SB734 - Relating to authorizing the possession, use, cultivation, distribution, delivery, sale, and research of medical cannabis for medical use by patients with certain medical conditions and the licensing of medical cannabis organizations; authorizing a fee.

  89R4874 LHC-D     By: Menéndez S.B. No. 734       A BILL TO BE ENTITLED   AN ACT   relating to authorizing the possession, use, cultivation,   distribution, delivery, sale, and research of medical cannabis for   medical use by patients with certain medical conditions and the   licensing of medical cannabis organizations; authorizing a fee.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:   ARTICLE 1. CHANGES TO TEXAS COMPASSIONATE USE PROGRAM          SECTION 1.01.  Section 487.001, Health and Safety Code, is   amended to read as follows:          Sec. 487.001.  DEFINITIONS. In this chapter:                (1)   "Caregiver" means a person who has a significant   responsibility for managing the well-being of a registered patient.   A caregiver may be either an individual or an organization or other   entity, including a long-term care facility, other health care   organization, or public institution.                 (2)   "Department" means the Department of Public   Safety.                 (3)  [ (2) ]  "Director" means the public safety director   of the department.                [ (3)     "Dispensing organization" means an organization   licensed by the department to cultivate, process, and dispense   low-THC cannabis to a patient for whom low-THC cannabis is   prescribed under Chapter 169, Occupations Code. ]                (4)  " Medical [ Low-THC ] cannabis" has the meaning   assigned by Section 169.001, Occupations Code.                 (5)     "Medical cannabis organization" means any   organization that cultivates, processes, manufactures,   distributes, researches, tests, dispenses, or conducts other   business regarding medical cannabis as authorized by a license   issued by the department under this chapter.                 (6)     "Medical cannabis product" means a product, other   than cannabis itself, which contains or is derived from cannabis.   The term does not include a product derived from hemp, as defined by   Section 121.001, Agriculture Code, or a consumable hemp product, as   defined by Section 443.001 of this code.                 (7)     "Medical use" has the meaning assigned by Section   169.001, Occupations Code.          SECTION 1.02.  Subchapter A, Chapter 487, Health and Safety   Code, is amended by adding Section 487.002 to read as follows:           Sec.   487.002.     ALLOWABLE AMOUNT OF MEDICAL CANNABIS. The   allowable amount of medical cannabis for a person for whom medical   use is recommended under Chapter 169, Occupations Code, is an   amount of cannabis in any form approved by the physician possessed   by a qualified patient or collectively possessed by a qualified   patient and the qualified patient's caregiver that is:                 (1)     not more than reasonably necessary to ensure the   uninterrupted availability of cannabis for a period of three months   based on the individual patient's recommended amount of medical   cannabis; and                 (2)     obtained solely from a medical cannabis   organization.          SECTION 1.03.  Chapter 487, Health and Safety Code, is   amended by adding Subchapter A-1 to read as follows:   SUBCHAPTER A-1. PROTECTIONS RELATED TO MEDICAL USE OF CANNABIS           Sec.   487.021.     PROTECTION FROM LEGAL ACTION. (a)   This   section applies to a person who is:                 (1)     a patient for whom medical use is recommended   under Chapter 169, Occupations Code, or the parent, legal guardian,   or caregiver of a patient;                 (2)  a medical cannabis organization;                 (3)     a director, manager, or employee of a medical   cannabis organization who is registered with the department under   Section 487.053; or                 (4)     a person participating as a researcher or patient   in an approved research program under Subchapter G, Chapter 481.           (b)     Notwithstanding any other law, a person described by   Subsection (a) is not subject to arrest, prosecution, or penalty in   any manner, or denial of any right or privilege, including any civil   penalty or disciplinary action by a court or occupational or   professional licensing board or bureau, for conduct involving   medical use that is authorized under this chapter, Subchapter G,   Chapter 481, of this code, Chapter 169, Occupations Code, or   department rule.           Sec.   487.022.     NO PRESUMPTION OF CHILD ABUSE, NEGLECT, OR   ENDANGERMENT.   A person described by Section 487.021(a) may not be   presumed to have engaged in conduct constituting child abuse,   neglect, or endangerment solely because the person engaged in   conduct involving medical use that is authorized under this   chapter, Subchapter G, Chapter 481, of this code, Chapter 169,   Occupations Code, or department rule.           Sec.   487.023.     NO DENIAL OF PARENTAL RIGHTS. The fact that a   person described by Section 487.021(a) engages in conduct   authorized under this chapter, Subchapter G, Chapter 481, of this   code, Chapter 169, Occupations Code, or department rule, does not   in itself constitute grounds for denying, limiting, or restricting   conservatorship or possession of or access to a child under Title 5,   Family Code.           Sec.   487.024.     NO SEIZURE OR FORFEITURE. Property used in   the cultivation, research, testing, processing, distribution,   transportation, and delivery of medical cannabis for medical use   that is authorized under this chapter, Subchapter G, Chapter 481,   of this code, Chapter 169, Occupations Code, or department rule, is   not contraband for purposes of Chapter 59, Code of Criminal   Procedure, and is not subject to seizure or forfeiture under that   chapter or other law solely for the use of the property in those   authorized activities.           Sec.   487.025.     NO PROSECUTION FOR PROVISION OF   PARAPHERNALIA. A person is not subject to arrest, prosecution, or   the imposition of any sentence or penalty for the delivery,   possession with intent to deliver, or manufacture of any item that   meets the definition of drug paraphernalia, as defined by Section   481.002, if that item is delivered, possessed with intent to   deliver, or manufactured for the sole purpose of providing that   item to:                 (1)     a patient for whom medical use is recommended   under Chapter 169, Occupations Code, or the parent, legal guardian,   or caregiver of a patient;                 (2)  a medical cannabis organization;                 (3)     a director, manager, or employee of a medical   cannabis organization who is registered with the department under   Section 487.053; or                 (4)     a person participating as a researcher or patient   in an approved research program under Subchapter G, Chapter 481.           Sec.   487.026.     NO PUNISHMENT FOR STUDENT PATIENTS AND THEIR   CAREGIVERS. Notwithstanding any other law:                 (1)     a student enrolled in any school, junior college,   college, university, or other educational institution for whom   medical cannabis was recommended under Chapter 169, Occupations   Code, may not be subject to suspension, expulsion, placement in a   disciplinary alternative education program, or any other form of   discipline solely because the student possessed, used, or received   a valid recommendation for medical cannabis; and                 (2)     a health care professional providing services at   any school, junior college, college, university, or other   educational institution may not be subject to any discipline solely   for assisting a student in the administration of medical cannabis.          SECTION 1.04.  Section 487.052, Health and Safety Code, is   amended to read as follows:          Sec. 487.052.  RULES ; FEES . (a)   The director shall adopt   any rules necessary for the administration and enforcement of this   chapter .           (b)  The director shall adopt [ , including ] rules imposing   reasonable fees under this chapter in amounts sufficient to cover   the cost of administering this chapter.   The department shall also   use revenue from fees to establish a cannabis testing and quality   control fund for the purpose of assisting law enforcement,   including accredited crime laboratories, to purchase instruments,   establish methods, and obtain resources needed to conduct forensic   analysis necessary to enforce this subtitle and to protect the   health and safety of medical cannabis patients and the public.           (c)  The fees adopted under Subsection (b) may not exceed:                 (1)  $5,000 for application fees;                 (2)  $100 for registration fees under Subchapter D; and                 (3)     reasonable amounts for the issuance or renewal of   each class of license.           (d)     The director may not adopt rules establishing a total   limit on the number of medical cannabis organization licenses by   class that may be granted nor set the price of or production   quantity of medical cannabis.          SECTION 1.05.  Subchapter B, Chapter 487, Health and Safety   Code, is amended by adding Sections 487.0521 and 487.0522 to read as   follows:           Sec.   487.0521.     SAFETY. (a)   The director by rule shall   adopt packaging and labeling requirements for medical cannabis to   ensure patients are informed and protected.   In adopting packaging   and labeling requirements, the director shall ensure that:                 (1)     each medical cannabis package is labeled with the   cannabinoid potency and terpenes profile of medical cannabis or   medical cannabis product as determined by an independent testing   laboratory;                 (2)     each medical cannabis product and medical cannabis   package is labeled with the required warnings as determined by the   department; and                 (3)     the packaging and label of medical cannabis or a   medical cannabis product:                       (A)     do not contain any false or misleading   statements; and                       (B)  are not designed to appeal to children.           (b)     The director shall adopt necessary rules to allow the   department to monitor the safety and efficacy of medical cannabis   or medical cannabis products, including rules:                 (1)     requiring accurate reporting to consumers   regarding the content of medical cannabis or medical cannabis   products;                 (2)     providing for random testing by the department or   the department's designee to ensure compliance with labeling and   reporting requirements; and                 (3)     providing for health and safety regulations and & [Text truncated for display. 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