The bill amends the Cannabis Regulation Act in New Mexico to strengthen the regulatory framework governing cannabis activities. It introduces several key provisions, including the requirement for state and national criminal history checks for all applicants seeking cannabis activity licenses, ensuring that they must sign their applications. New definitions are added to clarify roles within the industry, such as "applicant," "cannabis consumption area," and "cannabis establishment." The Cannabis Control Division is tasked with establishing rules and standards for cannabis establishments, focusing on security, product labeling, and advertising regulations, while promoting diversity and inclusion, particularly for communities historically affected by cannabis prohibitions.

Additionally, the bill mandates the division to adopt rules by January 1, 2022, to reserve cannabis products for qualified patients and caregivers, and to collect demographic data on applicants and employees to enhance diversity in underserved rural areas. A new "cannabis regulatory advisory committee" will be formed to guide rule development, prioritizing public health and safety alongside economic and cultural diversity. The bill also specifies that criminal history checks will be confidential and used solely for licensure eligibility, outlines conditions for licensing related to water access and resource reduction plans, and requires the division to process license applications within ninety days, with the authority to deny or revoke licenses based on compliance criteria.

Statutes affected:
introduced version: 26-2C-2, 26-2C-3, 26-2C-3.1, 26-2C-7
CE substitute: 26-2C-2, 26-2C-3, 26-2C-3.1, 26-2C-7