| HB 2 w/ HA 1, HA 2 | Enact w/o Sign | Osienski | The Delaware Marijuana Control Act regulates and taxes marijuana for recreational use in much the same manner as alcohol. It creates a framework for production, manufacture, and sale in a legal recreational marijuana industry.
Section 1: Amends Chapter 47 of Title 16 to provide that the offenses and penalties under Uniform Controlled Substances Act do not apply to marijuana-related conduct allowed under the Delaware Marijuana Control Act or the Delaware Medical Marijuana Act, Chapter 49A of Title 16.
Section 2: Amends § 4902A of Title 16 so that the definition of a registered safety compliance facility includes not just marijuana produced for medical use but also marijuana produced under the Delaware Marijuana Control Act.
Section 3: Amends Chapter 4 of Title 4 to expand the Division of Alcohol and Tobacco Enforcement’s duties and powers to the Delaware Marijuana Control Act.
Section 4: This sectioni s the Delaware Marijuana Control Act. Subchapter I contains definitions and general provisions. Where definitions or analogous provisions exist in the Delaware Code, the definitions are referenced and the language from existing statutes is used. This section of the Act permits individuals over age 21 to possess, use, purchase, or transport 1 ounce (28 grams) or less of marijuana, no more than 5 grams of which may be concentrated, if the individuals are in compliance with this chapter. It permits the operation of marijuana businesses if they operate under licenses granted under Chapter 49A of Title 16, but imposes the same limits on hours and holiday sales as apply to sales of alcohol. It prohibits the use of marijuana in public, by drivers or passengers in vehicles, and prohibits the smoking of marijuana anywhere that smoking tobacco or e-cigarettes is not permitted. Marijuana may not be sold in an establishment licensed to sell alcohol. It delineates the rights of property owners with respect to marijuana possession and consumption. There are specific provisions imposing the same penalties as with alcohol sales, for individuals under the age of 21 using false identification to purchase marijuana, and for businesses that fail to verify the age of marijuana consumers.
This Act creates the Delaware Marijuana Control Act Oversight Committee. This Oversight Committee will coordinate the implementation of this Act with the Medical Marijuana Program, the Division of Public Health, the Division of Substance Abuse and Mental Health, and the public. The Oversight Committee will review the effectiveness of the Delaware Marijuana Control Act in regard to the safe operation of facilities licensed under this Act, the impact of this Act on public safety, and the impact of this Act on public health. The Commissioner must submit an annual report to the Governor and the members of the General Assembly setting forth all matters of interest and all statistics concerning marijuana regulation and control in the State including: the number of licenses of each variety issued with the State; including the name and address of each person licensed to cultivate, manufacture, or sell marijuana or marijuana products in the State; the amount of marijuana and marijuana products sold within the State; the number of licenses of each kind granted and the number cancelled during the year, and the outcomes and effective of the issuance of social equity licenses.
Subchapter II creates the position of Marijuana Commissioner and an Appeals Commission. The Commissioner has the power to grant licenses for marijuana establishments, establish health and safety regulations for marijuana cultivation, regulate distribution, and hear complaints regarding establishments licensed under this Act. The Commissioner must consult with the Division of Alcohol and Tobacco Enforcement before adopting or establishing policies that concern enforcement. Finally, they must coordinate with the Division of Small Business, Development, and Tourism so that potential businesses licensed under this Act have access to programs, particularly those that support small businesses owned by minorities, women, and veterans.
Subchapter III sets up the regulations and licenses under the Delaware Marijuana Control Act. The Marijuana Commissioner has the authority to adopt regulations to implement this Act and include specific requirements that marijuana establishments must meet to obtain licenses. Regulations must require that products containing marijuana use a symbol and a standard measurement to be used on all marijuana products so they are easily identified as containing marijuana and consumers can identify the amount of marijuana in different products; be in opaque, child-resistant packaging; and contain a warning label explaining evidence-based harms from consuming marijuana, including the impact on developing brains. The regulations must also contain security requirements, testing requirements, advertising restrictions, and require that food products comply with State food safety laws.
There are separate licensing requirements for retail marijuana stores, marijuana testing facilities, marijuana cultivation facilities, and marijuana product manufacturing facilities. Licensing requirements also differ between open licenses, social equity licenses, and microbusiness licenses. There is a $10,000 biennial fee for most open licenses, with reduced licensing fees for microbusinesses and social equity licenses. Cultivation licenses are determined by square footage of the grow canopy area. As part of the competitive scoring process the Commissioner will use to determine which applicant may obtain licenses to operate each type of marijuana establishment, applicants for open licenses will submit a business plan, an environmental and sustainability plan, as well as attestations affirming that (1) the applicant has a labor peace agreement with a bona fide labor organization.
Subchapter III also establishes the criteria for a social equity applicant and requires the Commissioner to develop financial and technical assistance programming to aid social equity applicants. It also establishes the criteria for a microbusiness license.
Subchapter IV contains provisions relating to local control, procedural requirements for licenses and renewals, and hearings and appeals related to licenses.
Subchapters VI and VII provide the Commissioner the authority to refuse approval of changes in the ownership, officers, or directors, financial interest or lease in connection with any license. The subchapter also details the requirements when there is a change in ownership of a license or licensee, a change in officers and directors, and changes in the financial interest of a license or licensee.
Subchapter VIII deals with taxation and creates the Marijuana Regulation Fund and the Justice Reinvestment Fund. The Regulation Fund will consist of fees collected, penalties imposed, and taxes collected under this Act. It creates the marijuana control enforcement tax on retail marijuana in the amount of 15%. 7% of the tax revenue collected will be allocated to the Justice Reinvestment Fund, under the management of the Department of Justice where it will be used for projects to improve quality of life for communities most impacted by the prohibition of marijuana and “war on drugs” era policies. This subchapter also provides for an annual audit of the Office of the Commissioner.
Section 5: Creates a State tax deduction for corporations for all ordinary and necessary expenses paid or incurred by a marijuana establishment to reflect the inability of a business licensed under this Act to deduct these expenses from federal taxes and thus state taxes. This creates a more level playing field with other businesses.
Section 6: Creates a State tax deduction of ordinary and necessary business expenses for pass through entities operating under this Act.
Section 7: Allows the Director of Revenue to enter into an agreement with the Marijuana Commissioner for the inspection of any tax return.
Section 8: Exempts marijuana taxes paid or payable to the state from the gross receipts tax.
Section 9: Removes possession of marijuana from the list of activities that prohibits a person from at the same time possessing a handgun.
Section 10: Makes the provisions of the bill severable.
Section 11: Requires regulations required under new § 1331 of Title 4 to be adopted no later than one year from this bill’s effective date.
Section 12: Requires the Controller General to send a notice to the Registrar of Regulations when funds have been appropriated to implement this Act.
Section 13: Provides that the bill is effective upon the later of the publication of the notice under Section 13 or its enactment.
| AN ACT TO AMEND TITLES 4, 11, 16, AND 30 OF THE DELAWARE CODE RELATING TO CREATION OF THE DELAWARE MARIJUANA CONTROL ACT. |
| HB 1 | Enact w/o Sign | Osienski | This Act removes all penalties for use or possession of a personal use quantity of marijuana and marijuana accessories. It further specifies that the adult sharing of a personal use quantity or less of marijuana is legal activity for those 21 years of age or older and that those 21 or older may possess, use, display, purchase, or transport accessories and personal use quantities of marijuana without penalty. When transporting in a vehicle, those items must be in a closed container or otherwise not readily accessible to anyone inside the vehicle. The statute also specifies certain activities which remain unlawful. Finally, the definition of "personal use quantity" of marijuana is updated to include not only 1 ounce or less of leaf marijuana, but also equivalent amounts of marijuana product in other forms. | AN ACT TO AMEND TITLE 16 OF THE DELAWARE CODE RELATING TO MARIJUANA. |
| HCR 21 | Passed | Griffith | This concurrent resolution designates March 24, 2023 as Women and Girls in STEM Day in the State of Delaware. | RECOGNIZING MARCH 24, 2023 AS WOMEN AND GIRLS IN STEM DAY IN THE STATE OF DELAWARE. |
| SS 1 for SB 1 w/ HA 1 | Signed | Townsend | This Act is a substitute for Senate Bill No. 1. Like Senate Bill No. 1, this Act creates a right to representation for tenants in evictions and other landlord-tenant actions.
The disruptive displacement that accompanies eviction proceedings creates significant costs for state and local government related to shelter funding, education funding, health care provided in hospitals instead of community-based providers, transportation costs for homeless youth, and foster care. Evictions and disruptive displacement also have significant, well-documented, and long-lasting effects on the lives of individuals and families, including poorer physical and mental health, increased risk of homelessness, increased risk of employment loss, loss of personal property, damage to credit standing, and relocation into substandard housing. Further, evictions fall disproportionately on Black and Latinx families, who have also been the hardest hit by the COVID-19 crisis.
Section 1 of this Act establishes a right to representation for evictions and other landlord-tenant actions for covered individuals with household incomes below 200% of the federal poverty guidelines. The Attorney General shall contract with legal services providers for the provision of representation in proceedings covered by this Act. The Right to Representation Coordinator will manage the contracts and work with community organizations to do outreach and education regarding the right to representation. Section 1 of this Act requires landlords to provide notice of the right to representation at periodic designated intervals in the tenancy and in eviction proceedings.
Section 2 of this Act authorizes the creation of a residential eviction diversion program modeled after the Superior Court’s Residential Mortgage Foreclosure Mediation Program.
Section 3 of this Act is a severability clause.
Section 4 of this Act makes Sections 1 and 6 effective 120 days after the Act's enactment.
Section 5 of this Act makes Section 2 of this Act contingent on funding.
Section 6 requires the Coordinator to provide the General Assembly with a copy of the first annual report required under § 5605 of Title 25, as contained in this Act, to determine if additional funding is needed to address the fiscal impact of the Act on the Justice of the Peace Court.
This Act differs from Senate Bill No. 1 as it does all of the following:
(1) Removes a judicial or administrative proceeding to remedy a violation of law related to security deposit from the list of proceedings included in a covered proceeding.
(2) Replaces “covered individual” with “tenant” in the provision determining a tenant’s eligibility to be a covered individual.
(3) Makes clear that a covered individual’s household income is to be determined over the immediately preceding 12 months.
(4) Makes clear how to determine household income for a full-time student.
(5) Tabulates the list of notices provided by a landlord that trigger a covered individual’s receipt of legal representation and further clarifies the notice related to termination of a rental agreement.
(6) Provides that a designated organization may decline representation if an attorney deems the covered individual’s defense to lack merit, in addition to a determination by the attorney that an appeal lacks merit.
(7) Provides that a covered individual is entitled to receive legal representation as soon as practicable after the initiation of a covered proceeding, rather than just an eviction proceeding.
(8) Removes the requirement that a court, at a covered individual’s first appearance in a covered proceeding, provide a covered individual with notice of the individual’s right to, and the availability of, legal representation under this Act. This notice is intended to be provided earlier by the Right to Representation Coordinator (“Coordinator”).
(9) Requires that events planned for, and information distributed to, tenants also be made available to landlords and property managers.
(10) Requires that the Coordinator include a full accounting of their expenditures as part of the required annual report.
(11) Provides that the Coordinator is to prepare information explaining legal representation available to tenants, provides that the information is known as “informational materials”, requires the Coordinator to prepare the informational materials in English, Spanish, and Haitian Creole, and clarifies the events that require the informational materials to be provided to a tenant.
(12) Clarifies the date from which actions are to be taken by the Coordinator and the Justice of the Peace Courts.
(13) Makes clear that the provision of legal representation to a covered individual under Section 1 of this Act is not intended to be the sole basis for a continuance of a covered proceeding scheduled before the effective date of Section 1 of this Act for a hearing on or after the effective date of Section 1 of this Act.
(14) Provides that the residential eviction diversion program includes an initial mediation conference rather than a conciliation conference.
(15) Makes technical corrections, including to use the defined term “rental agreement” instead of “lease” and to insert “Delaware” before “Supreme Court” for clarity. | AN ACT TO AMEND TITLE 25 OF THE DELAWARE CODE RELATING TO THE RESIDENTIAL LANDLORD-TENANT CODE. |
| HCR 22 | Passed | Dorsey Walker | This Concurrent Resolution supports Congressional efforts to proclaim the 4th Thursday in March a National Tuskegee Airmen Commemoration Day.
| RECOGNIZING THE 4TH THURSDAY IN MARCH AS NATIONAL TUSKEGEE AIRMEN COMMEMORATION DAY. |
| HCR 23 | Passed | Lambert | This Concurrent Resolution recognizes 2023 as the 85th Anniversary of the founding of the Claymont Lions Club. | IN CELEBRATION OF THE 85TH ANNIVERSARY OF THE CLAYMONT LIONS CLUB. |
