~ Liquor Control Board

Transcription

1 ~ Washingtn State ~ Liqur Cntrl Bard Fr Immediate Release Nvember 7,2012 Liqur Cntrl Bard Statement fllwing Passage f Initiative 502 OLYMPIA -Washingtn State Liqur Cntrl Bard (WSLCB) issued the fllwing statement regarding the passage f Initiative 502. The Washingtn State Liqur Cntrl Bard will mve frward t carry ut the will f the vters wh Tuesday passed Initiative establishes precedent fr grwing, prcessing, retailing and pssessing marijuana. Essentially, a system will be built frm the grund up. The initiative prvides the WSLCB until December 1, 2013 t craft rules fr implementatin. We expect that it will take the full year t craft the necessary rules which will prvide the framewrk fr the new system. As we develp the rules we will keep in mind ur tp pririty, public safety. Questins remain ahead as we wrk t implement Chief amng them is the issue that marijuana remains illegal at the federal level. We will reach ut t the federal Department f Justice in the cming weeks fr clarificatin. We will als cmmunicate with ur state partners such as the Washingtn State Patrl, the Department f Health, the Department f Agriculture, and thers affected by Nte t Editrs: This statement and a fact sheet abut hw affects the WSLCB are psted n the agency website at The website will be a central surce f infrmatin ver the curse f the cming year. Cntact: Brian Smith, WSLCB Cmmunicatins, ###

2 Washingtn State Liqur Cntrl Bard Adpted Rules Highlights Octber 16, 2013 LCB Rulemaking Objective Creating a tightly cntrlled and regulated marijuana market; Including strict cntrls t prevent diversin, illegal sales, and sales t minrs; and Prviding reasnable access t prducts t mitigate the illicit market. LCB Rle and Respnsibility Ensuring public safety is the tp pririty; Creating a three-tier regulatry system fr marijuana; Creating licenses fr prducers, prcessrs, and retailers; Enfrcing laws and rules pertaining t licensees; and Cllecting and distributing taxes. Timeline December 6, 2012 September 4, 2013 Octber 9, 2013 Octber 16, 2013 Nvember 16, 2013 Nvember 18, 2013 December 1, 2013 December 18, 2013 Effective date f new law File Supplemental CR 102 with revised prpsed rules Public hearing(s) n prpsed rules (time and lcatin TBD) Bard adpts r rejects prpsed rules Rules becme effective Begin accepting applicatins fr all three licenses (30-day windw) Deadline fr rules t be cmplete (as mandated by law) 30-day windw clses fr prducer, prcessr and retailer license applicatins Prpsed Rules Highlights License Requirements 30 day Windw The LCB will pen registratin fr all license types fr a 30-calendar-day windw (Nvember 18, 2013) LCB may extend the time r repen applicatin windw at its discretin State Residency Requirement requires a three mnth state residency requirement (all license structure types) Backgrund Checks Persnal criminal histry cmpleted by applicant. Risk f license frfeiture if incmplete r incrrect. Fingerprinting f all ptential licensees Backgrund checks f license applicants and financiers Pint System The LCB will apply a disqualifying pint system similar t liqur All applicants must disclse all arrests and/r cnvictins Nn-disclsure f arrests regardless f cnvictin will result in pint accumulatin September 4, 2013

3 License Limits Licensed entity r principals limited t three prducer licenses Licensed entity r principals limited t three prcessr licenses Licensed entity r principals limited t three retail licenses. Multiple-lcatin licensees nt allwed t hld mre than 33 percent f the allwed licenses in any cunty r city. Prductin Limits The maximum amunt f space fr marijuana prductin is limited t tw millin square feet. Applicants must designate n their perating plan the size categry f the prductin premises and the actual square ftage in their premises that will be designated as plant canpy. There are three categries: Tier 1: Less than 2,000 square feet; Tier 2: 2,000 square feet t 10,000 square feet; Tier 3: 10,000 square feet t 30,000 square feet. The LCB may reduce a licensee's r applicants' square ftage designated t plant canpy fr the fllwing reasns: If the ttal amunt f square feet fr prductin f all licensees exceeds the tw millin square feet maximum, the LCB will reduce the allwed square ftage by the same percentage. If 50 percent prductin space used fr plant canpy in the licensee's perating plan is nt met in the first year f peratin, the bard may reduce the tier f licensure. If the ttai amunt f square feet f marijuana prductin exceeds tw millin square feet, the LCB may reduce all licensees' prductin by the same percentage r reduce licensee prductin by ne r mre tiers by the same percentage. Maximum Allwable Amunt n Licensed Lcatin Prducer license Outdr r greenhuse: 125 percent f its year's harvest Indr: six mnths f its annual harvest Prcessr license Six mnths f their average useable marijuana (plant material); and Six mnths average f their ttal prductin (finished prduct). Retailer license Fur mnths f their average inventry Licensed Lcatin: 1'000 ft Measurement Imprtant Nte Regarding the 1,000 ft Measurement: The LCB will file an emergency rule n Octber 16, 2013, that will revise the current language regarding the 1,000' buffer. The language in the emergency rule will state: ''The distance shall be measured as the shrtest straight line distance frm the prperty line f the iicensed premises t the prperty line f an elementary r secndary schl, piaygrund, recreatin center r facility, child care center, pubiic park, public transit center, library r arcade where admissin is nt restricted t thse age 21 and lder." Csts and Fees $250 applicatin fee $1,000 annual renewal fee Additinal fees fr backgrund check and filing fr lcal business license Taxes License applicants must submit a signed attestatin that they are current n taxes wed t the Washingtn State Department f Revenue September 4, 2013

4 Insurance Licensees are required t carry cmmercial liability insurance. Public Safety Prducer Structures Rules allw prducer peratins in secure: indr and utdr grws as well as greenhuses Traceability LCB will emply a rbust and cmprehensive traceability system (sftware) that will trace prduct frm seed/clne t sale. LCB enfrcement can match recrds t actual prduct n hand Backgrund Checks Persnal criminal histry frm Fingerprinting f all ptential licensees Backgrund checks f licensees and financiers Pint System LCB will apply a disqualifying pint system similar t liqur (exceptins fr pssessin) Vilatin Guidelines / Standard Administrative Prcedures Act Guidelines $1,000 criminal penalty fr sales t a minr Sets strict tiered system f vilatin recrd ver a three year perid Grup 1 public safety: First vilatin: 10 day suspensin r $2,500 Secnd vilatin: 30 day suspensin Third vilatin: license cancellatin Lcal Authrity Objectins Substantial weight will be given t a lcal authrity during the renewal prcess based upn chrnic illegal activity assciated with the licensee's peratin f the premises. Child Resistant Packaging Specific requirements fr marijuana and marijuana-infused prducts in slid and liquid frms Security and Safeguards Alarm and surveillance vide camera requirements (including minimum pixels and lckbx encasement) Strict transprtatin and recrd keeping requirements (n third party transprt f prduct) Hurs f peratin limited t 8:00 a.m. t 12:00 a.m. Advertising Restrictins Law restricts advertising within 1,000 feet f schls, public parks, transit centers, arcades, and ther areas where children are present. May nt cntain statements r illustratins that are false r misleading, prmtes vercnsumptin, represents that it has curative r therapeutic effects, depicts a child r may be appealing t children September 4, 2013

5 Washingtn State Liqur Cntrl Bard Frequently Asked Questins abut the Prpsed Rules Tpic: Initiative 502 Updated: September 4,2013 Nte: New questins and answers are indicated with an asterisk' Licensing When can I get my license? We will begin accepting applicatins fr all three license types (prducer, prcessr and retailer) fr 30 days n Nvember 18, 2013 and expect t begin issuing licenses, at the earliest, in December/January Due t the anticipated turnut and rush t btain a license it is pssible that the prcess may take lnger than the prjected 90 days. The best way t stay up t date n the implementatin prcess and when the applicatins becme available is t register fr ntificatins n the WSLCB website. Why are yu nly accepting applicatins fr 30 days? Opening up the licensing windw fr 30 days affrds anyne wh is qualified t apply fr a license the pprtunity t d s. Whether yu are a small grwer r larger cmpany yu will be given the same pprtunity t get a license. Clsing the windw after 30 days allws the Bard the pprtunity t assess the market and see what changes, if any, are needed regarding the number f licenses. The Bard may als repen the windw at its discretin. When can I get an applicatin? Applicatin dcuments will be available, bth nline and in hard cpy, smetime after the Bard accepts the prpsed rules, which is scheduled fr Octber 16. What d I have t d t start my applicatin? T start the applicatin prcess, and quality within the 30 day licensing windw, yu will need t have a lcatin and file yur applicatin with Business Licensing Services. Hw many prducer and prcessr licenses will be issued? Presently the WSLCB des nt intend t limit the amunt f prducer r prcessr licenses it will issue. The LCB will pen a 30 day windw in Nvember where anyne can apply, and qualified applicants will receive licenses. Can I have mre than ne license? Any entity andlr principles within an entity are limited t n mre than three marijuana licenses. Retail marijuana license hlders are limited t n mre than three retail licenses with n mre than 33% f the allwed licenses in any cunty r city. Why did yu limit the number f licenses per licensee? Limiting the number f licenses anyne entity can hld reduces the pssibility that anyne entity can singlehandedly cntrl the market. Hw many retail licenses will be issued? 334 retail licenses will be issued. The number f retail lcatins was determined using a trmula that distributes the number f lcatins prprtinate t the mst ppulus cities within each cunty.

6 Lcatins nt assigned t a specific city are at large. The specific lcatins will be selected by lttery in the event the number f applicatins exceeds the alltted amunt fr the cities and cunty. Hw will the lttery wrk? WSLCB staff are develping the guidelines fr the retail license lttery. As mre infrmatin becmes available we will ntify stakehlders via the Listserv. If the lcal authrity bjects t my prpsed lcatin after filing my applicatin can I mve my lcatin withut refiling? Applicants will be able t change the lcatin f a ptential license if the lcal authrity bjects, as lng as the applicatin is still in the prcessing stage, withut filing a new applicatin. Will a criminal recrd impact my ability t get a license? The WSLCB will emply a disqualifying criminal histry pint system similar t liqur. An exceptin wuld be allwed fr tw misdemeanr cnvictins f pssessin within three years. A felny cnvictin will prhibit yu frm btaining a marijuana license ifthe cnvictin was in the last 10 years. Hw d I prve three mnths residency? There are many ways t prve residency. Sme examples include: Get a Washingtn State driver's license r ID card, which has an issue date n it Present three mnths wrth f utility bills, pay stubs, etc. Register t vte Yu can find ut mre abut state residency requirements at Access Washingtn. Hw d I shw I'm current n my taxes? Prspective licensees will be required t sign an attestatin that they are current n their taxes. Failure t d s r misrepresentatin f the status f yur taxes is grunds t deny the applicatin. Can I get my $250 applicatin fee back? Marijuana applicatin fees are nn-refundable. Is it true that the WSLCB is just ging t license current medical marijuana utlets t retail marijuana? N. Retail licenses will be issued t qualified applicants wh meet the licensing criteria. A medical marijuana utlet that wants t cnvert t a recreatinal utlet will have t g thrugh the same applicatin prcess as any ther ptential applicant. If they were t btain a retail license they wuld nly be allwed t sell marijuana purchased frm the recreatinal system, they wuld nt be allwed t cmingle medical and recreatinal marijuana. Can lcal jurisdictins prevent me frm pening a lcatin? The LCB has n authrity t dictate zning requirements t lcal gvernments. Municipalities culd cnceivably zne marijuana/related businesses ut f their gegraphical area, check with yur lcal authrity t understand their requirements. Since there are a limited number f retail licenses available can I apply fr a retail license and a prcessr and/r prducer license at the same time t ensure that I'm nt left ut and then withdraw the prcessr and/r prducer license applicatin in the event that I get the retail license?

7 N, Applicants must decide ahead f time which license type they are pursuing, If an applicant applies fr a retail license in additin t ne f the ther tw license types all f the applicatins will be rejected, Can I be a prcessr and a prducer? Yes, Licensees may hld a bth a prducer and prcessr license tgether. Is there a prducer/prcessr license? N, Applicants must apply fr, and btain, bth licenses separately and must pay the applicatin and renewal fees n bth licenses, D I have t pay the 25% tax n sales between prducer and prcessr if I hld bth licenses? N, If yu hld a prducer/prcessr license yu avid the 25% tax that wuld be applied t a prducer t prcessr sale, D I have t prvide prf frm my landlrd that they are aware f hw their prperty is being used? N, The prvisin requiring an applicant t prvide a signed affidavit shwing their landlrd is aware f the marijuana related business using their prperty has been remved, There is a bus stp in frnt f my lcatin; will that disqualify me frm getting a license? The rules define "public transit center" as a facility lcated utside f the public right-f-way that is wned and managed by a transit agency r city, cunty, state, r federal gvernment fr the express purpse f staging peple and vehicles where several bus r ther transit rutes cnverge, Des a walking trail qualify as a park? N, The Bard has specifically addressed that a walking trail, such as a cnverted frmer rail line, des nt qualify as a park, Can I have multiple lcatins? Yes, Hwever each lcatin must be licensed separately and the licensee must meet the previusly mentined requirements n license types, Hw will the WSLCB measure distance frm a restricted area t a ptential marijuana lcatin? Distance will be measured aln the mst direst r"te ver r asrss established ~"Blis wall,s, streets, r ther ~"BliG ~assa eway Btween the ~r~sed B"i1din /B"siness 10Galien t the ~erimeter f the r"rds-ef7 an elementary r secndary schl, playgrund, recreatin center r facility, child care center, public park, public transit center, library r arcade where admissin is nt restricted t thse age 21 and lder, Imprtant Nte Regarding the 1,000 ft Measurement: The LCB will file an emergency rule n Octber 16, 2013, that will revise the current language regarding the 1,000' buffer, The language in the emergency rule will state: "The distance shall be measured as the shrtest straight line distance frm the prperty line f the licensed premises t the prperty line f an elementary r secndary schl, playgrund, recreatin center r facility, child care center, public park, public transit center, library r arcade where admissin is nt restricted t thse age 21 and lder." Why did the Bard change the exclusin zne measuring methd frm "mst cmmn legal pathway" t "straight line?" The Bard, after receiving guidance frm the federal gvernment, changed the measuring methd t ensure that WLSCB rules match federal enfrcement guidelines,

8 If I'm prviding financial backing d I have t be a resident? Yes. Financiers will be required have three mnths Washingtn state residency and t pass the same criminal backgrund checks as a licensee. Testing Hw can I get my labratry certified t test marijuana? The LCB will cntract (via the request fr prpsals prcess) with a firm wh will be respnsible fr accrediting labs. Hw will I get my prducts tested? The LCB will furnish a list, via ur website, f accredited labs fr prducers t cntract with fr testing services. Traceability/Prduct What is the traceability system? A rbust and cmprehensive traceability sftware system will that will trace prduct frm start t sale. Licensees will have t use tracking sftware that is cmpatible with LCB's traceability system and allws the LCB t mnitr and track any plant at any time. When d my plants need t be entered int the traceability system? Prir t reaching eight inches in height r width each plant must be tagged and tracked individually Hw d I btain startup inventry? Within fifteen days f starting prductin peratins a prducer must have all nn-flwering marijuana plants physically n the licensed premises and recrded int the traceability system. N flwering marijuana plants may be brught int the facility during this fifteen day timeframe. After the 15 days pass, a prducer may nly start plants frm seed r create clnes frm a marijuana plant lcated physically n their licensed premises, r purchase marijuana seeds, clnes, r plants frm anther licensed prducer. Grwing Where can I grw? Indrs/Greenhuse Fully enclsed secure indr facility r greenhuse with rigid walls, a rf, and drs. Outdr Outdr prductin may take place in nn-rigid greenhuses, ther structures, r an expanse f pen r cleared grund fully enclsed by a physical barrier. T bscure public view f the premises, utdr prductin must be enclsed by a sight bscure wail r fence at least eight feet high. Outdr prducers must meet security requirements described in WAC Can a current farm just cnvert its crp t marijuana?

9 Cnverting a crp t marijuana wuld require a prducer license and the farm wuld have t meet all f the guidelines set frth in the rules pertaining t utdr grwing. Can I grw in my persnal residence? N. The rules state that "the Bard will nt apprve a license fr any lcatin where law enfrcement access, withut ntice r cause, is iimited. This includes persnal residences." Private residences are affrded a degree f privacy under the 4 'h amendment f the U.S. Cnstitutin that is incmpatible with the regulatry requirements f Hw much marijuana can I keep n my licensed premise? Prducer: Outdr/Greenhuse - One and % f a year's halvest, Indr - six mnths harvest Prcessr: six mnths useable marijuana and ttal prductin Retailer: fur mnths f average inventry As a prducer hw lng d I have t hld my prduct befre transprting it t a prcessr? There is a mandatry 24 hur quarantine perid. Previusly this perid was 72 hurs. Hw can I get my marijuana certified as rganic? Marijuana may nt be labeled as rganic unless permitted by the United States Department f Agriculture in accrdance with the Organic Fds Prductin Act. Prcessing Why can't I advertize marijuana's medical benefits? The WSLCB is regulating the recreatinal marijuana market and des nt evaluate the medical claims f a recreatinal prduct. Prspective licensees wh want t prduce/market marijuana fr medical purpses shuld research Washingtn's medical marijuana laws. Hw will yu prevent children frm accidentally ingesting marijuana prducts? Marijuana infused prducts must be packaged in child resistant packaging in accrdance with Title 16 CFR 1700 f the Pisn Preventin Packaging Act. Can I sell marijuana blends? Yes, prvided the marijuana lts that are being blended have been tested and that the iabeling requirements fr each lt used in the blend are met. What happened t the "Prduced in Washingtn" icn? During the public cmment perid the WSLCB heard a variety f cmments n the icn and ultimately decided t remve it frm the rules. The intent f the icn was t prvide parents, teachers, etc with a visual aid that helped them readily identify a prduct as marijuana. Many f the cmments were psitive and appreciated the WSLCB's wrk n this issue, while thers were cncerned that the icn may be seen as prmtinal. The Bard des reserve the ability t require an icn be included n packaging in the future fr public safety purpses if they deem it necessary. If my marijuana fails quality testing can I turn it int an extract? Yes. With the Bard's apprval, marijuana that fails testing can be cnverted int an extract and sld prvided that the resulting extract passes quality/safety testing.

10 Why des the Bard want t ban cncentrates? The Bard's analysis believes that the definitin f usable marijuana r infused prduct in des nt cver cncentrates. While the Bard was willing t allw cncentrates they are nt inclined t break the law t d s. Des hash qualify as usable marijuana? N. Under the definitins f hash des nt qualify as usable marijuana. Can I infuse cncentrates with an inert il, r similar substance, and sell it? Yes. This wuld qualify as a marijuana infused prduct. What is the minimum level f added marijuana fr a prduct t be cnsidered a marijuana infused prduct? The Bard has nt set minimum threshlds fr what cnstitutes an "infused" prduct. * What is the serving size fr infused extracts fr inhalatin? What is the transactin limit? The serving size fr infused extracts fr inhalatin is a unit, which may nt exceed ne gram. Custmers may purchase up t seven grams f marijuana infused extract fr inhalatin. Retail * Why can't I sell ver the internet? Or have a delivery service? The initiative states that all retail sales must take place in a licensed retail establishment. Neither internet nr delivery sales qualify as retail establishments. Can a medical marijuana utlet and a retail utlet share the same space? N. The tw peratins wuld have t be separate. Retail utlets are nly allwed t sell marijuana that cmes frm a licensed prcessr and licensed prcessrs are nt allwed t sell t unlicensed entities, such as a medical marijuana utlet. Are there any restrictins n retail hurs f peratin? Retail marijuana peratins may take place between the hurs f 8:00AM and 12:00AM. Why can't I hld the marijuana befre purchase? is very clear that there can be n pen cntainers f marijuana, r cnsumptin f marijuana at licensed lcatins. The WSLCB cannt write rules that cntradict the law. Why can't I smell the marijuana befre purchase? Retail licensees are allwed t prvide a sample jar with a piastic r metal mesh screen t allw custrners the ability t smeil the prduct befre purchasing. Opened marijuana prducts are nt allwed inside a licensed retail utlet. * Can I prduce/sell THC infused alchl (i.e. THC infused vdka)? N. The initiative is clear that retail utlets may nly sell marijuana, marijuana infused prducts and marijuana paraphernalia. T sell alchl in Washingtn yu wuld need a liqur license which wuld vilate the abve prvisins. Miscellaneus

11 FAQs n Page 1 01'6 A~ Washingtn State ~illiqur Cntrl Bard Published n Washingtn State Liqur Cntrl Bard ( Hme> FAQs n FAQs n Frequently Asked Questins abut Implementing Initiative 502 Subtpics (links) Licenses Retail Stres Public Safety/Criminal Federal Gvernment WSLCB Hiring Financial Medical Marijuana Licenses Q: When can I buy marijuana legally? A: The initiative allws the Washingtn State Liqur Cntrl Bard (WSLCB) until December 1, 2013 t write the rules, r implementatin details, f the new system. Because the WSLCB is building the system frm seed t sale, it will likely take the full year t cmplete the rules. Q: What is a license? Hw d I get it? When can I get it A: creates three separate tiers: marijuana prducer, marijuana prcessr, and marijuana retailer. Specific license requirements are detailed in the prpsed rules which are available here [1J. The WSLCB will begin accepting license applicatins n Nvember 18, The best way t keep up t date n the prcess is t register fr ntificatins 12] n the WSLCB website [3]. Q: Hw much des a license cst? A: establishes a license applicatin fee at $250 and a $1,000 renewal fee fr each f the three licenses; marijuana prducer, marijuana prcessr and marijuana retailer. Q: Can I hld all three license types? A: Having all three licenses is nt permitted under A licensee may hld bth a prducer and a prcessr license simultaneusly. The initiative des nt allw a prducer t als be a retailer r a prcessr t als be a retailer. wa.gv/print/s600 10/22/2013

12 FAQs n Page 2 f6 Q: Hw many retail licenses will be issued? A: The number f retail lcatins will be determined using a frmula that distributes the number f lcatins prprtinate t the mst ppulus cities within each cunty. Lcatins nt assigned t a specific city will be at large. Once the number f lcatins per city and at- large have been identified, the specific lcatins will be selected by lttery in the event the number f applicatins exceeds the alltted amunt fr the cities and cunty. Q: Hw many prducer and prcessr licenses will be issued? A: N limit. The LCB will pen a 30 day windw in Nvember where anyne can apply, and qualified applicants will receive licenses. Q: With a limited amunt f retail licenses hw will yu determine wh will receive them? A: WSLCB staff are develping the guidelines fr the retail license lttery in the event that there are mre retail license applicants than available licenses. As mre infrmatin becmes available we will ntify stakehlders via the Listserv. Q: Can a current farm just cnvert its crp t marijuana? A: Cnverting a crp t marijuana wuld require a prducer license and the farm wuld have t meet all f the guidelines set frth in the rules pertaining t utdr grwing. Q: Can I grw my wn marijuana nw? Can I sell my hmegrwn marijuana? A: Hme grwn marijuana fr recreatinal use, as well as sale, is illegal. Recreatinal use marijuana must be purchased frm a state-licensed retailer. Retail Stres Q: Are there restrictins n where I can set up a stre? A: Yu cannt set up a stre within 1000 feet f any elementary r secndary schl, playgrund, recreatin center r facility, child care center, public park, public transit center, library, r game arcade that allws minrs t enter. Lcal authrities will als be ntified and have an pprtunity t bject. Q: Will the retail utlets be run by the state? A: Stres will be licensed and regulated by the WSLCB but will be private-sectr businesses. Q: Can I incrprate marijuana sales int my existing business? A: N. The initiative is clear that retail utlets may nly sell marijuana, marijuana infused prducts and marijuana paraphernalia. 10/22/2013

13 FAQs n Page 3 f 6 Q: Can custmers smke in a retail stre? A: N. On-premise cnsumptin is nt allwed under Initiative 502. Q: Are there any restrictins n advertising? A: Retailers are limited t ne 1,600 square inch sign bearing their business/trade name. They cannt put prducts n display t the general public such as thrugh windw frnts. N licensee can advertise marijuana/infused prduct in any frm r thrugh any medium whatsever within 1,000 ft. f schl grunds, playgrunds, child care, public parks, libraries, r game arcades that allws minrs t enter. Als, yu can't advertise n public transit vehicles/shelters r n any publicly wned r perated prperty. Q: Will nn-washingtn residents be able t purchase marijuana? A: Yes, but the marijuana prducts are t be cnsumed in Washingtn. Public Safety/Criminal Nte: The WSLCB is a licensing and regulatry agency and des nt handle criminal prsecutins Q: What will the WSLCB d t ensure public safety, especially preventing access by minrs? A: Public safety is central t the WSLCB missin. As expected by the vters, the rules we create will include minimums fr security, preventing minrs' access t marijuana and ther prvisins. Educating retailers and preventing minrs access t alchl is an imprtant part f ur enfrcement wrk tday. Smething similar fr marijuana sales is likely. Q: What is the DUI prvisin? A: The initiative sets a per se DUI limit f "delta-9" THe levels at greater than r equal t 5 nangrams per milliliter f bld (5 ng/ml). State and lcal law enfrcement agencies are tasked with enfrcing the DUI limit. Q: Since it's legal t pssess marijuana Dec. 6, 2013, but there will nt be licensed retailers frm which t purchase it until 2014 can I still be arrested fr pssessin? A: decriminalizes marijuana pssessin and use in Washingtn State fr thse age 21 and lder and wh pssess any cmbinatin f: ne unce f marijuana, 16 unces f marijuana in slid frm r 72 unces in liquid frm. The Seattle Plice Department wrte an FAQ dcument [4) that addresses hw its fficers will be handling marijuana pssessin ging frward. Each jurisdictin may be handling it differently s it's imprtant t check with lcal law enfrcement n hw t prceed. Q: Can I still be drug tested nw that marijuana is legal wa.gviprint/ /22/2013

14 FAQsnl-502 Page 4 f6 A: des nt address the tpic f drug testing but it is ur understanding that emplyers may still cnduct drug testing at their discretin. Since marijuana is illegal under federal law institutins that receive federal funds will still be subject t mandated testing. Organizatins such as the NFL and NBA have issued statements that marijuana cnsumptin is a vilatin f their cnduct plicy and they intend t cntinue testing fr it. Q: The initiative says I cannt cnsume marijuana in public. What is the definitin f "in public?" A: Initiative 502 states that it is unlawful t pen/cnsume a package f marijuana r marijuana infused prduct in view f the general public. Q: Can marijuana purchased legally in Washingtn be transprted t ther states? A: N. Marijuana and marijuana prducts are t be cnsumed in Washingtn State. Federal Gvernment Q: What is the federal gvernment ging t d? A: On August 29, 2013 Attrney General Eric Hlder called bth Gvernrs Jay Inslee and Jhn Hickenlper (Clrad) t utline the federal gvernment's guidance n legalized marijuana. That guidance was als utlined in a mem which fcuses n eight pints f federal emphasis such as yuth access and public safety which the LCB's prpsed rules address 's regulatry system, and the rules written by the Bardappears t meet thse eight pints. The mem des nt change federal law. Gvernr lnslee's ffice is maintaining an pen dialgue with the federal gvernment and the WSLCB is mving frward t carry ut the expectatins f the agency under the new law. Q: Since marijuana is legal in Washingtn can the federal gvernment still prsecute me? A: Yes des nt preempt federal law. Presently Washingtn State residents invlved in marijuana prductin /retailing culd still be subject t prsecutin if the federal gvernment chses t d s. Q: Can the federal gvernment cnfiscate my assets? A: Yes. Cnfiscatin f assets is ne f the enfrcement tactics available t federal authrities. Q: What abut industrial hemp? Des this create a new market fr hemp prducts? A: N is fcused n legalizing the recreatinal use f marijuana mdifies the definitin f "marijuana" t include nly cannabis greater than 0.3 percent THC cncentratin. Cannabis under this limit - industrial hemp - is nt treated as recreatinal "marijuana." 10/22/2013

15 FAQs n Page 5 f6 WSLCB Hiring Q: Will yu be hiring after the passage f Initiative 502? A: Yes. The task f regulating an entirely new system is a big ne and the agency will have t expand t meet thse challenges. We are estimating abut 35 hires, mstly in licensing and enfrcement. Q: Hw can I apply fr a jb with WSLCB? A: All jb penings will be psted in the careers sectin [5) f ur website. The actual applicatin prcess is dne thrugh Careers.wa.gv [6J. Visit their website and fill ut yur prfile in advance s yu are ready when pprtunities becme available. Q: Des the WSLCB drug test new emplyees? A: The WSLB des nt drug test administrative staff at the time f hiring. Hwever, we d test ptential enfrcement staff fr drugs, including marijuana. The WSLCB is a drug-free wrkplace. All emplyees are expected t nt be impaired at wrk. Shuld a reasnable suspicin arise that an emplyee is impaired, that persn may be tested. Q: I'm an expert in the field f marijuana hw can I be invlved in the prcess? A: Our rule-making system is a public prcess s we will be engaging citizens alng the way. Like hiring, the best way t keep up t date n the prcess is t register fr ntificatins [2J. We will be sending ut timelines and requests fr public cmment using . Financial Q: What is retail marijuana ging t cst? A: OFM's fiscal impact statement places a price estimate f a $3 per gram prducer price, a $6 per gram prcessr price and a pre-tax $12 per gram average retail purchase price. Q: Hw much tax revenue will generate? A: Estimates range anywhere between $0 and $2 billin dllars during the first five years. Withut knwing what the market will lk like r what the federal reactin will be, it is nt presently pssible t accurately gauge the ttal amunt f revenue prduced. Q: Hw is it ging t be taxed? A: The initiative applies a 25% excise tax n each level f the system: prducer t a prcessr, prcessr t a retailer, and retailer t the custmer. In additin, B&O taxes n the prductin and lcal retail sales taxes apply. Q: tax rates are t high, can yu lwer them? 10/22/2013

16 f AQs n Page 6 f6 A: The tax structure fr is prescriptive in the initiative and has becme law with its passing. WSLCB fficials d nt have the authrity t change the taxes that were vted fr by the public. A change t the tax structure wuld have t cme frm the legislature. During the first tw years a change t the initiative wuld require a tw thirds majrity. Medical Marijuana Nte: des nt address medical marijuana. The state des nt currently license r regulate medical marijuana utlets des nt change hw r where they perate. Q: Can medical marijuana patients cntinue t cperatively grw? A: is silent n medical marijuana. Q: Is it true that the WSLCB is just ging t license current medical marijuana utlets t retail marijuana? A: N. Retail licenses will be issued t qualified applicants wh meet the licensing criteria. A medical marijuana utlet that wants t cnvert t a recreatinal utlet will have t g thrugh the same applicatin prcess as any ther ptential applicant. If they were t btain a retail license they wuld nly be allwed t sell marijuana purchased frm the recreatinal system, they wuld nt be allwed t cmingle medical and recreatinal marijuana. Q: Where can I learn mre abut medical marijuana? A: The Washingtn State Department f Health has infrmatin abut medical marijuana n its website here [71. Q: Will the Washingtn State Liqur Cntrl Bard be changing its name? A: Presently there are n plans t change the agency's name. Any change wuld have t cme frm the state Legislature and that is a lw pririty at the mment. Cpyright 2013 Washingtn State Liqur Cntrl Bard Surce URL: i-502 Links: [1 J [2J [3) [4] uide-t-iegai-marijuana-u se -I n-seattle/ [5J [6) [7) /22/2013