AZ HB2908

Requires nonprofit medical marijuana dispensaries to test marijuana and products for microbial contamination, heavy metals, pesticides, fungicides, growth regulators, and residual solvents before dispensing to patients; dried flowers exempt from residual solvent testing.

Establishes warning labels on all medical marijuana packaging stating that marijuana use may affect the health of pregnant women and unborn children.

Creates new section 36-2812 authorizing the department to provide grants from the medical marijuana fund for research on the correlation between marijuana use and mental illness, including psychosis and violent behavior.

Allocates $55 million in medical marijuana fund distributions for fiscal year 2021-2022, including $10 million for public health programs, $15 million to teachers academy fund, and $10 million to highway safety office for impaired driving enforcement.

Provides additional $14.5 million in medical marijuana fund transfers after fiscal year 2021-2022 costs are paid, with focus on suicide prevention, mental health research, primary care provider loan repayment, and public health department grants.