California Assembly Bill 266—What is the Scoop?

On June
4, 2015, California State Assembly passed AB-266, the hottest “strain” of
medical cannabis legislation, in a historic vote of 60 to 8. Now it is off to
the California Senate for a vote.

Born of
two rival proposals, AB-266 aims to create a happy medium between enforcement
and industry. The California Police Chief’s Association, the League of Cities
and some cannabis industry backers came together to create a “regulatory
structure” for California’s Compassionate Use Act. Under AB-266, The
Golden State’s billion-dollar medical cannabis industry stands a good chance of
getting its first-ever state-level regulations.

OVERHAULING
THE CUA

Nothing
is wrong with the Compassionate Use Act, if you like instructions for a machine
that doesn’t exist. California passed the CUA in 1996 as the nation’s first
state to create legal medical cannabis. The CUA has been marked by conflicting
authority, regulatory chaos and patchwork enforcement. Worse, California has
yet to create an organized vehicle to carry out CUA rules. AB-266 is the new
iOS update for the CUA and MMP that attempts to fix the “bugs” and clarifies
implementation.

INTRODUCING
THE MEDICAL MARIJUANA BUREAU

The
primary purpose of AB-266 is to establish a Bureau of Medical Marijuana
Regulation under the Department of Consumer Affairs to oversee a regulatory
system and issue conditional licenses to cannabis businesses. While cities and
counties would continue to issue final licenses and enforce regulations for
sales and cultivation, an advisory committee must evaluate whether there is a
need to develop industry-specific regulations for facilities issued conditional
licenses.

GET
THE DETAILS

AB-266
would allow licensing for cultivation sites, testing and distribution of
medical cannabis, and authorize additional local taxation.

On the
medical front, this bill specifies that recommending cannabis to patients
without an appropriate medical examination and a medical indication is
“unprofessional conduct.” The bill sets forth specific acts that must be
undergone to evaluate the appropriateness of a cannabis recommendation.
Further, this bill also requires the Medical Board of California to consult
with the Center for Medicinal Cannabis Research on developing and adopting
medical guidelines for the administration and use of marijuana.

On the
enforcement front, AB-266 would require the Department of California Highway
Patrol to establish protocols for cannabis DUI investigations.

Local
ordinances would remain in effect such as Los Angeles’s Prop D.

AB-266—“NOT
PERFECT”

Although
there is widespread support, some advocates and law enforcement oppose AB-266.
Specifically, the California Cannabis Industry Association opposes AB-266, in part
because they are opposed to the split of responsibilities amongst agencies.

However,
opposition to AB-266 mostly comes from hardcore cannabis activists and
law-enforcement groups; the former want fewer regulations—and the latter simply
want cannabis to be illegal.

Our
main concerns: The
proposed bill continues the patchwork of bans and restrictions on cultivation
and distribution that have been enacted by about half of California’s cities.
For example, patients in places such as Sacramento County and Fresno, as a
result, would remain behind enemy lines. This would likely maintain the slow
progress in legal cultivation and distribution.

Eventually,
local pot industry tax revenue is going to be a huge motivating factor to ease
local bans. There are an estimated 40,000 cultivation sites throughout
California, and an estimated 4,000 medical cannabis dispensaries. Although
we foresee that statewide rules would ease local bans over time, that could
take a long time.

NOW
WHAT?

A
recent poll by the Public Policy Institute of California reports that
55 percent of California voters favor legalizing for recreational uses. Courts
and legislatures mosey behind the changing public perceptions, but with AB-266
they are making an effort to catch up! For those of you out there who are
generally apathetic to the political process, this is the time to drop your
joint and get involved to influence medical cannabis in California because once
a law is passed, it’s here to stay!