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California Proposition 19: The Regulate, Control and Tax Cannabis Act of 2010
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Proposition
19: The Regulate, Control and Tax Cannabis Act of 2010
Title and Summary:
Changes California Law to Legalize Marijuana and Allow It to Be
Regulated and Taxed. Initiative Statute.
Allows people 21 years old or older to possess, cultivate, or transport
marijuana for personal use. Permits local governments to regulate and tax
commercial production and sale of marijuana to people 21 years old or older.
Prohibits people from possessing marijuana on school grounds, using it in
public, smoking it while minors are present, or providing it to anyone under 21
years old. Maintains current prohibitions against driving while impaired.
Summary of estimate by Legislative Analyst and Director of Finance of fiscal
impact on state and local governments: Savings of up to several tens of millions
of dollars annually to state and local governments on the costs of incarcerating
and supervising certain marijuana offenders. Unknown but potentially major tax,
fee, and benefit assessment revenues to state and local government related to
the production and sale of marijuana products.
Section 1: Name
This Act shall be known as the “Regulate, Control and Tax Cannabis Act of
2010.”
Section 2: Findings, Intent and Purposes
This Act, adopted by the People of the State of California, makes the following
Findings and Statement of Intent and Purpose:
A. Findings
1. California’s laws criminalizing cannabis
(marijuana) have failed and need to be reformed. Despite spending decades
arresting millions of non-violent cannabis consumers, we have failed to control
cannabis or reduce its availability.
2. According to surveys, roughly 100 million Americans
(around 1/3 of the country’s population) acknowledge that they have used
cannabis, 15 million of those Americans having consumed cannabis in the last
month. Cannabis consumption is simply a fact of life for a large percentage of
Americans.
3. Despite having some of the strictest cannabis laws in
the world, the United States has the largest number of cannabis consumers. The
percentage of our citizens who consume cannabis is double that of the percentage
of people who consume cannabis in the Netherlands, a country where the selling
and adult possession of cannabis is allowed.
4. According to The National Research Council’s recent
study of the 11 U.S. states where cannabis is currently decriminalized, there is
little apparent relationship between severity of sanctions and the rate of
consumption.
5. Cannabis has fewer harmful effects than either
alcohol or cigarettes, which are both legal for adult consumption. Cannabis is
not physically addictive, does not have long term toxic effects on the body, and
does not cause its consumers to become violent.
6. There is an estimated $15 billion in illegal cannabis
transactions in California each year. Taxing and regulating cannabis, like we do
with alcohol and cigarettes, will generate billions of dollars in annual
revenues for California to fund what matters most to Californians: jobs, health
care, schools and libraries, roads, and more.
7. California wastes millions of dollars a year
targeting, arresting, trying, convicting, and imprisoning non-violent citizens
for cannabis related offenses. This money would be better used to combat violent
crimes and gangs.
8. The illegality of cannabis enables for the
continuation of an out-of-control criminal market, which in turn spawns other
illegal and often violent activities. Establishing legal, regulated sales
outlets would put dangerous street dealers out of business.
B. Purposes
1. Reform California’s cannabis laws in a way that
will benefit our state.
2. Regulate cannabis like we do alcohol: Allow adults to
possess and consume small amounts of cannabis.
3. Implement a legal regulatory framework to give
California more control over the cultivation, processing, transportation,
distribution, and sales of cannabis.
4. Implement a legal regulatory framework to better
police and prevent access to and consumption of cannabis by minors in
California.
5. Put dangerous, underground street dealers out of
business, so their influence in our communities will fade.
6. Provide easier, safer access for patients who need
cannabis for medical purposes.
7. Ensure that if a city decides not to tax and regulate
the sale of cannabis, that buying and selling cannabis within that city’s
limits remain illegal, but that the city’s citizens still have the right to
possess and consume small amounts, except as permitted under Health and Safety
Sections 11362.5 and 11362.7 through 11362.9.
8. Ensure that if a city decides it does want to tax and
regulate the buying and selling of cannabis (to and from adults only), that a
strictly controlled legal system is implemented to oversee and regulate
cultivation, distribution, and sales, and that the city will have control over
how and how much cannabis can be bought and sold, except as permitted under
Health and Safety Sections 11362.5 and 11362.7 through 11362.9.
9. Tax and regulate cannabis to generate billions of
dollars for our state and local governments to fund what matters most: jobs,
healthcare, schools and libraries, parks, roads, transportation, and more.
10. Stop arresting thousands of non-violent cannabis consumers,
freeing up police resources and saving millions of dollars each year, which
could be used for apprehending truly dangerous criminals and keeping them locked
up, and for other essential state needs that lack funding.
11. Allow the Legislature to adopt a statewide regulatory system for
a commercial cannabis industry.
12. Make cannabis available for scientific, medical, industrial, and
research purposes.
13. Permit California to fulfill the state’s obligations under the
United States Constitution to enact laws concerning health, morals, public
welfare and safety within the State.
14. Permit the cultivation of small amounts of cannabis for personal
consumption.
C. Intent
1. This Act is intended to limit the application and
enforcement of state and local laws relating to possession, transportation,
cultivation, consumption and sale of cannabis, including but not limited to the
following, whether now existing or adopted in the future: Health and Safety Code
sections 11014.5 and 11364.5 [relating to drug paraphernalia]; 11054 [relating
to cannabis or tetrahydrocannabinols]; 11357 [relating to possession]; 11358
[relating to cultivation]; 11359 [possession for sale]; 11360 [relating to
transportation and sales]; 11366 [relating to maintenance of places]; 11366.5
[relating to use of property]; 11370 [relating to punishment]; 11470 [relating
to forfeiture]; 11479 [relating to seizure and destruction]; 11703 [relating to
definitions regarding illegal substances]; 11705 [actions for use of illegal
controlled substance]; Vehicle Code sections 23222 and 40000.15 [relating to
possession].
2. This Act is not intended to affect the application or
enforcement of the following state laws relating to public health and safety or
protection of children and others: Health and Safety Code sections 11357
[relating to possession on school grounds]; 11361 [relating to minors as amended
herein]; 11379.6 [relating to chemical production]; 11532 [relating to loitering
to commit a crime or acts not authorized by law]; Vehicle Code section 23152
[relating to driving while under the influence]; Penal Code section 272
[relating to contributing to the delinquency of a minor]; nor any law
prohibiting use of controlled substances in the workplace or by specific persons
whose jobs involve public safety.
Section 3: Lawful Activities
Article 5 of Chapter 5 of Division 10 of the Health and Safety Code, commencing
with section 11300 is added to read:
Section 11300: Personal Regulation and Controls
(a) Notwithstanding any other provision of law, it is
lawful and shall not be a public offense under California law for any person 21
years of age or older to:
(i) Personally possess, process, share, or transport not
more than one ounce of cannabis, solely for that individual’s personal
consumption, and not for sale.
(ii) Cultivate, on private property by the owner, lawful
occupant, or other lawful resident or guest of the private property owner or
lawful occupant, cannabis plants for personal consumption only, in an area of
not more than twenty-five square feet per private residence or, in the absence
of any residence, the parcel. Cultivation on leased or rented property may be
subject to approval from the owner of the property. Provided that, nothing
in this section shall permit unlawful or unlicensed cultivation of cannabis on
any public lands.
(iii) Possess on the premises where grown the living and
harvested plants and results of any harvest and processing of plants lawfully
cultivated pursuant to section 11300(a)(ii), for personal consumption.
(iv) Possess objects, items, tools, equipment, products and
materials associated with activities permitted under this subsection.
(b) “Personal consumption” shall include but is not
limited to possession and consumption, in any form, of cannabis in a residence
or other non-public place, and shall include licensed premises open to the
public authorized to permit on-premises consumption of cannabis by a local
government pursuant to section 11301.
(c) “Personal consumption” shall not include, and
nothing in this Act shall permit cannabis:
(i) possession for sale regardless of amount, except by
a person who is licensed or permitted to do so under the terms of an ordinance
adopted pursuant to section 11301;
(ii) consumption in public or in a public place;
(iii) consumption by the operator of any vehicle, boat or
aircraft while it is being operated, or that impairs the operator;
(iv) smoking cannabis in any space while minors are present.
Section 11301: Commercial Regulations and Controls
Notwithstanding any other provision of state or local law, a local government
may adopt ordinances, regulations, or other acts having the force of law to
control, license, regulate, permit or otherwise authorize, with conditions, the
following:
(a) cultivation, processing, distribution, the safe and
secure transportation, sale and possession for sale of cannabis, but only by
persons and in amounts lawfully authorized;
(b) retail sale of not more than one ounce per
transaction, in licensed premises, to persons 21 years or older, for personal
consumption and not for resale;
(c) appropriate controls on cultivation, transportation,
sales, and consumption of cannabis to strictly prohibit access to cannabis by
persons under the age of 21;
(d) age limits and controls to ensure that all persons present
in, employed by, or in any way involved in the operation of, any such licensed
premises are 21 or older;
(e) consumption of cannabis within licensed premises;
(f) safe and secure transportation of cannabis from a
licensed premises for cultivation or processing, to a licensed premises for sale
or on-premises consumption of cannabis;
(g) prohibit and punish through civil fines or other
remedies the possession, sale, possession for sale, cultivation, processing, or
transportation of cannabis that was not obtained lawfully from a person pursuant
to this section or section 11300;
(h) appropriate controls on licensed premises for sale,
cultivation, processing, or sale and on-premises consumption, of cannabis,
including limits on zoning and land use, locations, size, hours of operation,
occupancy, protection of adjoining and nearby properties and persons from
unwanted exposure, advertising, signs and displays, and other controls necessary
for protection of the public health and welfare;
(i) appropriate environmental and public health controls
to ensure that any licensed premises minimizes any harm to the environment,
adjoining and nearby landowners, and persons passing by;
(j) appropriate controls to restrict public displays, or
public consumption of cannabis;
(k) appropriate taxes or fees pursuant to section 11302;
(l) such larger amounts as the local authority deems
appropriate and proper under local circumstances, than those established under
section 11300(a) for personal possession and cultivation, or under this section
for commercial cultivation, processing, transportation and sale by persons
authorized to do so under this section;
(m) any other appropriate controls necessary for protection of the
public health and welfare.
Section 11302: Imposition and Collection of Taxes and Fees
(a) Any ordinance, regulation or other act adopted
pursuant to section 11301 may include imposition of appropriate general, special
or excise, transfer or transaction taxes, benefit assessments, or fees, on any
activity authorized pursuant to such enactment, in order to permit the local
government to raise revenue, or to recoup any direct or indirect costs
associated with the authorized activity, or the permitting or licensing scheme,
including without limitation: administration; applications and issuance of
licenses or permits; inspection of licensed premises and other enforcement of
ordinances adopted under section 11301, including enforcement against
unauthorized activities.
(b) Any licensed premises shall be responsible for
paying all federal, state and local taxes, fees, fines, penalties or other
financial responsibility imposed on all or similarly situated businesses,
facilities or premises, including without limitation income taxes, business
taxes, license fees, and property taxes, without regard to or identification of
the business or items or services sold.
Section 11303: Seizure
(a) Notwithstanding sections 11470 and 11479 of the
Health and Safety Code or any other provision of law, no state or local law
enforcement agency or official shall attempt to, threaten to, or in fact seize
or destroy any cannabis plant, cannabis seeds or cannabis that is lawfully
cultivated, processed, transported, possessed, possessed for sale, sold or used
in compliance with this Act or any local government ordinance, law or regulation
adopted pursuant to this Act.
Section 11304: Effect of Act and Definitions
(a) This Act shall not be construed to affect, limit or
amend any statute that forbids impairment while engaging in dangerous activities
such as driving, or that penalizes bringing cannabis to a school enrolling
pupils in any grade from kindergarten through 12, inclusive.
(b) Nothing in this Act shall be construed or
interpreted to permit interstate or international transportation of cannabis.
This Act shall be construed to permit a person to transport cannabis in a safe
and secure manner from a licensed premises in one city or county to a licensed
premises in another city or county pursuant to any ordinances adopted in such
cities or counties, notwithstanding any other state law or the lack of any such
ordinance in the intervening cities or counties.
(c) No person shall be punished, fined, discriminated
against, or be denied any right or privilege for lawfully engaging in any
conduct permitted by this Act or authorized pursuant to Section 11301 of this
Act. Provided however, that the existing right of an employer to address
consumption that actually impairs job performance by an employee shall not be
affected.
(d) Definitions
For purposes of this Act:
(i) “Marijuana” and “cannabis” are
interchangeable terms that mean all parts of the plant Genus Cannabis, whether
growing or not; the resin extracted from any part of the plant; concentrated
cannabis; edible products containing same; and every active compound,
manufacture, derivative, or preparation of the plant, or resin.
(ii) “One ounce” means 28.5 grams.
(iii) For purposes of section 11300(a)(ii) “cannabis
plant” means all parts of a living Cannabis plant.
(iv) In determining whether an amount of cannabis is or is not
in excess of the amounts permitted by this Act, the following shall apply:
(a) only the active amount of the cannabis in an edible
cannabis product shall be included;
(b) living and harvested cannabis plants shall be
assessed by square footage, not by weight in determining the amounts set forth
in section 11300(a);
(c) in a criminal proceeding a person accused of
violating a limitation in this Act shall have the right to an affirmative
defense that the cannabis was reasonably related to his or her personal
consumption.
(v) “residence” means a dwelling or structure,
whether permanent or temporary, on private or public property, intended for
occupation by a person or persons for residential purposes, and includes that
portion of any structure intended for both commercial and residential purposes.
(vi) “local government” means a city, county, or city and
county.
(vii) “licensed premises” is any commercial business, facility,
building, land or area that has a license, permit or is otherwise
authorized to cultivate, process, transport, sell, or permit on-premises
consumption, of cannabis pursuant to any ordinance or regulation adopted by a
local government pursuant to section 11301, or any subsequently enacted state
statute or regulation.
Section 4: Prohibition on Furnishing Marijuana to Minors
Section 11361 of the Health and Safety Code is amended to read:
Prohibition on Furnishing Marijuana to
Minors
(a) Every person 18 years of age or over who hires, employs, or uses a minor in
transporting, carrying, selling, giving away, preparing for sale, or peddling
any marijuana, who unlawfully sells, or offers to sell, any marijuana to a
minor, or who furnishes, administers, or gives, or offers to furnish,
administer, or give any marijuana to a minor under 14 years of age, or who
induces a minor to use marijuana in violation of law shall be punished by
imprisonment in the state prison for a period of three, five, or seven years.
(b) Every person 18 years of age or over who furnishes, administers, or gives,
or offers to furnish, administer, or give, any marijuana to a minor 14 years of
age or older shall be punished by imprisonment in the state prison for a period
of three, four, or five years.
(c) Every person 21 years of age or
over who knowingly furnishes, administers, or gives, or offers to furnish,
administer or give, any marijuana to a person aged 18 years or older, but
younger than 21 years of age, shall be punished by imprisonment in the county
jail for a period of up to six months and be fined up to $1,000 for each
offense.
(d) In addition to the penalties above, any person who is licensed, permitted or
authorized to perform any act pursuant to Section 11301, who while so licensed,
permitted or authorized, negligently furnishes, administers, gives or sells, or
offers to furnish, administer, give or sell, any marijuana to any person younger
than 21 years of age shall not be permitted to own, operate, be employed by,
assist or enter any licensed premises authorized under Section 11301 for a
period of one year.
Section 5: Amendment
Pursuant to Article 2, section 10(c) of the California Constitution, this Act
may be amended either by a subsequent measure submitted to a vote of the People
at a statewide election; or by statute validly passed by the Legislature and
signed by the Governor, but only to further the purposes of the Act. Such
permitted amendments include but are not limited to:
(a) Amendments to the limitations in section 11300,
which limitations are minimum thresholds and the Legislature may adopt less
restrictive limitations.
(b) Statutes and authorize regulations to further the
purposes of the Act to establish a statewide regulatory system for a commercial
cannabis industry that addresses some or all of the items referenced in Sections
11301 and 11302.
(c) Laws to authorize the production of hemp or
non-active cannabis for horticultural and industrial purposes.
Section 6: Severability
If any provision of this measure or the application thereof to any person or
circumstance is held invalid, that invalidity shall not affect other provisions
or applications of the measure that can be given effect without the invalid
provision or application, and to this end the provisions of this measure are
severable.
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