Washington State

House of Representatives

Office of Program Research

BILL

ANALYSIS

Commerce & Gaming Committee

HB 2630

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

Brief Description: Ensuring marijuana license applicants are in compliance with local ordinances.

Sponsors: Representatives Griffey, MacEwen and Van Werven.

Brief Summary of Bill

  • Establishes that the issuance or renewal of a marijuana-related business license by the Liquor and Cannabis Board (LCB) is contingent on the applicant providing written proof that it is in compliance with the regulations of the local jurisdiction where the business is, or proposed to be, located.

  • Authorizes the LCB to tentatively approve a license for an applicant who otherwise meets applicable licensing requirements but has not provided written proof of compliance with local regulations.

  • Prohibits a licensee having only tentative license approval from engaging in any marijuana-related commercial activities requiring an LCB-issued license.

  • Requires the LCB to issue the license if, within six months of tentative license approval, the applicant provides the LCB with written proof of compliance with all local regulations.

Hearing Date: 1/22/18

Staff: Thamas Osborn (786-7129).

Background:

Notice to Local Governments of Pending Applications for Marijuana Licenses.

Before the Liquor and Cannabis Board (LCB) issues a new or renewed license to a marijuana producer, processor, or retailer, it must give notice of the application to the municipality where the business will be located. The municipality may file a written objection regarding the applicant or the location of the business for both new licenses and renewals. The LCB may extend the time period during which written objections will be considered. The written objections must include a statement of all facts upon which the objections are based and the municipality may request a hearing at which the LCB decides whether to issue or renew the license in question.

Summary of Bill:

Before the LCB issues or renews a marijuana-related business license, the applicant must provide the LCB with written proof that the local jurisdiction in which the applicant's business is located, or proposed to be located, has determined that the applicant is in compliance with all applicable local regulations. If the applicant fails to provide such proof of compliance with local regulations, but otherwise satisfies all other applicable license requirements, the LCB must tentatively approve but not issue the license.

A marijuana business license applicant with tentative license approval from the LCB may not engage in any marijuana-related commercial activities requiring an LCB-issued license. However, if the applicant provides the LCB with written proof of compliance with all local regulations within six months of tentative license approval, the LCB must issue the license. If the applicant does not provide such written proof to the board within this six month period, the LCB must deny the license.

Appropriation: None.

Fiscal Note: Available.

Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.