Senate Bill 5796

Source

Section 1

This section modifies existing section 69.50.530. Here is the modified chapter for context.

The dedicated cannabis account is created in the state treasury. All moneys received by the board, or any employee thereof, from marijuana-related activities must be deposited in the account. Unless otherwise provided in chapter 4, Laws of 2015 2nd sp. sess., all marijuana excise taxes collected from sales of marijuana, useable marijuana, marijuana concentrates, and marijuana-infused products under RCW 69.50.535, and the license fees, penalties, and forfeitures derived under this chapter from marijuana producer, marijuana processor, marijuana researcher, and marijuana retailer licenses, must be deposited in the account. Moneys in the account may only be spent after appropriation.

Section 2

This section modifies existing section 69.50.540. Here is the modified chapter for context.

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    1. For the purposes of this subsection (1), the legislature must appropriate 19 percent of all money in the dedicated cannabis account created in RCW 69.50.530 on a quarterly basis or as

follows:

    i. **$12,148,000 to the board for administration of this chapter as appropriated in the omnibus appropriations act;**

    ii. **Until June 30, 2032, $200,000** to the health care authority for the purpose of contracting with the Washington state institute for public policy to conduct the cost-benefit evaluation and produce the reports described in RCW 69.50.550. This appropriation ends after production of the final report required by RCW 69.50.550;

    iii. **$2,423,000 for fiscal year 2022 and $2,793,000 for fiscal year 2023 to the Washington state patrol for a drug enforcement task force;**

    iv. **$270,000 for fiscal year 2022 and $464,000 for** fiscal year 2023 to the department of ecology for implementation of accreditation of marijuana product testing laboratories;

v. **$800,000** for each of fiscal years 2020 through 2023 to the department of health for the administration of the marijuana authorization database; **and**

vi. **$621,000 for fiscal year 2022 and $635,000** for fiscal year 2023 to the department of agriculture for compliance-based laboratory analysis of pesticides in marijuana

.

b. **Any amounts remaining after the distributions made under (a) of this subsection must be distributed as follows:**

    i. **$27,800,000 to counties, cities, and towns as follows:**

(A) Thirty percent must be distributed to counties, cities, and towns where licensed marijuana retailers are physically located. Each jurisdiction must receive a share of the revenue distribution under this subsection (1)(b)(i)(A) based on the proportional share of the total revenues generated in the individual jurisdiction from the taxes collected under RCW 69.50.535, from licensed marijuana retailers physically located in each jurisdiction. For purposes of this subsection (1)(b)(i)(A), 100 percent of the proportional amount attributed to a retailer physically located in a city or town must be distributed to the city or town; and

(B) Seventy percent must be distributed to counties, cities, and towns ratably on a per capita basis. Counties must receive 60 percent of the distribution, which must be disbursed based on each county's total proportional population. Funds may only be distributed to jurisdictions that do not prohibit the siting of any state licensed marijuana producer, processor, or retailer; and

    ii. **Distribution amounts allocated to each county, city, and town must be distributed in four installments by the last day of each fiscal quarter.**

c. **By September 15th of each year, the board must provide the state treasurer the annual distribution amount made under (b) of this subsection, if any, for each county and city as determined in (b)(i) of this subsection.**

d. **Any amounts remaining after the distributions made under (b) of this subsection must be deposited in the state general fund.**
  1. From the amounts in the dedicated cannabis account after appropriation of the amounts identified in subsection (1) of this section, the legislature must annually appropriate for the purposes listed in this subsection (2) as follows:

    a.Fifty-eight percent to the state basic health plan trust account to be administered by the Washington basic health plan administrator and used as provided under chapter 70.47 RCW; and

    1. Any remaining amounts under this subsection (2) must be distributed as follows:

      1. $49,246,000 to the health care authority for the following:

(A) Design and administer the Washington state healthy youth survey, analyze the collected data, and produce reports, in collaboration with the office of the superintendent of public instruction, department of health, department of commerce, family policy council, and board. The survey must be conducted at least every two years and include questions regarding, but not necessarily limited to, academic achievement, age at time of substance use initiation, antisocial behavior of friends, attitudes toward antisocial behavior, attitudes toward substance use, laws and community norms regarding antisocial behavior, family conflict, family management, parental attitudes toward substance use, peer rewarding of antisocial behavior, perceived risk of substance use, and rebelliousness. Funds disbursed under this subsection may be used to expand administration of the healthy youth survey to student populations attending institutions of higher education in Washington;

(B) Develop, implement, maintain, and evaluate programs and practices aimed at the prevention or reduction of maladaptive substance use, substance use disorder, substance abuse or substance dependence, as these terms are defined in the Diagnostic and Statistical Manual of Mental Disorders, among middle school and high school-age students, whether as an explicit goal of a given program or practice or as a consistently corresponding effect of its implementation, mental health services for children and youth, and services for pregnant and parenting women

. In deciding which programs and practices to fund under this subsection (2)(b)(i)(B), the director of the health care authority must consult, at least annually, with the University of Washington's social development research group and the University of Washington's alcohol and drug abuse institute

; and

(C) Contract with community health centers to provide primary health and dental care services, migrant health services, and maternity health care services as provided under RCW 41.05.220;

    ii. **$10,616,000** to the department of health for the following:

(A) Creation, implementation, operation, and management of a marijuana education and public health program that contains the following:

(I) A marijuana use public health hotline that provides referrals to substance abuse treatment providers, utilizes evidence-based or research-based public health approaches to minimizing the harms associated with marijuana use, and does not solely advocate an abstinence-only approach;

(II) A grants program for local health departments or other local community agencies that supports development and implementation of coordinated intervention strategies for the prevention and reduction of marijuana use by youth; and

(III) Media-based education campaigns across television, internet, radio, print, and out-of-home advertising, separately targeting youth and adults, that provide medically and scientifically accurate information about the health and safety risks posed by marijuana use; and

(B) The Washington poison control center

;

    iii. **$20,000 to the University of Washington alcohol and drug abuse institute for the creation, maintenance, and timely updating of web-based public education materials providing medically and scientifically accurate information about the health and safety risks posed by marijuana use;**

    iv. **$378,000** to the University of Washington and **$207,000 to the** Washington State University for research on the short and long-term effects of marijuana use, to include but not be limited to formal and informal methods for estimating and measuring intoxication and impairment, and for the dissemination of such research

;

v. **$530,000** to the office of the superintendent of public instruction to fund grants to building bridges programs under chapter 28A.175 RCW

;

vi. **$2,000,000 to the department of commerce to fund the cannabis social equity technical assistance grant program under RCW 43.330.540;**

vii. **$200,000 to the department of commerce to fund any roster of mentors for the cannabis social equity technical assistance grant program under RCW 43.330.540; and**

viii. **$1,000,000 to the department of commerce to administer low interest loans to cannabis social equity applicant licensees under RCW 69.50.335.**
  1. At the end of each fiscal year, the treasurer must transfer any amounts in the dedicated cannabis account that are not appropriated pursuant to subsection (1) or (2) of this section

into the community reinvestment account created in section 3 of this act and appropriated to the department of commerce to establish a cannabis equity grant program. The distribution of the grants must be done in collaboration with "by and for community organizations" as defined by the department of commerce and the office of equity.

Section 3

This section adds a new section to an existing chapter 43.79. Here is the modified chapter for context.

  1. The community reinvestment account is created in the state treasury. Money from the distribution required in RCW 69.50.540 must be deposited into the account. Moneys in the account may be spent only after appropriation.

  2. Expenditures from the account may be used for:

    1. Economic development, which includes addressing wealth disparities to promote asset building such as home ownership and expanding access to financial resources including, but not limited to, grants and loans for small businesses and entrepreneurs, financial literacy training, and other small business training and support activities, and contributions to the Washington future fund trust fund pursuant to House Bill No. 1861 and Senate Bill No. 5752 to be used for the purposes of the Washington future fund trust fund to assist young adults of limited means in pursuing opportunities for education, housing, or entrepreneurship;

    2. Civil and criminal legal assistance to provide postconviction relief and case assistance, including the expungement of criminal records and vacation of criminal convictions;

    3. Community-based violence intervention and prevention services;

    4. Reentry services to facilitate successful transitions for persons formerly incarcerated in an adult correctional facility or juvenile residential facility in Washington; and

    5. Public education regarding the harms associated with tobacco and cannabis use, outreach to medically underserved communities regarding tobacco and cannabis use, prevention, and cessation, and grants to health centers and youth development programs for tobacco and cannabis cessation treatment services.


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