Why was the 2017 Natural Resource Cannabis Amendment rejected by the Arkansas AG?

Plain-English summary

Clair Danner submitted a proposed Arkansas constitutional amendment titled "Natural Resource Cannabis Amendment" for AG certification under § 7-9-107. The proposal would have legalized cannabis "at the local, state, and federal levels," set a 5% wholesale excise tax with $30 million annually directed to public schools, distributed remaining tax revenue across multiple state agencies, released non-violent cannabis offenders, expunged convictions, and created a Bureau of Cannabis/Marijuana Control with a separate Cannabis/Marijuana Control Board.

The AG rejected the entire submission without reaching detailed analysis of textual ambiguities. Two threshold problems prevented any further review.

First, the proposed amendment was 36 pages long with 17 sections, many subdivided into subsections, sub-subsections, and even sub-sub-subsections. Page v. McCuen, 318 Ark. 342 (1994) and Walker v. Priest, 342 Ark. 410 (2000), recognize that "at some point, length and complexity alone might militate against a voter's ability to form an intelligent opinion about the issue at hand." Combined with § 7-5-309's five-minute voting-booth limit, a ballot title comprehensive enough to summarize the proposal would have been unreadable in the booth. The AG concluded length and complexity alone made the proposal not amenable to certification.

Second, the proposed ballot title represented that the amendment would alter federal law: it would "bring[] ... otherwise continued federal raids to an end" and "aid in ... decriminaliz[ing] cannabis at the local, state, and federal levels." A state constitutional amendment cannot do that. The Eighth Circuit in Gralike v. Cook (affirmed by the U.S. Supreme Court in Cook v. Gralike, 531 U.S. 510) struck down a Missouri amendment that purported to direct congressional members to amend the federal constitution. The AG cited Gralike for the principle that Arkansas voters could not be told that approving this amendment would change federal law, when in fact such an amendment would likely be unconstitutional.

Currency note

This opinion was issued in 2017. 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.

How the length-and-complexity rule operated

Arkansas's five-minute booth limit at § 7-5-309 is a real constraint, not a soft guideline. The Arkansas Supreme Court in Page v. McCuen recognized that a measure can be "so all-encompassing that to include every important factor of the proposal in the ballot title would cause the ballot title to be so complex, detailed and lengthy that the Arkansas voter could not intelligently make a choice on the title within the five minutes allowed in the voting booth." Walker v. Priest reaffirmed the principle.

The Danner amendment hit this limit on multiple measures. Thirty-six pages of text, 17 sections, with section 4 alone running 13 pages of definitions. A ballot title designed to convey the "scope and import" of such a measure (Bailey v. McCuen) would itself become unreadable. The AG declined to even attempt to write or substitute a substitute title because the underlying text simply did not lend itself to fair summarization within the booth's time budget.

How the federal-preemption flaw operated

The proposed ballot title made several explicit claims about federal law:

• The amendment would "bring[] ... otherwise continued federal raids to an end."
• The amendment would "aid in the providing governing [sic] to decriminalize cannabis at the local, state, and federal levels."

A state constitutional amendment, by long-settled federalism principles, cannot decriminalize conduct under federal law. Cannabis was (and is) a Schedule I controlled substance under the federal Controlled Substances Act, regardless of state law. State legalization removes the state-law penalty layer, but the federal layer is unaffected.

Gralike v. Cook is the Eighth Circuit's leading authority on initiated amendments that purport to direct federal action. There, Missouri voters had passed an amendment ordering members of Missouri's congressional delegation to use their authority to amend the U.S. Constitution to impose congressional term limits. The Eighth Circuit struck the amendment as unconstitutional, and the Supreme Court affirmed in Cook v. Gralike. The lesson for ballot review: if a proposed amendment claims to do something it constitutionally cannot, the ballot title summarizing those claims is "inherently misleading" and cannot be certified.

The AG concluded the Danner submission was fundamentally flawed for representing to voters that approving the amendment would alter federal law.

Common questions

Could the proponent fix this by removing the federal-law references?
Removing the federal-law claims from the ballot title would address the second flaw but not the first. The 36-page underlying text would still be too long and complex for any fair ballot-title summary within the five-minute booth window. Both problems would have to be fixed, which would mean a substantial restructuring of the underlying measure, not just title edits.

What is the longest ballot title the Arkansas Supreme Court has approved?
The Court has approved long ballot titles when the underlying complexity required them. The Court has not set a hard word or page count. The booth-time test is functional: can a reasonable voter read and process the title in roughly five minutes? Page v. McCuen and Walker v. Priest are the cases that recognize the limit; specific rejections turn on the totality of circumstances.

Why does Gralike v. Cook matter for cannabis amendments?
Because cannabis legalization is one of the few major topics where state-federal divergence is large and direct. Voters can mistakenly think that voting yes on a state legalization amendment ends federal cannabis prosecution. AG opinions like this one and the True Grass series enforce the rule that ballot titles must not feed that misimpression.

Did Arkansas eventually legalize recreational cannabis?
Multiple recreational cannabis amendments cycled through the Arkansas initiative process between 2017 and 2022. None succeeded. Issue 4 in 2022 (the Arkansas Recreational Marijuana Amendment of 2022) made the ballot but was rejected by voters. Medical cannabis, by contrast, passed in 2016 (Amendment 98).

Could a federal-law-mentioning ballot title ever be certified?
Yes, if framed accurately. A title can note that "such activities remain prohibited under federal law" (which other cannabis measures included) without misleading voters about state-amendment effects. The misleading frame is claiming the amendment will change federal law, not noting federal law as background.

Background and statutory framework

Section 7-9-107 governs AG certification of popular names and ballot titles. The five-minute booth time limit at § 7-5-309 sets a functional ceiling on ballot-title length. The Arkansas Supreme Court has built a thick body of case law on what makes a ballot title sufficient: Becker v. Riviere (fair understanding); Bailey v. McCuen (essential-fact rule, no misleading tendency); Lange v. Martin (adequately inform voters); Roberts v. Priest (text-title connection); Page v. McCuen and Walker v. Priest (length-and-complexity limit).

Federal preemption in initiative drafting is governed by Gralike v. Cook (state cannot direct federal action) and the broader supremacy clause framework. State amendments that purport to alter federal law are likely to be void; ballot titles describing such amendments to voters are misleading.

Citations

• Ark. Code Ann. § 7-9-107 (popular name and ballot title certification)
• Ark. Code Ann. § 7-5-309 (five-minute booth time limit)
• Page v. McCuen, 318 Ark. 342, 884 S.W.2d 951 (1994) (length-and-complexity limit)
• Walker v. Priest, 342 Ark. 410, 29 S.W.3d 657 (2000) (length affects intelligent voter choice)
• Gralike v. Cook, 191 F.3d 911 (8th Cir. 1999), aff'd, 531 U.S. 510 (2001) (state cannot direct federal action)
• Bailey v. McCuen, 318 Ark. 277, 884 S.W.2d 938 (1994) (essential-fact rule, no misleading tendency)
• Lange v. Martin, 2016 Ark. 337, 500 S.W.3d 154 (adequately inform voters)
• Roberts v. Priest, 341 Ark. 813, 20 S.W.3d 376 (2000) (text-title connection)
• Becker v. Riviere, 270 Ark. 219, 604 S.W.2d 555 (1980) (fair understanding standard)

Source

• Landing page: https://arkansasag.gov/divisions/opinions-foia/attorney-general-opinions-search/

Original opinion text

Opinion No. 2017-120
November 20, 2017
Ms. Clair Danner, Sponsor
277 Marion County 5029
Saint Joe, AR 72675
Dear Ms. Danner:
STATE OF ARKANSAS
ATTORNEY GENERAL
LESLIE RUTLEDGE
I am responding to your request for certification, pursuant to Ark. Code Ann. § 7-
9-107 (Supp. 2015), of the popular name and ballot title for a proposed
constitutional amendment.
At the outset, I wish to make clear that the decision to certify or reject a
popular name and ballot title is in no way a reflection of my view of the
merits of a particular proposal. I am not authorized to, and do not, consider
the merits of a measure when making a decision to certify or reject.
Section 7-9-107 authorizes my office to 1) certify the popular name and ballot title
of a proposed measure, 2) substitute and certify the popular name and ballot title,
or 3) reject the entire submission if the "nature of the issue [] is presented in such
manner that the ballot title would be misleading" to voters. 1 The purpose of my
review under section 7-9-107 is to ensure that the popular name and ballot title
honestly, intelligibly, and fairly set forth the purpose of the proposed amendment.2
In this way, voters will have a fair understanding of the issues presented by
reference to the ballot title alone. 3
1 Ark. Code Ann.§ 7-9-107(c).
2 See Arkansas Women's Political Caucus v. Riviere, 283 Ark. 463, 466, 677 S.W.2d 846 (1984).
3 Becker v. Riviere, 270 Ark. 219, 226, 604 S.W.2d 555, 558 (1980) (internal citations omitted).
323 CENTER STREET. SU ITE 200 · LITTLE ROCK. ARKANSAS 72201
TELEPHONE (501) 682-2007 · FAX (501) 682-8084
ARKANSASAG.GOV Ms. Clair Danner, Sponsor
Opinion No. 2017-120
Page 2
At the time they are submitted to my office under section 7-9-107, the popular
name and ballot title for proposed constitutional amendments and acts "should be
complete enough to convey an intelligible idea of the scope and import of the
proposal."4 And it follows from my duty to reject misleading submissions that any
ballot title submitted for review should represent the sponsor's attempt to
summarize her proposed amendment or act in a non-misleading fashion. While I
am authorized to substitute and certify a ballot title that is more suitable (in terms
of affording voters a fair understanding of the issues presented), section 7-9-107
does not contemplate that I generate a ballot title when the ballot title submitted is
wholly deficient. Nor does the statute require that I modify the proposed measure
itself in order to then summarize the measure's text in a suitable ballot title.
Crafting the measure's text and accurately summarizing that text in a ballot title
are the sponsor's responsibility prior to submission.
REQUEST
You have requested certification, pursuant to Ark. Code Ann. § 7-9-107, of
the following popular name and ballot title for a proposed constitutional
amendment:
Popular Name
Natural Resource Cannabis Amendment
Ballot Title
An amendment proposed by the people of the State of Arkansas,
adhere to the full legalization of the cannabis plant (genus cannabis)
making it legal under Arkansas State law; of which federal law holds
precedence over State laws; therefore, bringing the intention issue of
4 Bailey v. McCuen, 318 Ark. 277, 285, 884 S.W.2d 938, 942 (1994) (internal quotation omitted).
The Arkansas Supreme Court has explained that ballot titles are legally insufficient unless they
"adequately inform" voters of the the proposed amendment's content, thereby enabling a
"reasoned decision in the voting booth." Lange v. Martin, 2016 Ark. 337, 500 S.W.3d 154, at n.

2. And a ballot title's failure to "honestly and accurately reflect what is contained in the proposed
   Amendment" may lead the Court to conclude that the "omission is significant," making the
   proposed ballot title deficient. Id. at *9, 500 S. W.3d at 159. Likewise, a ballot title cannot be
   approved if the text of the proposal itself creates a disconnect between the ballot title and the
   content of the proposed measure. Roberts v. Priest, 341 Ark. 813, 825, 20 S.W.3d 376, 382
   (2000). This is because "internal inconsistencies would inevitably lead to confusion in drafting a
   popular name and ballot title, and to confusion in the ballot title itself." Id. Ms. Clair Danner, Sponsor
   Opinion No. 2017-120
   Page 3
   the otherwise continued federal raids to an end; to amend the
   Arkansas Constitution to provide Arkansas legislation with the
   Natural Resource Cannabis Amendment; in collaboration and
   synonymously with the General Assembly, Congress, and the
   Bureau of Cannabis/Marijuana Control, all shall promulgate and
   adopt regulations and enact legislation that will foster, implement,
   and aid in the providing governing [sic] to decriminalize cannabis at
   the local, state, and federal levels, to leave to the states a power to
   establishing a comprehensive regulatory structure and system to
   legalize, control, license, and regulate the activities of
   cannabis/marijuana/hemp; protecting the health and public safety of
   consumers and small businesses by imposing strict anti-monopoly
   restrictions in the cannabis industry; and including, but not limited
   to, the conflating of the cannabis issues; promoting the economic
   and ecological vitality growth, eliminating revenue shortfalls with an
   abundance of revenues, to protect the clean energy natural resource
   of inexhaustible potentials, allowing for energy independent biomass
   technology and jobs; providing the citizenry with a future of
   opportunity by bringing clean energy jobs to America in the
   cannabis industry categories of textile, commodity, agricultural, and
   goods and services, in that, including but not limited to the
   cultivation, distribution, sale, and use of the cannabis plant (genus
   cannabis) to be regulated and taxed in like manner as similar
   products, purpose, and categories such as any other textile,
   commodity, agricultural, goods and services produced in or out of
   this State whether by import or export; making it illegal for any
   person(s), agency, entity, or medical pharmaceutical to cause
   excessive and unreasonable pricing or price gouging for recreational,
   industrial, commercial, personal, and medical purposes; and all
   products derived/produced therefrom the cannabis plant shall be
   lawful within the State of Arkansas; and providing that qualified
   person(s), bank, business, agency, entity, or medical facility
   engaging in or assisting with the cannabis industry shall be legal;
   which adheres to the current regulations and, local, state, and federal
   laws, and shall be regulated under State law upon passage; providing
   that the Bureau of Cannabis/Marijuana Control and the
   Cannabis/Marijuana Control Board shall administer and regulate the
   cannabis/marijuana industry regulatory structure with relevant
   expertise; whereas the listed activities with respect to
   cannabis/marijuana/hemp and products derived/produced therefrom Ms. Clair Danner, Sponsor
   Opinion No. 2017-120
   Page 4
   containing cannabis are lawful in this State with required licensing,
   and shall be regulated and taxed in like manner; the General
   Assembly shall enact an excise tax of (5%) five percent to be levied
   upon wholesale sales of cannabis/marijuana/hemp and cannabis
   infused goods and services, requiring the first $30 million in revenue
   raised annually by such tax be credited to the public schools; that the
   listed activities with respect to cannabis and products derived
   therefrom containing cannabis by person(s) twenty-one (21) years of
   age or older are lawful in this State with required licensing, and shall
   be regulated in like manner; and the use thereof as an intoxicant
   similar to alcohol, and under the age of twenty-one (21) years shall
   be illegal. The State shall allow for the cannabis industry operation
   of retail and non-retail facilities for cannabis; tax industrial and
   commercial cannabis in like manner; permitting the use of medical
   cannabis/marijuana to assure that patients, including those under 21
   years of age, may have safe access to medical cannabis to treat
   disease, injury, or illness; requiring the release and exoneration of
   non-violent cannabis/marijuana offenders in this State from
   incarceration, probation, and or parole, and dismissing, and or
   expunging, such convictions from such criminal records in this
   State; and providing that the sale of any cannabis and cannabis
   infused products, goods and services are subject to all State and local
   sales taxes, special taxes, excise duty on inland/import, and custom
   duties on border/export; and providing that the tax revenues,
   excluding local sales taxes, on any cannabis and cannabis infused
   products, goods, and services shall be distributed ( 10%) to the
   Bureau of Cannabis/Marijuana Control; (5%) to the
   Cannabis/Marijuana Control Board; (20%) to the Arkansas
   Department of Education Public Schools; (15%) to the Arkansas
   Agriculture Department; (10%) to the Arkansas Department of
   Human Services Aging and Adult Services; (20%) to the Retinue
   Consortium Corporation; (10%) to the Arkansas Department of
   Human Services Parks and Tourism Department; (10%) to the
   Arkansas Highway and Transportation Department; and to the
   Community Reinvestment Fund §6(dd)(8)(a-e) $300,000,000
   without fiscal year limitations upon passage of this amendment; and
   providing regarding this amendment that no legislators can remove
   the law because it is an amendment to the Arkansas Constitution,
   and can only be done so by the voters. Ms. Clair Danner, Sponsor
   Opinion No. 2017-120
   Page 5
   RESPONSE
   My statutory duty is to certify, substitute and certify, or reject the entire proposal.
   And my office attempts in the usual course to identify problems in the text of a
   proposed measure that prevent certification of a satisfactory ballot title. But there
   are threshold shortcomings in your submission that preclude any detailed review
   under section 7-9-107 ( c ).
   First, the text of your proposed constitutional amendment is "so all-encompassing
   that to include every important factor of the proposal in the ballot title would cause
   the ballot title to be so complex, detailed and lengthy that the Arkansas voter could
   not intelligentll make a choice on the title within the five minutes allowed in the
   voting booth." The measure is some 36 pages long, not including the ballot title.
   It has 17 distinct sections, many of which have subsections and sub-subsections.
   At least one section (itself 13 pages long) has sub-sub-subsections. 6
   The Arkansas Supreme Court has recognized that "at some point, length and
   complexity alone might militate against a voter's ability to form an intelligent
   opinion about the issue at hand."7 In my opinion, this point has been reached here.
   The text of your measure is overlong and extremely dense. As a result, I cannot
   begin the process of identifying the textual ambiguities that would result in a
   ballot title misleading to voters. I must reject the submission for this reason.
   Second, the proposed ballot title suggests that your proposed constitutional
   amendment would change federal law. The ballot title states, for example, that the
   measure would "bring[] ... otherwise continued federal raids to an end," as well as
   "aid in ... decriminaliz[ing] cannabis at the local, state, and federal levels." It is
   inherently misleading to give voters the impression that amending the Arkansas
   Constitution could negate or alter federal law. Because an amendment purporting
   to do so would likely be unconstitutional, 8 your submission is fundamentally
   flawed.
   5 Page v. McCuen, 318 Ark. 342, 347, 884 S.W.2d 951, 954 (1994).
   6 See Section 4 ("Definitions").
   7 Walker v. Priest, 342 Ark. 410, 426, 29 S.W.3d 657, 665 (2000).
   8 See Gralike v. Cook, 191 F.3d 911, 915 (8th Cir. 1999), ajf'd 531 U.S. 510 (2001) (striking an
   initiated amendment to the Missouri Constitution that "order[ ed] members of Missouri's
   congressional delegation to use their authority to amend the United States Constitution to impose
   the term limits ... on Congressional service."). Ms. Clair Danner, Sponsor
   Opinion No. 2017-120
   Page 6
   CONCLUSION
   The Arkansas Constitution does not charge my office with any role in drafting
   initiated constitutional amendments or acts. My duty in reviewing submissions
   under section 7-9-107 is to the electorate as a whole. I cannot advise or advocate
   for individual sponsors.9 Sponsors must make the necessary efforts to ensure that
   their proposed measures, popular names, and ballot titles have been thoroughly
   vetted for compliance with the high standards established by the Court prior to
   their submission to my office.
   Your submission is defective to the point that I cannot begin to analyze whether
   the ballot title, or the nature of the issue, is presented in such a way that the ballot
   title would be misleading. While the deficiencies noted above are not necessarily
   all of the issues preventing certification of a popular name and ballot title for your
   proposed measure, they are sufficiently serious that I am unable to further review
   your submission pursuant to section 7-9-107(c). I must reject your entire ballot
   title, popular name, and proposed measure.
   Sincerely,
   ~/~ LESLIE RUTLE ~
   Attorney General
   Enclosure
   9 See Op. Att'y Gen. 2017-032 (citing Ark. Code Ann. § 25-16-701 (Supp. 2015) for the
   proposition that the Attorney General is prohibited from engaging in the private practice of law). POPULAR NAME)
   NATURAL RESOURCE CANNABIS AMENDMENT.
   (BALLOT TITLE)
   NOV 03 2011
   ATTORNEY GENERAL OF ARKANSAS
   AN AMENDMENT PROPOSED BY THE PEOPLE OF THE STATE OF ARKANSAS, ADHERE TO THE FULL
   LEGALIZATION OF THE CANNABIS PLANT (GENUS CANNABIS) MAKING IT LEGAL UNDER ARKANSAS STATE LAW;
   OF WHICH FEDERAL LAW HOLDS PRECEDENCE OVER STATE LAWS; THEREFORE, BRINGING THE INTENTION
   ISSUE OF THE OTHERWISE CONTINUED FEDERAL RAIDS TO AN END; TO AMEND THE ARKANSAS
   CONSTITUTION TO PROVIDE ARKANSAS LEGISLATION WITH THE NATURAL RESOURCE CANNABIS
   AMENDMENT; IN COLLABORATION AND SYNONYMOUSLY WITH THE GENERAL ASSEMBLY, CONGRESS, AND
   THE BUREAU OF CANNABIS/MARIJUANA CONTROL, ALL SHALL PROMULGATE AND ADOPT REGULATIONS AND
   ENACT LEGISLATION THAT WILL FOSTER, IMPLEMENT, AND AID IN THE PROVIDING GOVERNING TO
   DECRIMINALIZE CANNABIS AT THE LOCAL, STATE, AND FEDERAL LEVELS, TO LEAVE TO THE STATES A POWER
   TO ESTABLISHING A COMPREHENSIVE REGULATORY STRUCTURE AND SYSTEM TO LEGALIZE, CONTROL,
   LICENSE, AND REGULATE THE ACTIVITIES OF CANNABIS/MARIJUANA/HEMP; PROTECTING THE HEALTH AND
   PUBLIC SAFETY OF CONSUMERS AND SMALL BUSINESSES BY IMPOSING STRICT ANTI-MONOPOLY
   RESTRICTIONS IN THE CANNABIS INDUSTRY; AND INCLUDING, BUT NOT LIMITED TO, THE CONFLATING OF THE
   CANNABIS ISSUES: PROMOTING THE ECONOMIC AND ECOLOGICAL VITALITY GROWTH, ELIMINATING
   REVENUE SHORTFALLS WITH AN ABUNDANCE OF REVENUES, TO PROTECT THE CLEAN ENERGY NATURAL
   RESOURCE OF INEXHAUSTIBLE POTENTIALS, ALLOWING FOR ENERGY INDEPENDENT BIOMASS TECHNOLOGY
   AND JOBS; PROVIDING THE CITIZENRY WITH A FUTURE OF OPPORTUNITY BY BRINGING CLEAN ENERGY JOBS
   TO AMERICA IN THE CANNABIS INDUSTRY CATEGORIES OF TEXTILE, COMMODITY, AGRICULTURAL, AND
   GOODS AND SERVICES, IN THAT, INCLUDING BUT NOT LIMITED TO THE CULTIVATION, DISTRIBUTION, SALE,
   AND USE OF THE CANNABIS PLANT (GENUS CANNABIS) TO BE REGULATED AND TAXED IN LIKE MANNER AS
   SIMILAR PRODUCTS, PURPOSE, AND CATEGORIES SUCH AS ANY OTHER TEXTILE, COMMODITY,
   AGRICULTURAL, GOODS AND SERVICES PRODUCED IN OR OUT OF THIS STATE WHETHER BY IMPORT OR
   EXPORT; MAKING IT ILLEGAL FOR ANY PERSON(S), AGENCY, ENTITY, OR MEDICAL PHARMACEUTICAL TO
   CAUSE EXCESSIVE AND UNREASONABLE PRICING OR PRICE GOUGING FOR RECREATIONAL, INDUSTRIAL,
   COMMERCIAL, PERSONAL, AND MEDICAL PURPOSES; AND ALL PRODUCTS DERIVED/PRODUCED THEREFROM
   THE CANNABIS PLANT SHALL BE LAWFUL WITHIN THE STATE OF ARKANSAS; AND PROVIDING THAT QUALIFIED
   PERSON(S), BANK, BUSINESS, AGENCY, ENTITY, OR MEDICAL FACILITY ENGAGING IN OR ASSISTING WITH THE
   CANNABIS INDUSTRY SHALL BE LEGAL; WHICH ADHERES TO THE CURRENT REGULATIONS AND, LOCAL, STATE,
   AND FEDERAL LAWS, AND SHALL BE REGULATED UNDER STATE LAW UPON PASSAGE; PROVIDING THAT THE
   BUREAU OF CANNABIS/MARIJUANA CONTROL AND THE CANNABIS/MARIJUANA CONTROL BOARD SHALL
   ADMINISTER AND REGULATE THE CANNABIS/MARIJUANA INDUSTRY REGULATORY STRUCTURE WITH
   RELEVANT EXPERTISE; WHEREAS THE LISTED ACTIVITIES WITH RESPECT TO CANNABIS/MARIJUANA/HEMP
   AND PRODUCTS DERIVED/PRODUCED THEREFROM CONTAINING CANNABIS ARE LAWFUL IN THIS STATE WITH
   REQUIRED LICENSING, AND SHALL BE REGULATED AND TAXED IN LIKE MANNER; THE GENERAL ASSEMBLY
   SHALL ENACT AN EXCISE TAX OF (5%) FIVE PERCENT TO BE LEVIED UPON WHOLESALE SALES OF
   CANNABIS/MARIJUANA/HEMP AND CANNABIS INFUSED GOODS AND SERVICES, REQUIRING THE FIRST $30
   MILLION IN REVENUE RAISED ANNUALLY BY SUCH TAX BE CREDITED TO THE PUBLIC SCHOOLS; THAT THE
   LISTED ACTIVITIES WITH RESPECT TO CANNABIS AND PRODUCTS DERIVED THEREFROM CONTAINING
   CANNABIS BY PERSON(S) TWENTY-ONE (21) YEARS OF AGE OR OLDER ARE LAWFUL IN THIS STATE WITH
   REQUIRED LICENSING, AND SHALL BE REGULATED IN LIKE MANNER; AND THE USE THEREOF AS AN
   INTOXICANT SIMILAR TO ALCOHOL, AND UNDER THE AGE OF TWENTY-ONE (21) YEARS SHALL BE ILLEGAL.
   1
   11-3-2017 THE STATE SHALL ALLOW FOR THE CANNABIS INDUSTRY OPERATION OF RETAIL AND NON-RETAIL FACILITIES
   FOR CANNABIS; TAX INDUSTRIAL AND COMMERCIAL CANNABIS IN LIKE MANNER; PERMITIING THE USE OF
   MEDICAL CANNABIS/MARIJUANA TO ASSURE THAT PATIENTS, INCLUDING THOSE UNDER 21 YEARS OF AGE,
   MAY HAVE SAFE ACCESS TO MEDICAL CANNABIS TO TREAT DISEASE, INJURY, OR ILLNESS; REQUIRING THE
   RELEASE AND EXONERATION OF NON-VIOLENT CANNABIS/MARIJUANA OFFENDERS IN THIS STATE FROM
   INCARCERATION, PROBATION, AND OR PAROLE, AND DISMISSING, AND OR EXPUNGING, SUCH CONVICTIONS
   FROM SUCH CRIMINAL RECORDS IN THIS STATE; AND PROVIDING THAT THE SALE OF ANY CANNABIS AND
   CANNABIS INFUSED PRODUCTS, GOODS AND SERVICES ARE SUBJECT TO ALL STATE AND LOCAL SALES TAXES,
   SPECIAL TAXES, EXCISE DUTY ON INLAND/IMPORT, AND CUSTOM DUTIES ON BORDER/EXPORT; AND
   PROVIDING THAT THE TAX REVENUES, EXCLUDING LOCAL SALES TAXES, ON ANY CANNABIS AND CANNABIS
   INFUSED PRODUCTS, GOODS AND SERVICES SHALL BE DISTRIBUTED {10%) TO THE BUREAU OF
   CANNABIS/MARIJUANA CONTROL; {5%) TO THE CANNABIS/MARIJUANA CONTROL BOARD; {20%) TO THE
   ARKANSAS DEPARTMENT OF EDUCATION PUBLIC SCHOOLS; (15%) TO THE ARKANSAS AGRICULTURE
   DEPARTMENT; (10%) TO THE ARKANSAS DEPARTMENT OF HUMAN SERVICES AGING AND ADULT SERVICES;
   (20%) TO THE RETINUE CONSORTIUM CORPORATION; {10%) TO THE ARKANSAS DEPARTMENT OF HUMAN
   SERVICES PARKS AND TOURISM DEPARTMENT; (10%) TO THE ARKANSAS HIGHWAY AND TRANSPORTATION
   DEPARTMENT; AND TO THE COMMUNITY REINVESTMENT FUND §6(dd)(8)(a-e) $300,000,000 WITHOUT
   FISCAL YEAR LIMITATIONS UPON PASSAGE OF THIS AMENDMENT; AND PROVIDING REGARDING THIS
   AMENDMENT THAT NO LEGISLATORS CAN REMOVE THE LAW BECAUSE IT IS AN AMENDMENT TO THE
   ARKANSAS CONSTITUTION, AND CAN ONLY BE DONE SO BY THE VOTERS.
   BE IT ENACTED BY THE PEOPLE OF THE STATE OF ARKANSAS:
   ARTICLE 2. DECLARATION OF RIGHTS, AND ARTICLE 10. AGRICULTURE, MINING, AND MANUFACTURE OF
   THE CONSTITUTION OF THE STATE OF ARKANSAS IS AMENDED BY THE ADDITION OF A NEW SECTION TO
   READ:
   ARTICLE 2. § 30 ENVIRONMENT AND NATURAL RESOURCES PROTECTION
   ARTICLE 10. § 4 NATURAL RESOURCE CANNABIS PROTECTION
   ENVIRONMENT AND NATURAL RESOURCES PROTECTION IS THE RIGHT OF THE PEOPLE OF THIS STATE TO BE
   SECURE IN THE PROTECTION AND IMPROVEMENT TO PREVENT UNREASONABLE DEPLETION OF A NATURAL
   AGRICULTURE HERITAGE AND ERADICATION OF A VALUABLE AND CLEAN ENERGY NATURAL RESOURCE THE
   CANNABIS/MARIJUANA PLANT; {i.e. GENUS CANNABIS A NATURAL RESOURCE); OF WHICH HAS NUMEROUS
   AND INEXHAUSTIBLE USES; WITH THE PRODUCTION OF THE DROUGHT RESISTANT, SELF-FERTILIZING, AND
   PEST-RESISTANT PLANT ALLOWING FOR ENERGY INDEPENDENT BIOMASS TECHNOLOGY AND JOBS, WE
   COULD MEET OUR ENERGY NEEDS, MAKING AMERICA ENERGY INDEPENDENT; WHILE ALLOWING OUR TREES
   TO REPLENISH AND SHARING CLEANING UP THE CARBON-DIOXIDE FROM THE ATMOSPHERE IMPROVING
   OUR QUALITY OF LIFE; INCLUDING JOBS; WITH NO FORCED SETILEMENT FUNDS SET ASIDE BECAUSE THERE IS
   NO RECORDED HISTORY OF HUMAN SICKNESS OR DISEASE DEVELOPED THEREFROM. NOTWITHSTANDING,
   THE FEDERAL LAW SHALL BE ABROGATED; AND CANNABIS/MARIJUANA/HEMP SHALL BE LEGAL IN THE STATE
   OF ARKANSAS FOR RECREATIONAL, INDUSTRIAL, COMMERCIAL, PERSONAL, AND MEDICAL PURPOSES; AND
   SHALL NOT BE AN OFFENSE OR ILLEGAL, OR A BASIS FOR SEIZURE OR FORFEITURE OF ASSETS UNDER
   ARKANSAS LAW: ANY LAWS THAT CONFLICT WITH THESE RIGHTS ARE REPEALED UPON PASSAGE OF THIS
   AMENDMENT.
   2
   11-3-2017 § 1. Popular Name.
   This is an amendment to the Arkansas Constitution that shall be called the "Natural Resource Cannabis
   Amendment." The General Assembly shall pass such laws and regulations as will foster, implement, and
   aid the agricultural, manufacturing, industrial, commercial, medical, personal, recreational, and use, of
   the cannabis/marijuana/hemp industry interests of the State.
   § 2. Effective Date.
   This amendment shall be effective on and after November 7, 2018.
   § 3. Purpose, Findings, Declarations, and Intent.
   (a) In the interest of matters of statewide concern, to control, tax, and regulate the natural
   resource clean energy cannabis cultivation, distribution, sale, and use, and to protect Arkansans and the
   environment from potential dangers; and the efficient use of law enforcement resources, this
   amendment establishes the Bureau of Cannabis/Marijuana Control within the Department of Consumer
   Affairs to regulate and license the natural resource clean energy cannabis industry, due to Cannabis'
   Schedule I listing is disingenuous given the fact that the federal government cannot produce any
   research or evidence justifying its classification; and for promoting the economic and ecological vitality
   growth, enhancing revenues, eliminating revenue shortfalls; to be secure in the protection and
   improvement to prevent unreasonable depletion of a natural agriculture heritage and eradication of a
   valuable and natural resource, the cannabis plant (genus cannabis-marijuana) of numerous and
   inexhaustible potentials, and jobs, enhancing revenue for public purposes, individual freedom, and the
   health and public safety of our citizenry, the people of the state of Arkansas find and declare:
3. That currently, cannabis/marijuana growth and sale is not being taxed by the State of
   Arkansas, which means our state, is missing out on hundreds of millions of dollars in potential tax
   revenue every year. The Natural Resource Cannabis Amendment, will allow for taxing both the growth
   and sale of cannabis/marijuana generating revenue for the cost of administering the new law; public
   health programs that educate to prevent substance abuse; efficient use of law enforcement resources;
   invest in communities to reduce the illicit marijuana market and create job opportunities; promoting the
   economic and ecological vitality growth, and eliminating revenue shortfalls annually.
4. That providing the citizenry with a future of opportunity by bringing JOBS in the natural
   resource clean energy cannabis industry; to protect the clean energy natural resource of inexhaustible
   potentials, allowing for energy independent biomass technology and jobs to America for the lawful
   cultivation, production, manufacturing, distribution, receiving, harvest, sale, possession, display,
   transport, purchase, storing, processing, testing, analyzing, packaging, paraphernalia/accessories,
   supplying to cannabis/marijuana facilities, and use, of the cannabis plant for recreational, industrial,
   commercial, personal, and medical purposes, and all products derived/produced containing
   cannabis/marijuana therefrom including the use of the unprocessed cannabis plant, which adheres to
   the current regulations and local, state, and federal laws; shall be legal for persons twenty-one (21) years
   of age or older; and including, but not limited to, the conflating of the cannabis/marijuana issues - which
   is the full legalization of cannabis/marijuana/hemp, bringing together into a composite whole of all of
   the cannabis issues; including the personal, recreational, commercial cultivation of the cannabis plants
   propagation, possession, and use; of which federal law holds precedence over state laws; therefore,
   bringing the intention issue ofthe otherwise continued federal raids to an end; and or any rule adopted
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   11-3-2017 hereafter, the term "controlled substance" shall not include cannabis/marijuana; ending the federal
   prohibition on cannabis/marijuana. And including the removal from the schedule of controlled
   substances the terms where applicable, and striking "cannabis/marijuana" and "tetrahydrocannabinols";
   including the removal of prohibition on shipping, transportation, import, and export of
   cannabis/marijuana upon passage ofthis amendment; and shall be legal within the state of Arkansas;
   and shall not be an offense or illegal, or be a basis for seizure or forfeiture of assets under Arkansas law
   and regulated and taxed in like manner as similar products, purpose, and categories as any other
   textiles, commodity, agriculture, goods and services produced in or out of this state upon passage of this
   amendment.
5. That the purpose ofthis amendment, is to establish a comprehensive system to legalize,
   control, regulate, and tax the §4{s) listed activities of cannabis/marijuana/hemp, and the growth and
   sale of cannabis/marijuana; and governing cannabis/marijuana businesses set up at state levels and
   safeguards local control, allowing local governments to regulate cannabis/marijuana related activities, to
   subject cannabis/marijuana businesses to zoning and permitting requirements, and to ban
   cannabis/marijuana businesses by a vote of the people within a locality by taking cannabis/marijuana
   production and sales out of the hands of the illegal market; and bring them under a regulatory structure
   that prevents access by minors and protects public safety, public health, and the environment.
6. That by legalizing cannabis/marijuana, this amendment will alleviate pressure on the
   courts, but continue to allow prosecutors to charge the most serious cannabis/marijuana related
   offenses as felonies, while eliminating the penalties for minor cannabis/marijuana related offenses,
   greatly reducing the overall costs of maintaining a prison-police state for the 89% non-violent minor
   cannabis violators.
7. That this amendment creates an opportunity §4(b), and §lO{a-r), for a comprehensive
   Regulatory structure in which, every cannabis/marijuana business is overseen by a specialized agency
   with relevant expertise. The Bureau of Cannabis/Marijuana Control, housed within the Department of
   Consumer Affairs, will oversee the whole system and ensure a smooth transition to the legal market,
   implementing §4{ee), and §lO{a-r), with licenses issued beginning in 2020. The Department of
   Consumer Affairs will also license and oversee cannabis/marijuana retailers, distributors, and
   microbusinesses. The Department of Food and Agriculture will license and oversee cannabis/marijuana
   cultivation, ensuring it is environmentally safe. The Department of Public Health will license and oversee
   manufacturing and testing, ensuring consumers receive a safe and labeled product. The State Board of
   Equalization will collect the cannabis/marijuana taxes, and the Controller will allocate the revenue to
   administer the new law and provide the funds to critical investments upon passage of this amendment.
   Such excise tax shall be levied upon medical cannabis/marijuana intended for sale pursuant to §3{a){S),
   and §8{e), and §lO{m) of this amendment; there shall be local, state, federal, or special taxes imposed
   on medical cannabis/marijuana; medical cannabis/marijuana sold in this state shall not be tax exempt
   upon passage of this amendment.
8. That this amendment ensures the cannabis/marijuana industry in Arkansas will be built
   around small and medium sized businesses by prohibiting large-scale cultivation licenses for the first ten
   {10) years. This amendment, also protects consumers and businesses by imposing strict anti-monopoly
   restrictions for businesses that participate in the cannabis/marijuana industry, prohibiting corporate
   takeover of the cannabis industry; including "Unreasonable pricing", preventing subjecting any person or
   entity to extortion or undue exaction, overcharge, and or excessive and unreasonable pricing or price
   4
   11-3-2017 gouging; also including circumstances that would make it "Unreasonably impracticable" for any person
   or entity that the measures necessary to comply with the regulations require such a high investment of
   risk, money, time, or any other resource or asset that the operation of a cannabis/marijuana
   facility/establishment is not worthy of being carried out in practice by a reasonably prudent business
   person.
   (b) In the interest of enacting rational policies for the treatment of all variations of the cannabis
   plant, the people of Arkansas further find and declare that industrial hemp should be regulated
   separately from strains of cannabis with higher (Delta-9-THC) delta-9-tetrahydrocannabinol (THC)
   concentrations.
   (c) In the interest of the health and public safety of our citizenry, the people of the state of
   Arkansas further find and declare:
9. That the cultivation, production, distribution, sale, and use of cannabis/marijuana
   should be regulated so that:
10. Individuals will have to show proof of age before purchasing cannabis/marijuana for
    recreational and or personal use;
11. Legitimate, taxpaying business people, will conduct sales of cannabis/marijuana for
    recreational, industrial, commercial, personal, and medical purposes;
12. Cannabis/marijuana sold by regulated businesses will be labeled and subject to
    regulations to ensure that consumers are informed and protected.
    (d) The people of the state of Arkansas further declare that industrial hemp should be grown as an
    agricultural product, and for agricultural or academic research, and regulated separately from the strains
    of cannabis with higher (Delta-9-THC) delta-9-tetrahydrocannabinol concentrations; and regulated and
    taxed in like manner as similar p'roducts, purpose, and categories such as any other textile, commodity,
    agricultural, goods and services produced in or out of this state.
    (e) Selling, distributing, purchasing, possession, or transferring cannabis/marijuana by and to
    individuals that are considered mentally impaired and or minors by the state of Arkansas under the age
    of twenty-one (21) years shall remain illegal.
    (f) The people ofthe state of Arkansas further find and declare that it is necessary and are
    matters of statewide concern to ensure consistency and fairness in the application of this amendment
    throughout the state; and that, therefore, the matters addressed by this amendment are, as specified
    herein; and including, but not limited to, that it shall be illegal for any person(s) to participate in any
    pay-to-play transactions, i.e. any legal citizen(s) desiring to change a local, state, or federal law can do
    so, and shall not be impeded, denied, or abridged in doing so regardless of insufficient resources, or
    inability to pay; upon certification of this amendment, and without being charged for such actions of the
    amendment to ballot processes, including but not limited to, the submission for printing, publishing,
    obtaining signatures, traveling, etc., eliminating the exorbitant costs and excessive burden on the
    Sponsor of lessor means, and making it affordable to all; and that if charged costs for amendment to
    ballot processes, the costs will be retroactively reimbursed within thirty(30) days of claim to the entity,
    of being charged, from the entity charging the costs; regarding whether the costs occurred prior to,
    during, and or after the effective date of this amendment; that it shall be illegal for any person(s) to
    impede, deny, or abridge any legal citizen(s) voting rights to wit: forcing registration of any legal
    citizen(s) to vote when presenting a valid form of photo ID (i.e. Driver's License, or a State ID card); and
    that where applicable to the rules, regulations, and laws to be amended as to foster, implement, and aid
    5
    11-3-2017 the aforementioned, and following, making these rights of the people available to all legal citizens
    regardless of race, color, servitude, or means, to have the ability to vote. This amendment being
    necessary for the immediate preservation of the public peace, health and safety, an emergency is
    declared to exist, and this amendment takes effect upon its passage.
    (g) Nothing in this amendment proposes or intends to require any individual or entity to engage
    in any conduct that violates, or exempt any individual or entity from any requirement of, or pose any
    obstacle to federal enforcement offederal law upon passage of this amendment.
    § 4. Definitions.
    (a) "Board" is defined for the purposes of this amendment means the Alcoholic Beverage Control
    Board; or the Cannabis/Marijuana Control Board, or the State Board of Equalization.
    (b) "Bureau of Cannabis/Marijuana Control" is defined for the purposes of this amendment
    under §lO{a-r), shall administer, regulate, and create an opportunity for a comprehensive Regulatory
    structure in which every cannabis/marijuana business is overseen by a specialized agency with relevant
    expertise; and housed within the Department of Consumer Affairs, and will oversee the whole system
    and ensure a smooth transition to the legal market, implementing §4(ee), and §lO(a-r), with licenses
    issued beginning in 2020.
    (c) "Cannabis/Marijuana" for the purposes of this amendment are used synonymously and
    interchangeably and mean the same thing; and is defined for purposes of this amendment as any part of
    the natural resource clean energy cannabis plant (genus Cannabis), living or not, including seeds, resin,
    concentrate, every compound, manufacture, salt, derivative, mixture, or preparation of the plant, and
    containing greater than one percent {1%), by dry weight, Delta-9-Tetrahydrocannabinol (Delta-9-THC).
    And any person(s) that come into contact with cannabis in any way, shape, or form, that engage in acts
    permitted by this amendment has immunity from disciplinary action, and shall not be subject to
    detainment, arrest, penalty in any manner or denied any right or privilege or suffer any retribution from
    any agency, business, or entity, in accordance with and upon passage of this amendment.
    (d) "Cannabis/Marijuana accessories/paraphernalia" means any equipment, products, or
    materials of any kind which are used, intended for use, or designed for use in, including but not limited
    to planting, propagating, cultivating, growing, harvesting, composting, manufacturing, compounding,
    converting, producing, processing, preparing, testing, analyzing, packaging, repackaging, storing,
    vaporizing, smoking, concealing, or containing cannabis/marijuana, or for ingesting, inhaling, or
    otherwise introducing cannabis/marijuana into the human body, or cannabis/marijuana products
    therefrom, including cannabis infused products for person(s) twenty-one (21) years of age or older; and
    notwithstanding any other provision of law, the aforementioned, and following, to possess, purchase,
    distribute, transfer, transport, display, and or sell; and can possess and have on their person or in close
    proximity to, up to three (3) ounces or less of cannabis/marijuana and or as defined in §4{y); and or for
    being in the presence or vicinity of the use of cannabis; shall not be subject to detainment, arrest,
    penalty in any manner or denied any right or privilege, or suffer any retribution from any person, agency,
    business, or entity for the use of cannabis in accordance with this amendment; and shall be lawful within
    the state of Arkansas; which adheres to the current regulations and local, state, and federal laws; and
    shall be lawful whether in or out of the state of Arkansas, and shall not be an offense or illegal, or be a
    basis for seizure or forfeiture of assets under local, state, federal, or Arkansas laws; and regulated and
    taxed in like manner as similar products, purpose, and categories such as any other textile, commodity,
    6
    11-3-2017 agriculture, goods and services produced in or out of this state for person(s) twenty-one (21) years of
    age or older upon passage of this amendment.
    (e) "Cannabis/Marijuana Control Board". is defined for the purposes of this amendment under
    §9(b), and §10(c), for the cannabis industry that the Legislature shall create within six (6) months a
    Cannabis/Marijuana Control Board within the Department of Commerce, Community, and Economic
    Development or its successor agency to assume the power, duties, and responsibilities delegated to the
    Alcoholic Beverage Control Board under and upon passage of this amendment.
    (f) "Cannabis/Marijuana Cultivation Facility" is defined for the purposes of this amendment
    as being licensed by the Bureau of Cannabis/Marijuana Control under §4(b)(e)(g)(s)(cc)(ee), § 6(e), and
    §10(a)(c), of this amendment for a cannabis/marijuana cultivation and growing facility imparting equal
    pay for equal work, fair wages, training, working conditions, regulations, and safety conditions to all
    employee(s) and personnel; such regulations are subject to the following conditions and shall include all
    the aforementioned and hereafter: maintain a database that enables verification of all transactions that
    are to be recorded with any activity involving the preparation, planting, growing, harvesting, drying,
    curing, grading, trimming, processes, packaging, selling, or transporting cannabis/marijuana to a
    dispensary, business, person, or entity; including but not limited to clones, immature plants, seeds, and
    other agricultural products used specifically for the planting, propagation, and cultivation of
    cannabis/marijuana; including but not limited to; §4(g) 1-13; and including "Testing services" in a
    laboratory, facility, or entity in the state, that offers or performs tests of cannabis/marijuana and
    products therefrom, and shall be lawful whether in or out of the state of Arkansas; and shall not be an
    offense or illegal; or be a basis for seizure or forfeiture of assets under local, state, federal, or Arkansas
    laws; and regulated and taxed in like manner as similar products, purpose, and categories such as any
    other textile, commodity, agricultural, goods and services produced in or out of this state for person(s)
    twenty-one (21) years of age or older upon passage ofthis amendment; including the equipment
    provided by such laboratory, facility, or entity, and is "Accredited" by an accrediting body that is
    independent from all other persons involved in commercial cannabis/marijuana activity in the state;
    "Registered" with the Department of Public Health; and uses a method under §4(ee), for Automatic
    Identification and Data Capture; an API, a RFID tag, an "Unique Identifier". It shall not be limited or
    prohibited for the number of lawful cannabis operational facilities per person; but only one (1)
    cannabis/marijuana license per year, per county, per each valid lawful operational facility; except that in
    conjunction with the aforementioned, no qualified person shall own interest in more than; one (1)
    dispensary facility, or one (1) cultivation facility; and a licensee shall not also be licensed or hold interest
    in or as a retailer of alcoholic beverages or of tobacco products.
    (g) "Cannabis/Marijuana Dispensary and Cultivation Facility" are defined for the purposes
    of this amendment as being licensed by the Bureau of Cannabis/Marijuana Control under
    §4(b)(e)(f)(s)(cc)(ee), and §6(e) of this amendment for a cannabis/marijuana facility imparting equal pay
    for equal work, fair wages, training, working conditions, regulations, and safety conditions to all
    employee(s) and personnel; such regulations are subject to the following conditions and shall include all
    the aforementioned and hereafter: maintain a database that enables verification of all transactions that
    are to be recorded with any activity involving the purchase of cannabis, and cannabis/marijuana
    products produced therefrom for recreational, industrial, commercial, personal, and medical purposes,
    as defined in §4(s), and shall be lawful whether in or out of the state of Arkansas, and shall not be an
    offense or illegal under local, state, federal, or Arkansas laws; or be a basis for seizure or forfeiture of
    7
    11-3-2017 assets under local, state, federal, or Arkansas laws; and regulated and taxed in like manner as similar
    products, purpose, and categories such as any other textile, commodity, agricultural, goods and services
    produced in or out of this state for person(s) twenty-one (21) years of age or older. A person twenty-
    one (21) years or older can purchase cannabis/marijuana at any valid state licensed dispensary of their
    choice with a valid medical cannabis/marijuana ID card or its equivalent, or a cannabis/marijuana
    license, and or a hemp license upon passage ofthis amendment.
13. A qualified person must be an Arkansas state resident of seven (7) consecutive years or
    more to be a licensed owner of a dispensary or a cultivation facility.
14. It shall not be limited or prohibited for the number of lawful cannabis operational facilities
    per person; but only one (1) cannabis/marijuana license per year, per county, per each valid lawful
    operational facility; except that in conjunction with the aforementioned, no qualified person shall own
    interest in more than; one (1) dispensary facility, or one (1) cultivation facility; and a licensee shall not
    also be licensed or hold interest in or as a retailer of alcoholic beverages or of tobacco products.
15. Both a dispensary facility and a cultivation facility license shall expire one (1) year after the
    date of issuance. A license renewal for a dispensary facility or a cultivation facility will be issued within
    ten {10) days to any entity who complies with the requirements contained in this amendment before the
    expiration date on license held, including accompanied payment of the renewal fee.
16. Both a dispensary facility and a cultivation facility may receive compensation for providing
    the goods and services aforementioned and following under this amendment.
17. A dispensary may acquire, manufacture, grow, sell, possess, prepare, deliver, transfer,
    transport, supply and dispense up to three-hundred (300) mature cannabis/marijuana plants, and all
    products derived/produced therefrom the cannabis plant including seedlings, seeds, cuttings, the use of
    the unprocessed cannabis plant, and marijuana paraphernalia as to meet the consumer demands at any
    time to qualifying person(s), patient(s), designated caregiver(s), and businesses.
18. A dispensary may contract with a cultivation facility to cultivate, transfer, and transport the
    requested number of cannabis/marijuana plants and products the dispensary is permitted to grow and
    sell.
19. A cultivation facility may grow, cultivate, possess, transfer, and transport
    cannabis/marijuana and all products derived/produced therefrom the cannabis plant including the use
    of the unprocessed cannabis plant to meet the demand as determined for the needs of the qualifying
    consumers and the dispensaries, and shall be lawful whether in or out of the state of Arkansas, and shall
    not be an offence or illegal, or be a basis for seizure or forfeiture of assets under local, state, federal, or
    Arkansas laws upon passage of this amendment.
20. A cultivation facility may sell cannabis/marijuana to another cultivation facility, a
    manufacturing facility, an industry or commercial facility, and or a dispensary where deemed necessary
    by request for an order of product and shall be lawful whether in or out of the state of Arkansas, and
    shall not be an offence or illegal, or be a basis for seizure or forfeiture of assets under local, state,
    federal, or Arkansas laws upon passage ofthis amendment.
21. Any licensed cannabis/marijuana facility that does including but not limited to under §4(s);
    all or either, plants, grows, cultivates, prepares, harvests, dries, cures, grades, trims, packages, possesses,
    transfers, transports, sells, delivers, tests, and processes the genus cannabis plant has an obligation to
    create a category of biological classifications rankings; determine the DNA species strain name; and THC
    8
    11-3-2017 potency levels of each different plant species; for the labeling, ensuring that the public health and safety
    of consumers are informed and protected.
22. A consumer, upon showing proof of age, who purchases cannabis or cannabis/marijuana
    products produced therefrom can purchase from a dispensary or a cultivation facility for recreational
    and or personal use, but not for resale to others and can do so without a cannabis/marijuana license.
23. All in or out of state confirmed valid medical cannabis/marijuana ID cards or its equivalent
    are valid at any cannabis/marijuana dispensary or cultivation facility within the state of Arkansas.
24. Both dispensary and cultivation facilities are subject to random nonscheduled reasonable
    inspections appointed by the Bureau of Cannabis/Marijuana Control to a designated agency(s) for the
    health and public safety of the people of the state of Arkansas when deemed necessary.
25. All cannabis facilities, vehicles, and personnel shall have issued as defined in §4(ee) a track
    and trace unique identifier 'Security Key Card ID' for entrance into locked areas of usable cannabis.
    (h) "Cannabis/Marijuana/hemp license" is defined for purposes of this amendment as a valid
    license issued by the state to the licensee, any qualified agency, business, entity, or person twenty-one
    (21) years of age or older for as defined in §4(s)(f)(g)(q)(cc), of the cannabis plant for recreational,
    industrial, commercial, personal, and medical purposes, and all products derived/produced therefrom
    the cannabis plant including the use of the unprocessed cannabis plant are lawful within the state of
    Arkansas; which adheres to the current regulations, and local, state, federal, and Arkansas laws upon
    passage ofthis amendment. Any cannabis license holder or medical cannabis ID holder can purchase
    hemp for whatever reasons needed. Each license shall display a license account number,
    facility/premises name, address, and expiration date, including licensee photo, name, date of birth, and
    address. A license annual renewal for an agency, business, or entity will be issued within ten (10) days to
    any entity who complies with the requirements contained in this amendment before the expiration date
    on license held, including accompanied payment of renewal fee. And each valid medical cannabis
    registration ID, and certification as defined in §4(u) shall display a qualifying patient's prescribed
    medication labeled to show the name of the physician, patient, pharmacy name address and phone
    number, RX number, date issued, dosage use, and frequency, description, refill date, quantity amount,
    designated quality type and medication name, and designated caregiver if any; and established by a
    sliding scale based upon income, a medical cannabis ID shall be renewable annually; or for the duration
    set by the physician. A license or a medical cannabis ID card may be revoked or suspended if either
    facilitated a crime and or a violation of any provision of this amendment, or any other penalties
    established in law for the crime or violation upon passage of this amendment.
    (i) "Cannabis/Marijuana related facility and Personnel" are defined for the purposes of this
    amendment as a valid licensed cannabis operational facility imparting equal pay for equal work, fair
    wages, training, working conditions, regulations, and safety conditions to all employee(s) and personnel;
    such regulations are subject to the following conditions and shall include all the aforementioned and
    hereafter: notwithstanding any other provision of law, the following acts, when performed by a lawful
    licensed operational facilities or a valid licensee, any qualified person(s) twenty-one (21) years of age or
    older performing in capacity as an owner, employee, or agent of the facility, are lawful and shall not be
    an offense or illegal, or be a basis for seizure or forfeiture of assets under local, state, federal, or
    Arkansas laws: as defined in §4(c)(s)(cc), and or to lease or otherwise allow the use of property owned,
    occupied or controlled by any qualified person(s), corporation, or other entity for any of the activities
    conducted lawfully in accordance with the aforementioned and following, for recreational, industrial,
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    11-3-2017 commercial, personal, and medical purposes, of products derived/produced therefrom the
    cannabis/marijuana plant including the use of the unprocessed cannabis plant. All cannabis and
    cannabis infused products produced therefrom shall be subject to quality assurance, inspection, and
    testing to ensure that consumers are informed and protected upon passage of this amendment. Any
    cannabis industry related personnel, facilitator, facility, provider, owner, agent, employee, patient, or
    consumer, shall be prohibited from, and shall not cause self or others to accept, solicit, or offer any form
    of pecuniary remuneration to undermine the cannabis industry. All cannabis facilities, vehicles, and
    personnel shall have issued as defined in §4(ee) a track and trace unique identifier 'Security Key Card ID'
    for entrance into locked areas of usable cannabis.
    (j) "Commercial cannabis/marijuana facility" is defined for the purposes of this amendment as
    an entity, a company licensed to and engaged in commerce the exchange or buying and selling of
    commodities on a small or large scale involving transportation from place to place for production or
    service as a cannabis/marijuana facility, as defined in §4(c)(s)(cc), imparting equal pay for equal work,
    fair wages, training, working conditions, regulations, and safety conditions to all employee(s) and
    personnel; such regulations are subject to the following conditions and shall include all the
    aforementioned and hereafter: and shall be lawful whether in or out of the state of Arkansas, and shall
    not be an offense or illegal, or be a basis for seizure or forfeiture of assets under local, state, federal, or
    Arkansas laws; and regulated and taxed in like manner as similar products, purpose, and categories such
    as any other textile, commodity, agricultural, goods and services produced in or out of this state for
    person(s) twenty-one (21) years of age or older upon passage ofthis amendment.
    (k) "Consumer" as defined for the purposes of this amendment means a person twenty-one (21)
    years of age or older who purchases cannabis or cannabis/marijuana products produced therefrom for
    including, but not limited to, recreational and or personal use but not for resale to others and can do so
    without a cannabis/marijuana license.
    (I) "Controlled Substance" as defined for the purposes of this amendment means a drug that
    requires permission from a physician/doctor to prescribe for use for the treatment of a disease, illness,
    or injury; to wit: the cannabis plant (genus Cannabis) marijuana an intoxicant; a substance (as a drug)
    whose use and possession is regulated by law in the following statute and or any rule adopted hereafter,
    where applicable, the term "controlled substance" shall not include cannabis and or marijuana: {title 21,
    chapter 13 of the U.S. Code).
    (m) "Department" means Bureau, and or, Department governmental agency where applicable
    i.e., the Bureau of Cannabis/Marijuana Control, the Department of Consumer Affairs, the Department of
    Finance and Administration/ Department of Revenue or its successor agency.
    (n) "Excise tax" is defined for the purposes of this amendment means a cannabis excise tax shall
    be imposed upon purchasers of cannabis, and cannabis products sold at the rate of five (5%) percent of
    the gross receipts of sales from any cannabis industry retail, non-retail, a retailer, microbusiness,
    nonprofit, business, property, and county taxes, and all sales of cannabis and cannabis infused products
    produced therefrom, and goods and services by an entity or other person required to be licensed
    pursuant to this amendment to sell cannabis/marijuana/hemp directly to a purchaser; excise duty on
    inland/import, and custom duties on border/export; and levied upon wholesale sales of
    cannabis/marijuana/hemp an excise tax of at a rate offive (5%) percent and not to exceed ten {10%)
    percent; prior to January 1, 2030, of which the first $30 million in revenue raised annually by such tax be
    credited to the public schools.
    10
    11-3-2017 (1) An excise or excise tax (sometimes called a special excise duty) is an inland tax on the
    sale, or production for sale, of specific goods or a tax on a good produced for sale, or sold, within a
    country or licenses for specific activities. Excises are distinguished from customs duties, which are taxes
    on importation. Excises are inland taxes, whereas customs duties are border taxes. An excise is
    considered an indirect tax, meaning that the producer or seller who pays the tax to the government is
    expected to try to recover or shift the tax by raising the price paid by the buyer. Excises are typically
    imposed in addition to another indirect tax such as a sales tax or value added tax (VAT). An excise is
    distinguished from a sales tax or VAT in three ways:
    (2) An excise typically applies to a narrower range of products;
    (3) An excise is typically heavier, accounting for a higher fraction of the retail price of the
    targeted products; and
    (4) An excise is typically a per unit tax, costing a specific amount for a volume or unit of
    the item purchased, whereas a sales tax or VAT is an ad valorem tax and proportional to the price of the
    good. Typical examples of excise duties are taxes on gasoline and other fuels, and taxes on tobacco and
    alcohol (sometimes referred to as sin tax).
    (o) "General Revenue Fund or Fund" as defined for the purposes of this amendment as an
    account for receiving monies for the entity designated named general revenue fund account; funds
    received from at the state and local levels of government that may be utilized for any purposes within
    the designated named entity. These unallocated funds are acquired through business and property
    taxation. Since the funds are not governed by law, a designated named entity may use the funds to
    engage in a variety of activities within their own designated named entity departments, such as for but
    not limited to administration, costs, improvements, labor, new hires, employees, technology, etc.
    (p) "Industrial Hemp" is defined for purposes of this amendment as (hemp) any part of the
    cannabis plant (genus Cannabis), living or not, containing one percent (1%) or less, by dry weight, Delta-
    9-Tetrahydrocannabinol (Delta-9-THC).
    (q) "Industrial hemp related facility" is defined for the purposes of this amendment as an
    entity, a company licensed to engage in industrial production or service as a lawful valid licensed
    operational cannabis/marijuana facility imparting equal pay for equal work, fair wages, training, working
    conditions, regulations, and safety conditions to all employee(s) and personnel; such regulations are
    subject to the following conditions and shall include all the aforementioned and hereafter:
    notwithstanding any other provision of law, the following acts, when performed by a lawful licensed
    operational facility or a valid licensee, any qualified person(s) twenty-one {21) years of age or older
    performing in capacity as an owner, employee, or agent ofthe facility as defined in §4{s)(cc), and or to
    lease or otherwise allow the use of property owned, occupied or controlled by any qualified person(s),
    corporation or other entity for any of the activities conducted lawfully in accordance with the
    aforementioned, for recreational, industrial, commercial, and medical purposes, including products
    derived/produced therefrom the cannabis plant including the use of the unprocessed cannabis plant are
    lawful and shall not be an offense or illegal, or be a basis for seizure or forfeiture of assets under local,
    state, federal, or Arkansas laws; and any person(s) that come into contact with cannabis/hemp in any
    way, shape, or form, that engage in acts permitted by this amendment has immunity from disciplinary
    action, and shall not be subject to detainment, arrest, penalty in any manner or denied any right or
    privilege or suffer any retribution from any agency, business, or entity for the use of cannabis/hemp in
    accordance with this amendment. All cannabis and cannabis/marijuana/hemp products produced
    11
    11-3-2017 therefrom shall be subject to quality assurance, inspection, and testing to ensure that consumers are
    informed and protected. And including that industrial hemp should be grown as an agricultural product,
    and for agricultural or academic research, and regulated separately from the strains of cannabis with
    higher (Delta-9-THC) delta-9-tetrahydrocannabinol concentrations; and regulated and taxed in like
    manner as similar products, purpose, and categories such as any other textile, commodity, agricultural,
    goods and services produced in or out ofthis state upon passage ofthis amendment.
    (r) "License" and "Licensee" as defined for the purposes of this amendment means any qualified
    person(s), agency, business, or entity receiving from the state a valid license and or a valid medical
    cannabis registration ID card, for the designated application of operation or condition as defined in
    §4(f)(g)(h)(q)(s)(t)(w)(cc)(gg)(ii), §S(b)(2)(4), §6(g), and §lO(a), upon passage of this amendment. Within
    one hundred twenty (120) days after the effective date of this amendment, the Bureau shall adopt rules
    establishing license application, license renewal fees, and issuance of temporary licenses for less than
    twelve (12)months, for a cannabis business facility; with license applications beginning no later than six
    (6) months after the passage ofthis amendment; and with licenses issued beginning March 6, 2020. A
    licensee's annual license renewal for any cannabis industry facility will be issued within ten (10) days to
    any entity who complies with the requirements contained in this amendment before the expiration date
    on license held, including accompanied payment of the renewal fee. A license or a medical cannabis ID
    card may be revoked or suspended if either facilitated a crime and or a violation of any provision of this
    amendment, or any other penalties established in law for the crime or violation upon passage of this
    amendment.
    (s) "Listed activities of qualified person(s) regarding cannabis/marijuana/hemp" is defined
    for the purposes of this amendment as an entity or qualified person(s) as defined in §4(cc), for
    performing in the capacity as an owner, employee, or agent of the facility, a function or duty for the
    valid licensed cannabis/marijuana facility employed by, for the lawful, including but not limited to
    cultivation, production, manufacturing, distribution, receiving, harvest, sale, possession, display,
    transport, labeling, transfer, purchase, storing, processing, testing, analyzing, packaging,
    paraphernalia/accessories, delivering, supplying to cannabis/marijuana facilities, and use of the cannabis
    plant for recreational, industrial, commercial, personal, and medical purposes, and all products
    derived/produced therefrom the cannabis plant including the use of the unprocessed cannabis plant;
    and all in or out of state confirmed valid medical cannabis/marijuana ID cards are valid at any
    cannabis/marijuana dispensary within the state of Arkansas; on behalf of and under the umbrella of the
    licensed cannabis/marijuana facility; including, but not limited to, the licensee(s) owned residential, and
    or other owned properties; and or to lease or otherwise allow the use of property owned, occupied or
    controlled by any qualified person(s), corporation or other entity for any of the activities conducted
    lawfully in accordance with, and notwithstanding any other provision of law, the aforementioned and
    following. And including the use thereof means concentrated cannabis/marijuana products, and
    cannabis/marijuana products that are comprised of cannabis/marijuana and other legal ingredients,
    including cannabis infused products, and are intended for use of consumption, such as, but not limited
    to cannabis infused, edible, and drink products, ointments, tinctures, textiles, building materials,
    industrial products, paper, energy and environmental products, body-care, and technical products;
    which adhere to the current regulations and local, state, and federal laws, and shall be regulated under
    state law; and including, but not limited to the conflating of the cannabis/marijuana issues -which is the
    full legalization of cannabis/marijuana/hemp, bringing together into a composite whole of all of the
    12
    11-3-2017 cannabis/marijuana issues; including the personal, recreational, medical, industrial, and commercial
    cultivation of the cannabis plants propagation, possession, and use; of which federal laws hold
    precedence over state laws; therefore, bringing the intention issue of the otherwise continued federal
    raids to an end; shall be legal within the state of Arkansas; and shall be lawful whether in or out of the
    state of Arkansas, and shall not be an offense or illegal, or be a basis for seizure or forfeiture of assets
    under local, state, federal, or Arkansas laws; and regulated and taxed in like manner as similar products,
    purpose, and categories such as any other textile, commodity, agricultural, goods and services produced
    in or out of this state for person(s) twenty-one (21) years of age or older; and all cannabis and
    cannabis/marijuana products produced therefrom shall be subject to quality assurance, inspection, and
    testing upon passage of this amendment.
    {t) "Medical Cannabis/Marijuana" is defined for the purposes of this amendment means a
    qualifying patient with a qualifying medical condition, or symptom as a qualifying medical condition, as
    defined in §4(x)(dd), including but not limited to the acquisition, possession, use, delivery, transfer, or
    transportation of cannabis/marijuana or paraphernalia relating to the administration of
    cannabis/marijuana to treat or alleviate the aforementioned, or the cannabis/marijuana and products
    produced therefrom containing cannabis/marijuana, including cannabis infused products, and including
    the use of the unprocessed cannabis plant that is used for the treatment of a disease, illness, or injury;
    and at any time a person while undertaking any task under the influence of medical cannabis senses
    when doing so would impede his or her ability, and to continue, the task would be compromised, and
    when reported shall not be subject to any disciplinary action, detainment, arrest, penalty in any manner
    or denied any right or privilege or suffer any retribution from any agency, business, or entity for the
    medical use of cannabis in accordance with this amendment; instead will be given an alternative place to
    rest until the medication levels out and he or she can return to the task; and shall be legal whether in or
    out of the state of Arkansas; and shall not be an offense or illegal; or be a basis for seizure or forfeiture
    of assets under local, state, federal, or Arkansas laws; and regulated in like manner as similar products,
    purpose, and categories such as any other textile, commodity, agricultural, goods and services produced
    in or out of this state for person(s) twenty-one (21) years of age or older; whether in or out of state
    confirmed valid medical cannabis/marijuana ID card or its equivalent that is issued allowing patients to
    access medical cannabis/marijuana in states where it's legal without fear of federal prosecution are valid
    at any cannabis/marijuana dispensary within the state of Arkansas; and shall disclose a qualifying
    patient's prescribed medication labeled to show the name of the physician, patient, pharmacy name,
    address, and phone number, RX number, date issued, dosage use, and frequency, description, refill date,
    quantity amount, designated quality type and medication name, and designated caregiver if any; and
    established by a sliding scale based upon income, a medical cannabis ID shall be renewable annually; or
    for the duration set by the physician; a medical cannabis ID card may be revoked or suspended if
    facilitated a crime and or a violation of any provision of this amendment, or any other penalties
    established in law for the crime or violation upon passage of this amendment.
    {u) "Medical Cannabis/Marijuana Written Recommendation/Certification" is defined for the
    purposes of this amendment as a document signed by a physician, a licensed medical doctor, who is
    licensed in this state, authorizing the use of medical cannabis/marijuana to a qualified patient; stating in
    his or her professional opinion that after full assessment of medical history and current medical
    condition of the patient that the cannabis use potential benefits outweigh the health risks. The medical
    record shall be noted and disclose showing both the document and prescription shall contain a
    13
    11-3-2017 qualifying patient's prescribed medication labeled to show the name of the physician, patient, pharmacy
    name, address, and phone number, RX number, date issued, dosage use, and frequency, description,
    refill date, quantity amount, designated quality type and medication name, and designated caregiver if
    any; including which orders may be refilled and as long as needed to supply the patient's need, an
    expiration date; and if necessary, referring to physician and parent protection clause for in the interest of
    health and public safety of our patients, a name of a designated caregiver an adult or relative twenty-
    one (21) years of age or older in possession of a cannabis ID card who may purchase the medication for
    the patient that is mentally challenged and or impaired, validated by a physician, a licensed medical
    doctor; the caregiver may receive compensation for providing the goods and services of the
    aforementioned; and shall not be subject to detainment, arrest, penalty in any manner or denied any
    right or privilege or suffer any retribution from any agency, business, or entity for the medical use of
    cannabis in accordance with this amendment for both the qualifying patient or designated caregiver;
    that each can possess and have on their person or be in close proximity to, not more than three ounces
    (3 oz) of cannabis/marijuana.
    (v) "Non-Retail Cannabis/Marijuana Facility/Establishment/Premises/Store" is defined for
    the purposes of this amendment means an entity licensed to lawfully purchase and sell, from and to
    cannabis/marijuana facilities, and to cultivate, produce, and distribute cannabis/marijuana and products
    derived/produced therefrom containing cannabis/marijuana including the use of the unprocessed
    cannabis plant and including infused with cannabis/marijuana to consumers for non-retail purposes, the
    selling of goods and services outside the confines of a retail facility; as defined in §4(s)(cc), imparting
    equal pay for equal work, fair wages, training, working conditions, regulations, and safety conditions to
    all employee(s) and personnel; such regulations are subject to the following conditions and shall include
    all the aforementioned and hereafter: and shall be lawful whether in or out of the state of Arkansas, and
    shall not be an offense or illegal, or be a basis for seizure or forfeiture of assets under local, state,
    federal, or Arkansas laws; and regulated and taxed in like manner as similar products, purpose, and
    categories such as any other textile, commodity, agricultural, goods and services produced in or out of
    this state for person(s) twenty-one (21) years of age or older upon passage of this amendment.
    (w) "Non-Retail cannabis/marijuana License" is defined for purposes of this amendment as a
    valid license registration issued by the state to the licensee, any person twenty-one (21) years of age or
    older for as defined in §4(s)(cc), of the cannabis plant for recreational, industrial, commercial, personal,
    and medical purposes, and all products derived/produced therefrom containing cannabis/marijuana
    including the use of the unprocessed cannabis plant and infused with cannabis are lawful within the
    state of Arkansas; which adheres to the current regulations and local, state, and federal laws upon
    passage of this amendment for non-retail purposes, the selling of goods and services outside the
    confines of a retail facility. Each license shall display a license account number, facility/premises name,
    address, date issued, and expiration date, including licensee photo, name, date of birth, and address.
    (x) "Patient" is defined for the purposes of this amendment means an Individual, a qualified
    Patient, that has been diagnosed, and issued a cannabis ID card, and under the medical care and
    treatment of a licensed medical physician of medicine or osteopathic medicine with a current valid
    unrestricted license to practice and prescribe controlled substances including medical
    cannabis/marijuana for a qualifying medical condition as defined in §4(dd); the patient or caregiver is
    allowed to possess on their person or in close proximity to, up to three (3) ounces of medical
    cannabis/marijuana; and shall not be subject to detainment, arrest, penalty in any manner or denied any
    14
    11-3-2017 right or privilege, or suffer any retribution from any person, agency, business, or entity for the medical
    use of cannabis in accordance with this amendment upon passage of this amendment.
    (y) "Personal use of cannabis/marijuana" is defined for the purposes of this amendment as
    defined in §6(1)(m), and §4(gg) there is no required license or cost for the personal recreational use of
    cannabis/marijuana or hemp for the resident within their private domestic domain and property; and in
    §4(s), for any person(s) twenty-one (21) years of age or older can possess and have on their person or in
    close proximity to, up to three (3) ounces or less of cannabis/marijuana and or as defined in §4(d); and
    or including plant (genus Cannabis) marijuana products derived/produced therefrom the cannabis plant,
    and the use thereof means concentrated cannabis/marijuana products, and cannabis/marijuana
    products therefrom, that are comprised of cannabis/marijuana and other legal ingredients, including
    cannabis infused products intended for use of consumption, such as, but not limited to, smoking,
    inhaling, edible or topical products, and drink products, ointments, tinctures, textiles, building materials,
    industrial products, paper, energy and environmental products, body-care, and technical products; and
    including, but not limited to, the conflating of the cannabis/marijuana issues -which is the full
    legalization of cannabis/marijuana/hemp, bringing together into a composite whole of all of the
    cannabis/marijuana issues; including the personal, recreational, and commercial cultivation of the
    cannabis plants propagation, possession, and use; of which federal law holds precedence over state
    laws; therefore, bringing the intention issue of the otherwise continued federal raids to an end; and shall
    be legal within the state of Arkansas; and shall not be an offense or illegal, or be a basis for seizure or
    forfeiture of assets under local, state, federal, or Arkansas laws; and regulated and taxed in like manner
    as similar products, purpose, and categories such as any other textile, commodity, agricultural, goods
    and services produced in or out of this state; a person shall not be subject to detainment, arrest, or
    penalty in any manner or denied any right, privilege, license, or suffer any retribution from any person,
    agency, business, or entity for personal use of cannabis/marijuana, unless otherwise, obvious influence
    impairment is prominent and paramount, upon passage of this amendment.
    (z) "Physician" is defined for the purposes of this amendment means any Arkansas physician with
    a DEA license to prescribe narcotics to authorize cannabis/marijuana for patients; that is a licensed
    medical doctor of medicine or osteopathic medicine who has a current unrestricted valid license to
    practice and has been issued a registration from the United States Drug Enforcement Administration
    (DEA) to prescribe controlled substances including medical cannabis/marijuana. A qualifying patient's
    prescribed medication shall be labeled to show the name of the physician, patient, pharmacy name
    address and phone number, RX number, date issued, use dosage and description, refill date, quantity
    amount, designated quality type and medication name, and designated caregiver if any, ensuring
    consumers receive a safe and labeled product. A physician shall not be subject to detainment, arrest, or
    penalty in any manner or denied any right, privilege, license, or suffer any retribution from any person,
    agency, business, or entity for providing a written certification applicable to the physician-patient
    relationship and care for medical cannabis/marijuana upon passage of this amendment.
    (aa) "Products produced" is defined for purposes of this amendment means cannabis/marijuana
    that has undergone a process whereby the plant material has been transformed into products
    derived/produced therefrom, including cannabis infused products, consisting of, including, but not
    limited to, any items or substances manufactured from or with the cannabis plant (genus Cannabis) for
    the cultivation, production, manufacturing, distribution, receiving, harvest, sale, possession, display,
    transfer, transport, purchase, storing, processing, testing, analyzing, packaging, supplying to cannabis
    15
    11-3-2017 facilities, paraphernalia/accessories, and use of the cannabis plant (genus Cannabis) for recreational,
    industrial, commercial, medical, and personal use, and all variations ofthe cannabis plant, including
    seeds and resin, whether or not, combined with other legal ingredients, as an ingredient or component,
    and every compound, manufacture, salt, derivative, mixture, or preparation of the plant resulting in all
    products derived/produced therefrom the cannabis plant (genus Cannabis); including variations of
    concentrated, and or comprised of other legal ingredients and are intended for use or consumption
    produced therefrom the cannabis plant and the use thereof; including cannabis infused products, and
    cannabis/marijuana products produced therefrom that are comprised of cannabis and other legal
    ingredients; such as, but not limited to, cannabis infused, edibles, and drink products, topical ointments,
    and tinctures, textiles, building materials, industrial products, paper, energy and environmental
    products, body-care, and technical products of the cannabis plant Delta-9-Tetrahydrocannabinol {Delta-
    9-THC), which constitutes a legal process and adheres to the current regulations and local, state, and
    federal laws and shall be legal within the state of Arkansas; and shall not be an offense or illegal, or be a
    basis for seizure or forfeiture of assets under local, state, federal, or Arkansas laws; and regulated and
    taxed in like manner as similar products, purpose, and categories such as any other textile, commodity,
    agricultural, goods and services produced in or out of this state for person(s) twenty-one {21) years of
    age or older upon passage of this amendment; whereas cannabis/marijuana products contain greater
    than one percent {1%) (Delta-9-THC) Delta-9-Tetrahydrocannabinol; and hemp products contain less
    than one percent (1%) Delta-9-THC.
    (bb) "Products tracking code - UPC" is defined as a bar-coded universal product code label
    for tracking purposes of the products for inventory, ordering, and sales.
    (cc) "Qualified person(s)" is defined for the purposes of this amendment includes any
    individual twenty-one (21) years of age or older, that is a natural born U.S. citizen, or a documented
    naturalized U.S. citizen, or a foreign-born alien person awaiting naturalization with qualified
    documentation, and an Arkansas state resident of seven (7) years or more; including a person(s) having
    an aggregate ownership interest in §4{s), in any firm, co-partnership, joint venture, association,
    corporation, limited liability company, estate, trust, business trust, receiver, syndicate, or any other
    group or combination acting as a unit, and the plural as well as the singular, can own and or operate a
    cannabis facility; except that as defined in §4{g)(2). And any person(s) being appointed to hold an office
    in the Bureau or Board shall be a citizen of the United States; have residency in Arkansas at least ten {10)
    years preceding his or her appointment as a member; be at least twenty-five {25) years of age; and have
    conflating interest in the cannabis industry issues-which is the full legalization of
    cannabis/marijuana/hemp, bringing together into a composite whole of all of the cannabis issues;
    including but not limited to, the personal, recreational, industrial, medical, and commercial cultivation
    of the cannabis plants propagation, possession, and use. A member may receive authorized payment of
    a stipend not to exceed seventy-five dollars ($75.00) per day per meeting attended or for any day while
    performing any proper business of the Bureau or Board; and members shall not receive any other
    compensation, expense reimbursement, or in-lieu-of payments. The Bureau and Board may employ
    necessary staff to assist in the performance of its duties under this amendment; and if no staff is
    available for that purpose, then the Alcoholic Beverage Control Division shall provide the needed staff.
    Within thirty (30) days of the effective date of this amendment the initial members of the Bureau of
    Cannabis/Marijuana Control, and within six (6) months the Cannabis/Marijuana Control Board shall be
    appointed. Within nine (9) months of the effective date of this amendment the President Pro Tempore
    16
    11-3-2017 of the Senate shall call the first meeting of the Bureau and Board.
    (dd) "Qualifying medical conditions" is defined for the purposes of this amendment as hereafter;
    that has been diagnosed by a qualified licensed medical physician as a chronic or debilitating illness,
    injury, disease or medical condition or its treatment that produces one (1) or more including but not
    limited to the following: Anorexia; Anorexia; Anxiety disorders; Arachnoiditis; Arnold-Chiari
    malformation; Asthma, Attention deficit disorder/Attention deficit hyperactivity disorder (ADD/ADHD);
    Autism; Amyotrophic lateral sclerosis; Alzheimer's disease; Bipolar disorder; Bulimia; Cachexia or wasting
    syndrome; Cancer; Causalgia; Chronic inflammatory demyelinating polyneuropathy (CIDP); Chronic
    insomnia; Chronic obstructive pulmonary disease (COPD); Chronic Spinal Disorders; Complex regional
    pain syndrome (CRPS)- types I and II; Crohn's disease; Depression Disorders; Dercum's disease (Adiposis
    dolorosa); Dystonia; Emphysema; Epilepsy; Fibromyalgia; Fibrous dysplasia; Glaucoma; Hepatitis C;
    HIV/AIDS Human immunodeficiency virus/immune deficiency syndrome; Hydrocephalus; Hydromyelia;
    Interstitial cystitis; Intractable pain (unresponsive to ordinary treatments); Lupus; Migraines; Myasthenia
    gravis; Myoclonus; Nail-patella syndrome; Neurofibromatosis; Parkinson's disease; Peripheral
    neuropathy; Posterior lateral sclerosis (PLS); Post-concussion syndrome; Post-traumatic stress disorder
    (PTSD); Reflex Sympathetic Dystrophy (RSD) stages I, II, and Ill; Residual limb and phantom pain; Restless
    Leg Syndrome (RLS); Severe arthritis, multiple sclerosis; muscle spasms, nausea, and, seizures; Sjogren's
    syndrome; Sciatica; Spinocerebellar Ataxia (SCA); Spinal cord injury and/or disease; Syringomyelia; Tarlov
    cysts; Tourette's syndrome; and Traumatic brain injury; Traumatic trimmers; and Ulcerative colitis.
    (ee) "RFID tag", "API", "unique identifier" meaning a required alphanumeric code or
    designation used for reference to a specific plant or product sold on a licensed premises; the RFID is
    identified as a tag embedded, implanted, or secured in or on an object containing the electronically
    stored information that consists of the cannabis/marijuana facilities name, address, license number, and
    expiration date, including licensee photo, name, date of birth, and address; that collects energy from a
    nearby RFID reader's interrogating radio waves that can be embedded, implanted or secured in or on an
    object for tracking purposes that need not be within the line of sight of the reader; which is a method for
    Automatic Identification and Data Capture. And in collaboration and synonymously with the Bureau of
    Cannabis/Marijuana Control, and departmental agencies, the API shall ensure that licensees are allowed
    to use third-party applications, programs and information technology systems to comply with the
    requirements ofthe expanded track and trace program to report the movement of cannabis and
    products therefrom, and regulated and taxed in like manner as similar products, purpose, and categories
    such as any other textile, commodity, agriculture, goods and services produced, and to communicate
    such information to licensing agencies as required by law throughout the distribution chain and provide,
    at a minimum, the same level of information for cannabis and products therefrom, as required to be
    reported for medical cannabis and medical cannabis products in or out of this state. Any software,
    database or other information technology system utilized to implement the expanded track and trace
    program shall support interoperability with third-party cannabis business software applications and
    allow all licensee-facing system activities to be performed through a secure "Application Programming
    Interface" (API) or comparable technology which is well documented, bi-directional, and accessible to
    any third-party application that has been validated and has appropriate credentials. The API or
    comparable technology shall have version control and provide adequate notice of updates to third-party
    applications. The system should provide a test environment for third-party applications to access that
    mirrors the production environment; and all cannabis facilities, vehicles, and personnel shall have issued
    17
    11-3-2017 a track and trace unique identifier 'Security Key Card ID' for entrance into locked areas of usable
    cannabis upon passage of this amendment.
    (ff) "Recreational cannabis/marijuana" is defined for the purposes ofthis amendment as
    cannabis/marijuana, as defined in §4(c)(d)(s)(y)(aa), and §G(l)(m), for the recreational and personal use,
    including the unprocessed cannabis plant, used by adults twenty-one (21) years of age or older as an
    into xi cant.
    (gg) "Residential Home Business cannabis/marijuana License" is defined for the purposes of this
    amendment as a qualified person(s), an adult resident of twenty-one (21) years of age or older having a
    valid residential cannabis/marijuana license for a retail or non-retail home business, and or including as
    defined for in §5 industrial hemp issued by the state for their premises of private domain and property
    for purposes as defined in§ 4(s); the cost of a home business residential cannabis/marijuana license
    shall not exceed fifty dollars ($50.00) per year for gross receipts under ten-thousand dollars ($10,000.);
    in the event the gross receipts for a home business exceeds ten-thousand dollars ($10,000) the cost of
    the residential cannabis/marijuana license is two-hundred and fifty dollars ($250.00) per year. There is
    no required license or cost for the personal recreational use of cannabis/marijuana or hemp for the
    resident of their private domestic domain and property as defined in §4(y), and§G(l)(m).
    (hh) "Retail cannabis/marijuana Facility/Establishment/Premises/Store" is defined for the
    purposes of this amendment means an entity licensed for the selling of consumer goods and or services
    to customers through multiple channels of distribution, and to purchase cannabis/marijuana from
    cannabis/marijuana cultivation and manufacturing facilities, and cannabis/marijuana products
    derived/produced therefrom the cannabis plant including the use of the unprocessed cannabis plant,
    and to sell cannabis/marijuana and infused with cannabis/marijuana and products produced therefrom
    to consumers; as defined in §4(s), imparting equal pay for equal work, fair wages, training, working
    conditions, regulations, and safety conditions to all employee(s) and personnel; such regulations are
    subject to the following conditions and shall include all the aforementioned and hereafter: and shall be
    lawful whether in or out of the state of Arkansas, and shall not be an offense or illegal, or be a basis for
    seizure or forfeiture of assets under local, state, federal, or Arkansas laws; and regulated and taxed in like
    manner as similar products, purpose, and categories such as any other textile, commodity, agricultural,
    goods and services produced in or out of this state for person(s) twenty-one (21) years of age or older
    upon passage of this amendment.
    (ii) "Retail cannabis/marijuana license" is defined for purposes of this amendment as a valid
    license registration issued by the state to the licensee, any person twenty-one (21) years of age or older
    for as defined in §4(s)(cc), ofthe cannabis plant for recreational, industrial, commercial, personal, and
    medical purposes, and all products derived/produced containing cannabis/marijuana therefrom,
    including infused cannabis and products therefrom, and the use of the unprocessed cannabis plant, and
    are lawful within the state of Arkansas; which adheres to the current regulations and, local, state, and
    federal laws upon passage of this amendment for retail purposes, the process of selling consumer goods
    and or services to customers through multiple channels of distribution. Each license shall display a
    license account number, facility/premises name, address, date issued, and expiration date, including
    licensee photo, name, date of birth, and address.
    (jj) "Royalty/Special Tax/Interest Fee payment." is defined for the purposes of this
    amendment means a permanent quarterly royalty/special tax/interest fee/compensation of twenty
    percent (20%) to the Retinue Consortium Corporation, for the consulting, promoting and creating
    18
    11-3-2017 businesses; or its successor; based on all sales from any entity based on the total, including but not
    limited to, package price per unit/item/service/goods/product; as defined in §4{s), on cannabis or
    infused with cannabis sold, made possible by the founder and author ofthe NRCA amendment upon
    passage; and at a future rate to be determined by Retinue Corporation thereafter. The royalty/special
    tax/interest fee/compensation shall be a special tax that can be used for more than one purpose
    without losing its status as a special tax. A share to be paid to the writer/author/founder or composer
    for the work of the amendment upon passage; out of the proceeds resulting from all sales on cannabis,
    including infused with cannabis and products therefrom, goods and services. The royalty payments
    receiver has the right of audit to inspect the business entity's books. The frequency of royalty audits,
    and who pays for the audits, what copies can be made, confidentiality agreements, and other terms and
    conditions on points of negotiations regarding the contracts are to be paid by the business entity paying
    the royalty.
    (kk) "Seizure or forfeiture of assets" is defined for the purposes of this amendment means to
    prohibit the seizure or forfeiture by law enforcement of a person{s) assets of items of value, to wit:
    including but not limited to, the personal, and or real estate property{s), bank account{s), and vehicle{s),
    for any of the aforementioned and hereafter within this amendment, and as defined in §4{s), upon
    passage of this amendment.
    (II) "Special taxes." is defined for the purposes of this amendment means the term "special taxes"
    means taxes which are levied for a specific purpose. A special tax can be used for more than one
    purpose without losing its status as a special tax. A special tax is a tax levied for a specific purpose,
    rather than a levy placed in the general fund to be utilized for general business purposes.
    (1) All cannabis/marijuana taxation the Bureau of Cannabis/Marijuana Control or designated
    agency shall administer and collect the taxes imposed as defined in §lO{e-j).
    (mm) "Unreasonable pricing" is defined for the purposes of this amendment as to subject
    any person or entity to extortion or undue exaction, overcharge, and or excessive and unreasonable
    pricing or price gouging.
    (nn) "Unreasonably impracticable" is defined for the purposes of this amendment means
    that the measures necessary to comply with the regulations require such a high investment of risk,
    money, time, or any other resource or asset that the operation of a cannabis/marijuana
    facility/establishment is not worthy of being carried out in practice by a reasonably prudent business
    person.
    (oo) "Violations and Penalties" as defined for the purposes of this amendment as a
    punishment imposed or incurred for a violation of law or rule of cannabis/marijuana/hemp as set forth
    in this amendment being punishable listed by the implemented set scheduled and adopted rules and
    regulations by the Bureau of Cannabis/Marijuana Control and or the Cannabis/Marijuana Control Board;
    included but not limited to, a person{s), school, landlord, employer, agency, business, or entity shall not
    discriminate against, refuse enrollment, admittance, lease to, or cause any suffering of retribution, or
    repercussion; and shall not cause or be subject to detainment, arrest, penalty in any manner or denied
    any right or privilege or suffer any retribution due to the status as a qualifying patient, designated
    caregiver, a cannabis facility owner or personnel upon passage of this amendment.
    § 5. The regulation of Industrial Hemp.
    The General Assembly, Congress, and the Bureau of Cannabis/Marijuana Control, shall adopt regulations
    19
    11-3-2017 and enact legislation that will foster, implement, and aid in the providing governing to decriminalize
    cannabis/hemp at the federal, state, and local levels to leave to the States a power to, in working with
    the Bureau of Cannabis/Marijuana Control, in establishing a comprehensive regulatory structure and
    system to legalize, control and regulate the activities of cannabis/marijuana/hemp; and for the licensing
    of the cannabis/hemp facilities for recreational, industrial, commercial, and medical purposes as defined
    in §4(s)(cc), and for a cannabis/hemp operational facility; permitting local government to regulate such
    facilities of cannabis/marijuana industrial hemp cannabis plant (genus cannabis), and products
    derived/produced therefrom, and including comprised of infused cannabis industrial hemp shall be
    lawful in this state with a valid state license, and may be regulated and taxed in like manner as similar
    products, purpose, and categories such as any other textile, commodity, agricultural, goods and services
    produced in or out of this state whether by import or export; and imparting equal pay for equal work,
    fair wages, training, working conditions, regulations, and safety conditions to all employee(s) and
    personnel; such regulations are subject to the following conditions and shall include:
    (a) Such regulations shall not prohibit the operation of industrial hemp facilities, either
    expressly or through regulations that make their operation unreasonably impracticable.
    (b) The cost of an industrial hemp license to be issued and required by the state to authorize
    any qualified person who is twenty-one (21) years of age or older for as defined in §4(s), and retail and
    non-retail operational premises, the cultivation, production, manufacturing, distribution, receiving,
    harvest, sale, possession, display, transfer, transport, purchase, storing, processing, testing, analyzing,
    packaging, paraphernalia/accessories, supplying to cannabis/marijuana/hemp facilities, and use, of the
    cannabis plant (genus cannabis), for recreational, industrial, commercial, and medical purposes, and all
    products derived/produced therefrom the cannabis plant including the use of the unprocessed cannabis
    plant shall:
26. Require an application fee oftwo-thousand five hundred dollars ($2SOO.OO), for 10
    acres or less, and four-thousand five hundred dollars ($4SOO.OO), for 10 acres or more, up to SO acres;
    and at two-thousand dollars ($2000.00) an acre, for Sl acres or more; refundable fee less three hundred
    dollars ($300.00) for administrative fees if denied an industrial hemp license.
27. License fee not to exceed one-hundred dollars ($100.00) per year for 10 acres or less
    of hemp grown; and three-hundred dollars ($300.00) per year for 10 acres or more, up to SO acres; and
    six-hundred dollars ($600.00) per year an acre for Sl acres or more of hemp grown for gross receipts
    under ten-thousand dollars ($10,000.);
28. In the event the gross receipts for the hemp grown exceeds ten-thousand dollars
    ($10,000) the cost of the license is two-hundred and fifty dollars ($2SO.OO) per year for 10 acres or less
    of hemp grown, and four-hundred and fifty dollars ($4SO.OO) per year for 10 acres or more, up to SO
    acres; and eight-hundred dollars ($800.00) per year an acre for Sl acres or more of hemp grown;
29. And without limit to the number of license(s) issued in this state whether by the
    Department of Revenue, or its successor agency with respect to whether the license(s) is to be issued by
    the state or is to be required by the state to be issued by some other authority. But only one industrial
    hemp license per year, per county, per valid lawful operational premises is required; and if for as defined
    in §4(gg), then only one residential operational premises license is required per year. The licensee shall
    qualify to obtain such a license, providing that he or she has not had such a license permanently revoked
    by the state. Each industrial hemp license shall display a license account number, facility/premises
    name, address, issue date, and expiration date, including licensee photo, name, date of birth, and
    20
    11-3-2017 address.
    (c) The required 'unique identifiers', an API, and a RFID tag embedded, implanted or secured in
    or on an object or product sold containing the electronically stored information that consists of the
    marijuana hemp facilities/premises name, address, license number, issue date, and expiration date,
    including licensee photo, name, date of birth, and address; to be adhered to the property, the plants,
    and products showing the activities that are being processed for tracking identification purposes
    required by the state for recreational, industrial, commercial, and medical purposes. The software,
    database or other information technology system utilized to implement the expanded track and trace
    program shall support interoperability with third-party cannabis business software applications and
    allow all licensee-facing system activities to be performed through a secure "Application Programming
    Interface" (API) or comparable technology which is well documented, bi-directional, and accessible to
    any third-party application that has been validated and has appropriate credentials. The API or
    comparable technology shall have version control and provide adequate notice of updates to third-party
    applications. The system should provide a test environment for third-party applications to access that
    mirrors the production environment. All cannabis facilities, vehicles, and personnel shall have issued as
    defined in §4(ee) a track and trace unique identifier 'Security Key Card ID' for entrance into locked areas
    of usable cannabis/hemp.
    (d) The quantity of cannabis/marijuana/hemp plants cultivated and products
    derived/produced therefrom, shall not be limited or prohibited for non-retail and or retail use per
    qualified person(s) with a valid hemp license, and shall be regulated and taxed in like manner as similar
    products, purpose, and categories, such as any textile, commodity, agricultural, goods and services
    produced in or out of this state.
    (e) The General Assembly shall enact a five (5%) percent excise tax to be levied upon
    wholesale sales of industrial hemp requiring the first $30 million in revenue raised annually by such tax
    be credited to the public schools.
    § 6. The Regulation of cannabis/marijuana.
    The General Assembly, Congress, and the Bureau of Cannabis/Marijuana Control, shall adopt regulations
    and enact legislation that will foster, implement, and aid in the providing governing to decriminalize
    cannabis at the federal, state, and local levels to leave to the States a power to, in working with the
    Bureau of Cannabis/Marijuana Control, in establishing a comprehensive regulatory structure and system
    to legalize, control and regulate the activities of cannabis/marijuana/hemp; protecting the health and
    public safety of consumers and small businesses by imposing strict anti-monopoly restrictions in the
    cannabis industry; and including, but not limited to, the conflating of the cannabis issues: promoting the
    economic and ecological vitality growth, eliminating revenue shortfalls with an abundance of revenues,
    to protect the clean energy natural resource of inexhaustible potentials, allowing for energy independent
    biomass technology and jobs; providing the citizenry with a future of opportunity by bringing clean
    energy JOBS to America in the cannabis industry categories of textile, commodity, agricultural, and goods
    and services; and for the licensing of the cannabis/marijuana facilities/premises for recreational,
    industrial, commercial, personal, and medical purposes as defined in §4(r)(s)(cc), and for retail and non-
    retail premises; permitting local government to regulate such facilities of cannabis/marijuana cannabis
    plant (genus cannabis), and products derived/produced therefrom, and including comprised of infused
    cannabis shall be lawful in this state with a valid cannabis/marijuana state license, and may be regulated
    21
    11-3-2017 and taxed in like manner as similar products, purpose, and categories such as any other textile,
    commodity, agricultural, goods and services produced in or out ofthis state whether by import or
    export; and imparting equal pay for equal work, fair wages, training, working conditions, regulations, and
    safety conditions to all employee(s) and personnel; such regulations are subject to the following
    conditions and shall include:
    (a) Such regulations shall not prohibit the operation of cannabis/marijuana facilities, either
    expressly or through regulations that make their operation unreasonably impracticable.
    (b) In that, including but not limited to, the cultivation, production, manufacturing, distribution,
    receiving, harvest, sale, possession, display, transfer, transport, purchase, storing, processing, testing,
    analyzing, packaging, paraphernalia/accessories, supplying to cannabis/marijuana facilities, and use, of
    the cannabis plant (genus cannabis), for recreational, industrial, commercial, personal, and medical
    purposes, and all products derived/produced therefrom the cannabis plant including the use of the
    unprocessed cannabis plant; shall be prohibited to person(s) under the age oftwenty-one (21) years;
    likewise, medical possession and use shall also be prohibited unless such a person is a medical
    cannabis/marijuana patient with valid proof of a recommendation/certification/medical
    cannabis/marijuana ID card, from any state medical cannabis/marijuana program.
    (c) A required initial dispensary application fee to be a maximum of five-thousand five-hundred
    dollars ($5,500.), for estimated gross receipts per year under twenty-thousand dollars ($20,000.); and
    twelve-thousand dollars ($12,000.), in the event the estimated gross receipts per year exceeds twenty-
    thousand dollars ($20,000.); refundable fee, less eight-hundred dollars ($800.), for administrative fees if
    denied a cannabis/marijuana license.
    (d) A required initial cultivation facility application fee to be a maximum of twelve-thousand
    dollars ($12,000.), for estimated gross receipts per year of under forty-thousand dollars ($40,000.); and
    nineteen-thousand dollars ($19,000.), in the event the estimated gross receipts per year exceeds forty-
    thousand dollars ($40,000.); refundable fee, less eight-hundred dollars ($800.), for administrative fees if
    denied a cannabis/marijuana license.
    (e) No later than six (6) months after passage ofthis amendment, the General Assembly,
    Congress, and the Bureau of Cannabis/Marijuana Control shall foster, implement, and aid in, to begin
    accepting applications for licenses to operate a cannabis facility, dispensary, and cultivation facility.
    Licensing of cannabis facilities, shall be licensed through the Bureau of Cannabis/Marijuana Control by
    the state designated agency under §4(b)(f)(g)(r), and §lO(a)(c), of this amendment.
    (f) All cannabis facilities locations may not be within Yi mile or 2,640 feet of a school, church,
    playground, or daycare center prior to the date of application of facility.
    (g) The cost and purpose of a retail and or non-retail cannabis/marijuana license or any various
    taxes on privileges when assessed in the form of a license or fee for a valid lawful operational
    cannabis/marijuana facility for cannabis and the products produced therefrom, including containing
    infused cannabis, shall be issued through the Bureau of Cannabis/Marijuana Control by the state to
    authorize to a person(s) twenty-one (21) years of age or older for as defined in §4(r)(s)(cc), shall:
    (1) not exceed two-thousand five-hundred dollars ($2,500.) per year for gross receipts
    under ten-thousand dollars ($10,000.);
    (2) in the event the gross receipts exceeds ten-thousand dollars ($10,000.) the cost of the
    license is six-thousand dollars ($6000.) per year; and
    {3} without limit to the specified license(s) issued in this state whether by the Arkansas
    22
    11-3-2017 Department of Revenue or its successor agency with respect to whether the license(s) is to be issued by
    the state or is to be required by the state to be issued by some other authority.
    (4) It shall not be limited or prohibited for the number of lawful operational facilities per
    person; but only one (1) cannabis/marijuana license per year, per county, per each valid lawful
    operational facility; except that in conjunction with the aforementioned, no qualified person shall own
    interest in more than; one (1) dispensary facility, or one (1) cultivation facility; and a licensee shall not
    also be licensed or hold interest in or as a retailer of alcoholic beverages or of tobacco products.
    (S) No later than six (6) months after passage of this amendment, the State and the Bureau
    of Cannabis/Marijuana Control under §4(b)(r), and §10, of this amendment shall foster, implement, and
    aid in, to begin accepting applications for licenses to operate any cannabis facility; and with licenses
    issued beginning March 6, 2020.
    (h) All cannabis facilities, vehicles, and personnel shall have issued as defined in §4{ee) a track
    and trace unique identifier 'Security Key Card ID' for entrance into locked areas of usable cannabis. A
    required "Unique Identifier" meaning an alphanumeric code or designation used for reference to a
    specific plant or product sold on a licensed premises; identified by a required RFID tag embedded,
    implanted or secured in or on an object containing the electronically stored information that consists of
    the cannabis/marijuana facilities/premises name, address, license number, issue date, and expiration
    date, including licensee photo, name, date of birth, and address; to be adhered to the property, the
    plants, and products showing the activities that are being processed for tracking identification purposes
    required by the state for all sales purposes.
    (1) Records and Inspections of cannabis business facilities shall include:
    (a) A licensee shall keep accurate records of all cannabis/marijuana activity on a
    unique identifier system ofthe expanded track and trace program that shall include an electronic seed to
    sale software tracking system with data points for the different stages of commercial activity including,
    but not limited to, cultivation, harvest, processing, distribution, inventory, and sale, with a secure
    application programming interface {API) as defined in §4{ee).
    (b) All records related to cannabis/marijuana activity as defined by the licensing
    authorities shall be maintained for a minimum of seven (7) years.
    (c) The Bureau may examine the books and records of a licensee and inspect the
    premises of a licensee as the licensing authority, or a designated state or local agency, deems necessary
    to perform its duties under this amendment. All inspections shall be conducted during standard
    business hours of the licensed facility or at any other reasonable time.
    (d) Licensees shall keep records identified by the licensing authorities on the
    premises of the location licensed. The licensing authorities may make any examination of the records of
    any licensee. Licensees shall also provide and deliver copies of documents to the licensing agency upon
    requests.
    (e) A licensee, or its agent or employee, that refuses, impedes, obstructs, or
    interferes with an inspection ofthe premises or records of the licensee pursuant to this amendment, has
    engaged in a violation of this amendment.
    (f) If a licensee, or an agent or employee of a licensee, fails to maintain or
    provide the records required pursuant to this amendment, the licensee shall be subject to a citation and
    a fine of up to thirty thousand dollars ($30,000.) per individual violation.
    (2) Sales invoice and or receipts of cannabis business facilities shall include:
    23
    11-3-2017 (a) Every sale or transport of cannabis/marijuana or products produced
    therefrom, from one licensee to another licensee must be recorded on a sales invoice or receipt. Sales
    invoices and receipts may be maintained electronically and must be filed in such a manner as to be
    readily accessible for examination by employees of the Bureau of Cannabis/Marijuana Control or
    designated agency, and shall not be amalgamated with invoices covering other textiles, commodities,
    agricultural, goods and services.
    (b) Each sales invoice required by the aforementioned and hereafter, shall
    include the name and address of the seller and shall include the following information:
    (1) Name and address of the purchaser.
    (2) Date of sale and invoice number.
    (3) Kind, quantity, size, and capacity of packages of
    cannabis/marijuana and cannabis products produced therefrom sold.
    (4) The cost to the purchaser, together with any discount applied to
    the price as shown on the invoice.
    (5) The place from which transport of the cannabis/marijuana or
    cannabis products produced therefrom was made unless transport was made from the premises of the
    licensee.
    (6) Any other pertinent information specified by the Bureau or the
    licensing authority.
    (3) Annual Reports and Performance Audit
    (a) Beginning on March 1, 2022, and on or before March 1'1 of each year
    thereafter, each licensing authority shall prepare and submit to the Legislature and Bureau an annual
    report on the authority's activities concerning commercial cannabis activities and post the report on the
    authority's website. The report shall include, but not limited to, the same type of information specified
    in similar reports with similar business, and a detailed list of petitions for regulatory relief or rulemaking
    changes for resolve received by the office from licensees requesting modifications of the enforcement of
    rules under this amendment.
    (4) Commencing January 1, 2021, and by January 1'1 of each year thereafter, the Bureau of
    State Audits shall conduct a performance audit of the Bureau of Cannabis/Marijuana Control's activities
    under this amendment, and shall report its findings to the Bureau of State Audits, Bureau of
    Cannabis/Marijuana Control, and the Legislature by July 1'1 of that same year. The report shall include,
    but not be limited to, the following:
    (a) The annual costs of the program.
    (b) The overall effectiveness of enforcement programs.
    (c) Any report submitted pursuant to this section shall be submitted in
    compliance with the Arkansas Government and Business Code.
    (5) The Legislature shall provide sufficient funds to the Bureau of State Audits to conduct
    the annual audit required by this section.
    (6) Each licensing authority shall establish a scale of application, licensing, and renewal
    fees, based upon the cost of enforcing this section, as follows:
    (a) Each licensing authority shall charge each licensee a licensure and renewal
    fees, as applicable. The licensure and renewal fee shall be calculated to cover the costs of administering
    this section. The licensure fee may vary depending upon the varying costs associated with
    24
    11-3-2017 administering the various regulatory requirements of this section as they relate to the nature and scope
    of the different licensure activities, including, but not limited to, the track and trace program required
    pursuant to this amendment, but shall not exceed the reasonable regulatory costs to the licensing
    authority.
    (1) The total fees assessed pursuant to this section shall be set at an
    amount that will fairly and proportionately generate sufficient total revenue to fully cover the total costs
    of administering this section.
    (2) All license fees shall be set on a scaled basis by the licensing authority,
    dependent on the size of the business.
    (3) The licensing authority shall deposit all fees collected in a fee account
    specific to that licensing authority, to be established in the Bureau of Cannabis/Marijuana Control Fund.
    Moneys in the licensing authority fee accounts shall be used, upon appropriation by the designated
    licensing authority for the administration of this section.
    (i) The quantity, quality, and size, of the cannabis/marijuana plants cultivated and products
    derived/produced therefrom, shall not be limited or prohibited for recreational, industrial, commercial,
    medical, and non-retail and or retail use per qualified person(s) with a valid cannabis license, and shall
    be regulated and taxed in like manner as similar products, purpose, and categories such as any other
    textile, commodity, agricultural, goods and services produced in or out of this state.
    (j) The quantity, quality, and size, ofthe cannabis/marijuana plants cultivated, and products
    derived/produced therefrom, shall not be limited or prohibited for the recreational personal use, per
    qualified person(s) twenty-one (21) years of age or older with valid ID, when purchased from a retail, and
    or a non-retail cannabis facility with a valid cannabis license, and shall be regulated and taxed in like
    manner as similar products, purpose, and categories such as any other textile, commodity, agricultural,
    goods and services produced in or out of this state.
    (k) Cannabis/marijuana plants shall be cultivated in a location where the plants are not subject
    to public access.
    (I) For the personal, recreational, and home cultivation use of cannabis/marijuana/hemp there
    is no required license or cost for the resident within their private domestic domain and property.
    (m) The quantity, quality, size, and products derived/produced therefrom the
    cannabis/marijuana plants shall not be limited or prohibited, and are not subject to public access, for the
    resident within their private domestic domain and property.
    (n) And at any time a person while undertaking any task under the influence of cannabis senses
    when doing so would impede his or her ability, and to continue, the task would be hindered, and when
    reported shall not be subject to any disciplinary action, detainment, arrest, penalty in any manner or
    denied any right or privilege or suffer any retribution from any agency, business, or entity for the
    medical use of cannabis in accordance with this amendment, instead shall be given an alternative place
    to rest until the medication levels out and he or she can return to the task; and shall be legal whether in
    or out of the state of Arkansas; and shall not be an offense or illegal, or be a basis for seizure or
    forfeiture of assets under local, state, federal, or Arkansas laws.
    (o) In addition to the sales tax imposed by both the local and state upon the sale of any
    cannabis and cannabis products produced therefrom, including cannabis/marijuana infused products,
    and goods and services the state shall impose an excise tax offive percent (5%).
    (p) Such excise tax shall be levied upon cannabis/marijuana intended for sale at medical
    25
    11-3-2017 cannabis/marijuana centers pursuant to §3(a)(S), § 8(e), and §lO(r) ofthis amendment; medical
    cannabis/marijuana sold in this state shall not be tax exempt.
    (q) That current cannabis/marijuana laws to adhere, foster, implement, aid, and give support
    to this amendment, to abrogate, propose a law, whether by revision or deletion.
    (r) The General Assembly shall pass such laws as will foster and aid the agricultural,
    manufacturing, industrial, commercial, recreational, medical, and personal use, and regulation of
    cannabis/marijuana interests of this state, pursuant to the passing of this amendment.
    (s) The General Assembly may, by general law, exempt from taxation for a term of seven (7)
    years from the ratification of this Arkansas Constitution, the capital invested in any or all kinds of
    cannabis industry retail, non-retail, commercial, industrial, and manufacturing business in this State,
    under such regulations and restrictions as may be prescribed by law.
    (t) To decriminalize and end the federal, state, and local levels of failed drug policy on the
    prohibition on cannabis/marijuana/hemp, of which federal laws hold precedence over state laws;
    therefore, bringing the intention issue of the otherwise continued federal raids to an end; and removing
    cannabis/marijuana/hemp from the list of controlled substances where applicable, making it legal at the
    federal, state, and local levels upon passage of this amendment, due to Cannabis' Schedule I listing is
    disingenuous given the fact that the federal government cannot produce any research or evidence
    justifying its classification.
    (u) To amend Title 28, of the U.S. Code, to prohibit funding for the purposes of the
    cannabis/marijuana suppression/eradication program of the use of, the restriction on use of, and or the
    authority to transfer property for the use of, including but not limited to, amounts from the Asset
    Forfeiture Fund for the Domestic Cannabis Suppression/Eradication Program ofthe Drug Enforcement
    Administration, to federal, state, and or local agencies, and for other substantially similar programs or
    purposes.
    (v) To amend the federal, state and local codes and laws to prohibit funding for the purposes
    of the cannabis/marijuana suppression/eradication program of the use of, the restriction on use of, and
    or the authority to transfer property for the use of, amounts from the including but not limited to, the
    U.S. Department of Justice system's Equitable Sharing Program, the Comprehensive Crime Control Act,
    and for other substantially similar programs or purposes.
    (w) To amend title 18, of the U.S. Code, where applicable that no authority to transfer
    property for purposes of the domestic cannabis suppression/eradication program, notwithstanding
    §981(e) of title 18, United States Code, no property may be transferred to a federal, state and or local
    agency, if that property is used for any purposes pertaining to the domestic cannabis
    suppression/eradication program of the Drug Enforcement Administration, or any substantially similar
    program.
    (x) No federal, state, local, or law enforcement agency shall have the right to confiscate or
    seize property or apply the Comprehensive Crime Control Act or the Equitable Sharing Program
    regarding civil forfeiture in cannabis/marijuana assets including but not limited to, cars, cash, valuables,
    real estate, and other property permanently taken on suspicion of involvement with crime or illegal
    activity in cannabis/marijuana upon passage of this amendment.
    (y) No funds made available to the Department of Veterans Affairs may be used to prohibit,
    limit, or interfere with: the ability of a veteran to participate in a medical cannabis/marijuana State
    approved program; or be denied any services from the Department to a veteran who is participating in
    26
    11-3-2017 such a program; or prohibit, limit, or interfere with the ability of a health care provider ofthe
    Department to make appropriate recommendations, fill out forms, or take steps to comply with such a
    program upon passage of this amendment.
    (z) For Congress to foster, implement, and aid in the deregulation and removal of
    cannabis/marijuana where applicable from, and amending schedule under subsection (c) of Schedule I of
    §202{c) of the Controlled Substance Act {21 U.S.C. 812(c)), and from the Schedule of Controlled
    Substances Act (21 U.S.C. 801 et seq.), the Attorney General shall, no later than 60 days after the date of
    passage of this amendment, issue a final order that removes cannabis/marijuana in any form where
    applicable from and amending schedule under §202{c) of (21 U.S.C. 812{c)); in amending Title 21,
    chapter 13 of the U.S. Code, (21 U.S.C. 801), and where applicable to "Notwithstanding any other
    provision of law, the provisions of this subchapter related to cannabis/marijuana shall not apply to any
    person acting in compliance with local, state and federal laws relating to the production, possession,
    distribution, dispensation, administration, or delivery of cannabis/marijuana/hemp." And including the
    federal, state, and local codes and laws including but not limited to, the Uniform Controlled Substances
    Act, Arkansas Controlled Substance Law, Medical Marijuana Commission, The Arkansas Administration
    Procedures Act, and The Alcoholic Beverage Control Division; to prohibit the incarceration of person(s)
    for cannabis/marijuana (genus cannabis) as defined for the purposes of this amendment means for as
    defined in §4(s); and a drug that requires permission from a physician/doctor to prescribe for the use for
    the treatment of a disease, illness, or injury; and for the recreational, and personal use as an intoxicant;
    a substance (as a drug) whose use and possession is regulated by law in the aforementioned statute and
    or any rule adopted hereafter, the term "controlled substance" shall not include
    cannabis/marijuana/hemp; ending the federal prohibition on cannabis/marijuana/hemp. And including
    the removal from the Schedule of Controlled Substances (subsection 1 of §202{c)) of the Controlled
    Substances Act {21 U.S.C. 812(c)) and where applicable the terms and striking
    "cannabis/marijuana/hemp" and "tetrahydrocannabinols"; including the removal of prohibition on
    shipping, transportation, import, and export (§lOlO{b)) ofthe Controlled Substances Import and Export
    Act {21 U.S.C. 960), and all areas where applicable of cannabis/marijuana/hemp; and preventing
    unreasonable depletion of a natural agriculture heritage and eradication of a valuable and natural
    resource; (i.e. genus Cannabis/Marijuana is a natural resource); and shall be legal in the state of
    Arkansas and shall not be an offense or illegal, or be a basis for seizure or forfeiture of assets under local,
    state, federal, and Arkansas laws: upon passage of this amendment.
    (aa) For Congress to foster, implement, and aid in the permitting of cannabis/marijuana
    businesses to access traditional banking services and for legislation to provide certainty for financial
    institutions and the licensed cannabis/marijuana related businesses to operate in like manner as any
    other businesses that are legal under state law, ending the cash-only basis, which makes them targets for
    robberies; and to prevent the Department of Justice, or Treasury Department from spending funds to
    prohibit or penalize financial institutions that provide services to state-legal cannabis/marijuana
    businesses, and or entity solely because the entity is a manufacturer, producer, or person that
    participates in any business or organized activity that involved handling cannabis/marijuana or
    cannabis/marijuana products and engages in such activity pursuant to a law established by a State or a
    unit of local government; and that no funds made available to the Department of Justice or Department
    of Treasury may be used to modify or revoke the guidance issued by the Financial Crimes Enforcement
    Network titled "BSA Expectations Regarding Cannabis/Marijuana-Related Businesses" {FIN-2014-GOOl;
    27
    11-3-2017 published on February 14, 2014); ending the Federal Cannabis/Marijuana Prohibition War. To protect
    the State cannabis industry full legalization, including but not limited to, recreational, industrial,
    commercial, personal, and medical purposes; and all products derived/produced therefrom the cannabis
    plant, cannabidiol, cannabidiol oil, and industrial hemp laws, that: no funds made available to the
    Department of Justice may be used, with respect to any ofthe United States approved 'States' to
    prevent any such State or jurisdiction from implementing their own laws that authorize the use,
    distribution, possession, cultivation, or manufacture of cannabis/marijuana, cannabidiol, cannabidiol oil,
    medical cannabis/marijuana purposes, or of industrial hemp, as defined in §7606 of the Agricultural Act
    of 2014 (Public Law 113-79) on non-Federal lands within their respective jurisdictions. And that no funds
    made available to the Department of Justice may be used to pay the salaries or expenses or personnel to
    fail to act on any application by an entity, agency, or department regarding cannabis/marijuana for
    research or business purposes; or to prevent or delay the approval of an application for a
    cannabis/marijuana business; and that cannabis/marijuana shall be legal in the state of Arkansas and
    shall not be an offense or illegal, or be a basis for seizure or forfeiture of assets under local, state,
    federal, or Arkansas laws; and the Legislature may by majority vote amend the provisions of this
    Amendment that will foster, implement, and aid, provided that such amendments are consistent with
    and further the purpose and intent of this Amendment; and providing regarding this Amendment that
    no legislators can remove the law because it is an amendment to the Arkansas Constitution, and can
    only be done so by the voters as defined in this section, §6(aa), upon passage of this amendment.
    Amendments to this Amendment that enact protections for employees and other workers of licensees
    under §4(i), of this Amendment that are in addition to the protections provided for in this Amendment
    or that otherwise expand the legal rights of such employees or workers of licensees under §4(i), of this
    Amendment shall be deemed to be consistent with and further the purposes and intent of this
    Amendment. The Legislature may by majority vote amend, add, or repeal any provisions to further
    reduce the penalties for any of the offenses addressed by this amendment. Except as otherwise
    provided, the provisions of the Amendment may be amended by two-thirds (2/3) vote of the Legislature
    to further the purpose and intent of this Amendment.
    (bb) And including to amend the Preamble, Article 2, and Article 10, of the Arkansas
    Constitution, to include: The PREAMBLE to read as: We, the People of the State of Arkansas, grateful
    to Almighty God for the privilege of choosing our own form of government; for our civil and religious
    liberty; to improve the quality of life and opportunity, and to secure blessings of liberty; and desiring to
    perpetuate its blessings, and for the safety and health of the people, in decreasing the stressors of life
    naturally; for this and future generations, and secure the same to ourselves and posterity; do ordain and
    establish this Constitution. ARTICLE 2 Declaration of Rights §30 Environment and Natural Resources
    Protection; and ARTICLE 10 Agriculture, Mining, and Manufacture §4 Natural Resource Cannabis
    Protection; each article is amended BY THE ADDITION OF A NEW SECTION to read: Environment and
    natural resources protection is the right of the people of this State to be secure in the protection and
    improvement to prevent unreasonable depletion of a natural agriculture heritage and eradication of a
    valuable and clean energy natural resource; (i.e. genus Cannabis-Marijuana is a natural resource); of
    which has numerous and inexhaustible uses; with the production of the drought resistant, self-
    fertilizing, and pest-resistant plant allowing for energy independent biomass technology and jobs we
    could meet our energy needs, making America energy independent; while allowing our trees to
    replenish and sharing cleaning up the carbon-dioxide from the atmosphere improving our quality of life;
    28
    11-3-2017 with no forced settlement funds set aside because there is no recorded history of human sickness or
    disease developed therefrom. Notwithstanding, the federal law shall be abrogated; and
    cannabis/marijuana/hemp shall be legal in Arkansas for commercial, industrial, personal, recreational,
    and medical uses; and shall not be an offense or illegal under Arkansas law, or be a basis for seizure or
    forfeiture of assets under Arkansas law: any laws that conflict with these rights are repealed upon
    passage of this amendment.
    (1) Argument: regarding Departments and Institutions
    (a) Arkansas and other combined States' tobacco settlement fund annually ... for
    disease and prevention programs of national costs equal $300 Billion.
    (b) Annual U.S. deaths from tobacco 480,000; from poor diet and inactivity 400,000;
    from alcohol 88,000; from microbial agents 75,000; from toxic agents 55,000; from overdose adverse
    reactions to prescription drugs 47,055; and from cannabis/marijuana zero (0).
    (cc) The General Assembly shall enact an excise tax to be levied upon wholesale sales of
    cannabis/marijuana/hemp sold or otherwise transferred by a cannabis/marijuana/hemp cultivation
    facility to a cannabis/marijuana/hemp product manufacturing facility or to a retail or non-retail
    cannabis/marijuana/hemp business at a rate of five (5%) percent and not to exceed ten (10%) percent
    prior to January 1, 2030, and at a rate to be determined by the General Assembly thereafter, and shall
    direct the Bureau to establish procedures for the collection of all taxes levied. Provided, the first thirty
    million ($30 million) dollars in revenue raised annually from such excise tax shall be credited to the
    Public School Capital Construction Assistance General Revenue Fund created, or any successor fund
    dedicated to a similar purpose upon passage of this amendment.
    (dd) For Congress, the General Assembly, and the State of Arkansas to foster, implement, and
    aid in the amending of the Controlled Substances Act to provide for a new rule regarding the application
    ofthe Amendment to cannabis/marihuana/hemp, and for other purposes.
    (1) Be it enacted by the people of the state of Arkansas further find and declare that this
    Amendment cited as the "Natural Resource Cannabis Amendment" provides for:
    (2) De-scheduling cannabis/marijuana to be removed from the Schedule of Controlled
    Substances.-Subsection (c) of schedule I of §202(c) of the Controlled Substances Act (21 U.S.C. 812) is
    amended-
    (a) by striking "marihuana"; and by striking "tetrahydrocannabinols".
    (3) Removal of Prohibition on Import and Export.- §1010(b) ofthe Controlled Substances
    Import and Export Act (21 U.S.C. 960) is amended-
    (a) in paragraph (1)- in subparagraph (F), by inserting "or" after the semicolon;
    (b) by striking subparagraph (G); and by redesignating subparagraph (H) as
    subparagraph (G);
    (c) in paragraph (2)- in subparagraph (F), by inserting "or" after the semicolon;
    (d) by striking subparagraph (G); and by redesignating subparagraph (H) as
    subparagraph (G);
    (e) in paragraph (3), by striking "paragraphs (1), (2), and (4)" and inserting
    "paragraphs (1) and (2)";
    (f) by striking paragraph (4); and (5) by redesignating paragraphs (5), (6), and (7) as
    paragraphs (4), (5), and (6), respectively.
    (4) Conforming amendments to Controlled Substances Act.-The Controlled Substances Act
    29
    11-3-2017 (21 U.S.C. 801 et seq.) is amended-
    (a) in §102(44) (21 U.S.C. 802(44)), by striking "marihuana,";
    (b) in §401(b) (21 U.S.C. 841(b))- in paragraph (1)- (i) in subparagraph (A)- (I) in
    clause (vi), by inserting "or" after the semicolon; (II) by striking (vii); and (Ill) by redesignating clause
    (viii) as clause (vii);
    (c) (ii) in subparagraph (B)- (I) by striking clause (vii); and (II) by redesignating clause
    (viii) as clause (vii); (iii) in subparagraph (C), in the first sentence, by striking "subparagraphs (A), (B), and
    (D)" and inserting "subparagraphs (A) and (B)"; (iv) by striking subparagraph (D); (v) by redesignating
    subparagraph (E) as subparagraph (D); and (vi) in subparagraph (D)(i), as so redesignated, by striking
    "subparagraphs (C) and (D)" and inserting "subparagraph (C)";
    {d) by striking paragraph (4); and (C) by redesignating paragraphs (5), (6), and (7) as
    paragraphs (4), (5), and (6), respectively;
    (e) in §402(c)(2)(B) (21 U.S.C. 842(c)(2)(B)), by striking", marihuana,";
    (f) in §403(d)(l) (21 U.S.C. 843(d)(l)), by striking", marihuana,";
    (g) in §418(a) (21 U.S.C. 859(a)), by striking the last sentence;
    {h} in §419(a) (21 U.S.C. 860(a)), by striking the last sentence;
    (i) in §422(d) (21 U.S.C. 863(d))- in the matter preceding paragraph (1), by striking
    "marijuana,"; and in paragraph (5), by striking", such as a marihuana cigarette,"; and
    (j) in §516(d) (21 U.S.C. 886(d)), by striking "§401(b)(6)" where applicable the term
    appears and inserting "§401(b)(5)".
    (5) Other conforming amendments.- National Forest System Drug Control Act of 1986 -The
    National Forest System Drug Control Act of 1986 (16 U.S.C. 559b et seq.) is amended-
    (a) in §15002(a) (16 U.S.C. 559b(a)) by striking "marijuana and other";
    (b) in §15003(2) (16 U.S.C. 559c(2)) by striking "marijuana and other"; and
    (c) in §15004(2) (16 U.S.C. 559d(2)) by striking "marijuana and other".
    {6) Interception of Communications.- §2516 of title 18, United States Code, is amended -
    (a) in subsection (l)(e), by striking "marihuana,"; and
    {b) in subsection (2) by striking "marihuana,".
    (7) Ineligibility for Certain Funds.
    (a) DEFINITIONS.-ln this section-
    (1) the term "covered State" means a State that has not enacted a statute
    legalizing marijuana in the State;
    (2) the term "disproportionate arrest rate" means-
    (a) the percentage of minority individuals arrested for a marijuana
    related offense in a State is higher than the percentage of the non minority individual population of the
    State, as determined by the most recent census data; or
    (b) the percentage of low-income individuals arrested for a marijuana
    offense in a State is higher than the percentage of the population of the State that are not low-income
    individuals, as determined by the most recent census data;
    (3) the term "disproportionate incarceration rate" means the percentage of
    minority individuals incarcerated for a marijuana related offense in a State is higher than the percentage
    of the non-minority individual population of the State, as determined by the most recent census data;
    (4) the term "low-income individual" means and individual whose taxable
    30
    11-3-2017 income (as defined in section 63 of the Internal Revenue Code of 1986) is equal to or below the
    maximum dollar amount for the 15 percent rate bracket applicable to the individual under section 1 of
    the Internal Revenue Code of 1986;
    (5) the term "marijuana" has the meaning given the term "marihuana" in §102
    of the Controlled Substances Act (21 U.S.C. 802); and
    (6) the term "minority individual" means an individual who is a member of a
    racial or ethnic minority group.
    (b) Ineligibility for certain funds.-
    (1) In General.-For any fiscal year beginning after the date of enactment of this
    Amendment in which the Attorney General, acting through the Director of the Bureau of Justice
    Assistance, determines that a covered State has a disproportionate arrest rate or a disproportionate
    incarceration rate for marijuana offenses, the covered State-
    (a) shall not be eligible to receive any Federal funds for the construction
    or staffing of a prison or jail; and
    (b) shall be subject to not more than a ten (10%) percent reduction of
    the funds that would otherwise be allocated for that fiscal year to the covered State under subpart 1 of
    part E of title I of the Omnibus Crime Control and Safe Streets Act of 1968 (42 U.S.C. 3750 et seq.),
    whether characterized including but not limited to as the Edward Byrne Memorial State and Local Law
    Enforcement Assistance Programs, the Local Government Law Enforcement Block Grants Program, the
    Edward Byrne Memorial Justice Assistance Grant Program, or otherwise.
    (2) Funds for Certain Programming.-For purposes of §6(dd)(7)(b)(l)(a), Federal
    funds for the construction or staffing of a prison or jail shall not include Federal funds used by a prison or
    jail to carry out recidivism reduction programming or drug addiction treatment.
    (3) Reallocation.-Any amounts not awarded to a covered State because of a
    determination under §6(dd)(7)(b)(l) shall be deposited in the Community Reinvestment Fund
    established under §6(dd)(8)(a-e).
    (c) Expungement of Cannabis/Marijuana Offense Convictions.-Each Federal court
    shall issue an order expunging each conviction for a marijuana use or possession offense entered by the
    court prior to, during, and or after the effective date of this amendment as defined in §12.
    (d) Sentencing Review.-
    (1) In General.-For any individual who was sentenced to a term of
    imprisonment for a Federal criminal offense involving marijuana before the date of enactment of this
    Amendment and is still serving such term of imprisonment, the court that imposed the sentence, shall,
    on motion of the individual, the Director of the Bureau of Prisons, the attorney for the Government, or
    the court, conduct a sentencing hearing.
    (2) Potential Reduced Resentencing.- After a sentencing hearing under
    paragraph (1), a court may impose a sentence on the individual as if this Amendment, and the
    amendments made by this Amendment, were in effect at the time the offense was committed.
    (e) Right of Action.-
    (1) In General.- An individual who is aggrieved by a disproportionate arrest
    rate or a disproportionate incarceration rate of a State may bring a civil action in an appropriate district
    court of the United States
    (2) Relief.- In a civil action brought under this subsection in which the plaintiff
    31
    11-3-2017 prevails, the court shall-
    (a) grant all necessary equitable and legal relief, including declaratory
    relief; and
    {b) issue an order requiring the Attorney General, acting through the
    Director of the Bureau of Justice Assistance, to- (i) declare the State to be ineligible to receive any
    Federal funds for the construction or staffing of a prison or jail in accordance with subsection (b)(l)(a);
    and (ii) reduce grant funding ofthe State in accordance with subsection (b)(l)(b).
    (8) Community Reinvestment Fund.
    (a) Establishment.-There is established in the Treasury of the United States a fund,
    to be known as the "Community Reinvestment Fund" (referred to in this section as the "Fund").
    (b) Deposits.-The Fund shall consist of- (1) any amounts not awarded to a covered
    State because of a determination under §6(dd)(7)(b)(l); and (2) any amounts otherwise appropriated to
    the Fund.
    (c) Use of Fund Amounts.-Amounts in the Fund shall be available to the Secretary of
    Housing and Urban Development to establish a grant program to reinvest in communities most affected
    by the war on drugs, which shall include providing grants to impacted communities for
    programs such as:
    (1) job training; reentry services; expenses related to the expungement of
    convictions; public libraries; community centers; programs and opportunities dedicated to youth;
    the special purpose fund discussed below; and health education programs.
    (d) Availability of Fund Amounts.-Amounts in the Fund shall be available without
    fiscal year limitation.
    (e) Authorization of Appropriations.-There are authorized to be appropriated to the
    Fund $300,000,000 for each of fiscal years 2020 through 2030.
    § 7. Cannabis/Marijuana Control Board.
    No later than six (6) months, the Legislature may create a Cannabis/Marijuana Control Board in the
    Department of Commerce, Community, and Economic Development or its successor agency to assume
    the power, duties, and responsibilities delegated to the Alcoholic Beverage Control Board under and
    upon passage of this amendment.
    § 8. Medical cannabis/marijuana.
    Within six (6) months upon passage and after the effective date of this amendment, the State shall
    foster, aid, implement, and adopt as defined in §4(b)(e) and §7, a Cannabis/Marijuana Control Board,
    in conjunction with as defined in §4(b) Bureau of Cannabis/Marijuana Control, for a cannabis industry
    and a medical cannabis/marijuana program in this state to ensure that all person(s) including those
    under the age of twenty-one (21) years who are suffering from as defined in §4(dd) valid qualifying
    medical conditions of an illness, injury, or disease may have safe and affordable access to
    cannabis/marijuana for medical purposes. Notwithstanding any other provision of law, the following
    acts regarding the use of medical cannabis/marijuana are lawful and shall not be an offense or illegal, or
    be a basis for seizure or forfeiture of assets under local, state, federal, or Arkansas laws:
    (a) Any parent or guardian listed as the designated caregiver may provide medical
    cannabis/marijuana to their minor child providing that they have valid proof of their child's participation
    32
    11-3-2017 in any state medical cannabis/marijuana program, or have a valid written recommendation/certification
    from any physician, a licensed medical doctor whether licensed in or out of this state authorizing the
    child's use.
    (b) Any physician, a licensed medical doctor who is licensed in this state may authorize the
    use of medical cannabis/marijuana to a patient by written recommendation/certification for the purpose
    of treating an illness, injury, or disease. A physician shall not be subject to detainment, arrest, or
    penalty in any manner or denied any right, privilege, license, or suffer any retribution from any person,
    agency, business, or entity for providing a written certification applicable to the physician-patient
    relationship and care for medical cannabis/marijuana upon passage of this amendment.
    (c) Person(s) eighteen (18) years of age or older may purchase medical cannabis/marijuana
    providing that they have valid proof of their participation in any state medical cannabis/marijuana
    program or have a valid written recommendation/certification from any physician, a licensed medical
    doctor in this state. This shall also include any adult designated caregiver by the written
    recommendation/certification to purchase on behalf of a patient that is mentally challenged and or
    impaired validated by a physician, a licensed medical doctor.
    (d) Any patient with valid proof oftheir participation in any state medical cannabis/marijuana
    program or have a valid written recommendation/certification from any physician, a licensed medical
    doctor, including in this state, may possess and use medical cannabis/marijuana.
    (e) There shall be local, state, federal, or special taxes imposed on medical cannabis/marijuana, it
    shall not be tax exempt.
    (f) All in or out of state confirmed valid medical cannabis/marijuana ID cards are valid at any
    cannabis/marijuana dispensary within the state of Arkansas.
    § 9. Failure to adopt amendment for cannabis industry licenses
    (a) lfthe Department of Public Health, Bureau of Cannabis/Marijuana Control, housed in the
    Department of Consumer Affairs, or Alcoholic Beverage Control Board fails to adopt, foster, aid, and
    implement this amendment within the time prescribed or fails to issue cannabis industry licenses, or
    impedes an individual(s) freedom, health and public safety by doing so, any qualified person(s) under
    this amendment may commence a mandamus action in Pulaski County Circuit Court to compel the
    department, bureau, or board to perform the actions mandated under the provisions of this
    amendment.
    (b) No later than six (6) months after passage ofthis amendment, the General Assembly, and
    State shall adopt this amendment as defined in §4(b)(e)(cc), §7, and §lO(c), a Cannabis/Marijuana
    Control Board, in collaboration and synonymously with as defined in §4(b) through the Bureau of
    Cannabis/Marijuana Control, to designated agencies, to foster, aid, and implement, for a cannabis
    industry and a medical cannabis/marijuana program in this state to ensure that all person(s) individual
    freedom, health and public safety is secured by doing so; and if failed to do so, then §9(a) applies to any
    qualified person(s) under this amendment.
    § 10. Bureau of Cannabis/Marijuana Control - Established
    (a) There is established within thirty (30) days after passage of this amendment by the
    Legislature under §4(b), a Bureau of Cannabis/Marijuana Control, housed within the Department of
    Consumer Affairs, that shall establish, administer, regulate, and create an opportunity for a
    33
    11-3-2017 comprehensive Regulatory structure in which every cannabis/marijuana industry business is overseen by
    a specialized agency with relevant expertise; and will oversee the whole system and ensure a smooth
    transition to the legal market; and within (120) days after the effective date of this amendment, the
    Bureau shall adopt rules establishing license application, license renewal fees, and issuance of temporary
    licenses, for a cannabis business facility; with license applications beginning no later than six (6) months
    after the passage of this amendment; and with licenses issued beginning on March 6, 2020.
30. A license issued pursuant to this section shall be valid for 12 months from the date of
    issuance. The license may be renewed annually.
31. Each licensing authority shall establish procedures for the issuance and renewal of licenses.
32. A licensing authority may issue a temporary license for a period of less than 12 months.
    (b) The Department of Consumer Affairs will also license and oversee cannabis retailers,
    distributors, and microbusinesses.
    (c) No later than six (6) months after passage of this amendment, the Legislature in
    collaboration and synonymously with as defined in §4(b) through the Bureau of Cannabis/Marijuana
    Control, to designated agencies, to foster, aid, and implement, for a cannabis industry and a medical
    cannabis/marijuana program in this state; and shall create and establish a Cannabis/Marijuana Control
    Board within the Department of Commerce, Community, and Economic Development or its successor
    agency to assume the power, duties, and responsibilities delegated to the Alcoholic Beverage Control
    Board to ensure that all person(s) individual freedom, health and public safety is secured by doing so.
    (d) The Bureau of Cannabis/Marijuana Control, which shall consist offive (5) members to
    serve a term of four (4) years, as follows:
33. Two (2) members appointed by the President Pro Tempore ofthe Senate, with one (1)
    member to serve (2) years by draw of lots; and
34. Two (2) members appointed by the Speaker of the House of Representatives, with one (1)
    member to serve (2) years by draw of lots; and
35. One (1) member appointed by the Governor;
36. The Bureau shall select one (1) of its members as chair; an affirmative vote of a majority of
    a quorum present shall be necessary to transact business;
    (e) All cannabis/marijuana taxation the Bureau of Cannabis/Marijuana Control or designated
    agency shall administer and collect the taxes imposed.
    (f) The Bureau may prescribe, adopt, and enforce regulations relating to the administration and
    enforcement, including, but not limited to, collections, reporting, refunds, and appeals.
    (g) The Bureau shall adopt necessary rules and regulations to administer the taxes including
    methods or procedures to tag cannabis or cannabis products produced therefrom, or the packages
    thereof, to designate prior tax payment.
    (h) The Bureau may prescribe, adopt, and enforce any emergency regulations as necessary to
    implement, administer, and enforce its duties under this amendment; the adoption of the regulation is
    an emergency and shall be considered by the Office of Administrative Law as necessary for the
    immediate preservation ofthe public peace, health and safety, and general welfare.
    (i) Any person who fails to pay the taxes imposed under this amendment shall, in addition to
    owing the taxes not paid, be subject to a penalty of at least one-half the amount of the taxes not paid.
    (j) The Bureau may bring such legal actions as are necessary to collect any deficiency in the tax
    required to be paid, and, upon the Bureau's request, the Attorney General shall bring the actions.
    34
    11-3-2017 (k) The Department of Food and Agriculture will license and oversee cannabis/marijuana
    cultivation, and dispensaries ensuring environmental safety.
    (I) The Department of Public Health will license and oversee manufacturing and testing,
    ensuring consumers receive a safe and labeled product.
    (m) The State Board of Equalization will collect the cannabis/marijuana taxes, and
    (n) The Controller will allocate the revenue to administer the new law and provide the funds
    to critical investments.
    (o) The Marijuana Control Appeals Panel which shall consist of three (3) members and each to
    serve for a term of (4) years, appointed by the Governor and subject to confirmation by a majority vote
    of all the members elected to the Senate;
37. and shall be a resident of a different county from the one in which either of the other
    members resides; panel members shall receive an annual salary.
38. The panel shall adopt procedures used in the Arkansas Business and Professions Code; and
    in accordance with the Arkansas Administrative Procedure Act.
39. The Panel, Bureau, and the Cannabis/Marijuana Control Board members may be removed
    from office by the Governor, and the Legislature shall have the power, by a majority vote of all members
    elected to each house, to remove any member from office for dereliction of duty, corruption or
    incompetency.
40. Or a concurrent resolution for the removal of any member of the panels may be introduced
    in the Legislature only if five (5) Members of the Senate, or ten (10) Members of the Assembly, join as
    authors.
    (p) No later than six (6) months after passage of this amendment, the General Assembly,
    Congress, and the Bureau of Cannabis/Marijuana Control shall foster, implement, and aid in, to begin
    accepting applications for licenses to operate a cannabis facility.
    (q) Providing that the Bureau shall devise protocols that each licensing authority shall
    implement to ensure compliance with state laws and regulations related to environmental impacts,
    natural resource protection, water quality, water supply, hazardous materials, and pesticide use in
    accordance with regulations, including but not limited to, the Environmental Quality Act, the Endangered
    Species Act, lake or streambed alteration agreements, the Clean Water Act, the timber protection zones,
    wastewater discharge requirements, and any permit or right necessary to divert water; with licenses
    issued beginning on March 6, 2020.
    (r) An excise tax shall be levied upon medical cannabis/marijuana intended for sale pursuant to
    §3(a)(5), and §8(e), of this amendment; there shall be local, state, federal, or special taxes imposed on
    medical cannabis/marijuana; medical cannabis/marijuana sold in this state shall not be tax exempt upon
    passage of this amendment.
    § 11. Taxation and distribution of proceeds from revenues of cannabis/marijuana/hemp.
    (a) The sale of cannabis/marijuana/hemp are subject to all state and local sales taxes
    at the same rate as other goods and services of similar products, purpose, and categories; such as any
    other textile, commodity, agricultural, goods and services that are produced in or out of this state
    whether by special taxes, excise duty on inland/import, or customs duties on border/export; including
    revenues generated from fees, penalties, and other assessments of the cannabis industry entities under
    this amendment, including, but not limited to, and without limitation dispensary and cultivation facility
    35
    11-3-2017 application, licensing, and renewal fees; private donations, and other appropriations by the General
    Assembly when such funds are available.
    (b) The General Assembly shall enact an excise tax to be levied upon wholesale sales of
    cannabis/marijuana/hemp which includes infused with cannabis, at a rate offive (5%) percent and not to
    exceed ten (10%) percent; prior to January 1, 2030, and at a rate to be determined by the General
    Assembly thereafter; and shall direct the Bureau to establish and promulgate procedures for the
    collection of all taxes levied requiring the first $30 million in revenue raised annually by such tax be
    credited to the Arkansas Department of Education Public Schools Capital Construction Assistance
    General Revenue Fund created or its successor;
    (c) The tax revenues, received by the Department of Finance and Administration from the
    state sales taxes of cannabis/marijuana/hemp and products produced therefrom, and cannabis infused
    goods and services, special taxes, excise duty on inland/import, and custom duties on border/export,
    including an additional (5%) excise tax; and levied upon wholesale sales of cannabis/marijuana/hemp an
    excise tax of five (5%) which the first $30 million in revenue raised annually by such tax be credited to
    the public schools; and under this amendment providing that the various tax revenues collected on
    cannabis is subject to the aforementioned taxes, and including revenues generated from fees, penalties,
    and other assessments of the cannabis industry entities under this amendment, including, but not
    limited to, and without limitation dispensary and cultivation facility application, licensing, and renewal
    fees; private donations, and other appropriations by the General Assembly when such funds are
    available; shall be distributed as follows, and at a future rate to be determined by Retinue thereafter:
    (1) Ten percent (10%) to the Bureau of Cannabis/Marijuana Control General Revenue
    Fund or its successor;
    (2) Five percent (5%) to the Cannabis/Marijuana Control Board General Revenue Fund or
    its successor;
    (3) Twenty percent (20%) to the Arkansas Department of Education Public Schools
    General Revenue Fund or its successor;
    (4) Ten percent (10%) to the Arkansas Department of Human Services Parks and Tourism
    Department General Revenue Fund or its successor;
    (5) Ten percent (10%) to the Arkansas Department of Human Services Aging and Adult
    Services General Revenue Fund or its successor;
    (6) Twenty percent (20%) to the Retinue Consortium Corporation General Revenue Fund
    or its successor;
    (7) Fifteen percent (15%) to the Arkansas Agriculture Department General Revenue
    Fund or its successor;
    (8) Ten percent (10%) to the Arkansas Highway and Transportation Department General
    Revenue Fund or its successor;
    (9) and to the Community Reinvestment Fund §6(dd)(7)(b)(3)(8)(a-e) $300,000,000
    without fiscal year limitations.
    (d) There shall be local, state, federal, or special taxes imposed on medical cannabis and it
    shall not be tax exempt.
    § 12. Cannabis/marijuana related offenses exonerated and offenders released.
    Due to the fact that Cannabis' Schedule I listing is disingenuous given the fact that the federal
    36
    11-3-2017 government cannot produce any research or evidence justifying its classification -- The state shall
    exonerate, discharge and dismiss all person(s) serving incarceration, probation, parole, and or pending
    conviction(s) in this state whose conviction(s) and or charge(s) including driving while under the
    influence of cannabis/marijuana a controlled substance were non-violent due to use or possession
    offense crimes against state laws regarding the as defined in §4(s), whose crime(s) and or violation(s)
    occurred prior to, as defined in §6(dd)(7)(c), during, and or after the effective date of this amendment;
    this shall also include such person(s) incarcerated for non-violent crime(s) and or violation(s) violating
    the terms of their parole or probation, supervised or not, by possessing and or using cannabis/marijuana
    while on pardle or probation, it shall not include those persons iftheir initial charge or conviction was
    not pertaining to the aforementioned cannabis/marijuana related crimes, violations, or offenses. Within
    six (6) months after the effective date of this amendment, the State shall make available an application
    process for which all persons in this state with such cannabis/marijuana conviction(s) on their records,
    whose non-violent crimes and or violations occurred prior to, during, and or after the effective date of
    this amendment, may apply to have such conviction(s) of crime(s) expunged, and or violation(s)
    dismissed from their records at no cost to them.
    § 13. Employers, driving, minors, and control of property.
    (a) Nothing in this amendment proposes or intends to require an employer's policy to permit,
    restrict, or accommodate the illegal use of the as defined in §4(s), of cannabis/marijuana in the
    workplace by employees.
    (b) Nothing in this amendment is intended to allow driving under the influence of
    cannabis/marijuana or to supersede laws related to driving under the influence of cannabis/marijuana.
    (c) Nothing in this amendment shall prohibit a person, employer, school, hospital, recreation
    or youth center, correction facility, corporation or any other entity who occupies, owns or controls
    private property from prohibiting or otherwise regulating the as defined in §4(s) of cannabis/marijuana
    on or in that property.
    (d) Nothing in this amendment is intended to permit the illegal use of the as defined in §4(s)
    of cannabis/marijuana or products containing or infused with cannabis/marijuana in public.
    (e) Nothing in this amendment proposes or intends to require any individual or entity to
    engage in any conduct that violates, or exempt any individual or entity from any requirement of, or pose
    any obstacle to federal enforcement offederal law upon passage ofthis amendment.
    § 14. Amendment.
    This Amendment shall be broadly construed to accomplish its purpose, findings, declarations, and intent
    as stated in §3. In conjunction and synonymously with the General Assembly, Congress, and the Bureau
    of Cannabis/Marijuana Control, all shall promulgate and adopt regulations and enact legislation that will
    foster, implement, and aid in the providing governing to decriminalize cannabis at the federal, state, and
    local levels to leave to the States a power to establishing a comprehensive regulatory structure and
    system to legalize, control, license, and regulate the activities of cannabis/marijuana/hemp; protecting
    the health and public safety of consumers and small businesses by imposing strict anti-monopoly
    restrictions in the cannabis industry. The Legislature may by majority vote to amend the provisions of
    this Amendment that will foster, implement, and aid, provided that such amendments are pertinent and
    consistent with and further the purpose and intent of this Amendment; and providing regarding this
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    11-3-2017 Amendment that no Legislators can remove the law because it is an amendment to the Arkansas
    Constitution, and can only be done so by the voters hereafter upon passage of this amendment.
    § 15. Construction and interpretation.
    The provisions ofthis Amendment shall be liberally construed to effectuate the purposes and intent of
    the control, regulate, and tax the adult use of cannabis/marijuana within the Natural Resource Cannabis
    Amendment; provided, however, no provision or provisions of this Amendment shall be interpreted or
    construed in a manner to create a positive conflict with federal law, including the federal Controlled
    Substances Act, such that the provision or provisions of this Amendment and federal law cannot
    consistently stand together. And therefore, and including, but not limited to, the conflating ofthe
    cannabis issues -which is the full legalization of cannabis/marijuana/hemp, bringing together into a
    composite whole of all of the cannabis issues; of which federal law holds precedence over state laws;
    therefore, bringing the intention issue ofthe otherwise continued federal raids to an end; and or any
    rule adopted hereafter, the term "controlled substance" shall not include cannabis/marijuana; ending
    the federal prohibition on cannabis/marijuana. And including the removal from the schedule of
    controlled substances the terms where applicable, and striking "cannabis/marijuana" and
    "tetrahydrocannabinols"; including the removal of prohibition on shipping, transportation, import, and
    export of cannabis/marijuana upon passage of this amendment; and shall be legal within the state of
    Arkansas; and shall not be an offense or illegal, or be a basis for seizure or forfeiture of assets under
    local, state, federal, or Arkansas laws; and regulated and taxed in like manner as similar products,
    purpose, and categories as any other textiles, commodity, agriculture, goods and services produced in or
    out of this state upon passage ofthis amendment.
    § 16. Severable clause.
    The provisions of this amendment are independent and severable, and, except where otherwise
    indicated in the text, shall supersede conflicting statutes, local charter, ordinance, or resolution, and
    other state and local provisions. If any provision of this amendment or the application thereof to any
    person or circumstance is found to be invalid, or unconstitutional, the remainder of this amendment
    shall not be affected and shall be given effect to the fullest extent possible, and to this end the provisions
    of this amendment are declared severable upon passage of this amendment.
    § 17. Conflicting Initiatives.
    In the event that this amendment and another initiative, act, or amendment concerning the control,
    regulation, and taxation of cannabis/marijuana, medical marijuana, or industrial hemp appear on the
    same statewide election ballot, the provisions of the other measure or measures shall be deemed to be
    in conflict with this measure. In the event that this measure receives a greater number of affirmative
    votes, the provisions of this measure shall prevail in their entirety, and the provisions of the other
    measure shall be null and void.
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    11-3-2017