AB482: Bill Text

AB482,26,21 (b) “Marijuana processor" has the meaning given in s. 139.97 (6).

AB482,26,22 (c) “Marijuana producer” has the meaning given in s. 139.97 (7).

AB482,26,23 (d) “Usable marijuana” has the meaning given in s. 139.97 (12).

AB482,26,25 (e) “Permittee” means a marijuana producer or processor who is issued a permit under this section.

AB482,27,9 (2) Permit required. (a) No person may operate in this state as a marijuana producer or marijuana processor without a permit from the department. A person who acts as a marijuana producer and a marijuana processor shall obtain a separate permit for each activity. Each person who applies for a permit under this section shall submit with the application a $250 fee. A permit issued under this section is valid for one year and may be renewed, except that the department may revoke or suspend a permit prior to its expiration. A person is not entitled to a refund of the fees paid under this subsection if the person's permit is denied, revoked, or suspended.

AB482,27,13 (b) A permittee shall annually pay to the department a fee for as long as the person holds a valid permit under this section. The annual fee for a marijuana processor permittee is $2,000. The annual fee for a marijuana producer permittee is one of the following, unless the department, by rule, establishes a higher amount:

AB482,27,15 1. If the permittee plants, grows, cultivates, or harvests not more than 1,800 marijuana plants, $1,800.

AB482,27,17 2. If the permittee plants, grows, cultivates, or harvests more than 1,800 but not more than 3,600 marijuana plants, $2,900.

AB482,27,19 3. If the permittee plants, grows, cultivates, or harvests more than 3,600 but not more than 6,000 marijuana plants, $3,600.

AB482,27,21 4. If the permittee plants, grows, cultivates, or harvests more than 6,000 but not more than 10,200 marijuana plants, $5,100.

AB482,27,23 5. If the permittee plants, grows, cultivates, or harvests more than 10,200 marijuana plants, $7,100 plus $800 for every 3,600 marijuana plants over 10,200.

AB482,28,3 (c) This subsection applies to all officers, directors, agents, and stockholders holding 5 percent or more of the stock of any corporation applying for a permit under this section.

AB482,28,5 (d) Subject to ss. 111.321, 111.322, and 111.335, no permit under this section may be granted to any person to whom any of the following applies:

AB482,28,7 1. The person has been convicted of a violent misdemeanor, as defined in s. 941.29 (1g) (b), at least 3 times.

AB482,28,9 2. The person has been convicted of a violent felony, as defined in s. 941.29 (1g) (a), unless pardoned.

AB482,28,11 3. During the preceding 3 years, the person has been committed under s. 51.20 for being drug dependent.

AB482,28,16 4. The person chronically and habitually uses alcohol beverages or other substances to the extent that his or her normal faculties are impaired. A person is presumed to chronically and habitually use alcohol beverages or other substances to the extent that his or her normal faculties are impaired if, within the preceding 3 years, any of the following applies:

AB482,28,18 a. The person has been committed for involuntary treatment under s. 51.45 (13).

AB482,28,19 b. The person has been convicted of a violation of s. 941.20 (1) (b).

AB482,29,4 c. In 2 or more cases arising out of separate incidents, a court has found the person to have committed a violation of s. 346.63 or a local ordinance in conformity with that section; a violation of a law of a federally recognized American Indian tribe or band in this state in conformity with s. 346.63; or a violation of the law of another jurisdiction, as defined in s. 340.01 (41m), that prohibits use of a motor vehicle while intoxicated, while under the influence of a controlled substance, a controlled substance analog, or a combination thereof, with an excess or specified range of alcohol concentration, or while under the influence of any drug to a degree that renders the person incapable of safely driving, as those or substantially similar terms are used in that jurisdiction's laws.

AB482,29,6 5. The person has income which comes principally from gambling or has been convicted of 2 or more gambling offenses.

AB482,29,7 6. The person has been guilty of crimes relating to prostitution.

AB482,29,9 7. The person has been guilty of crimes relating to loaning money or anything of value to persons holding licenses or permits pursuant to ch. 125.

AB482,29,10 8. The person is under the age of 21.

AB482,29,12 9. The person has not been a resident of this state continuously for at least 90 days prior to the application date.

AB482,29,19 (e) 1. Before the department issues a new or renewed permit under this section, the department shall give notice of the permit application to the governing body of the municipality where the the permit applicant intends to operate as a marijuana producer or marijuana processor. No later than 30 days after the department submits the notice, the governing body of the municipality may file with the department a written objection to granting or renewing the permit. At the municipality's request, the department may extend the period for filing objections.

AB482,30,7 2. A written objection filed under subd. 1. shall provide all the facts on which the objection is based. In determining whether to grant or deny a permit for which an objection has been filed under this paragraph, the department shall give substantial weight to objections from a municipality based on chronic illegal activity associated with the premises for which the applicant seeks a permit, the premises of any other operation in this state for which the applicant holds or has held a valid permit or license, the conduct of the applicant's patrons inside or outside the premises of any other operation in this state for which the applicant holds or has held a valid permit or license, and local zoning ordinances. In this subdivision, “ chronic illegal activity" means a pervasive pattern of activity that threatens the public health, safety, and welfare of the municipality, including any crime or ordinance violation, and is documented in crime statistics, police reports, emergency medical response data, calls for service, field data, or similar law enforcement agency records.

AB482,30,12 (f) After denying a permit, the department shall immediately notify the applicant in writing of the denial and the reasons for the denial. After making a decision to grant or deny a permit for which a municipality has filed an objection under par. (e), the department shall immediately notify the governing body of the municipality in writing of its decision and the reasons for the decision.

AB482,30,14 (g) 1. The department's denial of a permit under this section is subject to judicial review under ch. 227.

AB482,30,16 2. The department's decision to grant a permit under this section regardless of an objection filed under par. (e) is subject to judicial review under ch. 227.

AB482,30,18 (h) The department shall not issue a permit under this section to any person who does not hold a valid certificate under s. 73.03 (50).

AB482,30,21 (3) Schools. The department may not issue a permit under this section to operate as a marijuana producer within 500 feet of the perimeter of the grounds of any elementary or secondary school.

AB482,31,2 (4) Education. The department shall develop and make available training programs for marijuana producers on how to safely and efficiently plant, grow, cultivate, harvest, and otherwise handle marijuana, and for marijuana processors on how to safely and efficiently produce and handle marijuana products and test marijuana for contaminants.

AB482,31,5 (5) Rules. The department shall promulgate rules necessary to administer and enforce this section, including rules relating to the inspection of the plants, facilities, and products of permittees.

AB482,31,9 (6) Penalties. (a) Any person who violates the requirements under sub. (2) or (3) or any of the requirements established by the rules promulgated under sub. (5) shall be fined not less than $100 nor more than $500 or imprisoned not more than 6 months or both.

AB482,31,13 (b) In addition to the penalties imposed under par. (a), the department shall revoke the permit of any person convicted of any violation described under par. (a) and not issue another permit to that person for a period of 2 years following the revocation.

AB482,50 Section 50. 108.02 (18r) of the statutes is created to read:

AB482,31,15 108.02 (18r) Marijuana. “Marijuana” has the meaning given in s. 111.32 (11m).

AB482,51 Section 51. 108.04 (5m) of the statutes is created to read:

AB482,31,21 108.04 (5m) Discharge for use of marijuana. (a) Notwithstanding sub. (5), “misconduct," for purposes of sub. (5), does not include the employee's use of marijuana off the employer's premises during nonworking hours or a violation of the employer's policy concerning such use, unless termination of the employee because of that use is permitted under s. 111.35.

AB482,31,25 (b) Notwithstanding sub. (5g), “substantial fault," for purposes of sub. (5g), does not include the employee's use of marijuana off the employer's premises during nonworking hours or a violation of the employer's policy concerning such use, unless termination of the employee because of that use is permitted under s. 111.35.

AB482,52 Section 52. 108.133 (1) (a) of the statutes is renumbered 108.133 (1) (a) 1. and amended to read:

AB482,32,4 108.133 (1) (a) 1. Notwithstanding s. 108.02 (9), “controlled substance" has the meaning given in 21 USC 802, except as provided in subd. 2.

AB482,53 Section 53. 108.133 (1) (a) 2. of the statutes is created to read:

AB482,32,9 108.133 (1) (a) 2. “Controlled substance” does not include tetrahydrocannabinols, commonly known as “THC," in any form including tetrahydrocannabinols contained in marijuana, obtained from marijuana, or chemically synthesized.

AB482,54 Section 54. 111.32 (9m) of the statutes is created to read:

AB482,32,11 111.32 (9m) “Lawful product” includes marijuana.

AB482,55 Section 55. 111.32 (11m) of the statutes is created to read:

AB482,32,16 111.32 (11m) “Marijuana” means all parts of the plants of the genus Cannabis, whether growing or not; the seeds thereof; the resin extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture or preparation of the plant, its seeds or resin, including tetrahydrocannabinols.

AB482,56 Section 56. 111.35 (2) (e) of the statutes is amended to read:

AB482,32,20 111.35 (2) (e) Conflicts with any federal or state statute, rule or regulation. This paragraph does not apply with respect to violations concerning marijuana or tetrahydrocannabinols under 21 USC 841 to 865.

AB482,57 Section 57. 115.35 (1) of the statutes is renumbered 115.35 (1) (a) (intro.) and amended to read:

AB482,33,7 115.35 (1) (a) (intro.) A critical health problems education program is established in the department. The program shall be a systematic and integrated program designed to provide appropriate learning experiences based on scientific knowledge of the human organism as it functions within its environment and designed to favorably influence the health, understanding, attitudes and practices of the individual child which will enable him or her to adapt to changing health problems of our society. The program shall be designed to educate youth with regard to critical health problems and shall include, but not be limited to, the following topics as the basis for comprehensive education curricula in all elementary and secondary schools: controlled

AB482,33,9 1. Controlled substances, as defined in s. 961.01 (4); controlled substance analogs, as defined in s. 961.01 (4m); alcohol; and tobacco; mental.

AB482,33,10 2. Mental health; sexually .

AB482,33,12 3. Sexually transmitted diseases, including acquired immunodeficiency syndrome; human.

AB482,33,13 4. Human growth and development; and.

AB482,33,14 5. Other related health and safety topics as determined by the department.

AB482,33,17 (b) Participation in the human growth and development topic of the curricula described in par. (a) shall be entirely voluntary. The department may not require a school board to use a specific human growth and development curriculum.

AB482,58 Section 58. 115.35 (1) (a) 6. of the statutes is created to read:

AB482,33,23 115.35 (1) (a) 6. Beginning in the 2018-19 school year, the program shall also include scientific, evidence-based and grade-level appropriate information about the common uses of marijuana, how marijuana use affects an individual's behavior, body, and brain, and the health and behavior risks associated with marijuana use and abuse.

AB482,59 Section 59. 121.02 (1) (L) 7. of the statutes is created to read:

AB482,34,3 121.02 (1) (L) 7. Beginning in the 2018-19 school year, as part of the health curriculum, in one of grades 5 to 8 and in one of grades 9 to 12, provide pupils with the instruction about marijuana described in s. 115.35 (1) (a) 6.

AB482,60 Section 60. Subchapter IV (title) of chapter 139 [precedes 139.97] of the statutes is created to read:

AB482,34,6 chapter 139

AB482,34,7 subchapter Iv

AB482,34,8 marijuana tax and regulation

AB482,61 Section 61. 139.97 of the statutes is created to read:

AB482,34,10 139.97 Definitions. In this subchapter:

AB482,34,11 (1) “Department" means the department of revenue.

AB482,34,14 (2) “Lot" means a definite quantity of marijuana or usable marijuana identified by a lot number, every portion or package of which is consistent with the factors that appear in the labeling.

AB482,34,16 (3) “Lot number" means a number that specifies the person who holds a valid permit under this subchapter and the harvesting or processing date for each lot.

AB482,34,17 (4) “Marijuana" has the meaning given in s. 961.70 (3).

AB482,34,20 (5) “Marijuana distributor” means a person in this state who purchases usable marijuana from a marijuana processor and who sells the usable marijuana to a marijuana retailer for the purpose of resale to consumers.

AB482,34,23 (6) “Marijuana processor" means a person in this state who processes marijuana into usable marijuana, packages and labels usable marijuana for sale in retail outlets, and sells usable marijuana at wholesale to marijuana distributors.

AB482,34,25 (7) “Marijuana producer" means a person in this state who produces marijuana and sells it at wholesale to marijuana processors.

AB482,35,2 (8) “Marijuana retailer" means a person in this state who sells usable marijuana at a retail outlet.

AB482,35,4 (9) “Permittee" means a marijuana producer, marijuana processor, marijuana distributor, or marijuana retailer who is issued a permit under s. 139.972.

AB482,35,5 (10) “Retail outlet" means a location for the retail sale of usable marijuana.

AB482,35,6 (11) “Sales price" has the meaning given in s. 77.51 (15b).

AB482,35,9 (12) “Usable marijuana" means marijuana that has been processed for human consumption and includes dried marijuana flowers, marijuana-infused products, and marijuana edibles.

AB482,62 Section 62. 139.971 of the statutes is created to read:

AB482,35,13 139.971 Marijuana tax. (1) (a) An excise tax is imposed on a marijuana producer at the rate of 15 percent of the sales price on each wholesale sale in this state of marijuana to a marijuana processor.

AB482,35,15 (b) An excise tax is imposed on a marijuana retailer at the rate of 10 percent of the sales price on each retail sale in this state of usable marijuana.

AB482,35,19 (2) Each person liable for the taxes imposed under sub. (1) shall pay the taxes to the department no later than the 15th day of the month following the month in which the person's tax liability is incurred and shall include with the payment a return on a form prescribed by the department.

AB482,35,22 (3) For purposes of this section, a marijuana producer may not sell marijuana directly to a marijuana distributor or marijuana retailer and a marijuana retailer may purchase usable marijuana for resale only from a marijuana distributor.

AB482,63 Section 63. 139.972 of the statutes is created to read:

AB482,36,4 139.972 Permits required. (1) (a) No person may operate in this state as a marijuana producer, marijuana processor, marijuana distributor, or marijuana retailer without first filing an application for and obtaining the proper permit from the department to perform such operations. In addition, no person may operate in this state as a marijuana producer or marijuana processor without first filing an application for and obtaining the proper permit under s. 94.55.

AB482,36,7 (b) This section applies to all officers, directors, agents, and stockholders holding 5 percent or more of the stock of any corporation applying for a permit under this section.