B 26-0760

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1A BILL
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326-760
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6IN THE COUNCIL OF THE DISTRICT OF COLUMBIA
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11 To amend, on a temporary basis, to amend the Legalization of Marijuana for Medical Treatment
12Initiative of 1999 to amend the definition of an unlicensed establishment to include
13establishments that sell Schedule I substances or products that contain Schedule I
14substances, to extend the expiration dates of conditional licenses for medical cannabis
15cultivation centers, retailers, internet retailers, manufacturers, couriers, and testing
16laboratories for an additional year, to clarify that a conditional license applicant may
17submit a zoning certificate instead of a certificate of occupancy with their permanent
18license application, to clarify the distance requirements between retailers and internet
19retailers and schools and recreation centers, to authorize enforcement actions to be taken
20against all unlicensed establishments beginning on April 1, 2025, regardless of whether
21the unlicensed establishments have an application pending application before the
22Alcoholic Beverage and Cannabis Board, to authorize certain enforcement actions before
23April 1, 2025, against an unlicensed establishment that has an application before the
24Alcoholic Beverage and Cannabis Board if the unlicensed establishment sells a Schedule
25I substance or a product that contains a Schedule I substance, to authorize summary
26closures and related enforcement actions to continue for as long as the imminent danger
27to the public persists and is likely to recur, and to allow the Alcoholic Beverage and
28Cannabis Administration and Metropolitan Police Department to take related
29enforcement actions against a licensed medical cannabis establishment that engages in
30certain unlawful activity.
31
32BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this
33 act may be cited as the “Medical Cannabis Licensing and Unlicensed Establishment Enforcement
34 Clarification Temporary Amendment Act of 2026”.
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35Sec. 2. The Legalization of Marijuana for Medical Treatment Initiative of 1999, effective
36 July 27, 2010 (D.C. Law 18-210; D.C. Official Code § 7-1671.01 et seq.), is amended as follows:
37(a) Section 2 (D.C. Official Code § 7-1671.01) is amended as follows:
38(1) A new paragraph (2B) is added to read as follows:
39“(2B) “Cannabis product” means a product derived from or composed of
40 cannabis, in part or in whole.”
41(2) A new paragraph (20B-i) is added to read as follows:
42“(20B-i) “Schedule I substance” means a controlled substance listed in section
43 204 of the District of Columbia Uniform Controlled Substances Act of 1981, effective August 5,
44 1981 (D.C. Law 4-29; D.C. Official Code § 48-902.04), or rules implementing that section.”.
45(3) Paragraph (22) is amended to read as follows:
46“(22) “Unlicensed establishment” means:
47“(A) A sole proprietorship, partnership, or other business entity that:
48“(i) Sells, exchanges as part of a commercial transaction, or
49 delivers cannabis and cannabis products;
50“(ii) Operates at or delivers from a specific location in the District;
51 and
52“(iii) Is not licensed by ABCA as a cultivation center, retailer,
53 internet retailer, manufacturer, courier, or testing laboratory; or
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54“(B) For purposes of section 9(c-1), (g), (h), and (i), a sole proprietorship,
55 partnership, or other business entity that:
56“(i) Sells, exchanges as part of a commercial transaction, or
57 delivers Schedule I substances or products that contain Schedule I substances; and
58“(ii) Operates at or delivers from a specific location in the
59 District.”.
60(b) Section 7 (D.C. Official Code § 7-1671.06) is amended as follows:
61(1) Subsection (k) is amended as follows:
62(A) Paragraph (1) is amended by striking the phrase “a 2-year conditional
63 license” and inserting the phrase “a conditional license valid for up to 3 years” in its place.
64(B) Paragraph (2) is amended by striking the phrase “shall have 2 years
65 from the date of ABC Board approval” and inserting the phrase “shall have until the end of the
66 term of the conditional license” in its place.
67(C) Paragraph (2)(C) is amended by striking the phrase “certificate of occupancy”
68 and inserting the phrase “zoning certificate or certificate of occupancy” in its place.
69(D) Paragraph (3) is amended to read as follows:
70“(3) The holder of a conditional license shall not engage in purchasing,
71 possessing, cultivating, manufacturing, or selling of medical cannabis, cannabis products, or
72 Schedule I substances.”.
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73(E) Paragraph (4) is amended by striking the phrase “after a period of 2
74 years” and inserting the phrase “before the end of the term of the conditional licenses” in its
75 place.
76(c) Subsection (k-1) is amended to read as follows:
77“(k-1) A one-year conditional license that was in effect as of December 17, 2024, and
78 that automatically converted to a 2-year conditional license, shall automatically convert to a 3-
79 year conditional license, expiring 2 years after the date the original conditional license was set to
80 expire, at no additional cost and without additional ABC Board approval.”.
81(d) Subsection (l) is amended by striking the phrase “A one-year conditional license” and
82 inserting the phrase “A conditional license” in its place.
83(e) Subsection (q) is amended to read as follows:
84“(q)(1)(A) A retailer or internet retailer shall not locate within any residential district or
85 within 400 feet of a preschool, primary or secondary school, or recreation center; except, that a
86 license holder or an applicant who has applied prior to December 17, 2024, shall not be
87 permitted to locate within 300 feet of a preschool, primary or secondary school, or recreation
88 center.
89“(B) Notwithstanding subparagraph (A) of this paragraph, an unlicensed
90 establishment license holder or applicant that applied for a retailer or internet retailer license
91 during the 90-calendar day open application period set forth in section 7a(a)(1) shall be permitted
92 to locate within 300 feet of a preschool, primary or secondary school, or recreation center where
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93 the main entrance to the preschool, primary school or secondary school, or recreation center is
94 actually on or occupies ground zoned commercial or industrial according to the official atlases of
95 the Zoning Commission of the District of Columbia.
96“(2) A retailer or internet retailer that received a license in compliance with
97 paragraph (1) of this subsection shall not have to relocate to renew its license at its existing
98 location if a preschool, primary or secondary school, or recreation center subsequently locates
99 within 400 feet of its facility.”.
100(f) Section 7b (D.C. Official Code § 7-1671.06b) is amended by adding a new subsection
101 (a-1) to read as follows:
102“(a-1) Notwithstanding any other provision of this section, an unlicensed establishment
103 may be summarily closed and padlocked, without a prior hearing, pursuant to section 9(g) after
104 April 1, 2025, if, after an inspection, ABCA determines that the unlicensed establishment
105 presents an imminent danger to the health or safety of the public as described in section
106 9(g)(2).”.
107(g) Section 9 (D.C. Official Code § 7-1671.08) is amended as follows:
108(1) Subsection (b) is amended by redesignating the second paragraph (1) as
109 paragraph (2).
110(2) A new subsection (c-1) is added to read as follows:
111“(c-1) It shall be a violation of this act for a licensed establishment or an unlicensed
112 establishment (regardless of whether the unlicensed establishment has an application pending
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113 before the ABC Board) to sell, exchange as part of a commercial transaction, or deliver Schedule
114 I substances or products that contain Schedule I substances.”.
115(3) Subsection (g) is amended as follows:
116(A) Paragraph (1) is amended as follows:
117(i) Strike the phrase “this title” and insert the phrase “this act” in
118 its place.
119(ii) Strike the phrase “cannabis and cannabis products” and insert
120 the phrase “cannabis, cannabis products, Schedule I substances, or products that contain
121 Schedule I substances” in its place.
122(B) A new paragraph (6) is added to read as follows:
123“(6) The ABC Board may continue the summary closure, padlocking of the
124 premises, and seizure of cannabis, cannabis products, Schedule I substances, and products
125 containing Schedule I substances until the imminent danger that triggered the summary closure is
126 abated. Even if the imminent danger that triggered the summary closure is abated, the ABC
127 Board may continue the summary closure, the padlocking of the premises, and the seizure of
128 cannabis, cannabis products, Schedule I substances, and products containing Schedule I
129 substances, if the ABC Board determines, in its reasonable judgment, the imminent danger is
130 likely to recur.”.
131(4) A new subsection (g-1) is added to read as follows:
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132“(g-1)(1) The ABC Board may summarily close and order the padlocking, by ABCA or
133 MPD without a prior hearing, of a licensed establishment, and ABCA or MPD may seize all
134 cannabis, cannabis products, Schedule I substances, and products containing Schedule I
135 substances found at the premises, if, after an inspection, ABCA determines that the licensed
136 establishment presents an imminent danger to the health and safety of the public for the reasons
137 set forth in subsection (g)(2)(C) through (G) of this section.
138“(2) ABCA shall provide the licensed establishment’s owner and the property
139 owner with written notice of the summary closure and the right to request a hearing.
140“(3) The owner of the licensed establishment shall have 5 business days after
141 service of the notice of summary closure to request a hearing with the ABC Board, which shall
142 hold a hearing within 5 business days of a timely request.
143“(4) The ABC Board shall issue a written decision within 5 business days after the
144 hearing, or if no hearing is requested, within 10 business days after the service of the notice.
145“(5) The ABC Board may continue the summary closure, padlocking of the
146 premises, and seizure of cannabis, cannabis products, Schedule I substances, and products
147 containing Schedule I substances until the imminent danger that triggered the summary closure is
148 abated. Even if the imminent danger that triggered the summary closure is abated, the Board may
149 continue the summary closure, the padlocking of the premises, and the seizure of cannabis,
150 cannabis products, Schedule I substances, and products containing Schedule I substances, if the
151 ABC Board determines, in its reasonable judgment, the imminent danger is likely to recur.”.
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152(5) Subsection (h) is amended as follows:
153(A) Paragraph (1) is amended to read as follows:
154“(1) ABCA or the Metropolitan Police Department may post signage at the site of
155 the unlicensed establishment or licensed establishment indicating that activity that violates this
156 act has been found to have occurred at the establishment.”.
157(B) Paragraph (2) is amended by striking the phrase “unlicensed
158 establishment” and inserting the phrase “unlicensed establishment or licensed establishment” in
159 its place.
160(6) Subsection (i)(1) is amended to read as follows:
161“(i)(1) An ABCA investigator may test cannabis and cannabis products found at a
162 licensed establishment or unlicensed establishment to quantify their THC content and may, to the
163 extent the investigator has probable cause to do so, test other substances and products found at a
164 licensed establishment or unlicensed establishment for the presence and quantity of a Schedule I
165 substance.”.
166Sec. 3. Fiscal impact statement.
167The Council adopts the fiscal impact statement of the Budget Director as the fiscal impact
168 statement required by section 4a of the General Legislative Procedures Act of 1975, approved
169 October 16, 2006 (120 Stat. 2038; D.C. Official Code § 1-301.47a).
170Sec. 4. Effective date.
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171(a) This act shall take effect following approval by the Mayor (or in the event of veto by
172 the Mayor, action by the Council to override the veto), a 30-day period of congressional review
173 as provided in section 602(c)(1) of the District of Columbia Home Rule Act, approved December
174 24, 1973 (87 Stat. 813; D.C. Official Code § 1-206.02(c)(1)), and publication in the D.C.
175 Register.
176(b) This act shall expire after 225 days of its having taken effect.
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