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8 California Cannabis Bills Pending a Signature

California cannabis has had a long legal history since it passed the Medical Cannabis Initiative in 1996. Since then, the state continues to introduce new pieces of legislation that have further shaped the cannabis landscape.  Currently, several California cannabis bills are pending a final signature that includes the CBD Industry, cannabis advertising, and even one on the existing illegal market.

Governor Gavin Newsom already signed off on a budget this summer that pushes forward the consolidation of the state’s cannabis regulation and forms the new Department of Cannabis Control.

Ab 45

This is a consumer protection bill that requires makers of food and dietary supplements containing industrial hemp to register with the State Department of Health. Additionally, it requires all organizations to show that all hemp components came from producers that are compliant with an established and approved industrial hemp program.

AB 1138

This bill aims to curb the illicit cannabis market. If passed, it will fine those aiding and abetting unlicensed commercial cannabis activity. The fine is up to three times the cost of a cannabis license fee, but no more than $30,000.

The current illicit cannabis market is three times the size of the state’s legal market. Because of that, this bill would allow enforcement officials to penalize those within the illegal market.

SB 311

Also known as the Compassionate Access to Medical Cannabis Act, this bill requires certain health care facilities to allow patients that are terminally ill to consume their medical cannabis within the facility.

Ab 1302

Under this bill, license holders can’t advertise or market on a billboard or similar advertising device located within a 15-mile radius of the California border on an Interstate Highway or on a State Highway which crosses the California border. California Cannabis

SB 544

Under this, the Department of Cannabis Control must establish one or more standardized cannabinoids test methods for all testing laboratories to use by January 2023. Currently there is no requirement for standardized testing of cannabis products. Therefore uniform testing aims to change that by bringing the regulation of the cannabis industry to a new level.

Ab 1222

This is a packaging bill will authorize cannabis beverages to come in glass containers of any color.  Current CA law carries various parameters around the packaging and labeling of cannabis goods including a rule that requires all cannabis products to be sold in opaque packaging. As a result, businesses’ product manufacturing and marketing capabilities are limited.

SB 166

This bill would require the Department of Cannabis Control to create waiver/deferral programs for cannabis licensing, and renewal fees. Additionally, it sets to define social equity applicants and licensees for purposes of cannabis fee waivers and deferrals. Moreover, it plans to have waiver and deferral programs in place between 2022 & 2023.

SB 292

If passed, this bill would amend the state’s hemp laws through several provisions. For instance, it aims to create new testing requirements and change the state’s industrial hemp advisory board.

These proposed California cannabis bills have until October 10, 2022, to be signed into law by Governor Newsom. These pieces of legislation continue to pave and form the cannabis market within the state.

Need expert help keeping up with rapidly changing compliance and regulations?

Payroll Systems has partnered with financial institutions to offer our full suite of payroll/HR services to the cannabis industry. This includes direct deposit, electronic tax payments, tax filings and more.

Contact Payroll Systems to see how you can leverage our easily scalable solutions—from paperless new employee onboarding, paperless benefit enrollment, timekeeping systems with companion mobile app, physical clocks, and customized job costing and labor distribution reporting.

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This article provides general information and shouldn’t be construed as legal or HR advice. Since employment laws may change over time and can vary by location and industry, please consult a lawyer or HR expert for advice specific to your business. You can also contact Payroll Systems to inquire about our HR support services.