1     
MEDICAL CANNABIS AMENDMENTS

2     
2024 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Luz Escamilla

5     
House Sponsor: ____________

6     

7     LONG TITLE
8     General Description:
9          This bill modifies provisions related to medical cannabis.
10     Highlighted Provisions:
11          This bill:
12          ▸     defines terms;
13          ▸     allows the delivery of medical cannabis to more address types;
14          ▸     allows a medical cannabis pharmacy to engage in additional targeted marketing;
15          ▸     allows a medical cannabis processor to engage in targeted marketing subject to
16     administrative rule;
17          ▸     prohibits anticompetitive behavior;
18          ▸     modifies provisions related to cannabis production facility applications;
19          ▸     modifies the duties and membership of the Medical Cannabis Production and
20     Pharmacy Licensing Board (licensing board);
21          ▸     prohibits the use of certain terms on medical cannabis products;
22          ▸     modifies a reporting requirement;
23          ▸     requires pharmacy licenses to be renewed and awarded under the licensing board;
24          ▸     modifies identification requirements related to obtaining medical cannabis from a
25     medical cannabis pharmacy;
26          ▸     allows a pharmacist to allow an individual to obtain medical cannabis without
27     identification under certain circumstances;

28          ▸     allows additional medical providers to provide recommendations to the
29     Compassionate Use Board;
30          ▸     allows a public employee to file a complaint with the Labor Commission regarding
31     discriminatory practices related to medical cannabis use;
32          ▸     creates a penalty for a health care provider who provides medical cannabis
33     recommendations for an entity that is violating advertisement restrictions; and
34          ▸     extends the repeal date of the Medical Cannabis Governance Structure Working
35     Group.
36     Money Appropriated in this Bill:
37          None
38     Other Special Clauses:
39          None
40     Utah Code Sections Affected:
41     AMENDS:
42          4-41a-102, as last amended by Laws of Utah 2023, Chapters 273, 313 and 327
43          4-41a-201, as last amended by Laws of Utah 2023, Chapters 273, 313 and 327 and last
44     amended by Coordination Clause, Laws of Utah 2023, Chapter 327
45          4-41a-201.1, as enacted by Laws of Utah 2021, Chapter 350
46          4-41a-202, as renumbered and amended by Laws of Utah 2018, Third Special Session,
47     Chapter 1
48          4-41a-602, as last amended by Laws of Utah 2023, Chapter 313
49          4-41a-802, as last amended by Laws of Utah 2023, Chapter 273
50          4-41a-1001, as last amended by Laws of Utah 2023, Chapter 317 and renumbered and
51     amended by Laws of Utah 2023, Chapters 273, 307 and last amended by
52     Coordination Clause, Laws of Utah 2023, Chapter 307
53          4-41a-1005, as renumbered and amended by Laws of Utah 2023, Chapters 273, 307 and
54     last amended by Coordination Clause, Laws of Utah 2023, Chapter 307
55          4-41a-1101, as last amended by Laws of Utah 2023, Chapter 317 and renumbered and
56     amended by Laws of Utah 2023, Chapters 273, 307 and last amended by
57     Coordination Clause, Laws of Utah 2023, Chapter 307
58          4-41a-1102, as last amended by Laws of Utah 2023, Chapter 317 and renumbered and

59     amended by Laws of Utah 2023, Chapters 273, 307 and last amended by Coordination Clause,
60     Laws of Utah 2023, Chapter 307
61          4-41a-1106, as last amended by Laws of Utah 2023, Chapter 317 and renumbered and
62     amended by Laws of Utah 2023, Chapters 273, 307 and last amended by
63     Coordination Clause, Laws of Utah 2023, Chapter 307
64          26B-1-421, as last amended by Laws of Utah 2023, Chapters 273, 317 and renumbered
65     and amended by Laws of Utah 2023, Chapter 305
66          26B-4-201, as last amended by Laws of Utah 2023, Chapters 273, 317 and renumbered
67     and amended by Laws of Utah 2023, Chapter 307
68          26B-4-202, as last amended by Laws of Utah 2023, Chapters 273, 317 and renumbered
69     and amended by Laws of Utah 2023, Chapter 307 and last amended by
70     Coordination Clause, Laws of Utah 2023, Chapter 307
71          26B-4-204, as last amended by Laws of Utah 2023, Chapters 273, 317 and renumbered
72     and amended by Laws of Utah 2023, Chapter 307 and last amended by
73     Coordination Clause, Laws of Utah 2023, Chapter 307
74          26B-4-207, as renumbered and amended by Laws of Utah 2023, Chapter 307
75          26B-4-213, as last amended by Laws of Utah 2023, Chapters 273, 317 and renumbered
76     and amended by Laws of Utah 2023, Chapter 307 and last amended by
77     Coordination Clause, Laws of Utah 2023, Chapter 307
78          26B-4-245, as enacted by Laws of Utah 2023, Chapter 273
79          63I-2-236, as last amended by Laws of Utah 2023, Chapters 87, 101 and 273
80     ENACTS:
81          4-41a-604, Utah Code Annotated 1953
82          34A-5-114, Utah Code Annotated 1953
83     

84     Be it enacted by the Legislature of the state of Utah:
85          Section 1. Section 4-41a-102 is amended to read:
86          4-41a-102. Definitions.
87          As used in this chapter:
88          (1) "Adulterant" means any poisonous or deleterious substance in a quantity that may
89     be injurious to health, including:

90          (a) pesticides;
91          (b) heavy metals;
92          (c) solvents;
93          (d) microbial life;
94          (e) artificially derived cannabinoid;
95          (f) toxins; or
96          (g) foreign matter.
97          (2) "Advisory board" means the Medical Cannabis Policy Advisory Board created in
98     Section 26B-1-435.
99          (3) (a) "Anticompetitive business practice" means any practice that reduces the amount
100     of competition in the medical cannabis market.
101          (b) "Anticompetitive business practice" may include:
102          (i) agreements that may be considered unreasonable when competitors interact to the
103     extent that they are:
104          (A) no longer acting independently; or
105          (B) when collaborating are able to wield market power together; or
106          (ii) monopolizing or attempting to monopolize trade by:
107          (A) acting to maintain or acquire a dominant position in the market; or
108          (B) preventing new entry into the market.
109          [(3)] (4) (a) "Artificially derived cannabinoid" means a chemical substance that is
110     created by a chemical reaction that changes the molecular structure of any chemical substance
111     derived from the cannabis plant.
112          (b) "Artificially derived cannabinoid" does not include:
113          (i) a naturally occurring chemical substance that is separated from the cannabis plant
114     by a chemical or mechanical extraction process; or
115          (ii) a cannabinoid that is produced by decarboxylation from a naturally occurring
116     cannabinoid acid without the use of a chemical catalyst.
117          [(4)] (5) "Cannabis Research Review Board" means the Cannabis Research Review
118     Board created in Section 26B-1-420.
119          [(5)] (6) "Cannabis" means the same as that term is defined in Section 26B-4-201.
120          [(6)] (7) "Cannabis concentrate" means:

121          (a) the product of any chemical or physical process applied to naturally occurring
122     biomass that concentrates or isolates the cannabinoids contained in the biomass; and
123          (b) any amount of a natural cannabinoid or artificially derived cannabinoid in an
124     artificially derived cannabinoid's purified state.
125          [(7)] (8) "Cannabis cultivation byproduct" means any portion of a cannabis plant that is
126     not intended to be sold as a cannabis plant product.
127          [(8)] (9) "Cannabis cultivation facility" means a person that:
128          (a) possesses cannabis;
129          (b) grows or intends to grow cannabis; and
130          (c) sells or intends to sell cannabis to a cannabis cultivation facility, a cannabis
131     processing facility, or a medical cannabis research licensee.
132          [(9)] (10) "Cannabis cultivation facility agent" means an individual who[:]
133          holds a valid cannabis production establishment agent registration card with a cannabis
134     cultivation facility designation.
135          [(10)] (11) "Cannabis derivative product" means a product made using cannabis
136     concentrate.
137          [(11)] (12) "Cannabis plant product" means any portion of a cannabis plant intended to
138     be sold in a form that is recognizable as a portion of a cannabis plant.
139          [(12)] (13) "Cannabis processing facility" means a person that:
140          (a) acquires or intends to acquire cannabis from a cannabis production establishment;
141          (b) possesses cannabis with the intent to manufacture a cannabis product;
142          (c) manufactures or intends to manufacture a cannabis product from unprocessed
143     cannabis or a cannabis extract; and
144          (d) sells or intends to sell a cannabis product to a medical cannabis pharmacy or a
145     medical cannabis research licensee.
146          [(13)] (14) "Cannabis processing facility agent" means an individual who[:]
147          holds a valid cannabis production establishment agent registration card with a cannabis
148     processing facility designation.
149          [(14)] (15) "Cannabis product" means the same as that term is defined in Section
150     26B-4-201.
151          [(15)] (16) "Cannabis production establishment" means a cannabis cultivation facility,

152     a cannabis processing facility, or an independent cannabis testing laboratory.
153          [(16)] (17) "Cannabis production establishment agent" means a cannabis cultivation
154     facility agent, a cannabis processing facility agent, or an independent cannabis testing
155     laboratory agent.
156          [(17)] (18) "Cannabis production establishment agent registration card" means a
157     registration card that the department issues that:
158          (a) authorizes an individual to act as a cannabis production establishment agent; and
159          (b) designates the type of cannabis production establishment for which an individual is
160     authorized to act as an agent.
161          [(18)] (19) "Community location" means a public or private elementary or secondary
162     school, a church, a public library, a public playground, or a public park.
163          [(19)] (20) "Cultivation space" means, quantified in square feet, the horizontal area in
164     which a cannabis cultivation facility cultivates cannabis, including each level of horizontal area
165     if the cannabis cultivation facility hangs, suspends, stacks, or otherwise positions plants above
166     other plants in multiple levels.
167          [(20)] (21) "Delivery address" means:
168          (a) for a medical cannabis cardholder who is not a facility[,]:
169          (i) the medical cannabis cardholder's home address; or
170          (ii) an address designated by the medical cannabis cardholder that is not a community
171     location; or
172          (b) for a medical cannabis cardholder that is a facility, the facility's address.
173          [(21)] (22) "Department" means the Department of Agriculture and Food.
174          [(22)] (23) "Family member" means a parent, step-parent, spouse, child, sibling,
175     step-sibling, uncle, aunt, nephew, niece, first cousin, mother-in-law, father-in-law,
176     brother-in-law, sister-in-law, son-in-law, daughter-in-law, grandparent, or grandchild.
177          (24) "Government issued photo identification" means one of the following photo
178     identifications issued by a foreign or domestic government:
179          (a) driver license;
180          (b) non-driver identification card;
181          (c) passport;
182          (d) military identification; or

183          (e) concealed weapons permit.
184          [(23)] (25) "Home delivery medical cannabis pharmacy" means a medical cannabis
185     pharmacy that the department authorizes, as part of the pharmacy's license, to deliver medical
186     cannabis shipments to a delivery address to fulfill electronic orders that the state central patient
187     portal facilitates.
188          [(24)] (26) (a) "Independent cannabis testing laboratory" means a person that:
189          (i) conducts a chemical or other analysis of cannabis or a cannabis product; or
190          (ii) acquires, possesses, and transports cannabis or a cannabis product with the intent to
191     conduct a chemical or other analysis of the cannabis or cannabis product.
192          (b) "Independent cannabis testing laboratory" includes a laboratory that the department
193     or a research university operates in accordance with Subsection 4-41a-201(14).
194          [(25)] (27) "Independent cannabis testing laboratory agent" means an individual who[:]
195          holds a valid cannabis production establishment agent registration card with an
196     independent cannabis testing laboratory designation.
197          [(26)] (28) "Inventory control system" means a system described in Section 4-41a-103.
198          [(27)] (29) "Licensing board" or "board" means the Cannabis Production Establishment
199     and Pharmacy Licensing Advisory Board created in Section 4-41a-201.1.
200          [(28)] (30) "Medical cannabis" means the same as that term is defined in Section
201     26B-4-201.
202          [(29)] (31) "Medical cannabis card" means the same as that term is defined in Section
203     26B-4-201.
204          [(30)] (32) "Medical cannabis courier" means a courier that:
205          (a) the department licenses in accordance with Section 4-41a-1201; and
206          (b) contracts with a home delivery medical cannabis pharmacy to deliver medical
207     cannabis shipments to fulfill electronic orders that the state central patient portal facilitates.
208          [(31)] (33) "Medical cannabis courier agent" means an individual who:
209          (a) is an employee of a medical cannabis courier; and
210          (b) who holds a valid medical cannabis courier agent registration card.
211          [(32)] (34) "Medical cannabis pharmacy" means the same as that term is defined in
212     Section 26B-4-201.
213          [(33)] (35) "Medical cannabis pharmacy agent" means the same as that term is defined

214     in Section 26B-4-201.
215          [(34)] (36) "Medical cannabis research license" means a license that the department
216     issues to a research university for the purpose of obtaining and possessing medical cannabis for
217     academic research.
218          [(35)] (37) "Medical cannabis research licensee" means a research university that the
219     department licenses to obtain and possess medical cannabis for academic research, in
220     accordance with Section 4-41a-901.
221          [(36)] (38) "Medical cannabis shipment" means a shipment of medical cannabis [or a
222     medical cannabis product] that a home delivery medical cannabis pharmacy or a medical
223     cannabis courier delivers to a delivery address to fulfill an electronic medical cannabis order
224     that the state central patient portal facilitates.
225          [(37)] (39) "Medical cannabis treatment" means the same as that term is defined in
226     Section 26B-4-201.
227          [(38)] (40) "Medicinal dosage form" means the same as that term is defined in Section
228     26B-4-201.
229          [(39)] (41) "Pharmacy medical provider" means the same as that term is defined in
230     Section 26B-4-201.
231          [(40)] (42) "Qualified medical provider" means the same as that term is defined in
232     Section 26B-4-201.
233          [(41)] (43) "Qualified Production Enterprise Fund" means the fund created in Section
234     4-41a-104.
235          [(42)] (44) "Recommending medical provider" means the same as that term is defined
236     in Section 26B-4-201.
237          [(43)] (45) "Research university" means the same as that term is defined in Section
238     53B-7-702 and a private, nonprofit college or university in the state that:
239          (a) is accredited by the Northwest Commission on Colleges and Universities;
240          (b) grants doctoral degrees; and
241          (c) has a laboratory containing or a program researching a schedule I controlled
242     substance described in Section 58-37-4.
243          [(44)] (46) "State electronic verification system" means the system described in Section
244     26B-4-202.

245          (47) "Targeted marketing" means the promotion of a cannabis product, medical
246     cannabis brand, or a medical cannabis device using any of the following methods:
247          (a) electronic communication to an individual who is at least 21 years old and has
248     requested to receive promotional information;
249          (b) an in-person marketing event that is:
250          (i) held inside a medical cannabis pharmacy; and
251          (ii) in an area where only a medical cannabis cardholder may access the event;
252          (c) other marketing material that is physically available or digitally displayed in a
253     medical cannabis pharmacy; or
254          (d) a leaflet a medical cannabis pharmacy places in the opaque package or box that is
255     provided to an individual when obtaining medical cannabis:
256          (i) in the medical cannabis pharmacy;
257          (ii) at the medical cannabis pharmacy's drive-through pick up window; or
258          (iii) in a medical cannabis shipment.
259          [(45)] (48) "Tetrahydrocannabinol" or "THC" means the same as that term is defined in
260     Section 4-41-102.
261          [(46)] (49) "THC analog" means the same as that term is defined in Section 4-41-102.
262          [(47)] (50) "Total composite tetrahydrocannabinol" means all detectable forms of
263     tetrahydrocannabinol.
264          [(48)] (51) "Total tetrahydrocannabinol" or "total THC" means the same as that term is
265     defined in Section 4-41-102.
266          Section 2. Section 4-41a-201 is amended to read:
267          4-41a-201. Cannabis production establishment -- License.
268          (1) Except as provided in Subsection (14), a person may not operate a cannabis
269     production establishment without a license that the department issues under this chapter.
270          (2) (a) (i) Subject to Subsections (6), (7), (8), and (13) and to Section 4-41a-205, for a
271     licensing process that the department initiates after March 17, 2021, the department, through
272     the licensing board, shall issue licenses in accordance with Section 4-41a-201.1.
273          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
274     department shall make rules to specify a transparent and efficient process to:
275          (A) solicit applications for a license under this section;

276          (B) allow for comments and questions in the development of applications;
277          (C) timely and objectively evaluate applications;
278          (D) hold public hearings that the department deems appropriate; and
279          (E) select applicants to receive a license.
280          (iii) The department may not issue a license to operate a cannabis production
281     establishment to an applicant who is not eligible for a license under this section.
282          (b) An applicant is eligible for a license under this section if the applicant submits to
283     the licensing board:
284          (i) subject to Subsection (2)(c), a proposed name and address or, for a cannabis
285     cultivation facility, addresses of no more than two facility locations, located in a zone described
286     in Subsection 4-41a-406(2)(a) or (b), where the applicant will operate the cannabis production
287     establishment;
288          (ii) the name and address of any individual who has:
289          (A) for a publicly traded company, a financial or voting interest of [2%] 10% or greater
290     in the proposed cannabis production establishment;
291          (B) for a privately held company, a financial or voting interest in the proposed cannabis
292     production establishment; or
293          (C) the power to direct or cause the management or control of a proposed cannabis
294     production establishment;
295          (iii) an operating plan that:
296          (A) complies with Section 4-41a-204;
297          (B) includes operating procedures that comply with this chapter and any law the
298     municipality or county in which the person is located adopts that is consistent with Section
299     4-41a-406; and
300          (C) the department or licensing board approves;
301          (iv) a statement that the applicant will obtain and maintain a liquid cash account with a
302     financial institution or a performance bond that a surety authorized to transact surety business
303     in the state issues in an amount of at least:
304          (A) $100,000 for each cannabis cultivation facility for which the applicant applies; or
305          (B) $50,000 for each cannabis processing facility or independent cannabis testing
306     laboratory for which the applicant applies;

307          (v) an application fee in an amount that, subject to Subsection 4-41a-104(5), the
308     department sets in accordance with Section 63J-1-504; and
309          (vi) a description of any investigation or adverse action taken by any licensing
310     jurisdiction, government agency, law enforcement agency, or court in any state for any
311     violation or detrimental conduct in relation to any of the applicant's cannabis-related operations
312     or businesses.
313          (c) (i) A person may not locate a cannabis production establishment:
314          (A) within 1,000 feet of a community location; or
315          (B) in or within 600 feet of a district that the relevant municipality or county has zoned
316     as primarily residential.
317          (ii) The proximity requirements described in Subsection (2)(c)(i) shall be measured
318     from the nearest entrance to the cannabis production establishment by following the shortest
319     route of ordinary pedestrian travel to the property boundary of the community location or
320     residential area.
321          (iii) The licensing board may grant a waiver to reduce the proximity requirements in
322     Subsection (2)(c)(i) by up to 20% if the licensing board determines that it is not reasonably
323     feasible for the applicant to site the proposed cannabis production establishment without the
324     waiver.
325          (iv) An applicant for a license under this section shall provide evidence of compliance
326     with the proximity requirements described in Subsection (2)(c)(i).
327          (3) If the licensing board approves an application for a license under this section and
328     Section 4-41a-201.1:
329          (a) the applicant shall pay the department[:]
330          [(i)] an initial license fee in an amount that, subject to Subsection 4-41a-104(5), the
331     department sets in accordance with Section 63J-1-504[; or]; and
332          [(ii) a fee for a 120-day limited license to operate as a cannabis processing facility
333     described in Subsection (3)(b) that is equal to 33% of the initial license fee described in
334     Subsection (3)(a)(i); and]
335          (b) the department shall notify the Department of Public Safety of the license approval
336     and the names of each individual described in Subsection (2)(b)(ii).
337          (4) (a) Except as provided in Subsection (4)(b), a cannabis production establishment

338     shall obtain a separate license for each type of cannabis production establishment and each
339     location of a cannabis production establishment.
340          (b) The licensing board may issue a cannabis cultivation facility license and a cannabis
341     processing facility license to a person to operate at the same physical location or at separate
342     physical locations.
343          (5) If the licensing board receives more than one application for a cannabis production
344     establishment within the same city or town, the licensing board shall consult with the local land
345     use authority before approving any of the applications pertaining to that city or town.
346          (6) The licensing board may not issue a license to operate an independent cannabis
347     testing laboratory to a person who:
348          (a) holds a license or has an ownership interest in a medical cannabis pharmacy, a
349     cannabis processing facility, or a cannabis cultivation facility;
350          (b) has an owner, officer, director, or employee whose family member holds a license
351     or has an ownership interest in a medical cannabis pharmacy, a cannabis processing facility, or
352     a cannabis cultivation facility; or
353          (c) proposes to operate the independent cannabis testing laboratory at the same physical
354     location as a medical cannabis pharmacy, a cannabis processing facility, or a cannabis
355     cultivation facility.
356          (7) The licensing board may not issue a license to operate a cannabis production
357     establishment to an applicant if any individual described in Subsection (2)(b)(ii):
358          (a) has been convicted under state or federal law of:
359          (i) a felony; or
360          (ii) after December 3, 2018, a misdemeanor for drug distribution;
361          (b) is younger than 21 years old; or
362          (c) after September 23, 2019, until January 1, 2023, is actively serving as a legislator.
363          (8) (a) If an applicant for a cannabis production establishment license under this
364     section holds a license under Title 4, Chapter 41, Hemp and Cannabinoid Act, the licensing
365     board may not give preference to the applicant based on the applicant's status as a holder of the
366     license.
367          (b) If an applicant for a license to operate a cannabis cultivation facility under this
368     section holds a license to operate a medical cannabis pharmacy under this title, the licensing

369     board may give consideration to the applicant based on the applicant's status as a holder of a
370     medical cannabis pharmacy license if:
371          (i) the applicant demonstrates that a decrease in costs to patients is more likely to result
372     from the applicant's vertical integration than from a more competitive marketplace; and
373          (ii) the licensing board finds multiple other factors, in addition to the existing license,
374     that support granting the new license.
375          (9) The licensing board may revoke a license under this part:
376          (a) if the cannabis production establishment does not begin cannabis production
377     operations within one year after the day on which the licensing board issues the initial license;
378          (b) after the third of the same violation of this chapter in any of the licensee's licensed
379     cannabis production establishments or medical cannabis pharmacies;
380          (c) if any individual described in Subsection (2)(b) is convicted, while the license is
381     active, under state or federal law of:
382          (i) a felony; or
383          (ii) after December 3, 2018, a misdemeanor for drug distribution;
384          (d) if the licensee fails to provide the information described in Subsection (2)(b)(vi) at
385     the time of application, or fails to supplement the information described in Subsection
386     (2)(b)(vi) with any investigation or adverse action that occurs after the submission of the
387     application within 14 calendar days after the licensee receives notice of the investigation or
388     adverse action;
389          (e) if the cannabis production establishment demonstrates a willful or reckless
390     disregard for the requirements of this chapter or the rules the department makes in accordance
391     with this chapter;
392          (f) if, after a change of ownership described in Subsection (15)(b), the board
393     determines that the cannabis production establishment no longer meets the minimum standards
394     for licensure and operation of the cannabis production establishment described in this chapter;
395     [or]
396          (g) for an independent cannabis testing laboratory, if the independent cannabis testing
397     laboratory fails to substantially meet the performance standards described in Subsection
398     (14)(b)[.]; or
399          (h) if, following an investigation conducted pursuant to Subsection 4-41a-201.1(11),

400     the board identifies that the licensee has participated in anticompetitive business practices.
401          (10) (a) A person who receives a cannabis production establishment license under this
402     chapter, if the municipality or county where the licensed cannabis production establishment
403     will be located requires a local land use permit, shall submit to the licensing board a copy of
404     the licensee's approved application for the land use permit within 120 days after the day on
405     which the licensing board issues the license.
406          (b) If a licensee fails to submit to the licensing board a copy of the licensee's approved
407     land use permit application in accordance with Subsection (10)(a), the licensing board may
408     revoke the licensee's license.
409          (11) The department shall deposit the proceeds of a fee that the department imposes
410     under this section into the Qualified Production Enterprise Fund.
411          (12) The department shall begin accepting applications under this part on or before
412     January 1, 2020.
413          (13) (a) The department's authority, and consequently the licensing board's authority, to
414     issue a license under this section is plenary and is not subject to review.
415          (b) Notwithstanding Subsection (2)(a)(ii)(A), the decision of the department to award a
416     license to an applicant is not subject to:
417          (i) Title 63G, Chapter 6a, Part 16, Protests; or
418          (ii) Title 63G, Chapter 6a, Part 17, Procurement Appeals Board.
419          (14) (a) Notwithstanding this section, the department:
420          (i) may operate or partner with a research university to operate an independent
421     cannabis testing laboratory;
422          (ii) if the department operates or partners with a research university to operate an
423     independent cannabis testing laboratory, may not cease operating or partnering with a research
424     university to operate the independent cannabis testing laboratory unless:
425          (A) the department issues at least two licenses to independent cannabis testing
426     laboratories; and
427          (B) the department has ensured that the licensed independent cannabis testing
428     laboratories have sufficient capacity to provide the testing necessary to support the state's
429     medical cannabis market; and
430          (iii) after ceasing department or research university operations under Subsection

431     (14)(a)(ii) shall resume independent cannabis testing laboratory operations at any time if:
432          (A) fewer than two licensed independent cannabis testing laboratories are operating; or
433          (B) the licensed independent cannabis testing laboratories become, in the department's
434     determination, unable to fully meet the market demand for testing.
435          (b) (i) The department shall make rules, in accordance with Title 63G, Chapter 3, Utah
436     Administrative Rulemaking Act, to establish performance standards for the operation of an
437     independent cannabis testing laboratory, including deadlines for testing completion.
438          (ii) A license that the department issues to an independent cannabis testing laboratory
439     is contingent upon substantial satisfaction of the performance standards described in
440     Subsection (14)(b)(i), as determined by the board.
441          (15) (a) A cannabis production establishment license is not transferrable or assignable.
442          (b) If the ownership of a cannabis production establishment changes by 50% or more:
443          (i) the cannabis production establishment shall submit a new application described in
444     Subsection (2)(b), subject to Subsection (2)(c);
445          (ii) within 30 days of the submission of the application, the board shall:
446          (A) conduct the application review described in Section 4-41a-201.1; and
447          (B) award a license to the cannabis production establishment for the remainder of the
448     term of the cannabis production establishment's license before the ownership change if the
449     cannabis production establishment meets the minimum standards for licensure and operation of
450     the cannabis production establishment described in this chapter; and
451          (iii) if the board approves the license application, notwithstanding Subsection (3), the
452     cannabis production establishment shall pay a license fee that the department sets in
453     accordance with Section 63J-1-504 in an amount that covers the board's cost of conducting the
454     application review.
455          Section 3. Section 4-41a-201.1 is amended to read:
456          4-41a-201.1. Cannabis Production Establishment and Pharmacy Licensing
457     Advisory Board -- Composition -- Duties.
458          (1) There is created within the department the Cannabis Production Establishment and
459     Pharmacy Licensing Advisory Board.
460          (2) The commissioner shall:
461          (a) appoint the members of the board;

462          (b) submit the name of each individual that the commissioner appoints under
463     Subsection (2)(a) to the governor for confirmation or rejection; and
464          (c) if the governor rejects an appointee that the commissioner submits under
465     Subsection (2)(b), appoint another individual in accordance with this Subsection (2).
466          (3) (a) Except as provided in Subsection (3)(c), the board shall consist of the following
467     [six] eight members:
468          (i) the following [five] seven voting members whom the commissioner appoints:
469          (A) one member of the public;
470          (B) one member with knowledge and experience in the pharmaceutical or nutraceutical
471     manufacturing industry;
472          (C) one member representing law enforcement;
473          (D) one member whom an organization representing medical cannabis patients
474     recommends; [and]
475          (E) a chemist who has experience with cannabis and who is associated with a research
476     university; [and]
477          (F) a pharmacist who is not associated with the medical cannabis industry; and
478          (G) an accountant; and
479          (ii) the commissioner or the commissioner's designee as a non-voting member, except
480     to cast a deciding vote in the event of a tie.
481          (b) The commissioner may appoint a [seventh] ninth member to the board who has a
482     background in the cannabis cultivation and processing industry.
483          (c) The commissioner or the commissioner's designee shall serve as the chair of the
484     board.
485          (d) An individual is not eligible for appointment to be a member of the board if the
486     individual:
487          (i) has any commercial or ownership interest in a cannabis production establishment,
488     medical cannabis pharmacy, or medical cannabis courier;
489          (ii) has an owner, officer, director, or employee whose family member holds a license
490     or has an ownership interest in a cannabis production establishment, medical cannabis
491     pharmacy, or medical cannabis courier; or
492          (iii) is employed or contracted to lobby on behalf of any cannabis production

493     establishment, medical cannabis pharmacy, or medical cannabis courier.
494          (4) (a) Except as provided in Subsection (4)(b), a voting board member shall serve a
495     term of four years, beginning July 1 and ending June 30.
496          (b) Notwithstanding Subsection (4)(a), for the initial appointments to the board, the
497     commissioner shall stagger the length of the terms of board members to ensure that the
498     commissioner appoints two or three board members every two years.
499          (c) As a board member's term expires:
500          (i) the board member is eligible for reappointment; and
501          (ii) the commissioner shall make an appointment, in accordance with Subsection (2),
502     for the new term before the end of the member's term.
503          (d) When a vacancy occurs on the board for any reason other than the expiration of a
504     board member's term, the commissioner shall appoint a replacement to the vacant position, in
505     accordance with Subsection (2), for the unexpired term.
506          (e) In making appointments, the commissioner shall ensure that no two members of the
507     board are employed by or represent the same company or nonprofit organization.
508          (f) The commissioner may remove a board member for cause, neglect of duty,
509     inefficiency, or malfeasance.
510          (5) (a) (i) [Four] Five members of the board constitute a quorum of the board.
511          (ii) An action of the majority of the board members when a quorum is present
512     constitutes an action of the board.
513          (b) The department shall provide staff support to the board.
514          (c) A member of the board may not receive compensation or benefits for the member's
515     service, but may receive per diem and travel expenses in accordance with:
516          (i) Section 63A-3-106;
517          (ii) Section 63A-3-107; and
518          (iii) rules made by the Division of Finance in accordance with Sections 63A-3-106 and
519     63A-3-107.
520          (6) The board shall:
521          (a) meet as called by the chair to review cannabis production establishment and
522     pharmacy license applications;
523          (b) review each license application for compliance with:

524          (i) this chapter; and
525          (ii) department rules;
526          (c) conduct a public hearing to consider the license application;
527          (d) approve the department's license application forms and checklists; and
528          (e) make a determination on each license application.
529          (7) The board shall hold a public hearing to review a cannabis production
530     establishment's or pharmacy's license if the establishment:
531          (a) changes ownership by an interest of 20% or more;
532          (b) changes or adds a location;
533          (c) upgrades to a different licensing tier under department rule;
534          (d) changes extraction or formulation standard operating procedures;
535          (e) adds an industrial hemp processing or cultivation license to the same location as the
536     cannabis production establishment's processing facility; or
537          (f) as necessary based on the recommendation of the department.
538          (8) In a public hearing held under Subsection (7), the board may consider the following
539     in determining whether to approve a request to change pharmacy locations:
540          (a) medical cannabis availability, quality, and variety;
541          (b) whether geographic dispersal among licensees is sufficient to reasonably maximize
542     access to the largest number of medical cannabis cardholders;
543          (c) the extent to which the pharmacy can increase efficiency and reduce the cost to
544     patients of medical cannabis; and
545          (d) the factors listed in Subsection 4-41a-1004(7).
546          (9) In a public hearing held pursuant to Subsection (7), the board may not approve a
547     request to change pharmacy locations outside of their current region established under
548     Subsection 4-41a-1005(1)(c)(ii)(A).
549          [(8)] (10) (a) The board shall meet annually in December to consider cannabis
550     production establishment and pharmacy license renewal applications.
551          (b) During the meeting described in Subsection [(8)(a)] (10)(a):
552          (i) a representative from each applicant for renewal shall:
553          (A) attend in person or electronically; or
554          (B) submit information before the meeting, as the board may require, for the board's

555     consideration; [and]
556          (ii) the board shall consider, for each cannabis cultivation facility seeking renewal,
557     information including:
558          (A) the amount of biomass the licensee produced during the current calendar year;
559          (B) the amount of biomass the licensee projects to produce during the following year;
560          (C) the amount of hemp waste the licensee currently holds;
561          (D) the current square footage or acres of growing area the licensee uses; and
562          (E) the square footage or acres of growing area the licensee projects to use in the
563     following year; [and]
564          (iii) the board shall consider, for each cannabis processing facility seeking renewal,
565     information including:
566          (A) methods and procedures for extraction;
567          (B) standard operating procedures; and
568          (C) a complete listing of the medical dosage forms that the licensee produces[.]; and
569          (iv) the board shall consider, for each cannabis pharmacy seeking renewal, information
570     including:
571          (A) product availability, quality, and variety;
572          (B) the pharmacy's operating procedures; and
573          (C) the factors listed in Subsection 4-41a-1003(1).
574          (c) Following consideration of the information provided under Subsection (10)(b), the
575     board may elect to approve, deny, or issue conditional approval of a cannabis production
576     establishment or pharmacy license renewal application.
577          [(c)] (d) The information a licensee or license applicant provides to the board for a
578     license determination constitutes a protected record under Subsection 63G-2-305(1) or (2) if
579     the applicant or licensee provides the board with the information regarding business
580     confidentiality required in Section 63G-2-309.
581          (11) In cooperation with the Division of Consumer Protection, the board may
582     investigate information received by the department indicating that a licensee is potentially
583     engaging in anticompetitive business practices.
584          Section 4. Section 4-41a-202 is amended to read:
585          4-41a-202. Cannabis production establishment owners and directors -- Criminal

586     background checks.
587          (1) Each applicant for a license as a cannabis production establishment shall submit to
588     the department, at the time of application, from each individual who has a financial or voting
589     interest of [2%] 10% or greater in the applicant or who has the power to direct or cause the
590     management or control of the applicant:
591          (a) a fingerprint card in a form acceptable to the Department of Public Safety;
592          (b) a signed waiver in accordance with Subsection 53-10-108(4) acknowledging the
593     registration of the individual's fingerprints in the Federal Bureau of Investigation Next
594     Generation Identification System's Rap Back Service; and
595          (c) consent to a fingerprint background check by:
596          (i) the Utah Bureau of Criminal Identification; and
597          (ii) the Federal Bureau of Investigation.
598          (2) The Bureau of Criminal Identification shall:
599          (a) check the fingerprints the applicant submits under Subsection (1) against the
600     applicable state, regional, and national criminal records databases, including the Federal
601     Bureau of Investigation Next Generation Identification System;
602          (b) report the results of the background check to the department;
603          (c) maintain a separate file of fingerprints that applicants submit under Subsection (1)
604     for search by future submissions to the local and regional criminal records databases, including
605     latent prints;
606          (d) request that the fingerprints be retained in the Federal Bureau of Investigation Next
607     Generation Identification System's Rap Back Service for search by future submissions to
608     national criminal records databases, including the Next Generation Identification System and
609     latent prints; and
610          (e) establish a privacy risk mitigation strategy to ensure that the department only
611     receives notifications for an individual with whom the department maintains an authorizing
612     relationship.
613          (3) The department shall:
614          (a) assess an individual who submits fingerprints under Subsection (1) a fee in an
615     amount that the department sets in accordance with Section 63J-1-504 for the services that the
616     Bureau of Criminal Identification or another authorized agency provides under this section; and

617          (b) remit the fee described in Subsection (3)(a) to the Bureau of Criminal
618     Identification.
619          Section 5. Section 4-41a-602 is amended to read:
620          4-41a-602. Cannabis product -- Labeling and child-resistant packaging.
621          (1) For any cannabis product that a cannabis processing facility processes or produces
622     and for any raw cannabis that the facility packages, the facility shall:
623          (a) label the cannabis or cannabis product with a label that:
624          (i) clearly and unambiguously states that the cannabis product or package contains
625     cannabis;
626          (ii) clearly displays the amount of total composite tetrahydrocannabinol, cannabidiol,
627     and any known cannabinoid that is greater than 1% of the total cannabinoids contained in the
628     cannabis or cannabis product as determined under Subsection 4-41a-701(4);
629          (iii) has a unique identification number that:
630          (A) is connected to the inventory control system; and
631          (B) identifies the unique cannabis product manufacturing process the cannabis
632     processing facility used to manufacture the cannabis product;
633          (iv) identifies the cannabinoid extraction process that the cannabis processing facility
634     used to create the cannabis product;
635          (v) does not display an image, word, or phrase that the facility knows or should know
636     appeals to children; and
637          (vi) discloses each active or potentially active ingredient, in order of prominence, and
638     possible allergen; and
639          (b) package the raw cannabis or cannabis product in a medicinal dosage form in a
640     container that:
641          (i) is tamper evident and tamper resistant;
642          (ii) does not appeal to children;
643          (iii) does not mimic a candy container;
644          (iv) complies with child-resistant effectiveness standards that the United States
645     Consumer Product Safety Commission establishes;
646          (v) includes a warning label that states:
647          (A) for a container labeled before July 1, 2021, "WARNING: Cannabis has

648     intoxicating effects and may be addictive. Do not operate a vehicle or machinery under its
649     influence. KEEP OUT OF REACH OF CHILDREN. This product is for medical use only. Use
650     only as directed by a qualified medical provider.";
651          (B) for a container labeled on or after July 1, 2021, "WARNING: Cannabis has
652     intoxicating effects and may be addictive. Do not operate a vehicle or machinery under its
653     influence. KEEP OUT OF REACH OF CHILDREN. This product is for medical use only. Use
654     only as directed by a recommending medical provider."; or
655          (C) for a container labeled on or after January 1, 2024, "WARNING: Cannabis has
656     intoxicating effects, may be addictive, and may increase risk of mental illness. Do not operate a
657     vehicle or machinery under its influence. KEEP OUT OF REACH OF CHILDREN. This
658     product is for medical use only. Use only as directed by a recommending medical provider.";
659     and
660          (vi) for raw cannabis or a cannabis product sold in a vaporizer cartridge labeled on or
661     after May 3, 2023, includes a warning label that states:
662          (A) "WARNING: Vaping of cannabis-derived products has been associated with lung
663     injury."; and
664          (B) "WARNING: Inhalation of cannabis smoke has been associated with lung injury.".
665          (2) To ensure that a cannabis product that a cannabis processing facility processes or
666     produces has a medical rather than recreational disposition, the facility may not produce or
667     process a product whose name includes terms related to recreational marijuana, including
668     "weed," "pot," "reefer," "grass," "hash," "ganga," "Mary Jane," "high," "buzz," "haze,"
669     "stoned," "joint," "bud," "smoke," "euphoria," "dank," "doobie," "kush," "frost," "cookies,"
670     "rec," "bake," "blunt," "combust," "bong," "budtender," "dab," "blaze," "toke," or "420."
671          [(2)] (3) For any cannabis or cannabis product that the cannabis processing facility
672     processes into a gelatinous cube, gelatinous rectangular cuboid, or lozenge in a cube or
673     rectangular cuboid shape, the facility shall:
674          (a) ensure that the label described in Subsection (1)(a) does not contain a photograph or
675     other image of the content of the container; and
676          (b) include on the label described in Subsection (1)(a) a warning about the risks of
677     over-consumption.
678          [(3)] (4) For any cannabis product that contains an artificially derived cannabinoid, the

679     cannabis processing facility shall ensure that the label clearly:
680          (a) identifies each artificially derived cannabinoid; and
681          (b) identifies that each artificially derived cannabinoid is an artificially derived
682     cannabinoid.
683          [(4)] (5) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking
684     Act, the department:
685          (a) shall make rules to establish:
686          (i) a standard labeling format that:
687          (A) complies with the requirements of this section; and
688          (B) ensures inclusion of a pharmacy label; and
689          (ii) additional requirements on packaging for cannabis and cannabis products to ensure
690     safety and product quality; and
691          (b) may make rules to further define standards regarding images, words, phrases, or
692     containers that may appeal to children under Subsection (1)(a)(v) or (1)(b)(ii).
693          Section 6. Section 4-41a-604 is enacted to read:
694          4-41a-604. Advertising.
695          In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
696     department may make rules establishing conditions under which a cannabis processing facility
697     may engage in targeted marketing.
698          Section 7. Section 4-41a-802 is amended to read:
699          4-41a-802. Report.
700          (1) At or before the November interim meeting each year, the department shall report
701     to the Health and Human Services Interim Committee on:
702          (a) the number of applications and renewal applications that the department receives
703     under this chapter;
704          (b) the number of each type of cannabis production facility that the department licenses
705     in each county;
706          (c) the amount of cannabis that licensees grow;
707          (d) the amount of cannabis that licensees manufacture into cannabis products;
708          (e) the number of licenses the department revokes under this chapter;
709          (f) the department's operation of an independent cannabis testing laboratory under

710     Section 4-41a-201, including:
711          (i) the cannabis and cannabis products the department tested; and
712          (ii) the results of the tests the department performed; [and]
713          (g) the expenses incurred and revenues generated under this chapter[.]; and
714          (h) an analysis of product availability in medical cannabis pharmacies in consultation
715     with the Department of Health and Human Services.
716          (2) The department may not include personally identifying information in the report
717     described in this section.
718          (3) The department shall report to the working group described in Section 36-12-8.2 as
719     requested by the working group.
720          Section 8. Section 4-41a-1001 is amended to read:
721          4-41a-1001. Medical cannabis pharmacy -- License -- Eligibility.
722          (1) A person may not operate as a medical cannabis pharmacy without a license that
723     the department issues under this part.
724          (2) (a) (i) Subject to Subsections (4) and (5) and to Section 4-41a-1005, the department
725     shall issue a license to operate a medical cannabis pharmacy [in accordance with Title 63G,
726     Chapter 6a, Utah Procurement Code] through the licensing board created under Section
727     4-41a-201.1.
728          (ii) The department may not issue a license to operate a medical cannabis pharmacy to
729     an applicant who is not eligible for a license under this section.
730          (b) An applicant is eligible for a license under this section if the applicant submits to
731     the department:
732          (i) subject to Subsection (2)(c), a proposed name and address where the applicant will
733     operate the medical cannabis pharmacy;
734          (ii) the name and address of an individual who:
735          (A) for a publicly traded company, has a financial or voting interest of 10% or greater
736     in the proposed medical cannabis pharmacy;
737          (B) for a privately held company, a financial or voting interest in the proposed medical
738     cannabis pharmacy; or
739          (C) has the power to direct or cause the management or control of a proposed medical
740     cannabis pharmacy;

741          (iii) for each application that the applicant submits to the department, a statement from
742     the applicant that the applicant will obtain and maintain:
743          (A) a performance bond in the amount of $100,000 issued by a surety authorized to
744     transact surety business in the state; or
745          (B) a liquid cash account in the amount of $100,000 with a financial institution;
746          (iv) an operating plan that:
747          (A) complies with Section 4-41a-1004;
748          (B) includes operating procedures to comply with the operating requirements for a
749     medical cannabis pharmacy described in this part and with a relevant municipal or county law
750     that is consistent with Section 4-41a-1106; and
751          (C) the department approves;
752          (v) an application fee in an amount that, subject to Subsection 4-41a-104(5), the
753     department sets in accordance with Section 63J-1-504; and
754          (vi) a description of any investigation or adverse action taken by any licensing
755     jurisdiction, government agency, law enforcement agency, or court in any state for any
756     violation or detrimental conduct in relation to any of the applicant's cannabis-related operations
757     or businesses.
758          (c) (i) A person may not locate a medical cannabis pharmacy:
759          (A) within 200 feet of a community location; or
760          (B) in or within 600 feet of a district that the relevant municipality or county has zoned
761     as primarily residential.
762          (ii) The proximity requirements described in Subsection (2)(c)(i) shall be measured
763     from the nearest entrance to the medical cannabis pharmacy establishment by following the
764     shortest route of ordinary pedestrian travel to the property boundary of the community location
765     or residential area.
766          (iii) The department may grant a waiver to reduce the proximity requirements in
767     Subsection (2)(c)(i) by up to 20% if the department determines that it is not reasonably feasible
768     for the applicant to site the proposed medical cannabis pharmacy without the waiver.
769          (iv) An applicant for a license under this section shall provide evidence of compliance
770     with the proximity requirements described in Subsection (2)(c)(i).
771          (d) The department may not issue a license to an eligible applicant that the department

772     has selected to receive a license until the selected eligible applicant complies with the bond or
773     liquid cash requirement described in Subsection (2)(b)(iii).
774          (e) If the department receives more than one application for a medical cannabis
775     pharmacy within the same city or town, the department shall consult with the local land use
776     authority before approving any of the applications pertaining to that city or town.
777          (3) If the department selects an applicant for a medical cannabis pharmacy license
778     under this section, the department shall:
779          (a) charge the applicant an initial license fee in an amount that, subject to Subsection
780     4-41a-104(5), the department sets in accordance with Section 63J-1-504;
781          (b) notify the Department of Public Safety of the license approval and the names of
782     each individual described in Subsection (2)(b)(ii); and
783          (c) charge the licensee a fee in an amount that, subject to Subsection 4-41a-104(5), the
784     department sets in accordance with Section 63J-1-504, for any change in location, ownership,
785     or company structure.
786          (4) The department may not issue a license to operate a medical cannabis pharmacy to
787     an applicant if an individual described in Subsection (2)(b)(ii):
788          (a) has been convicted under state or federal law of:
789          (i) a felony; or
790          (ii) after December 3, 2018, a misdemeanor for drug distribution;
791          (b) is younger than 21 years old; or
792          (c) after September 23, 2019, until January 1, 2023, is actively serving as a legislator.
793          (5) (a) If an applicant for a medical cannabis pharmacy license under this section holds
794     another license under this chapter, the department may not give preference to the applicant
795     based on the applicant's status as a holder of the license.
796          (b) If an applicant for a medical cannabis pharmacy license under this section holds a
797     license to operate a cannabis cultivation facility under this section, the department may give
798     consideration to the applicant's status as a holder of the license if:
799          (i) the applicant demonstrates that a decrease in costs to patients is more likely to result
800     from the applicant's vertical integration than from a more competitive marketplace; and
801          (ii) the department finds multiple other factors, in addition to the existing license, that
802     support granting the new license.

803          (6) (a) The [department] licensing board may revoke a license under this part:
804          (i) if the medical cannabis pharmacy does not begin operations within one year after
805     the day on which the department issues an announcement of the department's intent to award a
806     license to the medical cannabis pharmacy;
807          (ii) after the third the same violation of this chapter in any of the licensee's licensed
808     cannabis production establishments or medical cannabis pharmacies;
809          (iii) if an individual described in Subsection (2)(b)(ii) is convicted, while the license is
810     active, under state or federal law of:
811          (A) a felony; or
812          (B) after December 3, 2018, a misdemeanor for drug distribution;
813          (iv) if the licensee fails to provide the information described in Subsection (2)(b)(vi) at
814     the time of application, or fails to supplement the information described in Subsection
815     (2)(b)(vi) with any investigation or adverse action that occurs after the submission of the
816     application within 14 calendar days after the licensee receives notice of the investigation or
817     adverse action;
818          (v) if the medical cannabis pharmacy demonstrates a willful or reckless disregard for
819     the requirements of this chapter or the rules the department makes in accordance with this
820     chapter; [or]
821          (vi) if, after a change of ownership described in Subsection (11)(c), the department
822     determines that the medical cannabis pharmacy no longer meets the minimum standards for
823     licensure and operation of the medical cannabis pharmacy described in this chapter[.]; or
824          (vii) if through an investigation conducted pursuant to Subsection 4-41a-201.1(11), the
825     board finds that the licensee has participated in anticompetitive business practices.
826          (b) The department shall rescind a notice of an intent to issue a license under this part
827     to an applicant or revoke a license issued under this part if the associated medical cannabis
828     pharmacy does not begin operation on or before June 1, 2021.
829          (7) (a) A person who receives a medical cannabis pharmacy license under this chapter,
830     if the municipality or county where the licensed medical cannabis pharmacy will be located
831     requires a local land use permit, shall submit to the department a copy of the licensee's
832     approved application for the land use permit within 120 days after the day on which the
833     department issues the license.

834          (b) If a licensee fails to submit to the department a copy the licensee's approved land
835     use permit application in accordance with Subsection (7)(a), the department may revoke the
836     licensee's license.
837          (8) The department shall deposit the proceeds of a fee imposed by this section into the
838     Qualified Production Enterprise Fund.
839          (9) The department shall begin accepting applications under this part on or before
840     March 1, 2020.
841          (10) (a) The department's authority to issue a license under this section is plenary and is
842     not subject to review.
843          (b) Notwithstanding Subsection (2), the decision of the department to award a license
844     to an applicant is not subject to:
845          (i) Title 63G, Chapter 6a, Part 16, Protests; or
846          (ii) Title 63G, Chapter 6a, Part 17, Procurement Appeals Board.
847          (11) (a) A medical cannabis pharmacy license is not transferrable or assignable.
848          (b) A medical cannabis pharmacy shall report in writing to the department no later than
849     10 business days before the date of any change of ownership of the medical cannabis
850     pharmacy.
851          (c) If the ownership of a medical cannabis pharmacy changes by 50% or more:
852          (i) concurrent with the report described in Subsection (11)(b), the medical cannabis
853     pharmacy shall submit a new application described in Subsection (2)(b), subject to Subsection
854     (2)(c);
855          (ii) within 30 days of the submission of the application, the department shall:
856          (A) conduct an application review; and
857          (B) award a license to the medical cannabis pharmacy for the remainder of the term of
858     the medical cannabis pharmacy's license before the ownership change if the medical cannabis
859     pharmacy meets the minimum standards for licensure and operation of the medical cannabis
860     pharmacy described in this chapter; and
861          (iii) if the department approves the license application, notwithstanding Subsection (3),
862     the medical cannabis pharmacy shall pay a license fee that the department sets in accordance
863     with Section 63J-1-504 in an amount that covers the [board's] department's cost of conducting
864     the application review.

865          Section 9. Section 4-41a-1005 is amended to read:
866          4-41a-1005. Maximum number of licenses.
867          (1) (a) Except as provided in [Subsections] Subsection (1)(b) or (d), if a sufficient
868     number of applicants apply, the department shall issue up to 15 medical cannabis pharmacy
869     licenses in accordance with this section.
870          (b) If an insufficient number of qualified applicants apply for the available number of
871     medical cannabis pharmacy licenses, the department shall issue a medical cannabis pharmacy
872     license to each qualified applicant.
873          (c) The department may issue the licenses described in Subsection (1)(a) in accordance
874     with this Subsection (1)(c).
875          (i) Using one procurement process, the department may issue eight licenses to an initial
876     group of medical cannabis pharmacies and six licenses to a second group of medical cannabis
877     pharmacies.
878          (ii) [If the department issues licenses in two phases in accordance with Subsection
879     (1)(c)(i), the] The department shall:
880          (A) divide the state into no less than four geographic regions, set by the department in
881     rule;
882          (B) issue at least one license in each geographic region during each phase of issuing
883     licenses; and
884          (C) complete the process of issuing medical cannabis pharmacy licenses no later than
885     July 1, 2020.
886          (iii) In issuing a 15th license under Subsection (1), the department shall ensure that the
887     license recipient will locate the medical cannabis pharmacy within Dagget, Duchesne, Uintah,
888     Carbon, Sevier, Emery, Grand, or San Juan County.
889          (d) (i) The department may issue licenses to operate a medical cannabis pharmacy in
890     addition to the licenses described in Subsection (1)(a) if the department determines, in
891     consultation with the Department of Health and Human Services and after an annual or more
892     frequent analysis of the current and anticipated market for medical cannabis, that each
893     additional license is necessary to provide an adequate supply, quality, or variety of medical
894     cannabis to medical cannabis cardholders.
895          (ii) The department shall:

896          (A) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
897     make rules to establish criteria and processes for the consultation, analysis, and application for
898     a license described in Subsection (1)(d)(i); and
899          (B) report to the Executive Appropriations Committee of the Legislature before each
900     time the department issues an additional license under Subsection (1)(d)(i) regarding the results
901     of the consultation and analysis described in Subsection (1)(d)(i) and the application of the
902     criteria described in Subsection (1)(d)(ii)(A).
903          (2) (a) If there are more qualified applicants than there are available licenses for
904     medical cannabis pharmacies, the department shall:
905          (i) evaluate each applicant and award the license to the applicant that best
906     demonstrates:
907          (A) experience with establishing and successfully operating a business that involves
908     complying with a regulatory environment, tracking inventory, and training, evaluating, and
909     monitoring employees;
910          (B) an operating plan that will best ensure the safety and security of patrons and the
911     community;
912          (C) positive connections to the local community;
913          (D) the suitability of the proposed location and the location's accessibility for
914     qualifying patients;
915          (E) the extent to which the applicant can increase efficiency and reduce the cost of
916     medical cannabis for patients; and
917          (F) a strategic plan described in Subsection 4-41a-1004(7) that has a comparatively
918     high likelihood of success; and
919          (ii) ensure a geographic dispersal among licensees that is sufficient to reasonably
920     maximize access to the largest number of medical cannabis cardholders.
921          (b) In making the evaluation described in Subsection (2)(a), the department may give
922     increased consideration to applicants who indicate a willingness to:
923          (i) operate as a home delivery medical cannabis pharmacy that accepts electronic
924     medical cannabis orders that the state central patient portal facilitates; and
925          (ii) accept payments through:
926          (A) a payment provider that the Division of Finance approves, in consultation with the

927     state treasurer, in accordance with Section 4-41a-108; or
928          (B) a financial institution in accordance with Subsection 4-41a-108(4).
929          (3) The department may conduct a face-to-face interview with an applicant for a
930     license that the department evaluates under Subsection (2).
931          Section 10. Section 4-41a-1101 is amended to read:
932          4-41a-1101. Operating requirements -- General.
933          (1) (a) A medical cannabis pharmacy shall operate:
934          (i) at the physical address provided to the department under Section 4-41a-1001; and
935          (ii) in accordance with the operating plan provided to the department under Section
936     4-41a-1001 and, if applicable, Section 4-41a-1004.
937          (b) A medical cannabis pharmacy shall notify the department before a change in the
938     medical cannabis pharmacy's physical address or operating plan.
939          (2) An individual may not enter a medical cannabis pharmacy unless the individual:
940          (a) is at least 18 years old or is an emancipated minor under Section 80-7-105; and
941          (b) except as provided in Subsection (4):
942          (i) possesses a valid:
943          (A) medical cannabis pharmacy agent registration card;
944          (B) pharmacy medical provider registration card; or
945          (C) medical cannabis card;
946          (ii) is an employee of the department performing an inspection under Section
947     4-41a-1103; or
948          (iii) is another individual as the department provides.
949          (3) A medical cannabis pharmacy may not employ an individual who is younger than
950     21 years old.
951          (4) Notwithstanding Subsection (2)(a), a medical cannabis pharmacy may authorize an
952     individual who is not a medical cannabis pharmacy agent or pharmacy medical provider to
953     access the medical cannabis pharmacy if the medical cannabis pharmacy tracks and monitors
954     the individual at all times while the individual is at the medical cannabis pharmacy and
955     maintains a record of the individual's access.
956          (5) A medical cannabis pharmacy shall operate in a facility that has:
957          (a) a single, secure public entrance;

958          (b) a security system with a backup power source that:
959          (i) detects and records entry into the medical cannabis pharmacy; and
960          (ii) provides notice of an unauthorized entry to law enforcement when the medical
961     cannabis pharmacy is closed; and
962          (c) a lock on each area where the medical cannabis pharmacy stores cannabis or a
963     cannabis product.
964          (6) A medical cannabis pharmacy shall post, both clearly and conspicuously in the
965     medical cannabis pharmacy, the limit on the purchase of cannabis described in Subsection
966     4-41a-1102(2).
967          (7) Except for an emergency situation described in Subsection 26B-4-213(3)(c), a
968     medical cannabis pharmacy may not allow any individual to consume cannabis on the property
969     or premises of the medical cannabis pharmacy.
970          (8) A medical cannabis pharmacy may not sell cannabis or a cannabis product without
971     first indicating on the cannabis or cannabis product label the name of the medical cannabis
972     pharmacy.
973          (9) (a) Each medical cannabis pharmacy shall retain in the pharmacy's records the
974     following information regarding each recommendation underlying a transaction:
975          (i) the recommending medical provider's name, address, and telephone number;
976          (ii) the patient's name and address;
977          (iii) the date of issuance;
978          (iv) directions of use and dosing guidelines or an indication that the recommending
979     medical provider did not recommend specific directions of use or dosing guidelines; and
980          (v) if the patient did not complete the transaction, the name of the medical cannabis
981     cardholder who completed the transaction.
982          (b) (i) Except as provided in Subsection (9)(b)(iii), a medical cannabis pharmacy may
983     not sell medical cannabis unless the medical cannabis has a label securely affixed to the
984     container indicating the following minimum information:
985          (A) the name, address, and telephone number of the medical cannabis pharmacy;
986          (B) the unique identification number that the medical cannabis pharmacy assigns;
987          (C) the date of the sale;
988          (D) the name of the patient;

989          (E) the name of the recommending medical provider who recommended the medical
990     cannabis treatment;
991          (F) directions for use and cautionary statements, if any;
992          (G) the amount dispensed and the cannabinoid content;
993          (H) the suggested use date;
994          (I) for unprocessed cannabis flower, the legal use termination date; and
995          (J) any other requirements that the department determines, in consultation with the
996     Division of Professional Licensing and the Board of Pharmacy.
997          (ii) A medical cannabis pharmacy is exempt from the requirement to provide the
998     following information under Subsection (9)(b)(i) if the information is already provided on the
999     product label that a cannabis production establishment affixes:
1000          (A) a unique identification number;
1001          (B) directions for use and cautionary statements;
1002          (C) amount and cannabinoid content; and
1003          (D) a suggested use date.
1004          (iii) If the size of a medical cannabis container does not allow sufficient space to
1005     include the labeling requirements described in Subsection (9)(b)(i), the medical cannabis
1006     pharmacy may provide the following information described in Subsection (9)(b)(i) on a
1007     supplemental label attached to the container or an informational enclosure that accompanies the
1008     container:
1009          (A) the cannabinoid content;
1010          (B) the suggested use date; and
1011          (C) any other requirements that the department determines.
1012          (iv) A medical cannabis pharmacy may sell medical cannabis to another medical
1013     cannabis pharmacy without a label described in Subsection (9)(b)(i).
1014          (10) A pharmacy medical provider or medical cannabis pharmacy agent shall:
1015          (a) upon receipt of an order from a limited medical provider in accordance with
1016     Subsections 26B-4-204(1)(b) through (d):
1017          (i) for a written order or an electronic order under circumstances that the department
1018     determines, contact the limited medical provider or the limited medical provider's office to
1019     verify the validity of the recommendation; and

1020          (ii) for an order that the pharmacy medical provider or medical cannabis pharmacy
1021     agent verifies under Subsection (10)(a)(i) or an electronic order that is not subject to
1022     verification under Subsection (10)(a)(i), enter the limited medical provider's recommendation
1023     or renewal, including any associated directions of use, dosing guidelines, or caregiver
1024     indication, in the state electronic verification system;
1025          (b) in processing an order for a holder of a conditional medical cannabis card described
1026     in Subsection 26B-4-213(1)(b) that appears irregular or suspicious in the judgment of the
1027     pharmacy medical provider or medical cannabis pharmacy agent, contact the recommending
1028     medical provider or the recommending medical provider's office to verify the validity of the
1029     recommendation before processing the cardholder's order;
1030          (c) unless the medical cannabis cardholder has had a consultation under Subsection
1031     26B-4-231(5), verbally offer to a medical cannabis cardholder at the time of a purchase of
1032     cannabis, a cannabis product, or a medical cannabis device, personal counseling with the
1033     pharmacy medical provider; and
1034          (d) provide a telephone number or website by which the cardholder may contact a
1035     pharmacy medical provider for counseling.
1036          (11) (a) A medical cannabis pharmacy may create a medical cannabis disposal program
1037     that allows an individual to deposit unused or excess medical cannabis[,] or cannabis residue
1038     from a medical cannabis device[, or medical cannabis product] in a locked box or other secure
1039     receptacle within the medical cannabis pharmacy.
1040          (b) A medical cannabis pharmacy with a disposal program described in Subsection
1041     (11)(a) shall ensure that only a medical cannabis pharmacy agent or pharmacy medical provider
1042     can access deposited medical cannabis [or medical cannabis products].
1043          (c) A medical cannabis pharmacy shall dispose of any deposited medical cannabis [or
1044     medical cannabis products] by:
1045          (i) rendering the deposited medical cannabis [or medical cannabis products] unusable
1046     and unrecognizable before transporting deposited medical cannabis [or medical cannabis
1047     products] from the medical cannabis pharmacy; and
1048          (ii) disposing of the deposited medical cannabis [or medical cannabis products] in
1049     accordance with:
1050          (A) federal and state law, rules, and regulations related to hazardous waste;

1051          (B) the Resource Conservation and Recovery Act, 42 U.S.C. Sec. 6991 et seq.;
1052          (C) Title 19, Chapter 6, Part 5, Solid Waste Management Act; and
1053          (D) other regulations that the department makes in accordance with Title 63G, Chapter
1054     3, Utah Administrative Rulemaking Act.
1055          (12) A medical cannabis pharmacy:
1056          (a) shall employ a pharmacist who is licensed under Title 58, Chapter 17b, Pharmacy
1057     Practice Act, as a pharmacy medical provider;
1058          (b) may employ a physician who has the authority to write a prescription and is
1059     licensed under Title 58, Chapter 67, Utah Medical Practice Act, or Title 58, Chapter 68, Utah
1060     Osteopathic Medical Practice Act, as a pharmacy medical provider;
1061          (c) shall ensure that a pharmacy medical provider described in Subsection (12)(a)
1062     works onsite during all business hours;
1063          (d) shall designate one pharmacy medical provider described in Subsection (12)(a) as
1064     the pharmacists-in-charge to oversee the operation of and generally supervise the medical
1065     cannabis pharmacy; and
1066          (e) shall allow the pharmacist-in-charge to determine which cannabis and cannabis
1067     products the medical cannabis pharmacy maintains in the medical cannabis pharmacy's
1068     inventory.
1069          [(12)] (13) The department shall establish by rule, in accordance with Title 63G,
1070     Chapter 3, Utah Administrative Rulemaking Act, protocols for a recall of cannabis and
1071     cannabis products by a medical cannabis pharmacy.
1072          Section 11. Section 4-41a-1102 is amended to read:
1073          4-41a-1102. Dispensing -- Amount a medical cannabis pharmacy may dispense --
1074     Reporting -- Form of cannabis or cannabis product.
1075          (1) (a) A medical cannabis pharmacy may not sell a product other than:
1076          (i) cannabis in a medicinal dosage form that the medical cannabis pharmacy acquired
1077     from another medical cannabis pharmacy or a cannabis processing facility that is licensed
1078     under Section 4-41a-201;
1079          (ii) a cannabis product in a medicinal dosage form that the medical cannabis pharmacy
1080     acquired from another medical cannabis pharmacy or a cannabis processing facility that is
1081     licensed under Section 4-41a-201;

1082          (iii) a medical cannabis device; or
1083          (iv) educational material related to the medical use of cannabis.
1084          (b) A medical cannabis pharmacy may only sell an item listed in Subsection (1)(a) to
1085     an individual with:
1086          (i) (A) a medical cannabis card; or
1087          (B) a Department of Health and Human Services registration described in Subsection
1088     26B-4-213(10); and
1089          (ii) except as provided in Subsection (7), a corresponding government issued photo
1090     identification.
1091          (c) Notwithstanding Subsection (1)(a), a medical cannabis pharmacy may not sell a
1092     cannabis-based drug that the United States Food and Drug Administration has approved.
1093          (d) Notwithstanding Subsection (1)(b), a medical cannabis pharmacy may not sell a
1094     medical cannabis device or medical cannabis [product] to an individual described in
1095     Subsection 26B-4-213(2)(a)(i)(B) or to a minor described in Subsection 26B-4-213(2)(c)
1096     unless the individual or minor has the approval of the Compassionate Use Board in accordance
1097     with Subsection 26B-1-421(5).
1098          (2) A medical cannabis pharmacy:
1099          (a) may dispense to a medical cannabis cardholder, in any one 28-day period, up to the
1100     legal dosage limit of:
1101          (i) unprocessed cannabis that:
1102          (A) is in a medicinal dosage form; and
1103          (B) carries a label clearly displaying the amount of tetrahydrocannabinol and
1104     cannabidiol in the cannabis; and
1105          (ii) a cannabis product that is in a medicinal dosage form; and
1106          (b) may not dispense:
1107          (i) except for a medical cannabis cardholder approved under Subsection 26B-4-245(2),
1108     more medical cannabis than described in Subsection (2)(a); or
1109          (ii) to an individual whose recommending medical provider did not recommend
1110     directions of use and dosing guidelines, until the individual consults with the pharmacy
1111     medical provider in accordance with Subsection 26B-4-231(5) any medical cannabis.
1112          (3) (a) A medical cannabis pharmacy shall:

1113          (i) (A) access the state electronic verification system before dispensing cannabis or a
1114     cannabis product to a medical cannabis cardholder in order to determine if the cardholder or,
1115     where applicable, the associated patient has met the maximum amount of medical cannabis
1116     described in Subsection (2); and
1117          (B) if the verification in Subsection (3)(a)(i)(A) indicates that the individual has met
1118     the maximum amount described in Subsection (2), decline the sale, and notify the
1119     recommending medical provider who made the underlying recommendation;
1120          (ii) submit a record to the state electronic verification system each time the medical
1121     cannabis pharmacy dispenses medical cannabis to a medical cannabis cardholder;
1122          (iii) ensure that the pharmacy medical provider who is a licensed pharmacist reviews
1123     each medical cannabis transaction before dispensing the medical cannabis to the cardholder in
1124     accordance with pharmacy practice standards;
1125          (iv) package any medical cannabis that is in a container that:
1126          (A) complies with Subsection 4-41a-602(1)(b) or, if applicable, provisions related to a
1127     container for unprocessed cannabis flower in the definition of "medicinal dosage form" in
1128     Section 26B-4-201;
1129          (B) is tamper-resistant and tamper-evident; and
1130          (C) provides an opaque bag or box for the medical cannabis cardholder's use in
1131     transporting the container in public;
1132          (v) for a product that is a cube that is designed for ingestion through chewing or
1133     holding in the mouth for slow dissolution, include a separate, off-label warning about the risks
1134     of over-consumption; and
1135          (vi) beginning January 1, 2024, for a cannabis product that is cannabis flower,
1136     vaporizer cartridges, or concentrate, provide the product's terpene profiles collected under
1137     Subsection 4-41a-602(4) at or before the point of sale.
1138          (b) A medical cannabis cardholder transporting or possessing the container described
1139     in Subsection (3)(a)(iv) in public shall keep the container within the opaque bag or box that the
1140     medical cannabis pharmacist provides.
1141          (4) (a) Except as provided in Subsection (4)(b), a medical cannabis pharmacy may not
1142     sell medical cannabis in the form of a cigarette or a medical cannabis device that is
1143     intentionally designed or constructed to resemble a cigarette.

1144          (b) A medical cannabis pharmacy may sell a medical cannabis device that warms
1145     cannabis material into a vapor without the use of a flame and that delivers cannabis to an
1146     individual's respiratory system.
1147          (5) (a) A medical cannabis pharmacy may not give, at no cost, a product that the
1148     medical cannabis pharmacy is allowed to sell under Subsection (1)(a)(i), (ii), or (iii).
1149          (b) A medical cannabis pharmacy may give, at no cost, educational material related to
1150     the medical use of cannabis.
1151          (6) A medical cannabis pharmacy may purchase and store medical cannabis devices
1152     regardless of whether the seller has a cannabis-related license under this chapter or Title 26B,
1153     Utah Health and Human Services Code.
1154          (7) A pharmacy medical provider who is a pharmacist may accept alternative evidence
1155     of a medical cannabis cardholder's identity as determined appropriate by the pharmacist, if:
1156          (a) the individual does not have the individual's government issued photo identification
1157     at the time of pickup; and
1158          (b) the pharmacist documents in a record kept by the medical cannabis pharmacy a
1159     description of how the individual was positively identified.
1160          Section 12. Section 4-41a-1106 is amended to read:
1161          4-41a-1106. Medical cannabis pharmacy agent -- Registration.
1162          (1) An individual may not serve as a medical cannabis pharmacy agent of a medical
1163     cannabis pharmacy unless the department registers the individual as a medical cannabis
1164     pharmacy agent.
1165          (2) A recommending medical provider may not act as a medical cannabis pharmacy
1166     agent, have a financial or voting interest of 2% or greater in a medical cannabis pharmacy, or
1167     have the power to direct or cause the management or control of a medical cannabis pharmacy.
1168          (3) (a) The department shall, within 15 days after the day on which the department
1169     receives a complete application from a medical cannabis pharmacy on behalf of a prospective
1170     medical cannabis pharmacy agent, register and issue a medical cannabis pharmacy agent
1171     registration card to the prospective agent if the medical cannabis pharmacy:
1172          (i) provides to the department:
1173          (A) the prospective agent's name and address;
1174          (B) the name and location of the licensed medical cannabis pharmacy where the

1175     prospective agent seeks to act as the medical cannabis pharmacy agent; and
1176          (C) the submission required under Subsection (3)(b); and
1177          (ii) pays a fee to the department in an amount that, subject to Subsection 4-41a-104(5),
1178     the department sets in accordance with Section 63J-1-504.
1179          (b) Each prospective agent described in Subsection (3)(a) shall:
1180          (i) submit to the department:
1181          (A) a fingerprint card in a form acceptable to the Department of Public Safety; and
1182          (B) a signed waiver in accordance with Subsection 53-10-108(4) acknowledging the
1183     registration of the prospective agent's fingerprints in the Federal Bureau of Investigation Next
1184     Generation Identification System's Rap Back Service; and
1185          (ii) consent to a fingerprint background check by:
1186          (A) the Bureau of Criminal Identification; and
1187          (B) the Federal Bureau of Investigation.
1188          (c) The Bureau of Criminal Identification shall:
1189          (i) check the fingerprints the prospective agent submits under Subsection (3)(b) against
1190     the applicable state, regional, and national criminal records databases, including the Federal
1191     Bureau of Investigation Next Generation Identification System;
1192          (ii) report the results of the background check to the department;
1193          (iii) maintain a separate file of fingerprints that prospective agents submit under
1194     Subsection (3)(b) for search by future submissions to the local and regional criminal records
1195     databases, including latent prints;
1196          (iv) request that the fingerprints be retained in the Federal Bureau of Investigation Next
1197     Generation Identification System's Rap Back Service for search by future submissions to
1198     national criminal records databases, including the Next Generation Identification System and
1199     latent prints; and
1200          (v) establish a privacy risk mitigation strategy to ensure that the department only
1201     receives notifications for an individual with whom the department maintains an authorizing
1202     relationship.
1203          (d) The department shall:
1204          (i) assess an individual who submits fingerprints under Subsection (3)(b) a fee in an
1205     amount that the department sets in accordance with Section 63J-1-504 for the services that the

1206     Bureau of Criminal Identification or another authorized agency provides under this section; and
1207          (ii) remit the fee described in Subsection (3)(d)(i) to the Bureau of Criminal
1208     Identification.
1209          (4) The department shall designate, on an individual's medical cannabis pharmacy
1210     agent registration card the name of the medical cannabis pharmacy where the individual is
1211     registered as an agent.
1212          (5) A medical cannabis pharmacy agent shall comply with a certification standard that
1213     the department develops in collaboration with the Division of Professional Licensing and the
1214     Board of Pharmacy, or a third-party certification standard that the department designates by
1215     rule, in collaboration with the Division of Professional Licensing and the Board of Pharmacy
1216     and in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
1217          (6) The department shall ensure that the certification standard described in Subsection
1218     (5) includes training in:
1219          (a) Utah medical cannabis law; and
1220          (b) medical cannabis pharmacy best practices.
1221          (7) The department may revoke the medical cannabis pharmacy agent registration card
1222     of, or refuse to issue a medical cannabis pharmacy agent registration card to, an individual
1223     who:
1224          (a) violates the requirements of this chapter; or
1225          (b) is convicted under state or federal law of:
1226          (i) a felony within the preceding 10 years; or
1227          (ii) after December 3, 2018, a misdemeanor for drug distribution.
1228          (8) (a) A medical cannabis pharmacy agent registration card expires two years after the
1229     day on which the department issues or renews the card.
1230          (b) A medical cannabis pharmacy agent may renew the agent's registration card if the
1231     agent:
1232          (i) is eligible for a medical cannabis pharmacy agent registration card under this
1233     section;
1234          (ii) certifies to the department in a renewal application that the information in
1235     Subsection (3)(a) is accurate or updates the information; and
1236          (iii) pays to the department a renewal fee in an amount that:

1237          (A) subject to Subsection 4-41a-104(5), the department sets in accordance with Section
1238     63J-1-504; and
1239          (B) may not exceed the cost of the relatively lower administrative burden of renewal in
1240     comparison to the original application process.
1241          (9) (a) As a condition precedent to registration and renewal of a medical cannabis
1242     pharmacy agent registration card, a medical cannabis pharmacy agent shall:
1243          (i) complete at least one hour of continuing education regarding patient privacy and
1244     federal health information privacy laws that is offered by the department under Subsection
1245     (9)(b) or an accredited or approved continuing education provider that the department
1246     recognizes as offering continuing education appropriate for the medical cannabis pharmacy
1247     practice; and
1248          (ii) make a continuing education report to the department in accordance with a process
1249     that the department establishes by rule, in accordance with Title 63G, Chapter 3, Utah
1250     Administrative Rulemaking Act, and in collaboration with the Division of Professional
1251     Licensing and the Board of Pharmacy.
1252          (b) The department may, in consultation with the Division of Professional Licensing,
1253     develop the continuing education described in this Subsection (9).
1254          (c) The pharmacist-in-charge described in Section 26B-4-219 shall ensure that each
1255     medical cannabis pharmacy agent working in the medical cannabis pharmacy who has access to
1256     the state electronic verification system is in compliance with this Subsection (9).
1257          (d) A medical cannabis pharmacy agent may not access the electronic verification
1258     system following the termination of their employment.
1259          (10) A medical cannabis pharmacy shall:
1260          (a) maintain a list of employees that have a medical cannabis pharmacy agent
1261     registration card; and
1262          (b) provide the list to the department upon request.
1263          Section 13. Section 26B-1-421 is amended to read:
1264          26B-1-421. Compassionate Use Board.
1265          (1) The definitions in Section 26B-4-201 apply to this section.
1266          (2) (a) The department shall establish a Compassionate Use Board consisting of:
1267          (i) seven qualified medical providers that the executive director appoints [and the

1268     Senate confirms] with the advice and consent of the Senate:
1269          (A) who are knowledgeable about the medicinal use of cannabis;
1270          (B) who are physicians licensed under Title 58, Chapter 67, Utah Medical Practice Act,
1271     or Title 58, Chapter 68, Utah Osteopathic Medical Practice Act; and
1272          (C) who are board certified by the American Board of Medical Specialties or an
1273     American Osteopathic Association Specialty Certifying Board in the specialty of neurology,
1274     pain medicine and pain management, medical oncology, psychiatry, infectious disease, internal
1275     medicine, pediatrics, family medicine, or gastroenterology; and
1276          (ii) as a nonvoting member and the chair of the Compassionate Use Board, the
1277     executive director or the director's designee.
1278          (b) In appointing the seven qualified medical providers described in Subsection (2)(a),
1279     the executive director shall ensure that at least two have a board certification in pediatrics.
1280          (3) (a) Of the members of the Compassionate Use Board that the executive director
1281     first appoints:
1282          (i) three shall serve an initial term of two years; and
1283          (ii) the remaining members shall serve an initial term of four years.
1284          (b) After an initial term described in Subsection (3)(a) expires:
1285          (i) each term is four years; and
1286          (ii) each board member is eligible for reappointment.
1287          (c) A member of the Compassionate Use Board may serve until a successor is
1288     appointed.
1289          (d) Four members constitute a quorum of the Compassionate Use Board.
1290          (4) A member of the Compassionate Use Board may receive:
1291          (a) notwithstanding Section 63A-3-106, compensation or benefits for the member's
1292     service; and
1293          (b) travel expenses in accordance with Section 63A-3-107 and rules made by the
1294     Division of Finance in accordance with Section 63A-3-107.
1295          (5) The Compassionate Use Board shall:
1296          (a) review and recommend for department approval a petition to the board regarding an
1297     individual described in Subsection 26B-4-213(2)(a), a minor described in Subsection
1298     26B-4-213(2)(c), or an individual who is not otherwise qualified to receive a medical cannabis

1299     card to obtain a medical cannabis card for compassionate use, for the standard or a reduced
1300     period of validity, if:
1301          (i) for an individual who is not otherwise qualified to receive a medical cannabis card,
1302     the individual's [qualified] recommending medical provider is actively treating the individual
1303     for an intractable condition that:
1304          (A) substantially impairs the individual's quality of life; and
1305          (B) has not, in the [qualified] recommending medical provider's professional opinion,
1306     adequately responded to conventional treatments;
1307          (ii) the [qualified] recommending medical provider:
1308          (A) recommends that the individual or minor be allowed to use medical cannabis; and
1309          (B) provides a letter, relevant treatment history, and notes or copies of progress notes
1310     describing relevant treatment history including rationale for considering the use of medical
1311     cannabis; and
1312          (iii) the Compassionate Use Board determines that:
1313          (A) the recommendation of the individual's [qualified] recommending medical
1314     provider is justified; and
1315          (B) based on available information, it may be in the best interests of the individual to
1316     allow the use of medical cannabis;
1317          (b) when a [qualified] recommending medical provider recommends that an individual
1318     described in Subsection 26B-4-213(2)(a)(i)(B) or a minor described in Subsection
1319     26B-4-213(2)(c) be allowed to use a medical cannabis device or [medical cannabis product]
1320     medical cannabis to vaporize a medical cannabis treatment, review and approve or deny the use
1321     of the medical cannabis device or [medical cannabis product] medical cannabis;
1322          (c) unless no petitions are pending:
1323          (i) meet to receive or review compassionate use petitions at least quarterly; and
1324          (ii) if there are more petitions than the board can receive or review during the board's
1325     regular schedule, as often as necessary;
1326          (d) except as provided in Subsection (6), complete a review of each petition and
1327     recommend to the department approval or denial of the applicant for qualification for a medical
1328     cannabis card within 90 days after the day on which the board received the petition;
1329          (e) consult with the department regarding the criteria described in Subsection (6); and

1330          (f) report, before November 1 of each year, to the Health and Human Services Interim
1331     Committee:
1332          (i) the number of compassionate use recommendations the board issued during the past
1333     year; and
1334          (ii) the types of conditions for which the board recommended compassionate use.
1335          (6) The department shall make rules, in consultation with the Compassionate Use
1336     Board and in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, to
1337     establish a process and criteria for a petition to the board to automatically qualify for expedited
1338     final review and approval or denial by the department in cases where, in the determination of
1339     the department and the board:
1340          (a) time is of the essence;
1341          (b) engaging the full review process would be unreasonable in light of the petitioner's
1342     physical condition; and
1343          (c) sufficient factors are present regarding the petitioner's safety.
1344          (7) (a) (i) The department shall review:
1345          (A) any compassionate use for which the Compassionate Use Board recommends
1346     approval under Subsection (5)(d) to determine whether the board properly exercised the board's
1347     discretion under this section; and
1348          (B) any expedited petitions the department receives under the process described in
1349     Subsection (6).
1350          (ii) If the department determines that the Compassionate Use Board properly exercised
1351     the board's discretion in recommending approval under Subsection (5)(d) or that the expedited
1352     petition merits approval based on the criteria established in accordance with Subsection (6), the
1353     department shall:
1354          (A) issue the relevant medical cannabis card; and
1355          (B) provide for the renewal of the medical cannabis card in accordance with the
1356     recommendation of the [qualified] recommending medical provider described in Subsection
1357     (5)(a).
1358          (b) (i) If the Compassionate Use Board recommends denial under Subsection (5)(d),
1359     the individual seeking to obtain a medical cannabis card may petition the department to review
1360     the board's decision.

1361          (ii) If the department determines that the Compassionate Use Board's recommendation
1362     for denial under Subsection (5)(d) was arbitrary or capricious:
1363          (A) the department shall notify the Compassionate Use Board of the department's
1364     determination; and
1365          (B) the board shall reconsider the Compassionate Use Board's refusal to recommend
1366     approval under this section.
1367          (c) In reviewing the Compassionate Use Board's recommendation for approval or
1368     denial under Subsection (5)(d) in accordance with this Subsection (7), the department shall
1369     presume the board properly exercised the board's discretion unless the department determines
1370     that the board's recommendation was arbitrary or capricious.
1371          (8) Any individually identifiable health information contained in a petition that the
1372     Compassionate Use Board or department receives under this section is a protected record in
1373     accordance with Title 63G, Chapter 2, Government Records Access and Management Act.
1374          (9) The Compassionate Use Board shall annually report the board's activity to the
1375     Cannabis Research Review Board and the advisory board.
1376          Section 14. Section 26B-4-201 is amended to read:
1377          26B-4-201. Definitions.
1378          As used in this part:
1379          (1) "Active tetrahydrocannabinol" means THC, any THC analog, and
1380     tetrahydrocannabinolic acid.
1381          (2) "Administration of criminal justice" means the performance of detection,
1382     apprehension, detention, pretrial release, post-trial release, prosecution, and adjudication.
1383          [(2)] (3) "Advertise" or "advertising" means information provided by a medical
1384     cannabis pharmacy in any medium:
1385          (a) to the public; and
1386          (b) that is not age restricted to an individual who is at least 21 years old.
1387          [(3)] (4) "Advisory board" means the Medical Cannabis Policy Advisory Board created
1388     in Section 26B-1-435.
1389          [(4)] (5) " Cannabis Research Review Board" means the Cannabis Research Review
1390     Board created in Section 26B-1-420.
1391          [(5)] (6) "Cannabis" means marijuana.

1392          [(6)] (7) "Cannabis cultivation facility" means the same as that term is defined in
1393     Section 4-41a-102.
1394          [(7)] (8) "Cannabis processing facility" means the same as that term is defined in
1395     Section 4-41a-102.
1396          [(8)] (9) "Cannabis product" means a product that:
1397          (a) is intended for human use; and
1398          (b) contains cannabis or any tetrahydrocannabinol or THC analog in a total
1399     concentration of 0.3% or greater on a dry weight basis.
1400          [(9)] (10) "Cannabis production establishment" means the same as that term is defined
1401     in Section 4-41a-102.
1402          [(10)] (11) "Cannabis production establishment agent" means the same as that term is
1403     defined in Section 4-41a-102.
1404          [(11)] (12) "Cannabis production establishment agent registration card" means the
1405     same as that term is defined in Section 4-41a-102.
1406          [(12)] (13) "Community location" means a public or private elementary or secondary
1407     school, a church, a public library, a public playground, or a public park.
1408          [(13)] (14) "Conditional medical cannabis card" means an electronic medical cannabis
1409     card that the department issues in accordance with Subsection 26B-4-213(1)(b) to allow an
1410     applicant for a medical cannabis card to access medical cannabis during the department's
1411     review of the application.
1412          [(14)] (15) "Controlled substance database" means the controlled substance database
1413     created in Section 58-37f-201.
1414          [(15)] (16) "Delivery address" means[:] the same as that term is defined in Section
1415     4-41a-102.
1416          [(a) for a medical cannabis cardholder who is not a facility, the medical cannabis
1417     cardholder's home address; or]
1418          [(b) for a medical cannabis cardholder that is a facility, the facility's address.]
1419          [(16)] (17) "Department" means the Department of Health and Human Services.
1420          [(17)] (18) "Designated caregiver" means:
1421          (a) an individual:
1422          (i) whom an individual with a medical cannabis patient card or a medical cannabis

1423     guardian card designates as the patient's caregiver; and
1424          (ii) who registers with the department under Section 26B-4-214; or
1425          (b) (i) a facility that an individual designates as a designated caregiver in accordance
1426     with Subsection 26B-4-214(1)(b); or
1427          (ii) an assigned employee of the facility described in Subsection 26B-4-214(1)(b)(ii).
1428          [(18)] (19) "Directions of use" means recommended routes of administration for a
1429     medical cannabis treatment and suggested usage guidelines.
1430          [(19)] (20) "Dosing guidelines" means a quantity range and frequency of administration
1431     for a recommended treatment of medical cannabis.
1432          [(20)] (21) "Financial institution" means a bank, trust company, savings institution, or
1433     credit union, chartered and supervised under state or federal law.
1434          [(21)] (22) "Government issued photo identification" means any of the following forms
1435     of identification:
1436          (a) a valid state-issued driver license or identification card;
1437          (b) a valid United States federal-issued photo identification, including:
1438          (i) a United States passport;
1439          (ii) a United States passport card;
1440          (iii) a United States military identification card; or
1441          (iv) a permanent resident card or alien registration receipt card; or
1442          (c) a foreign passport.
1443          [(22)] (23) "Home delivery medical cannabis pharmacy" means a medical cannabis
1444     pharmacy that the department authorizes, as part of the pharmacy's license, to deliver medical
1445     cannabis shipments to a delivery address to fulfill electronic orders that the state central patient
1446     portal facilitates.
1447          [(23)] (24) "Inventory control system" means the system described in Section
1448     4-41a-103.
1449          [(24)] (25) "Legal dosage limit" means an amount that:
1450          (a) is sufficient to provide 30 days of treatment based on the dosing guidelines that the
1451     relevant recommending medical provider or the state central patient portal or pharmacy
1452     medical provider, in accordance with Subsection 26B-4-230(5), recommends; and
1453          (b) may not exceed:

1454          (i) for unprocessed cannabis in a medicinal dosage form, 113 grams by weight; and
1455          (ii) for a cannabis product in a medicinal dosage form, a quantity that contains, in total,
1456     greater than 20 grams of active tetrahydrocannabinol.
1457          [(25)] (26) "Legal use termination date" means a date on the label of a container of
1458     unprocessed cannabis flower:
1459          (a) that is 60 days after the date of purchase of the cannabis; and
1460          (b) after which, the cannabis is no longer in a medicinal dosage form outside of the
1461     primary residence of the relevant medical cannabis patient cardholder.
1462          [(26)] (27) "Limited medical provider" means an individual who:
1463          (a) meets the recommending qualifications; and
1464          (b) has no more than 15 patients with a valid medical cannabis patient card or
1465     provisional patient card as a result of the individual's recommendation, in accordance with
1466     Subsection 26B-4-204(1)(b).
1467          [(27)] (28) "Marijuana" means the same as that term is defined in Section 58-37-2.
1468          [(28)] (29) "Medical cannabis" means cannabis in a medicinal dosage form or a
1469     cannabis product in a medicinal dosage form.
1470          [(29)] (30) "Medical cannabis card" means a medical cannabis patient card, a medical
1471     cannabis guardian card, a medical cannabis caregiver card, or a conditional medical cannabis
1472     card.
1473          [(30)] (31) "Medical cannabis cardholder" means:
1474          (a) a holder of a medical cannabis card; or
1475          (b) a facility or assigned employee, described in [Subsection(17)(b)] Subsection
1476     (18)(b), only:
1477          (i) within the scope of the facility's or assigned employee's performance of the role of a
1478     medical cannabis patient cardholder's caregiver designation under Subsection 26B-4-214(1)(b);
1479     and
1480          (ii) while in possession of documentation that establishes:
1481          (A) a caregiver designation described in Subsection 26B-4-214(1)(b);
1482          (B) the identity of the individual presenting the documentation; and
1483          (C) the relation of the individual presenting the documentation to the caregiver
1484     designation.

1485          [(31)] (32) "Medical cannabis caregiver card" means an electronic document that a
1486     cardholder may print or store on an electronic device or a physical card or document that:
1487          (a) the department issues to an individual whom a medical cannabis patient cardholder
1488     or a medical cannabis guardian cardholder designates as a designated caregiver; and
1489          (b) is connected to the electronic verification system.
1490          [(32)] (33) "Medical cannabis courier" means the same as that term is defined in
1491     Section 4-41a-102.
1492          [(33)] (34) "Medical cannabis courier agent" means the same as that term is defined in
1493     Section 4-41a-102.
1494          [(34)] (35) (a) "Medical cannabis device" means a device that an individual uses to
1495     ingest or inhale cannabis in a medicinal dosage form or a cannabis product in a medicinal
1496     dosage form.
1497          (b) "Medical cannabis device" does not include a device that:
1498          (i) facilitates cannabis combustion; or
1499          (ii) an individual uses to ingest substances other than cannabis.
1500          [(35)] (36) "Medical cannabis guardian card" means an electronic document that a
1501     cardholder may print or store on an electronic device or a physical card or document that:
1502          (a) the department issues to the parent or legal guardian of a minor with a qualifying
1503     condition; and
1504          (b) is connected to the electronic verification system.
1505          [(36)] (37) "Medical cannabis patient card" means an electronic document that a
1506     cardholder may print or store on an electronic device or a physical card or document that:
1507          (a) the department issues to an individual with a qualifying condition; and
1508          (b) is connected to the electronic verification system.
1509          [(37)] (38) "Medical cannabis pharmacy" means a person that:
1510          (a) (i) acquires or intends to acquire medical cannabis or a cannabis product in a
1511     medicinal dosage form from a cannabis processing facility or another medical cannabis
1512     pharmacy or a medical cannabis device; or
1513          (ii) possesses medical cannabis or a medical cannabis device; and
1514          (b) sells or intends to sell medical cannabis or a medical cannabis device to a medical
1515     cannabis cardholder.

1516          [(38)] (39) "Medical cannabis pharmacy agent" means an individual who holds a valid
1517     medical cannabis pharmacy agent registration card issued by the department.
1518          [(39)] (40) "Medical cannabis pharmacy agent registration card" means a registration
1519     card issued by the department that authorizes an individual to act as a medical cannabis
1520     pharmacy agent.
1521          [(40)] (41) "Medical cannabis shipment" means the same as that term is defined in
1522     Section 4-41a-102.
1523          [(41)] (42) "Medical cannabis treatment" means cannabis in a medicinal dosage form, a
1524     cannabis product in a medicinal dosage form, or a medical cannabis device.
1525          [(42)] (43) (a) "Medicinal dosage form" means:
1526          (i) for processed medical cannabis [or a medical cannabis product], the following with
1527     a specific and consistent cannabinoid content:
1528          (A) a tablet;
1529          (B) a capsule;
1530          (C) a concentrated liquid or viscous oil;
1531          (D) a liquid suspension that, after December 1, 2022, does not exceed 30 ml;
1532          (E) a topical preparation;
1533          (F) a transdermal preparation;
1534          (G) a sublingual preparation;
1535          (H) a gelatinous cube, gelatinous rectangular cuboid, or lozenge in a cube or
1536     rectangular cuboid shape;
1537          (I) a resin or wax; [or]
1538          (J) an aerosol; [or]
1539          (K) a suppository preparation; or
1540          (L) a soft or hard confection; or
1541          (ii) for unprocessed cannabis flower, a container described in Section 4-41a-602 that:
1542          (A) contains cannabis flowers in a quantity that varies by no more than 10% from the
1543     stated weight at the time of packaging;
1544          (B) at any time the medical cannabis cardholder transports or possesses the container in
1545     public, is contained within an opaque bag or box that the medical cannabis pharmacy provides;
1546     and

1547          (C) is labeled with the container's content and weight, the date of purchase, the legal
1548     use termination date, and after December 31, 2020, a barcode that provides information
1549     connected to an inventory control system.
1550          (b) "Medicinal dosage form" includes a portion of unprocessed cannabis flower that:
1551          (i) the medical cannabis cardholder has recently removed from the container described
1552     in Subsection [(42)(a)(ii)] (43)(a)(ii) for use; and
1553          (ii) does not exceed the quantity described in Subsection [(42)(a)(ii)] (43)(a)(ii).
1554          (c) "Medicinal dosage form" does not include:
1555          (i) any unprocessed cannabis flower outside of the container described in Subsection
1556     [(42)(a)(ii)] (43)(a)(ii), except as provided in Subsection [(42)(b)] (43)(b);
1557          (ii) any unprocessed cannabis flower in a container described in Subsection
1558     [(42)(a)(ii)] (43)(a)(ii) after the legal use termination date;
1559          (iii) a process of vaporizing and inhaling concentrated cannabis by placing the cannabis
1560     on a nail or other metal object that is heated by a flame, including a blowtorch;
1561          (iv) a liquid suspension that is branded as a beverage; [or]
1562          (v) a substance described in Subsection [(42)(a)(i)] (43)(a)(i) or (ii) if the substance is
1563     not measured in grams, milligrams, or milliliters[.]; or
1564          (vi) a substance that contains or is covered to any degree with chocolate.
1565          [(43)] (44) "Nonresident patient" means an individual who:
1566          (a) is not a resident of Utah or has been a resident of Utah for less than 45 days;
1567          (b) has a currently valid medical cannabis card or the equivalent of a medical cannabis
1568     card under the laws of another state, district, territory, commonwealth, or insular possession of
1569     the United States; and
1570          (c) has been diagnosed with a qualifying condition as described in Section 26B-4-203.
1571          [(44)] (45) "Payment provider" means an entity that contracts with a cannabis
1572     production establishment or medical cannabis pharmacy to facilitate transfers of funds between
1573     the establishment or pharmacy and other businesses or individuals.
1574          [(45)] (46) "Pharmacy medical provider" means the medical provider required to be on
1575     site at a medical cannabis pharmacy under Section 26B-4-219.
1576          [(46)] (47) "Provisional patient card" means a card that:
1577          (a) the department issues to a minor with a qualifying condition for whom:

1578          (i) a recommending medical provider has recommended a medical cannabis treatment;
1579     and
1580          (ii) the department issues a medical cannabis guardian card to the minor's parent or
1581     legal guardian; and
1582          (b) is connected to the electronic verification system.
1583          [(47)] (48) "Qualified medical provider" means an individual:
1584          (a) who meets the recommending qualifications; and
1585          (b) whom the department registers to recommend treatment with cannabis in a
1586     medicinal dosage form under Section 26B-4-204.
1587          [(48)] (49) "Qualified Patient Enterprise Fund" means the enterprise fund created in
1588     Section 26B-1-310.
1589          [(49)] (50) "Qualifying condition" means a condition described in Section 26B-4-203.
1590          [(50)] (51) "Recommend" or "recommendation" means, for a recommending medical
1591     provider, the act of suggesting the use of medical cannabis treatment, which:
1592          (a) certifies the patient's eligibility for a medical cannabis card; and
1593          (b) may include, at the recommending medical provider's discretion, directions of use,
1594     with or without dosing guidelines.
1595          [(51)] (52) "Recommending medical provider" means a qualified medical provider or a
1596     limited medical provider.
1597          [(52)] (53) "Recommending qualifications" means that an individual:
1598          (a) (i) has the authority to write a prescription;
1599          (ii) is licensed to prescribe a controlled substance under Title 58, Chapter 37, Utah
1600     Controlled Substances Act; and
1601          (iii) possesses the authority, in accordance with the individual's scope of practice, to
1602     prescribe a Schedule II controlled substance; and
1603          (b) is licensed as:
1604          (i) a podiatrist under Title 58, Chapter 5a, Podiatric Physician Licensing Act;
1605          (ii) an advanced practice registered nurse under Title 58, Chapter 31b, Nurse Practice
1606     Act;
1607          (iii) a physician under Title 58, Chapter 67, Utah Medical Practice Act, or Title 58,
1608     Chapter 68, Utah Osteopathic Medical Practice Act; or

1609          (iv) a physician assistant under Title 58, Chapter 70a, Utah Physician Assistant Act.
1610          [(53)] (54) "State central patient portal" means the website the department creates, in
1611     accordance with Section 26B-4-236, to facilitate patient safety, education, and an electronic
1612     medical cannabis order.
1613          [(54)] (55) "State electronic verification system" means the system described in Section
1614     26B-4-202.
1615          [(55)] (56) "Targeted marketing" means [the promotion by a medical cannabis
1616     pharmacy of a medical cannabis product, medical cannabis brand, or a medical cannabis device
1617     using any of the following methods:] the same as that term is defined in Section 4-41a-102.
1618          [(a) electronic communication to an individual who is at least 21 years old and has
1619     requested to receive promotional information from the medical cannabis pharmacy;]
1620          [(b) an in-person marketing event that is:]
1621          [(i) held inside a medical cannabis pharmacy; and]
1622          [(ii) in an area where only a medical cannabis cardholder may access the event; or]
1623          [(c) other marketing material that is physically available or digitally displayed in:]
1624          [(i) a medical cannabis pharmacy; and]
1625          [(ii) an area where only a medical cannabis cardholder has access].
1626          [(56)] (57) "Tetrahydrocannabinol" or "THC" means a substance derived from
1627     cannabis or a synthetic equivalent as described in Subsection 58-37-4(2)(a)(iii)(AA).
1628          [(57)] (58) "THC analog" means the same as that term is defined in Section 4-41-102.
1629          Section 15. Section 26B-4-202 is amended to read:
1630          26B-4-202. Electronic verification system.
1631          (1) The Department of Agriculture and Food, the department, the Department of Public
1632     Safety, and the Division of Technology Services shall:
1633          (a) enter into a memorandum of understanding in order to determine the function and
1634     operation of the state electronic verification system in accordance with Subsection (2);
1635          (b) coordinate with the Division of Purchasing, under Title 63G, Chapter 6a, Utah
1636     Procurement Code, to develop a request for proposals for a third-party provider to develop and
1637     maintain the state electronic verification system in coordination with the Division of
1638     Technology Services; and
1639          (c) select a third-party provider who:

1640          (i) meets the requirements contained in the request for proposals issued under
1641     Subsection (1)(b); and
1642          (ii) may not have any commercial or ownership interest in a cannabis production
1643     establishment or a medical cannabis pharmacy.
1644          (2) The Department of Agriculture and Food, the department, the Department of Public
1645     Safety, and the Division of Technology Services shall ensure that the state electronic
1646     verification system described in Subsection (1):
1647          (a) allows an individual to apply for a medical cannabis patient card or, if applicable, a
1648     medical cannabis guardian card, provided that the card may not become active until:
1649          (i) the relevant qualified medical provider completes the associated medical cannabis
1650     recommendation; or
1651          (ii) for a medical cannabis card related to a limited medical provider's
1652     recommendation, the medical cannabis pharmacy completes the recording described in
1653     Subsection (2)(d);
1654          (b) allows an individual to apply to renew a medical cannabis patient card or a medical
1655     cannabis guardian card in accordance with Section 26B-4-213;
1656          (c) allows a qualified medical provider, or an employee described in Subsection (3)
1657     acting on behalf of the qualified medical provider, to:
1658          (i) access dispensing and card status information regarding a patient:
1659          (A) with whom the qualified medical provider has a provider-patient relationship; and
1660          (B) for whom the qualified medical provider has recommended or is considering
1661     recommending a medical cannabis card;
1662          (ii) electronically recommendtreatment with cannabis in a medicinal dosage form or a
1663     cannabis product in a medicinal dosage form and optionally recommend dosing guidelines;
1664          (iii) electronically renew a recommendation to a medical cannabis patient cardholder or
1665     medical cannabis guardian cardholder:
1666          (A) using telehealth services, for the qualified medical provider who originally
1667     recommended a medical cannabis treatment during a face-to-face visit with the patient; or
1668          (B) during a face-to-face visit with the patient, for a qualified medical provider who
1669     did not originally recommend the medical cannabis treatment during a face-to-face visit; and
1670          (iv) submit an initial application, renewal application, or application payment on behalf

1671     of an individual applying for any of the following:
1672          (A) a medical cannabis patient card;
1673          (B) a medical cannabis guardian card; or
1674          (C) a medical cannabis caregiver card;
1675          (d) allows a medical cannabis pharmacy medical provider or medical cannabis
1676     pharmacy agent, in accordance with Subsection 4-41a-1101(10)(a), to:
1677          (i) access the electronic verification system to review the history within the system of a
1678     patient with whom the provider or agent is interacting, limited to read-only access for medical
1679     cannabis pharmacy agents unless the medical cannabis pharmacy's pharmacist in charge
1680     authorizes add and edit access;
1681          (ii) record a patient's recommendation from a limited medical provider, including any
1682     directions of use, dosing guidelines, or caregiver indications from the limited medical provider;
1683          (iii) record a limited medical provider's renewal of the provider's previous
1684     recommendation; and
1685          (iv) submit an initial application, renewal application, or application payment on behalf
1686     of an individual applying for any of the following:
1687          (A) a medical cannabis patient card;
1688          (B) a medical cannabis guardian card; or
1689          (C) a medical cannabis caregiver card;
1690          (e) connects with:
1691          (i) an inventory control system that a medical cannabis pharmacy uses to track in real
1692     time and archive purchases of any cannabis in a medicinal dosage form, cannabis product in a
1693     medicinal dosage form, or a medical cannabis device, including:
1694          (A) the time and date of each purchase;
1695          (B) the quantity and type of cannabis, cannabis product, or medical cannabis device
1696     purchased;
1697          (C) any cannabis production establishment, any medical cannabis pharmacy, or any
1698     medical cannabis courier associated with the cannabis, cannabis product, or medical cannabis
1699     device; and
1700          (D) the personally identifiable information of the medical cannabis cardholder who
1701     made the purchase; and

1702          (ii) any commercially available inventory control system that a cannabis production
1703     establishment utilizes in accordance with Section 4-41a-103 to use data that the Department of
1704     Agriculture and Food requires by rule, in accordance with Title 63G, Chapter 3, Utah
1705     Administrative Rulemaking Act, from the inventory tracking system that a licensee uses to
1706     track and confirm compliance;
1707          (f) provides access to:
1708          (i) the department to the extent necessary to carry out the department's functions and
1709     responsibilities under this part;
1710          (ii) the Department of Agriculture and Food to the extent necessary to carry out the
1711     functions and responsibilities of the Department of Agriculture and Food under Title 4, Chapter
1712     41a, Cannabis Production Establishments and Pharmacies; and
1713          (iii) the Division of Professional Licensing to the extent necessary to carry out the
1714     functions and responsibilities related to the participation of the following in the
1715     recommendation and dispensing of medical cannabis:
1716          (A) a podiatrist licensed under Title 58, Chapter 5a, Podiatric Physician Licensing Act;
1717          (B) a pharmacist licensed under Title 58, Chapter 17b, Pharmacy Practice Act;
1718          (C) an advanced practice registered nurse licensed under Title 58, Chapter 31b, Nurse
1719     Practice Act;
1720          (D) a physician licensed under Title 58, Chapter 67, Utah Medical Practice Act, or
1721     Title 58, Chapter 68, Utah Osteopathic Medical Practice Act; or
1722          (E) a physician assistant licensed under Title 58, Chapter 70a, Utah Physician Assistant
1723     Act;
1724          (g) provides access to and interaction with the state central patient portal;
1725          (h) communicates dispensing information from a record that a medical cannabis
1726     pharmacy submits to the state electronic verification system under Subsection
1727     4-41a-1102(3)(a)(ii) to the controlled substance database;
1728          (i) provides access to state or local law enforcement[:] only to verify the validity of an
1729     individual's medical cannabis card for the administration of criminal justice and through a
1730     database used by law enforcement; and
1731          [(i) during a law enforcement encounter, without a warrant, using the individual's
1732     driver license or state ID, only for the purpose of determining if the individual subject to the

1733     law enforcement encounter has a valid medical cannabis card; or]
1734          [(ii) after obtaining a warrant; and]
1735          (j) creates a record each time a person accesses the system that identifies the person
1736     who accesses the system and the individual whose records the person accesses.
1737          (3) (a) An employee of a qualified medical provider may access the electronic
1738     verification system for a purpose described in Subsection (2)(c) on behalf of the qualified
1739     medical provider if:
1740          (i) the qualified medical provider has designated the employee as an individual
1741     authorized to access the electronic verification system on behalf of the qualified medical
1742     provider;
1743          (ii) the qualified medical provider provides written notice to the department of the
1744     employee's identity and the designation described in Subsection (3)(a)(i); and
1745          (iii) the department grants to the employee access to the electronic verification system.
1746          (b) An employee of a business that employs a qualified medical provider may access
1747     the electronic verification system for a purpose described in Subsection (2)(c) on behalf of the
1748     qualified medical provider if:
1749          (i) the qualified medical provider has designated the employee as an individual
1750     authorized to access the electronic verification system on behalf of the qualified medical
1751     provider;
1752          (ii) the qualified medical provider and the employing business jointly provide written
1753     notice to the department of the employee's identity and the designation described in Subsection
1754     (3)(b)(i); and
1755          (iii) the department grants to the employee access to the electronic verification system.
1756          (4) (a) As used in this Subsection (4), "prescribing provider" means:
1757          (i) a podiatrist licensed under Title 58, Chapter 5a, Podiatric Physician Licensing Act;
1758          (ii) an advanced practice registered nurse licensed under Title 58, Chapter 31b, Nurse
1759     Practice Act;
1760          (iii) a physician licensed under Title 58, Chapter 67, Utah Medical Practice Act, or
1761     Title 58, Chapter 68, Utah Osteopathic Medical Practice Act; or
1762          (iv) a physician assistant licensed under Title 58, Chapter 70a, Utah Physician
1763     Assistant Act.

1764          (b) A prescribing provider may access information in the electronic verification system
1765     regarding a patient the prescribing provider treats.
1766          (5) The department may release limited data that the system collects for the purpose of:
1767          (a) conducting medical and other department approved research;
1768          (b) providing the report required by Section 26B-4-222; and
1769          (c) other official department purposes.
1770          (6) The department shall make rules, in accordance with Title 63G, Chapter 3, Utah
1771     Administrative Rulemaking Act, to establish:
1772          (a) the limitations on access to the data in the state electronic verification system as
1773     described in this section; and
1774          (b) standards and procedures to ensure accurate identification of an individual
1775     requesting information or receiving information in this section.
1776          (7) [(a) Any person who knowingly and intentionally releases any information in the
1777     state electronic verification system in violation of this section is guilty of a third degree felony.]
1778          [(b)] Any person who negligently or recklessly releases any information in the state
1779     electronic verification system in violation of this section is guilty of a class C misdemeanor.
1780          (8) [(a)] Any person who obtains or attempts to obtain information from the state
1781     electronic verification system by misrepresentation or fraud is guilty of a third degree felony.
1782          [(b) Any person who obtains or attempts to obtain information from the state electronic
1783     verification system for a purpose other than a purpose this part authorizes is guilty of a third
1784     degree felony.]
1785          (9) (a) Except as provided in [Subsection] Subsections (9)(c) and (9)(e), a person may
1786     not knowingly and intentionally use, release, publish, or otherwise make available to any other
1787     person information obtained from the state electronic verification system for any purpose other
1788     than a purpose specified in this section.
1789          (b) Each separate violation of this Subsection (9) is:
1790          (i) a third degree felony; and
1791          (ii) subject to a civil penalty not to exceed $5,000.
1792          (c) A law enforcement officer who uses the database used by law enforcement to
1793     access information in the electronic verification system for a reason that is not the
1794     administration of criminal justice is guilty of a class B misdemeanor.

1795          [(c)] (d) The department shall determine a civil violation of this Subsection (9) in
1796     accordance with Title 63G, Chapter 4, Administrative Procedures Act.
1797          [(d)] (e) Civil penalties assessed under this Subsection (9) shall be deposited into the
1798     General Fund.
1799          [(e)] (f) This Subsection (9) does not prohibit a person who obtains information from
1800     the state electronic verification system under Subsection (2)(a), (c), or (f) from:
1801          (i) including the information in the person's medical chart or file for access by a person
1802     authorized to review the medical chart or file;
1803          (ii) providing the information to a person in accordance with the requirements of the
1804     Health Insurance Portability and Accountability Act of 1996; or
1805          (iii) discussing or sharing that information about the patient with the patient.
1806          Section 16. Section 26B-4-204 is amended to read:
1807          26B-4-204. Qualified medical provider registration -- Continuing education --
1808     Treatment recommendation -- Limited medical provider.
1809          (1) (a) (i) Except as provided in Subsection (1)(b), an individual may not recommend a
1810     medical cannabis treatment unless the department registers the individual as a qualified
1811     medical provider in accordance with this section.
1812          (ii) Notwithstanding Subsection (1)(a)(i), a qualified medical provider who is podiatrist
1813     licensed under Title 58, Chapter 5a, Podiatric Physician Licensing Act, may not recommend a
1814     medical cannabis treatment except within the course and scope of a practice of podiatry, as that
1815     term is defined in Section 58-5a-102.
1816          (b) An individual who meets the recommending qualifications may recommend a
1817     medical cannabis treatment as a limited medical provider without registering under Subsection
1818     (1)(a) if:
1819          (i) the individual recommends the use of medical cannabis to the patient through an
1820     order described in Subsection (1)(c) after:
1821          (A) a face-to-face visit for an initial recommendation or the renewal of a
1822     recommendation for a patient for whom the limited medical provider did not make the patient's
1823     original recommendation; or
1824          (B) a visit using telehealth services for a renewal of a recommendation for a patient for
1825     whom the limited medical provider made the patient's original recommendation; and

1826          (ii) the individual's recommendation or renewal would not cause the total number of
1827     the individual's patients who have a valid medical cannabis patient card or provisional patient
1828     card resulting from the individual's recommendation to exceed 15.
1829          (c) The individual described in Subsection (1)(b) shall communicate the individual's
1830     recommendation through an order for the medical cannabis pharmacy to record the individual's
1831     recommendation or renewal in the state electronic verification system under the individual's
1832     recommendation that:
1833          (i) (A) the individual or the individual's employee sends electronically to a medical
1834     cannabis pharmacy; or
1835          (B) the individual gives to the patient in writing for the patient to deliver to a medical
1836     cannabis pharmacy; and
1837          (ii) may include:
1838          (A) directions of use or dosing guidelines; and
1839          (B) an indication of a need for a caregiver in accordance with Subsection
1840     26B-4-213(3)(c).
1841          (d) If the limited medical provider gives the patient a written recommendation to
1842     deliver to a medical cannabis pharmacy under Subsection (1)(c)(i)(B), the limited medical
1843     provider shall ensure that the document includes all of the information that is included on a
1844     prescription the provider would issue for a controlled substance, including:
1845          (i) the date of issuance;
1846          (ii) the provider's name, address and contact information, controlled substance license
1847     information, and signature; and
1848          (iii) the patient's name, address and contact information, age, and diagnosed qualifying
1849     condition.
1850          (e) In considering making a recommendation as a limited medical provider, an
1851     individual may consult information that the department makes available on the department's
1852     website for recommending providers.
1853          (2) (a) The department shall, within 15 days after the day on which the department
1854     receives an application from an individual, register and issue a qualified medical provider
1855     registration card to the individual if the individual:
1856          (i) provides to the department the individual's name and address;

1857          (ii) provides to the department an acknowledgment that the individual has completed
1858     four hours of continuing education related to medical cannabis;
1859          (iii) provides to the department evidence that the individual meets the recommending
1860     qualifications;
1861          (iv) for an applicant on or after November 1, 2021, provides to the department the
1862     information described in Subsection (10)(a); and
1863          (v) pays the department a fee in an amount that:
1864          (A) the department sets, in accordance with Section 63J-1-504; and
1865          (B) does not exceed $300 for an initial registration.
1866          (b) The department may not register an individual as a qualified medical provider if the
1867     individual is:
1868          (i) a pharmacy medical provider; or
1869          (ii) an owner, officer, director, board member, employee, or agent of a cannabis
1870     production establishment, a medical cannabis pharmacy, or a medical cannabis courier.
1871          (3) (a) An individual shall complete the continuing education related to medical
1872     cannabis in the following amounts:
1873          (i) for an individual as a condition precedent to registration, four hours; and
1874          (ii) for a qualified medical provider as a condition precedent to renewal, four hours
1875     every two years.
1876          (b) The department may, in consultation with the Division of Professional Licensing,
1877     develop continuing education related to medical cannabis.
1878          (c) The continuing education described in this Subsection (3) may discuss:
1879          (i) the provisions of this part;
1880          (ii) general information about medical cannabis under federal and state law;
1881          (iii) the latest scientific research on the endocannabinoid system and medical cannabis,
1882     including risks and benefits;
1883          (iv) recommendations for medical cannabis as it relates to the continuing care of a
1884     patient in pain management, risk management, potential addiction, or palliative care; and
1885          (v) best practices for recommending the form and dosage of [medical cannabis
1886     products] medical cannabis based on the qualifying condition underlying a medical cannabis
1887     recommendation.

1888          (4) (a) Except as provided in Subsection (4)(b), a qualified medical provider may not
1889     recommend a medical cannabis treatment to more than 1.5% of the total amount of medical
1890     cannabis patient cardholders.
1891          (b) If a qualified medical provider receives payment from an insurance plan for
1892     services provided under this chapter, then the patient whose insurance plan was billed does not
1893     count toward the 1.5% patient cap described in Subsection (4)(a).
1894          (5) A recommending medical provider may recommend medical cannabis to an
1895     individual under this part only in the course of a provider-patient relationship after the
1896     recommending medical provider has completed and documented in the patient's medical record
1897     a thorough assessment of the patient's condition and medical history based on the appropriate
1898     standard of care for the patient's condition.
1899          (6) (a) Except as provided in Subsection (6)(b), a person may not advertise that the
1900     person or the person's employee recommends a medical cannabis treatment.
1901          (b) Notwithstanding Subsection (6)(a) and Section 4-41a-109, a qualified medical
1902     provider [or clinic or], medical clinic, or medical office that employs a qualified medical
1903     provider may advertise only the following:
1904          (i) a green cross;
1905          (ii) the provider's or clinic's name and logo;
1906          (iii) a qualifying condition that the individual treats;
1907          (iv) that the individual is registered as a qualified medical provider and recommends
1908     medical cannabis; [or]
1909          (v) a scientific study regarding medical cannabis use[.]; or
1910          (vi) contact information.
1911          (7) (a) A qualified medical provider registration card expires two years after the day on
1912     which the department issues the card.
1913          (b) The department shall renew a qualified medical provider's registration card if the
1914     provider:
1915          (i) applies for renewal;
1916          (ii) is eligible for a qualified medical provider registration card under this section,
1917     including maintaining an unrestricted license under the recommending qualifications;
1918          (iii) certifies to the department in a renewal application that the information in

1919     Subsection (2)(a) is accurate or updates the information;
1920          (iv) submits a report detailing the completion of the continuing education requirement
1921     described in Subsection (3); and
1922          (v) pays the department a fee in an amount that:
1923          (A) the department sets, in accordance with Section 63J-1-504; and
1924          (B) does not exceed $50 for a registration renewal.
1925          (8) The department may revoke the registration of a qualified medical provider who
1926     fails to maintain compliance with the requirements of this section.
1927          (9) A recommending medical provider may not:
1928          (a) receive any compensation or benefit for the qualified medical provider's medical
1929     cannabis treatment recommendation from:
1930          [(a)] (i) a cannabis production establishment or an owner, officer, director, board
1931     member, employee, or agent of a cannabis production establishment;
1932          [(b)] (ii) a medical cannabis pharmacy or an owner, officer, director, board member,
1933     employee, or agent of a medical cannabis pharmacy; or
1934          [(c)] (iii) a recommending medical provider or pharmacy medical provider[.]; or
1935          (b) provide a medical cannabis recommendation at a medical clinic or medical office
1936     that is violating the advertising limitations described in Subsection (6).
1937          (10) (a) On or before November 1[, 2021,] each year, a qualified medical provider shall
1938     report to the department, in a manner designated by the department:
1939          (i) if applicable, that the qualified medical provider or the entity that employs the
1940     qualified medical provider represents online or on printed material that the qualified medical
1941     provider is a qualified medical provider or offers medical cannabis recommendations to
1942     patients; and
1943          (ii) (A) for cash payment without insurance, the fee amount that the qualified medical
1944     provider or the entity that employs the qualified medical provider charges a patient for a
1945     medical cannabis recommendation[, either] as an actual cash rate [or, if the provider or entity
1946     bills insurance, an average cash rate.]; and
1947          (B) whether the qualified medical provider or the entity that employs the qualified
1948     medical provider bills insurance.
1949          (b) The department shall:

1950          (i) ensure that the following information related to qualified medical providers and
1951     entities described in Subsection (10)(a)(i) is available on the department's website or on the
1952     health care price transparency tool under Subsection (10)(b)(ii):
1953          (A) the name of the qualified medical provider and, if applicable, the name of the
1954     entity that employs the qualified medical provider;
1955          (B) the address of the qualified medical provider's office or, if applicable, the entity
1956     that employs the qualified medical provider; and
1957          (C) the fee amount described in Subsection (10)(a)(ii)(A); and
1958          (ii) share data collected under this Subsection (10) with the state auditor for use in the
1959     health care price transparency tool described in Section 67-3-11.
1960          Section 17. Section 26B-4-207 is amended to read:
1961          26B-4-207. Nondiscrimination for medical care or government employment --
1962     Notice to prospective and current public employees -- No effect on private employers.
1963          (1) For purposes of medical care, including an organ or tissue transplant, a patient's
1964     use, in accordance with this part, of cannabis in a medicinal dosage form or a cannabis product
1965     in a medicinal dosage form:
1966          (a) is considered the equivalent of the authorized use of any other medication used at
1967     the discretion of a physician; and
1968          (b) does not constitute the use of an illicit substance or otherwise disqualify an
1969     individual from needed medical care.
1970          (2) For a violation of Section 34A-5-114, the Legislature may withhold future state
1971     appropriations from a state agency or political subdivision.
1972          [(2) (a) Notwithstanding any other provision of law and except as provided in
1973     Subsection (2)(b), the state or any political subdivision shall treat:]
1974          [(i) an employee's use of medical cannabis in accordance with this part or Section
1975     58-37-3.7 in the same way the state or political subdivision treats employee use of any
1976     prescribed controlled substance; and]
1977          [(ii) an employee's status as a medical cannabis cardholder or an employee's medical
1978     cannabis recommendation from a qualified medical provider or limited provider in the same
1979     way the state or political subdivision treats an employee's prescriptions for any prescribed
1980     controlled substance.]

1981          [(b) A state or political subdivision employee who has a valid medical cannabis card is
1982     not subject to retaliatory action, as that term is defined in Section 67-19a-101, for failing a drug
1983     test due to marijuana or tetrahydrocannabinol without evidence that the employee was impaired
1984     or otherwise adversely affected in the employee's job performance due to the use of medical
1985     cannabis.]
1986          [(c) Subsections (2)(a) and (b) do not apply:]
1987          [(i) where the application of Subsection (2)(a) or (b) would jeopardize federal funding,
1988     a federal security clearance, or any other federal background determination required for the
1989     employee's position;]
1990          [(ii) if the employee's position is dependent on a license or peace officer certification
1991     that is subject to federal regulations, including 18 U.S.C. Sec. 922(g)(3); or]
1992          [(iii) if an employee described in Subsections 34A-2-102(1)(h)(ii) through (vi) uses
1993     medical cannabis during the 12 hours immediately preceding the employee's shift or during the
1994     employee's shift.]
1995          (3) (a) (i) A state employer or a political subdivision employer shall take the action
1996     described in Subsection (3)(a)(ii) before:
1997          (A) giving to a current employee an assignment or duty that arises from or directly
1998     relates to an obligation under this part; or
1999          (B) hiring a prospective employee whose assignments or duties would include an
2000     assignment or duty that arises from or directly relates to an obligation under this part.
2001          (ii) The employer described in Subsection (3)(a)(i) shall give the employee or
2002     prospective employee described in Subsection (3)(a)(i) a written notice that notifies the
2003     employee or prospective employee:
2004          (A) that the employee's or prospective employee's job duties may require the employee
2005     or prospective employee to engage in conduct which is in violation of the criminal laws of the
2006     United States; and
2007          (B) that in accepting a job or undertaking a duty described in Subsection (3)(a)(i),
2008     although the employee or prospective employee is entitled to the protections of Title 67,
2009     Chapter 21, Utah Protection of Public Employees Act, the employee may not object or refuse to
2010     carry out an assignment or duty that may be a violation of the criminal laws of the United
2011     States with respect to the manufacture, sale, or distribution of cannabis.

2012          (b) The Division of Human Resource Management shall create, revise, and publish the
2013     form of the notice described in Subsection (3)(a).
2014          (c) Notwithstanding Subsection 67-21-3(3), an employee who has signed the notice
2015     described in Subsection (3)(a) may not:
2016          (i) claim in good faith that the employee's actions violate or potentially violate the laws
2017     of the United States with respect to the manufacture, sale, or distribution of cannabis; or
2018          (ii) refuse to carry out a directive that the employee reasonably believes violates the
2019     criminal laws of the United States with respect to the manufacture, sale, or distribution of
2020     cannabis.
2021          (d) An employer may not take retaliatory action as defined in Section 67-19a-101
2022     against a current employee who refuses to sign the notice described in Subsection (3)(a).
2023          (4) Nothing in this section requires a private employer to accommodate the use of
2024     medical cannabis or affects the ability of a private employer to have policies restricting the use
2025     of medical cannabis by applicants or employees.
2026          Section 18. Section 26B-4-213 is amended to read:
2027          26B-4-213. Medical cannabis patient card -- Medical cannabis guardian card --
2028     Conditional medical cannabis card -- Application -- Fees -- Studies.
2029          (1) (a) Subject to Section 26B-4-246, within 15 days after the day on which an
2030     individual who satisfies the eligibility criteria in this section or Section 26B-4-214 submits an
2031     application in accordance with this section or Section 26B-4-214, the department shall:
2032          (i) issue a medical cannabis patient card to an individual described in Subsection
2033     (2)(a);
2034          (ii) issue a medical cannabis guardian card to an individual described in Subsection
2035     (2)(b);
2036          (iii) issue a provisional patient card to a minor described in Subsection (2)(c); and
2037          (iv) issue a medical cannabis caregiver card to an individual described in Subsection
2038     26B-4-214(4).
2039          (b) (i) Upon the entry of a recommending medical provider's medical cannabis
2040     recommendation for a patient in the state electronic verification system, either by the provider
2041     or the provider's employee or by a medical cannabis pharmacy medical provider or medical
2042     cannabis pharmacy in accordance with Subsection 4-41a-1101(10)(a), the department shall

2043     issue to the patient an electronic conditional medical cannabis card, in accordance with this
2044     Subsection (1)(b).
2045          (ii) A conditional medical cannabis card is valid for the lesser of:
2046          (A) 60 days; or
2047          (B) the day on which the department completes the department's review and issues a
2048     medical cannabis card under Subsection (1)(a), denies the patient's medical cannabis card
2049     application, or revokes the conditional medical cannabis card under Subsection (8).
2050          (iii) The department may issue a conditional medical cannabis card to an individual
2051     applying for a medical cannabis patient card for which approval of the Compassionate Use
2052     Board is not required.
2053          (iv) An individual described in Subsection (1)(b)(iii) has the rights, restrictions, and
2054     obligations under law applicable to a holder of the medical cannabis card for which the
2055     individual applies and for which the department issues the conditional medical cannabis card.
2056          (2) (a) An individual is eligible for a medical cannabis patient card if:
2057          (i) (A) the individual is at least 21 years old; or
2058          (B) the individual is 18, 19, or 20 years old, the individual petitions the Compassionate
2059     Use Board under Section 26B-1-421, and the Compassionate Use Board recommends
2060     department approval of the petition;
2061          (ii) the individual is a Utah resident;
2062          (iii) the individual's recommending medical provider recommends treatment with
2063     medical cannabis in accordance with Subsection (4);
2064          (iv) the individual signs an acknowledgment stating that the individual received the
2065     information described in Subsection (9); and
2066          (v) the individual pays to the department a fee in an amount that, subject to Subsection
2067     26B-1-310(5), the department sets in accordance with Section 63J-1-504.
2068          (b) (i) An individual is eligible for a medical cannabis guardian card if the individual:
2069          (A) is at least 18 years old;
2070          (B) is a Utah resident;
2071          (C) is the parent or legal guardian of a minor for whom the minor's [qualified]
2072     recommending medical provider recommends a medical cannabis treatment, the individual
2073     petitions the Compassionate Use Board under Section 26B-1-421, and the Compassionate Use

2074     Board recommends department approval of the petition;
2075          (D) the individual signs an acknowledgment stating that the individual received the
2076     information described in Subsection (9); and
2077          (E) pays to the department a fee in an amount that, subject to Subsection 26B-1-310(5),
2078     the department sets in accordance with Section 63J-1-504, plus the cost of the criminal
2079     background check described in Section 26B-4-215.
2080          (ii) The department shall notify the Department of Public Safety of each individual that
2081     the department registers for a medical cannabis guardian card.
2082          (c) (i) A minor is eligible for a provisional patient card if:
2083          (A) the minor has a qualifying condition;
2084          (B) the minor's [qualified] recommending medical provider recommends a medical
2085     cannabis treatment to address the minor's qualifying condition;
2086          (C) one of the minor's parents or legal guardians petitions the Compassionate Use
2087     Board under Section 26B-1-421, and the Compassionate Use Board recommends department
2088     approval of the petition; and
2089          (D) the minor's parent or legal guardian is eligible for a medical cannabis guardian card
2090     under Subsection (2)(b) or designates a caregiver under Subsection (2)(d) who is eligible for a
2091     medical cannabis caregiver card under Section 26B-4-214.
2092          (ii) The department shall automatically issue a provisional patient card to the minor
2093     described in Subsection (2)(c)(i) at the same time the department issues a medical cannabis
2094     guardian card to the minor's parent or legal guardian.
2095          (d) If the parent or legal guardian of a minor described in Subsections (2)(c)(i)(A)
2096     through (C) does not qualify for a medical cannabis guardian card under Subsection (2)(b), the
2097     parent or legal guardian may designate up to two caregivers in accordance with Subsection
2098     26B-4-214(1)(c) to ensure that the minor has adequate and safe access to the recommended
2099     medical cannabis treatment.
2100          (3) (a) An individual who is eligible for a medical cannabis card described in
2101     Subsection (2)(a) or (b) shall submit an application for a medical cannabis card to the
2102     department:
2103          (i) through an electronic application connected to the state electronic verification
2104     system;

2105          (ii) with the recommending medical provider; and
2106          (iii) with information including:
2107          (A) the applicant's name, gender, age, and address;
2108          (B) the number of the applicant's government issued photo identification;
2109          (C) for a medical cannabis guardian card, the name, gender, and age of the minor
2110     receiving a medical cannabis treatment under the cardholder's medical cannabis guardian card;
2111     and
2112          (D) for a provisional patient card, the name of the minor's parent or legal guardian who
2113     holds the associated medical cannabis guardian card.
2114          (b) The department shall ensure that a medical cannabis card the department issues
2115     under this section contains the information described in Subsection (3)(a)(iii).
2116          (c) (i) If a recommending medical provider determines that, because of age, illness, or
2117     disability, a medical cannabis patient cardholder requires assistance in administering the
2118     medical cannabis treatment that the recommending medical provider recommends, the
2119     recommending medical provider may indicate the cardholder's need in the state electronic
2120     verification system, either directly or, for a limited medical provider, through the order
2121     described in Subsections 26B-4-204(1)(c) and (d).
2122          (ii) If a recommending medical provider makes the indication described in Subsection
2123     (3)(c)(i):
2124          (A) the department shall add a label to the relevant medical cannabis patient card
2125     indicating the cardholder's need for assistance;
2126          (B) any adult who is 18 years old or older and who is physically present with the
2127     cardholder at the time the cardholder needs to use the recommended medical cannabis
2128     treatment may handle the medical cannabis treatment and any associated medical cannabis
2129     device as needed to assist the cardholder in administering the recommended medical cannabis
2130     treatment; and
2131          (C) an individual of any age who is physically present with the cardholder in the event
2132     of an emergency medical condition, as that term is defined in Section 31A-1-301, may handle
2133     the medical cannabis treatment and any associated medical cannabis device as needed to assist
2134     the cardholder in administering the recommended medical cannabis treatment.
2135          (iii) A non-cardholding individual acting under Subsection (3)(c)(ii)(B) or (C) may not:

2136          (A) ingest or inhale medical cannabis;
2137          (B) possess, transport, or handle medical cannabis or a medical cannabis device outside
2138     of the immediate area where the cardholder is present or with an intent other than to provide
2139     assistance to the cardholder; or
2140          (C) possess, transport, or handle medical cannabis or a medical cannabis device when
2141     the cardholder is not in the process of being dosed with medical cannabis.
2142          (4) To recommend a medical cannabis treatment to a patient or to renew a
2143     recommendation, a recommending medical provider shall:
2144          (a) visit with the patient face-to-face for an initial recommendation unless the patient:
2145          (i) prefers a virtual visit; and
2146          (ii) (A) is on hospice or has a terminal illness according to the patient's medical
2147     provider; or
2148          (B) is a resident of an assisted living facility, as defined in Section 26B-2-201, or a
2149     nursing care facility, as defined in Section 26B-2-201;
2150          (b) before recommending or renewing a recommendation for medical cannabis in a
2151     medicinal dosage form or a cannabis product in a medicinal dosage form:
2152          (i) verify the patient's and, for a minor patient, the minor patient's parent or legal
2153     guardian's government issued photo identification described in Subsection (3)(a);
2154          (ii) review any record related to the patient and, for a minor patient, the patient's parent
2155     or legal guardian in:
2156          (A) for a qualified medical provider, the state electronic verification system; and
2157          (B) the controlled substance database created in Section 58-37f-201; and
2158          (iii) consider the recommendation in light of the patient's qualifying condition, history
2159     of substance use or opioid use disorder, and history of medical cannabis and controlled
2160     substance use during a visit with the patient; and
2161          (c) state in the recommending medical provider's recommendation that the patient:
2162          (i) suffers from a qualifying condition, including the type of qualifying condition; and
2163          (ii) may benefit from treatment with cannabis in a medicinal dosage form or a cannabis
2164     product in a medicinal dosage form.
2165          (5) (a) Except as provided in Subsection (5)(b) or (c), a medical cannabis card that the
2166     department issues under this section is valid for the lesser of:

2167          (i) an amount of time that the recommending medical provider determines; or
2168          (ii) one year from the day the card is issued.
2169          (b) (i) A medical cannabis card that the department issues in relation to a terminal
2170     illness described in Section 26B-4-203 expires after one year.
2171          (ii) The recommending medical provider may revoke a recommendation that the
2172     provider made in relation to a terminal illness described in Section 26B-4-203 if the medical
2173     cannabis cardholder no longer has the terminal illness.
2174          (c) A medical cannabis card that the department issues in relation to acute pain as
2175     described in Section 26B-4-203 expires 30 days after the day on which the department first
2176     issues a conditional or full medical cannabis card.
2177          (6) (a) A medical cannabis patient card or a medical cannabis guardian card is
2178     renewable if:
2179          (i) at the time of renewal, the cardholder meets the requirements of Subsection (2)(a) or
2180     (b); or
2181          (ii) the cardholder received the medical cannabis card through the recommendation of
2182     the Compassionate Use Board under Section 26B-1-421.
2183          (b) The recommending medical provider who made the underlying recommendation
2184     for the card of a cardholder described in Subsection (6)(a) may renew the cardholder's card
2185     through phone or video conference with the cardholder, at the recommending medical
2186     provider's discretion.
2187          (c) Before having access to a renewed card, a cardholder under Subsection (2)(a) or (b)
2188     shall pay to the department a renewal fee in an amount that:
2189          (i) subject to Subsection 26B-1-310(5), the department sets in accordance with Section
2190     63J-1-504; and
2191          (ii) may not exceed the cost of the relatively lower administrative burden of renewal in
2192     comparison to the original application process.
2193          (d) If a minor meets the requirements of Subsection (2)(c), the minor's provisional
2194     patient card renews automatically at the time the minor's parent or legal guardian renews the
2195     parent or legal guardian's associated medical cannabis guardian card.
2196          (7) (a) A cardholder under this section shall carry the cardholder's valid medical
2197     cannabis card with the patient's name.

2198          (b) (i) A medical cannabis patient cardholder or a provisional patient cardholder may
2199     purchase, in accordance with this part and the recommendation underlying the card, cannabis in
2200     a medicinal dosage form, a cannabis product in a medicinal dosage form, or a medical cannabis
2201     device.
2202          (ii) A cardholder under this section may possess or transport, in accordance with this
2203     part and the recommendation underlying the card, cannabis in a medicinal dosage form, a
2204     cannabis product in a medicinal dosage form, or a medical cannabis device.
2205          (iii) To address the qualifying condition underlying the medical cannabis treatment
2206     recommendation:
2207          (A) a medical cannabis patient cardholder or a provisional patient cardholder may use
2208     [cannabis in a medicinal dosage form, a medical cannabis product in a medicinal dosage form,
2209     or] medical cannabis or a medical cannabis device; and
2210          (B) a medical cannabis guardian cardholder may assist the associated provisional
2211     patient cardholder with the use of [cannabis in a medicinal dosage form, a medical cannabis
2212     product in a medicinal dosage form,] medical cannabis or a medical cannabis device.
2213          (8) (a) The department may revoke a medical cannabis card that the department issues
2214     under this section if:
2215          (i) the recommending medical provider withdraws the medical provider's
2216     recommendation for medical cannabis; or
2217          (ii) the cardholder:
2218          (A) violates this part; or
2219          (B) is convicted under state or federal law of, after March 17, 2021, a drug distribution
2220     offense.
2221          (b) The department may not refuse to issue a medical cannabis card to a patient solely
2222     based on a prior revocation under Subsection (8)(a)(i).
2223          (9) The department shall establish by rule, in accordance with Title 63G, Chapter 3,
2224     Utah Administrative Rulemaking Act, a process to provide information regarding the following
2225     to an individual receiving a medical cannabis card:
2226          (a) risks associated with medical cannabis treatment;
2227          (b) the fact that a condition's listing as a qualifying condition does not suggest that
2228     medical cannabis treatment is an effective treatment or cure for that condition, as described in

2229     Subsection 26B-4-203(1); and
2230          (c) other relevant warnings and safety information that the department determines.
2231          (10) The department may establish procedures by rule, in accordance with Title 63G,
2232     Chapter 3, Utah Administrative Rulemaking Act, to implement the application and issuance
2233     provisions of this section.
2234          (11) (a) On or before September 1, 2021, the department shall establish by rule, in
2235     accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, a process to allow
2236     an individual from another state to register with the department in order to purchase medical
2237     cannabis or a medical cannabis device from a medical cannabis pharmacy while the individual
2238     is visiting the state.
2239          (b) The department may only provide the registration process described in Subsection
2240     (11)(a):
2241          (i) to a nonresident patient; and
2242          (ii) for no more than two visitation periods per calendar year of up to 21 calendar days
2243     per visitation period.
2244          (12) (a) A person may submit to the department a request to conduct a research study
2245     using medical cannabis cardholder data that the state electronic verification system contains.
2246          (b) The department shall review a request described in Subsection (12)(a) to determine
2247     whether an institutional review board, as that term is defined in Section 26B-4-201, could
2248     approve the research study.
2249          (c) At the time an individual applies for a medical cannabis card, the department shall
2250     notify the individual:
2251          (i) of how the individual's information will be used as a cardholder;
2252          (ii) that by applying for a medical cannabis card, unless the individual withdraws
2253     consent under Subsection (12)(d), the individual consents to the use of the individual's
2254     information for external research; and
2255          (iii) that the individual may withdraw consent for the use of the individual's
2256     information for external research at any time, including at the time of application.
2257          (d) An applicant may, through the medical cannabis card application, and a medical
2258     cannabis cardholder may, through the state central patient portal, withdraw the applicant's or
2259     cardholder's consent to participate in external research at any time.

2260          (e) The department may release, for the purposes of a study described in this
2261     Subsection (12), information about a cardholder under this section who consents to participate
2262     under Subsection (12)(c).
2263          (f) If an individual withdraws consent under Subsection (12)(d), the withdrawal of
2264     consent:
2265          (i) applies to external research that is initiated after the withdrawal of consent; and
2266          (ii) does not apply to research that was initiated before the withdrawal of consent.
2267          (g) The department may establish standards for a medical research study's validity, by
2268     rule made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
2269          (13) The department shall record the issuance or revocation of a medical cannabis card
2270     under this section in the controlled substance database.
2271          Section 19. Section 26B-4-245 is amended to read:
2272          26B-4-245. Purchasing and use limitations -- Exception.
2273          (1) An individual with a medical cannabis card:
2274          [(1)] (a) may purchase, in any one 28-day period, up to the legal dosage limit of:
2275          [(a)] (i) unprocessed cannabis in a medicinal dosage form; and
2276          [(b)] (ii) a cannabis product in a medicinal dosage form;
2277          [(2)] (b) may not purchase:
2278          [(a)] (i) except as provided in Subsection (2), more medical cannabis than described in
2279     Subsection (1)(a); or
2280          [(b)] (ii) if the relevant recommending medical provider did not recommend directions
2281     of use and dosing guidelines, until the individual consults with the pharmacy medical provider
2282     in accordance with Subsection 26B-4-231(4), any medical cannabis; and
2283          [(3)] (c) may not use a route of administration that the relevant recommending medical
2284     provider or the pharmacy medical provider, in accordance with Subsection 26B-4-231(4), has
2285     not recommended.
2286          (2) (a) A qualified medical provider may petition the department to waive the 28-day
2287     period limit described in Subsection (1)(a) for a medical cannabis cardholder if the medical
2288     cannabis cardholder:
2289          (i) has been diagnosed with a terminal illness;
2290          (ii) has a life expectancy of six months or less; and

2291          (iii) needs the waiver for palliative purposes.
2292          (b) The department shall:
2293          (i) consult with the Compassionate Use Board to determine whether the waiver should
2294     be granted;
2295          (ii) issue a response to the petition within 10 days from the day on which the petition is
2296     received.
2297          (c) The department may waive the 28-day period limit for no more than 180 days.
2298          (d) A petition described in this Subsection (2) may be combined with the petition
2299     described in Subsection 26B-1-421(6).
2300          Section 20. Section 34A-5-114 is enacted to read:
2301          34A-5-114. Nondiscrimination for medical cannabis use while employed by the
2302     government.
2303          (1) As used in this section:
2304          (a) "Adverse employment action" means any of the following in regards to an
2305     employee:
2306          (i) dismissal from employment;
2307          (ii) suspension from employment;
2308          (iii) reduction in compensation;
2309          (iv) failing to increase compensation by an amount that the employee is otherwise
2310     entitled to or was promised;
2311          (v) failure to promote an employee if the employee would have otherwise been
2312     promoted; or
2313          (vi) threaten to take an action described in Subsections (1)(a)(i) through (v).
2314          (b) "Medical cannabis" means the same as that term is defined in Section 26B-4-201.
2315          (c) "Medical cannabis cardholder" means the same as that term is defined in Section
2316     26B-4-201.
2317          (2) Notwithstanding any other provision of law and except as provided in Subsection
2318     (4), the state or any political subdivision shall treat:
2319          (a) an employee's use of medical cannabis in accordance with Title 26B, Chapter 4,
2320     Part 2, Cannabinoid Research and Medical Cannabis, or Section 58-37-3.7 in the same way the
2321     state or political subdivision treats employee use of any prescribed controlled substance; and

2322          (b) an employee's status as a medical cannabis cardholder or an employee's medical
2323     cannabis recommendation in the same manner the state or political subdivision treats an
2324     employee's prescriptions for any prescribed controlled substance.
2325          (3) A state or political subdivision employee who has a valid medical cannabis card is
2326     not subject to an adverse employment action for failing a drug test due to marijuana or
2327     tetrahydrocannabinol without evidence that the employee was impaired or otherwise adversely
2328     affected in the employee's job performance due to the use of medical cannabis.
2329          (4) Subsections (2) and (3) do not apply:
2330          (a) where the application of Subsection (2) or (3) would jeopardize federal funding, a
2331     federal security clearance, or any other federal background determination required for the
2332     employee's position;
2333          (b) if the employee's position is dependent on a license or peace officer certification
2334     that is subject to federal regulations, including 18 U.S.C. Sec. 922(g)(3); or
2335          (c) if an employee described in Subsections 34A-2-102(1)(h)(ii) through (vi) uses
2336     medical cannabis during the 12 hours immediately preceding the employee's shift or during the
2337     employee's shift.
2338          (5) An employee described in this section:
2339          (a) may file a complaint in accordance with Section 34A-5-107 with the commission;
2340     and
2341          (b) is entitled to any remedies under this chapter for an employer's violation of
2342     Subsection (2) or (3).
2343          (6) Nothing in this section requires a private employer to accommodate the use of
2344     medical cannabis or affects the ability of a private employer to have policies restricting the use
2345     of medical cannabis by applicants or employees.
2346          Section 21. Section 63I-2-236 is amended to read:
2347          63I-2-236. Repeal dates: Title 36.
2348          (1) Section 36-12-8.2 is repealed July 1, [2024] 2025.
2349          (2) Section 36-29-107.5 is repealed on November 30, 2024.
2350          (3) Section 36-29-109 is repealed on November 30, 2027.
2351          (4) Section 36-29-110 is repealed on November 30, 2024.
2352          (5) Section 36-29-111 is repealed July 1, 2025.

2353          (6) The following sections regarding the State Flag Task Force are repealed on January
2354     1, 2024:
2355          (a) Section 36-29-201;
2356          (b) Section 36-29-202; and
2357          (c) Section 36-29-203.
2358          (7) Title 36, Chapter 29, Part 3, Mental Illness Psychotherapy Drug Task Force, is
2359     repealed December 31, 2023.
2360          Section 22. Effective date.
2361          This bill takes effect on May 1, 2024.