The bill, designated as sHB5351, establishes a Social Equity Council within the Department of Economic and Community Development to enhance cannabis regulation and promote social equity, particularly for communities disproportionately affected by cannabis prohibition. The council will consist of seventeen members appointed by various legislative leaders and the Governor, ensuring diversity in representation. Key provisions include the council's authority to conduct investigations, hold public hearings, and manage funds to support its mission. The bill also mandates the council to develop criteria for proposals to study the social, economic, and racial impacts of cannabis prohibition, with findings to inform legislative recommendations for equitable access to cannabis business licenses.

Significant changes in the bill include the repeal of Section 21a-420d and the introduction of new regulations regarding ownership and control of cannabis establishment licenses. Specifically, the bill prohibits changes in ownership or control for three years for social equity applicants and seven years for equity joint ventures, with exceptions allowed by the council. The council is also required to submit a strategic plan by October 1, 2025, adopt an ethical code of conduct, and ensure annual ethics training for its members. Additionally, the bill reserves 50% of the maximum number of applications for each license type for social equity applicants, selected through a lottery system, thereby reinforcing the integrity and transparency of the social equity program.