1691     required to remit to the commission under this chapter:
1692          (a) by notice served upon the cannabis dispensary; or
1693          (b) by rule made in accordance with Title 63G, Chapter 3, Utah Administrative
1694     Rulemaking Act.
1695          (3) Upon notice by the commission, a cannabis dispensary shall open the cannabis
1696     dispensary's records for examination by the commission.
1697          Section 62. Section 59-28-107 is enacted to read:
1698          59-28-107. Rulemaking authority.
1699          The commission may make rules in accordance with Title 63G, Chapter 3, Utah
1700     Administrative Rulemaking Act, to implement and enforce this chapter.
1701          Section 63. Section 59-28-108 is enacted to read:

1702          59-28-108. Penalties and interest.
1703          A cannabis dispensary that fails to comply with any provision of this chapter is subject
1704     to penalties and interest as provided in Sections 59-1-401 and 59-1-402.
1705          Section 64. Section 62A-4a-202.1 is amended to read:
1706          62A-4a-202.1. Entering home of a child -- Taking a child into protective custody
1707     -- Caseworker accompanied by peace officer -- Preventive services -- Shelter facility or
1708     emergency placement.
1709          (1) A peace officer or child welfare worker may not:
1710          (a) enter the home of a child who is not under the jurisdiction of the court, remove a
1711     child from the child's home or school, or take a child into protective custody unless authorized
1712     under Subsection 78A-6-106(2); or
1713          (b) remove a child from the child's home or take a child into custody under this section
1714     solely on the basis of:
1715          (i) educational neglect, truancy, or failure to comply with a court order to attend
1716     school[.]; or
1717          (ii) the possession or use of cannabis or a cannabis product in the home, if the use and
1718     possession of the cannabis or cannabis product is in compliance with Title 26, Chapter 58,
1719     Medical Cannabis Act.
1720          (2) A child welfare worker within the division may take action under Subsection (1)
1721     accompanied by a peace officer, or without a peace officer when a peace officer is not
1722     reasonably available.
1723          (3) (a) If possible, consistent with the child's safety and welfare, before taking a child
1724     into protective custody, the child welfare worker shall also determine whether there are
1725     services available that, if provided to a parent or guardian of the child, would eliminate the
1726     need to remove the child from the custody of the child's parent or guardian.
1727          (b) If the services described in Subsection (3)(a) are reasonably available, they shall be
1728     utilized.
1729          (c) In determining whether the services described in Subsection (3)(a) are reasonably
1730     available, and in making reasonable efforts to provide those services, the child's health, safety,
1731     and welfare shall be the child welfare worker's paramount concern.
1732          (4) (a) A child removed or taken into custody under this section may not be placed or

1733     kept in a secure detention facility pending court proceedings unless the child is detainable
1734     based on guidelines promulgated by the Division of Juvenile Justice Services.
1735          (b) A child removed from the custody of the child's parent or guardian but who does
1736     not require physical restriction shall be given temporary care in:
1737          (i) a shelter facility; or
1738          (ii) an emergency placement in accordance with Section 62A-4a-209.
1739          (c) When making a placement under Subsection (4)(b), the Division of Child and
1740     Family Services shall give priority to a placement with a noncustodial parent, relative, or
1741     friend, in accordance with Section 62A-4a-209.
1742          (d) If the child is not placed with a noncustodial parent, a relative, or a designated
1743     friend, the caseworker assigned to the child shall file a report with the caseworker's supervisor
1744     explaining why a different placement was in the child's best interest.
1745          (5) When a child is removed from the child's home or school or taken into protective
1746     custody, the caseworker shall give a parent of the child a pamphlet or flier explaining:
1747          (a) the parent's rights under this part, including the right to be present and participate in
1748     any court proceeding relating to the child's case;
1749          (b) that it may be in the parent's best interest to contact an attorney and that, if the
1750     parent cannot afford an attorney, the court will appoint one;
1751          (c) the name and contact information of a division employee the parent may contact
1752     with questions;
1753          (d) resources that are available to the parent, including:
1754          (i) mental health resources;
1755          (ii) substance abuse resources; and
1756          (iii) parenting classes; and
1757          (e) any other information considered relevant by the division.
1758          (6) The pamphlet or flier described in Subsection (5) shall be:
1759          (a) evaluated periodically for its effectiveness at conveying necessary information and
1760     revised accordingly;
1761          (b) written in simple, easy-to-understand language; and
1762          (c) available in English and other languages as the division determines to be
1763     appropriate and necessary.

1764          Section 65. Section 63F-1-104.5 is enacted to read:
1765          63F-1-104.5. Medical Cannabis Act -- Duties of department.
1766          In addition to the duties and purposes of the department in Section 63F-1-104, the
1767     department shall:
1768          (1) enter into a memorandum of understanding with participating entities, as that term
1769     is defined in Section 26-58-102, for the purposes described in Section 26-58-202; and
1770          (2) coordinate the development and maintenance of the databases described in Section
1771     26-58-202.
1772          Section 66. Section 63I-1-226 is amended to read:
1773          63I-1-226. Repeal dates, Title 26.
1774          (1) Title 26, Chapter 9f, Utah Digital Health Service Commission Act, is repealed July
1775     1, 2025.
1776          (2) Section 26-10-11 is repealed July 1, 2020.
1777          (3) Section 26-21-23, Licensing of non-Medicaid nursing care facility beds, is repealed
1778     July 1, 2018.
1779          (4) Title 26, Chapter 33a, Utah Health Data Authority Act, is repealed July 1, 2024.
1780          (5) Title 26, Chapter 36a, Hospital Provider Assessment Act, is repealed July 1, 2016.
1781          (6) Section 26-38-2.5 is repealed July 1, 2017.
1782          (7) Section 26-38-2.6 is repealed July 1, 2017.
1783          (8) Title 26, Chapter 56, Hemp Extract Registration Act, is repealed [July 1, 2016]
1784     January 1, 2017.
1785          Section 67. Section 63I-1-258 is amended to read:
1786          63I-1-258. Repeal dates, Title 58.
1787          (1) Title 58, Chapter 13, Health Care Providers Immunity from Liability Act, is
1788     repealed July 1, 2026.
1789          (2) Title 58, Chapter 15, Health Facility Administrator Act, is repealed July 1, 2025.
1790          (3) Title 58, Chapter 20a, Environmental Health Scientist Act, is repealed July 1, 2018.
1791          (4) Section 58-37-4.3 is repealed [July 1, 2016] January 1, 2017.
1792          (5) Title 58, Chapter 40, Recreational Therapy Practice Act, is repealed July 1, 2023.
1793          (6) Title 58, Chapter 41, Speech-Language Pathology and Audiology Licensing Act, is
1794     repealed July 1, 2019.

1795          (7) Title 58, Chapter 42a, Occupational Therapy Practice Act, is repealed July 1, 2025.
1796          (8) Title 58, Chapter 46a, Hearing Instrument Specialist Licensing Act, is repealed July
1797     1, 2023.
1798          (9) Title 58, Chapter 47b, Massage Therapy Practice Act, is repealed July 1, 2024.
1799          (10) Title 58, Chapter 61, Part 7, Behavior Analyst Licensing Act, is repealed July 1,
1800     2026.
1801          (11) Title 58, Chapter 72, Acupuncture Licensing Act, is repealed July 1, 2017.
1802          Section 68. Section 78A-6-508 is amended to read:
1803          78A-6-508. Evidence of grounds for termination.
1804          (1) In determining whether a parent or parents have abandoned a child, it is prima facie
1805     evidence of abandonment that the parent or parents:
1806          (a) although having legal custody of the child, have surrendered physical custody of the
1807     child, and for a period of six months following the surrender have not manifested to the child
1808     or to the person having the physical custody of the child a firm intention to resume physical
1809     custody or to make arrangements for the care of the child;
1810          (b) have failed to communicate with the child by mail, telephone, or otherwise for six
1811     months;
1812          (c) failed to have shown the normal interest of a natural parent, without just cause; or
1813          (d) have abandoned an infant, as described in Subsection 78A-6-316(1).
1814          (2) In determining whether a parent or parents are unfit or have neglected a child the
1815     court shall consider, but is not limited to, the following circumstances, conduct, or conditions:
1816          (a) emotional illness, mental illness, or mental deficiency of the parent that renders the
1817     parent unable to care for the immediate and continuing physical or emotional needs of the child
1818     for extended periods of time;
1819          (b) conduct toward a child of a physically, emotionally, or sexually cruel or abusive
1820     nature;
1821          (c) habitual or excessive use of intoxicating liquors, controlled substances, or
1822     dangerous drugs that render the parent unable to care for the child;
1823          (d) repeated or continuous failure to provide the child with adequate food, clothing,
1824     shelter, education, or other care necessary for the child's physical, mental, and emotional health
1825     and development by a parent or parents who are capable of providing that care;

1826          (e) whether the parent is incarcerated as a result of conviction of a felony, and the
1827     sentence is of such length that the child will be deprived of a normal home for more than one
1828     year;
1829          (f) a history of violent behavior; or
1830          (g) whether the parent has intentionally exposed the child to pornography or material
1831     harmful to a minor, as defined in Section 76-10-1201.
1832          (3) Notwithstanding Subsection (2)(c), the court may not discriminate against a parent
1833     because of the parent's possession or consumption of cannabis, a cannabis product, or a
1834     medical cannabis device, in accordance with Title 26, Chapter 58, Medical Cannabis Act.
1835          [(3)] (4) A parent who, legitimately practicing the parent's religious beliefs, does not
1836     provide specified medical treatment for a child is not, for that reason alone, a negligent or unfit
1837     parent.
1838          [(4)] (5) (a) Notwithstanding Subsection (2), a parent may not be considered neglectful
1839     or unfit because of a health care decision made for a child by the child's parent unless the state
1840     or other party to the proceeding shows, by clear and convincing evidence, that the health care
1841     decision is not reasonable and informed.
1842          (b) Nothing in Subsection [(4)] (5)(a) may prohibit a parent from exercising the right to
1843     obtain a second health care opinion.
1844          [(5)] (6) If a child has been placed in the custody of the division and the parent or
1845     parents fail to comply substantially with the terms and conditions of a plan within six months
1846     after the date on which the child was placed or the plan was commenced, whichever occurs
1847     later, that failure to comply is evidence of failure of parental adjustment.
1848          [(6)] (7) The following circumstances constitute prima facie evidence of unfitness:
1849          (a) sexual abuse, sexual exploitation, injury, or death of a sibling of the child, or of any
1850     child, due to known or substantiated abuse or neglect by the parent or parents;
1851          (b) conviction of a crime, if the facts surrounding the crime are of such a nature as to
1852     indicate the unfitness of the parent to provide adequate care to the extent necessary for the
1853     child's physical, mental, or emotional health and development;
1854          (c) a single incident of life-threatening or gravely disabling injury to or disfigurement
1855     of the child;
1856          (d) the parent has committed, aided, abetted, attempted, conspired, or solicited to

1857     commit murder or manslaughter of a child or child abuse homicide; or
1858          (e) the parent intentionally, knowingly, or recklessly causes the death of another parent
1859     of the child, without legal justification.
1860          Section 69. Effective date.
1861          This bill takes effect on July 1, 2016.






Legislative Review Note
Office of Legislative Research and General Counsel