II 

116TH CONGRESS 

1ST SESSION S. 2227 

To decriminalize and deschedule cannabis, to provide for reinvestment in 

certain persons adversely impacted by the War on Drugs, to provide 

for expungement of certain cannabis offenses, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JULY 23, 2019 

Ms. HARRIS (for herself, Mr. BOOKER, Mr. MERKLEY, Mr. WYDEN, and Ms. 

WARREN) introduced the following bill; which was read twice and referred 

to the Committee on Finance 

A BILL 

To decriminalize and deschedule cannabis, to provide for 

reinvestment in certain persons adversely impacted by 

the War on Drugs, to provide for expungement of certain 

cannabis offenses, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Marijuana Opportunity 

5 Reinvestment and Expungement Act of 2019’’ or the 

6 ‘‘MORE Act of 2019’’. 


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1 SEC. 2. DECRIMINALIZATION OF CANNABIS. 

2 (a) CANNABIS REMOVED FROM SCHEDULE OF CON3 TROLLED SUBSTANCES.— 

4 (1) REMOVAL IN STATUTE.—Subsection (c) of 

5 schedule I of section 202(c) of the Controlled Sub6 stances Act (21 U.S.C. 812) is amended— 

7 (A) by striking ‘‘(10) Marihuana.’’; and 

8 (B) by striking ‘‘(17) 

9 Tetrahydrocannabinols, except for 

10 tetrahydrocannabinols in hemp (as defined in 

11 section 297A of the Agricultural Marketing Act 

12 of 1946).’’. 

13 (2) REMOVAL FROM SCHEDULE.—Not later 

14 than 180 days after the date of the enactment of 

15 this Act, the Attorney General shall finalize a rule16 making under section 201(a)(2) removing mari17 huana and tetrahydrocannabinols from the schedules 

18 of controlled substances. Marihuana and 

19 tetrahydrocannabinols shall each be deemed to be a 

20 drug or other substance that does not meet the re21 quirements for inclusion in any schedule. A rule22 making under this paragraph shall be considered to 

23 have taken effect as of the date of enactment of this 

24 Act for purposes of any offense committed, case 

25 pending, conviction entered, and, in the case of a ju26 venile, any offense committed, case pending, and adVerDate Sep 11 2014 04:02 Jul 31, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S2227.IS S2227

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1 judication of juvenile delinquency entered before, on, 

2 or after the date of enactment of this Act. 

3 (b) CONFORMING AMENDMENTS TO CONTROLLED

4 SUBSTANCES ACT.—The Controlled Substances Act (21 

5 U.S.C. 801 et seq.) is amended— 

6 (1) in section 102(44) (21 U.S.C. 802(44)), by 

7 striking ‘‘marihuana,’’; 

8 (2) in section 401(b) (21 U.S.C. 841(b))— 

9 (A) in paragraph (1)— 

10 (i) in subparagraph (A)— 

11 (I) in clause (vi), by inserting 

12 ‘‘or’’ after the semicolon; 

13 (II) by striking clause (vii); and 

14 (III) by redesignating clause 

15 (viii) as clause (vii); 

16 (ii) in subparagraph (B)— 

17 (I) in clause (vi), by inserting 

18 ‘‘or’’ after the semicolon; 

19 (II) by striking clause (vii); and 

20 (III) by redesignating clause 

21 (viii) as clause (vii); 

22 (iii) in subparagraph (C), in the first 

23 sentence, by striking ‘‘subparagraphs (A), 

24 (B), and (D)’’ and inserting ‘‘subpara25 graphs (A) and (B)’’; 


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1 (iv) by striking subparagraph (D); 

2 (v) by redesignating subparagraph (E) 

3 as subparagraph (D); and 

4 (vi) in subparagraph (D)(i), as so re5 designated, by striking ‘‘subparagraphs (C) 

6 and (D)’’ and inserting ‘‘subparagraph 

7 (C)’’; 

8 (B) by striking paragraph (4); and 

9 (C) by redesignating paragraphs (5), (6), 

10 and (7) as paragraphs (4), (5), and (6), respec11 tively; 

12 (3) in section 402(c)(2)(B) (21 U.S.C. 

13 842(c)(2)(B)), by striking ‘‘, marihuana,’’; 

14 (4) in section 403(d)(1) (21 U.S.C. 843(d)(1)), 

15 by striking ‘‘, marihuana,’’; 

16 (5) in section 418(a) (21 U.S.C. 859(a)), by 

17 striking the last sentence; 

18 (6) in section 419(a) (21 U.S.C. 860(a)), by 

19 striking the last sentence; 

20 (7) in section 422(d) (21 U.S.C. 863(d))— 

21 (A) in the matter preceding paragraph (1), 

22 by striking ‘‘marijuana,’’; and 

23 (B) in paragraph (5), by striking ‘‘, such 

24 as a marihuana cigarette,’’; and 


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1 (8) in section 516(d) (21 U.S.C. 886(d)), by 

2 striking ‘‘section 401(b)(6)’’ each place the term ap3 pears and inserting ‘‘section 401(b)(5)’’. 

4 (c) OTHER CONFORMING AMENDMENTS.— 

5 (1) NATIONAL FOREST SYSTEM DRUG CONTROL

6 ACT OF 1986.—The National Forest System Drug 

7 Control Act of 1986 (16 U.S.C. 559b et seq.) is 

8 amended— 

9 (A) in section 15002(a) (16 U.S.C. 

10 559b(a)) by striking ‘‘marijuana and other’’; 

11 (B) in section 15003(2) (16 U.S.C. 

12 559c(2)) by striking ‘‘marijuana and other’’; 

13 and 

14 (C) in section 15004(2) (16 U.S.C. 

15 559d(2)) by striking ‘‘marijuana and other’’. 

16 (2) INTERCEPTION OF COMMUNICATIONS.—Sec17 tion 2516 of title 18, United States Code, is amend18 ed— 

19 (A) in subsection (1)(e), by striking ‘‘mari20 huana,’’; and 

21 (B) in subsection (2) by striking ‘‘mari22 huana’’. 

23 (d) RETROACTIVITY.—The amendments made by this 

24 section to the Controlled Substances Act (21 U.S.C. 801 

25 et seq.) are retroactive and shall apply to any offense comVerDate Sep 11 2014 04:02 Jul 31, 2019 Jkt 089200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\S2227.IS S2227

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1 mitted, case pending, conviction entered, and, in the case 

2 of a juvenile, any offense committed, case pending, or ad3 judication of juvenile delinquency entered before, on, or 

4 after the date of enactment of this Act. 

5 SEC. 3. DEMOGRAPHIC DATA OF CANNABIS BUSINESS OWN6 ERS AND EMPLOYEES. 

7 (a) IN GENERAL.—The Bureau of Labor Statistics 

8 shall regularly compile, maintain, and make public data 

9 on the demographics of— 

10 (1) individuals who are business owners in the 

11 cannabis industry; and 

12 (2) individuals who are employed in the can13 nabis industry. 

14 (b) DEMOGRAPHIC DATA.—The data collected under 

15 subsection (a) shall include data regarding— 

16 (1) age; 

17 (2) certifications and licenses; 

18 (3) disability status; 

19 (4) educational attainment; 

20 (5) family and marital status; 

21 (6) nativity; 

22 (7) race and Hispanic ethnicity; 

23 (8) school enrollment; 

24 (9) veteran status; and 

25 (10) sex. 


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1 (c) CONFIDENTIALITY.—The name, address, and 

2 other identifying information of individuals employed in 

3 the cannabis industry shall be kept confidential by the Bu4 reau and not be made available to the public. 

5 (d) DEFINITIONS.—In this section: 

6 (1) CANNABIS.—The term ‘‘cannabis’’ means 

7 either marijuana or cannabis as defined under the 

8 State law authorizing the sale or use of cannabis in 

9 which the individual or entity is located. 

10 (2) CANNABIS INDUSTRY.—The term ‘‘cannabis 

11 industry’’ means an individual or entity that is li12 censed or permitted under a State or local law to en13 gage in commercial cannabis-related activity. 

14 (3) OWNER.—The term ‘‘owner’’ means an in15 dividual or entity that is defined as an owner under 

16 the State or local law where the individual or busi17 ness is licensed or permitted. 

18 SEC. 4. CREATION OF OPPORTUNITY TRUST FUND AND IM19 POSITION OF TAX ON CANNABIS PRODUCTS. 

20 (a) TRUST FUND.— 

21 (1) ESTABLISHMENT.—Subchapter A of chap22 ter 98 of the Internal Revenue Code of 1986 is 

23 amended by adding at the end the following new sec24 tion: 


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1 ‘‘SEC. 9512. OPPORTUNITY TRUST FUND. 

2 ‘‘(a) CREATION OF TRUST FUND.—There is estab3 lished in the Treasury of the United States a trust fund 

4 to be known as the ‘Opportunity Trust Fund’ (referred 

5 to in this section as the ‘Trust Fund’), consisting of such 

6 amounts as may be appropriated or credited to such fund 

7 as provided in this section or section 9602(b). 

8 ‘‘(b) TRANSFERS TO TRUST FUND.—There are here9 by appropriated to the Trust Fund amounts equivalent to 

10 the net revenues received in the Treasury from the tax 

11 imposed by section 5701(h). 

12 ‘‘(c) EXPENDITURES.—Amounts in the Trust Fund 

13 shall be available, without further appropriation, only as 

14 follows: 

15 ‘‘(1) 50 percent to the Attorney General to 

16 carry out section 3052(a) of part OO of the Omni17 bus Crime Control and Safe Streets Act of 1968. 

18 ‘‘(2) 10 percent to the Attorney General to 

19 carry out section 3052(b) of part OO of the Omni20 bus Crime Control and Safe Streets Act of 1968. 

21 ‘‘(3) 20 percent to the Administrator of the 

22 Small Business Administration to carry out section 

23 5(b)(1) of the Marijuana Opportunity Reinvestment 

24 and Expungement Act of 2019. 

25 ‘‘(4) 20 percent to the Administrator of the 

26 Small Business Administration to carry out section 


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1 5(b)(2) of the Marijuana Opportunity Reinvestment 

2 and Expungement Act of 2019.’’. 

3 (2) CLERICAL AMENDMENT.—The table of sec4 tions for subchapter A of chapter 98 of such Code 

5 is amended by adding at the end the following new 

6 item: 

‘‘Sec. 9512. Opportunity trust fund.’’. 

7 (b) IMPOSITION OF TAX.— 

8 (1) IN GENERAL.—Section 5701 of the Internal 

9 Revenue Code of 1986 is amended by redesignating 

10 subsection (h) as subsection (i) and by inserting 

11 after subsection (g) the following new subsection: 

12 ‘‘(h) CANNABIS PRODUCTS.—On cannabis products, 

13 manufactured in or imported into the United States, there 

14 shall be imposed a tax equal to 5 percent of the price for 

15 which sold.’’. 

16 (2) CANNABIS PRODUCT DEFINED.—Section 

17 5702 of such Code is amended by adding at the end 

18 the following new subsection: 

19 ‘‘(q) CANNABIS PRODUCT.— 

20 ‘‘(1) IN GENERAL.—Except as provided in para21 graph (2), the term ‘cannabis product’ means any 

22 cannabis or any article which contains cannabis or 

23 any derivative thereof. 

24 ‘‘(2) EXCEPTION.—The term ‘cannabis product’ 

25 shall not include any medicine or drug that is a preVerDate Sep 11 2014 04:02 Jul 31, 2019 Jkt 089200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\S2227.IS S2227

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1 scribed drug (as such term is defined in section 

2 213(d)(3)). 

3 ‘‘(3) CANNABIS.—The term ‘cannabis’— 

4 ‘‘(A) means all parts of the plant Cannabis 

5 sativa L., whether growing or not; the seeds 

6 thereof; the resin extracted from any part of 

7 such plant; and every compound, manufacture, 

8 salt, derivative, mixture, or preparation of such 

9 plant, its seeds or resin; and 

10 ‘‘(B) does not include— 

11 ‘‘(i) hemp, as defined in section 297A 

12 of the Agricultural Marketing Act of 1946; 

13 or 

14 ‘‘(ii) the mature stalks of such plant, 

15 fiber produced from such stalks, oil or cake 

16 made from the seeds of such plant, any 

17 other compound, manufacture, salt, deriva18 tive, mixture, or preparation of such ma19 ture stalks (except the resin extracted 

20 therefrom), fiber, oil, or cake, or the steri21 lized seed of such plant which is incapable 

22 of germination.’’. 

23 (3) CANNABIS PRODUCTS TREATED AS TO24 BACCO PRODUCTS.—Section 5702(c) of such Code is 

25 amended by striking ‘‘and roll-your-own tobacco’’ 


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1 and inserting ‘‘roll-your-own tobacco, and cannabis 

2 products’’. 

3 (4) MANUFACTURER OF CANNABIS PRODUCTS

4 TREATED AS MANUFACTURER OF TOBACCO PROD5 UCTS.—Section 5702 of such Code is amended by 

6 adding at the end the following new subsection: 

7 ‘‘(r) MANUFACTURER OF CANNABIS PRODUCTS.— 

8 ‘‘(1) IN GENERAL.—Any person who plants, 

9 cultivates, harvests, produces, manufactures, com10 pounds, converts, processes, prepares, or packages 

11 any cannabis product shall be treated as a manufac12 turer of cannabis products (and as manufacturing 

13 such cannabis product). 

14 ‘‘(2) EXCEPTION.—Paragraph (1) shall not 

15 apply with respect to any cannabis product which is 

16 for such person’s own personal consumption or use. 

17 ‘‘(3) APPLICATION OF RULES RELATED TO

18 MANUFACTURERS OF TOBACCO PRODUCTS.—Any 

19 reference to a manufacturer of tobacco products, or 

20 to manufacturing tobacco products, shall be treated 

21 as including a reference to a manufacturer of can22 nabis products, or to manufacturing cannabis prod23 ucts, respectively.’’. 


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1 (5) APPLICATION OF CERTAIN RULES FOR DE2 TERMINING PRICE.—Section 5702(l) of such Code is 

3 amended— 

4 (A) by striking ‘‘section 5701(a)(2)’’ and 

5 inserting ‘‘subsections (a)(2) and (h) of section 

6 5701’’; and 

7 (B) by inserting ‘‘AND CANNABIS PROD8 UCTS’’ after ‘‘CIGARS’’ in the heading thereof. 

9 (6) CONFORMING AMENDMENT.—Section 

10 5702(j) of such Code is amended by adding at the 

11 end the following new sentence: ‘‘In the case of a 

12 cannabis product, the previous sentence shall be ap13 plied by substituting ‘from a facility of a manufac14 turer required to file a bond under section 5711’ for 

15 ‘from the factory or from internal revenue bond 

16 under section 5704’.’’. 

17 (c) EFFECTIVE DATE.— 

18 (1) IN GENERAL.—Except as otherwise pro19 vided in this subsection, the amendments made by 

20 this section shall apply to articles manufactured or 

21 imported in calendar quarters beginning more than 

22 one year after the date of the enactment of this Act. 

23 (2) TRUST FUND.—The amendments made by 

24 subsection (a) shall take effect on the date of the en25 actment of this Act. 


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1 SEC. 5. OPPORTUNITY TRUST FUND PROGRAMS. 

2 (a) CANNABIS JUSTICE OFFICE; COMMUNITY REIN3 VESTMENT GRANT PROGRAM.— 

4 (1) CANNABIS JUSTICE OFFICE.—Part A of 

5 title I of the Omnibus Crime Control and Safe 

6 Streets Act of 1968 (34 U.S.C. 10101 et seq.) is 

7 amended by inserting after section 109 the fol8 lowing: 

9 ‘‘SEC. 110. CANNABIS JUSTICE OFFICE. 

10 ‘‘(a) ESTABLISHMENT.—There is established within 

11 the Office of Justice Programs a Cannabis Justice Office. 

12 ‘‘(b) DIRECTOR.—The Cannabis Justice Office shall 

13 be headed by a Director who shall be appointed by the 

14 Assistant Attorney General for the Office of Justice Pro15 grams. The Director shall report to the Assistant Attorney 

16 General for the Office of Justice Programs. The Director 

17 shall award grants and may enter into compacts, coopera18 tive agreements, and contracts on behalf of the Cannabis 

19 Justice Office. The Director may not engage in any em20 ployment other than that of serving as the Director, nor 

21 may the Director hold any office in, or act in any capacity 

22 for, any organization, agency, or institution with which the 

23 Office makes any contract or other arrangement. 

24 ‘‘(c) EMPLOYEES.— 

25 ‘‘(1) IN GENERAL.—The Director shall employ 

26 as many full-time employees as are needed to carry 


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1 out the duties and functions of the Cannabis Justice 

2 Office under subsection (d). Such employees shall be 

3 exclusively assigned to the Cannabis Justice Office. 

4 ‘‘(2) INITIAL HIRES.—Not later than 6 months 

5 after the date of enactment of this section, the Di6 rector shall— 

7 ‘‘(A) hire no less than one-third of the 

8 total number of employees of the Cannabis Jus9 tice Office; and 

10 ‘‘(B) no more than one-half of the employ11 ees assigned to the Cannabis Justice Office by 

12 term appointment that may after 2 years be 

13 converted to career appointment. 

14 ‘‘(3) LEGAL COUNSEL.—At least one employee 

15 hired for the Cannabis Justice Office shall serve as 

16 legal counsel to the Director and shall provide coun17 sel to the Cannabis Justice Office. 

18 ‘‘(d) DUTIES AND FUNCTIONS.—The Cannabis Jus19 tice Office is authorized to— 

20 ‘‘(1) administer the Community Reinvestment 

21 Grant Program; and 

22 ‘‘(2) perform such other functions as the Assist23 ant Attorney General for the Office of Justice Pro24 grams may delegate, that are consistent with the 

25 statutory obligations of this section.’’. 


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1 (2) COMMUNITY REINVESTMENT GRANT PRO2 GRAM.—Title I of the Omnibus Crime Control and 

3 Safe Streets Act of 1968 (34 U.S.C. et seq.) is 

4 amended by adding at the end the following: 

5 ‘‘PART OO—COMMUNITY REINVESTMENT GRANT 

6 PROGRAM 

7 ‘‘SEC. 3052. AUTHORIZATION. 

8 ‘‘(a) IN GENERAL.—The Director of the Cannabis 

9 Justice Office shall establish and carry out a grant pro10 gram, known as the ‘Community Reinvestment Grant Pro11 gram’, to provide eligible entities with funds to administer 

12 services for individuals most adversely impacted by the 

13 War on Drugs, including— 

14 ‘‘(1) job training; 

15 ‘‘(2) reentry services; 

16 ‘‘(3) legal aid for civil and criminal cases, in17 cluding expungement of cannabis convictions; 

18 ‘‘(4) literacy programs; 

19 ‘‘(5) youth recreation or mentoring programs; 

20 and 

21 ‘‘(6) health education programs. 

22 ‘‘(b) SUBSTANCE USE TREATMENT SERVICES.—The 

23 Community Reinvestment Grant Program established in 

24 subsection (a) shall provide eligible entities with funds to 


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1 administer substance use treatment services for individ2 uals most adversely impacted by the War on Drugs. 

3 ‘‘SEC. 3053. FUNDING FROM OPPORTUNITY TRUST FUND. 

4 ‘‘The Director shall carry out the program under this 

5 part using funds made available under section 9512(c)(1) 

6 and (2) of the Internal Revenue Code. 

7 ‘‘SEC. 3054. DEFINITIONS. 

8 ‘‘In this part: 

9 ‘‘(1) The term ‘cannabis conviction’ means a 

10 conviction, or adjudication of juvenile delinquency, 

11 for a cannabis offense (as such term is defined in 

12 section 12(2) of the Marijuana Opportunity Rein13 vestment and Expungement Act of 2019). 

14 ‘‘(2) The term ‘substance use treatment’ means 

15 an evidence-based, professionally directed, deliberate, 

16 and planned regimen including evaluation, observa17 tion, medical monitoring, harm reduction, and reha18 bilitative services and interventions such as 

19 pharmacotherapy, mental health services, and indi20 vidual and group counseling, on an inpatient or out21 patient basis, to help patients with substance use 

22 disorder reach remission and maintain recovery. 

23 ‘‘(3) The term ‘eligible entity’ means a non24 profit organization, as defined in section 501(c)(3) 

25 of the Internal Revenue Code, that is representative 


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1 of a community or a significant segment of a com2 munity with experience in providing relevant services 

3 to individuals most adversely impacted by the War 

4 on Drugs in that community. 

5 ‘‘(4) The term ‘individuals most adversely im6 pacted by the War on Drugs’ has the meaning given 

7 that term in section 5 of the Marijuana Opportunity 

8 Reinvestment and Expungement Act of 2019.’’. 

9 (b) CANNABIS OPPORTUNITY PROGRAM; EQUITABLE

10 LICENSING GRANT PROGRAM.— 

11 (1) CANNABIS OPPORTUNITY PROGRAM.—The 

12 Administrator of the Small Business Administration 

13 shall establish and carry out a program, to be known 

14 as the ‘‘Cannabis Opportunity Program’’ to provide 

15 any eligible State or locality funds to make loans 

16 under section 7(m) of the Small Business Act (15 

17 U.S.C. 363(m)) to assist small business concerns 

18 owned and controlled by socially and economically 

19 disadvantaged individuals, as defined in section 

20 8(d)(3)(C) of the Small Business Act (15 U.S.C. 

21 637(d)(3)(C)) that operate in the cannabis industry. 

22 (2) EQUITABLE LICENSING GRANT PROGRAM.— 

23 The Administrator of the Small Business Adminis24 tration shall establish and carry out a grant pro25 gram, to be known as the ‘‘Equitable Licensing 


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1 Grant Program’’, to provide any eligible State of lo2 cality funds to develop and implement equitable can3 nabis licensing programs that minimize barriers to 

4 cannabis licensing and employment for individuals 

5 most adversely impacted by the War on Drugs, pro6 vided that each grantee includes in its cannabis li7 censing program at least four of the following: 

8 (A) A waiver of cannabis license applica9 tion fees for individuals who have had an in10 come below 250 percent of the Federal Poverty 

11 Level for at least 5 of the past 10 years who 

12 are first-time applicants. 

13 (B) A prohibition on the denial of a can14 nabis license based on a conviction for a can15 nabis offense that took place prior to State le16 galization of cannabis or the date of enactment 

17 of this Act, as appropriate. 

18 (C) A prohibition on criminal conviction re19 strictions for licensing except with respect to a 

20 conviction related to owning and operating a 

21 business. 

22 (D) A prohibition on cannabis license hold23 ers engaging in suspicionless cannabis drug 

24 testing of their prospective or current employ25 ees, except with respect to drug testing for safeVerDate Sep 11 2014 04:02 Jul 31, 2019 Jkt 089200 PO 00000 Frm 00018 Fmt 6652 Sfmt 6201 E:\BILLS\S2227.IS S2227

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1 ty-sensitive positions, as defined under the Om2 nibus Transportation Testing Act of 1991. 

3 (E) The establishment of a cannabis li4 censing board that is reflective of the racial, 

5 ethnic, economic, and gender composition of the 

6 State or locality, to serve as an oversight body 

7 of the equitable licensing program. 

8 (3) DEFINITIONS.—In this subsection: 

9 (A) The term ‘‘individual most adversely 

10 impacted by the War on Drugs’’ means an indi11 vidual— 

12 (i) who has had an income below 250 

13 percent of the Federal Poverty Level for at 

14 least 5 of the past 10 years; and 

15 (ii) has been arrested for or convicted 

16 of the sale, possession, use, manufacture, 

17 or cultivation of cannabis or a controlled 

18 substance (except for a conviction involving 

19 distribution to a minor), or whose parent, 

20 sibling, spouse, or child has been arrested 

21 for or convicted of such an offense. 

22 (B) The term ‘‘eligible State or locality’’ 

23 means a State or locality that has taken steps 

24 to— 


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1 (i) create an automatic process, at no 

2 cost to the individual, for the 

3 expungement, destruction, or sealing of 

4 criminal records for cannabis offenses; and 

5 (ii) eliminate violations or other pen6 alties for persons under parole, probation, 

7 pre-trial, or other State or local criminal 

8 supervision for a cannabis offense. 

9 (C) The term ‘‘State’’ means each of the 

10 several States, the District of Columbia, Puerto 

11 Rico, any territory or possession of the United 

12 States, and any Indian Tribe (as defined in sec13 tion 201 of Public Law 90–294 (25 U.S.C. 

14 1301) (commonly known as the ‘‘Indian Civil 

15 Rights Act of 1968’’)). 

16 SEC. 6. AVAILABILITY OF SMALL BUSINESS ADMINISTRA17 TION PROGRAMS AND SERVICES TO CAN18 NABIS-RELATED LEGITIMATE BUSINESSES 

19 AND SERVICE PROVIDERS. 

20 (a) DEFINITIONS RELATING TO CANNABIS-RELATED

21 LEGITIMATE BUSINESSES AND SERVICE PROVIDERS.— 

22 Section 3 of the Small Business Act (15 U.S.C. 632) is 

23 amended by adding at the end the following new sub24 section: 


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1 ‘‘(ff) CANNABIS-RELATED LEGITIMATE BUSINESSES

2 AND SERVICE PROVIDERS.—In this Act: 

3 ‘‘(1) CANNABIS.—The term ‘cannabis’— 

4 ‘‘(A) means all parts of the plant Cannabis 

5 sativa L., whether growing or not; the seeds 

6 thereof; the resin extracted from any part of 

7 such plant; and every compound, manufacture, 

8 salt, derivative, mixture, or preparation of such 

9 plant, its seeds or resin; and 

10 ‘‘(B) does not include— 

11 ‘‘(i) hemp, as defined in section 297A 

12 of the Agricultural Marketing Act of 1946; 

13 or 

14 ‘‘(ii) the mature stalks of such plant, 

15 fiber produced from such stalks, oil or cake 

16 made from the seeds of such plant, any 

17 other compound, manufacture, salt, deriva18 tive, mixture, or preparation of such ma19 ture stalks (except the resin extracted 

20 therefrom), fiber, oil, or cake, or the steri21 lized seed of such plant which is incapable 

22 of germination. 

23 ‘‘(2) CANNABIS-RELATED LEGITIMATE BUSI24 NESS.—The term ‘cannabis-related legitimate busi25 ness’ means a manufacturer, producer, or any perVerDate Sep 11 2014 04:02 Jul 31, 2019 Jkt 089200 PO 00000 Frm 00021 Fmt 6652 Sfmt 6201 E:\BILLS\S2227.IS S2227

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1 son or company that is a small business concern and 

2 that— 

3 ‘‘(A) engages in any activity described in 

4 subparagraph (B) pursuant to a law established 

5 by a State or a political subdivision of a State, 

6 as determined by such State or political sub-di7 vision; and 

8 ‘‘(B) participates in any business or orga9 nized activity that involves handling cannabis or 

10 cannabis products, including cultivating, pro11 ducing, manufacturing, selling, transporting, 

12 displaying, dispensing, distributing, or pur13 chasing cannabis or cannabis products. 

14 ‘‘(3) SERVICE PROVIDER.—The term ‘service 

15 provider’— 

16 ‘‘(A) means a business, organization, or 

17 other person that— 

18 ‘‘(i) sells goods or services to a can19 nabis-related legitimate business; or 

20 ‘‘(ii) provides any business services, 

21 including the sale or lease of real or any 

22 other property, legal or other licensed serv23 ices, or any other ancillary service, relating 

24 to cannabis; and 


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1 ‘‘(B) does not include a business, organiza2 tion, or other person that participates in any 

3 business or organized activity that involves han4 dling cannabis or cannabis products, including 

5 cultivating, producing, manufacturing, selling, 

6 transporting, displaying, dispensing, distrib7 uting, or purchasing cannabis or cannabis prod8 ucts.’’. 

9 (b) SMALL BUSINESS DEVELOPMENT CENTERS.— 

10 Section 21(c) of the Small Business Act (15 U.S.C. 

11 648(c)) is amended by adding at the end the following new 

12 paragraph: 

13 ‘‘(9) SERVICES FOR CANNABIS-RELATED LE14 GITIMATE BUSINESSES AND SERVICE PROVIDERS.— 

15 A small business development center may not decline 

16 to provide services to an otherwise eligible small 

17 business concern under this section solely because 

18 such concern is a cannabis-related legitimate busi19 ness or service provider.’’. 

20 (c) WOMEN’S BUSINESS CENTERS.—Section 29 of 

21 the Small Business Act (15 U.S.C. 656) is amended by 

22 adding at the end the following new subsection: 

23 ‘‘(p) SERVICES FOR CANNABIS-RELATED LEGITI24 MATE BUSINESSES AND SERVICE PROVIDERS.—A wom25 en’s business center may not decline to provide services 


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1 to an otherwise eligible small business concern under this 

2 section solely because such concern is a cannabis-related 

3 legitimate business or service provider.’’. 

4 (d) SCORE.—Section 8(b)(1)(B) of the Small Busi5 ness Act (15 U.S.C. 637(b)(1)(B)) is amended by adding 

6 at the end the following new sentence: ‘‘The head of the 

7 SCORE program established under this subparagraph 

8 may not decline to provide services to an otherwise eligible 

9 small business concern solely because such concern is a 

10 cannabis-related legitimate business or service provider.’’. 

11 (e) VETERAN BUSINESS OUTREACH CENTERS.—Sec12 tion 32 of the Small Business Act (15 U.S.C. 657b) is 

13 amended by adding at the end the following new sub14 section: 

15 ‘‘(h) SERVICES FOR CANNABIS-RELATED LEGITI16 MATE BUSINESSES AND SERVICE PROVIDERS.—A Vet17 eran Business Outreach Center may not decline to provide 

18 services to an otherwise eligible small business concern 

19 under this section solely because such concern is a can20 nabis-related legitimate business or service provider.’’. 

21 (f) 7(a) LOANS.—Section 7(a) of the Small Business 

22 Act (15 U.S.C. 636(a)) is amended by adding at the end 

23 the following new paragraph: 

24 ‘‘(36) LOANS TO CANNABIS-RELATED LEGITI25 MATE BUSINESSES AND SERVICE PROVIDERS.—The 


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1 Administrator may not decline to provide a guar2 antee for a loan under this subsection to an other3 wise eligible small business concern solely because 

4 such concern is a cannabis-related legitimate busi5 ness or service provider.’’. 

6 (g) DISASTER LOANS.—Section 7(b) of the Small 

7 Business Act (15 U.S.C. 636(b)) is amended by inserting 

8 after paragraph (15) the following new paragraph: 

9 ‘‘(16) ASSISTANCE TO CANNABIS-RELATED LE10 GITIMATE BUSINESSES AND SERVICE PROVIDERS.— 

11 The Administrator may not decline to provide assist12 ance under this subsection to an otherwise eligible 

13 borrower solely because such borrower is a cannabis14 related legitimate business or service provider.’’. 

15 (h) MICROLOANS.—Section 7(m) of the Small Busi16 ness Act (15 U.S.C. 636(m)) is amended by adding at the 

17 end the following new paragraph: 

18 ‘‘(14) ASSISTANCE TO CANNABIS-RELATED LE19 GITIMATE BUSINESSES AND SERVICE PROVIDERS.— 

20 An eligible intermediary may not decline to provide 

21 assistance under this subsection to an otherwise eli22 gible borrower solely because such borrower is a can23 nabis-related legitimate business or service pro24 vider.’’. 


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1 (i) STATE OR LOCAL DEVELOPMENT COMPANY

2 LOANS.—Title V of the Small Business Investment Act 

3 of 1958 (15 U.S.C. 695 et seq.) is amended by adding 

4 at the end the following new section: 

5 ‘‘SEC. 511. LOANS TO CANNABIS-RELATED LEGITIMATE 

6 BUSINESSES AND SERVICE PROVIDERS. 

7 ‘‘The Administrator may not decline to provide a 

8 guarantee for a loan under this title to an otherwise eligi9 ble State or local development company solely because 

10 such State or local development company provides financ11 ing to an entity that is a cannabis-related legitimate busi12 ness or service provider (as defined in section 3(ff) of the 

13 Small Business Act).’’. 

14 SEC. 7. NO DISCRIMINATION IN THE PROVISION OF A FED15 ERAL PUBLIC BENEFIT ON THE BASIS OF 

16 CANNABIS. 

17 (a) IN GENERAL.—No person may be denied any 

18 Federal public benefit (as such term is defined in section 

19 401(c) of the Personal Responsibility and Work Oppor20 tunity Reconciliation Act of 1996 (8 U.S.C. 1611(c))) on 

21 the basis of any use or possession of cannabis, or on the 

22 basis of a conviction or adjudication of juvenile delin23 quency for a cannabis offense, by that person. 

24 (b) SECURITY CLEARANCES.—Federal agencies may 

25 not use past or present cannabis or marijuana use as criVerDate Sep 11 2014 04:02 Jul 31, 2019 Jkt 089200 PO 00000 Frm 00026 Fmt 6652 Sfmt 6201 E:\BILLS\S2227.IS S2227

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1 teria for granting, denying, or rescinding a security clear2 ance. 

3 SEC. 8. NO ADVERSE EFFECT FOR PURPOSES OF THE IMMI4 GRATION LAWS. 

5 (a) IN GENERAL.—For purposes of the immigration 

6 laws (as such term is defined in section 101 of the Immi7 gration and Nationality Act), cannabis may not be consid8 ered a controlled substance, and an alien may not be de9 nied any benefit or protection under the immigration laws 

10 based on any event, including conduct, a finding, an ad11 mission, addiction or abuse, an arrest, a juvenile adjudica12 tion, or a conviction, relating to cannabis, regardless of 

13 whether the event occurred before, on, or after the effec14 tive date of this Act. 

15 (b) CANNABIS DEFINED.—The term ‘‘cannabis’’— 

16 (1) means all parts of the plant Cannabis sativa 

17 L., whether growing or not; the seeds thereof; the 

18 resin extracted from any part of such plant; and 

19 every compound, manufacture, salt, derivative, mix20 ture, or preparation of such plant, its seeds or resin; 

21 and 

22 (2) does not include— 

23 (A) hemp, as defined in section 297A of 

24 the Agricultural Marketing Act of 1946; or 


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1 (B) the mature stalks of such plant, fiber 

2 produced from such stalks, oil or cake made 

3 from the seeds of such plant, any other com4 pound, manufacture, salt, derivative, mixture, 

5 or preparation of such mature stalks (except 

6 the resin extracted therefrom), fiber, oil, or 

7 cake, or the sterilized seed of such plant which 

8 is incapable of germination. 

9 (c) CONFORMING AMENDMENTS TO IMMIGRATION

10 AND NATIONALITY ACT.—The Immigration and Nation11 ality Act (8 U.S.C. 1101 et seq.) is amended— 

12 (1) in section 212(h), by striking ‘‘and subpara13 graph (A)(i)(II) of such subsection insofar as it re14 lates to a single offense of simple possession of 30 

15 grams or less of marijuana’’; 

16 (2) in section 237(a)(2)(B)(i), by striking 

17 ‘‘other than a single offense involving possession for 

18 one’s own use of 30 grams or less of marijuana’’; 

19 (3) in section 101(f)(3), by striking ‘‘(except as 

20 such paragraph relates to a single offense of simple 

21 possession of 30 grams or less of marihuana)’’; 

22 (4) in section 244(c)(2)(A)(iii)(II) by striking 

23 ‘‘except for so much of such paragraph as relates to 

24 a single offense of simple possession of 30 grams or 

25 less of marijuana’’; 


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1 (5) in section 245(h)(2)(B) by striking ‘‘(except 

2 for so much of such paragraph as related to a single 

3 offense of simple possession of 30 grams or less of 

4 marijuana)’’; 

5 (6) in section 210(c)(2)(B)(ii)(III) by striking 

6 ‘‘, except for so much of such paragraph as relates 

7 to a single offense of simple possession of 30 grams 

8 or less of marihuana’’; and 

9 (7) in section 245A(d)(2)(B)(ii)(II) by striking 

10 ‘‘, except for so much of such paragraph as relates 

11 to a single offense of simple possession of 30 grams 

12 or less of marihuana’’. 

13 SEC. 9. RESENTENCING AND EXPUNGEMENT. 

14 (a) EXPUNGEMENT OF FEDERAL CANNABIS OF15 FENSE CONVICTIONS FOR INDIVIDUALS NOT UNDER A

16 CRIMINAL JUSTICE SENTENCE.— 

17 (1) IN GENERAL.—Not later than 1 year after 

18 the date of the enactment of this Act, each Federal 

19 district shall conduct a comprehensive review and 

20 issue an order expunging each conviction or adju21 dication of juvenile delinquency for a Federal can22 nabis offense entered by each Federal court in the 

23 district before the date of enactment of this Act and 

24 on or after May 1, 1971. Each Federal court shall 

25 also issue an order expunging any arrests associated 


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1 with each expunged conviction or adjudication of ju2 venile delinquency. 

3 (2) NOTIFICATION.—To the extent practicable, 

4 each Federal district shall notify each individual 

5 whose arrest, conviction, or adjudication of delin6 quency has been expunged pursuant to this sub7 section that their arrest, conviction, or adjudication 

8 of juvenile delinquency has been expunged, and the 

9 effect of such expungement. 

10 (3) RIGHT TO PETITION COURT FOR

11 EXPUNGEMENT.—At any point after the date of en12 actment of this Act, any individual with a prior con13 viction or adjudication of juvenile delinquency for a 

14 Federal cannabis offense, who is not under a crimi15 nal justice sentence, may file a motion for 

16 expungement. If the expungement of such a convic17 tion or adjudication of juvenile delinquency is re18 quired pursuant to this Act, the court shall expunge 

19 the conviction or adjudication, and any associated 

20 arrests. If the individual is indigent, counsel shall be 

21 appointed to represent the individual in any pro22 ceedings under this subsection. 

23 (4) SEALED RECORD.—The court shall seal all 

24 records related to a conviction or adjudication of ju25 venile delinquency that has been expunged under 


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1 this subsection. Such records may only be made 

2 available by further order of the court. 

3 (b) SENTENCING REVIEW FOR INDIVIDUALS UNDER

4 A CRIMINAL JUSTICE SENTENCE.— 

5 (1) IN GENERAL.—For any individual who is 

6 under a criminal justice sentence for a Federal can7 nabis offense, the court that imposed the sentence 

8 shall, on motion of the individual, the Director of 

9 the Bureau of Prisons, the attorney for the Govern10 ment, or the court, conduct a sentencing review 

11 hearing. If the individual is indigent, counsel shall 

12 be appointed to represent the individual in any sen13 tencing review proceedings under this subsection. 

14 (2) POTENTIAL REDUCED RESENTENCING.— 

15 After a sentencing hearing under paragraph (1), a 

16 court shall— 

17 (A) expunge each conviction or adjudica18 tion of juvenile delinquency for a Federal can19 nabis offense entered by the court before the 

20 date of enactment of this Act, and any associ21 ated arrest; 

22 (B) vacate the existing sentence or disposi23 tion of juvenile delinquency and, if applicable, 

24 impose any remaining sentence or disposition of 

25 juvenile delinquency on the individual as if this 


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1 Act, and the amendments made by this Act, 

2 were in effect at the time the offense was com3 mitted; and 

4 (C) order that all records related to a con5 viction or adjudication of juvenile delinquency 

6 that has been expunged or a sentence or dis7 position of juvenile delinquency that has been 

8 vacated under this Act be sealed and only be 

9 made available by further order of the court. 

10 (c) EFFECT OF EXPUNGEMENT.—An individual who 

11 has had an arrest, a conviction, or juvenile delinquency 

12 adjudication expunged under this section— 

13 (1) may treat the arrest, conviction, or adju14 dication as if it never occurred; and 

15 (2) shall be immune from any civil or criminal 

16 penalties related to perjury, false swearing, or false 

17 statements, for a failure to disclose such arrest, con18 viction, or adjudication. 

19 (d) DEFINITIONS.—In this section: 

20 (1) The term ‘‘Federal cannabis offense’’ means 

21 an offense that is no longer punishable pursuant to 

22 this Act or the amendments made under this Act. 

23 (2) The term ‘‘expunge’’ means, with respect to 

24 an arrest, a conviction, or a juvenile delinquency ad25 judication, the removal of the record of such arrest, 


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1 conviction, or adjudication from each official index 

2 or public record. 

3 (3) The term ‘‘under a criminal justice sen4 tence’’ means, with respect to an individual, that the 

5 individual is serving a term of probation, parole, su6 pervised release, imprisonment, official detention, 

7 pre-release custody, or work release, pursuant to a 

8 sentence or disposition of juvenile delinquency im9 posed on or after the effective date of the Controlled 

10 Substances Act (May 1, 1971). 

11 SEC. 10. REFERENCES IN EXISTING LAW TO MARIJUANA OR 

12 MARIHUANA. 

13 Wherever, in the statutes of the United States or in 

14 the rulings, regulations, or interpretations of various ad15 ministrative bureaus and agencies of the United States— 

16 (1) there appears or may appear the term 

17 ‘‘marihuana’’ or ‘‘marijuana’’, that term shall be 

18 struck and the term ‘‘cannabis’’ shall be inserted; 

19 and 

20 (2) there appears or may appear the term 

21 ‘‘Marihuana’’ or ‘‘Marijuana’’, that term shall be 

22 struck and the term ‘‘Cannabis’’ shall be inserted. 

23 SEC. 11. SEVERABILITY. 

24 If any provision of this Act or an amendment made 

25 by this Act, or any application of such provision to any 


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1 person or circumstance, is held to be unconstitutional, the 

2 remainder of this Act, the amendments made by this Act, 

3 and the application of this Act and the amendments made 

4 by this Act to any other person or circumstance shall not 

5 be affected. 

6 SEC. 12. CANNABIS OFFENSE DEFINED. 

7 For purposes of this Act, the term ‘‘cannabis offense’’ 

8 means a criminal offense related to cannabis— 

9 (1) that, under Federal law, is no longer pun10 ishable pursuant to this Act or the amendments 

11 made under this Act; or 

12 (2) that, under State law, is no longer an of13 fense or that was designated a lesser offense or for 

14 which the penalty was reduced under State law pur15 suant to or following the adoption of a State law au16 thorizing the sale or use of cannabis. 

17 SEC. 13. RULEMAKING. 

18 Unless otherwise provided in this Act, not later than 

19 1 year after the date of enactment of this Act, the Depart20 ment of the Treasury, the Department of Justice, and the 

21 Small Business Administration shall issue or amend any 

22 rules, standard operating procedures, and other legal or 

23 policy guidance necessary to carry out implementation of 

24 this Act. After the 1-year period, any publicly issued sub25 regulatory guidance, including any compliance guides, 


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1 manuals, advisories and notices, may not be issued with2 out 60-day notice to appropriate congressional commit3 tees. Notice shall include a description and justification 

4 for additional guidance. 

Æ 


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