In a short executive session held on Wednesday, the House Commerce and Consumer Affairs Committee of New Hampshire approved a bill to legalize and regulate cannabis in the state. The measure is now moving forward, despite concerns about how Governor. Chris Sununu will welcome the bill.
The committee voted 17-3 in favor of HB 1633. It will now be brought to the House floor.
The panel did no in-depth discussion of the proposal before voting on it during the executive session. The members adopted two minor changes proposed by Rep. Erica Layon, R., the bill’s sponsor. They then voted on the amended bill.
A reference to an earlier version of the purpose and intent section that included a memo by Sununu’s office regarding the governor’s priorities for legalization was removed. Layon admitted that it was an oversight of his own. I really shouldn’t have named anyone within the intent and purpose.
One removed a provision which would have sent 15% of the state marijuana tax revenues to the pension fund. The sponsor stated that “the idea of not involving any other federal agencies in cannabis within New Hampshire” is a good reason not to allow the pensions to receive any money. “And there is a lot reluctance from people to having their pension funds funded by cannabis funds.”
This 15 percent would be added instead to the Education Trust Fund of the State.
Layon: “I’m sure our schools and kids need this change, so I hope that the change is acceptable.”
Layon, who introduced the legislation in early this year, has been working with the members of the state commission that was convened to recommend legalization laws last year. did not reach a consensus on the issue by the deadline set last December.
Rep. John Hunt, who chairs the House Committee that approved the bill Wednesday, warned Layon at first that the proposal was doomed if it didn’t receive support from her counterparts in Senate.
Layon’s subcommittee offered a number of changes before the full panel acted. These included adjusting matters like licensing for existing medical marijuana operators and tax allocations.
Anita Burroughs, a Democratic Representative from the House of Representatives, said that before the vote that this bill was “not exactly what anyone wanted,” but that if it wasn’t passed by November the state would be “taking a gamble” if they didn’t.
Layon’s plan would license and regulate fifteen marijuana retailers throughout the state, a limit Sununu had suggested in a memorandum last year. He said he wouldn’t change his mind. Her plan, however, departs from both the governor’s preferred model of state-run retail sales and a modified franchising model that was considered by the State Commission but ultimately failed last year.
Layon said that these two models would require significant government oversight over marijuana retailers’ daily operations. This could result in legal risks and financial liabilities for the state.
According to the most recent version of the legislation, the 15 stores will begin opening two years after it is passed. After a 30-month initial period, regulators will then evaluate on an annual basis if more stores are needed.
In contrast to most states, all general advertising, including billboards, social media, and other forms of mass communication, would be outright banned. Layon said that advertisements on marijuana-specific platforms such as Weedmaps would be permitted to help consumers find stores.
Companies would not be allowed to use slang or promote excessive consumption of marijuana, such as by using a logo that shows someone with bloodshot eyeballs. Regulators could also limit the names of businesses and other marketing.
The plan allows for a limited number of vaporizers, but also allows for regulators to ban “types” that are more likely to be used by minors, without detection.
Layon’s plan would also allow people to request that criminal records be wiped out if they were charged with possession of less than the legal limit after the changes. She said that earlier this month, she had been in talks with ACLU reps on the subject.
Devon Chaffee, Executive Director of the ACLU of New Hampshire, said this week she was opposed to how the new changes would penalize the public consumption of marijuana. Third and subsequent public consumption offenses could be charged with a misdemeanor that carries jail time.
She told the subcommittee that it “does not make any sense” to criminalize nonviolent activities that are not criminalized by the current marijuana legalization laws.
As the bill progresses, however, some observers are grateful for Layon’s leadership in bringing people of different opinions together.
Matt Simon, Director of Public and Government Relations at medical marijuana provider GraniteLeaf Cannabis told Marijuana Moment, “Overall, I think this bill is in a better place than I imagined a few months ago.” “Rep. Layon did a great job in talking to everyone, including senators and the governor’s staff.
He added that “she spent a great deal of time on this, trying to understand the study commission’s wants and understanding what possible objections might be…and trying come up with an actual compromise which can find the sweet spot.”
Simon still has concerns about how the bill will address the existing medical operators in the state, also known as alternative treatment centres (ATCs), though he is hopeful that these issues can be resolved down the line.
The current bill allows ATCs to engage in adult-use retail sale, but it does not contain similar provisions regarding cultivation or manufacturing of products. Simon stated that it was important for ATCs to be able use their existing production facilities in order to serve both markets.
Simon referred to a measure in the bill that directs state agencies to draft legislation on how to regulate adult-use and medical systems by the end of the year.
During the last year’s study committee, the members appeared to be inclined to continue having the Department of Health and Human Services of the State (DHHS), oversee the medical marijuana registry and regulations. The state Liquor Commission, however, would be responsible for the adult-use market, as well as the licensing of businesses in both markets.
Simon, however, said that he expected the bill to receive a positive reception on the House Floor.
He said: “I do not know what will happen once this bill reaches the other chamber but it appears to be well positioned to pass by a large margin.” “Feel like we’re moving in the right direction.”
(Disclosure – Simon supports Marijuana Moment via a Patreon monthly pledge.
In recent sessions, the House has passed numerous legalization bills only to have them stall out in the Senate.
Last session, lawmakers worked on marijuana reform and tried to find a compromise. They wanted to legalize the drug through a system with multiple levels that included state-controlled shops and dual licensing of existing medical cannabis dispensaries as well as businesses licensed by state agencies to private individuals.
The legislature eventually hit a deadlock on the complicated legislation that was being considered after Sununu’s surprise announcement of his support for state-run legalization.
Despite bipartisan support , the Senate also defeated a conventional legalization measure, HB 639 last year.
The House defeated separately in May a separate marijuana legalization bill that was proposed as part a Medicaid expansion measure. In May, the Senate moved to introduce another piece of legislation which would have allowed designated caregivers and patients to grow up to 12 seedlings and three mature plants for their own therapeutic use.
After the Senate rejected reform bills in 2022 the House included legalization as an amendment to separate criminal-justice-related legislation – but this was also struck down by the opposite chamber .
Next week, the full House will begin to consider HB 1633.
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Photo by Mike Latimer.
The article New Hampshire Committee advances amended Marijuana Legalization Bill to House Floor first appeared on Marijuana Moment.
