§ 5053. Returns Between Licensees
(a) If a licensee discovers that a manufactured cannabis good that was purchased from another licensee is defective, the purchasing licensee may return the cannabis good to the selling licensee only in exchange for anon-defective. version of the same type of cannabis good or in exchange for a cannabis good. of equal value.
(b) Except as provided in subsection (a) of this section, a licensee sha11 not return cannabis goods purchased from another licensee.
Proposed Regs. – October 19, 2018
Subsection (a) is revised, to clarify and specify that the cannabis goods that may be returned are manufactured cannabis goods. This is necessary to ensure that non-manufactured cannabis goods are not returned and makes licensees aware of the distinction.
Authority: Secrion 26013, Business and Professions Code. Reference: Sections 26013 and 26070, Business and Professions Code.
§ 5054. Destruction of Cannabis Products Prior to Disposal No cannabis goods shall be disposed of as cannabis waste pursuant to section 5055 of this division unless the cannabis goods have been removed from their packaging and rendered unrecognizable and unusable.
Proposed Regs. – October 19, 2018
The heading of this section is revised from use of the term “Cannabis Products” to “Cannabis Goods”, to more accurately reflect that the section applies to both cannabis and cannabis products as defined under the Business and Professions Code, section 26001. This is necessary to avoid any confusion or ambiguity as to what needs to be destroyed prior to disposal.
Subsection (a) amends the cross reference from section 5000(e) to 5000(g) to reflect updates and renumbering of that section. This is necessary to assure that readers may accurately reference the definition of cannabis waste.
Subsection (b) is revised, by removing the old subsection (b), and adding the new provision specifying that licensees must comply with all applicable waste management laws, including those found under Division 30 of the Public Resources, when handling cannabis waste. This is an existing provision under the proposed regulations, however, removed from the now deleted section 5055, and placed under proposed section 5054, to make clear to licensees the requirement to comply with all applicable laws and regulations relating to waste management, as the proposed regulations have been revised to remove any requirements as to how a licensee disposes of cannabis waste.
Subsection (c) is added, to require that cannabis goods intended for disposal shall remain on the licensed premises until it has been rendered cannabis waste. This is to clarify and specify that cannabis goods that must be disposed of, due to any specified reason, such as a customer return, or failed batch, must be secured and separated from other cannabis goods on the licensed premises, with access limited to the licensee its employees or agents, until it is destroyed and ready for disposal. This is necessary to ensure that the cannabis goods that are designated for disposal are not diverted into the illicit market, especially at this later stage of seed-to-sale tracking.
Subsection (d) was formerly subsection (b) and is revised, to clarify and specify how to render cannabis goods into cannabis waste. This subsection is revised to provide additional clarification, that there is no requirement that vape cartridges be emptied of cannabis oil prior to disposal, provided that the vape cartridge itself is unrecognizable and unusable at the time of disposal. This is necessary as a precaution against the unsafe handling of vape cartridges, or other like products, and to prevent diversion.
Subsection (e) is added, to clarify and specify that licensees must comply with all hazardous waste laws and regulations, if applicable. This is necessary to ensure that the licensees are aware that the Bureau’s regulatory provisions on cannabis destruction are not comprehensive of all requirements, and laws and regulations, by which licensees must comply.
Subsection (f) is added, to clarify and specify that licensees must comply with all organic waste laws and regulations, if applicable. This is necessary to ensure that the licensees are aware that the Bureau’s regulatory provisions on cannabis destruction are not comprehensive of all requirements, and laws and regulations, by which licensees must comply.
Subsection (g) is added, removed from section 5055, to require a licensee to secure cannabis waste in a receptacle or area, when on the licensed premises. Access to the secured receptacle or area shall be limited to the licensee, its employees, or an authorized waste hauler. This is necessary to preserve the requirements for securing cannabis waste, under the revised and removed former section 5055.
Subsection (h) is added to require that licensees report all cannabis waste activities, up to and including disposal, into the track and trace system. This is necessary to provide clarity to licensees on what activities related to cannabis waste must be entered into the track and trace system.
Authority: Section 26013, Business and Professions Code.’ Reference: Sections 260013 and 26070, Business and Professions Code.
§ 5055.. Cannabis Waste Management
(a) A licensee may not sell cannabis waste.
(b) Licensees shall comply with all applicable waste management laws including, but not limited to, Division 30 of the Public Resources Code.
(c) A licensee shall dispose of cannabis waste in a secured waste receptacle or in a secured area on the licensed premises. For the purposes of this section, “secure waste receptacle” or “secured area” means that physical access to the receptacle or area is restricted to the licensee and its employees and the local agency, or waste hauler franchised or contracted by a local agency. Public access to the designated receptacle or uea is prohibited.
(d) If a licensee is composting cannabis waste on the licensed premises, a licensee shall do so in compliance with title 14, California Code of regulations, chapter 31 (commencing with Section 17850).
(e) If a local agency, or waste hauler permitted by a local agency, is being used to collect and process cannabis waste, a licensee shall do all the following:
(1) Provide the Bureau with the following information for the local agency, or waste hauler franchised or contracted by a local agency, who will collect and process the licensee’s cannabis waste;
(A) Name of local agency providing waste hauling services, if applicable;
(B) Company name of the local agency franchised or contracted or permitted waste hauler, if applicable;
(C) Company business address; and
(D) Name of the primary contact person at the company and contact person’s phone number.
(2) Obtain documentation from the entity hauling the waste that indicates the date and time of each collection of cannabis waste at the licensed premises; and
(3) Obtain a copy of the certified weight ticket or other documentation prepared by the entity hauling the waste confirming receipt of the cannabis waste at one, or more, of the following solid waste facilities:
(A) A manned, fully permitted. solid waste landfill or transformation facility;
(B) A manned fully permitted composting facility or manned composting operation;
(C) A manned fully permitted in-vessel digestion facility or manned in-vessel digestion operation;
(D) A manned, fully permitted transfer/processing facility or manned transfer/processing operation; or
(E) A manned fully permitted chip and ground operation.
(f) If a licensee is self-hauling cannabis waste to one; or more, of the solid waste facilities in subsection (e)(3) of this section, a licensee shall obtain for each delivery of cannabis waste by the licensee a copy of a certified weight ticket or receipt documenting delivery from the solid waste facility. Only the licensee or its employees may transport self-hauled cannabis waste.
Proposed Regs. – October 19, 2018
Section 5055, providing the ways in which a licensee may dispose of cannabis waste, such as composting or self-hauling, is removed in its entirety. Such methods are not prohibitive for licensees, but other laws and regulations on waste management will take precedence, as applicable, and require compliance by licensees. This was necessary, as the section may have been duplicative of existing laws and regulations relating to waste management.