SENATE BILL REPORT

SB 6160

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.

As Reported by Senate Committee On:

Commerce & Labor, February 7, 2014

Title: An act relating to marijuana processing and retail licenses.

Brief Description: Concerning marijuana processing and retail licenses.

Sponsors: Senators Conway and Kohl-Welles; by request of Liquor Control Board.

Brief History:

Committee Activity: Commerce & Labor: 2/05/14, 2/07/14 [DPS].

SENATE COMMITTEE ON COMMERCE & LABOR

Majority Report: That Substitute Senate Bill No. 6160 be substituted therefor, and the substitute bill do pass.

Signed by Senators Holmquist Newbry, Chair; Braun, Vice Chair; Conway, Ranking Member; Hasegawa, Hewitt, King and Kohl-Welles.

Staff: Edith Rice (786-7444)

Background: Marijuana is defined in statute as all parts of the plant cannabis, whether growing or not, with a tetrahydrocannabinol concentration greater than 0.3 percent, including seeds, resin extracted from the plant, and every compound or preparation of the plant, its seeds, or resin. Useable marijuana means dried marijuana flowers, and does not include marijuana-infused products.

A marijuana processor is a person licensed to process marijuana into useable marijuana and to package and label useable marijuana and marijuana-infused product for sale in retail outlets.

Extracts and concentrates are popular for people who prefer not to smoke marijuana but use extracts to vaporize and inhale the product instead.

Marijuana processors do not have the ability to sell extracts and concentrates to retailers and other marijuana processors. Marijuana retailers do not have the ability to sell marijuana extracts and concentrates to consumers. Current law does not address the amount of extract product any person 21 years of age or older is allowed to purchase on the premises of a retail outlet.

Summary of Bill (Recommended Substitute): Current law is clarified to allow marijuana processors to sell not only useable marijuana and marijuana-infused products to marijuana retailers, but also marijuana. Marijuana includes extracts and concentrates.

Marijuana processors can sell extracts and concentrates to retailers and other marijuana processors. Marijuana retailers can sell marijuana extracts and concentrates to adults over age 21. They are limited to selling up to seven grams of extract product in combination with specified amounts of marijuana and marijuana-infused product in solid or liquid form.

Financial and other information related to the application for a marijuana license is exempt from public disclosure.

EFFECT OF CHANGES MADE BY COMMERCE & LABOR COMMITTEE (Recommended Substitute): A section is added which provides that financial and other information related to the application for a marijuana license is exempt from public disclosure.

Appropriation: None.

Fiscal Note: Available.

Committee/Commission/Task Force Created: No.

Effective Date: Ninety days after adjournment of session in which bill is passed.

Staff Summary of Public Testimony on Original Bill: PRO: This matches with the federal definition and sets a limit. It clears up an oversight in the initiative and bring extracts into the regulated market.

CON: This will make these products more available to minors. This is bad legislation. Medical and recreational marijuana do not belong together. This will need a two-thirds vote.

Persons Testifying: PRO: Chris Kealy, WA Emerald Green Alliance; Phil Wayt, NW Producers & Processors Assn.; Philip Dawdy, WA Cannabis Assn.; James Paribello, Randy Simmons, Liquor Control Board; Jeff Gilmore, citizen.

CON: John Worthington, Assn. of American Medical Colleges, Cannabis Action Coalition; Steve Sarich, Cannabis Action Coalition, Cannacare; Jerry Dierker, 420 Panel; Ramona Leber, WA Assn. for Substance Abuse and Violence Prevention; Poppi Sidh, citizen.