89R18491 RDR-F     By: King H.B. No. 46       A BILL TO BE ENTITLED   AN ACT   relating to the medical use of low-THC cannabis under and the   administration of the Texas Compassionate-Use Program.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 487.101, Health and Safety Code, is   amended to read as follows:          Sec. 487.101.  LICENSE REQUIRED.  (a) A license issued by the   department under this chapter is required to operate a dispensing   organization.          (b)  A dispensing organization licensed under this chapter   is not required to apply for an additional license for the use of a   satellite location for secure storage of low-THC cannabis if:                (1)  the address of the satellite location was included   in the application; or                (2)  the dispensing organization obtains approval from   the department under Section 487.1035.          SECTION 2.  Section 487.103(b), Health and Safety Code, is   amended to read as follows:          (b)  The application must include:                (1)  the name and address of the applicant;                (2)[,] the name and address of each of the applicant's   directors, managers, and employees;                (3)  the address of any satellite location that will be   used by the applicant for secure storage of low-THC cannabis under   Section 487.1035;[,] and                (4)  any other information considered necessary by the   department to determine the applicant's eligibility for the   license.          SECTION 3.  Subchapter C, Chapter 487, Health and Safety   Code, is amended by adding Section 487.1035 to read as follows:          Sec. 487.1035.  SATELLITE LOCATIONS. (a) A dispensing   organization licensed under this chapter may operate one or more   satellite locations in addition to the organization's primary   location to securely store low-THC cannabis for distribution.          (b)  A satellite location must be approved by the department   before a dispensing organization may operate the location. A   dispensing organization may apply for approval in the form and   manner prescribed by the department.          (c)  The department shall adopt rules regarding the design   and security requirements for satellite locations.          SECTION 4.  Section 487.104, Health and Safety Code, is   amended by adding Subsections (d) and (e) to read as follows:          (d)  The department shall issue 11 licenses under this   section to dispensing organizations in this state provided that the   department receives applications from a sufficient number of   applicants meeting the requirements for approval under this   subchapter.          (e)  The department shall issue and renew licenses under this   section in a manner that ensures adequate access to low-THC   cannabis for patients registered in the compassionate-use registry   in each public health region designated under Section 121.007.          SECTION 5.  Subchapter C, Chapter 487, Health and Safety   Code, is amended by adding Section 487.1045 to read as follows:          Sec. 487.1045.  REQUIREMENT OF LICENSE HOLDER TO BEGIN AND   MAINTAIN OPERATIONS. (a) An applicant issued a license to operate a   dispensing organization must begin dispensing low-THC cannabis not   later than 24 months after the date the license is issued and   continue dispensing low-THC cannabis during the term of a license   issued under this subchapter.          (b)  The department shall adopt rules to:                (1)  monitor whether a dispensing organization is using   a license issued under this subchapter to dispense low-THC   cannabis; and                (2)  revoke the license of a dispensing organization   that does not dispense low-THC cannabis within the time required by   this section or that discontinues dispensing low-THC cannabis   during the term of a license.          SECTION 6.  Section 487.107, Health and Safety Code, is   amended by adding Subsection (c) to read as follows:          (c)  A dispensing organization may not dispense to a person   low-THC cannabis in a package or container that contains more than a   total of 1.2 grams of tetrahydrocannabinols.          SECTION 7.  Section 487.201, Health and Safety Code, is   amended to read as follows:          Sec. 487.201.  COUNTIES AND MUNICIPALITIES MAY NOT PROHIBIT   LOW-THC CANNABIS. A municipality, county, or other political   subdivision may not enact, adopt, or enforce a rule, ordinance,   order, resolution, or other regulation that prohibits the   cultivation, production, storage, dispensing, or possession of   low-THC cannabis, as authorized by this chapter.          SECTION 8.  Sections 169.001(3), (4), and (5), Occupations   Code, are amended to read as follows:                (3)  "Low-THC cannabis" means the plant Cannabis sativa   L., and any part of that plant or any compound, manufacture, salt,   derivative, mixture, preparation, resin, or oil of that plant that   contains not more than 20 milligrams [one percent by weight] of   tetrahydrocannabinols in each dosage unit.                (4)  "Medical use" means the ingestion, absorption, or   insertion by a means of administration other than by smoking of a   prescribed amount of low-THC cannabis by a person for whom low-THC   cannabis is prescribed under this chapter.                (5)  "Smoking" means burning or igniting a substance   and inhaling the smoke. The term does not include inhaling a   medication or other substance that is otherwise aerosolized or   vaporized for administration by pulmonary inhalation.          SECTION 9.  Section 169.003, Occupations Code, is amended to   read as follows:          Sec. 169.003.  PRESCRIPTION OF LOW-THC CANNABIS.  (a) A   physician described by Section 169.002 may prescribe low-THC   cannabis to a patient if:                (1)  the patient is a permanent resident of the state;                (2)  the physician complies with the registration   requirements of Section 169.004; and                (3)  the physician certifies to the department that:                      (A)  the patient is diagnosed with:                            (i)  epilepsy;                            (ii)  a seizure disorder;                            (iii)  multiple sclerosis;                            (iv)  spasticity;                            (v)  amyotrophic lateral sclerosis;                            (vi)  autism;                            (vii)  cancer;                            (viii)  an incurable neurodegenerative   disease;                            (ix)  post-traumatic stress disorder; or                            (x)  a medical condition that is approved   for a research program under Subchapter F, Chapter 487, Health and   Safety Code, and for which the patient is receiving treatment under   that program; and                      (B)  the physician determines the risk of the   medical use of low-THC cannabis by the patient is reasonable in   light of the potential benefit for the patient.          (b)  Each prescription issued by a physician to a patient for   low-THC cannabis may only provide for a 90-day supply of low-THC   cannabis based on the dosage prescribed to the patient.          SECTION 10.  Chapter 169, Occupations Code, is amended by   adding Section 169.006 to read as follows:          Sec. 169.006.  ADMINISTRATION OF LOW-THC CANNABIS BY   PULMONARY INHALATION.  (a) A physician may prescribe pulmonary   inhalation of an aerosol or vapor as a means of administration of   low-THC cannabis if the physician determines that based on the   patient's condition there is a medical necessity for that means of   administration.          (b)  The executive commissioner of the Health and Human   Services Commission shall adopt rules related to medical devices   for pulmonary inhalation of low-THC cannabis.           SECTION 11.  Not later than October 1, 2025:                (1)  the Department of Public Safety shall adopt the   rules necessary to implement Sections 487.1035 and 487.1045, Health   and Safety Code, as added by this Act; and                (2)  the executive commissioner of the Health and Human   Services Commission shall adopt the rules necessary to implement   Section 169.006, Occupations Code, as added by this Act.          SECTION 12.  This Act takes effect September 1, 2025.