Current through Register Vol. 49, No. 9, September, 2024
SECTION I.
AUTHORITY OF THE BOARD
These Transporter/Distributor Operational Rules are duly
adopted and promulgated by Arkansas Alcoholic Beverage Control Division
pursuant to Amendment No. 98 of the Constitution of the State of Arkansas of
1874, The Medical Marijuana Amendment of 2016.
SECTION II.
SCOPE, PURPOSE,
AND SEVERABILITY
These rules govern the oversight of medical marijuana
transportation and distribution in Arkansas. These rules govern the
requirements for record keeping, security, and personnel of transporters and
distributors. These rules govern the requirements for transporters and
distributors to store and transport medical marijuana. These rules govern the
procedures for inspecting and investigating transporters and distributors.
These rules govern the procedures for licensing transporter and distributor
agents. These rules govern the procedures for suspending, revoking, and
penalizing transporter and distributor licenses for violations of the Amendment
or rules.
If any provision of these rules or the application thereof to
any person or circumstance is held invalid for any reason the invalidity shall
not affect the other provisions or any other application of these rules that
can be given effect without the invalid provisions or application. Therefore,
all provisions of these rules are declared to be severable.
SECTION III.
DEFINITIONS
3.1
"Amendment"
means the Arkansas Medical Marijuana Amendment of
2016.
3.2
"Approved
Laboratory" means a laboratory has been approved by the
Department specifically for the testing of usable
marijuana.
3.3
"Authorized Personnel" means any employee
employed by a transporter or distributor and granted permission by the facility
to enter into restricted areas.
3.4
"Commission" means the Medical Marijuana
Commission.
3.5
"Contractor" means any person or business under
contract to complete repairs or improvements to the licensed
facility.
3.6
"Department" means the Arkansas Department of
Health.
3.7
"Director" means the Director of the Alcoholic
Beverage Control Administration Division.
3.8
"Division "
means the Alcoholic Beverage Control Administration
Division.
3.9
"Enforcement" means the Alcoholic Beverage
Control Enforcement Division.
3.10
"Excluded felony offense "means:
(A)
(i)
(a) A felony offense as determined by the
jurisdiction where the felony offense occurred.
(b) The Medical Marijuana Commission, the
Department of Health, or the Alcoholic Beverage Control Division shall
determine whether an offense is a felony offense based upon a review of the
relevant court records concerning the conviction for the offense.
(ii) An offense that has been
sealed by a court or for which a pardon has been granted is not considered an
excluded felony offense; or
(B) A violation of a state or federal control
led-substance law that was classified as a felony in the jurisdiction where the
person was convicted, but not including:
(i)
An offense for which the sentence, including any term of probatio
incarceration, or supervised release, was completed ten (10) or more years
earlier: or
(ii) An offense that
has been sealed by a court or for which a pardon has been granted.
3.11
"Inventory Tracking System" means the required
seed to sale tracking system that tracks medical marijuana from either seed or
immature plant state until the usable marijuana is sold to a qualified patient
or designated caregiver or is destroyed.
3.12
"Licensed facility"
means a licensed cultivation facility, licensed dispensary,
licensed transporter/distributor, or licensed processor.
3.13
"Marijuana"or "medical
marijuana" means marijuana in any form described in the
Amendment or the rules promulgated by the Division, Department of Health, or
the Commission.
3.14
"Shipping Container" means a sealable,
tamper-evident container used for the transport of medical marijuana between
licensed facilities and an approved laboratory.
3.15
"Transport"
- means to move medical marijuana between licensed facilities
or between a licensed facility and approved laboratory.
3.16
"Transporter"
or
"transporter/distributor"
means an entity licensed by the Commission pursuant to these
rules and that may:
(A) Acquire, possess,
deliver, transfer, transport, or distribute marijuana to a dispensary,
cultivation facility, or processor; and
(B) Receive compensation for providing
services allowed by this section.
3.17
"Transporter/distributor
agent" or "agent" means an
individual who has a current Registry Identification Card issued by the
Division and who is an employee of a transporter/distributor
3.18
"Transportation vehicle"
means a vehicle used by a licensed transporter/distributor to
transport marijuana.
3.19
"Unique Identification Number" ("UIN") means a
unique number generated by the Inventory Tracking System and assigned to all
usable marijuana for the purpose of tracking the marijuana from its seed form
to ultimate sale to a qualified patient/designated caregiver or
destruction.
SECTION IV.
RECORDKEEPING REQUIREMENTS
4.1
Maintained Records
- Records required to be kept for current year and three (3)
proceeding calendar years.
A General Business
Records. Transporters/distributors shall keep all books and records necessary
to fully account for each business transaction conducted under its
license;
B A copy of the manifest
for each transport of marijuana conducted under the transporter's/distributor's
license;
C Personnel records, as
described in this rule:
D Record of
all pesticides and chemical applications to the transporter/distributor
facility or transportation vehicle: and
E Visitor logs, as described in this
rule.
4.2
Surveillance Records -All surveillance recordings shall
be maintained for a minimum of 90 days.
SECTION V.
PERSONNEL
REQUIREMENTS
5.1
Registry Identification Card Required
A Any employee, supervisor or agent employed
by a transporter/distributor must have a current Registry Identification Card
issued by the Division pursuant to these rules.
5.2
Hiring
Procedure
A A
transporter/distributor shall provide a prospective agent a completed Notice of
Intent to Hire form for submission to the Division.
B The prospective agent may not perform any
duties on behalf of the transporter/distributor until the individual's Registry
Identification Card has been issued by the Division.
5.3
Separation of
Employment
A A
transporter/distributor shall notify the Division when any agent ceases to be
employed by the transporter/distributor.
B Notice of Separation of Employment shall be
on a form provided by the Division, and it shall be submitted within seven (7)
days of the agent's separation of employment.
5.4
Personnel
Records
A A
transporter/distributor shall keep a record of all agents employed by the
transporter/distributor, including, but not limited to:
i Name of Agent:
ii Detailed Job Description;
iii Records of all training received or
acquired by the agent;
iv Date(s) of
Employment:
v Record of days worked
and time off; and
vi Any
disciplinary action taken against an agent.
(B) A transporter/distributor shall maintain
personnel records for at least three (3) years after an agent ceases to work
for the transporter/distributor.
SECTION VI.
OVERSIGHT AND
INSPECTION REQUIREMENTS
6.1
Inspection and
Investigation- Transportation vehicles and
transporter/distributor facilities shall be subject to reasonable inspection by
the Division.
A The Director of the Alcoholic
Beverage Control Administration, or the Director of Alcoholic Beverage Control
Enforcement, or an enforcement agent, may:
i
Inspect, without the need for a search warrant, the licensed premises of a
transporter's/distributor's facility or transportation vehicle, including any
marijuana and marijuana products on the premises, equipment used in the
transportation, distribution or storage of marijuana, the
transporter's/distributor's records required by these rules and computers, at
any time;
ii Issue a written report
or notice of his or her findings:
iii Exercise law enforcement powers, if
authorized, and
iv Enlist the
assistance of any law enforcement officer not directly employed by Alcoholic
Beverage Control Enforcement toward the performance of these enforcement
duties.
B A
transporter/distributor and any agent shall cooperate with the Director of
Alcoholic Beverage Control Administration, the Director of Alcoholic Beverage
Control Enforcement, and enforcement agent, an employee of the Board, or
assisting law enforcement officer, acting in an official capacity to enforce
the laws related to marijuana, including but not limited to:
i Permitting entry upon and inspection of the
licensed premises (including all limited access areas) and transportation
vehicles; and
ii Providing access to
records required by these rules and computers, when requested by the Director
of Alcoholic Beverage Control Administration. Director of Alcoholic Beverage
Control Enforcement, or an enforcement agent, or an assisting law enforcement
officer.
6.2
Inspection required prior to operation.
All transporters/distributors shall notify the Division of
their intent to commence operations.
A. The Division shall conduct a thorough
inspection of the premises for the following, as applicable:
i. Verify possession and accuracy of detailed
plans and elevation drawings required in these rules;
ii. Verify connection and accessibility to
the Inventory Tracking System;
iii.
Verification of an operational alarm and video surveillance systems:
iv. Verification of secure locks throughout
the transporter/distributor facility, transportation vehicle, and on the
secured container for shippings. Verification of controls to limited access
areas;
vi. Verification of
compliance with perimeter restrictions;
vii. Any personnel records as required by
these rules;
viii. Any other
records required by these rules.
B. Transporter/distributors may not commence
operations until the Division has issued an authorization letter and said
letter has been served upon the licensee by Enforcement.
6.3
Annual Inspections
Required. The Division shall conduct or request Enforcement to
conduct, at minimum, one (1) inspection every twelve (12) months, of all
transportation vehicles and transporter/distributor facilities. The annual
inspection shall include, as applicable:
A.
Verifying possession and accuracy of detailed plans and elevation drawings
required in these rules;
B. Verily'
connection and accessibility to the Inventory Tracking System;
C. Verification of an operational alarm and
video surveillance systems:
D.
Verification of secure locks throughout the transporter/distributor facility,
transportation vehicle, and on the secured container for shipping;
E. Verification of controls to limited access
areas;
F. Verification of
compliance with perimeter restrictions;
G. Any existing personnel records as required
by these rules: and
H. Any existing
records required by these rules.
SECTION VII.
CONSTRUCTION
SPECIFICATIONS AND SECURITY REQUIREMENTS
7.1
Duty to Operate a Secure
Premises
A A
transporter/distributor shall implement appropriate security measures to deter
and prevent the theft and diversion of marijuana.
B A transporter/distributor shall implement
appropriate security measures to deter and prevent the unauthorized entrance
into areas containing marijuana at the transporter/distributor
facility
C A transporter/distributor
is responsible for the security of all marijuana on the licensed premises, in
transportation vehicles, and all marijuana after a transporter/distributor
takes possession of the marijuana from a licensed cultivator, dispensary,
processor or laboratory.
7.2
Transport
Security
A Shipping
Requirements
i Shipping Container Required. A
transporter/distributor shall only transport medical marijuana that is packaged
for transport inside a shipping container (as defined in this rule) tagged with
a UIN.
ii Secured Container
Required. All marijuana in transport shall be shielded from public view and
secured in the following manner:
a In a
locked, safe and secure storage compartment that is part of the transportation
vehicle; or
b In a locked storage
container that has a separate key or combination pad.
iii Routes and Additional Security
Requirements for Transporting Marijuana;
a A
transportation vehicle shall travel directly from the originating licensed
facility or approved laboratory to the receiving licensed facility or approved
laboratory and shall not make any unnecessary stops in between, except to other
licensed facilities or approved laboratories receiving inventory.
b A transporter/distributor shall notify the
division immediately if a transportation vehicle is involved in an accident or
experiences any-type of failure causing the vehicle to be stopped at a location
other than a licensed facility or approved laboratory for more than two (2)
hours.
B
Transportation vehicles shall be:
i Insured at
or above the legal requirements in Arkansas:
ii Capable of securing marijuana during
transport in accordance with this rule:
iii Equipped with an alarm system;
and
iv Free of any markings that
would indicate the vehicle is being used to transport marijuana.
v Staffed with a minimum of two (2) employees
when a vehicle contains medical marijuana. At least one (1) employee shall
remain with the vehicle any time it contains medical
marijuana.
C Individuals
transporting marijuana shall:
i Have a valid
Transporter/Distributor Agent Registry Identification Card issued by the
Division;
ii Have a valid Arkansas
Driver's License; and
iii Have
possession of both the registry identification card and driver's license while
operating or riding in a transportation vehicle.
7.3
Storage Facility
Requirements
If a transporter is required to store marijuana at the licensed
facility due to an inability to complete delivery within the designated
allowable times, the following requirements shall apply:
A Storage Requirements
i. All marijuana shall be stored only on the
transporter's licensed premises.
ii. All marijuana shall be stored in one of
the following types of secured areas:
a A
safe or steel cabinet:
1 Which safe or steel
cabinet shall have the following specification or the equivalent: thirty (30)
man-minutes against surreptitious entry, ten (10) main-minutes against forced
entry, twenty (20) main-hours against lock manipulation, and twenty (20)
man-hours against radiological techniques
2 Which safe or steel cabinet, if it weighs
less than seven hundred fifty (750) pounds, is bolted or cemented to the floor
or wall in such a way that it cannot be readily removed; and
3 Which safe or steel cabinet, if necessary,
depending upon the quantities and type of controlled substances stored, is
equipped with an alarm system as described in these rules.
b. A vault:
1. The walls, floors, and ceilings of which
vault are constructed of at least eight (8) inches of reinforced concrete or
other substantial masonry, reinforced vertically and horizontally with one-half
(1/2) inch steel rods tied six (6) inches on center, or the structural
equivalent to such reinforced walls, floors, and ceilings:
2. The door and frame unit of which vault
shall conform to the following specification or the equivalent: thirty (30)
man-minutes against surreptitious entry, ten (10) man-minutes against forced
entry, twenty (20) man-hours against lock manipulation, and twenty (20)
man-hours against radiological techniques:
3. Which vault, if operations require it to
remain open for frequent access, is equipped with a "day-gate" which is
self-closing and self-locking, or the equivalent, for use during the hours of
operation in which the vault door is open:
4. The walls or perimeter of which vault are
equipped with an alarm system as described in these rules:
5. The door of which vault is equipped with
contact switches: and
6. Which
vault has one of the following: Complete electrical lacing of the walls, floor
and ceilings; sensitive ultrasonic equipment within the vault; a sensitive
sound accumulator system; or other such device designed to detect illegal
entry.
B. Construction of Premises
i. Enclosed and Secure Facility
a. Transporter/distributor facilities shall
be enclosed on all sides by permanent walls, except where vehicles may be
stored.
ii. On site
storage shall be:
a. Secure against
unauthorized entry:
b. Have a
foundation, slab, or equivalent base to which the floor is securely
attached:
c. Provides complete
visual screening of stored marijuana:
d. Commercial grade, nonresidential door
locks shall be installed on every external door, and gate, if applicable.
1. All external locks shall be equipped with
biometric access controls:
2. Only
authorized personnel shall have access to locked and secured areas:
3. Facilities shall maintain detailed records
of authorized personnel with access to locked and secured areas;
4. Records shall be made available to the
Division upon request.
iii. All transporters/distributors shall
maintain detailed plans and elevation drawings of the facility. The plan shall
identify the following:
a. All entrances and
exits to the facility:
b. All
windows, skylights, and retractable mechanisms built into the roof;
c. All storage areas;
d. The location of all required security
cameras:
e. The location of all
alarm inputs, detectors, and sirens:
f. All video and alarm system surveillance
areas;
g. All areas shall be
labeled according to their purpose,
iv. Perimeter Requirements
All transporter/distributor facilities shall maintain the
following:
a. Adequate lighting to
facilitate surveillance: and
b.
Foliage and landscaping that does not allow for a person or persons to conceal
themselves from sight.
v. Floor plans and elevation drawings shall
be kept current and on the premises of the transporter/distributor facility.
Plans and elevation drawings shall be made available to the Division or
Enforcement upon request.
vi.
Transporter/distributor facilities shall have adequate lighting in all areas
where medical marijuana is stored: and
vii. All facilities shall be constructed to
meet the standards of an applicable state and local electrical, fire, plumbing,
and building specification codes.
C. Alarm System
i. A transporter/distributor facility shall
be equipped with an alarm system.
ii. Upon attempted unauthorized entry, the
alarm system shall transmit a signal directly to a central protection company
or a law enforcement agency that has a legal duty to respond. A designated
agent of the transporter shall also receive notification of any such
signal.
iii. Alarm systems shall
provide coverage for all points of ingress and egress to the facility,
including without limitation doorways, windows, loading bays, skylights, and
retractable roof mechanisms.
iv.
Alarm systems shall provide coverage of any room with an exterior wall, any
room containing a safe, and any room used to store marijuana.
v. Alarm systems shall be equipped with a
"panic device" that upon activation will both sound any audible alarm
components and notify law enforcement.
vi. Alarm systems shall have "duress" and
"hold up" features to enable an agent to activate a silent alarm notifying law
enforcement of an emergency.
vii.
Alarms system must be equipped with failure notification systems to notify the
transporter and law enforcement of any failure in the alarm system.
viii. Alarm systems shall have the ability to
remain operational during a power outage.
D. Video Surveillance System
i. A transporter's/distributor's facility
shall be equipped with video surveillance systems consisting of the following:
a. Digital video cameras;
b. 24 hour per day, 7 day per week recording
capabilities;
c. The ability to
remain operational during a power outage;
d. Digital archiving capabilities:
e. On-site and off-site monitoring
capabilities: and
f. All facilities
must maintain at least one on-site display monitor connected to the
surveillance system at all times. The monitor shall have a screen size of at
least 12 inches.
ii. All
transporter/distributor facilities shall maintain camera coverage of the
following areas:
a. All points of ingress and
egress to the facility, including without limitation doorways, windows, loading
bays, skylights, and retractable roof mechanisms;
b. Any room with an exterior wall, except
restrooms, any room containing a safe, and any room or area used to store
marijuana: and
c. All parking areas
and any alley areas immediately adjacent to the building.
iii. All recording devices shall display a
date and time stamp on all recorded video.
iv. All recording devices shall have the
capability to produce a still image from the video recording, and each facility
shall maintain on-site a video printer capable of immediately producing a clear
still image from any-video camera image.
v. Access to on-site surveillance system
controls and monitoring shall be limited to authorized personnel. Transporters
shall identify employees with access to surveillance system controls and
monitoring upon request by the Division.
vi. All surveillance recordings shall be
maintained for a minimum of 90 days.
SECTION VIII.
OPERATIONAL
REQUIREMENTS
8.1
Hours of Operation
A. A transporter/distributor may transport
medical marijuana to and licensed facility or approved laboratory between the
hours of 7:00 a.m. and 9:00 p.m.
B.
If the transporter/distributor has in its possession medical marijuana outside
of the approved hours for transportation, the transporter/distributor must
immediately return to its facility and store the medical marijuana consistent
with these rules.
8.2
Inventory Manifest Required
A. Prior to the transport of any marijuana,
the originating licensee shall provide the transporter/distributor with a copy
of the manifest generated from the Inventory Tracking System. The manifest
shall include the following information:
i.
The following information for the licensed facility originating the transport:
a. License Number; and
b. Name and contact information for
licensee
ii. The
following information for the licensed facility or approved laboratory
receiving the medical marijuana:
a. License
Number if the destination is a licensed facility or business name if the
destination is an approved laboratory;
b. Address of the destination:
c. Name and contact information of the
licensee, or contract information for the approved laboratory.
iii. Quantities by weight or unit
of each type of medical marijuana or medical marijuana product contained in
transport, along with the UINs for every item;
iv. The date of transport and approximate
time of departure;
v. Arrival date
and estimated time of arrival;
vi.
Identify of the agents accompanying the transport;
viii. Delivery vehicle make, model, and
license plate number.
B.
A separate manifest shall be prepared for each licensed facility or approved
laboratory.
C. An inventory
manifest shall not be altered after departing the originating
premises.
D. A
transporter/distributor or transporter/distributor agent shall not accept for
transport any marijuana that is not accompanied by a manifest and described
therein that meets the requirements in these rules.
E. There shall be no passenger or operator in
the transporter/distributor vehicle, while medical marijuana is present in the
vehicle that does not maintain with them a Registry Identification
Card.
8.2
Transporter/distributor restrictions
A transporter/distributor licensed under this section shall
not:
A. Grow or prepare
marijuana.
B. Manufacture or
process marijuana.
C. Supply or
dispense marijuana to a qualified patient or designated caregiver;
D. Purchase marijuana for resale to other
licensed facilities.
8.3
Limited Access to Transporter/Distributor
Facility
A. Only the
following individuals shall be allowed to access transporter's/distributor's
facility:
i. Individuals in possession of a
current registry identification card issued by the Division:
ii. Individuals authorized by law and these
rules to be on the premises:
iii.
Contractors
1. If it is necessary for a
contractor to enter a transporter/distributor facility to conduct repairs,
maintenance or other specific duties on the property, the contractor shall be
escorted to their work site and may be left unattended while completing a job.
If left unattended, transporter's/distributor's personnel shall ensure the
contractor and area under repair are under video surveillance for the duration
of the contractor's time spent on the premises.
2. If it is necessary for a contractor to
enter a transporter/distributor facility's limited access area the contractor
shall be escorted to their work site and must remain in the company of a
transporter's/distributor's agent while the work is being completed. The
contractor may be left unattended, in the limited access area, if there is no
marijuana being stored in the area while the contractor is present. If left
unattended, transporter's/distributor's agent shall ensure the contractor and
area under repair are under video surveillance for the duration of the
contractor's time spent on the premises.
iv. All contractors shall be issued a
contractor identification tag. The tag shall bear the individual's name and be
worn by the contractor for the duration of the individual's time on the
premises.
v. If a contractor is
required on the premises for more than two (2) consecutive days, the
transporter/distributor shall notify the division of the contractor's identity
and purpose for being on the premises.
8.4
Limited Access Areas
A. Transporter's/distributor's facility shall
have limited access to areas where marijuana is stored to authorized personnel.
i. Signage
a. Limited Access areas shall be clearly
marked,
ii. Controlled
Access
a. Limited Access areas shall be
locked and accessible only by authorized personnel, individuals authorized by
law. and members of the Division or Enforcement.
b. Transporter/dispensaries shall keep
current rosters of personnel authorized to enter limited access
areas.
c. Contractors may access
limited access areas subject to the provisions of 8.3.Visitors.
8.5
Inventory Tracking System
A. All transporters/distributors shall
utilize the Inventory Tracking System implemented by the State of Arkansas to
medical marijuana stored at the licensed facility.
B. Transporters/distributors shall acquire
and maintain all software, hardware, and communications infrastructures to
ensure connectivity to the Inventory Tracking System
8.6
Transporter/distributor
Tracking Requirements
A.
Transporters/distributors shall ensure the following events are logged into the
Inventory Tracking System:
i. The storage of
medical marijuana at their facility; and
ii. Transport of medical marijuana back to
the originating facility for disposal if such medical marijuana has become
unusable or has been directed by Order of the Division to be returned to the
originating licensed facility.
B. Each transaction described in subsection
8.6(A) must be recorded by a licensee immediately upon occurrence. Any licensee
who fails to record a transaction listed in 8.6(A) may be subject to
disciplinary action.
SECTION IX.
INVESTIGATIONS
9.1
Investigations
A Director of the Alcoholic Beverage Control
Administration, or the Director of Alcoholic Beverage Control Enforcement, or
an enforcement agent, may:
i Without the need
for a search warrant, inspect at any time a transportation vehicle(s), the
licensed premises (including limited access areas) of a
transporter/distributor, any marijuana on the premises or in
transportation vehicles, the licensee's records, and the licensee's
computers;
ii Issue a written report
or notice of violation regarding any findings:
iii Exercise law enforcement powers, if
authorized, and take any other action the Director of Alcoholic Beverage
Control Administration or Director of Alcoholic Beverage Control Enforcement
determines is necessary; and
iv
Enlist the assistance of any law enforcement officer not directly employed by
Alcoholic Beverage Control Enforcement toward performance of these enforcement
duties.
B A
transporter/distributor and transporter/distributor agent shall cooperate with
the Director of Alcoholic Beverage Control Administration, the Director of
Alcoholic Beverage Control Enforcement, an enforcement agent, an employee of
the Division, or assisting law enforcement officer, acting in an official
capacity to enforce the laws contained herein related to marijuana, including
without limitation:
i Permitting entry upon,
access to, and inspection of the licensed premises (including limited access
areas) or transportation vehicle; and
ii Providing access to the licensee's records
and computers.
9.2
Closure of
Business.The Director may issue an order providing for the
manner and condition under which marijuana may be transferred to another
licensed facility under the following circumstances:
(A) Revocation or suspension of a
license;
(B) Surrender of a
license; or
(C) Expiration of a
license.
SECTION
X.
ADVERTISING
10.1
Directed toward the
public - Transporters/distributors shall not advertise through
any public medium or means designed to market its services to the
public.
10.2
Directed
toward facilities and laboratories - Transporters/distributors
may market their services directly to licensed facilities and approved labs by
any means directed solely to the licensed facilities and approved labs and not
to the public.
SECTION
XI.
REGISTRATION OF TRANSPORTER/DISTRIBUTOR
AGENTS
11.1
Registration Required
A Every individual employed by or working for
or volunteering for a transporter/distributor shall register with the Division
and obtain a registry identification card prior to the commencement of any
activity on the transporter's/distributor's behalf.
B If an individual is employed by multiple
licensed facilities, the individual shall obtain a separate registry
identification card for each place of employment.
11.2
Application
A
The following items must be submitted to the Division to apply for a
Transporter/Distributor Agent Registry Identification Card:
i An application form from the Division to
include the following information:
a Legal
name of applicant:
b Date of
birth:
c Address of
applicant:
d Current employment
information, including intended position with transporter/distributor:
and
e Criminal history
information.
ii A
completed "Notice of Intent to Hire" form from the transporter/distributor
specifying the intended job duties of the applicant.
iii A signed, notarized "Authority to Release
Information" form provided by the Division or obtained through a harvester
approved by Arkansas State Police.
iv. An in-state criminal background check
through the Arkansas State Police.
v. The applicant shall also furnish finger
prints to the Arkansas State Police for transmission to the United States
Federal Bureau of Investigation for investigation of the applicant's criminal
history, if any.
(a) Fingerprints may be
taken by a harvester approved by Arkansas State Police.
vi. The following signed forms to be provided
by the Division:
(a) "Agency Privacy
Requirements tor Noncriminal Justice Applicants" form; and
(b) "Noncriminal Justice Applicant's Privacy
Rights'" form.
vii. An
applicant shall not have to submit the information in subsections (iv), (v),
and (vi):
(a) If the applicant holds an
existing registry identification card for another licensed facility;
or
(b) If the applicant has
completed the required background checks for the purpose of obtaining a
registry identification card in the 2 years prior to the application, and the
applicant has never had a registration card suspended or revoked.
11.3
Registry Identification Card
A. An agent of a transporter/distributor
shall maintain possession of their Transporter/Distributor Agent Registry
Identification Card during any activity within the scope of employment or
service of a transporter/distributor.
B. The registry identification card shall
identify the following information:
i. Name
of the cardholder;
ii. Date of
birth:
iii. Name of the
transporter/distributor;
iv. Date
of issuance:
v. Date of expiration;
and
vi. Registry identification
number assigned by the Division.
11.4
Fees
A. Initial Registry Identification Card -
$50.00.
B. Renewal of Registry
Identification Card -$50.00
C.
Renewal late fee - $25.00
D.
Replacement of Registry Identification Card -$25.00
11.5
Issuance
A. The total fee for a registry
identification card issued by the Division shall be $50.00.
B. The total fee shall be collected as
follows:
i. One half of the fee shall be
remitted along with the application: and
ii. One half of the fee shall be remitted
upon notification by the Division that the application has been
approved.
C. The
Division shall issue the registry identification card within ten (10) days of
receipt of the entire fee.
11.6
ReplacementA.
The Division shall issue a replacement registry identification card to a
transporter/distributor agent if the card has not expired.
B. In order to receive a replacement registry
identification card, a person must present the following to the Division:
i. A valid government-issued photo
identification:
ii. A completed
"Request for Replacement Registry Identification Card'* form to be provided by
the Division: and
iii. A
replacement fee of $25.00.
11.7
Expiration and
RenewalA. A registry
identification card shall expire one (1) year after the date of issuance unless
renewed as described in this rule.
B. A registry identification card shall
expire upon notification to the Division by a transporter/distributor that the
person is no longer employed by transporter/distributor.
C. Agents shall submit a renewal application,
on a form to be provided by the Division, and the required fee in order to
renew their cards.
D. The division
shall renew registry identification cards within ten (10) days of receipt of
the items described in subsection (C).
E. Renewals received after the date of
expiration shall be subject to a renewal late fee of $25.00. in addition to the
renewal fee. If a card is not renewed within one (1) month of expiration, the
card shall be considered expired.
11.8
Separation of
Employment.
A transporter/distributor shall notify the Division of any
employment separation of a transporter/distributor agent by filing a Notice of
Separation of Employment with the Division within seven (7) days following a
transportation agent's last day of work for the transporter/distributor.
11.9
Persons
DisqualifiedA. The Division
shall not issue a registry identification card to the following individuals:
i. Any person under twenty-one (21) years of
age;
ii. Any person who has been
convicted of an excluded felony offense:
iii. Any person who has had a registry
identification card revoked by the Division within five (5) years of
application; or
iv. Any person who
has not paid the required fees.
B. The Division shall not issue a registry
identification card to any person who fails to provide the information required
by this rule.
C. If the Division
denies an application for a registry identification card, the Division shall
notify the applicant in writing of the reasons for the denial. The
transporter/distributor will be notified of the denial.
D. The applicant may appeal the denial by
requesting a hearing, which shall be held in accordance with the procedures
described in this rule.
SECTION XII.
DISCIPLINARY
ACTION, HEARINGS, AND APPEALS
12.1
Grounds for Suspension or
Revocation of a Registry Identification Card.
A. If the Division finds that a
transporter/distributor agent has knowingly violated any provision of the
Amendment or the rules promulgated by the Commission. Department, or Division,
the Division may:
i. Suspend or revoke the
transporter/distributor agent's Transporter/Distributor Agent Registry
Identification Card; and
ii.
Penalize the transporter/distributor agent in an amount not to exceed one
thousand dollars ($1,000) per violation.
B. If the Division finds that a
transporter/distributor has knowingly aided or facilitated a violation of any
provision of the Amendment or the rules promulgated by the Commission.
Department, or Division, the Division may:
i.
Suspend or revoke the transporter*s/distributor*s license; and
ii. Penalize the transporter/distributor in
an amount not to exceed five thousand dollars ($5,000) per violation
C. If the Division finds that a
transporter/distributor has violated any provision of the Amendment or the
rules promulgated by the Commission. Department, or Division, the Division may:
i. Suspend or revoke the
transporter's/distributor's license: and
ii. Penalize the transporter/distributor in
an amount not to exceed five thousand dollars ($5,000) per violation.
D. Grounds for Suspension,
Revocation or Placing a Monetary Fine against a transporter/distributor or
transporter/distributor agent.
i. False
material statements made by a licensee to the Arkansas Medical Marijuana
Commission during the application process;
ii. Failure to pay taxes owed to the State of
Arkansas or to any political subdivision of the State of Arkansas;
iii. Failure to prevent diversion or theft of
medical marijuana;
iv. Allowing any
individual or agent who has not obtained or had suspended or revoked a registry
identification card from the Division to work on a licensed premise or perform
any duty on behalf of the transporter/distributor:
v. Failure to allow entry to the licensed
premises to Alcoholic Beverage Control Administration Director, Alcoholic
Beverage Control Enforcement Director, enforcement agents or duly authorized
police officers in the course and scope of their employment;
vi. Failure to maintain operational alarm
systems and video surveillance systems;
vii. Failure to maintain or keep any record
required by these rules or Arkansas law;
viii. Failure to properly package or secure
medical marijuana on the licensed premises or during transport;
ix. Operation of by transporter/distributor
when a license has been suspended;
x. Failure to comply with any rule
promulgated by the Department, the Commission; or the Division;
xi. Failure to comply with any law of the
State of Arkansas or any local regulation regarding medical
marijuana;
xii. Transporting
marijuana in any form to any person or entity without a transporter/distributor
license issued by the Arkansas Medical Marijuana Commission:
xiii. Giving marijuana to any person or
entity that is not being lawfully transported consistent with the rules
contained herein;
xiv. Transporting
marijuana to or from any dispensary or cultivation facility that has a license
under suspension, revocation, or that has not been renewed;
xv. Failure to utilize the Inventory Tracking
System for reporting and controlling inventory;
xvi. Growing or preparing marijuana;
manufacturing or processing marijuana; suppling or dispensing marijuana to a
qualified patient or designated caregiver; storing marijuana for more than
twenty-four hours without written approval from the Division; or purchasing
marijuana for resale to other licensed facilities.
xvii. Knowingly aiding or facilitating a
violation of the Amendment, rules promulgated by the Commission, Department or
Division, or any other law of the State of Arkansas.
12.2
Notice of
ViolationA. The Director of
Alcoholic Beverage Control Administration may issue a notice of violation if an
inspection report or other credible information shows a transporter/distributor
or its agent is in violation of:
i. The
Amendment;
ii. Any rule promulgated
by the Division, the Commission, or the Department:
iii. Any Order of the Division, the
Commission, or the Department:
iv.
Any law relating to marijuana; or
v. Any law relating to taxation.
B. A notice of violation regarding
a transporter/distributor shall be delivered to the transporter/distributor at
its licensed premises.
C. A notice
of violation regarding a transporter/distributor agent shall be delivered to
the agent at the transporter's/distributor's licensed premises. A copy of the
notice shall be provided to the transporter/distributor licensee at its
licensed premises.
D. The notice of
violation shall describe the alleged violation(s) and cite the applicable
Constitutional Amendment provision, statute, rule, order, or other
law.
E. A notice of violation may
be the basis of a proceeding to fine, suspend, revoke, or otherwise penalize a
marijuana establishment's license.
F. The notice of violation may include the
Director's proposed fine, as well as any proposed penalty to be
imposed.
G. A
transporter/distributor or transporter/distributor agent that receives a notice
of violation shall respond to the notice in writing and may within ten (10
days) after receiving the notice, either:
(i)
Consent to the proposed penalty set forth in the notice of violation and waive
the right to a hearing, or
(ii)
Request a hearing before the Director or an authorized hearing agent.
H. If the transporter/distributor
or transporter/distributor agent consents to the penalty and waives the right
to a hearing, the licensee or agent shall fulfill the terms set forth in the
notice of violation.
I. If a
hearing is requested, a hearing shall be scheduled and the transporter or
transporter agent shall receive a notice of hearing in compliance with these
rules.
J. If the licensee or agent
fails to respond to the notice of violation, the Director may enter an order in
accordance with the notice of violation.
12.3
Emergency
Suspension
A. If the Director
finds, pursuant to AC A §
25-15-211(c).
that the public health, safety or welfare imperatively requires emergency
action, and incorporates a finding to that effect in his order, summary
suspension of a license or registry identification card may be ordered pending
proceedings for revocation or other action, which proceedings shall be promptly
instituted and determined.
B. If
the Director makes the determination set out in (A) of this provision Section
XII (2) shall not apply.
12.4
Notice of
Hearing
A. If a hearing is
required by these rules, a notice of hearing shall be sent to the respondent
transporter/distributor or transporter/distributor agent via regular mail or by
service of an Enforcement Agent to the address on file with the
division.
B. The notice of hearing
shall include:
i. A statement of the time,
place and nature of the hearing;
ii. A statement of the legal authority and
jurisdiction under which the hearing is to be held:
iii. A short and plain statement of the
matters of fact and law asserted; and
iv. A statement advising the licensee or
agent that the license or registry identification card may be suspended or
revoked.
12.5
Conduct of Hearing by Director or Hearing
Officer.
A. The Director or
designated hearing officer shall conduct hearings.
B. The Director or hearing officer shall be
authorized to:
i. Examine or cause to be
examined under oath any person;
ii.
Examine or cause to be examined books and records of any
transporter/distributor or transporter/distributor agent:
iii. To hear testimony, to take proof
material for the Director's information and for the purposes of the
hearing;
iv. Administer or cause to
be administered oaths; and
v. Issue
subpoenas to require the appearance of witnesses and the production of books
and records, which subpoenas shall be effective in any part of this state.
a. Any Circuit Court may by order duly
entered require the attendance of witnesses or the production of relevant books
and records subpoenaed by the Director, and the Court may compel obedience to
its orders by proceedings for contempt.
b. Any licensee or agent involved in a
hearing before the Director shall be entitled, on request, to a subpoena for
the compulsory attendance of witnesses.
12.6
Order of
Director
If the Director denies, suspends, or revokes a transporter
license or registry identification card, or if the Director imposes a monetary
fine against any transporter/distributor or transporter/distributor agent, the
Director shall prepare an order so stating.
A. The Order shall be signed by the Director
or designated hearing officer.
B.
The Order shall include findings of fact and conclusions of law. separately
stated.
C. Findings of fact, if set
forth in statutory language, shall be accompanied by a concise and explicit
statement of the underlying facts supporting the findings.
D. The order shall be mailed by regular and
certified mail to a transporter/distributor or transporter/distributor agent to
the address provided by the licensee or the agent.
E. The order shall be final and binding on
all parties until such order has been appealed as provided in these rules and
the Alcoholic Beverage Control Board issues a decision.
12.7
Appeal of Director's
OrderA. A
transporter/distributor or transporter/distributor agent aggrieved by an order
of the Director may appeal from such Order to the Alcoholic Beverage Control
Board by filing a notice of appeal with the Board.
B. The notice of appeal must be mailed or
delivered to the offices of the Alcoholic Beverage Control Division within
fifteen (15) days after the order to be appealed from is received by the
recipient.
C. At least ten (10)
days before the time set for the hearing, the Division shall notify the
licensee or agent via regular first-class mail of the time and place where said
appeal shall be heard by the Board or by a hearing officer designated as
provided in these rules.
D. Said
hearing shall be held within sixty (60) days after the date of the filing of
the notice of appeal unless the person appealing shall consent to a later
hearing date.
E. Said hearing shall
be held within at least sixty (60) days after the filing of the notice of
appeal unless the person appealing requests or consents to a later hearing.
i. Hearings shall not be continued in excess
6 months without consent from the Board.
12.8
Conduct of Hearing by
Board. In the conduct of any hearing held by the Board or the
Board's designated hearing officer, the Board or such hearing officer shall be
authorized to:
A. Examine or cause to be
examined under oath any person;
B.
Examine or cause to be examined books and records of any
transporter/distributor or transporter/distributor agent;
C. Hear testimony;
D. Administer or cause to be administered
oaths; and
E. Issue subpoenas to
require the appearance of witnesses and the production of books and records,
which subpoenas shall be effective in any part of this state.
i. Any Circuit Court may by order duly
entered require the attendance of witnesses or the production of relevant books
and records subpoenaed by the Director, and the Court may compel obedience to
its orders by proceedings for contempt.
ii. Any licensee or agent involved in a
hearing before the Board shall be entitled, on request, to a subpoena for the
compulsory attendance of
12.9
Order by
Board. Within five (5) days after a hearing is concluded by the
Board, the Board shall issue its decision in the form of
a written
Order.
A. The Order shall include findings of
facts and conclusions of law, separately stated.
B. Findings of fact, if set forth in
statutory language shall be accompanied by a concise and explicit statement of
the underlying facts supporting the findings.
C. A copy of the Order shall be mailed by
certified mail to the transporter/distributor or transporter/distributor
agent.
D. The Order shall be final
and binding on the transporter/distributor or transporter/distributor agent
unless appealed as provided for in these rules.
12.10
Appeal from Board to
CourtsA. Any
transporter/distributor or transporter/distributor agent aggrieved by a Board
order may appeal to Circuit Court in accordance with Ark. Code Ann. §
25-15-212.
B. An appeal from the judgment of the Circuit
Court may be taken to the Arkansas Court of Appeals or the Supreme Court of
Arkansas in the manner provided for the appeal of civil matters from the
Circuit Court.
12.11
Transcript of Board Hearings
A. Pursuant to the provisions of the Arkansas
Administrative Procedure Act, the Division shall prepare a certified copy of
the agency record for filing in any appeal filed under the Arkansas
Administrative Procedure Act.
B. If
the Division prevails in the appeal, it will recover $1.50 per page for each
page of the transcript of the Alcoholic Beverage Control Board proceedings
filed with the Circuit Court.
C. If
anyone requests that the Division provide a copy of the agency transcript, the
Division shall be entitled to recover forty cents ($.40) per page for each copy
of the transcript.
D. Any copies of
the Division's files, records, or transcripts shall be paid for at the rates
noted above.
E. All monies received
by the Division pursuant to the above provisions shall be deposited to the
General Revenues of the State of Arkansas.
12.12
Admissibility of Evidence
in Hearings
The Director, the Board and any Hearing Officer shall not be
bound by the legal rules of evidence in conducting any hearing and in making
any decision, and may take into consideration any testimony, papers or
documents which may be deemed relevant to the issues involved.
12.13
Designation of
Hearing Officer
Pursuant to the power granted to the Division, in part by ACA
§
25-15-213 and
pursuant to other powers granted to the Director and the Board, the Director or
the Board may designate any member of the Division to conduct any hearing
authorized by this Article or by any Medical Marijuana law of the State of
Arkansas.
12.14
Right to Counsel and to Cross-Examine Witnesses
Any respondent transporter/distributor or
transporter/distributor agent or any other person compelled to appear at any
hearing provided by these rules or by any Arkansas Medical Marijuana law of the
State of Arkansas shall have the right to be accompanied and advised by counsel
and to cross-examine witnesses.
12.15
Surrender
After a transporter/distributor license or
Transporter/Distributor Agent Registry Identification Card has been suspended
or revoked by Order of the Director, the Alcoholic Beverage Control Board, or
any final court order, the Director shall give notice to any authorized agent
of Enforcement and said agent shall immediately take possession of the
transporter/distributor license or Transporter/Distributor Agent Registry
Identification Card and return it to the Director.