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Donated Cannabis Now A Reality

The adoption of Senate Bill 34 made donating cannabis to qualified medical patients a reality. Beginning March 1, 2020, cannabis retailers may provide free cannabis or cannabis products to qualified medicinal patients or their primary caregivers which exempts these donated items from excise, sales and use, and cultivation taxes. Licensed cultivators, manufacturers, distributors, retailers or microbusinesses may designate cannabis or cannabis products that they hold in their inventory for donation.  But those items designated for donation may then only be provided to a medicinal patient or primary caregiver through a licensed retailer.

Medical patients can get donated cannabis

Cannabis and cannabis products designated for donation must comply with all requirements outlined in MAUCRSA and the state cannabis regulations. This includes, but is not limited to:

— Donated cannabis and cannabis products must move through the licensed supply chain in the same way as cannabis and cannabis products for sale and meet all applicable requirements for cultivation, manufacturing, distribution, laboratory testing, packaging and labeling, etc.;

— Cannabis and cannabis products that do not pass the required regulatory compliance testing cannot be donated; and

— Only licensees authorized for retail activity, or nonprofits working in conjunction with those licensed retailers, may provide donated product directly to qualified medicinal consumers.

— Licensees designating an item for donation are required to record that designation in Track-and-Trace and on invoices and sales receipts.

— Licensees cannot change the donation designation made by another licensee or after the donated item has been transported to another licensee. Any licensee that changes a donation designation will be liable for sales and use taxes on the items and may be subject to disciplinary action.

— Manufacturers producing cannabis products for donation must include the statement “FOR MEDICINAL USE ONLY” on the label.

Retailer’s Requirements:

Donated items may only be provided to medicinal cannabis patients, or primary caregivers, with a valid recommendation or medical marijuana identification card under Section 11362.7 of the Health and Safety Code.

Before providing free cannabis goods to a medicinal patient that does not possess a valid identification card, a retailer must:

— Verify with the Medical Board of California, the Osteopathic Medical Board of California, and the California Board of Podiatric Medicine that the attending physician providing the patient’s medicinal cannabis recommendation has a license in good standing to practice medicine or osteopathy in the state of California;

— Keep a copy of the patient’s or primary caregiver’s driver license or other government issued identification; and  Prepare a written certification that the retailer verified the physician’s recommendation as required.

— A licensee authorized to engage in retail sales only through delivery may provide free cannabis goods only by delivery.

— A licensee authorized to engage in retail sales on a licensed premises open to the public may contract with an individual or organization to coordinate the provision of free cannabis goods on the licensee’s retail premises. A license may be held responsible for violations of applicable statutory and regulatory requirements by the individual or organization with whom the licensee has contracted pursuant to this subsection.

— The donated cannabis and cannabis products provided to a medicinal cannabis patient or the patient’s primary caregiver shall be applied toward the daily purchase limit for a medicinal cannabis customer contained in section 5409 of the Bureau’s regulations and the possession limits contained in Section 11362.77 of the Health and Safety Code.

Designating Packages for Donation in Track-and-Trace:

All items intended for donation must be marked as such in Track-and-Trace. A bulletin with step-by-step instructions for designating new or existing packages of cannabis, cannabis products, and immature plants and for entering retail donations these items has been posted in the California Cannabis Track-and-Trace system. Licensees can log into their Metrc account and find this bulletin under the Messages tab (appears as an envelope in the top left corner).

For questions about designating donations within the Track-and-Trace system, please contact the Metrc Support Desk: support@metrc.com.

Notification for Track-and-Trace System Users

Track & Trace

MANUFACTURED CANNABIS SAFETY BRANCH

Notification for Track-and-Trace System Users

External transfer functionality will be removed January 15, 2020

Notification for Track-and-Trace System Users

The Track-and-Trace system is being reconfigured to disable External Transfer and Temporary Transporter functionality. This functionality was intended to be used solely to facilitate transactions between annual or provisional licensees who had been credentialed into Track-and-Trace and temporary licensees who had not yet received system access. As there are no remaining temporary licensees in California, this feature will be removed.

Beginning on January 15, 2020, you will no longer be able to transfer cannabis or cannabis products that are not tagged and uploaded as inventory in Track-and-Trace. All manifests for movement of cannabis items will be required to be generated through the Track-and-Trace system. Any pending external transfers must be completed prior to January 15, 2020.

A detailed bulletin about this change is available to system users. To access the bulletin, please log into your Track-and-Trace account and click on the envelope in the upper left-hand corner. Licensees are required to order Package Tags within five calendar days of receiving access to the Track-and-Trace system (§40517). If you have not yet ordered Package Tags, you must do so immediately. After ordering, it takes approximately 10 business days for tags to be delivered. Once you receive your tags, you must use them to document all cannabis inventory held on your premises and record all commercial cannabis activity.

Track-and-Trace System Resources

Detailed instruction booklets for California users of the Track-and-Trace System are available on the Metrc California website, www.metrc.com/california. The California Supplemental User Guide contains the following instructions that may aid you in ordering tags and inputting inventory prior to the removal of the External Transfer functionality:

  • Ordering Package Tags – page 48
  • Receiving Package Tags – page 52
  • Creating Packages from Existing Inventory – page 88

In addition, the California Transition Period Guide contains instructions for new users, including steps for uploading beginning inventory. 

California Cannabis Track and Trace Reporting Requirement

Legal Weed

All California License Holders,

All license holders are required to conduct the commercial cannabis activity pursuant to their license within the California Cannabis Track-and-Trace (CCTT-Metrc) System. Failure to conduct your commercial cannabis activity within the CCTT system by January 6, 2020 will result in the suspension of your license.

If you have not yet completed the required Account Manager training, please register for training by visiting: California Cannabis Track and Trace Account Manager Training. Please reference your annual application number. 

If you have completed the required Account Manager training, please contact Metrc support at support@metrc.com to complete the credentialing process.  

If you are credentialed, but not yet tag enabled, please forward your existing inventory to bcctrackandtrace@dca.ca.gov. Your inventory should contain the following information:

  • Item Name
  • Product Type (i.e. vape cartridge, tincture, edible)
  • Weight Per Unit (i.e. 3.5 grams, 300ml, 10mg)
  • Quantity
  • Batch ID

Upon receipt and review of your inventory, the Bureau will increase your tag allotment, at which time you can log into your portal to initiate your tag order. 

If you are currently credentialed and tag enabled, you are required to immediately begin working within the California Cannabis Track and Trace (CCTT) system, as well as with those annual/provisional license holders who are also working within the CCTT system.

Failure to conduct your commercial cannabis activity within the CCTT system may be grounds for disciplinary action and the suspension of your license.

BUREAU OF CANNABIS CONTROL, Standard Operating Procedures § 5712. Test Methods

§ 5712. Test Methods

(a) The laboratory shall develop, implement, and validate test methods for the analyses of
samples as required under this division. [Read more…]

BUREAU OF CANNABIS CONTROL Article 4. Standard Operating Procedures § 5711. Laboratory Analyses Standard Operating Procedures

Article 4. Standard Operating Procedures

§ 5711. Laboratory Analyses Standard Operating Procedures

(a) The laboratory shall develop, implement, and maintain written standard operating procedures
(SOP) for the following laboratory processes:
(1) Sample preparation. Sample preparation SOP(s) shall address the following:
(A) Sample homogenization;
(B) Handling and storage;
(C) Preservation; and [Read more…]

BUREAU OF CANNABIS CONTROL § 5710. Laboratory Receipt of Samples Obtained from a Distributor

§ 5710. Laboratory Receipt of Samples Obtained from a Distributor

(a) The laboratory may accept and analyze a sample from a distributor for the required testing
under section 5714 of this division only if there is an accompanying COC form for the sample.
(b) The laboratory shall not analyze a sample obtained from a distributor, and the batch from
which the sample was obtained may not be released for retail sale, if the any of the following
occur: [Read more…]

BUREAU OF CANNABIS CONTROL § 5709. Chain of Custody (COC) Protocol

(a) The laboratory shall develop and implement a COC protocol to ensure accurate
documentation of the transport, handling, storage, and destruction of samples.
(b) The COC protocol shall require the use of a COC form that contains, at minimum, the
following information:
(1) Laboratory’s name, physical address, and license number;
(2) Distributor’s name, physical address, and license number;
(3) Unique sample identifier; [Read more…]

BUREAU OF CANNABIS CONTROL § 5708. Cannabis Product Batch Sampling

§ 5708. Cannabis Product Batch Sampling

(a) The sampler shall collect representative sample from each cannabis product batch.
(b) The sampler may collect a greater number of increments if necessary to perform the required testing or to ensure that the samples obtained are representative. [Read more…]

BUREAU OF CANNABIS CONTROL § 5707. Harvest Batch Sampling

§ 5707. Harvest Batch Sampling

(a) The sampler shall obtain a representative sample from each prepacked or unpacked harvest batch. The representative sample must weigh 0.35% of the total harvest batch weight.
(b) A sampler may collect greater than 0.35% of a prepacked or unpacked harvest batch if necessary to perform the required testing or to ensure that the samples obtained are representative. [Read more…]

BUREAU OF CANNABIS CONTROL § 5706. Sample Field Log

The sampler shall use a sample field log to record the following information for each sampled
batch:
(a) Laboratory’s name, address, and license number;
(b) Sampler’s name(s) and title(s);
(c) Date and time sampling started and ended;
(d) Distributor’s name, address, and license number;
(e) Cultivator’s, manufacturer’s, or microbusiness’ name, address, and license number; [Read more…]

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