HB 20 — An Act amending Title 35 (Health and Safety) of the Pennsylvania Consolidated Statutes, providing for adult use of cannabis; regulating the personal use and possession of cannabis; establishing the Keystone Cannabis Authority; providing for powers and duties of the Keystone Cannabis Authority; establishing the Community Opportunity Fund; providing for social and economic equity, for regulation of cannabis business establishments, for enforcement and immunities, for laboratory testing, for advertising, marketing, packaging and labeling and for preparation, destruction and regulation of cannabis and cannabis-infused edible and nonedible products; imposing a sales tax and excise tax on cannabis and cannabis-infused edible and nonedible products; establishing the Cannabis Regulation Fund; providing for cannabis clean slate and for miscellaneous provisions; imposing penalties; consolidating provisions relating to the medical use of cannabis; transferring certain powers and duties of the Department of Health to the Keystone Cannabis Authority; and making repeals.

PRINTER'S NO.   2119

                     THE GENERAL ASSEMBLY OF PENNSYLVANIA



                         HOUSE BILL
                         No. 20
                                               Session of
                                                 2025

     INTRODUCED BY KINKEAD, MAJOR, K.HARRIS, DAVIDSON, HOHENSTEIN,
        CEPEDA-FREYTIZ, DOUGHERTY, D. WILLIAMS, CIRESI AND INGLIS,
        JULY 14, 2025

     REFERRED TO COMMITTEE ON HEALTH, JULY 14, 2025


                                    AN ACT
 1   Amending Title 35 (Health and Safety) of the Pennsylvania
 2      Consolidated Statutes, providing for adult use of cannabis;
 3      regulating the personal use and possession of cannabis;
 4      establishing the Keystone Cannabis Authority; providing for
 5      powers and duties of the Keystone Cannabis Authority;
 6      establishing the Community Opportunity Fund; providing for
 7      social and economic equity, for regulation of cannabis
 8      business establishments, for enforcement and immunities, for
 9      laboratory testing, for advertising, marketing, packaging and
10      labeling and for preparation, destruction and regulation of
11      cannabis and cannabis-infused edible and nonedible products;
12      imposing a sales tax and excise tax on cannabis and cannabis-
13      infused edible and nonedible products; establishing the
14      Cannabis Regulation Fund; providing for cannabis clean slate
15      and for miscellaneous provisions; imposing penalties;
16      consolidating provisions relating to the medical use of
17      cannabis; transferring certain powers and duties of the
18      Department of Health to the Keystone Cannabis Authority; and
19      making repeals.
20      The General Assembly of the Commonwealth of Pennsylvania
21   hereby enacts as follows:
22      Section 1.    Title 35 of the Pennsylvania Consolidated
23   Statutes is amended by adding a part to read:
24                                 PART VII
25                                 CANNABIS
26   Chapter
 1      90.    Preliminary Provisions
 2      91.    Adult Use of Cannabis
 3      93.    Medical Cannabis
 4                                        CHAPTER 90
 5                               PRELIMINARY PROVISIONS
 6   Sec.
 7   9001.    Scope of part.
 8   9002.    Definitions.
 9   9003.    Smoking.
10   9004.    Medical use of cannabis.
11   § 9001.    Scope of part.
12      This part relates to the regulation of cannabis in this
13   Commonwealth.
14   § 9002.    Definitions.
15      Subject to additional definitions contained in subsequent
16   provisions of this part which are applicable to specific
17   provisions of this part, the following words and phrases when
18   used in this part shall have the meanings given to them in this
19   section unless the context clearly indicates otherwise:
20      "Authority."         The Keystone Cannabis Authority established
21   under section 9131 (relating to establishment of Keystone
22   Cannabis Authority).
23      "Cannabis."         As follows:
24             (1)   Any of the following:
25                   (i)    Marijuana.
26                   (ii)    Hashish.
27                   (iii)    Other substances that are identified as
28             including any parts of the plant Cannabis sativa and
29             derivatives or subspecies, including indica, of all
30             strains of cannabis, whether growing or not, including

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 1        the seeds, resin extracted from any part of the plant and
 2        any compound, manufacture, salt, derivative, mixture or
 3        preparation of the plant.
 4              (iv)    A product intended for human consumption with a
 5        THC concentration, however derived, greater than:
 6                     (A)   three-tenths of a percent for any
 7              intermediate or finished plant product or material,
 8              or any product intended for consumption by inhalation
 9              or smoking; or
10                     (B)   one half milligram per serving or individual
11              product unit, and 2 milligrams per package for
12              products sold in multiple servings or units, for any
13              beverage, food, oil, ointment, tincture, topical
14              formation or any other product that is intended for
15              consumption by means other than inhalation or
16              smoking.
17        (2)   The term includes THC and all other naturally or
18    synthetically produced cannabinol derivatives, whether
19    produced directly or indirectly by extraction, including,
20    delta-7 THC, delta-8 THC, delta-9 THC or any structural,
21    optical or geometric isomers of tetrahydrocannabinol,
22    cannabis flower, concentrate and cannabis-infused edible and
23    nonedible products.
24        (3)   The term does not include:
25              (i)    The mature stalks of the cannabis plant.
26              (ii)    Fiber produced from the stalks of a cannabis
27        plant.
28              (iii)    Oil or cake made from the seeds of the
29        cannabis plant or any other compound, manufacture, salt,
30        derivative, mixture or preparation of the mature stalks.

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 1               (iv)    The sterilized seed of the cannabis plant that
 2          is incapable of germination.
 3               (v)    Industrial hemp as defined in 3 Pa.C.S. § 702
 4          (relating to definitions) below the THC concentrate
 5          limits prescribed in paragraph (1)(iv).
 6      "Cannabis-infused edible product."    A product meant to be
 7   chewed, dissolved, taken sublingually, buccally, or swallowed.
 8   The term includes liquids, including beverages, food, oil,
 9   tincture, capsule, tablet, gummies or other ingestible forms
10   containing cannabis or cannabis concentrate that are not
11   intended to be smoked or otherwise inhaled.
12      "Cannabis-infused nonedible product."    A product meant to be
13   used topically or otherwise not intended to be ingested. The
14   term includes gels, creams, patches or ointments containing
15   cannabis or cannabis concentrate.
16      "Medical cannabis business establishment."     A dispensary, as
17   defined in section 9303 (relating to definitions), or a
18   grower/processor granted a permit under section 9343 (relating
19   to granting of permits).
20      "Medical cannabis grower/processor."    A person, including a
21   natural person, corporation, partnership, association, trust or
22   other entity, or any combination thereof, which holds a permit
23   from the authority under Chapter 93 (relating to medical use of
24   cannabis) to grow and process medical cannabis.
25      "Minority-owned business."    As defined in 74 Pa.C.S. § 303(b)
26   (relating to diverse business participation).
27      "Smoking."     The inhalation of smoke caused by the combustion
28   of cannabis.
29      "THC."   A delta-9 tetrahydrocannabinol and any structural,
30   optical or geometric isomers of tetrahydrocannabinol, including

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 1   delta-7, delta-8 and delta-10 tetrahydrocannabinol,
 2   tetrahydrocannabinolic acid, tetrahydrocannabiphorol,
 3   hexahydrocannabinol and any other substance, however derived,
 4   including synthetically or from hemp or hemp materials, that has
 5   similar effects on the mind or body as determined by the
 6   authority.
 7      "Veteran-owned small business."         As defined in 51 Pa.C.S. §
 8   9601 (relating to definitions).
 9      "Women-owned business."     As defined in 74 Pa.C.S. § 303(b).
10   § 9003.    Smoking.
11      The smoking of cannabis by individuals 21 years of age or
12   older or patients under Chapter 93 (relating to medical
13   cannabis) shall not be permitted in any public place. Nothing in
14   this part may be construed to require a person or establishment
15   in lawful possession of property to allow a guest, client,
16   lessee, adult-use consumer or visitor to use cannabis on or in
17   that property, including on land owned in whole or in part or
18   managed in whole or in part by the Commonwealth.
19   § 9004.    Medical use of cannabis.
20      Nothing in this chapter or Chapter 91 (relating to adult use
21   cannabis) shall be construed to limit any privileges or rights
22   of a patient, including minor patients, or caregivers under
23   Chapter 93.
24                                 CHAPTER 91
25                           ADULT USE OF CANNABIS
26   Subchapter
27      A.     Preliminary Provisions
28      B.     Lawful Use and Authority
29      C.     Personal Use of Cannabis
30      D.     Keystone Cannabis Authority

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 1      E.     Social and Economic Equity
 2      F.     Regulation of Cannabis Business Establishments
 3      G.     Enforcement and Immunities
 4      H.     Laboratory Testing
 5      I.     Advertising, Marketing, Packaging and Labeling
 6      J.     Preparation, Destruction and Regulation of Cannabis and
 7             Cannabis-infused Edible and Nonedible Products
 8      K.     Taxes
 9      L.     Cannabis Clean Slate
10      M.     Miscellaneous Provisions
11                                  SUBCHAPTER A
12                             PRELIMINARY PROVISIONS
13   Sec.
14   9101.   Scope of chapter.
15   9102.   Definitions.
16   § 9101.    Scope of chapter.
17      This chapter relates to the adult use of cannabis in this
18   Commonwealth.
19   § 9102.    Definitions.
20      The following words and phrases when used in this chapter
21   shall have the meanings given to them in this section unless the
22   context clearly indicates otherwise:
23      "Adult use."     Cannabis that can be purchased and consumed by
24   an individual 21 years of age and older.
25      "Adult-use consumer."       An individual who is at least 21 years
26   of age.
27      "Adult-use cultivation center."        A facility operated by an
28   organization or business that is permitted by the authority to
29   cultivate, process, transport and perform other necessary
30   activities to provide adult-use cannabis and cannabis-infused

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 1   edible and nonedible products to cannabis business
 2   establishments.
 3      "Adult-use cultivation center permit."     A permit issued by
 4   the authority that permits an entity to act as a cultivation and
 5   processing center under this chapter or any regulation
 6   promulgated in accordance with this chapter.
 7      "Advertise."    To engage in promotional activities, including
 8   through newspaper, radio, Internet and electronic media and
 9   television advertising. The term:
10          (1)    Includes the distribution of fliers and circulars,
11      billboard advertising and the display of window signs.
12          (2)    Does not include interior dispensary signage or
13      exterior signage displaying the name of the permitted
14      cannabis business establishment.
15      "Agent."   A principal officer, board member, employee or
16   other agent of a cannabis business establishment who is 21 years
17   of age or older.
18      "Agent identification card."     An identification card issued
19   by the authority to an agent under section 9159.15 (relating to
20   agent identification cards).
21      "Applicant."    A person applying for a permit under this
22   chapter.
23      "Board."   The board of directors of the authority established
24   under section 9131 (relating to establishment of the Keystone
25   Cannabis Authority).
26      "Bona fide labor organization."     A labor organization, as
27   defined by 29 U.S.C. § 402(i) (relating to definitions), that
28   has entered or will enter into a labor peace agreement. In
29   making this determination, the agency shall consider each of the
30   following as indicative, but not determinative, of a finding

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 1   that a labor organization is a "bona fide labor organization":
 2          (1)   The labor organization has been recognized or
 3      certified as the bargaining representative for cannabis
 4      employees in the state.
 5          (2)   The labor organization has executed current
 6      collective bargaining agreement(s) with cannabis employers in
 7      the state.
 8          (3)   The labor organization has spent resources as part
 9      of a current and active attempt(s) to organize and represent
10      cannabis workers in the state;
11          (4)   The labor organization has filed the annual report
12      required by 29 U.S.C. § 431(b) (relating to report of labor
13      organizations) for the three years immediately preceding.
14          (5)   The labor organization has audited financial reports
15      covering the three years immediately preceding.
16          (6)   The existence of written bylaws or constitution for
17      the three years immediately preceding.
18          (7)   The labor organization's affiliation with any
19      regional or national association of unions, including but not
20      limited to central labor councils.
21      "Cannabis business establishment."   A person holding a permit
22   issued by the authority to cultivate, process, dispense, infuse
23   or transport adult-use cannabis, including a dispensary, adult-
24   use cultivation center, social and economic equity dispensary
25   permit holder or microcultivation center.
26      "Cannabis concentrate."   A product derived from cannabis that
27   is produced by extracting cannabinoids, including THC, with the
28   intended use of smoking, vaping or making a cannabis-infused
29   edible and nonedible product. The term includes a product
30   derived from cannabis that is produced by means of heat and

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 1   pressure or mechanical separations.
 2      "Cannabis flower."   The term:
 3          (1)    Includes cannabis, hashish or other substances
 4      identified as including any parts of the plant Cannabis
 5      sativa and derivatives or subspecies, including indica, of
 6      all strains of cannabis, including raw kief, leaves and buds.
 7          (2)    Does not include resin that has been extracted from
 8      any part of the plant or any compound, manufacture, salt,
 9      derivative, mixture or preparation of the plant, the plant's
10      seeds or resin.
11      "Cannabis paraphernalia."    Any equipment, product or material
12   which is primarily intended or designed for any of the
13   following:
14          (1)    Use in vaporizing, ingesting, inhaling or otherwise
15      introducing a cannabis-infused edible and nonedible product
16      into the human body.
17          (2)    Preparing, storing or containing cannabis.
18      "Cannabis testing facility."     An entity registered by the
19   authority to test cannabis for potency and contaminants.
20      "Change in control."   The acquisition by a person or group of
21   persons acting in concert of a controlling interest in an
22   applicant or permittee either all at one time or over the span
23   of a 12-consecutive-month period.
24      "Clone."   A plant section from a female cannabis plant not
25   yet root-bound, growing in a water solution or other propagation
26   matrix, that can develop into a new plant.
27      "Controlling interest."     Voting rights that entitle a person
28   to elect or appoint one or more of the members of the board of
29   directors or other governing board or the ownership or
30   beneficial holding of 5% or more of the securities of a publicly

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 1   traded or privately held entity.
 2      "Curbside."   The transfer or dispensing of cannabis or a
 3   cannabis-infused edible and nonedible product by an employee of
 4   a cannabis business establishment to a vehicle located in the
 5   parking area or to an individual at the entrance of the
 6   facility.
 7      "Disadvantaged business."    A business that is owned or
 8   controlled by a majority of persons, not limited to members of
 9   minority groups, who are subject to racial or ethnic prejudice
10   or cultural bias.
11      "Dispensary."    An establishment that is permitted by the
12   authority to acquire cannabis from a cultivation center or
13   microcultivation center or other dispensary for the purpose of
14   selling or dispensing cannabis, cannabis concentrates, cannabis-
15   infused edible and nonedible products, cannabis seeds, immature
16   cannabis plants, paraphernalia or related supplies to
17   individuals 21 years of age or older and medical patients as
18   permitted in Chapter 93 (relating to medical use of cannabis).
19      "Dispensary permit."   A permit issued by the authority that
20   allows a person to act as a dispensary under this chapter,
21   Chapter 93 or any regulation promulgated in accordance with this
22   chapter.
23      "Disproportionately impacted area."    Geographic areas, such
24   as, but not limited to, precincts, zip codes, neighborhoods, and
25   political subdivisions, reflecting a disparate enforcement of
26   cannabis prohibition, including, but not limited to, a history
27   of arrests, convictions, and other law enforcement practices,
28   during a certain time period, when compared to the rest of the
29   state. The authority shall issue guidelines to determine how to
30   assess which communities have been disproportionately impacted

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 1   and how to assess if someone is a member of a disproportionately
 2   impacted area.
 3      "Diverse business."    A disadvantaged business, minority-owned
 4   or women-owned business or service-disabled veteran-owned or
 5   veteran-owned small business that has been certified by a third-
 6   party certifying organization.
 7      "Enclosed, locked facility."     A room, greenhouse, building or
 8   other enclosed area equipped with locks or other security
 9   devices that permit access only to cannabis business
10   establishment agents working for the permitted cannabis business
11   establishment or acting under this chapter to cultivate,
12   process, store or distribute adult-use cannabis.
13      "Enclosed, locked space."     Space within a facility, building
14   or other enclosed area equipped with locks or other security
15   devices that permit access only to authorized individuals under
16   this chapter.
17      "Excipients."   Solvents, chemicals or materials reported by a
18   cannabis business establishment and approved by the authority
19   for use in the processing of cannabis.
20      "Financial backer."    An investor, mortgagee, bondholder, note
21   holder or other source of equity, capital or other assets, other
22   than a financial institution.
23      "Financial institution."     As defined in section 3003.22(r) of
24   the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform
25   Code of 1971.
26      "Flowering stage."    The stage of cultivation where and when a
27   cannabis plant is cultivated to produce plant material for a
28   cannabis-infused edible and nonedible product. The term includes
29   mature plants if any of the following apply:
30          (1)   More than two stigmas are visible at each internode

20250HB0020PN2119                    - 11 -
 1      of the plant.
 2            (2)   The cannabis plant is in an area that has been
 3      intentionally deprived of light for a period of time intended
 4      to produce flower buds and induce maturation, from the moment
 5      the light deprivation began through the remainder of the
 6      cannabis plant growth cycle.
 7      "Form of cannabis."     The characteristics of cannabis or
 8   cannabis products, including the method of consumption and any
 9   particular strain, variety and quantity or percentage of
10   cannabis or particular active ingredient.
11      "Harvest batch."     A specifically identified quantity of
12   cannabis plant that is uniform in strain, cultivated utilizing
13   the same growing practices, harvested at the same time and at
14   the same location and cured under uniform conditions.
15      "Harvest lot."     A specifically identified quantity of
16   cannabis plant taken from a harvest batch.
17      "Labor peace agreement." An agreement between an applicant or
18   a cannabis employer and a bona fide labor organization that
19   seeks to represent employees who perform one or more classes of
20   work to be performed pursuant to this contract, where such
21   agreement requires that the covered cannabis and the labor
22   organization and its members agree to the uninterrupted delivery
23   of services to be rendered pursuant to this contract and to
24   refrain from actions intended to or having the effect of
25   interrupting such services.
26      "Limited access area."     A room or other area under the
27   control of a dispensary where adult-use cannabis sales occur
28   with access limited to individuals who are 21 years of age or
29   older.
30      "Member of an impacted family."       An individual who has a

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 1   parent, legal guardian, grandparent, child, sibling, spouse or
 2   dependent or was a dependent of an individual who, prior to the
 3   effective date of this definition, was arrested for, convicted
 4   of or adjudicated delinquent for any offense that is eligible
 5   for expungement under section 9199.11(b) (relating to cannabis
 6   clean slate).
 7      "Microcultivation center."     A facility operated by a person
 8   that is permitted to cultivate, dry, cure, extract, process, and
 9   package adult-use cannabis, including cannabis-infused edible
10   and nonedible products and perform other necessary activities to
11   make adult-use cannabis available for sale at a dispensary.
12      "Microcultivation center permit."     An authorization issued by
13   the authority to a person to conduct activities of a
14   microcultivation center under this chapter.
15      "Ordinary public view."     Within the sight line of a normal
16   visual range of an individual, unassisted by visual aids, from a
17   public street or sidewalk adjacent to real property or from
18   within an adjacent property.
19      "Ownership and control."    Ownership of at least 51% of a
20   business, including corporate stock of a corporation, and
21   control over the management and day-to-day operations of the
22   business and an interest in the capital, assets, profits and
23   losses of the business proportionate to the percentage of
24   ownership.
25      "Permittee."    A person granted a permit under this chapter.
26      "Person."    An individual, firm, partnership, association,
27   joint stock company, joint venture, public or private
28   corporation, limited liability company or a receiver, executor,
29   trustee, guardian or other representative appointed by order of
30   a court.

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 1      "Possession limit."    The amount of adult-use cannabis that
 2   may be possessed at any one time by an individual 21 years of
 3   age or older. This does not include purchases made by qualified
 4   medical patients or qualified registered caregivers.
 5      "Principal officer."   As follows:
 6          (1)   An officer, director or person who directly owns
 7      more than a 10% beneficial interest or ownership of the
 8      securities of a cannabis business establishment applicant or
 9      permittee or more than a 10% beneficial interest or ownership
10      of the securities of a cannabis business establishment
11      applicant or permittee that is a publicly traded company.
12          (2)   A person that has a controlling interest in a
13      cannabis business establishment applicant or permittee or
14      that has the ability to elect the majority of the authority
15      of directors of a cannabis business establishment applicant
16      or permittee.
17          (3)   A person that otherwise controls a cannabis business
18      establishment applicant or permittee.
19          (4)   The term does not include a financial institution.
20      "Process lot."   An amount of cannabis product of the same
21   type and processed using the same cannabis extract, standard
22   operating procedures and the same or combination of different
23   harvest lots.
24      "Remediation."   The reprocessing of a manufactured cannabis-
25   infused product batch that has failed laboratory testing
26   conducted by a cannabis testing facility or the processing of
27   cannabis flower that has failed laboratory testing conducted by
28   a cannabis testing facility.
29      "Restricted access area."    An area of a permitted cannabis
30   business establishment where only agents are allowed, with

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 1   limited exceptions.
 2      "Security."      As defined in section 102(t) of the act of
 3   December 5, 1972 (P.L.1280, No.284), known as the Pennsylvania
 4   Securities Act of 1972.
 5      "Seed-to-sale tracking system."        A system designated by the
 6   authority in accordance with section 9133(a)(9) (relating to
 7   powers and duties of authority).
 8      "Small business."      An independently owned and operated for-
 9   profit business that employs 25 or fewer employees and not a
10   subsidiary or affiliate of a corporation.
11      "Social and economic equity applicant."       An applicant that
12   meets any of the following criteria:
13          (1)   Is comprised of at least 75% ownership and control
14      by one or more individuals who have resided for at least five
15      of the preceding 10 years in a disproportionately impacted
16      area in this Commonwealth.
17          (2)   Is comprised of at least 75% ownership and control
18      by one or more individuals who:
19                (i)    have been arrested for, convicted of or
20          adjudicated delinquent for an offense that is eligible
21          for expungement under this chapter; or
22                (ii)    are members of an impacted family.
23          (3)   Is a veteran-owned small business.
24      "Social and economic equity dispensary permit."        A dispensary
25   permit issued to a social and economic equity applicant.
26      "Tincture."      A cannabis-infused solution, typically comprised
27   of alcohol, glycerin or vegetable oils derived either directly
28   from the cannabis plant or from a processed cannabis extract.
29   The term:
30          (1)   Includes a calibrated dropper or other similar

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 1      device capable of accurately measuring servings.
 2             (2)   Does not include an alcoholic liquor as used in the
 3      act of April 12, 1951 (P.L.90, No.21), known as the Liquor
 4      Code.
 5                                  SUBCHAPTER B
 6                            LAWFUL USE AND AUTHORITY
 7   Sec.
 8   9110.    Lawful use.
 9   9111.    Authority.
10   9112.    Background checks.
11   § 9110.    Lawful use.
12      Notwithstanding any other provision of law, use or possession
13   of cannabis as specified under this chapter shall be lawful in
14   this Commonwealth.
15   § 9111.    Authority.
16      (a)    Sole authority.--The authority shall have general and
17   sole regulatory authority over the conduct of medical and adult-
18   use cannabis or related activities as described in this chapter
19   and Chapter 93 (relating to medical use of cannabis) and shall
20   administer and enforce the provisions of these chapters. The
21   authority shall have all the powers necessary or convenient to
22   carry out and effectuate its purposes in administering the
23   adult-use and medical cannabis programs.
24      (b)    Granted authority.--Notwithstanding any other provision
25   of law, an authority granted to a Commonwealth agency or
26   Commonwealth employee or appointee under Chapter 93 (relating to
27   medical use of cannabis) shall be given to the Commonwealth
28   agency or employee or appointee empowered to permit, discipline,
29   revoke, regulate or make regulations under this chapter.
30   § 9112.    Background checks.

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 1      (a)   Criminal history record check.--The authority shall,
 2   through the Pennsylvania State Police, conduct a criminal
 3   history record check of each prospective principal officer,
 4   board member and agent of a cannabis business establishment
 5   applying for a permit or agent identification card under this
 6   chapter. The Pennsylvania State Police shall furnish, after a
 7   positive identification, all Pennsylvania conviction information
 8   and shall forward the national criminal history record
 9   information to the authority. After the effective date of this
10   subsection, a principal officer, board member or agent of a
11   cannabis business establishment who is convicted of diverting
12   adult-use cannabis or cannabis-infused edible or nonedible
13   products or who intentionally dispenses adult-use cannabis or
14   cannabis-infused edible or nonedible products in a manner not
15   consistent with this chapter shall be deemed to have failed the
16   criminal history record check under this subsection and may not
17   be permitted or otherwise be employed by a cannabis business
18   establishment in this Commonwealth.
19      (b)   Fingerprinting.--Each cannabis business establishment
20   prospective principal officer, board member or agent shall
21   submit fingerprints to the Pennsylvania State Police in the form
22   and manner prescribed by the Pennsylvania State Police. Unless
23   otherwise provided by Federal or State law, the fingerprints
24   under this subsection shall be transmitted through a live scan
25   fingerprint vendor and checked against the fingerprint records
26   filed in the Pennsylvania State Police and Federal Bureau of
27   Investigation criminal history records databases.
28      (c)   Fee.--The Pennsylvania State Police shall charge a fee
29   for conducting the criminal history record check, which shall
30   not exceed the actual cost of the Commonwealth and national

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 1   criminal history record check.
 2      (d)   Submission and initial employment.--When applying for
 3   the initial permit or identification card, the background checks
 4   for each prospective principal officer, board member and agent
 5   of a cannabis business establishment may be completed concurrent
 6   with submitting the application to the authority. An agent may
 7   begin working at a cannabis business establishment while waiting
 8   for the result of a background check.
 9      (e)   Construction.--Nothing in this section or chapter shall
10   be construed to prevent or otherwise inhibit the ability of an
11   otherwise qualified individual from serving as a principal
12   officer, board member or agent of a cannabis business
13   establishment on the sole basis of a nonviolent criminal
14   conviction related to cannabis.
15      (f)   Certain convictions prohibited.--
16            (1)   A prior conviction solely for a cannabis related
17      offense shall not disqualify an individual or otherwise
18      affect eligibility for licensure or employment, including
19      volunteering, as it related to permitted activities within
20      this chapter and chapter 93 (relating to medical use of
21      cannabis).
22            (2)   The following individuals may not hold volunteer
23      positions or positions with remuneration in or be affiliated
24      with a cannabis business establishment, including a clinical
25      registrant under Ch. 93 Subch. I (relating to academic
26      clinical research centers and clinical registrants), in any
27      way if the individual has been convicted of a felony violent
28      crime:
29                  (i)    Financial backers.
30                  (ii)    Principals.

20250HB0020PN2119                         - 18 -
 1                   (iii)   Employees.
 2                                    SUBCHAPTER C
 3                             PERSONAL USE OF CANNABIS
 4   Sec.
 5   9121.   Personal use of cannabis, restrictions on cultivation and
 6                   penalties.
 7   9122.   Possession limits.
 8   9123.   Individuals younger than 21 years of age.
 9   9124.   Identification, false identification and penalty.
10   9125.   Immunities and presumptions related to use of cannabis by
11                   adult-use consumers.
12   9126.   Discrimination prohibited.
13   9127.   Limitations and penalties.
14   9128.   Employment and employer liability.
15   § 9121.    Personal use of cannabis, restrictions on cultivation
16                   and penalties.
17      Beginning 90 days after the effective date of this section,
18   notwithstanding any other provision of law and except as
19   otherwise specified under this chapter, the following acts shall
20   not be a violation of this chapter and shall not be a criminal
21   or civil offense under State law or an ordinance of a local
22   government unit of this Commonwealth or be a basis for seizure
23   or forfeiture of assets under State law for an individual other
24   than an individual younger than 21 years of age, unless that
25   individual, and the individual's caregiver, if applicable, is
26   authorized under Chapter 93 (relating to medical use of
27   cannabis) to:
28             (1)   possess, consume, use, purchase, obtain or transport
29      cannabis in an amount for personal use that does not exceed
30      the possession limit or requirements of this chapter;

20250HB0020PN2119                         - 19 -
 1             (2)   possess, use, obtain or transport cannabis
 2      paraphernalia;
 3             (3)   transfer without remuneration, within lawful
 4      possession limits, to an individual 21 years of age or older;
 5             (4)   control property if actions that are authorized by
 6      this chapter occur on the property in accordance with this
 7      chapter; and
 8             (5)   vaporize adult-use cannabis concentrate anywhere
 9      smoking is permitted.
10   § 9122.    Possession limits.
11      (a)    Limits.--Except as otherwise authorized under this
12   chapter, for an individual who is 21 years of age or older, the
13   possession limits for adult-use cannabis shall be as follows and
14   cumulative:
15             (1)   Two and one-half ounces of cannabis flower.
16             (2)   1,000 milligrams of THC contained in cannabis-
17      infused edible or nonedible products.
18             (3)   Fifteen grams of cannabis concentrate.
19      (b)    Excess prohibited.--A person may not knowingly obtain,
20   seek to obtain or possess an amount of adult-use cannabis from a
21   dispensary that would exceed the possession limit under this
22   section. Except as otherwise provided in this chapter and
23   Chapter 93 (relating to medical use of cannabis), a person 21
24   years of age or older that is found to be in possession of an
25   amount of adult-use cannabis that exceeds the possession limit
26   is subject to the act of April 14, 1972 (P.L.233, No.64), known
27   as The Controlled Substance, Drug, Device and Cosmetic Act.
28      (c)    Exception.--Cannabis and cannabis-derived substances
29   regulated under 3 Pa.C.S. Chs. 7 (relating to industrial hemp
30   research) and 15 (relating to controlled plants and noxious

20250HB0020PN2119                     - 20 -
 1   weeds) and the Agriculture Improvement Act of 2018 (Public Law
 2   115-334, 132 Stat. 4490) shall not apply to this section.
 3   § 9123.    Individuals younger than 21 years of age.
 4      (a)    Prohibition.--An individual younger than 21 years of age
 5   commits a summary offense by attempting to purchase, purchasing,
 6   consuming, possessing, knowingly and intentionally transporting,
 7   or growing adult-use cannabis. This section does not prohibit
 8   the use of medical cannabis by qualified registered patients
 9   under chapter 93 (relating to medical use of cannabis).
10      (b)    Penalties for underage cannabis offenses.--
11             (1)   An individual who violates subsection (a) may be
12      sentenced to pay a fine of not more than $500 for the first
13      offense and not more than $1,000 for a second offense and
14      each subsequent violation.
15             (2)   A State or local law enforcement agency shall keep a
16      record of a violation of subsection (a) in a repository or
17      database separate from a repository or database with other
18      law enforcement records. A record of a violation of
19      subsection (a) shall only be used to determine if an
20      individual committed a subsequent violation of subsection
21      (a). A State or local law enforcement agency shall destroy a
22      record of a violation of subsection (a) when the individual
23      who committed the offense attains 21 years of age.
24             (3)   A State or local law enforcement agency responsible
25      for enforcing a violation of subsection (a) shall notify the
26      parent or guardian of the individual who committed the
27      offense if the individual is younger than 18 years of age.
28             (4)   When an individual is charged for violating
29      subsection (a), the magisterial district judge may admit the
30      offender to the adjudication alternative program as

20250HB0020PN2119                     - 21 -
 1      authorized under 42 Pa.C.S. § 1520 (relating to adjudication
 2      alternative program) or any other preadjudication disposition
 3      if the individual has not previously received a
 4      preadjudication disposition for violating subsection (a).
 5      (c)    Intentional transfer or possession to underage
 6   individual.--An individual 21 years of age or older who
 7   intentionally transfers adult-use cannabis, with or without
 8   remuneration, to an individual younger than 21 years of age or
 9   intentionally allows an individual younger than 21 years of age
10   to purchase, possess, use, process, transport, grow or consume
11   adult-use cannabis may be disqualified from purchasing adult-use
12   cannabis as authorized under this chapter in addition to being
13   subject to additional criminal or civil penalties under State
14   law. The authority shall promulgate regulations to implement
15   this subsection for the purpose of notifying dispensaries of a
16   disqualification under this subsection and the penalties that
17   may be imposed against a cannabis business establishment or
18   agent for intentionally transferring adult-use cannabis to an
19   individual younger than 21 years of age.
20   § 9124.   Identification, false identification and penalty.
21      (a)    No personal information required.--To protect personal
22   privacy, the authority may not require an adult-use consumer to
23   provide a dispensary with personal information other than for
24   the purpose of verifying the adult-use consumer's age by means
25   of a government-issued identification. A dispensary may not
26   obtain or record personal information about adult-use consumer
27   without the adult-use consumer's consent.
28      (b)    Scanning identification.--A dispensary shall use an
29   electronic reader or electronic scanning device to scan a
30   purchaser's government-issued identification to determine the

20250HB0020PN2119                   - 22 -
 1   adult-use consumer's age and the validity of the identification.
 2   A cannabis business establishment may operate for temporary
 3   periods without an operational electronic reader or electronic
 4   scanning device if a process is implemented to determine the
 5   adult-use consumer's age and the validity of identification.
 6   § 9125.    Immunities and presumptions related to use of cannabis
 7                   by adult-use consumers.
 8      (a)    Penalty applicability.--An adult-use consumer shall not
 9   be subject to arrest, prosecution, denial of a right or
10   privilege or other punishment, including a civil penalty or
11   disciplinary action taken by licensing or permitting board,
12   based solely on any of the following:
13             (1)   The use or possession of adult-use cannabis, if:
14                   (i)    the adult-use consumer possesses an amount of
15             adult-use cannabis that does not exceed the possession
16             limit under this chapter; and
17                   (ii)    the use of cannabis does not impair the adult-
18             use consumer when engaged in the practice of the
19             profession for which the adult-use consumer is licensed,
20             permitted, certified or registered.
21             (2)   Selling cannabis paraphernalia if employed and
22      authorized as an agent by a permitted dispensary.
23             (3)   Being in the presence or vicinity of the use of
24      adult-use cannabis or cannabis paraphernalia as authorized
25      under this chapter.
26             (4)   Possessing cannabis paraphernalia.
27      (b)    Determination of probable cause.--
28             (1)   Possession of or application for authorization to
29      work as a cannabis business establishment agent or the agent
30      identification card shall not:

20250HB0020PN2119                        - 23 -
 1                  (i)    constitute probable cause or reasonable
 2            suspicion to believe that a crime has been committed; or
 3                  (ii)    be used as the sole basis to support the search
 4            of the person, property or residence of the individual
 5            authorized to work as a cannabis business establishment
 6            agent, possessing an agent identification card or
 7            applying for authorization to work as an agent.
 8            (2)   The possession of or application for authorization
 9      to work as a cannabis business establishment agent or
10      possession of an agent identification card shall not preclude
11      the existence of probable cause if probable cause exists
12      based on other grounds.
13      (c)   Reliance.--An individual employed by the Commonwealth or
14   a local government unit shall not be subject to criminal or
15   civil penalties for taking an action in good faith in reliance
16   on the provisions of this chapter when acting within the scope
17   of employment.
18      (d)   Law enforcement liability.--A law enforcement or
19   correctional agency, or an employee of a law enforcement or
20   correctional agency, shall not be subject to criminal or civil
21   liability, except for willful and wanton misconduct, as a result
22   of taking an action within the scope of the official duties of
23   the law enforcement or correctional agency or employee to
24   prohibit or prevent the possession or use of adult-use cannabis
25   by any of the following:
26            (1)   An individual incarcerated at a correctional
27      institution, county jail or other facility under the
28      supervision of the Department of Corrections.
29            (2)   An individual on parole or mandatory supervised
30      release or otherwise under the lawful jurisdiction of the law

20250HB0020PN2119                       - 24 -
 1      enforcement or correctional agency or employee.
 2      (e)    Medical care.--For the purpose of receiving medical
 3   care, including an organ transplant, an individual's use of
 4   cannabis under this chapter shall not constitute the use of an
 5   illicit substance or otherwise disqualify an individual from
 6   medical care.
 7      (f)    Firearms possession.--A lawful adult-use consumer or
 8   possessor of adult-use cannabis under this chapter or a patient
 9   may not be prohibited or otherwise restricted from lawful
10   firearm ownership. The Pennsylvania State Police shall take
11   measures to revise firearms applications or take other necessary
12   actions to ensure compliance with this chapter.
13      (g)    Child custody.--The purchase or possession of adult-use
14   cannabis shall not be a determining factor in a child custody
15   matter. The record of a legal purchase of adult-use cannabis
16   shall not be subject to disclosure solely due to a custody
17   action.
18   § 9126.   Discrimination prohibited.
19      (a)    Child welfare.--The presence of cannabinoid component or
20   metabolites in an individual's bodily fluids, possession of
21   cannabis-related paraphernalia, conduct related to the use of
22   cannabis or the participation in cannabis-related activities
23   authorized under this chapter by a custodial or noncustodial
24   parent, grandparent, legal guardian, foster parent or other
25   individual charged with the well-being of a child, may not form
26   the sole, primary basis or supporting basis for an action or
27   proceeding by a child welfare agency or family or juvenile
28   court. Unless the individual's actions in relation to cannabis
29   create an unreasonable danger to the safety of the child or
30   otherwise show the individual is not competent as established by

20250HB0020PN2119                   - 25 -
 1   clear and convincing evidence, the prohibition under this
 2   subsection shall include any of the following:
 3             (1)   An adverse finding, evidence or restriction of a
 4      right or privilege in a proceeding related to the adoption of
 5      a child.
 6             (2)   A fitness determination or a determination related
 7      to a foster parent, guardianship, conservatorship or
 8      trusteeship.
 9             (3)   The execution of a will or the management of an
10      estate.
11      (b)     Landlords.--A landlord may not be penalized or denied a
12   benefit of leasing to an individual who uses cannabis under this
13   chapter.
14      (c)     Use in private area.--Nothing in this chapter may be
15   construed to require a person or establishment in lawful
16   possession of property to allow a guest, client, lessee, adult-
17   use consumer or visitor to use cannabis on or in that property,
18   including on land owned in whole or in part or managed in whole
19   or in part by the Commonwealth.
20   § 9127.    Limitations and penalties.
21      (a)     General limitations.--This chapter shall not permit an
22   individual to engage in and shall not prevent the imposition of
23   a civil, criminal or other penalty for engaging in any of the
24   following:
25             (1)   Undertaking a task under the influence of cannabis
26      when doing so would constitute negligence, professional
27      malpractice or professional misconduct.
28             (2)   Possessing cannabis:
29                   (i)    in a school bus;
30                   (ii)    on the grounds of a preschool or primary or

20250HB0020PN2119                        - 26 -
 1        secondary school;
 2              (iii)    in a correctional institution;
 3              (iv)    in a vehicle not open to the public unless the
 4        cannabis is in a cannabis container and reasonably
 5        inaccessible while the vehicle is moving; or
 6              (v)    in a private residence that is used at any time
 7        to provide permitted childcare or other similar social
 8        service care on the premises.
 9        (3)   Using cannabis:
10              (i)    on a school bus;
11              (ii)    on the grounds of a preschool or primary or
12        secondary school;
13              (iii)    in a correctional institution;
14              (iv)    in a motor vehicle;
15              (v)    in a private residence that is used at any time
16        to provide permitted child care or other similar social
17        service care on the premises; or
18              (vi)    knowingly in close physical proximity to an
19        individual younger than 21 years of age.
20        (4)   Operating, navigating or being in actual physical
21    control of any motor vehicle, aircraft, watercraft or
22    snowmobile while using or under the influence of cannabis.
23        (5)   Facilitating the use of cannabis by an individual
24    who is not authorized to use cannabis.
25        (6)   Transferring cannabis to an individual in violation
26    of this chapter.
27        (7)   The use of cannabis by a law enforcement officer,
28    constable, corrections officer, probation officer or
29    firefighter while on duty.
30        (8)   The use of cannabis by an individual who has a

20250HB0020PN2119                   - 27 -
 1      commercial driver's license while on duty.
 2      (b)    Business restriction.--Nothing in this chapter shall
 3   prevent a private business from restricting or prohibiting the
 4   use of cannabis on business property, including areas where
 5   motor vehicles are parked.
 6      (c)    Supremacy implication.--Nothing in this chapter shall
 7   authorize or otherwise require an individual or business entity
 8   to violate Federal law, including the ability to consume
 9   cannabis in public housing or on college or university campuses.
10      (d)    THC limitations.--A person may not sell, offer for sale,
11   dispense, process, manufacture, market, advertise or distribute
12   cannabis or a product intended for consumption or inhalation in
13   excess of the THC concentrations and limits prescribed, unless
14   permitted and authorized under this part.
15      (e)    Cannabinoid product limitations.--A person may not sell,
16   dispense, process, manufacture or distribute a cannabinoid
17   product that is not derived from naturally occurring
18   biologically active chemical constituents.
19      (f)    Penalties.--A person who violates subsection (d) or (e)
20   is guilty of a misdemeanor of the third degree. Upon conviction,
21   the court may sentence the person to a pay a fine not to exceed
22   $10,000 for each offense under subsection (d) or (e).
23   § 9128.   Employment and employer liability.
24      (a)    Workplace policies.--Nothing in this chapter shall
25   prohibit an employer from adopting reasonable zero-tolerance
26   policies, drug-free workplace policies or employment policies
27   concerning testing, smoking, consuming, storing or using
28   cannabis in the workplace or while on call, if the policies are
29   applied in a nondiscriminatory manner. Nothing in this chapter
30   shall require an employer to permit an employee to be under the

20250HB0020PN2119                   - 28 -
 1   influence of or use cannabis in the employer's workplace or
 2   while performing the employee's job duties or while on call.
 3      (b)    Violations of employer policies.--Nothing in this
 4   chapter shall limit or prevent an employer from disciplining an
 5   employee or terminating employment of an employee for violating
 6   an employer's employment policies or workplace drug policy.
 7   Nothing in this chapter shall be construed to interfere with any
 8   Federal, State or local restrictions on employment.
 9                               SUBCHAPTER D
10                       KEYSTONE CANNABIS AUTHORITY
11   Sec.
12   9131.    Establishment of the Keystone Cannabis Authority.
13   9132.    Applicability of other statutes.
14   9133.    Powers and duties of authority.
15   9134.    Regulations.
16   9135.    Temporary regulations.
17   9136.    Confidentiality and public disclosure.
18   9137.    Unauthorized activities and civil penalties.
19   9138.    Community Opportunity Fund.
20   9139.    Governing practice and procedure.
21   § 9131.    Program establishment.
22      (a)    Establishment.--The Keystone Cannabis Authority is
23   established as a body corporate and politic constituting a
24   public corporation and government instrumentality.
25      (b)    Management.--The board shall exercise the powers of the
26   authority.
27      (c)    Transfer.--The Department of Health's oversight of the
28   medical cannabis program established under Chapter 93 (relating
29   to medical use of cannabis) shall be transferred to the
30   authority within 90 days of the effective date of this

20250HB0020PN2119                      - 29 -
 1   subsection. All authority, information, documents, databases and
 2   necessary information of the medical cannabis program shall be
 3   transferred to the authority within 90 days of the effective
 4   date of this subsection. The failure of the Department of Health
 5   to timely transfer its authority, information, documents,
 6   databases and necessary information of the medical cannabis
 7   program to the authority shall not delay or inhibit the ability
 8   of a current medical cannabis business establishment on the
 9   effective date of this subsection from commencing adult use
10   operations.
11      (d)   Members.--The authority shall be governed by a board
12   consisting of seven members selected as follows:
13            (1)   Three members appointed by the Governor, two of
14      which shall consist of the following:
15                  (i)    a member who represents labor; and
16                  (ii)    a member who represents persons involved in
17            social and economic equity.
18            (2)   One member appointed by each of the following:
19                  (i)    the President pro tempore of the Senate;
20                  (ii)    the Speaker of the House of Representatives;
21                  (iii)    the Minority Leader of the Senate; and
22                  (iv)    the Minority Leader of the House of
23            Representatives.
24      (e)   Terms.--Each board member shall serve for a term of
25   three years.
26      (f)   Vacancy.--If a vacancy occurs on the board or when a
27   board member's term expires, the remaining members of the board
28   shall appoint a successor member of the board within 60 days of
29   the vacancy.
30      (g)   Compensation.--A member of the board shall be entitled

20250HB0020PN2119                       - 30 -
 1   to compensation not to exceed the amount of 75% of the
 2   compensation paid to members of the General Assembly under
 3   section 4 of the act of September 30, 1983 (P.L.160, No.39),
 4   known as the Public Official Compensation Law, and as updated
 5   for cost-of-living adjustments published annually in the
 6   Pennsylvania Bulletin. A member of the board may decline to
 7   receive compensation under this subsection. Each board member
 8   shall be entitled for reimbursement of expenses actually
 9   incurred in the performance of official duties of the board.
10      (h)   Ethics.--The authority shall establish a code of ethics
11   for all members and employees. A copy of the code shall be filed
12   with the Pennsylvania State Ethics Commission. The code shall
13   include provisions reasonably necessary to carry out the
14   purposes of this section and any other laws subject to the
15   jurisdiction of the authority including, but not limited to:
16            (1)   Prohibiting the receipt of gifts by board members
17      and employees from a cannabis business establishment or
18      medical cannabis business establishment, applicant, affiliate
19      or other person or entity subject to the jurisdiction of the
20      authority.
21            (2)   Prohibiting the participation by board members and
22      employees in a particular matter that affects the financial
23      interest of a relative within the third degree of
24      consanguinity or a person with whom the board member or
25      employee has a significant relationship.
26            (3)   Providing for recusal of a board member in a
27      licensing decision due to a potential conflict of interest.
28      (i)   Removal of members.--A member of the authority may be
29   removed by a majority vote of the board for substantial neglect
30   of duty, inability to discharge the powers and duties of office

20250HB0020PN2119                    - 31 -
 1   or gross misconduct or conviction of a felony.
 2      (j)   Liability.--A member of the board shall not be liable
 3   personally on any obligation of the board or authority.
 4      (k)   Organization.--
 5            (1)   The board shall select a chairperson of the board by
 6      majority vote of the members of the board.
 7            (2)   In the case of absence during a meeting of the
 8      board, the chairperson of the board may designate another
 9      member to serve as a substitute chairperson.
10      (l)   Quorum.--
11            (1)   A majority of the members of the board shall
12      constitute a quorum of the board for the purpose of
13      organizing the authority and conducting official business.
14            (2)   Only members of the board who are physically present
15      at a meeting of the board or able to participate fully in the
16      deliberations by appropriate telecommunications means shall
17      count toward a quorum of the board.
18            (3)   If a quorum is not present, a hearing of the board
19      may still take place.
20      (m)   Voting.--Official action shall be taken by a vote of a
21   majority of the members of the board present to otherwise fully
22   participating at a meeting of the board.
23      (n)   Advisory committees and subcommittees.--
24            (1)   Advisory committees and subcommittees may be formed
25      to advise and assist the work of the board.
26            (2)   The chairperson of the board may appoint advisory
27      committees that may consist of members, nonmembers, outside
28      experts and staff of the board.
29            (3)   Only a board member may be the chairperson of
30      advisory committee.

20250HB0020PN2119                    - 32 -
 1          (4)   An advisory committee or subcommittee may be formed
 2    to address and make recommendations on subjects determined by
 3    the board, including, but not limited to, any of the
 4    following topics:
 5                (i)    Public health and wellness
 6                (ii)    Community safety and well-being.
 7                (iii)    Judicial and carceral systems.
 8                (iv)    Education.
 9                (v)    Housing.
10                (vi)    Employment.
11                (vii)    Business and entrepreneurship.
12                (viii)    Agriculture and food systems.
13                (ix)    Medical marijuana program efficiency.
14          (5)   Each department, agency, office or other entity of
15    the Commonwealth may cooperate and provide the authority or
16    its advisory committees or subcommittees with staff and
17    expertise to assist the authority in carrying out the powers
18    and duties under this act.
19          (6)   Recognized experts in the subject matter of an
20    advisory committee or subcommittee of the board may be
21    appointed to advise and assist the advisory committee or
22    subcommittee by the board.
23    (o)   Meetings.--
24          (1)   The board shall meet at the call of the chairperson.
25          (2)   The board and each advisory committee or
26    subcommittee of the board shall meet as often as deemed
27    necessary.
28          (3) Within 90 days of the appointment of the initial
29    members of the board, the board shall conduct its first
30    meeting.

20250HB0020PN2119                       - 33 -
 1      (p)     Office of Social Equity.--
 2             (1)   The authority shall establish an Office of Social
 3      Equity. The governor shall appoint a director of the Office
 4      of Social Equity.
 5             (2)   The director of the

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