The Control, Regulate and Tax Adult Use of Marijuana Act (AUMA), an initiative measure approved as Proposition 64 at the November 8, 2016, statewide general election, authorizes a person who obtains a state license under AUMA to engage in commercial adult-use cannabis activity pursuant to that license and applicable local ordinances. The Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA), among other things, consolidates the licensure and regulation of commercial medicinal and adult-use cannabis activities. MAUCRSA imposes duties on the Bureau of Cannabis Control in the Department of Consumer Affairs, the Department of Food and Agriculture, and the State Department of Public Health with respect to the creation, issuance, denial, suspension, and revocation of licenses issued pursuant to MAUCRSA.
MAUCRSA imposes a civil penalty on
a person engaging in commercial cannabis activity without a license as required by the act, of up to 3 times the amount of the license fee for each violation.
This bill would impose a civil penalty on persons aiding and abetting unlicensed commercial cannabis activity of up to $30,000 for each violation. The bill would prohibit filing an action for civil penalties brought against a person pursuant to MAUCRSA 3 years after the first date of discovery of the violation by a licensing authority or a participating agency, whichever is earlier or earliest.
The bill would require a licensing authority to consider certain factors in assessing a fine for engaging in or aiding and abetting unlicensed commercial cannabis activity.
MAUCRSA requires civil penalties collected by the Attorney General in an action brought against a person pursuant to the act on behalf of the people to be deposited
into the General Fund.
This bill would instead require civil penalties collected by the Attorney General in an action brought against a person pursuant to MAUCRSA on behalf of the people, a licensing authority, or a participating agency to be first used to reimburse the Attorney General and the licensing authority or participating agency for the costs of investigating and prosecuting the action brought for civil penalties, with the remainder collected, if any, to be deposited into the General Fund. By authorizing the expenditure of civil penalties, which are general funds, to be used to reimburse the Attorney General and the licensing authority or participating agency, this bill would make an appropriation.
The bill would make the sanctions imposed on a person for engaging in or aiding and abetting unlicensed commercial cannabis activity separate from, and in addition to, all other administrative, civil, or criminal
remedies.
AUMA authorizes the Legislature to amend the act to further the purposes and intent of the act with a 2/3 vote of the membership of both houses of the Legislature, except as provided.
This bill would declare that its provisions further the purposes and intent of the Control, Regulate and Tax Adult Use of Marijuana Act.