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LRB-4462/1
MPG&CMH:ahe
2015 - 2016 LEGISLATURE
March 3, 2016 - Introduced by Senator C. Larson, cosponsored by Representatives
Kahl, Brostoff, Sinicki, Goyke, Berceau, Johnson and Wachs. Referred to
Committee on Judiciary and Public Safety.
SB772,1,7 1An Act to repeal 961.34 (2) (b); to renumber subchapter XIV of chapter 440
2[precedes 440.99] and 961.32; to renumber and amend 961.34 (2) (a); to
3amend
450.03 (1) (e), 961.14 (4) (t), 961.38 (1n) and 961.52 (2) (a) 1. and 2.; and
4to create 440.08 (2) (a) 20r., subchapter XIV of chapter 440 [precedes 440.989],
5450.07 (2m), 450.071 (1m) and 961.32 (2m) of the statutes; relating to:
6production and possession of cannabidiol for treatment of a seizure disorder
7and providing a penalty.
Analysis by the Legislative Reference Bureau
This bill establishes a licensure program administered by the Department of
Safety and Professional Services for producers of cannabidiol. Under the bill, a
person may possess tetrahydrocannabinols to produce CBD oil, and may produce
CBD oil and deliver it, only if the person is licensed by DSPS and only if the CBD oil
is produced in a form without a psychoactive effect for the treatment of a seizure
disorder.
The bill also makes certain changes to the requirements for possessing CBD oil
and dispensing it to patients. Current law designates THC as a schedule I controlled
substance and defines THC to exclude CBD oil in a form without a psychoactive effect
that is dispensed by a pharmacy or physician approved by the Controlled Substances
Board to treat a seizure disorder or that is possessed by a person with documentation

from a physician that the CBD oil is to treat a seizure disorder. Under the bill, THC
does not include CBD oil in a form without a psychoactive effect without regard to
who dispenses it or possesses it. The bill also specifies that any person may possess
CBD oil to treat a seizure disorder and that any pharmacy or physician may dispense
CBD oil to treat a seizure disorder.
For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SB772,1 1Section 1. 440.08 (2) (a) 20r. of the statutes is created to read:
SB772,2,22 440.08 (2) (a) 20r. Cannabidiol producer: June 1 of each odd-numbered year.
SB772,2 3Section 2. Subchapter XIV of chapter 440 [precedes 440.989] of the statutes
4is created to read:
SB772,2,55 chapter 440
SB772,2,76 subchapter XIv
7 cannabidiol producers
SB772,2,9 8440.989 Definition. In this subchapter, "licensed producer" means a
9cannabidiol producer licensed under s. 440.9892.
SB772,2,11 10440.9891 License required. (1) No person may engage in the production of
11cannabidiol in this state unless the person is a licensed producer.
SB772,2,14 12(2) A person need not be a licensed producer to engage in an activity that is
13within the scope of another valid state or federal license, permit, registration, or
14certification.
SB772,2,15 15440.9892 Licensure; renewal.
SB772,2,17 16(1) The department shall grant a license to engage in the production of
17cannabidiol to a person who does all of the following:
SB772,2,1818 (a) Submits an application for licensure on a form provided by the department.
SB772,3,1
1(b) Pays the fee specified in s. 440.05 (1).
SB772,3,22 (c) Satisfies all other requirements established by the department by rule.
SB772,3,6 3(2) The renewal date for a license granted under sub. (1) is specified in s. 440.08
4(2) (a). A renewal application shall be submitted to the department on a form
5provided by the department and shall include the renewal fee determined by the
6department under s. 440.03 (9) (a).
SB772,3,9 7440.9893 Production and delivery. A licensed producer may produce
8cannabidiol and may deliver cannabidiol to any other person if all of the following
9conditions are satisfied:
SB772,3,10 10(1) The cannabidiol is in a form without a psychoactive effect.
SB772,3,11 11(2) The cannabidiol is for the treatment of a seizure disorder.
SB772,3,16 12440.9894 Disciplinary proceedings and actions. (1) Subject to the rules
13promulgated under s. 440.03 (1), the department may conduct investigations and
14hold hearings to determine whether a violation of this subchapter or a rule
15promulgated under this subchapter or a violation of another law that substantially
16relates to the production of cannabidiol has occurred.
SB772,3,20 17(2) Subject to the rules promulgated under s. 440.03 (1), the department may
18reprimand a licensed producer or deny, limit, suspend, or revoke a license granted
19under s. 440.9892 if the department finds that an applicant for licensure or a licensed
20producer has done any of the following:
SB772,3,2221 (a) Intentionally made a material misstatement in an application for a license
22or license renewal.
SB772,3,2323 (b) Advertised in a manner that is false or misleading.
SB772,3,2424 (c) Obtained or attempted to obtain compensation through fraud or deceit.
SB772,4,3
1(d) Violated this subchapter or a rule promulgated under this subchapter or
2violated another law that substantially relates to the production or delivery of
3cannabidiol.
SB772,4,6 4(3) In addition to or in lieu of a reprimand or other action under sub. (2), the
5department may assess against a licensed provider, for the violations enumerated
6under sub. (2), a forfeiture of not more than $1,000 for each separate offense.
SB772,4,9 7440.9895 Penalties. Any person who violates this subchapter or any rule
8promulgated under this subchapter may be fined not more than $1,000 or imprisoned
9for not more than 90 days or both.
SB772,3 10Section 3. Subchapter XIV of chapter 440 [precedes 440.99] of the statutes is
11renumbered subchapter XV of chapter 440 [precedes 440.99].
SB772,4 12Section 4. 450.03 (1) (e) of the statutes, as affected by 2015 Wisconsin Acts 3
13and 55, is amended to read:
SB772,4,2014 450.03 (1) (e) Any person lawfully practicing within the scope of a license,
15permit, registration, certificate, or certification granted to provide home medical
16oxygen under s. 450.076, to produce cannabidiol under subch. XIV of ch. 440, to
17practice professional or practical nursing or nurse-midwifery under ch. 441, to
18practice dentistry or dental hygiene under ch. 447, to practice medicine and surgery
19under ch. 448, to practice optometry under ch. 449, or to practice veterinary medicine
20under ch. 89, or as otherwise provided by statute.
SB772,5 21Section 5. 450.07 (2m) of the statutes is created to read:
SB772,4,2322 450.07 (2m) No license under this section is required for a cannabidiol producer
23licensed under s. 440.9892 acting within the scope of that license.
SB772,6 24Section 6. 450.071 (1m) of the statutes is created to read:
SB772,5,2
1450.071 (1m) The board shall exempt a cannabidiol producer licensed under
2s. 440.9892 from the licensing and other requirements under this section.
SB772,7 3Section 7. 961.14 (4) (t) of the statutes is amended to read:
SB772,5,84 961.14 (4) (t) Tetrahydrocannabinols, commonly known as "THC", in any form
5including tetrahydrocannabinols contained in marijuana, obtained from marijuana,
6or chemically synthesized, except that tetrahydrocannabinols do not include
7cannabidiol in a form without a psychoactive effect that is dispensed or documented
8as provided in s. 961.38 (1n)
;
SB772,8 9Section 8. 961.32 of the statutes is renumbered 961.32 (1m).
SB772,9 10Section 9. 961.32 (2m) of the statutes is created to read:
SB772,5,1511 961.32 (2m) A cannabidiol producer licensed under s. 440.9892 may possess
12tetrahydrocannabinols if the possession is only for the purpose of producing
13cannabidiol in a form without a psychoactive effect for the treatment of a seizure
14disorder. Any person may possess cannabidiol in a form without a psychoactive effect
15if the possession is for the treatment of a seizure disorder.
SB772,10 16Section 10. 961.34 (2) (a) of the statutes is renumbered 961.34 (2) and
17amended to read:
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