AB 2641: Cannabis: licenses: onsite sales: temporary events.

The Control, Regulate and Tax Adult Use of Marijuana Act (AUMA), an initiative measure approved as Proposition 64 at the November 8, 2016, statewide general election, authorizes a person who obtains a state license under AUMA to engage in commercial adult-use cannabis activity pursuant to that license and applicable local ordinances. The Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA), among other things, consolidates the licensure and regulation of commercial medicinal and adult-use cannabis activities. MAUCRSA gives the Bureau of Cannabis Control in the Department of Consumer Affairs the power, duty, purpose, responsibility, and jurisdiction to regulate commercial cannabis activity in the state as provided by the act. MAUCRSA does not supersede or limit the authority of a local jurisdiction to adopt and enforce local ordinances to regulate commercial cannabis businesses within that local jurisdiction. MAUCRSA authorizes an applicant to apply to all applicable state licensing authorities to obtain a state license to engage in commercial adult-use cannabis activity, and requires the applicant to obtain a separate license for each location where the applicant engages in commercial cannabis activity.

MAUCRSA authorizes a state licensing authority to issue does not prohibit the issuance of a state temporary event license to a licensee authorizing onsite cannabis sales to, and consumption by, persons 21 years of age or older at a county fair or district agricultural association event, provided that certain other requirements are met. Under existing administrative law, the bureau has adopted regulations that govern the issuance of may issue a state temporary cannabis event license. license to allow retailers and microbusinesses to make onsite sales of cannabis goods at a cannabis event.

This bill would specifically authorize the Bureau of Cannabis Control bureau to issue such a state temporary event license. license to a licensee under MAUCRSA that meets prescribed requirements, including having a valid license, permit, or other authorization, issued by a local jurisdiction that enables the licensee to conduct commercial cannabis activity. The bill would specifically prohibit the bureau from issuing a state temporary cannabis event license for a particular event unless the local jurisdiction in which the event will be held has approved the event.

The bill would authorize authorize, until January 1, 2024, a qualified manufacturer or cultivator licensee to apply for a temporary cannabis retailer license by submitting an application to the bureau and to include in that application a list, signed under penalty of perjury, detailing all of the owners of the business, and all of the other cannabis business licenses owned by each of those owners. By expanding the scope of the existing crime of perjury, this bill would impose a state-mandated local program. The bill would authorize the bureau to issue a temporary cannabis retailer license to a qualified manufacturer or cultivator licensee for the retail sale and delivery of cannabis or cannabis products to customers at a licensed temporary cannabis event and would make the license valid only for the duration of the particular temporary cannabis event for which the license was issued. The bill would prohibit the bureau from issuing more than 4 temporary cannabis retailer licenses to a particular qualified manufacturer or cultivator licensee pursuant to these provisions in a calendar year. The bill would require the bureau, in coordination with the State Department of Public Health and the Department of Food and Agriculture, to establish a process by which an applicant for temporary cannabis retailer license can demonstrate that he or she has a valid manufacturer or cultivation license and complies with the requirements of these provisions. The bill would require a temporary cannabis retailer licensee to comply with all other requirements imposed on retailers by MAUCRSA and would limit the licensee to selling cannabis he or she cultivated or cannabis products he or she manufactured, as applicable. The bill would require that a distributor licensee transport cannabis and cannabis products between the licensed premises of the manufacturer or cultivator and the temporary cannabis event venue.

The Control, Regulate and Tax Adult Use of Marijuana Act, an initiative measure, authorizes the Legislature to amend the act to further the purposes and intent of the act with a ²/₃ vote of the membership of both houses of the Legislature.

This bill would declare that its provisions further specified purposes and intent of the act.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.