Eckhardt’s bill legalizing cannabis for adults 21 and up

The text as introduced · 4,741 words

89R4309 CJD-F

By: Eckhardt
S.B. No. 335

A BILL TO BE ENTITLED

AN ACT

relating to regulating the cultivation, manufacture, processing,

distribution, sale, testing, transportation, delivery, transfer,

possession, and use of cannabis and cannabis products; authorizing

the imposition of fees; requiring occupational licenses; creating a

criminal offense.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Subtitle C, Title 6, Health and Safety Code, is

amended by adding Chapter 491 to read as follows:

CHAPTER 491. REGULATION OF CANNABIS

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 491.0001. DEFINITIONS. In this chapter:

(1) "Adult" means an individual 21 years of age or

older.

(2) "Cannabis" means the plant Cannabis sativa L.,

whether growing or not, the seeds of that plant, and every compound,

manufacture, salt, derivative, mixture, or preparation of that

plant or its seeds. The term includes cannabis concentrate. The

term does not include:

(A) the mature stalks of the plant or fiber

produced from the stalks;

(B) oil or cake made from the seeds of the plant;

(C) a compound, manufacture, salt, derivative,

mixture, or preparation of the mature stalks, fiber, oil, or cake;

(D) the sterilized seeds of the plant that are

incapable of beginning germination;

(E) hemp, as that term is defined by Section

121.001, Agriculture Code; or

(F) a consumable hemp product, as that term is

defined by Section 443.001.

(3) "Cannabis concentrate" means the resin extracted

from a part of the plant Cannabis sativa L. or a compound,

manufacture, salt, derivative, mixture, or preparation of the

resin.

(4) "Cannabis establishment" means an entity licensed

by the department under this chapter to process and dispense

cannabis and cannabis products to an adult.

(5) "Cannabis grower" means an entity licensed by the

department to cultivate cannabis for sale and distribution to a

cannabis establishment.

(6) "Cannabis product" means a product that contains

cannabis and is intended for use or consumption by humans,

including as an edible product or as a topical product, ointment,

oil, or tincture. The term includes products that consist of

cannabis and other ingredients.

(7) "Cannabis-related drug paraphernalia" means

equipment, a product, or material that is used or intended for use

in:

(A) planting, propagating, cultivating, growing,

harvesting, manufacturing, compounding, converting, producing,

processing, preparing, testing, analyzing, packaging, repackaging,

storing, or containing cannabis or a cannabis product; or

(B) introducing cannabis or a cannabis product

into the human body.

(8) "Cannabis secure transporter" means an entity

licensed by the department under this chapter to transport cannabis

from a cannabis grower to a cannabis establishment.

(9) "Cannabis testing facility" means an entity

licensed by the department under this chapter to analyze the safety

and potency of cannabis and cannabis products.

(10) "Commission" means the Texas Commission of

Licensing and Regulation.

(11) "Cultivate" means to propagate, breed, grow,

harvest, dry, cure, or separate parts of the cannabis plant by

manual or mechanical means.

(12) "Department" means the Texas Department of

Licensing and Regulation.

(13) "Executive director" means the executive

director of the department.

(14) "Marihuana" has the meaning assigned by Section

481.002.

(15) "Process" means to separate or otherwise prepare

parts of the cannabis plant and to compound, blend, extract,

infuse, or otherwise make or prepare cannabis concentrate or

cannabis products.

SUBCHAPTER B. PROTECTIONS FROM LEGAL ACTION RELATED TO CANNABIS

Sec. 491.0051. AUTHORIZED CONDUCT: PERSONAL USE OF

CANNABIS. An adult is authorized under this chapter to:

(1) use, possess, and transport not more than 2.5

ounces of cannabis, except that not more than 15 grams of that

amount may be in the form of cannabis concentrate;

(2) transfer without remuneration to another adult not

more than 2.5 ounces of cannabis, except that not more than 15 grams

of that amount may be in the form of cannabis concentrate and

provided that the transfer is not advertised or promoted to the

public;

(3) cultivate for personal use not more than 12

cannabis plants in an area on the premises of the adult's private

residence, provided that the cultivation occurs in an enclosed area

that is:

(A) equipped with locks or other security devices

that restrict access to the area; and

(B) not visible from a public place without the

use of aircraft or optical aids;

(4) possess, store, or process on the premises of the

adult's private residence not more than:

(A) the amount of cannabis produced from cannabis

plants cultivated on the premises, provided that:

(i) not more than 12 cannabis plants are

possessed, cultivated, or processed on the premises at one time;

and

(ii) any amount of cannabis in excess of 2.5

ounces is stored in a container or area equipped with locks or other

security devices that restrict access to the contents of the

container or area; and

(B) 10 ounces of cannabis that were not produced

from cannabis plants cultivated on the premises, provided that the

amount in excess of 2.5 ounces is stored in a container or area

described by Paragraph (A)(ii);

(5) use, possess, process, transport, or transfer to

another adult without remuneration an amount of cannabis products

specified by commission rule as the allowable amount of cannabis

for purposes of this subdivision; and

(6) use, possess, transport, or transfer to another

adult without remuneration cannabis-related drug paraphernalia.

Sec. 491.0052. AUTHORIZED CONDUCT: RETAIL CANNABIS

OPERATIONS. This chapter authorizes the conduct of:

(1) a cannabis grower director, manager, or employee

who, acting within the scope of the grower's license:

(A) cultivates cannabis or produces cannabis

products for sale or transfer to a cannabis establishment; and

(B) possesses cannabis or cannabis-related drug

paraphernalia;

(2) a cannabis establishment director, manager, or

employee who, acting within the scope of the establishment's

license, possesses cannabis or cannabis products or transfers or

sells cannabis, cannabis products, or cannabis-related drug

paraphernalia to an adult;

(3) a cannabis secure transporter director, manager,

or employee who, acting within the scope of the secure

transporter's license, transports, transfers, or delivers cannabis

or cannabis products from a cannabis grower to a cannabis

establishment; and

(4) a cannabis testing facility director, manager, or

employee who, acting within the scope of the facility's license,

possesses or tests cannabis, cannabis products, or

cannabis-related drug paraphernalia.

Sec. 491.0053. PROTECTION FROM LEGAL ACTION FOR AUTHORIZED

CONDUCT. (a) A person is not subject to arrest, prosecution,

forfeiture of property, or penalty in any manner or denial of any

right or privilege, including any civil penalty or disciplinary

action by a court or occupational or professional licensing board

or bureau solely due to conduct authorized under Section 491.0051

or 491.0052.

(b) The fact that a person engages in conduct authorized by

Section 491.0051 or 491.0052 does not in itself constitute grounds

for denying, limiting, or restricting conservatorship or

possession of or access to a child under Title 5, Family Code.

Sec. 491.0054. PROHIBITION OF CANNABIS ON PRIVATE PROPERTY;

EXCEPTION. (a) Except as otherwise provided by Subsection (b), a

person may prohibit or restrict the possession, consumption,

cultivation, distribution, processing, sale, or display of

cannabis or cannabis products on property the person owns,

occupies, or manages.

(b) A person may not prohibit a residential tenant under a

lease agreement from possessing cannabis, cannabis products, or

cannabis-related drug paraphernalia or consuming cannabis by means

other than smoking on the premises.

Sec. 491.0055. CONDUCT NOT AUTHORIZED UNDER THIS CHAPTER.

This chapter does not authorize the following conduct:

(1) operating a motor vehicle while intoxicated or

otherwise violating Chapter 49, Penal Code;

(2) smoking or otherwise consuming cannabis in:

(A) a motor vehicle while the vehicle is on a

public road;

(B) an aircraft, while the aircraft is in flight

or in a public area;

(C) a watercraft, while the watercraft is on a

public waterway; or

(D) a public place, unless:

(i) the public place is an area designated

by the applicable political subdivision as an area where using

cannabis is permissible; and

(ii) the area described by Subparagraph (i)

is not accessible to persons younger than 21 years of age;

(3) possessing or consuming cannabis or cannabis

products or possessing cannabis-related drug paraphernalia:

(A) on the premises of a public or private

child-care facility, prekindergarten, or primary or secondary

school;

(B) on a school bus that serves a facility or

school described by Paragraph (A); or

(C) on the premises of a correctional facility,

as defined by Article 18A.251, Code of Criminal Procedure, or a

civil commitment facility; or

(4) separating resin from the cannabis plant by butane

extraction or another method that uses a substance with a

flashpoint below 100 degrees Fahrenheit in a public place or motor

vehicle or within the curtilage of a residential structure.

SUBCHAPTER C. DUTIES OF COMMISSION AND DEPARTMENT

Sec. 491.0101. DUTIES OF DEPARTMENT. The department shall

administer this chapter.

Sec. 491.0102. RULES; FEES. (a) The commission shall adopt

all necessary rules for the administration and enforcement of this

chapter, including rules imposing fees under this chapter in

amounts sufficient to cover the cost of administering this chapter.

(b) The commission by rule shall set application and license

fees under this chapter in amounts sufficient to administer this

chapter and may annually adjust the fees for inflation.

(c) A fee collected under this chapter shall be deposited to

the credit of the cannabis regulation account established under

Section 491.0251.

(d) The commission shall adopt rules for the reasonable

regulation of cannabis growers and cannabis establishments,

including rules that:

(1) restrict the use of dangerous pesticides;

(2) regulate the packaging and labeling of cannabis

products available at a cannabis establishment;

(3) restrict advertising and display of cannabis and

cannabis products;

(4) restrict the maximum amount of

tetrahydrocannabinol that may be contained in a cannabis product

sold to a consumer;

(5) require recordkeeping and monitoring to track the

transfer of cannabis and cannabis products between license holders;

and

(6) require security measures, provided that the

security measures do not restrict the cultivation of cannabis

outdoors or in greenhouses.

Sec. 491.0103. TESTING, PACKAGING, AND LABELING STANDARDS.

(a) The commission by rule shall establish standards for:

(1) the operation of cannabis testing facilities;

(2) the testing of cannabis and cannabis products; and

(3) packaging and labeling requirements for cannabis

and cannabis products.

(b) In establishing standards for packaging and labeling

requirements under Subsection (a)(3), the commission shall require

that:

(1) cannabis and cannabis products be packaged in

opaque, resealable, child-resistant packaging that does not

resemble and may not be easily confused with typical packaging for

commercially sold candy;

(2) cannabis and cannabis products be clearly labeled;

and

(3) the label for a cannabis product disclose the

amount of cannabis contained in that product.

Sec. 491.0104. SECURE TRANSPORTATION OF CANNABIS. The

commission by rule shall establish standards applicable to cannabis

secure transporters, including standards to ensure all cannabis

establishments are properly served.

Sec. 491.0105. CONFLICT OF INTEREST. (a) A person who is

involved in the implementation, administration, or enforcement of

this chapter as a member of the commission, an employee of the

department, or a consultant to the commission or the department may

not also hold a pecuniary interest in any entity licensed by the

department under this chapter.

(b) A person who holds a pecuniary interest in a cannabis

testing facility or a cannabis secure transporter who holds a

license issued under this chapter may not hold a pecuniary interest

in any entity that holds a cannabis establishment or cannabis

grower license issued under this chapter.

(c) A person may not hold a pecuniary interest in more than

five entities that are licensed under this chapter as a cannabis

grower, except as provided by commission rule.

Sec. 491.0106. ANNUAL REPORT. The executive director shall

annually submit to the governor a report providing the following

information regarding licensing and regulation under this chapter:

(1) the number of applications received for each class

of license under this chapter;

(2) the number of licenses issued for each class of

license under this chapter;

(3) demographic information pertaining to license

holders;

(4) a description of any fines imposed on a license

holder or disciplinary actions taken against a license holder by

the department; and

(5) a statement of revenues and expenses of the

department related to the implementation, administration, and

enforcement of this chapter.

SUBCHAPTER D. LICENSING

Sec. 491.0151. LICENSE REQUIRED. A person may not operate

as a cannabis grower, cannabis establishment, cannabis secure

transporter, or cannabis testing facility unless the person holds a

license issued by the department under this chapter.

Sec. 491.0152. QUALIFICATIONS FOR LICENSURE. The

commission by rule shall provide for each class of license issued

under this chapter qualifications for licensure that are

demonstrably related to the operations authorized and duties

imposed under that class of license.

Sec. 491.0153. APPLICATION. (a) A person may apply for an

initial or renewal license under this chapter by submitting a form

prescribed by the department along with the application fee in an

amount set by commission rule.

(b) The application must indicate the class of license

sought and include the name and address of the applicant, the name

and address of each of the applicant's directors, managers, and

employees, and any other information considered necessary by the

department to determine the applicant's eligibility for the

license.

Sec. 491.0154. ISSUANCE, RENEWAL, OR DENIAL OF LICENSE.

(a) The department shall issue or renew a license under this

chapter only if:

(1) the department determines the applicant meets the

qualifications established under Section 491.0152 for the class of

license sought; and

(2) the applicant is in compliance with any applicable

local regulations.

(b) If the department denies the issuance or renewal of a

license under Subsection (a), the department shall give written

notice of the grounds for denial to the applicant.

(c) A license issued or renewed under this section expires

as determined by commission rule and the department in accordance

with Section 51.406, Occupations Code.

Sec. 491.0155. DUTY TO MAINTAIN QUALIFICATIONS. A license

holder shall maintain compliance at all times with the

qualifications for the applicable class of license established

under Section 491.0152.

Sec. 491.0156. LICENSE SUSPENSION OR REVOCATION. (a) The

department may at any time suspend or revoke a license issued under

this chapter if the department determines the license holder has

not maintained the qualifications established under Section

491.0152 or has failed to comply with a duty imposed under this

chapter.

(b) The department shall give written notice to a 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

chapter, the department shall notify the Department of Public

Safety. The public safety director of the Department of Public

Safety may seize or place under seal all cannabis, cannabis

products, and cannabis-related drug paraphernalia owned or

possessed by the license holder. If the license is revoked, a

disposition may not be made of the seized or sealed cannabis,

cannabis products, or cannabis-related 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 cannabis, cannabis products, and cannabis-related 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.

Sec. 491.0157. CRIMINAL HISTORY BACKGROUND CHECK. (a) In

addition to satisfying the other requirements provided by

commission rule under this chapter, an applicant for a license

under this chapter must submit to the department a complete and

legible set of fingerprints, on a form prescribed by the

commission, for the purpose of obtaining criminal history record

information from the Department of Public Safety and the Federal

Bureau of Investigation.

(b) The department may deny a license to an applicant who

does not comply with the requirement of Subsection (a). Issuance of

a license by the department is conditioned on the department

obtaining the applicant's criminal history record information

under this section.

(c) The commission by rule shall establish criteria for

determining whether a person passes the criminal history background

check for purposes of this section. The rules adopted under this

section may not disqualify a person for licensure solely for a

conviction of an offense that involves the possession of marihuana

or the delivery of marihuana to a person 18 years of age or older.

SUBCHAPTER E. DUTIES OF LICENSE HOLDERS

Sec. 491.0201. DUTIES RELATING TO DISPENSING CANNABIS OR

CANNABIS PRODUCTS. Before dispensing cannabis or cannabis products

to an adult, a cannabis establishment must make reasonable efforts

to verify that:

(1) the person receiving the cannabis or cannabis

product is an adult;

(2) the cannabis or cannabis product complies with

department testing and labeling rules; and

(3) the amount dispensed is not greater than the

amount of cannabis or cannabis product allowed for personal use as

provided by Section 491.0051.

Sec. 491.0202. DUTIES RELATING TO SECURITY. (a) A license

holder shall ensure that the cultivation, processing, sale, or

display of cannabis, cannabis products, and cannabis-related drug

paraphernalia is not visible from a public place without the use of

optical aids or aircraft.

(b) A license holder may not cultivate, process, store, or

sell cannabis, cannabis products, or cannabis-related drug

paraphernalia at a location other than the physical address

approved by the department for the establishment under the license

issued to the establishment under this chapter.

(c) A license holder shall adopt reasonable security

measures necessary to restrict access to areas where cannabis,

cannabis products, or cannabis-related drug paraphernalia are

stored and to prevent theft of cannabis, cannabis products, and

cannabis-related drug paraphernalia.

Sec. 491.0203. LICENSE HOLDER OPERATIONS. (a) A license

holder may not employ or otherwise accept the services of a person

younger than 21 years of age.

(b) A cannabis establishment may not sell tobacco products,

as defined by Section 155.001, Tax Code.

Sec. 491.0204. MONTHLY SALES REPORT. A cannabis

establishment shall monthly submit a report to the comptroller

specifying the amount of cannabis sold, the number of cannabis

products sold, the number and types of cannabis-related drug

paraphernalia sold, and the amount of money collected in sales by

the establishment during the preceding month.

SUBCHAPTER F. FUNDING FOR REGULATION

Sec. 491.0251. CANNABIS REGULATION ACCOUNT. (a) The

cannabis regulation account is an account in the general revenue

fund administered by the department.

(b) The account consists of fees deposited to the credit of

the account under Section 491.0102.

(c) Money in the account may be appropriated only to the

department for implementing and administering this chapter.

SUBCHAPTER G. LOCAL REGULATION

Sec. 491.0301. LOCAL AUTHORIZATION REQUIRED. A license

holder under this chapter may not operate in a county without the

authorization of an election held under this subchapter.

Sec. 491.0302. ELECTION. (a) The commissioners court of a

county may order an election to approve the operation of cannabis

growers, cannabis establishments, or cannabis testing facilities

in the county.

(b) A commissioners court of a county shall hold the

election on the first authorized uniform election date prescribed

by Chapter 41, Election Code, that allows sufficient time for

compliance with any requirements established by law.

(c) The ballot in the election shall be printed to provide

for voting for or against the proposition: "Authorizing (cannabis

growers, cannabis establishments, or cannabis testing facilities,

as applicable) to operate in (name of county)."

Sec. 491.0303. LOCAL REGULATION. A county that authorizes

the operation of cannabis growers, cannabis establishments, or

cannabis testing facilities in the county may adopt regulations

consistent with this chapter governing the hours of operation,

location, manner of conducting business, and number of cannabis

growers, cannabis establishments, or cannabis testing facilities.

SUBCHAPTER H. PROHIBITED SALE OR DISTRIBUTION OF CANNABIS OR

CANNABIS PRODUCT TO MINORS

Sec. 491.0351. DEFINITION. In this subchapter, "minor"

means a person younger than 21 years of age.

Sec. 491.0352. PROHIBITED SALE OR DISTRIBUTION OF CANNABIS

OR CANNABIS PRODUCT TO MINORS; PROOF OF AGE REQUIRED. (a) A person

commits an offense if the person, under the authority of this

chapter:

(1) sells, gives, or causes to be sold or given

cannabis or cannabis products to a minor; or

(2) sells, gives, or causes to be sold or given

cannabis or cannabis products to another person who intends to

deliver the cannabis or cannabis products to a minor.

(b) If an offense under this section occurs in connection

with a sale by an employee of the owner of a cannabis establishment,

the employee is criminally responsible for the offense and is

subject to prosecution.

(c) An offense under this section is a Class C misdemeanor.

(d) It is a defense to prosecution under Subsection (a)(1)

that the person to whom the cannabis or cannabis products were sold

or given presented to the defendant apparently valid proof of

identification.

(e) A proof of identification satisfies the requirements of

Subsection (d) if it contains a physical description and photograph

consistent with the person's appearance, purports to establish that

the person is 21 years of age or older, and was issued by a

governmental agency. The proof of identification may include a

driver's license issued by this state or another state, a passport,

or an identification card issued by a state or the federal

government.

SECTION 2. Section 122.103(c), Agriculture Code, is amended

to read as follows:

(c) A qualified applicant who along with the application

submits proof to the department that the applicant holds a license

under Chapter 487 or 491 , Health and Safety Code, is not required to

pay an application fee, and the department shall issue the license

to the applicant within the time prescribed by Subsection (b).

SECTION 3. Section 411.093(a), Government Code, is amended

to read as follows:

(a) The Texas Department of Licensing and Regulation is

entitled to obtain criminal history record information as provided

by Subsection (b) that relates to:

(1) an applicant for or the holder of:

(A) a driver education instructor license under

Chapter 1001, Education Code;

(B) a license under Chapter 202, Occupations

Code;

(C) a license under Chapter 401, Occupations

Code;

(D) a license under Chapter 402, Occupations

Code; or

(E) an instructor license or motorcycle school

license under Chapter 662, Transportation Code;

(2) a person who is:

(A) an applicant for or the holder of a license

under Chapter 91, Labor Code; or

(B) a controlling person, as defined by Chapter

91, Labor Code, of an entity described by Paragraph (A); [ or ]

(3) a person who:

(A) is an applicant for or the holder of a license

under Chapter 455, Occupations Code; or

(B) has an interest described under Section

455.1525(e), Occupations Code, in an entity described by Paragraph

(A) ; or

(4) a person who is an applicant for or holds a license

issued under Chapter 491, Health and Safety Code, to be a cannabis

grower, cannabis establishment, cannabis secure transporter, or

cannabis testing facility, as defined by Section 491.0001, Health

and Safety Code .

SECTION 4. Section 443.202(a), Health and Safety Code, is

amended to read as follows:

(a) This section does not apply to low-THC cannabis

regulated under Chapter 487 or cannabis regulated under Chapter

491 .

SECTION 5. Section 443.2025(a), Health and Safety Code, is

amended to read as follows:

(a) This section does not apply to low-THC cannabis

regulated under Chapter 487 or cannabis regulated under Chapter

491 .

SECTION 6. Section 481.062, Health and Safety Code, is

amended to read as follows:

Sec. 481.062. EXEMPTIONS. (a) The following persons are

not required to register and may possess a controlled substance

under this chapter [ without registering with the Federal Drug

Enforcement Administration ]:

(1) an agent or employee of a registered 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 ;

(7) a cannabis grower, cannabis establishment,

cannabis secure transporter, or cannabis testing facility licensed

under Chapter 491 that possesses cannabis or cannabis products; or

(8) a person who possesses cannabis or cannabis

products in accordance with Chapter 491 .

(b) In this section, "cannabis" and "cannabis product" have

the meanings assigned to those terms by Section 491.0001.

SECTION 7. Section 481.111, Health and Safety Code, is

amended by adding Subsections (g) and (h) to read as follows:

(g) Sections 481.113, 481.116, 481.120, 481.121, and

481.125 do not apply to a person who engages in the acquisition,

possession, production, processing, cultivation, delivery,

transportation, disposal, transfer, or use of a raw material used

in or by-product created by the production or cultivation of

cannabis or cannabis products if the conduct is expressly

authorized by Subchapter B, Chapter 491.

(h) For purposes of Subsection (g), "cannabis" and

"cannabis product" have the meanings assigned to those terms by

Section 491.0001.

SECTION 8. 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 dispensing organization[ , as defined by Section

487.001, Health and Safety Code, ] that cultivates, processes, and

dispenses low-THC cannabis, as authorized by Chapter 487, Health

and Safety Code, to a patient listed in the compassionate-use

registry established under that chapter ;

(6) a cannabis grower, cannabis establishment,

cannabis secure transporter, or cannabis testing facility licensed

under Chapter 491, Health and Safety Code, that cultivates,

manufactures, processes, distributes, delivers sells, tests,

transports, or dispenses cannabis or a cannabis product as

authorized by that chapter; or

(7) a person who transfers cannabis without

remuneration as authorized by Section 491.0051, Health and Safety

Code .

(a-1) For purposes of this section:

(1) "Cannabis," "cannabis establishment," "cannabis

grower," "cannabis product," "cannabis secure transporter," and

"cannabis testing facility" have the meanings assigned by Section

491.0001, Health and Safety Code.

(2) "Dispensing organization" and "low-THC cannabis"

have the meanings assigned by Section 487.001, Health and Safety

Code.

SECTION 9. (a) Not later than July 1, 2026, the Texas

Commission of Licensing and Regulation shall adopt rules as

required to implement, administer, and enforce Chapter 491, Health

and Safety Code, as added by this Act.

(b) Not later than November 1, 2026, the Texas Department of

Licensing and Regulation shall begin licensing cannabis growers,

cannabis establishments, cannabis secure transporters, and

cannabis testing facilities in accordance with Chapter 491, Health

and Safety Code, as added by this Act, provided that the applicants

for a license have met all requirements for approval under Chapter

491, Health and Safety Code, as added by this Act.

SECTION 10. This Act takes effect September 1, 2025.