The bill amends the Rhode Island Cannabis Act to enhance the regulatory framework surrounding cannabis use and licensing, with a strong emphasis on social equity. Key provisions include the establishment of definitions related to cannabis, such as "adult use cannabis," "cannabis establishment," and "social equity applicant." It mandates that all cannabis license applicants undergo a national criminal background check and disclose any prior convictions, ensuring that individuals are not automatically disqualified for past cannabis possession offenses unless they involve distribution to minors or are substantially related to the occupation.

The bill introduces significant changes to the licensing process for individuals with prior cannabis-related convictions, stipulating that no license can be suspended or revoked solely due to a past cannabis offense unless it is substantially related to the occupation. It allows individuals to demonstrate rehabilitation for convictions older than five years and prohibits the use of certain criminal records in licensing decisions.

Additionally, the bill creates a social equity assistance program and fund to support initiatives in adversely affected communities. It establishes a dedicated disproportionately impacted areas investment fund within the general fund, which will be used for various purposes, including public housing development, education funding, and health subsidies in disproportionately impacted areas.

The bill also outlines the application of cannabis tax revenue, directing fifty percent of the revenue collected from the state cannabis excise tax to the social equity assistance fund and disproportionately impacted areas investment fund. For the first five years, seventy-five percent of the allotted state cannabis excise tax will be deposited into the social equity assistance fund, with the remaining twenty-five percent allocated to the disproportionately impacted areas investment fund. After those initial five years, the allocation will shift to an equal split of fifty percent for each fund in perpetuity. The act is set to take effect immediately upon passage.

Statutes affected:
5829: 44-70-5