SB1715-Hemp-Derived Manufactured Impairing Cannabinoids, Passes Senate

Senate Third Read 3-15-22

Purpose

Defines hemp-derived manufactured impairing cannabinoids. Contains requirements for
enactment for initiation and referendum (Proposition 105).

Background

The Smart and Safe Arizona Fund (Fund) consists of monies received from tax on the sale
of recreational marijuana products and license and registration fees. Monies in the Fund are to be used to pay for costs to state agencies to implement 2020 Proposition 207. The remaining monies are distributed as follows: 1) 33 percent to community college districts; 2) 31.4 percent to municipal police and fire departments; 3) 25.4 percent to the Highway User Revenue Fund; 4) 10 percent to the Justice Reinvestment Fund; and 5) 0.2 percent to the Attorney General (A.R.S. § 36-2856).There is no anticipated fiscal impact to the state General Fund associated with this Legislation.

Provisions

1. Defines hemp-derived manufactured impairing cannabinoids as any cannabinoid that is
   derived from hemp and altered by a chemical reaction that changes the molecular structure of
   any natural cannabinoid derived from hemp to another cannabinoid with psychotropic
   properties that is found naturally in hemp that includes:
   a) delta-8 tetrahydrocannabinol;
   b) delta-10 tetrahydrocannabinol;
   c) hexahydrocannabinol;
   d) tetrahydrocannabiphoral; and
   e) tetrahydrocannabinol acetate ester.
2. Excludes, from the definition of hemp-derived manufactured impairing cannabinoids, any
   cannabinoid derived from hemp that is produced by decarboxylation from naturally occurring
   cannabinoid without the use of a chemical catalyst or nonintoxicating cannabinoids derived
   from hemp including cannabidiol, cannabinol, cannabigerol, cannabichromene, cannabicyclol,
   cannabidivarin and cannabivarin.
3. Excludes hemp-derived manufactured impairing cannabinoids from the definition of
   industrial hemp.
4. Adds investigating and acting on the sale, marketing and distribution of hemp-derived
   manufactured impairing cannabinoids to the allowable uses of the Attorney General’s portion
   of the Fund monies.
5. Prohibits a nonprofit medical marijuana dispensary or a marijuana establishment from
   acquiring, cultivating, possessing, manufacturing, delivering, processing, transferring,
   transporting, supplying, using, selling or dispensing hemp-derived manufactured impairing
   cannabinoids.
6. Makes technical and conforming changes.
7. Requires for enactment the affirmative vote of at least three-fourths of the members of each
   house of the Legislature (Proposition 105).
8. Becomes effective on the general effective date.
   Amendments Adopted by the Committee of the Whole
9. Changes the defined term from hemp-derived manufactured psychotropic cannabinoids to
   hemp-derived manufactured impairing cannabinoids.
10. Excludes, from the definition of hemp-derived manufactured impairing cannabinoids, any
    cannabinoid derived from hemp that is produced by decarboxylation from naturally occurring
    cannabinoid without the use of a chemical catalyst or nonintoxicating cannabinoids derived
    from hemp.
11. Removes tetrahydrocannabivarin from the definition of hemp-derived manufactured impairing
    cannabinoids.
12. Prohibits a nonprofit medical marijuana dispensary or a marijuana establishment from
    acquiring, cultivating, possessing, manufacturing, delivering, processing, transferring,
    transporting, supplying, using, selling or dispensing hemp-derived manufactured impairing
    cannabinoids.
13. Removes hemp-derived manufactured psychotropic cannabinoids from the definitions of
    marijuana, marijuana concentrate, usable marijuana and marijuana products.
14. Makes conforming changes.