Assigned to FIN                                                                                                            AS PASSED BY HOUSE

ARIZONA STATE SENATE

Fifty-Fourth Legislature, First Regular Session

AMENDED

FACT SHEET FOR S.B. 1024

medical marijuana; sales data; enforcement

Purpose

            Allows the Arizona Department of Revenue (ADOR) to disclose confidential information to the Department of Health Services (DHS) to determine if a medical marijuana dispensary is in compliance with transaction privilege tax requirements.

Background

The Arizona Medical Marijuana Act was passed as a 2010 ballot measure, legalizing the use of medical marijuana. Current requirements for nonprofit medical marijuana dispensaries focus on security measures, cultivation, acquisition and consumption on the dispensary's premises (A.R.S. § 36-2806).

            There is no anticipated fiscal impact to the state General Fund associated with this legislation.

Provisions

1. Allows ADOR to disclose confidential information to DHS to determine if a medical marijuana dispensary is in compliance with transaction privilege tax requirements.

2. Becomes effective on the general effective date.

Amendments Adopted by Committee of the Whole

1. Requires DHS to share information with ADOR only upon request.

2. Requires, upon request, DHS to share with ADOR licensee information of a medical marijuana dispensary including the name and registry identification number, physical address, cultivation site, transaction privilege tax license number and information about its supplier in addition to sales data.

3. Allows ADOR to disclose confidential information to DHS to determine if a medical marijuana dispensary is in compliance with transaction privilege tax requirements.

Amendments Adopted by the House of Representatives

· Allows, instead of requires, DHS to revoke the registration of nonprofit medical marijuana dispensaries that do not comply with transaction privilege tax requirements.

House of Representatives Action

1. Failed to meet requirements of an affirmative three-quarter vote for enactment (RFEIR) under Proposition 105 for the following provisions:

a) requires, upon request, DHS to share with ADOR licensee information of a medical marijuana dispensary including the name and registry identification number, physical address, cultivation site, transaction privilege tax license number, information about its supplier and sales data collected from registered nonprofit medical marijuana dispensaries;

b) excludes the sharing of any registered qualifying patient-specific information;

c) allows DHS to revoke the registration of nonprofit medical marijuana dispensaries that do not comply with transaction privilege tax requirements; and

d) makes technical changes.

2. Failed to meet requirements of an affirmative two-third vote for enactment of the emergency clause.

Senate Action House Action

FIN                 1/23/19      DP       9-1-0                   WM                 3/6/19        DPA       10-0-0-0

3^rd Read          2/5/19                    17-13-0               3^rd Read          4/3/19                       41-19-0

3^rd Read*         2/12/19                  30-0-0                 3^rd Read*         4/17/19                     35-25-0

*on reconsideration                                                      (W/O emergency; RFEIR – failed)

                                                                                 *on reconsideration

Prepared by Senate Research

April 18, 2019

CS/LC/kja