RCW 69.50.562
Licensed cannabis businesses—Written warnings—Waiver of sanctions with no relationship to public safety—Compliance program—Penalties—Rules.
(1) The board must prescribe procedures for the following:
(a) Issuance of written warnings or notices to correct in lieu of penalties, sanctions, or other violations with respect to regulatory violations that have no direct or immediate relationship to public safety as defined by the board;
(b) Waiving any fines, civil penalties, or administrative sanctions for violations, that have no direct or immediate relationship to public safety, and are corrected by the licensee within a reasonable amount of time as designated by the board; and
(c) A compliance program in accordance with chapter 43.05 RCW and RCW 69.50.342, whereby licensees may request compliance assistance and inspections without issuance of a penalty, sanction, or other violation provided that any noncompliant issues are resolved within a specified period of time.
(2) The board must adopt rules prescribing penalties for violations of this chapter. The board:
(a) May establish escalating penalties for violation of this chapter, provided that the cumulative effect of any such escalating penalties cannot last beyond two years and the escalation applies only to multiple violations that are the same or similar in nature;
(b) May not include cancellation of a license for a single violation, unless the board can prove by a preponderance of the evidence:
(i) Diversion of cannabis product to the illicit market or sales across state lines;
(ii) Furnishing of cannabis product to minors;
(iii) Diversion of revenue to criminal enterprises, gangs, cartels, or parties not qualified to hold a cannabis license based on criminal history requirements;
(iv) The commission of noncannabis-related crimes; or
(v) Knowingly making a misrepresentation of fact to the board, an officer of the board, or an employee of the board related to conduct or an action that is, or alleged to be, any of the violations identified in (b)(i) through (iv) of this subsection (2);
(c) May include cancellation of a license for cumulative violations only if a cannabis licensee commits at least four violations within a two-year period of time;
(d) Must consider aggravating and mitigating circumstances and deviate from the prescribed penalties accordingly, and must authorize enforcement officers to do the same, provided that such penalty may not exceed the maximum escalating penalty prescribed by the board for that violation; and
(e) Must give substantial consideration to mitigating any penalty imposed on a licensee when there is employee misconduct that led to the violation and the licensee:
(i) Established a compliance program designed to prevent the violation;
(ii) Performed meaningful training with employees designed to prevent the violation; and
(iii) Had not enabled or ignored the violation or other similar violations in the past.
(3) The board may not consider any violation that occurred more than two years prior as grounds for denial, suspension, revocation, cancellation, or nonrenewal, unless the board can prove by a preponderance of the evidence that the prior administrative violation evidences:
(a) Diversion of cannabis product to the illicit market or sales across state lines;
(b) Furnishing of cannabis product to minors;
(c) Diversion of revenue to criminal enterprises, gangs, cartels, or parties not qualified to hold a cannabis license based on criminal history requirements;
(d) The commission of noncannabis-related crimes; or
(e) Knowingly making a misrepresentation of fact to the board, an officer of the board, or an employee of the board related to conduct or an action that is, or is alleged to be, any of the violations identified in (a) through (d) of this subsection (3).
[ 2022 c 16 § 106; 2019 c 394 § 6.]
NOTES:
Intent—Finding—2022 c 16: See note following RCW 69.50.101.
Findings—2019 c 394: See note following RCW 69.50.563.
Structure Revised Code of Washington
Title 69 - Food, Drugs, Cosmetics, and Poisons
Chapter 69.50 - Uniform Controlled Substances Act.
69.50.102 - Drug paraphernalia—Definitions.
69.50.201 - Enforcement of chapter—Authority to change schedules of controlled substances.
69.50.205 - Schedule II tests.
69.50.207 - Schedule III tests.
69.50.209 - Schedule IV tests.
69.50.213 - Republishing of schedules.
69.50.214 - Controlled substance analog.
69.50.302 - Registration requirements.
69.50.305 - Procedure for denial, suspension, or revocation of registration.
69.50.306 - Records of registrants.
69.50.311 - Triplicate prescription form program—Compliance by health care practitioners.
69.50.315 - Medical assistance—Drug-related overdose—Prosecution for possession.
69.50.317 - Opioid drugs—Communication with patient.
69.50.325 - Cannabis producer's license, cannabis processor's license, cannabis retailer's license.
69.50.327 - Cannabis processors—Incorporation of characterizing flavor in vapor products.
69.50.331 - Application for license.
69.50.334 - Denial of application—Opportunity for hearing.
69.50.335 - Cannabis retailer licenses—Social equity applicants—Rules—Definitions.
69.50.336 - Social equity in cannabis task force.
69.50.342 - State liquor and cannabis board—Rules.
69.50.345 - State liquor and cannabis board—Rules—Procedures and criteria.
69.50.346 - Labels on retail products.
69.50.348 - Representative samples of cannabis, useable cannabis, or cannabis-infused products.
69.50.351 - Board members and employees—Conflict of interest.
69.50.354 - Retail outlet licenses.
69.50.357 - Retail outlets—Rules.
69.50.363 - Cannabis processors, employees—Certain acts not criminal or civil offenses.
69.50.366 - Cannabis producers, employees—Certain acts not criminal or civil offenses.
69.50.369 - Cannabis producers, processors, researchers, retailers—Advertisements—Rules—Penalty.
69.50.372 - Cannabis research license.
69.50.375 - Cannabis retailers—Medical cannabis endorsement.
69.50.378 - Cannabis retailer holding medical cannabis endorsement—THC concentration in products.
69.50.385 - Common carriers—Licensing—State liquor and cannabis board to adopt rules.
69.50.395 - Licensed cannabis businesses, agreements—Disclosure to state liquor and cannabis board.
69.50.401 - Prohibited acts: A—Penalties.
69.50.4011 - Counterfeit substances—Penalties.
69.50.4012 - Delivery of substance in lieu of controlled substance—Penalty.
69.50.4014 - Possession of forty grams or less of cannabis—Penalty.
69.50.4015 - Involving a person under eighteen in unlawful controlled substance transaction—Penalty.
69.50.4016 - Provisions not applicable to offenses under RCW 69.50.410.
69.50.402 - Prohibited acts: B—Penalties.
69.50.403 - Prohibited acts: C—Penalties.
69.50.404 - Penalties under other laws.
69.50.405 - Bar to prosecution.
69.50.406 - Distribution to persons under age eighteen.
69.50.408 - Second or subsequent offenses.
69.50.410 - Prohibited acts: D—Penalties.
69.50.412 - Prohibited acts: E—Penalties.
69.50.4121 - Drug paraphernalia—Selling or giving—Penalty.
69.50.413 - Health care practitioners—Suspension of license for violation of chapter.
69.50.414 - Sale or transfer of controlled substance to minor—Cause of action by parent—Damages.
69.50.415 - Controlled substances homicide—Penalty.
69.50.416 - Counterfeit substances prohibited—Penalties.
69.50.420 - Violations—Juvenile driving privileges.
69.50.430 - Additional fine for certain felony violations.
69.50.438 - Cathinone or methcathinone—Additional fine.
69.50.440 - Possession with intent to manufacture—Penalty.
69.50.450 - Butane or other explosive gases.
69.50.455 - Synthetic cannabinoids—Unfair or deceptive practice under RCW 19.86.020.
69.50.460 - Cathinone or methcathinone—Unfair or deceptive practice under RCW 19.86.020.
69.50.465 - Conducting or maintaining cannabis club—Penalty.
69.50.470 - Medication disposal, no penalty for compliance.
69.50.475 - Cannabis retail outlets—Sale to persons under the age of twenty-one—Penalty.
69.50.500 - Powers of enforcement personnel.
69.50.501 - Administrative inspections.
69.50.502 - Warrants for administrative inspections.
69.50.504 - Cooperative arrangements.
69.50.505 - Seizure and forfeiture.
69.50.506 - Burden of proof; liabilities.
69.50.508 - Education and research.
69.50.509 - Search and seizure of controlled substances.
69.50.510 - Search and seizure at rental premises—Notification of landlord.
69.50.511 - Cleanup of hazardous substances at illegal drug manufacturing facility—Rules.
69.50.515 - Pharmacies—Cannabis—Notification and disposal.
69.50.525 - Diversion prevention and control—Report.
69.50.530 - Dedicated cannabis account (as amended by 2022 c 16).
69.50.540 - Dedicated cannabis account—Appropriations (as amended by 2022 c 16).
69.50.550 - Cost-benefit evaluations.
69.50.561 - Advice and consultation services—Licensed cannabis businesses.
69.50.563 - Licensed cannabis businesses—Civil penalty—Rules.
69.50.564 - Licensed cannabis businesses—Settlement agreement.
69.50.570 - Bundled transactions—Retail sales—Subject to tax—Exception.
69.50.575 - Cannabis health and beauty aids.
69.50.585 - Branded promotional items—Nominal value—Personal services.
69.50.587 - Cannabis science task force reports—Board rules.
69.50.601 - Pending proceedings.
69.50.602 - Continuation of rules.
69.50.603 - Uniformity of interpretation.