1     
MEDICAL CANNABIS GOVERNANCE REVISIONS

2     
2023 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Walt Brooks

5     
Senate Sponsor: Evan J. Vickers

6     

7     LONG TITLE
8     Committee Note:
9          The Health and Human Services Interim Committee recommended this bill.
10               Legislative Vote:     15 voting for     0 voting against     3 absent
11     General Description:
12           This bill enacts provisions regarding medical cannabis governance in the state.
13     Highlighted Provisions:
14          This bill:
15          ▸     defines terms;
16          ▸     moves most oversight and regulation of medical cannabis pharmacies and couriers
17     from the Department of Health and Human Services to the Department of
18     Agriculture and Food;
19          ▸     creates a Medical Cannabis Policy Advisory Board (board);
20          ▸     outlines the duties of board;
21          ▸     modifies the duties and membership of the medical cannabis governance working
22     group (working group);
23          ▸     extends a sunset date for the working group; and
24          ▸     makes technical changes.
25     Money Appropriated in this Bill:
26          None
27     Other Special Clauses:
28          None
29     Utah Code Sections Affected:
30     AMENDS:
31          4-41a-102, as last amended by Laws of Utah 2022, Chapters 290, 452
32          4-41a-105, as enacted by Laws of Utah 2018, Third Special Session, Chapter 1
33          4-41a-201, as last amended by Laws of Utah 2022, Chapter 290
34          4-41a-404, as last amended by Laws of Utah 2020, Chapter 12
35          4-41a-802, as last amended by Laws of Utah 2022, Chapter 97
36          10-9a-528, as last amended by Laws of Utah 2021, Chapter 60
37          17-27a-525, as last amended by Laws of Utah 2021, Chapter 60
38          26-61a-102, as last amended by Laws of Utah 2022, Chapters 290, 452
39          26-61a-103, as last amended by Laws of Utah 2022, Chapters 290, 415
40          26-61a-105, as last amended by Laws of Utah 2022, Chapter 452
41          26-61a-106, as last amended by Laws of Utah 2022, Chapters 415, 452
42          26-61a-109, as last amended by Laws of Utah 2019, First Special Session, Chapter 5
43          26-61a-201, as last amended by Laws of Utah 2022, Chapters 198, 290 and 452
44          26-61a-403, as last amended by Laws of Utah 2022, Chapters 415, 452
45          26-61a-601, as last amended by Laws of Utah 2021, Chapter 337
46          26-61a-602, as last amended by Laws of Utah 2020, Chapter 354
47          26-61a-701, as enacted by Laws of Utah 2018, Third Special Session, Chapter 1
48          26-61a-703, as last amended by Laws of Utah 2022, Chapter 97
49          36-12-8.2, as enacted by Laws of Utah 2022, Chapter 97
50          58-17b-302, as last amended by Laws of Utah 2022, Chapter 353
51          58-17b-502, as last amended by Laws of Utah 2022, Chapter 465
52          58-37-3.8, as last amended by Laws of Utah 2019, First Special Session, Chapter 5
53          63I-2-236, as last amended by Laws of Utah 2022, Chapters 97, 141, 363, 437, and 458
54          78A-2-231, as last amended by Laws of Utah 2022, Chapter 256
55          80-3-110, as last amended by Laws of Utah 2022, Chapter 256
56          80-4-109, as enacted by Laws of Utah 2021, Chapter 261
57     ENACTS:
58          4-41a-110, Utah Code Annotated 1953
59          4-41a-1201, Utah Code Annotated 1953
60          26-61a-206, Utah Code Annotated 1953
61          26-61a-801, Utah Code Annotated 1953
62          26-61a-802, Utah Code Annotated 1953
63          26-61a-803, Utah Code Annotated 1953
64     RENUMBERS AND AMENDS:
65          4-41a-108, (Renumbered from 26-61a-603, as last amended by Laws of Utah 2020,
66     Chapter 12)
67          4-41a-109, (Renumbered from 26-61a-116, as enacted by Laws of Utah 2022, Chapter
68     452)
69          4-41a-801.1, (Renumbered from 26-61a-702, as last amended by Laws of Utah 2022,
70     Chapter 452)
71          4-41a-1001, (Renumbered from 26-61a-301, as last amended by Laws of Utah 2022,
72     Chapter 290)
73          4-41a-1002, (Renumbered from 26-61a-302, as last amended by Laws of Utah 2019,
74     First Special Session, Chapter 5)
75          4-41a-1003, (Renumbered from 26-61a-303, as last amended by Laws of Utah 2022,
76     Chapters 290, 415)
77          4-41a-1004, (Renumbered from 26-61a-304, as last amended by Laws of Utah 2019,
78     First Special Session, Chapter 5)
79          4-41a-1005, (Renumbered from 26-61a-305, as last amended by Laws of Utah 2022,
80     Chapter 290)
81          4-41a-1101, (Renumbered from 26-61a-501, as last amended by Laws of Utah 2022,
82     Chapters 290, 415)
83          4-41a-1102, (Renumbered from 26-61a-502, as last amended by Laws of Utah 2022,
84     Chapter 290)
85          4-41a-1103, (Renumbered from 26-61a-504, as last amended by Laws of Utah 2021,
86     Chapter 350)
87          4-41a-1104, (Renumbered from 26-61a-505, as last amended by Laws of Utah 2022,
88     Chapter 452 and last amended by Coordination Clause, Laws of Utah 2022, Chapter
89     290)
90          4-41a-1105, (Renumbered from 26-61a-507, as last amended by Laws of Utah 2020,
91     Chapter 12)
92          4-41a-1106, (Renumbered from 26-61a-401, as last amended by Laws of Utah 2022,
93     Chapters 290, 415)
94          4-41a-1107, (Renumbered from 26-61a-402, as renumbered and amended by Laws of
95     Utah 2018, Third Special Session, Chapter 1)
96          4-41a-1202, (Renumbered from 26-61a-604, as last amended by Laws of Utah 2022,
97     Chapters 290, 452)
98          4-41a-1203, (Renumbered from 26-61a-605, as last amended by Laws of Utah 2022,
99     Chapter 415)
100          4-41a-1204, (Renumbered from 26-61a-606, as last amended by Laws of Utah 2022,
101     Chapters 290, 415)
102          4-41a-1205, (Renumbered from 26-61a-607, as last amended by Laws of Utah 2022,
103     Chapter 452)
104          26-61a-404, (Renumbered from 26-61a-503, as last amended by Laws of Utah 2022,
105     Chapter 415)
106     REPEALS:
107          26-61a-108, as enacted by Laws of Utah 2018, Third Special Session, Chapter 1
108          26-61a-506, as last amended by Laws of Utah 2022, Chapter 415
109     

110     Be it enacted by the Legislature of the state of Utah:
111          Section 1. Section 4-41a-102 is amended to read:
112     
CHAPTER 41a. CANNABIS PRODUCTION ESTABLISHMENTS AND

113     
PHARMACIES

114          4-41a-102. Definitions.
115          As used in this chapter:
116          (1) "Adulterant" means any poisonous or deleterious substance in a quantity that may
117     be injurious to health, including:
118          (a) pesticides;
119          (b) heavy metals;
120          (c) solvents;
121          (d) microbial life;
122          (e) toxins; or
123          (f) foreign matter.
124          (2) "Advisory board" means the Medical Cannabis Policy Advisory Board created in
125     Section 26-61a-801.
126          [(2)] (3) "Cannabis Research Review Board" means the Cannabis Research Review
127     Board created in Section 26-61-201.
128          [(3)] (4) "Cannabis" means the same as that term is defined in Section 26-61a-102.
129          [(4)] (5) "Cannabis concentrate" means:
130          (a) the product of any chemical or physical process applied to naturally occurring
131     biomass that concentrates or isolates the cannabinoids contained in the biomass; and
132          (b) any amount of a natural, derivative, or synthetic cannabinoid in the synthetic
133     cannabinoid's purified state.
134          [(5)] (6) "Cannabis cultivation byproduct" means any portion of a cannabis plant that is
135     not intended to be sold as a cannabis plant product.
136          [(6)] (7) "Cannabis cultivation facility" means a person that:
137          (a) possesses cannabis;
138          (b) grows or intends to grow cannabis; and
139          (c) sells or intends to sell cannabis to a cannabis cultivation facility, a cannabis
140     processing facility, or a medical cannabis research licensee.
141          [(7)] (8) "Cannabis cultivation facility agent" means an individual who:
142          (a) is an employee of a cannabis cultivation facility; and
143          (b) holds a valid cannabis production establishment agent registration card.
144          [(8)] (9) "Cannabis derivative product" means a product made using cannabis
145     concentrate.
146          [(9)] (10) "Cannabis plant product" means any portion of a cannabis plant intended to
147     be sold in a form that is recognizable as a portion of a cannabis plant.
148          [(10)] (11) "Cannabis processing facility" means a person that:
149          (a) acquires or intends to acquire cannabis from a cannabis production establishment;
150          (b) possesses cannabis with the intent to manufacture a cannabis product;
151          (c) manufactures or intends to manufacture a cannabis product from unprocessed
152     cannabis or a cannabis extract; and
153          (d) sells or intends to sell a cannabis product to a medical cannabis pharmacy or a
154     medical cannabis research licensee.
155          [(11)] (12) "Cannabis processing facility agent" means an individual who:
156          (a) is an employee of a cannabis processing facility; and
157          (b) holds a valid cannabis production establishment agent registration card.
158          [(12)] (13) "Cannabis product" means the same as that term is defined in Section
159     26-61a-102.
160          [(13)] (14) "Cannabis production establishment" means a cannabis cultivation facility,
161     a cannabis processing facility, or an independent cannabis testing laboratory.
162          [(14)] (15) "Cannabis production establishment agent" means a cannabis cultivation
163     facility agent, a cannabis processing facility agent, or an independent cannabis testing
164     laboratory agent.
165          [(15)] (16) "Cannabis production establishment agent registration card" means a
166     registration card that the department issues that:
167          (a) authorizes an individual to act as a cannabis production establishment agent; and
168          (b) designates the type of cannabis production establishment for which an individual is
169     authorized to act as an agent.
170          [(16)] (17) "Community location" means a public or private elementary or secondary
171     school, a church, a public library, a public playground, or a public park.
172          [(17)] (18) "Cultivation space" means, quantified in square feet, the horizontal area in
173     which a cannabis cultivation facility cultivates cannabis, including each level of horizontal area
174     if the cannabis cultivation facility hangs, suspends, stacks, or otherwise positions plants above
175     other plants in multiple levels.
176          [(18)] (19) "Department" means the Department of Agriculture and Food.
177          [(19)] (20) "Derivative cannabinoid" means any cannabinoid that has been intentionally
178     created using a process to convert a naturally occurring cannabinoid into another cannabinoid.
179          [(20)] (21) "Family member" means a parent, step-parent, spouse, child, sibling,
180     step-sibling, uncle, aunt, nephew, niece, first cousin, mother-in-law, father-in-law,
181     brother-in-law, sister-in-law, son-in-law, daughter-in-law, grandparent, or grandchild.
182          (22) "Home delivery medical cannabis pharmacy" means a medical cannabis pharmacy
183     that the department authorizes, as part of the pharmacy's license, to deliver medical cannabis
184     shipments to a medical cannabis cardholder's home address to fulfill electronic orders that the
185     state central patient portal facilitates.
186          [(21)] (23) (a) "Independent cannabis testing laboratory" means a person that:
187          (i) conducts a chemical or other analysis of cannabis or a cannabis product; or
188          (ii) acquires, possesses, and transports cannabis or a cannabis product with the intent to
189     conduct a chemical or other analysis of the cannabis or cannabis product.
190          (b) "Independent cannabis testing laboratory" includes a laboratory that the department
191     or a research university operates in accordance with Subsection 4-41a-201(14).
192          [(22)] (24) "Independent cannabis testing laboratory agent" means an individual who:
193          (a) is an employee of an independent cannabis testing laboratory; and
194          (b) holds a valid cannabis production establishment agent registration card.
195          [(23)] (25) "Industrial hemp waste" means:
196          (a) a cannabinoid concentrate; or
197          (b) industrial hemp biomass.
198          [(24)] (26) "Inventory control system" means a system described in Section 4-41a-103.
199          [(25)] (27) "Licensing board" or "board" means the Cannabis Production Establishment
200     Licensing Advisory Board created in Section 4-41a-201.1.
201          [(26)] (28) "Medical cannabis" means the same as that term is defined in Section
202     26-61a-102.
203          [(27)] (29) "Medical cannabis card" means the same as that term is defined in Section
204     26-61a-102.
205          (30) "Medical cannabis courier" means a courier that:
206          (a) the department licenses in accordance with Section 4-41a-1201; and
207          (b) contracts with a home delivery medical cannabis pharmacy to deliver medical
208     cannabis shipments to fulfill electronic orders that the state central patient portal facilitates.
209          (31) "Medical cannabis courier agent" means an individual who:
210          (a) is an employee of a medical cannabis courier; and
211          (b) who holds a valid medical cannabis courier agent registration card.
212          [(28)] (32) "Medical cannabis pharmacy" means the same as that term is defined in
213     Section 26-61a-102.
214          [(29)] (33) "Medical cannabis pharmacy agent" means the same as that term is defined
215     in Section 26-61a-102.
216          [(30)] (34) "Medical cannabis research license" means a license that the department
217     issues to a research university for the purpose of obtaining and possessing medical cannabis for
218     academic research.
219          [(31)] (35) "Medical cannabis research licensee" means a research university that the
220     department licenses to obtain and possess medical cannabis for academic research, in
221     accordance with Section 4-41a-901.
222          (36) "Medical cannabis shipment" means a shipment of medical cannabis or a medical
223     cannabis product that a home delivery medical cannabis pharmacy or a medical cannabis
224     courier delivers to a medical cannabis cardholder's home address to fulfill an electronic medical
225     cannabis order that the state central patient portal facilitates.
226          [(32)] (37) "Medical cannabis treatment" means the same as that term is defined in
227     Section 26-61a-102.
228          [(33)] (38) "Medicinal dosage form" means the same as that term is defined in Section
229     26-61a-102.
230          (39) "Pharmacy medical provider" means the same as that term is defined in Section
231     26-61a-102.
232          [(34)] (40) "Qualified medical provider" means the same as that term is defined in
233     Section 26-61a-102.
234          [(35)] (41) "Qualified Production Enterprise Fund" means the fund created in Section
235     4-41a-104.
236          [(36)] (42) "Recommending medical provider" means the same as that term is defined
237     in Section 26-61a-102.
238          [(37)] (43) "Research university" means the same as that term is defined in Section
239     53B-7-702 and a private, nonprofit college or university in the state that:
240          (a) is accredited by the Northwest Commission on Colleges and Universities;
241          (b) grants doctoral degrees; and
242          (c) has a laboratory containing or a program researching a schedule I controlled
243     substance described in Section 58-37-4.
244          [(38)] (44) "State electronic verification system" means the system described in Section
245     26-61a-103.
246          [(39)] (45) "Synthetic cannabinoid" means any cannabinoid that:
247          (a) was chemically synthesized from starting materials other than a naturally occurring
248     cannabinoid; and
249          (b) is not a derivative cannabinoid.
250          [(40)] (46) "Tetrahydrocannabinol" or "THC" means the same as that term is defined in
251     Section 4-41-102.
252          [(41)] (47) "THC analog" means the same as that term is defined in Section 4-41-102.
253          [(42)] (48) "Total composite tetrahydrocannabinol" means all detectable forms of
254     tetrahydrocannabinol.
255          [(43)] (49) "Total tetrahydrocannabinol" or "total THC" means the same as that term is
256     defined in Section 4-41-102.
257          Section 2. Section 4-41a-105 is amended to read:
258          4-41a-105. Agreement with a tribe.
259          (1) As used in this section, "tribe" means a federally recognized Indian tribe or Indian
260     band.
261          (2) (a) In accordance with this section, the governor may enter into an agreement with a
262     tribe to allow for the operation of a cannabis production establishment or a medical cannabis
263     pharmacy on tribal land located within the state.
264          (b) An agreement described in Subsection (2)(a) may not exempt any person from the
265     requirements of this chapter.
266          (c) The governor shall ensure that an agreement described in Subsection (2)(a):
267          (i) is in writing;
268          (ii) is signed by:
269          (A) the governor; and
270          (B) the governing body of the tribe that the tribe designates and has the authority to
271     bind the tribe to the terms of the agreement;
272          (iii) states the effective date of the agreement;
273          (iv) provides that the governor shall renegotiate the agreement if the agreement is or
274     becomes inconsistent with a state statute; and
275          (v) includes any accommodation that the tribe makes:
276          (A) to which the tribe agrees; and
277          (B) that is reasonably related to the agreement.
278          (d) Before executing an agreement under this Subsection (2), the governor shall consult
279     with the department.
280          (e) At least 30 days before the execution of an agreement described in this Subsection
281     (2), the governor or the governor's designee shall provide a copy of the agreement in the form
282     in which the agreement will be executed to:
283          (i) the chairs of the Native American Legislative Liaison Committee; and
284          (ii) the Office of Legislative Research and General Counsel.
285          Section 3. Section 4-41a-108, which is renumbered from Section 26-61a-603 is
286     renumbered and amended to read:
287          [26-61a-603].      4-41a-108. Payment provider for electronic medical cannabis
288     transactions.
289          (1) A cannabis production establishment, a medical cannabis pharmacy, or a
290     prospective home delivery medical cannabis pharmacy seeking to use a payment provider shall
291     submit to the Division of Finance and the state treasurer information regarding the payment
292     provider the prospective licensee will use to conduct financial transactions related to medical
293     cannabis, including:
294          (a) the name and contact information of the payment provider;
295          (b) the nature of the relationship between the establishment, pharmacy, or prospective
296     pharmacy and the payment provider; and
297          (c) for a prospective home delivery medical cannabis pharmacy, the processes the
298     prospective licensee and the payment provider have in place to safely and reliably conduct
299     financial transactions for medical cannabis shipments.
300          (2) The Division of Finance shall, in consultation with the state treasurer:
301          (a) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
302     make rules to establish standards for identifying payment providers that demonstrate the
303     functional and technical ability to safely conduct financial transactions related to medical
304     cannabis, including medical cannabis shipments;
305          (b) review submissions the Division of Finance and the state treasurer receive under
306     Subsection (1);
307          (c) approve a payment provider that meets the standards described in Subsection (2)(a);
308     and
309          (d) establish a list of approved payment providers.
310          (3) Any licensed cannabis production establishment, licensed medical cannabis
311     pharmacy, or medical cannabis courier may use a payment provider that the Division of
312     Finance approves, in consultation with the state treasurer, to conduct transactions related to the
313     establishment's, pharmacy's, or courier's respective medical cannabis business.
314          (4) If Congress passes legislation that allows a cannabis-related business to facilitate
315     payments through or deposit funds in a financial institution, a cannabis production
316     establishment or a medical cannabis pharmacy may facilitate payments through or deposit
317     funds in a financial institution in addition to or instead of a payment provider that the Division
318     of Finance approves, in consultation with the state treasurer, under this section.
319          Section 4. Section 4-41a-109, which is renumbered from Section 26-61a-116 is
320     renumbered and amended to read:
321          [26-61a-116].      4-41a-109. Advertising.
322          (1) Except as provided in this chapter, a person may not advertise regarding the
323     recommendation, sale, dispensing, or transportation of medical cannabis.
324          (2) Notwithstanding any authorization to advertise regarding medical cannabis under
325     this chapter, the person advertising may not advertise:
326          (a) using promotional discounts or incentives;
327          (b) a particular medical cannabis product, medical cannabis device, or medicinal
328     dosage form; or
329          (c) an assurance regarding an outcome related to medical cannabis treatment.
330          (3) Notwithstanding Subsection (1):
331          (a) a nonprofit organization that offers financial assistance for medical cannabis
332     treatment to low-income patients may advertise the organization's assistance if the
333     advertisement does not relate to a specific medical cannabis pharmacy or a specific medical
334     cannabis product; and
335          (b) a medical cannabis pharmacy may provide information regarding subsidies for the
336     cost of medical cannabis treatment to patients who affirmatively accept receipt of the subsidy
337     information.
338          (4) To ensure that the name and logo of a licensee under this chapter have a medical
339     rather than a recreational disposition, the name and logo of the licensee:
340          (a) may include terms and images associated with:
341          (i) a medical disposition, including "medical," "medicinal," "medicine," "pharmacy,"
342     "apothecary," "wellness," "therapeutic," "health," "care," "cannabis," "clinic," "compassionate,"
343     "relief," "treatment," and "patient;" or
344          (ii) the plant form of cannabis, including "leaf," "flower," and "bloom;"[;] and
345          (b) may not include:
346          (i) any term, statement, design representation, picture, or illustration that is associated
347     with a recreational disposition or that appeals to children;
348          (ii) an emphasis on a psychoactive ingredient;
349          (iii) a specific cannabis strain; or
350          (iv) terms related to recreational marijuana, including "weed," "pot," "reefer," "grass,"
351     "hash," "ganga," "Mary Jane," "high," "buzz," "haze," "stoned," "joint," "bud," "smoke,"
352     "euphoria," "dank," "doobie," "kush," "frost," "cookies," "rec," "bake," "blunt," "combust,"
353     "bong," "budtender," "dab," "blaze," "toke," or "420."
354          (5) The department shall define standards for advertising authorized under this chapter,
355     including names and logos in accordance with Subsection (4), to ensure a medical rather than
356     recreational disposition.
357          Section 5. Section 4-41a-110 is enacted to read:
358          4-41a-110. Department coordination with the advisory board.
359          The department shall:
360          (1) provide draft rules made under this chapter to the advisory board for the advisory
361     board's review;
362          (2) consult with the advisory board before issuing an additional:
363          (a) cultivation facility license under Section 4-41a-205; or
364          (b) pharmacy license under Section 4-41a-1005;
365          (3) consult with the advisory board regarding fees set by the department that pertain to
366     the medical cannabis program; and
367          (4) when appropriate, consult with the advisory board regarding issues that arise in the
368     medical cannabis program.
369          Section 6. Section 4-41a-201 is amended to read:
370          4-41a-201. Cannabis production establishment -- License.
371          (1) Except as provided in Subsection (14), a person may not operate a cannabis
372     production establishment without a license that the department issues under this chapter.
373          (2) (a) (i) Subject to Subsections (6), (7), (8), and (13) and to Section 4-41a-205, for a
374     licensing process that the department initiates after March 17, 2021, the department, through
375     the licensing board, shall issue licenses in accordance with Section 4-41a-201.1.
376          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
377     department shall make rules to specify a transparent and efficient process to:
378          (A) solicit applications for a license under this section;
379          (B) allow for comments and questions in the development of applications;
380          (C) timely and objectively evaluate applications;
381          (D) hold public hearings that the department deems appropriate; and
382          (E) select applicants to receive a license.
383          (iii) The department may not issue a license to operate a cannabis production
384     establishment to an applicant who is not eligible for a license under this section.
385          (b) An applicant is eligible for a license under this section if the applicant submits to
386     the licensing board:
387          (i) subject to Subsection (2)(c), a proposed name and address or, for a cannabis
388     cultivation facility, addresses of no more than two facility locations, located in a zone described
389     in Subsection 4-41a-406(2)(a) or (b), where the applicant will operate the cannabis production
390     establishment;
391          (ii) the name and address of any individual who has:
392          (A) for a publicly traded company, a financial or voting interest of 2% or greater in the
393     proposed cannabis production establishment;
394          (B) for a privately held company, a financial or voting interest in the proposed cannabis
395     production establishment; or
396          (C) the power to direct or cause the management or control of a proposed cannabis
397     production establishment;
398          (iii) an operating plan that:
399          (A) complies with Section 4-41a-204;
400          (B) includes operating procedures that comply with this chapter and any law the
401     municipality or county in which the person is located adopts that is consistent with Section
402     4-41a-406; and
403          (C) the department or licensing board approves;
404          (iv) a statement that the applicant will obtain and maintain a performance bond that a
405     surety authorized to transact surety business in the state issues in an amount of at least:
406          (A) $100,000 for each cannabis cultivation facility for which the applicant applies; or
407          (B) $50,000 for each cannabis processing facility or independent cannabis testing
408     laboratory for which the applicant applies;
409          (v) an application fee in an amount that, subject to Subsection 4-41a-104(5), the
410     department sets in accordance with Section 63J-1-504; and
411          (vi) a description of any investigation or adverse action taken by any licensing
412     jurisdiction, government agency, law enforcement agency, or court in any state for any
413     violation or detrimental conduct in relation to any of the applicant's cannabis-related operations
414     or businesses.
415          (c) (i) A person may not locate a cannabis production establishment:
416          (A) within 1,000 feet of a community location; or
417          (B) in or within 600 feet of a district that the relevant municipality or county has zoned
418     as primarily residential.
419          (ii) The proximity requirements described in Subsection (2)(c)(i) shall be measured
420     from the nearest entrance to the cannabis production establishment by following the shortest
421     route of ordinary pedestrian travel to the property boundary of the community location or
422     residential area.
423          (iii) The licensing board may grant a waiver to reduce the proximity requirements in
424     Subsection (2)(c)(i) by up to 20% if the licensing board determines that it is not reasonably
425     feasible for the applicant to site the proposed cannabis production establishment without the
426     waiver.
427          (iv) An applicant for a license under this section shall provide evidence of compliance
428     with the proximity requirements described in Subsection (2)(c)(i).
429          (3) If the licensing board approves an application for a license under this section and
430     Section 4-41a-201.1:
431          (a) the applicant shall pay the department:
432          (i) an initial license fee in an amount that, subject to Subsection 4-41a-104(5), the
433     department sets in accordance with Section 63J-1-504; or
434          (ii) a fee for a 120-day limited license to operate as a cannabis processing facility
435     described in Subsection (3)(b) that is equal to 33% of the initial license fee described in
436     Subsection (3)(a)(i); and
437          (b) the department shall notify the Department of Public Safety of the license approval
438     and the names of each individual described in Subsection (2)(b)(ii).
439          (4) (a) Except as provided in Subsection (4)(b), a cannabis production establishment
440     shall obtain a separate license for each type of cannabis production establishment and each
441     location of a cannabis production establishment.
442          (b) The licensing board may issue a cannabis cultivation facility license and a cannabis
443     processing facility license to a person to operate at the same physical location or at separate
444     physical locations.
445          (5) If the licensing board receives more than one application for a cannabis production
446     establishment within the same city or town, the licensing board shall consult with the local land
447     use authority before approving any of the applications pertaining to that city or town.
448          (6) The licensing board may not issue a license to operate an independent cannabis
449     testing laboratory to a person who:
450          (a) holds a license or has an ownership interest in a medical cannabis pharmacy, a
451     cannabis processing facility, or a cannabis cultivation facility;
452          (b) has an owner, officer, director, or employee whose family member holds a license
453     or has an ownership interest in a medical cannabis pharmacy, a cannabis processing facility, or
454     a cannabis cultivation facility; or
455          (c) proposes to operate the independent cannabis testing laboratory at the same physical
456     location as a medical cannabis pharmacy, a cannabis processing facility, or a cannabis
457     cultivation facility.
458          (7) The licensing board may not issue a license to operate a cannabis production
459     establishment to an applicant if any individual described in Subsection (2)(b)(ii):
460          (a) has been convicted under state or federal law of:
461          (i) a felony; or
462          (ii) after December 3, 2018, a misdemeanor for drug distribution;
463          (b) is younger than 21 years old; or
464          (c) after September 23, 2019, until January 1, 2023, is actively serving as a legislator.
465          (8) (a) If an applicant for a cannabis production establishment license under this
466     section holds a license under Title 4, Chapter 41, Hemp and Cannabinoid Act, the licensing
467     board may not give preference to the applicant based on the applicant's status as a holder of the
468     license.
469          (b) If an applicant for a license to operate a cannabis cultivation facility under this
470     section holds a license to operate a medical cannabis pharmacy under [Title 26, Chapter 61a,
471     Utah Medical Cannabis Act] this title, the licensing board[:(i) shall consult with the
472     Department of Health regarding the applicant; and(ii)] may give consideration to the applicant
473     based on the applicant's status as a holder of a medical cannabis pharmacy license if:
474          [(A)] (i) the applicant demonstrates that a decrease in costs to patients is more likely to
475     result from the applicant's vertical integration than from a more competitive marketplace; and
476          [(B)] (ii) the licensing board finds multiple other factors, in addition to the existing
477     license, that support granting the new license.
478          (9) The licensing board may revoke a license under this part:
479          (a) if the cannabis production establishment does not begin cannabis production
480     operations within one year after the day on which the licensing board issues the initial license;
481          (b) after the third of the same violation of this chapter in any of the licensee's licensed
482     cannabis production establishments or medical cannabis pharmacies;
483          (c) if any individual described in Subsection (2)(b) is convicted, while the license is
484     active, under state or federal law of:
485          (i) a felony; or
486          (ii) after December 3, 2018, a misdemeanor for drug distribution;
487          (d) if the licensee fails to provide the information described in Subsection (2)(b)(vi) at
488     the time of application, or fails to supplement the information described in Subsection
489     (2)(b)(vi) with any investigation or adverse action that occurs after the submission of the
490     application within 14 calendar days after the licensee receives notice of the investigation or
491     adverse action;
492          (e) if the cannabis production establishment demonstrates a willful or reckless
493     disregard for the requirements of this chapter or the rules the department makes in accordance
494     with this chapter;
495          (f) if, after a change of ownership described in Subsection (15)(b), the board
496     determines that the cannabis production establishment no longer meets the minimum standards
497     for licensure and operation of the cannabis production establishment described in this chapter;
498     or
499          (g) for an independent cannabis testing laboratory, if the independent cannabis testing
500     laboratory fails to substantially meet the performance standards described in Subsection
501     (14)(b).
502          (10) (a) A person who receives a cannabis production establishment license under this
503     chapter, if the municipality or county where the licensed cannabis production establishment
504     will be located requires a local land use permit, shall submit to the licensing board a copy of
505     the licensee's approved application for the land use permit within 120 days after the day on
506     which the licensing board issues the license.
507          (b) If a licensee fails to submit to the licensing board a copy of the licensee's approved
508     land use permit application in accordance with Subsection (10)(a), the licensing board may
509     revoke the licensee's license.
510          (11) The department shall deposit the proceeds of a fee that the department imposes
511     under this section into the Qualified Production Enterprise Fund.
512          (12) The department shall begin accepting applications under this part on or before
513     January 1, 2020.
514          (13) (a) The department's authority, and consequently the licensing board's authority, to
515     issue a license under this section is plenary and is not subject to review.
516          (b) Notwithstanding Subsection (2)(a)(ii)(A), the decision of the department to award a
517     license to an applicant is not subject to:
518          (i) Title 63G, Chapter 6a, Part 16, Protests; or
519          (ii) Title 63G, Chapter 6a, Part 17, Procurement Appeals Board.
520          (14) (a) Notwithstanding this section, the department:
521          (i) may not issue more than four licenses to operate an independent cannabis testing
522     laboratory;
523          (ii) may operate or partner with a research university to operate an independent
524     cannabis testing laboratory;
525          (iii) if the department operates or partners with a research university to operate an
526     independent cannabis testing laboratory, may not cease operating or partnering with a research
527     university to operate the independent cannabis testing laboratory unless:
528          (A) the department issues at least two licenses to independent cannabis testing
529     laboratories; and
530          (B) the department has ensured that the licensed independent cannabis testing
531     laboratories have sufficient capacity to provide the testing necessary to support the state's
532     medical cannabis market; and
533          (iv) after ceasing department or research university operations under Subsection
534     (14)(a)(ii) shall resume independent cannabis testing laboratory operations at any time if:
535          (A) fewer than two licensed independent cannabis testing laboratories are operating; or
536          (B) the licensed independent cannabis testing laboratories become, in the department's
537     determination, unable to fully meet the market demand for testing.
538          (b) (i) The department shall make rules, in accordance with Title 63G, Chapter 3, Utah
539     Administrative Rulemaking Act, to establish performance standards for the operation of an
540     independent cannabis testing laboratory, including deadlines for testing completion.
541          (ii) A license that the department issues to an independent cannabis testing laboratory
542     is contingent upon substantial satisfaction of the performance standards described in
543     Subsection (14)(b)(i), as determined by the board.
544          (15) (a) A cannabis production establishment license is not transferrable or assignable.
545          (b) If the ownership of a cannabis production establishment changes by 50% or more:
546          (i) the cannabis production establishment shall submit a new application described in
547     Subsection (2)(b), subject to Subsection (2)(c);
548          (ii) within 30 days of the submission of the application, the board shall:
549          (A) conduct the application review described in Section 4-41a-201.1; and
550          (B) award a license to the cannabis production establishment for the remainder of the
551     term of the cannabis production establishment's license before the ownership change if the
552     cannabis production establishment meets the minimum standards for licensure and operation of
553     the cannabis production establishment described in this chapter; and
554          (iii) if the board approves the license application, notwithstanding Subsection (3), the
555     cannabis production establishment shall pay a license fee that the department sets in
556     accordance with Section 63J-1-504 in an amount that covers the board's cost of conducting the
557     application review.
558          Section 7. Section 4-41a-404 is amended to read:
559          4-41a-404. Medical cannabis transportation.
560          (1) (a) [Only] Except as provided in Part 12, Medical Cannabis Home Delivery and
561     Couriers, the following individuals may transport cannabis or a cannabis product under this
562     chapter:
563          (i) a registered cannabis production establishment agent; [or]
564          (ii) a medical cannabis cardholder who is transporting a medical cannabis treatment
565     that the cardholder is authorized to possess under this chapter[.];
566          (iii) a registered medical cannabis pharmacy agent;
567          (iv) a registered medical cannabis courier agent; and
568          (v) a registered pharmacy medical provider.
569          (b) Only an agent of a cannabis cultivation facility, when the agent is transporting
570     cannabis plants to a cannabis processing facility or an independent cannabis testing laboratory,
571     may transport unprocessed cannabis outside of a medicinal dosage form.
572          (2) Except for an individual with a valid medical cannabis card under Title 26, Chapter
573     61a, Utah Medical Cannabis Act, who is transporting a medical cannabis treatment, an
574     individual transporting cannabis or a cannabis product shall possess a transportation manifest
575     that:
576          (a) includes a unique identifier that links the cannabis or cannabis product to a relevant
577     inventory control system;
578          (b) includes origin and destination information for any cannabis or cannabis product
579     that the individual is transporting; and
580          (c) identifies the departure and arrival times and locations of the individual
581     transporting the cannabis or cannabis product.
582          (3) (a) In addition to the requirements in Subsections (1) and (2), the department may
583     establish by rule, in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking
584     Act, requirements for transporting cannabis or cannabis product to ensure that the cannabis or
585     cannabis product remains safe for human consumption.
586          (b) The transportation described in Subsection (3)(a) is limited to transportation:
587          (i) between a cannabis production establishment and another cannabis production
588     establishment; and
589          (ii) between a cannabis processing facility and a medical cannabis pharmacy.
590          (4) (a) It is unlawful for a registered cannabis production establishment agent to make a
591     transport described in this section with a manifest that does not meet the requirements of this
592     section.
593          (b) Except as provided in Subsection (4)(d), an agent who violates Subsection (4)(a) is:
594          (i) guilty of an infraction; and
595          (ii) subject to a $100 fine.
596          (c) An individual who is guilty of a violation described in Subsection (4)(b) is not
597     guilty of a violation of Title 58, Chapter 37, Utah Controlled Substances Act, for the conduct
598     underlying the violation described in Subsection (4)(b).
599          (d) If the agent described in Subsection (4)(a) is transporting more cannabis or
600     cannabis product than the manifest identifies, except for a de minimis administrative error:
601          (i) the penalty described in Subsection (4)(b) does not apply; and
602          (ii) the agent is subject to penalties under Title 58, Chapter 37, Utah Controlled
603     Substances Act.
604          (5) Nothing in this section prevents the department from taking administrative
605     enforcement action against a cannabis production establishment, medical cannabis pharmacy,
606     medical cannabis courier, or another person for failing to make a transport in compliance with
607     the requirements of this section.
608          (6) An individual other than an individual described in Subsection (1) may transport a
609     medical cannabis device within the state if the transport does not also contain medical
610     cannabis.
611          Section 8. Section 4-41a-801.1, which is renumbered from Section 26-61a-702 is
612     renumbered and amended to read:
613          [26-61a-702].      4-41a-801.1. Enforcement for medical cannabis pharmacies
614     and couriers -- Fine -- Citation.
615          (1) (a) The department may, for a medical cannabis pharmacy's or a medical cannabis
616     courier's violation of this chapter or an applicable administrative rule:
617          (i) revoke the medical cannabis pharmacy or medical cannabis courier license;
618          (ii) refuse to renew the medical cannabis pharmacy or medical cannabis courier
619     license; or
620          (iii) assess the medical cannabis pharmacy or medical cannabis courier an
621     administrative penalty.
622          (b) The department may, for a medical cannabis pharmacy agent's or medical cannabis
623     courier agent's violation of this chapter:
624          (i) revoke the medical cannabis pharmacy agent or medical cannabis courier agent
625     registration card;
626          (ii) refuse to renew the medical cannabis pharmacy agent or medical cannabis courier
627     agent registration card; or
628          (iii) assess the medical cannabis pharmacy agent or medical cannabis courier agent an
629     administrative penalty.
630          (2) The department shall deposit an administrative penalty imposed under this section
631     into the General Fund.
632          (3) For a person subject to an uncontested citation, a stipulated settlement, or a finding
633     of a violation in an adjudicative proceeding under this section, the department may:
634          (a) for a fine amount not already specified in law, assess the person a fine of up to
635     $5,000 per violation, in accordance with a fine schedule that the department establishes by rule
636     in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act; or
637          (b) order the person to cease and desist from the action that creates a violation.
638          (4) The department may not revoke a medical cannabis pharmacy's license or a medical
639     cannabis courier's license without first directing the medical cannabis pharmacy or the medical
640     cannabis courier to appear before an adjudicative proceeding conducted under Title 63G,
641     Chapter 4, Administrative Procedures Act.
642          (5) If, within 20 calendar days after the day on which the department issues a citation
643     for a violation of this chapter, the person that is the subject of the citation fails to request a
644     hearing to contest the citation, the citation becomes the department's final order.
645          (6) The department may, for a person who fails to comply with a citation under this
646     section:
647          (a) refuse to issue or renew the person's license or agent registration card; or
648          (b) suspend, revoke, or place on probation the person's license or agent registration
649     card.
650          (7) (a) Except where a criminal penalty is expressly provided for a specific violation of
651     this chapter, if an individual violates a provision of this chapter, the individual is:
652          (i) guilty of an infraction; and
653          (ii) subject to a $100 fine.
654          (b) An individual who is guilty of a violation described in Subsection (7)(a) is not
655     guilty of a violation of Title 58, Chapter 37, Utah Controlled Substances Act, for the conduct
656     underlying the violation described in Subsection (7)(a).
657          Section 9. Section 4-41a-802 is amended to read:
658          4-41a-802. Report.
659          (1) At or before the November interim meeting each year, the department shall report
660     to the Health and Human Services Interim Committee on:
661          (a) the number of applications and renewal applications that the department receives
662     under this chapter;
663          (b) the number of each type of cannabis production facility that the department licenses
664     in each county;
665          (c) the amount of cannabis that licensees grow;
666          (d) the amount of cannabis that licensees manufacture into cannabis products;
667          (e) the number of licenses the department revokes under this chapter;
668          (f) the department's operation of an independent cannabis testing laboratory under
669     Section 4-41a-201, including:
670          (i) the cannabis and cannabis products the department tested; and
671          (ii) the results of the tests the department performed; and
672          (g) the expenses incurred and revenues generated under this chapter.
673          (2) The department may not include personally identifying information in the report
674     described in this section.
675          (3) [During the 2022 legislative interim, the] The department shall report to the
676     working group described in Section 36-12-8.2 as requested by the working group.
677          Section 10. Section 4-41a-1001, which is renumbered from Section 26-61a-301 is
678     renumbered and amended to read:
679     
Part 10. Medical Cannabis Pharmacy License

680          [26-61a-301].      4-41a-1001. Medical cannabis pharmacy -- License --
681     Eligibility.
682          (1) A person may not operate as a medical cannabis pharmacy without a license that
683     the department issues under this part.
684          (2) (a) (i) Subject to Subsections (4) and (5) and to Section [26-61a-305] 4-41a-1005,
685     the department shall issue a license to operate a medical cannabis pharmacy in accordance with
686     Title 63G, Chapter 6a, Utah Procurement Code.
687          (ii) The department may not issue a license to operate a medical cannabis pharmacy to
688     an applicant who is not eligible for a license under this section.
689          (b) An applicant is eligible for a license under this section if the applicant submits to
690     the department:
691          (i) subject to Subsection (2)(c), a proposed name and address where the applicant will
692     operate the medical cannabis pharmacy;
693          (ii) the name and address of an individual who:
694          (A) for a publicly traded company, has a financial or voting interest of 2% or greater in
695     the proposed medical cannabis pharmacy;
696          (B) for a privately held company, a financial or voting interest in the proposed medical
697     cannabis pharmacy; or
698          (C) has the power to direct or cause the management or control of a proposed medical
699     cannabis pharmacy;
700          (iii) a statement that the applicant will obtain and maintain a performance bond that a
701     surety authorized to transact surety business in the state issues in an amount of at least
702     $100,000 for each application that the applicant submits to the department;
703          (iv) an operating plan that:
704          (A) complies with Section [26-61a-304] 4-41a-1004;
705          (B) includes operating procedures to comply with the operating requirements for a
706     medical cannabis pharmacy described in this chapter and with a relevant municipal or county
707     law that is consistent with Section [26-61a-507] 4-41a-1106; and
708          (C) the department approves;
709          (v) an application fee in an amount that, subject to Subsection [26-61a-109(5)]
710     4-41a-104(5), the department sets in accordance with Section 63J-1-504; and
711          (vi) a description of any investigation or adverse action taken by any licensing
712     jurisdiction, government agency, law enforcement agency, or court in any state for any
713     violation or detrimental conduct in relation to any of the applicant's cannabis-related operations
714     or businesses.
715          (c) (i) A person may not locate a medical cannabis pharmacy:
716          (A) within 200 feet of a community location; or
717          (B) in or within 600 feet of a district that the relevant municipality or county has zoned
718     as primarily residential.
719          (ii) The proximity requirements described in Subsection (2)(c)(i) shall be measured
720     from the nearest entrance to the medical cannabis pharmacy establishment by following the
721     shortest route of ordinary pedestrian travel to the property boundary of the community location
722     or residential area.
723          (iii) The department may grant a waiver to reduce the proximity requirements in
724     Subsection (2)(c)(i) by up to 20% if the department determines that it is not reasonably feasible
725     for the applicant to site the proposed medical cannabis pharmacy without the waiver.
726          (iv) An applicant for a license under this section shall provide evidence of compliance
727     with the proximity requirements described in Subsection (2)(c)(i).
728          (d) The department may not issue a license to an eligible applicant that the department
729     has selected to receive a license until the selected eligible applicant obtains the performance
730     bond described in Subsection (2)(b)(iii).
731          (e) If the department receives more than one application for a medical cannabis
732     pharmacy within the same city or town, the department shall consult with the local land use
733     authority before approving any of the applications pertaining to that city or town.
734          (3) If the department selects an applicant for a medical cannabis pharmacy license
735     under this section, the department shall:
736          (a) charge the applicant an initial license fee in an amount that, subject to Subsection
737     [26-61a-109(5)] 4-41a-104(5), the department sets in accordance with Section 63J-1-504;
738          (b) notify the Department of Public Safety of the license approval and the names of
739     each individual described in Subsection (2)(b)(ii); and
740          (c) charge the licensee a fee in an amount that, subject to Subsection [26-61a-109(5)]
741     4-41a-104(5), the department sets in accordance with Section 63J-1-504, for any change in
742     location, ownership, or company structure.
743          (4) The department may not issue a license to operate a medical cannabis pharmacy to
744     an applicant if an individual described in Subsection (2)(b)(ii):
745          (a) has been convicted under state or federal law of:
746          (i) a felony; or
747          (ii) after December 3, 2018, a misdemeanor for drug distribution;
748          (b) is younger than 21 years old; or
749          (c) after September 23, 2019, until January 1, 2023, is actively serving as a legislator.
750          (5) (a) If an applicant for a medical cannabis pharmacy license under this section holds
751     a license under Title 4, Chapter 41, Hemp and Cannabinoid Act, the department may not give
752     preference to the applicant based on the applicant's status as a holder of the license.
753          (b) If an applicant for a medical cannabis pharmacy license under this section holds a
754     license to operate a cannabis cultivation facility under Title 4, Chapter 41a, Cannabis
755     Production Establishments, the department:
756          (i) shall consult with the Department of Agriculture and Food regarding the applicant;
757     and
758          (ii) may give consideration to the applicant based on the applicant's status as a holder
759     of a license to operate a cannabis cultivation facility if:
760          (A) the applicant demonstrates that a decrease in costs to patients is more likely to
761     result from the applicant's vertical integration than from a more competitive marketplace; and
762          (B) the department finds multiple other factors, in addition to the existing license, that
763     support granting the new license.
764          (6) (a) The department may revoke a license under this part:
765          (i) if the medical cannabis pharmacy does not begin operations within one year after
766     the day on which the department issues an announcement of the department's intent to award a
767     license to the medical cannabis pharmacy;
768          (ii) after the third the same violation of this chapter in any of the licensee's licensed
769     cannabis production establishments or medical cannabis pharmacies;
770          (iii) if an individual described in Subsection (2)(b)(ii) is convicted, while the license is
771     active, under state or federal law of:
772          (A) a felony; or
773          (B) after December 3, 2018, a misdemeanor for drug distribution;
774          (iv) if the licensee fails to provide the information described in Subsection (2)(b)(vi) at
775     the time of application, or fails to supplement the information described in Subsection
776     (2)(b)(vi) with any investigation or adverse action that occurs after the submission of the
777     application within 14 calendar days after the licensee receives notice of the investigation or
778     adverse action;
779          (v) if the medical cannabis pharmacy demonstrates a willful or reckless disregard for
780     the requirements of this chapter or the rules the department makes in accordance with this
781     chapter; or
782          (vi) if, after a change of ownership described in Subsection (11)(c), the department
783     determines that the medical cannabis pharmacy no longer meets the minimum standards for
784     licensure and operation of the medical cannabis pharmacy described in this chapter.
785          (b) The department shall rescind a notice of an intent to issue a license under this part
786     to an applicant or revoke a license issued under this part if the associated medical cannabis
787     pharmacy does not begin operation on or before June 1, 2021.
788          (7) (a) A person who receives a medical cannabis pharmacy license under this chapter,
789     if the municipality or county where the licensed medical cannabis pharmacy will be located
790     requires a local land use permit, shall submit to the department a copy of the licensee's
791     approved application for the land use permit within 120 days after the day on which the
792     department issues the license.
793          (b) If a licensee fails to submit to the department a copy the licensee's approved land
794     use permit application in accordance with Subsection (7)(a), the department may revoke the
795     licensee's license.
796          (8) The department shall deposit the proceeds of a fee imposed by this section into the
797     Qualified [Patient] Production Enterprise Fund.
798          (9) The department shall begin accepting applications under this part on or before
799     March 1, 2020.
800          (10) (a) The department's authority to issue a license under this section is plenary and is
801     not subject to review.
802          (b) Notwithstanding Subsection (2), the decision of the department to award a license
803     to an applicant is not subject to:
804          (i) Title 63G, Chapter 6a, Part 16, Protests; or
805          (ii) Title 63G, Chapter 6a, Part 17, Procurement Appeals Board.
806          (11) (a) A medical cannabis pharmacy license is not transferrable or assignable.
807          (b) A medical cannabis pharmacy shall report in writing to the department no later than
808     10 business days before the date of any change of ownership of the medical cannabis
809     pharmacy.
810          (c) If the ownership of a medical cannabis pharmacy changes by 50% or more:
811          (i) concurrent with the report described in Subsection (11)(b), the medical cannabis
812     pharmacy shall submit a new application described in Subsection (2)(b), subject to Subsection
813     (2)(c);
814          (ii) within 30 days of the submission of the application, the department shall:
815          (A) conduct an application review; and
816          (B) award a license to the medical cannabis pharmacy for the remainder of the term of
817     the medical cannabis pharmacy's license before the ownership change if the medical cannabis
818     pharmacy meets the minimum standards for licensure and operation of the medical cannabis
819     pharmacy described in this chapter; and
820          (iii) if the department approves the license application, notwithstanding Subsection (3),
821     the medical cannabis pharmacy shall pay a license fee that the department sets in accordance
822     with Section 63J-1-504 in an amount that covers the board's cost of conducting the application
823     review.
824          Section 11. Section 4-41a-1002, which is renumbered from Section 26-61a-302 is
825     renumbered and amended to read:
826          [26-61a-302].      4-41a-1002. Medical cannabis pharmacy owners and
827     directors -- Criminal background checks.
828          (1) Each applicant to whom the department issues a notice of intent to award a license
829     to operate as a medical cannabis pharmacy shall submit, before the department may award the
830     license, from each individual who has a financial or voting interest of 2% or greater in the
831     applicant or who has the power to direct or cause the management or control of the applicant:
832          (a) a fingerprint card in a form acceptable to the Department of Public Safety;
833          (b) a signed waiver in accordance with Subsection 53-10-108(4) acknowledging the
834     registration of the individual's fingerprints in the Federal Bureau of Investigation Next
835     Generation Identification System's Rap Back Service; and
836          (c) consent to a fingerprint background check by:
837          (i) the Bureau of Criminal Identification; and
838          (ii) the Federal Bureau of Investigation.
839          (2) The Bureau of Criminal Identification shall:
840          (a) check the fingerprints the applicant submits under Subsection (1) against the
841     applicable state, regional, and national criminal records databases, including the Federal
842     Bureau of Investigation Next Generation Identification System;
843          (b) report the results of the background check to the department;
844          (c) maintain a separate file of fingerprints that applicants submit under Subsection (1)
845     for search by future submissions to the local and regional criminal records databases, including
846     latent prints;
847          (d) request that the fingerprints be retained in the Federal Bureau of Investigation Next
848     Generation Identification System's Rap Back Service for search by future submissions to
849     national criminal records databases, including the Next Generation Identification System and
850     latent prints; and
851          (e) establish a privacy risk mitigation strategy to ensure that the department only
852     receives notifications for an individual with whom the department maintains an authorizing
853     relationship.
854          (3) The department shall:
855          (a) assess an individual who submits fingerprints under Subsection (1) a fee in an
856     amount that the department sets in accordance with Section 63J-1-504 for the services that the
857     Bureau of Criminal Identification or another authorized agency provides under this section; and
858          (b) remit the fee described in Subsection (3)(a) to the Bureau of Criminal
859     Identification.
860          Section 12. Section 4-41a-1003, which is renumbered from Section 26-61a-303 is
861     renumbered and amended to read:
862          [26-61a-303].      4-41a-1003. Renewal.
863          (1) The department shall renew a license under this part every year if, at the time of
864     renewal:
865          (a) the licensee meets the requirements of Section [26-61a-301] 4-41a-1001;
866          (b) the licensee pays the department a license renewal fee in an amount that, subject to
867     Subsection [26-61a-109(5)] 4-41a-1004(5), the department sets in accordance with Section
868     63J-1-504; and
869          (c) if the medical cannabis pharmacy changes the operating plan described in Section
870     [26-61a-304] 4-41a-1004 that the department approved under Subsection
871     [26-61a-301(2)(b)(iv)] 4-41a-1001(2)(b)(iv), the department approves the new operating plan.
872          (2) (a) If a licensed medical cannabis pharmacy abandons the medical cannabis
873     pharmacy's license, the department shall publish notice of an available license:
874          (i) in a newspaper of general circulation for the geographic area in which the medical
875     cannabis pharmacy license is available; or
876          (ii) on the Utah Public Notice Website established in Section 63A-16-601.
877          (b) The department may establish criteria, in collaboration with the Division of
878     Professional Licensing and the Board of Pharmacy and in accordance with Title 63G, Chapter
879     3, Utah Administrative Rulemaking Act, to identify the medical cannabis pharmacy actions that
880     constitute abandonment of a medical cannabis pharmacy license.
881          (3) If the department has not completed the necessary processes to make a
882     determination on a license renewal under Subsections (1)(a) and (c) before the expiration of a
883     license, the department may issue a conditional medical cannabis pharmacy license to a
884     licensed medical cannabis pharmacy that has applied for license renewal under this section and
885     paid the fee described in Subsection (1)(b).
886          Section 13. Section 4-41a-1004, which is renumbered from Section 26-61a-304 is
887     renumbered and amended to read:
888          [26-61a-304].      4-41a-1004. Operating plan.
889          A person applying for a medical cannabis pharmacy license shall submit to the
890     department a proposed operation plan for the medical cannabis pharmacy [that complies with
891     this section and] that includes:
892          (1) a description of the physical characteristics of the proposed facility, including a
893     floor plan and an architectural elevation;
894          (2) a description of the credentials and experience of:
895          (a) each officer, director, or owner of the proposed medical cannabis pharmacy; and
896          (b) any highly skilled or experienced prospective employee;
897          (3) the medical cannabis pharmacy's employee training standards;
898          (4) a security plan;
899          (5) a description of the medical cannabis pharmacy's inventory control system,
900     including a plan to make the inventory control system compatible with the state electronic
901     verification system;
902          (6) storage protocols, both short- and long-term, to ensure that cannabis is stored in a
903     manner that is sanitary and preserves the integrity of the cannabis; and
904          (7) a description of the proposed medical cannabis pharmacy's strategic plan for
905     opening the medical cannabis pharmacy, including gauging appropriate timing based on:
906          (a) the supply of medical cannabis and medical cannabis products, in consultation with
907     the [Department of Agriculture and Food] department; and
908          (b) the quantity and condition of the population of medical cannabis cardholders, in
909     consultation with the [department] Department of Health and Human Services.
910          Section 14. Section 4-41a-1005, which is renumbered from Section 26-61a-305 is
911     renumbered and amended to read:
912          [26-61a-305].      4-41a-1005. Maximum number of licenses.
913          (1) (a) Except as provided in Subsections (1)(b) or (d), if a sufficient number of
914     applicants apply, the department shall issue up to 15 medical cannabis pharmacy licenses in
915     accordance with this section.
916          (b) If an insufficient number of qualified applicants apply for the available number of
917     medical cannabis pharmacy licenses, the department shall issue a medical cannabis pharmacy
918     license to each qualified applicant.
919          (c) The department may issue the licenses described in Subsection (1)(a) in accordance
920     with this Subsection (1)(c).
921          (i) Using one procurement process, the department may issue eight licenses to an initial
922     group of medical cannabis pharmacies and six licenses to a second group of medical cannabis
923     pharmacies.
924          (ii) If the department issues licenses in two phases in accordance with Subsection
925     (1)(c)(i), the department shall:
926          (A) divide the state into no less than four geographic regions;
927          (B) issue at least one license in each geographic region during each phase of issuing
928     licenses; and
929          (C) complete the process of issuing medical cannabis pharmacy licenses no later than
930     July 1, 2020.
931          (iii) In issuing a 15th license under Subsection (1), the department shall ensure that the
932     license recipient will locate the medical cannabis pharmacy within Dagget, Duchesne, Uintah,
933     Carbon, Sevier, Emery, Grand, or San Juan County.
934          (d) (i) The department may issue licenses to operate a medical cannabis pharmacy in
935     addition to the licenses described in Subsection (1)(a) if the department determines, in
936     consultation with the Department of [Agriculture and Food] Health and Human Services and
937     after an annual or more frequent analysis of the current and anticipated market for medical
938     cannabis, that each additional license is necessary to provide an adequate supply, quality, or
939     variety of medical cannabis to medical cannabis cardholders.
940          (ii) The department shall:
941          (A) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
942     make rules to establish criteria and processes for the consultation, analysis, and application for
943     a license described in Subsection (1)(d)(i); and
944          (B) report to the Executive Appropriations Committee of the Legislature before each
945     time the department issues an additional license under Subsection (1)(d)(i) regarding the results
946     of the consultation and analysis described in Subsection (1)(d)(i) and the application of the
947     criteria described in Subsection (1)(d)(ii)(A).
948          (2) (a) If there are more qualified applicants than there are available licenses for
949     medical cannabis pharmacies, the department shall:
950          (i) evaluate each applicant and award the license to the applicant that best
951     demonstrates:
952          (A) experience with establishing and successfully operating a business that involves
953     complying with a regulatory environment, tracking inventory, and training, evaluating, and
954     monitoring employees;
955          (B) an operating plan that will best ensure the safety and security of patrons and the
956     community;
957          (C) positive connections to the local community;
958          (D) the suitability of the proposed location and the location's accessibility for
959     qualifying patients;
960          (E) the extent to which the applicant can increase efficiency and reduce the cost of
961     medical cannabis for patients; and
962          (F) a strategic plan described in Subsection [26-61a-304(7)] 4-41a-1004(7) that has a
963     comparatively high likelihood of success; and
964          (ii) ensure a geographic dispersal among licensees that is sufficient to reasonably
965     maximize access to the largest number of medical cannabis cardholders.
966          (b) In making the evaluation described in Subsection (2)(a), the department may give
967     increased consideration to applicants who indicate a willingness to:
968          (i) operate as a home delivery medical cannabis pharmacy that accepts electronic
969     medical cannabis orders that the state central patient portal facilitates; and
970          (ii) accept payments through:
971          (A) a payment provider that the Division of Finance approves, in consultation with the
972     state treasurer, in accordance with Section [26-61a-603] 4-41a-108; or
973          (B) a financial institution in accordance with Subsection [26-61a-603(4).]
974     4-41a-108(4).
975          (3) The department may conduct a face-to-face interview with an applicant for a
976     license that the department evaluates under Subsection (2).
977          [(4) (a) The department may designate a medical cannabis pharmacy as a home
978     delivery medical cannabis pharmacy if the department determines that the medical cannabis
979     pharmacy's operating plan demonstrates the functional and technical ability to:]
980          [(i) safely conduct transactions for medical cannabis shipments;]
981          [(ii) accept electronic medical cannabis orders that the state central patient portal
982     facilitates; and]
983          [(iii) accept payments through:]
984          [(A) a payment provider that the Division of Finance approves, in consultation with the
985     state treasurer, in accordance with Section 26-61a-603; or]
986          [(B) a financial institution in accordance with Subsection 26-61a-603(4).]
987          [(b) An applicant seeking a designation as a home delivery medical cannabis pharmacy
988     shall identify in the applicant's operating plan any information relevant to the department's
989     evaluation described in Subsection (4)(a), including:]
990          [(i) the name and contact information of the payment provider;]
991          [(ii) the nature of the relationship between the prospective licensee and the payment
992     provider;]
993          [(iii) the processes of the following to safely and reliably conduct transactions for
994     medical cannabis shipments:]
995          [(A) the prospective licensee; and]
996          [(B) the electronic payment provider or the financial institution described in Subsection
997     (4)(a)(iii); and]
998          [(iv) the ability of the licensee to comply with the department's rules regarding the
999     secure transportation and delivery of medical cannabis or medical cannabis product to a
1000     medical cannabis cardholder.]
1001          [(c) Notwithstanding any county or municipal ordinance, a medical cannabis pharmacy
1002     that the department designates as a home delivery medical cannabis pharmacy may deliver
1003     medical cannabis shipments in accordance with this chapter.]
1004          Section 15. Section 4-41a-1101, which is renumbered from Section 26-61a-501 is
1005     renumbered and amended to read:
1006     
Part 11. Medical Cannabis Pharmacy Operation and Agents

1007          [26-61a-501].      4-41a-1101. Operating requirements -- General.
1008          (1) (a) A medical cannabis pharmacy shall operate:
1009          (i) at the physical address provided to the department under Section [26-61a-301]
1010     4-41a-1001; and
1011          (ii) in accordance with the operating plan provided to the department under Section
1012     [26-61a-301] 4-41a-1001 and, if applicable, Section [26-61a-304] 4-41a-1004.
1013          (b) A medical cannabis pharmacy shall notify the department before a change in the
1014     medical cannabis pharmacy's physical address or operating plan.
1015          (2) An individual may not enter a medical cannabis pharmacy unless the individual:
1016          (a) is at least 18 years old or is an emancipated minor under Section 80-7-105; and
1017          (b) except as provided in Subsection (4):
1018          (i) possesses a valid:
1019          (A) medical cannabis pharmacy agent registration card;
1020          (B) pharmacy medical provider registration card; or
1021          (C) medical cannabis card;
1022          (ii) is an employee of the department [or the Department of Agriculture and Food]
1023     performing an inspection under Section [26-61a-504] 4-41a-1103; or
1024          (iii) is another individual as the department provides.
1025          (3) A medical cannabis pharmacy may not employ an individual who is younger than
1026     21 years old.
1027          (4) Notwithstanding Subsection (2)(a), a medical cannabis pharmacy may authorize an
1028     individual who is not a medical cannabis pharmacy agent or pharmacy medical provider to
1029     access the medical cannabis pharmacy if the medical cannabis pharmacy tracks and monitors
1030     the individual at all times while the individual is at the medical cannabis pharmacy and
1031     maintains a record of the individual's access.
1032          (5) A medical cannabis pharmacy shall operate in a facility that has:
1033          (a) a single, secure public entrance;
1034          (b) a security system with a backup power source that:
1035          (i) detects and records entry into the medical cannabis pharmacy; and
1036          (ii) provides notice of an unauthorized entry to law enforcement when the medical
1037     cannabis pharmacy is closed; and
1038          (c) a lock on each area where the medical cannabis pharmacy stores cannabis or a
1039     cannabis product.
1040          (6) A medical cannabis pharmacy shall post, both clearly and conspicuously in the
1041     medical cannabis pharmacy, the limit on the purchase of cannabis described in Subsection
1042     [26-61a-502(2)] 4-41a-1102(2).
1043          (7) Except for an emergency situation described in Subsection 26-61a-201(3)(c), a
1044     medical cannabis pharmacy may not allow any individual to consume cannabis on the property
1045     or premises of the medical cannabis pharmacy.
1046          (8) A medical cannabis pharmacy may not sell cannabis or a cannabis product without
1047     first indicating on the cannabis or cannabis product label the name of the medical cannabis
1048     pharmacy.
1049          (9) (a) Each medical cannabis pharmacy shall retain in the pharmacy's records the
1050     following information regarding each recommendation underlying a transaction:
1051          (i) the recommending medical provider's name, address, and telephone number;
1052          (ii) the patient's name and address;
1053          (iii) the date of issuance;
1054          (iv) directions of use and dosing guidelines or an indication that the recommending
1055     medical provider did not recommend specific directions of use or dosing guidelines; and
1056          (v) if the patient did not complete the transaction, the name of the medical cannabis
1057     cardholder who completed the transaction.
1058          (b) (i) Except as provided in Subsection (9)(b)(iii), a medical cannabis pharmacy may
1059     not sell medical cannabis unless the medical cannabis has a label securely affixed to the
1060     container indicating the following minimum information:
1061          (A) the name, address, and telephone number of the medical cannabis pharmacy;
1062          (B) the unique identification number that the medical cannabis pharmacy assigns;
1063          (C) the date of the sale;
1064          (D) the name of the patient;
1065          (E) the name of the recommending medical provider who recommended the medical
1066     cannabis treatment;
1067          (F) directions for use and cautionary statements, if any;
1068          (G) the amount dispensed and the cannabinoid content;
1069          (H) the suggested use date;
1070          (I) for unprocessed cannabis flower, the legal use termination date; and
1071          (J) any other requirements that the department determines, in consultation with the
1072     Division of Professional Licensing and the Board of Pharmacy.
1073          (ii) A medical cannabis pharmacy is exempt from the requirement to provide the
1074     following information under Subsection (9)(b)(i) if the information is already provided on the
1075     product label that a cannabis production establishment affixes:
1076          (A) a unique identification number;
1077          (B) directions for use and cautionary statements;
1078          (C) amount and cannabinoid content; and
1079          (D) a suggested use date.
1080          (iii) If the size of a medical cannabis container does not allow sufficient space to
1081     include the labeling requirements described in Subsection (9)(b)(i), the medical cannabis
1082     pharmacy may provide the following information described in Subsection (9)(b)(i) on a
1083     supplemental label attached to the container or an informational enclosure that accompanies the
1084     container:
1085          (A) the cannabinoid content;
1086          (B) the suggested use date; and
1087          (C) any other requirements that the department determines.
1088          (iv) A medical cannabis pharmacy may sell medical cannabis to another medical
1089     cannabis pharmacy without a label described in Subsection (9)(b)(i).
1090          (10) A pharmacy medical provider or medical cannabis pharmacy agent shall:
1091          (a) upon receipt of an order from a limited medical provider in accordance with
1092     Subsections 26-61a-106(1)(b) through (d):
1093          (i) for a written order or an electronic order under circumstances that the department
1094     determines, contact the limited medical provider or the limited medical provider's office to
1095     verify the validity of the recommendation; and
1096          (ii) for an order that the pharmacy medical provider or medical cannabis pharmacy
1097     agent verifies under Subsection (10)(a)(i) or an electronic order that is not subject to
1098     verification under Subsection (10)(a)(i), enter the limited medical provider's recommendation
1099     or renewal, including any associated directions of use, dosing guidelines, or caregiver
1100     indication, in the state electronic verification system;
1101          (b) in processing an order for a holder of a conditional medical cannabis card described
1102     in Subsection 26-61a-201(1)(b) that appears irregular or suspicious in the judgment of the
1103     pharmacy medical provider or medical cannabis pharmacy agent, contact the recommending
1104     medical provider or the recommending medical provider's office to verify the validity of the
1105     recommendation before processing the cardholder's order;
1106          (c) unless the medical cannabis cardholder has had a consultation under Subsection
1107     [26-61a-502(4) or (5)] 26-61a-404(5) or (6), verbally offer to a medical cannabis cardholder at
1108     the time of a purchase of cannabis, a cannabis product, or a medical cannabis device, personal
1109     counseling with the pharmacy medical provider; and
1110          (d) provide a telephone number or website by which the cardholder may contact a
1111     pharmacy medical provider for counseling.
1112          (11) (a) A medical cannabis pharmacy may create a medical cannabis disposal program
1113     that allows an individual to deposit unused or excess medical cannabis, cannabis residue from a
1114     medical cannabis device, or medical cannabis product in a locked box or other secure
1115     receptacle within the medical cannabis pharmacy.
1116          (b) A medical cannabis pharmacy with a disposal program described in Subsection
1117     (11)(a) shall ensure that only a medical cannabis pharmacy agent or pharmacy medical provider
1118     can access deposited medical cannabis or medical cannabis products.
1119          (c) A medical cannabis pharmacy shall dispose of any deposited medical cannabis or
1120     medical cannabis products by:
1121          (i) rendering the deposited medical cannabis or medical cannabis products unusable
1122     and unrecognizable before transporting deposited medical cannabis or medical cannabis
1123     products from the medical cannabis pharmacy; and
1124          (ii) disposing of the deposited medical cannabis or medical cannabis products in
1125     accordance with:
1126          (A) federal and state law, rules, and regulations related to hazardous waste;
1127          (B) the Resource Conservation and Recovery Act, 42 U.S.C. Sec. 6991 et seq.;
1128          (C) Title 19, Chapter 6, Part 5, Solid Waste Management Act; and
1129          (D) other regulations that the department makes in accordance with Title 63G, Chapter
1130     3, Utah Administrative Rulemaking Act.
1131          (12) The department shall establish by rule, in accordance with Title 63G, Chapter 3,
1132     Utah Administrative Rulemaking Act, protocols for a recall of cannabis and cannabis products
1133     by a medical cannabis pharmacy.
1134          Section 16. Section 4-41a-1102, which is renumbered from Section 26-61a-502 is
1135     renumbered and amended to read:
1136          [26-61a-502].      4-41a-1102. Dispensing -- Amount a medical cannabis
1137     pharmacy may dispense -- Reporting -- Form of cannabis or cannabis product.
1138          (1) (a) A medical cannabis pharmacy may not sell a product other than[, subject to this
1139     chapter]:
1140          (i) cannabis in a medicinal dosage form that the medical cannabis pharmacy acquired
1141     from another medical cannabis pharmacy or a cannabis processing facility that is licensed
1142     under Section 4-41a-201;
1143          (ii) a cannabis product in a medicinal dosage form that the medical cannabis pharmacy
1144     acquired from another medical cannabis pharmacy or a cannabis processing facility that is
1145     licensed under Section 4-41a-201;
1146          (iii) a medical cannabis device; or
1147          (iv) educational material related to the medical use of cannabis.
1148          (b) A medical cannabis pharmacy may only sell an item listed in Subsection (1)(a) to
1149     an individual with:
1150          (i) (A) a medical cannabis card; or
1151          (B) a department registration described in [Section 26-61a-201(10)] Subsection
1152     26-61a-201(11); and
1153          (ii) a corresponding valid form of photo identification.
1154          (c) Notwithstanding Subsection (1)(a), a medical cannabis pharmacy may not sell a
1155     cannabis-based drug that the United States Food and Drug Administration has approved.
1156          (d) Notwithstanding Subsection (1)(b), a medical cannabis pharmacy may not sell a
1157     medical cannabis device to an individual described in Subsection 26-61a-201(2)(a)(i)(B) or to a
1158     minor described in Subsection 26-61a-201(2)(c) unless the individual or minor has the
1159     approval of the Compassionate Use Board in accordance with Subsection 26-61a-105(5).
1160          (2) A medical cannabis pharmacy:
1161          (a) may dispense to a medical cannabis cardholder, in any one 28-day period, up to the
1162     legal dosage limit of:
1163          (i) unprocessed cannabis that:
1164          (A) is in a medicinal dosage form; and
1165          (B) carries a label clearly displaying the amount of tetrahydrocannabinol and
1166     cannabidiol in the cannabis; and
1167          (ii) a cannabis product that is in a medicinal dosage form; and
1168          (b) may not dispense:
1169          (i) more medical cannabis than described in Subsection (2)(a); or
1170          (ii) to an individual whose recommending medical provider did not recommend
1171     directions of use and dosing guidelines, until the individual consults with the pharmacy
1172     medical provider in accordance with Subsection [(4),] 26-61a-404(5) any medical cannabis.
1173          [(3) An individual with a medical cannabis card:]
1174          [(a) may purchase, in any one 28-day period, up to the legal dosage limit of:]
1175          [(i) unprocessed cannabis in a medicinal dosage form; and]
1176          [(ii) a cannabis product in a medicinal dosage form;]
1177          [(b) may not purchase:]
1178          [(i) more medical cannabis than described in Subsection (3)(a); or]
1179          [(ii) if the relevant recommending medical provider did not recommend directions of
1180     use and dosing guidelines, until the individual consults with the pharmacy medical provider in
1181     accordance with Subsection (4), any medical cannabis; and]
1182          [(c) may not use a route of administration that the relevant recommending medical
1183     provider or the pharmacy medical provider, in accordance with Subsection (4) or (5), has not
1184     recommended. (4) If a recommending medical provider recommends treatment with medical
1185     cannabis but wishes for the pharmacy medical provider to determine directions of use and
1186     dosing guidelines:]
1187          [(a) the recommending medical provider shall provide to the pharmacy medical
1188     provider, either through the state electronic verification system or through a medical cannabis
1189     pharmacy's recording of a recommendation under the order of a limited medical provider, any
1190     of the following information that the recommending medical provider feels would be needed to
1191     provide appropriate directions of use and dosing guidelines:]
1192          [(i) information regarding the qualifying condition underlying the recommendation;]
1193          [(ii) information regarding prior treatment attempts with medical cannabis; and]
1194          [(iii) portions of the patient's current medication list; and]
1195          [(b) before the relevant medical cannabis cardholder may obtain medical cannabis, the
1196     pharmacy medical provider shall:]
1197          [(i) review pertinent medical records, including the recommending medical provider
1198     documentation described in Subsection (4)(a); and]
1199          [(ii) unless the pertinent medical records show directions of use and dosing guidelines
1200     from a state central patient portal medical provider in accordance with Subsection (5), after
1201     completing the review described in Subsection (4)(b)(i) and consulting with the recommending
1202     medical provider as needed, determine the best course of treatment through consultation with
1203     the cardholder regarding:]
1204          [(A) the patient's qualifying condition underlying the recommendation from the
1205     recommending medical provider;]
1206          [(B) indications for available treatments;]
1207          [(C) directions of use and dosing guidelines; and]
1208          [(D) potential adverse reactions. (5) (a) A state central patient portal medical provider
1209     may provide the consultation and make the determination described in Subsection (4)(b) for a
1210     medical cannabis patient cardholder regarding an electronic order that the state central patient
1211     portal facilitates.]
1212          [(b) The state central patient portal medical provider described in Subsection (5)(a)
1213     shall document the directions of use and dosing guidelines, determined under Subsection (5)(a)
1214     in the pertinent medical records.]
1215          [(6)] (3) (a) A medical cannabis pharmacy shall:
1216          (i) (A) access the state electronic verification system before dispensing cannabis or a
1217     cannabis product to a medical cannabis cardholder in order to determine if the cardholder or,
1218     where applicable, the associated patient has met the maximum amount of medical cannabis
1219     described in Subsection (2); and
1220          (B) if the verification in Subsection [(6)(a)(i)] (3)(a)(i) indicates that the individual has
1221     met the maximum amount described in Subsection (2), decline the sale, and notify the
1222     recommending medical provider who made the underlying recommendation;
1223          (ii) submit a record to the state electronic verification system each time the medical
1224     cannabis pharmacy dispenses medical cannabis to a medical cannabis cardholder;
1225          (iii) ensure that the pharmacy medical provider who is a licensed pharmacist reviews
1226     each medical cannabis transaction before dispensing the medical cannabis to the cardholder in
1227     accordance with pharmacy practice standards;
1228          (iv) package any medical cannabis that is in a container that:
1229          (A) complies with Subsection 4-41a-602(1)(b) or, if applicable, provisions related to a
1230     container for unprocessed cannabis flower in the definition of "medicinal dosage form" in
1231     Section 26-61a-102;
1232          (B) is tamper-resistant and tamper-evident; and
1233          (C) provides an opaque bag or box for the medical cannabis cardholder's use in
1234     transporting the container in public; and
1235          (v) for a product that is a cube that is designed for ingestion through chewing or
1236     holding in the mouth for slow dissolution, include a separate, off-label warning about the risks
1237     of over-consumption.
1238          (b) A medical cannabis cardholder transporting or possessing the container described
1239     in Subsection [(6)(a)(iv)] (3)(a)(iv) in public shall keep the container within the opaque bag or
1240     box that the medical cannabis pharmacist provides.
1241          [(7)] (4) (a) Except as provided in Subsection [(7)(b)] (4)(b), a medical cannabis
1242     pharmacy may not sell medical cannabis in the form of a cigarette or a medical cannabis device
1243     that is intentionally designed or constructed to resemble a cigarette.
1244          (b) A medical cannabis pharmacy may sell a medical cannabis device that warms
1245     cannabis material into a vapor without the use of a flame and that delivers cannabis to an
1246     individual's respiratory system.
1247          [(8)] (5) (a) A medical cannabis pharmacy may not give, at no cost, a product that the
1248     medical cannabis pharmacy is allowed to sell under Subsection (1)(a)(i), (ii), or (iii).
1249          (b) A medical cannabis pharmacy may give, at no cost, educational material related to
1250     the medical use of cannabis.
1251          [(9) The department may impose a uniform fee on each medical cannabis transaction in
1252     a medical cannabis pharmacy in an amount that, subject to Subsection 26-61a-109(5), the
1253     department sets in accordance with Section 63J-1-504.]
1254          [(10)] (6) A medical cannabis pharmacy may purchase and store medical cannabis
1255     devices regardless of whether the seller has a cannabis-related license under this [title or Title
1256     4, Chapter 41a, Cannabis Production Establishments] chapter or Title 26B, Utah Health and
1257     Human Services Code.
1258          Section 17. Section 4-41a-1103, which is renumbered from Section 26-61a-504 is
1259     renumbered and amended to read:
1260          [26-61a-504].      4-41a-1103. Inspections.
1261          (1) Each medical cannabis pharmacy shall maintain the pharmacy's medical cannabis
1262     treatment recommendation files and other records in accordance with this chapter, department
1263     rules, and the federal Health Insurance Portability and Accountability Act of 1996, Pub. L. No.
1264     104-191, 110 Stat. 1936, as amended.
1265          (2) (a) The department [or the Department of Agriculture and Food] may inspect the
1266     records, facility, and inventory of a medical cannabis pharmacy at any time during business
1267     hours in order to determine if the medical cannabis pharmacy complies with this chapter [and
1268     Title 4, Chapter 41a, Cannabis Production Establishments].
1269          (b) The Department of Health and Human Services may inspect patient records held by
1270     a medical cannabis pharmacy:
1271          (i) for compliance with the federal Health Insurance Portability and Accountability Act
1272     of 1996, Pub. L. No. 104-191, 110 Stat. 1936, as amended; or
1273          (ii) to ensure that a medical cannabis pharmacy is providing a cannabis product to a
1274     patient in accordance with the recommendations of the patient's recommending medical
1275     provider.
1276          (3) (a) An inspection conducted by the department under this section may include:
1277          [(a)] (i) [inspection of] inspecting a site, facility, vehicle, book, record, paper,
1278     document, data, or other physical or electronic information, or any combination of the above;
1279          [(b)] (ii) questioning of any relevant individual;
1280          [(c)] (iii) [inspection of] inspecting equipment, an instrument, a tool, or machinery,
1281     including a container or label;
1282          [(d)] (iv) random sampling of medical cannabis [by the Department of Agriculture and
1283     Food] in accordance with rules described in Section 4-41a-701; or
1284          [(e)] (v) seizure of medical cannabis, medical cannabis devices, or educational material
1285     as evidence in a department investigation or inspection or in instances of compliance failure.
1286          (b) An inspection conducted by the Department of Health and Human Services under
1287     Subsection (2)(b) may include:
1288          (i) inspecting a site, facility, vehicle, book, record, paper, document, data, or other
1289     physical or electronic information, or any combination of the above; or
1290          (ii) questioning of any relevant individual.
1291          (4) In making an inspection under this section[,]:
1292          (a) the department [or the Department of Agriculture and Food] may freely access any
1293     area and review and make copies of a book, record, paper, document, data, or other physical or
1294     electronic information, including financial data, sales data, shipping data, pricing data, and
1295     employee data[.]; and
1296          (b) the Department of Health and Human Services may freely access any area and
1297     review and make copies of a book, record, paper, document, data, or other physical or
1298     electronic information related to patient records.
1299          (5) Failure to provide the department, the [Department of Agriculture and Food]
1300     Department of Health and Human Services, or the authorized agents of the department or the
1301     [Department of Agriculture and Food] Department of Health and Human Services immediate
1302     access to records and facilities during business hours in accordance with this section may result
1303     in:
1304          (a) the imposition of a civil monetary penalty that the department sets in accordance
1305     with Title 63G, Chapter 3, Utah Administrative Rulemaking Act;
1306          (b) license or registration suspension or revocation; or
1307          (c) an immediate cessation of operations under a cease and desist order that the
1308     department issues.
1309          (6) Notwithstanding any other provision of law, the department may temporarily store
1310     in any department facility the items the department seizes under Subsection [(3)(e)] (3)(a)(v)
1311     until the department:
1312          (a) determines that sufficient compliance justifies the return of the seized items; or
1313          (b) disposes of the items in the same manner as a cannabis production establishment in
1314     accordance with Section 4-41a-405.
1315          Section 18. Section 4-41a-1104, which is renumbered from Section 26-61a-505 is
1316     renumbered and amended to read:
1317          [26-61a-505].      4-41a-1104. Advertising.
1318          (1) Except as provided in this section, a person may not advertise in any medium
1319     regarding a medical cannabis pharmacy or the dispensing of medical cannabis within the state.
1320          (2) Subject to Section [26-61a-116] 4-41a-109, a medical cannabis pharmacy may:
1321          (a) advertise an employment opportunity at the medical cannabis pharmacy;
1322          (b) notwithstanding any municipal or county ordinance prohibiting signage, use
1323     signage on the outside of the medical cannabis pharmacy that:
1324          (i) includes only:
1325          (A) in accordance with Subsection [26-61a-116(4)] 4-41a-109(4), the medical cannabis
1326     pharmacy's name, logo, and hours of operation; and
1327          (B) a green cross; and
1328          (ii) complies with local ordinances regulating signage;
1329          (c) advertise in any medium:
1330          (i) the pharmacy's name and logo;
1331          (ii) the location and hours of operation of the medical cannabis pharmacy;
1332          (iii) a service available at the medical cannabis pharmacy;
1333          (iv) personnel affiliated with the medical cannabis pharmacy;
1334          (v) whether the medical cannabis pharmacy is licensed as a home delivery medical
1335     cannabis pharmacy;
1336          (vi) best practices that the medical cannabis pharmacy upholds; and
1337          (vii) educational material related to the medical use of cannabis, as defined by the
1338     department;
1339          (d) hold an educational event for the public or medical providers in accordance with
1340     Subsection (3) and the rules described in Subsection (4); and
1341          (e) maintain on the medical cannabis pharmacy's website non-promotional information
1342     regarding the medical cannabis pharmacy's inventory.
1343          (3) A medical cannabis pharmacy may not include in an educational event described in
1344     Subsection (2)(d):
1345          (a) any topic that conflicts with this chapter or [Title 4, Chapter 41a, Cannabis
1346     Production Establishments] Title 26, Chapter 61a, Utah Medical Cannabis Act;
1347          (b) any gift items or merchandise other than educational materials, as those terms are
1348     defined by the department;
1349          (c) any marketing for a specific product from the medical cannabis pharmacy or any
1350     other statement, claim, or information that would violate the federal Food, Drug, and Cosmetic
1351     Act, 21 U.S.C. Sec. 301, et seq.; or
1352          (d) a presenter other than the following:
1353          (i) a pharmacist licensed under Title 58, Chapter 17b, Pharmacy Practice Act;
1354          (ii) an advanced practice registered nurse licensed under Title 58, Chapter 31b, Nurse
1355     Practice Act;
1356          (iii) a physician licensed under Title 58, Chapter 67, Utah Medical Practice Act, or
1357     Title 58, Chapter 68, Utah Osteopathic Medical Practice Act;
1358          (iv) a physician assistant licensed under Title 58, Chapter 70a, Utah Physician
1359     Assistant Act;
1360          (v) a medical practitioner, similar to [the practitioners] a practitioner described in [this
1361     Subsection (3)(d)(v)] Subsections (3)(d)(i) through (iv), who is licensed in another state or
1362     country;
1363          (vi) a state employee; or
1364          (vii) if the presentation relates to a cannabis topic other than medical treatment or
1365     medical conditions, an individual whom the department approves based on the individual's
1366     background and credentials in the presented topic.
1367          (4) The department shall make rules, in accordance with Title 63G, Chapter 3, Utah
1368     Administrative Rulemaking Act, to define:
1369          (a) the educational material described in Subsection (2)(c)(vii); and
1370          (b) the elements of and restrictions on the educational event described in Subsection
1371     (3), including:
1372          (i) a minimum age of 21 years old for attendees; and
1373          (ii) an exception to the minimum age for a medical cannabis patient cardholder who is
1374     at least 18 years old.
1375          Section 19. Section 4-41a-1105, which is renumbered from Section 26-61a-507 is
1376     renumbered and amended to read:
1377          [26-61a-507].      4-41a-1105. Local control.
1378          (1) The operation of a medical cannabis pharmacy:
1379          (a) shall be a permitted use:
1380          (i) in any zone, overlay, or district within the municipality or county except for a
1381     primarily residential zone; and
1382          (ii) on land that the municipality or county has not zoned; and
1383          (b) is subject to the land use regulations, as defined in Sections 10-9a-103 and
1384     17-27a-103, that apply in the underlying zone.
1385          (2) A municipality or county may not:
1386          (a) on the sole basis that the applicant or medical cannabis pharmacy violates federal
1387     law regarding the legal status of cannabis, deny or revoke:
1388          (i) a land use permit, as that term is defined in Sections 10-9a-103 and 17-27a-103, to
1389     operate a medical cannabis pharmacy; or
1390          (ii) a business license to operate a medical cannabis pharmacy;
1391          (b) require a certain distance between a medical cannabis pharmacy and:
1392          (i) another medical cannabis pharmacy;
1393          (ii) a cannabis production establishment;
1394          (iii) a retail tobacco specialty business, as that term is defined in Section 26-62-103; or
1395          (iv) an outlet, as that term is defined in Section 32B-1-202; or
1396          (c) in accordance with Subsections 10-9a-509(1) and 17-27a-508(1), enforce a land use
1397     regulation against a medical cannabis pharmacy that was not in effect on the day on which the
1398     medical cannabis pharmacy submitted a complete land use application.
1399          (3) (a) A municipality or county may enact an ordinance that:
1400          (i) is not in conflict with this chapter; and
1401          (ii) governs the time, place, or manner of medical cannabis pharmacy operations in the
1402     municipality or county.
1403          (b) An ordinance that a municipality or county enacts under Subsection (3)(a) may not
1404     restrict the hours of operation from 7 a.m. to 10 p.m.
1405          (4) An applicant for a land use permit to operate a medical cannabis pharmacy shall
1406     comply with the land use requirements and application process described in:
1407          (a) Title 10, Chapter 9a, Municipal Land Use, Development, and Management Act,
1408     including Section 10-9a-528; and
1409          (b) Title 17, Chapter 27a, County Land Use, Development, and Management Act,
1410     including Section 17-27a-525.
1411          Section 20. Section 4-41a-1106, which is renumbered from Section 26-61a-401 is
1412     renumbered and amended to read:
1413          [26-61a-401].      4-41a-1106. Medical cannabis pharmacy agent --
1414     Registration.
1415          (1) An individual may not serve as a medical cannabis pharmacy agent of a medical
1416     cannabis pharmacy unless the department registers the individual as a medical cannabis
1417     pharmacy agent.
1418          (2) A recommending medical provider may not act as a medical cannabis pharmacy
1419     agent, have a financial or voting interest of 2% or greater in a medical cannabis pharmacy, or
1420     have the power to direct or cause the management or control of a medical cannabis pharmacy.
1421          (3) (a) The department shall, within 15 days after the day on which the department
1422     receives a complete application from a medical cannabis pharmacy on behalf of a prospective
1423     medical cannabis pharmacy agent, register and issue a medical cannabis pharmacy agent
1424     registration card to the prospective agent if the medical cannabis pharmacy:
1425          (i) provides to the department:
1426          (A) the prospective agent's name and address;
1427          (B) the name and location of the licensed medical cannabis pharmacy where the
1428     prospective agent seeks to act as the medical cannabis pharmacy agent; and
1429          (C) the submission required under Subsection (3)(b); and
1430          (ii) pays a fee to the department in an amount that, subject to Subsection
1431     26-61a-109(5), the department sets in accordance with Section 63J-1-504.
1432          (b) Except for an applicant reapplying for a medical cannabis pharmacy agent
1433     registration card within less than one year after the expiration of the applicant's previous
1434     medical cannabis pharmacy agent registration card, each prospective agent described in
1435     Subsection (3)(a) shall:
1436          (i) submit to the department:
1437          (A) a fingerprint card in a form acceptable to the Department of Public Safety; and
1438          (B) a signed waiver in accordance with Subsection 53-10-108(4) acknowledging the
1439     registration of the prospective agent's fingerprints in the Federal Bureau of Investigation Next
1440     Generation Identification System's Rap Back Service; and
1441          (ii) consent to a fingerprint background check by:
1442          (A) the Bureau of Criminal Identification; and
1443          (B) the Federal Bureau of Investigation.
1444          (c) The Bureau of Criminal Identification shall:
1445          (i) check the fingerprints the prospective agent submits under Subsection (3)(b) against
1446     the applicable state, regional, and national criminal records databases, including the Federal
1447     Bureau of Investigation Next Generation Identification System;
1448          (ii) report the results of the background check to the department;
1449          (iii) maintain a separate file of fingerprints that prospective agents submit under
1450     Subsection (3)(b) for search by future submissions to the local and regional criminal records
1451     databases, including latent prints;
1452          (iv) request that the fingerprints be retained in the Federal Bureau of Investigation Next
1453     Generation Identification System's Rap Back Service for search by future submissions to
1454     national criminal records databases, including the Next Generation Identification System and
1455     latent prints; and
1456          (v) establish a privacy risk mitigation strategy to ensure that the department only
1457     receives notifications for an individual with whom the department maintains an authorizing
1458     relationship.
1459          (d) The department shall:
1460          (i) assess an individual who submits fingerprints under Subsection (3)(b) a fee in an
1461     amount that the department sets in accordance with Section 63J-1-504 for the services that the
1462     Bureau of Criminal Identification or another authorized agency provides under this section; and
1463          (ii) remit the fee described in Subsection (3)(d)(i) to the Bureau of Criminal
1464     Identification.
1465          (4) The department shall designate, on an individual's medical cannabis pharmacy
1466     agent registration card the name of the medical cannabis pharmacy where the individual is
1467     registered as an agent.
1468          (5) A medical cannabis pharmacy agent shall comply with a certification standard that
1469     the department develops in collaboration with the Division of Professional Licensing and the
1470     Board of Pharmacy, or a third-party certification standard that the department designates by
1471     rule, in collaboration with the Division of Professional Licensing and the Board of Pharmacy
1472     and in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
1473          (6) The department shall ensure that the certification standard described in Subsection
1474     (5) includes training in:
1475          (a) Utah medical cannabis law; and
1476          (b) medical cannabis pharmacy best practices.
1477          (7) The department may revoke the medical cannabis pharmacy agent registration card
1478     of, or refuse to issue a medical cannabis pharmacy agent registration card to, an individual
1479     who:
1480          (a) violates the requirements of this chapter; or
1481          (b) is convicted under state or federal law of:
1482          (i) a felony within the preceding 10 years; or
1483          (ii) after December 3, 2018, a misdemeanor for drug distribution.
1484          (8) (a) A medical cannabis pharmacy agent registration card expires two years after the
1485     day on which the department issues or renews the card.
1486          (b) A medical cannabis pharmacy agent may renew the agent's registration card if the
1487     agent:
1488          (i) is eligible for a medical cannabis pharmacy agent registration card under this
1489     section;
1490          (ii) certifies to the department in a renewal application that the information in
1491     Subsection (3)(a) is accurate or updates the information; and
1492          (iii) pays to the department a renewal fee in an amount that:
1493          (A) subject to Subsection 26-61a-109(5), the department sets in accordance with
1494     Section 63J-1-504; and
1495          (B) may not exceed the cost of the relatively lower administrative burden of renewal in
1496     comparison to the original application process.
1497          (9) (a) As a condition precedent to registration and renewal of a medical cannabis
1498     pharmacy agent registration card, a medical cannabis pharmacy agent shall:
1499          (i) complete at least one hour of continuing education regarding patient privacy and
1500     federal health information privacy laws that is offered by the department under Subsection
1501     (9)(b) or an accredited or approved continuing education provider that the department
1502     recognizes as offering continuing education appropriate for the medical cannabis pharmacy
1503     practice; and
1504          (ii) make a continuing education report to the department in accordance with a process
1505     that the department establishes by rule, in accordance with Title 63G, Chapter 3, Utah
1506     Administrative Rulemaking Act, and in collaboration with the Division of Professional
1507     Licensing and the Board of Pharmacy.
1508          (b) The department may, in consultation with the Division of Professional Licensing,
1509     develop the continuing education described in this Subsection (9).
1510          (c) The pharmacist-in-charge described in Section 26-61a-403 shall ensure that each
1511     medical cannabis pharmacy agent working in the medical cannabis pharmacy who has access to
1512     the state electronic verification system is in compliance with this Subsection (9).
1513          Section 21. Section 4-41a-1107, which is renumbered from Section 26-61a-402 is
1514     renumbered and amended to read:
1515          [26-61a-402].      4-41a-1107. Medical cannabis pharmacy agent registration
1516     card -- Rebuttable presumption.
1517          (1) A medical cannabis pharmacy agent shall carry the individual's medical cannabis
1518     pharmacy agent registration card with the individual at all times when:
1519          (a) the individual is on the premises of a medical cannabis pharmacy; and
1520          (b) the individual is transporting cannabis in a medicinal dosage form, a cannabis
1521     product in a medicinal dosage form, or a medical cannabis device between a cannabis
1522     production establishment and a medical cannabis pharmacy.
1523          (2) If an individual handling, at a medical cannabis pharmacy, cannabis in a medicinal
1524     dosage form, a cannabis product in a medicinal dosage form, or a medical cannabis device or
1525     transporting cannabis in a medicinal dosage form, a cannabis product in a medicinal dosage
1526     form, or a medical cannabis device, possesses the cannabis, cannabis product, or medical
1527     cannabis device in compliance with Subsection (1):
1528          (a) there is a rebuttable presumption that the individual possesses the cannabis,
1529     cannabis product, or medical cannabis device legally; and
1530          (b) there is no probable cause, based solely on the individual's possession of the
1531     cannabis in medicinal dosage form, cannabis product in medicinal dosage form, or medical
1532     cannabis device in compliance with Subsection (1), that the individual is engaging in illegal
1533     activity.
1534          (3) (a) A medical cannabis pharmacy agent who fails to carry the agent's medical
1535     cannabis pharmacy agent registration card in accordance with Subsection (1) is:
1536          (i) for a first or second offense in a two-year period:
1537          (A) guilty of an infraction; and
1538          (B) is subject to a $100 fine; or
1539          (ii) for a third or subsequent offense in a two-year period:
1540          (A) guilty of a class C misdemeanor; and
1541          (B) subject to a $750 fine.
1542          (b) (i) The prosecuting entity shall notify the department and the relevant medical
1543     cannabis pharmacy of each conviction under Subsection (3)(a).
1544          (ii) For each violation described in Subsection (3)(a)(ii), the department may assess the
1545     relevant medical cannabis pharmacy a fine of up to $5,000, in accordance with a fine schedule
1546     that the department establishes by rule in accordance with Title 63G, Chapter 3, Utah
1547     Administrative Rulemaking Act.
1548          (c) An individual who is guilty of a violation described in Subsection (3)(a) is not
1549     guilty of a violation of Title 58, Chapter 37, Utah Controlled Substances Act, for the conduct
1550     underlying the violation described in Subsection (3)(a).
1551          Section 22. Section 4-41a-1201 is enacted to read:
1552     
Part 12. Medical Cannabis Home Delivery and Couriers

1553          4-41a-1201. Medical cannabis home delivery designation.
1554          (1) The department may designate a medical cannabis pharmacy as a home delivery
1555     medical cannabis pharmacy if the department determines that the medical cannabis pharmacy's
1556     operating plan demonstrates the functional and technical ability to:
1557          (a) safely conduct transactions for medical cannabis shipments;
1558          (b) accept electronic medical cannabis orders that the state central patient portal
1559     facilitates; and
1560          (c) accept payments through:
1561          (i) a payment provider that the Division of Finance approves, in consultation with the
1562     state treasurer, in accordance with Section 26-61a-603; or
1563          (ii) a financial institution in accordance with Subsection 26-61a-603(4).
1564          (2) An applicant seeking a designation as a home delivery medical cannabis pharmacy
1565     shall identify in the applicant's operating plan any information relevant to the department's
1566     evaluation described in Subsection (1), including:
1567          (a) the name and contact information of the payment provider;
1568          (b) the nature of the relationship between the prospective licensee and the payment
1569     provider;
1570          (c) the processes of the following to safely and reliably conduct transactions for
1571     medical cannabis shipments:
1572          (i) the prospective licensee; and
1573          (ii) the electronic payment provider or the financial institution described in Subsection
1574     (1)(c); and
1575          (d) the ability of the licensee to comply with the department's rules regarding the secure
1576     transportation and delivery of medical cannabis or medical cannabis product to a medical
1577     cannabis cardholder.
1578          (3) Notwithstanding any county or municipal ordinance, a medical cannabis pharmacy
1579     that the department designates as a home delivery medical cannabis pharmacy may deliver
1580     medical cannabis shipments in accordance with this part.
1581          Section 23. Section 4-41a-1202, which is renumbered from Section 26-61a-604 is
1582     renumbered and amended to read:
1583          [26-61a-604].      4-41a-1202. Home delivery of medical cannabis shipments --
1584     Medical cannabis couriers -- License.
1585          (1) The department shall make rules, in accordance with Title 63G, Chapter 3, Utah
1586     Administrative Rulemaking Act, to ensure the safety, security, and efficiency of a home
1587     delivery medical cannabis pharmacy's fulfillment of electronic medical cannabis orders that the
1588     state central patient portal facilitates, including rules regarding the safe and controlled delivery
1589     of medical cannabis shipments.
1590          (2) A person may not operate as a medical cannabis courier without a license that the
1591     department issues under this section.
1592          (3) (a) Subject to Subsections (5) and (6), the department shall issue a license to
1593     operate as a medical cannabis courier to an applicant who is eligible for a license under this
1594     section.
1595          (b) An applicant is eligible for a license under this section if the applicant submits to
1596     the department:
1597          (i) the name and address of an individual who:
1598          (A) has a financial or voting interest of 2% or greater in the proposed medical cannabis
1599     pharmacy; or
1600          (B) has the power to direct or cause the management or control of a proposed cannabis
1601     production establishment;
1602          (ii) an operating plan that includes operating procedures to comply with the operating
1603     requirements for a medical cannabis courier described in this chapter; and
1604          (iii) an application fee in an amount that, subject to Subsection [26-61a-109(5)]
1605     4-41a-104(5), the department sets in accordance with Section 63J-1-504.
1606          (4) If the department determines that an applicant is eligible for a license under this
1607     section, the department shall:
1608          (a) charge the applicant an initial license fee in an amount that, subject to Subsection
1609     [26-61a-109(5)] 4-41a-104(5), the department sets in accordance with Section 63J-1-504; and
1610          (b) notify the Department of Public Safety of the license approval and the names of
1611     each individual described in Subsection [(3)(b)(ii).] (3)(b)(i).
1612          (5) The department may not issue a license to operate as a medical cannabis courier to
1613     an applicant if an individual described in Subsection [(3)(b)(ii)] (3)(b)(i):
1614          (a) has been convicted under state or federal law of:
1615          (i) a felony; or
1616          (ii) after September 23, 2019, a misdemeanor for drug distribution; or
1617          (b) is younger than 21 years old.
1618          (6) The department may revoke a license under this part if:
1619          (a) the medical cannabis courier does not begin operations within one year after the day
1620     on which the department issues the initial license;
1621          (b) the medical cannabis courier makes the same violation of this chapter three times;
1622          (c) an individual described in Subsection [(3)(b)(ii)] (3)(b)(i) is convicted, while the
1623     license is active, under state or federal law of:
1624          (i) a felony; or
1625          (ii) after September 23, 2019, a misdemeanor for drug distribution; or
1626          (d) after a change of ownership described in Subsection (15)(c), the department
1627     determines that the medical cannabis courier no longer meets the minimum standards for
1628     licensure and operation of the medical cannabis courier described in this chapter.
1629          (7) The department shall deposit the proceeds of a fee imposed by this section in the
1630     Qualified [Patient] Production Enterprise Fund.
1631          (8) The department shall begin accepting applications under this section on or before
1632     July 1, 2020.
1633          (9) The department's authority to issue a license under this section is plenary and is not
1634     subject to review.
1635          (10) Each applicant for a license as a medical cannabis courier shall submit, at the time
1636     of application, from each individual who has a financial or voting interest of 2% or greater in
1637     the applicant or who has the power to direct or cause the management or control of the
1638     applicant:
1639          (a) a fingerprint card in a form acceptable to the Department of Public Safety;
1640          (b) a signed waiver in accordance with Subsection 53-10-108(4) acknowledging the
1641     registration of the individual's fingerprints in the Federal Bureau of Investigation Next
1642     Generation Identification System's Rap Back Service; and
1643          (c) consent to a fingerprint background check by:
1644          (i) the Bureau of Criminal Identification; and
1645          (ii) the Federal Bureau of Investigation.
1646          (11) The Bureau of Criminal Identification shall:
1647          (a) check the fingerprints the applicant submits under Subsection (10) against the
1648     applicable state, regional, and national criminal records databases, including the Federal
1649     Bureau of Investigation Next Generation Identification System;
1650          (b) report the results of the background check to the department;
1651          (c) maintain a separate file of fingerprints that applicants submit under Subsection (10)
1652     for search by future submissions to the local and regional criminal records databases, including
1653     latent prints;
1654          (d) request that the fingerprints be retained in the Federal Bureau of Investigation Next
1655     Generation Identification System's Rap Back Service for search by future submissions to
1656     national criminal records databases, including the Next Generation Identification System and
1657     latent prints; and
1658          (e) establish a privacy risk mitigation strategy to ensure that the department only
1659     receives notifications for an individual with whom the department maintains an authorizing
1660     relationship.
1661          (12) The department shall:
1662          (a) assess an individual who submits fingerprints under Subsection (10) a fee in an
1663     amount that the department sets in accordance with Section 63J-1-504 for the services that the
1664     Bureau of Criminal Identification or another authorized agency provides under this section; and
1665          (b) remit the fee described in Subsection (12)(a) to the Bureau of Criminal
1666     Identification.
1667          (13) The department shall renew a license under this section every year if, at the time
1668     of renewal:
1669          (a) the licensee meets the requirements of this section; and
1670          (b) the licensee pays the department a license renewal fee in an amount that, subject to
1671     Subsection 26-61a-109(5), the department sets in accordance with Section 63J-1-504.
1672          (14) A person applying for a medical cannabis courier license shall submit to the
1673     department a proposed operating plan that complies with this section and that includes:
1674          (a) a description of the physical characteristics of any proposed facilities, including a
1675     floor plan and an architectural elevation, and delivery vehicles;
1676          (b) a description of the credentials and experience of each officer, director, or owner of
1677     the proposed medical cannabis courier;
1678          (c) the medical cannabis courier's employee training standards;
1679          (d) a security plan; and
1680          (e) storage and delivery protocols, both short and long term, to ensure that medical
1681     cannabis shipments are stored and delivered in a manner that is sanitary and preserves the
1682     integrity of the cannabis.
1683          (15) (a) A medical cannabis courier license is not transferrable or assignable.
1684          (b) A medical cannabis courier shall report in writing to the department no later than
1685     10 business days before the date of any change of ownership of the medical cannabis courier.
1686          (c) If the ownership of a medical cannabis courier changes by 50% or more:
1687          (i) concurrent with the report described in Subsection (15)(b), the medical cannabis
1688     courier shall submit a new application described in Subsection (3)(b);
1689          (ii) within 30 days of the submission of the application, the department shall:
1690          (A) conduct an application review; and
1691          (B) award a license to the medical cannabis courier for the remainder of the term of the
1692     medical cannabis courier's license before the ownership change if the medical cannabis courier
1693     meets the minimum standards for licensure and operation of the medical cannabis courier
1694     described in this chapter; and
1695          (iii) if the department approves the license application, notwithstanding Subsection (4),
1696     the medical cannabis courier shall pay a license fee that the department sets in accordance with
1697     Section 63J-1-504 in an amount that covers the board's cost of conducting the application
1698     review.
1699          (16) (a) Except as provided in Subsection (15)(b), a person may not advertise regarding
1700     the transportation of medical cannabis.
1701          (b) Notwithstanding Subsection (15)(a) and subject to Section [26-61a-116] 4-41a-109,
1702     a licensed home delivery medical cannabis pharmacy or a licensed medical cannabis courier
1703     may advertise:
1704          (i) a green cross;
1705          (ii) the pharmacy's or courier's name and logo; and
1706          (iii) that the pharmacy or courier is licensed to transport medical cannabis shipments.
1707          Section 24. Section 4-41a-1203, which is renumbered from Section 26-61a-605 is
1708     renumbered and amended to read:
1709          [26-61a-605].      4-41a-1203. Medical cannabis shipment transportation.
1710          (1) The department shall ensure that each home delivery medical cannabis pharmacy is
1711     capable of delivering, directly or through a medical cannabis courier, medical cannabis
1712     shipments in a secure manner.
1713          (2) (a) A home delivery medical cannabis pharmacy may contract with a licensed
1714     medical cannabis courier to deliver medical cannabis shipments to fulfill electronic medical
1715     cannabis orders that the state central patient portal facilitates.
1716          (b) If a home delivery medical cannabis pharmacy enters into a contract described in
1717     Subsection (2)(a), the pharmacy shall:
1718          (i) impose security and personnel requirements on the medical cannabis courier
1719     sufficient to ensure the security and safety of medical cannabis shipments; and
1720          (ii) provide regular oversight of the medical cannabis courier.
1721          (3) [Except for an individual with a valid medical cannabis card who transports a
1722     shipment the individual receives, an] Notwithstanding Subsection 4-41a-404(1), an individual
1723     may [not] transport a medical cannabis shipment [unless] if the individual is:
1724          (a) a registered pharmacy medical provider;
1725          (b) a registered medical cannabis pharmacy agent; or
1726          (c) a registered agent of the medical cannabis courier described in Subsection (2).
1727          (4) An individual transporting a medical cannabis shipment under Subsection (3) shall
1728     [possess a physical or electronic transportation manifest that:] comply with the requirement of
1729     Subsection 4-41a-404(3).
1730          [(a) includes a unique identifier that links the medical cannabis shipment to a relevant
1731     inventory control system;]
1732          [(b) includes origin and destination information for the medical cannabis shipment the
1733     individual is transporting; and]
1734          [(c) indicates the departure and estimated arrival times and locations of the individual
1735     transporting the medical cannabis shipment.]
1736          (5) In addition to the requirements in Subsections (3) and (4), the department may
1737     establish by rule, in collaboration with the Division of Professional Licensing and the Board of
1738     Pharmacy and in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
1739     requirements for transporting medical cannabis shipments that are related to safety for human
1740     consumption of cannabis or a cannabis product.
1741          (6) (a) It is unlawful for an individual to transport a medical cannabis shipment with a
1742     manifest that does not meet the requirements of Subsection (4).
1743          (b) Except as provided in Subsection (6)(d), an individual who violates Subsection
1744     (6)(a) is:
1745          (i) guilty of an infraction; and
1746          (ii) subject to a $100 fine.
1747          (c) An individual who is guilty of a violation described in Subsection (6)(b) is not
1748     guilty of a violation of Title 58, Chapter 37, Utah Controlled Substances Act, for the conduct
1749     underlying the violation described in Subsection (6)(b).
1750          (d) If the individual described in Subsection (6)(a) is transporting more cannabis,
1751     cannabis product, or medical cannabis devices than the manifest identifies, except for a de
1752     minimis administrative error:
1753          (i) this chapter does not apply; and
1754          (ii) the individual is subject to penalties under Title 58, Chapter 37, Utah Controlled
1755     Substances Act.
1756          Section 25. Section 4-41a-1204, which is renumbered from Section 26-61a-606 is
1757     renumbered and amended to read:
1758          [26-61a-606].      4-41a-1204. Medical cannabis courier agent -- Background
1759     check -- Registration card -- Rebuttable presumption.
1760          (1) An individual may not serve as a medical cannabis courier agent unless:
1761          (a) the individual is an employee of a licensed medical cannabis courier; and
1762          (b) the department registers the individual as a medical cannabis courier agent.
1763          (2) (a) The department shall, within 15 days after the day on which the department
1764     receives a complete application from a medical cannabis courier on behalf of a medical
1765     cannabis courier agent, register and issue a medical cannabis courier agent registration card to
1766     the prospective agent if the medical cannabis courier:
1767          (i) provides to the department:
1768          (A) the prospective agent's name and address;
1769          (B) the name and address of the medical cannabis courier;
1770          (C) the name and address of each home delivery medical cannabis pharmacy with
1771     which the medical cannabis courier contracts to deliver medical cannabis shipments; and
1772          (D) the submission required under Subsection (2)(b);
1773          (ii) as reported under Subsection (2)(c), has not been convicted under state or federal
1774     law of:
1775          (A) a felony; or
1776          (B) after December 3, 2018, a misdemeanor for drug distribution; and
1777          (iii) pays the department a fee in an amount that, subject to Subsection [26-61a-109(5)]
1778     4-41a-104(5), the department sets in accordance with Section 63J-1-504.
1779          (b) Except for an applicant reapplying for a medical cannabis courier agent registration
1780     card within less than one year after the expiration of the applicant's previous medical cannabis
1781     courier agent registration card, each prospective agent described in Subsection (2)(a) shall:
1782          (i) submit to the department:
1783          (A) a fingerprint card in a form acceptable to the Department of Public Safety; and
1784          (B) a signed waiver in accordance with Subsection 53-10-108(4) acknowledging the
1785     registration of the prospective agent's fingerprints in the Federal Bureau of Investigation Next
1786     Generation Identification System's Rap Back Service; and
1787          (ii) consent to a fingerprint background check by:
1788          (A) the Bureau of Criminal Identification; and
1789          (B) the Federal Bureau of Investigation.
1790          (c) The Bureau of Criminal Identification shall:
1791          (i) check the fingerprints the prospective agent submits under Subsection (2)(b) against
1792     the applicable state, regional, and national criminal records databases, including the Federal
1793     Bureau of Investigation Next Generation Identification System;
1794          (ii) report the results of the background check to the department;
1795          (iii) maintain a separate file of fingerprints that prospective agents submit under
1796     Subsection (2)(b) for search by future submissions to the local and regional criminal records
1797     databases, including latent prints;
1798          (iv) request that the fingerprints be retained in the Federal Bureau of Investigation Next
1799     Generation Identification System's Rap Back Service for search by future submissions to
1800     national criminal records databases, including the Next Generation Identification System and
1801     latent prints; and
1802          (v) establish a privacy risk mitigation strategy to ensure that the department only
1803     receives notifications for an individual with whom the department maintains an authorizing
1804     relationship.
1805          (d) The department shall:
1806          (i) assess an individual who submits fingerprints under Subsection (2)(b) a fee in an
1807     amount that the department sets in accordance with Section 63J-1-504 for the services that the
1808     Bureau of Criminal Identification or another authorized agency provides under this section; and
1809          (ii) remit the fee described in Subsection (2)(d)(i) to the Bureau of Criminal
1810     Identification.
1811          (3) The department shall designate on an individual's medical cannabis courier agent
1812     registration card the name of the medical cannabis pharmacy where the individual is registered
1813     as an agent and each home delivery medical cannabis courier for which the medical cannabis
1814     courier delivers medical cannabis shipments.
1815          (4) (a) A medical cannabis courier agent shall comply with a certification standard that
1816     the department develops, in collaboration with the Division of Professional Licensing and the
1817     Board of Pharmacy, or a third-party certification standard that the department designates by
1818     rule in collaboration with the Division of Professional Licensing and the Board of Pharmacy
1819     and in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
1820          (b) The department shall ensure that the certification standard described in Subsection
1821     (4)(a) includes training in:
1822          (i) Utah medical cannabis law;
1823          (ii) the medical cannabis shipment process; and
1824          (iii) medical cannabis courier agent best practices.
1825          (5) (a) A medical cannabis courier agent registration card expires two years after the
1826     day on which the department issues or renews the card.
1827          (b) A medical cannabis courier agent may renew the agent's registration card if the
1828     agent:
1829          (i) is eligible for a medical cannabis courier agent registration card under this section;
1830          (ii) certifies to the department in a renewal application that the information in
1831     Subsection (2)(a) is accurate or updates the information; and
1832          (iii) pays to the department a renewal fee in an amount that:
1833          (A) subject to Subsection [26-61a-109(5)] 4-41a-104(5), the department sets in
1834     accordance with Section 63J-1-504; and
1835          (B) may not exceed the cost of the relatively lower administrative burden of renewal in
1836     comparison to the original application process.
1837          (6) The department may revoke or refuse to issue or renew the medical cannabis
1838     courier agent registration card of an individual who:
1839          (a) violates the requirements of this chapter; or
1840          (b) is convicted under state or federal law of:
1841          (i) a felony within the preceding 10 years; or
1842          (ii) after December 3, 2018, a misdemeanor for drug distribution.
1843          (7) A medical cannabis courier agent whom the department has registered under this
1844     section shall carry the agent's medical cannabis courier agent registration card with the agent at
1845     all times when:
1846          (a) the agent is on the premises of the medical cannabis courier, a medical cannabis
1847     pharmacy, or a medical cannabis cardholder's home address; and
1848          (b) the agent is handling a medical cannabis shipment.
1849          (8) If a medical cannabis courier agent handling a medical cannabis shipment possesses
1850     the shipment in compliance with Subsection (7):
1851          (a) there is a rebuttable presumption that the agent possesses the shipment legally; and
1852          (b) there is no probable cause, based solely on the agent's possession of the medical
1853     cannabis shipment that the agent is engaging in illegal activity.
1854          (9) (a) A medical cannabis courier agent who violates Subsection (7) is:
1855          (i) guilty of an infraction; and
1856          (ii) subject to a $100 fine.
1857          (b) An individual who is guilty of a violation described in Subsection (9)(a) is not
1858     guilty of a violation of Title 58, Chapter 37, Utah Controlled Substances Act, for the conduct
1859     underlying the violation described in Subsection (9)(a).
1860          Section 26. Section 4-41a-1205, which is renumbered from Section 26-61a-607 is
1861     renumbered and amended to read:
1862          [26-61a-607].      4-41a-1205. Home delivery of medical cannabis shipments.
1863          (1) An individual may not receive and a medical cannabis pharmacy agent or a medical
1864     cannabis courier agent may not deliver a medical cannabis shipment from a home delivery
1865     medical cannabis pharmacy unless:
1866          (a) the individual receiving the shipment presents:
1867          (i) a valid form of photo identification; and
1868          (ii) (A) a valid medical cannabis card under the same name that appears on the valid
1869     form of photo identification; or
1870          (B) for a facility that a medical cannabis cardholder has designated as a caregiver under
1871     Subsection 26-61a-202(1)(b), evidence of the facility caregiver designation; and
1872          (b) the delivery occurs at:
1873          (i) the medical cannabis cardholder's home address that is on file in the state electronic
1874     verification system; or
1875          (ii) the facility that the medical cannabis cardholder has designated as a caregiver under
1876     Subsection 26-61a-202(1)(b).
1877          (2) Before a medical cannabis pharmacy agent or a medical cannabis courier agent
1878     distributes a medical cannabis shipment to a medical cannabis cardholder, the agent shall:
1879          (a) verify the shipment information using the state electronic verification system;
1880          (b) ensure that the individual satisfies the identification requirements in Subsection (1);
1881          (c) verify that payment is complete; and
1882          (d) record the completion of the shipment transaction in a manner such that the
1883     delivery of the shipment will later be recorded within a reasonable period in the electronic
1884     verification system.
1885          (3) The medical cannabis courier shall:
1886          (a) (i) store each medical cannabis shipment in a secure manner until the recipient
1887     medical cannabis cardholder receives the shipment or the medical cannabis courier returns the
1888     shipment to the home delivery medical cannabis pharmacy in accordance with Subsection (4);
1889     and
1890          (ii) ensure that only a medical cannabis courier agent is able to access the medical
1891     cannabis shipment until the recipient medical cannabis cardholder receives the shipment;
1892          (b) return any undelivered medical cannabis shipment to the home delivery medical
1893     cannabis pharmacy, in accordance with Subsection (4), after the medical cannabis courier has
1894     possessed the shipment for 10 business days; and
1895          (c) return any medical cannabis shipment to the home delivery medical cannabis
1896     pharmacy, in accordance with Subsection (4), if a medical cannabis cardholder refuses to
1897     accept the shipment.
1898          (4) (a) If a medical cannabis courier or home delivery medical cannabis pharmacy
1899     agent returns an undelivered medical cannabis shipment that remains unopened, the home
1900     delivery medical cannabis pharmacy may repackage or otherwise reuse the shipment.
1901          (b) If a medical cannabis courier or home delivery medical cannabis pharmacy agent
1902     returns an undelivered or refused medical cannabis shipment under Subsection (3) that appears
1903     to be opened in any way, the home delivery medical cannabis pharmacy shall dispose of the
1904     shipment by:
1905          (i) rendering the shipment unusable and unrecognizable before transporting the
1906     shipment from the home delivery medical cannabis pharmacy; and
1907          (ii) disposing of the shipment in accordance with:
1908          (A) federal and state laws, rules, and regulations related to hazardous waste;
1909          (B) the Resource Conservation and Recovery Act, 42 U.S.C. Sec. 6991 et seq.;
1910          (C) Title 19, Chapter 6, Part 5, Solid Waste Management Act; and
1911          (D) other regulations that the department makes in accordance with Title 63G, Chapter
1912     3, Utah Administrative Rulemaking Act.
1913          Section 27. Section 10-9a-528 is amended to read:
1914          10-9a-528. Cannabis production establishments, medical cannabis pharmacies,
1915     and industrial hemp producer licensee.
1916          (1) As used in this section:
1917          (a) "Cannabis production establishment" means the same as that term is defined in
1918     Section 4-41a-102.
1919          (b) "Industrial hemp producer licensee" means the same as the term "licensee" is
1920     defined in Section 4-41-102.
1921          (c) "Medical cannabis pharmacy" means the same as that term is defined in Section
1922     26-61a-102.
1923          (2) (a) (i) A municipality may not regulate a cannabis production establishment or a
1924     medical cannabis pharmacy in conflict with:
1925          (A) Title 4, Chapter 41a, Cannabis Production Establishments and Pharmacies, and
1926     applicable jurisprudence; and
1927          (B) this chapter.
1928          [(ii) A municipality may not regulate a medical cannabis pharmacy in conflict with:]
1929          [(A) Title 26, Chapter 61a, Utah Medical Cannabis Act, and applicable jurisprudence;
1930     and]
1931          [(B) this chapter.]
1932          [(iii)] (ii) A municipality may not regulate an industrial hemp producer licensee in
1933     conflict with:
1934          (A) Title 4, Chapter 41, Hemp and Cannabinoid Act, and applicable jurisprudence; and
1935          (B) this chapter.
1936          (b) The Department of Agriculture and Food has plenary authority to license programs
1937     or entities that operate a cannabis production establishment or a medical cannabis pharmacy.
1938          [(c) The Department of Health has plenary authority to license programs or entities that
1939     operate a medical cannabis pharmacy.]
1940          (3) (a) Within the time period described in Subsection (3)(b), a municipality shall
1941     prepare and adopt a land use regulation, development agreement, or land use decision in
1942     accordance with this title and:
1943          (i) regarding a cannabis production establishment, Section 4-41a-406; or
1944          (ii) regarding a medical cannabis pharmacy, Section [26-61a-507] 4-41a-110.
1945          (b) A municipality shall take the action described in Subsection (3)(a):
1946          (i) before January 1, 2021, within 45 days after the day on which the municipality
1947     receives a petition for the action; and
1948          (ii) after January 1, 2021, in accordance with Subsection 10-9a-509.5(2).
1949          Section 28. Section 17-27a-525 is amended to read:
1950          17-27a-525. Cannabis production establishments and medical cannabis
1951     pharmacies.
1952          (1) As used in this section:
1953          (a) "Cannabis production establishment" means the same as that term is defined in
1954     Section 4-41a-102.
1955          (b) "Industrial hemp producer licensee" means the same as the term "licensee" is
1956     defined in Section 4-41-102.
1957          (c) "Medical cannabis pharmacy" means the same as that term is defined in Section
1958     26-61a-102.
1959          (2) (a) (i) A county may not regulate a cannabis production establishment or a medical
1960     cannabis pharmacy in conflict with:
1961          (A) Title 4, Chapter 41a, Cannabis Production Establishments and Pharmacies, and
1962     applicable jurisprudence; and
1963          (B) this chapter.
1964          [(ii) A county may not regulate a medical cannabis pharmacy in conflict with:]
1965          [(A) Title 26, Chapter 61a, Utah Medical Cannabis Act, and applicable jurisprudence;
1966     and]
1967          [(B) this chapter.]
1968          [(iii)] (ii) A county may not regulate an industrial hemp producer licensee in conflict
1969     with:
1970          (A) Title 4, Chapter 41, Hemp and Cannabinoid Act, and applicable jurisprudence; and
1971          (B) this chapter.
1972          (b) The Department of Agriculture and Food has plenary authority to license programs
1973     or entities that operate a cannabis production establishment or a medical cannabis pharmacy.
1974          [(c) The Department of Health has plenary authority to license programs or entities that
1975     operate a medical cannabis pharmacy.]
1976          (3) (a) Within the time period described in Subsection (3)(b), a county shall prepare
1977     and adopt a land use regulation, development agreement, or land use decision in accordance
1978     with this title and:
1979          (i) regarding a cannabis production establishment, Section 4-41a-406; or
1980          (ii) regarding a medical cannabis pharmacy, Section [26-61a-507] 4-41a-110.
1981          (b) A county shall take the action described in Subsection (3)(a):
1982          (i) before January 1, 2021, within 45 days after the day on which the county receives a
1983     petition for the action; and
1984          (ii) after January 1, 2021, in accordance with Subsection 17-27a-509.5(2).
1985          Section 29. Section 26-61a-102 is amended to read:
1986          26-61a-102. Definitions.
1987          As used in this chapter:
1988          (1) "Active tetrahydrocannabinol" means THC, any THC analog, and
1989     tetrahydrocannabinolic acid.
1990          (2) "Advisory board" means the Medical Cannabis Policy Advisory Board created in
1991     Section 26-61a-117.
1992          [(2)] (3) "Cannabis Research Review Board" means the Cannabis Research Review
1993     Board created in Section 26-61-201.
1994          [(3)] (4) "Cannabis" means marijuana.
1995          [(4)] (5) "Cannabis cultivation facility" means the same as that term is defined in
1996     Section 4-41a-102.
1997          [(5)] (6) "Cannabis processing facility" means the same as that term is defined in
1998     Section 4-41a-102.
1999          [(6)] (7) "Cannabis product" means a product that:
2000          (a) is intended for human use; and
2001          (b) contains cannabis or any tetrahydrocannabinol or THC analog in a total
2002     concentration of 0.3% or greater on a dry weight basis.
2003          [(7)] (8) "Cannabis production establishment" means the same as that term is defined
2004     in Section 4-41a-102.
2005          [(8)] (9) "Cannabis production establishment agent" means the same as that term is
2006     defined in Section 4-41a-102.
2007          [(9)] (10) "Cannabis production establishment agent registration card" means the same
2008     as that term is defined in Section 4-41a-102.
2009          [(10)] (11) "Community location" means a public or private elementary or secondary
2010     school, a church, a public library, a public playground, or a public park.
2011          [(11)] (12) "Conditional medical cannabis card" means an electronic medical cannabis
2012     card that the department issues in accordance with Subsection 26-61a-201(1)(b) to allow an
2013     applicant for a medical cannabis card to access medical cannabis during the department's
2014     review of the application.
2015          [(12)] (13) "Controlled substance database" means the controlled substance database
2016     created in Section 58-37f-201.
2017          [(13)] (14) "Department" means the Department of Health and Human Services.
2018          [(14)] (15) "Designated caregiver" means:
2019          (a) an individual:
2020          (i) whom an individual with a medical cannabis patient card or a medical cannabis
2021     guardian card designates as the patient's caregiver; and
2022          (ii) who registers with the department under Section 26-61a-202; or
2023          (b) (i) a facility that an individual designates as a designated caregiver in accordance
2024     with Subsection 26-61a-202(1)(b); or
2025          (ii) an assigned employee of the facility described in Subsection 26-61a-202(1)(b)(ii).
2026          [(15)] (16) "Directions of use" means recommended routes of administration for a
2027     medical cannabis treatment and suggested usage guidelines.
2028          [(16)] (17) "Dosing guidelines" means a quantity range and frequency of administration
2029     for a recommended treatment of medical cannabis.
2030          [(17)] (18) "Financial institution" means a bank, trust company, savings institution, or
2031     credit union, chartered and supervised under state or federal law.
2032          [(18)] (19) "Home delivery medical cannabis pharmacy" means a medical cannabis
2033     pharmacy that the department authorizes, as part of the pharmacy's license, to deliver medical
2034     cannabis shipments to a medical cannabis cardholder's home address to fulfill electronic orders
2035     that the state central patient portal facilitates.
2036          [(19)] (20) "Inventory control system" means the system described in Section
2037     4-41a-103.
2038          [(20)] (21) "Legal dosage limit" means an amount that:
2039          (a) is sufficient to provide 30 days of treatment based on the dosing guidelines that the
2040     relevant recommending medical provider or the state central patient portal or pharmacy
2041     medical provider, in accordance with Subsection [26-61a-502(4)] 26-61a-404(5) or [(5)] (6),
2042     recommends; and
2043          (b) may not exceed:
2044          (i) for unprocessed cannabis in a medicinal dosage form, 113 grams by weight; and
2045          (ii) for a cannabis product in a medicinal dosage form, a quantity that contains, in total,
2046     greater than 20 grams of active tetrahydrocannabinol.
2047          [(21)] (22) "Legal use termination date" means a date on the label of a container of
2048     unprocessed cannabis flower:
2049          (a) that is 60 days after the date of purchase of the cannabis; and
2050          (b) after which, the cannabis is no longer in a medicinal dosage form outside of the
2051     primary residence of the relevant medical cannabis patient cardholder.
2052          [(22)] (23) "Limited medical provider" means an individual who:
2053          (a) meets the recommending qualifications; and
2054          (b) has no more than 15 patients with a valid medical cannabis patient card or
2055     provisional patient card as a result of the individual's recommendation, in accordance with
2056     Subsection 26-61a-106(1)(b).
2057          [(23)] (24) "Marijuana" means the same as that term is defined in Section 58-37-2.
2058          [(24)] (25) "Medical cannabis" means cannabis in a medicinal dosage form or a
2059     cannabis product in a medicinal dosage form.
2060          [(25)] (26) "Medical cannabis card" means a medical cannabis patient card, a medical
2061     cannabis guardian card, a medical cannabis caregiver card, or a conditional medical cannabis
2062     card.
2063          [(26)] (27) "Medical cannabis cardholder" means:
2064          (a) a holder of a medical cannabis card; or
2065          (b) a facility or assigned employee, described in Subsection[(14)(b),] (15)(b), only:
2066          (i) within the scope of the facility's or assigned employee's performance of the role of a
2067     medical cannabis patient cardholder's caregiver designation under Subsection
2068     26-61a-202(1)(b); and
2069          (ii) while in possession of documentation that establishes:
2070          (A) a caregiver designation described in Subsection 26-61a-202(1)(b);
2071          (B) the identity of the individual presenting the documentation; and
2072          (C) the relation of the individual presenting the documentation to the caregiver
2073     designation.
2074          [(27)] (28) "Medical cannabis caregiver card" means an electronic document that a
2075     cardholder may print or store on an electronic device or a physical card or document that:
2076          (a) the department issues to an individual whom a medical cannabis patient cardholder
2077     or a medical cannabis guardian cardholder designates as a designated caregiver; and
2078          (b) is connected to the electronic verification system.
2079          [(28)] (29) "Medical cannabis courier" means [a courier that:] the same as that term is
2080     defined in Section 4-41a-102.
2081          [(a) the department licenses in accordance with Section 26-61a-604; and]
2082          [(b) contracts with a home delivery medical cannabis pharmacy to deliver medical
2083     cannabis shipments to fulfill electronic orders that the state central patient portal facilitates.]
2084          [(29)] (30) "Medical cannabis courier agent" means [an individual who:] the same as
2085     that term is defined in Section 4-41a-102.
2086          [(a) is an employee of a medical cannabis courier; and]
2087          [(b) who holds a valid medical cannabis courier agent registration card.]
2088          [(30)] (31) (a) "Medical cannabis device" means a device that an individual uses to
2089     ingest or inhale cannabis in a medicinal dosage form or a cannabis product in a medicinal
2090     dosage form.
2091          (b) "Medical cannabis device" does not include a device that:
2092          (i) facilitates cannabis combustion; or
2093          (ii) an individual uses to ingest substances other than cannabis.
2094          [(31)] (32) "Medical cannabis guardian card" means an electronic document that a
2095     cardholder may print or store on an electronic device or a physical card or document that:
2096          (a) the department issues to the parent or legal guardian of a minor with a qualifying
2097     condition; and
2098          (b) is connected to the electronic verification system.
2099          [(32)] (33) "Medical cannabis patient card" means an electronic document that a
2100     cardholder may print or store on an electronic device or a physical card or document that:
2101          (a) the department issues to an individual with a qualifying condition; and
2102          (b) is connected to the electronic verification system.
2103          [(33)] (34) "Medical cannabis pharmacy" means a person that:
2104          (a) (i) acquires or intends to acquire medical cannabis or a cannabis product in a
2105     medicinal dosage form from a cannabis processing facility or another medical cannabis
2106     pharmacy or a medical cannabis device; or
2107          (ii) possesses medical cannabis or a medical cannabis device; and
2108          (b) sells or intends to sell medical cannabis or a medical cannabis device to a medical
2109     cannabis cardholder.
2110          [(34)] (35) "Medical cannabis pharmacy agent" means an individual who:
2111          (a) is an employee of a medical cannabis pharmacy; and
2112          (b) who holds a valid medical cannabis pharmacy agent registration card.
2113          [(35)] (36) "Medical cannabis pharmacy agent registration card" means a registration
2114     card issued by the department that authorizes an individual to act as a medical cannabis
2115     pharmacy agent.
2116          [(36)] (37) "Medical cannabis shipment" means [a shipment of medical cannabis or a
2117     medical cannabis product that a home delivery medical cannabis pharmacy or a medical
2118     cannabis courier delivers to a medical cannabis cardholder's home address to fulfill an
2119     electronic medical cannabis order that the state central patient portal facilitates] the same as
2120     that term is defined in Section 4-41a-102.
2121          [(37)] (38) "Medical cannabis treatment" means cannabis in a medicinal dosage form, a
2122     cannabis product in a medicinal dosage form, or a medical cannabis device.
2123          [(38)] (39) (a) "Medicinal dosage form" means:
2124          (i) for processed medical cannabis or a medical cannabis product, the following with a
2125     specific and consistent cannabinoid content:
2126          (A) a tablet;
2127          (B) a capsule;
2128          (C) a concentrated liquid or viscous oil;
2129          (D) a liquid suspension that, after December 1, 2022, does not exceed 30 ml;
2130          (E) a topical preparation;
2131          (F) a transdermal preparation;
2132          (G) a sublingual preparation;
2133          (H) a gelatinous cube, gelatinous rectangular cuboid, or lozenge in a cube or
2134     rectangular cuboid shape;
2135          (I) a resin or wax; or
2136          (J) an aerosol; or
2137          (ii) for unprocessed cannabis flower, a container described in Section 4-41a-602 that:
2138          (A) contains cannabis flowers in a quantity that varies by no more than 10% from the
2139     stated weight at the time of packaging;
2140          (B) at any time the medical cannabis cardholder transports or possesses the container in
2141     public, is contained within an opaque bag or box that the medical cannabis pharmacy provides;
2142     and
2143          (C) is labeled with the container's content and weight, the date of purchase, the legal
2144     use termination date, and after December 31, 2020, a barcode that provides information
2145     connected to an inventory control system[; and].
2146          [(iii) a form measured in grams, milligrams, or milliliters.]
2147          (b) "Medicinal dosage form" includes a portion of unprocessed cannabis flower that:
2148          (i) the medical cannabis cardholder has recently removed from the container described
2149     in Subsection [(38)] (39)(a)(ii) for use; and
2150          (ii) does not exceed the quantity described in Subsection [(38)] (39)(a)(ii).
2151          (c) "Medicinal dosage form" does not include:
2152          (i) any unprocessed cannabis flower outside of the container described in Subsection
2153     [(38)] (39)(a)(ii), except as provided in Subsection [(38)(b);] (39)(b);
2154          (ii) [any] unprocessed cannabis flower in a container described in Subsection [(38)]
2155     (39)(a)(ii) after the legal use termination date;
2156          (iii) a process of vaporizing and inhaling concentrated cannabis by placing the cannabis
2157     on a nail or other metal object that is heated by a flame, including a blowtorch; [or]
2158          (iv) a liquid suspension that is branded as a beverage[.]; or
2159          (v) a substance described in Subsection (39)(a)(i) or (ii) if the substance is not
2160     measured in grams, milligrams, or milliliters.
2161          [(39)] (40) "Nonresident patient" means an individual who:
2162          (a) is not a resident of Utah or has been a resident of Utah for less than 45 days;
2163          (b) has a currently valid medical cannabis card or the equivalent of a medical cannabis
2164     card under the laws of another state, district, territory, commonwealth, or insular possession of
2165     the United States; and
2166          (c) has been diagnosed with a qualifying condition as described in Section 26-61a-104.
2167          [(40)] (41) "Payment provider" means an entity that contracts with a cannabis
2168     production establishment or medical cannabis pharmacy to facilitate transfers of funds between
2169     the establishment or pharmacy and other businesses or individuals.
2170          [(41)] (42) "Pharmacy medical provider" means the medical provider required to be on
2171     site at a medical cannabis pharmacy under Section 26-61a-403.
2172          [(42)] (43) "Provisional patient card" means a card that:
2173          (a) the department issues to a minor with a qualifying condition for whom:
2174          (i) a recommending medical provider has recommended a medical cannabis treatment;
2175     and
2176          (ii) the department issues a medical cannabis guardian card to the minor's parent or
2177     legal guardian; and
2178          (b) is connected to the electronic verification system.
2179          [(43)] (44) "Qualified medical provider" means an individual:
2180          (a) who meets the recommending qualifications; and
2181          (b) whom the department registers to recommend treatment with cannabis in a
2182     medicinal dosage form under Section 26-61a-106.
2183          [(44)] (45) "Qualified Patient Enterprise Fund" means the enterprise fund created in
2184     Section 26-61a-109.
2185          [(45)] (46) "Qualifying condition" means a condition described in Section 26-61a-104.
2186          [(46)] (47) "Recommend" or "recommendation" means, for a recommending medical
2187     provider, the act of suggesting the use of medical cannabis treatment, which:
2188          (a) certifies the patient's eligibility for a medical cannabis card; and
2189          (b) may include, at the recommending medical provider's discretion, directions of use,
2190     with or without dosing guidelines.
2191          [(47)] (48) "Recommending medical provider" means a qualified medical provider or a
2192     limited medical provider.
2193          [(48)] (49) "Recommending qualifications" means that an individual:
2194          (a) (i) has the authority to write a prescription;
2195          (ii) is licensed to prescribe a controlled substance under Title 58, Chapter 37, Utah
2196     Controlled Substances Act; and
2197          (iii) possesses the authority, in accordance with the individual's scope of practice, to
2198     prescribe a Schedule II controlled substance; and
2199          (b) is licensed as:
2200          (i) a podiatrist under Title 58, Chapter 5a, Podiatric Physician Licensing Act;
2201          (ii) an advanced practice registered nurse under Title 58, Chapter 31b, Nurse Practice
2202     Act;
2203          (iii) a physician under Title 58, Chapter 67, Utah Medical Practice Act, or Title 58,
2204     Chapter 68, Utah Osteopathic Medical Practice Act; or
2205          (iv) a physician assistant under Title 58, Chapter 70a, Utah Physician Assistant Act.
2206          [(49)] (50) "State central patient portal" means the website the department creates, in
2207     accordance with Section 26-61a-601, to facilitate patient safety, education, and an electronic
2208     medical cannabis order.
2209          [(50)] (51) "State central patient portal medical provider" means a physician or
2210     pharmacist that the department employs in relation to the state central patient portal to consult
2211     with medical cannabis cardholders in accordance with Section 26-61a-602.
2212          [(51)] (52) "State electronic verification system" means the system described in Section
2213     26-61a-103.
2214          [(52)] (53) "Tetrahydrocannabinol" or "THC" means a substance derived from
2215     cannabis or a synthetic equivalent as described in Subsection 58-37-4(2)(a)(iii)(AA).
2216          [(53)] (54) "THC analog" means the same as that term is defined in Section 4-41-102.
2217          [(54)] (55) "Valid form of photo identification" means any of the following forms of
2218     identification that is either current or has expired within the previous six months:
2219          (a) a valid state-issued driver license or identification card;
2220          (b) a valid United States federal-issued photo identification, including:
2221          (i) a United States passport;
2222          (ii) a United States passport card;
2223          (iii) a United States military identification card; or
2224          (iv) a permanent resident card or alien registration receipt card; or
2225          (c) a passport that another country issued.
2226          Section 30. Section 26-61a-103 is amended to read:
2227          26-61a-103. Electronic verification system.
2228          (1) The Department of Agriculture and Food, the department, the Department of Public
2229     Safety, and the Division of Technology Services shall:
2230          (a) enter into a memorandum of understanding in order to determine the function and
2231     operation of the state electronic verification system in accordance with Subsection (2);
2232          (b) coordinate with the Division of Purchasing, under Title 63G, Chapter 6a, Utah
2233     Procurement Code, to develop a request for proposals for a third-party provider to develop and
2234     maintain the state electronic verification system in coordination with the Division of
2235     Technology Services; and
2236          (c) select a third-party provider who:
2237          (i) meets the requirements contained in the request for proposals issued under
2238     Subsection (1)(b); and
2239          (ii) may not have any commercial or ownership interest in a cannabis production
2240     establishment or a medical cannabis pharmacy.
2241          (2) The Department of Agriculture and Food, the department, the Department of Public
2242     Safety, and the Division of Technology Services shall ensure that[, on or before March 1,
2243     2020,] the state electronic verification system described in Subsection (1):
2244          (a) allows an individual to apply for a medical cannabis patient card or, if applicable, a
2245     medical cannabis guardian card, provided that the card may not become active until:
2246          (i) the relevant qualified medical provider completes the associated medical cannabis
2247     recommendation; or
2248          (ii) for a medical cannabis card related to a limited medical provider's
2249     recommendation, the medical cannabis pharmacy completes the recording described in
2250     Subsection (2)(d);
2251          (b) allows an individual to apply to renew a medical cannabis patient card or a medical
2252     cannabis guardian card in accordance with Section 26-61a-201;
2253          (c) allows a qualified medical provider, or an employee described in Subsection (3)
2254     acting on behalf of the qualified medical provider, to:
2255          (i) access dispensing and card status information regarding a patient:
2256          (A) with whom the qualified medical provider has a provider-patient relationship; and
2257          (B) for whom the qualified medical provider has recommended or is considering
2258     recommending a medical cannabis card;
2259          (ii) electronically recommend, after an initial face-to-face visit with a patient described
2260     in Subsection 26-61a-201(4)(a)(iii), treatment with cannabis in a medicinal dosage form or a
2261     cannabis product in a medicinal dosage form and optionally recommend dosing guidelines; and
2262          (iii) electronically renew a recommendation to a medical cannabis patient cardholder or
2263     medical cannabis guardian cardholder:
2264          (A) using telehealth services, for the qualified medical provider who originally
2265     recommended a medical cannabis treatment during a face-to-face visit with the patient; or
2266          (B) during a face-to-face visit with the patient, for a qualified medical provider who
2267     did not originally recommend the medical cannabis treatment during a face-to-face visit[.]
2268          (d) [beginning on the earlier of September 1, 2021, or the date on which the electronic
2269     verification system is functionally capable of facility medical cannabis pharmacy recording,]
2270     allows a medical cannabis pharmacy medical provider or medical cannabis pharmacy agent, in
2271     accordance with Subsection [26-61a-501(10)(a),] 4-41a-1101(10)(a), to:
2272          (i) access the electronic verification system to review the history within the system of a
2273     patient with whom the provider or agent is interacting, limited to read-only access for medical
2274     cannabis pharmacy agents unless the medical cannabis pharmacy's pharmacist in charge
2275     authorizes add and edit access;
2276          (ii) record a patient's recommendation from a limited medical provider, including any
2277     directions of use, dosing guidelines, or caregiver indications from the limited medical provider;
2278     and
2279          (iii) record a limited medical provider's renewal of the provider's previous
2280     recommendation;
2281          (e) connects with:
2282          (i) an inventory control system that a medical cannabis pharmacy uses to track in real
2283     time and archive purchases of any cannabis in a medicinal dosage form, cannabis product in a
2284     medicinal dosage form, or a medical cannabis device, including:
2285          (A) the time and date of each purchase;
2286          (B) the quantity and type of cannabis, cannabis product, or medical cannabis device
2287     purchased;
2288          (C) any cannabis production establishment, any medical cannabis pharmacy, or any
2289     medical cannabis courier associated with the cannabis, cannabis product, or medical cannabis
2290     device; and
2291          (D) the personally identifiable information of the medical cannabis cardholder who
2292     made the purchase; and
2293          (ii) any commercially available inventory control system that a cannabis production
2294     establishment utilizes in accordance with Section 4-41a-103 to use data that the Department of
2295     Agriculture and Food requires by rule, in accordance with Title 63G, Chapter 3, Utah
2296     Administrative Rulemaking Act, from the inventory tracking system that a licensee uses to
2297     track and confirm compliance;
2298          (f) provides access to:
2299          (i) the department to the extent necessary to carry out the department's functions and
2300     responsibilities under this chapter;
2301          (ii) the Department of Agriculture and Food to the extent necessary to carry out the
2302     functions and responsibilities of the Department of Agriculture and Food under Title 4, Chapter
2303     41a, Cannabis Production Establishments; and
2304          (iii) the Division of Professional Licensing to the extent necessary to carry out the
2305     functions and responsibilities related to the participation of the following in the
2306     recommendation and dispensing of medical cannabis:
2307          (A) a podiatrist licensed under Title 58, Chapter 5a, Podiatric Physician Licensing Act;
2308          (B) a pharmacist licensed under Title 58, Chapter 17b, Pharmacy Practice Act;
2309          (C) an advanced practice registered nurse licensed under Title 58, Chapter 31b, Nurse
2310     Practice Act;
2311          (D) a physician licensed under Title 58, Chapter 67, Utah Medical Practice Act, or
2312     Title 58, Chapter 68, Utah Osteopathic Medical Practice Act; or
2313          (E) a physician assistant licensed under Title 58, Chapter 70a, Utah Physician Assistant
2314     Act;
2315          (g) provides access to and interaction with the state central patient portal;
2316          (h) communicates dispensing information from a record that a medical cannabis
2317     pharmacy submits to the state electronic verification system under Subsection
2318     [26-61a-502(6)(a)(ii)] 4-41a-1102(3)(a)(ii) to the controlled substance database;
2319          (i) provides access to state or local law enforcement:
2320          (i) during a law enforcement encounter, without a warrant, using the individual's driver
2321     license or state ID, only for the purpose of determining if the individual subject to the law
2322     enforcement encounter has a valid medical cannabis card; or
2323          (ii) after obtaining a warrant; and
2324          (j) creates a record each time a person accesses the system that identifies the person
2325     who accesses the system and the individual whose records the person accesses.
2326          (3) (a) [Beginning on the earlier of September 1, 2021, or the date on which the
2327     electronic verification system is functionally capable of allowing employee access under this
2328     Subsection (3), an] An employee of a qualified medical provider may access the electronic
2329     verification system for a purpose described in Subsection (2)(c) on behalf of the qualified
2330     medical provider if:
2331          (i) the qualified medical provider has designated the employee as an individual
2332     authorized to access the electronic verification system on behalf of the qualified medical
2333     provider;
2334          (ii) the qualified medical provider provides written notice to the department of the
2335     employee's identity and the designation described in Subsection (3)(a)(i); and
2336          (iii) the department grants to the employee access to the electronic verification system.
2337          (b) An employee of a business that employs a qualified medical provider may access
2338     the electronic verification system for a purpose described in Subsection (2)(c) on behalf of the
2339     qualified medical provider if:
2340          (i) the qualified medical provider has designated the employee as an individual
2341     authorized to access the electronic verification system on behalf of the qualified medical
2342     provider;
2343          (ii) the qualified medical provider and the employing business jointly provide written
2344     notice to the department of the employee's identity and the designation described in Subsection
2345     (3)(b)(i); and
2346          (iii) the department grants to the employee access to the electronic verification system.
2347          (4) (a) As used in this Subsection (4), "prescribing provider" means:
2348          (i) a podiatrist licensed under Title 58, Chapter 5a, Podiatric Physician Licensing Act;
2349          (ii) an advanced practice registered nurse licensed under Title 58, Chapter 31b, Nurse
2350     Practice Act;
2351          (iii) a physician licensed under Title 58, Chapter 67, Utah Medical Practice Act, or
2352     Title 58, Chapter 68, Utah Osteopathic Medical Practice Act; or
2353          (iv) a physician assistant licensed under Title 58, Chapter 70a, Utah Physician
2354     Assistant Act.
2355          (b) Beginning on the earlier of September 1, 2021, or the date on which the electronic
2356     verification system is functionally capable of allowing provider access under this Subsection
2357     (4), a prescribing provider may access information in the electronic verification system
2358     regarding a patient the prescribing provider treats.
2359          (5) The department may release limited data that the system collects for the purpose of:
2360          (a) conducting medical and other department approved research;
2361          (b) providing the report required by Section 26-61a-703; and
2362          (c) other official department purposes.
2363          (6) The department shall make rules, in accordance with Title 63G, Chapter 3, Utah
2364     Administrative Rulemaking Act, to establish:
2365          (a) the limitations on access to the data in the state electronic verification system as
2366     described in this section; and
2367          (b) standards and procedures to ensure accurate identification of an individual
2368     requesting information or receiving information in this section.
2369          (7) (a) Any person who knowingly and intentionally releases any information in the
2370     state electronic verification system in violation of this section is guilty of a third degree felony.
2371          (b) Any person who negligently or recklessly releases any information in the state
2372     electronic verification system in violation of this section is guilty of a class C misdemeanor.
2373          (8) (a) Any person who obtains or attempts to obtain information from the state
2374     electronic verification system by misrepresentation or fraud is guilty of a third degree felony.
2375          (b) Any person who obtains or attempts to obtain information from the state electronic
2376     verification system for a purpose other than a purpose this chapter authorizes is guilty of a third
2377     degree felony.
2378          (9) (a) Except as provided in Subsection (9)(e), a person may not knowingly and
2379     intentionally use, release, publish, or otherwise make available to any other person information
2380     obtained from the state electronic verification system for any purpose other than a purpose
2381     specified in this section.
2382          (b) Each separate violation of this Subsection (9) is:
2383          (i) a third degree felony; and
2384          (ii) subject to a civil penalty not to exceed $5,000.
2385          (c) The department shall determine a civil violation of this Subsection (9) in
2386     accordance with Title 63G, Chapter 4, Administrative Procedures Act.
2387          (d) Civil penalties assessed under this Subsection (9) shall be deposited into the
2388     General Fund.
2389          (e) This Subsection (9) does not prohibit a person who obtains information from the
2390     state electronic verification system under Subsection (2)(a), (c), or (f) from:
2391          (i) including the information in the person's medical chart or file for access by a person
2392     authorized to review the medical chart or file;
2393          (ii) providing the information to a person in accordance with the requirements of the
2394     Health Insurance Portability and Accountability Act of 1996; or
2395          (iii) discussing or sharing that information about the patient with the patient.
2396          Section 31. Section 26-61a-105 is amended to read:
2397          26-61a-105. Compassionate Use Board.
2398          (1) (a) The department shall establish a Compassionate Use Board consisting of:
2399          (i) seven qualified medical providers that the executive director appoints and the
2400     Senate confirms:
2401          (A) who are knowledgeable about the medicinal use of cannabis;
2402          (B) who are physicians licensed under Title 58, Chapter 67, Utah Medical Practice Act,
2403     or Title 58, Chapter 68, Utah Osteopathic Medical Practice Act; and
2404          (C) whom the appropriate board certifies in the specialty of neurology, pain medicine
2405     and pain management, medical oncology, psychiatry, infectious disease, internal medicine,
2406     pediatrics, or gastroenterology; and
2407          (ii) as a nonvoting member and the chair of the Compassionate Use Board, the
2408     executive director or the director's designee.
2409          (b) In appointing the seven qualified medical providers described in Subsection (1)(a),
2410     the executive director shall ensure that at least two have a board certification in pediatrics.
2411          (2) (a) Of the members of the Compassionate Use Board that the executive director
2412     first appoints:
2413          (i) three shall serve an initial term of two years; and
2414          (ii) the remaining members shall serve an initial term of four years.
2415          (b) After an initial term described in Subsection (2)(a) expires:
2416          (i) each term is four years; and
2417          (ii) each board member is eligible for reappointment.
2418          (c) A member of the Compassionate Use Board may serve until a successor is
2419     appointed.
2420          (3) Four members constitute a quorum of the Compassionate Use Board.
2421          (4) A member of the Compassionate Use Board may receive:
2422          (a) notwithstanding Section 63A-3-106, compensation or benefits for the member's
2423     service; and
2424          (b) travel expenses in accordance with Section 63A-3-107 and rules made by the
2425     Division of Finance in accordance with Section 63A-3-107.
2426          (5) The Compassionate Use Board shall:
2427          (a) review and recommend for department approval a petition to the board regarding an
2428     individual described in Subsection 26-61a-201(2)(a), a minor described in Subsection
2429     26-61a-201(2)(c), or an individual who is not otherwise qualified to receive a medical cannabis
2430     card to obtain a medical cannabis card for compassionate use, for the standard or a reduced
2431     period of validity, if:
2432          (i) for an individual who is not otherwise qualified to receive a medical cannabis card,
2433     the individual's qualified medical provider is actively treating the individual for an intractable
2434     condition that:
2435          (A) substantially impairs the individual's quality of life; and
2436          (B) has not, in the qualified medical provider's professional opinion, adequately
2437     responded to conventional treatments;
2438          (ii) the qualified medical provider:
2439          (A) recommends that the individual or minor be allowed to use medical cannabis; and
2440          (B) provides a letter, relevant treatment history, and notes or copies of progress notes
2441     describing relevant treatment history including rationale for considering the use of medical
2442     cannabis; and
2443          (iii) the Compassionate Use Board determines that:
2444          (A) the recommendation of the individual's qualified medical provider is justified; and
2445          (B) based on available information, it may be in the best interests of the individual to
2446     allow the use of medical cannabis;
2447          (b) review and approve or deny the use of a medical cannabis device for an individual
2448     described in Subsection 26-61a-201(2)(a)(i)(B) or a minor described in Subsection
2449     26-61a-201(2)(c) if the individual's or minor's qualified medical provider recommends that the
2450     individual or minor be allowed to use a medical cannabis device to vaporize the medical
2451     cannabis treatment;
2452          (c) unless no petitions are pending:
2453          (i) meet to receive or review compassionate use petitions at least quarterly; and
2454          (ii) if there are more petitions than the board can receive or review during the board's
2455     regular schedule, as often as necessary;
2456          (d) except as provided in Subsection (6), complete a review of each petition and
2457     recommend to the department approval or denial of the applicant for qualification for a medical
2458     cannabis card within 90 days after the day on which the board received the petition;
2459          (e) consult with the department regarding the criteria described in Subsection (6); and
2460          (f) report, before November 1 of each year, to the Health and Human Services Interim
2461     Committee:
2462          (i) the number of compassionate use recommendations the board issued during the past
2463     year; and
2464          (ii) the types of conditions for which the board recommended compassionate use.
2465          (6) The department shall make rules, in consultation with the Compassionate Use
2466     Board and in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, to
2467     establish a process and criteria for a petition to the board to automatically qualify for expedited
2468     final review and approval or denial by the department in cases where, in the determination of
2469     the department and the board:
2470          (a) time is of the essence;
2471          (b) engaging the full review process would be unreasonable in light of the petitioner's
2472     physical condition; and
2473          (c) sufficient factors are present regarding the petitioner's safety.
2474          (7) (a) (i) The department shall review:
2475          (A) any compassionate use for which the Compassionate Use Board recommends
2476     approval under Subsection (5)(d) to determine whether the board properly exercised the board's
2477     discretion under this section; and
2478          (B) any expedited petitions the department receives under the process described in
2479     Subsection (6).
2480          (ii) If the department determines that the Compassionate Use Board properly exercised
2481     the board's discretion in recommending approval under Subsection (5)(d) or that the expedited
2482     petition merits approval based on the criteria established in accordance with Subsection (6), the
2483     department shall:
2484          (A) issue the relevant medical cannabis card; and
2485          (B) provide for the renewal of the medical cannabis card in accordance with the
2486     recommendation of the qualified medical provider described in Subsection (5)(a).
2487          (b) (i) If the Compassionate Use Board recommends denial under Subsection (5)(d),
2488     the individual seeking to obtain a medical cannabis card may petition the department to review
2489     the board's decision.
2490          (ii) If the department determines that the Compassionate Use Board's recommendation
2491     for denial under Subsection (5)(d) was arbitrary or capricious:
2492          (A) the department shall notify the Compassionate Use Board of the department's
2493     determination; and
2494          (B) the board shall reconsider the Compassionate Use Board's refusal to recommend
2495     approval under this section.
2496          (c) In reviewing the Compassionate Use Board's recommendation for approval or
2497     denial under Subsection (5)(d) in accordance with this Subsection (7), the department shall
2498     presume the board properly exercised the board's discretion unless the department determines
2499     that the board's recommendation was arbitrary or capricious.
2500          (8) Any individually identifiable health information contained in a petition that the
2501     Compassionate Use Board or department receives under this section is a protected record in
2502     accordance with Title 63G, Chapter 2, Government Records Access and Management Act.
2503          (9) The Compassionate Use Board shall annually report the board's activity to the
2504     Cannabis Research Review Board and the advisory board.
2505          Section 32. Section 26-61a-106 is amended to read:
2506          26-61a-106. Qualified medical provider registration -- Continuing education --
2507     Treatment recommendation -- Limited medical provider.
2508          (1) (a) (i) Except as provided in Subsection (1)(b), an individual may not recommend a
2509     medical cannabis treatment unless the department registers the individual as a qualified
2510     medical provider in accordance with this section.
2511          (ii) Notwithstanding Subsection (1)(a)(i), a qualified medical provider who is podiatrist
2512     licensed under Title 58, Chapter 5a, Podiatric Physician Licensing Act, may not recommend a
2513     medical cannabis treatment except within the course and scope of a practice of podiatry, as that
2514     term is defined in Section 58-5a-102.
2515          (b) Beginning on the earlier of September 1, 2021, or the date on which the department
2516     gives notice that the electronic verification system is functionally capable as described in
2517     Subsection 26-61a-103(2)(d), an individual who meets the recommending qualifications may
2518     recommend a medical cannabis treatment as a limited medical provider without registering
2519     under Subsection (1)(a) if:
2520          (i) the individual recommends the use of medical cannabis to the patient through an
2521     order described in Subsection (1)(c) after:
2522          (A) a face-to-face visit for an initial recommendation or the renewal of a
2523     recommendation for a patient for whom the limited medical provider did not make the patient's
2524     original recommendation; or
2525          (B) a visit using telehealth services for a renewal of a recommendation for a patient for
2526     whom the limited medical provider made the patient's original recommendation; and
2527          (ii) the individual's recommendation or renewal would not cause the total number of
2528     the individual's patients who have a valid medical cannabis patient card or provisional patient
2529     card resulting from the individual's recommendation to exceed 15.
2530          (c) The individual described in Subsection (1)(b) shall communicate the individual's
2531     recommendation through an order for the medical cannabis pharmacy to record the individual's
2532     recommendation or renewal in the state electronic verification system under the individual's
2533     recommendation that:
2534          (i) (A) that the individual or the individual's employee sends electronically to a medical
2535     cannabis pharmacy; or
2536          (B) that the individual gives to the patient in writing for the patient to deliver to a
2537     medical cannabis pharmacy; and
2538          (ii) may include:
2539          (A) directions of use or dosing guidelines; and
2540          (B) an indication of a need for a caregiver in accordance with Subsection
2541     26-61a-201(3)(c).
2542          (d) If the limited medical provider gives the patient a written recommendation to
2543     deliver to a medical cannabis pharmacy under Subsection (1)(c)(i)(B), the limited medical
2544     provider shall ensure that the document includes all of the information that is included on a
2545     prescription the provider would issue for a controlled substance, including:
2546          (i) the date of issuance;
2547          (ii) the provider's name, address and contact information, controlled substance license
2548     information, and signature; and
2549          (iii) the patient's name, address and contact information, age, and diagnosed qualifying
2550     condition.
2551          (e) In considering making a recommendation as a limited medical provider, an
2552     individual may consult information that the department makes available on the department's
2553     website for recommending providers.
2554          (2) (a) The department shall, within 15 days after the day on which the department
2555     receives an application from an individual, register and issue a qualified medical provider
2556     registration card to the individual if the individual:
2557          (i) provides to the department the individual's name and address;
2558          (ii) provides to the department a report detailing the individual's completion of the
2559     applicable continuing education requirement described in Subsection (3);
2560          (iii) provides to the department evidence that the individual meets the recommending
2561     qualifications;
2562          (iv) for an applicant on or after November 1, 2021, provides to the department the
2563     information described in Subsection (10)(a); and
2564          (v) pays the department a fee in an amount that:
2565          (A) the department sets, in accordance with Section 63J-1-504; and
2566          (B) does not exceed $300 for an initial registration.
2567          (b) The department may not register an individual as a qualified medical provider if the
2568     individual is:
2569          (i) a pharmacy medical provider; or
2570          (ii) an owner, officer, director, board member, employee, or agent of a cannabis
2571     production establishment, a medical cannabis pharmacy, or a medical cannabis courier.
2572          (3) (a) An individual shall complete the continuing education described in this
2573     Subsection (3) in the following amounts:
2574          (i) for an individual as a condition precedent to registration, four hours; and
2575          (ii) for a qualified medical provider as a condition precedent to renewal, four hours
2576     every two years.
2577          (b) In accordance with Subsection (3)(a), a qualified medical provider shall:
2578          (i) complete continuing education:
2579          (A) regarding the topics described in Subsection (3)(d); and
2580          (B) offered by the department under Subsection (3)(c) or an accredited or approved
2581     continuing education provider that the department recognizes as offering continuing education
2582     appropriate for the recommendation of cannabis to patients; and
2583          (ii) make a continuing education report to the department in accordance with a process
2584     that the department establishes by rule, in accordance with Title 63G, Chapter 3, Utah
2585     Administrative Rulemaking Act, and in collaboration with the Division of Professional
2586     Licensing and:
2587          (A) for a podiatrist licensed under Title 58, Chapter 5a, Podiatric Physician Licensing
2588     Act, the Podiatric Physician Board;
2589          (B) for an advanced practice registered nurse licensed under Title 58, Chapter 31b,
2590     Nurse Practice Act, the Board of Nursing;
2591          (C) for a qualified medical provider licensed under Title 58, Chapter 67, Utah Medical
2592     Practice Act, the Physicians Licensing Board;
2593          (D) for a qualified medical provider licensed under Title 58, Chapter 68, Utah
2594     Osteopathic Medical Practice Act, the Osteopathic Physician and Surgeon's Licensing Board;
2595     and
2596          (E) for a physician assistant licensed under Title 58, Chapter 70a, Utah Physician
2597     Assistant Act, the Physician Assistant Licensing Board.
2598          (c) The department may, in consultation with the Division of Professional Licensing,
2599     develop the continuing education described in this Subsection (3).
2600          (d) The continuing education described in this Subsection (3) may discuss:
2601          (i) the provisions of this chapter;
2602          (ii) general information about medical cannabis under federal and state law;
2603          (iii) the latest scientific research on the endocannabinoid system and medical cannabis,
2604     including risks and benefits;
2605          (iv) recommendations for medical cannabis as it relates to the continuing care of a
2606     patient in pain management, risk management, potential addiction, or palliative care; and
2607          (v) best practices for recommending the form and dosage of medical cannabis products
2608     based on the qualifying condition underlying a medical cannabis recommendation.
2609          (4) (a) Except as provided in Subsection (4)(b), a qualified medical provider may not
2610     recommend a medical cannabis treatment to more than 275 of the qualified medical provider's
2611     patients at the same time, as determined by the number of medical cannabis cards under the
2612     qualified medical provider's name in the state electronic verification system.
2613          (b) A qualified medical provider may recommend a medical cannabis treatment to up
2614     to 600 of the qualified medical provider's patients at any given time, as determined by the
2615     number of medical cannabis cards under the qualified medical provider's name in the state
2616     electronic verification system, if:
2617          (i) the appropriate American medical board has certified the qualified medical provider
2618     in the specialty of anesthesiology, gastroenterology, neurology, oncology, pain, hospice and
2619     palliative medicine, physical medicine and rehabilitation, rheumatology, endocrinology, or
2620     psychiatry; or
2621          (ii) a licensed business employs or contracts with the qualified medical provider for the
2622     specific purpose of providing hospice and palliative care.
2623          (5) A recommending medical provider may recommend medical cannabis to an
2624     individual under this chapter only in the course of a provider-patient relationship after the
2625     recommending medical provider has completed and documented in the patient's medical record
2626     a thorough assessment of the patient's condition and medical history based on the appropriate
2627     standard of care for the patient's condition.
2628          (6) (a) Except as provided in Subsection (6)(b), [an individual] a person may not
2629     advertise that the [individual] person or the person's employee recommends a medical cannabis
2630     treatment.
2631          (b) Notwithstanding Subsection (6)(a) and [subject to Section 26-61a-116] Section
2632     4-41a-109, a qualified medical provider or clinic or office that employs a qualified medical
2633     provider may advertise the following:
2634          (i) a green cross;
2635          (ii) the provider's or clinic's name and logo;
2636          (iii) a qualifying condition that the individual treats;
2637          (iv) that the individual is registered as a qualified medical provider and recommends
2638     medical cannabis; or
2639          (v) a scientific study regarding medical cannabis use.
2640          (7) (a) A qualified medical provider registration card expires two years after the day on
2641     which the department issues the card.
2642          (b) The department shall renew a qualified medical provider's registration card if the
2643     provider:
2644          (i) applies for renewal;
2645          (ii) is eligible for a qualified medical provider registration card under this section,
2646     including maintaining an unrestricted license under the recommending qualifications;
2647          (iii) certifies to the department in a renewal application that the information in
2648     Subsection (2)(a) is accurate or updates the information;
2649          (iv) submits a report detailing the completion of the continuing education requirement
2650     described in Subsection (3); and
2651          (v) pays the department a fee in an amount that:
2652          (A) the department sets, in accordance with Section 63J-1-504; and
2653          (B) does not exceed $50 for a registration renewal.
2654          (8) The department may revoke the registration of a qualified medical provider who
2655     fails to maintain compliance with the requirements of this section.
2656          (9) A recommending medical provider may not receive any compensation or benefit for
2657     the qualified medical provider's medical cannabis treatment recommendation from:
2658          (a) a cannabis production establishment or an owner, officer, director, board member,
2659     employee, or agent of a cannabis production establishment;
2660          (b) a medical cannabis pharmacy or an owner, officer, director, board member,
2661     employee, or agent of a medical cannabis pharmacy; or
2662          (c) a recommending medical provider or pharmacy medical provider.
2663          (10) (a) On or before November 1, 2021, a qualified medical provider shall report to
2664     the department, in a manner designated by the department:
2665          (i) if applicable, that the qualified medical provider or the entity that employs the
2666     qualified medical provider represents online or on printed material that the qualified medical
2667     provider is a qualified medical provider or offers medical cannabis recommendations to
2668     patients; and
2669          (ii) the fee amount that the qualified medical provider or the entity that employs the
2670     qualified medical provider charges a patient for a medical cannabis recommendation, either as
2671     an actual cash rate or, if the provider or entity bills insurance, an average cash rate.
2672          (b) The department shall:
2673          (i) ensure that the following information related to qualified medical providers and
2674     entities described in Subsection (10)(a)(i) is available on the department's website or on the
2675     health care price transparency tool under Subsection (10)(b)(ii):
2676          (A) the name of the qualified medical provider and, if applicable, the name of the
2677     entity that employs the qualified medical provider;
2678          (B) the address of the qualified medical provider's office or, if applicable, the entity
2679     that employs the qualified medical provider; and
2680          (C) the fee amount described in Subsection (10)(a)(ii); and
2681          (ii) share data collected under this Subsection (10) with the state auditor for use in the
2682     health care price transparency tool described in Section 67-3-11.
2683          Section 33. Section 26-61a-109 is amended to read:
2684          26-61a-109. Qualified Patient Enterprise Fund -- Creation -- Revenue neutrality
2685     -- Uniform fee.
2686          (1) There is created an enterprise fund known as the "Qualified Patient Enterprise
2687     Fund."
2688          (2) The fund created in this section is funded from:
2689          (a) money the department deposits into the fund under this chapter;
2690          (b) appropriations the Legislature makes to the fund; and
2691          (c) the interest described in Subsection (3).
2692          (3) Interest earned on the fund shall be deposited into the fund.
2693          (4) The department may only use money in the fund to fund the department's
2694     responsibilities under this chapter.
2695          (5) The department shall set fees authorized under this chapter in amounts that the
2696     department anticipates are necessary, in total, to cover the department's cost to implement this
2697     chapter.
2698          (6) The department may impose a uniform fee on each medical cannabis transaction in
2699     a medical cannabis pharmacy in an amount that, subject to Subsection (5), the department sets
2700     in accordance with Section 63J-1-504.
2701          Section 34. Section 26-61a-201 is amended to read:
2702          26-61a-201. Medical cannabis patient card -- Medical cannabis guardian card --
2703     Conditional medical cannabis card -- Application -- Fees -- Studies.
2704          (1) (a) The department shall, within 15 days after the day on which an individual who
2705     satisfies the eligibility criteria in this section or Section 26-61a-202 submits an application in
2706     accordance with this section or Section 26-61a-202:
2707          (i) issue a medical cannabis patient card to an individual described in Subsection
2708     (2)(a);
2709          (ii) issue a medical cannabis guardian card to an individual described in Subsection
2710     (2)(b);
2711          (iii) issue a provisional patient card to a minor described in Subsection (2)(c); and
2712          (iv) issue a medical cannabis caregiver card to an individual described in Subsection
2713     26-61a-202(4).
2714          (b) (i) Beginning on the earlier of September 1, 2021, or the date on which the
2715     electronic verification system is functionally capable of facilitating a conditional medical
2716     cannabis card under this Subsection (1)(b), upon the entry of a recommending medical
2717     provider's medical cannabis recommendation for a patient in the state electronic verification
2718     system, either by the provider or the provider's employee or by a medical cannabis pharmacy
2719     medical provider or medical cannabis pharmacy in accordance with Subsection
2720     [26-61a-501(10)(a)] 4-41a-1101(10)(a), the department shall issue to the patient an electronic
2721     conditional medical cannabis card, in accordance with this Subsection (1)(b).
2722          (ii) A conditional medical cannabis card is valid for the lesser of:
2723          (A) 60 days; or
2724          (B) the day on which the department completes the department's review and issues a
2725     medical cannabis card under Subsection (1)(a), denies the patient's medical cannabis card
2726     application, or revokes the conditional medical cannabis card under Subsection (8).
2727          (iii) The department may issue a conditional medical cannabis card to an individual
2728     applying for a medical cannabis patient card for which approval of the Compassionate Use
2729     Board is not required.
2730          (iv) An individual described in Subsection (1)(b)(iii) has the rights, restrictions, and
2731     obligations under law applicable to a holder of the medical cannabis card for which the
2732     individual applies and for which the department issues the conditional medical cannabis card.
2733          (2) (a) An individual is eligible for a medical cannabis patient card if:
2734          (i) (A) the individual is at least 21 years old; or
2735          (B) the individual is 18, 19, or 20 years old, the individual petitions the Compassionate
2736     Use Board under Section 26-61a-105, and the Compassionate Use Board recommends
2737     department approval of the petition;
2738          (ii) the individual is a Utah resident;
2739          (iii) the individual's recommending medical provider recommends treatment with
2740     medical cannabis in accordance with Subsection (4);
2741          (iv) the individual signs an acknowledgment stating that the individual received the
2742     information described in Subsection (9); and
2743          (v) the individual pays to the department a fee in an amount that, subject to Subsection
2744     26-61a-109(5), the department sets in accordance with Section 63J-1-504.
2745          (b) (i) An individual is eligible for a medical cannabis guardian card if the individual:
2746          (A) is at least 18 years old;
2747          (B) is a Utah resident;
2748          (C) is the parent or legal guardian of a minor for whom the minor's qualified medical
2749     provider recommends a medical cannabis treatment, the individual petitions the Compassionate
2750     Use Board under Section 26-61a-105, and the Compassionate Use Board recommends
2751     department approval of the petition;
2752          (D) the individual signs an acknowledgment stating that the individual received the
2753     information described in Subsection (9);
2754          (E) pays to the department a fee in an amount that, subject to Subsection
2755     26-61a-109(5), the department sets in accordance with Section 63J-1-504, plus the cost of the
2756     criminal background check described in Section 26-61a-203; and
2757          (F) the individual has not been convicted of a misdemeanor or felony drug distribution
2758     offense under either state or federal law, unless the individual completed any imposed sentence
2759     six months or more before the day on which the individual applies for a medical cannabis
2760     guardian card.
2761          (ii) The department shall notify the Department of Public Safety of each individual that
2762     the department registers for a medical cannabis guardian card.
2763          (c) (i) A minor is eligible for a provisional patient card if:
2764          (A) the minor has a qualifying condition;
2765          (B) the minor's qualified medical provider recommends a medical cannabis treatment
2766     to address the minor's qualifying condition;
2767          (C) one of the minor's parents or legal guardians petitions the Compassionate Use
2768     Board under Section 26-61a-105, and the Compassionate Use Board recommends department
2769     approval of the petition; and
2770          (D) the minor's parent or legal guardian is eligible for a medical cannabis guardian card
2771     under Subsection (2)(b) or designates a caregiver under Subsection (2)(d) who is eligible for a
2772     medical cannabis caregiver card under Section 26-61a-202.
2773          (ii) The department shall automatically issue a provisional patient card to the minor
2774     described in Subsection (2)(c)(i) at the same time the department issues a medical cannabis
2775     guardian card to the minor's parent or legal guardian.
2776          (d) Beginning on the earlier of September 1, 2021, or the date on which the electronic
2777     verification system is functionally capable of servicing the designation, if the parent or legal
2778     guardian of a minor described in Subsections (2)(c)(i)(A) through (C) does not qualify for a
2779     medical cannabis guardian card under Subsection (2)(b), the parent or legal guardian may
2780     designate up to two caregivers in accordance with Subsection 26-61a-202(1)(c) to ensure that
2781     the minor has adequate and safe access to the recommended medical cannabis treatment.
2782          (3) (a) An individual who is eligible for a medical cannabis card described in
2783     Subsection (2)(a) or (b) shall submit an application for a medical cannabis card to the
2784     department:
2785          (i) through an electronic application connected to the state electronic verification
2786     system;
2787          (ii) with the recommending medical provider; and
2788          (iii) with information including:
2789          (A) the applicant's name, gender, age, and address;
2790          (B) the number of the applicant's valid form of photo identification;
2791          (C) for a medical cannabis guardian card, the name, gender, and age of the minor
2792     receiving a medical cannabis treatment under the cardholder's medical cannabis guardian card;
2793     and
2794          (D) for a provisional patient card, the name of the minor's parent or legal guardian who
2795     holds the associated medical cannabis guardian card.
2796          (b) The department shall ensure that a medical cannabis card the department issues
2797     under this section contains the information described in Subsection (3)(a)(iii).
2798          (c) (i) If a recommending medical provider determines that, because of age, illness, or
2799     disability, a medical cannabis patient cardholder requires assistance in administering the
2800     medical cannabis treatment that the recommending medical provider recommends, the
2801     recommending medical provider may indicate the cardholder's need in the state electronic
2802     verification system, either directly or, for a limited medical provider, through the order
2803     described in Subsections 26-61a-106(1)(c) and (d).
2804          (ii) If a recommending medical provider makes the indication described in Subsection
2805     (3)(c)(i):
2806          (A) the department shall add a label to the relevant medical cannabis patient card
2807     indicating the cardholder's need for assistance;
2808          (B) any adult who is 18 years old or older and who is physically present with the
2809     cardholder at the time the cardholder needs to use the recommended medical cannabis
2810     treatment may handle the medical cannabis treatment and any associated medical cannabis
2811     device as needed to assist the cardholder in administering the recommended medical cannabis
2812     treatment; and
2813          (C) an individual of any age who is physically present with the cardholder in the event
2814     of an emergency medical condition, as that term is defined in Section 31A-1-301, may handle
2815     the medical cannabis treatment and any associated medical cannabis device as needed to assist
2816     the cardholder in administering the recommended medical cannabis treatment.
2817          (iii) A non-cardholding individual acting under Subsection (3)(c)(ii)(B) or (C) may not:
2818          (A) ingest or inhale medical cannabis;
2819          (B) possess, transport, or handle medical cannabis or a medical cannabis device outside
2820     of the immediate area where the cardholder is present or with an intent other than to provide
2821     assistance to the cardholder; or
2822          (C) possess, transport, or handle medical cannabis or a medical cannabis device when
2823     the cardholder is not in the process of being dosed with medical cannabis.
2824          (4) To recommend a medical cannabis treatment to a patient or to renew a
2825     recommendation, a recommending medical provider shall:
2826          (a) before recommending or renewing a recommendation for medical cannabis in a
2827     medicinal dosage form or a cannabis product in a medicinal dosage form:
2828          (i) verify the patient's and, for a minor patient, the minor patient's parent or legal
2829     guardian's valid form of identification described in Subsection (3)(a);
2830          (ii) review any record related to the patient and, for a minor patient, the patient's parent
2831     or legal guardian in:
2832          (A) for a qualified medical provider, the state electronic verification system; and
2833          (B) the controlled substance database created in Section 58-37f-201; and
2834          (iii) consider the recommendation in light of the patient's qualifying condition, history
2835     of substance use or opioid use disorder, and history of medical cannabis and controlled
2836     substance use during an initial face-to-face visit with the patient; and
2837          (b) state in the recommending medical provider's recommendation that the patient:
2838          (i) suffers from a qualifying condition, including the type of qualifying condition; and
2839          (ii) may benefit from treatment with cannabis in a medicinal dosage form or a cannabis
2840     product in a medicinal dosage form.
2841          (5) (a) Except as provided in Subsection (5)(b) or (c), a medical cannabis card that the
2842     department issues under this section is valid for the lesser of:
2843          (i) an amount of time that the recommending medical provider determines; or
2844          (ii) (A) six months for the first issuance, and, except as provided in Subsection
2845     (5)(a)(ii)(B), for a renewal; or
2846          (B) for a renewal, one year if, after at least one year following the issuance of the
2847     original medical cannabis card, the recommending medical provider determines that the patient
2848     has been stabilized on the medical cannabis treatment and a one-year renewal period is
2849     justified.
2850          (b) (i) A medical cannabis card that the department issues in relation to a terminal
2851     illness described in Section 26-61a-104 expires after one year.
2852          (ii) The recommending medical provider may revoke a recommendation that the
2853     provider made in relation to a terminal illness described in Section 26-61a-104 if the medical
2854     cannabis cardholder no longer has the terminal illness.
2855          (c) A medical cannabis card that the department issues in relation to acute pain as
2856     described in Section 26-61a-104 expires 30 days after the day on which the department first
2857     issues a conditional or full medical cannabis card.
2858          (6) (a) A medical cannabis patient card or a medical cannabis guardian card is
2859     renewable if:
2860          (i) at the time of renewal, the cardholder meets the requirements of Subsection (2)(a) or
2861     (b); or
2862          (ii) the cardholder received the medical cannabis card through the recommendation of
2863     the Compassionate Use Board under Section 26-61a-105.
2864          (b) The recommending medical provider who made the underlying recommendation
2865     for the card of a cardholder described in Subsection (6)(a) may renew the cardholder's card
2866     through phone or video conference with the cardholder, at the recommending medical
2867     provider's discretion.
2868          (c) Before having access to a renewed card, a cardholder under Subsection (2)(a) or (b)
2869     shall pay to the department a renewal fee in an amount that:
2870          (i) subject to Subsection 26-61a-109(5), the department sets in accordance with Section
2871     63J-1-504; and
2872          (ii) may not exceed the cost of the relatively lower administrative burden of renewal in
2873     comparison to the original application process.
2874          (d) If a minor meets the requirements of Subsection (2)(c), the minor's provisional
2875     patient card renews automatically at the time the minor's parent or legal guardian renews the
2876     parent or legal guardian's associated medical cannabis guardian card.
2877          (7) (a) A cardholder under this section shall carry the cardholder's valid medical
2878     cannabis card with the patient's name.
2879          (b) (i) A medical cannabis patient cardholder or a provisional patient cardholder may
2880     purchase, in accordance with this chapter and the recommendation underlying the card,
2881     cannabis in a medicinal dosage form, a cannabis product in a medicinal dosage form, or a
2882     medical cannabis device.
2883          (ii) A cardholder under this section may possess or transport, in accordance with this
2884     chapter and the recommendation underlying the card, cannabis in a medicinal dosage form, a
2885     cannabis product in a medicinal dosage form, or a medical cannabis device.
2886          (iii) To address the qualifying condition underlying the medical cannabis treatment
2887     recommendation:
2888          (A) a medical cannabis patient cardholder or a provisional patient cardholder may use
2889     cannabis in a medicinal dosage form, a medical cannabis product in a medicinal dosage form,
2890     or a medical cannabis device; and
2891          (B) a medical cannabis guardian cardholder may assist the associated provisional
2892     patient cardholder with the use of cannabis in a medicinal dosage form, a medical cannabis
2893     product in a medicinal dosage form, or a medical cannabis device.
2894          (8) The department may revoke a medical cannabis card that the department issues
2895     under this section if the cardholder:
2896          (a) violates this chapter; or
2897          (b) is convicted under state or federal law of, after March 17, 2021, a drug distribution
2898     offense.
2899          (9) The department shall establish by rule, in accordance with Title 63G, Chapter 3,
2900     Utah Administrative Rulemaking Act, a process to provide information regarding the following
2901     to an individual receiving a medical cannabis card:
2902          (a) risks associated with medical cannabis treatment;
2903          (b) the fact that a condition's listing as a qualifying condition does not suggest that
2904     medical cannabis treatment is an effective treatment or cure for that condition, as described in
2905     Subsection 26-61a-104(1); and
2906          (c) other relevant warnings and safety information that the department determines.
2907          (10) The department may establish procedures by rule, in accordance with Title 63G,
2908     Chapter 3, Utah Administrative Rulemaking Act, to implement the application and issuance
2909     provisions of this section.
2910          (11) (a) On or before September 1, 2021, the department shall establish by rule, in
2911     accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, a process to allow
2912     an individual from another state to register with the department in order to purchase medical
2913     cannabis or a medical cannabis device from a medical cannabis pharmacy while the individual
2914     is visiting the state.
2915          (b) The department may only provide the registration process described in Subsection
2916     (11)(a):
2917          (i) to a nonresident patient; and
2918          (ii) for no more than two visitation periods per calendar year of up to 21 calendar days
2919     per visitation period.
2920          (12) (a) A person may submit to the department a request to conduct a research study
2921     using medical cannabis cardholder data that the state electronic verification system contains.
2922          (b) The department shall review a request described in Subsection (12)(a) to determine
2923     whether an institutional review board, as that term is defined in Section 26-61-102, could
2924     approve the research study.
2925          (c) At the time an individual applies for a medical cannabis card, the department shall
2926     notify the individual:
2927          (i) of how the individual's information will be used as a cardholder;
2928          (ii) that by applying for a medical cannabis card, unless the individual withdraws
2929     consent under Subsection (12)(d), the individual consents to the use of the individual's
2930     information for external research; and
2931          (iii) that the individual may withdraw consent for the use of the individual's
2932     information for external research at any time, including at the time of application.
2933          (d) An applicant may, through the medical cannabis card application, and a medical
2934     cannabis cardholder may, through the state central patient portal, withdraw the applicant's or
2935     cardholder's consent to participate in external research at any time.
2936          (e) The department may release, for the purposes of a study described in this
2937     Subsection (12), information about a cardholder under this section who consents to participate
2938     under Subsection (12)(c).
2939          (f) If an individual withdraws consent under Subsection (12)(d), the withdrawal of
2940     consent:
2941          (i) applies to external research that is initiated after the withdrawal of consent; and
2942          (ii) does not apply to research that was initiated before the withdrawal of consent.
2943          (g) The department may establish standards for a medical research study's validity, by
2944     rule made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
2945          (13) The department shall record the issuance or revocation of a medical cannabis card
2946     under this section in the controlled substance database.
2947          Section 35. Section 26-61a-206 is enacted to read:
2948          26-61a-206. Purchasing and use limitations.
2949          An individual with a medical cannabis card:
2950          (1) may purchase, in any one 28-day period, up to the legal dosage limit of:
2951          (a) unprocessed cannabis in a medicinal dosage form; and
2952          (b) a cannabis product in a medicinal dosage form;
2953          (2) may not purchase:
2954          (a) more medical cannabis than described in Subsection (1)(a); or
2955          (b) if the relevant recommending medical provider did not recommend directions of
2956     use and dosing guidelines, until the individual consults with the pharmacy medical provider in
2957     accordance with Subsection 26-61a-404(5), any medical cannabis; and
2958          (3) may not use a route of administration that the relevant recommending medical
2959     provider or the pharmacy medical provider, in accordance with Subsection 26-61a-404(5) or
2960     (6), has not recommended.
2961          Section 36. Section 26-61a-403 is amended to read:
2962     
Part 4. Pharmacy Medical Providers

2963          26-61a-403. Pharmacy medical providers -- Registration -- Continuing education.
2964          (1) (a) A medical cannabis pharmacy:
2965          (i) shall employ a pharmacist who is licensed under Title 58, Chapter 17b, Pharmacy
2966     Practice Act, as a pharmacy medical provider;
2967          (ii) may employ a physician who has the authority to write a prescription and is
2968     licensed under Title 58, Chapter 67, Utah Medical Practice Act, or Title 58, Chapter 68, Utah
2969     Osteopathic Medical Practice Act, as a pharmacy medical provider;
2970          (iii) shall ensure that a pharmacy medical provider described in Subsection (1)(a)(i)
2971     works onsite during all business hours; and
2972          (iv) shall designate one pharmacy medical provider described in Subsection (1)(a)(i) as
2973     the pharmacist-in-charge to oversee the operation of and generally supervise the medical
2974     cannabis pharmacy.
2975          (b) An individual may not serve as a pharmacy medical provider unless the department
2976     registers the individual as a pharmacy medical provider in accordance with Subsection (2).
2977          (2) (a) The department shall, within 15 days after the day on which the department
2978     receives an application from a medical cannabis pharmacy on behalf of a prospective pharmacy
2979     medical provider, register and issue a pharmacy medical provider registration card to the
2980     prospective pharmacy medical provider if the medical cannabis pharmacy:
2981          (i) provides to the department:
2982          (A) the prospective pharmacy medical provider's name and address;
2983          (B) the name and location of the licensed medical cannabis pharmacy where the
2984     prospective pharmacy medical provider seeks to act as a pharmacy medical provider;
2985          (C) a report detailing the completion of the continuing education requirement described
2986     in Subsection (3); and
2987          (D) evidence that the prospective pharmacy medical provider is a pharmacist who is
2988     licensed under Title 58, Chapter 17b, Pharmacy Practice Act, or a physician who has the
2989     authority to write a prescription and is licensed under Title 58, Chapter 67, Utah Medical
2990     Practice Act, or Title 58, Chapter 68, Utah Osteopathic Medical Practice Act; and
2991          (ii) pays a fee to the department in an amount that, subject to Subsection
2992     26-61a-109(5), the department sets in accordance with Section 63J-1-504.
2993          (b) The department may not register a recommending medical provider or a state
2994     central patient portal medical provider as a pharmacy medical provider.
2995          (3) (a) A pharmacy medical provider shall complete the continuing education described
2996     in this Subsection (3) in the following amounts:
2997          (i) as a condition precedent to registration, four hours; and
2998          (ii) as a condition precedent to renewal of the registration, four hours every two years.
2999          (b) In accordance with Subsection (3)(a), the pharmacy medical provider shall:
3000          (i) complete continuing education:
3001          (A) regarding the topics described in Subsection (3)(d); and
3002          (B) offered by the department under Subsection (3)(c) or an accredited or approved
3003     continuing education provider that the department recognizes as offering continuing education
3004     appropriate for the medical cannabis pharmacy practice; and
3005          (ii) make a continuing education report to the department in accordance with a process
3006     that the department establishes by rule, in accordance with Title 63G, Chapter 3, Utah
3007     Administrative Rulemaking Act, and in collaboration with the Division of Professional
3008     Licensing and:
3009          (A) for a pharmacy medical provider who is licensed under Title 58, Chapter 17b,
3010     Pharmacy Practice Act, the Board of Pharmacy;
3011          (B) for a pharmacy medical provider licensed under Title 58, Chapter 67, Utah Medical
3012     Practice Act, the Physicians Licensing Board; and
3013          (C) for a pharmacy medical provider licensed under Title 58, Chapter 68, Utah
3014     Osteopathic Medical Practice Act, the Osteopathic Physician and Surgeon's Licensing Board.
3015          (c) The department may, in consultation with the Division of Professional Licensing,
3016     develop the continuing education described in this Subsection (3).
3017          (d) The continuing education described in this Subsection (3) may discuss:
3018          (i) the provisions of this chapter;
3019          (ii) general information about medical cannabis under federal and state law;
3020          (iii) the latest scientific research on the endocannabinoid system and medical cannabis,
3021     including risks and benefits;
3022          (iv) recommendations for medical cannabis as it relates to the continuing care of a
3023     patient in pain management, risk management, potential addiction, and palliative care; or
3024          (v) best practices for recommending the form and dosage of a medical cannabis
3025     product based on the qualifying condition underlying a medical cannabis recommendation.
3026          (4) (a) A pharmacy medical provider registration card expires two years after the day
3027     on which the department issues or renews the card.
3028          (b) A pharmacy medical provider may renew the provider's registration card if the
3029     provider:
3030          (i) is eligible for a pharmacy medical provider registration card under this section;
3031          (ii) certifies to the department in a renewal application that the information in
3032     Subsection (2)(a) is accurate or updates the information;
3033          (iii) submits a report detailing the completion of the continuing education requirement
3034     described in Subsection (3); and
3035          (iv) pays to the department a renewal fee in an amount that:
3036          (A) subject to Subsection 26-61a-109(5), the department sets in accordance with
3037     Section 63J-1-504; and
3038          (B) may not exceed the cost of the relatively lower administrative burden of renewal in
3039     comparison to the original application process.
3040          (5) (a) Except as provided in Subsection (5)(b), a person may not advertise that the
3041     person or another person dispenses medical cannabis.
3042          (b) Notwithstanding Subsection (5)(a) and [subject to] Section [26-61a-116]
3043     4-41a-109, a registered pharmacy medical provider may advertise the following:
3044          (i) a green cross;
3045          (ii) that the person is registered as a pharmacy medical provider and dispenses medical
3046     cannabis; or
3047          (iii) a scientific study regarding medical cannabis use.
3048          Section 37. Section 26-61a-404, which is renumbered from Section 26-61a-503 is
3049     renumbered and amended to read:
3050          [26-61a-503].      26-61a-404. Partial filling -- Pharmacy medical provider
3051     directions of use.
3052          (1) As used in this section, "partially fill" means to provide less than the full amount of
3053     cannabis or cannabis product that the recommending medical provider recommends, if the
3054     recommending medical provider recommended specific dosing parameters.
3055          (2) A pharmacy medical provider may partially fill a recommendation for a medical
3056     cannabis treatment at the request of the recommending medical provider who issued the
3057     medical cannabis treatment recommendation or the medical cannabis cardholder.
3058          (3) The department shall make rules, in collaboration with the Division of Professional
3059     Licensing and the Board of Pharmacy and in accordance with Title 63G, Chapter 3, Utah
3060     Administrative Rulemaking Act, specifying how to record the date, quantity supplied, and
3061     quantity remaining of a partially filled medical cannabis treatment recommendation.
3062          (4) A pharmacy medical provider who is a pharmacist may, upon the request of a
3063     medical cannabis cardholder, determine different dosing parameters, subject to the dosing
3064     limits in Subsection [26-61a-502(2)] 4-41a-1102(2), to fill the quantity remaining of a partially
3065     filled medical cannabis treatment recommendation if:
3066          (a) the pharmacy medical provider determined dosing parameters for the partial fill
3067     under Subsection [26-61a-502(4) or (5)] 4-41a-1102(5) or (6); and
3068          (b) the medical cannabis cardholder reports that:
3069          (i) the partial fill did not substantially affect the qualifying condition underlying the
3070     medical cannabis recommendation; or
3071          (ii) the patient experienced an adverse reaction to the partial fill or was otherwise
3072     unable to successfully use the partial fill.
3073          (5) If a recommending medical provider recommends treatment with medical cannabis
3074     but wishes for the pharmacy medical provider to determine directions of use and dosing
3075     guidelines:
3076          (a) the recommending medical provider shall provide to the pharmacy medical
3077     provider, either through the state electronic verification system or through a medical cannabis
3078     pharmacy's recording of a recommendation under the order of a limited medical provider, any
3079     of the following information that the recommending medical provider feels would be needed to
3080     provide appropriate directions of use and dosing guidelines:
3081          (i) information regarding the qualifying condition underlying the recommendation;
3082          (ii) information regarding prior treatment attempts with medical cannabis; and
3083          (iii) portions of the patient's current medication list; and
3084          (b) before the relevant medical cannabis cardholder may obtain medical cannabis, the
3085     pharmacy medical provider shall:
3086          (i) review pertinent medical records, including the recommending medical provider
3087     documentation described in Subsection (5)(a); and
3088          (ii) unless the pertinent medical records show directions of use and dosing guidelines
3089     from a state central patient portal medical provider in accordance with Subsection (6), after
3090     completing the review described in Subsection (5)(b)(i) and consulting with the recommending
3091     medical provider as needed, determine the best course of treatment through consultation with
3092     the cardholder regarding:
3093          (A) the patient's qualifying condition underlying the recommendation from the
3094     recommending medical provider;
3095          (B) indications for available treatments;
3096          (C) directions of use and dosing guidelines; and
3097          (D) potential adverse reactions.
3098          (6) (a) A state central patient portal medical provider may provide the consultation and
3099     make the determination described in Subsection (5)(b) for a medical cannabis patient
3100     cardholder regarding an electronic order that the state central patient portal facilitates.
3101          (b) The state central patient portal medical provider described in Subsection (6)(a)
3102     shall document the directions of use and dosing guidelines, determined under Subsection (6)(a)
3103     in the pertinent medical records.
3104          Section 38. Section 26-61a-601 is amended to read:
3105          26-61a-601. State central patient portal -- Department duties.
3106          (1) [On or before July 1, 2020, the] The department shall establish or contract to
3107     establish, in accordance with Title 63G, Chapter 6a, Utah Procurement Code, a state central
3108     patient portal as described in this section.
3109          (2) The state central patient portal shall:
3110          (a) authenticate each user to ensure the user is a valid medical cannabis patient
3111     cardholder;
3112          (b) allow a medical cannabis patient cardholder to:
3113          (i) obtain and download the cardholder's medical cannabis card;
3114          (ii) review the cardholder's medical cannabis purchase history; and
3115          (iii) manage the cardholder's personal information, including withdrawing consent for
3116     the use of the cardholder's information for a study described in Subsection 26-61a-201(12);
3117          (c) if the cardholder's recommending medical provider recommended the use of
3118     medical cannabis without providing directions of use and dosing guidelines and the cardholder
3119     has not yet received the counseling or consultation required in Subsection 26-61a-502(4):
3120          (i) alert the cardholder of the outstanding need for consultation; and
3121          (ii) provide the cardholder with access to the contact information for each state central
3122     patient portal medical provider and each pharmacy medical provider;
3123          (d) except as provided in Subsection (2)(e), facilitate an electronic medical cannabis
3124     order:
3125          (i) to a home delivery medical cannabis pharmacy for a medical cannabis shipment; or
3126          (ii) to a medical cannabis pharmacy for a medical cannabis cardholder to obtain in
3127     person from the pharmacy;
3128          (e) prohibit a patient from completing an electronic medical cannabis order described
3129     in Subsection (2)(d) if the purchase would exceed the limitations described in Subsection
3130     [26-61a-502(2)(a) or (b)] 4-41a-1102(2)(a) or (b);
3131          (f) provide educational information to medical cannabis patient cardholders regarding
3132     the state's medical cannabis laws and regulatory programs and other relevant information
3133     regarding medical cannabis; and
3134          (g) allow the patient to designate up to two caregivers who may receive a medical
3135     cannabis caregiver card to purchase and transport medical cannabis on behalf of the patient in
3136     accordance with this chapter.
3137          (3) The department may make rules in accordance with Title 63G, Chapter 3, Utah
3138     Administrative Rulemaking Act, to implement the state central patient portal.
3139          Section 39. Section 26-61a-602 is amended to read:
3140          26-61a-602. State central patient portal medical provider.
3141          (1) In relation to the state central patient portal:
3142          (a) the department may only employ, as a state central patient portal medical provider:
3143          (i) a pharmacist who is licensed under Title 58, Chapter 17b, Pharmacy Practice Act; or
3144          (ii) a physician licensed under Title 58, Chapter 67, Utah Medical Practice Act, or Title
3145     58, Chapter 68, Utah Osteopathic Medical Practice Act; and
3146          (b) if the department employs a state central patient portal medical provider, the
3147     department shall ensure that a state central patient portal medical provider is available during
3148     normal business hours.
3149          (2) A state central patient portal medical provider may:
3150          (a) provide consultations to medical cannabis cardholders and qualified medical
3151     providers; and
3152          (b) determine dosing parameters in accordance with Subsection [26-61a-502(5)]
3153     26-61a-404(6).
3154          Section 40. Section 26-61a-701 is amended to read:
3155          26-61a-701. Enforcement -- Misdemeanor.
3156          (1) Except as provided in Title 4, Chapter 41a, Cannabis Production Establishments[,
3157     and Sections 26-61a-502, 26-61a-605, and 26-61a-607] and Pharmacies, it is unlawful for a
3158     medical cannabis cardholder to sell or otherwise give to another medical cannabis cardholder
3159     cannabis in a medicinal dosage form, a cannabis product in a medicinal dosage form, a medical
3160     cannabis device, or any cannabis residue remaining in or from a medical cannabis device.
3161          (2) (a) Except as provided in Subsection (2)(b), a medical cannabis cardholder who
3162     violates Subsection (1) is:
3163          (i) guilty of a class B misdemeanor; and
3164          (ii) subject to a $1,000 fine.
3165          (b) An individual is not guilty under Subsection (2)(a) if the individual:
3166          (i) (A) is a designated caregiver; and
3167          (B) gives the product described in Subsection (1) to the medical cannabis cardholder
3168     who designated the individual as a designated caregiver; or
3169          (ii) (A) is a medical cannabis guardian cardholder; and
3170          (B) gives the product described in Subsection (1) to the relevant provisional patient
3171     cardholder.
3172          (c) An individual who is guilty of a violation described in Subsection (2)(a) is not
3173     guilty of a violation of Title 58, Chapter 37, Utah Controlled Substances Act, for the conduct
3174     underlying the violation described in Subsection (2)(a).
3175          Section 41. Section 26-61a-703 is amended to read:
3176          26-61a-703. Report.
3177          (1) By the November interim meeting each year beginning in 2020, the department
3178     shall report to the Health and Human Services Interim Committee on:
3179          (a) the number of applications and renewal applications filed for medical cannabis
3180     cards;
3181          (b) the number of qualifying patients and designated caregivers;
3182          (c) the nature of the debilitating medical conditions of the qualifying patients;
3183          (d) the age and county of residence of cardholders;
3184          (e) the number of medical cannabis cards revoked;
3185          (f) the number of practitioners providing recommendations for qualifying patients;
3186          (g) the number of license applications and renewal license applications received;
3187          (h) the number of licenses the department has issued in each county;
3188          (i) the number of licenses the department has revoked;
3189          (j) the quantity of medical cannabis shipments that the state central patient portal
3190     facilitates;
3191          (k) the number of overall purchases of medical cannabis and medical cannabis products
3192     from each medical cannabis pharmacy;
3193          (l) the expenses incurred and revenues generated from the medical cannabis program;
3194     and
3195          (m) an analysis of product availability in medical cannabis pharmacies in consultation
3196     with the Department of Agriculture and Food.
3197          (2) The department may not include personally identifying information in the report
3198     described in this section.
3199          (3) [During the 2022 legislative interim, the] The department shall report to the
3200     working group described in Section 36-12-8.2 as requested by the working group.
3201          Section 42. Section 26-61a-801 is enacted to read:
3202     
Part 8. Medical Cannabis Policy Advisory Board

3203          26-61a-801. Advisory board creation -- Membership.
3204          (1) There is created within the department the Medical Cannabis Policy Advisory
3205     Board.
3206          (2) (a) The advisory board shall consist of the following members:
3207          (i) appointed by the executive director:
3208          (A) a qualified medical provider who has at least 150 patients who have a medical
3209     cannabis patient card at the time of appointment;
3210          (B) a medical research professional;
3211          (C) a mental health specialist;
3212          (D) an individual who represents an organization that advocates for medical cannabis
3213     patients;
3214          (E) an individual who holds a medical cannabis patient card; and
3215          (F) a member of the general public who does not hold a medical cannabis card; and
3216          (ii) appointed by the commissioner of the Department of Agriculture and Food:
3217          (A) an individual who owns or operates a licensed cannabis cultivation facility;
3218          (B) an individual who owns or operates a licensed medical cannabis pharmacy; and
3219          (C) a law enforcement officer.
3220          (b) The commissioner of the Department of Agriculture and Food shall ensure that at
3221     least one individual appointed under Subsection (2)(a)(ii)(A) or (B) also owns or operates a
3222     licensed cannabis processing facility.
3223          (3) (a) Subject to Subsection (3)(b), a member of the advisory board shall serve for a
3224     four year term.
3225          (b) When appointing the initial membership of the advisory board, the executive
3226     director and the commissioner of the Department of Agriculture and Food shall coordinate to
3227     appoint four advisory board members to serve a term of two years to ensure that approximately
3228     half of the board is appointed every two years.
3229          (4) (a) If an advisory board member is no longer able to serve as a member, a new
3230     member shall be appointed in the same manner as the original appointment.
3231          (b) A member appointed in accordance with Subsection (4)(a) shall serve for the
3232     remainder of the unexpired term of the original appointment.
3233          (5) (a) A majority of the advisory board members constitutes a quorum.
3234          (b) The action of a majority of a quorum constitutes an action of the advisory board.
3235          (c) The advisory board shall annually designate one of the advisory board's members to
3236     serve as chair for a one-year period.
3237          (6) An advisory board member may not receive compensation or benefits for the
3238     member's service on the advisory board but may receive per diem and reimbursement for travel
3239     expenses incurred as an advisory board member in accordance with:
3240          (a) Sections 63A-3-106 and 63A-3-107; and
3241          (b) rules made by the Division of Finance pursuant to Sections 63A-3-106 and
3242     63A-3-107.
3243          (7) The department shall:
3244          (a) provide staff support for the advisory board; and
3245          (b) assist the advisory board in conducting meetings.
3246          Section 43. Section 26-61a-802 is enacted to read:
3247          26-61a-802. Advisory board duties.
3248          (1) The advisory board may recommend:
3249          (a) to the department or the Department of Agriculture and Food changes to current or
3250     proposed medical cannabis rules or statutes;
3251          (b) to the appropriate legislative committee whether the advisory board supports a
3252     change to medical cannabis statutes.
3253          (2) The advisory board shall:
3254          (a) review any draft rule that is authorized under this chapter or Title 4, Chapter 41a,
3255     Cannabis Production Establishments and Pharmacies;
3256          (b) consult with the Department of Agriculture and Food regarding the issuance of an
3257     additional:
3258          (i) cultivation facility license under Section 4-41a-205; or
3259          (ii) pharmacy license under Section 4-41a-1005;
3260          (c) consult with the department regarding:
3261          (i) qualified medical provider education and requirements; and
3262          (ii) cannabis patient education;
3263          (d) consult regarding the reasonableness of any fees set by the department or the Utah
3264     Department of Agriculture and Food that pertain to the medical cannabis program; and
3265          (e) consult regarding any issue pertaining to medical cannabis when asked by the
3266     department or the Utah Department of Agriculture and Food.
3267          Section 44. Section 26-61a-803 is enacted to read:
3268          26-61a-803. Department coordination.
3269          The department shall:
3270          (1) provide draft rules made under this chapter to the advisory board for the advisory
3271     board's review;
3272          (2) consult with the advisory board regarding:
3273          (a) qualified medical provider requirements; and
3274          (b) patient education;
3275          (3) consult with the advisory board regarding fees set by the department that pertain to
3276     the medical cannabis program; and
3277          (4) when appropriate, consult with the advisory board regarding issues that arise in the
3278     medical cannabis program.
3279          Section 45. Section 36-12-8.2 is amended to read:
3280          36-12-8.2. Medical cannabis governance structure working group.
3281          [During the 2022 legislative interim, the]
3282          (1) The Legislative Management Committee shall establish a medical cannabis
3283     governance structure working group composed of [three members of the Health and Human
3284     Services Interim Committee and three members of the Natural Resources, Agriculture, and
3285     Environment Interim Committee to:] six members of the Legislature.
3286          (2) The working group may:
3287          [(1)] (a) work with industry, patients, medical providers, and others [to conduct a] to
3288     review [of] the state's governance structure over medical cannabis;
3289          [(2)] (b) study various regulatory structures throughout the nation regarding state
3290     agency regulation of medical cannabis; and
3291          (c) make recommendations to the Health and Human Services Interim Committee or
3292     the Natural Resources, Agriculture, and Environment Interim Committee regarding medical
3293     cannabis governance before or at the October interim meeting.
3294          [(3) at or before the October 2022 interim meeting, make recommendations to the
3295     Health and Human Services Interim Committee and the Natural Resources, Agriculture, and
3296     Environment Interim Committee on whether a committee should recommend committee
3297     legislation to vertically integrate licenses, streamline regulations, and reduce costs for patients
3298     by unifying the efforts of the Department of Health and Human Services and the Department of
3299     Agriculture and Food under a single state authority over medical cannabis.]
3300          Section 46. Section 58-17b-302 is amended to read:
3301          58-17b-302. License required -- License classifications for pharmacy facilities.
3302          (1) A license is required to act as a pharmacy, except:
3303          (a) as specifically exempted from licensure under Section 58-1-307;
3304          (b) for the operation of a medical cannabis pharmacy under [Title 26, Chapter 61a,
3305     Utah Medical Cannabis Act] Title 4, Chapter 41a, Cannabis Production Establishments and
3306     Pharmacies; and
3307          (c) to operate a licensed dispensing practice under Chapter 88, Part 2, Dispensing
3308     Practice.
3309          (2) The division shall issue a pharmacy license to a facility that qualifies under this
3310     chapter in the classification of a:
3311          (a) class A pharmacy;
3312          (b) class B pharmacy;
3313          (c) class C pharmacy;
3314          (d) class D pharmacy;
3315          (e) class E pharmacy; or
3316          (f) dispensing medical practitioner clinic pharmacy.
3317          (3) (a) Each place of business shall require a separate license.
3318          (b) If multiple pharmacies exist at the same address, a separate license shall be required
3319     for each pharmacy.
3320          (4) (a) The division may further define or supplement the classifications of pharmacies.
3321          (b) The division may impose restrictions upon classifications to protect the public
3322     health, safety, and welfare.
3323          (5) Each pharmacy shall have a pharmacist-in-charge, except as otherwise provided by
3324     rule.
3325          (6) Whenever an applicable statute or rule requires or prohibits action by a pharmacy,
3326     the pharmacist-in-charge and the owner of the pharmacy shall be responsible for all activities
3327     of the pharmacy, regardless of the form of the business organization.
3328          Section 47. Section 58-17b-502 is amended to read:
3329          58-17b-502. Unprofessional conduct.
3330          (1) "Unprofessional conduct" includes:
3331          (a) willfully deceiving or attempting to deceive the division, the board, or their agents
3332     as to any relevant matter regarding compliance under this chapter;
3333          (b) except as provided in Subsection (2):
3334          (i) paying or offering rebates to practitioners or any other health care providers, or
3335     receiving or soliciting rebates from practitioners or any other health care provider; or
3336          (ii) paying, offering, receiving, or soliciting compensation in the form of a commission,
3337     bonus, rebate, kickback, or split fee arrangement with practitioners or any other health care
3338     provider, for the purpose of obtaining referrals;
3339          (c) misbranding or adulteration of any drug or device or the sale, distribution, or
3340     dispensing of any outdated, misbranded, or adulterated drug or device;
3341          (d) engaging in the sale or purchase of drugs or devices that are samples or packages
3342     bearing the inscription "sample" or "not for resale" or similar words or phrases;
3343          (e) except as provided in Section 58-17b-503, accepting back and redistributing any
3344     unused drug, or a part of it, after it has left the premises of a pharmacy;
3345          (f) an act in violation of this chapter committed by a person for any form of
3346     compensation if the act is incidental to the person's professional activities, including the
3347     activities of a pharmacist, pharmacy intern, or pharmacy technician;
3348          (g) violating:
3349          (i) the federal Controlled Substances Act, Title II, P.L. 91-513;
3350          (ii) Title 58, Chapter 37, Utah Controlled Substances Act; or
3351          (iii) rules or regulations adopted under either act;
3352          (h) requiring or permitting pharmacy interns or technicians to engage in activities
3353     outside the scope of practice for their respective license classifications, as defined in this
3354     chapter and division rules made in collaboration with the board, or beyond their scope of
3355     training and ability;
3356          (i) administering:
3357          (i) without appropriate training, as defined by rule;
3358          (ii) without a physician's order, when one is required by law; and
3359          (iii) in conflict with a practitioner's written guidelines or written protocol for
3360     administering;
3361          (j) disclosing confidential patient information in violation of the provisions of the
3362     Health Insurance Portability and Accountability Act of 1996, Pub. L. No. 104-191, 110 Stat.
3363     1936, as amended, or other applicable law;
3364          (k) engaging in the practice of pharmacy without a licensed pharmacist designated as
3365     the pharmacist-in-charge;
3366          (l) failing to report to the division any adverse action taken by another licensing
3367     jurisdiction, government agency, law enforcement agency, or court for conduct that in
3368     substance would be considered unprofessional conduct under this section;
3369          (m) as a pharmacist or pharmacy intern, compounding a prescription drug in a dosage
3370     form which is regularly and commonly available from a manufacturer in quantities and
3371     strengths prescribed by a practitioner;
3372          (n) failing to act in accordance with Title 26, Chapter 64, Family Planning Access Act,
3373     when dispensing a self-administered hormonal contraceptive under a standing order;
3374          (o) violating the requirements of Title 4, Chapter 41a, Cannabis Production
3375     Establishments and Pharmacies, or Title 26, Chapter 61a, Utah Medical Cannabis Act; or
3376          (p) falsely making an entry in, or altering, a medical record with the intent to conceal:
3377          (i) a wrongful or negligent act or omission of an individual licensed under this chapter
3378     or an individual under the direction or control of an individual licensed under this chapter; or
3379          (ii) conduct described in Subsections (1)(a) through (o) or Subsection 58-1-501(1).
3380          (2) Subsection (1)(b) does not apply to:
3381          (a) giving or receiving a price discount based on purchase volume;
3382          (b) passing along a pharmaceutical manufacturer's rebate; or
3383          (c) providing compensation for services to a veterinarian.
3384          (3) "Unprofessional conduct" does not include, in accordance with Title 26, Chapter
3385     61a, Utah Medical Cannabis Act:
3386          (a) when registered as a pharmacy medical provider, as that term is defined in Section
3387     26-61a-102, providing pharmacy medical provider services in a medical cannabis pharmacy; or
3388          (b) when acting as a state central patient portal medical provider, as that term is defined
3389     in Section 26-61a-102, providing state central patient portal medical provider services.
3390          (4) Notwithstanding Subsection (3), the division, in consultation with the board and in
3391     accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, shall define
3392     unprofessional conduct for a pharmacist described in Subsections (3)(a) and (b).
3393          Section 48. Section 58-37-3.8 is amended to read:
3394          58-37-3.8. Enforcement.
3395          (1) A law enforcement officer, as that term is defined in Section 53-13-103, except for
3396     an officially designated drug enforcement task force regarding conduct that is not in accordance
3397     with Title 4, Chapter 41a, Cannabis Production Establishments and Pharmacies, or Title 26,
3398     Chapter 61a, Utah Medical Cannabis Act, may not expend any state or local resources,
3399     including the officer's time, to:
3400          (a) effect any arrest or seizure of cannabis, as that term is defined in Section
3401     26-61a-102, or conduct any investigation, on the sole basis of activity the officer believes to
3402     constitute a violation of federal law if the officer has reason to believe that the activity is in
3403     compliance with the state medical cannabis laws;
3404          (b) enforce a law that restricts an individual's right to acquire, own, or possess a
3405     firearm based solely on the individual's possession or use of cannabis in accordance with state
3406     medical cannabis laws; or
3407          (c) provide any information or logistical support related to an activity described in
3408     Subsection (1)(a) to any federal law enforcement authority or prosecuting entity.
3409          (2) An agency or political subdivision of the state may not take an adverse action
3410     against a person for providing a professional service to a medical cannabis pharmacy, as that
3411     term is defined in Section 26-61a-102, the state central patient portal, as that term is defined in
3412     Section 26-61a-102, or a cannabis production establishment, as that term is defined in Section
3413     4-41a-102, on the sole basis that the service is a violation of federal law.
3414          Section 49. Section 63I-2-236 is amended to read:
3415          63I-2-236. Repeal dates: Title 36.
3416          (1) Section 36-12-8.2 is repealed July 1, [2023] 2024.
3417          (2) Section 36-29-107.5 is repealed on November 30, 2023.
3418          (3) Section 36-29-109 is repealed on November 30, 2027.
3419          (4) Section 36-29-110 is repealed on November 30, 2024.
3420          (5) Section 36-29-111 is repealed April 30, 2023.
3421          (6) The following sections regarding the State Flag Task Force are repealed on January
3422     1, 2024:
3423          (a) Section 36-29-201;
3424          (b) Section 36-29-202; and
3425          (c) Section 36-29-203.
3426          (7) Title 36, Chapter 29, Part 3, Mental Illness Psychotherapy Drug Task Force, is
3427     repealed December 31, 2023.
3428          Section 50. Section 78A-2-231 is amended to read:
3429          78A-2-231. Consideration of lawful use or possession of medical cannabis.
3430          (1) As used in this section:
3431          (a) "Cannabis product" means the same as that term is defined in Section 26-61a-102.
3432          (b) "Directions of use" means the same as that term is defined in Section 26-61a-102.
3433          (c) "Dosing guidelines" means the same as that term is defined in Section 26-61a-102.
3434          (d) "Medical cannabis" means the same as that term is defined in Section 26-61a-102.
3435          (e) "Medical cannabis card" means the same as that term is defined in Section
3436     26-61a-102.
3437          (f) "Medical cannabis device" means the same as that term is defined in Section
3438     26-61a-102.
3439          (g) "Recommending medical provider" means the same as that term is defined in
3440     Section 26-61a-102.
3441          (2) In any judicial proceeding in which a judge, panel, jury, or court commissioner
3442     makes a finding, determination, or otherwise considers an individual's medical cannabis card,
3443     medical cannabis recommendation from a recommending medical provider, or possession or
3444     use of medical cannabis, a cannabis product, or a medical cannabis device, the judge, panel,
3445     jury, or court commissioner may not consider or treat the individual's card, recommendation,
3446     possession, or use any differently than the lawful possession or use of any prescribed controlled
3447     substance if:
3448          (a) the individual's possession complies with Title 4, Chapter 41a, Cannabis Production
3449     Establishments and Pharmacies;
3450          (b) the individual's possession or use complies with Subsection 58-37-3.7(2) or (3); or
3451          (c) (i) the individual's possession or use complies with Title 26, Chapter 61a, Utah
3452     Medical Cannabis Act; and
3453          (ii) the individual reasonably complies with the directions of use and dosing guidelines
3454     determined by the individual's recommending medical provider or through a consultation
3455     described in Subsection [26-61a-502(4) or (5)] 26-61a-404(5) or (6).
3456          (3) Notwithstanding Sections 77-18-105 and 77-2a-3, for probation, release, a plea in
3457     abeyance agreement, a diversion agreement, or a tendered admission under Utah Rules of
3458     Juvenile Procedure, Rule 25, a term or condition may not require that an individual abstain
3459     from the use or possession of medical cannabis, a cannabis product, or a medical cannabis
3460     device, either directly or through a general prohibition on violating federal law, without an
3461     exception related to medical cannabis use, if the individual's use or possession complies with:
3462          (a) Title 26, Chapter 61a, Utah Medical Cannabis Act; or
3463          (b) Subsection 58-37-3.7(2) or (3).
3464          Section 51. Section 80-3-110 is amended to read:
3465          80-3-110. Consideration of cannabis during proceedings -- Drug testing.
3466          (1) As used in this section:
3467          (a) "Cannabis" means the same as that term is defined in Section 26-61a-102.
3468          (b) "Cannabis product" means the same as that term is defined in Section 26-61a-102.
3469          (c) (i) "Chronic" means repeated or patterned.
3470          (ii) "Chronic" does not mean an isolated incident.
3471          (d) "Directions of use" means the same as that term is defined in Section 26-61a-102.
3472          (e) "Dosing guidelines" means the same as that term is defined in Section 26-61a-102.
3473          (f) "Medical cannabis" means the same as that term is defined in Section 26-61a-102.
3474          (g) "Medical cannabis cardholder" means the same as that term is defined in Section
3475     26-61a-102.
3476          (h) "Recommending medical provider" means the same as that term is defined in
3477     Section 26-61a-102.
3478          (2) In a proceeding under this chapter, in which the juvenile court makes a finding,
3479     determination, or otherwise considers an individual's medical cannabis card, medical cannabis
3480     recommendation from a recommending medical provider, or possession or use of medical
3481     cannabis, a cannabis product, or a medical cannabis device, the juvenile court may not consider
3482     or treat the individual's medical cannabis card, recommendation, possession, or use any
3483     differently than the lawful possession or use of any prescribed controlled substance if:
3484          (a) the individual's possession or use complies with Title 4, Chapter 41a, Cannabis
3485     Production Establishments and Pharmacies;
3486          (b) the individual's possession or use complies with Subsection 58-37-3.7(2) or (3); or
3487          (c) (i) the individual's possession or use complies with Title 26, Chapter 61a, Utah
3488     Medical Cannabis Act; and
3489          (ii) the individual reasonably complies with the directions of use and dosing guidelines
3490     determined by the individual's recommending medical provider or through a consultation
3491     described in Subsection [26-61a-502(4) or (5).] 26-61a-404(5) or (6).
3492          (3) In a proceeding under this chapter, a child's parent's or guardian's use of cannabis or
3493     a cannabis product is not abuse or neglect of the child unless there is evidence showing that:
3494          (a) the child is harmed because of the child's inhalation or ingestion of cannabis, or
3495     because of cannabis being introduced to the child's body in another manner; or
3496          (b) the child is at an unreasonable risk of harm because of chronic inhalation or
3497     ingestion of cannabis or chronic introduction of cannabis to the child's body in another manner.
3498          (4) Unless there is harm or an unreasonable risk of harm to the child as described in
3499     Subsection (3), in a child welfare proceeding under this chapter, a child's parent's or guardian's
3500     use of medical cannabis or a cannabis product is not contrary to the best interests of the child
3501     if:
3502          (a) for a medical cannabis cardholder after January 1, 2021, the parent's or guardian's
3503     possession or use complies with Title 26, Chapter 61a, Utah Medical Cannabis Act, and there
3504     is no evidence that the parent's or guardian's use of medical cannabis unreasonably deviates
3505     from the directions of use and dosing guidelines determined by the parent's or guardian's
3506     recommending medical provider or through a consultation described in Subsection
3507     [26-61a-502(4) or (5)] 26-61a-404(5) or (6); or
3508          (b) before January 1, 2021, the parent's or guardian's possession or use complies with
3509     Subsection 58-37-3.7(2) or (3).
3510          (5) Subsection (3) does not prohibit a finding of abuse or neglect of a child, and
3511     Subsection (3) does not prohibit a finding that a parent's or guardian's use of medical cannabis
3512     or a cannabis product is contrary to the best interests of a child, if there is evidence showing a
3513     nexus between the parent's or guardian's use of cannabis or a cannabis product and behavior
3514     that would separately constitute abuse or neglect of the child.
3515          (6) If an individual, who is party to a proceeding under this chapter, is ordered by the
3516     juvenile court to submit to drug testing, or is referred by the division or a guardian ad litem for
3517     drug testing, the individual may not be ordered or referred for drug testing by means of a hair
3518     or fingernail test that is administered to detect the presence of drugs.
3519          Section 52. Section 80-4-109 is amended to read:
3520          80-4-109. Consideration of cannabis during proceedings.
3521          (1) As used in this section:
3522          (a) "Cannabis" means the same as that term is defined in Section 26-61a-102.
3523          (b) "Cannabis product" means the same as that term is defined in Section 26-61a-102.
3524          (c) (i) "Chronic" means repeated or patterned.
3525          (ii) "Chronic" does not mean an isolated incident.
3526          (d) "Directions of use" means the same as that term is defined in Section 26-61a-102.
3527          (e) "Dosing guidelines" means the same as that term is defined in Section 26-61a-102.
3528          (f) "Medical cannabis" means the same as that term is defined in Section 26-61a-102.
3529          (g) "Medical cannabis cardholder" means the same as that term is defined in Section
3530     26-61a-102.
3531          (h) "Qualified medical provider" means the same as that term is defined in Section
3532     26-61a-102.
3533          (2) In a proceeding under this chapter in which the juvenile court makes a finding,
3534     determination, or otherwise considers an individual's possession or use of medical cannabis, a
3535     cannabis product, or a medical cannabis device, the juvenile court may not consider or treat the
3536     individual's possession or use any differently than the lawful possession or use of any
3537     prescribed controlled substance if:
3538          (a) the individual's possession or use complies with Title 4, Chapter 41a, Cannabis
3539     Production Establishments and Pharmacies;
3540          (b) the individual's possession or use complies with Subsection 58-37-3.7(2) or (3); or
3541          (c) (i) the individual's possession or use complies with Title 26, Chapter 61a, Utah
3542     Medical Cannabis Act; and
3543          (ii) the individual reasonably complies with the directions of use and dosing guidelines
3544     determined by the individual's qualified medical provider or through a consultation described
3545     in Subsection [26-61a-502(4) or (5).] 26-61a-404(5) or (6).
3546          (3) In a proceeding under this chapter, a parent's or guardian's use of cannabis or a
3547     cannabis product is not abuse or neglect of a child unless there is evidence showing that:
3548          (a) the child is harmed because of the child's inhalation or ingestion of cannabis, or
3549     because of cannabis being introduced to the child's body in another manner; or
3550          (b) the child is at an unreasonable risk of harm because of chronic inhalation or
3551     ingestion of cannabis or chronic introduction of cannabis to the child's body in another manner.
3552          (4) Unless there is harm or an unreasonable risk of harm to the child as described in
3553     Subsection (3), a parent's or guardian's use of medical cannabis or a cannabis product is not
3554     contrary to the best interests of a child if:
3555          (a) for a medical cannabis cardholder after January 1, 2021, the parent's or guardian's
3556     possession or use complies with Title 26, Chapter 61a, Utah Medical Cannabis Act, and there
3557     is no evidence that the parent's or guardian's use of medical cannabis unreasonably deviates
3558     from the directions of use and dosing guidelines determined by the parent's or guardian's
3559     qualified medical provider or through a consultation described in Subsection [26-61a-502(4) or
3560     (5)] 26-61a-404(5) or (6); or
3561          (b) before January 1, 2021, the parent's or guardian's possession or use complies with
3562     Subsection 58-37-3.7(2) or (3).
3563          (5) Subsection (3) does not prohibit a finding of abuse or neglect of a child and
3564     Subsection (3) does not prohibit a finding that a parent's or guardian's use of medical cannabis
3565     or a cannabis product is contrary to the best interests of a child, if there is evidence showing a
3566     nexus between the parent's or guardian's use of cannabis or a cannabis product and behavior
3567     that would separately constitute abuse or neglect of the child.
3568          Section 53. Repealer.
3569          This bill repeals:
3570          Section 26-61a-108, Agreement with a tribe.
3571          Section 26-61a-506, Medical cannabis transportation.