A07347 Summary:

BILL NOA07347B
 
SAME ASSAME AS S07283-A
 
SPONSORGottfried (MS)
 
COSPNSRArroyo, Cahill, Calhoun, Clark, Cook, Cymbrowitz, DenDekker, Dinowitz, Jaffee, Kavanagh, Lavine, Lifton, O'Donnell, Paulin, Peoples-Stokes, Rosenthal, Boyland, Weprin, Bronson, Crespo, Lupardo, Titone, Skartados, Castro, Linares, Hevesi
 
MLTSPNSRAbinanti, Aubry, Braunstein, Brennan, Brook-Krasny, Burling, Farrell, Galef, Glick, Hikind, Jacobs, Kellner, Lopez V, Magee, Maisel, Markey, McEneny, Miller J, Millman, Pretlow, Rivera N, Robinson, Rodriguez, Scarborough, Schimel, Sweeney, Weisenberg, Wright
 
Add Art 33 Title 5-A SS3360 - 3369-b, Pub Health L; amd S853, Gen Bus L
 
Legalizes the possession, acquisition, use, delivery, transfer, transport or administration of marihuana by a certified patient or designated caregiver for a certified medical use; prescribes procedures for such possession, acquisition, etc. including certification of patients by their practitioner, and that, in the practitioner's professional judgment, the serious condition should be treated with the medical use of marihuana; provides that possession or acquisition of marihuana shall be lawful under these provisions provided that the marihuana possessed does not exceed a total aggregate weight of two and a half ounces; directs the department of health to monitor such use and promulgate rules and regulations for registry identification cards; provides for reports by the department of health to the governor and legislature on the medical use of marihuana.
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A07347 Actions:

BILL NOA07347B
 
05/02/2011referred to health
05/24/2011reported referred to codes
06/13/2011reported referred to ways and means
06/15/2011reported referred to rules
01/04/2012referred to health
05/03/2012amend and recommit to health
05/03/2012print number 7347a
05/15/2012reported referred to codes
06/08/2012amend and recommit to codes
06/08/2012print number 7347b
06/11/2012reported referred to ways and means
06/12/2012reported referred to rules
06/13/2012reported
06/13/2012rules report cal.153
06/13/2012ordered to third reading rules cal.153
06/13/2012passed assembly
06/13/2012delivered to senate
06/13/2012REFERRED TO RULES
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A07347 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A7347B
 
SPONSOR: Gottfried (MS)
  TITLE OF BILL: An act to amend the public health law and the general business law, in relation to medical use of marihuana   PURPOSE OR GENERAL IDEA OF BILL:: Allows patient to use marihuana to treat a serious illness under medical supervision.   SUMMARY OF SPECIFIC PROVISIONS:: Section I. Legislative findings and intent Section 2. Amends Public Health Law Article 33 by adding a new Title V-A, Medical Use of Marihuana. § 3360 defines certified medical use, caring for, certified patient, certification, designated caregiver, public place, serious condition, medical marihuana, registry application, registry identification card, and usable marihuana. A serious condition is defined as a severe debili- tating or life-threatening condition or a condition associated with or a complication of such a condition, or its treatment. § 3361 allows a licensed practitioner (the defined term in the Public Health Law for people who may prescribe controlled substances) to certi- fy that a patient has a serious condition that in the practitioner's judgment can and should be treated with the medical use of marihuana,. A copy of the certification will be placed in the patient's medical records and the patient will get the original. A prescriber is not allowed to certify medical marijuana for himself or herself. A certif- ication will be valid for a maximum of one year from the date it is written. § 3362 allows the possession of up to two and one half ounces of mari- huana, and up to 12 plants, by a certified patient in possession of a valid registry identification card, for medical use. A designated care- giver may possess that amount for each patient for whom her or she is the caregiver, It would allow medical marihuana to be given or disposed of to a certified patient only when nothing of value is exchanged. However, registered organizations may be paid. Use of medical marihuana is not allowed in a public place. § 3363 directs the Department of Health to issue registry identification cards certified patients and designated caregivers. No individual shall be a certified caregiver for more than five patients. § 3364 creates registered organizations for the purpose of acquiring, possessing, manufacturing, selling, delivering, transporting or distrib- uting marihuana for certified medical use. A registered organization may be a pharmacy; an Article 28-licensed facility (hospital, clinic, etc.); a not-for-profit corporation organized to be a registered organization; or a registered producer (an entity that produces marihuana, solely for sale to other registered organizations). § 3365 establishes guidelines for the registering of registered-organi- zations. Allows the department to suspend or terminate and registration on grounds, and using procedures under this article relating to a license, to the extent consistent with this title. § 3366 requires registered organizations to report to the commissioner all sales, deliveries or distributions of medical marihuana to certified patients or designated caregivers during a particular period. § 3367 directs the Health Department to contract with a third party to conduct an evaluation of the operation of the law. § 3368 provides for an assessment on registered organization gross revenues from dispensing medical marihuana. § 3369 applies other provisions of Article 33 to this title. Where a provision-of this title conflicts with another provision of Article 33, this title applies. The bill does not require any public or private health plan to cover medical marihuana. Re-states the rule that reason- able good-faith actions in compliance with this title, absent some other element, would not subject a person or entity to criminal or civil liability or professional discipline. § 3370 adds protections for the.medical use of marihuana. Section 3 of the bill amends Section 853-g of the General Business Law to allow for the sale, furnishing and possession of materials used in the lawful administration of medical marihuana to a certified ultimate user.   JUSTIFICATION:: Thousands of New Yorkers have serious medical condi- tions that may benefit from medical use of marijuana. The National Acad- emy of Sciences' Institute of Medicine concluded in a 1999 report that "nausea, appetite loss, pain and anxiety. ..all can be mitigated by marijuana." Doctors and patients have documented that marijuana can be an effective treatment where other medications have failed - for at least some patients who suffer from HIV/AIDS, cancer, epilepsy, multiple sclerosis, and other life-threatening or debilitating conditions. Although other drugs are more effective than marijuana for some patients, the Institute of Medicine noted that "there will likely always be a subpopulation of patients who do not respond well to other medica- tions," Medical marihuana must be available to those patients. The active ingredient in marijuana, THC, has been approved for medical use by the Federal Food and Drug Administration and the Drug Enforcement Agency since-1986 in synthetic pill form. But consuming it in natural form - which many physicians say is more effective continues to be ille- gal. In an editorial in the January 30, 1997 New England Journal of Medicine, Dr. Jerome P. Kassirer, editor of the Journal, explained that inhaling THC is more effective than taking the synthetic pill: "smoking marijuana produces a rapid increase in the blood level of the active ingredients and is thus more likely to be therapeutic." It also enables tighter control of the amount ingested. According to the Institute of Medicine, "it is well recognized that (the) oral route of administration hampers its effectiveness because of slow absorption and patients' desire for more control over dosing." Legalizing the medical use of effective medicine does not undermine the message that nonmedical use of illegal drugs is wrong. Many controlled substances that are legal for medical use (such as morphine, Valium and steroids) are otherwise illegal. In the same New England Journal of Medicine editorial, Dr. Kassirer argued that "it is also hypocritical to forbid physicians to prescribe marijuana while permitting them to use morphine and meperidine to relive extreme dyspnea and pain." The bill amends the Public Health Law rather than the Penal Law because the Penal Law's controlled substances provisions all relate back to the Public Health Law. Thus, all the acts that the bill makes lawful under the Public Health Law would, by definition, be legal under the Penal Law.   PRIOR LEGISLATIVE HISTORY:: 1997-98 A.6407 - referred to Health 1999-00 : A.8082 - referred to Health 2001-02 : A.5878 - referred to Health 2003: A.5796 - reported to Rules 2004: A.57960-A - reported to Rules 2005-06: A.8265 - reported to Rules 2007-08: A.4867-A and -B - passed Assembly 2009: A7542: advanced to 3rd reading 2010: A.7542: referred to Health 2011: A.7347: referred to Rules   FISCAL IMPLICATIONS:: Minimal administrative expenses, largely covered by registration fees.   EFFECTIVE DATE:: Sixty days after it shall become law.
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A07347 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                         7347--B
 
                               2011-2012 Regular Sessions
 
                   IN ASSEMBLY
 
                                       May 2, 2011
                                       ___________
 
        Introduced  by M. of A. GOTTFRIED, ARROYO, CAHILL, CALHOUN, CLARK, COOK,
          CYMBROWITZ, DenDEKKER, DINOWITZ,  JAFFEE,  KAVANAGH,  LAVINE,  LIFTON,
          O'DONNELL,  PAULIN,  PEOPLES-STOKES, ROSENTHAL, BOYLAND, WEPRIN, BRON-
          SON, CRESPO, LUPARDO, TITONE, SKARTADOS,  CASTRO,  LINARES  --  Multi-
          Sponsored  by  --  M.    of  A.  ABINANTI, AUBRY, BRAUNSTEIN, BRENNAN,

          BROOK-KRASNY, BURLING, FARRELL, GALEF, GLICK, HIKIND, JACOBS, KELLNER,
          V. LOPEZ, MAGEE, MAISEL, MARKEY, McENENY, J. MILLER, MILLMAN, PRETLOW,
          N. RIVERA, ROBINSON, RODRIGUEZ, SCARBOROUGH, SCHIMEL, SWEENEY, WEISEN-
          BERG, WRIGHT -- read once and referred to the Committee on  Health  --
          recommitted  to  the  Committee  on Health in accordance with Assembly
          Rule  3,  sec.  2  --  committee  discharged,  bill  amended,  ordered
          reprinted as amended and recommitted to said committee -- reported and
          referred  to  the  Committee  on  Codes  -- committee discharged, bill
          amended, ordered reprinted as amended and recommitted to said  commit-
          tee
 
        AN  ACT  to amend the public health law and the general business law, in
          relation to medical use of marihuana
 
          The People of the State of New York, represented in Senate and  Assem-

        bly, do enact as follows:
 
     1    Section 1. Legislative findings and intent. The legislature finds that
     2  thousands  of  New  Yorkers  have serious medical conditions that can be
     3  improved by medically-approved use of  marihuana.  The  law  should  not
     4  stand  between  them  and  treatment necessary for life and health. This
     5  legislation follows the well-established public policy that a controlled
     6  substance can have a legitimate medical use. Many controlled  substances
     7  that are legal for medical use (such as morphine and steroids) are ille-
     8  gal  for  any other use. The purposes of article 33 of the public health
     9  law include allowing legitimate use of controlled substances  in  health
    10  care, including palliative care. This policy and this legislation do not
    11  in  any  way  diminish  New  York  state's strong public policy and laws

    12  against illegal drug use, nor should it be deemed in any manner to advo-
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD02415-10-2

        A. 7347--B                          2
 
     1  cate, authorize, promote, or legally or socially accept the use of mari-
     2  huana for children or adults, for any non-medical use. This  legislation
     3  is  an  appropriate exercise of the state's legislative power to protect
     4  the  health of its people under article 17 of the state constitution and
     5  the tenth amendment of the United States constitution.
     6    It is the legislative intent that this act be implemented consistently
     7  with these findings and principles, through a  reasonable  and  workable

     8  system with appropriate oversight, evaluation and continuing research.
     9    §  2.  Article  33 of the public health law is amended by adding a new
    10  title 5-A to read as follows:
    11                                  TITLE V-A
    12                          MEDICAL USE OF MARIHUANA
    13  Section 3360. Definitions.
    14          3361.   Certification of patients.
    15          3362.   Lawful medical use.
    16          3363.   Registry identification cards.
    17          3364.   Registered organizations.
    18          3365.   Registering of registered organizations.
    19          3366.   Reports by registered organizations.
    20          3367.   Evaluation; research programs; report by department.
    21          3368.   Registered organization assessments.

    22          3369.   Relation to other laws.
    23          3369-a. Protections for the medical use of marihuana.
    24          3369-b. Severability.
    25    § 3360. Definitions. As used in this title, the following terms  shall
    26  have  the following meanings, unless the context clearly requires other-
    27  wise:
    28    1. "Certified medical use" means  the  acquisition,  possession,  use,
    29  delivery,  transfer,  transportation, or administration of medical mari-
    30  huana by a certified patient or designated caregiver for use as part  of
    31  the  treatment of the patient's serious condition specified in a certif-
    32  ication under section thirty-three  hundred  sixty-one  of  this  title,
    33  including  enabling  the  patient  to tolerate treatment for the serious

    34  condition.
    35    2. "Caring for" means treating or counseling a patient, in the  course
    36  of  which  the  practitioner  has  completed  a  full  assessment of the
    37  patient's medical history and current medical condition.
    38    3. "Certified patient" means a patient who is certified under  section
    39  thirty-three hundred sixty-one of this title.
    40    4.  "Certification"  means a certification, made under section thirty-
    41  three hundred sixty-one of this title.
    42    5. "Designated caregiver" means the individual designated by a  certi-
    43  fied patient in a registry application.
    44    6. "Public place" means a public place as defined in section 240.00 of
    45  the  penal  law, a motor vehicle as defined in section one hundred twen-

    46  ty-five of the vehicle and  traffic  law,  an  aircraft  as  defined  in
    47  section  two  hundred  forty  of the general business law or a vessel as
    48  defined in section two of the navigation law.
    49    7. "Serious condition" means a severe debilitating or life-threatening
    50  condition, or a condition associated with or a complication  of  such  a
    51  condition  or  its  treatment (including but not limited to inability to
    52  tolerate food, nausea, vomiting, dysphoria or pain).
    53    8. "Medical marihuana" means marihuana as defined in subdivision twen-
    54  ty-one of section thirty-three hundred two of this article intended  for
    55  a certified medical use.

        A. 7347--B                          3
 

     1    9.  "Registered  organization"  means  a registered organization under
     2  sections  thirty-three  hundred  sixty-four  and  thirty-three   hundred
     3  sixty-five of this title.
     4    10. "Registry application" means an application properly completed and
     5  filed  with  the department by a certified patient under section thirty-
     6  three hundred sixty-three of this title.
     7    11. "Registry identification card" means a document that identifies  a
     8  certified  patient  or  designated  caregiver, as provided under section
     9  thirty-three hundred sixty-three of this title.
    10    12. "Practitioner" means a practitioner who is a physician,  physician
    11  assistant,  or  nurse  practitioner,  acting  within  the practitioner's
    12  lawful scope of practice.

    13    § 3361. Certification of patients. 1. A patient certification may only
    14  be issued if a practitioner who is caring for the patient for a  serious
    15  condition certifies that: (a) the patient has a serious condition, which
    16  shall  be specified in the patient's health care record; (b) the patient
    17  is under the practitioner's care for the serious condition; and  (c)  in
    18  the  practitioner's  professional  opinion,  the  patient  is  likely to
    19  receive therapeutic or palliative benefit from the primary or adjunctive
    20  treatment with medical use of marihuana for the serious condition.
    21    2. The certification shall be in writing and  include  (a)  the  name,
    22  date  of  birth  and  address  of  the patient; (b) a statement that the

    23  patient has a serious condition; the patient is under the practitioner's
    24  care for the serious condition and, in the  practitioner's  professional
    25  opinion,  the  patient  is  likely  to receive therapeutic or palliative
    26  benefit from the primary or adjunctive treatment  with  medical  use  of
    27  marihuana  for  the  serious  condition; (c) the date; and (d) the name,
    28  address, federal registration number, telephone number,  and  the  hand-
    29  written  signature of the certifying practitioner.  The commissioner may
    30  require by regulation that the certification shall be on a form provided
    31  by the department if the commissioner determines that the department  is
    32  making certification forms adequately available.

    33    3.  The  practitioner  shall  give  the certification to the certified
    34  patient, and place a copy in the patient's health care record.
    35    4. No practitioner shall issue a certification under this section  for
    36  himself or herself.
    37    5.  A  registry  identification  card  based  on a certification shall
    38  expire one year after the date the certification is signed by the  prac-
    39  titioner; except that where a certified patient has a registry identifi-
    40  cation card based on a current valid certification, a new registry iden-
    41  tification card based on a new certification shall expire one year after
    42  the  expiration of the registry identification card based on the current
    43  valid certification. However, if the practitioner states in the  certif-

    44  ication  that  he or she believes the patient would benefit from medical
    45  marihuana only until a specified earlier date, then the  registry  iden-
    46  tification card shall expire on that date.
    47    §  3362.  Lawful  medical  use.  1.  The possession, acquisition, use,
    48  delivery, transfer, transportation, or administration of  medical  mari-
    49  huana  by a certified patient or designated caregiver possessing a valid
    50  registry identification card, for certified medical use, shall be lawful
    51  under this title; provided that:
    52    (a) the marihuana that may be possessed by a  certified  patient  does
    53  not  exceed a total aggregate weight of two and one-half ounces of mari-
    54  huana; and

    55    (b) the marihuana that may be possessed by a designated caregiver does
    56  not exceed the quantities referred to in paragraph (a) of this  subdivi-

        A. 7347--B                          4
 
     1  sion for each certified patient for whom the caregiver possesses a valid
     2  registry identification card, up to five certified patients.
     3    2.  Notwithstanding subdivision one of this section: (a) possession of
     4  marihuana shall not be lawful under this title if it is consumed,  grown
     5  or  displayed in a public place; (b) medical marihuana may not be smoked
     6  in any place where tobacco may not be smoked under article thirteen-E of
     7  this chapter; (c) except that in a health care facility,  medical  mari-

     8  huana  may  be  smoked  by  a  patient of the facility, subject to other
     9  provisions of this title, in an area, and under circumstances, permitted
    10  by the facility, provided that the patient does not smoke in  the  pres-
    11  ence of patients who are not certified under this title.
    12    3.  It  shall be lawful under this article to give or dispose of mari-
    13  huana, obtained under this title, for  certified  medical  use,  between
    14  certified  patients  and  other certified patients, and between a desig-
    15  nated caregiver and the designated caregiver's certified  patient  where
    16  nothing  of  value is transferred in return, or to offer to do the same.
    17  This prohibition on transferring or offering  to  transfer  a  thing  of

    18  value shall not (a) apply to sale of medical marihuana to or by a regis-
    19  tered  organization  under  this  article;  nor (b) prevent a designated
    20  caregiver from being  reimbursed  for  reasonable  costs  or  activities
    21  relating  to  caring for a certified patient, including, but not limited
    22  to, reimbursement for legitimate expenses relating to  the  purchase  of
    23  medical  marihuana  from a registered organization under section thirty-
    24  three hundred sixty-six of this title.
    25    § 3363. Registry identification cards.  1. The department shall  issue
    26  registry  identification  cards  for  certified  patients and designated
    27  caregivers. A registry identification card shall expire as  provided  in

    28  section  thirty-three  hundred  sixty-one  of this title or as otherwise
    29  provided in this section. The department shall  begin  issuing  registry
    30  identification  cards no later than one year after the effective date of
    31  this section.  The department may specify a form for a registry applica-
    32  tion, in which case the department shall provide the  form  on  request,
    33  reproductions  of  the form may be used, and the form shall be available
    34  for downloading from the department's website.
    35    2. To obtain or renew a  registry  identification  card,  a  certified
    36  patient  shall  file  a  registry  application  with the department. The
    37  registry application or renewal application shall include:

    38    (a) the original patient's certification (a new written  certification
    39  shall be provided with a renewal application);
    40    (b)  (i) the name, address, and date of birth of the patient; (ii) the
    41  date of the certification; (iii) if the patient has a registry identifi-
    42  cation card based on a current valid certification, the  registry  iden-
    43  tification  number  and  expiration date of that registry identification
    44  card; (iv) the specified date until which the patient would benefit from
    45  medical marihuana, if the certification states  such  a  date;  (v)  the
    46  name,  address, federal registration number, and telephone number of the
    47  certifying practitioner; and (vi) other individual identifying  informa-
    48  tion required by the department;

    49    (c)  if  the  patient  designates  a  designated  caregiver, the name,
    50  address, and date of birth of the designated caregiver, and other  indi-
    51  vidual  identifying  information required by the department; a certified
    52  patient may designate up to two designated caregivers;
    53    (d) a statement that a false statement  made  in  the  application  is
    54  punishable under section 210.45 of the penal law;
    55    (e)  the  date  of  the application and the signature of the certified
    56  patient; and

        A. 7347--B                          5
 
     1    (f) a reasonable application fee, as  determined  by  the  department;
     2  provided,  that  the  department may waive or reduce the fee in cases of
     3  financial hardship.

     4    3. Where a certified patient is under the age of eighteen:
     5    (a)  The  application for a registry identification card shall be made
     6  by an appropriate person over twenty-one years of age.  The  application
     7  shall state facts demonstrating that the person is appropriate.
     8    (b)  The  designated caregiver shall be (i) a parent or legal guardian
     9  of the certified patient, (ii) a person designated by a parent or  legal
    10  guardian, or (iii) an appropriate person approved by the department upon
    11  a  sufficient showing that no parent or legal guardian is appropriate or
    12  available.
    13    4. No person may be a designated caregiver  if  the  person  is  under
    14  twenty-one  years  of  age  unless  a  sufficient showing is made to the

    15  department that the person should be permitted to serve as a  designated
    16  caregiver.
    17    5.   No person may be a designated caregiver for more than five certi-
    18  fied patients at one time. A designated caregiver shall carry a separate
    19  registry identification card for each certified patient for whom  he  or
    20  she  is  a designated caregiver. Each registry identification card shall
    21  contain the  same  registry  identification  number  specified  in  this
    22  section.
    23    6.  The  department shall issue separate registry identification cards
    24  for the certified patient and the designated caregiver (if one is desig-
    25  nated in the registry application) within thirty  days  of  receiving  a

    26  complete  application  under this section, unless it determines that the
    27  application is incomplete or facially inaccurate, in which case it shall
    28  promptly notify the applicant.
    29    7.  If the department does not approve the designation of an  individ-
    30  ual as a designated caregiver, that shall not affect the approval of the
    31  application as to the certified patient.
    32    8. A registry identification card shall contain:
    33    (a) the name of the certified patient and the designated caregiver (if
    34  one is designated in the registry application);
    35    (b) the date of issuance and expiration date of the registry identifi-
    36  cation card;
    37    (c)  a  registry identification number for the certified patient and a

    38  registry identification number for the designated caregiver (if  one  is
    39  designated in the registry application); and
    40    (d) a photograph of the individual to whom the registry identification
    41  card  is  being  issued,  which shall be obtained by the department in a
    42  manner specified by the commissioner in regulations; provided,  however,
    43  that if the department required certified patients to submit photographs
    44  for this purpose, there shall be a reasonable accommodation of certified
    45  patients who are confined to their homes due to their medical conditions
    46  and may therefore have difficulty procuring photographs.
    47    9.  A  certified patient or designated caregiver who has been issued a

    48  registry identification card shall notify the department of  any  change
    49  in  his or her name or address or, with respect to the patient, or if he
    50  or she ceases to have the serious condition noted on  the  certification
    51  within ten days of such change.
    52    10.  If  a  certified patient or designated caregiver loses his or her
    53  registry identification card, he or she shall notify the department  and
    54  submit  a  ten dollar fee within ten days of losing the card to maintain
    55  the registration.  The department may establish higher fees for  issuing
    56  a  new  registry  identification card for second and subsequent replace-

        A. 7347--B                          6
 
     1  ments for a lost card, provided, that the department may waive or reduce

     2  the fee in cases of financial hardship.   Within five  days  after  such
     3  notification  and  payment,  the  department  shall issue a new registry
     4  identification  card,  which  may  contain a new registry identification
     5  number, to the certified patient or designated caregiver,  as  the  case
     6  may be.
     7    11.  The  department shall maintain a confidential list of the persons
     8  to whom it has issued registry identification cards.  Individual identi-
     9  fying information obtained by the department under this title  shall  be
    10  confidential  and exempt from disclosure under article six of the public
    11  officers law. Notwithstanding this subdivision, the department may noti-
    12  fy any appropriate law enforcement agency of information relating to any

    13  violation or suspected violation of this title.
    14    12. The department shall verify to law  enforcement  personnel  in  an
    15  appropriate case whether a registry identification card is valid.
    16    13.  If a certified patient or designated caregiver willfully violates
    17  any provision of this title as determined by the department, his or  her
    18  registry  identification card may be revoked. This is in addition to any
    19  other penalty that may apply.
    20    14. (a) Registry implementation date. As used in this subdivision, the
    21  "registry implementation date" is the date determined by the commission-
    22  er when the department is ready to  receive  and  expeditiously  act  on
    23  applications for registry identification cards under this section.

    24    (b)  On and after the registry implementation date, upon receipt of an
    25  application for a registry identification  card,  the  department  shall
    26  send  to  the  applicant  a letter acknowledging such receipt. While the
    27  application for a registry identification card is pending, a copy of the
    28  registry application, together with a copy of the  certification  and  a
    29  copy  of  the  letter of receipt from the department, shall serve as and
    30  have the same effect as a registry identification card for the certified
    31  patient and designated caregiver if any, provided that  a  certification
    32  and  application shall not serve as a valid registry identification card
    33  after the initial thirty  day  period  under  subdivision  six  of  this

    34  section.   This paragraph shall expire and have no effect one year after
    35  the registry implementation date.
    36    15. If the department fails to begin issuing  registry  identification
    37  cards no later than one year after the effective date of this section, a
    38  patient's  certification shall serve as the registry identification card
    39  for both the patient and the patient's designated caregiver.
    40    § 3364. Registered organizations. 1. A registered  organization  shall
    41  be:
    42    (a) a pharmacy;
    43    (b) a facility licensed under article twenty-eight of this chapter;
    44    (c)  a not-for-profit corporation organized for the purpose of acquir-
    45  ing, possessing, manufacturing,  selling,  delivering,  transporting  or

    46  distributing marihuana for certified medical use; or
    47    (d)  a  registered  producer,  which shall be a person or entity, with
    48  appropriate expertise in agriculture,  registered  for  the  purpose  of
    49  acquiring or manufacturing marihuana and selling, delivering, transport-
    50  ing,  or distributing it to another registered organization; a certified
    51  producer shall not sell, deliver or distribute marihuana to a  certified
    52  patient or designated caregiver for that person's use.
    53    2.  The acquiring, possession, manufacture, sale, delivery, transport-
    54  ing or distributing of marihuana by a registered organization under this
    55  title in accordance with its  registration  under  section  thirty-three

        A. 7347--B                          7
 

     1  hundred  sixty-five  of  this title or a renewal thereof shall be lawful
     2  under this title.
     3    3.  A  registered  organization (other than a registered producer) may
     4  lawfully, in good faith, sell, deliver or distribute  medical  marihuana
     5  to  a certified patient or designated caregiver upon presentation to the
     6  registered organization of a valid registry identification card for that
     7  certified patient or  designated  caregiver.  When  presented  with  the
     8  registry  identification card, the registered organization shall provide
     9  to the certified patient or designated caregiver a receipt, which  shall
    10  state:  the  name,  address,  and  registry identification number of the
    11  registered organization;  the  registry  identification  number  of  the

    12  certified patient and the designated caregiver (if any); and the quanti-
    13  ty of marihuana sold. The registered organization shall retain a copy of
    14  the registry identification card and the receipt for one year.
    15    4.  No  registered organization may sell, deliver or distribute to any
    16  certified patient or designated caregiver a quantity of medical marihua-
    17  na larger than that individual would be allowed to  possess  under  this
    18  title.
    19    5.  When  a  registered  organization  sells,  delivers or distributes
    20  medical marihuana to a certified patient  or  designated  caregiver,  it
    21  shall  provide  to that individual a safety insert, which will be devel-
    22  oped and approved by the commissioner and include, but  not  be  limited

    23  to, information on: (a) methods for administering medical marihuana, (b)
    24  any  potential  dangers  stemming from the use of medical marihuana, and
    25  (c) how to recognize what may be problematic usage of medical  marihuana
    26  and obtain appropriate services or treatment  for problematic usage.
    27    §  3365.  Registering  of registered organizations. 1. Application for
    28  initial registration. (a) An applicant for registration as a  registered
    29  organization under section thirty-three hundred sixty-four of this title
    30  shall furnish to the department a description of the activities in which
    31  it  intends  to  engage as a registered organization and any information
    32  the department shall reasonably require and evidence that the applicant:

    33    (i) and its managing officers are of good moral character;
    34    (ii) possesses or has the right to use sufficient land, buildings  and
    35  equipment  to  properly  carry on the activity described in the applica-
    36  tion;
    37    (iii) is able to maintain effective control against diversion  of  the
    38  marihuana; and
    39    (iv)  is able to comply with all applicable state laws and regulations
    40  relating to the activities in which  it  intends  to  engage  under  the
    41  registration.
    42    (b) The application shall establish the applicant's status under para-
    43  graph  (a),  (b),  (c) or (d) of subdivision one of section thirty-three
    44  hundred sixty-four of this title, or  its  intention  to  qualify  under

    45  paragraph  (c) or (d) of subdivision one of section thirty-three hundred
    46  sixty-four of this title.
    47    (c) The application shall include  the  name,  residence  address  and
    48  title  of  each of the officers and directors and the name and residence
    49  address of any person or entity that is a member of the applicant.  Each
    50  such person, if an individual, or lawful representative if a legal enti-
    51  ty, shall submit an affidavit with the application setting forth:
    52    (i)  any  position of management or ownership during the preceding ten
    53  years of a ten per centum or greater interest  in  any  other  business,
    54  located in or outside this state, manufacturing or distributing drugs;
    55    (ii)  whether  such  person  or  any such business has been convicted,

    56  fined, censured or had a registration suspended or revoked in any admin-

        A. 7347--B                          8
 
     1  istrative or judicial proceeding relating to or arising out of the manu-
     2  facture, distribution, sale, or possession of drugs; and
     3    (iii)  such  other  information  as  the  commissioner  may reasonably
     4  require.
     5    (d) The applicant shall be under a continuing duty to  report  to  the
     6  department  any change in facts or circumstances reflected in the appli-
     7  cation or any newly discovered or occurring fact or  circumstance  which
     8  is required to be included in the application.
     9    2. Granting of registration. (a) The commissioner shall grant a regis-

    10  tration  or  amendment to a registration under this section if he or she
    11  is satisfied that:
    12    (i) the applicant will be able to maintain effective  control  against
    13  diversion of marihuana;
    14    (ii)  the  applicant  will be able to comply with all applicable state
    15  laws;
    16    (iii) the applicant and its officers are ready, willing  and  able  to
    17  properly carry on the manufacturing or distributing activity for which a
    18  registration is sought;
    19    (iv)  the applicant possesses or has the right to use sufficient land,
    20  buildings and equipment to properly carry on the activity  described  in
    21  the application;
    22    (v) it is in the public interest that such registration be granted; in

    23  the  case  of  an  applicant  under  paragraph (c) of subdivision one of
    24  section thirty-three hundred sixty-four of this title, the  commissioner
    25  may  consider  whether the number of registered organizations in an area
    26  will be adequate or excessive to reasonably serve the area; and
    27    (vi) the applicant and its managing officers are of good moral charac-
    28  ter.
    29    (b) If the commissioner is not satisfied that the applicant should  be
    30  issued  a  registration, he or she shall notify the applicant in writing
    31  of those factors upon which further evidence is required. Within  thirty
    32  days of the receipt of such notification, the applicant may submit addi-
    33  tional material to the commissioner or demand a hearing, or both.

    34    (c)  The  fee for a registration under this section shall be a reason-
    35  able amount determined by the department in regulations; provided howev-
    36  er, if the registration is issued for a period greater  than  two  years
    37  the  fee  shall  be  increased,  pro  rata, for each additional month of
    38  validity.
    39    (d) Registrations issued under this section shall  be  effective  only
    40  for and shall specify:
    41    (i) the name and address of the registered organization; and
    42    (ii)  which  activities  of a registered organization are permitted by
    43  the registration.
    44    (e) Upon application of a registered organization, a registration  may
    45  be  amended  to allow the registered organization to relocate within the

    46  state or to add or delete permitted registered organization  activities.
    47  The fee for such amendment shall be two hundred fifty dollars.
    48    3.  A  registration  issued  under this section shall be valid for two
    49  years from the date of issue, except that in  order  to  facilitate  the
    50  renewals  of  such  registrations, the commissioner may upon the initial
    51  application for a  registration,  issue  some  registrations  which  may
    52  remain valid for a period of time greater than two years but not exceed-
    53  ing an additional eleven months.
    54    4.  Applications  for renewal of registrations. (a) An application for
    55  the renewal of any registration issued under this section shall be filed
    56  with the department not more than six months nor less than  four  months

        A. 7347--B                          9
 
     1  prior  to  the  expiration  thereof.  A  late-filed  application for the
     2  renewal of a registration may, in the discretion of the commissioner, be
     3  treated as an application for an initial license.
     4    (b)  The  application  for  renewal  shall  include  such  information
     5  prepared in the manner and  detail  as  the  commissioner  may  require,
     6  including but not limited to:
     7    (i)  any  material  change  in  the circumstances or factors listed in
     8  subdivision one of this section; and
     9    (ii) every known charge or investigation, pending or concluded  during
    10  the  period of the registration, by any governmental agency with respect
    11  to:

    12    (A) each incident or alleged incident involving the  theft,  loss,  or
    13  possible  diversion  of  marihuana  manufactured  or  distributed by the
    14  applicant; and
    15    (B) compliance by the applicant  with  the  laws  of  the  state  with
    16  respect  to  any substance listed in section thirty-three hundred six of
    17  this article.
    18    (c) An applicant for renewal shall  be  under  a  continuing  duty  to
    19  report  to the department any change in facts or circumstances reflected
    20  in the application or any newly discovered or occurring fact or  circum-
    21  stance which is required to be included in the application.
    22    (d)  If  the commissioner is not satisfied that the applicant is enti-

    23  tled to a renewal of the registration, he or she shall within forty-five
    24  days after the filing of the application serve upon the applicant or his
    25  or her attorney of record in person or by registered or  certified  mail
    26  an  order  directing the applicant to show cause why his or her applica-
    27  tion for renewal should not be denied. The order shall specify in detail
    28  the respects in which the applicant has not satisfied  the  commissioner
    29  that the registration should be renewed.
    30    (e)  Within  thirty  days  of service of such order, the applicant may
    31  submit additional material to the commissioner or demand  a  hearing  or
    32  both.  If  a  hearing  is demanded the commissioner shall fix a date for

    33  hearing not sooner than fifteen days nor later than  thirty  days  after
    34  receipt  of  the  demand,  unless  such time limitation is waived by the
    35  applicant.
    36    5. Granting of renewal of registrations. (a)  The  commissioner  shall
    37  renew  a  registration  unless  he  or she determines and finds that the
    38  applicant:
    39    (i) is unlikely to maintain or be able to maintain  effective  control
    40  against diversion; or
    41    (ii)  is  unlikely  to  comply  with  all state laws applicable to the
    42  activities in which it may engage under the registration; or
    43    (iii) is an applicant  under  paragraph  (c)  of  subdivision  one  of
    44  section thirty-three hundred sixty-four of this title, in which case the

    45  commissioner may consider whether the number of registered organizations
    46  in an area is adequate or excessive to reasonably serve the area.
    47    (b)  For  purposes  of this section, proof that a registered organiza-
    48  tion, during the period of its  registration,  has  failed  to  maintain
    49  effective  control  against  diversion  or  has knowingly or negligently
    50  failed to comply with applicable state laws relating to  the  activities
    51  in which it engages under the registration, shall constitute substantial
    52  evidence  that  the  applicant  will  be  unlikely to maintain effective
    53  control against diversion or will be unlikely to comply with the  appli-
    54  cable state statutes during the period of proposed renewal.

    55    6.  The  department  may  suspend  or  terminate the registration of a
    56  registered organization, on grounds  and  using  procedures  under  this

        A. 7347--B                         10
 
     1  article relating to a license, to the extent consistent with this title.
     2  Conduct in compliance with this title, but which may violate conflicting
     3  federal  law,  shall  not be grounds to suspend or terminate a registra-
     4  tion.
     5    7.  A  registered  organization  is  entitled  to  all  of the rights,
     6  protections, and procedures provided to a licensee under this article.
     7    8. The department shall begin  issuing  registrations  for  registered
     8  organizations  no  later  than one year after the effective date of this
     9  section.

    10    § 3366. Reports  by  registered  organizations.  1.  The  commissioner
    11  shall,  by  regulation, require each registered organization that sells,
    12  delivers or distributes medical marihuana  to  a  certified  patient  or
    13  designated  caregiver  to  file reports of all such sales, deliveries or
    14  distributions by the registered organization during a particular period,
    15  on forms provided by the department. Reports shall be not more frequent-
    16  ly than every six months.  Each report shall include for each such sale,
    17  delivery or distribution: the date,  the  quantity  sold,  delivered  or
    18  distributed; and the name, address and registry identification number of
    19  the certified patient and the designated caregiver (if any).

    20    2.  The  commissioner  shall,  by  regulation, require each registered
    21  producer to file reports of all sales, deliveries  or  distributions  of
    22  medical marihuana by the registered producer during a particular period,
    23  on forms provided by the department. Reports shall be not more frequent-
    24  ly  than  every  month.  Each  report  shall include for each such sale,
    25  delivery or distribution: the date,  the  quantity  sold,  delivered  or
    26  distributed;  and the name and address of the registered organization to
    27  which the sale, delivery or distribution was made.
    28    § 3367. Evaluation; research programs; report by  department.  1.  The
    29  commissioner  may  provide for the analysis and evaluation of the opera-

    30  tion of this title. The commissioner may enter into agreements with  one
    31  or more persons, not-for-profit corporations or other organizations, for
    32  the performance of an evaluation of the implementation and effectiveness
    33  of this title.
    34    2.  The  department  may  develop, seek any necessary federal approval
    35  for, and carry out research programs relating to medical use of marihua-
    36  na.  Participation in any such research program shall  be  voluntary  on
    37  the part of practitioners, patients, and designated caregivers.
    38    3.  The  department  shall report every two years, beginning two years
    39  after the effective date of this title, to the governor and the legisla-
    40  ture on the medical use of marihuana under this title and make appropri-

    41  ate recommendations.
    42    § 3368. Registered organization assessments. 1. Each registered organ-
    43  ization shall be charged an assessment in the amount of seven  and  one-
    44  tenth  percent of its gross receipts received from all medical marihuana
    45  sold, delivered or distributed, less refunds, on  a  cash  basis.    The
    46  assessment  shall  be submitted by or on behalf of the registered organ-
    47  ization to the commissioner or his or her designee on a schedule  to  be
    48  determined by the commissioner.
    49    2.  The  gross  receipts  tax  owed by a registered organization under
    50  section twenty-eight hundred seven-d of this  chapter,  attributable  to
    51  the  sale,  delivery  or  distribution  of  medical marihuana under this

    52  title, shall be deductible by the registered organization from any gross
    53  receipts assessment owed by it under this title.
    54    3. The registered organization shall maintain the documentation neces-
    55  sary to establish what amount is owed pursuant to this section and  such

        A. 7347--B                         11
 
     1  records  shall  be  subject  to  audit by the commissioner or his or her
     2  designee.
     3    §  3369.  Relation  to  other  laws. 1. The provisions of this article
     4  shall apply to this title, except that where a provision of  this  title
     5  conflicts  with  another  provision  of  this  article, this title shall
     6  apply.
     7    2. Nothing in this title shall be construed to require or prohibit  an

     8  insurer  or  health  plan  under  this  chapter  or the insurance law to
     9  provide coverage for medical marihuana. Nothing in this title  shall  be
    10  construed  to require coverage for medical marihuana under article twen-
    11  ty-five of this chapter or article five of the social services law.
    12    3. A person or entity shall  not  be  subject  to  criminal  or  civil
    13  liability  or  professional discipline for acting reasonably and in good
    14  faith pursuant to this title.
    15    § 3369-a. Protections for the medical use of marihuana. 1.   Certified
    16  patients, designated caregivers, practitioners, registered organizations
    17  and  the  employees  of registered organizations shall not be subject to

    18  arrest, prosecution, or penalty in any manner, or denied  any  right  or
    19  privilege,  including  but  not limited to civil penalty or disciplinary
    20  action by a business or occupational or professional licensing board  or
    21  bureau,  solely for the certified medical use or manufacture of marihua-
    22  na, or for any other action or conduct in accordance  with  this  title.
    23  State  or  local  law  enforcement  agencies shall not cooperate with or
    24  provide assistance to the government of the United States or any  agency
    25  thereof  in enforcing the Controlled Substances Act, 21 U.S.C. § 801 et.
    26  seq., solely for actions and conduct consistent with this title,  except
    27  as pursuant to a valid court order.

    28    2.  Affirmative  defense. A patient and a patient's caregiver who have
    29  failed to obtain a registry identification card may assert  an  affirma-
    30  tive  defense to any prosecution under state law for actions and conduct
    31  that is otherwise consistent with the certified medical use of marihuana
    32  as defined under this title.
    33    3. Incidental amount of marihuana. Any  incidental  amount  of  seeds,
    34  stalks,  and  unusable roots shall not be included in the amounts speci-
    35  fied in subdivision one of section  thirty-three  hundred  sixty-two  of
    36  this title.
    37    4.  School,  employer,  or  landlord  may  not discriminate. A school,
    38  employer, or landlord may not refuse to enroll or employ or lease to  or

    39  otherwise  penalize a person solely for that person's status as a certi-
    40  fied patient or designated caregiver unless failing to do so  would  put
    41  the  school,  employer, or landlord in violation of federal law or cause
    42  it to lose a federal contract or funding.
    43    5. Person may not be denied medical care, including organ  transplant.
    44  For  the purposes of medical care, including organ transplants, a certi-
    45  fied patient's medical use of marihuana shall not constitute the use  of
    46  an illicit substance and may only be considered with respect to evidence
    47  based clinical criteria.
    48    6.  Person  may not be denied custody or visitation of minor. A person
    49  shall not be denied custody or visitation  of  a  minor  for  acting  in

    50  accordance  with this title unless the person's behavior is such that it
    51  creates an unreasonable danger to the minor that can be  clearly  artic-
    52  ulated and substantiated.
    53    7.  Effect of registry identification card issued by another jurisdic-
    54  tion. A registry identification card, or its equivalent, that is  issued
    55  under  the  laws of another state, district, territory, commonwealth, or
    56  possession of the United States that allows the medical use of marihuana

        A. 7347--B                         12
 
     1  has the same force and effect as a registry identification  card  issued
     2  by  the  department, so long as the visiting patient's serious condition
     3  would qualify for the certified medical  use  of  marihuana  under  this

     4  title.
     5    § 3369-b. Severability. If any provision of this title or the applica-
     6  tion  thereof  to any person or circumstance is held invalid, such inva-
     7  lidity shall not affect other provisions or applications of  this  title
     8  which  can be given effect without the invalid provision or application,
     9  and to this end the provisions of this title are severable.
    10    § 3. Section 853 of the general business law is amended  by  adding  a
    11  new subdivision 3 to read as follows:
    12    3.  This article shall not apply to any sale, furnishing or possession
    13  which is for a lawful purpose under title five-A of article thirty-three
    14  of the public health law.
    15    § 4. This act shall take effect immediately.
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