[Rev. 6/3/2026 1:48:56 PM]
CHAPTER 678A - ADMINISTRATION OF LAWS RELATING TO CANNABIS
[NAC-678A Revised Date: 4-26]
GENERAL PROVISIONS
678A.005 Short title.
678A.010 Definitions.
678A.015 “Act” defined.
678A.020 “Advertise” and “advertising” defined.
678A.025 “Analyte” defined.
678A.030 “Analytical portion” defined.
678A.035 “Applicant” defined.
678A.040 “Application” defined.
678A.045 “Batch” defined.
678A.050 “Batch number” defined.
678A.055 “Board agent” defined.
678A.060 “Cannabis receiver” defined.
678A.065 “CBD” defined.
678A.070 “Combined cannabis establishment” defined.
678A.075 “Component cannabis establishment” defined.
678A.080 “Conditional license” defined.
678A.085 “Disabled” and “disability” defined.
678A.090 “Excise tax on cannabis” defined.
678A.095 “Extraction” defined.
678A.100 “Fair market value” defined.
678A.105 “Foreign matter” defined.
678A.110 “Growing unit” defined.
678A.115 “Imminent health hazard” defined.
678A.120 “Incapacitated” and “incapacity” defined.
678A.125 “Label” defined.
678A.130 “Letter of approval” defined.
678A.135 “Lot” defined.
678A.140 “Multiple-serving edible cannabis product” defined.
678A.145 “Packaging” defined.
678A.150 “Person” defined.
678A.155 “Pesticide” defined.
678A.160 “Potential total THC” defined.
678A.165 “Potentially hazardous cannabis products and ingredients” defined.
678A.170 “Premises” defined.
678A.175 “Private residence” defined.
678A.180 “Production run” defined.
678A.185 “Production run number” defined.
678A.190 “Proficiency testing” defined.
678A.195 “Proficiency testing program” defined.
678A.200 “Proficiency testing provider” defined.
678A.205 “Proficiency testing sample” defined.
678A.210 “Prospective license” defined.
678A.215 “Public transportation” defined.
678A.220 “Ready-to-consume cannabis product” defined.
678A.225 “Sample protocols” defined.
678A.230 “Security equipment” defined.
678A.235 “Seed-to-sale tracking system” defined.
678A.240 “Separate operations” defined.
678A.245 “Single-serving edible cannabis product” defined.
678A.250 “Single-use cannabis product” defined.
678A.255 “Surveillance” defined.
678A.260 “Vending machine” defined.
678A.265 “Address” interpreted.
678A.270 “Cannabis” interpreted to exclude hemp.
678A.275 “Derived” interpreted.
678A.280 “Immature cannabis plant” and “mature cannabis plant” interpreted.
678A.285 Promulgation, amendment and repeal of regulations by Board; effect on regulations of Department of Taxation concerning licensing and regulation of marijuana establishments and medical marijuana establishments.
678A.290 Construction.
678A.295 Severability.
CANNABIS ADVISORY COMMISSION
678A.350 Definitions.
678A.355 “Commission Chair” defined.
678A.360 “Commission meeting” defined.
678A.365 Authority of Commission Chair to schedule meetings and create agenda; alteration of order in which agenda items are heard.
678A.370 Matters required to be considered; placement of item on agenda.
678A.375 Authority of Commission Chair to establish subcommittees.
CANNABIS COMPLIANCE BOARD: ORGANIZATION AND ADMINISTRATION; IMPOSITION OF DISCIPLINARY ACTION; PRACTICE BEFORE BOARD
General Provisions
678A.400 Definitions.
678A.405 “Chair” defined.
678A.410 “Executive Assistant” defined.
678A.415 “Meeting” defined.
Organization and Administration
678A.420 Powers of Chair; consideration and ratification of certain actions of Chair by Board.
678A.425 Meetings: Placement of item on agenda; alteration of order in which agenda items are heard; special meetings; request for continuance; requirements for certain documentation; deferral of matter for which documentation not timely submitted.
678A.430 Meetings: Duty of certain persons to appear; waiver of appearance; duties of licensee or registrant at meeting concerning certain disciplinary actions.
678A.435 Meetings: Authority to recess meetings; notice.
678A.440 Service of notices and other communications by Board: Designation of point of contact by licensee or applicant; method of service; manner in which licensee or applicant will be addressed.
678A.445 Authority of Executive Assistant or person designated by Chair to issue subpoenas.
678A.450 Employment of personnel; requirements and restrictions concerning hearing officers; discharge of employees.
678A.455 Confidentiality of and access to records concerning employees.
678A.460 Confidentiality of information received by Board relating to security of cannabis establishments.
678A.465 Confidentiality of name and any other identifying information of persons who facilitate or deliver services pursuant to provisions governing cannabis and cannabis establishments; exceptions.
678A.470 Requirements for seizure of evidence; failure to comply with requirements does not render evidence inadmissible.
Disciplinary Action
678A.500 Applicability.
678A.505 Grounds for disciplinary action.
678A.510 Imposition of civil penalty; revocation or suspension of license or cannabis establishment agent registration card; corrective action; determination of amount of civil penalty.
678A.515 Category I violations; penalties presumed to be appropriate.
678A.520 Category II violations; penalties presumed to be appropriate.
678A.525 Category III violations; penalties presumed to be appropriate.
678A.530 Category IV violations; penalties presumed to be appropriate.
678A.535 Category V violations; penalties presumed to be appropriate.
678A.540 Determination of imminent health hazard; duty of cannabis establishment to report imminent health hazard.
678A.545 Reinstatement of license or cannabis establishment agent registration card: Application; consideration of certain criteria in determining whether to reinstate; conditions, limitations or restrictions upon reinstatement; denial; provisions do not establish right to reinstatement.
678A.550 Summary suspension of license or registration card: Grounds; required procedures; request for hearing.
Complaints
678A.555 Required contents.
678A.560 Service.
Hearings
678A.565 Powers of Chair; consideration by Board of certain actions of Chair.
678A.570 Limitations on communications between parties and members of Board.
678A.575 Representation by attorney: Appearance through attorney authorized; limitation; service of documents; duty to sign documents; withdrawal; penalties for violations; responsibility for costs.
678A.580 Requirements for early case conference and formal hearing.
678A.585 Conference for exchange of evidence and list of witnesses required; contents and discovery of investigative file; prohibition on service of written discovery; depositions; continuing obligation to produce documents, witness lists and other matters.
678A.590 Continuances and recesses.
678A.595 Burden and standard of proof; creation of rebuttable adverse presumption for failure to comply with certain requirements.
678A.600 Motions.
678A.605 Subpoenas: Authorized purposes for which subpoena may be issued; procedures for issuance.
678A.610 Disposition of charges: Adjudication by Board; required disciplinary action for violations; issuance of order imposing discipline; orders deemed public records.
Miscellaneous Petitions
678A.615 Petition for declaratory ruling or advisory opinion.
678A.620 Petition for adoption, amendment or repeal of a regulation.
GENERAL PROVISIONS
NAC 678A.005 Short title. (NRS 678A.450, 678B.650, 678C.490, 678D.500) This chapter and chapters 678B and 678D of NAC may be known and cited as Nevada Cannabis Compliance Regulations, or abbreviated N.C.C.R. or NCCR.
[Cannabis Compliance Bd., §1.000, eff. 8-5-2020]
NAC 678A.010 Definitions. As used in this chapter and chapters 678B and 678D of NAC, unless the context otherwise requires, the words and terms defined in NAC 678A.015 to 678A.260, inclusive, have the meanings ascribed to them in those sections.
(Supplied in codification)
NAC 678A.015 “Act” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Act” means chapters 678A, 678B, 678C and 678D of NRS.
[Cannabis Compliance Bd., §1.050, eff. 8-5-2020]
NAC 678A.020 “Advertise” and “advertising” defined. (NRS 678A.450, 678B.650)
1. “Advertise” or “advertising” means an attempt by written, electronic or graphic representation to promote a company or company products or services. The term includes, without limitation, such representations made:
(a) On radio, television or the Internet.
(b) In newspapers, magazines, directories, in-store signs and menus, circulars, brochures or other printed matters.
(c) On outdoor advertising or other signage consisting of signs, posters, displays, billboards or any other stationary or permanently affixed advertisement promoting the sale of cannabis or cannabis products.
2. Signage of the business name, company logos, devices, lights, figures, paintings, drawings, branding or plaques that are used in the design of the cannabis establishment are not subject to the requirements of subsection 1 of NAC 678B.253, however, each of the foregoing items must comply with the requirements detailed in subsection 2 of NAC 678B.253.
[Cannabis Compliance Bd., §1.052, eff. 11-15-2021]
NAC 678A.025 “Analyte” defined. (NRS 678A.450, 678B.650) “Analyte” means any compound, element, contaminant organism, species or other substance for which a cannabis sample is tested by a cannabis independent testing laboratory.
[Cannabis Compliance Bd., §1.053, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.015, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation By R092-17, eff. 2-27-2018)”
2. Former NAC 453D.005, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.030 “Analytical portion” defined. (NRS 678A.450, 678B.650) “Analytical portion” means the portion of a test sample that is being processed for a particular laboratory test.
[Cannabis Compliance Bd., §1.055, eff. 8-5-2020]
NAC 678A.035 “Applicant” defined. (NRS 678A.450, 678B.650) “Applicant” means any person who has applied for the licensing of a cannabis establishment, for the issuance of a license to a business entity or for the issuance of a registration card.
[Cannabis Compliance Bd., §1.057, eff. 8-5-2020]
NAC 678A.040 “Application” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Application” means a request for the issuance of a license for a cannabis establishment, for the issuance of a license to a business entity, for the issuance of a registration card or for approval of any act or transaction for which Board approval is required or permitted under the provisions of title 56 of NRS.
[Cannabis Compliance Bd., §1.058, eff. 8-5-2020]
NAC 678A.045 “Batch” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Batch” means the usable flower and trim contained within one or more specific lots of cannabis grown by a cannabis cultivation facility from one or more seeds or cuttings of the same strain of cannabis and harvested on or before a specified final date of harvest.
[Cannabis Compliance Bd., §1.060, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.023, which had the following regulatory history:
“(Added to NAC by Div. of Pub. & Behavioral Health by R004-14, 3-28-2014, eff. 4-1-2014; A by R148-15, 9-9-2016)”
2. Former NAC 453D.010, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.050 “Batch number” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Batch number” means a unique numeric or alphanumeric identifier assigned to a batch by a cannabis establishment when the batch is planted.
[Cannabis Compliance Bd., §1.065, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.024, which had the following regulatory history:
“(Added to NAC by Div. of Pub. & Behavioral Health by R004-14, 3-28-2014, eff. 4-1-2014)”
2. Former NAC 453D.012, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.055 “Board agent” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Board agent” means an employee of the Board, including, without limitation, inspectors, auditors and investigators.
[Cannabis Compliance Bd., §1.068, eff. 8-5-2020]
NAC 678A.060 “Cannabis receiver” defined. (NRS 678A.450, 678B.383, 678B.650) “Cannabis receiver” means a natural person who is authorized to take possession of, manage the operations of and perform any other actions necessary for the cannabis establishment pursuant to an order by the Board and who has been issued a cannabis establishment agent registration card for a cannabis receiver from the Board for the cannabis establishment.
[Cannabis Compliance Bd., §1.069, eff. 1-4-2024]
NAC 678A.065 “CBD” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “CBD” means cannabidiol, which is a primary phytocannabinoid compound found in cannabis.
[Cannabis Compliance Bd., §1.070, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.026, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation By R092-17, eff. 2-27-2018)”
2. Former NAC 453D.015, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.070 “Combined cannabis establishment” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Combined cannabis establishment” means a group of cannabis establishments of different types which:
1. Each share identical ownership; and
2. Are located on the same parcel of real estate.
[Cannabis Compliance Bd., §1.075, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.018, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation By R092-17, eff. 2-27-2018)”
NAC 678A.075 “Component cannabis establishment” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Component cannabis establishment” means an individual cannabis establishment which is part of a combined cannabis establishment.
[Cannabis Compliance Bd., §1.080, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.021, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation By R092-17, eff. 2-27-2018)”
NAC 678A.080 “Conditional license” defined. (NRS 678A.450, 678B.650) “Conditional license” refers to the status of a license for a cannabis establishment wherein the applicant has completed the suitability investigation by Board agents and has been found suitable after the Board’s suitability review but has not met all of the requirements to hold a final license for a cannabis establishment. This reference applies only to conditional licenses issued after April 1, 2022.
[Cannabis Compliance Bd., §1.081, eff. 7-14-2022]
NAC 678A.085 “Disabled” and “disability” defined. (NRS 678A.450, 678B.383, 678B.650) A natural person is deemed to be disabled or to have a disability when said natural person suffers from a physical impairment which prevents that person from competently operating or managing a cannabis establishment.
[Cannabis Compliance Bd., §1.084, eff. 1-4-2024]
NAC 678A.090 “Excise tax on cannabis” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Excise tax on cannabis” means any excise tax imposed by chapter 372A or 678B of NRS.
[Cannabis Compliance Bd., §1.085, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.039, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation By R092-17, eff. 2-27-2018)”
NAC 678A.095 “Extraction” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Extraction” has the meaning ascribed to it in NRS 453.0825.
[Cannabis Compliance Bd., §1.090, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.0565, which had the following regulatory history:
“(Added to NAC by Div. of Pub. & Behavioral Health by R148-15, eff. 9-9-2016)”
2. Former NAC 453D.041, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.100 “Fair market value” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Fair market value” means the value established by the Department of Taxation based on the price that a buyer would pay to a seller in an arm’s length transaction for cannabis in the wholesale market.
[Cannabis Compliance Bd., §1.095, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453A.045, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation By R092-17, eff. 2-27-2018)”
NAC 678A.105 “Foreign matter” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Foreign matter” means:
1. Stems which are 3 millimeters or more in diameter and constitute more than 5 percent of the cannabis product; or
2. Any physical contaminant which is included in the cannabis product, including, without limitation, powdery mildew or insects.
[Cannabis Compliance Bd., §1.100, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived in part from:
1. Former NAC 453A.0575, which had the following regulatory history:
“(Added to NAC by Div. of Pub. & Behavioral Health by R148-15, eff. 9-9-2016)”
2. Former NAC 453D.048, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.110 “Growing unit” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Growing unit” means an area within a cannabis cultivation facility in which growing operations are performed at all stages of growth. The term includes, without limitation, multiple rooms or areas that collectively are used to perform growing operations at all stages of growth regardless of whether each individual room or area has the capability to perform growing operations at all stages of growth.
[Cannabis Compliance Bd., §1.105, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.053, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation By R092-17, eff. 2-27-2018)”
NAC 678A.115 “Imminent health hazard” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Imminent health hazard” means a situation that requires immediate correction or cessation of operations to prevent injury or serious illness as determined by the Board pursuant to NAC 678A.540.
[Cannabis Compliance Bd., §1.110, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.058, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation By R092-17, eff. 2-27-2018)”
NAC 678A.120 “Incapacitated” and “incapacity” defined. (NRS 678A.450, 678B.383, 678B.650) A natural person is deemed to be incapacitated or to have an incapacity when said natural person meets the definition of an “incapacitated person” under NRS 132.175.
[Cannabis Compliance Bd., §1.112, eff. 1-4-2024]
NAC 678A.125 “Label” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Label” means written or printed material affixed to or included with cannabis or a cannabis product to provide identification or other information.
[Cannabis Compliance Bd., §1.115, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.065, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation By R092-17, eff. 2-27-2018)”
NAC 678A.130 “Letter of approval” defined. (NRS 678A.450, 678B.650, 678C.490)
1. “Letter of approval” has the meaning ascribed to it in NRS 678C.070.
2. The term does not include:
(a) A letter issued by the Division of Public and Behavioral Health of the Department of Human Services accepting an application for a registry identification card;
(b) A recommendation or referral letter issued by a physician;
(c) A letter issued by another state or jurisdiction approving the medical use of cannabis; or
(d) Any other document which the Division determines does not meet the definition set forth in subsection 1.
[Cannabis Compliance Bd., §1.120, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.0595, which had the following regulatory history:
“(Added to NAC by Div. of Pub. & Behavioral Health by R148-15, eff. 9-9-2016)”
2. Former NAC 453D.068, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.135 “Lot” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Lot” means:
1. The flowers from one or more cannabis plants of the same batch, in a quantity that weighs 5 pounds (2,268 grams) or less;
2. The leaves or other plant matter from one or more cannabis plants of the same batch, other than full female flowers, in a quantity that weighs 15 pounds (6,804 grams) or less; or
3. The wet flower, leaves or other plant matter from one or more cannabis plants of the same batch used only for extraction, in a quantity that weighs 125 pounds (56,700 grams) or less within 2 hours of harvest.
[Cannabis Compliance Bd., §1.125, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.061, which had the following regulatory history:
“(Added to NAC by Div. of Pub. & Behavioral Health by R004-13, 3-28-2014, eff. 4-1-2014; A by R148-15, 9-9-2016)”
2. Former NAC 453D.071, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.140 “Multiple-serving edible cannabis product” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Multiple-serving edible cannabis product” means an edible cannabis product which is offered for sale to a consumer and contains, within a variance of 15 percent of the potency allowable, more than 10 milligrams and not more than 100 milligrams of THC. The term includes an edible cannabis product which contains multiple pieces, each of which contains 10 milligrams or less of THC, if the edible cannabis product offered for sale contains a total of more than 10 milligrams of THC.
[Cannabis Compliance Bd., §1.130, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.089, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.145 “Packaging” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Packaging” means the immediate consumer-facing wrapper or container in which usable cannabis or cannabis product is packaged.
[Cannabis Compliance Bd., §1.135, eff. 8-5-2020; A 8-13-2021]
REVISER’S NOTE.
The provisions of this section were derived in part from former NAC 453D.094, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.150 “Person” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Person” means natural persons, applicants, limited partnerships, limited-liability companies, corporations, publicly traded corporations, private investment companies, trusts, holding companies or other forms of business organizations such as defined by the Board.
[Cannabis Compliance Bd., §1.137, eff. 8-5-2020]
NAC 678A.155 “Pesticide” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Pesticide” has the meaning ascribed to it in NRS 586.195.
[Cannabis Compliance Bd., §1.140, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.069, which had the following regulatory history:
“(Added to NAC by Div. of Pub. & Behavioral Health by R004-14, 3-28-2014, eff. 4-1-2014)”
2. Former NAC 453D.097, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.160 “Potential total THC” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Potential total THC” means the sum of the percentage by weight of tetrahydrocannabinolic acid multiplied by 0.877 plus the percentage by weight of delta-9-tetrahydrocannabinol and delta-8-tetrahydrocannabinol.
[Cannabis Compliance Bd., §1.150, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.072, which had the following regulatory history:
“(Added to NAC by Div. of Pub. & Behavioral Health by R148-15, eff. 9-9-2016)”
2. Former NAC 453D.100, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.165 “Potentially hazardous cannabis products and ingredients” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500)
1. “Potentially hazardous cannabis products and ingredients” means an edible item that is natural or synthetic and that requires temperature control because the item is in a form capable of supporting:
(a) The rapid and progressive growth of infectious or toxigenic microorganisms;
(b) The growth and toxin production of Clostridium botulinum; or
(c) In raw shell eggs, the growth of Salmonella enteritidis.
2. The term includes, without limitation:
(a) An animal item that is raw or heat-treated;
(b) An item of plant origin that is heat-treated or consists of raw seed sprouts;
(c) Cut melons and tomatoes;
(d) Garlic-in-oil mixtures that are not modified in a way that results in mixtures which prohibit growth; and
(e) Whipped or infused butter.
3. The term does not include:
(a) An ingredient with a value of water activity of not more than 0.85;
(b) An ingredient with a pH level of not more than 4.6 when measured at 75°+/- 4°F (24°+/- 2.2°C); or
(c) An ingredient, in a hermetically sealed and unopened container, that is commercially processed to achieve and maintain commercial sterility under conditions of nonrefrigerated storage and distribution.
[Cannabis Compliance Bd., §1.155, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.102, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.170 “Premises” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Premises” means:
1. Any temporary or permanent structure, including, without limitation, any building, house, room, apartment, tenement, shed, carport, garage, shop, warehouse, store, mill, barn, stable, outhouse or tent; or
2. Any conveyance, including, without limitation, any vessel, boat, vehicle, airplane, glider, house trailer, travel trailer, motor home or railroad car, whether located above ground or underground and whether inhabited or not.
[Cannabis Compliance Bd., §1.160, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.105, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.175 “Private residence” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Private residence” means any building, buildings or part of a building owned or leased by a public or private entity which serves as a private, non-transient residential dwelling unit. Private residences include, without limitation, single family homes, townhouses, duplexes, condominiums, mobile homes and apartments. The term does not include hotels, weekly hotels, monthly hotels, motels, camps, campers, motor homes or other vehicles and industrial and commercial facilities that do not also serve as residences, universities, colleges or schools, as well as their housing, residences or dormitories.
[Cannabis Compliance Bd., §1.163, eff. 8-5-2020]
NAC 678A.180 “Production run” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Production run” means:
1. For the extraction of concentrated cannabis by a cannabis establishment, the combination of one or more lots used to make the same product in one homogenous mixture produced using the same method which results in not more than 2.2 pounds (997.90 grams) of concentrated cannabis.
2. For the production of cannabis products by a cannabis production facility, one homogenous mixture produced at the same time using the same method and which may include a combination of concentrated cannabis and other materials for the production of cannabis products.
[Cannabis Compliance Bd., §1.165, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.073, which had the following regulatory history:
“(Added to NAC by Div. of Pub. & Behavioral Health by R148-15, eff. 9-9-2016)”
2. Former NAC 453D.108, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.185 “Production run number” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Production run number” means a unique numeric or alphanumeric identifier assigned to a production run by a cannabis production facility which accounts for each batch or lot or any concentrated cannabis used in the production run.
[Cannabis Compliance Bd., §1.170, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.074, which had the following regulatory history:
“(Added to NAC by Div. of Pub. & Behavioral Health by R148-15, eff. 9-9-2016)”
2. Former NAC 453D.110, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.190 “Proficiency testing” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Proficiency testing” means the evaluation, relative to a given set of criteria, of the performance, under controlled conditions, of a cannabis independent testing laboratory in analyzing unknown samples provided by an external source.
[Cannabis Compliance Bd., §1.175, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.072, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
2. Former NAC 453D.113, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.195 “Proficiency testing program” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Proficiency testing program” means the program established by the Board pursuant to NAC 678B.548 to evaluate the proficiency of cannabis independent testing laboratories in this State.
[Cannabis Compliance Bd., §1.180, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.0744, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
2. Former NAC 453D.115, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.200 “Proficiency testing provider” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Proficiency testing provider” means a person or organization operating a proficiency testing program which has been certified as meeting the requirements of standard ISO/IEC 17043 of the International Organization for Standardization.
[Cannabis Compliance Bd., §1.185, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.0746, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
2. Former NAC 453D.117, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.205 “Proficiency testing sample” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Proficiency testing sample” means a sample, the composition of which is unknown to the cannabis independent testing laboratory, provided to a cannabis independent testing laboratory to test whether the cannabis independent testing laboratory can produce analytical results within certain criteria.
[Cannabis Compliance Bd., §1.190, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.0748, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
2. Former NAC 453D.119, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.210 “Prospective license” defined. (NRS 678A.450, 678B.650) “Prospective license” refers to the status of an application for a license for a cannabis establishment wherein the applicant has met the minimum scoring guidelines to qualify for licensure and has been selected to proceed to a suitability investigation by the Board agents and suitability review by the Board but has not been found suitable by the Board. This is not a license for a cannabis establishment. This status does not apply to licensees who hold a final license for an adult-use cannabis retail store who apply for a retail cannabis consumption lounge pursuant to NAC 678B.077.
[Cannabis Compliance Bd., §1.193, eff. 8-5-2020; 7-14-2022]
NAC 678A.215 “Public transportation” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500)
1. “Public transportation” means:
(a) Buses;
(b) Trains;
(c) Subways; and
(d) Other forms of transportation which charge a fare and are available to the public.
2. Public transportation does not include a taxicab, pursuant to subsection 17 of NRS 678B.520.
[Cannabis Compliance Bd., §1.195, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived in part from former NAC 453D.122, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.220 “Ready-to-consume cannabis product” defined. (NRS 678A.450, 678B.650, 678D.480, 678D.500)
1. “Ready-to-consume cannabis product” means an adult-use edible cannabis product that is:
(a) Prepared or infused on the premises of a cannabis consumption lounge;
(b) Presented in the form of a foodstuff or beverage;
(c) Sold in a heated or unheated state; and
(d) Intended for immediate consumption.
2. Ready-to-consume cannabis products include, without limitation, adult-use edible cannabis products that have been prewashed, precooked or otherwise prepared for consumption and do not require additional cooking or preparation, including portioning.
3. Each serving of a ready-to-consume cannabis product must be individually dosed not to exceed 10 milligrams of THC. Menu items offered must be submitted to the appropriate Board agent for approval. Food items under the jurisdiction of the United States Department of Agriculture are subject to inspection, seizure and destruction by the United States Department of Agriculture. Each ready-to-consume cannabis product must include the notice “THC may not be evenly distributed throughout this product.”
[Cannabis Compliance Bd., §1.197, eff. 7-14-2022]
NAC 678A.225 “Sample protocols” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Sample protocols” means the procedures specified by the Board which are required to be used to obtain samples of cannabis for quality assurance testing.
[Cannabis Compliance Bd., §1.200, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.077, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
2. Former NAC 453D.130, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.230 “Security equipment” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Security equipment” means a system of video cameras, monitors, recorders, video printers, motion detectors, exterior lighting, electronic monitoring and other ancillary equipment used for surveillance of a cannabis establishment.
[Cannabis Compliance Bd., §1.205, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.133, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.235 “Seed-to-sale tracking system” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Seed-to-sale tracking system” means an electronic database which is used to monitor the current chain of custody of cannabis from the point of acquisition or planting to the end consumer and which is accessible by the Board, Board agents and cannabis establishments.
[Cannabis Compliance Bd., §1.210, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.136, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.240 “Separate operations” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Separate operations” means any area in which a component cannabis establishment must maintain legal and operational separation from all other component cannabis establishments within a combined cannabis establishment.
[Cannabis Compliance Bd., §1.215, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.138, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.245 “Single-serving edible cannabis product” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Single-serving edible cannabis product” means an edible cannabis product which is offered for sale to a consumer and contains not more than 10 milligrams of THC.
[Cannabis Compliance Bd., §1.220, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.141, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.250 “Single-use cannabis product” defined. (NRS 678A.450, 678B.650, 678D.480, 678D.500)
1. “Single-use cannabis product” means a type of cannabis or adult-use cannabis product, other than a ready-to-consume cannabis product, that the Board has determined appropriate for consumption in a cannabis consumption lounge.
2. Single-use cannabis products include, without limitation, items that are designed for use in a single sitting.
3. Single-use cannabis products may be provided in bulk to a cannabis consumption lounge for later portioning before sale to consumers.
4. All single-use cannabis products must be prepared at a licensed cannabis establishment and must not exceed the allowable serving size.
5. All items must be sold as a single serving and labeled in accordance with NAC 678B.611 or 678B.614.
6. Edible cannabis products in liquid form must be homogenized before portioning and must be dispensed and sold to consumers utilizing a commercial weighing or dispensing device certified pursuant to chapter 581 of NRS.
7. Single-use cannabis products must not contain more than:
(a) Three and one-half grams of usable cannabis. If the single-use cannabis product contains more than 1 gram of usable cannabis, it must include a written warning: “Caution - This product is very potent and is not recommended for inexperienced users.”
(b) Ten milligrams of THC for an edible, capsule or tincture.
(c) Three hundred milligrams of THC for inhalable extracted cannabis products. All single-use cannabis products sold as an inhalable extracted cannabis product must include a warning: “Caution - This product is very potent and is not recommended for inexperienced users.”
(d) Four hundred milligrams of THC for a topical.
(e) One hundred milligrams of THC for transdermal patches or other adult-use cannabis products not mentioned in this section.
8. If the single-use cannabis product contains more than 10 milligrams of THC, it must include a written warning: “Caution - This product is very potent and is not recommended for inexperienced users.”
[Cannabis Compliance Bd., §1.222, eff. 7-14-2022]
NAC 678A.255 “Surveillance” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Surveillance” means the capability to observe and record activities being conducted outside and inside a cannabis establishment.
[Cannabis Compliance Bd., §1.225, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.144, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.260 “Vending machine” defined. (NRS 678A.450, 678B.650, 678C.490, 678D.500) “Vending machine” is an automated machine that provides items to consumers.
[Cannabis Compliance Bd., §1.235, eff. 8-5-2020]
NAC 678A.265 “Address” interpreted. (NRS 678A.450, 678B.250, 678B.650) “Address,” for purposes of sub-subparagraph (II) of subparagraph (2) of paragraph (a) of subsection 3 of NRS 678B.250 and NAC 678B.059 means at least the specific local jurisdiction, either county or incorporated city, where the cannabis establishment will be physically located.
[Cannabis Compliance Bd., §1.051, eff. 7-14-2022]
NAC 678A.270 “Cannabis” interpreted to exclude hemp. (NRS 678A.450, 678B.650, 678C.490, 678D.500) For the purpose of title 56 of NRS, the Board will interpret “cannabis” to exclude hemp, as defined in NRS 557.160, which is grown or cultivated pursuant to chapter 557 of NRS.
[Cannabis Compliance Bd., §1.240, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.160, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.275 “Derived” interpreted. (NRS 678A.450, 678B.650) For purposes of NRS 678A.239, “derived” means obtained directly from a plant of the genus Cannabis as used in the definition of cannabis in NRS 678A.085 or hemp in NRS 557.160, whether naturally or through an extraction process approved by the Board. This does not prohibit decarboxylation of delta-9-tetrahydrocannabinolicacid (THCA).
[Cannabis Compliance Bd., §1.082, eff. 11-15-2021]
NAC 678A.280 “Immature cannabis plant” and “mature cannabis plant” interpreted. (NRS 678A.450, 678B.650, 678C.490, 678D.500) For the purposes of title 56 of NRS:
1. “Immature cannabis plant” means a cannabis plant with no observable flowers or buds.
2. “Mature cannabis plant” means a cannabis plant which has flowers or buds that are readily observable by an unaided visual examination.
[Cannabis Compliance Bd., §1.245, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453A.080, which had the following regulatory history:
“(Added to NAC by Dep’t of Agriculture by R095-01, eff. 10-1-2001)”
NAC 678A.285 Promulgation, amendment and repeal of regulations by Board; effect on regulations of Department of Taxation concerning licensing and regulation of marijuana establishments and medical marijuana establishments. (NRS 678A.450, 678B.650, 678C.490, 678D.500) This chapter and chapters 678B and 678D of NAC are issued pursuant to the regulation of cannabis, chapters 678A to 678D, inclusive, of NRS, in accordance with procedures prescribed by NRS 678A.450. The Cannabis Compliance Board (“Board”) will, from time to time, promulgate, amend and repeal such regulations, consistent with the policy, objects and purposes of the regulation of cannabis, as it may deem necessary or desirable in carrying out the policy and provisions of the regulation of cannabis in title 56 of NRS. This chapter and chapters 678B and 678D of NAC become effective upon passage and approval. The Board hereby repeals the administrative regulations (chapters 453A and 453D of NAC) adopted by the Department of Taxation pursuant to chapters 453A and 453D of NRS governing the licensing and regulation of marijuana establishments and medical marijuana establishments. To the extent that this chapter and chapters 678B and 678D of NAC are not passed or approved, in whole or in part, the prior version or equivalent sections of chapter 453A or 453D of NAC will remain in force and effect, to the extent they do not conflict with any provisions of chapters 678A to 678D, inclusive, of NRS, as the regulations of the Board. The applicable sections of chapter 453A or 453D of NAC must be interpreted in a manner so that all references to the Department of Taxation and its constituent parts are read and interpreted as being references to the Board and its constituent parts.
[Cannabis Compliance Bd., §1.010, eff. 8-5-2020]
REVISER’S NOTE.
Before the enactment of Senate Bill No. 328 (S.B. 328) of the 2023 Legislative Session (see chapter 420, Statutes of Nevada 2023, at p. 2526), existing law exempted the Cannabis Compliance Board from the provisions of the Nevada Administrative Procedure Act (see chapter 233B of NRS) and instead set forth specific procedures for the Board to adopt, amend and repeal regulations. (See former provisions of NRS 678A.460.) S.B. 328 removed those procedures and eliminated the exemption of the Board from the provisions of the Act, thereby requiring the Board to adopt, amend or repeal regulations in the same manner as other agencies subject to the provisions of the Act. (See chapter 420, Statutes of Nevada 2023, at pp. 3537, 2540.)
NAC 678A.290 Construction. (NRS 678A.450, 678B.650, 678C.490, 678D.500) Nothing contained in this chapter or chapter 678B or 678D of NAC shall be so construed as to conflict with any provision of title 56 of NRS or of any other applicable statute.
[Cannabis Compliance Bd., §1.020, eff. 8-5-2020]
NAC 678A.295 Severability. (NRS 678A.450, 678B.650, 678C.490, 678D.500) If any provision of this chapter or chapter 678B or 678D of NAC is held invalid, it shall not be construed to invalidate any of the other provisions of this chapter or chapter 678B or 678D of NAC.
[Cannabis Compliance Bd., §1.030, eff. 8-5-2020]
CANNABIS ADVISORY COMMISSION
NAC 678A.350 Definitions. As used in NAC 678A.350 to 678A.375, inclusive, unless the context otherwise requires, the words and terms defined in NAC 678A.355 and 678A.360 have the meanings ascribed to them in those sections.
(Supplied in codification)
NAC 678A.355 “Commission Chair” defined. (NRS 678A.450) “Commission Chair” means the Chair of the Cannabis Advisory Commission or the Chair’s designee.
[Cannabis Compliance Bd., §3.010, eff. 8-5-2020]
NAC 678A.360 “Commission meeting” defined. (NRS 678A.450) “Commission meeting” means the gathering of members of the Cannabis Advisory Commission to further its mandate pursuant to NRS 678A.310.
[Cannabis Compliance Bd., §3.010, eff. 8-5-2020]
NAC 678A.365 Authority of Commission Chair to schedule meetings and create agenda; alteration of order in which agenda items are heard. (NRS 678A.450)
1. The Commission Chair may schedule quarterly meetings of the Commission and create an agenda pursuant to subsection 1 of NRS 678A.310.
2. The Commission Chair or, in the Commission Chair’s absence, the remaining Commission members may alter the order in which matters on the Commission agenda are heard.
[Cannabis Compliance Bd., §3.020, eff. 8-5-2020; A 8-13-2021]
NAC 678A.370 Matters required to be considered; placement of item on agenda. (NRS 678A.450)
1. The Commission shall consider all matters submitted to it by the Board, the Governor or the Legislature.
2. Except as otherwise specifically provided in this chapter or chapter 678B or 678D of NAC, any member of the Commission may request an item be placed on a Commission agenda for consideration by the entire Commission. Requests made pursuant to this section will be transmitted to the Board by the Chair of the Commission for approval. If approved, the item will be placed on the next scheduled Commission meeting.
[Cannabis Compliance Bd., §3.025, eff. 8-5-2020; A 8-13-2021]
NAC 678A.375 Authority of Commission Chair to establish subcommittees. (NRS 678A.450) The Commission Chair may establish subcommittees pursuant to subsection 2 of NRS 678.310 to study issues and make recommendations to be considered by the Board.
[Cannabis Compliance Bd., §3.030, eff. 8-13-2021]
CANNABIS COMPLIANCE BOARD: ORGANIZATION AND ADMINISTRATION; IMPOSITION OF DISCIPLINARY ACTION; PRACTICE BEFORE BOARD
General Provisions
NAC 678A.400 Definitions. As used in NAC 678A.400 to 678A.620, inclusive, unless the context otherwise requires, the words and terms defined in NAC 678A.405, 678A.410 and 678A.415 have the meanings ascribed to them in those sections.
(Supplied in codification)
NAC 678A.405 “Chair” defined. (NRS 678A.450) “Chair” means the Chair of the Cannabis Compliance Board or the Chair’s designee.
[Cannabis Compliance Bd., §2.010, eff. 8-5-2020]
NAC 678A.410 “Executive Assistant” defined. (NRS 678A.450) “Executive Assistant” means the Executive Assistant to the Executive Director.
[Cannabis Compliance Bd., §2.010, eff. 8-5-2020]
NAC 678A.415 “Meeting” defined. (NRS 678A.450) “Meeting” means the gathering of members of the Board at which a quorum is present, for the purpose of deliberating toward a decision or making a decision. The term includes, without limitation, the consideration of license applications, transfers of interest and disciplinary proceedings.
[Cannabis Compliance Bd., §2.010, eff. 8-5-2020]
Organization and Administration
NAC 678A.420 Powers of Chair; consideration and ratification of certain actions of Chair by Board. (NRS 678A.450)
1. The Board hereby delegates to the Chair the authority to issue preliminary rulings on scheduling, procedural and evidentiary matters, and other matters provided by this chapter and chapters 678B and 678D of NAC, that may be presented to the Board during the course of conducting a meeting, or that may arise when the Board is not meeting.
2. The Board may, upon a majority vote in a specific case, temporarily abrogate the general delegation granted pursuant to subsection 1.
3. Any specific ruling or decision of the Chair pursuant to subsection 1 is subject to consideration by the entire Board upon the request of any Board member, or upon timely motion of a person affected by the ruling or decision.
4. The Board shall be deemed to have ratified an action of the Chair taken pursuant to subsection 1 under the following circumstances:
(a) If the Chair’s action occurred during a Board meeting, the Chair’s action is ratified if the Board does not overturn or address the action at that meeting.
(b) If the Chair’s action occurred at a time other than during a meeting, if the Board does not overturn or address the Chair’s action at the next meeting concerning that particular matter.
5. The Chair may sign all orders on behalf of the Board.
6. Where the Board is a party to civil litigation, the Chair may give guidance regarding the course of the litigation to the attorney for the Board.
[Cannabis Compliance Bd., §2.020, eff. 8-5-2020]
NAC 678A.425 Meetings: Placement of item on agenda; alteration of order in which agenda items are heard; special meetings; request for continuance; requirements for certain documentation; deferral of matter for which documentation not timely submitted. (NRS 678A.450)
1. Except as otherwise specifically provided in this chapter or chapter 678B or 678D of NAC, any member of the Board may place an item on a Board agenda for consideration by the entire Board.
2. The Chair or, in the Chair’s absence, the remaining Board members, may alter the order in which matters on the Board agenda are heard.
3. Requests for special meetings will be granted only upon a showing of exceptional circumstances. The Board may require that a person requesting a special meeting pay the costs associated with such meeting, in addition to those costs usually assessed against an applicant, licensee or registrant.
4. In the absence or incapacity of the Chair, the remaining Board members may call a special meeting.
5. Unless otherwise ordered by the Chair, requests for continuances of any matter on the Board agenda must be in writing, must set forth in detail the reasons a continuance is necessary and must be received by the Executive Assistant not later than 8 calendar days before the meeting.
6. Unless otherwise ordered by the Chair, the original of any documentation supplementing an application or disciplinary action as required by the Board must be received by the Executive Assistant not later than 8 calendar days before the meeting. Documentation not timely received will not be considered by the Board unless the Board, in its discretion, otherwise consents. The Chair may defer to another meeting any matter with respect to which documentation has not been timely submitted. The applicant and its enrolled attorney or agent, if any, must appear at the meeting to which the matter is deferred, unless the Chair waives their appearances.
[Cannabis Compliance Bd., §2.025, eff. 8-5-2020]
NAC 678A.430 Meetings: Duty of certain persons to appear; waiver of appearance; duties of licensee or registrant at meeting concerning certain disciplinary actions. (NRS 678A.450)
1. Except as otherwise provided in subsection 2 or unless an appearance is waived by the Chair, all persons, and their attorneys and agents, if any, must appear at the Board meeting at which their matter is to be heard. Requests for waivers of appearances must be in writing, must be received by the Executive Assistant not later than 8 business days before the meeting and must explain in detail the reasons for requesting the waiver. If at the time of its meeting the Board has any questions of an applicant, licensee or registrant who has been granted a waiver and is not present, the matter may be deferred to another meeting of the Board.
2. Where the Board is to consider a stipulation between the Board and a licensee or registrant settling a disciplinary action and revoking, suspending or conditioning a license, the licensee or registrant shall be prepared to respond on the record to questions regarding the terms of the stipulation and the licensee’s or registrant’s voluntariness in entering into the stipulation.
[Cannabis Compliance Bd., §2.040, eff. 8-5-2020]
NAC 678A.435 Meetings: Authority to recess meetings; notice. (NRS 678A.450) Any meeting of the Board may be recessed to consider matters which were duly noticed as items on the agenda of that meeting, to such time and place as the Board may designate. Notice of a recessed meeting to consider matters which were duly noticed as items on the agenda may be given by announcement at the meeting, but where any other matters are to be considered at a recessed meeting, such matters must be duly noticed as required by NAC 678A.440 or as otherwise required by statute or by this chapter or chapter 678B or 678D of NAC.
[Cannabis Compliance Bd., §2.045, eff. 8-5-2020]
NAC 678A.440 Service of notices and other communications by Board: Designation of point of contact by licensee or applicant; method of service; manner in which licensee or applicant will be addressed. (NRS 678A.450)
1. Each licensee and applicant shall provide a point of contact to the Board for the purpose of sending notices and other communications from the Board. The point of contact should be the same person designated in NAC 678B.050. Each licensee and applicant is required to update this point of contact, including the contact’s electronic mail address, immediately as often as is otherwise necessary. The original provision and subsequent updates of the point of contact must be made to the Board’s custodian of records by means designated by the Chair. As used in this subsection, “immediately” means not later than 24 hours.
2. Except as otherwise provided by law or in this chapter or chapter 678B or 678D of NAC, notices and other communications will be sent to an applicant or licensee through the point of contact by electronic mail as provided to the Board for the purpose of sending notices and other communications. Except as otherwise provided by law or in this chapter or chapter 678B or 678D of NAC, notices and other communications sent to the point of contact by electronic mail shall satisfy any requirement to mail a notice or other communication.
3. Notices shall be deemed to have been served on the date the Board sent such notices to the point of contact’s electronic mail address as provided to the Board by a licensee or applicant, and the time specified in any such notice shall commence to run from the date of such mailing.
4. Any applicant or licensee who desires to have notices or other communications mailed to a physical address shall file with the Board a specific request for that purpose, and notices and other communications will, in such case, be sent to the applicant or licensee at such address.
5. An applicant or licensee will be addressed under the name or style designated in the application or license, and separate notices or communications will not be sent to individuals named in such application or license unless a specific request for that purpose is filed with the Board. In the absence of such specific request, a notice addressed under the name or style designated in the application or license shall be deemed to be notice to all individuals named in such application or license.
[Cannabis Compliance Bd., §2.050, eff. 8-5-2020]
NAC 678A.445 Authority of Executive Assistant or person designated by Chair to issue subpoenas. (NRS 678A.450) The Board hereby delegates to the Executive Assistant the authority to issue subpoenas and subpoenas duces tecum as provided by this chapter or chapter 678B or 678D of NAC. In the absence of the Executive Assistant, the Chair may designate another person to issue such subpoenas.
[Cannabis Compliance Bd., §2.055, eff. 8-5-2020]
NAC 678A.450 Employment of personnel; requirements and restrictions concerning hearing officers; discharge of employees. (NRS 678A.450)
1. The Board may employ hearing officers, experts, administrators, attorneys, investigators, consultants and clerical personnel necessary to the discharge of its duties.
2. A hearing officer employed by the Board shall not act in any other capacity for the Board or occupy any other position of employment with the Board, and the Board shall not assign the hearing officer any duties which are unrelated to the duties of a hearing officer.
3. Each employee of the Board hired under this section is an at-will employee who serves at the pleasure of the Board. The Board may discharge an employee of the Board for any reason that does not violate public policy, including, without limitation, making a false representation to the Board.
4. If a person resigns his or her position as a hearing officer or the Board terminates the person from his or her position as a hearing officer, the Board may not rehire the person in any position of employment with the Board for a period of 2 years following the date of the resignation or termination. The provisions of this subsection do not give a person any right to be rehired by the Board and do not permit the Board to rehire a person who is prohibited from being employed by the Board pursuant to any other provision of law.
[Cannabis Compliance Bd., §2.070, eff. 8-5-2020]
NAC 678A.455 Confidentiality of and access to records concerning employees. (NRS 678A.450)
1. All records concerning Board employees maintained by the Board are confidential as set out in NAC 284.718.
2. Access to employee records declared confidential by this section shall be allowed only as set out in NAC 284.726.
[Cannabis Compliance Bd., §2.060, eff. 8-5-2020]
NAC 678A.460 Confidentiality of information received by Board relating to security of cannabis establishments. (NRS 678A.450, 678A.470, 678B.650, 678C.490, 678D.500) Except as otherwise provided in NAC 678A.465 and NRS 239.0115, any information received by the Board related to the security of a cannabis establishment is confidential and must not be disclosed by the Board.
[Cannabis Compliance Bd., §6.030, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.712, which had the following regulatory history:
“(Added to NAC by Div. of Pub. & Behavioral Health by R004-14, 3-28-2014, eff. 4-1-2014; A by R148-15, 9-9-2016)”
2. Former NAC 453D.180, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.465 Confidentiality of name and any other identifying information of persons who facilitate or deliver services pursuant to provisions governing cannabis and cannabis establishments; exceptions. (NRS 678A.450, 678B.650, 678C.490, 678D.500)
1. Except as otherwise provided in this section and NRS 239.0115, the Board and any designee of the Board shall maintain the confidentiality of and shall not disclose the name or any other identifying information of any person who facilitates or delivers services pursuant to this chapter, chapter 678B or 678D of NAC or title 56 of NRS. Except as otherwise provided in NRS 239.0115, the name and any other identifying information of any person who facilitates or delivers services pursuant to this chapter, chapter 678B or 678D of NAC or title 56 of NRS are confidential, not subject to subpoena or discovery and not subject to inspection by the general public.
2. Notwithstanding the provisions of subsection 1, the Board or its designee may release the name and other identifying information of a person who facilitates or delivers services pursuant to this chapter, chapter 678B or 678D of NAC or title 56 of NRS to:
(a) Authorized employees of the Board or its designee as necessary to perform official duties of the Board.
(b) Authorized employees of federal, state or local law enforcement agencies only as necessary to verify that a person is lawfully facilitating or delivering services pursuant to this chapter, chapter 678B or 678D of NAC or title 56 of NRS. Nothing in this section will preclude the Board from disclosing the name and contact information of any person who facilitates or delivers services when providing a list of witnesses pursuant to a disciplinary complaint.
(c) Upon the lawful order or subpoena of a court of competent jurisdiction, authorized agents of any agency of the United States Government, any state or any political subdivision of a state or the government of any foreign country.
3. Nothing in this section prohibits the Board from providing a local government with a copy of all information and documentation provided as part of an application to operate a cannabis establishment upon the request of the local government and with the prior consent of the applicant.
[Cannabis Compliance Bd., §6.035, eff. 8-5-2020; A 8-13-2021]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.714, which had the following regulatory history:
“(Added to NAC by Div. of Pub. & Behavioral Health by R004-14, 3-28-2014, eff. 4-1-2014; A by R148-15, 9-9-2016)”
2. Former NAC 453D.185, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.470 Requirements for seizure of evidence; failure to comply with requirements does not render evidence inadmissible. (NRS 678A.450) When a Board agent seizes any article of property, the custodian of evidence for the Board shall place the evidence in a secure facility and enter in a suitable system sufficient information to establish a chain of custody. A failure to comply with this section shall not render evidence inadmissible in any proceeding before the Board.
[Cannabis Compliance Bd., §2.065, eff. 8-5-2020]
Disciplinary Action
NAC 678A.500 Applicability. (NRS 678A.450, 678B.650) NAC 678A.500 to 678A.620, inclusive, shall apply to disciplinary proceedings governed by NRS 678A.500 to 678A.640, inclusive. Unless otherwise ordered by the Chair, NAC 678A.500 to 678A.620, inclusive, shall apply to all such proceedings that are pending on August 5, 2020.
[Cannabis Compliance Bd., §4.010, eff. 8-5-2020]
NAC 678A.505 Grounds for disciplinary action. (NRS 678A.450, 678B.650)
1. A violation of any of the provisions of this chapter, chapter 678B or 678D of NAC or title 56 of NRS is grounds for disciplinary action by the Board, including, without limitation, immediate revocation of a license for a cannabis establishment pursuant to NRS 678A.450 and 678B.650.
2. A violation of any of the provisions of this chapter, chapter 678B or 678D of NAC or title 56 of NRS is grounds for disciplinary action by the Board, including, without limitation, immediate revocation of a cannabis establishment agent registration card.
[Cannabis Compliance Bd., §4.020, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from:
1. Former NAC 453A.350, which had the following regulatory history:
“(Added to NAC by Div. of Pub. & Behavioral Health by R004-14, 3-28-2014, eff. 4-1-2014)”
2. Former NAC 453D.900, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.510 Imposition of civil penalty; revocation or suspension of license or cannabis establishment agent registration card; corrective action; determination of amount of civil penalty. (NRS 678A.450, 678A.600, 678B.650)
1. The Board may:
(a) Subject to the provisions of NAC 678A.500 to 678A.620, inclusive, impose a civil penalty of not more than $90,000 per violation on any person who fails to comply with or violates any provision of the this chapter, chapter 678B or 678D of NAC or title 56 of NRS. Such a civil penalty must be paid to the State of Nevada for deposit in the State General Fund.
(b) Except as otherwise provided in paragraph (c), suspend or revoke a license or cannabis establishment agent registration card. If the Board orders the suspension of a license or cannabis establishment agent registration card, the Board shall prescribe the time period of the suspension in the written decision. If the Board orders the revocation of a license or cannabis establishment agent registration card, the Board shall prescribe a period of not less than 1 year and not more than 10 years during which the person may not apply for reinstatement of the license or cannabis establishment agent registration card.
(c) If corrective action approved by the Board will cure the noncompliance or violation but will not be completed within 30 days after issuance of the order, suspend for more than 30 days the license of a cannabis establishment or the cannabis establishment agent registration card of a person who fails to comply with or violates the provisions of this chapter, chapter 678B or 678D of NAC or title 56 of NRS.
2. To determine the amount of a civil penalty assessed pursuant to this section, the Board will consider the gravity of the violation, the economic benefit or savings, if any, resulting from the violation, the size of the business of the violator, the history of compliance with this chapter, chapter 678B and 678D of NAC and title 56 of NRS by the violator, action taken to remedy the violation, the effect of the penalty on the ability of the violator to continue in business and any other matter as justice may require.
[Cannabis Compliance Bd., §4.030, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived in part from former NAC 453D.905, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.515 Category I violations; penalties presumed to be appropriate. (NRS 678A.450, 678A.600, 678B.650)
1. The Board will determine a category I violation of this chapter, chapter 678B or 678D of NAC or title 56 of NRS as follows:
(a) Category I violations are of a severity that make a person ineligible to receive, renew or maintain a license.
(b) Category I violations include, without limitation:
(1) Conviction of an excluded felony offense;
(2) Operating without all required permits, certificates, registrations or licenses;
(3) Making an intentionally false statement to the Board or Board agents;
(4) Intentionally destroying or concealing evidence;
(5) Intentionally failing to pay taxes to the Department of Taxation;
(6) Allowing noisy, disorderly or unlawful activity that results in death or serious physical injury, that involves the unlawful use or attempted use of a deadly weapon against another person or that results in a sexual offense which is a category A felony;
(7) Operating a cannabis establishment while the license for the cannabis establishment is suspended or revoked;
(8) Transporting cannabis outside of the boundaries of this State, except where authorized by an agreement between the Governor of this State and a participating tribal government;
(9) Making verbal or physical threats to a Board agent or Board member;
(10) Failing to immediately admit regulatory or law enforcement personnel into the premises of a cannabis establishment;
(11) Refusing to allow an inspection or obstructing regulatory personnel or law enforcement officer from performing his or her official duties;
(12) Purchasing or selling cannabis that has not passed the analysis required by a cannabis independent testing laboratory without written approval from the Board;
(13) Purchasing or selling cannabis not found in the seed-to-sale tracking system;
(14) Failure to properly collect taxes; or
(15) Transporting or storing cannabis from an unlicensed source, other than patient or consumer samples stored at a cannabis independent testing laboratory, or diversion of cannabis or cannabis products.
2. Before consideration of the factors described in subsection 2 of NAC 678A.510 the Board will presume that the following are appropriate penalties for violations of this chapter, chapter 678B or 678D of NAC and title 56 of NRS:
(a) For a category I violation which is the:
(1) First violation in the immediately preceding 3 years, a civil penalty of not more than $90,000 and a suspension for not more than 30 days or revocation of a license or cannabis establishment agent registration card.
(2) Second or subsequent violation in the immediately preceding 3 years, revocation of a license or cannabis establishment agent registration card.
(b) Notwithstanding the foregoing, a single violation of subparagraph (15) of paragraph (b) of subsection 1 for diversion of cannabis or cannabis products requires revocation of a license, certificate or cannabis establishment agent registration card.
[Cannabis Compliance Bd., §4.035, eff. 8-5-2020; A 8-13-2021]
REVISER’S NOTE.
The provisions of this section were derived in part from former NAC 453D.905, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.520 Category II violations; penalties presumed to be appropriate. (NRS 678A.450, 678A.600, 678B.650)
1. The Board will determine a category II violation of this chapter, chapter 678B or 678D of NAC or title 56 of NRS as follows:
(a) Category II violations are violations of a severity that create a present threat to public health or safety.
(b) Category II violations include, without limitation:
(1) Making an unintentional false statement or representation of fact to the Board or Board agents;
(2) Unintentionally destroying or concealing evidence;
(3) Failing to verify the age of, or selling or otherwise providing cannabis or cannabis paraphernalia to, a person who is less than 21 years of age;
(4) Allowing a person who is less than 21 years of age to enter or remain in a cannabis establishment or transport vehicle unless the person holds a registry identification card or letter of approval;
(5) Permitting sales by a person without a cannabis establishment agent registration card unless that person is deemed to be temporarily registered;
(6) Effecting a change in ownership or ownership interest without complying with all the requirements of NAC 678B.119 or any additional Board guidance and orders regarding transfers of interest;
(7) Allowing noisy, disorderly or unlawful activity that involves use of a dangerous weapon against another person with intent to cause death or serious physical injury;
(8) Allowing a person who is less than 21 years of age to work or volunteer at the cannabis establishment;
(9) Failing to cease operation and notify the Board or Board agents during an imminent health hazard;
(10) Purchasing, cultivating, producing or otherwise using cannabis from an unapproved source;
(11) Not properly segregating medical patient retail sales from adult-use retail sales;
(12) Operating an unapproved extraction unit;
(13) Selling an amount of cannabis in excess of transaction limits;
(14) Failing to maintain required security alarm and surveillance systems;
(15) Any intentional variance from approved procedures in a cannabis independent testing laboratory;
(16) Failing to notify the Board or Board agents of a loss of possession or control of a cannabis establishment within 24 hours;
(17) Transferring, moving or disturbing cannabis or cannabis product which has been quarantined by the Board without Board approval;
(18) Failing to renew the cannabis establishment license on time; or
(19) Any violation of NAC 678B.566.
2. Before consideration of the factors described in subsection 2 of NAC 678A.510, the Board will presume that the following are appropriate penalties for violations of this chapter, chapter 678B or 678D of NAC or title 56 of NRS. For a category II violation which is the:
(a) First violation in the immediately preceding 3 years, a civil penalty of not more than $25,000 and a suspension for not more than 20 days of a license or cannabis establishment agent registration card.
(b) Second violation in the immediately preceding 3 years, a civil penalty of not more than $75,000 and a suspension for not more than 30 days of a license or cannabis establishment agent registration card.
(c) Third or subsequent violation in the immediately preceding 3 years, revocation of a license or cannabis establishment agent registration card.
[Cannabis Compliance Bd., §4.040, eff. 8-5-2020; A 8-13-2021]
REVISER’S NOTE.
The provisions of this section were derived in part from former NAC 453D.905, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.525 Category III violations; penalties presumed to be appropriate. (NRS 678A.450, 678A.600, 678B.650)
1. The Board will determine a category III violation of this chapter, chapter 678B or 678D of NAC or title 56 of NRS as follows:
(a) Category III violations are violations of a severity that create a potential threat to public health or safety.
(b) Category III violations include, without limitation:
(1) Transporting cannabis in an unauthorized vehicle;
(2) Allowing consumption by any person of alcohol, cannabis (except at a cannabis consumption lounge) or other intoxicants on the premises of the cannabis establishment or in areas adjacent to the premises of the cannabis establishment which are under the licensee’s control, including, without limitation, a parking lot;
(3) Failing to keep any required records, including seed-to-sale tracking requirements;
(4) Failing to tag plants as required;
(5) Failing to follow an approved security plan;
(6) Allowing disorderly activity;
(7) Allowing any activity which violates the laws of this State;
(8) Failing to notify the Board or Board agents within 24 hours after discovery of a serious incident or criminal activity on the premises of the cannabis establishment;
(9) Unintentionally failing to pay taxes to the Department of Taxation;
(10) Selling unauthorized products;
(11) Failing to notify the Board or Board agents of a modification or expansion of the facilities of the cannabis establishment or a change in equipment or menu of the cannabis establishment;
(12) Violating packaging or labeling requirements, including seed-to-sale tracking system requirements;
(13) Storing or delivering an unapproved cannabis product or a cannabis product outside the seed-to-sale tracking system;
(14) Failing to meet requirements for the disposal of cannabis waste;
(15) Using unauthorized pesticides, soil amendments, fertilizers or other crop production aids;
(16) Exceeding the maximum serving requirements for cannabis products;
(17) Exceeding a reasonable time frame for delivery without approval from the Board or Board agents;
(18) Transporting or storing cannabis from an unlicensed source, other than patient samples stored at a cannabis independent testing laboratory, or diversion of cannabis or cannabis products;
(19) Picking up, unloading or delivering cannabis at an unauthorized location;
(20) Failing to comply with requirements for hand washing and employee hygiene, including, without limitation, using a bare hand on a cannabis product;
(21) Failing to maintain proper temperature of potentially hazardous food or cannabis products;
(22) Selling or failing to dispose of cannabis, cannabis products or food items that are spoiled or contaminated;
(23) Failing to tag cannabis or a cannabis product as required;
(24) Failing to follow seed-to-sale tracking system requirements while transporting or delivering cannabis or cannabis products;
(25) Failing to properly update the licensee’s point of contact with the Board;
(26) Failing to maintain quality assurance or quality control program in a laboratory;
(27) Failing to maintain updated standard operating procedures;
(28) Allowing sales of any products at a cannabis consumption lounge that are not permitted to be sold at a cannabis consumption lounge;
(29) Allowing the removal of any single-use cannabis products or ready-to-consume cannabis products from a cannabis consumption lounge;
(30) Permitting the use or consumption of cannabis by any person displaying any visible signs of overconsumption at a cannabis consumption lounge;
(31) Failing to develop, implement or maintain a plan to mitigate the risk of impaired driving at a cannabis consumption lounge; or
(32) Failing to maintain a separate room in a cannabis consumption lounge for cannabis smoking, vaping and inhalation in a cannabis consumption lounge, unless all such activities are prohibited in the cannabis consumption lounge.
2. Before consideration of the factors described in subsection 2 of NAC 678A.510, the Board will presume that the following are appropriate penalties for violations of this chapter, chapter 678B or 678D of NAC or title 56 of NRS. For a category III violation which is the:
(a) First violation in the immediately preceding 3 years, a civil penalty of not more than $10,000.
(b) Second violation in the immediately preceding 3 years, a civil penalty of not more than $30,000, a suspension for not more than 10 days of a license or cannabis establishment agent registration card or both of those penalties.
(c) Third violation in the immediately preceding 3 years, a civil penalty of not more than $90,000, a suspension for not more than 20 days of a license or cannabis establishment agent registration card or both of those penalties.
(d) Fourth violation in the immediately preceding 3 years, a civil penalty of not more than $90,000 and a suspension for not more than 60 days of a license or cannabis establishment agent registration card.
(e) Fifth or subsequent violation in the immediately preceding 3 years, revocation of a license or cannabis establishment agent registration card.
[Cannabis Compliance Bd., §4.050, eff. 8-5-2020; A 8-13-2021, 7-14-2022]
REVISER’S NOTE.
The provisions of this section were derived in part from former NAC 453D.905, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.530 Category IV violations; penalties presumed to be appropriate. (NRS 678A.450, 678A.600, 678B.450)
1. The Board will determine a category IV violation of this chapter, chapter 678B or 678D of NAC or title 56 of NRS as follows:
(a) Category IV violations create a climate which is conducive to abuses associated with the sale or production of cannabis or cannabis products.
(b) Category IV violations include, without limitation:
(1) Failing to display or have in the immediate possession of each cannabis establishment agent a cannabis establishment agent registration card or proof of temporary registration;
(2) Removing, altering or covering a notice of suspension of a license or any other required notice or sign;
(3) Violating advertising requirements;
(4) Displaying products in a manner visible to the general public from a public right-of-way;
(5) Failing to respond to an administrative notice of a violation or failing to pay fines;
(6) Violating restrictions on sampling;
(7) Failing to maintain a standardized scale as required;
(8) Improper storing of cannabis, cannabis products or other foods;
(9) Failing to properly wash, rinse and sanitize product contact surfaces as required;
(10) Failing to maintain hand washing facilities that are stocked, accessible and limited to hand washing only;
(11) Infestation by pests that are not multigenerational or on contact surfaces;
(12) Failing to properly use sanitizer as required;
(13) Violating any transportation or delivery requirements not described in another category of violations;
(14) Failing to properly respond to a Board or Board agent’s request for documentation, information, video or other records;
(15) Failing to comply with required employee training;
(16) Failing to offer required consumer education, support materials, warnings or notices to a cannabis consumption lounge consumer;
(17) Failing to comply with any laws or regulations related to on-site food preparation at a cannabis consumption lounge; or
(18) Failing to comply with ventilation requirements at a cannabis consumption lounge.
2. Before consideration of the factors described in subsection 2 of NAC 678A.510, the Board will presume that the following are appropriate penalties for violations of this chapter, chapter 678B or 678D of NAC or title 56 of NRS. For a category IV violation which is the:
(a) First violation in the immediately preceding 3 years, a civil penalty of not more than $5,000.
(b) Second violation in the immediately preceding 3 years, a civil penalty of not more than $10,000, a suspension for not more than 7 days of a license or cannabis establishment agent registration card or both of those penalties.
(c) Third violation in the immediately preceding 3 years, a civil penalty of not more than $20,000, a suspension for not more than 10 days of a license or cannabis establishment agent registration card or both of those penalties.
(d) Fourth violation in the immediately preceding 3 years, a civil penalty of not more than $40,000, a suspension for not more than 20 days of a license or cannabis establishment agent registration card or both of those penalties.
(e) Fifth violation in the immediately preceding 3 years, a civil penalty of not more than $80,000 and a suspension for not more than 30 days of a license or cannabis establishment agent registration card.
(f) Sixth or subsequent violation in the immediately preceding 3 years, revocation of a license or cannabis establishment agent registration card.
[Cannabis Compliance Bd., §4.055, eff. 8-5-2020; A 8-13-2021, 7-14-2022]
REVISER’S NOTE.
The provisions of this section were derived in part from former NAC 453D.905, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.535 Category V violations; penalties presumed to be appropriate. (NRS 678A.450, 678A.600, 678B.650)
1. The Board will determine a category V violation of this chapter, chapter 678B or 678D of NAC or title 56 of NRS as follows:
(a) Category V violations are inconsistent with the orderly regulation of the sale or production of cannabis or cannabis products.
(b) Category V violations include, without limitation:
(1) Failing to submit monthly tax or sales reports or payments;
(2) Failing to notify the Board or Board agents of a temporary closure of the cannabis establishment within 24 hours of the closure;
(3) Failing to post any required signs;
(4) Failing to notify the Board of a change in the name of the cannabis establishment;
(5) Making a payment with a check returned for insufficient funds;
(6) Failing to comply with any other requirements not described in another category of violations;
(7) Failing to properly submit quarterly inventory reports, monthly sales reports or other reports required by the Board;
(8) Failing to pay for all costs involved in screening or testing related to quality assurance compliance checks within 30 days;
(9) Operating a cannabis consumption lounge or cannabis sales facility outside of its designated hours of operation or failing to properly post the hours of operation of a cannabis consumption lounge or cannabis sales facility;
(10) Failing to provide required water service at a cannabis consumption lounge; or
(11) Failing to comply with requirements regarding visibility of consumption from the public at a cannabis consumption lounge.
2. Before consideration of the factors described in subsection 2 of NAC 678A.510, the Board will presume that the following are appropriate penalties for violations of this chapter, chapter 678B or 678D of NAC or title 56 of NRS. For a category V violation which is the:
(a) First violation in the immediately preceding 3 years, a warning.
(b) Second violation in the immediately preceding 3 years, a civil penalty of not more than $2,500.
(c) Third violation in the immediately preceding 3 years, a civil penalty of not more than $5,000, a suspension for not more than 3 days of a license or cannabis establishment agent registration card or both of those penalties.
(d) Fourth violation in the immediately preceding 3 years, a civil penalty of not more than $10,000, a suspension for not more than 7 days of a license or cannabis establishment agent registration card or both of those penalties.
(e) Fifth violation in the immediately preceding 3 years, a civil penalty of not more than $20,000, a suspension for not more than 10 days of a license or cannabis establishment agent registration card or both of those penalties.
(f) Sixth or subsequent violations in the immediately preceding 3 years, a civil penalty of not more than $40,000, a suspension for not more than 20 days of a license or cannabis establishment agent registration card or both of those penalties.
[Cannabis Compliance Bd., §4.060, eff. 8-5-2020; A 7-14-2022]
REVISER’S NOTE.
The provisions of this section were derived in part from former NAC 453D.905, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.540 Determination of imminent health hazard; duty of cannabis establishment to report imminent health hazard. (NRS 678A.450, 678B.650)
1. The Board, through its Board agents, will determine whether an event is an imminent health hazard that requires immediate correction or cessation of operations to prevent injury or serious illness based on the nature, severity and duration of any anticipated injury, illness or disease and the number of injuries or illnesses to members of the public which may occur. Events that are presumed to be imminent health hazards include, without limitation:
(a) Interruption of electrical service;
(b) Lack of potable water or hot water;
(c) Grossly unsanitary occurrences or conditions including, without limitation, pest infestation or sewage or liquid waste not being disposed of in an approved manner;
(d) Lack of adequate refrigeration;
(e) Lack of adequate toilet and hand washing facilities for employees;
(f) Misuse of poisonous or toxic materials;
(g) A suspected outbreak of foodborne illness;
(h) A fire or flood;
(i) Governor’s emergency directives; or
(j) Any other condition or circumstance which endangers public health.
2. If a cannabis establishment becomes aware of any such condition listed above, independently and not through the Board’s agent, it must report said hazard to the Board or Board agents within 2 hours of the hazard’s discovery.
[Cannabis Compliance Bd., §4.065, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived in part from former NAC 453D.905, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.545 Reinstatement of license or cannabis establishment agent registration card: Application; consideration of certain criteria in determining whether to reinstate; conditions, limitations or restrictions upon reinstatement; denial; provisions do not establish right to reinstatement. (NRS 678A.450, 678B.650)
1. If a person applies for reinstatement of a license or cannabis establishment agent registration card that has been revoked pursuant to this chapter, the person shall:
(a) Submit an application on a form supplied by the Board.
(b) Satisfy all the current requirements for the issuance of an initial license or cannabis establishment agent registration card.
(c) Attest that, in this State or any other jurisdiction:
(1) The person has not, during the period of revocation, violated any state or federal law relating to cannabis, and no criminal or civil action involving such a violation is pending against the person; and
(2) No other regulatory body has, during the period of revocation, taken disciplinary action against the person, and no such disciplinary action is pending against the person.
(d) Satisfy any additional requirements for reinstatement of the license or cannabis establishment agent registration card prescribed by the Board.
2. The Board will consider each application for reinstatement of a license or cannabis establishment agent registration card submitted pursuant to this section. In determining whether to reinstate the license or cannabis establishment agent registration card, the Board will consider the following criteria:
(a) The severity of the act resulting in the revocation of the license or cannabis establishment agent registration card.
(b) The conduct of the person after the revocation of the license or cannabis establishment agent registration card.
(c) The amount of time elapsed since the revocation of the license or cannabis establishment agent registration card.
(d) The veracity of the attestations made by the person pursuant to subsection 1.
(e) The degree of compliance by the person with any additional requirements for reinstatement of the license or cannabis establishment agent registration card prescribed by the Board.
(f) The degree of rehabilitation demonstrated by the person.
3. If the Board reinstates the license or cannabis establishment agent registration card, the Board may place any conditions, limitations or restrictions on the license or cannabis establishment agent registration card as it deems necessary.
4. The Board may deny reinstatement of the license or cannabis establishment agent registration card if the person fails to comply with any provisions of this section.
5. This section must not be interpreted to give any party or other person a right to reinstatement of the license or cannabis establishment agent registration card.
[Cannabis Compliance Bd., §4.100, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived in part from former NAC 453D.912, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.550 Summary suspension of license or registration card: Grounds; required procedures; request for hearing. (NRS 678A.450, 678B.650)
1. If, due to the actions of a cannabis establishment, there could be an impairment of the health and safety of the public, the Executive Director, or the Deputy Director in his or her absence, will convene an emergency Board meeting telephonically.
2. Pursuant to subsection 3 of NRS 233B.127, if the Board finds that the public health, safety or welfare imperatively requires emergency action, the Board may issue an order of summary suspension of the license of a cannabis establishment or a cannabis establishment agent registration card pending proceedings for revocation or other action. An order of summary suspension issued by the Board must contain findings of the exigent circumstances which warrant the issuance of the order of summary suspension, and a suspension under such an order is effective immediately.
3. The Board will give notice to a licensee or person that is subject to an order of summary suspension of the facts or conduct that warrant the order and the deficiencies that must be corrected to lift the order. A cannabis establishment whose license has been suspended pursuant to subsection 2 shall develop a plan of correction for each deficiency and submit the plan to the Board for approval within 10 business days after receipt of the order of summary suspension. The plan of correction must include specific requirements for corrective action, which must include times within which the deficiencies are to be corrected. A licensee or person that is subject to an order of summary suspension shall not operate until the Board or its designee has confirmed that the deficiencies identified in the order have been corrected.
4. If the plan submitted pursuant to subsection 3 is not acceptable to the Board or its designee, the Board may direct the cannabis establishment to resubmit a plan of correction or the Board may develop a directed plan of correction with which the cannabis establishment must comply. The Board’s acceptance of a plan of correction does not preclude the Board from assessing fines or pursuing disciplinary action against the licensee for any violations connected with the suspension.
5. A licensee or person that is subject to an order of summary suspension may request a hearing regarding the order within 10 business days after the order is issued. A hearing on the summary suspension must be held within 30 days after that request for hearing.
[Cannabis Compliance Bd., §4.105, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived in part from former NAC 453D.920, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
Complaints
NAC 678A.555 Required contents. (NRS 678A.450, 678B.650) The complaint must contain the following information:
1. The date of the violation or, if the date of the violation is unknown, the date that the violation was identified;
2. The address or description of the location where the violation occurred;
3. The section of this chapter, chapter 678B or 678D of NAC or title 56 of NRS that was violated and a description of the violation;
4. The amount of the civil penalty that the Board may impose or a description of the action the Board may take for the violation;
5. A description of the payment process, including a description of the time within which and the place to which any civil penalty must be paid if the respondent does not wish to dispute the complaint;
6. An order prohibiting the continuation or repeated occurrence of the violation described in the complaint;
7. A description of the complaint process, including, without limitation, the time within which respondent must serve an answer to the complaint and the place to which the answer must be served; and
8. The name of the Board agent who performed the investigation.
[Cannabis Compliance Bd., §4.070, eff. 8-5-2020]
NAC 678A.560 Service. (NRS 678A.450, 678B.650) The Board shall serve the complaint in the manner prescribed by subsection 1 of NRS 678A.520. The Board may serve the complaint by registered or certified mail, or may utilize the services of the Board by referring the complaint to a Board agent for personal service. Proof of service may be provided by a certificate or affidavit of service, which must be signed by the person effecting service and which must specify the date and manner of service.
[Cannabis Compliance Bd., §4.075, eff. 8-5-2020]
Hearings
NAC 678A.565 Powers of Chair; consideration by Board of certain actions of Chair. (NRS 678A.450, 678B.650)
1. Pursuant to NAC 678A.420, the Chair may issue rulings on discovery matters, scheduling matters, protective orders, the admissibility of evidence and other procedural or prehearing matters that are not dispositive of the case or any portion thereof. The Chair’s rulings are subject to consideration by the entire Board upon the request of any Board member, or upon motion of a party or person affected by the ruling, as provided in NAC 678A.420. The failure of such party or person to move for such consideration shall not be deemed to be consent to the ruling, nor waiver of any objections previously made regarding the ruling, for the purpose of judicial review.
2. The Chair may alter any of the time periods provided by NAC 678A.500 to 678A.620, inclusive, upon the Chair’s own initiative or upon motion by a party or other person affected, for good cause shown.
[Cannabis Compliance Bd., §4.085, eff. 8-5-2020]
NAC 678A.570 Limitations on communications between parties and members of Board. (NRS 678A.450, 678B.650)
1. Unless required for the disposition of ex parte matters authorized by law:
(a) A party or the party’s representative shall not communicate, directly or indirectly, in connection with any issue of fact or law related to a proceeding under NAC 678A.500 to 678A.620, inclusive, with any member of the Board, except upon notice and opportunity to all parties to participate; and
(b) A member of the Board shall not communicate, directly or indirectly, in connection with any issue of fact or law related to a proceeding under NAC 678A.500 to 678A.620, inclusive, with any party or any party’s representative, except upon notice and opportunity to all parties to participate.
2. This section shall not preclude:
(a) Any member of the Board from consulting with Board counsel or supervisory counsel concerning any matter before the Board; or
(b) A party or a party’s representative from conferring with the Chair or Board counsel concerning procedural matters that do not involve issues of fact or law related to the proceeding.
3. A party or a party’s representative may discuss, with counsel only, issues of fact or law in conjunction with potential case settlement.
[Cannabis Compliance Bd., §4.080, eff. 8-5-2020]
NAC 678A.575 Representation by attorney: Appearance through attorney authorized; limitation; service of documents; duty to sign documents; withdrawal; penalties for violations; responsibility for costs. (NRS 678A.450, 678B.650)
1. Parties to proceedings governed by NAC 678A.500 to 678A.620, inclusive, may appear personally or through an attorney, except that the parties must personally attend any hearing on the merits unless such attendance has been waived pursuant to NAC 678A.400 to 678A.455, inclusive, and 678A.470.
2. When a party has appeared through an attorney, service of all notices, motions, orders, decisions and other papers shall thereafter be made upon the attorney.
3. When a party is represented by an attorney, the attorney shall sign all motions, oppositions, notices, requests and other papers on behalf of the party, including requests for subpoenas.
4. An attorney may withdraw from representing a person upon notice to the person or licensee and the Board. The notice must include the reason for the requested withdrawal. The attorney must notify the person or licensee of an opportunity to object to the withdrawal. If the party or licensee objects to the withdrawal, the person or licensee must so notify the Board. The Board may deny the request if there may be an unreasonable delay in the case or the substantial rights of the person or licensee may be prejudiced.
5. If the Board finds that an attorney has violated any provision of this section, the Board may bar the attorney from participating in the case or may impose such other sanctions as the Board deems appropriate.
6. A person or licensee subject to a hearing pursuant to this chapter is responsible for all costs related to the presentation of the defense.
[Cannabis Compliance Bd., §4.090, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived in part from former NAC 453D.944, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.580 Requirements for early case conference and formal hearing. (NRS 678A.450, 678B.650)
1. Within 10 days after the respondent answers the complaint pursuant to NRS 678A.520 and demands a hearing or if the Board orders a hearing even if the respondent waives his or her right to a hearing, the parties shall hold an early case conference at which the parties and a hearing officer employed by the Board, or as permitted by NAC 616C.2753, or a delegated member of the Board, a panel of the Board or the Board must preside. At the early case conference, the parties shall in good faith:
(a) Set the earliest possible hearing date agreeable to the parties and the hearing officer, a delegated member of the Board, panel of the Board, or the Board, including the estimated duration of the hearing not later than 45 days after receiving the respondent’s answer unless an expedited hearing is determined to be appropriate;
(b) Set dates:
(1) By which all documents must be exchanged;
(2) By which witness lists must be exchanged;
(3) By which all prehearing motions and responses thereto must be filed; and
(4) For any other foreseeable actions that may be required for the matter;
(c) Discuss or attempt to resolve all or any portion of the evidentiary or legal issues in the matter;
(d) Discuss the potential for settlement of the matter on terms agreeable to the parties; and
(e) Discuss and deliberate any other issues that may facilitate the timely and fair conduct of the matter.
2. A formal hearing must be held at the time and date set at the early case conference by:
(a) The Board;
(b) A hearing officer; or
(c) A panel of three members of the Board.
3. The hearing will be conducted as set forth in NRS 678A.540. If the hearing is held before a hearing officer or panel of the Board, the hearing officer or panel shall issue, within 30 days after the last date of the hearing, findings of fact and conclusions of law for the Board’s review pursuant to subsection 1 of NAC 678A.610.
4. For purposes of NRS 678A.550 and the provisions of this chapter regarding the conduct of a hearing, a Board member shall be deemed present at a hearing when said Board member has reviewed the full written or audio transcript of the hearing and all evidence submitted at the hearing.
[Cannabis Compliance Bd., §4.095, eff. 8-5-2020]
NAC 678A.585 Conference for exchange of evidence and list of witnesses required; contents and discovery of investigative file; prohibition on service of written discovery; depositions; continuing obligation to produce documents, witness lists and other matters. (NRS 678A.450, 678B.650)
1. Within 20 calendar days after the service of the answer by the first answering respondent, and thereafter as each respondent answers the complaint, the parties shall confer for the purpose of complying with subsection 3.
2. Within 5 calendar days after a request for hearing regarding an order of summary suspension, the parties shall confer for the purpose of complying with subsection 3.
3. At each conference the parties shall:
(a) Exchange copies of all documents and other evidence then reasonably available to a party which are then intended to be offered as evidence in support of the party’s case in chief; and
(b) Exchange written lists of persons each party then intends to call as a material witness in support of that party’s case in chief. Each witness must be identified by name, if known, position, business address and a brief description of the purpose for which the witness will be called. If no business address is available, the party shall provide a home address for the witness or shall make the witness available for service of process. For the purpose of this paragraph, a “material witness” is a person whose testimony relates to a genuine issue in dispute which might affect the outcome of the proceeding.
4. The investigative file for a case is not discoverable unless Board counsel intends to present materials from the investigative file as evidence in support of the case. The investigative file for the case includes all communications, records, affidavits or reports acquired or created as part of the investigation of the case, whether or not acquired through a subpoena related to the investigation of the person. Discovery of the investigative file is limited solely to those documents the Board counsel intends to use as evidence in support of its case, as disclosed before the hearing.
5. A party may not serve any written discovery on another party, inclusive of interrogatories, requests for production, requests for admissions or depositions by written questions.
6. Pursuant to subsection 2 of NRS 678A.530, a party may take the deposition of a material witness. A party who wishes to take a deposition of a material witness must request such a deposition at any early case conference held in the matter or submit a written application at least 30 days before the hearing. The application must:
(a) Set forth the reason why the deposition is necessary; and
(b) Be accompanied by the appropriate orders for deposition.
7. A material witness is a witness who has percipient knowledge of the alleged misconduct of the licensee. If there is any dispute as to whether a particular witness is material, such dispute must be submitted to the Chair or hearing officer and the Chair or officer shall rule on whether such witness is material.
8. The Chair or the hearing officer shall approve or deny the application submitted pursuant to subsection 6 within 5 days after the receipt of the application. If a material witness deposition is allowed it shall be conducted in accordance with the Nevada Rules of Civil Procedure and not last more than 1 day or 7 hours unless good cause is shown.
9. Depositions of nonmaterial witnesses may be permitted in two very limited circumstances:
(a) If the potential witness resides outside of Nevada; or
(b) If the witness is not available to testify during the hearing.
10. If the parties cannot agree on whether a nonmaterial witness can be deposed, such dispute must be submitted to the Chair or the hearing officer and the Chair or officer shall rule on this issue, taking into account whether the burden and expense of the proposed deposition outweighs its likely benefit.
11. It shall be a continuing obligation of the parties to produce documents, witness lists and other matters governed by this section as such become identified by and available to the parties. A party may amend its responses to the requirements of this section by informing the adverse party that documents previously produced or witnesses previously listed will not be introduced in that party’s case in chief.
[Cannabis Compliance Bd., §4.110, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived in part from former NAC 453D.930, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.590 Continuances and recesses. (NRS 678A.450, 678B.650) The Board may, for good cause shown, either before or during a hearing, grant continuances or recesses and may consider a stipulation by the parties to a continuance of the hearing.
[Cannabis Compliance Bd., §4.115, eff. 8-5-2020]
REVISER’S NOTE.
The provisions of this section were derived from former NAC 453D.956, which had the following regulatory history:
“(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”
NAC 678A.595 Burden and standard of proof; creation of rebuttable adverse presumption for failure to comply with certain requirements. (NRS 678A.450, 678B.650) The Board has the burden of proof, and the standard of proof is a preponderance of the evidence, as defined in NRS 233B.0375. If a licensee fails to create or maintain any documents, records, surveillance video or any other items required pursuant to this chapter, chapter 678B or 678D of NAC or title 56 of NRS, that failure shall create a rebuttal presumption that such items would be harmful to that licensee’s case at any disciplinary proceeding against the licensee.
[Cannabis Compliance Bd., §4.120, eff. 8-5-2020]
NAC 678A.600 Motions. (NRS 678A.450, 678B.650)
1. All motions must be in writing, unless made during a hearing.
2. A motion must state with particularity the grounds therefore, must be supported by a memorandum of points and authorities and must set forth the relief or order sought.
3. Every written motion must be filed with the Board and served by the moving party upon the adverse party or as the Chair directs.
4. An opposing party has 10 calendar days after service of the motion within which to file and serve a memorandum of points and authorities in opposition to the motion.
5. The moving party has 5 calendar days after service of the opposing memorandum to serve and file a reply memorandum of points and authorities if the moving party so desires.
6. If a motion or opposition is served by mail, 3 calendar days must be added to the time periods specified herein for response.
7. The failure of a moving party to file a memorandum of points and authorities in support of a motion constitutes consent to the denial of the motion. The failure of an opposing party to file a memorandum of points and authorities in opposition to any motion constitutes consent to the granting of the motion.
[Cannabis Compliance Bd., §4.125, eff. 8-5-2020]
NAC 678A.605 Subpoenas: Authorized purposes for which subpoena may be issued; procedures for issuance. (NRS 678A.450, 678B.650)
1. The Executive Assistant shall issue subpoenas, including subpoenas duces tecum, upon the request of a party, in accordance with this section.
2. Subpoenas may be issued only for the following purposes:
(a) To compel a nonparty witness to appear and give oral testimony at a deposition as provided by subsection 2 of NRS 678A.530; and
(b) To compel any person to appear at the hearing on the merits of the case, to give oral testimony alone or to produce documents or other tangible things.
3. Subpoenas shall be submitted to the Executive Assistant for issuance on a form approved by the Chair. Concurrently with the submission of the subpoena to the Executive Assistant, the requesting party shall serve a copy on all other parties to the proceeding, and shall file proof of such service with the Board.
4. Subpoenas will not be issued in blank. A subpoena submitted for issuance must contain the title and number of the case, the name of the person to whom it will be directed, the date, time and place of the hearing or deposition and the name and signature of the requesting party or the requesting party’s attorney. A subpoena duces tecum must in addition contain a complete description of specific documents or other tangible things that the witness will be required to produce at the hearing.
5. Unless the witness agrees otherwise, a subpoena issued for the purpose provided by paragraph (b) of subsection 2 must be served by the requesting party at least 10 calendar days before the hearing or deposition. A subpoena will be issued during the hearing or upon less than 10 days’ notice only upon order of the Board for reasonable cause shown by the requesting party.
[Cannabis Compliance Bd., §4.130, eff. 8-5-2020]
NAC 678A.610 Disposition of charges: Adjudication by Board; required disciplinary action for violations; issuance of order imposing discipline; orders deemed public records. (NRS 678A.450, 678B.650)
1. Before to the adjudication, at least three members of the Board shall review a full transcript of the hearing or the phonographic recording of the hearing to ensure the members have heard all the evidence presented and shall review the findings of fact and conclusions of law submitted after the hearing.
2. At the adjudication, the Board shall consider any findings of fact and conclusions of law submitted after the hearing and shall allow:
(a) A Board agent or counsel for the Board to present a disciplinary recommendation and argument; and
(b) The respondent or counsel of the respondent to present an argument, if they wish to, in opposition to or support of the disciplinary recommendation.
Ê The Board may limit the time within which the parties and the complainant may make their arguments and statements.
3. At the conclusion of the presentations of the parties, the Board shall deliberate and may by a majority vote impose discipline based upon the evidence, findings of fact and conclusions of law and the presentations of the parties.
4. If the Board finds that a violation has occurred, it shall by order any and all discipline authorized by NAC 678A.500 to 678A.620, inclusive, and title 56 of NRS.
5. Within 30 days after the conclusion of the adjudication by the Board, the Board shall issue a final order that imposes discipline and incorporates the findings of fact and conclusions of law obtained from the hearing. An order that imposes discipline and the findings of fact and conclusions of law supporting that order are public records.
[Cannabis Compliance Bd., §4.135, eff. 8-5-2020; A 8-13-2021]
Miscellaneous Petitions
NAC 678A.615 Petition for declaratory ruling or advisory opinion. (NRS 233B.120, 678A.450)
1. Any applicant for licensure, licensed cannabis establishment or holder of a registry identification card may obtain a determination or advisory opinion from the Board as to the applicability of any provision of chapters 678A to 678D, inclusive, of NRS or any regulation adopted pursuant thereto by bringing a petition for a declaratory ruling before the Board. No other persons or entities may petition the Board for a declaratory ruling.
2. A declaratory ruling is an extraordinary remedy that will be considered by the Board only when the objective of the petitioner cannot reasonably be achieved by other means and when the ruling would be significant to the regulation of cannabis. The Board will construe any statute or regulation reviewed pursuant to this section in a manner consistent with the declared policy of the State of Nevada.
3. A petition for a declaratory ruling must be filed with the Executive Director, together with a nonrefundable filing fee in the amount of $500.
4. The petition for a declaratory ruling must contain:
(a) The name, business address and telephone number of the petitioner;
(b) A statement of the nature of the interest of the petitioner in obtaining the declaratory ruling;
(c) A statement identifying the specific statute or regulation in question;
(d) A clear and concise statement of the interpretation or position of the petitioner relative to the statute or regulation order in question;
(e) A description of any contrary interpretation, position or practice that gives rise to the petition;
(f) A statement of the facts and law that support the interpretation of the petitioner, along with a table of legal authorities;
(g) A statement showing why the subject matter is appropriate for Board action in the form of a declaratory ruling and why the objective of the petitioner cannot reasonably be achieved by other administrative remedy;
(h) A statement identifying all persons or groups who the petitioner believes will be affected by the declaratory ruling, including the cannabis industry as a whole, and the manner in which the petitioner believes each person will be affected; and
(i) The signature of the petitioner or the petitioner’s legal representative.
5. A petitioner may not file a petition for a declaratory ruling involving questions or matters that are issues in a disciplinary action or civil penalty action with the Board in which the petitioner is a party or has a financial or ownership interest in a party.
6. The Board will consider a petition for a declaratory ruling at the next scheduled Board meeting, provided that the petition is filed with the Executive Director 15 calendar days before that scheduled Board meeting. If the petition is not filed with the Executive Director 15 calendar days before the next scheduled Board meeting, the petition will be considered at the following scheduled Board meeting.
7. In considering a petition for a declaratory ruling at the Board’s meeting, the Board, by
majority vote of the members, may take any of the following actions:
(a) Dismiss the petition and close the case.
(b) Order a hearing with oral argument on the petition and set a date for said hearing, which may be at a subsequently scheduled Board meeting.
(c) Issue an order permitting any other licensee or applicant to file a brief supporting or opposing the petition. If the Board chooses this option, supporting or opposing briefs shall be due 10 calendar days after the Board meeting during which the petition is considered and any reply briefs shall be due 5 calendar days thereafter. All such briefs must be timely filed and served on the Executive Director and the other parties involved or will not be considered. Each such brief must be accompanied by a non-refundable filing fee of $250.
(d) After hearing the petition and reviewing any additional briefing, if applicable, issue an order granting or denying, or granting in part and denying in part, the petition.
8. The petitioner may not obtain judicial review of any Board order entered pursuant to this section.
9. The petitioner, or any other party filing a brief under paragraph (c) of subsection 7, may request a waiver of the filing fee pursuant to a showing of financial hardship.
[Cannabis Compliance Bd., §4.140, eff. 8-5-2020]
NAC 678A.620 Petition for adoption, amendment or repeal of a regulation. (NRS 678A.450)
1. Any interested party may petition the Board to request the adoption, amendment or repeal of a regulation pursuant to paragraph (d) of subsection 1 of NRS 678A.460.
2. The Board will construe any such petition pursuant to this section in a manner consistent with the declared policy of the State of Nevada.
3. A petition to the Board to request the adoption, amendment or repeal of a regulation shall be filed with the Executive Director, together with a nonrefundable filing fee in the amount of $500.
4. The petition to request the adoption, amendment or repeal of a regulation must contain:
(a) The name, business address and telephone number of the petitioner;
(b) A statement of the substance or nature of the regulation, amendment or repeal requested;
(c) A statement identifying the specific regulation in question;
(d) A clearly drafted proposed new regulation to be adopted, a clearly drafted amendment to a specific regulation or a detailed statement of what regulation is to be repealed and why, depending on the specific request;
(e) A statement identifying all persons or groups who the petitioner believes will be affected by the adoption, amendment or repeal of a regulation, including the cannabis industry as a whole, and the manner in which the petitioner believes each person will be affected; and
(f) The signature of the petitioner or the petitioner’s legal representative.
5. A petitioner may not file a petition for adoption, amendment or repeal of a regulation that involves regulations that are issues in a disciplinary action or civil penalty action with the Board in which the petitioner is a party or has a financial or ownership interest in a party.
6. The Board will consider a petition for adoption, amendment or repeal of a regulation at the next scheduled Board meeting, provided that the petition is filed with the Executive Director
15 calendar days before that scheduled Board meeting. If the petition is not filed with the Executive Director 15 calendar days before the next scheduled Board meeting, the petition will be considered at the following scheduled Board meeting.
7. In considering a petition for adoption, amendment or repeal of a regulation at the Board’s meeting, the Board, by majority vote of the members, may take any of the following actions:
(a) Dismiss the petition with no action taken.
(b) Refer the petition to the Cannabis Advisory Commission for consideration and recommendations.
(c) Order a hearing with oral argument on the petition and set a date for said hearing, which may be at a subsequently scheduled Board meeting.
(d) Issue an order permitting any other licensee or applicant to file a brief supporting or opposing the petition. If the Board chooses this option, supporting or opposing briefs shall be due 10 calendar days after the Board meeting during which the petition is considered and any reply briefs shall be due 5 calendar days thereafter. All such briefs must be timely filed and served on the Executive Director and the other parties involved, or will not be considered. Each such brief must be accompanied by a nonrefundable filing fee of $250.
(e) After hearing the petition and reviewing any additional briefing, if applicable, issue an order granting or denying, or granting in part and denying in part, the petition.
8. The petitioner may not obtain judicial review of any Board order entered pursuant to this section.
9. The petitioner, or any other party filing a brief under paragraph (d) of subsection 7, may request a waiver of the filing fee pursuant to a showing of financial hardship.
[Cannabis Compliance Bd., §4.145, eff. 8-5-2020]