TITLE I—AMENDMENTS TO DE-
CRIMINALIZE MARIJUANA AT 
THE FEDERAL LEVEL 
SEC. 101. DECRIMINALIZATION OF MARIJUANA. 
(a) REMOVAL FROM SCHEDULE OF CONTROLLED 
SUBSTANCES.—Notwithstanding any other provision of 
the Controlled Substances Act (21 U.S.C. 801 et seq.), 
the Attorney General shall, not later than 60 days after 
the date of the enactment of this Act, issue a final order 
that removes marijuana in any form from all schedules 
under section 202(c) of that Act (21 U.S.C. 812(c)). 
(b) CONFORMING AMENDMENT TO REMOVE LEGIS-
LATIVE DEADWOOD.—Subsection (c) of section 202 of the 
Controlled Substances Act (21 U.S.C. 812) is amended 
to read as follows: 
‘‘(c) CROSS REFERENCE TO SCHEDULES OF CON-
TROLLED SUBSTANCES.—Schedules I, II, III, IV, and V 
shall consist of the drugs and other substances (by what-
ever official name, common or usual name, chemical name, 
or brand name designated) that are set forth in the respec-
tive schedules in part 1308 of title 21, Code of Federal 
Regulations, as they may be amended from time to time, 
or in any successor regulation.’’. 
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SEC. 102. APPLICATION OF THE CONTROLLED SUBSTANCES 
ACT AND CONTROLLED SUBSTANCES IMPORT 
AND EXPORT ACT TO MARIJUANA. 
Part A of the Controlled Substances Act (21 U.S.C. 
801 et seq.) is amended by adding at the end the fol-
lowing: 
‘‘SEC. 103. APPLICATION TO MARIHUANA. 
‘‘(a) GENERAL NONAPPLICATION.—Except as pro-
vided in this section, this title and title III do not apply 
to marihuana. 
‘‘(b) EXCEPTION: PROHIBITION ON CERTAIN TRANS-
PORTATIONS AND SHIPMENTS.—It shall be unlawful to 
ship or transport marihuana from any place outside a 
State, territory, or district of the United States, or other 
place noncontiguous to but subject to the jurisdiction of 
the United States, into that State, territory, or district 
of the United States, or place, when such marihuana is 
intended by any person interested therein to be received, 
possessed, sold, or in any manner used, in violation of any 
law of such State, territory, district, or place. 
‘‘(c) PENALTY.—Whoever knowingly violates sub-
section (b) shall be fined under title 18, United States 
Code, or imprisoned not more than one year, or both.’’. 
SEC. 103. CONFORMING AND ANCILLARY AMENDMENTS. 
(a) MODIFICATION
OF DEFINITION
OF ‘‘FELONY 
DRUG OFFENSE’’.—Section 102(44) of the Controlled 
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Substances Act (21 U.S.C. 802(44)) is amended by strik-
ing ‘‘marihuana,’’. 
(b) ELIMINATION OF MARIJUANA PENALTY PROVI-
SIONS.—Part D of the Controlled Substances Act (21 
U.S.C. 841 et seq.) is amended— 
(1) in section 401— 
(A) by striking subsection (b)(1)(A)(vii); 
(B) by striking subsection (b)(1)(B)(vii); 
(C) by striking subsection (b)(1)(D); and 
(D) by striking subsection (b)(4); 
(2) in section 402(c)(2)(B), by striking ‘‘mari-
huana,’’; 
(3) in section 403(d)(1), by striking ‘‘mari-
huana,’’; 
(4) in section 418(a), by striking the last sen-
tence; 
(5) in section 419(a), by striking the last sen-
tence; 
(6) in section 422(d), in the matter preceding 
paragraph (1), by striking ‘‘marijuana,’’; and 
(7) in section 422(d)(5), by striking ‘‘, such as 
a marihuana cigarette,’’. 
(c) REMOVAL OF PROHIBITION ON IMPORT AND EX-
PORT.—Section 1010 of the Controlled Substances Import 
and Export Act (21 U.S.C. 960) is amended— 
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(1) by striking subparagraph (G) of subsection 
(b)(1); 
(2) by striking subparagraph (G) of subsection 
(b)(2); and 
(3) by striking paragraph (4) of subsection (b). 
(d) LIMITING THE APPLICATION OF THE NATIONAL 
FOREST SYSTEM DRUG CONTROL ACT OF 1986 TO CON-
TROLLED SUBSTANCES OTHER THAN MARIJUANA.—The 
National Forest System Drug Control Act of 1986 is 
amended— 
(1) in section 15002(a) (16 U.S.C. 559b(a)) by 
striking ‘‘marijuana and other’’; 
(2) in section 15003(2) (16 U.S.C. 559c(2)) by 
striking ‘‘marijuana and other’’; and 
(3) in section 15004(2) (16 U.S.C. 559d(2)) by 
striking ‘‘marijuana and other’’. 
(e) INTERCEPTION OF COMMUNICATIONS.—Section 
2516 of title 18, United States Code, is amended— 
(1) in subsection (1)(e), by striking ‘‘mari-
huana,’’; and 
(2) in subsection (2) by striking ‘‘marihuana,’’. 
(f) NATIONAL YOUTH ANTI-DRUG MEDIA CAM-
PAIGN.—Section 709 of the Office of National Drug Con-
trol Policy Reauthorization Act of 1998 (21 U.S.C. 1708) 
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is amended by striking subsection (j) (relating to preven-
tion of marijuana use). 
TITLE II—FEDERAL MARIJUANA 
LICENSING 
AND 
RELATED 
MATTERS 
SEC. 201. FEDERAL MARIJUANA ADMINISTRATION. 
The Federal Alcohol Administration Act (27 U.S.C. 
201 et seq.) is amended by adding at the end the fol-
lowing: 
‘‘TITLE III—MARIJUANA 
‘‘SEC. 301. UNLAWFUL BUSINESSES WITHOUT MARIJUANA 
PERMIT. 
‘‘(a) IMPORT.—It shall be unlawful, except pursuant 
to a permit issued under this title by the Secretary of the 
Treasury (hereinafter in this title referred to as ‘the Sec-
retary’)— 
‘‘(1) to engage in the business of importing 
marijuana into the United States; or 
‘‘(2) for any person so engaged to sell, offer or 
deliver for sale, contract to sell, or ship, in interstate 
or foreign commerce, directly or indirectly or 
through an affiliate, marijuana so imported. 
‘‘(b) MANUFACTURE AND SALE.—It shall be unlaw-
ful, except pursuant to a permit issued under this title 
by the Secretary— 
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‘‘(1) to engage in the business of cultivating, 
producing, manufacturing, packaging, or warehous-
ing marijuana; or 
‘‘(2) for any person so engaged to sell, offer or 
deliver for sale, contract to sell, or ship, in interstate 
or foreign commerce, directly or indirectly or 
through an affiliate, marijuana so cultivated, pro-
duced, manufactured, packaged, or warehoused. 
‘‘(c) RESALE.—It shall be unlawful, except pursuant 
to a permit issued under this title by the Secretary— 
‘‘(1) to engage in the business of purchasing 
marijuana for resale at wholesale; or 
‘‘(2) for any person so engaged to receive or to 
sell, offer or deliver for sale, contract to sell, or ship, 
in interstate or foreign commerce, directly or indi-
rectly or through an affiliate, marijuana so pur-
chased. 
‘‘(d) REMEDIES FOR VIOLATIONS.— 
‘‘(1) CRIMINAL FINE.— 
‘‘(A) GENERALLY.—Whoever violates this 
section shall be fined not more than $1000. 
‘‘(B) SETTLEMENT IN COMPROMISE.—The 
Secretary may decide not to refer a violation of 
this section to the Attorney General for pros-
ecution but instead to collect a payment from 
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the violator of no more than $500 for that vio-
lation. 
‘‘(2) CIVIL ACTION FOR RELIEF.—The Attorney 
General may, in a civil action, obtain appropriate re-
lief to prevent and restrain a violation of this title. 
‘‘SEC. 302. PROCEDURE FOR ISSUANCE OF MARIJUANA 
PERMITS. 
‘‘(a) WHO ENTITLED TO PERMIT.— 
‘‘(1) GENERALLY.—The Secretary shall issue a 
permit for operations requiring a permit under sec-
tion 301 unless the Secretary finds that— 
‘‘(A) the applicant (or if the applicant is a 
corporation, any of its officers, directors, or 
principal stockholders) has been convicted of a 
disqualifying offense; 
‘‘(B) the applicant is, by reason of busi-
ness experience, financial standing, or trade 
connections, not likely to commence operations 
within a reasonable period or to maintain such 
operations in conformity with Federal law; or 
‘‘(C) the operations proposed to be con-
ducted by the applicant are in violation of the 
law of the State in which they are to be con-
ducted. 
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‘‘(2) DISQUALIFYING OFFENSES.—For the pur-
poses of paragraph (1)— 
‘‘(A) GENERALLY.—Except as provided in 
subparagraph (B) a disqualifying offense is an 
offense related to the production, consumption, 
or sale of marijuana that is— 
‘‘(i) a felony under Federal or State 
law, if the conviction occurred not later 
than 5 years before the date of the applica-
tion; or 
‘‘(ii) a misdemeanor under Federal 
law, if the conviction occurred not later 
than 3 years before the date of the applica-
tion. 
‘‘(B) EXCLUDED OFFENSES.—A disquali-
fying offense does not include a Federal or 
State offense based on conduct that— 
‘‘(i) was legal under State law in the 
State when and where the conduct took 
place, or 
‘‘(ii) is, as of the date of the applica-
tion, no longer an offense in that State. 
‘‘(b) REFUSAL OF PERMIT; HEARING.—If upon ex-
amination of any application for a permit the Secretary 
has reason to believe that the applicant is not entitled to 
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such permit, the Secretary shall so notify the applicant 
and, upon request by the applicant, afford the applicant 
due notice and opportunity for hearing on the application. 
If the Secretary, after affording such notice and oppor-
tunity for hearing, still finds that the applicant is not enti-
tled to a permit hereunder, the Secretary shall by order 
deny the application stating the findings which are the 
basis for the order. 
‘‘(c) FORM OF APPLICATION.— 
‘‘(1) GENERALLY.—The Secretary shall— 
‘‘(A) prescribe the manner and form of ap-
plications for permits under this title (including 
the facts to be set forth in the application); 
‘‘(B) prescribe the form of such permits; 
‘‘(C) specify in any permit the authority 
conferred by the permit and the conditions of 
that permit in accordance with this title. 
‘‘(2) SEPARATE TYPES OF APPLICATIONS AND 
PERMITS.—To the extent deemed necessary by the 
Secretary for the efficient administration of this 
title, the Secretary may require separate applications 
and permits with respect to the various classes of 
marijuana, and with respect to the various classes of 
persons entitled to permits under this title. 
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‘‘(3) DISCLAIMER.—The issuance of a permit 
under this title does not deprive the United States 
of any remedy for a violation of law. 
‘‘(d) CONDITIONS.—A permit under this title shall be 
conditioned upon— 
‘‘(1) compliance with all other Federal laws re-
lating to production, sale and consumption of mari-
juana, as well as compliance with all State laws re-
lating to said activities in the State in which the per-
mit applicant resides and does business; and 
‘‘(2) payment to the Secretary of a reasonable 
permit fee in an amount determined by the Sec-
retary to be sufficient over time to offset the cost of 
implementing and overseeing all aspects of mari-
juana regulation by the Federal Government. 
‘‘(e) REVOCATION, SUSPENSION, 
AND
ANNUL-
MENT.— 
‘‘(1) GENERALLY.—After due notice and oppor-
tunity for hearing, the Secretary may order a permit 
under this title— 
‘‘(A) revoked or suspended for such period 
as the Secretary deems appropriate, if the Sec-
retary finds that the permittee has willfully vio-
lated any of the conditions of the permit, but 
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for a first violation of the conditions the permit 
shall be subject to suspension only; 
‘‘(B) revoked if the Secretary finds that 
the permittee has not engaged in the operations 
authorized by the permit for a period of more 
than two years; or 
‘‘(C) annulled if the Secretary finds that 
the permit was procured through fraud, or mis-
representation, or concealment of material fact. 
‘‘(2) ORDER TO STATE BASIS FOR ORDER.— 
The order shall state the findings which are the 
basis for the order. 
‘‘(f) SERVICE OF ORDERS.—Each order of the Sec-
retary with respect to any denial of application, suspen-
sion, revocation, annulment, or other proceedings, shall be 
served— 
‘‘(1) in person by any officer or employee of the 
Secretary designated by him or any internal revenue 
or customs officer authorized by the Secretary for 
the purpose; or 
‘‘(2) by mailing the order by registered mail, 
addressed to the applicant or respondent at his last 
known address in the records of the Secretary. 
‘‘(g) DURATION.— 
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‘‘(1) GENERAL
RULE.—Except as otherwise 
provided in this subsection, a permit issued under 
this title shall continue in effect until suspended, re-
voked, or annulled as provided in this title, or volun-
tarily surrendered. 
‘‘(2) EFFECT
OF
TRANSFER.—If operations 
under a permit issued under this title are trans-
ferred, the permit automatically terminates 30 days 
after the date of that transfer, unless an application 
is made by the transferee before the end of that pe-
riod for a permit under this title for those oper-
ations. If such an application is made, the out-
standing permit shall continue in effect until such 
application is finally acted on by the Secretary. 
‘‘(3) DEFINITION OF TRANSFER.—For the pur-
poses of this section, the term ‘transfer’ means any 
change of ownership or control, whether voluntary or 
by operation of law. 
‘‘(h) JUDICIAL REVIEW.—A permittee or applicant 
for a permit under this title may obtain judicial review 
under chapter 7 of title 5, United States Code, of the de-
nial of the application of that applicant or, in the case 
of a permittee, the denial of an application by the trans-
feree of that permittee. 
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‘‘(i) STATUTE OF LIMITATIONS.—No proceeding for 
the suspension or revocation of a permit for violation of 
any condition thereof relating to compliance with Federal 
law shall be instituted by the Secretary more than 18 
months after conviction of the violation of Federal law, 
or, if no conviction has been had, more than 3 years after 
the violation occurred; and no permit shall be suspended 
or revoked for a violation of any such condition thereof 
if the alleged violation of Federal law has been com-
promised by any officer of the Government authorized to 
compromise such violation. 
‘‘SEC. 303. DEFINITIONS. 
‘‘In this title— 
‘‘(1) the term ‘marijuana’ has the meaning 
given the term ‘marihuana’ in section 102 of the 
Controlled Substances Act (21 U.S.C. 802); and 
‘‘(2) the term ‘State’ includes the District of 
Columbia, Puerto Rico, and any territory or posses-
sion of the United States.’’. 
SEC. 202. ADDITION OF MARIJUANA TO CERTAIN LEGAL AU-
THORITIES RELATING TO INTOXICATING LIQ-
UORS. 
(a) WILSON ACT.—The Act of August 8, 1890 (com-
monly known as the Wilson Act or the Original Packages 
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Act; 27 U.S.C. 121), is amended by inserting ‘‘or mari-
juana’’ after ‘‘intoxicating liquors or liquids’’. 
(b) WEBB-KENYON ACT.—The Act of March 1, 1913 
(commonly known as the Webb-Kenyon Act; 27 U.S.C. 
122), is amended by inserting ‘‘, or marijuana’’ after ‘‘in-
toxicating liquor’’ both places it appears. 
(c) VICTIMS OF TRAFFICKING AND VIOLENCE PRO-
TECTION ACT OF 2000.—Section 2 of the Victims of Traf-
ficking and Violence Protection Act of 2000 (27 U.S.C. 
122a) is amended— 
(1) in subsection (a)— 
(A) by redesignating paragraphs (3) and 
(4) as paragraphs (4) and (5), respectively; and 
(B) by inserting after paragraph (2) the 
following new paragraph: 
‘‘(3) The term ‘marijuana’ has the meaning 
given the term ‘marihuana’ in section 102 of the 
Controlled Substances Act (21 U.S.C. 802).’’; and 
(2) in subsections (b) and (c), by inserting ‘‘or 
marijuana’’ after ‘‘intoxicating liquor’’ each place it 
appears. 
(d) FEDERAL ALCOHOL ADMINISTRATION ACT.— 
Section 3 of the Federal Alcohol Administration Act (27 
U.S.C. 203) is amended— 
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(1) by inserting ‘‘marijuana,’’ before ‘‘distilled 
spirits’’ each place it appears (except in subsection 
(b)(1)); and 
(2) in paragraph (b)(1) by inserting ‘‘manufac-
turing and distribution of marijuana,’’ after ‘‘the 
business of,’’. 
TITLE III—OTHER AMENDMENTS 
RELATING TO FEDERAL AU-
THORITY REGARDING MARI-
JUANA 
SEC. 301. FOOD AND DRUG ADMINISTRATION. 
The Food and Drug Administration shall have the 
same authorities with respect to marijuana as the Admin-
istration has with respect to alcohol. 
SEC. 302. TRANSFERRING AGENCY FUNCTIONS WITH RE-
GARD TO MARIJUANA. 
(a) TRANSFER OF JURISDICTION FROM DRUG EN-
FORCEMENT ADMINISTRATION TO BUREAU OF ALCOHOL, 
TOBACCO, FIREARMS AND EXPLOSIVES.—The functions 
of the Attorney General, acting through the Administrator 
of the Drug Enforcement Administration relating to mari-
juana enforcement, shall hereafter be administered by the 
Attorney General, acting through the Director of the Bu-
reau of Alcohol, Tobacco, Firearms and Explosives. 
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(b) REDESIGNATION OF BUREAU OF ALCOHOL, TO-
BACCO, FIREARMS AND EXPLOSIVES AS BUREAU OF AL-
COHOL, TOBACCO, MARIJUANA, FIREARMS AND EXPLO-
SIVES.— 
(1) REDESIGNATION.—The Bureau of Alcohol, 
Tobacco, Firearms and Explosives is hereby re-
named the ‘‘Bureau of Alcohol, Tobacco, Marijuana, 
Firearms and Explosives’’. 
(2) REFERENCES.—Any reference to the Bu-
reau of Alcohol, Tobacco, Firearms and Explosives 
in any law, regulation, map, document, record, or 
other paper of the United States shall be deemed to 
be a reference to the Bureau of Alcohol, Tobacco, 
Marijuana, Firearms and Explosives. 
(c) REDESIGNATION
OF ALCOHOL
AND TOBACCO 
TAX AND TRADE BUREAU AS ALCOHOL, TOBACCO, AND 
MARIJUANA TAX AND TRADE BUREAU.— 
(1) REDESIGNATION.—The Alcohol and To-
bacco Tax and Trade Bureau is hereby renamed the 
‘‘Alcohol, Tobacco, and Marijuana Tax and Trade 
Bureau’’. 
(2) REFERENCES.—Any reference to the Alco-
hol and Tobacco Tax and Trade Bureau in any law, 
regulation, map, document, record, or other paper of 
the United States shall be deemed to be a reference 
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to the Alcohol, Tobacco, and Marijuana Tax and 
Trade Bureau. 
SEC. 303. COMPTROLLER GENERAL REVIEW OF LAWS AND 
REGULATIONS. 
The Comptroller General shall conduct a review of 
Federal laws, regulations, and policies to determine if any 
changes in them are desirable in the light of the purposes 
and provisions of this Act. Not later than 2 years after 
the date of the enactment of this Act the Comptroller Gen-
eral shall make to Congress and the relevant agencies such 
recommendations relating to the results of that review as 
the Comptroller General deems appropriate. 
SEC. 304. CONSTRUCTION. 
Neither this Act nor any amendment made by this 
Act shall be construed to affect Federal drug testing poli-
cies. 
Æ 
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