As Maryland prepares to legalize marijuana on July 1, the Maryland Senate passed a bill that regulates marijuana sales.
Bicameral legislators will now attempt to resolve the measure’s differences using a separate version of legislation that was approved earlier in the month by the House of Delegates.
The Senate bill was introduced by Sens. The Senate bill from Sens.
Although the House and Senate bills were identical at their introduction, they have been modified in different ways. A conference committee composed of members from each chamber will be required to reconcile them.
On Thursday, senators approved a substantial committee amendment that aligns the legislation in many ways with the House version. This includes the approval of numerous technical revisions, changes to the structure and definitions for delta-8 THC. These could have a significant impact on the state’s hemp industry. To reflect the House legislation, the definition of social equity applicant was also modified.
The House bill was amended in several ways by the body. They included a nine percent sales tax, the creation of an independent agency to regulate cannabis, the requirement for a process for proving ID at retailers, and the prohibition on the consumption of combustable items on-site.
Senator Bill Ferguson (D), the President of the Senate, stated last week that there were many issues that lawmakers needed to address prior to advancing the measure. This included input from existing hemp businesses that have expressed concern about the potential ramifications.
Top senator stated that “a lot” of legislators were “struggling with it right now,” and described it as a “tough problem” that will be addressed when the bill moves.
The Senate president stated that he expected that the bicameral legislators will “resolve” the differences between the two versions of the regulations bill, “potentially” in conference committee.
“We want this to move. He said that there are many pieces to this puzzle. “And I believe, you know that there is no perfect legislation. It’s trying to minimize any unintended consequences we can think of today.
Here is what the amended would do:
Cannabis would be subject to a nine percent tax. The tax would not apply to medical marijuana patients.
Thirty percent would be used to fund a community investment fund for the next ten years. Further, the bill calls for 1.5% of revenue to be sent to localities and 1.5% to counties. 1.5% each will go to a Cannabis Public Health Fund or the Cannabis Business Assistance Fund.
The program would be regulated by the Maryland Cannabis Administration.
Existing medical marijuana dispensaries will be converted to dual licensees when legalization goes into effect. If they have paid a fee, this would happen on July 1. Additional marijuana business licenses would have to be approved by regulators by July 1, 2024.
Social equity applicants must have at least 65 percent ownership from people who have lived in the disproportionately affected areas for at most five years, have attended public school in this area for at minimum five years, or have met other criteria based on a disparity analysis.
The state Department of Commerce would create a Capital Access Program to encourage the development of industry opportunities for applicants with social equity and provide low-interest loans.
The bill provides $5 million annually to be used for grants to medical cannabis dispensaries who form “meaningful partnerships” that include mentorship, training, and/or shared business spaces.
Localities cannot impose additional taxes or prohibit existing medical marijuana businesses from operating within their boundaries.
Patients who are medical cannabis patients will be allowed to grow up four plants for their own personal use instead of two under current law. They wouldn’t have to pay tax on medical marijuana products.
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Before being approved by the floor, the House version had been amended in many ways. It was amended to allocate 1.5 percent of cannabis tax revenue for counties. A requirement that the head or regulatory commission must be a member was also removed.
The House panel also approved an amendment to remove the 200-license cap on delivery services. Members determined that this category would be covered by the micro-dispensary licensing.
The legislation’s definition for a social equity applicant was also updated by members. This clarified that an area that has been disproportionately affected is one that has seen more than 150 percent of the state’s average cannabis possession rate rates over the past 10 year. Social equity applicants now have to be enrolled in an HBCU or other institution of higher learning within the state for at least 2 years.
Further amendments were made to the measure to prohibit localities imposing operating, licensing or other fees that are more or less burdensome than businesses with a similar effect on the area.
A House bill was also amended to allow adults and patients to buy plants and other cultivation products through the licensed market.
The chamber’s revised version states that existing medical marijuana companies have the option of converting to a dual market retailer selling products to both adult and pediatric patients or selling their license to another operator.
The bills are emergency legislation and would be in effect immediately. They must be approved by three-fifths vote in each chamber to become law. Legalization of possession up to 1.5 ounces (or more) of cannabis will take effect July 1. This puts pressure on legislators to create regulations for commerce.
A spokesperson for Gov. Wes Moore (D), a spokesperson for Gov.
Partly, the bill is the result of extensive work by bipartisan and bicameral legislators who were part in House Cannabis Referendum and Legalization Workgroup which was established in 2021 by Speaker Adrienne Jones (D- ).
Following the approval by Maryland voters of a legalization referendum last year, members have been holding numerous meetings to discuss future regulations. This has triggered the implementation of complementary legislation that covers basic policies such as possession and low-level home cultivating.
The legislation will legalize the purchase and possession up to 1.5 ounces (for adults) of cannabis starting in the summer. It will also eliminate criminal penalties for possessing up to 2.5 ounces. Adults aged 21 or older can grow up to 2 plants for their own personal use, and may also gift cannabis to others without being paid.
All past convictions for conduct that was legalized under the law will be expunged. People currently serving sentences for such offenses are eligible for resentencement. People convicted of possession with intent to distribute may petition the courts to have their convictions expunged within three years.
The referendum was implemented in parts at the start of the year. Possession up to 1.5 ounces or more of cannabis is now a civil offense. There’s a $100 penalty and a $250 penalty for possession of more than 1.5 ounces. 2.5 ounces or more are subject to a $250 fine.
In the 2021 session, adult-use legalization was moving through Maryland’s legislature. However, no votes were ever held. A hearing was held by the Senate Finance Committee in on a legalization bill. This hearing followed a hearing by the House Judiciary Committee on a separate cannabis proposal.
In 2012, Maryland legalized medical marijuana through an act by the legislature. Two years later, Maryland legalized medical cannabis through an act of the legislature in 2012.
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Photo by Brian Shamblen.
The post Maryland Senate passes Marijuana Sales Bill. Lawmakers now set to reconcile differences from House Version appeared originally on Marijuana Moment.
