HSB 239 (LSB 2547YC (2) 90)

HOUSE FILE _____ 

BY  (PROPOSED COMMITTEE ON WAYS AND MEANS BILL BY CHAIRPERSON KAUFMANN)

A BILL FOR

An Act relating to the licensure of medical cannabidiol dispensaries.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 124E.8, subsection 1, paragraph a, Code 2023, is amended to read as follows:
   a.  The department shall issue a request for proposals accept applications to select and license by April 1, 2018, up to five ten medical cannabidiol dispensaries to dispense medical cannabidiol within this state consistent with the provisions of this chapter. The department shall license new medical cannabidiol dispensaries or relicense the existing medical cannabidiol dispensaries by December 1 of each year. 
    Sec. 2.  Section 124E.8, subsection 2, Code 2023, is amended by striking the subsection.
    Sec. 3.  Section 124E.8, Code 2023, is amended by adding the following new subsection:
   NEW SUBSECTION.  3A.  The department shall not issue more than one license for a medical cannabidiol dispensary per county.
    Sec. 4.  Section 124E.9, subsection 1, Code 2023, is amended to read as follows:
   1.  a.  The medical cannabidiol dispensaries shall be located based on geographical need throughout the state to improve patient access.
   b.  A medical cannabidiol dispensary may dispense medical cannabidiol pursuant to the provisions of this chapter but shall not dispense any medical cannabidiol in a form or quantity other than the form or quantity allowed by the department pursuant to rule.
    Sec. 5.  MEDICAL CANNABIDIOL DISPENSARY LICENSES —— CURRENT LICENSEES.
   1.  The department of health and human services shall accept applications for new medical cannabidiol dispensary licenses from current licensees between July 1, 2023, and October 1, 2023.
   2.  Notwithstanding section 124E.8, subsection 3, in evaluating an application pursuant to this section, the department shall consider only the security, physical layout, and plan for technology at the proposed location.
   3.  A licensee submitting an application pursuant to this section may hold a maximum of four medical cannabidiol dispensary licenses, including the licensee’s current license.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill relates to the licensure of medical cannabidiol dispensaries.
   The bill increases the maximum number of medical cannabidiol dispensary licenses in the state from 5 to 10. The bill prohibits the department of health and human services from issuing more than one medical cannabidiol dispensary license per county. The bill strikes a provision requiring the department to locate medical cannabidiol dispensaries based on geographical need throughout the state.
   The bill requires the department of health and human services to accept applications for medical cannabidiol dispensary licenses from current licensees between July 1, 2023, and October 1, 2023. In evaluating an application from a current licensee, the department shall consider only the security, physical layout, and plan for technology at the proposed location. A licensee may hold a maximum of four medical cannabidiol dispensary licenses.
   The bill strikes a provision in current law requiring a medical cannabidiol dispensary to agree to begin supplying medical cannabidiol by December 1, 2018.