SB377: Bill Text

SB377,30,15 (2) A compassion center may possess or manufacture tetrahydrocannabinols or drug paraphernalia with the intent to sell, distribute, or deliver under sub. (1).

SB377,30,17 (3) A compassion center may have 2 locations, one for cultivation and one for sales, distribution, or delivery.

SB377,30,23 (4) A compassion center shall have all tetrahydrocannabinols tested for mold, fungus, pesticides, and other contaminants and may not sell, distribute, or deliver tetrahydrocannabinols that test positive for mold, fungus, pesticides, or other contaminants if the contaminants, or level of contaminants, are identified by the testing laboratories under s. 50.86 (2) to be potentially unsafe to a qualifying patient's health.

SB377,30,24 (5) A compassion center may cultivate marijuana outdoors.

SB377,31,4 50.86 Testing laboratories. The department shall register entities as tetrahydrocannabinols testing laboratories. The laboratories may possess or manufacture tetrahydrocannabinols or drug paraphernalia and shall perform the following services:

SB377,31,6 (1) Test marijuana produced for the medical use of tetrahydrocannabinols for potency and for mold, fungus, pesticides, and other contaminants.

SB377,31,9 (2) Collect information on research findings and conduct research related to the medical use of tetrahydrocannabinols, including research that identifies potentially unsafe levels of contaminants.

SB377,31,12 (3) Provide training to persons who hold registry identification cards or written certifications, to treatment teams, and to persons employed by compassion centers on the following:

SB377,31,14 (a) The safe and efficient cultivation, harvesting, packaging, labeling, and distribution of marijuana for the medical use of tetrahydrocannabinols.

SB377,31,15 (b) Security and inventory accountability procedures.

SB377,31,16 (c) The most recent research on the medical use of tetrahydrocannabinols.

SB377,69 Section 69 . Subchapter VI (title) of chapter 50 [precedes 50.90] of the statutes is renumbered subchapter VII (title) of chapter 50 [precedes 50.90].

SB377,70 Section 70 . 51.49 (1) (d) of the statutes is amended to read:

SB377,31,22 51.49 (1) (d) “Operating while intoxicated" means a violation of s. 346.63 (1) or, (2m), or (2p) or a local ordinance in conformity therewith or of s. 346.63 (2) or (6), 940.09 (1) or 940.25.

SB377,71 Section 71 . 59.54 (25) (title) of the statutes is amended to read:

SB377,31,24 59.54 (25) (title) Possession Regulation of marijuana.

SB377,72 Section 72 . 59.54 (25) (a) (intro.) of the statutes is amended to read:

SB377,32,9 59.54 (25) (a) (intro.) The board may enact and enforce an ordinance to prohibit the possession of marijuana, as defined in s. 961.01 (14), subject to the exceptions in s. 961.41 (3g) (intro.), and provide a forfeiture for a violation of the ordinance that is consistent with s. 961.71 or 961.72; except that if a complaint is issued regarding an allegation of possession of more than 25 grams of marijuana, or possession of any amount of marijuana following a conviction in this state for possession of marijuana alleging a violation of s. 961.72 (2) (b) 2., (c) 3., or (d) 4., the subject of the complaint may not be prosecuted under this subsection for the same action that is the subject of the complaint unless all of the following occur:

SB377,73 Section 73 . 66.0107 (1) (bm) of the statutes is amended to read:

SB377,32,20 66.0107 (1) (bm) Enact and enforce an ordinance to prohibit the possession of marijuana, as defined in s. 961.01 (14), subject to the exceptions in s. 961.41 (3g) (intro.), and provide a forfeiture for a violation of the ordinance that is consistent with s. 961.71 or 961.72; except that if a complaint is issued regarding an allegation of possession of more than 25 grams of marijuana, or possession of any amount of marijuana following a conviction in this state for possession of marijuana alleging a violation of s. 961.72 (2) (b) 2., (c) 3., or (d) 4., the subject of the complaint may not be prosecuted under this paragraph for the same action that is the subject of the complaint unless the charges are dismissed or the district attorney declines to prosecute the case.

SB377,74 Section 74 . 66.0414 of the statutes is created to read:

SB377,32,24 66.0414 Cultivation of tetrahydrocannabinols. No city, village, town, or county may prohibit cultivating tetrahydrocannabinols outdoors if the cultivation is by one of the following:

SB377,32,25 (1) A compassion center, as defined in s. 50.80 (1).

SB377,33,3 (2) A person who is cultivating tetrahydrocannabinols for the medical use of tetrahydrocannabinols, as defined in s. 50.80 (4), if the amount does not exceed the maximum medicinal amount, as defined in s. 50.80 (3).

SB377,33,5 (3) An individual who has no more than 6 marijuana plants at one time for his or her personal use.

SB377,75 Section 75 . 77.52 (13) of the statutes is amended to read:

SB377,33,18 77.52 (13) For the purpose of the proper administration of this section and to prevent evasion of the sales tax it shall be presumed that all receipts are subject to the tax until the contrary is established. The burden of proving that a sale of tangible personal property, or items, property, or goods under sub. (1) (b), (c), or (d), or services is not a taxable sale at retail is upon the person who makes the sale unless that person takes from the purchaser an electronic or a paper certificate, in a manner prescribed by the department, to the effect that the property, item, good, or service is purchased for resale or is otherwise exempt, except that no certificate is required for the sale of tangible personal property, or items, property, or goods under sub. (1) (b), (c), or (d), or services that are exempt under s. 77.54 (5) (a) 3., (7), (7m), (8), (10), (11), (14), (15), (17), (20n), (21), (22b), (31), (32), (35), (36), (37), (42), (44), (45), (46), (51), (52), (66), and (67), and (69).

SB377,76 Section 76 . 77.53 (10) of the statutes is amended to read:

SB377,34,7 77.53 (10) For the purpose of the proper administration of this section and to prevent evasion of the use tax and the duty to collect the use tax, it is presumed that tangible personal property, or items, property, or goods under s. 77.52 (1) (b), (c), or (d), or taxable services sold by any person for delivery in this state is sold for storage, use, or other consumption in this state until the contrary is established. The burden of proving the contrary is upon the person who makes the sale unless that person takes from the purchaser an electronic or paper certificate, in a manner prescribed by the department, to the effect that the property, or items, property, or goods under s. 77.52 (1) (b), (c), or (d), or taxable service is purchased for resale, or otherwise exempt from the tax, except that no certificate is required for the sale of tangible personal property, or items, property, or goods under s. 77.52 (1) (b), (c), or (d), or services that are exempt under s. 77.54 (7), (7m), (8), (10), (11), (14), (15), (17), (20n), (21), (22b), (31), (32), (35), (36), (37), (42), (44), (45), (46), (51), (52), and (67), and (69).

SB377,77 Section 77 . 77.54 (69) of the statutes is created to read:

SB377,34,11 77.54 (69) The sales price from the sale of and the storage, use, or other consumption of usable marijuana, as defined in s. 139.97 (13), provided by a compassion center, as defined in s. 50.80 (1).

SB377,78 Section 78 . 94.56 of the statutes is created to read:

SB377,34,14 94.56 Marijuana producers and processors. (1) Definitions. In this section:

SB377,34,17 (a) “Labor peace agreement” means an agreement between a person applying for a permit under this section and a labor organization, as defined in s. 5.02 (8m), that does all of the following:

SB377,34,20 1. Prohibits labor organizations and its members from engaging in picketing, work stoppages, boycotts, and any other economic interference with persons doing business in this state.

SB377,34,22 2. Prohibits the applicant from disrupting the efforts of the labor organization to communicate with and to organize and represent the applicant's employees.

SB377,35,2 3. Provides the labor organization access at reasonable times to areas in which the applicant's employees work for the purpose of meeting with employees to discuss their right to representation, employment rights under state law, and terms and conditions of employment.

SB377,35,3 (b) “Marijuana" has the meaning given in s. 961.70 (3).

SB377,35,4 (c) “Marijuana processor" has the meaning given in s. 139.97 (6).

SB377,35,5 (d) “Marijuana producer” has the meaning given in s. 139.97 (7).

SB377,35,6 (e) “Usable marijuana” has the meaning given in s. 139.97 (13).

SB377,35,8 (f) “Permittee” means a marijuana producer or marijuana processor who is issued a permit under this section.

SB377,35,14 (2) Permit required. (a) No person may operate in this state as a marijuana producer or marijuana processor without a permit from the department. A person who acts as a marijuana producer and a marijuana processor shall obtain a separate permit for each activity. A person is not required to obtain a permit under this section if the person produces or processes only industrial hemp and holds a valid license under s. 94.55.

SB377,35,17 (b) This subsection applies to all officers, directors, agents, and stockholders holding 5 percent or more of the stock of any corporation applying for a permit under this section.

SB377,35,19 (c) Subject to ss. 111.321, 111.322, and 111.335, a permit under this section may not be granted to any person to whom any of the following applies:

SB377,35,21 1. The person has been convicted of a violent misdemeanor, as defined in s. 941.29 (1g) (b), at least 3 times.

SB377,35,23 2. The person has been convicted of a violent felony, as defined in s. 941.29 (1g) (a), unless pardoned.

SB377,35,25 3. During the preceding 3 years, the person has been committed under s. 51.20 for being drug dependent.

SB377,36,5 4. The person chronically and habitually uses alcohol beverages or other substances to the extent that his or her normal faculties are impaired. A person is presumed to chronically and habitually use alcohol beverages or other substances to the extent that his or her normal faculties are impaired if, within the preceding 3 years, any of the following applies:

SB377,36,7 a. The person has been committed for involuntary treatment under s. 51.45 (13).

SB377,36,8 b. The person has been convicted of a violation of s. 941.20 (1) (b).

SB377,36,18 c. In 2 or more cases arising out of separate incidents, a court has found the person to have committed a violation of s. 346.63 or a local ordinance in conformity with that section; a violation of a law of a federally recognized American Indian tribe or band in this state in conformity with s. 346.63; or a violation of the law of another jurisdiction, as defined in s. 340.01 (41m), that prohibits use of a motor vehicle while intoxicated, while under the influence of a controlled substance, a controlled substance analog, or a combination thereof, with an excess or specified range of alcohol concentration, or while under the influence of any drug to a degree that renders the person incapable of safely driving, as those or substantially similar terms are used in that jurisdiction's laws.

SB377,36,20 5. The person has income that comes principally from gambling or has been convicted of 2 or more gambling offenses.

SB377,36,21 6. The person has been guilty of crimes relating to prostitution.

SB377,36,23 7. The person has been guilty of crimes relating to loaning money or anything of value to persons holding licenses or permits pursuant to ch. 125.

SB377,36,24 8. The person is under the age of 21.

SB377,37,2 9. The person has not been a resident of this state continuously for at least 90 days prior to the application date.

SB377,37,9 (cm) Notwithstanding ss. 66.0134 and 947.21, an applicant with 20 or more employees may not receive a permit under this section unless the applicant certifies to the department that the applicant has entered into a labor peace agreement and will abide by the terms of the agreement as a condition of maintaining a valid permit under this section. The applicant shall submit to the department a copy of the page of the labor peace agreement that contains the signatures of the union representative and the applicant.

SB377,37,19 (cn) The department shall use a competitive scoring system to determine which applicants are eligible to receive a permit under this section. The department shall issue permits to the highest scoring applicants that it determines will best protect the environment; provide stable, family-supporting jobs to local residents; ensure worker and consumer safety; operate secure facilities; and uphold the laws of the jurisdictions in which they operate. The department may deny a permit to an applicant with a low score, as determined under this paragraph. The department may request that the applicant provide any information or documentation that the department deems necessary for purposes of making a determination under this paragraph.

SB377,38,2 (d) 1. Before the department issues a new or renewed permit under this section, the department shall give notice of the permit application to the governing body of the municipality where the permit applicant intends to operate the premises of a marijuana producer or marijuana processor. No later than 30 days after the department submits the notice, the governing body of the municipality may file with the department a written objection to granting or renewing the permit. At the municipality's request, the department may extend the period for filing objections.

SB377,38,15 2. A written objection filed under subd. 1. shall provide all the facts on which the objection is based. In determining whether to grant or deny a permit for which an objection has been filed under this paragraph, the department shall give substantial weight to objections from a municipality based on chronic illegal activity associated with the premises for which the applicant seeks a permit, the premises of any other operation in this state for which the applicant holds or has held a valid permit or license, the conduct of the applicant's patrons inside or outside the premises of any other operation in this state for which the applicant holds or has held a valid permit or license, and local zoning ordinances. In this subdivision, “ chronic illegal activity" means a pervasive pattern of activity that threatens the public health, safety, and welfare of the municipality, including any crime or ordinance violation, and is documented in crime statistics, police reports, emergency medical response data, calls for service, field data, or similar law enforcement agency records.

SB377,38,20 (e) After denying a permit, the department shall immediately notify the applicant in writing of the denial and the reasons for the denial. After making a decision to grant or deny a permit for which a municipality has filed an objection under par. (d), the department shall immediately notify the governing body of the municipality in writing of its decision and the reasons for the decision.

SB377,38,22 (f) 1. The department's denial of a permit under this section is subject to judicial review under ch. 227.

SB377,38,24 2. The department's decision to grant a permit under this section regardless of an objection filed under par. (d) is subject to judicial review under ch. 227.

SB377,39,2 (g) The department shall not issue a permit under this section to any person who does not hold a valid certificate under s. 73.03 (50).

SB377,39,8 (3) Fees; term. (a) Each person who applies for a permit under this section shall submit with the application a $250 fee. A permit issued under this section is valid for one year and may be renewed, except that the department may revoke or suspend a permit prior to its expiration. A person is not entitled to a refund of the fees paid under this subsection if the person's permit is denied, revoked, or suspended.

SB377,39,12 (b) A permittee shall annually pay to the department a fee for as long as the person holds a valid permit under this section. The annual fee for a marijuana processor permittee is $2,000. The annual fee for a marijuana producer permittee is one of the following, unless the department, by rule, establishes a higher amount:

SB377,39,14 1. If the permittee plants, grows, cultivates, or harvests not more than 1,800 marijuana plants, $1,800.

SB377,39,16 2. If the permittee plants, grows, cultivates, or harvests more than 1,800 but not more than 3,600 marijuana plants, $2,900.

SB377,39,18 3. If the permittee plants, grows, cultivates, or harvests more than 3,600 but not more than 6,000 marijuana plants, $3,600.

SB377,39,20 4. If the permittee plants, grows, cultivates, or harvests more than 6,000 but not more than 10,200 marijuana plants, $5,100.

SB377,39,22 5. If the permittee plants, grows, cultivates, or harvests more than 10,200 marijuana plants, $7,100 plus $800 for every 3,600 marijuana plants over 10,200.

SB377,39,25 (4) Schools. The department may not issue a permit under this section to operate as a marijuana producer within 500 feet of the perimeter of the grounds of any elementary or secondary school.

SB377,40,8 (5) Education and awareness campaign. The department shall develop and make available training programs for marijuana producers on how to safely and efficiently plant, grow, cultivate, harvest, and otherwise handle marijuana, and for marijuana processors on how to safely and efficiently produce and handle marijuana products and test marijuana for contaminants. The department shall conduct an awareness campaign to inform potential marijuana producers and marijuana processors of the availability and viability of marijuana as a crop or product in this state.

SB377,40,11 (6) Rules. The department shall promulgate rules necessary to administer and enforce this section, including rules relating to the inspection of the plants, facilities, and products of permittees and training requirements for employees of permittees.

SB377,40,15 (7) Penalties. (a) Any person who violates the requirements under sub. (2) or (3) or any of the requirements established by the rules promulgated under sub. (6) shall be fined not less than $100 nor more than $500 or imprisoned not more than 6 months or both.

SB377,40,19 (b) In addition to the penalties imposed under par. (a), the department shall revoke the permit of any person convicted of any violation described under par. (a) and not issue another permit to that person for a period of 2 years following the revocation.

SB377,79 Section 79 . 100.145 of the statutes is created to read:

SB377,40,24 100.145 Recreational marijuana logotype. The department shall design an official logotype, appropriate for including on a label affixed to recreational marijuana under s. 139.973 (10) (a). The department shall design the logotype to be distinguishable from any logotype for medical marijuana.

SB377,80 Section 80 . 108.02 (18r) of the statutes is created to read:

SB377,41,1 108.02 (18r) Marijuana. “ Marijuana” has the meaning given in s. 111.32 (11m).

SB377,81 Section 81 . 108.04 (5m) of the statutes is created to read:

SB377,41,7 108.04 (5m) Discharge for use of marijuana. (a) Notwithstanding sub. (5), “misconduct," for purposes of sub. (5), does not include the employee's use of marijuana off the employer's premises during nonworking hours or a violation of the employer's policy concerning such use, unless termination of the employee because of that use is permitted under s. 111.35.

SB377,41,11 (b) Notwithstanding sub. (5g), “substantial fault," for purposes of sub. (5g), does not include the employee's use of marijuana off the employer's premises during nonworking hours or a violation of the employer's policy concerning such use, unless termination of the employee because of that use is permitted under s. 111.35.

SB377,82 Section 82 . 108.133 (1) (a) of the statutes is renumbered 108.133 (1) (a) 1. and amended to read:

SB377,41,15 108.133 (1) (a) 1. Notwithstanding s. 108.02 (9), “controlled substance" has the meaning given in 21 USC 802, except as provided in subd. 2.

SB377,83 Section 83 . 108.133 (1) (a) 2. of the statutes is created to read:

SB377,41,20 108.133 (1) (a) 2. “Controlled substance” does not include tetrahydrocannabinols, commonly known as “THC," in any form including tetrahydrocannabinols contained in marijuana, obtained from marijuana, or chemically synthesized.

SB377,84 Section 84 . 111.32 (9m) of the statutes is created to read: