HB 238 Summary

• Authorizes persons 21 years of age or older to possess up to one ounce of cannabis or grow up to seven cannabis plants for recreational use without criminal penalty.

• Establishes a licensing and regulatory framework for cannabis establishments (cultivation facilities, manufacturing facilities, testing facilities, and retail stores), with the Department of Health responsible for adopting rules by July 1, 2022.

• Limits cannabis establishment licensure to existing medical cannabis dispensary licensees under chapter 329D, though they may establish additional retail locations.

• Allocates an unspecified percentage of general excise tax revenues from retail cannabis sales to counties where the sales occur.

• Amends penal code sections to decriminalize marijuana possession for adults 21 and over, while maintaining penalties for distribution and possession by minors, and repeals limitations on authorized sources of medical cannabis.