General Law Committee
JOINT FAVORABLE REPORT
Bill No.: HB-5329
AN ACT CONCERNING CANNABIS TRANSFERS, CANNABIS
ADVERTISEMENTS AND RECOMMENDATIONS BY THE SOCIAL EQUITY
Title: COUNCIL CONCERNING CANNABIS.
Vote Date: 3/15/2022
Vote Action: Joint Favorable Substitute
PH Date: 3/8/2022
File No.:
Disclaimer: The following JOINT FAVORABLE Report is prepared for the benefit of the
members of the General Assembly, solely for purposes of information, summarization and
explanation and does not represent the intent of the General Assembly or either chamber
thereof for any purpose.
SPONSORS OF BILL:
General Law Committee
REASONS FOR BILL:
In 2021, cannabis for adult-use (those over 21 years of age) was legalized in the state.
There are questions that have been raised regarding the Social Equity Council and equity
joint ventures, advertising and gifting to name a few, that have come to light during the year
and this bill addresses these items. The Social Equity Council made recommendations to
DCP, which the DCP agreed. The changes have to do with licensing, timelines, fees and
equity joint ventures.
The law prohibits people gifting cannabis to another. It would ban advertising cannabis on
billboards. Many people feel that having cannabis advertising on billboards while driving on
Connecticut roads is sending the wrong message to our youth. It also will eliminate a
provision that prohibits a municipality from granting zoning approval for more retailers or
micro-cultivators than a number that would be allowed for 25,000 residents in a municipality.
Proposed Substitute Language
Section 2 regarding not allowing gifting unless individuals have a bona fide social relationship
and the fees and fines charged if a person violates the provisions in the subsection.
Section 3 was revised
Section 4 had subsections and lines added.
Section 5 had subsections deleted.
Section 6 had subsections deleted.
Section 7 revised
New Sections 8, Section 9 regarding advertising,
New Section 10 regarding zoning, hours and signage in municipalities.
Section 11 New, regarding a working group to study the regulations and the possibility of
including hemp in the state's cannabis program.
RESPONSE FROM ADMINISTRATION/AGENCY:
Michelle Seagull, Commissioner of Consumer Protection, State of Connecticut
This bill makes several changes to the Responsible and Equitable Regulation of Adult-Use
Cannabis (RERACA), these changes included requests by the Social Equity Council (SEC) to
clarify and strengthen the social equity provisions to the legislation passed last year. We
support these changes. It also amends the advertising prohibitions to clarify that a cannabis
business' outdoor signs at their place of businesses aren't subject to the 90 percent audience
or disclosure rules. Currently, the businesses would have to submit evidence to DCP
regarding the 90 percent audience or disclosure rules of all signs on their buildings and put
lengthy disclosures on these business signs. The proposed language also addresses
billboard advertising and events that were organized so that cannabis could be "gifted" to
consumers.
Ginne-Rae Clay, Interim Executive Director, Social Equity Council and Andrea Comer,
Chair, Social Equity Council
The Social Equity Council is in support of this bill, as it will have a positive impact on social
equity applicants. It will create a clear deadline by which medical marijuana licensees must
obtain a final license for any equity joint venture they create. Limits the number of EJV's that
a medical marijuana licensee may create to two, promotes diversity in ownership of EJV's by
prohibiting the same individual social equity applicants from holding ownership in more than
one equity joint venture and lifts the restriction on the number of cannabis establishments that
a municipality may authorize in their town-based population size. The SEC would like
clarification on language that is in Sec. 3, 4, and 7 to ensure the social equity intent so this
legislation is fully effectuated.
NATURE AND SOURCES OF SUPPORT:
Rep. Vincent J. Candelora, Republican Leader, House of Representatives, State of
Connecticut
The recent passage of the legalization of recreational cannabis has immediately shown the
law's failures. Rep. Candelora is in support of Sec. 2 and 6 of HB5329. In addition, to these
changes he recommended several other changes in his letter that he would like to be added
to strengthen Connecticut's cannabis laws.
Senator Kevin Kelly, Senate Republican Leader, State of Connecticut
Sen. Kelly supports this bill and would like it modified to include a proposal that it would
prohibit any cannabis establishment from producing or selling an edible. In July, Dr. Suzanne
Doyon, medical director at the CT Poison Control Center shared alarming information about
the increasing cases of child poisonings related to edible marijuana exposure. Data from
poison control centers around the nation confirm that these concerns must be taken
seriously. Sen. Kelly strongly opposed legalization of cannabis because he believes it will
have a negative impact on public safety. He also realizes that not everyone is in agreement,
no one can deny the serious risks associated with edibles.
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Rep. Lucy Dathan, House of Representatives, State of Connecticut
Rep. Dathan is in support of this bill Section 6 is her focus. Driving her son to college in
Boston, her 14-year-old daughter pointed out the billboard advertising pot. Remembering
SB1201 addressed advertising, when returned to CT she investigated the advertising and
found that several complaints and billboard companies seemed to say that 90% of viewers
were 21 year of age. She finds that hard to believe. These advertising practices are
targeting our youth and consistent with other limitations of advertising substances that create
health issues for our young people, we should ban advertising cannabis in CT.
Diana Goode, Executive Director, CT Council on Problem Gambling
The CT Council on Problem Gambling supports this bill. They would like to see the same
advertising protections for our youth provided in this bill also be applied to gambling. The
numbers outlined in her testimony show the impact of gambling before the expansion of
online gambling, so can we imagine how much more impact some of the predatory
advertisements offering risk-free bets are having. The calls coming into the hotline are from
those not old enough to legally gamble yet are now beginning to show signs that gambling
can be problematic. They ask that substitute language to be considered for this bill
addressing some of the issues outlined in the testimony.
Kaitlin Comet, Program Coordinator, The Hub
Billboards tell a story in the estimated seconds it might take an individual to read. Promotion
of cannabis billboard sends a message to our youth, "if you can drive and see this billboard,
you could use cannabis." The use of cannabis promotion through billboard's can be
extremely harmful to our youth and speaks volumes on the preventative efforts in our state.
Kiersten Naumann, Board member, Connecticut Association of Prevention
Professionals
Ms. Naumann supports two sections of this bill and opposes one. She supports the provision
banning all cannabis billboard advertising. She simply cannot believe that 90% of
passengers on our highways are over 21 years of age. She supports the additional limitations
on the manner that cannabis is gifted. She does oppose the elimination of the provision that
prohibits municipalities from granting zoning approval for more retailers/micro-cultivators than
a number that would allow for one retailer and one micro-cultivator for every 25,000
residents.
Brant Smith, Hemp House Farms, Cheshire, CT
Mr. Smith's testimony asks that the bill be amended to assist hemp farmers like the state of
New York. New York allows for their current hemp farmers, not just large to participate in
Connecticut's roll out of the recreational marijuana market. Mr. Smith then wrote his
observations regarding current law and suggestions.
NEITHER SUPPORTS NOR OPPOSES HB5329/BUT OPPOSES SECTION 6
John Barrett and Brad Falk, Outdoor Advertising Association of Connecticut, Inc.
(oaac)
Oaac neither supports nor opposes HB5329. It does however oppose Section 6 as it
specifically prohibits the use of billboards by "cannabis licensees and establishments." In this
bill billboards are the only medium of communication prohibited. Equity and Law suggest that
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the best course for the State of Connecticut is to treat all media the same in connection with
the proposed legislation. Singling out one type of advertising media, Sec. 6 clearly violates
both the equal protection clause of the Fourteenth Amendment of the US Constitution and the
suppression of free expression under the First Amendment of the US Constitution. Last
session a similar proposal was considered by the CT General Assembly's Judiciary
Committee that section was removed from the cannabis legislation for these reasons. We
respectfully ask Section 6 of HB 5329 be removed.
The following people asked that Section 2 of this bill be removed.
Christina E. Capitan, Consumer/Patient Advocate, Cannabis Patient Resource Centers
of CT
Jordan Rosenzweig, Owner, Terrapin Terpenes Genetics, LLC
Terrapin Terpenes Genetics, LLC is a small craft cannabis breeding, consulting and event
management company.
Eric Adames Janice Averill
Joaquin Bido James Bishop, Hamden, CT
Jocelyn Cerda Avery Christensen
Lisa Silver Crow Perrault Aldo Cucciniello
Erin Doolittle, LMFT, Manchester, CT Gauge, Manchester, CT
Billy Jean Jessica Johnson
Jackson Kachur Steven Levine, Madison, CT
Donna Lockwood Laura Lynch
Jane M. Dave Rauh
Nicholas Bard Stein, E. Hampton, CT Tanya Stone, Chaplin, CT
Carlos Teixeira Kimberly Testone
Susan Thibault-Wynne John Watkins
NATURE AND SOURCES OF OPPOSITION:
Senator Dennis Bradley, Senate, State of Connecticut
Senator Bradley would like changes made to the language of this bill to include cultivators as
eligible cannabis licensees and establishments. The language in this bill prioritizes the
existing marijuana industry and does not allow for smaller cultivators, keeping cultivators for
adult use to be eligible to enter the industry and contribute to the market. Sen. Bradley
attached suggested language to his testimony.
Hector Gerardo, Founder/Co-owner, Seamarron Farmstead, LLC
A different perspective on the legal use of marijuana and that this industry will make billions in
revenue in very near future. The Black, Indigenous, and People of Color have been the most
negatively affected by the war on drugs which criminalized cannabis. We would like to share
with the committee solutions we can put together to make sure Connecticut doesn't further
criminalize our communities.
Rebecca Goetsch, PhD, Owner, Running Brook Hemp, Co
Dr. Goetsch does not take issue with the provision in the bill aimed at deterring private parties
that are taking advantage of the gifting clause in order to essentially sell marijuana on the
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black market via donations. She does not have issue with trying to deter these events, but
she wants to point out that they are only thriving because there is no other access to legal
marijuana currently. Opening dispensaries will ensure that there is enough product to keep
the shelves full. The existing MMP's are being given preferential access to this market,
however it is unlikely that they will be able to meet demand in a timely fashion while still
providing enough product for the medical market. She further discusses how hemp farmers
differ dramatically from the corporate producers.
Joseph P. LaChance, CT NORML, Green Haven Media
Section 2 of HB5329 is redundant and an unnecessary overreach to re-criminalize Adult Use
Cannabis. He suggests Section 4 is that equity joint ventures be limited to 2 at a time for a
period of Five years in between, so that the program can be evaluated and re-adjusted as
necessary. Accountability is key in this area. Section 6 Should be revised to remove the
word internet and mobile application should be more specific. Please consider the changes
outlined in the testimony while debating this bill.
Duncan Markovich, owner, Better Ways
Better Ways is a therapeutic cannabis store. After a full calendar year for our state's triumph
of legalizing cannabis we are at a crossroads with the regard its adult use. Some of the
language in this bill would in fact decimalize this plant and would be a step backwards. We
request Section 2 be removed in its entirety. Please help to create a more affordable and
easily accessible network for testing if the concern is for public safety for what is being given.
With appropriate checks and balances we can ensure that CT becomes an exemplar for
cannabis legislation and practice on the East Coast.
Fine Fettle Dispensary
Their testimony focused on five key elements that they feel is paramount to the successful
and equitable rollout of recreational cannabis in Connecticut. They would like to see
Timelines and a must start sales by, each licensee should be able to have a maximum of two
Equity Joint Ventures as is written in this bill, change the joint venture partnership by ensuring
applicants can only partner with one company or backer versus only being allowed in one
EJV, do not remove the population standards if what is wanted is a diverse geographic
rollout, the billboards and advertising restrictions will stunt significant revenue potential for
media companies and billboard companies that the state should want to thrive.
Justin Welch, member of CT Cannawarrior and officer at the New England Craft
Cannabis Alliance
Repeal HB5329 and remove Section 2 from this bill.
Reported by: [Type Report By] Date: [Type Date]
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Statutes affected:
File No. 672:
Public Act No. 22-103: