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A BILL TO BE ENTITLED
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AN ACT
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relating to authorizing the possession, use, cultivation, |
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distribution, transportation, and delivery of medical cannabis for |
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medical use by patients with certain qualifying medical conditions |
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and the licensing of medical cannabis dispensing organizations; |
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authorizing fees. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subtitle C, Title 6, Health and Safety Code, is |
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amended by adding Chapter 488 to read as follows: |
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CHAPTER 488. USE OF CANNABIS FOR MEDICAL PURPOSES |
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SUBCHAPTER A. GENERAL PROVISIONS |
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Sec. 488.001. DEFINITIONS. In this chapter: |
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(1) "Department" means the Department of Public |
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Safety. |
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(2) "Director" means the public safety director of the |
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department. |
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(3) "Dispensing organization" means an organization |
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licensed by the department to cultivate, process, and dispense |
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medical cannabis to a patient for whom medical use is recommended |
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under Chapter 169A, Occupations Code. |
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(4) "Medical cannabis" and "medical use" have the |
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meanings assigned by Section 169A.001, Occupations Code. |
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SUBCHAPTER B. DUTIES OF DEPARTMENT |
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Sec. 488.051. DUTIES OF DEPARTMENT. The department shall |
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administer this chapter. |
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Sec. 488.052. RULES. (a) The director shall adopt any |
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rules necessary for the administration and enforcement of this |
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chapter. |
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(b) The director shall adopt rules imposing fees under this |
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chapter in amounts sufficient to cover the cost of administering |
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this chapter. |
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Sec. 488.053. LICENSING OF DISPENSING ORGANIZATIONS AND |
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REGISTRATION OF CERTAIN ASSOCIATED INDIVIDUALS. (a) The |
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department shall: |
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(1) issue or renew a license under Subchapter C to |
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|
operate as a dispensing organization to each applicant who |
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|
satisfies the requirements established under this chapter for |
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|
licensure as a dispensing organization; and |
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(2) register directors, managers, and employees under |
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Subchapter D of each dispensing organization. |
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(b) The department shall enforce compliance of license |
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holders and registrants and shall adopt procedures for suspending |
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or revoking a license or registration issued under this chapter and |
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for renewing a license or registration issued under this chapter. |
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Sec. 488.054. MEDICAL USE REGISTRY. (a) The department |
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shall establish and maintain a secure online medical use registry |
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that contains: |
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(1) the name of each physician who registers as the |
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|
physician recommending medical use for a patient under Section |
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|
169A.003, Occupations Code, and the name and date of birth of the |
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|
patient; and |
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|
(2) the amount of medical cannabis dispensed to each |
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patient. |
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(b) The department shall ensure the registry: |
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(1) is designed to prevent more than one physician |
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|
from registering as the physician recommending medical use for a |
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single patient; |
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(2) is accessible to law enforcement agencies and |
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|
dispensing organizations for the purpose of verifying whether a |
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patient is one for whom medical use is recommended under Chapter |
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|
169A, Occupations Code; and |
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(3) allows a physician recommending medical use under |
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Chapter 169A, Occupations Code, to input safety and efficacy data |
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|
derived from the treatment of patients for whom medical use is |
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recommended. |
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SUBCHAPTER C. LICENSING TO OPERATE AS DISPENSING ORGANIZATION |
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Sec. 488.101. LICENSE REQUIRED. A person may not operate as |
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a dispensing organization without a license issued by the |
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department under this subchapter. |
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Sec. 488.102. ELIGIBILITY FOR LICENSE. An applicant for a |
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|
license to operate as a dispensing organization is eligible for the |
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license if: |
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(1) as determined by the department, the applicant |
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possesses: |
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(A) the technical and technological ability to |
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cultivate and produce medical cannabis; |
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(B) the ability to secure: |
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(i) the resources and personnel necessary |
|
|
to operate as a dispensing organization; and |
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|
(ii) premises reasonably located to allow |
|
|
patients listed on the medical use registry access to the |
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|
organization through existing infrastructure; |
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|
(C) the ability to maintain accountability for |
|
|
the raw materials, the finished product, and any by-products used |
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|
or produced in the cultivation or production of medical cannabis to |
|
|
prevent unlawful access to or unlawful diversion or possession of |
|
|
those materials, products, or by-products; and |
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|
(D) the financial ability to maintain operations |
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|
for not less than two years from the date of application; |
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|
(2) each director, manager, or employee of the |
|
|
applicant is registered under Subchapter D; and |
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(3) the applicant satisfies any additional criteria |
|
|
determined by the director to be necessary to safely implement this |
|
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chapter. |
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Sec. 488.103. APPLICATION. (a) A person may apply for an |
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initial or renewal license under this subchapter by submitting a |
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form prescribed by the department along with the application fee in |
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|
an amount set by the director. |
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(b) The application must include the name and address of the |
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|
applicant, the name and address of each of the applicant's |
|
|
directors, managers, and employees, and any other information |
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|
considered necessary by the department to determine the applicant's |
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|
eligibility for the license. |
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Sec. 488.104. ISSUANCE, RENEWAL, OR DENIAL OF LICENSE. (a) |
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The department shall issue or renew a license under this subchapter |
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only if: |
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(1) the department determines the applicant meets the |
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|
eligibility requirements described by Section 488.102; and |
|
|
(2) issuance or renewal of the license is necessary to |
|
|
ensure reasonable statewide access to, and the availability of, |
|
|
medical cannabis for patients registered in the medical use |
|
|
registry and for whom medical cannabis is recommended under Chapter |
|
|
169A, Occupations Code. |
|
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(b) If the department denies the issuance or renewal of a |
|
|
license under Subsection (a), the applicant is entitled to a |
|
|
hearing. The department shall give written notice of the grounds |
|
|
for denial to the applicant at least 30 days before the date of the |
|
|
hearing. |
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(c) A license issued or renewed under this section expires |
|
|
on the second anniversary of the date of issuance or renewal, as |
|
|
applicable. |
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Sec. 488.105. CRIMINAL HISTORY BACKGROUND CHECK. (a) An |
|
|
applicant for the issuance or renewal of a license under this |
|
|
subchapter shall provide the department with the applicant's name |
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|
and the name of each of the applicant's directors, managers, and |
|
|
employees. |
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(b) Before a dispensing organization under this subchapter |
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|
hires a manager or employee for the organization, the license |
|
|
holder must provide the department with the name of the prospective |
|
|
manager or employee. The license holder may not transfer the |
|
|
license to another person before that prospective applicant and the |
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applicant's directors, managers, and employees pass a criminal |
|
|
history background check and are registered as required by |
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Subchapter D. |
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(c) The department shall conduct a criminal history |
|
|
background check on each individual whose name is provided to the |
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|
department under Subsection (a) or (b). The director by rule shall: |
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|
(1) determine the manner by which an individual is |
|
|
required to submit a complete set of fingerprints to the department |
|
|
for purposes of a criminal history background check under this |
|
|
section; and |
|
|
(2) establish criteria for determining whether an |
|
|
individual passes the criminal history background check for the |
|
|
purposes of this section. |
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|
(d) After conducting a criminal history background check |
|
|
under this section, the department shall notify the relevant |
|
|
applicant or organization and the individual who is the subject of |
|
|
the criminal history background check as to whether the individual |
|
|
passed the criminal history background check. |
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Sec. 488.106. DUTY TO MAINTAIN ELIGIBILITY. Each license |
|
|
holder under this subchapter must maintain compliance at all times |
|
|
with the eligibility requirements described by Section 488.102. |
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|
Sec. 488.107. DUTIES RELATING TO DISPENSING MEDICAL |
|
|
CANNABIS. (a) Before dispensing medical cannabis to a person for |
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|
whom medical use is recommended under Chapter 169A, Occupations |
|
|
Code, the dispensing organization must verify that the person is |
|
|
listed as a patient in the medical use registry. |
|
|
(b) After dispensing medical cannabis to a patient for whom |
|
|
medical use is recommended under Chapter 169A, Occupations Code, |
|
|
the dispensing organization shall record in the medical use |
|
|
registry the form and quantity of the medical cannabis dispensed |
|
|
and the date and time of dispensation. |
|
|
Sec. 488.108. LICENSE SUSPENSION OR REVOCATION. (a) The |
|
|
department may at any time suspend or revoke a license issued under |
|
|
this subchapter if the department determines that the license |
|
|
holder has not maintained the eligibility requirements described by |
|
|
Section 488.102 or has failed to comply with a duty imposed under |
|
|
this chapter. |
|
|
(b) The director shall give written notice to the license |
|
|
holder of a license suspension or revocation under this section and |
|
|
the grounds for the suspension or revocation. The notice must be |
|
|
sent by certified mail, return receipt requested. |
|
|
(c) After suspending or revoking a license issued under this |
|
|
subchapter, the director may seize or place under seal all medical |
|
|
cannabis and drug paraphernalia owned or possessed by the |
|
|
dispensing organization. If the director orders the revocation of |
|
|
the license, a disposition may not be made of the seized or sealed |
|
|
medical cannabis or drug paraphernalia until the time for |
|
|
administrative appeal of the order has elapsed or until all appeals |
|
|
have been concluded. When a revocation order becomes final, all |
|
|
medical cannabis and drug paraphernalia may be forfeited to the |
|
|
state as provided under Subchapter E, Chapter 481. |
|
|
(d) Chapter 2001, Government Code, applies to a proceeding |
|
|
under this section. |
|
|
SUBCHAPTER D. REGISTRATION OF CERTAIN INDIVIDUALS |
|
|
Sec. 488.151. REGISTRATION REQUIRED. (a) An individual who |
|
|
is a director, manager, or employee of a dispensing organization |
|
|
must apply for and obtain a registration under this section. |
|
|
(b) An applicant for a registration under this section must: |
|
|
(1) be at least 18 years of age; |
|
|
(2) submit a complete set of fingerprints to the |
|
|
department in the manner required by department rule; and |
|
|
(3) pass a fingerprint-based criminal history |
|
|
background check as required by Section 488.105. |
|
|
(c) A registration expires on the second anniversary of the |
|
|
date of the registration's issuance, unless suspended or revoked |
|
|
under rules adopted under this chapter. |
|
|
SUBCHAPTER E. DUTIES OF COUNTIES AND MUNICIPALITIES |
|
|
Sec. 488.201. COUNTIES AND MUNICIPALITIES MAY NOT PROHIBIT |
|
|
MEDICAL CANNABIS. A municipality, county, or other political |
|
|
subdivision may not enact, adopt, or enforce a rule, ordinance, |
|
|
order, resolution, or other regulation that prohibits the |
|
|
cultivation, production, dispensing, or possession of medical |
|
|
cannabis, as authorized by this chapter. |
|
|
SECTION 2. Subtitle B, Title 3, Occupations Code, is |
|
|
amended by adding Chapter 169A to read as follows: |
|
|
CHAPTER 169A. AUTHORITY TO RECOMMEND MEDICAL CANNABIS TO CERTAIN |
|
|
PATIENTS WITH QUALIFYING MEDICAL CONDITIONS |
|
|
Sec. 169A.001. DEFINITIONS. In this chapter: |
|
|
(1) "Department" means the Department of Public |
|
|
Safety. |
|
|
(2) "Medical cannabis" means the plant Cannabis sativa |
|
|
L., and any part of that plant or any compound, manufacture, salt, |
|
|
derivative, mixture, preparation, resin, or oil of that plant that |
|
|
contains: |
|
|
(A) not more than 5 percent by weight of |
|
|
tetrahydrocannabinols; and |
|
|
(B) not less than 10 percent by weight of |
|
|
cannabidiol. |
|
|
(3) "Medical use" means the ingestion by a means of |
|
|
administration other than by smoking of a recommended amount of |
|
|
medical cannabis by a person for whom medical use is recommended |
|
|
under this chapter. |
|
|
(4) "Qualifying medical condition" means cancer, |
|
|
autism, or post-traumatic stress disorder. |
|
|
(5) "Smoking" means burning or igniting a substance |
|
|
and inhaling the smoke. |
|
|
Sec. 169A.002. RECOMMENDATION OF MEDICAL USE. (a) A |
|
|
physician may recommend medical use in accordance with this chapter |
|
|
for a patient with a qualifying medical condition. |
|
|
(b) A physician who recommends medical use for a patient |
|
|
must: |
|
|
(1) comply with the registration requirements of |
|
|
Section 169A.003; and |
|
|
(2) certify to the department that: |
|
|
(A) the patient is diagnosed with a qualifying |
|
|
medical condition; and |
|
|
(B) the physician has determined that the risk of |
|
|
medical use by the patient is reasonable in light of the potential |
|
|
benefit for the patient. |
|
|
Sec. 169A.003. RECOMMENDING PHYSICIAN REGISTRATION. |
|
|
Before a physician may recommend medical use for a patient under |
|
|
this chapter, the physician must register as the recommending |
|
|
physician for that patient in the medical use registry maintained |
|
|
by the department under Section 488.054, Health and Safety |
|
|
Code. The physician's registration must indicate: |
|
|
(1) the physician's name; and |
|
|
(2) the patient's name and date of birth. |
|
|
Sec. 169A.004. PATIENT TREATMENT PLAN. A physician who |
|
|
recommends medical use for a patient under this chapter must |
|
|
maintain a patient treatment plan that indicates: |
|
|
(1) a plan for monitoring the patient's symptoms; and |
|
|
(2) a plan for monitoring indicators of tolerance or |
|
|
reaction to medical cannabis. |
|
|
SECTION 3. Section 161.001(c), Family Code, is amended to |
|
|
read as follows: |
|
|
(c) A court may not make a finding under Subsection (b) and |
|
|
order termination of the parent-child relationship based on |
|
|
evidence that the parent: |
|
|
(1) homeschooled the child; |
|
|
(2) is economically disadvantaged; |
|
|
(3) has been charged with a nonviolent misdemeanor |
|
|
offense other than: |
|
|
(A) an offense under Title 5, Penal Code; |
|
|
(B) an offense under Title 6, Penal Code; or |
|
|
(C) an offense that involves family violence, as |
|
|
defined by Section 71.004 of this code; |
|
|
(4) provided or administered low-THC cannabis to a |
|
|
child for whom the low-THC cannabis was prescribed under Chapter |
|
|
169, Occupations Code; [or] |
|
|
(5) provided or administered medical cannabis to a |
|
|
child for whom medical cannabis was recommended under Chapter 169A, |
|
|
Occupations Code; or |
|
|
(6) declined immunization for the child for reasons of |
|
|
conscience, including a religious belief. |
|
|
SECTION 4. Section 262.116(a), Family Code, is amended to |
|
|
read as follows: |
|
|
(a) The Department of Family and Protective Services may not |
|
|
take possession of a child under this subchapter based on evidence |
|
|
that the parent: |
|
|
(1) homeschooled the child; |
|
|
(2) is economically disadvantaged; |
|
|
(3) has been charged with a nonviolent misdemeanor |
|
|
offense other than: |
|
|
(A) an offense under Title 5, Penal Code; |
|
|
(B) an offense under Title 6, Penal Code; or |
|
|
(C) an offense that involves family violence, as |
|
|
defined by Section 71.004 of this code; |
|
|
(4) provided or administered low-THC cannabis to a |
|
|
child for whom the low-THC cannabis was prescribed under Chapter |
|
|
169, Occupations Code; [or] |
|
|
(5) provided or administered medical cannabis to a |
|
|
child for whom medical cannabis was recommended under Chapter 169A, |
|
|
Occupations Code; or |
|
|
(6) declined immunization for the child for reasons of |
|
|
conscience, including a religious belief. |
|
|
SECTION 5. Section 481.062(a), Health and Safety Code, is |
|
|
amended to read as follows: |
|
|
(a) The following persons may possess a controlled |
|
|
substance under this chapter without registering with the Federal |
|
|
Drug Enforcement Administration: |
|
|
(1) an agent or employee of a manufacturer, |
|
|
distributor, analyzer, or dispenser of the controlled substance who |
|
|
is registered with the Federal Drug Enforcement Administration and |
|
|
acting in the usual course of business or employment; |
|
|
(2) a common or contract carrier, a warehouseman, or |
|
|
an employee of a carrier or warehouseman whose possession of the |
|
|
controlled substance is in the usual course of business or |
|
|
employment; |
|
|
(3) an ultimate user or a person in possession of the |
|
|
controlled substance under a lawful order of a practitioner or in |
|
|
lawful possession of the controlled substance if it is listed in |
|
|
Schedule V; |
|
|
(4) an officer or employee of this state, another |
|
|
state, a political subdivision of this state or another state, or |
|
|
the United States who is lawfully engaged in the enforcement of a |
|
|
law relating to a controlled substance or drug or to a customs law |
|
|
and authorized to possess the controlled substance in the discharge |
|
|
of the person's official duties; |
|
|
(5) if the substance is tetrahydrocannabinol or one of |
|
|
its derivatives: |
|
|
(A) a Department of State Health Services |
|
|
official, a medical school researcher, or a research program |
|
|
participant possessing the substance as authorized under |
|
|
Subchapter G; or |
|
|
(B) a practitioner or an ultimate user possessing |
|
|
the substance as a participant in a federally approved therapeutic |
|
|
research program that the commissioner has reviewed and found, in |
|
|
writing, to contain a medically responsible research protocol; [or] |
|
|
(6) a dispensing organization licensed under Chapter |
|
|
487 that possesses low-THC cannabis; or |
|
|
(7) a dispensing organization licensed under Chapter |
|
|
488 that possesses medical cannabis. |
|
|
SECTION 6. Sections 481.111(e) and (f), Health and Safety |
|
|
Code, are amended to read as follows: |
|
|
(e) Sections 481.120, 481.121, 481.122, and 481.125 do not |
|
|
apply to a person who engages in the acquisition, possession, |
|
|
production, cultivation, delivery, or disposal of a raw material |
|
|
used in or by-product created by the production or cultivation of |
|
|
low-THC cannabis or medical cannabis if the person: |
|
|
(1) for an offense involving possession only of |
|
|
marihuana or drug paraphernalia, is a patient for whom low-THC |
|
|
cannabis is prescribed under Chapter 169, Occupations Code, or the |
|
|
patient's legal guardian, and the person possesses low-THC cannabis |
|
|
obtained under a valid prescription from a dispensing organization; |
|
|
[or] |
|
|
(2) is a director, manager, or employee of a low-THC |
|
|
cannabis dispensing organization and the person, solely in |
|
|
performing the person's regular duties at the organization, |
|
|
acquires, possesses, produces, cultivates, dispenses, or disposes |
|
|
of: |
|
|
(A) in reasonable quantities, any low-THC |
|
|
cannabis or raw materials used in or by-products created by the |
|
|
production or cultivation of low-THC cannabis; or |
|
|
(B) any drug paraphernalia used in the |
|
|
acquisition, possession, production, cultivation, delivery, or |
|
|
disposal of low-THC cannabis; |
|
|
(3) for an offense involving possession only of |
|
|
marihuana or drug paraphernalia, is a patient for whom medical use |
|
|
is recommended under Chapter 169A, Occupations Code; or |
|
|
(4) is a director, manager, or employee of a medical |
|
|
cannabis dispensing organization and the person, solely in |
|
|
performing the person's regular duties at the organization, |
|
|
acquires, possesses, produces, cultivates, dispenses, or disposes |
|
|
of: |
|
|
(A) in reasonable quantities, any medical |
|
|
cannabis or raw materials used in or by-products created by the |
|
|
production or cultivation of medical cannabis; or |
|
|
(B) any drug paraphernalia used in the |
|
|
acquisition, possession, production, cultivation, delivery, or |
|
|
disposal of medical cannabis. |
|
|
(f) For purposes of Subsection (e): |
|
|
(1) ["Dispensing organization" has the meaning
|
|
|
assigned by Section 487.001.
|
|
|
[(2)] "Low-THC cannabis" has the meaning assigned by |
|
|
Section 169.001, Occupations Code. |
|
|
(2) "Low-THC cannabis dispensing organization" means |
|
|
a dispensing organization as defined by Section 487.001. |
|
|
(3) "Medical cannabis" and "medical use" have the |
|
|
meanings assigned by Section 169A.001, Occupations Code. |
|
|
(4) "Medical cannabis dispensing organization" means |
|
|
a dispensing organization as defined by Section 488.001. |
|
|
SECTION 7. Section 551.004, Occupations Code, is amended by |
|
|
amending Subsection (a) and adding Subsection (a-1) to read as |
|
|
follows: |
|
|
(a) This subtitle does not apply to: |
|
|
(1) a practitioner licensed by the appropriate state |
|
|
board who supplies a patient of the practitioner with a drug in a |
|
|
manner authorized by state or federal law and who does not operate a |
|
|
pharmacy for the retailing of prescription drugs; |
|
|
(2) a member of the faculty of a college of pharmacy |
|
|
recognized by the board who is a pharmacist and who performs the |
|
|
pharmacist's services only for the benefit of the college; |
|
|
(3) a person who procures prescription drugs for |
|
|
lawful research, teaching, or testing and not for resale; |
|
|
(4) a home and community support services agency that |
|
|
possesses a dangerous drug as authorized by Section 142.0061, |
|
|
142.0062, or 142.0063, Health and Safety Code; [or] |
|
|
(5) a low-THC cannabis dispensing organization[, as
|
|
|
defined by Section 487.001, Health and Safety Code,] that |
|
|
cultivates, processes, and dispenses low-THC cannabis, as |
|
|
authorized by a license issued under Subchapter C, Chapter 487, |
|
|
Health and Safety Code, to a patient listed in the |
|
|
compassionate-use registry established under that chapter; or |
|
|
(6) a medical cannabis dispensing organization that |
|
|
cultivates, processes, and dispenses medical cannabis, as |
|
|
authorized by a license issued under Subchapter C, Chapter 488, |
|
|
Health and Safety Code, to a patient listed in the medical use |
|
|
registry established under that chapter. |
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(a-1) For purposes of Subsections (a)(5) and (6): |
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(1) "Low-THC cannabis dispensing organization" means |
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a dispensing organization as defined by Section 487.001, Health and |
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Safety Code. |
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(2) "Medical cannabis dispensing organization" means |
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a dispensing organization as defined by Section 488.001, Health and |
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Safety Code. |
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SECTION 8. Not later than January 1, 2020, the public safety |
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director of the Department of Public Safety shall adopt rules as |
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required to implement, administer, and enforce Chapter 488, Health |
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and Safety Code, as added by this Act, including rules to establish |
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the medical use registry required by that chapter. |
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SECTION 9. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2019. |