ENROLLED ORIGINAL
AN ACT
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IN THE COUNCIL OF THE DISTRICT OF COLUMBIA
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To amend, on a temporary basis, the Legalization of Marijuana for Medical Treatment Initiative
of 2010 to clarify the eligibility requirements for utilizing the 50-point or 20% preference
on an application for a dispensary, cultivation center, or testing laboratory registration
when an applicant is certified by the Department of Small and Local Business
Development as an equity impact enterprise; and to amend the Small and Certified
Enterprise Development and Assistance Act of 2005 to clarify the definition of equity
impact enterprise.
BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this
act may be cited as the Fifty-Point Preference Clarification Temporary Amendment Act of
2021.
Sec. 2. Section 7(d)(5) of the Legalization of Marijuana for Medical Treatment Initiative
of 2010, effective July 27, 2010 (D.C. Law 18-210; D.C. Official Code 7-1671.06(d)(5), is
amended to read as follows:
(5)(A) An application for registration of a dispensary, cultivation center, or
testing laboratory submitted by an applicant that meets all of the requirements of a medical
cannabis certified business enterprise, as set forth in subparagraph (C) of this paragraph, shall be
awarded a point preference equal to 50 points or 20% of the available points, whichever is
greater.
(B) Straw ownership for the purposes of meeting the medical cannabis
ownership requirements of this section is prohibited, both for a District resident and an out-of-
state resident. A person who is found to have willfully asserted straw ownership shall be guilty
of a misdemeanor and upon conviction shall be punished by a fine of not more than the amount
set forth in section 101 of the Criminal Fine Proportionality Amendment Act of 2012, effective
June 11, 2013 (D.C. Law 19-317; D.C. Official Code 22-3571.01), or imprisoned for not more
than one year, or both.
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(C) To qualify as a medical cannabis certified business enterprise the
applicant shall:
(i) Be certified by the Department of Small and Local Business
Development (Department) as an equity impact enterprise, as defined by section 2302(8A) of
the Small and Certified Enterprise Development and Assistance Act of 2005, effective October
20, 2005 (D.C. Law 16-33; D.C. Official Code 2-218.02(8A)), (CBE Act) and rules issued
pursuant to the CBE Act;
(ii) Demonstrate to the satisfaction of the Department that more
than 50% of the employees of the business enterprise are residents of the District;
(iii) Demonstrate to the satisfaction of the Department that more
than 50% of the assets of the business enterprise, excluding bank accounts, are located in the
District; and
(iv) Submit a form to the Alcoholic Beverage Regulation
Administration attesting under the penalty of perjury that the annual personal net income of each
owner of the enterprise applying for registration of a dispensary, cultivation center, or testing
laboratory does not exceed $349,999..
Sec. 3. Section 2302(8A)(8A)(A) of the Small and Certified Enterprise Development and
Assistance Act of 2005, effective October 20, 2005 (D.C. Law 16-33; D.C. Official Code 2-
218.02(8A)), is amended by striking the phrase ; or and inserting the phrase ; and in its
place.
Sec. 4. Fiscal impact statement.
The Council adopts the fiscal impact statement of the Budget Director as the fiscal impact
statement required by section 4a of the General Legislative Procedures Act of 1975, approved
October 16, 2006 (120 Stat. 2038; D.C. Official Code 1-301.47a).
Sec. 5. Effective date.
(a) This act shall take effect following approval by the Mayor (or in the event of veto by
the Mayor, action by the Council to override the veto), a 30-day period of congressional review
as provided in section 602(c)(1) of the District of Columbia Home Rule Act, approved
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December 24, 1973 (87 Stat. 813; D.C. Official Code 1-206.02(c)(1)), and publication in the
District of Columbia Register.
(b) This act shall expire after 225 days of its having taken effect.
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Chairman
Council of the District of Columbia
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Mayor
District of Columbia
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