Florida Senate - 2015                                     SB 528
       
       
        
       By Senator Brandes
       
       
       
       
       
       22-00645A-15                                           2015528__
    1                        A bill to be entitled                      
    2         An act relating to the medical use of marijuana;
    3         creating s. 381.99, F.S.; providing a short title;
    4         creating s. 381.991, F.S.; defining terms; creating s.
    5         381.992, F.S.; allowing registered patients and
    6         designated caregivers to purchase, acquire, and
    7         possess medical-grade marijuana subject to specified
    8         requirements; allowing a cultivation and processing
    9         licensee, employee, or contractor to acquire,
   10         cultivate, transport, and sell marijuana under certain
   11         circumstances; allowing a retail licensee to purchase,
   12         receive, possess, store, dispense, and deliver
   13         marijuana under certain circumstances; allowing a
   14         licensed laboratory to receive marijuana for
   15         certification purposes; prohibiting certain actions
   16         regarding the acquisition, possession, transfer, use,
   17         and administration of marijuana; clarifying that a
   18         person is prohibited from driving under the influence
   19         of marijuana; creating s. 381.993, F.S.; specifying
   20         registration requirements for a patient identification
   21         card; allowing a qualified patient to designate a
   22         caregiver subject to certain requirements; requiring
   23         notification by the Department of Health of the denial
   24         of a designated caregiver’s registration; requiring
   25         the department to create certain patient registration
   26         and certification forms for availability by a
   27         specified date; requiring the department to update a
   28         patient registry and issue an identification card
   29         under certain circumstances within a specified
   30         timeframe; specifying the requirements of the
   31         identification card, including expiration and renewal
   32         requirements; providing notification and return
   33         requirements if the department removes the patient or
   34         caregiver from the registry; creating s. 381.994,
   35         F.S.; requiring the department to create an online
   36         patient registry by a specified date subject to
   37         certain requirements; creating s. 381.995, F.S.;
   38         requiring the department to establish standards and
   39         develop and accept licensure application forms for the
   40         cultivation, processing, and sale of marijuana by a
   41         specified date subject to certain requirements;
   42         providing for an initial application fee, a licensure
   43         fee, and a renewal fee for specified licenses;
   44         requiring the department to issue certain licenses by
   45         specified dates; specifying requirements for a
   46         cultivation and processing license, including
   47         expiration and renewal requirements; specifying
   48         facility requirements for a cultivation and processing
   49         licensee, including inspections and the issuance of
   50         cultivation and processing facility licenses; allowing
   51         a dispensing organization to use a contractor to
   52         cultivate and process marijuana subject to certain
   53         requirements; directing a dispensing organization or
   54         contractor to destroy all marijuana byproducts under
   55         certain conditions within a specified timeframe;
   56         allowing a cultivation and processing licensee to
   57         sell, transport, and deliver marijuana products under
   58         certain circumstances; prohibiting the Department of
   59         Health from licensing retail facilities in a county
   60         unless the board of county commissioners for that
   61         county determines by ordinance the number and location
   62         of retail facilities subject to certain limitations;
   63         specifying the application requirements for a retail
   64         license; requiring the department to consider certain
   65         factors when issuing retail licenses to encourage a
   66         competitive marketplace; providing expiration and
   67         renewal requirements for a retail license; requiring
   68         inspection of a retail facility before dispensing
   69         marijuana; providing dispensing requirements; allowing
   70         retail licensees to contract with certain types of
   71         carriers to deliver marijuana under certain
   72         circumstances; prohibiting a licensee from advertising
   73         marijuana products; specifying inspection, license,
   74         and testing requirements for certain facilities;
   75         requiring the department to create standards and
   76         impose penalties for a dispensing organization subject
   77         to certain restrictions; requiring the department to
   78         maintain a public, online list of all licensed retail
   79         facilities; creating s. 381.996, F.S.; providing
   80         patient certification requirements relating to
   81         qualified patients; requiring a physician to transfer
   82         an order and update the registry subject to certain
   83         requirements and time restraints; requiring physician
   84         education; creating s. 381.997, F.S.; requiring
   85         testing, certification, and reporting of results by an
   86         independent laboratory before distribution or sale of
   87         marijuana or marijuana products; providing package and
   88         label requirements; requiring the department to
   89         establish quality standards and testing procedures by
   90         a certain date; creating s. 381.998, F.S.; providing
   91         criminal penalties; creating s. 381.999, F.S.;
   92         establishing that this act does not require or
   93         restrict health insurance coverage for the purchase of
   94         medical-grade marijuana; creating s. 381.9991, F.S.;
   95         providing rulemaking authority; providing an effective
   96         date.
   97          
   98  Be It Enacted by the Legislature of the State of Florida:
   99  
  100         Section 1. Section 381.99, Florida Statutes, is created to
  101  read:
  102         381.99Short title.—Sections 381.99-381.9991 may be cited
  103  as “The Florida Medical Marijuana Act.”
  104         Section 2. Section 381.991, Florida Statutes, is created to
  105  read:
  106         381.991Definitions.—As used in ss. 381.991-381.9991 the
  107  term:
  108         (1) “Allowed amount of medical-grade marijuana” means the
  109  amount of medical-grade marijuana, or the equivalent amount in
  110  processed form, which a physician may determine is necessary to
  111  treat a registered patient’s qualifying condition or qualifying
  112  symptom or symptoms for 30 days.
  113         (2) “Batch” means a specifically identified quantity of
  114  processed marijuana that is uniform in strain; cultivated using
  115  the same herbicides, pesticides, and fungicides; and harvested
  116  at the same time from a single licensed cultivation and
  117  processing facility.
  118         (3) “Cultivation and processing facility” means a facility
  119  licensed by the department for the cultivation of marijuana, the
  120  processing of marijuana, or both.
  121         (4) “Cultivation and processing license” means a license
  122  issued by the department which authorizes the licensee to
  123  cultivate or process, or to both cultivate and process,
  124  marijuana at one or more cultivation and processing facilities.
  125         (5)“Department” means the Department of Health.
  126         (6)“Designated caregiver” means a person who is registered
  127  with the department as the caregiver for one or more registered
  128  patients.
  129         (7) “Dispense” means the transfer or sale at a retail
  130  facility of the allowed amount of medical-grade marijuana from a
  131  dispensing organization to a registered patient or the patient’s
  132  designated caregiver.
  133         (8) “Dispensing organization” means an organization that
  134  holds a cultivation and processing license, a retail license, or
  135  both.
  136         (9)“Identification card” means a card issued by the
  137  department only to registered patients and designated
  138  caregivers.
  139         (10)“Marijuana” has the same meaning as the term
  140  “cannabis” in s. 893.02.
  141         (11) Medical-grade marijuana” means marijuana that has
  142  been tested in accordance with s. 381.997; meets the standards
  143  established by the department for sale to registered patients;
  144  and is packaged, labeled, and ready to be dispensed.
  145         (12) “Medical marijuana patient registry” means an online
  146  electronic registry created and maintained by the department to
  147  store identifying information for all registered patients and
  148  designated caregivers.
  149         (13) “Medical use” means the acquisition, possession,
  150  transportation, use, and administration of the allowed amount of
  151  medical-grade marijuana.
  152         (14) “Physician” means a physician who is licensed under
  153  chapter 458 or chapter 459 and meets the requirements of s.
  154  381.996(4).
  155         (15) “Qualified patient” means a resident of this state who
  156  has been certified by a physician and diagnosed as suffering
  157  from:
  158         (a) Cancer;
  159         (b) Positive status for human immunodeficiency virus (HIV);
  160         (c) Acquired immune deficiency syndrome (AIDS);
  161         (d) Epilepsy;
  162         (e) Amyotrophic lateral sclerosis (ALS);
  163         (f) Multiple sclerosis;
  164         (g) Crohn’s disease;
  165         (h) Parkinson’s disease; or
  166         (i) Any physical medical condition or treatment for a
  167  medical condition that chronically produces one or more
  168  qualifying symptoms.
  169         (16) “Qualifying symptom” means:
  170         (a) Cachexia or wasting syndrome;
  171         (b) Severe and persistent pain;
  172         (c) Severe and persistent nausea;
  173         (d) Persistent seizures; or
  174         (e) Severe and persistent muscle spasms.
  175         (17) “Registered patient” means a qualified patient who has
  176  registered with the department and has been issued a medical
  177  marijuana registry identification card.
  178         (18) “Retail facility” means a facility licensed by the
  179  department to dispense medical-grade marijuana to registered
  180  patients and caregivers.
  181         (19) “Retail license” means a license issued by the
  182  department which authorizes the licensee to dispense medical
  183  grade marijuana to registered patients and caregivers from a
  184  retail facility.
  185         Section 3. Section 381.992, Florida Statutes, is created to
  186  read:
  187         381.992Medical-grade marijuana.
  188         (1) Notwithstanding s. 893.13, s. 893.135, s. 893.147, or
  189  any other law, but subject to the requirements in ss. 381.991
  190  381.9991, a registered patient or his or her designated
  191  caregiver may purchase, acquire, and possess up to the allowed
  192  amount of medical-grade marijuana, including paraphernalia, for
  193  that patient’s medical use. In order to maintain the protections
  194  under this section, a registered patient or his or her
  195  designated caregiver must demonstrate that:
  196         (a) He or she is legally in possession of the medical-grade
  197  marijuana, by producing his or her medical marijuana
  198  identification card; and
  199         (b) Any marijuana in his or her possession is within the
  200  registered patient’s allowed amount of marijuana, by producing a
  201  receipt from the dispensing organization.
  202         (2) Notwithstanding s. 893.13, s. 893.135, s. 893.147, or
  203  any other law, but subject to the requirements in ss. 381.991
  204  381.9991, a cultivation and processing licensee and an employee
  205  or contractor of a cultivation and processing licensee may
  206  acquire, cultivate, and possess marijuana while on the property
  207  of a cultivation and processing facility; may transport
  208  marijuana between licensed facilities owned by the licensee; may
  209  transport marijuana to independent laboratories for
  210  certification as medical-grade marijuana; and may transport and
  211  sell medical-grade marijuana to retail facilities.
  212         (3) Notwithstanding s. 893.13, s. 893.135, s. 893.147, or
  213  any other law, but subject to the requirements in ss. 381.991
  214  381.9991, a retail licensee and an employee of a retail licensee
  215  may purchase and receive medical-grade marijuana from a
  216  cultivation and processing licensee or its employee or
  217  contractor; may possess, store, and hold medical-grade marijuana
  218  for retail sale; and may dispense the allowed amount of medical
  219  grade marijuana to a registered patient or designated caregiver
  220  at a retail facility. A retail licensee and an employee or
  221  contractor of a retail licensee may deliver medical-grade
  222  marijuana to the residence of a registered patient.
  223         (4) Notwithstanding s. 893.13, s. 893.135, s. 893.147, or
  224  any other law, but subject to the requirements in ss. 381.991
  225  381.9991, a licensed laboratory and an employee of an
  226  independent testing laboratory may receive and possess marijuana
  227  for the sole purpose of testing the marijuana for certification
  228  as medical-grade marijuana.
  229         (5) This section does not authorize:
  230         (a) The acquisition, purchase, transportation, use,
  231  possession, or administration of any type of marijuana other
  232  than medical-grade marijuana by a registered patient or
  233  designated caregiver.
  234         (b) The use of medical-grade marijuana by anyone other than
  235  the registered patient for whom the medical-grade marijuana was
  236  ordered.
  237         (c) The transfer or administration of medical-grade
  238  marijuana to anyone other than the registered patient for whom
  239  the medical-grade marijuana was ordered.
  240         (d) The acquisition or purchase of medical-grade marijuana
  241  by a registered patient or designated caregiver from an entity
  242  other than a dispensing organization that has a retail license.
  243         (e) A registered patient or designated caregiver to
  244  transfer medical-grade marijuana to a person other than the
  245  patient for whom the medical-grade marijuana was ordered or to
  246  any entity except for the purpose of returning unused medical
  247  grade marijuana to a dispensing organization.
  248         (f) The use or administration of medical-grade marijuana:
  249         1. On any form of public transportation.
  250         2. In any public place.
  251         3. In a registered patient’s place of work, if restricted
  252  by his or her employer.
  253         (g) The possession, use, or administration of medical-grade
  254  marijuana:
  255         1. In a correctional facility;
  256         2. On the grounds of any preschool, primary school, or
  257  secondary school; or
  258         3. On a school bus.
  259         (6) This section does not exempt any person from the
  260  prohibition against driving under the influence provided in s.
  261  316.193.
  262         Section 4. Section 381.993, Florida Statutes, is created to
  263  read:
  264         381.993Medical marijuana patient and designated caregiver
  265  registration.
  266         (1) In order to register for an identification card, a
  267  qualified patient must submit to the department:
  268         (a) A patient registration form;
  269         (b) Proof of Florida residency; and
  270         (c) A passport-style photograph taken within the previous
  271  90 days.
  272         (2) For a qualified patient to be registered and to receive
  273  an identification card, a physician must submit a patient
  274  certification form directly to the department which includes:
  275         (a) Certification by the physician that the patient suffers
  276  from one or more qualifying conditions or symptoms specified in
  277  s. 381.991(15); and
  278         (b) Unless the patient suffers from a condition listed in
  279  s. 381.991(15)(a)-(i), certification that in that physician’s
  280  good faith medical judgment the patient has exhausted all other
  281  reasonable medical treatments for those symptoms.
  282         (3) If a qualified patient is under 21 years of age, a
  283  second physician must also submit a patient-certification form
  284  that meets the requirements of paragraphs (2)(a) and 2(b).
  285         (4) The patient-certification form may be submitted through
  286  the department website.
  287         (5) A qualified patient may, at initial registration or
  288  while a registered patient, designate a caregiver to assist him
  289  or her with the medical use of medical-grade marijuana. A
  290  designated caregiver must be at least 21 years of age and must
  291  meet the background screening requirements in s. 408.809 unless
  292  the caregiver is assisting only his or her own spouse, parents,
  293  children, or siblings. A designated caregiver may not be
  294  registered to assist more than one patient at any given time
  295  unless:
  296         (a) All of the caregiver’s registered patients are the
  297  caregiver’s parents, siblings, or children;
  298         (b) All of the caregiver’s registered patients are first
  299  degree relations to each other who share a residence; and
  300         (c) All of the caregiver’s registered patients reside in an
  301  assisted living facility, nursing home, or other such facility
  302  and the caregiver is an employee of that facility.
  303         (6) If the department determines, for any reason, that a
  304  caregiver designated by a registered patient may not assist that
  305  patient, the department must notify that patient of the denial
  306  of the designated caregiver’s registration.
  307         (7) The department must create a registration form and a
  308  patient-certification form and make the forms available to the
  309  public by January 1, 2016. The registration form must require
  310  the patient to include, at a minimum, the information required
  311  to be on the patient’s identification card and on his or her
  312  designated caregiver’s identification card if the patient is
  313  designating a caregiver.
  314         (8) Beginning on July 1, 2016, when the department receives
  315  a registration form, the supporting patient-certification form,
  316  and proof of the patient’s residency, the department must,
  317  within 14 days:
  318         (a) Enter the qualified patient’s and his or her designated
  319  caregiver’s information into the medical marijuana patient
  320  registry; and
  321         (b) Issue an identification card to the qualified patient
  322  and to that patient’s designated caregiver, if applicable. The
  323  department is not required to issue an additional identification
  324  card to a designated caregiver who already possesses a valid
  325  identification card when that caregiver becomes registered as
  326  the caregiver for additional registered patients unless the
  327  required information has changed. The expiration date for a
  328  designated caregiver’s identification card must coincide with
  329  the last occurring expiration date on the identification card of
  330  the patient the caregiver is registered to assist.
  331         (9) Identification cards issued to registered patients and
  332  designated caregivers must be resistant to counterfeiting and
  333  include, but not be limited to, all of the following
  334  information:
  335         (a) The person’s full legal name.
  336         (b) The person’s photograph.
  337         (c) A randomly assigned identification number.
  338         (d) The expiration date of the identification card.
  339         (10) Except as provided in paragraph (8)(b), patient and
  340  caregiver identification cards expire 1 year after the date they
  341  are issued. In order to renew an identification card, a
  342  qualified patient must submit proof of continued residency and a
  343  physician must certify to the department:
  344         (a) That he or she has examined the patient during the
  345  course of the patient’s treatment with medical-grade marijuana;
  346         (b) That the patient suffers from one or more qualifying
  347  symptoms or conditions;
  348         (c) That, except for patients suffering from the conditions
  349  listed in s. 381.991(15)(a)-(i), in the physician’s good faith
  350  medical judgment, there are no reasonable alternative medical
  351  options for the relief of such symptom or symptoms;
  352         (d) That, in the physician’s good faith medical judgment,
  353  the use of medical-grade marijuana gives the patient some relief
  354  from his or her symptoms; and
  355         (e) The allowed amount of medical-grade marijuana that the
  356  physician orders for the patient’s use.
  357         (11) Should the department become aware of information that
  358  would disqualify a patient or caregiver from being registered,
  359  the department must notify that person of the change in his or
  360  her status as follows:
  361         (a) For registered patients, the department must give
  362  notice at least 30 days before removing that patient from the
  363  registry. The patient must return all medical-grade marijuana,
  364  medical-grade marijuana products, and his or her identification
  365  card to a retail facility within 30 days after receiving such
  366  notice. A dispensing organization must notify the department
  367  within 24 hours after it has received such a return. Such
  368  notification may be submitted electronically.
  369         (b) For designated caregivers, the department must give
  370  notice to the registered patient and the designated caregiver at
  371  least 15 days before removing a caregiver from the registry. The
  372  caregiver must return his or her identification card to a retail
  373  facility within 15 days after receiving such notice. A
  374  dispensing organization must notify the department within 24
  375  hours after it has received such a return. Such notification may
  376  be submitted electronically.
  377         Section 5. Section 381.994, Florida Statutes, is created to
  378  read:
  379         381.994 Electronic medical marijuana patient registry.
  380         (1) By July 1, 2016, the department must create a secure,
  381  online, electronic medical marijuana patient registry containing
  382  a file for each registered patient and caregiver and for each
  383  certifying physician consisting of, but not limited to, all of
  384  the following:
  385         (a) For patients and caregivers:
  386         1.His or her full legal name;
  387         2.His or her photograph;
  388         3. The randomly assigned identification number on his or
  389  her identification card; and
  390         4. The expiration date of the identification card.
  391         (b) For physicians, the physician’s full legal name and
  392  license number.
  393         (c) For a registered patient:
  394         1. The full legal name of his or her designated caregiver,
  395  if any;
  396         2. His or her allowed amount of medical-grade marijuana;
  397  and
  398         3. The concentration ranges of specified cannabinoids, if
  399  any, ordered by the patient’s certifying physician.
  400         (d) For a designated caregiver:
  401         1. The full legal name or names of all registered patients
  402  whom the caregiver is registered to assist;
  403         2. The allowed amount of medical-grade marijuana for each
  404  patient the caregiver is registered to assist; and
  405         3. The concentration ranges of specified cannabinoids, if
  406  any, ordered by the certifying physician for each respective
  407  patient the caregiver is registered to assist.
  408         (e) The date and time of dispensing, and the allowed amount
  409  of medical-grade marijuana dispensed, for each of that
  410  registered patient’s or caregiver’s transactions with the
  411  dispensing organization.
  412         (2) The registry must be able to:
  413         (a) Be accessed by a retail licensee or employee to verify
  414  the authenticity of a patient identification card, to verify the
  415  allowed amount and any specified type of medical-grade marijuana
  416  ordered by his or her physician, and to determine the prior
  417  dates on which and times at which medical-grade marijuana was
  418  dispensed to the patient and the amount dispensed on each
  419  occasion;
  420         (b) Accept in real time the original and updated orders for
  421  medical-grade marijuana from certifying physicians;
  422         (c) Be accessed by law enforcement agencies in order to
  423  verify patient or caregiver authorization for possession of an
  424  allowed amount of medical-grade marijuana; and
  425         (d) Accept and post initial and updated information to each
  426  registered patient’s file from the dispensing organization that
  427  shows the date, time, and amount of medical-grade marijuana
  428  dispensed to that patient at the point of sale.
  429         Section 6. Section 381.995, Florida Statutes, is created to
  430  read:
  431         381.995 Dispensing organizations.
  432         (1) By January 1, 2016, the department shall establish
  433  operating standards for the cultivation, processing, packaging,
  434  and labeling of marijuana, establish standards for the sale of
  435  medical-grade marijuana, develop licensure application forms for
  436  cultivation and processing licenses and retail licenses, make
  437  such forms available to the public, establish procedures and
  438  requirements for cultivation facility licenses and renewals and
  439  processing facility licenses and renewals, and begin accepting
  440  applications for licensure. The department may charge an initial
  441  application fee of up to $100,000 for cultivation and processing
  442  licenses and up to $10,000 for retail licenses, a licensure fee,
  443  and a license renewal fee as necessary to pay for all expenses
  444  incurred by the department in administering this section.
  445         (2) The department must begin issuing cultivation and
  446  processing licenses by March 1, 2016, and retail licenses by
  447  July 1, 2016.
  448         (3) The department may issue a cultivation and processing
  449  license to an applicant who provides:
  450         (a) A completed cultivation and processing license
  451  application form;
  452         (b) The initial application fee;
  453         (c) The legal name of the applicant;
  454         (d) The physical address of each location where marijuana
  455  will be cultivated and processed;
  456         (e) The name, address, and date of birth of each principal
  457  officer and board member, if applicable;
  458         (f) The name, address, and date of birth of each of the
  459  applicant’s current employees who will participate in the
  460  operations of the dispensing organization;
  461         (g) Proof that all principals and employees of the
  462  applicant have passed a level 2 background screening pursuant to
  463  chapter 435 within the prior year;
  464         (h) Proof of an established infrastructure or the ability
  465  to establish an infrastructure in a reasonable amount of time
  466  designed to cultivate, process, test, package, and label
  467  marijuana and to deliver medical-grade marijuana to retail
  468  facilities throughout the state;
  469         (i) Proof that the applicant possesses the technical and
  470  technological ability to cultivate and process medical-grade
  471  marijuana;
  472         (j) Proof of operating procedures designed to secure and
  473  maintain accountability for all marijuana and marijuana-related
  474  byproducts it may possess;
  475         (k) Proof of the financial ability to maintain operations
  476  for the duration of the license;
  477         (l) Proof of at least $1 million of hazard and liability
  478  insurance for each cultivation and processing facility; and
  479         (m) A $5 million performance and compliance bond, to be
  480  forfeited if the licensee fails to maintain its license for the
  481  duration of the licensure period or fails to comply with the
  482  substantive requirements of this subsection and applicable
  483  agency rules for the duration of the licensure period.
  484         (4) A cultivation and processing license expires 2 years
  485  after the date it is issued. The licensee must apply for a
  486  renewed license before the expiration date. In order to receive
  487  a renewed license, a cultivation and processing licensee must
  488  demonstrate continued compliance with the requirements in
  489  subsection (3) and have no outstanding substantial violations of
  490  the standards established by the department for the cultivation,
  491  processing, packaging, and labeling of marijuana and medical
  492  grade marijuana.
  493         (5) A cultivation and processing licensee may cultivate
  494  marijuana at one or more facilities only if each facility used
  495  for cultivation has been inspected by the department and issued
  496  a cultivation facility license. A cultivation and processing
  497  licensee may process marijuana at one or more processing
  498  facilities only if each facility used for processing has been
  499  inspected by the department and issued a processing facility
  500  license. A cultivation and processing licensee may cultivate and
  501  process marijuana at the same facility only if that facility has
  502  been inspected by the department and issued both a cultivation
  503  facility license and a processing facility license. Each
  504  cultivation and processing facility must be secure and closed to
  505  the public and may not be located within 1,000 feet of an
  506  existing public or private elementary or secondary school, a
  507  child care facility licensed under s. 402.302, or a licensed
  508  service provider offering substance abuse services. The
  509  department may establish by rule additional security and zoning
  510  requirements for cultivation and processing facilities. All
  511  matters regarding the licensure and regulation of cultivation
  512  and processing facilities, including the location of such
  513  facilities, are preempted to the state.
  514         (6) Before beginning cultivation or processing at a
  515  facility, that facility must be inspected and licensed as a
  516  cultivation facility, a processing facility, or both by the
  517  department. A cultivation and processing licensee may cultivate
  518  and process marijuana only for the purpose of producing medical
  519  grade marijuana and may do so only at a licensed cultivation and
  520  processing facility. Such processing may include, but is not
  521  limited to, processing marijuana into medical-grade marijuana
  522  and processing medical-grade marijuana into various forms
  523  including, but not limited to, topical applications, oils, and
  524  food products for a registered patient’s use. A dispensing
  525  organization may use a contractor to cultivate the marijuana, to
  526  process marijuana into medical-grade marijuana, or to process
  527  the medical-grade marijuana into other forms, but the dispensing
  528  organization is responsible for all of the operations performed
  529  by each contractor relating to the cultivation and processing of
  530  marijuana and the physical possession of all marijuana and
  531  medical-grade marijuana. All work done by a contractor must be
  532  performed at a licensed cultivation and processing facility. All
  533  marijuana byproducts that are unable to be processed or
  534  reprocessed into medical-grade marijuana must be destroyed by
  535  the dispensing organization or its contractor within 48 hours
  536  after processing is completed.
  537         (7) A cultivation and processing licensee may transport, or
  538  contract to have transported, marijuana and marijuana products
  539  to independent testing laboratories to be tested and certified
  540  as medical-grade marijuana.
  541         (8) A cultivation and processing licensee may sell,
  542  transport, and deliver medical-grade marijuana and medical-grade
  543  marijuana products to retail licensees throughout the state.
  544         (9) The department may not license any retail facilities in
  545  a county unless the board of county commissioners for that
  546  county determines by ordinance the number and location of any
  547  retail facilities that may be located within that county. A
  548  retail facility may not be located on the same property as a
  549  facility licensed for cultivation or processing of marijuana or
  550  within 1,000 feet of an existing public or private elementary or
  551  secondary school, a child care facility licensed under s.
  552  402.302, or a licensed service provider that offers substance
  553  abuse services.
  554         (10) An applicant for a retail license must provide the
  555  department with at least all of the following:
  556         (a) A completed retail license application form.
  557         (b) The initial application fee.
  558         (c) The full legal name of the applicant.
  559         (d) The physical address of the retail facility where
  560  marijuana will be dispensed.
  561         (e) Identifying information for all other current or
  562  previous retail licenses held by the applicant.
  563         (f) The name, address, and date of birth for each of the
  564  applicant’s principal officers and board members.
  565         (g) The name, address, and date of birth of each of the
  566  applicant’s current employees who will participate in the
  567  operations of the dispensing organization.
  568         (h) Proof that all principals and employees of the
  569  applicant have passed a level 2 background screening pursuant to
  570  chapter 435 within the prior year.
  571         (i) Proof of an established infrastructure or the ability
  572  to establish an infrastructure in a reasonable amount of time
  573  which is designed to receive medical-grade marijuana from
  574  cultivation and processing facilities, the ability to maintain
  575  the security of the retail facility to prevent theft or
  576  diversion of any medical marijuana product received, the ability
  577  to correctly dispense the allowed amount and specified type of
  578  medical-grade marijuana to a registered patient or his or her
  579  designated caregiver pursuant to a physician’s order, the
  580  ability to check the medical marijuana patient registry, and the
  581  ability to electronically update the medical marijuana patient
  582  registry with dispensing information.
  583         (j) Proof of operating procedures designed to secure and
  584  maintain accountability for all medical-grade marijuana and
  585  products that it may receive and possess.
  586         (k) Proof of the financial ability to maintain operations
  587  for the duration of the license.
  588         (l) Proof of at least $500,000 of hazard and liability
  589  insurance for each license.
  590         (m) A $1 million performance and compliance bond, for each
  591  license, to be forfeited if the licensee fails to maintain the
  592  license for the duration of the licensure period or fails to
  593  comply with the requirements of this subsection for the duration
  594  of the licensure period.
  595         (11) The department may issue multiple retail licenses to a
  596  single qualified entity; however, to encourage a competitive
  597  marketplace, when multiple entities have applied for a license
  598  in the same county, in addition to the qualifications of each
  599  applicant, the department shall consider the number of retail
  600  licenses currently held by each applicant and the number of
  601  separate entities that hold retail licenses within the same
  602  geographic area.
  603         (12) A retail license expires 2 years after the date it is
  604  issued. The retail licensee must reapply for renewed licensure
  605  before the expiration date. In order to qualify for a renewed
  606  license, a retail licensee must meet all the requirements for
  607  initial licensure and have no outstanding substantial violations
  608  of the applicable standards established by the department.
  609         (13) Before beginning to dispense, each retail facility
  610  must be inspected by the department. Retail licensees may
  611  dispense the allowed amount of medical-grade marijuana to a
  612  registered patient or the patient’s designated caregiver only if
  613  the dispensing organization’s employee:
  614         (a) Verifies the authenticity of the patient’s or
  615  caregiver’s identification card with the medical marijuana
  616  patient registry;
  617         (b) Verifies the physician’s order for medical-grade
  618  marijuana with the medical marijuana patient registry;
  619         (c) Determines that the registered patient has not been
  620  dispensed the allowed amount of marijuana within the previous 30
  621  days;
  622         (d) Issues the registered patient or the patient’s
  623  caregiver a receipt that details the date and time of
  624  dispensing, the amount of medical-grade marijuana dispensed, and
  625  the person to whom the medical-grade marijuana was dispensed;
  626  and
  627         (e) Updates the medical marijuana patient registry with the
  628  date and time of dispensing and the amount and type of medical
  629  grade marijuana being dispensed to the registered patient before
  630  dispensing to that patient or that patient’s designated
  631  caregiver.
  632         (14) Retail licensees may contract with licensed and bonded
  633  carriers to transport medical-grade marijuana and medical-grade
  634  marijuana products between properties owned by the licensee and
  635  to deliver it to the residence of a registered patient.
  636         (15) A licensee under the Florida Medical Marijuana Act may
  637  not advertise its marijuana products.
  638         (16) The department must inspect and license each
  639  dispensing organization’s cultivation and processing facilities
  640  and retail facilities before those facilities begin operations.
  641  The department must also inspect each licensed facility at least
  642  once every 2 years. The department may also conduct additional
  643  announced or unannounced inspections at reasonable hours in
  644  order to ensure that such facilities meet the standards set by
  645  the department. The department may test any marijuana, marijuana
  646  product, medical-grade marijuana, or medical-grade marijuana
  647  product in order to ensure that such marijuana, marijuana
  648  product, medical-grade marijuana, or medical-grade marijuana
  649  product meets the standards established by the department. The
  650  department may, by interagency agreement with the Department of
  651  Business and Professional Regulation or with the Department of
  652  Agriculture and Consumer Services, perform joint inspections of
  653  such facilities with those agencies.
  654         (17) The department must create a schedule of violations in
  655  rule in order to impose reasonable fines not to exceed $10,000
  656  on a dispensing organization. In determining the amount of the
  657  fine to be levied for a violation, the department shall
  658  consider:
  659         (a) The severity of the violation;
  660         (b) Any actions taken by the dispensing organization to
  661  correct the violation or to remedy complaints; and
  662         (c) Any previous violations.
  663         (18) The department may suspend, revoke, or refuse to renew
  664  the license of a dispensing organization or of an individual
  665  facility for violations of the standards established by the
  666  department.
  667         (19) The department shall maintain a publicly available,
  668  easily accessible list on its website of all licensed retail
  669  facilities.
  670         Section 7. Section 381.996, Florida Statutes, is created to
  671  read:
  672         381.996Patient certification.
  673         (1) A physician may certify a patient to the department as
  674  a qualified patient if:
  675         (a) The physician has seen the patient on a regular basis
  676  for a period of at least 3 months;
  677         (b) The physician certifies that, in his or her good faith
  678  medical judgment, the patient chronically suffers from one or
  679  more of the qualifying conditions or symptoms; and
  680         (c) For patients who do not suffer from a condition listed
  681  in s. 381.991(15)(a)-(i), the physician certifies that in his or
  682  her good faith medical judgment the patient has exhausted all
  683  other reasonably available medical treatments for any of the
  684  patient’s qualifying symptoms.
  685         (2) After certifying a patient, the physician must
  686  electronically transfer an original order for medical-grade
  687  marijuana for that patient to the medical marijuana patient
  688  registry. Such order must include, at a minimum, the allowed
  689  amount of medical-grade marijuana and the concentration ranges
  690  for individual cannabinoids, if any. The physician must also
  691  update the registry with any changes in the specifications of
  692  his or her order for that patient within 7 days.
  693         (3) If the physician becomes aware that alternative
  694  treatments are available, that the patient no longer suffers
  695  from his or her qualifying condition or symptom, or if the
  696  physician’s order for the allowed amount of medical marijuana
  697  changes for that patient, the physician must update the registry
  698  with the new information within 7 days.
  699         (4) In order to qualify to issue patient certifications for
  700  medical-grade marijuana, and before ordering medical-grade
  701  marijuana for any patient, a physician must successfully
  702  complete an 8-hour course and subsequent examination offered by
  703  the Florida Medical Association or the Florida Osteopathic
  704  Medical Association, as appropriate, which encompasses the
  705  clinical indications for the appropriate use of medical-grade
  706  marijuana, the appropriate delivery mechanisms, the
  707  contraindications of the use of medical-grade marijuana, and the
  708  relevant state and federal laws governing ordering, dispensing,
  709  and possession. The appropriate boards shall offer the first
  710  course and examination by October 1, 2015, and shall administer
  711  them at least annually thereafter. Successful completion of the
  712  course may be used by a physician to satisfy 8 hours of the
  713  continuing medical education requirements imposed by his or her
  714  respective board for licensure renewal. This course may be
  715  offered in a distance-learning format. Successful completion of
  716  the course and examination is required for every physician who
  717  orders medical-grade marijuana each time such physician renews
  718  his or her license.
  719         Section 8. Section 381.997, Florida Statutes, is created to
  720  read:
  721         381.997Medical-grade marijuana testing and labeling.
  722         (1) A cultivation and processing licensee may not
  723  distribute or sell medical-grade marijuana or product to a
  724  retail licensee unless the batch of origin of that marijuana or
  725  product has been tested by an independent testing laboratory and
  726  the cultivation and processing licensee has received test
  727  results from that laboratory which certify that the batch meets
  728  the quality standards established by the department.
  729         (2) When testing a batch of marijuana or product a testing
  730  laboratory must, at a minimum, test for unsafe contaminants and
  731  for presence and concentration of individual cannabinoids.
  732         (3) Each testing laboratory must report its findings for
  733  each batch tested to the cultivation and processing licensee
  734  from which the batch originated and to the department. Such
  735  findings must include, at a minimum, the license number or
  736  numbers of the processing and cultivation facility from which
  737  the batch originated, the size and batch number of the batch
  738  tested, the types of tests performed on the batch, and the
  739  results of each test.
  740         (4) Before distribution or sale to a retail licensee, any
  741  medical-grade marijuana that meets department testing standards
  742  must be packaged in a child-resistant container and labeled with
  743  at least the name and license number of the cultivation and
  744  processing licensee, the license number of the facility or
  745  facilities where the batch was harvested and processed, the
  746  harvest or production batch number, the concentration range of
  747  each individual cannabinoid present at testing, and any other
  748  labeling requirements established in Florida or federal law or
  749  rules for that form of the product. For the purposes of this
  750  subsection, any oil-based extraction meant for direct
  751  consumption in small quantities as a supplement need not be
  752  labeled as a food product.
  753         (5) Before sale to a registered patient or caregiver, a
  754  retail licensee must affix an additional label to each product
  755  that includes the licensee’s name and license number.
  756         (6) By January 1, 2016, the department must establish
  757  standards for quality and testing procedures and for maximum
  758  levels of unsafe contaminants. The department must also create a
  759  list of individual cannabinoids that must be tested for,
  760  concentrations that are considered significant for those
  761  cannabinoids, and varying ranges of concentrations for each
  762  cannabinoid upon which a physician may base his or her order for
  763  a patient’s use of a specific strain of medical-grade marijuana.
  764         Section 9. Section 381.998, Florida Statutes, is created to
  765  read:
  766         381.998 Penalties.—
  767         (1)A physician commits a misdemeanor of the first degree,
  768  punishable as provided in s. 775.082 or s. 775.083, if he or she
  769  orders medical-grade marijuana for a patient without a
  770  reasonable belief that the patient is suffering from a condition
  771  or symptom listed in s. 381.991(15) or s. 381.991(16).
  772         (2) A person who fraudulently represents that he or she has
  773  a medical condition or symptom listed in s. 381.991(15) or s.
  774  381.991(16) for the purpose of being ordered medical-grade
  775  marijuana by such physician commits a misdemeanor of the first
  776  degree, punishable as provided in s. 775.082 or s. 775.083.
  777         Section 10. Section 381.999, Florida Statutes, is created
  778  to read:
  779         381.999 Insurance.—The Florida Medical Marijuana Act does
  780  not require a governmental, private, or other health insurance
  781  provider or health care services plan to cover a claim for
  782  reimbursement for the purchase of medical-grade marijuana nor
  783  does it restrict such coverage.
  784         Section 11. Section 381.9991, Florida Statutes, is created
  785  to read:
  786         381.9991 Rulemaking Authority.-The department may adopt
  787  rules related to health, safety, and welfare as necessary to
  788  implement this act.
  789         Section 12. This act shall take effect July 1, 2015.