A New Mexico house committee discussed House Bill 12 Saturday, February 13 at length. So long in fact, that lawmakers ran out of time to vote. Instead the approval took place on Monday and passed comfortably on a 7-4 vote. 

HB 12

HB 12 is one of five different bills in the New Mexico House and the Senate addressing cannabis reform. These bills deal with adult-use cannabis, alongside the medical cannabis program Governor Michelle Lujan Grisham (D) approved just over a year ago. House Bill 17 also saw discussion in the House Health and Human Services Committee on Saturday February 13. But there are a number of major differences between HB 17 and HB 12.

While social equity remains the focal point of HB 12’s almost 200 pages, HB 17 offers a narrower focus. It centers around the implementation of the cannabis program. Currently, HB 17 also imposes a 20 percent flat sales tax rate that would return to state and local governments. This is the largest difference between HB 17 and HB 12. HB 12 returns revenue to local communities most impacted by the failed war on drugs. Other provisions of HB 17 include no previous possession conviction expungements and commercial license limitations. 

In the hearing, committee chair Rep. Deborah Armstrong (D) took an informal poll of the public present at Saturday’s Zoom hearing. Rep. Armstrong asked participants to show if they supported both bills or were opposed to them. Most of the public present said they supported both bills in the House. But New Mexico residents seemed to favor HB 12, with 81 percent supporting HB 12 and 71 percent supporting HB 17.

Moving Forward

Monday’s vote on HB 12 included several new amendments discussed at the Saturday hearing. Language regarding paraphernalia sales being exclusive to licensed dispensaries was removed. Additional language surrounding citizens needing a verification of a purchase from lawful sources was also removed. Lawmakers wanted to be sure tribal governments could participate in this new industry. Tribal and Native settlements and other small businesses would also be able to get a ‘micro-business’ license. These licenses would allow small businesses to start selling product before large corporations received their licenses at a later time. The intention is to create to a more varied and competitive market.

While HB 12 passed with a 7-4 approval, HB 17 was tabled with a 7-4 vote. That means only HB 12 moves forward to the next committee. HB 12’s next stop is the House Taxation and Revenue Committee. If approved there, it will go to a full House chamber discussion and vote. 

On the other state branch, the Senate will soon see three bills for cannabis regulation and reform. These different bills, SB 363, SB 13, and SB 288 all offer different ways to create a legal cannabis market. SB 363 is similar to HB 12 in its focus on social equity and promotion of small and local businesses. SB 13 follows that path described by HB 17, creating more focused policies to try and keep the market from becoming oversaturated with sellers. Finally, SB 288 is different from all other bills in that it is significantly more restrictive. It proposes keeping cannabis retailers more than a mile away from each other. Plus, the bill would keep home-growing illegal for all citizens, no matter how many plants they have.

Future

There is no date set for HB 12 to move to the Taxation and Revenue Committee. Additionally, each Senate Bill is relatively new. They are also awaiting a date for discussion and vote. 

Lawmakers say HB 12 requires further discussion and potential amendments. However, those will be addressed in the next committee meeting, and hopefully soon by the whole chamber. This will make HB 12 the most comprehensive and well-supported bill it can be before going to the Senate and the Governor. This legislative session is over on March 20. So lawmakers are pushing to prioritize HB 12 and discuss it sooner rather than later.

As news develops around New Mexico HB 12, we will be sure to update you with the latest. Make sure to check back for more cannabis and hemp related news.