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AN ACT
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relating to the medical use of low-THC cannabis under and the |
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administration of the Texas Compassionate-Use Program; requiring |
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registration. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 487.053(a), Health and Safety Code, is |
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amended to read as follows: |
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(a) The department shall: |
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(1) issue or renew a license to operate as a dispensing |
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organization to each applicant who satisfies the requirements |
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established under this chapter; and |
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(2) register directors, owners, managers, members, |
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and employees of each dispensing organization. |
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SECTION 2. Section 487.054, Health and Safety Code, is |
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amended by adding Subsections (c) and (d) to read as follows: |
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(c) Information within the registry regarding patient |
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identification, including the fact that a person is listed as a |
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patient in the registry, is confidential and may only be accessed by |
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the department, registered physicians, and dispensing |
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organizations for the purposes of this chapter. Confidential |
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information under this subsection may not be disclosed except as |
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authorized under this chapter and is not subject to disclosure |
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under Chapter 552, Government Code. |
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(d) Notwithstanding Subsection (c), on request by a |
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patient, the department may release patient information contained |
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in the registry to the patient or a person designated by the |
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patient. |
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SECTION 3. Section 487.101, Health and Safety Code, is |
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amended to read as follows: |
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Sec. 487.101. LICENSE REQUIRED. (a) A license issued by the |
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department under this chapter is required to operate a dispensing |
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organization. |
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(b) A dispensing organization licensed under this chapter |
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is not required to apply for an additional license for the use of a |
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satellite location for secure storage of low-THC cannabis if: |
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(1) the address of the satellite location was included |
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in the application; or |
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(2) the dispensing organization obtains approval from |
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the department under Section 487.1035. |
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SECTION 4. Section 487.102, Health and Safety Code, is |
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amended to read as follows: |
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Sec. 487.102. 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 low-THC cannabis; |
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(B) the ability to secure: |
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(i) the resources and personnel necessary |
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to operate as a dispensing organization; and |
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(ii) premises reasonably located to allow |
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patients listed on the compassionate-use registry access to the |
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organization through existing infrastructure; |
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(C) the ability to maintain accountability for |
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the raw materials, the finished product, and any by-products used |
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or produced in the cultivation or production of low-THC cannabis to |
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prevent unlawful access to or unlawful diversion or possession of |
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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, owner, manager, member, or employee |
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of the applicant is registered under Subchapter D; and |
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(3) the applicant satisfies any additional criteria |
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determined by the director to be necessary to safely implement this |
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chapter. |
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SECTION 5. Section 487.103(b), Health and Safety Code, is |
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amended to read as follows: |
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(b) The application must include: |
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(1) the name and address of the applicant; |
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(2)[,] the name and address of each of the applicant's |
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directors, owners, managers, members, and employees; |
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(3) the address of any satellite location that will be |
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used by the applicant for secure storage of low-THC cannabis under |
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Section 487.1035;[,] and |
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(4) any other information considered necessary by the |
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department to determine the applicant's eligibility for the |
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license. |
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SECTION 6. Subchapter C, Chapter 487, Health and Safety |
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Code, is amended by adding Section 487.1035 to read as follows: |
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Sec. 487.1035. SATELLITE LOCATIONS. (a) A dispensing |
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organization licensed under this chapter may operate one or more |
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satellite locations in addition to the organization's primary |
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location to securely store low-THC cannabis for distribution. |
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(b) A satellite location must be approved by the department |
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before a dispensing organization may operate the location. A |
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dispensing organization may apply for approval in the form and |
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manner prescribed by the department. |
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(c) The department must act on an application submitted |
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under Subsection (b) not later than the 180th day after the date the |
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application is submitted to the department. |
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(d) The director shall adopt rules regarding the design and |
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security requirements for satellite locations. |
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(e) A dispensing organization may not operate more than one |
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satellite location in a public health region designated under |
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Section 121.007 until the dispensing organization operates one |
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satellite location in each public health region. |
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(f) A location previously approved by the department as a |
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patient pickup location before September 1, 2025, is considered to |
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be approved as a satellite location under Subsection (b) for |
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purposes of this section and is permitted to: |
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(1) operate as a patient pickup location; and |
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(2) securely store low-THC cannabis for distribution. |
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SECTION 7. Section 487.104, Health and Safety Code, is |
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amended by amending Subsection (b) and adding Subsections (b-1), |
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(d), (d-1), (e), and (f) to read as follows: |
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(b) Except as provided by Subsection (b-1), if [If] the |
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department denies the issuance or renewal of a license under |
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Subsection (a), the applicant is entitled to a hearing. Chapter |
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2001, Government Code, applies to a proceeding under this section. |
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(b-1) If the department denies the issuance of a license |
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under this section to an applicant that has never held a license |
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under this section, the applicant is not entitled to a hearing. |
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(d) The department shall issue 15 licenses under this |
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section to dispensing organizations in this state provided that the |
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department receives applications from a sufficient number of |
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applicants meeting the requirements for eligibility under this |
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subchapter. |
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(d-1) The department shall issue initial licenses to |
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dispensing organizations under this section based on a competitive |
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evaluation of applicant qualifications relative to other |
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applicants. |
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(e) The department shall issue and renew licenses under this |
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section in a manner that ensures adequate access to low-THC |
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cannabis for patients registered in the compassionate-use registry |
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in each public health region designated under Section 121.007. |
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(f) The director shall adopt rules to establish a timeline |
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for reviewing and taking action on an application submitted under |
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this section. |
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SECTION 8. Subchapter C, Chapter 487, Health and Safety |
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Code, is amended by adding Section 487.1045 to read as follows: |
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Sec. 487.1045. REQUIREMENT OF LICENSE HOLDER TO BEGIN AND |
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MAINTAIN OPERATIONS. (a) An applicant issued a license to operate a |
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dispensing organization must begin dispensing low-THC cannabis not |
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later than 24 months after the date the license is issued and |
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continue dispensing low-THC cannabis during the term of a license |
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issued under this subchapter. |
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(b) The director shall adopt rules to: |
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(1) monitor whether a dispensing organization is using |
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a license issued under this subchapter to dispense low-THC |
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cannabis; and |
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(2) revoke the license of a dispensing organization |
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that does not dispense low-THC cannabis within the time required by |
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this section or that discontinues dispensing low-THC cannabis |
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during the term of a license. |
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SECTION 9. Section 487.105, Health and Safety Code, is |
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amended by amending Subsections (a) and (b) and adding Subsection |
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(c-1) to read as follows: |
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(a) An applicant for the issuance or renewal of a license to |
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operate as a dispensing organization shall provide the department |
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with the applicant's name and the name of each of the applicant's |
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directors, owners, managers, members, and employees. |
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(b) Before a dispensing organization licensee hires a |
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manager or employee for the organization, the licensee must provide |
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the department with the name of the prospective manager or |
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employee. The licensee may not transfer the license to another |
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person before that prospective applicant and the applicant's |
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directors, owners, managers, members, and employees pass a criminal |
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history background check and are registered as required by |
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Subchapter D. |
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(c-1) This section does not apply to a director, owner, |
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manager, member, or employee who does not exercise direct control |
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over the daily operations of the dispensing organization. |
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SECTION 10. Section 487.107, Health and Safety Code, is |
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amended by adding Subsection (c) to read as follows: |
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(c) A dispensing organization may not dispense to a person |
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low-THC cannabis in a: |
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(1) package or container that contains more than a |
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total of one gram of tetrahydrocannabinols; or |
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(2) medical device for pulmonary inhalation that |
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contains more than one gram of tetrahydrocannabinols. |
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SECTION 11. Subchapter C, Chapter 487, Health and Safety |
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Code, is amended by adding Section 487.1071 to read as follows: |
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Sec. 487.1071. CANNABINOIDS ELIGIBLE FOR DISPENSING. (a) |
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In this section, "phytocannabinoid" means a chemical substance: |
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(1) created naturally by a plant of the species |
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Cannabis sativa L. that is separated from the plant by a mechanical |
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or chemical extraction process; |
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(2) created naturally by a plant of the species |
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Cannabis sativa L. that binds to or interacts with the cannabinoid |
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receptors of the endocannabinoid system; or |
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(3) produced by decarboxylation from a naturally |
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occurring cannabinoid acid without the use of a chemical catalyst. |
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(b) A dispensing organization may not dispense a low-THC |
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cannabis product that contains a cannabinoid that is not a |
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phytocannabinoid. |
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SECTION 12. Section 487.151(a), Health and Safety Code, is |
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amended to read as follows: |
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(a) An individual who is a director, owner, manager, member, |
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or employee of a dispensing organization must apply for and obtain a |
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registration under this section. |
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SECTION 13. Section 487.201, Health and Safety Code, is |
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amended to read as follows: |
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Sec. 487.201. COUNTIES AND MUNICIPALITIES MAY NOT PROHIBIT |
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LOW-THC CANNABIS. A municipality, county, or other political |
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subdivision may not enact, adopt, or enforce a rule, ordinance, |
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order, resolution, or other regulation that prohibits the |
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cultivation, production, storage, dispensing, or possession of |
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low-THC cannabis, as authorized by this chapter. |
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SECTION 14. Section 169.001, Occupations Code, is amended |
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to read as follows: |
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Sec. 169.001. DEFINITIONS. In this chapter: |
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(1) "Chronic pain" means pain that is not relieved |
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with acute, post-surgical, post-procedure, or persistent |
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non-chronic pain treatment and is associated with a chronic |
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pathological process that causes continuous or intermittent severe |
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pain for more than 90 days and for which tetrahydrocannabinol is a |
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viable method of treatment. |
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(1-a) "Department" means the Department of Public |
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Safety. |
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(1-b) "Executive commissioner" means the executive |
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commissioner of the Health and Human Services Commission. |
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(2) [(1-a)] "Incurable neurodegenerative disease" |
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means a disease designated as an incurable neurodegenerative |
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disease by rule of the executive commissioner [of the Health and |
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Human Services Commission], adopted in consultation with the |
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National Institutes of Health. |
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(3) "Low-THC cannabis" means the plant Cannabis sativa |
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L., and any part of that plant or any compound, manufacture, salt, |
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derivative, mixture, preparation, resin, or oil of that plant that |
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contains not more than 10 milligrams [one percent by weight] of |
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tetrahydrocannabinols in each dosage unit. |
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(4) "Medical use" means the ingestion, absorption, or |
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insertion by a means of administration other than by smoking of a |
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prescribed amount of low-THC cannabis by a person for whom low-THC |
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cannabis is prescribed under this chapter. |
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(5) "Smoking" means burning or igniting a substance |
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and inhaling the smoke. The term does not include inhaling a |
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medication or other substance that is otherwise aerosolized or |
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vaporized for administration by pulmonary inhalation. |
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SECTION 15. Section 169.003, Occupations Code, is amended |
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to read as follows: |
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Sec. 169.003. PRESCRIPTION OF LOW-THC CANNABIS. (a) A |
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physician described by Section 169.002 may prescribe low-THC |
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cannabis to a patient if: |
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(1) the patient is a permanent resident of the state; |
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(2) the physician complies with the registration |
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requirements of Section 169.004; and |
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(3) the physician certifies to the department that: |
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(A) the patient is diagnosed with: |
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(i) epilepsy; |
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(ii) a seizure disorder; |
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(iii) multiple sclerosis; |
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(iv) spasticity; |
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(v) amyotrophic lateral sclerosis; |
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(vi) autism; |
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(vii) cancer; |
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(viii) an incurable neurodegenerative |
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disease; |
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(ix) post-traumatic stress disorder; |
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(x) a condition that causes chronic pain; |
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(xi) traumatic brain injury; |
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(xii) Crohn's disease or other inflammatory |
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bowel disease; |
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(xiii) a terminal illness or a condition |
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for which a patient is receiving hospice or palliative care; or |
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(xiv) [(x)] a medical condition that is |
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approved for a research program under Subchapter F, Chapter 487, |
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Health and Safety Code, and for which the patient is receiving |
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treatment under that program; and |
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(B) the physician determines the risk of the |
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medical use of low-THC cannabis by the patient is reasonable in |
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light of the potential benefit for the patient. |
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(b) Each prescription issued by a physician to a patient for |
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low-THC cannabis: |
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(1) may only provide for a 90-day supply of low-THC |
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cannabis based on the dosage prescribed to the patient; and |
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(2) may provide up to four refills of a 90-day supply |
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of low-THC cannabis. |
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(c) A physician may prescribe more than one package in a |
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90-day period. |
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(d) A physician may submit to the Department of State Health |
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Services a request that the department report to the legislature |
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that low-THC cannabis may be beneficial to treat a specific medical |
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condition not listed in Subsection (a)(3)(A). The request must be |
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accompanied by medical evidence such as peer-reviewed published |
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research demonstrating that low-THC cannabis may be beneficial to |
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treat that medical condition. The executive commissioner by rule |
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shall prescribe the manner in which a physician may submit a request |
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under this subsection. |
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SECTION 16. Chapter 169, Occupations Code, is amended by |
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adding Section 169.006 to read as follows: |
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Sec. 169.006. ADMINISTRATION OF LOW-THC CANNABIS BY |
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PULMONARY INHALATION. (a) A physician may prescribe pulmonary |
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inhalation of an aerosol or vapor as a means of administration of |
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low-THC cannabis if the physician determines that based on the |
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patient's condition there is a medical necessity for that means of |
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administration. |
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(b) The prescription under Subsection (a) must specify the |
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amount of tetrahydrocannabinols in each dosage unit to be |
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administered by pulmonary inhalation that is medically necessary |
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based on the patient's condition. |
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(c) The executive commissioner shall adopt rules: |
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(1) related to medical devices for pulmonary |
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inhalation of low-THC cannabis; and |
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(2) establishing a reasonable timeline for reviewing |
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and granting approval for medical devices for pulmonary inhalation. |
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SECTION 17. Not later than October 1, 2025: |
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(1) the director of the Department of Public Safety |
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shall adopt the rules necessary to implement the changes in law made |
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by this Act to Chapter 487, Health and Safety Code; and |
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(2) the executive commissioner of the Health and Human |
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Services Commission shall adopt the rules necessary to implement |
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Section 169.006, Occupations Code, as added by this Act. |
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SECTION 18. Provided that applicants for a license to |
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operate as a dispensing organization have met the requirements for |
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approval provided by Subchapter C, Chapter 487, Health and Safety |
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Code, as amended by this Act, the Department of Public Safety shall: |
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(1) not later than December 1, 2025, license at least |
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nine new dispensing organizations from applications submitted |
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before July 1, 2025; and |
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(2) not later than April 1, 2026, in addition to any |
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licenses issued by the Department of Public Safety under |
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Subdivision (1) of this section, license at least three new |
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dispensing organizations from applications submitted at any time. |
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SECTION 19. This Act takes effect September 1, 2025. |
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______________________________ |
______________________________ |
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President of the Senate |
Speaker of the House |
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I certify that H.B. No. 46 was passed by the House on May 13, |
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2025, by the following vote: Yeas 122, Nays 21, 2 present, not |
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voting; that the House refused to concur in Senate amendments to |
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H.B. No. 46 on May 30, 2025, and requested the appointment of a |
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conference committee to consider the differences between the two |
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houses; that the House adopted the conference committee report on |
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H.B. No. 46 on June 1, 2025, by the following vote: Yeas 138, Nays |
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1, 2 present, not voting; that the House adopted S.C.R. No. 56 |
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authorizing certain corrections in H.B. No. 46 on June 1, 2025, by |
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the following vote: Yeas 137, Nays 0, 1 present, not voting; and |
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that the House adopted H.C.R. No. 171 authorizing certain |
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corrections in H.B. No. 46 on June 2, 2025, by the following vote: |
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Yeas 138, Nays 0, 1 present, not voting. |
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______________________________ |
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Chief Clerk of the House |
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I certify that H.B. No. 46 was passed by the Senate, with |
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amendments, on May 27, 2025, by the following vote: Yeas 31, Nays |
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0; at the request of the House, the Senate appointed a conference |
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committee to consider the differences between the two houses; that |
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the Senate adopted the conference committee report on H.B. No. 46 on |
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June 1, 2025, by the following vote: Yeas 31, Nays 0; that the |
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Senate adopted S.C.R. No. 56 authorizing certain corrections in |
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H.B. No. 46 on June 1, 2025, by the following vote: Yeas 31, Nays 0; |
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and that the Senate adopted H.C.R. No. 171 authorizing certain |
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corrections in H.B. No. 46 on June 2, 2025, by the following vote: |
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Yeas 31, Nays 0. |
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______________________________ |
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Secretary of the Senate |
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APPROVED: __________________ |
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Date |
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__________________ |
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Governor |