AR Opinion No. 2014-086 August 14, 2014

Did Arkansas's 2014 ballot push to legalize medical marijuana clear the AG's ballot-title gatekeeper?

Short answer: Yes, for the popular name (certified as submitted); the AG substituted a refined ballot title and certified that. The measure cleared this stage with a cautionary note about ballot-title litigation risk on long, complex acts.

Apply this to your situation

This page answers the general question as of 2014. Ezel answers yours: what it means for your facts, under current Arkansas law, with citations.

Currency note: this opinion is from 2014
Subsequent statutory amendments, court decisions, or later AG opinions may have changed the analysis. Treat this page as historical context, not current legal advice. Verify current law before relying on any specific rule, deadline, or remedy mentioned here.
Disclaimer: This is an official Arkansas Attorney General opinion. AG opinions are persuasive authority but not binding precedent. This summary is for informational purposes only and is not legal advice. Consult a licensed Arkansas attorney for advice on your specific situation.
About this page: The plain-English summary, reader guidance, and Q&A below were written by Ezel based on the official AG opinion. The original opinion (linked on this page) is the authoritative source for any reliance.

Plain-English summary

Melissa Fults, Campaign Director of Arkansans for Compassionate Care 2016, submitted "The Arkansas Medical Cannabis Act" to AG Dustin McDaniel for certification under A.C.A. § 7-9-107. The campaign had been here before; the AG had rejected eight earlier iterations for ambiguities (Op. Att'y Gen. 2014-072, 2013-099, 2013-079, 2013-046, 2013-033, 2013-015, 2011-038, 2011-023) but had certified two others (2013-118, 2011-049). This latest version included text changes and a resubmitted popular name and ballot title.

The AG split the certification. He certified the popular name, "The Arkansas Medical Cannabis Act," as submitted. He found the proposed ballot title adequate but not optimal, so he exercised his § 7-9-107(b) authority to substitute a more suitable ballot title. The substituted ballot title kept the structure the sponsors had drafted but tightened the language around hardship cultivation eligibility (changing the trigger to the patient living more than 20 miles from a nonprofit cannabis care center), added clearer references to application and renewal fees, and prohibited special taxes on medical cannabis sales while routing state sales tax revenues from cannabis through the Department of Health and the affordability clause.

What the certified package covered: a state-licensed nonprofit cannabis care center model with cannabis testing labs, limited immunity for licensed actors, localities' authority to limit the number of nonprofit cannabis care centers and to zone their operations, registry identification cards for patients and caregivers, qualifying medical conditions listed in the text, hardship cultivation certificates for patients without practical access to a care center, a designated-caregiver framework, an affirmative defense for medical use, felon exclusions, an out-of-state visiting-patient pathway, and the affordability mechanism for low-income patients.

The AG added a cautionary note: long, complex initiated acts have a higher rate of successful ballot-title challenges, because any ambiguity in the text can support a challenge. He urged Fults to consult private counsel to ensure the text actually achieved the campaign's stated purpose.

The opinion ended with the boilerplate procedural instructions: under A.C.A. § 7-9-108, instructions to canvassers and signers must precede every petition, and the AG enclosed the standard instructions. Initiated acts require signatures from 8% of legal voters; constitutional amendments from 10%; referenda from 6%. Only registered voters may sign. Signers and canvassers face Class A misdemeanor exposure for fraudulent signatures, false statements, or paying signers to sign.

The certification did not approve the policy. The AG took pains to repeat that certification means only that the popular name and ballot title meet § 7-9-107's procedural standard, not that the AG agrees the policy should be enacted.

Currency note

This opinion was issued in 2014. Subsequent statutory amendments, court decisions, or later AG opinions may have changed the analysis. Treat this page as historical context, not current legal advice. Verify current law before relying on any specific rule, deadline, or remedy mentioned here.

Common questions

What did the AG certify versus substitute?
The popular name, "The Arkansas Medical Cannabis Act," was certified exactly as submitted. The ballot title was substituted: the AG kept the sponsors' general structure but rewrote portions to improve impartiality and completeness. Both the popular name and the substituted ballot title were certified together.

Why did the AG substitute rather than reject?
A.C.A. § 7-9-107(b) gives the AG three options: certify as submitted, substitute and certify, or reject. The AG must reject only when the proposal is so ambiguous or misleading that no honest summary is possible. The 2014 version of the Medical Cannabis Act was clear enough that a refined ballot title could capture it; substitution preserved the campaign's effort while making the title legally defensible.

What were the key changes the AG made to the ballot title?
The substituted ballot title clarified hardship cultivation eligibility (tied to patient living more than 20 miles from a nonprofit care center), specified application and renewal fees rather than only registration fees, expressly prohibited special taxes on medical cannabis sales, and clarified the routing of state sales tax revenues through the Department of Health and the affordability clause.

Why does the AG repeatedly warn the sponsors about ballot-title challenges?
Because long, complex initiated acts attract litigation. Even a certified ballot title can be successfully challenged after the petition has been signed if a court later finds an ambiguity that materially misleads voters. The AG's certification is procedural protection, not litigation insurance. The cautionary note is the AG telling Fults: certification alone does not insulate the measure from a court challenge.

What did sponsors have to do after certification?
Print petitions with the certified popular name and ballot title, prepend the AG's canvasser instructions (required by § 7-9-108), and collect signatures from registered Arkansas voters (8% of legal voters for an initiated act). Once filed with the Secretary of State, the petition undergoes sufficiency review. If valid, the measure goes on the next regular election ballot.

Were the AG's certifications binding on the courts?
No. A certified ballot title can still be challenged in court. The Arkansas Supreme Court has the final word on whether the title is sufficiently honest, intelligible, and fair to be presented to voters.

Background and statutory framework

A.C.A. § 7-9-107 (Repl. 2013) is the certification statute. The AG must certify the popular name and ballot title of all proposed initiative and referendum acts and amendments before petitions can be circulated for signature. A.C.A. § 7-9-107(b) authorizes the AG to substitute a more suitable title where the original is salvageable.

A.C.A. § 7-9-108 requires that AG-issued instructions to canvassers and signers precede every petition.

A.C.A. § 7-5-522 imposes the five-minute voting-booth limit that constrains how long a ballot title can be.

The Arkansas Supreme Court precedent on ballot title sufficiency includes Bailey v. McCuen (no misleading tendency by amplification, omission, or fallacy), Christian Civic Action Committee v. McCuen (intelligible idea of scope and significance), Becker v. McCuen (honest and impartial), and Roberts v. Priest (internal inconsistencies in the text doom the title). The AG worked within this framework when deciding whether to certify, substitute, or reject.

Citations

  • A.C.A. § 7-9-107 (Repl. 2013) (AG certification of popular names and ballot titles)
  • A.C.A. § 7-9-107(b) (substitution authority)
  • A.C.A. § 7-9-108 (canvasser/signer instructions)
  • A.C.A. § 7-5-522 (five-minute booth limit)
  • Kurrus v. Priest, 342 Ark. 434, 445, 29 S.W.3d 669, 675 (2000)
  • Donovan v. Priest, 326 Ark. 353, 359, 931 S.W.2d 119, 121 (1996)
  • Plugge v. McCuen, 310 Ark. 654, 841 S.W.2d 139 (1992)
  • Arkansas Women's Political Caucus v. Riviere, 283 Ark. 463, 466, 677 S.W.2d 846 (1984)
  • Pafford v. Hall, 217 Ark. 734, 739, 233 S.W.2d 72, 75 (1950)
  • Chaney v. Bryant, 259 Ark. 294, 297, 532 S.W.2d 741, 743 (1976)
  • Moore v. Hall, 229 Ark. 411, 316 S.W.2d 207 (1958)
  • May v. Daniels, 359 Ark. 100, 105, 194 S.W.3d 771, 776 (2004)
  • Becker v. Riviere, 270 Ark. 219, 226, 604 S.W.2d 555, 558 (1980)
  • Bailey v. McCuen, 318 Ark. 277, 285, 884 S.W.2d 938, 942 (1994)
  • Becker v. McCuen, 303 Ark. 482, 489, 798 S.W.2d 71, 74 (1990)
  • Christian Civic Action Committee v. McCuen, 318 Ark. 241, 245, 884 S.W.2d 605, 607 (1994)
  • Roberts v. Priest, 341 Ark. 813, 825, 20 S.W.3d 376, 383 (2000)
  • Prior AG ballot-title opinions on the same campaign: 2014-072 (rejected), 2013-118 and 2011-049 (certified), 2013-099, 2013-079, 2013-046, 2013-033, 2013-015, 2011-038, 2011-023 (rejected)

Source

Official summary

Request for certification of the popular name and ballot title of an initiated act proposed to legalize the medical use of cannabis (marijuana) in Arkansas, and other purposes. RESPONSE: Popular name certified as submitted; ballot title substituted and certified.

Original opinion text

STATE OF ARKANSAS
THE ATTORNEY GENERAL
DusnN McDANIEL
Opinion No. 2014-086
August 14, 2014
Melissa Fults, Campaign Director
Arkansans for Compassionate Care 2016
Post Office Box 420
Hensley, Arkansas 72065
Dear Mrs. Fults:
This is in response to your submission, on behalf of Arkansans for Compassionate
Care, for certification of the popular name and ballot title for a proposed initiated
act pursuant to A.C.A. § 7-9-107 (Repl. 2013). Several similar measures were
rejected due to ambiguities in the text of the proposed acts. See Op. Att'y Gen.
2014-072, 2013-099, 2013-079, 2013-046, 2013-033, 2013-015, 2011-038 and
2011-023. This office certified two of your proposed measures in Op. Att'y Gen.
2013-118 and 2011-049. You have made changes to the text of the measure and
resubmitted your previously proposed popular name and ballot title, as follows:
Popular Name
THE ARKANSAS MEDICAL CANNABIS ACT
Ballot Title
An act making the medical use of cannabis, commonly called
marijuana, legal under Arkansas state law, but acknowledging that
cannabis use, possession, and distribution for any purpose remain
illegal under federal law; establishing a system for the cultivation
and distribution of cannabis for qualifying patients through nonprofit
cannabis care centers and for the testing for quality, safety and
potency of cannabis through cannabis testing labs and granting those
nonprofit cannabis care centers and cannabis testing labs limited
323 CENTER STREET, SUITE 200. LITILE ROCK, ARKANSAS 72201
TELEPHONE (501) 682-2007 •FAX (501) 682-8084
INTERNET WEBSITE• http://www.ag.state.ar.us/ Melissa Fults, Campaign Director
Arkansans for Compassionate Care 2016
Opinion No. 2014-086
Page 2
immunity; allowing localities to limit the number of nonprofit
cannabis care centers and to enact zoning regulations governing their
operations; providing that qualifying patients, their designated
caregivers, cannabis testing lab agents and nonprofit cannabis care
center agents shall not be subject to criminal or civil penalties or
other forms of discrimination for engaging in or assisting with the
qualifying patients' medical use of cannabis or for testing and
labeling cannabis; allowing limited cultivation of cannabis by
qualifying patients and designated caregivers if the qualifying
patient and his or her designated caregiver lacks access to a
nonprofit cannabis care center and obtains a hardship cultivation
certificate from the Department of Health; allowing compensation
for designated caregivers; requiring that in order to become a
qualifying patient, a person submit to the state a written certification
from a physician that he or she is suffering from a qualifying
medical condition; establishing an initial list of qualifying medical
conditions; directing the Department of Health to establish rules
related to the processing of applications for registry identification
cards, hardship cultivation certificates, the operations of nonprofit
cannabis care centers and cannabis testing labs, and the addition of
qualifying medical conditions if such additions will enable patients
to derive therapeutic benefit from the medical use of cannabis;
setting maximum registration fees for nonprofit cannabis care
centers; directing the Department of Health to establish a system to
provide affordable cannabis from nonprofit cannabis care centers to
low income patients; establishing qualifications for registry
identification cards; establishing qualifications for hardship
cultivation certificates; establishing standards to ensure that
qualifying patient and designated caregiver registration information
is treated as confidential; directing the Department of Health to
provide the legislature annual quantitative reports about the Medical
Cannabis Program; setting certain limitations on the use of medical
cannabis by qualifying patients; establishing an affirmative defense
for the medical use of cannabis; establishing registration and
operation requirements for nonprofit cannabis care centers; setting
limits on the number of nonprofit cannabis care centers; setting
limits on the amount of cannabis a nonprofit cannabis care center Melissa Fults, Campaign Director
Arkansans for Compassionate Care 2016
Opinion No. 2014-086
Page 3
may cultivate and the amount of usable cannabis a nonprofit
cannabis care center may dispense to qualifying patient; prohibiting
certain conduct by and imposing certain conditions and requirements
on physicians, nonprofit cannabis care centers, nonprofit cannabis
care center agents, cannabis testing labs, cannabis testing lab agents,
qualifying patients, and designated caregivers; prohibiting felons
from serving as designated caregivers, owners, board members, or
officers of nonprofit cannabis care centers, nonprofit cannabis care
center agents, cannabis testing labs or cannabis testing lab agents;
allowing visiting qualifying patients suffering from qualifying
medical conditions to utilize the Arkansas Medical Cannabis
Program; and directing the sales tax revenues received from the sale
of cannabis to cover the costs to the Department of Health for
administering the Medical Cannabis Program and the remainder to
aid low income qualifying patients through the affordability clause.
The Attorney General is required, pursuant to A.C.A. § 7-9-107, to certify the
popular name and ballot title of all proposed initiative and referendum acts or
amendments before the petitions are circulated for signature. The law provides that
the Attorney General may substitute and certify a more suitable and correct
popular name and ballot title, if he can do so, or if the proposed popular name and
ballot title are sufficiently misleading, may reject the entire petition. Neither
certification nor rejection of a popular name and ballot title reflects my view
of the merits of the proposal. This Office has been given no authority to
consider the merits of any measure.
In this regard, A.C.A. § 7-9-107 neither requires nor authorizes this office to make
legal determinations concerning the merits of the act or amendment, or concerning
the likelihood that it will accomplish its stated objective. In addition, consistent
with Arkansas Supreme Court precedent, unless the measure is "clearly contrary to
law,''1 this office will not require that a measure's proponents acknowledge in the
ballot title any possible constitutional infirmities. As part of my review, however,
I may address constitutional concerns for consideration by the measure's
proponents.
1 See Kurrus v. Priest, 342 Ark. 434, 445, 29 S.W.3d 669, 675 (2000); Donovan v. Priest, 326 Ark. 353,
359,931S.W.2d119, 121 (1996);Pluggev. McCuen,3IOArk.654,841S.W.2d139(1992). Melissa Fults, Campaign Director
Arkansans for Compassionate Care 2016
Opinion No. 2014-086
Page 4
Consequently, this review has been limited primarily to a determination, pursuant
to the guidelines that have been set forth by the Arkansas Supreme Court,
discussed below, of whether the popular name and ballot title you have submitted
accurately and impartially summarize the provisions of your proposed amendment.
The purpose of my review and certification is to ensure that the popular
name and ballot title honestly, intelligibly, and fairly set forth the purpose of
the proposed amendment or act.2
The popular name is primarily a useful legislative device. 3 It need not contain
detailed information or include exceptions that might be required of a ballot title,
but it must not be misleading or give partisan coloring to the merit of the
proposal. 4 The popular name is to be considered together with the ballot title in
determining the ballot title's sufficiency.5
The ballot title must include an impartial summary of the proposed amendment or
act that will give the voter a fair understanding of the issues presented. 6 According
to the court, if information omitted from the ballot title is an "essential fact which
would give the voter serious ground for reflection, it must be disclosed."7 At the
same time, however, a ballot title must be brief and concise (see A.C.A. § 7-9-
107(b)); otherwise voters could run afoul of A.C.A. § 7-5-522's five minute limit
in voting booths when other voters are waiting in line. 8 The ballot title is not
required to be perfect, nor is it reasonable to expect the title to cover or anticipate
2 See Arkansas Women's Political Caucus v. Riviere, 283 Ark. 463, 466, 677 S.W.2d 846 (1984).
3 Paffordv. Hall, 217 Ark. 734, 739, 233 S.W.2d 72, 75 (1950).
4 E.g., Chaney v. Bryant, 259 Ark. 294, 297, 532 S.W.2d 741, 743 (1976); Moore v. Hall, 229
Ark. 411, 316 S.W.2d 207 (1958).
5 May v. Daniels, 359 Ark. 100, 105, 194 S.W.3d 771, 776 (2004).
6 Becker v. Riviere, 270 Ark. 219, 226, 604 S.W.2d 555, 558 (1980).
7 Bailey v. McCuen, 318 Ark. 277, 285, 884 S.W.2d 938, 942 (1994).
8 Id. at 288, 884 S.W.2d at 944. Melissa Fults, Campaign Director
Arkansans for Compassionate Care 2016
Opinion No. 2014-086
Page 5
every possible legal argument the proposed measure might evoke.9 The title,
however, must be free from any misleading tendency, whether by amplification,
omission, or fallacy; it must not be tinged with partisan coloring.10 The ballot title
must be honest and impartial, 11 and it must conve(z an intelligible idea of the scope
and significance of a proposed change in the law. 2
Furthermore, the Court has confirmed that a proposed amendment cannot be
approved if "[t]he text of the proposed amendment itself contribute[s] to the
confusion and disconnect between the language in the popular name and the ballot
title and the language in the proposed measure."13 The Court concluded that
"internal inconsistencies would inevitably lead to confusion in drafting a popular
name and ballot title and to confusion in the ballot title itself."14 Where the effects
of a proposed measure on current law are unclear or ambiguous, it is impossible
for me to perform my statutory duty to the satisfaction of the Arkansas Supreme
Court without clarification of the ambiguities.
Applying the above precepts, it is my conclusion that the popular name of your
proposal is adequate but that a more suitable, complete, and correct ballot title
should be substituted for that proposed. The following ballot title is hereby
certified in order to ensure that, when construed together, the popular name and
ballot title accurately set forth the purpose of the proposed amendment:
Ballot Title
An act making the medical use of cannabis, commonly called
marijuana, legal under Arkansas state law, but acknowledging that
9 Id. 293, 884 S.W.2d at 946-47.
10 Id. at 284, 884 S.W.2d at 942.
11 Becker v. McCuen, 303 Ark. 482, 489, 798 S.W.2d 71, 74 (1990).
12 Christian Civic Action Committee v. McCuen, 318 Ark. 241, 245, 884 S.W.2d 605, 607 (1994)
(internal quotations omitted).
13 Roberts v. Priest, 341 Ark. 813, 825, 20 S.W.3d 376, 383 (2000).
14 Id. Melissa Fults, Campaign Director
Arkansans for Compassionate Care 2016
Opinion No. 2014-086
Page 6
cannabis use, possession, and distribution for any purpose remain
illegal under federal law; establishing a system for the cultivation
and distribution of cannabis for qualifying patients through nonprofit
cannabis care centers and for the testing for quality, safety, and
potency of cannabis through cannabis testing labs; granting
nonprofit cannabis care centers and cannabis testing labs limited
immunity; allowing localities to limit the number of nonprofit
cannabis care centers and to enact zoning regulations governing their
operations; providing that qualifying patients, their designated
caregivers, cannabis testing lab agents, and nonprofit cannabis care
center agents shall not be subject to criminal or civil penalties or
other forms of discrimination for engaging in or assisting with
qualifying , patients' medical use of cannabis or for testing and
labeling cannabis; allowing limited cultivation of cannabis by
qualifying patients and designated caregivers if the qualifying
patient lives more than twenty (20) miles from a nonprofit cannabis
care center and obtains a hardship cultivation certificate from the
Department of Health; allowing compensation for designated
caregivers; requiring that in order to become a qualifying patient, a
person submit to the state a written certification from a physician
that he or she is suffering from a qualifying medical condition;
establishing an initial list of qualifying medical conditions; directing
the Department of Health to establish rules related to the processing
of applications for registry identification cards and hardship
cultivation certificates, the operations of nonprofit cannabis care
centers and cannabis testing labs, and the addition of qualifying
medical conditions if such additions will enable patients to derive
therapeutic benefit from the medical use of cannabis; setting
maximum application and renewal fees for nonprofit cannabis care
centers and cannabis testing labs; directing the Department of Health
to establish a system to provide affordable cannabis from nonprofit
cannabis care centers to low income patients; establishing
qualifications for registry identification cards; establishing
qualifications for hardship cultivation certificates; establishing
standards to ensure that qualifying patient and designated caregiver
registration information is treated as confidential; directing the
Department of Health to provide the legislature annual quantitative Melissa Fults, Campaign Director
Arkansans for Compassionate Care 2016
Opinion No. 2014-086
Page 7
reports about the medical cannabis program; setting certain
limitations on the use of medical cannabis by qualifying patients;
establishing an affirmative defense for the medical use of cannabis;
establishing registration and operation requirements for nonprofit
cannabis care centers and cannabis testing labs; setting limits on the
number of nonprofit cannabis care centers; setting limits on the
amount of cannabis a nonprofit cannabis care center may cultivate
and the amount of usable cannabis a nonprofit cannabis care center
may dispense to a qualifying patient; prohibiting certain conduct by
and imposing certain conditions and requirements on physicians,
nonprofit cannabis care centers, nonprofit cannabis care center
agents, cannabis testing labs, cannabis testing lab agents, qualifying
patients, and designated caregivers; prohibiting felons from serving
as designated caregivers, owners, board members, or officers of
nonprofit cannabis care centers or cannabis testing labs, nonprofit
cannabis care center agents, or cannabis testing lab agents; allowing
visiting qualifying patients suffering from qualifying medical
conditions to utilize the medical cannabis program; and prohibiting
special taxes on the sale of medical cannabis and directing the state
sales tax revenues received from the sale of cannabis to cover the
costs to the Department of Health for administering the medical
cannabis program and the remainder to aid low income qualifying
patients through the affordability clause.
In my view, the purpose of your proposed measure is sufficiently stated in the
above revised ballot title to satisfy this office's mandate under A.C.A. § 7-9-107.
I believe a cautionary note is warranted, however, due to the significance of the
subject matter undertaken and the complexity and far-reaching effects of the
proposal. You should be aware that according to my experience there is a direct
correlation between the length and complexity of initiated acts and their
susceptibility to a successful ballot title challenge. Any ambiguity in the text of a
measure could lead to a successful challenge. That is why I urge you, if you have
not already done so, to consult private counsel in order to be assured that the stated
purpose is accomplished by the text of your proposal.
Pursuant to A.C.A. § 7-9-108, instructions to canvassers and signers must precede
every petition, informing them of the privileges granted by the Constitution and of Melissa Fults, Campaign Director
Arkansans for Compassionate Care 2016
Opinion No. 2014-086
Page 8
the penalties imposed for violations of this act. Enclosed herewith, over the
signature of the Attorney General, are instructions that should be incorporated in
your petition prior to circulation.
Sincerely,

1-'

DUSTIN MCDANIEL
Attorney General
DM/cyh
Enclosures INSTRUCTIONS TO CANVAS SERS AND SIGNERS

  1. Amendment No. 7 to the Arkansas Constitution gives to the people of the State of
    Arkansas the power to propose legislation or constitutional amendments by initiative
    petition, and to order the referendum against any general act or any item of an
    appropriation bill, or measure passed by the General Assembly. The petition must be
    signed by eight percent (8%) of the legal voters in the case of proposed legislation, ten
    percent (10%) in the case of proposed constitutional amendments, and six percent (6%) in
    the case of a referendum. The proposed legislation or constitutional amendment must be
    submitted to the registered voters of the State at a regular election; referendum petitions
    may be referred to the people at special elections when fifteen percent (15%) of the
    registered voters petition for such special election. Any measure submitted to the people
    shall take effect and become a law when approved by a majority of the votes cast upon
    such measure.
  2. Only registered voters may sign. Printed names, dates of birth, residences, cities or
    towns of residences, and date of signing must be given as an aid to verification. The
    petition should contain only the signatures of voters residing in a single county.
  3. All signatures must be in the signers' own handwriting in the presence of the
    persons circulating the petition. If a petition signer requires assistance due to disability,
    another person may provide the signer's information and that person shall sign and print
    their name in the margin of the petition.
  4. Do not attach additional sheets to this petition unless such sheets contain the full
    language of the petition. Place as many names as possible on each petition. No additional
    signatures may be obtained after a petition has been filed until the Secretary of State
    determines the sufficiency of the petition.
  5. TO KNOWINGLY SIGN ANY NAME OTHER THAN YOUR OWN, TO
    KNOWINGLY SIGN YOUR NAME MORE THAN ONCE TO ANY PETITION, TO
    KNOWINGLY SIGN YOUR NAME WHEN YOU ARE NOT LEGALLY ENTITLED
    TO SIGN IT, TO KNOWINGLY PAY A PERSON ANY FORM OF COMPENSATION
    IN EXCHANGE FOR SIGNING A PETITION AS A PETITIONER, TO ACCEPT
    MONEY FOR OBTAINING SIGNATURES KNOWING THAT YOU ARE NOT
    INCLUDED ON THE SPONSOR'S LIST OF PAID CANVAS SERS ON FILE WITH
    THE SECRETARY OF STATE, TO KNOWINGLY AND FALSELY MISREPRESENT
    THE PURPOSE AND EFFECT OF THIS PETITION FOR THE PURPOSE OF
    CAUSING ANYONE TO SIGN IT, OR TO KNOWINGLY MAKE A FALSE
    STATEMENT ON A PETITION VERIFICATION FORM SHALL CONSTITUTE A
    CLASS "A" MISDEMEANOR AND SUBJECT THE OFFENDER TO A FINE OF UP
    TO $1,000.00 AND IMPRISONMENT FOR UP TO ONE (1) YEAR.
    The Attorney General is by law required to certify the sufficiency of the popular name
    and ballot title of all initiative or referendum petitions. This certification does not
    necessarily indicate the approval or disapproval of the contents thereof.
    DUSTIN McDANIEL
    Attorney General of the State of Arkansas 1 of 1 •Arkansas Medical Cannabis Act• 7/30/2016
    (POPULAR NAME)
    THE ARKANSAS MEDICAL CANNABIS ACT
    (BALLOT TITLE)
    AN ACT MAKING THE MEDICAL USE OF CANNABIS, COMMONLY CALLED MARIJUANA, LEGAL UNDER
    ARKANSAS STATE LAW, BUT ACKNOWLEDGING THAT CANNABIS USE, POSSESSION, AND DISTRIBUTION
    FOR ANY PURPOSE REMAIN ILLEGAL UNDER FEDERAL LAW; ESTABLISHING A SYSTEM FOR THE
    CULTIVATION AND DISTRIBUTION OF CANNABIS FOR QUALIFYING PATIENTS THROUGH NONPROFIT
    CANNABIS CARE CENTERS AND FOR THE TESTING FOR QUALITY, SAFETY AND POTENCY OF CANNABIS
    THROUGH CANNABIS TESTING LABS AND GRANTING THOSE NONPROFIT CANNABIS CARE CENTERS AND
    CANNABIS TESTING LABS LIMITED IMMUNITY; ALLOWING LOCALITIES TO LIMIT THE NUMBER OF
    NONPROFIT CANNABIS CARE CENTERS AND TO ENACT ZONING REGULATIONS GOVERNING THEIR
    OPERATIONS; PROVIDING THAT QUALIFYING PATIENTS, THEIR DESIGNATED CAREGIVERS, CANNABIS
    TESTING LAB AGENTS AND NONPROFIT CANNABIS CARE CENTER AGENTS SHALL NOT BE SUBJECT TO
    CRIMINAL OR CIVIL PENALTIES OR OTHER FORMS OF DISCRIMINATION FOR ENGAGING IN OR ASSISTING
    WITH THE QUALIFYING PATIENTS' MEDICAL USE OF CANNABIS OR FOR TESTING AND LABELING
    CANNABIS; ALLOWING LIMITED CULTIVATION OF CANNABIS BY QUALIFYING PATIENTS AND DESIGNATED
    CAREGIVERS IF THE QUALIFYING PATIENT AND HIS OR HER DESIGNATED CAREGIVER LACKS ACCESS TO
    A NONPROFIT CANNABIS CARE CENTER AND OBTAINS A HARDSHIP CULTIVATION CERTIFICATE FROM
    THE DEPARTMENT OF HEALTH; ALLOWING COMPENSATION FOR DESIGNATED CAREGIVERS; REQUIRING
    THAT IN ORDER TO BECOME A QUALIFYING PATIENT, A PERSON SUBMIT TO THE STATE A WRITIEN
    CERTIFICATION FROM A PHYSICIAN THAT HE OR SHE IS SUFFERING FROM A QUALIFYING MEDICAL
    CONDITION; ESTABLISHING AN INITIAL LIST OF QUALIFYING MEDICAL CONDITIONS; DIRECTING THE
    DEPARTMENT OF HEALTH TO ESTABLISH RULES RELATED TO THE PROCESSING OF APPLICATIONS FOR
    REGISTRY IDENTIFICATION CARDS, HARDSHIP CULTIVATION CERTIFICATES, THE OPERATIONS OF
    NONPROFIT CANNABIS CARE CENTERS AND CANNABIS TESTING LABS, AND THE ADDITION OF
    QUALIFYING MEDICAL CONDITIONS IF SUCH ADDITIONS WILL ENABLE PATIENTS TO DERIVE THERAPEUTIC
    BENEFIT FROM THE MEDICAL USE OF CANNABIS; SETTING MAXIMUM REGISTRATION FEES FOR
    NONPROFIT CANNABIS CARE CENTERS; DIRECTING THE DEPARTMENT OF HEALTH TO ESTABLISH A
    SYSTEM TO PROVIDE AFFORDABLE CANNABIS FROM NONPROFIT CANNABIS CARE CENTERS TO LOW
    INCOME PATIENTS; ESTABLISHING QUALIFICATIONS FOR REGISTRY IDENTIFICATION CARDS;
    ESTABLISHING QUALIFICATIONS FOR HARDSHIP CULTIVATION CERTIFICATES; ESTABLISHING STANDARDS
    TO ENSURE THAT QUALIFYING PATIENT AND DESIGNATED CAREGIVER REGISTRATION INFORMATION IS
    TREATED AS CONFIDENTIAL; DIRECTING THE DEPARTMENT OF HEALTH TO PROVIDE THE LEGISLATURE
    ANNUAL QUANTITATIVE REPORTS ABOUT THE MEDICAL CANNABIS PROGRAM; SETTING CERTAIN
    LIMITATIONS ON THE USE OF MEDICAL CANNABIS BY QUALIFYING PATIENTS; ESTABLISHING AN
    AFFIRMATIVE DEFENSE FOR THE MEDICAL USE OF CANNABIS; ESTABLISHING REGISTRATION AND
    OPERATION REQUIREMENTS FOR NONPROFIT CANNABIS CARE CENTERS; SETTING LIMITS ON THE
    NUMBER OF NONPROFIT CANNABIS CARE CENTERS; SETTING LIMITS ON THE AMOUNT OF CANNABIS A
    NONPROFIT CANNABIS CARE CENTER MAY CULTIVATE AND THE AMOUNT OF USABLE CANNABIS A
    NONPROFIT CANNABIS CARE CENTER MAY DISPENSE TO A QUALIFYING PATIENT; PROHIBITING CERTAIN
    CONDUCT BY AND IMPOSING CERTAIN CONDITIONS AND REQUIREMENTS ON PHYSICIANS, NONPROFIT
    CANNABIS CARE CENTERS, NONPROFIT CANNABIS CARE CENTER AGENTS, CANNABIS TESTING LABS,
    CANNABIS TESTING LAB AGENTS, QUALIFYING PATIENTS, AND DESIGNATED CAREGIVERS; PROHIBITING
    FELONS FROM SERVING AS DESIGNATED CAREGIVERS, OWNERS, BOARD MEMBERS, OR OFFICERS OF 2 of 2 •Arkansas Medical Cannabis Act· 7/30/2016
    NONPROFIT CANNABIS CARE CENTERS, NONPROFIT CANNABIS CARE CENTER AGENTS, CANNABIS
    TESTING LABS OR CANNABIS TESTING LAB AGENTS; ALLOWING VISITING QUALIFYING PATIENTS
    SUFFERING FROM QUALIFYING MEDICAL CONDITIONS TO UTILIZE THE ARKANSAS MEDICAL CANNABIS
    PROGRAM; AND DIRECTING THE SALES TAX REVENUES RECEIVED FROM THE SALE OF CANNABIS TO
    COVER THE COSTS TO THE DEPARTMENT OF HEAL TH FOR ADMINISTERING THE MEDICAL CANNABIS
    PROGRAM AND THE REMAINDER TO AID LOW INCOME QUALIFYING PATIENTS THROUGH THE
    AFFORDABILITY CLAUSE.
    "An Act to Establish the Arkansas Medical Cannabis Act."
    Be it enacted by the People of the State of Arkansas as follows:
    Amending Arkansas Code Title 20 to add an additional chapter to read: Chapter 65 - Medical Cannabis
    Subchapter 1 - Arkansas Medical Cannabis Act
    SECTION 101. Short title.
    This chapter shall be known and cited as "The Arkansas Medical Cannabis Act" (hereinafter "Act").
    SECTION 102. Definitions. As used in this chapter, unless the context otherwise requires:
    (a) "Assist" or "Assisting" means helping a Qualifying Patient make such Medical Use of Cannabis by enabling such
    medical use by any means herein authorized.
    (b) "Cannabis" commonly known as marijuana, means any part and any variety or species, or both, of the cannabis
    plant that contains tetrahydrocannabinol (THC) whether growing or not, the seeds of the plant, the resin extracted from
    any part of the plant, and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds,
    or resin. "Cannabis" does not include the mature stalks of the plant, fiber produced from the stalks, fiber, oil, or cake
    made from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the
    mature stalks (except the resin extracted from the mature stalks), nor the sterilized seed of the plant that is incapable
    of germination.
    (c) "Cannabis Testing Lab" means a facility where Cannabis is tested to insure safety, potency and quality of the
    product.
    (d) "Cannabis Testing Lab Agent" means an employee, supervisor, owner, or agent of a Cannabis Testing Lab who:
    ( 1) Is twenty-one (21) years of age or older;
    (2) Works at the Cannabis Testing Lab; and
    (3) Has registered with The Department pursuant to section 111.
    (e) "Cardholder" means a Qualifying Patient, a Designated Caregiver, Cannabis Testing Lab Agent or a Nonprofit
    Cannabis Care Center Agent.
    (f) "Designated Caregiver" means a person who is at least twenty-one (21) years of age who has agreed to Assist with
    a Qualifying Patient's Medical Use of Cannabis, including acquiring Usable Cannabis from a Nonprofit Cannabis Care
    Center and delivering it to the Qualifying Patient, and who has registered with The Department pursuant to subsection 3 of 3 ·Arkansas Medical Cannabis Act• 7/30/2016
    105(d). A Designated Caregiver may serve as a Designated Caregiver for no more than five (5) Qualifying Patients at
    a time. A person who has been found guilty or pleaded guilty or nolo contendere in a criminal proceeding, regardless
    of whether or not the adjudication of guilt or sentence is withheld by a court of this state, another state, or the federal
    government for any felony, shall not be a Designated Caregiver.
    (g) "Enclosed, Locked Facility" means a closet, room, greenhouse or other enclosed area equipped with locks or other
    security devices that permit access only by a Cardholder.
    (h) "Hardship Cultivation Certificate" means a document issued by The Department that identifies a location at the
    primary residence of a Qualifying Patient or Designated Caregiver that is approved for the Qualifying Patient or
    Designated Caregiver to cultivate Cannabis for the Qualifying Patient's Medical Use based on documentation of the
    Qualifying Patient's lack of access to a Nonprofit Cannabis Care Center. A person who has been found guilty or
    pleaded guilty or nolo contendere in a criminal proceeding, regardless of whether or not the adjudication of guilt or
    sentence is withheld by a court of this state, another state, or the federal government for any felony, shall not be
    permitted to obtain a Hardship Cultivation Certificate.
    (i) "Medical Use" means the acquisition, possession, preparation, use, delivery, transfer or transportation of Cannabis
    or paraphernalia relating to the administration of Cannabis to treat or alleviate a Qualifying Patient's Qualifying Medical
    Condition or symptoms associated with the Qualifying Patient's Qualifying Medical Condition.
    U) "Nonprofit Cannabis Care Center" means a not-for-profit entity that has registered with The Department pursuant to
    section 109, and performs any combination of the activities therein described.
    (k) "Nonprofit Cannabis Care Center Agent" means an employee, supervisor, volunteer, owner, or agent of a Nonprofit
    Cannabis Care Center who:
    ( 1) Is twenty-one (21) years of age or older;
    (2) Works at the Nonprofit Cannabis Care Center; and
    (3) Has registered with The Department pursuant to section 109.
    (I) "Physician" means a doctor of medicine who holds a valid and existing license to practice medicine pursuant to
    Arkansas Code Title 17, Chapter 95 or its successor; or a doctor of osteopathic medicine who holds a valid and
    existing license pursuant to Arkansas Code Title 17, Chapter 91 or its successor, and has been issued a registration
    from the United States Drug Enforcement Administration to prescribe controlled substances.
    (m) "Qualifying Medical Condition" means one (1) or more of the following:
    (1) Adiposis Dolorosa (Dercum's Disease); Alzheimer's Disease or the agitation thereof; Amyotrophic Lateral
    Sclerosis (ALS); Anorexia; Arnold-Chiari Malformation; Arthritis; Asthma; Attention Deficit Disorder/Attention Deficit
    Hyperactivity Disorder (ADD/ADHD); Autism; Bipolar Disorder; Bulimia; Cancer; Causalgia; Chronic Inflammatory
    Demyelinating Polyneuropathy (CIDP); Chronic Insomnia; Chronic Obstructive Pulmonary Disease (COPD); Complex
    regional pain syndrome (CRPS)-Types I and II; Crohn's Disease; Dystonia; Emphysema; Fibrous Dysplasia;
    Fibromyalgia; General Anxiety Disorder; Glaucoma; Hepatitis C; Positive Status for Human Immunodeficiency Virus
    and/or Acquired Immune Deficiency Syndrome (HIV/AIDS); Hydrocephalus; Hydromyelia; Interstitial Cystitis; Lupus;
    Migraines; Myasthenia Gravis; Myoclonus; Nail-Patella Syndrome; Neurofibromatosis; Parkinson's Disease; Posterior
    Lateral Sclerosis(PLS); Post-Concussion Syndrome; Post Traumatic Stress Disorder (PTSD); Reflex Sympathetic
    Dystrophy (RSD); Residual Limb and Phantom Pain; Restless Leg Syndrome (RLS); Sjogren's Syndrome; 4 of 4 • Arkansas Medical Cannabis Act • 7 /30/2016
    Spinocerebellar Ataxia (SCA); Spinal Cord Injury and/or disease (including but not limited to Arachnoiditis);
    Syringomelia; Tarlov Cysts; Tourette's Syndrome; Traumatic Brain Injury; Ulcerative Colitis; or the treatment of any of
    these conditions.
    (2) A chronic or debilitating disease or medical condition or its treatment that produces one or more of the
    following: cachexia or Wasting Syndrome; peripheral neuropathy; intractable pain, which is pain that has not
    responded to ordinary medications, treatment, or surgical measures for more than three (3) months; severe nausea;
    seizures, including those characteristic of Epilepsy; or severe and persistent muscle spasms, including those
    characteristic of Multiple Sclerosis; or
    (3) Any other medical condition or its treatment approved by The Department as provided for in subsection
    104(i).
    (n) "Qualifying Patient" means a person who has been diagnosed by a Physician as having a Qualifying Medical
    Condition, and who has registered with The Department pursuant to subsection 105(a).
    (o) "Registry Identification Card" means a document issued by The Department that identifies a person as a Qualifying
    Patient, Designated Caregiver, Cannabis Testing Lab Agent, or a Nonprofit Cannabis Care Center Agent.
    (p) "The Department" means The Arkansas Department of Health or its successor.
    (q) "Usable Cannabis," means all Cannabis except seeds and growing plants, but does not include the weight of any
    ingredients other than Cannabis that are combined with Cannabis and prepared for consumption as food or drink, oils,
    tinctures, lotions or salves.
    (r) "Visiting Qualifying Patient" means a patient with a Qualifying Medical Condition who is not a resident of Arkansas
    or who has been a resident of Arkansas for less than thirty (30) days, and who is in actual possession of a Registry
    Identification Card, or its equivalent, that is issued under the laws of another state, district, territory, commonwealth or
    insular possession of the United States, and pertains to a Qualifying Medical Condition under this section.
    (s) 'Written Certification" means a document signed by a Physician stating that in the Physician's professional opinion,
    after having completed a full assessment of the Qualifying Patient's medical history and current medical condition
    made in the course of a bona fide Physician-patient relationship, the Qualifying Patient has a Qualifying Medical
    Condition and the potential benefits of the Medical Use of Cannabis would likely outweigh the health risks for the
    Qualifying Patient. A Written Certification shall specify the Qualifying Patient's Qualifying Medical Condition, which also
    shall be noted in the Qualifying Patient's medical records.
    SECTION 103. Protections for the Medical Use of Cannabis
    (a) Qualifying Patient. A Qualifying Patient in actual possession of a Registry Identification Card shall not be subject to
    arrest, prosecution or penalty in any manner or denied any right or privilege, including but not limited to a civil penalty
    or disciplinary action by a business or occupational or professional licensing board or bureau, for Medical Use of
    Cannabis in accordance with this chapter as long as the Qualifying Patient possesses an amount of Cannabis that:
    (1) Is not more than two and one-half (2 %) ounces of Usable Cannabis; and
    (2) If the Qualifying Patient has a Hardship Cultivation Certificate, does not exceed ten (10) Cannabis plants,
    only of which five (5) may be greater than twelve (12) inches in height or diameter. The Cannabis plants must be kept
    in an Enclosed, Locked Facility unless they are being transported because the Qualifying Patient is moving, or they S of S •Arkansas Medical Cannabis Act• 7/30/2016
    are being transported to the Qualifying Patient's property. In addition to the Cannabis plants, the Qualifying Patient
    may possess harvested Cannabis in varying stages of processing in excess of the amount allowed under subdivision
    (a)( 1) of this subsection in order to ensure the Qualifying Patient is able to maintain a sufficient supply to meet his or
    her personal medical needs. The harvested Cannabis must be kept in the Enclosed, Locked Facility where the
    Cannabis plants were grown.
    (b) Designated Caregiver. A Designated Caregiver in actual possession of a Registry Identification Card shall not be
    subject to arrest, prosecution or penalty in any manner or denied any right or privilege, including but not limited to a
    civil penalty or disciplinary action by a business or occupational or professional licensing board or bureau, for Assisting
    a Qualifying Patient to whom the Designated Caregiver is connected through The Department's registration process
    with the Medical Use of Cannabis in accordance with this chapter, as long as the Designated Caregiver possesses an
    amount of Cannabis that:
    (1) Is not more than two and one-half ( 2%) ounces of Usable Cannabis for each Qualifying Patient to whom
    the Designated Caregiver is connected through The Department's registration process; and
    (2) For each Qualifying Patient who has a Hardship Cultivation Certification and who has specified that the
    Designated Caregiver is allowed under state law to cultivate Cannabis for the Qualifying Patient, does not exceed ten
    (10) Cannabis plants, only of which five (5) may be greater than twelve (12) inches in height or diameter, provided in
    no circumstance shall the total number of plants exceed fifty (50). The Cannabis plants must be kept in an Enclosed,
    Locked Facility unless they are being transported because the Designated Caregiver is moving or they are being
    transported to a Qualifying Patient's property. In addition to the Cannabis plants, the Designated Caregiver may
    possess harvested Cannabis in varying stages of processing in excess of the amount allowed under subdivision (b)(1)
    of this subsection in order to ensure that each Qualifying Patient is able to maintain a sufficient supply to meet his or
    her personal medical needs. The harvested Cannabis must be kept in the Enclosed, Locked Facility where the
    Cannabis plants were grown.
    (c) Presumption.
    (1) A Qualifying Patient is presumed to be lawfully engaged in the Medical Use of Cannabis in accordance
    with this chapter if the Qualifying Patient is in actual possession of a Registry Identification Card and possesses an
    amount of Cannabis that does not exceed the amount allowed under this chapter.
    (2) A Designated Caregiver is presumed to be lawfully engaged in Assisting with the Medical Use of Cannabis
    in accordance with this chapter if the Designated Caregiver is in actual possession of a Registry Identification Card
    and possesses an amount of Cannabis that does not exceed the amount allowed under this chapter.
    (3) The presumption made in subdivisions 103(c)(1) and 103(c)(2) shall be rebutted by evidence that conduct
    related to Cannabis was not for the purpose of treating or alleviating the Qualifying Patient's Qualifying Medical
    Condition or symptoms associated with the Qualifying Medical Condition, in accordance with this chapter.
    (d) Cardholder not subject to arrest. A Cardholder shall not be subject to arrest, prosecution or penalty in any manner
    or denied any right or privilege, including but not limited to a civil penalty or disciplinary action by a business or
    occupational or professional licensing board or bureau, for giving an amount of Usable Cannabis the person is allowed
    to possess under subsections 103(a) or 103(b) to a Qualifying Patient or Designated Caregiver for the Qualifying
    Patient's Medical Use, when nothing of value is transferred in return or for offering to do the same.
    (e) Transfer of Cannabis 6 of 6 ·Arkansas Medical Cannabis Act• 7/30/2016
    (1) A Nonprofit Cannabis Care Center may accept Cannabis from other Nonprofit Cannabis Care Centers in
    Arkansas.
    (2) A Nonprofit Cannabis Care Center may transfer or sell Cannabis, to other Nonprofit Cannabis Care
    Centers, or Qualifying Patients with a Hardship Cultivation Certificate in Arkansas, or a Designated Caregiver for a
    Qualifying Patient with a Hardship Cultivation Certificate in Arkansas.
    (3) A Nonprofit Cannabis Care Center may transfer or sell Usable Cannabis to a Qualifying Patient without a
    Hardship Cultivation Certificate in Arkansas, or to a Designated Caregiver for a Qualifying Patient without a Hardship
    Cultivation Certificate in Arkansas.
    (4) A Nonprofit Cannabis Care Center may transfer Cannabis to and from a Cannabis Testing Lab.
    (5) A Nonprofit Cannabis Care Center may accept a donation of Cannabis without compensation from
    individuals and entities from jurisdictions outside of Arkansas who are allowed to cultivate Cannabis under the laws of
    their state of legal residency.
    (6) Individuals and entities from jurisdictions outside of Arkansas who are allowed to cultivate Cannabis under
    the laws of their state of legal residency shall not be subject to arrest, prosecution, or penalty, or denied any right or
    privilege for donating Cannabis to Nonprofit Cannabis Care Centers.
    (f) Discrimination
    (1) No school or landlord may refuse to enroll or lease to, or otherwise penalize, an individual solely for his or
    her status as a Qualifying Patient or a Designated Caregiver, unless failing to do so would put the school or landlord in
    violation of federal law or regulations.
    (2) For the purposes of medical care, including organ transplants, a Qualifying Patient's use of Cannabis in
    accordance with this chapter shall be considered the equivalent of the authorized use of any other medication used at
    the direction of a Physician, and shall not constitute the use of an illicit substance.
    (3) An employer shall not discriminate against an individual in hiring, termination, or any term or condition of
    employment, or otherwise penalize an individual, based upon the individual's past or present status as a Qualifying
    Patient or Designated Caregiver.
    (g) Person shall not be denied custody of or visitation with minor. A person otherwise entitled to custody of, or
    visitation or parenting time with, a minor shall not be denied custody, visitation or parenting time and there shall be no
    finding of abuse solely for conduct allowed under this chapter and there shall be no presumption of neglect or child
    endangerment for conduct allowed under this chapter, unless the individual's behavior is such that it creates an
    unreasonable danger to the safety or welfare of the minor that can be established by clear and convincing evidence.
    (h) A Designated Caregiver may receive reimbursement of costs or expenses, and reasonable compensation for time
    or services, associated with Assisting a Qualifying Patient's Medical Use of Cannabis as long as the Designated
    Caregiver is connected to the Qualifying Patient through The Department's registration process. Any such
    compensation does not constitute the sale of controlled substances.
    (i) Physician not subject to penalty. A Physician shall not be subject to arrest, prosecution or penalty in any manner or
    denied any right or privilege, including but not limited to a civil penalty or disciplinary action by the Arkansas State 7 of 7 •Arkansas Medical Cannabis Act• 7/30/2016
    Medical Board or by any other business, occupational or professional licensing board or bureau, solely for providing
    Written Certifications.
    U) Person not subject to penalty for providing Qualifying Patient or Designated Caregiver Cannabis paraphernalia. A
    person shall not be subject to arrest, prosecution or penalty in any manner or denied any right or privilege, including
    but not limited to a civil penalty or disciplinary action by a business or occupational or professional licensing board or
    bureau, for providing a Qualifying Patient or a Designated Caregiver with Cannabis paraphernalia for purposes of
    facilitating a Qualifying Patient's Medical Use of Cannabis.
    (k) Any Cannabis, Cannabis paraphernalia, licit property or interest in licit property that is possessed, owned, or used
    in connection with the Medical Use of Cannabis, as allowed under this chapter, or property incidental to such use,
    shall not be seized or forfeited.
    (I) Person not subject to penalty for being in presence of Medical Use of Cannabis. A person shall not be subject to
    arrest, prosecution or penalty in any manner or denied any right or privilege, including but not limited to a civil penalty
    or disciplinary action by a business or occupational or professional licensing board or bureau, simply for being in the
    presence or vicinity of the Medical Use of Cannabis as allowed under this chapter or for directly Assisting a physically
    disabled Qualifying Patient with using or administering Cannabis.
    (m) Effect of Registry Identification Card issued by another jurisdiction. A Registry Identification Card, or its equivalent,
    that is issued under the laws of another state, district, territory, commonwealth or insular possession of the United
    States that allows, in the jurisdiction of issuance a Visiting Qualifying Patient to possess Usable Cannabis for Medical
    Use, shall have the same force and effect as a Registry Identification Card issued by The Department, provided that
    the same Qualifying Medical Condition as defined in subsection 102(m) exists. In order to purchase Usable Cannabis
    from a Nonprofit Cannabis Care Center, a Visiting Qualifying Patient must be issued a thirty (30) day temporary
    Registry Identification Card from The Department.
    SECTION 104. Rules
    (a) Rule making power. The Department shall adopt rules to carry out the purposes of this chapter. Rules adopted
    pursuant to this Act are rules as defined in Arkansas Code§ 25-15-201 et seq., the Arkansas Administrative
    Procedure Act.
    (b) Registry Identification Cards. Not later than one hundred twenty (120) days after the effective date of this chapter,
    The Department shall adopt rules governing the manner in which it considers applications for and renewals of Registry
    Identification Cards. The Department's rules must establish application and renewal fees not to exceed fifty dollars
    ($50.00) per year. Temporary Registry Identification Cards must not exceed ten dollars ($10). The Department shall
    establish a sliding scale of application and renewal fees based upon a Qualifying Patient's family income. The
    Department may accept donations from private sources in order to reduce the application and renewal fees.
    (c) Hardship Cultivation Certificates. Not later than one (1) year after the effective date of this chapter, The
    Department shall adopt rules governing the manner in which it considers applications for and renewals of Hardship
    Cultivation Certificates. The Department's rules must establish application and renewal fees not to exceed one
    hundred dollars ($100) per year. The Department shall establish a sliding scale of application and renewal fees based
    upon a Qualifying Patient's family income. The Department may accept donations from private sources in order to
    reduce the application and renewal fees. 8 of 8 •Arkansas Medical Cannabis Act• 7/30/2016
    (d) Nonprofit Cannabis Care Centers. Not later than one hundred twenty (120) days after the effective date of this
    chapter, The Department shall adopt rules with the goal of protecting against diversion and theft, without imposing an
    undue burden on the registered Nonprofit Cannabis Care Centers or compromising the confidentiality of Qualifying
    Patients or their Designated Caregivers, including rules governing:
    (1) The manner in which it considers applications for and renewals of registration certificates for Nonprofit
    Cannabis Care Centers;
    (2) The form and content of registration and renewal applications;
    (3) Oversight requirements for Nonprofit Cannabis Care Centers;
    (4) Record-keeping requirements for Nonprofit Cannabis Care Centers;
    (5) Security requirements for Nonprofit Cannabis Care Centers which shall include lighting, physical security,
    alarm requirements, and measures to prevent loitering;
    (6) Sanitary requirements for Nonprofit Cannabis Care Centers;
    (7) Electrical safety requirements for Nonprofit Cannabis Care Centers;
    (8) The specification of acceptable forms of picture identification that a Nonprofit Cannabis Care Center may
    accept;
    (9) Personnel requirements including how many volunteers a Nonprofit Cannabis Care Center is permitted to
    have and requirements for supervision;
    (10) Labeling standards for Usable Cannabis distributed to Qualifying Patients;
    (11) Procedures for suspending or terminating the registration of Nonprofit Cannabis Care Centers that violate
    the provisions of this section or the rules adopted pursuant to this section, procedures for appealing penalties, and a
    schedule of penalties;
    (12) Procedures for inspections and investigations of Nonprofit Cannabis Care Centers;
    (13) Advertising restrictions for Nonprofit Cannabis Care Centers;
    (14) Permissible hours of operation for Nonprofit Cannabis Care Center sales; and
    (15) Such other matters as are necessary for the fair, impartial, stringent, and comprehensive administration of
    this chapter.
    (e) Application and renewal fees for Nonprofit Cannabis Care Centers. Not later than one hundred twenty (120) days
    after the effective date of this chapter, The Department shall adopt rules establishing application and renewal fees for
    Nonprofit Cannabis Care Center registration certificates, according to the following:
    (1) Nonprofit Cannabis Care Center application fees shall not exceed five thousand dollars ($5,000);
    (2) Nonprofit Cannabis Care Center renewal fees shall not exceed one thousand dollars ($1,000). 9 of 9 • Arkansas Medical Cannabis Act• 7/30/2016
    (f) Cannabis Testing Labs. Not later than one hundred twenty (120) days after the effective date of this chapter, The
    Department shall adopt rules with the goal of protecting against diversion and theft, without imposing an undue burden
    on the registered Cannabis Testing Lab or compromising the confidentiality of Cannabis Testing Lab Records,
    including rules governing:
    (1) The manner in which it considers applications for and renewals of registration certificates for Cannabis
    Testing Labs;
    (2) The form and content of registration and renewal applications;
    (3) Oversight requirements for Cannabis Testing Labs;
    (4) Record-keeping requirements for Cannabis Testing Labs;
    (5) Security requirements for Cannabis Testing Labs which shall include lighting, physical security, alarm
    requirements, and measures to prevent loitering;
    (6) Sanitary requirements for Cannabis Testing Labs;
    (7) Electrical safety requirements for Cannabis Testing Labs;
    (8) Labeling standards for Usable Cannabis distributed to Qualifying Patients;
    (9) Procedures for suspending or terminating the registration of Cannabis Testing Labs that violate the
    provisions of this section or the rules adopted pursuant to this section, procedures for appealing penalties, and a
    schedule of penalties;
    (10) Procedures for inspections and investigations of Cannabis Testing Labs;
    ( 11) Such other matters as are necessary for the fair, impartial, stringent, and comprehensive administration
    of this chapter.
    (g) Application and renewal fees for Cannabis Testing Labs. Not later than one hundred twenty (120) days after the
    effective date of this chapter, The Department shall adopt rules establishing application and renewal fees for Cannabis
    Testing Lab registration certificates, according to the following:
    (1) Cannabis Testing Lab application fees shall not exceed one thousand dollars ($1,000).
    (2) Cannabis Testing Lab renewal fees shall not exceed two hundred fifty dollars ($250).
    (h) Affordable dispensing. Not later than one hundred eighty (180) days after the effective date of this chapter, The
    Department shall adopt rules establishing a system to provide for the safe and affordable dispensing of Usable
    Cannabis to Qualifying Patients who are unable to afford a sufficient supply of Usable Cannabis based upon the
    Qualifying Patient's income and existing financial resources that:
    (1) Allows Qualifying Patients to apply to The Department to be eligible to purchase Usable Cannabis on a
    sliding scale from Nonprofit Cannabis Care Centers; 10 of 10 ·Arkansas Medical Cannabis Act• 7/30/2016
    (2) Requires any remaining sales tax revenue made pursuant to subdivision 117 ( c) to be used to provide
    Usable Cannabis on the sliding scale to Qualifying Patients determined to be eligible pursuant to subdivision (h)(1) of
    this subsection; and
    (3) Requires each Nonprofit Cannabis Care Center to devote a maximum of 1 % percent of its gross revenue,
    as determined by The Department, to providing Usable Cannabis on the sliding scale to Qualifying Patients
    determined to be eligible pursuant to subdivision (h)(1) of this subsection.
    (i) Adding Qualifying Medical Conditions. Not later than one hundred twenty (120) days after the effective date of this
    chapter, The Department shall adopt rules that govern the manner in which The Department shall consider petitions
    from the public to add medical conditions or treatments to the list of Qualifying Medical Conditions set forth in
    subsection 102(m).
    (1) In considering such petitions, The Department shall include public notice of, and an opportunity to
    comment in a public hearing upon, such petitions.
    (2) In considering such petitions, The Department shall add medical conditions or treatments to the list of
    Qualifying Medical Conditions set forth in subsection 102(m) if patients suffering from the medical conditions or
    undergoing the treatments in question would derive therapeutic benefit from the use of Cannabis, taking into account
    the positive and negative health effects of such use. The Department shall consider published studies in peer-
    reviewed journals, Physician testimony, and public comments made pursuant to subdivision 104(i)(1) in making such
    determination.
    (3) The Department shall approve or deny such petitions within sixty (60) days of their submission. The
    approval or denial of such a petition constitutes final agency action, subject to judicial review, and jurisdiction for
    judicial review is vested in the Circuit Court of Pulaski County.
    SECTION 105. Registry Identification Cards
    (a) Application for Registry Identification Card and qualifications. The Department shall issue Registry Identification
    Cards to Qualifying Patients who submit, in accordance with The Department's rules:
    (1) Written Certification;
    (2) Application or renewal fee;
    (3) Name, address and date of birth of the Qualifying Patient, except that if the applicant is homeless, no
    address is required;
    (4) Name, address and telephone number of the Qualifying Patient's Physician;
    (5) Name, street address and date of birth of the Qualifying Patient's Designated Caregiver, if any;
    (6) Name and address of the Nonprofit Cannabis Care Center that the Qualifying Patient designates, if any. A
    Qualifying Patient shall designate only one Nonprofit Cannabis Care Center at a time; or
    (7) A Qualifying Patient that obtains a Hardship Cultivation Certificate shall designate that the Qualifying
    Patient or the Qualifying Patient's Designated Caregiver will grow Cannabis for the Qualifying Patient's Medical Use; 11of11 •Arkansas Medical Cannabis Act• 7/30/2016
    (8) A signed statement from the Qualifying Patient pledging not to divert Cannabis to anyone who is not
    allowed to possess Cannabis pursuant to this chapter; and
    (9) A signed statement from the Designated Caregiver, if any, agreeing to be the Qualifying Patient's
    Designated Caregiver and pledging not to divert Cannabis to anyone who is not allowed to possess Cannabis
    pursuant to this chapter.
    (b) Issuing Registry Identification Card to minor. The Department shall not issue a Registry Identification Card to a
    Qualifying Patient who is under eighteen (18) years of age unless:
    (1) The Qualifying Patient's Physician has explained the potential risks and benefits of the Medical Use of
    Cannabis to the Qualifying Patient and to a parent, guardian or person having legal custody of the Qualifying Patient;
    and
    (2) A parent, guardian or person having legal custody consents in writing to:
    (A) Allow the Qualifying Patient's Medical Use of Cannabis;
    (B) Serve as the Qualifying Patient's Designated Caregivers; and
    (C) Control the acquisition of the Cannabis and the dosage and frequency of the Medical Use of
    Cannabis by the Qualifying Patient.
    (c) Department approval or denial. The Department shall verify the information contained in an application or renewal
    submitted pursuant to this section and shall approve or deny an application or renewal within fourteen (14) days of
    receiving it. The Department may deny an application or renewal only if the applicant did not provide the information
    required pursuant to this section, the applicant previously had a Registry Identification Card revoked, The Department
    determines that the information provided was falsified, or The Department determines the Written Certification was not
    made in the context of a bona fide Physician-patient relationship. Rejection of an application or renewal is considered
    a final agency action, subject to judicial review, and jurisdiction is vested in the Circuit Court of Pulaski County.
    (d} Designated Caregiver Registry Identification Card. The Department shall issue a Registry Identification Card to the
    Designated Caregiver, if any, who is named in a Qualifying Patient's approved application pursuant to subsection
    105(a) of this section. A person who has been found guilty or pleaded guilty or nolo contendere in a criminal
    proceeding, regardless of whether or not the adjudication of guilt or sentence is withheld by a court of this state,
    another state, or the federal government for any felony, shall not be a Designated Caregiver and shall not be issued a
    Designated Caregiver Registry Identification Card. The Department shall conduct a background check of each
    prospective Designated Caregiver in order to carry out this subsection.
    (e) Registry Identification Card issuance. The Department shall issue Registry Identification Cards to Qualifying
    Patients and Designated Caregivers within five (5) days of approving an application or renewal under this section.
    (1) Registry Identification Cards expire one (1) year after the date of issuance, unless the Physician states in
    the Written Certification that he believes the Qualifying Patient would benefit from the Medical Use of Cannabis only
    until a specified earlier date, then the Registry Identification Card shall expire on that date.
    (2) In the case of Qualifying Patients and Designated Caregivers, Registry Identification Cards shall contain:
    (A) The name, address and date of birth of the Qualifying Patient; 12 of 12 •Arkansas Medical Cannabis Act• 7/30/2016
    (B) The name, address and date of birth of the Qualifying Patient's Designated Caregiver, if any;
    (C) The date of issuance and expiration date of the Registry Identification Card;
    (D) A random, 10-digit alphanumeric identification number that is unique to the Qualifying Patient or
    Designated Caregiver;
    (E) A photograph, if The Department decides to require one; and
    (F) A clear designation showing whether the Qualifying Patient or Designated Caregiver will be
    allowed under state law to cultivate Cannabis plants for the Qualifying Patient's Medical Use.
    (f) Notification of changes in status or loss of card. This subsection governs notification of changes in status or the loss
    of a Registry Identification Card.
    (1) A Qualifying Patient shall notify The Department within fifteen (15) days of any change in the Qualifying
    Patient's name, address, Designated Caregiver or preference regarding who may cultivate Cannabis for the Qualifying
    Patient or if the Qualifying Patient ceases to have a Qualifying Medical Condition.
    (2) A Nonprofit Cannabis Care Center shall notify The Department within fifteen (15) days of any change in the
    name or address of a Nonprofit Cannabis Care Center Agent issued a Registry Identification Card in accordance with
    subsection 109(g).
    (3) A Qualifying Patient or a Nonprofit Cannabis Care Center who fails to notify The Department as required
    under subdivisions 105(f)( 1) or 105(f)(2) commits a civil violation for which a penalty of not more than one hundred fifty
    dollars ($150) may be adjudged and collected by The Department.
    (4) If the Qualifying Patient's certifying Physician notifies The Department in writing that the Qualifying Patient
    has ceased to suffer from a Qualifying Medical Condition, the Qualifying Patient's Registry Identification Card becomes
    void upon notification by The Department to the Qualifying Patient.
    (5) A Designated Caregiver, Cannabis Testing Lab, or Nonprofit Cannabis Care Center shall notify The
    Department of any change in the Designated Caregiver's, Cannabis Testing Lab's, or Nonprofit Cannabis Care
    Center's name or address within ten (10) days of such change. A Designated Caregiver, Cannabis Testing Lab, or
    Nonprofit Cannabis Care Center who fails to notify The Department of any of these changes commits a civil violation
    for which a penalty of not more than one hundred fifty dollars ($150) may be adjudged and collected by The
    Department.
    (6) When a Qualifying Patient or Designated Caregiver notifies The Department of any changes listed in this
    subsection, The Department shall issue the Qualifying Patient and the Designated Caregiver a new Registry
    Identification Card within ten (10) days of receiving the updated information and a ten dollar ($10.00) fee.
    (7) When a Qualifying Patient changes the Qualifying Patient's Designated Caregiver, The Department shall
    notify the previous Designated Caregiver within ten (10) days. The previous Designated Caregiver's protections as
    provided in this chapter expire ten (10) days after notification by The Department.
    (8) If a Cardholder loses the Cardholder's Registry Identification Card, the Cardholder shall notify The
    Department and submit a ten dollar ($10.00) fee within ten (10) days of losing the card. Within five (5) days after such
    notification, The Department shall issue a new Registry Identification Card with a new random identification number. 13 of 13 ·Arkansas Medical Cannabis Act• 7/30/2016
    (g) Confidentiality.
    (1) Applications and supporting information submitted by Qualifying Patients and Designated Caregivers under
    this chapter, including information regarding Designated Caregivers and Physicians, shall be treated as a confidential
    medical record.
    (2) The Department shall maintain a confidential list of the persons to whom The Department has issued
    Registry Identification Cards and Hardship Cultivation Certificates. Individual names and other identifying information
    on the list are confidential, exempt from the Arkansas Freedom of Information Act of 1967, Arkansas Code§ 25-19-
    101 et seq., and not subject to disclosure except to authorized employees of The Department as necessary to perform
    official duties of The Department.
    (3) The Department shall verify to law enforcement personnel whether a Registry Identification Card or
    Hardship Cultivation Certificate is valid without disclosing more information than is reasonably necessary to verify the
    authenticity of the Registry Identification Card or Hardship Cultivation Certificate.
    (4) A person, including an employee or official of The Department or another state agency or local
    government, who breaches the confidentiality of information obtained pursuant to this chapter commits a Class A
    misdemeanor. However, employees of The Department shall notify law enforcement about falsified or fraudulent
    information submitted to The Department as long as the employee who suspects that falsified or fraudulent information
    has been submitted confers with the employee's supervisor and both agree that circumstances exist that warrant
    reporting.
    (h) Card holder who sells Cannabis to person not allowed to possess. Any Cardholder who transfers Cannabis to a
    person who is not a Cardholder under this chapter shall have his Registry Identification Card and Hardship Cultivation
    Certificate revoked and shall be subject to any other penalties established by law for unlawful transfer of a controlled
    substance. The Department shall revoke the Registry Identification Card or Hardship Cultivation Certificate of any
    Cardholder who violates any provision of this chapter, and the Cardholder is subject to any other penalties established
    in law for the violation.
    (i) Annual report. The Department shall submit to the Legislature an annual report that does not disclose any
    identifying information about Cardholders or Physicians, but does contain, at a minimum:
    (1) The number of applications and renewals filed for Registry Identification Cards;
    (2) The number of Qualifying Patients and Designated Caregivers approved in each county;
    (3) The number of applications and renewals for Hardship Cultivation Certificates;
    (4) The number of Hardship Cultivation Certificates approved in each county;
    (5) The nature of the Qualifying Medical Conditions of the Qualifying Patients;
    (6) The number of Registry Identification Cards revoked;
    (7) The number of Physicians providing Written Certifications for Qualifying Patients;
    (8) The number of registered Nonprofit Cannabis Care Centers;
    (9) The number of Nonprofit Cannabis Care Center Agents; 14 of 14 ·Arkansas Medical Cannabis Act• 7/30/2016
    (10) The number of Cannabis Testing Labs; and
    (11) The number of Cannabis Testing Lab Agents.
    SECTION 106. Hardship Cultivation Certificates
    (a) Application for Hardship Cultivation Certificates and qualifications. The Department shall issue Hardship Cultivation
    Certificates to Qualifying Patients who, in accordance with rules issued by The Department, submit
    ( 1) A written explanation and supporting documentation of the Qualifying Patient's need for a Hardship
    Cultivation Certificate based on a lack of a Nonprofit Cannabis Care Center within twenty (20) miles of the Qualifying
    Patient's residence;
    (2) An application or renewal fee;
    (3) A copy of the Qualifying Patient's Registry Identification Card;
    (4) The address and description of the single location that shall be used for the cultivation of Cannabis, which
    shall be either the primary residence of the Qualifying Patient or the Designated Caregiver; and
    (5) Any other information required by The Department.
    (b) Department approval or denial. The Department shall verify the information contained in an application or renewal
    submitted pursuant to this section and shall approve or deny an application or renewal within thirty (30) days of
    receiving it. The Department may deny an application or renewal only if the applicant did not provide the information
    required pursuant to this section, the applicant previously had a Hardship Cultivation Certificate revoked, The
    Department determines that the Qualifying Patient does not have a verified hardship and is within twenty (20) miles of
    a registered Nonprofit Cannabis Care Center, or The Department determines that the information provided was
    falsified. Rejection of an application or renewal is considered a final agency action, subject to judicial review, and
    jurisdiction is vested in the Circuit Court of Pulaski County.
    (c) Hardship Cultivation Certificate issuance. The Department shall issue Hardship Cultivation Certificates to
    Qualifying Patients within five (5) days of approving an application or renewal under this section. Hardship Cultivation
    Certificates expire one (1) year after the date of issuance.
    (d) Notification of changes in status. This subsection governs notification of changes in status.
    (1) A Qualifying Patient shall notify The Department within fifteen (15) days if the Qualifying Patient ceases to
    have the hardship which qualified the Qualifying Patient for a Hardship Cultivation Certificate under subdivision
    106(a)(1 ).
    (2) The Hardship Cultivation Certificate becomes void 120 days after receipt by The Department that the
    Qualifying Patient ceases to have a qualifying hardship or at the expiration date, whichever comes first.
    (e) Location of cultivation. This subsection governs the location of cultivation.
    ( 1) A Qualifying Patient with a Hardship Cultivation Certificate shall only cultivate Cannabis at the location
    specified in the application and approved by The Department. 15of15 •Arkansas Medical Cannabis Act· 7/30/2016
    (2) The Hardship Cultivation Certificate must be displayed and clearly visible at the location where Cannabis is
    cultivated.
    (3) At any given location, cultivation shall occur pursuant to only one (1) Hardship Cultivation Certificate unless
    it is the primary residence of more than one (1) Qualifying Patient for whom The Department has approved a Hardship
    Cultivation Certificate for that location or it is the primary residence of a Designated Caregiver who is the Designated
    Caregiver for more than one (1) Qualifying Patient for whom The Department has approved a Hardship Cultivation
    Certificate for that location.
    (4) Cannabis cultivation and storage of Cannabis produced by the cultivation shall be in an Enclosed, Locked
    Facility.
    (f) Inspection of cultivation. The Department shall inspect and search the location of cultivation specified in a Hardship
    Cultivation Certificate during normal business hours.
    (g) Felony exclusion. The Department shall not issue a Hardship Cultivation Certificate to any Qualifying Patient or
    Designated Caregiver who has been found guilty or pleaded guilty or nolo contendere in a criminal proceeding,
    regardless of whether or not the adjudication of guilt or sentence is withheld by a court of this state, another state, or
    the federal government for any felony. The Department shall conduct a background check of each prospective
    Hardship Cultivation Certificate applicant in order to carry out this subsection. The Department shall notify the
    Qualifying Patient or Designated Caregiver in writing of the reason for denying the Hardship Cultivation Certificate.
    SECTION 107. Scope
    (a) Limitations. This chapter does not permit any person to:
    ( 1) Undertake any task under the influence of Cannabis when doing so would constitute negligence or
    professional malpractice;
    (2) Possess, smoke, or otherwise engage in the Medical Use of Cannabis:
    (A) In a school bus;
    (B) On the grounds of any daycare center, preschool, or primary or secondary school;
    (C) At a drug or alcohol treatment facility;
    (D) At a skating rink, Boys Club, Girls Club, YMCA, YWCA, or any similar community or recreation
    center;
    (E) In any correctional facility;
    (F) On any form of public transportation; or
    (G) In any public place;
    (3) Operate, navigate or be in actual physical control of any motor vehicle, aircraft, motorized watercraft or any
    other vehicle drawn by power other than muscular power while under the influence of Cannabis; or
    (4) Use Cannabis if that person does not have a Qualifying Medical Condition. 16 of 16 ·Arkansas Medical Cannabis Act• 7/30/2016
    (b) Construction. This chapter shall not be construed to require:
    (1) A government medical assistance program or private health insurer to reimburse a person for costs
    associated with the Medical Use of Cannabis;
    (2) An employer to accommodate the ingestion of Cannabis in any workplace or any employee working while
    under the influence of Cannabis;
    (3) Any individual or establishment in lawful possession of property to allow a guest, client, customer, or other
    visitor to use Cannabis on or in that property; or
    (4) A landlord to permit a Qualifying Patient to smoke Cannabis on any or in any leased property, except that a
    landlord shall not prohibit the Medical Use of Cannabis on leased property by a Qualifying Patient through means
    other than smoking, including but not limited to the ingestion of medical Cannabis or the inhalation through
    vaporization, as long as the tenant in possession of the property provides permission to the Qualifying Patient to use
    medical Cannabis in the rented property.
    (c) Penalty for fraudulent representation. Fraudulent representation to a law enforcement official of any fact or
    circumstance relating to the Medical Use of Cannabis to avoid arrest or prosecution is a civil violation punishable by a
    fine of five hundred dollars ($500) payable to The Department, which is in addition to any other penalties that may
    apply for making a false statement to law enforcement or for the use of Cannabis other than use undertaken pursuant
    to this chapter.
    SECTION 108. Affirmative defense and dismissal for Medical Use of Cannabis
    (a) Affirmative defense. Except as provided in subsection 107(a) and this section, an individual may assert a medical
    purpose for using Cannabis as an affirmative defense to prosecution for an offense involving Cannabis intended for
    the individual's Medical Use, and this defense shall be presumed valid and the prosecution shall be dismissed where
    the evidence demonstrates that:
    (1) The individual is:
    (A) A Qualifying Patient, Designated Caregiver, Cannabis Testing Agent, or Nonprofit Cannabis Care
    Center Agent; and
    (B) In compliance with the conditions imposed in section 103 of this Act; or
    (2) All of the following apply:
    (A) The Department has delayed the review of the individual's application, the issuance of the
    individual's Registry Identification Card, or both for a period of greater than sixty (60) days; and
    (B) The individual's application meets the requirements of a Qualifying Patient, Designated Caregiver,
    Cannabis Testing Lab Agent, or Nonprofit Cannabis Care Center Agent.
    (b) Limitations. The defense and motion to dismiss shall not prevail if either of the following are proven:
    (1) The individual's Registry Identification Card has been revoked; or
    (2) The purposes for the possession or cultivation of Cannabis were not solely for Medical Use. 17 of 17 • Arkansas Medical Cannabis Act • 7 /30/2016
    (c) Possession of Registry Identification Card is required. An individual is required to be in actual, physical possession
    of a Registry Identification Card to raise the affirmative defense set forth in this section.
    (d) Protections. If an individual demonstrates a Medical Use of Cannabis pursuant to this section, except as provided
    in subsection 107(a), the individual shall not be subject to the following:
    (1) Disciplinary action by an occupational or professional licensing board or bureau; or
    (2) Forfeiture of any interest in or right to non-Cannabis, licit property.
    SECTION 109. Registration, certification of Nonprofit Cannabis Care Centers
    (a) Nonprofit Cannabis Care Center registration required. Nonprofit Cannabis Care Centers shall register with The
    Department.
    (b) Issuing Nonprofit Cannabis Care Center registration certificates. Not later than sixty (60) days after receiving an
    application for a Nonprofit Cannabis Care Center, The Department shall register the Nonprofit Cannabis Care Center
    and issue a registration certificate and a random 10-digit alphanumeric identification number if:
    (1) The prospective Nonprofit Cannabis Care Center has submitted the following:
    (A) The application fee;
    (B) An application, including:
    (i) The legal name of the Nonprofit Cannabis Care Center;
    (ii) The physical address of the Nonprofit Cannabis Care Center and the physical address of
    one (1) additional location, if any, where Cannabis will be cultivated, neither of which shall be within
    one thousand feet (1000') of a public or private school existing before the date of the Nonprofit
    Cannabis Care Center application;
    (iii) The name, address and date of birth of each Nonprofit Cannabis Care Center Agent;
    (iv) Written procedures to ensure accurate record-keeping and adequate security measures;
    (v) A sworn statement certifying that the Nonprofit Cannabis Care Center will operate in
    compliance with the restrictions, if the city, town or county in which the Nonprofit Cannabis Care
    Center would be located has enacted zoning restrictions; and
    (vi) A sworn statement that none of the Nonprofit Cannabis Care Center Agents is under
    twenty-one (21) years of age;
    (2) None of the owners, board members, or officers has been found guilty or pleaded guilty or nolo contendere
    in a criminal proceeding, regardless of whether or not the adjudication of guilt or sentence is withheld by a court of this
    state, another state, or the federal government for any felony; and
    (3) None of the owners, board members or officers has previously been an owner, board member, or officer of
    a Nonprofit Cannabis Care Center that has had its registration certificate revoked. 18of18 ·Arkansas Medical Cannabis Act• 7/30/2016
    (c) Number of Nonprofit Cannabis Care Centers limited. The Department shall not issue more than one (1) Nonprofit
    Cannabis Care Center registration certificate for every twenty (20) pharmacies that have obtained a pharmacy permit
    from the Arkansas State Board of Pharmacy and operate within the state, except that The Department may issue
    Nonprofit Cannabis Care Center registration certificates in excess of this limit if The Department determines that
    additional Nonprofit Cannabis Care Centers are necessary to provide convenient access to Usable Cannabis by
    Qualifying Patients in all parts of the state.
    (d) Criminal background checks. The Department shall conduct criminal background checks on each prospective
    owner, board member, or officer in order to carry out subdivision 109(b)(2).
    (e) Allowable conduct. A Nonprofit Cannabis Care Center registered under this section may acquire, possess,
    manufacture, prepare, deliver, transfer and transport Cannabis; and supply, sell, and dispense Usable Cannabis,
    Cannabis paraphernalia, and related supplies and educational materials to Qualifying Patients who have designated it
    as their Nonprofit Cannabis Care Center and to their Designated Caregivers for the Qualifying Patients' Medical Use.
    Nonprofit Cannabis Care Centers are required to submit samples of their Usable Cannabis for testing to a certified
    Cannabis Testing Lab to be tested and labeled for potency, and to guarantee pesticide free, organically grown
    product. A Nonprofit Cannabis Care Center may receive compensation for providing the goods and services allowed
    by this section. A Nonprofit Cannabis Care Center may possess Cannabis and non-Cannabis parts of the Cannabis
    plant necessary for the cultivation of Cannabis. A Nonprofit Cannabis Care Center may also cultivate and possess
    whichever of the following quantities is greater:
    (1) One hundred (100) Cannabis plants, of which only fifty (50) may be greater than twelve (12) inches in
    height or diameter, and the Cannabis produced by the plants or predecessor plants; or
    (2) ten (10) Cannabis plants, of which only five (5) may be greater than twelve (12) inches in height or
    diameter, and all Cannabis produced by the plants or predecessor plants, for each Qualifying Patient who has
    designated the Nonprofit Cannabis Care Center to provide him or her with Cannabis for Medical Use.
    (f) Tracking. The Department shall track the number of Qualifying Patients who have designated each Nonprofit
    Cannabis Care Center to cultivate Cannabis for them and issue a monthly written statement to the Nonprofit Cannabis
    Care Center identifying the number of Qualifying Patients who have designated that Nonprofit Cannabis Care Center
    along with the Registry Identification Card numbers of each Qualifying Patient and each Qualifying Patient's
    Designated Caregivers. This statement must be updated each time a new Qualifying Patient designates the Nonprofit
    Cannabis Care Center or ceases to designate the Nonprofit Cannabis Care Center and may be transmitted
    electronically if The Department's rules so provide. The Department shall provide by rule that the updated written
    statements shall not be required more frequently than one (1) time per week.
    (g) Nonprofit Cannabis Care Center Agent Registry Identification Card. The Department shall issue each Nonprofit
    Cannabis Care Center Agent a Registry Identification Card within ten (10) days of receipt of the person's name,
    address and date of birth under subdivision 109(b)(1 )(B)(iii,) and a fee in an amount established by The Department.
    Each card must specify that the Cardholder is a Nonprofit Cannabis Care Center Agent and must contain:
    ( 1) The name, address and date of birth of the Nonprofit Cannabis Care Center Agent;
    (2) The legal name of the Nonprofit Cannabis Care Center with which the Nonprofit Cannabis Care Center
    Agent is affiliated;
    (3) A random identification number that is unique to the Cardholder; 19of19 •Arkansas Medical Cannabis Act• 7/30/2016
    (4) The date of issuance and expiration date of the Registry Identification Card; and
    (5) A photograph, if The Department decides to require one.
    (h) Felony exclusion. The Department shall not issue a Registry Identification Card to any Nonprofit Cannabis Care
    Center Agent who has been found guilty or pleaded guilty or nolo contendere in a criminal proceeding, regardless of
    whether or not the adjudication of guilt or sentence is withheld by a court of this state, another state, or the federal
    government for any felony. The Department shall conduct a background check of each prospective Nonprofit
    Cannabis Care Center Agent in order to carry out this subsection. The Department shall notify the Nonprofit Cannabis
    Care Center Agent in writing of the reason for denying the Registry Identification Card.
    (i) Expiration. A Nonprofit Cannabis Care Center registration certificate and the Registry Identification Card for each
    Nonprofit Cannabis Care Center Agent expire one ( 1) year after the date of issuance. The Department shall issue
    renewal Nonprofit Cannabis Care Center registration certificates and renewal Registry Identification Cards within ten
    (10) days prior to their expiration. A Registry Identification Card of a Nonprofit Cannabis Care Center Agent expires
    upon notification by a Nonprofit Cannabis Care Center that such person ceases to work at the Nonprofit Cannabis
    Care Center.
    SECTION 110. Nonprofit Cannabis Care Center inspections and search requirements
    (a) Reasonable inspection and search. Nonprofit Cannabis Care Centers are highly regulated by the state. A Nonprofit
    Cannabis Care Center therefore is subject to reasonable inspection and search by The Department, including of its
    inventory and records of transactions. Inspection and search under this subsection shall be conducted during normal
    business hours and in a reasonable manner. This does not preclude use of a search warrant if probable cause to
    believe a criminal offense has occurred on the premises.
    (b) Nonprofit Cannabis Care Center requirements. This subsection governs the operations of Nonprofit Cannabis Care
    Centers.
    (1) A Nonprofit Cannabis Care Center must be operated on a not-for-profit basis for the mutual benefit of its
    members and patrons. A Nonprofit Cannabis Care Center need not be recognized as a tax-exempt organization under
    26 U.S.C. § 501(c)(3).
    (2) A Nonprofit Cannabis Care Center shall not be located within one thousand feet (1000') of the property line
    of a pre-existing public or private school.
    (3) A Nonprofit Cannabis Care Center shall notify The Department within ten (10) days of when a Nonprofit
    Cannabis Care Center Agent ceases to work at the Nonprofit Cannabis Care Center.
    (4) A Nonprofit Cannabis Care Center shall notify The Department in writing of the name, address and date of
    birth of any new Nonprofit Cannabis Care Center Agent and shall submit a fee in an amount established by The
    Department for a new Registry Identification Card before the new Nonprofit Cannabis Care Center Agent begins
    working at the Nonprofit Cannabis Care Center.
    (5) A Nonprofit Cannabis Care Center shall implement appropriate security measures to deter and prevent
    unauthorized entrance into areas containing Cannabis and the theft of Cannabis.
    (6) A Nonprofit Cannabis Care Center must have procedures for the oversight of the Nonprofit Cannabis Care
    Center and procedures to ensure accurate record keeping. 20 of 20 ·Arkansas Medical Cannabis Act• 7/30/2016
    (7) Each Nonprofit Cannabis Care Center shall keep the following records, dating back at least one (1) year:
    (A) Records of the disposal of Cannabis that is not distributed by the Nonprofit Cannabis Care Center
    to Qualifying Patients who have designated the Nonprofit Cannabis Care Center to cultivate for them; and
    (B) A record of each transaction, including the amount of Usable Cannabis dispensed, the amount of
    compensation, and the Registry Identification Card number of the Qualifying Patient or Designated Caregiver.
    (8) Each Nonprofit Cannabis Care Center shall:
    (A) Conduct an initial comprehensive inventory of all Usable Cannabis available for dispensing,
    Cannabis plants and seedlings at each approved location on the date the Nonprofit Cannabis Care Center first
    dispenses Cannabis; and
    (B) Conduct a monthly comprehensive inventory of all Cannabis, including Usable Cannabis available
    for dispensing, at each approved location.
    (9) A Nonprofit Cannabis Care Center is prohibited from acquiring, possessing, cultivating, preparing,
    manufacturing, delivering, transferring, transporting, supplying or dispensing Cannabis for any purpose except to
    Assist Qualifying Patients with the Medical Use of Cannabis directly or through the Qualifying Patients' Designated
    Caregiver or to supply samples to a Cannabis Testing Lab.
    (10) All cultivation of Cannabis must take place in an Enclosed, Locked Facility.
    (11) A Nonprofit Cannabis Care Center or a Nonprofit Cannabis Care Center Agent shall not dispense more
    than two and one-half (2 Y:i) ounces of Usable Cannabis to a Qualifying Patient or to a Designated Caregiver on behalf
    of a Qualifying Patient during a fifteen (15) day period. Each time a Nonprofit Cannabis Care Center Agent dispenses
    Usable Cannabis to a Qualifying Patient directly or through the Qualifying Patient's Designated Caregiver, he must
    consult the Nonprofit Cannabis Care Center's records to verify that the records do not indicate that the dispensing of
    Usable Cannabis would cause the Qualifying Patient to receive more Usable Cannabis than is permitted in a fifteen
    (15) day period. Each time Usable Cannabis is dispensed, the Nonprofit Cannabis Care Center Agent shall record the
    date the Usable Cannabis was dispensed and the amount dispensed. All records must be kept according to the
    Registry Identification Card number of the Qualifying Patient and Designated Caregiver, if any.
    (12) The Nonprofit Cannabis Care Center records with Qualifying Patient information shall be treated as a
    confidential medical record.
    Section 111. Registration, Certification of Cannabis Testing Labs
    (a) Cannabis Testing Lab registration required. Cannabis Testing Labs shall register with The Department.
    (b) Issuing Cannabis Testing Lab registration certificates. Not later than sixty (60) days after receiving an application
    for a Cannabis Testing Lab, The Department shall register the Cannabis Testing Lab and issue a registration
    certificate and a random 10-digit alphanumeric identification number if:
    (1) The prospective Cannabis Testing Lab has submitted the following:
    (A) The application fee;
    (B) An application, including: 21 of 21 •Arkansas Medical Cannabis Act• 7/30/2016
    (i) The legal name of the Cannabis Testing Lab;
    (ii) The physical address of the Cannabis Testing Lab, which shall not be within one thousand
    feet (1000') of a public or private school existing before the date of the Cannabis Testing Lab
    application;
    (iii) The name, address and date of birth of each Cannabis Testing Lab Agent;
    (iv) Written procedures to ensure accurate record-keeping and adequate security measures;
    (v) A sworn statement that none of the Cannabis Testing Lab Agents is under twenty-one (21)
    years of age;
    (2) None of the owners, board members, or officers has been found guilty or pleaded guilty or nolo contendere
    in a criminal proceeding, regardless of whether or not the adjudication of guilt or sentence is withheld by a court of this
    state, another state, or the federal government for any felony; and
    (3) None of the owners, board members or officers has previously been an owner, board member, or officer of
    a Cannabis Testing Lab that has had its registration certificate revoked.
    (c) Criminal background checks. The Department shall conduct criminal background checks on each prospective
    owner, board member, or officer in order to carry out subdivision 111 (b)(2).
    (d) Allowable conduct. A Cannabis Testing Lab registered under this section may acquire, possess, transfer and
    transport Cannabis to a Nonprofit Cannabis Care Center for the purpose of testing and labeling Cannabis for potency,
    and to guarantee pesticide free, organically grown product. A Cannabis Testing Lab may receive compensation for
    providing the services allowed by this section.
    (e) Cannabis Testing Lab Agent Registry Identification Card. The Department shall issue each Cannabis Testing Lab
    Agent a Registry Identification Card within ten (10) days of receipt of the person's name, address and date of birth
    under subdivision 111 (b)(1 )(B)(iii,) and a fee in an amount established by The Department. Each card must specify
    that the Cardholder is a Cannabis Testing Lab Agent and must contain:
    (1) The name, address and date of birth of the Cannabis Testing Lab Agent;
    (2) The legal name of the Cannabis Testing Lab with which the Cannabis Testing Lab Agent is affiliated;
    (3) A random identification number that is unique to the Cardholder;
    (4) The date of issuance and expiration date of the Registry Identification Card; and
    (5) A photograph, if The Department decides to require one.
    (f) Felony exclusion. The Department shall not issue a Registry Identification Card to any Cannabis Testing Lab Agent
    who has been found guilty or pleaded guilty or nolo contendere in a criminal proceeding, regardless of whether or not
    the adjudication of guilt or sentence is withheld by a court of this state, another state, or the federal government for
    any felony. The Department shall conduct a background check of each prospective Cannabis Testing Lab Agent in
    order to carry out this subsection. The Department shall notify the Cannabis Testing Lab Agent in writing of the reason
    for denying the Registry Identification Card. 22 of 22 •Arkansas Medical Cannabis Act• 7/30/2016
    (g) Expiration. A Cannabis Testing Lab registration certificate and the Registry Identification Card for each Cannabis
    Testing Lab Agent expire one (1) year after the date of issuance. The Department shall issue renewal Cannabis
    Testing Lab registration certificates and renewal Registry Identification Cards within ten (10) days prior to their
    expiration. A Registry Identification Card of a Cannabis Testing Lab Agent expires upon notification by a Cannabis
    Testing Lab that such person ceases to work at the Cannabis Testing Lab.
    (h) Reasonable inspection and search. Cannabis Testing Labs are highly regulated by the state. A Cannabis Testing
    Lab therefore is subject to reasonable inspection and search by The Department, including of its inventory and records
    of transactions. Inspection and search under this subsection shall be conducted during normal business hours and in a
    reasonable manner. This does not preclude use of a search warrant if probable cause to believe a criminal offense
    has occurred on the premises.
    SECTION 112. Immunity for Nonprofit Cannabis Care Centers and Cannabis Testing Labs
    (a) Protections for Nonprofit Cannabis Care Centers and Cannabis Testing Labs. No Nonprofit Cannabis Care Center
    or Cannabis Testing Lab shall be subject to the following:
    ( 1) Prosecution for the Medical Use of Cannabis in accordance with the provisions of this chapter and any rule
    adopted by The Department pursuant to this chapter;
    (2) Inspection and search, except pursuant to subsection 110(a) and subsection 111 (h), or upon a search
    warrant issued by a court or judicial officer;
    (3) Seizure of Cannabis, except upon any order issued by a court or judicial officer and with due process of
    law; or
    (4) Imposition of any penalty or denial of any right or privilege including, but not limited to, imposition of a civil
    penalty or disciplinary action by an occupational or professional licensing board or entity, solely for acting in
    accordance with this chapter for a Nonprofit Cannabis Care Center to Assist Qualifying Patients or Designated
    Caregivers with the Medical Use of Cannabis or for a Cannabis Testing Lab to have possession of Cannabis for
    testing purposes.
    (b) Protections for Nonprofit Cannabis Care Center Agents and Cannabis Testing Lab Agents. No Nonprofit Cannabis
    Care Center Agent or Cannabis Testing Lab Agent shall be subject to arrest, prosecution, search, seizure, or penalty
    in any manner, or denied any right or privilege including, but not limited to, civil penalty or disciplinary action by a
    business, or occupational, or professional licensing board or entity, solely for working for or with a Nonprofit Cannabis
    Care Center or a Cannabis Testing Lab to engage in acts permitted by this chapter.
    SECTION 113. Prohibitions for Nonprofit Cannabis Care Centers and Cannabis Testing Labs
    (a) A Nonprofit Cannabis Care Center shall not dispense, deliver or otherwise transfer Cannabis to a person other
    than a Qualifying Patient who has designated the Nonprofit Cannabis Care Center to cultivate Cannabis for them or to
    the Qualifying Patient's Designated Caregiver, or another Nonprofit Cannabis Care Center, or to a Cannabis Testing
    Lab for testing purposes.
    (b) A Cannabis Testing Lab shall not deliver or otherwise transfer Cannabis to any person other than a Nonprofit
    Cannabis Care Center Agent. 23 of 23 ·Arkansas Medical Cannabis Act• 7/30/2016
    (c) The Department shall immediately revoke the Registry Identification Card of a Nonprofit Cannabis Care Center
    Agent or Cannabis Testing Agent who is found to have violated subsection 113(a) or subsection 113(b), and such a
    person shall be disqualified from serving as a Nonprofit Cannabis Care Center Agent or Cannabis Testing Lab Agent.
    (d) A person who has been found guilty or pleaded guilty or no/o contendere in a criminal proceeding, regardless of
    whether or not the adjudication of guilt or sentence is withheld by a court of this state, another state, or the federal
    government for any felony shall not be a Nonprofit Cannabis Care Center Agent or a Cannabis Testing Lab Agent. A
    Nonprofit Cannabis Care Center Agent or Cannabis Testing Lab Agent in violation of this subsection commits a civil
    violation for which a fine of not more than $1, 000 may be adjudged and collected by The Department. A Nonprofit
    Cannabis Care Center Agent or a Cannabis Testing Lab Agent in violation of this subsection and who at the time of
    the violation has been previously found to have violated this subsection commits a Class C misdemeanor.
    SECTION 114. Local regulation.
    This chapter does not prohibit a city, incorporated town or county of this state from limiting the number of Nonprofit
    Cannabis Care Centers that may operate in the political subdivision as it sees fit or from enacting reasonable zoning
    regulations applicable to Nonprofit Cannabis Care Centers.
    SECTION 115. Prohibited conduct for Physicians.
    A Physician shall not:
    (a) Accept, solicit, or offer any form of pecuniary remuneration from or to a Nonprofit Cannabis Care Center or other
    provider of Cannabis.
    (b) Offer a discount or other thing of value to a Qualifying Patient who uses or agrees to use a particular Nonprofit
    Cannabis Care Center.
    (c) Examine a patient for purposes of diagnosing a Qualifying Medical Condition at a location where Cannabis is sold
    or distributed.
    (d) Hold an economic interest in a Nonprofit Cannabis Care Center if the Physician certifies the Qualifying Medical
    Condition of a patient for participation in the medical Cannabis program.
    SECTION 116. Enforcement
    (a) Department failure to adopt rules. If The Department fails to adopt rules to implement this chapter within the time
    prescribed, any Arkansas citizen may commence a mandamus action in Pulaski County Circuit Court to compel The
    Department to perform the actions mandated pursuant to the provisions of this chapter.
    (b) Department failure to issue a valid Registry Identification Card or Hardship Cultivation Certificate. If The
    Department fails to issue a valid Registry Identification Card or Hardship Cultivation Certificate in response to a valid
    application or renewal submitted pursuant to this chapter within forty-five (45) days of its submission, the Registry
    Identification Card or Hardship Cultivation Certificate is deemed granted, and a copy of the application or renewal is
    deemed a valid Registry Identification Card or Hardship Cultivation Certificate.
    (c) Department failure to accept or process applications for Registry Identification Cards. If at any time after the
    effective date of this chapter, allowing time for adoption of rules, The Department has failed to accept or process
    applications in a reasonable timely manner under subsection 105(c), a notarized statement by a Qualifying Patient 24 of 24 •Arkansas Medical Cannabis Act• 7/30/2016
    containing the information required in an application, pursuant to subsection 105(a), is deemed a valid Registry
    Identification Card.
    (d) Department failure to accept or process applications for Hardship Cultivation Certificates. If at any time after the
    effective date of this chapter, allowing time for adoption of rules, The Department has failed to accept or process
    applications in a reasonable timely manner under subsection 106(b), for Hardship Cultivation Certificates, a notarized
    statement by a Qualifying Patient containing the information required in an application, pursuant to section 106(a), is
    deemed a valid Hardship Cultivation Certificate.
    SECTION 117. Taxation and distribution of proceeds.
    (a) The sale of Cannabis under this chapter is subject to all state and local taxes.
    (b) No special taxes will be added to the sale of medical cannabis.
    (c) The state sales tax revenues received by the Department of Finance and Administration from the sale of Cannabis
    under this chapter shall be distributed as special revenue to The Department to cover the cost of administering this
    chapter. Any remaining revenue shall be allocated as special revenues and shall be used to provide Usable Cannabis
    on the sliding scale to Qualifying Patients determined to be eligible pursuant to subdivision 104(h)(1 ).
    SECTION 118. No implied repeal.
    By adoption of this Act, there is no implied repeal of the existing Arkansas laws criminalizing possession of Cannabis
    for purposes not specified in this Act. This Act also acknowledges that Cannabis use, possession, and distribution for
    any purpose remain illegal under federal law. Nothing in this Act requires the violation of federal law or purports to give
    immunity under federal law.
    SECTION 119. Severability
    If any provision or section of this Act or the application thereof to any person or circumstance is held invalid, such
    invalidity shall not affect any other provisions or application of the Act which can be given effect without the invalid
    provisions or applications, and to this end the provisions of the Act are declared to be severable.

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