SB 231 — AN ACT CONCERNING THE DEPARTMENT OF CONSUMER PROTECTION'S RECOMMENDATIONS REGARDING CANNABIS REGULATION AND ELECTRONIC NICOTINE DELIVERY SYSTEM DEALER REGISTRATION.

(c)174 If7 asSB231 cannabis/ establishmentFile doesNo. not comply with subsection (b) of this section, or if any subsequent laboratory testing does not yield satisfactory results for the testing required under subsection (a) of this section, the cannabis establishment shall dispose of the entire cannabis batch from which the cannabis sample was taken in accordance with procedures established by the commissioner, as published on the department's Internet web site.

The174 cannabisFile establishmentNo. shall complete such disposal not later than thirty days after the later of (1) the date of the failed testing performed pursuant to subsection (a) of this section, (2) the date of the failed repeated testing performed pursuant to subsection (b) of this section, or (3) if no repeated testing is performed pursuant to subsection (b) of this section, expiration of the thirty-day period established in subsection (b) of this section for the performance of such repeated testing.

During174 suchsatisfactory thirty-dayresults period,for the testing required under subsection (a) of this section, the cannabis establishment maysubmitawrittenrequesttothedepartment,inaformshall anddispose mannerof prescribedthe entire cannabis batch from which the cannabis sample was taken in accordance with procedures established by the commissioner, toas extendpublished suchon thirty-daythe period.department's Internet web site.

The cannabis establishment shall complete such disposal not later than sixty days after the later of (1) the date of the failed testing performed pursuant to subsection (a) of this section, (2) the date of the failed repeated testing performed pursuant to subsection (b) of this section, or (3) if no repeated testing is performed pursuant to subsection (b) of this section, expiration of the sixty-day period established in subsection (b) of this section for the performance of such repeated testing.

During such sixty-day period, the cannabis establishment maysubmitawrittenrequesttothedepartment,inaform and manner prescribed by the commissioner, to extend such sixty-day period.

Sec.

5.

Subsections (b) and (c) of section 21a-420c of the 2026 supplement to the general statutes are repealed and the following is substituted in lieu thereof (Effective July 1, 2026):

(b) Except as provided in RERACA and chapter 420b or 420f, (1) no person,other thana retailer,hybridretailer,micro-cultivatoror delivery service, or an employee thereof in the course of such employee's employment, may sell or offer any cannabis [or cannabis product] to a consumer, and (2) no person, other than a hybrid retailer, dispensary LCO No.

1366 8 of 15 Raised Bill No.231 facilityoradeliveryservice,oranemployeethereofinthecourseofsuch employee's employment, may sell or offer any cannabis [or cannabis product] to a qualifying patient or caregiver.

(c) No person [except] may deliver any cannabis unless such person is (1) a delivery service acting in accordance with the provisions of section 21a-420z, [or] (2) an employee of a delivery service [, subject to] acting in accordance with the [restrictions set forth in] provisions of section 21a-420z [, acting] and in the course of such employee's employment, [may deliver any cannabis or cannabis product to a consumer, qualifying patient or caregiver] (3) a dispensary facility or hybrid retailer delivering cannabis to a qualifying patient, caregiver or research program subject, (4) an employee of a dispensary facility or hybrid retailer delivering cannabis to a qualifying patient, caregiver or research program subject and acting in the course of such employee's employment, or (5) a micro-cultivator delivering seedlings or cannabis in accordance with section 21a-420p, as applicable.

Sec.

6.

Section 21a-420s of the 2026 supplement to the general statutes is repealed and the following is substituted in lieu thereof (Effective from passage):

(a) The department may issue or renew a license for a hybrid retailer.

No person may act as a hybrid retailer or represent that such person is a hybrid retailer unless such person has obtained a license from the department pursuant to this section.

(b) A hybrid retailer may obtain cannabis from a cultivator, micro- cultivator, producer, product packager, food and beverage manufacturer, product manufacturer or transporter.

In addition to the activities authorized under section 21a-420t, a hybrid retailer may sell, transport or transfer cannabis to a cannabis establishment, cannabis testing laboratory or research program.

A hybrid retailer may sell cannabis products to a consumer or research program.

A hybrid retailer shall not gift or transfer cannabis at no cost to a consumer, qualifying LCO No.

1366 9 of 15 Raised Bill No.231 patient or caregiver as part of a commercial transaction.

(c)In additiontoconductinggeneralretailsales,ahybridretailermay sell cannabis and medical marijuana products to qualifying patientsand caregivers.

Any cannabis or medical marijuana products sold to qualifying patients and caregivers shall be dispensed by a licensed pharmacist and shall be recorded in the electronic prescription drug monitoring program, established pursuant to section 21a-254, in real- time or immediately upon completion of the transaction, unless not reasonably feasible for a specific transaction, but in no case longer than one hour after completion ofthe transaction.Only a licensed pharmacist or dispensary technician may upload or access data in the prescription drug monitoring program.

(d) (1) A hybrid retailer or dispensary facility shall ensure that a licensed pharmacist is readily available for qualifying patient and caregiver consultations and dispensing at all times while the hybrid retailer establishment or dispensary facility establishment is open to the public.

A hybrid retailer or dispensary facility shall [maintain] ensure that a licensed pharmacist [on premises] is physically present at the hybrid retailer establishment or dispensary facility establishment for at least eight consecutive hours per calendar week [when the hybrid retail location is open to thepublic or to qualifying patients and caregivers.

At alltimes while a hybridretailer locationisopento thepublic]and,when a licensed pharmacist is not physically present [on premises and available for qualifying patient and caregiver consultations] at the hybrid retailer establishment or dispensary facility establishment, the hybrid retailer or dispensary facility shall ensure that a licensed pharmacist is readily available to (A) provide telehealth consultations for qualifying patients and caregivers, and (B) conduct remote [order entry verification in accordance with regulations adopted by the commissioner pursuant to section 20-576, which remote order entry verification shall only be conducted by a licensed pharmacist in compliance with all remote order entry verification requirements established in regulations adopted by the commissioner pursuant to LCO No.

1366 10 of 15 Raised Bill No.231 section 20-576] dispensing, including, but not limited to, final verification, which remote dispensing shall be subject to the recordkeeping requirements established in the policies and procedures issued, and final regulations adopted, by the commissioner pursuant to subsection (k) of this section.

(2) A hybrid retailer or dispensary facility that offers telehealth consultations with a licensed pharmacist shall (A) employ such pharmacist for at least twenty hours per calendar week, (B) maintain technology that is capable of facilitating such consultations, and (C) make such consultations readily available and accessible to qualifying patients and caregivers, including, but not limited to, by telephone, (i) from a remote location outside of the hybrid retailer [location] establishment or dispensary facility establishment, and (ii) in the case of a hybrid retailer, from the private consultation space required under subsection (e) of this section.

(3) Each hybrid retailer or dispensary facility shall conspicuously post and maintain a sign at the main entrance of the hybrid retailer [location]establishmentordispensaryfacility establishment,whichsign shall(A)beat least twelve inchesinheight andeighteeninchesinwidth, (B) incorporate lettering in a size and style that is clear and legible, and (C) state the name of the licensed pharmacist who is available for qualifying patient and caregiver consultations either in-person or through telehealth.

(4) Each hybrid retailer or dispensary facility shall conspicuously post and maintain a sign at each register or comparable point of sale within the hybrid retailer [location] establishment or dispensary facility establishment, and on any Internet web site maintained by such hybrid retailer or dispensary facility, which sign shall (A) be at least eight inches in height and ten inches in width, (B) incorporate lettering in a size and style that is clear and legible, and (C) state "Pharmacist available for consultation" in a clear and legible manner.

LCO No.

1366 11 of 15 Raised Bill No.231 (5) Each licensed pharmacist who consults with qualifying patients or caregivers shall annually complete not less than five contact hours of continuing professional education, as set forth in section 20-600, related to the cannabis industry, the pharmacy laws of this state or the treatment of debilitating medical conditions, as defined in section 21a- 408.

Such contact hours shall be included in, and not be in addition to, the fifteen contact hours required under section 20-600.

(e) The hybrid retailer [location] establishment shall include a private consultation space for pharmacists to meet with qualifying patients and caregivers.

Each hybrid retailer shall conspicuously display, on the exterior of the hybrid retailer [location] establishment, a symbol that denotes the sale of medical marijuana products, which symbol shall be in a form and manner prescribed by the commissioner and posted on the department's Internet web site.

Additionally, the hybrid retailer premises shall accommodate an expedited method of entry that allows for priority entrance into the premises for qualifying patients and caregivers.

(f) Hybrid retailers shall maintain a secure location, in a manner approved by the commissioner, at the licensee's premises where cannabis that is unable to be delivered may be returned to the hybrid retailer.

Such secure cannabis return location shall meet specifications set forth by the commissioner and published on the department's Internet web site or included in regulations adopted by the department.

(g) Cannabis dispensed to a qualifying patient or caregiver that is unable to be delivered and is returned by the delivery service to the hybrid retailer shall be returned to the licensee inventory system and removed from the prescription drug monitoring program not later than forty-eight hours after receipt of the cannabis from the delivery service.

(h) A hybrid retailer may not convert its license to a retailer license.

To obtain a retailer license, a hybrid retailer shall apply through the lottery application process.

A hybrid retailer may convert to a LCO No.

1366 12 of 15 Raised Bill No.231 dispensary facility, provided the hybrid retailer complies with all applicable provisions of chapter 420f and has received written approval from the department.

(i) A retailer may apply to the department to convert its license to a hybrid retailer license, without applying through the lottery application system.

To convert a retailer license to a hybrid retailer license, a retailer shall submit a complete application to the department, in a form and manner prescribed by the commissioner.

Prior to issuing a hybrid retailer license pursuant to this section, the department shall conduct an inspection of the converting retailer establishment.

Upon a satisfactory inspection, the department shall deactivate the converting retailer license and issue a new hybrid retailer license to the applicant.

(j) Manufacturer hemp products, as defined in section 22-61l, may be sold within a hybrid retailer facility, provided such manufacturer hemp products are:

(1) Stored separately from cannabis and cannabis products;

(2) Separated, by a physical separation, from cannabis and cannabis products in any display area;

(3) Displayed with signage approved by the department;

(4) Tested by a laboratory that meets the standards for accreditation and testing, and sampling methods, set forth for an independent testing laboratory in section 22-61m, which laboratory may be located outside of this state;

(5) Clearly labeled to distinguish the product as (A) a manufacturer hemp product, (B) subject to different testing standards than cannabis, and (C) not cannabis or a cannabis product;

(6) Sold in accordance with this chapter, chapter 424 and any regulations adopted pursuant to said chapters;

and LCO No.

1366 13 of 15 Raised Bill No.

231 (7) Derived from hemp grown by a United States Department of Agriculture hemp producer licensee under an approved state or tribal hemp production plan.

(k) The commissioner shall adopt regulations in accordance with chapter 54 to implement the provisions of this section.

Notwithstanding the requirements of sections 4-168 to 4-172, inclusive, in order to effectuate the purposes of this section and protect public health and safety, prior to adopting such regulations the commissioner shall issue policies and procedures to implement the provisions of this section that shall have the force and effect of law.

The commissioner shall post all policies and procedures on the department's Internet web site and submit such policies and procedures to the Secretary of the State for posting on the eRegulations System, at least fifteen days prior to the effective date of any policy or procedure.

The commissioner shall also provide such policies and procedures, in a manner prescribed by the commissioner, to each licensee.

Any such policy or procedure shall no longer be effective upon the earlier of either the adoption of the policy or procedure as a final regulation under section 4-172 or June 30, 2030, if such regulations have not been submitted to the legislative regulation review committee for consideration under section 4-170.

4 from passage New section Sec.GL Joint Favorable Subst.

5sSB231 July/ 1,File 2026No. 21a-420c(b) and (c) Sec.

6174 from8 passagesSB231 21a-420s/ StatementFile ofNo. Purpose:

To174 (1)File require cannabis establishments to submit marijuana and cannabissamples to cannabis testing laboratoriesfor purposesoftesting conducted in accordance with laboratory testing standards established by the Commissioner of Consumer Protection, (2) provide that the LCO No.

1366174 14The offollowing 15Fiscal RaisedImpact Statement and Bill No.Analysis are prepared for the benefit of the members of the General Assembly, solely for purposes of information, summarization and explanation and do not represent the intent of the General Assembly or either chamber thereof for any purpose.

231In commissionergeneral, shallfiscal notimpacts issueare orbased renewupon ana electronicvariety nicotine delivery system certificate of dealerinformational registrationsources, toincluding an applicant if the commissioneranalyst’s findsprofessional thatknowledge. the applicant, or the owner, authorized owner or named designee of the applicant, has failed to satisfy various requirements or is the subject of an adverse administrative decision or delinquency assessment from the Department of Revenue Services, (3) specify who may deliver cannabis, (4) modify existing requirements concerning the availability of a pharmacist at a hybrid retailer establishment and apply such modified requirements to dispensary facilities, and (5) make various minor, technical and conforming changes to statutes concerning cannabis regulation.

[ProposedWhenever deletionsapplicable, areagency encloseddata inis brackets.consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.

ProposedOFA additionsFiscal areNote indicatedState byImpact: underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.] LCO No.

1366None 15Municipal ofImpact: 15

None Explanation The bill makes various changes regarding cannabis testing and adds to the grounds for the Department of Consumer Protection to deny an electronic nicotine delivery system dealer registration resulting in no fiscal impact to the state.

The Out Years State Impact:

None Municipal Impact:

None sSB231 / File No.

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174 File No.

174 OLR Bill Analysis sSB 231 AN ACT CONCERNING THE DEPARTMENT OF CONSUMER PROTECTION'S RECOMMENDATIONS REGARDING CANNABIS REGULATION AND ELECTRONIC NICOTINE DELIVERY SYSTEM DEALER REGISTRATION.

SUMMARY This bill generally sets a 60-day deadline to dispose of medical marijuana and cannabis samples that fail testing.

It also requires each cannabis establishment (see BACKGROUND) to submit cannabis or medical marijuana to a cannabis testing laboratory for testing based on standards set in the Department of Consumer Protection’s (DCP) policies and procedures or regulations.

Current policies and procedures have substantially similar requirements as under current law (for example, microbiological contaminant testing, mycotoxins, heavy metals, and pesticide chemical residue).

The bill also (1) adds to the grounds for which DCP may deny an e- cigarette dealer registration, including when a background check associated with the application (not just the applicant) reveals a sufficient reason for denial based on conviction information, and (2) specifies that the same grounds apply to denials of renewals.

It also makes various minor and technical changes.

EFFECTIVE DATE:

Upon passage FAILED TEST DEADLINES Existing law requires each cannabis establishment to submit marijuana (cannabis) samples to a cannabis testing laboratory for testing.

For samples that fail, cannabis establishments may repeat the test, remediate the sample and then retest, or dispose the batch.

sSB231 / File No.

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174 The bill requires the cannabis establishment to choose one of these options within 60 days after the failed test.

For disposals, the bill requires the establishment to complete them within 60 days of the failed test or failed repeat test, whichever is later.

During the 60-day period, the cannabis establishment may submit a written request to DCP, in a commissioner-prescribed way, to extend the 60-day period.

The commissioner may grant or deny the request in his discretion.

E-CIGARETTE DEALER DENIALS Existing law generally requires the DCP commissioner to issue an e- cigarette dealer registration within 30 days of application unless the commissioner finds certain issues with the applicant.

The bill extends this time requirement and grounds for denial to renewals and adds to the reasons for denial by including instances where:

1.

any individual named on the application (people with certain financial interests in it) made a materially false or misleading statement on the application, rather than just the applicant;

2.

the third-party local and national criminal background check for any authorized owner or applicant’s named designee provides a sufficient reason to deny under the state laws for denying employment based on conviction information, rather than just when the applicant has such a criminal history;

3.

the applicant, any authorized owner, or entity owned or managed by anyone named on the application has committed multiple violations of the e-cigarette dealer law, rather than just when the applicant has committed one violation;

and 4.

the applicant or such an owner or entity is the subject of (a) a Department of Revenue Service delinquency assessment or (b) any other adverse administrative decision from a government agency.

Existing law sets several other grounds for which DCP may refuse to grant or renew a dealer registration, such as fraudulent or deceitful sSB231 / File No.

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174 practicesorfailuretomaintaineffectivecontrolsagainsttheft,diversion, or loss.

BACKGROUND Cannabis Establishment A “cannabis establishment” is a cannabis producer, dispensary facility, cultivator, micro-cultivator, retailer, hybrid retailer (one licensed to sell both recreational cannabis and medical marijuana), food and beverage manufacturer, product manufacturer or packager, delivery service, or transporter.

Related Bill sHB 5228, favorably reported by the General Law Committee, adds to thegrounds for which DCP may deny an initial or renewal e-cigarette dealer registration, to include when the applicant (1) exceeds certain limitations on annual gross revenue and the use of retail sales area, or (2) for renewals only, is located in a municipality that already includes one dealer for every 2,500 residents.

COMMITTEE ACTION General Law Committee Joint Favorable Substitute Yea 20 Nay 0 (03/11/2026) sSB231 / File No.

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