Ariz. Admin. Code § 9-17-322

Current through Register Vol. 30, No. 36, September 6, 2024

Section R9-17-322 - Denial or Revocation of a Dispensary Registration Certificate

A. The Department shall deny an application for a dispensary registration certificate or a renewal if:

1. For an application for a dispensary registration certificate, the physical address of the building or, if applicable, the physical address of the dispensary's cultivation site is within 500 feet of a private school or a public school that existed before the date the dispensary submitted the initial dispensary registration certificate application, before the date of an application to change the location of the dispensary, or before the date of an application to add a cultivation site;

2. A principal officer or board member:

a. Has been convicted of an excluded felony offense;

b. Has served as a principal officer or board member for a dispensary or marijuana establishment that

had the dispensary registration certificate or marijuana establishment license revoked

;

c. Is under 21 years of age; or

d. Is a physician currently providing written certifications for medical marijuana for qualifying patients; or

3. The application or the dispensary does not comply with the requirements in A.R.S. Title 36, Chapter 28.1 and this Chapter.

B. The Department may deny an application for a dispensary registration certificate if a principal officer or board member of the dispensary:

1. Did not obtain an approval to operate the dispensary or marijuana establishment, as applicable, within 18 months after the dispensary registration certificate or marijuana establishment license was issued; or

2. Provides false or misleading information to the Department.

C. The Department shall revoke a dispensary's registration certificate if:

1. The dispensary:

a. Operates before obtaining approval to operate a dispensary from the Department;

b. Diverts marijuana to a person other than:

i. Another dispensary with a valid dispensary registration certificate issued by the Department,

ii. A marijuana establishment with a valid marijuana establishment license issued under 9 A.A.C. 18;

iii. A laboratory with a valid laboratory registration certificate issued by the Department,

iv. A qualifying patient with a valid registry identification card issued by the Department,

v. A designated caregiver with a valid registry identification card issued by the Department,

vi. A dispensary agent with a valid registry identification card or marijuana facility agent with a valid marijuana facility agent license issued by the Department accepting the marijuana on behalf of a dispensary or marijuana establishment, or

vii. A laboratory agent with a valid registry identification card issued by the Department accepting the marijuana on behalf of a laboratory;

c. Acquires usable marijuana or mature marijuana plants from any entity other than another dispensary with a valid dispensary registration certificate issued by the Department, a marijuana establishment with a marijuana establishment license issued under 9 A.A.C. 18, a qualifying patient with a valid registry identification card, or a designated caregiver with a valid registry identification card; or

d. Acquires a marijuana product from any person other than another dispensary with a valid dispensary registration certificate issued by the Department or a marijuana establishment with a marijuana establishment license issued under 9 A.A.C. 18; or

2. A principal officer or board member has been convicted of an excluded felony offense.

D. The Department may revoke a dispensary registration certificate if the dispensary does not:

1. Comply with the requirements in A.R.S. Title 36, Chapter 28.1 and this Chapter; or

2. Implement the policies and procedures or comply with the statements provided to the Department with the dispensary's application.

E. If the Department denies a dispensary registration certificate application, the Department shall provide notice to the applicant that includes:

1. The specific reason or reasons for the denial, and

2. All other information required by A.R.S. § 41-1076.

F. If the Department revokes a dispensary registration certificate, the Department shall provide notice to the dispensary that includes:

1. The specific reason or reasons for the revocation; and

2. The process for requesting a judicial review of the Department's decision pursuant to A.R.S. Title 12, Chapter 7, Article 6.

Ariz. Admin. Code § R9-17-322

New Section made by exempt rulemaking at 17 A.A.R. 734, effective April 14, 2011 (Supp. 11-2). Amended by emergency rulemaking at 18 A.A.R. 1010, effective April 11, 2012 for 180 days (Supp. 12-2). Emergency expired (Supp. 12-4). Amended by final rulemaking at 18 A.A.R. 3354, with an immediate effective date of December 5, 2012 (Supp. 12-4). Amended by final exempt rulemaking at 25 A.A.R. 2421, effective 8/27/2019. Amended by final expedited rulemaking at 28 A.A.R. 2562, effective 9/8/2022. Amended by final rulemaking at 29 A.A.R. 2396, effective 10/1/2023.