The bill requires DHS to license and regulate nonprofit corporations, known as
compassion centers, that distribute or deliver marijuana or drug paraphernalia or
possess or manufacture marijuana or drug paraphernalia with the intent to deliver
or distribute to facilitate the medical use of marijuana. This bill prohibits
compassion centers from being located less than 500 feet from a school, prohibits a
compassion center from distributing to a qualifying patient more than a maximum
amount of marijuana, and prohibits an organization from possessing a quantity that
exceeds, by an amount determined by DHS, the total maximum amount of marijuana
of all of the qualifying patients it serves. An applicant for a license must pay an
initial application fee of $250, and a compassion center must pay an annual fee of
$5,000.
Effect on federal law
This bill changes state law regarding marijuana. It does not affect federal law,
which generally prohibits persons from manufacturing, delivering, or possessing
marijuana and applies to both intrastate and interstate violations.
Because this bill creates a new crime or revises a penalty for an existing crime,
the Joint Review Committee on Criminal Penalties may be requested to prepare a

report concerning the proposed penalty and the costs or savings that are likely to
result if the bill is enacted.
For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB554, s. 1 1Section 1. 20.435 (1) (gq) of the statutes is created to read:
AB554,5,42 20.435 (1) (gq) Medical marijuana registry. All moneys received from
3applicants, as defined in s. 146.44 (1) (a), as fees under s. 146.44 (2) (a) 4., for the
4purposes of the Medical Marijuana Registry Program under s. 146.44.
AB554, s. 2 5Section 2. 20.435 (1) (jm) of the statutes is created to read:
AB554,5,86 20.435 (1) (jm) Licensing and support services for compassion centers. All
7moneys received under s. 50.64 to regulate and license compassion centers under
8subch. IV of ch. 50.
AB554, s. 3 9Section 3. 20.435 (6) (jm) of the statutes, as affected by 2008 Wisconsin Act
1028
, is amended to read:
AB554,6,711 20.435 (6) (jm) Licensing and support services. The amounts in the schedule
12for the purposes specified in ss. 48.685 (2) (am) and (b) 1., (3) (a) and (b), and (5) (a),
1349.45 (47), 50.02 (2), 50.025, 50.031, 50.065 (2) (am) and (b) 1., (3) (a) and (b), and (5),
1450.13, 50.135, 50.36 (2), 50.49 (2) (b), 50.495, 50.52 (2) (a), 50.57, 50.981, and 146.40
15(4r) (b) and (er), and subch. IV V of ch. 50 and to conduct health facilities plan and
16rule development activities, for accrediting nursing homes, convalescent homes, and
17homes for the aged, to conduct capital construction and remodeling plan reviews
18under ss. 50.02 (2) (b) and 50.36 (2), and for the costs of inspecting, licensing or
19certifying, and approving facilities, issuing permits, and providing technical
20assistance, that are not specified under any other paragraph in this subsection. All

1moneys received under ss. 48.685 (8), 49.45 (42) (c), 49.45 (47) (c), 50.02 (2), 50.025,
250.031 (6), 50.065 (8), 50.13, 50.36 (2), 50.49 (2) (b), 50.495, 50.52 (2) (a), 50.57, 50.93
3(1) (c), and 50.981, all moneys received from fees for the costs of inspecting, licensing
4or certifying, and approving facilities, issuing permits, and providing technical
5assistance, that are not specified under any other paragraph in this subsection, and
6all moneys received under s. 50.135 (2) shall be credited to this appropriation
7account.
AB554, s. 4 8Section 4. 50.56 (3) of the statutes is amended to read:
AB554,6,129 50.56 (3) Notwithstanding sub. (2), insofar as a conflict exists between this
10subchapter, or the rules promulgated under this subchapter, and subch. I, II or IV
11V, or the rules promulgated under subch. I, II or IV V, the provisions of this
12subchapter and the rules promulgated under this subchapter control.
AB554, s. 5 13Section 5. Subchapter IV of chapter 50 [precedes 50.60] of the statutes is
14created to read:
AB554,6,1515 CHAPTER 50
AB554,6,1616 SUBCHAPTER IV
AB554,6,1717 Distribution Centers
AB554,6,18 1850.60 Definitions. In this subchapter:
AB554,6,20 19(1) "Compassion center" means a licensed organization that grows and
20distributes marijuana for the medical use of tetrahydrocannabinols.
AB554,6,21 21(2) "Maximum authorized amount" has the meaning given in s. 961.01 (14c).
AB554,6,23 22(3) "Medical use of tetrahydrocannabinols" has the meaning given in s. 961.01
23(14g).
AB554,6,24 24(4) "Qualifying patient" has the meaning given in s. 961.01 (20hm).
AB554,6,25 25(5) "Registry identification card" has the meaning given in s. 146.44 (1) (g).
AB554,7,1
1(6) "Treatment team" has the meaning given in s. 961.01 (20t).
AB554,7,2 2(7) "Usable marijuana" has the meaning given in s. 961.01 (21f).
AB554,7,3 3(8) "Written certification" has the meaning given in s. 961.01 (21t).
AB554,7,5 450.61 Departmental powers and duties. The department shall provide
5licensing, regulation, record keeping, and security for compassion centers.
AB554,7,8 650.62 Licensing. The department shall issue licenses to operate as a
7compassion center and shall decide which and how many applicants for a license
8receive a license based on all of the following:
AB554,7,9 9(1) Convenience to treatment teams and the preferences of treatment teams.
AB554,7,11 10(2) The ability of an applicant to provide to treatment teams a sufficient
11amount of medical marijuana for the medical use of tetrahydrocannabinols.
AB554,7,13 12(3) The experience the applicant has running a nonprofit organization or a
13business.
AB554,7,15 14(4) The preferences of the governing bodies with jurisdiction over the area in
15which the applicants are located.
AB554,7,17 16(5) The ability of the applicant to keep records confidential and maintain a safe
17and secure facility.
AB554,7,18 18(6) The ability of the applicant to abide by the prohibitions under s. 50.63.
AB554,7,20 1950.63 Prohibitions. The department may not issue a license to, and must
20revoke a license of, any organization to which any of the following applies:
AB554,7,22 21(1) The organization does not qualify as a nonprofit organization, as defined
22in s. 108.02 (19).
AB554,7,24 23(2) The organization is located less than 500 feet from a public or private
24elementary or secondary school, including a charter school.
AB554,8,4
1(3) The compassion center distributes to a treatment team an amount of plants
2or ounces of usable marijuana that, in the period of distribution, results in the
3treatment team possessing an amount that exceeds the maximum authorized
4amount.
AB554,8,8 5(4) The compassion center possesses an amount of plants or ounces of usable
6marijuana that exceeds the combined maximum authorized amount for all of the
7treatment teams that use the organization by an amount determined by the
8department by rule to be unacceptable.
AB554,8,9 950.64 Licensing procedure. (1) The application for a license shall:
AB554,8,1010 (a) Be in writing on a form provided by the department.
AB554,8,1111 (b) Include the licensing application fee under sub. (2) (a).
AB554,8,12 12(2) (a) A licensing application fee is $250.
AB554,8,1313 (b) The annual fee for a compassion center is $5,000.
AB554,8,16 14(3) A compassion center license is valid until revoked. Each license shall be
15issued only for the applicant named in the application and may not be transferred
16or assigned.
AB554,8,20 1750.65 Distribution of medical marijuana. (1) A compassion center may
18deliver or distribute tetrahydrocannabinols or drug paraphernalia to a member of a
19treatment team if the compassion center receives a copy of the qualifying patient's
20written certification or registry identification card.
AB554,8,22 21(2) A compassion center may possess or manufacture tetrahydrocannabinols
22or drug paraphernalia with the intent to deliver or distribute under sub. (1).
AB554,8,24 23(3) A compassion center may have 2 locations, one for cultivation and one for
24distribution.
AB554, s. 6
1Section 6. Subchapter IV of chapter 50 [precedes 50.90] of the statutes is
2renumbered subchapter V of chapter 50.
AB554, s. 7 3Section 7. 59.54 (25) of the statutes is renumbered 59.54 (25) (a) and amended
4to read:
AB554,9,145 59.54 (25) (a) The board may enact and enforce an ordinance to prohibit the
6possession of 25 grams or less of marijuana, as defined in s. 961.01 (14), subject to
7par. (b) and the exceptions in s. 961.41 (3g) (intro.), and provide a forfeiture for a
8violation of the ordinance; except that any person who is charged with possession of
9more than 25 grams of marijuana, or who is charged with possession of any amount
10of marijuana following a conviction for possession of marijuana, in this state shall
11not be prosecuted under this subsection
. Any ordinance enacted under this
12paragraph shall provide a person who is prosecuted under it with the defenses that
13the person has under s. 961.436 to prosecutions under s. 961.41 (1) (h), (1m) (h), or
14(3g) (e)
.
AB554,9,16 15(b) 1. Any ordinance enacted under this subsection par. (a) applies in every
16municipality within the county.
AB554, s. 8 17Section 8. 59.54 (25) (b) 2. of the statutes is created to read:
AB554,9,2018 59.54 (25) (b) 2. A person may not be prosecuted under an ordinance enacted
19under par. (a) if, under s. 968.072 (2) or (4) (b), the person would not be subject to
20prosecution under s. 961.41 (3g) (e).
AB554, s. 9 21Section 9. 59.54 (25) (b) 3. of the statutes is created to read:
AB554,9,2522 59.54 (25) (b) 3. No person who is charged with possession of more than 25
23grams of marijuana, or who is charged with possession of any amount of marijuana
24following a conviction for possession of marijuana, in this state may be prosecuted
25under an ordinance enacted under par. (a).
AB554, s. 10
1Section 10. 59.54 (25m) of the statutes is amended to read:
AB554,10,112 59.54 (25m) Drug paraphernalia. The board may enact an ordinance to
3prohibit conduct that is the same as that prohibited by s. 961.573 (1) or (2), 961.574
4(1) or (2), or 961.575 (1) or (2) and provide a forfeiture for violation of the ordinance.
5Any ordinance enacted under this subsection shall provide a person prosecuted
6under it with the defenses that the person has under s. 961.5755 to prosecutions
7under s. 961.573 (1), 961.574 (1), or 961.575 (1). A person may not be prosecuted
8under an ordinance enacted under this subsection if, under s. 968.072 (3) or (4) (b),
9the person would not be subject to prosecution under s. 961.573 (1), 961.574 (1), or
10961.575 (1).
The board may enforce an ordinance enacted under this subsection in
11any municipality within the county.
AB554, s. 11 12Section 11. 66.0107 (1) (bm) of the statutes is amended to read:
AB554,10,2413 66.0107 (1) (bm) Enact and enforce an ordinance to prohibit the possession of
1425 grams or less of marijuana, as defined in s. 961.01 (14), subject to this paragraph
15and
the exceptions in s. 961.41 (3g) (intro.), and provide a forfeiture for a violation
16of the ordinance; except that any. Any ordinance enacted under this paragraph shall
17provide a person prosecuted under it with the defenses that the person has under s.
18961.436 to prosecutions under s. 961.41 (1) (h), (1m) (h), or (3g) (e). A person may not
19be prosecuted under an ordinance enacted under this paragraph if, under s. 968.072
20(2) or (4) (b), the person would not be subject to prosecution under s. 961.41 (3g) (e).
21No
person who is charged with possession of more than 25 grams of marijuana, or
22who is charged with possession of any amount of marijuana following a conviction
23for possession of marijuana, in this state shall not may be prosecuted under this
24paragraph.
AB554, s. 12 25Section 12. 66.0107 (1) (bp) of the statutes is amended to read:
AB554,11,8
166.0107 (1) (bp) Enact and enforce an ordinance to prohibit conduct that is the
2same as that prohibited by s. 961.573 (1) or (2), 961.574 (1) or (2), or 961.575 (1) or
3(2) and provide a forfeiture for violation of the ordinance. Any ordinance enacted
4under this paragraph shall provide a person prosecuted under it with the defenses
5that the person has under s. 961.5755 to prosecutions under s. 961.573 (1), 961.574
6(1), or 961.575 (1). A person may not be prosecuted under an ordinance enacted
7under this paragraph if, under s. 968.072 (3) or (4) (b), the person would not be subject
8to prosecution under s. 961.573 (1), 961.574 (1), or 961.575 (1).
AB554, s. 13 9Section 13. 146.40 (1) (bo) of the statutes is amended to read:
AB554,11,1110 146.40 (1) (bo) "Hospice" means a hospice that is licensed under subch. IV V
11of ch. 50.
AB554, s. 14 12Section 14. 146.44 of the statutes is created to read:
AB554,11,14 13146.44 Medical Marijuana Registry Program. (1) Definitions. In this
14section:
AB554,11,1615 (a) "Applicant" means a person who is applying for a registry identification card
16under sub. (2) (a).
AB554,11,1817 (b) "Debilitating medical condition or treatment" has the meaning given in s.
18961.01 (5m).
AB554,11,2019 (c) "Medical use of tetrahydrocannabinols" has the meaning given in s. 961.01
20(14g).
AB554,11,2321 (cm) "Out-of-state registry identification card" means a document issued by
22an entity listed in the rule promulgated under sub. (7) (f) that identifies the person
23as a qualifying patient or primary caregiver, or an equivalent designation.
AB554,11,2424 (d) "Primary caregiver" has the meaning given in s. 961.01 (19m).
AB554,11,2525 (e) "Qualifying patient" has the meaning given in s. 961.01 (20hm).
AB554,12,2
1(f) "Registrant" means a person to whom a registry identification card is issued
2under sub. (4).
AB554,12,53 (g) "Registry identification card" means a document issued by the department
4under this section that identifies a person as a qualifying patient or primary
5caregiver.
AB554,12,66 (h) "Written certification" has the meaning given in s. 961.01 (21t).
AB554,12,9 7(2) Application. (a) An adult who is claiming to be a qualifying patient may
8apply for a registry identification card by submitting to the department a signed
9application form containing or accompanied by all of the following:
AB554,12,1010 1. His or her name, address, and date of birth.
AB554,12,1111 2. A written certification.
AB554,12,1312 3. The name, address, and telephone number of the person's current physician,
13as listed in the written certification.
AB554,12,1514 4. A registration fee in an amount determined by the department, but not to
15exceed $150.
AB554,12,2216 (b) A qualifying patient who is an adult and who has been issued a registry
17identification card under sub. (4) or an applicant may jointly apply with another
18adult to the department for a registry identification card for the other adult,
19designating him or her as a primary caregiver for the qualifying patient or the
20applicant. Both persons who jointly apply for a registry identification card under this
21paragraph shall sign the application form, which shall contain the name, address,
22and date of birth of the individual applying to be registered as a primary caregiver.
AB554,13,223 (c) The department shall promulgate rules specifying how a parent, guardian,
24or person having legal custody of a child may apply for a registry identification card

1for himself or herself and for the child and the circumstances under which the
2department may approve or deny the application.
AB554,13,8 3(3) Processing the application. The department shall verify the information
4contained in or accompanying an application submitted under sub. (2) and shall
5approve or deny the application within 30 days after receiving it. Except as provided
6in sub. (2) (c), the department may deny an application submitted under sub. (2) only
7if the required information has not been provided or if false information has been
8provided.
AB554,13,14 9(4) Issuing a registry identification card. The department shall issue a
10registry identification card within 5 days after approving an application under sub.
11(3). Unless voided under sub. (5) (b) or (c) or revoked under rules issued by the
12department under sub. (7) (d), a registry identification card shall expire one year
13from the date of issuance. A registry identification card shall contain all of the
14following:
AB554,13,1515 (a) The name, address, and date of birth of all of the following:
AB554,13,1616 1. The registrant.
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