[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 420 Introduced in House (IH)]
<DOC>
116th CONGRESS
1st Session
H. R. 420
To provide for the regulation of marijuana products, and for other
purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
January 9, 2019
Mr. Blumenauer introduced the following bill; which was referred to the
Committee on the Judiciary, and in addition to the Committees on Energy
and Commerce, Ways and Means, Natural Resources, and Agriculture, for a
period to be subsequently determined by the Speaker, in each case for
consideration of such provisions as fall within the jurisdiction of the
committee concerned
_______________________________________________________________________
A BILL
To provide for the regulation of marijuana products, and for other
purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Regulate Marijuana Like Alcohol
Act''.
TITLE II--REGULATION
Subtitle A--Amendments To Decriminalize Marijuana at the Federal Level
SEC. 201. DECRIMINALIZATION OF MARIJUANA.
(a) Removal From Schedule of Controlled Substances.--
Notwithstanding any other provision of the Controlled Substances Act
(21 U.S.C. 801 et seq.), the Attorney General shall, not later than 60
days after the date of the enactment of this Act, issue a final order
that removes marijuana in any form from all schedules under section
202(c) of that Act (21 U.S.C. 812(c)).
(b) Conforming Amendment To Remove Legislative Deadwood.--
Subsection (c) of section 202 of the Controlled Substances Act (21
U.S.C. 812) is amended to read as follows:
``(c) Cross Reference to Schedules of Controlled Substances.--
Schedules I, II, III, IV, and V shall consist of the drugs and other
substances (by whatever official name, common or usual name, chemical
name, or brand name designated) that are set forth in the respective
schedules in part 1308 of title 21, Code of Federal Regulations, as
they may be amended from time to time, or in any successor
regulation.''.
SEC. 202. APPLICATION OF THE CONTROLLED SUBSTANCES ACT AND CONTROLLED
SUBSTANCES IMPORT AND EXPORT ACT TO MARIJUANA.
Part A of the Controlled Substances Act (21 U.S.C. 801 et seq.) is
amended by adding at the end the following:
``SEC. 103. APPLICATION TO MARIHUANA.
``(a) General Nonapplication.--Except as provided in this section,
this title and title III do not apply to marihuana.
``(b) Exception: Prohibition on Certain Transportations and
Shipments.--It shall be unlawful to ship or transport marihuana from
any place outside a State, territory, or district of the United States,
or other place noncontiguous to but subject to the jurisdiction of the
United States, into that State, territory, or district of the United
States, or place, when such marihuana is intended by any person
interested therein to be received, possessed, sold, or in any manner
used, in violation of any law of such State, territory, district, or
place.
``(c) Penalty.--Whoever knowingly violates subsection (b) shall be
fined under title 18, United States Code, or imprisoned not more than
one year, or both.''.
SEC. 203. CONFORMING AND ANCILLARY AMENDMENTS.
(a) Modification of Definition of ``Felony Drug Offense''.--Section
102(44) of the Controlled Substances Act (21 U.S.C. 802(44)) is amended
by striking ``marihuana,''.
(b) Elimination of Marijuana Penalty Provisions.--Part D of the
Controlled Substances Act (21 U.S.C. 841 et seq.) is amended--
(1) in section 401--
(A) by striking subsection (b)(1)(A)(vii);
(B) by striking subsection (b)(1)(B)(vii);
(C) by striking subsection (b)(1)(D); and
(D) by striking subsection (b)(4);
(2) in section 402(c)(2)(B), by striking ``marihuana,'';
(3) in section 403(d)(1), by striking ``marihuana,'';
(4) in section 418(a), by striking the last sentence;
(5) in section 419(a), by striking the last sentence;
(6) in section 422(d), in the matter preceding paragraph
(1), by striking ``marijuana,''; and
(7) in section 422(d)(5), by striking ``, such as a
marihuana cigarette,''.
(c) Removal of Prohibition on Import and Export.--Section 1010 of
the Controlled Substances Import and Export Act (21 U.S.C. 960) is
amended--
(1) by striking subparagraph (G) of subsection (b)(1);
(2) by striking subparagraph (G) of subsection (b)(2); and
(3) by striking paragraph (4) of subsection (b).
(d) Limiting the Application of the National Forest System Drug
Control Act of 1986 to Controlled Substances Other Than Marijuana.--The
National Forest System Drug Control Act of 1986 is amended--
(1) in section 15002(a) (16 U.S.C. 559b(a)) by striking
``marijuana and other'';
(2) in section 15003(2) (16 U.S.C. 559c(2)) by striking
``marijuana and other''; and
(3) in section 15004(2) (16 U.S.C. 559d(2)) by striking
``marijuana and other''.
(e) Interception of Communications.--Section 2516 of title 18,
United States Code, is amended--
(1) in subsection (1)(e), by striking ``marihuana,''; and
(2) in subsection (2) by striking ``marihuana,''.
(f) National Youth Anti-Drug Media Campaign.--Section 709 of the
Office of National Drug Control Policy Reauthorization Act of 1998 (21
U.S.C. 1708) is amended by striking subsection (j) (relating to
prevention of marijuana use).
Subtitle B--Federal Marijuana Licensing and Related Matters
SEC. 211. FEDERAL MARIJUANA ADMINISTRATION.
The Federal Alcohol Administration Act (27 U.S.C. 201 et seq.) is
amended by adding at the end the following:
``TITLE III--MARIJUANA
``SEC. 301. UNLAWFUL BUSINESSES WITHOUT MARIJUANA PERMIT.
``(a) Import.--It shall be unlawful, except pursuant to a permit
issued under this title by the Secretary of the Treasury (hereinafter
in this title referred to as the `Secretary')--
``(1) to engage in the business of importing marijuana into
the United States; or
``(2) for any person so engaged to sell, offer or deliver
for sale, contract to sell, or ship, in interstate or foreign
commerce, directly or indirectly or through an affiliate,
marijuana so imported.
``(b) Manufacture and Sale.--It shall be unlawful, except pursuant
to a permit issued under this title by the Secretary--
``(1) to engage in the business of cultivating, producing,
manufacturing, packaging, or warehousing marijuana; or
``(2) for any person so engaged to sell, offer or deliver
for sale, contract to sell, or ship, in interstate or foreign
commerce, directly or indirectly or through an affiliate,
marijuana so cultivated, produced, manufactured, packaged, or
warehoused.
``(c) Resale.--It shall be unlawful, except pursuant to a permit
issued under this title by the Secretary--
``(1) to engage in the business of purchasing marijuana for
resale at wholesale; or
``(2) for any person so engaged to receive or to sell,
offer or deliver for sale, contract to sell, or ship, in
interstate or foreign commerce, directly or indirectly or
through an affiliate, marijuana so purchased.
``(d) Remedies for Violations.--
``(1) Criminal fine.--
``(A) Generally.--Whoever violates this section
shall be fined not more than $1,000.
``(B) Settlement in compromise.--The Secretary may
decide not to refer a violation of this section to the
Attorney General for prosecution but instead to collect
a payment from the violator of no more than $500 for
that violation.
``(2) Civil action for relief.--The Attorney General may,
in a civil action, obtain appropriate relief to prevent and
restrain a violation of this title.
``SEC. 302. PROCEDURE FOR ISSUANCE OF MARIJUANA PERMITS.
``(a) Who Entitled to Permit.--
``(1) Generally.--The Secretary shall issue a permit for
operations requiring a permit under section 301 unless the
Secretary finds that--
``(A) the applicant (or if the applicant is a
corporation, any of its officers, directors, or
principal stockholders) has been convicted of a
disqualifying offense;
``(B) the applicant is, by reason of business
experience, financial standing, or trade connections,
not likely to commence operations within a reasonable
period or to maintain such operations in conformity
with Federal law; or
``(C) the operations proposed to be conducted by
the applicant are in violation of the law of the State
in which they are to be conducted.
``(2) Disqualifying offenses.--For the purposes of
paragraph (1)--
``(A) Generally.--Except as provided in
subparagraph (B) a disqualifying offense is an offense
related to the production, consumption, or sale of
marijuana that is--
``(i) a felony under Federal or State law,
if the conviction occurred not later than 5
years before the date of the application; or
``(ii) a misdemeanor under Federal law, if
the conviction occurred not later than 3 years
before the date of the application.
``(B) Excluded offenses.--A disqualifying offense
does not include a Federal or State offense based on
conduct that--
``(i) was legal under State law in the
State when and where the conduct took place; or
``(ii) is, as of the date of the
application, no longer an offense in that
State.
``(b) Refusal of Permit; Hearing.--If upon examination of any
application for a permit the Secretary has reason to believe that the
applicant is not entitled to such permit, the Secretary shall so notify
the applicant and, upon request by the applicant, afford the applicant
due notice and opportunity for hearing on the application. If the
Secretary, after affording such notice and opportunity for hearing,
still finds that the applicant is not entitled to a permit hereunder,
the Secretary shall by order deny the application stating the findings
which are the basis for the order.
``(c) Form of Application.--
``(1) Generally.--The Secretary shall--
``(A) prescribe the manner and form of applications
for permits under this title (including the facts to be
set forth in the application);
``(B) prescribe the form of such permits; and
``(C) specify in any permit the authority conferred
by the permit and the conditions of that permit in
accordance with this title.
``(2) Separate types of applications and permits.--To the
extent deemed necessary by the Secretary for the efficient
administration of this title, the Secretary may require
separate applications and permits with respect to the various
classes of marijuana, and with respect to the various classes
of persons entitled to permits under this title.
``(3) Disclaimer.--The issuance of a permit under this
title does not deprive the United States of any remedy for a
violation of law.
``(d) Conditions.--A permit under this title shall be conditioned
upon--
``(1) compliance with all other Federal laws relating to
production, sale and consumption of marijuana, as well as
compliance with all State laws relating to said activities in
the State in which the permit applicant resides and does
business; and
``(2) payment to the Secretary of a reasonable permit fee
in an amount determined by the Secretary to be sufficient over
time to offset the cost of implementing and overseeing all
aspects of marijuana regulation by the Federal Government.
``(e) Revocation, Suspension, and Annulment.--
``(1) Generally.--After due notice and opportunity for
hearing, the Secretary may order a permit under this title--
``(A) revoked or suspended for such period as the
Secretary deems appropriate, if the Secretary finds
that the permittee has willfully violated any of the
conditions of the permit, but for a first violation of
the conditions the permit shall be subject to
suspension only;
``(B) revoked if the Secretary finds that the
permittee has not engaged in the operations authorized
by the permit for a period of more than 2 years; or
``(C) annulled if the Secretary finds that the
permit was procured through fraud, or
misrepresentation, or concealment of material fact.
``(2) Order to state basis for order.--The order shall
state the findings which are the basis for the order.
``(f) Service of Orders.--Each order of the Secretary with respect
to any denial of application, suspension, revocation, annulment, or
other proceedings, shall be served--
``(1) in person by any officer or employee of the Secretary
designated by him or any internal revenue or customs officer
authorized by the Secretary for the purpose; or
``(2) by mailing the order by registered mail, addressed to
the applicant or respondent at his last known address in the
records of the Secretary.
``(g) Duration.--
``(1) General rule.--Except as otherwise provided in this
subsection, a permit issued under this title shall continue in
effect until suspended, revoked, or annulled as provided in
this title, or voluntarily surrendered.
``(2) Effect of transfer.--If operations under a permit
issued under this title are transferred, the permit
automatically terminates 30 days after the date of that
transfer, unless an application is made by the transferee
before the end of that period for a permit under this title for
those operations. If such an application is made, the
outstanding permit shall continue in effect until such
application is finally acted on by the Secretary.
``(3) Definition of transfer.--For the purposes of this
section, the term `transfer' means any change of ownership or
control, whether voluntary or by operation of law.
``(h) Judicial Review.--A permittee or applicant for a permit under
this title may obtain judicial review under chapter 7 of title 5,
United States Code, of the denial of the application of that applicant
or, in the case of a permittee, the denial of an application by the
transferee of that permittee.
``(i) Statute of Limitations.--
``(1) In general.--No proceeding for the suspension or
revocation of a permit for violation of any condition thereof
relating to compliance with Federal law shall be instituted by
the Secretary more than 18 months after conviction of the
violation of Federal law, or, if no conviction has been had,
more than 3 years after the violation occurred.
``(2) Compromise.--No permit shall be suspended or revoked
for a violation of any such condition thereof if the alleged
violation of Federal law has been compromised by any officer of
the Government authorized to compromise such violation.
``SEC. 303. DEFINITIONS.
``In this title--
``(1) the term `marijuana' has the meaning given the term
`marihuana' in section 102 of the Controlled Substances Act (21
U.S.C. 802); and
``(2) the term `State' includes the District of Columbia,
Puerto Rico, and any territory or possession of the United
States.''.
SEC. 212. ADDITION OF MARIJUANA TO CERTAIN LEGAL AUTHORITIES RELATING
TO INTOXICATING LIQUORS.
(a) Wilson Act.--The Act of August 8, 1890 (commonly known as the
Wilson Act or the Original Packages Act; 27 U.S.C. 121), is amended--
(1) by inserting ``, or marijuana,'' after ``intoxicating
liquors or liquids''; and
(2) by striking ``such liquids or liquors'' and inserting
``such liquids, liquors, or marijuana''.
(b) Webb-Kenyon Act.--The Act of March 1, 1913 (commonly known as
the Webb-Kenyon Act; 27 U.S.C. 122), is amended--
(1) by inserting ``marijuana or any'' after ``whatsoever,
of any''; and
(2) by inserting ``marijuana or'' after ``which said''.
(c) Victims of Trafficking and Violence Protection Act of 2000.--
Section 2 of the Victims of Trafficking and Violence Protection Act of
2000 (27 U.S.C. 122a) is amended--
(1) in subsection (a)--
(A) by redesignating paragraphs (3) and (4) as
paragraphs (4) and (5), respectively; and
(B) by inserting after paragraph (2) the following
new paragraph:
``(3) the term `marijuana' has the meaning given the term
`marihuana' in section 102 of the Controlled Substances Act (21
U.S.C. 802);''; and
(2) in subsections (b) and (c), by inserting ``or
marijuana'' after ``intoxicating liquor'' each place it
appears.
Subtitle C--Other Amendments Relating to Federal Authority Regarding
Marijuana
SEC. 221. FOOD AND DRUG ADMINISTRATION.
The Food and Drug Administration shall have the same authorities
with respect to marijuana as the Administration has with respect to
alcohol.
SEC. 222. TRANSFERRING AGENCY FUNCTIONS WITH REGARD TO MARIJUANA.
(a) Transfer of Jurisdiction From Drug Enforcement Administration
to Bureau of Alcohol, Tobacco, Firearms and Explosives.--The functions
of the Attorney General, acting through the Administrator of the Drug
Enforcement Administration relating to marijuana enforcement, shall
hereafter be administered by the Attorney General, acting through the
Director of the Bureau of Alcohol, Tobacco, Firearms and Explosives.
(b) Redesignation of Bureau of Alcohol, Tobacco, Firearms and
Explosives as Bureau of Alcohol, Tobacco, Marijuana, Firearms and
Explosives.--
(1) Redesignation.--The Bureau of Alcohol, Tobacco,
Firearms and Explosives is hereby renamed the ``Bureau of
Alcohol, Tobacco, Marijuana, Firearms and Explosives''.
(2) References.--Any reference to the Bureau of Alcohol,
Tobacco, Firearms and Explosives in any law, regulation, map,
document, record, or other paper of the United States shall be
deemed to be a reference to the Bureau of Alcohol, Tobacco,
Marijuana, Firearms and Explosives.
(c) Redesignation of Alcohol and Tobacco Tax and Trade Bureau as
Alcohol, Tobacco, and Marijuana Tax and Trade Bureau.--
(1) Redesignation.--The Alcohol and Tobacco Tax and Trade
Bureau is hereby renamed the ``Alcohol, Tobacco, and Marijuana
Tax and Trade Bureau''.
(2) References.--Any reference to the Alcohol and Tobacco
Tax and Trade Bureau in any law, regulation, map, document,
record, or other paper of the United States shall be deemed to
be a reference to the Alcohol, Tobacco, and Marijuana Tax and
Trade Bureau.
SEC. 223. UNFAIR ADVERTISING PRACTICES.
(a) In General.--It shall be unlawful for any person engaged in the
business of importing marijuana into the United States, or cultivating,
producing, manufacturing, packaging, or warehousing marijuana, or
purchasing marijuana for resale at wholesale, directly or indirectly or
through an affiliate, to publish or disseminate or cause to be
published or disseminated by radio broadcast, or in any newspaper,
periodical or other publication or by any sign or outdoor advertisement
or any other printed or graphic matter, any advertisement of marijuana,
if such advertisement is in, or is calculated to induce sales in,
interstate or foreign commerce, or is disseminated by mail, unless such
advertisement is in conformity with such regulations, to be prescribed
by the Secretary of the Treasury, or the Secretary's delegate (referred
to in this section as the ``Secretary''), as will--
(1) prevent deception of the consumer with respect to the
products advertised and as will prohibit, irrespective of
falsity, such statements relating to manufacturing processes,
analyses, guaranties, and scientific or irrelevant matters as
the Secretary finds to be likely to mislead the consumer;
(2) provide the consumer with adequate information as to
the identity and quality of the products advertised, the
characteristics thereof, and the person responsible for the
advertisement;
(3) prohibit statements that are disparaging of a
competitor's products or are false, misleading, obscene, or
indecent; and
(4) prevent statements inconsistent with any statement on
the labeling of the products advertised.
(b) Nonapplication to Publishers and Broadcasters.--The
prohibitions of this section and regulations thereunder shall not apply
to the publisher of any newspaper, periodical, or other publication, or
radio broadcaster, unless such publisher or radio broadcaster is
engaged in the business of importing marijuana into the United States,
or cultivating, producing, manufacturing, packaging, or warehousing
marijuana, or purchasing marijuana for resale at wholesale, directly or
indirectly or through an affiliate.
SEC. 224. COMPTROLLER GENERAL REVIEW OF LAWS AND REGULATIONS.
The Comptroller General shall conduct a review of Federal laws,
regulations, and policies to determine if any changes in them are
desirable in the light of the purposes and provisions of this Act. Not
later than 2 years after the date of the enactment of this Act, the
Comptroller General shall make to Congress and the relevant agencies
such recommendations relating to the results of that review as the
Comptroller General deems appropriate.
<all>