[Rev. 6/3/2026 1:49:05 PM]

CHAPTER 678B - LICENSING AND CONTROL OF CANNABIS

[NAC-678B Revised Date: 4-26]

 

GENERAL PROVISIONS

678B.003        Maximum allowable quantity of cannabis and cannabis products a person may possess.

678B.006        Authority of Board to limit cannabis production within State.

678B.009        Declared policy of State; procedures and requirements to obtain cannabis establishment license, business license, registration card or approval by Board.

CANNABIS ESTABLISHMENTS GENERALLY

Licensing

678B.050        Designation of persons responsible for providing information, signing documents and ensuring certain actions are taken; persons required to comply with provisions governing owners, officers and board members of cannabis establishment.

678B.053        Qualifications for licensure.

678B.056        Licensing of cannabis consumption lounges: Request for applications; notice by Board; time period for submission of applications.

678B.059        Licensing of cannabis consumption lounges: Method of submitting application for license; application is non-transferable; requirements for application; requirements for payment of fee.

678B.062        Licensing of cannabis consumption lounges: Issuance of prospective license and conditional license.

678B.065        Licensing of cannabis consumption lounges: Issuance of final license.

678B.068        Licensing of cannabis consumption lounges: Criteria for social equity applicants; reduction in administrative processing fee for social equity applicants.

678B.071        Licensing of cannabis consumption lounges: Lack of ordinance of local governmental jurisdiction establishes that no limit exists on number of business licenses for cannabis consumption lounges in local governmental jurisdiction.

678B.074        Licensing of cannabis consumption lounges: Request for reduction of fees for holder of conditional license for independent cannabis consumption lounge; required contents; required time period for submission of request.

678B.077        Licensing of cannabis consumption lounges: Applicant to proceed with review of suitability if Board receives less applications than number of available licenses; applicant for license for retail cannabis consumption lounge who holds license for adult-use cannabis retail store to proceed with review of suitability.

678B.080        Licensing of cannabis consumption lounges: Transfer of license for retail cannabis consumption lounge prohibited without transfer of license for cannabis sales facility; requirements for premises of retail cannabis consumption lounge; development of procedures for transfer of cannabis.

678B.083        Request by the board of county commissioners of the county to increase percentage of total number of medical cannabis dispensaries; circumstances in which Board may deny request.

678B.086        Request by board of county commissioners of certain counties to issue license for medical cannabis cultivation facility or medical cannabis production facility; circumstances in which Board may deny request; opening of licensing round upon approval of request; procedures and requirements for submission of application for license; ranking of applications; issuance of license.

678B.087        Requirements for payment of fee for application for license submitted in licensing round opened at request of board of county commissioners.

678B.089        Criteria of merit to score application for licensing round opened at request of board of county commissioners.

678B.092        Petition to reevaluate suitability: Applicant who is denied conditional license may submit petition; required contents; authorized actions of Board.

678B.095        Board authorized to consider application of holder of medical cannabis establishment license for cannabis establishment license of same type.

678B.098        Board required to promulgate regulations concerning submission of application for cannabis establishment license by holder of medical cannabis establishment license.

678B.101        Authority of Board agent or Executive Director to conduct inspection; inspection required before issuance of license; preliminary walk-through; operation before issuance of license prohibited; report of compliance with other inspections required before issuance of license.

678B.104        Authority of Board and Executive Director relating to inspections and investigations, summoning of witnesses and issuance of subpoenas, administration of oaths and administration of provisions governing licensing and regulation of cannabis establishments and cannabis establishment agents.

678B.107        Surrender of conditional license if cannabis establishment has not received final inspection within 12 months after issuance; extension of time for final inspection; fee not refundable.

678B.110        Notification to Board required if cannabis establishment is closing; immediate surrender of license upon permanent closure.

678B.113        Requirements for renewal of license; cessation of operations required if license not renewed; license not renewed within 90 days after expiration deemed voluntarily surrendered.

678B.116        Grounds for denial of application for issuance or renewal of license; notice of denial.

678B.119        Requirements for transfer of ownership interest; reimbursement of costs to Board; notice to Board; permission of Board required for registering certain information in the books and records of the cannabis establishment; investigation; authority of Board to require certain persons to apply for license; restrictions on transfer of license for independent cannabis consumption lounge.

678B.122        Procedures for waiving requirements concerning transfer of ownership for transfer of less than 5 percent; time period in which waiver is valid; authority of Board to deny or rescind waiver; “prospective cannabis establishment agent” interpreted.

Cannabis Establishment Agents

678B.140        Cannabis establishment agent registration card: Application requirements; notice to Board after occurrence of certain events; qualifications; issuance, expiration and renewal; authorized activities under registration; temporary registration.

678B.143        Waiver of requirement to obtain a cannabis agent registration card for any person who holds an ownership interest of less than 5 percent: Procedures to request waiver; time in which waiver is valid; denial or rescission of waiver; “prospective cannabis establishment agent” interpreted.

678B.146        Cannabis establishment agent registration card for a cannabis executive: Application requirements; issuance, expiration and renewal; notice to Board after occurrence of certain events; qualifications.

678B.149        Electronic submission of applications required.

678B.152        Requirements for requesting replacement registration card.

678B.155        Requirements for changing name or address on registration card.

678B.158        Categories of cannabis establishment agent registration cards.

678B.161        Cannabis receivers: Requirements and procedures for placement of cannabis receiver over cannabis establishment; circumstances in which Board may order summary suspension of license or placement of cannabis receiver.

678B.164        Cannabis receivers: Cannabis establishment agent registration card for a cannabis receiver required to act as cannabis receiver; requirements to obtain registration card.

678B.167        Cannabis receivers: Duties; retention of counsel authorized; responsibility for fees and costs; cannabis receiver is subject to same requirements and disciplinary action as holder of other registration card; responsibility for civil penalties; removal or replacement.

678B.170        Cannabis receivers: Application requirements for certificate of qualification; review of suitability; Board to list holders of certificate on Internet website of Board; procedures for holder of certificate to be placed as cannabis receiver; suspension and revocation of certificate.

678B.173        Cannabis receivers: Required procedures upon death, incapacity or disability of certain owners of cannabis establishment; plan of succession; authority of Executive Director and Board upon death, incapacity or disability of owner of cannabis establishment; notice to Executive Director required upon death, incapacity or disability of cannabis receiver; penalties.

Requirements and Procedures for Operation

678B.190        Posting of licenses and other authorization to conduct business in conspicuous place.

678B.193        Requirements of dual licensee.

678B.196        Operation in accordance with plans and specifications included in application; deviation from plans and specifications; documentation of change to facilities; inspection or audit of change to facilities; time period for becoming operational; plan for inactivity.

678B.199        Written request for move to new location; issuance of new amended license upon approval of request.

678B.202        Adoption and implementation of policies and procedures prohibiting discrimination and harassment; inspection and review of policies and procedures; deficiencies in policies and procedures.

678B.205        Persons authorized on premises; visitor identification badge and other requirements for other persons; maintenance and availability of visitor log; conditions under which live animals authorized on premises.

678B.208        Training and instruction required before cannabis establishment agent may begin work, volunteer or provide labor.

678B.211        Development, documentation and implementation of certain policies and procedures; maintenance and availability.

678B.214        Inventory control system; authorized sources for acquisition of cannabis and cannabis products; duties of establishment if loss incurred; maintenance and availability of documentation.

678B.217        Use of seed-to-sale tracking system; payment of fees; tagging of cannabis and cannabis products.

678B.220        Required security measures, equipment and personnel; location of outdoor cultivation facility must allow for response by local law enforcement; requirements concerning possession of firearms; duty to operate in respectable manner; requirements concerning criminal activities; consumption of cannabis by employees at work prohibited.

678B.223        Duties relating to cannabis establishment agents.

678B.226        Cleanliness of cannabis establishment agents; requirements and restrictions concerning cannabis establishment agents with certain health conditions.

678B.229        Procedures for hand washing.

678B.232        Requirements for building used as cannabis establishment; use of commercial weighing and measuring equipment.

678B.235        Quality assurance testing required before sale or transfer of cannabis or cannabis products.

678B.238        Requirements for preparation or sale of edible cannabis products; cannabis production facility exempt from provisions governing food establishments.

678B.241        Prohibition on dispensing or selling cannabis or cannabis products from vending machine.

678B.244        Prohibition on treating or adulterating usable cannabis with chemical or other compound.

678B.247        Restrictions on advertising; required posting of signs in cannabis sales facility.

678B.250        Restrictions on promotion of cannabis and cannabis products; provisions governing labeling and testing apply to all cannabis and cannabis products.

678B.253        Required warnings and disclosures in advertising; prohibition on advertising in manner appealing to children.

678B.256        Responsibility for costs relating to clean-up, mitigation or remedy of environmental damage.

678B.259        Documentation and reporting of loss or theft; maintenance of documentation.

678B.262        Quarterly report by cannabis cultivation facility, cannabis production facility and cannabis sales facility concerning production, purchases and sales of cannabis and cannabis products.

678B.265        Board to send survey concerning demographic information; recipient required to complete and return survey.

Miscellaneous Provisions

678B.280        Component cannabis establishment: Legal status as separate entity; issuance of license by Board; shared secured storage area; requirements for buildings and location; inspection and other requirements to commence operations; expansion of operations; powers and duties in operation.

678B.283        Collection of assessment by Board for oversight; amount; activities for which Board will not bill.

678B.286        Requirements for submission of certain information by publicly traded company holding interest in cannabis establishment.

678B.289        Contracts or agreements with certain unsuitable or unlicensed persons prohibited; termination of contract or agreement.

678B.292        Notification to Board of certain events.

CANNABIS SALES FACILITIES

678B.300        Requirements for operation; posting of hours of operation.

678B.303        Duties of cannabis establishment agent before sale to consumer.

678B.306        Valid proof of identification of age of consumer required.

678B.309        Prohibition on sale of cannabis or cannabis products that exceed certain amounts.

678B.312        Products required to be offered for sale; restrictions on sale of other products; restrictions on advertising; prohibition on recommending products to women who are pregnant or breastfeeding.

678B.315        Storage and location of products; disclosure of cannabis independent testing laboratory performing quality assurance tests upon request of consumer; approved sources of products for sale; maintenance and availability of certificate of analysis; exemption for hemp.

678B.318        Requirements for curbside pickup.

678B.321        Delivery to consumer: General requirements.

678B.324        Delivery to consumer: Duties of cannabis sales facility.

678B.327        Delivery to consumer: Restrictions; duties of cannabis establishment agent making delivery.

678B.330        Delivery to consumer: Requirements for motor vehicles used to make deliveries; adequate temperature control of products required; inspection of motor vehicles authorized.

CANNABIS CULTIVATION FACILITIES

678B.350        Required written disclosure with each lot of usable cannabis; provision of free samples to cannabis sales facility; applicability of provisions governing excise tax on cannabis to free samples.

678B.353        Restrictions on access to facility and persons authorized on premises; location of cannabis growing at facility.

678B.356        Requirements for outdoor cultivation; verification of adequate isolation.

PRODUCTION OF CANNABIS PRODUCTS

General Requirements

678B.370        Hand and arm contact of cannabis establishment agent while engaged in extraction of concentrated cannabis or production of cannabis products.

678B.373        Requirements and restrictions on use of non-cannabis ingredients; approval of Board agent required for new menu items produced by cannabis production facility; approval of processing authority required for menu items requiring HACCP plan.

678B.376        Requirements concerning sinks and running water for cannabis establishment handling cannabis that is not prepackaged.

678B.379        Requirement to maintain cleanliness of surfaces of equipment and utensils.

678B.382        Requirements for sanitation of surfaces and utensils.

Requirements for Cannabis Production Facilities

678B.400        Creation of cannabis extracts; development of standard operating procedures, good manufacturing practices and training plan.

678B.403        Edible cannabis products: Testing to ensure homogeneity of potency; requirements for sale; approval of Board agent required for certain changes.

678B.406        Requirements for sanitizers.

678B.409        Requirements for filters for liquid filtration; prohibition on asbestos-containing filter.

Requirements for Cannabis Production Facilities and Cannabis Consumption Lounges

678B.420        Qualifications and duties of persons responsible for managing cannabis production facility or cannabis consumption lounge that serves food.

678B.423        Protection of products and ingredients from cross-contamination.

678B.426        Use of pasteurized eggs and egg products; cleanliness of equipment, utensils and articles; requirements for temperature controls.

678B.429        Requirement to ensure that potentially hazardous cannabis products are clearly marked; determination of expiration date and shelf life of perishable products.

678B.432        Requirements for materials used in construction of utensils and contact surfaces.

678B.435        Requirements for lighting.

678B.438        Sufficiency of ventilation hood systems and devices.

678B.441        Sufficiency of mechanical ventilation.

678B.444        Frequency of and activities requiring cleaning of surfaces of equipment and utensils.

678B.447        Cleaning of surfaces of cooking and baking equipment and door seals of microwave ovens.

MANUFACTURING PRACTICES FOR CULTIVATION AND PREPARATION OF CANNABIS AND CANNABIS PRODUCTS

General Requirements

678B.460        Requirements for building used to manufacture, process, package or hold cannabis or cannabis products.

678B.463        Requirement to maintain building used to manufacture, process, package or hold cannabis or cannabis products in good state of repair.

678B.466        Requirements for water, plumbing and drains in building used to manufacture, process, package or hold cannabis or cannabis products.

678B.469        Adequate lighting required; establishment of policy for area requiring dim or no lighting.

678B.472        Establishment of and adherence to written procedures for sanitation; requirement to retain person who is certified applicator of pesticides.

678B.475        Storage, management and disposal of waste.

Requirements for Cannabis Cultivation Facilities, Cannabis Production Facilities, Cannabis Consumption Lounges and Cannabis Sales Facilities

678B.490        Requirement to have quality control unit; establishment of and adherence to written responsibilities and procedures applicable to quality control unit.

678B.493        Adequate ventilation, filtration systems and related equipment required for building.

678B.496        Establishment of and adherence to written procedures for labeling and packaging materials.

678B.499        Establishment of and adherence to written procedures for production and process control to assure quality of cannabis and cannabis products; review and approval of procedures; recording and justification of deviation from procedures.

678B.502        Components, product containers and closures: Establishment of and adherence to written procedures; storage and handling.

678B.505        Appropriateness, cleanliness and maintenance of equipment, utensils and substances; maintenance of records.

Requirements for Cannabis Cultivation Facilities, Cannabis Production Facilities, Adult-use Cannabis Distributors, Cannabis Consumption Lounges and Cannabis Sales Facilities

678B.520        Requirement to ensure cleanliness of employees and volunteers.

678B.523        Restrictions on salvaging cannabis and cannabis products; maintenance of records.

CANNABIS INDEPENDENT TESTING LABORATORIES

678B.530        Employment, qualifications and duties of scientific director; testing prohibited without employment of director; appointment of interim director; notice to Board upon appointment of new director.

678B.533        Requirements for testing laboratory to handle, test or analyze cannabis; implementation of business practices to safeguard impartiality in testing; use of distributor not required to collect or move samples for testing.

678B.536        Agreement to become accredited within 1 year after licensure; provision of annual inspection report to Board; inspection by accrediting organization is not substitute for inspection by Board.

678B.539        Adherence to general laboratory standards, practices, procedures and programs; inspection by Board or authorized third party; adoption of publications by reference.

678B.542        Establishment of policies for adequate chain of custody and requirements for samples of products provided to testing laboratory.

678B.545        No limitation on amount of usable cannabis and cannabis products on premises of testing laboratory; maintenance of records to prove amount on premises is for testing purposes only.

678B.548        Proficiency testing program: Establishment by Board; required participation by testing laboratory; conditions for successful participation; unsuccessful participation grounds for limitation, suspension or revocation of license; proficiency testing inter-laboratory communication and referral prohibited.

678B.551        Procedures and requirements for limited testing for research and development purposes.

678B.554        Required quality assurance tests; requirements for samples and the transportation of samples; submission of wet cannabis for testing; provision of certificate of analysis.

678B.557        Performance of potency analysis or terpene analysis.

678B.560        Performance of testing to verify homogeneity of potency of edible cannabis products.

678B.563        Use of approved pesticides by cannabis establishment; performance of pesticide residue analysis by testing laboratory.

678B.566        Testing: Selection of representative samples and random samples; segregation period for entire lot; duties of testing laboratory; disposal of lot if sample fails test; release of lot if sample passes test; filing of electronic copy of certificate of analysis for tests performed by testing laboratory; grounds for disciplinary action for failure to comply; Board authorized to publish certificates of analysis.

678B.569        Testing: Authorized use of cannabis upon failure of certain tests; automatic failure to pass; request for retest; retest for pesticide residue must be performed by State Department of Agriculture; effect of passing or failing retest.

678B.572        Collection and testing of random samples from cannabis establishments for comparison with results reported by testing laboratories.

678B.575        Random quality assurance compliance checks; costs for screening or testing.

PACKAGING AND LABELING OF CANNABIS AND CANNABIS PRODUCTS

678B.590        Packaging required to be approved by Board agent before use.

678B.593        Requirements for single packages.

678B.596        Requirements for packaging of cannabis and cannabis products.

678B.599        Stamp or mold required for edible cannabis products; exception.

678B.602        Requirements for labeling cannabis or cannabis products “organic.”

678B.605        Cannabis cultivation facility: Required labeling before sale of cannabis to another cannabis establishment.

678B.608        Cannabis production facility: Required labeling of cannabis products before sale to cannabis sales facility or another cannabis production facility.

678B.611        Cannabis sales facility and cannabis consumption lounge: Required labeling of usable cannabis, single-use cannabis products and ready-to-consume cannabis products before sale.

678B.614        Cannabis sales facility and cannabis consumption lounge: Required labeling of cannabis products.

678B.617        Cannabis sales facility and cannabis consumption lounge: Required disclosures and warnings.

678B.620        Cannabis cultivation facility, cannabis production facility, cannabis consumption lounge, and cannabis sales facility: Use of standard label required; duties with respect to labeling materials; establishment of and adherence to written procedures concerning labeling.

678B.623        Cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility: Examination of products during finishing operations; collection of representative sample of units; recording of results.

678B.626        Labeling of cannabis treated with radiation.

 

 

GENERAL PROVISIONS

      NAC 678B.003  Maximum allowable quantity of cannabis and cannabis products a person may possess. (NRS 678C.200, 678D.200)

     1.  The maximum allowable quantity of adult-use cannabis products a person may possess is:

     (a) One ounce (28.35 grams) of usable cannabis;

     (b) The equivalent to one-eighth ounce of concentrated cannabis, not to exceed 3,543 milligrams of THC;

     (c) Three thousand five hundred forty-three milligrams of THC contained within edible cannabis products; or

     (d) A combination of usable and concentrated cannabis not to exceed the legal limit.

     2.  The maximum allowable quantity of medical cannabis products a holder of a valid registry identification card may possess is:

     (a) Two and one-half ounces (70.875 grams) of usable cannabis;

     (b) Ten thousand milligrams of THC concentrate;

     (c) Ten thousand milligrams of THC contained within one or more edible cannabis products; or

     (d) A combination of usable and concentrated cannabis not to exceed the legal limit.

     [Cannabis Compliance Bd., §6.010, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.704, 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.165, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.006  Authority of Board to limit cannabis production within State. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  The Board may, upon findings made following a public hearing that the public interest will be supported by limiting the cultivation of cannabis in this State, limit the amount of cannabis in production within this State.

     [Cannabis Compliance Bd., §6.015, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.706, 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.600, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.009  Declared policy of State; procedures and requirements to obtain cannabis establishment license, business license, registration card or approval by Board. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  It is declared policy of Nevada that all cannabis establishments are licensed and controlled so as to better protect the public health, safety, morals, good order and welfare of inhabitants and to preserve the competitive economy and the policies of free competition of the State of Nevada. Any cannabis establishment license, business license, registration card or approval by the Board pursuant to the provisions of chapters 678A to 678D, inclusive, of NRS is a revocable privilege, and no holder acquires any vested right therein or thereunder. No applicant for a license or other affirmative Board approval has any right to a license or the granting of the approval sought.

     2.  An application for a cannabis establishment license, business license, registration card or approval by the Board is seeking the granting of a privilege, and the burden of proving the applicant’s qualification to receive any license is at all times on the applicant. An applicant must accept any risk of adverse public notice, embarrassment, criticism or other action or financial loss which may result from action with respect to an application and expressly waive any claim for damages as a result thereof.

     3.  An application for a cannabis establishment license, business license, registration card or approval by the Board shall constitute a request to the Board for a decision upon the applicant’s general suitability, character, integrity and ability to participate or engage in, or be associated with, the cannabis industry in the manner or position sought by the application and, by filing an application with the Board, the applicant specifically consents to the making of such a decision by the Board at their election when the application, after filing, becomes moot for any reason other than death.

     4.  A request for withdrawal of an application may be made at any time before final action upon the application by the Board by filing a written request to withdraw with the Board. Final action by the Board upon an application occurs when the Board adopts its conclusion regarding the application. Unless any Board member directs a request for withdrawal be placed on an agenda for action, the Board Chair may, in the Chair’s discretion, grant the request for withdrawal without prejudice. The Board may, in its discretion, deny the request or grant the request with or without prejudice. If a request for withdrawal is granted with prejudice, the applicant is not eligible to apply again for licensing or approval until after expiration of 1 year from the date of such withdrawal.

     5.  After completion of its investigation and proceedings respecting an application, the Board will issue the approval or denial of the application. If the Board denies an application, the denial will be accompanied by written reasons upon which the denial is based. All such denials and reasons will be made public, and no denial will be secret. Any person whose application has been denied is not eligible to apply again for licensing or approval until after expiration of 1 year from the date of such denial, unless the Board determines in its discretion otherwise.

     [Cannabis Compliance Bd., §5.000, eff. 8-5-2020]

CANNABIS ESTABLISHMENTS GENERALLY

Licensing

      NAC 678B.050  Designation of persons responsible for providing information, signing documents and ensuring certain actions are taken; persons required to comply with provisions governing owners, officers and board members of cannabis establishment. (NRS 678B.650)

     1.  When a cannabis establishment is required pursuant to this chapter or chapter 678B of NRS to provide information, sign documents, accept service of complaints or notification of violations or ensure actions are taken, the persons identified in this subsection shall comply with the requirement on behalf of the cannabis establishment:

     (a) If a natural person is applying for a license for a cannabis establishment, the natural person;

     (b) If a corporation is applying for a license for a cannabis establishment, a natural person who is an officer of the corporation;

     (c) If a limited partnership is applying for a license for a cannabis establishment, a natural person who is a partner;

     (d) If a limited-liability company is applying for a license for a cannabis establishment, a manager or, if the limited-liability company does not have a manager, a natural person who is a member of the limited-liability company;

     (e) If an association or cooperative is applying for a license for a cannabis establishment, a natural person who is a member of the governing board of the association or cooperative;

     (f) If a joint venture is applying for a license for a cannabis establishment, a natural person who signed the joint venture agreement;

     (g) If a trust is applying for a license for a cannabis establishment, a natural person who is a trustee of the trust; and

     (h) If a business organization other than those described in paragraphs (b) to (g), inclusive, is applying for a license for a cannabis establishment, a natural person who is a member of the business organization.

     2.  For the purposes of this chapter and chapter 678B of NRS, the following persons must comply with the provisions governing owners, officers and board members of a cannabis establishment:

     (a) If a corporation is applying for a license for a cannabis establishment, the shareholders, officers and board members of the corporation;

     (b) If a limited partnership is applying for a license for a cannabis establishment, the partners;

     (c) If a limited-liability company is applying for a license for a cannabis establishment, the members and managers of the limited-liability company;

     (d) If an association or cooperative is applying for a license for a cannabis establishment, the members of the association or cooperative;

     (e) If a joint venture is applying for a license for a cannabis establishment, the natural persons who signed the joint venture agreement;

     (f) If a trust is applying for a license for a cannabis establishment, the trustees of the trust, and

     (g) If a business organization other than those described in paragraphs (a) to (f), inclusive, is applying for a license for a cannabis establishment, the members of the business organization.

     [Cannabis Compliance Bd., §5.010, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.300, 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.250, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.053  Qualifications for licensure. (NRS 678B.200)  In addition to the considerations in NRS 678B.200 and 678B.280, the Board may consider the following in determining whether any person qualifies to receive a license under the provisions of chapter 678B of NRS:

     1.  The adequacy of the person’s business competence and experience for the role or position for which application is made;

     2.  The unsuitable affiliates of the person applying for the license even if the person is found suitable by the Board, but associates with, or controls, or is controlled by, or is under common control with, an unsuitable person;

     3.  The adequacy of the proposed funding for the nature of the proposed operations;

     4.  The suitability of the source of funding unless the person satisfies the Board that the source of funding:

     (a) Is a person of good character, honesty and integrity; and

     (b) Is a person whose background, reputation and associations will not result in adverse publicity for the State of Nevada and its cannabis industry; and

     5.  The Board may consider any other qualifications or behavior of the person that the Board determines is inconsistent with the declared policy of the State.

     [Cannabis Compliance Bd., §5.015, eff. 8-5-2020]

      NAC 678B.056  Licensing of cannabis consumption lounges: Request for applications; notice by Board; time period for submission of applications. (NRS 678B.300, 678B.650)

     1.  As often as the Board deems necessary, the Board will determine whether a sufficient number of cannabis consumption lounges exist to serve the people of this State and, if the Board determines that additional cannabis consumption lounges are necessary, the Board will issue a request for applications to operate a cannabis consumption lounge. The Board will provide notice of a request for applications to operate a cannabis consumption lounge by:

     (a) Posting on the Internet website of the Board that the Board is requesting applicants to submit applications;

     (b) Posting a copy of the request for applications at the offices of the Board; and

     (c) Making notification of the posting locations using the electronic mailing list maintained by the Board for cannabis establishment information.

     2.  The Board will accept applications in response to a request for applications issued pursuant to this section for 10 business days. The Board will provide notice of a request for applications that will specify the exact dates on which the applications will be accepted. The applicants must strictly adhere to the written instructions the Board provides for submittal of each application.

     3.  If the Board receives an application in response to a request for applications issued pursuant to this section on a date other than the dates set forth in subsection 2, the Board will not consider the application and must return the application and application processing fee to the person that submitted the application.

     [Cannabis Compliance Bd., §5.020, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.304, 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.260, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.059  Licensing of cannabis consumption lounges: Method of submitting application for license; application is non-transferable; requirements for application; requirements for payment of fee. (NRS 678A.450, 678B.250, 678B.650)

     1.  Upon a request by the Board for applications to operate a cannabis consumption lounge license, a person may apply for a cannabis establishment license that has an open application period. An application must be submitted through the Board’s designated electronic licensing application system during the time listed on the open application period. No applications will be accepted before or after the open application period. The deadline for application submissions and compliance with the application instructions will be strictly enforced. The Board will grant no grace period for an application once the application period has concluded. The Board will not be held responsible for any technical or other issues that the applicant may experience with the electronic licensing application system during the application period. Failure to submit an application, in a timely manner, for any reason including technical issues, will result in a denial. Questions on the application or application submittal process must only be submitted in writing to an electronic mail address designated explicitly for that purpose in the written application instructions. All such electronic mail will be posted publicly on the Board’s website. Regarding such electronic mail, the Board cannot guarantee a response within any particular time frame or before the application submittal deadline. No applicant is entitled to rely on any verbal information relayed to them regarding the application submittal process. All official application instructions will be posted on the Board’s website at www.ccb.nv.gov. The applicant must also provide a point of contact, as required by NAC 678A.440, and update that information as required.

     2.  An application for a cannabis establishment license is non-transferable.

     3.  To meet the minimum scoring guidelines, the initial application must include the following:

     (a) A one-time, nonrefundable administrative processing fee in an amount designated in NRS 678B.390 for that particular cannabis establishment license type.

     (b) The type of cannabis establishment license the applicant is applying for.

     (c) The legal name of the proposed cannabis establishment, as reflected in the articles of incorporation or other formation documents filed with the Nevada Secretary of State.

     (d) An attestation that the applicant can, has or will secure evidence that the applicant controls liquid assets in an amount of at least $200,000 and will provide said evidence within the time frame required in paragraph (b) of subsection 4 of NAC 678B.062. If and when an applicant meets the minimum scoring guidelines on the application and is selected for a prospective license this affirmation will be verified and, if untrue, may be used to deny the applicant a conditional license.

     (e) The address where the proposed cannabis establishment will be located and, if applicable, the physical address of any co-owned or otherwise affiliated cannabis establishments. While the physical address may change before opening the cannabis establishment, this address will be used to identify the local jurisdiction where the cannabis establishment must be located and remain pursuant to NRS 678B.500. Once the applicant identifies the address, the applicant is limited to locations within said local jurisdiction pursuant to NRS 678B.500.

     (f) An attestation wherein the applicant agrees and understands that the actual location, when determined, where the cannabis establishment will be conducting business:

          (1) Must not be within 1,000 feet of a public or private school that provides formal education traditionally associated with preschool or kindergarten through grade 12 and that existed on the date on which the application for the proposed cannabis establishment was submitted to the Board;

          (2) Must not be within 300 feet of a community facility that existed on the date on which the application for the proposed cannabis establishment was submitted to the Board; and

          (3) If the proposed cannabis establishment will be located in a county whose population is 100,000 or more, must not be within 1,500 feet of an establishment that holds a nonrestricted gaming license described in subsection 1 or 2 of NRS 463.0177 and that existed on the date on which the application for the proposed cannabis establishment was submitted to the Board.

Ê Pursuant to paragraph (a) of subsection 2 of NRS 678B.322, “[t]he location of a proposed retail cannabis consumption lounge: [e]xcept as otherwise provided in paragraph (b) [of subsection 2 of NRS 678B.322], is not subject to the restrictions set forth in sub-subparagraph (II) of subparagraph (2) of paragraph (a) of subsection 3 of NRS 678B.250 so long as the adult-use cannabis retail store to which the proposed retail cannabis consumption lounge is to be attached or immediately adjacent was in compliance with such requirements at the time it was issued an adult-use cannabis establishment license.” “[T]he time [the adult-use cannabis retail store] was issued an adult-use cannabis establishment license” is interpreted to mean the time frame referenced in sub-subparagraph (II) of subparagraph (2) of paragraph (a) of subsection 3 of NRS 678B.250.

     (g) An attestation that the applicant can, has or will secure evidence when available that the applicant either:

          (1) Owns the property on which the cannabis establishment will be physically located; or

          (2) Has the written permission of the property owner to operate the cannabis establishment at that physical location.

     (h) The mailing address, telephone number and electronic mail address of the applicant. If contacted by the Board the applicant must respond immediately, but if that is impossible, then not later than 2 business days after contact by the Board. If the applicant does not timely respond to any Board communication, that fact may be used to deny the applicant from receiving a prospective, conditional or final license.

     (i) The name, address and date of birth of each natural person proposed to be an owner, officer or board member of the proposed cannabis establishment. If the applicant or an owner is anything other than a natural person, said applicant or owner must submit the aforementioned information for all owners who hold shares or any type of ownership interest directly or indirectly in any way that equate to 5 percent or more. All owners within the ownership structure for the cannabis establishment must be listed if the person owns 5 percent or more interest in any entity within the ownership structure.

     (j) For cannabis consumption lounges only, an affirmation that no person who owns 5 percent or more interest in any entity within the ownership structure has applied for another cannabis consumption lounge license. If any application has an owner who owns 5 percent or more interest in any entity within the ownership organization chart and said owner is also on any other application wherein they are listed as an owner who owns 5 percent or more interest in any entity within the ownership structure, all such applications will be removed from consideration. Any application removed for any reason will not have its administrative processing fee returned and it is a nonrefundable fee.

     (k) For each owner, officer and board member listed in the application, the agent card portal record number showing proof the person has applied for a registration card as a prospective owner, officer or board member. Payment of the fee for a registration card will not be required until the applicant has met the minimum scoring guidelines on the application and has been selected for a prospective license. Applicants must complete all other sections of the application, including a complete set of the person’s fingerprints, which must be submitted to the Central Repository for Nevada Records of Criminal History for submission to the Federal Bureau of Investigation for its report. If any owner, officer or board member listed in the application has been convicted of an excluded felony offense the application will be removed from the process.

     (l) An affirmation that the applicant has and will implement a diversity plan as required under paragraph (j) of subsection 4 of NAC 678B.062. An applicant shall upload the diversity plan as further detailed in subparagraphs (1) to (8), inclusive, of paragraph (j) of subsection 4 of NAC 678B.062.

     (m) An attestation that the information provided to the Board to apply for the license is true and correct according to the information known by the attestant at the time of the attestation.

     (n) An attestation stating, in pertinent part, the following: “By submitting this application, I agree to release and hold harmless the State of Nevada, the Cannabis Compliance Board and each of their employees, attorneys and consultants from any and all liability for any and all decisions and actions taken in response to the information and data submitted by me or obtained by the Cannabis Compliance Board regarding this application, including, but not limited to, any rejection or denial of this application.”

     4.  Applicants are solely responsible for ensuring that the Board physically receives payment for the fee required by paragraph (a) of subsection 3 not later than 5:00 p.m., Pacific Time, on the final date of the open application period, at either:

     (a) The Board’s Carson City office located at 1550 College Parkway, Suite 142, Carson City, Nevada 89706; or

     (b) The Board’s Las Vegas office located at 700 East Warm Springs Road, Suite 100, Las Vegas, Nevada 89119.

Ê Payments delivered to any other locations will not be considered valid or received.

     5.  Payments must strictly comply with the application instruction requirements regarding submission of payments and will be rejected for any failure to comply with those application instructions.

     6.  Payments must be made via one of the following methods:

     (a) Electronic transfer via ACH through the Board’s electronic licensing system;

     (b) Cashier’s check; or

     (c) Money order.

     7.  If payment is made by ACH, that process must be completed not later than 5:00 p.m., Pacific Time, on the final date of the open application period. If payment is made by cashier’s check or money order, it still must be physically received not later than 5:00 p.m., Pacific Time, on the final date of the open application period.

     8.  For applicants paying by ACH, if payment does not clear, the application will be deemed incomplete, untimely and rejected. The Board and its staff are not required to notify applicants of the failure of their payments to clear. The Board is not responsible for any difficulties any applicant may experience in the timely submission of their electronic payment, no matter where such issues or problems may arise.

     9.  For applicants paying by cashier’s check or money order, such payment must be delivered in person to the Board offices listed in subsection 4, but still must be physically received not later than 5:00 p.m., Pacific Time, on the final date of the open application period. Payments must not be dropped off in any drop boxes or mail slots, which will result in the associated application being deemed incomplete, untimely and rejected. The Board shall not be responsible for any payments that are late due to misdirected deliveries from the applicant or anyone else making the in-person delivery, banking issues or mistakes, transportation problems or any other reasons. Payment will not be accepted via mail or any other form of commercial delivery service such as Federal Express, United Parcel Service or DHL.

     10.  Failure to timely pay the administrative proceeding fee will result in the associated application or applications being deemed incomplete and the Board shall reject them.

     [Cannabis Compliance Bd., §5.040, eff. 8-5-2020; A 7-14-2022, 9-9-2022]

      NAC 678B.062  Licensing of cannabis consumption lounges: Issuance of prospective license and conditional license. (NRS 678A.450, 678B.250, 678B.324, 678B.650)

     1.  There is no guarantee that an applicant who meets the minimum scoring guidelines and is selected by the random number selector for a prospective license will also receive a conditional license. To receive a conditional license, an applicant must be found suitable by the Board only after a suitability investigation is completed by Board agents.

     2.  In the event the number of licenses for a cannabis consumption lounge type are limited, and if the application meets the minimum scoring guidelines to qualify, the application will be entered into a random number selector to determine which applicants will be selected. If selected through the random number selector, the application will be eligible for a prospective license for a cannabis establishment. If there is no limit on the number of licenses to be awarded in any particular licensing period, a random number selector will not be used. However, the applicant must meet the minimum scoring guidelines before they can proceed to a suitability investigation by the Board agents and suitability review by the Board to receive a conditional license.

     3.  If the applicant has met the minimum scoring guidelines on the application and was selected for a prospective license for a cannabis consumption lounge, the applicant must fully cooperate with Board agents to conduct a suitability investigation.

     4.  An applicant who receives a letter informing them that they received a prospective license and that they will be proceeding to a suitability investigation by Board agents must upload the following documents within 120 days of receipt of such letter. There will be no extensions granted to the 120-day deadline with the exception of the funding requirement pursuant to paragraph (b):

     (a) If the applicant is applying for a license for a cannabis consumption lounge, the proposed hours of operation during which the cannabis consumption lounge plans to be open to consumers.

     (b) Evidence that the applicant controls $200,000 in liquid assets.

     (c) Operating procedures consistent with this chapter and chapters 678A and 678D of NAC to ensure the use of adequate security measures.

     (d) Operating procedures consistent with this chapter and chapters 678A and 678D of NAC for the use of an inventory control system.

     (e) Operating procedures consistent with this chapter and chapters 678A and 678D of NAC for handling such cannabis or adult-use cannabis products.

     (f) Whether the owners, officers or board members of the proposed cannabis consumption lounge have direct experience with the operation of a cannabis establishment in Nevada and whether they have demonstrated a record of operating such an establishment in compliance with Nevada’s laws and regulations for an adequate period of time to demonstrate success.

     (g) Whether the owners, officers or board members of the proposed cannabis consumption lounge have direct experience with the operation of a cannabis establishment in a state, jurisdiction or country other than Nevada and whether they have demonstrated a record of operating such an establishment in compliance with the laws and regulations of that state, jurisdiction or country.

     (h) The educational and life experience of the persons who are proposed to be owners, officers or board members of the proposed cannabis consumption lounge.

     (i) The experience of key personnel that the applicant intends to employ in operating the cannabis consumption lounge for which the applicant seeks a license and a short description of the role in which each personnel will serve for the organization and their responsibilities.

     (j) A diversity plan which must be in the form of a detailed written plan that includes objectives, timetables and evaluation metrics and describes the steps an applicant will take to ensure that the cannabis consumption lounge will promote the meaningful inclusion of diverse groups. The Board will determine whether the stated goals outlined in each diversity plan are reasonable and represent a good faith effort to assure that the applicant, who has met the minimum scoring guidelines on the application, accords all persons an equal opportunity in contracting and employment. As used in chapter 678B of NRS, diversity refers to minorities, women and the inclusion of other persons of backgrounds which are disproportionately underrepresented. However, the inclusion of other underrepresented groups, including, without limitation, veterans, persons with disabilities and LGBTQ+, is encouraged. The diversity plan must include the following information:

          (1) The demographic information of each owner, officer, board member, employee and independent contractor as currently known by the applicant;

          (2) Strategies for obtaining a diverse group of owners, officers, board members, employees, including executive positions, management and independent contractors;

          (3) Employee hiring and retention diversity goals adopted by the applicant;

          (4) A plan for diversity-related outreach or events the applicant will conduct to support its diversity goals in ownership, investment, management, employment and contracting;

          (5) Any materials from the applicant on its mentoring, training or professional development programs for diverse groups;

          (6) Proposed timelines and benchmarks for achieving the diversity goals outlined in the diversity plan, or in the alternative, a narrative describing the applicant’s ability to record and report on the components of the diversity plan;

          (7) Any other information that demonstrates the applicant’s commitment to diversity in ownership, investment, management, employment and contracting; and

          (8) Any other information or documentation required by the Board.

     (k) Last two fiscal year financial statements, or a statement explaining why the financial statements are not available, including an income statement, balance sheet and earnings before interest, taxes, depreciation and amortization (EBITDA).

     (l) Resumes or curriculum vitae for all owners, officers and board members.

     (m) Two-year business plan and first-year operating budget for the cannabis establishment.

     (n) History of the company.

     (o) If a publicly traded company, the most recent non-objecting beneficial owner (NOBO) list.

     5.  An applicant who receives a letter informing them that they received a prospective license based on the social equity criteria and is proceeding to a suitability investigation by Board agents must upload the following documents in addition to the documents listed in subsection 4 within 120 days of receipt of such letter:

     (a) Evidence that a social equity applicant’s residence is in an approved census tract by displaying an original or certified copy of any two of the following documents:

          (1) A receipt from the rent or lease of a residence located in an approved census tract.

          (2) A lease of a residence located in an approved census tract on which the applicant appears as the lessee during a lease term within the previous 5 years.

          (3) A record from a public utility for a service address located in an approved census tract dated within the previous 5 years.

          (4) A bank or credit card statement indicating a residential address located in an approved census tract dated within the previous 5 years.

          (5) A stub from an employment check indicating a residential address located in an approved census tract.

          (6) A document from a state or federal court indicating a residential address located in an approved census tract dated within the previous 5 years.

          (7) A document issued by an insurance company or its agent, including, without limitation, an insurance card, binder or bill, indicating a residential address located in an approved census tract.

          (8) A record, receipt or bill from a medical provider indicating a residential address located in an approved census tract.

          (9) Tax records for the most recent tax year, other than the records described in subparagraph (11), indicating a residential address located in an approved census tract.

          (10) A statement or bill requesting payment, other than a bill from a medical provider, indicating a residential address located in an approved census tract dated within the previous 5 years.

          (11) A record of property taxes assessed or paid for the most recent tax year for a residence located in an approved census tract.

          (12) A deed of trust or other documentation of a current mortgage for a residence located in an approved census tract.

          (13) A record from an educational institution in an approved census tract which establishes that the applicant is currently enrolled in the educational institution or an identification card issued by the educational institution dated within the previous 5 years that contains the address in which the applicant resided.

          (14) A receipt from a hotel, motel, recreational vehicle park or campground located in an approved census tract indicating not fewer than 30 days of consecutive residency which is dated within the previous 5 years.

          (15) A voter registration card issued to the applicant within the previous 5 years.

          (16) Documentation of receipt of benefits in an approved census tract under any state program of public assistance dated within the previous 5 years.

          (17) A leave and earnings statement, or an equivalent or successor form, indicating residency in an approved census tract, of an applicant who is a member of the military and who is deployed outside of Nevada while serving on active duty dated within the previous 5 years. As used in this subparagraph, “military” means the Armed Forces of the United States, a reserve component thereof or the National Guard.

          (18) A notarized statement from the owner of a residence located in an approved census tract indicating that the applicant physically resides at the residence dated within the previous 5 years.

          (19) Documentation indicating that the applicant is a person for whom a fictitious address has been issued pursuant to NRS 217.462 to 217.471, inclusive.

          (20) A form approved by the Board as proof of the applicant’s residence in an approved census tract.

     (b) A social equity applicant must provide proof of conviction for a cannabis offense for either the applicant or the applicant’s parent, sibling or child. Required documents are as follows:

          (1) Certified copy of the judgment of conviction; or

          (2) Proceedings sheet or court minutes.

     6.  The documents listed under subsection 4 are the minimum documents applicants, who have met the minimum scoring guidelines on the applications, are required to upload to the designated electronic licensing application system. If there are no responsive documents to one of the minimum required documents, the applicant must submit an explanation of why they omitted the document. The applicant must turn over any other documents requested by the Board. They must also facilitate in a timely manner any interview of an owner, officer or board member requested by the Board or Board agents. If the Board or Board agents contact the applicant for any reason, the applicant must respond immediately. If an immediate response is not possible, the applicant must respond not later than 2 business days after contact by the Board or Board agents. If the applicant fails to respond to any Board or Board agent communication in a timely manner, that fact may be used to deny the applicant from receiving a prospective, conditional or final license.

     7.  When Board agents complete a suitability investigation, a presentation must be scheduled at an open and public meeting in front of the Board. The applicant and any requested owner, officer or board member must be in attendance and prepared to give an affirmative presentation to the Board regarding its application for a license and final suitability determination. The applicant must be prepared to answer any and all questions posed by the Board during the open and public meeting.

     8.  The Board will determine on a case-by-case basis the relative weight to give, if any, to any criterion of merit considered and established by the Board.

     9.  Once an applicant’s conditional license has been issued, the applicant’s diversity plan will no longer be confidential.

     [Cannabis Compliance Bd., §5.045, eff. 8-5-2020; A 7-14-2022]

      NAC 678B.065  Licensing of cannabis consumption lounges: Issuance of final license. (NRS 678B.250, 678B.320, 678B.324, 678B.650)  If the applicant who has met the minimum scoring guidelines on the application receives a conditional license for a cannabis consumption lounge, the applicant must obtain the final license and become operational within the time limit set in NAC 678B.107. The applicant must work closely with state and local governments and officials to meet all necessary requirements to receive the final license which include, without limitation, the following:

     1.  Compliance with the zoning and land use rules adopted by the local government in which the establishment will operate;

     2.  Issuance of a permanent or temporary business license for the operation of the cannabis establishment by the local government;

     3.  Completion of a pre-opening final inspection of the cannabis establishment by the Board that results in a statement of no deficiencies or approved plan of correction;

     4.  Establishment and implementation of any and all other requirements as required by the specific regulations that govern the cannabis establishment license type awarded as well as any other requirement of the Board or local government; and

     5.  Full payment of all annual license renewal fees and outstanding time and effort billings.

     [Cannabis Compliance Bd., §5.050, eff. 8-5-2020; A 7-14-2022]

      NAC 678B.068  Licensing of cannabis consumption lounges: Criteria for social equity applicants; reduction in administrative processing fee for social equity applicants. (NRS 678B.323, 678B.390)

     1.  Whenever the State of Nevada allocates licenses to social equity applicants during an open application period for a type of cannabis establishment license, a social equity applicant must meet the criteria set forth in subsection 2.

     2.  Social equity applicants are identified, and these criteria shall be added to the application process, as persons who:

     (a) Have at least 51 percent ownership in the business;

     (b) Have resided in one of the following census tracts nationwide for not less than the previous 5 years meeting the following two criteria:

          (1) A census tract with an Area Deprivation Index score of seven state-only decile or higher; and

          (2) A census tract that has an incarceration rate in the 90th percentile, or roughly 3.3 percent of everyone who grew up in the census tract was in jail or incarcerated at the time of the 2010 Decennial Census.

     (c) Are included in at least one of the following categories:

          (1) Convicted of a nonviolent felony or misdemeanor cannabis offense; or

          (2) Their immediate family member, a parent, sibling or child, was convicted of a felony cannabis offense and who lived in or currently lives in a census tract, designated by the Board, with an Area Deprivation Index score of seven state-only decile and that has an incarceration rate in the 90th percentile, or roughly 3.3 percent of everyone who grew up in the census tract was in jail or incarcerated at the time of the 2010 Decennial Census.

     3.  Social equity applicants shall have the administrative processing fee reduced by 75 percent.

     [Cannabis Compliance Bd., §5.055, eff. 8-5-2020; A 7-14-2022]

      NAC 678B.071  Licensing of cannabis consumption lounges: Lack of ordinance of local governmental jurisdiction establishes that no limit exists on number of business licenses for cannabis consumption lounges in local governmental jurisdiction. (NRS 678B.650)  If, by the date that the Board issues a request for applications to operate a cannabis consumption lounge, a local governmental jurisdiction has not adopted an ordinance limiting the amount of business licenses issued to cannabis consumption lounges, then this conclusively establishes no limit exists in the local governmental jurisdiction for purposes of NRS 678B.327 for that specific application period.

     [Cannabis Compliance Bd., §5.057, eff. 9-9-2022]

      NAC 678B.074  Licensing of cannabis consumption lounges: Request for reduction of fees for holder of conditional license for independent cannabis consumption lounge; required contents; required time period for submission of request. (NRS 678B.390, 678B.650)

     1.  A person in possession of a conditional license for an independent cannabis consumption lounge may apply to the Board to have their initial and renewal fees under NRS 678B.390 reduced due to financial hardship. This request must include the following:

     (a) An attestation that the independent cannabis consumption lounge will become operational within 12 months of the date of the request to reduce fees.

     (b) Evidence of financial hardship satisfactory to the Board which includes:

          (1) Evidence that the independent cannabis consumption lounge’s outstanding costs and expenses are greater than the assets available to satisfy these costs and expenses;

          (2) Evidence that the independent cannabis establishment consumption lounge has exhausted all financial options; and

          (3) Evidence of any other compelling reason to reduce the renewal fees under NRS 678B.390.

     2.  The Board will make the ultimate determination as to whether the request establishes financial hardship.

     3.  Initial requests for reducing fees pursuant to this section must be submitted at least 30 days before the 12-month deadline referred to in subsection 1 of NAC 678B.107 expires.

     [Cannabis Compliance Bd., §5.065, eff. 8-5-2020; A 7-14-2022]

      NAC 678B.077  Licensing of cannabis consumption lounges: Applicant to proceed with review of suitability if Board receives less applications than number of available licenses; applicant for license for retail cannabis consumption lounge who holds license for adult-use cannabis retail store to proceed with review of suitability. (NRS 678B.250, 678B.650)

     1.  If during an open application period the Board receives fewer applications than there are available licenses and the applications comply with NAC 678B.059, the applicants that have met the minimum scoring guidelines on the application will proceed to a suitability investigation by Board agents and suitability review by the Board.

     2.  If an applicant who holds a final license for an adult-use cannabis retail store applies for a license for a retail cannabis consumption lounge during an open application period, submits an application that complies with NAC 678B.059, and meets the minimum scoring guidelines on the application and any other requirements set forth in this chapter, chapters 678A and 678D of NAC and title 56 of NRS, the applicant will proceed to a suitability investigation by Board agents and suitability review by the Board.

     [Cannabis Compliance Bd., §5.060, eff. 8-5-2020; A 7-14-2022]

      NAC 678B.080  Licensing of cannabis consumption lounges: Transfer of license for retail cannabis consumption lounge prohibited without transfer of license for cannabis sales facility; requirements for premises of retail cannabis consumption lounge; development of procedures for transfer of cannabis. (NRS 678B.322, 678B.380, 678B.650, 678D.500)

     1.  Any cannabis sales facility that is awarded a retail cannabis consumption lounge license from the Board has no right to transfer said lounge license without also simultaneously transferring the license for the cannabis sales facility. The awarded retail cannabis consumption lounge license will be permanently paired with the cannabis sales facility license upon issuance.

     2.  The physical premises of the retail cannabis consumption lounge must be attached or immediately adjacent to the cannabis sales facility. Cannabis sales facilities must create a standard operating procedure to transfer cannabis to or from a retail cannabis consumption lounge.

     3.  The Board retains the authority to require a license for an adult-use cannabis distributor to transfer cannabis from the cannabis sales facility to the retail consumption lounge if the Board deems it necessary.

     4.  For purposes of this section, the following definitions apply:

     (a) “Attached” means that the physical premises of the retail cannabis consumption lounge cannot be removed from the cannabis sales facility without substantial damage to either premise.

     (b) “Immediately adjacent” means having a common border with another property, including the intersection of property lines at property corners, with no street, building or other property between and approved by the local jurisdiction.

     [Cannabis Compliance Bd., §15.100, eff. 7-14-2022]

      NAC 678B.083  Request by the board of county commissioners of the county to increase percentage of total number of medical cannabis dispensaries; circumstances in which Board may deny request. (NRS 678B.230, 678B.650)

     1.  Upon request by the board of county commissioners of the county to increase the percentage of the total number of medical cannabis dispensaries to more than 25 percent pursuant to NRS 678B.230, the board of county commissioners of the county must:

     (a) Submit the request on the form prescribed by the Board; and

     (b) Provide all information on the form prescribed by the Board, including, without limitation, the following:

          (1) The reason for the request to increase the percentage of total number of medical cannabis dispensaries; and

          (2) The amount of percentage increase requested.

     2.  The Board may deny a request to increase the percentage of the total number of medical cannabis dispensaries if the Board finds the proposed percentage increase will not promote the health, safety, morals, good order and general welfare of the inhabitants of the State of Nevada and the declared policy of this State.

     [Cannabis Compliance Bd., §5.035, eff. 8-5-2020]

      NAC 678B.086  Request by board of county commissioners of certain counties to issue license for medical cannabis cultivation facility or medical cannabis production facility; circumstances in which Board may deny request; opening of licensing round upon approval of request; procedures and requirements for submission of application for license; ranking of applications; issuance of license. (NRS 678B.210, 678B.220, 678B.240, 678B.250, 678B.280, 678B.650)

     1.  Upon request by the board of county commissioners of a county which does not have any medical cannabis establishments as of December 31, 2023, to the Board to issue a medical cannabis establishment license for one medical cannabis cultivation facility or one medical cannabis production facility, or both, pursuant to paragraph (a) of subsection 3 of NRS 678B.220 the board of county commissioners of the county must:

     (a) Submit the request on the form prescribed by the Board; and

     (b) Provide all information on the form prescribed by the Board, including, without limitation, confirmation that the county does not currently have a medical cannabis establishment license for a medical cannabis cultivation facility or medical cannabis production facility, as applicable.

     2.  The Board may deny the request made pursuant to subsection 1 only if the Board finds that the request violates statute or regulation of the Board.

     3.  Along with the request made pursuant to subsection 1, the board of county commissioners may include community impact factors and criteria deemed important to the county which shall be incorporated into the application materials prior to the Board opening the licensing round and accepting applications in accordance with subsection 5.

     4.  Should the Board grant the request to issue a medical cannabis establishment license pursuant to this section, the Board shall open a licensing round specific to the county and accept applications as set forth in subsection 5.

     5.  Upon a request by the Board for applications to operate a cannabis establishment pursuant to subsection 1, a person may apply for a cannabis establishment license that has an open application period. An application must be submitted through the Board’s designated electronic licensing application system during the time listed on the open application period. No applications will be accepted before or after the open application period. The deadline for application submissions and compliance with the application instructions will be strictly enforced. The Board will grant no grace period for an application once the application period has concluded. The Board will not be held responsible for any technical or other issues that the applicant may experience with the electronic licensing application system during the application period. Failure to submit an application, in a timely manner, for any reason including technical issues, will result in a denial. Questions on the application or application submittal process must only be submitted in writing to an electronic mail address designated explicitly for that purpose in the written application instructions. All such questions sent via electronic mail will be posted publicly on the Board’s website and may be combined or re-worded for clarity purposes. Regarding such questions and electronic mail, the Board cannot guarantee a response within any particular time frame or before the application submittal deadline. No applicant is entitled to rely on any verbal information relayed to them regarding the application submittal process. All official application instructions will be posted on the Board’s website at www.ccb.nv.gov. The applicant must also provide a point of contact, as required by NAC 678A.440, and update that information as required.

     6.  The initial application must include the following:

     (a) A one-time, nonrefundable administrative processing fee in an amount designated in NRS 678B.390 for that particular cannabis establishment license type.

     (b) The type of cannabis establishment license the applicant is applying for.

     (c) The legal name of the proposed cannabis establishment, as reflected in the articles of incorporation or other formation documents filed with the Nevada Secretary of State.

     (d) An attestation that the applicant can, has or will secure evidence that the applicant controls liquid assets in an amount of at least $200,000 and evidence of the liquid assets.

     (e) The address where the proposed cannabis establishment will be located and, if applicable, the physical address of any co-owned or otherwise affiliated cannabis establishments. While the physical address may change before opening the cannabis establishment, this address will be used to identify the local jurisdiction where the cannabis establishment must be located and remain pursuant to NRS 678B.500. Once the applicant identifies the address, the applicant is limited to locations within said local jurisdiction pursuant to NRS 678B.500.

     (f) An attestation wherein the applicant agrees and understands that the actual location, when determined, where the cannabis establishment will be conducting business:

          (1) Must not be within 1,000 feet of a public or private school that provides formal education traditionally associated with preschool or kindergarten through grade 12 and that existed on the date on which the application for the proposed cannabis establishment was submitted to the Board;

          (2) Must not be within 300 feet of a community facility that existed on the date on which the application for the proposed cannabis establishment was submitted to the Board; and

          (3) If the proposed cannabis establishment will be located in a county whose population is 100,000 or more, must not be within 1,500 feet of an establishment that holds a nonrestricted gaming license described in subsection 1 or 2 of NRS 463.0177 and that existed on the date on which the application for the proposed cannabis establishment was submitted to the Board.

     (g) An attestation that the applicant can, has or will secure evidence when available that the applicant either:

          (1) Owns the property on which the cannabis establishment will be physically located; or

          (2) Has the written permission of the property owner to operate the cannabis establishment at that physical location.

     (h) The mailing address, telephone number and electronic mail address of the applicant. If contacted by the Board the applicant must respond immediately, but if that is impossible, then not later than 2 business days after contact by the Board. If the applicant does not timely respond to any Board communication that fact may be used to deny the applicant from receiving a prospective, conditional or final license.

     (i) The name, address and date of birth of each natural person proposed to be an owner, officer or board member of the proposed cannabis establishment. If the applicant or an owner is anything other than a natural person, said applicant or owner must submit the aforementioned information for all owners who hold shares or any type of ownership interest directly or indirectly in the proposed cannabis establishment that in any way equate to 5 percent or more on a fully diluted basis.

     (j) For each owner, officer and board member listed in the application the registration card portal record number showing proof the person has applied for a registration card as a prospective owner, officer or board member. Applicants must complete all sections of the application, including a complete set of the person’s fingerprints, which must be submitted to the Central Repository for Nevada Records of Criminal History for submission to the Federal Bureau of Investigation for its report and payment. If any owner, officer or board member listed in the application has been convicted of an excluded felony offense, the application will be removed from the process, unless said person has a pending petition, or has had a petition granted, pursuant to NRS 678B.633.

     (k) An affirmation that the applicant has and will implement a diversity plan as required under paragraph (j) of subsection 4 of NAC 678B.062.

     (l) An attestation that the application will not result in a violation of paragraph (a) of subsection 3 of NRS 678B.220, NRS 678B.230 and 678B.270;

     (m) An attestation that the information provided to the Board to apply for the license is true and correct according to the information known by the attestant at the time of the attestation; and

     (n) An attestation stating, in pertinent part, the following: “By submitting this application, I agree to release and hold harmless the State of Nevada, the Cannabis Compliance Board and each of their board members, board officers, employees, attorneys and consultants from any and all liability for any and all decisions and actions taken in response to the information and data submitted by me or obtained by the Cannabis Compliance Board regarding this application, including, without limitation, any rejection or denial of this application.”

     7.  At the close of the initial application, the Board and Board agents will conduct a review of the applications and rank each application based on a rubric developed and approved by the Board based on the criteria of merit as set forth in NAC 678B.089 and required in NRS 678B.240. The Board shall give additional weight and consideration to an applicant’s response to subsection 5 of NAC 678B.089 and paragraph (f) of subsection 1 of NRS 678B.240. If one applicant ranks first with the highest score, that applicant will undergo a suitability investigation. If the Board approves that applicant’s suitability, that applicant shall be issued the cannabis establishment license for which they have applied. If the Board does not approve this applicant’s suitability, the applicant shall be denied a cannabis establishment license and the Board shall evaluate the suitability of the next highest scoring applicant. This process shall be repeated until a cannabis license is issued.

     8.  In the event of a tie score, the applicants with the highest rank shall be entered into a random number generator. If an applicant is selected in the random number generator, that applicant will proceed to suitability investigation and be issued a cannabis establishment license on approval by the Board. If that applicant is not deemed suitable, another applicant shall be selected for suitability evaluation via the random number generator when two or more applicants have tied for the highest score. Otherwise, the next highest scoring applicant shall undergo a suitability investigation.

     9.  Pursuant to NRS 678B.215, if the Board issues a license pursuant to this section after January 1, 2024, said license shall be issued as an adult-use cannabis establishment license, unless the license is issued in a covered jurisdiction.

     [Cannabis Compliance Bd., §5.037, eff. 3-8-2024]

      NAC 678B.087  Requirements for payment of fee for application for license submitted in licensing round opened at request of board of county commissioners. (NRS 678B.210, 678B.250, 678B.650)

     1.  Applicants are solely responsible for ensuring that the Board physically receives payment for the fee required by paragraph (a) of subsection 6 of NAC 678B.086 not later than 5:00 p.m., Pacific Time, on the final date of the open application period, at either:

     (a) The Board’s Carson City office located at 3850 Arrowhead Drive, Suite 100, Carson City, Nevada 89706; or

     (b) The Board’s Las Vegas office located at 700 East Warm Springs Road, Suite 100, Las Vegas, Nevada 89119.

Ê Payments delivered to any other locations will not be considered valid or received.

     2.  Payments must strictly comply with the application instruction requirements regarding submission of payments and will be rejected for any failure to comply with those application instructions.

     3.  Payments must be made via one of the following methods:

     (a) Electronic transfer via ACH through the Board’s electronic licensing system;

     (b) Cashier’s check; or

     (c) Money order.

     4.  If payment is made by ACH, that process must be completed not later than 5:00 p.m., Pacific Time, on the final date of the open application period. If payment is made by cashier’s check or money order, it still must be physically received not later than 5:00 p.m., Pacific Time, on the final date of the open application period.

     5.  For applicants paying by ACH, if payment does not clear, the application will be deemed incomplete, untimely and rejected. The Board and its staff are not required to notify applicants of the failure of their payments to clear. The Board is not responsible for any difficulties any applicant may experience in the timely submission of their electronic payment, no matter where such issues or problems may arise.

     6.  For applicants paying by cashier’s check or money order, such payment must be delivered in person to the Board offices listed in subsection 1, but still must be physically received not later than 5:00 p.m., Pacific Time, on the final date of the open application period. Payments must not be dropped off in any drop boxes or mail slots which will result in the associated application being deemed incomplete, untimely and rejected. The Board shall not be responsible for any payments that are late due to misdirected deliveries from the applicant or anyone else making the in-person delivery, banking issues or mistakes, transportation problems or any other reasons. Payment will not be accepted via mail or any other form of commercial delivery services such as Federal Express, United Parcel Service or DHL.

     7.  Failure to timely pay the administrative processing fee will result in the associated application or applications being deemed incomplete and the Board shall reject them.

     [Cannabis Compliance Bd., §5.037, eff. 3-8-2024]

      NAC 678B.089  Criteria of merit to score application for licensing round opened at request of board of county commissioners. (NRS 678B.240, 678B.280, 678B.650)  In determining whether to issue a medical cannabis establishment license pursuant to NAC 678B.086, the Board shall consider the following criteria of merit and score each application accordingly:

     1.  Whether the applicant controls liquid assets in an amount determined by the Board to be sufficient to cover the initial expenses of opening the proposed medical cannabis establishment and complying with the provisions of title 56 of NRS. Select one below:

     (a) Zero points- Meets minimum requirement of $200,000 or minimum established by the Board.

     (b) One point- Meets twice the minimum requirement of $200,000 or minimum established by the Board.

     (c) Two points- Meets three times or more of minimum requirement of $200,000 or minimum established by the Board.

     2.  The previous experience of the persons who are proposed to be owners, officers or board members of the proposed medical cannabis establishment at operating other businesses or nonprofit organizations. Select one below:

     (a) Zero points- No previous operating experience within the last 10 years.

     (b) One point- Two or more persons within the ownership structure have responsibility and direct experience managing a company’s operations or finances within the last 10 years.

     (c) Two points- Four or more persons within the ownership structure have responsibility and direct experience managing a company’s operations or finances.

     3.  The educational and life experience of the persons who are proposed to be owners, officers or board members of the proposed medical cannabis establishment. Select one of the first three below plus the bonus, if appropriate:

     (a) Zero points- No proposed owners have undergraduate or graduate degrees and less than 5 years of work experience.

     (b) One point- Two or more persons in the ownership structure have undergraduate degrees, inclusive of a Bachelor’s or Associate’s degree or their equivalent, or 5 years of work experience.

     (c) Two points- Two or more persons have undergraduate degrees plus at least one person has a postgraduate degree or 10 years of work experience.

     4.  Any demonstrated knowledge or expertise on the part of the persons who are proposed to be owners, officers or board members of the proposed medical cannabis establishment with respect to the compassionate use of cannabis to treat medical conditions:

     (a) Zero points- No demonstrated knowledge.

     (b) One point- Demonstrated knowledge or experience.

     5.  The likely impact of the proposed medical cannabis establishment on the community in which it is proposed to be located. If the board of county commissioners issues a letter of approval for the applicant, the applicant shall be awarded 5 points.

     6.  The adequacy of the size of the proposed medical cannabis establishment to serve the needs of persons who are authorized to engage in the medical use of cannabis. Select one below:

     (a) Zero points- The applicant estimates that it will cultivate less than 10 cannabis plants or process less than 10 pounds of cannabis per year.

     (b) One point- The applicant estimates that it will cultivate 10 to 50 cannabis plants or process 10 to 50 pounds of cannabis per year.

     (c) Two points- The applicant estimates that it will cultivate 51 to 100 cannabis plants or process 51 to 100 pounds of cannabis per year.

     (d) Three points- The applicant estimates that it will cultivate more than 100 cannabis plants or process more than 100 pounds of cannabis per year.

     7.  A diversity plan that comports with paragraph (j) of subsection 4 of NAC 678B.062. Select all that apply:

     (a) Zero points- No diversity plan.

     (b) Five points – A diversity plan that fully complies with all requirements of paragraph (j) of subsection 4 of NAC 678B.062.

     8.  Whether the applicant or the persons who are proposed to be owners, officers or board members of the proposed medical cannabis establishment has or had an ownership interest of 5 percent or more or board or officer position in a cannabis establishment that has admitted to a violation or been adjudicated to have violated a category I violation in NAC 678A.515 or a category II violation in NAC 678A.520:

     (a) Zero points- No infraction history.

     (b) Minus one point (negative) – Two category II violations.

     (c) Minus two points (negative) – Three or more category II violations.

     (d) Minus two points (negative) – One or two category I violations.

     (e) Minus three points (negative) – Three or more category I violations.

     [Cannabis Compliance Bd., §5.039, eff. 3-8-2024]

      NAC 678B.092  Petition to reevaluate suitability: Applicant who is denied conditional license may submit petition; required contents; authorized actions of Board. (NRS 678B.650)  If the applicant who has met the minimum scoring guidelines on the application is denied a conditional license, they may petition the Board if they wish to have their suitability reevaluated based on said denial. The applicant must file their petition with the Board within 30 days from the date on the written denial letter from the Board. The petition must explain why the Board’s evaluation of suitability that resulted in the denial of the conditional license was improper and provide any other information or documentation for the Board’s determination. The Board may deny the petition or set the petition for a hearing within 90 days of receiving the petition.

     [Cannabis Compliance Bd., §5.053, eff. 7-14-2022]

      NAC 678B.095  Board authorized to consider application of holder of medical cannabis establishment license for cannabis establishment license of same type. (NRS 678B.650)  The Board may consider an application by a person who already holds a medical cannabis establishment license for not more than one license for a cannabis establishment of the same type if the person meets all requirements of this chapter, chapters 678A and 678D of NAC and title 56 of NRS.

     [Cannabis Compliance Bd., §5.025, eff. 8-5-2020]

      NAC 678B.098  Board required to promulgate regulations concerning submission of application for cannabis establishment license by holder of medical cannabis establishment license. (NRS 678B.250, 678B.650)  Before requesting applications pursuant to NAC 678B.056, the Board will promulgate regulations on how a person who holds a medical cannabis establishment license will submit an application for a cannabis establishment of the same type or different type in response to a request by the Board pursuant to NAC 678B.056.

     [Cannabis Compliance Bd., §5.030, eff. 8-5-2020]

      NAC 678B.101  Authority of Board agent or Executive Director to conduct inspection; inspection required before issuance of license; preliminary walk-through; operation before issuance of license prohibited; report of compliance with other inspections required before issuance of license. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Board agents or the Executive Director may, at any time they determine an inspection is needed, conduct an investigation into the premises, facilities, qualifications of personnel, methods of operation, policies and procedures of any cannabis establishment and of any person proposing to engage in the operation of a cannabis establishment. An inspection of a facility may include, without limitation, investigation of standards for safety from fire on behalf of the Board by the local fire protection agency. If a local fire protection agency is not available, the State Fire Marshal may conduct the inspection after the cannabis establishment pays the appropriate fee to the State Fire Marshal for such inspection.

     2.  The Board will not issue a license for a cannabis establishment until the Board agents complete an inspection of the cannabis establishment. Such an inspection may require more than one visit to the cannabis establishment.

     3.  Board agents may conduct a preliminary walk-through of a cannabis establishment, upon request and subject to the availability of inspectors, to assist with questions and identify issues for correction before the inspection of the cannabis establishment. Before requesting a preliminary walk-through, a cannabis establishment must complete all construction and be near completion of all other requirements of the laws and regulations of this State. If a Board agent conducts a preliminary walk-through at the request of a cannabis establishment, the Board will issue an invoice to the cannabis establishment for the costs of the preliminary walk-through, including, without limitation, travel and inspection activities.

     4.  In addition to complying with the provisions of chapters 372A and 678B of NRS and chapter 372A of NAC governing the imposition of an excise tax on cannabis establishments, a cannabis establishment may not operate until it has been issued a license from the Board.

     5.  The Board will not issue a license for a cannabis establishment until the Board has received a satisfactory report of full compliance with and completion of all applicable public safety inspections required by state and local jurisdictions, including, without limitation, fire, building, health and air quality inspections, except as otherwise provided in NAC 678B.104.

     [Cannabis Compliance Bd., §5.070, eff. 8-5-2020]

Reviser’s Note.

      The provisions of this section were derived from:

      1.  Former NAC 453A.320, 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.288, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.104  Authority of Board and Executive Director relating to inspections and investigations, summoning of witnesses and issuance of subpoenas, administration of oaths and administration of provisions governing licensing and regulation of cannabis establishments and cannabis establishment agents. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Submission of an application for a license for a cannabis establishment constitutes permission for entry to and reasonable inspection of the cannabis establishment by the Board and Board agents, with or without notice. An inspector conducting an inspection pursuant to this section does not need to be accompanied during the inspection.

     2.  The Executive Director may, upon receipt of a complaint against a cannabis establishment, except for a complaint concerning the cost of services, a complaint concerning the efficacy of cannabis or a complaint related to consumer service issues, conduct an investigation during the operating hours of the cannabis establishment, with or without notice, into the premises, facilities, qualifications of personnel, methods of operation, policies, procedures and records of that cannabis establishment or any other cannabis establishment which may have information pertinent to the complaint.

     3.  Board agents may enter and inspect any building or premises at any time, with or without notice, to:

     (a) Secure compliance with any provision of this chapter, chapter 678A or 678D of NAC or title 56 of NRS;

     (b) Prevent a violation of any provision of this chapter, chapter 678A or 678D of NAC or title 56 of NRS; or

     (c) Conduct an unannounced inspection of a cannabis establishment in response to an allegation of noncompliance with this chapter, chapter 678A or 678D of NAC or title 56 of NRS.

     4.  The Board may:

     (a) Summon witnesses to appear and testify on any subject material to its responsibilities under this chapter, chapter 678A or 678D of NAC or title 56 of NRS. No property owner and no officer, director, superintendent, manager or agent of any company or corporation, whose property is wholly in one county, shall be required to appear, without his or her consent, at a place other than the county seat or at the nearest town to his or her place of residence or the principal place of business of such company or corporation. Such summons may be served by personal service by the Executive Director or his or her agent or by the sheriff of the county.

     (b) Except as otherwise provided in this paragraph, issue subpoenas to compel the attendance of witnesses and the production of books and papers and may seek to enforce the subpoenas by petition to any court of competent jurisdiction in the manner provided by law. The Board will not issue a subpoena to compel the production of books and papers that contain individually identifiable health information.

     5.  Any member of the Board, the Executive Director or any officer of the Board designated by the Board or Executive Director may administer oaths to witnesses.

     6.  The Board and Board agents may:

     (a) Inspect and examine all premises wherein cannabis is manufactured, sold or distributed;

     (b) Inspect all equipment and supplies in, upon or about such premises;

     (c) Summarily seize and remove from such premises any cannabis or cannabis products and impound any equipment, supplies, documents or records for the purpose of examination and inspection;

     (d) Demand access to and inspect, examine, photocopy and audit all papers, books and records of any applicant or licensee, on his or her premises, or elsewhere as practicable, and in the presence of the applicant or licensee, or his or her agent, relating to the gross income produced by any cannabis establishment, and require verification of income, and all other matters affecting the enforcement of the policy or any of the provisions of this chapter or title 56 of NRS; and

     (e) Demand access to and inspect, examine, photocopy and audit all papers, books and records of any affiliate of a licensee whom the Board knows or reasonably suspects is involved in the financing, operation or management of the licensee. The inspection, examination, photocopying and audit may take place on the premises of the affiliate or another location, as practicable, and in the presence of the affiliate or its agent.

     7.  Board agents will enter and inspect at least annually, with or without notice, each building or the premises of a cannabis establishment to ensure compliance with the provisions of this chapter and title 56 of NRS. Nothing in this subsection shall be construed to prohibit an appropriate local administrative authority from conducting an inspection of the facilities or operations of a cannabis establishment as provided by the ordinance of a local government.

     8.  Board agents will enter and inspect, with or without notice, any building or premises operated by a cannabis establishment within 72 hours after the Board is notified that the cannabis establishment is operating without a license for the cannabis establishment.

     9.  Board agents will inspect the medical cannabis establishment and the adult-use cannabis establishment of a dual licensee at the same time using the same inspection team to ensure consistency and efficiency. Board agents will conduct such an inspection in a manner which is not unduly burdensome for the dual licensee.

     10.  The Board or Board agents may consult with any person or entity, as needed, in any of the Board’s audits, inspections or investigations. This includes, without limitation, allowing such persons or staff from said entities to accompany Board agents during inspections or investigations.

     11.  The Board will administer the provisions of this chapter, chapter 678A and 678D of NAC and title 56 of NRS for the protection of the public and in the public interest in accordance with the policy of this State.

     12.  As used in this section, “individually identifiable health information” means information which identifies a natural person, or from which the identity of a natural person may reasonably be ascertained, and which relates to:

     (a) The past, present or future physical or mental health or condition of the person; or

     (b) The provision of health care to the person.

     [Cannabis Compliance Bd., §5.075, eff. 8-5-2020]

Reviser’s Note.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.322, 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.292, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.107  Surrender of conditional license if cannabis establishment has not received final inspection within 12 months after issuance; extension of time for final inspection; fee not refundable. (NRS 678B.320, 678B.650)

     1.  If a cannabis establishment has not received a final inspection within 12 months after the date on which the Board issued a conditional license to the cannabis establishment, the cannabis establishment must surrender the license to the Board. The Board may extend the period specified in this subsection if the Board, in its discretion, determines that extenuating circumstances prevented the cannabis establishment from receiving a final inspection within the period specified in this subsection or if factors outside the control of the cannabis establishment caused a delay in satisfying the requirements of subsection 1 of NRS 678B.320. Any request made under this subsection must be made in writing at least 30 days before the original 12-month period expires.

     2.  If a cannabis establishment surrenders a license to the Board pursuant to this section, the applicable licensing fee paid by the cannabis establishment is not refundable.

     [Cannabis Compliance Bd., §5.085, eff. 8-5-2020; A 7-14-2022]

Reviser’s Note.

      The provisions of this section were derived in part from former NAC 453D.295, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.110  Notification to Board required if cannabis establishment is closing; immediate surrender of license upon permanent closure. (NRS 678B.380, 678B.650)  If a cannabis establishment is closing, the person identified in subsection 1 of NAC 678A.440 for the cannabis establishment must notify the Board of the closing at least 15 days before the cannabis establishment is closed. If the intent is to permanently close the cannabis establishment, it must surrender its license to the Board immediately upon closing.

     [Cannabis Compliance Bd., §5.090, eff. 8-5-2020]

Reviser’s Note.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.326, 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.300, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.113  Requirements for renewal of license; cessation of operations required if license not renewed; license not renewed within 90 days after expiration deemed voluntarily surrendered. (NRS 678B.210, 678B.250, 678B.650)

     1.  A person or entity that wishes to renew a license for a cannabis establishment must annually submit to the Board:

     (a) Payment of the annual licensing fee for the renewal of the license. Payment must include the identification numbers of the establishment and the name of the entity applying to renew the license.

     (b) Any such other information required by the Board upon request.

     2.  If a person or entity fails to renew its license by the expiration date, then the licensee shall cease operations until its license is renewed. If the person or entity fails to renew its license within 90 days of the expiration date, then the license shall be deemed voluntarily surrendered.

     [Cannabis Compliance Bd., §5.095, eff. 8-5-2020]

      NAC 678B.116  Grounds for denial of application for issuance or renewal of license; notice of denial. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  The Board may deny an application for the issuance or renewal of a license for a cannabis establishment on any of the following grounds:

     (a) Violation by the applicant or the cannabis establishment of any of the provisions of this chapter, chapter 678A or 678D of NAC or title 56 of NRS.

     (b) The failure or refusal of an applicant or cannabis establishment to comply with any of the provisions of this chapter, chapter 678A or 678D of NAC or title 56 of NRS.

     (c) The failure or refusal of a cannabis establishment to carry out the policies and procedures or comply with the statements provided to the Board in the application of the cannabis establishment.

     (d) Operating a cannabis establishment without a license, including, without limitation, the failure to timely submit a renewal application, the failure to timely pay renewal fees or failure to pay all time and effort billing.

     (e) The failure or refusal to return an adequate plan of correction to the Board within 10 business days after receipt of a statement of deficiencies.

     (f) The failure or refusal to correct any deficiency specified by the Board within the period specified in a plan of correction approved by the Board.

     (g) The failure or refusal to cooperate fully with an investigation or inspection by the Board or Board agents.

     (h) The failure to comply with the provisions of chapters 372A and title 56 of NRS and chapter 372A of NAC governing the imposition of an excise tax on cannabis establishments.

     (i) An owner, officer or board member of the cannabis establishment intentionally provides information that the Board determines is false or misleading.

     (j) Failure to adhere to all local requirements, including, without limitation, licensing requirements.

     2.  If the Board denies an application for issuance or renewal of a license for a cannabis establishment, the Board may provide notice to the applicant or cannabis establishment that includes, without limitation, the specific reasons for the denial.

     [Cannabis Compliance Bd., §5.100, eff. 8-5-2020; A 7-14-2022]

Reviser’s Note.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.332, 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.312, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.119  Requirements for transfer of ownership interest; reimbursement of costs to Board; notice to Board; permission of Board required for registering certain information in the books and records of the cannabis establishment; investigation; authority of Board to require certain persons to apply for license; restrictions on transfer of license for independent cannabis consumption lounge. (NRS 678B.380)

     1.  A transfer of an ownership interest in any amount in a cannabis establishment is not effective until the Board has been notified on a form prescribed by the Board of the intent to transfer an ownership interest in the cannabis establishment and the Board has found that each person to whom an ownership interest is proposed to be transferred is individually qualified to be an owner of the cannabis establishment.

     2.  A cannabis establishment shall, in accordance with this section and upon submission of a statement signed by a person authorized to submit such a statement by the governing documents of the cannabis establishment, transfer all or any portion of its ownership to another party, and the Board shall transfer the license issued to the cannabis establishment to the party acquiring ownership, if the party who will acquire the ownership of the cannabis establishment submits:

     (a) If the party will acquire the entirety of the ownership interest in the cannabis establishment, evidence satisfactory to the Board that the party has complied with this chapter, chapters 678A and 678D of NAC and title 56 of NRS for the purpose of operating the cannabis establishment.

     (b) For the party and each person who is proposed to be an owner, officer or board member of the cannabis establishment, the name, address and date of birth of the person. A complete set of the fingerprints of the prospective cannabis establishment agent must be submitted by the applicant to the Central Repository for Nevada Records of Criminal History for submission to the Federal Bureau of Investigation for its report.

     (c) Proof satisfactory to the Board that, as a result of the transfer of ownership, no person, group of persons or entity will, in a county whose population is 100,000 or more, hold more than one license for a cannabis establishment or more than 10 percent of the licenses for cannabis establishments allocated to the county, whichever is greater.

     3.  A cannabis establishment shall reimburse the Board for all costs incurred by the Board and Board agents to determine whether any change in ownership or other change was made to circumvent the provisions of this section which prohibit the transfer of a license for a cannabis establishment or to otherwise review or investigate a change in ownership.

     4.  A person shall not sell, purchase, assign, lease, grant or foreclose a security interest or otherwise transfer, convey or acquire in any manner whatsoever any interest of any sort whatsoever in or to any cannabis establishment or any portion thereof, whether the license for the cannabis establishment is conditional or not, or enter into or create a voting trust agreement or any other agreement of any sort in connection with any cannabis establishment or any portion thereof, except in accordance with this chapter, chapters 678A and 678D of NAC and title 56 of NRS.

     5.  A cannabis establishment shall notify the Board, on a form prescribed by the Board, each time an ownership interest in any amount in the cannabis establishment is transferred. This form must be signed by:

     (a) All owners of the cannabis establishment;

     (b) All officers of the cannabis establishment; or

     (c) All board members of the cannabis establishment.

     6.  A person without a valid cannabis establishment agent registration card for a cannabis establishment shall notify the Board before any:

     (a) Transfer or conveyance of any interest in or to a cannabis establishment, or any portion thereof;

     (b) Investment in a cannabis establishment;

     (c) Exercise of a significant level of control over a cannabis establishment; or

     (d) Participation in the profits of a cannabis establishment,

Ê by or to any person acting as agent or trustee or in any other representative capacity for or on behalf of another person. Such notification must disclose of all facts pertaining to such action, including, without limitation, a description of the reason for the transfer and any contract or other agreement describing the transaction. Such person must be issued a cannabis establishment agent registration card for the cannabis establishment at issue, on approval by the Board of the proposed action.

     7.  A cannabis establishment, or an owner, officer or board member thereof, shall not cause or permit any stock certificate or other evidence of beneficial interest in the cannabis establishment to be registered in the books or records of the cannabis establishment in the name of any person other than the true and lawful owner of the beneficial interest without the written permission of the Board.

     8.  If the person receiving an ownership interest is not a natural person, the recipient must disclose the percentage of the ownership interest in the cannabis establishment received by each person who has an ownership interest in the recipient.

     9.  A request to transfer an ownership interest in a cannabis establishment which holds a conditional license must be accompanied by a notarized attestation, signed by a person authorized to submit such an attestation by the governing documents of the cannabis establishment, declaring that the prospective owner will build and operate the cannabis establishment at standards that meet or exceed the criteria contained in the original application for the cannabis establishment.

     10.  The owners of a cannabis establishment may request the transfer of any portion or the entirety of the ownership interest in the cannabis establishment to any existing owner or combination of existing owners of the cannabis establishment by submitting to the Board:

     (a) A completed Transfer of Interest Form prescribed by the Board;

     (b) An affidavit by the owners of the cannabis establishment requesting the transfer affirming under oath that they are authorized to request the transfer of interest and all current owners and interested parties authorize and consent to the transfer of interest;

     (c) All contracts or other agreements which describe the ownership transaction;

     (d) Proof satisfactory to the Board that no monopoly will be created; and

     (e) If such transfer shall increase an ownership interest of an owner with less than a 5-percent interest to an interest of 5 percent or more, and this level of interest is maintained for 45 consecutive days, whether voting or beneficial, then all statutory and regulatory requirements pertaining to owners with 5 percent interest or more apply as of 30 days after the 45th consecutive day. The cannabis establishment must notify the Board within 5 business days after it becomes aware of any ownership equal to or exceeding 5 percent for more than 45 consecutive days. At the discretion of the Board, the 30-day requirement set forth in this paragraph may be extended upon written request of the licensee.

     11.  The owners of a cannabis establishment may request the transfer of any portion or the entirety of the ownership interest in the cannabis establishment to any natural person who holds an ownership interest in another cannabis establishment or any person whose ownership interest is entirely held by natural persons who hold an ownership interest in another cannabis establishment by submitting to the Board:

     (a) A completed Transfer of Interest Form prescribed by the Board;

     (b) An affidavit by the owners of the cannabis establishment requesting the transfer affirming under oath that they are authorized to request the transfer of interest and all current owners and interested parties authorize and consent to the transfer of interest;

     (c) All contracts or other agreements which describe the ownership transaction;

     (d) Identification of each cannabis establishment in which any person who is proposed to receive an ownership interest in the cannabis establishment which is the subject of the request holds an ownership interest;

     (e) A proposed organizational chart for the cannabis establishment which is the subject of the request;

     (f) A copy of any document required to be filed with the Secretary of State, if applicable;

     (g) A copy of any document required to be revised as a result of the proposed transfer relating to a fictitious name, if applicable;

     (h) An updated description of all shares issued in the cannabis establishment and the shares issued per owner as a result of the proposed transfer, if applicable;

     (i) A copy of a business license issued to the cannabis establishment by a locality which is revised to reflect the proposed transfer, if applicable; and

     (j) Proof satisfactory to the Board that no monopoly will be created.

     12.  The owners of a cannabis establishment may request the transfer of any portion or the entirety of the ownership interest in the cannabis establishment to any natural person, regardless of whether the natural person holds an ownership interest in another cannabis establishment, or any person whose ownership interest is not entirely held by natural persons who hold an ownership interest in another cannabis establishment by submitting to the Board:

     (a) A completed Transfer of Interest Form prescribed by the Board.

     (b) An affidavit by the owners of the cannabis establishment requesting the transfer affirming under oath that they are authorized to request the transfer of interest and all current owners and interested parties authorize and consent to the transfer of interest.

     (c) All contracts or other agreements which describe the ownership transaction.

     (d) Proof that a complete application for a cannabis establishment agent registration card has been submitted for each person who will receive an ownership interest. A complete set of the fingerprints of the prospective cannabis establishment agent must be submitted by the applicant to the Central Repository for Nevada Records of Criminal History for submission to the Federal Bureau of Investigation for its report.

     (e) A proposed organizational chart for the cannabis establishment.

     (f) A copy of any document required to be filed with the Secretary of State, if applicable.

     (g) A copy of any document required to be revised as a result of the proposed transfer relating to a fictitious name, if applicable.

     (h) An updated description of all shares issued in the cannabis establishment and the shares issued per owner as a result of the proposed transfer, if applicable.

     (i) A copy of a business license issued to the cannabis establishment by a locality which is revised to reflect the proposed transfer, if applicable.

     (j) Proof satisfactory to the Board that no monopoly will be created.

     13.  The Board agents will conduct such investigation of a request submitted pursuant to subsection 10, 11 or 12 and of each person proposed to receive an ownership interest in a cannabis establishment as a result of such a request as the Board agents determine is necessary. If the Board, as a result of such an investigation, determines additional information is necessary to complete the investigation, the cannabis establishment shall submit such information to the Board in a timely fashion. Upon completion of the investigation, the Board will:

     (a) If the requested change in ownership does not violate any provision of this chapter, chapter 678A or 678D of NAC, title 56 of NRS or any other relevant law or regulation:

          (1) Notify the cannabis establishment in writing that the request has been approved;

          (2) Update its records to reflect the new ownership of the cannabis establishment; and

          (3) Notify the locality in which the cannabis establishment is located of the change in ownership of the cannabis establishment.

     (b) If the requested change in ownership violates any provision of this chapter, chapter 678A or 678D of NAC, title 56 of NRS or any other relevant law or regulation, notify the cannabis establishment in writing that the request has been denied and state the reason for denial.

     14.  Except for persons possessing a valid registration card and associated with a licensed cannabis establishment or licensed business entity, each employee, agent, personal representative, lender or holder of indebtedness of a licensee who, in the opinion of the Board, has the power to exercise a significant influence over the licensee’s operation of a cannabis establishment may be required to apply for a license. A person required to be licensed pursuant to this section shall apply for a license within 30 days after the Board requests that the person do so.

     15.  An independent cannabis consumption lounge licensee may not transfer the license until 2 years from the date on which the independent cannabis consumption lounge license became operational, except an independent cannabis consumption lounge licensee may transfer any ownership interest if:

     (a) Any such transfer does not result in the original ownership dropping below 51 percent.

     (b) Death or incapacitation of original owners requires such transfer so long as:

          (1) If the original ownership qualified as a social equity applicant pursuant to NAC 678B.068, the resulting ownership also qualifies as a social equity applicant.

          (2) The requirements of NAC 678B.173 are followed.

     16.  In cases of financial distress, ownership disputes, or possible impairment to the health or safety of the public, or in any other situations the Board finds appropriate, a licensee of an independent cannabis consumption lounge or any one of its owners may request the Board to order a cannabis receiver to take possession and control of the independent cannabis consumption lounge license.

     [Cannabis Compliance Bd., §5.110, eff. 8-5-2020; A 12-7-2020, 7-14-2022]

Reviser’s Note.

      The provisions of this section were derived in part from former NAC 453D.315, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.122  Procedures for waiving requirements concerning transfer of ownership for transfer of less than 5 percent; time period in which waiver is valid; authority of Board to deny or rescind waiver; “prospective cannabis establishment agent” interpreted. (NRS 678B.380)

     1.  The Board may waive the requirement to obtain Board approval for a transfer of a portion of ownership interest of less than 5 percent.

     2.  The cannabis establishment may request a waiver of the requirement on a form prescribed by the Board, including, without limitation, the following information:

     (a) An explanation as to why Board approval should be waived for a transfer of ownership interest of less than 5 percent;

     (b) A list of all owners of any ownership interest in the cannabis establishment, and their address, as of the date of the waiver application, unless it is a person who holds an ownership interest of less than 5 percent of a publicly traded company then the disclosure will be pursuant to NAC 678B.286;

     (c) A certification by the cannabis establishment that any person who holds an ownership interest of less than 5 percent does not exert control or hold a position of authority over the cannabis establishment and any of the other persons who claim ownership in the cannabis establishment; and

     (d) Any other information requested by the Board necessary to promote the health, safety, morals, good order and general welfare of the inhabitants of the State of Nevada and the declared policy of this State.

     3.  Any such waiver approved by the Board pursuant to this section is valid for a time specified by the Board at its discretion.

     4.  The Board may deny or rescind any previously approved waiver pursuant to this section at its discretion.

     5.  For purposes of subsection 4 of NRS 678B.340, with respect only to transfers of interest and cannabis establishment agent registration cards for those who do not volunteer or work at, contract to provide labor to or be employed by an independent contractor to provide labor to a cannabis establishment as a cannabis establishment agent, the term “prospective cannabis establishment agent” shall be deemed to exclude any passive investor in a company owning less than 5 percent of the shares of that company.

     [Cannabis Compliance Bd., §5.112, eff. 8-5-2020; A 12-7-2020]

Cannabis Establishment Agents

      NAC 678B.140  Cannabis establishment agent registration card: Application requirements; notice to Board after occurrence of certain events; qualifications; issuance, expiration and renewal; authorized activities under registration; temporary registration. (NRS 678B.340, 678B.650)

     1.  A person who wishes to volunteer or work at a cannabis establishment, or a cannabis establishment that wishes to retain as a volunteer or employ such a person, shall submit to the Board an application on a form prescribed by the Board. The application must be accompanied by:

     (a) The name, address and date of birth of the prospective cannabis establishment agent. A complete set of the fingerprints of the prospective cannabis establishment agent must be submitted by the applicant to the Central Repository for Nevada Records of Criminal History for submission to the Federal Bureau of Investigation for its report.

     (b) A statement signed by the prospective cannabis establishment agent pledging not to dispense or otherwise divert cannabis to any person who is not authorized to possess cannabis in accordance with the provisions of this chapter, chapter 678A or 678D of NAC or title 56 of NRS.

     (c) A statement signed by the prospective cannabis establishment agent asserting that he or she has not previously had a cannabis establishment agent registration card revoked.

     (d) A statement prescribed by the Division of Social Services of the Department of Human Services pursuant to NRS 425.520. The statement must be completed and signed by the applicant.

     (e) The application fee.

     (f) A list and description of each of the following which has not been previously reported to the Board:

          (1) A conviction of any felony offense;

          (2) A civil penalty or judgment entered against the prospective cannabis establishment agent; and

          (3) The initiation by a federal, state or local government of an investigation or proceeding against the prospective cannabis establishment agent.

     (g) Any such other information required by the Board upon request.

     2.  A person who wishes to contract to provide labor to or be employed by an independent contractor to provide labor to a cannabis establishment, or a cannabis establishment that wishes to contract with such a person, shall submit to the Board an application on a form prescribed by the Board for the registration of the independent contractor and each employee of the independent contractor who will provide labor as a cannabis establishment agent. The application must be accompanied by:

     (a) The name, address and, if the prospective cannabis establishment agent has a state business license, the business identification number assigned by the Secretary of State upon compliance with the provisions of chapter 76 of NRS.

     (b) The name, address and date of birth of each employee of the prospective cannabis establishment agent who will provide labor as a cannabis establishment agent. A complete set of the fingerprints of each employee of the prospective cannabis establishment agent who will provide labor as a cannabis establishment agent and written permission of the prospective cannabis establishment agent and each employee of the prospective cannabis establishment must be submitted by the applicant to the Central Repository for Nevada Records of Criminal History for submission to the Federal Bureau of Investigation for its report.

     (c) A statement signed by the prospective cannabis establishment agent pledging not to dispense or otherwise divert cannabis to, or allow any of its employees to dispense or otherwise divert cannabis to, any person who is not authorized to possess cannabis in accordance with the provisions of this chapter, chapter 678A or 678D of NAC or title 56 of NRS.

     (d) A statement signed by the prospective cannabis establishment agent asserting that it has not previously had a cannabis establishment agent registration card revoked and that none of its employees who will provide labor as a cannabis establishment agent have previously had a cannabis establishment agent registration card revoked.

     (e) A statement prescribed by the Division of Social Services of the Department of Human Services pursuant to NRS 425.520. The statement must be completed and signed by the applicant.

     (f) The application fee.

     (g) A list and description of each of the following which has not been previously reported to the Board:

          (1) A conviction of any felony offense;

          (2) A civil penalty or judgment entered against the prospective cannabis establishment agent or any employee who will provide labor as a cannabis establishment agent; and

          (3) The initiation by a federal, state or local government of an investigation or proceeding against the prospective cannabis establishment agent or any employee who will provide labor as a cannabis establishment agent.

     (h) Any such other information required by the Board upon request.

     3.  Any person who wishes to hold an ownership interest in a cannabis establishment of less than 5 percent shall submit to the Board an application on a form prescribed by the Board. The application must be accompanied by:

     (a) The name, address and date of birth of the prospective cannabis establishment agent. A complete set of the fingerprints of the prospective cannabis establishment agent must be submitted by the applicant to the Central Repository for Nevada Records of Criminal History for submission to the Federal Bureau of Investigation for its report.

     (b) A statement signed by the prospective cannabis establishment agent pledging not to dispense or otherwise divert cannabis to any person who is not authorized to possess cannabis in accordance with the provisions of this chapter, chapter 678A or 678D of NAC or title 56 of NRS.

     (c) A statement signed by the prospective cannabis establishment agent asserting that he or she has not previously had a cannabis establishment agent registration card revoked.

     (d) Any information required by the Board to complete an investigation into the background of the prospective cannabis establishment agent, including, without limitation, financial records and other information relating to the business affairs of the prospective cannabis establishment agent.

     (e) A statement prescribed by the Division of Social Services of the Department of Human Services pursuant to NRS 425.520. The statement must be completed and signed by the applicant.

     (f) A list and description of each of the following which has not been previously reported to the Board:

          (1) A conviction of any felony offense;

          (2) A civil penalty or judgment entered against the prospective cannabis establishment agent; and

          (3) The initiation by a federal, state or local government of an investigation or proceeding against the prospective cannabis establishment agent.

     (g) For each owner, officer and board member of the cannabis establishment, whether the owner, officer or board member:

          (1) Has served as an owner, officer or board member for a medical cannabis establishment or adult-use cannabis establishment that has had its license revoked;

          (2) Is an attending provider of health care currently providing written documentation for the issuance of registry identification cards or letters of approval;

          (3) Is a law enforcement officer;

          (4) Is an employee or contractor of the Board; or

          (5) Has an ownership or financial investment interest in any other medical cannabis establishment or adult-use cannabis establishment.

     (h) The application fee.

     (i) Any such other information required by the Board upon request.

     4.  A cannabis establishment shall notify the Board within 10 business days after a cannabis establishment agent ceases to hold an ownership interest in the cannabis establishment of less than 5 percent, be employed by, volunteer at or provide labor as a cannabis establishment agent to the cannabis establishment.

     5.  A person who:

     (a) Has been convicted of an excluded felony offense;

     (b) Is less than 21 years of age; or

     (c) Is not qualified, in the determination of the Board pursuant to NRS 678B.200,

Ê shall not serve as a cannabis establishment agent.

     6.  If an applicant for registration as a cannabis establishment agent satisfies the requirements of this section, is found to be qualified by the Board pursuant to NRS 678B.200 and is not disqualified from serving as such an agent pursuant to this section or any other applicable law, the Board shall issue to the person and, for an independent contractor, to each person identified in the independent contractor’s application for registration as an employee who will provide labor as a cannabis establishment agent, a cannabis establishment agent registration card.

     7.  A person to whom a cannabis establishment agent registration card is issued or for whom such a registration card is renewed shall submit to the Board on the date of the first anniversary of the issuance or renewal an affidavit attesting that in the preceding year there has been no change in the information previously provided to the Board which would subject the person to disciplinary action by the Board.

     8.  A cannabis establishment agent registration card issued pursuant to this section to an independent contractor or an employee of an independent contractor authorizes the independent contractor or employee to provide labor to any cannabis establishment in this State.

     9.  A cannabis establishment agent registration card issued pursuant to this section to a person who wishes to volunteer or work at a cannabis establishment authorizes the person to volunteer or work at any cannabis establishment in this State for which the category of the cannabis establishment agent registration card authorizes the person to volunteer or work.

     10.  Except as otherwise prescribed by regulation of the Board, an applicant for registration or renewal of registration as a cannabis establishment agent is deemed temporarily registered as a cannabis establishment agent on the date on which a complete application for registration or renewal of registration is submitted to the Board. A temporary registration as a cannabis establishment agent expires 45 days after the date upon which the application is received.

     11.  A cannabis establishment agent registration card expires 2 years after the date of issuance.

     12.  If a cannabis establishment agent registration cardholder wishes to remain a cardholder they must, before the expiration date of the card:

     (a) Resubmit the information set forth in this section; and

     (b) Pay the renewal fee set forth in NRS 678B.390.

     [Cannabis Compliance Bd., §5.120, eff. 8-5-2020; A 3-18-2021]

Reviser’s Note.

      The provisions of this section were derived in part from former NAC 453D.340, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.143  Waiver of requirement to obtain a cannabis agent registration card for any person who holds an ownership interest of less than 5 percent: Procedures to request waiver; time in which waiver is valid; denial or rescission of waiver; “prospective cannabis establishment agent” interpreted. (NRS 678B.340, 678B.650)

     1.  The Board may waive the requirement to obtain a cannabis establishment agent registration card for any person who holds an ownership interest of less than 5 percent in a cannabis establishment if the person or cannabis establishment requests waiver of the requirement on a form prescribed by the Board, including the following information:

     (a) An explanation as to why the cannabis establishment agent registration card requirement should be waived for the person who holds an ownership interest of less than 5 percent;

     (b) Identification and address for each person asking for a waiver of the cannabis establishment agent registration card requirement, unless it is a person who holds an ownership interest of less than 5 percent of a publicly traded company then the disclosure will be pursuant to NAC 678B.286;

     (c) A certification by the cannabis establishment that the person who holds an ownership interest of less than 5 percent does not exert control or hold a position of authority over the cannabis establishment or any of the other persons who claim ownership in the cannabis establishment; and

     (d) Any other information requested by the Board necessary to promote the health, safety, morals, good order and general welfare of the inhabitants of the State of Nevada and the declared policy of this State.

     2.  If a person who holds an ownership interest of less than 5 percent is found to exert control or hold a position of authority over the cannabis establishment, that person will be required to obtain a cannabis establishment agent registration card.

     3.  Any such waiver approved by the Board pursuant to this section, is valid for a time specified by the Board at its discretion.

     4.  The Board may deny or rescind any previously approved waiver pursuant to this section at its discretion.

     5.  For purposes of subsection 4 of NRS 678B.340, with respect only to transfers of interest and cannabis establishment agent registration cards for those who do not volunteer or work at, contract to provide labor to or be employed by an independent contractor to provide labor to a cannabis establishment as a cannabis establishment agent, the term “prospective cannabis establishment agent” shall be deemed to exclude any passive investor in a company owning less than 5 percent of the shares of that company.

     [Cannabis Compliance Bd., §5.125, eff. 8-5-2020; A 12-7-2020]

      NAC 678B.146  Cannabis establishment agent registration card for a cannabis executive: Application requirements; issuance, expiration and renewal; notice to Board after occurrence of certain events; qualifications. (NRS 678B.350, 678B.650)

     1.  Each person who holds 5 percent or more of the ownership interest in a cannabis establishment, or is an officer, managing member or board member, shall obtain a cannabis establishment agent registration card for a cannabis executive.

     2.  A person who wishes to hold an ownership interest in a cannabis establishment of more than 5 percent, or is an officer, managing member or board member, shall submit to the Board an application on a form prescribed by the Board for a cannabis establishment agent registration card for a cannabis executive. The application must be accompanied by:

     (a) The name, address and date of birth of the applicant. A complete set of the fingerprints of the prospective cannabis establishment executive agent must be submitted by the applicant to the Central Repository for Nevada Records of Criminal History for submission to the Federal Bureau of Investigation for its report.

     (b) A statement signed by the applicant asserting that he or she has not previously had a cannabis establishment agent registration card for a cannabis executive revoked.

     (c) Any information required by the Board to complete an investigation into the background of the applicant, including, without limitation, financial records and other information relating to the business affairs of the applicant.

     (d) The application fee.

     (e) A list and description of each of the following which has not been previously reported to the Board:

          (1) A conviction of any felony offense;

          (2) A civil penalty or judgment entered against the prospective cannabis executive; and

          (3) The initiation by a federal, state or local government of an investigation or proceeding against the prospective cannabis executive.

     (f) Any such other information required by the Board upon request.

     3.  If the Board determines the applicant is qualified to receive a cannabis establishment agent registration card for a cannabis executive, the Board shall issue to the person a cannabis establishment agent registration card for a cannabis executive.

     4.  A cannabis establishment agent registration card for a cannabis executive expires 2 years after the date of issuance.

     5.  If a cannabis establishment agent registration cardholder for a cannabis executive wishes to remain a cardholder he or she must, before the expiration date of the card:

     (a) Resubmit the information set forth in this section; and

     (b) Pay the renewal fee set forth in NRS 678B.390.

     6.  A person to whom a cannabis establishment agent registration card for a cannabis executive is issued or for whom such a registration card is renewed shall submit to the Board on the date of the first anniversary of the issuance or renewal an affidavit attesting that in the preceding year there has been no change in the information previously provided to the Board which would subject the person to disciplinary action by the Board.

     7.  A cannabis establishment shall notify the Board within 10 business days after becoming aware a cannabis executive ceases to hold an ownership interest in the cannabis establishment of over 5 percent.

     8.  A person who:

     (a) Has been convicted of an excluded felony offense; or

     (b) Is less than 21 years of age,

Ê shall not serve as a cannabis executive

     9.  If an applicant for registration as a cannabis executive satisfies the requirements of this section and is not disqualified from serving as a cannabis executive pursuant to this section or any other applicable law or regulation, the Board will issue to the person a cannabis establishment agent registration card for a cannabis executive.

     [Cannabis Compliance Bd., §5.130, eff. 8-5-2020; A 3-18-2021]

      NAC 678B.149  Electronic submission of applications required. (NRS 678B.340, 678B.350, 678B.650)  An applicant submitting an application for a cannabis establishment agent registration card or cannabis establishment agent registration card for a cannabis executive pursuant to NAC 678B.146 or renewing, amending, changing or replacing a cannabis establishment agent registration card or cannabis establishment agent registration card for a cannabis executive shall submit the application electronically in the format prescribed by the Board.

     [Cannabis Compliance Bd., §5.135, eff. 8-5-2020]

Reviser’s Note.

      The provisions of this section were derived from:

      1.  Former NAC 453A.338, 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.345, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.152  Requirements for requesting replacement registration card. (NRS 678B.650)  To request a replacement cannabis establishment agent registration card or cannabis establishment agent registration card for a cannabis executive that has been lost, stolen or destroyed, the cannabis establishment agent shall submit to the Board, within 3 working days after the card was lost, stolen or destroyed, a request for a replacement card which must include:

     1.  The name and date of birth of the cardholder.

     2.  If known, the number of the lost, stolen or destroyed cannabis establishment agent registration card or cannabis establishment agent registration card for a cannabis executive.

     3.  If the cardholder cannot provide the number of the lost, stolen or destroyed cannabis establishment agent registration card or cannabis establishment agent registration card for a cannabis executive, a copy of:

     (a) Any valid government-issued identification card of the cardholder which includes a photograph of the person; or

     (b) A cannabis establishment agent registration card or cannabis establishment agent registration card for a cannabis executive previously issued to the person.

     4.  An application fee of $75.

     [Cannabis Compliance Bd., §5.140, eff. 8-5-2020; A 8-13-2021]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.342, 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.358, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.155  Requirements for changing name or address on registration card. (NRS 678B.650)

     1.  To make a change to the name or address on a cannabis establishment agent registration card or cannabis establishment agent registration card for a cannabis executive, the cannabis establishment agent must submit to the Board a request for the change, which must include:

     (a) The name on and the number of the current cannabis establishment agent registration card or cannabis establishment agent registration card for a cannabis executive of the cardholder;

     (b) The new name or address of the cardholder;

     (c) The effective date of the new name or address of the cardholder;

     (d) For a change of the address of the cardholder, the county and state in which the new address is located; and

     (e) For a change of the name of the cardholder, a copy of any valid government-issued identification card of the cardholder which includes a photograph of the person and the new name and address of the cardholder.

     2.  Failure to update a name or address within 45 days constitutes a category V violation pursuant to NAC 678A.535.

     [Cannabis Compliance Bd., §5.145, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.340, 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.355, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.158  Categories of cannabis establishment agent registration cards. (NRS 678B.650)

     1.  The Board will issue cannabis establishment agent registration cards for each of the following categories:

     (a) A cannabis cultivation facility;

     (b) An adult-use cannabis distributor;

     (c) A cannabis production facility;

     (d) A cannabis independent testing laboratory;

     (e) A cannabis sales facility;

     (f) An independent contractor who provides labor to a cannabis establishment or an employee of such an independent contractor;

     (g) A cannabis receiver; or

     (h) A cannabis consumption lounge.

     2.  Each cannabis establishment agent registration card issued pursuant to NAC 678B.140 must indicate the applicable category. A person who is employed by or volunteers at a cannabis establishment and to whom a cannabis establishment agent registration card is issued may only be employed by or volunteer at the type of cannabis establishment for which he or she is registered. Such a person may hold more than one category of cannabis establishment agent registration card and may volunteer or work at any cannabis establishment in this State for which the category of the cannabis establishment agent registration card authorizes the person to volunteer or work.

     3.  If a cannabis establishment agent also holds a valid medical cannabis establishment agent registration card, the cannabis establishment agent is authorized to work in any cannabis establishment or dual licensee for which the category of the cannabis establishment agent registration card and medical cannabis establishment agent registration card authorizes the person to volunteer or work.

     [Cannabis Compliance Bd., §5.150, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.336, 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.348, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.161  Cannabis receivers: Requirements and procedures for placement of cannabis receiver over cannabis establishment; circumstances in which Board may order summary suspension of license or placement of cannabis receiver. (NRS 678B.383)

     1.  The court appointment of a receiver over a cannabis establishment must take place before the Board’s approval of an application for a cannabis establishment agent registration card for a cannabis receiver, thereby placing the applicant as the cannabis receiver over the cannabis establishment, unless exigent circumstances require the Board to immediately approve a cannabis receiver. Should such exigent circumstances exist, then the cannabis receiver, their counsel or any other interested party must file a petition with the court for appointment of a receiver within 14 days of the Board’s approval of the cannabis receiver. Exigent circumstances may include, without limitation, the following:

     (a) The death, disability or incapacitation of the owner of a cannabis establishment who had significant control over the cannabis establishment.

     (b) The cannabis establishment is in a state of financial distress that precludes or may preclude the safe operation of the business.

     (c) Any ownership disputes or other situations that prevent the business from operating in compliance with Nevada law.

     (d) Any other circumstances which could impair the health, safety or welfare of the public.

     (e) A cannabis receiver previously placed over the cannabis establishment or appointed by a court dies or has become incapacitated or disabled.

     2.  If a court has appointed a receiver pursuant to chapter 32, 78 or 86 of NRS or any other provision of Nevada law over a cannabis establishment, that receiver must apply for and secure approval from the Board to receive a cannabis establishment agent registration card for a cannabis receiver pursuant to NAC 678B.164 before operating the cannabis establishment. If any owner or creditor of a cannabis establishment, or any other person, seeks an order of appointment for a receiver from a court of competent jurisdiction over a cannabis establishment, that moving party or parties must name the Board as an interested party in any such court action and provide notice to the Board of the filing of such action within 14 days of the filing of such action. Any such action filed seeking the appointment of a receiver over the cannabis establishment must request that the order of appointment be subject to the Board’s approval of an application for a cannabis establishment agent registration card for a cannabis receiver. The requirements of this section also apply to any binding arbitration proceeding in which an appointment of a receiver is sought. The requirements of this section also apply even if the parties to any action stipulate the appointment of a particular person as a receiver.

     3.  If a court has not yet appointed a receiver pursuant to any provisions of Nevada law and the Board has approved an application for a cannabis establishment agent registration card for a cannabis receiver, any of the cannabis establishment’s owners, the person holding the cannabis receiver agent card or any other interested person must apply for or make a motion for appointment of the Board’s approved cannabis receiver with a court of competent jurisdiction within 14 calendar days after the Board’s approval of placement of that cannabis receiver.

     4.  Upon the occurrence of the events or circumstances set forth in subsection 1, 2 or 3 or contemporaneously therewith, a cannabis establishment or any one of its owners, creditors or any other interested party may request that the Board issue an order approving an application for a cannabis establishment agent registration card for a cannabis receiver to take possession or control of, manage the operations of and perform any other actions necessary for the subject cannabis establishment. On request from a cannabis establishment or any of its owners, creditors or other interested party, the Board may hold a hearing on said request and hear from any owners or other interested persons opposed to the approval of the proposed cannabis receiver’s application. After such hearing, the Board shall decide whether to approve the cannabis receiver’s application. The Board may allow for an emergency meeting if the Executive Director, or in his or her absence, the Deputy Director, determines there could be an impairment of the health, safety or welfare of the public.

     5.  If the Board receives notice, or otherwise discovers, that a cannabis establishment:

     (a) Is, or is imminently to be, in a state of financial distress that precludes or may preclude safe operation of the business;

     (b) Is involved in ownership disputes or involved in other situations that prevent the business from operating in compliance with Nevada law, such as the immediate resignation of the cannabis establishment’s board of directors, managers or other natural persons in control of the cannabis establishment;

     (c) Has had a court filing requesting the appointment of a receiver over its operations or a court order for appointment of a receiver to take possession and charge of a cannabis establishment;

     (d) Is the subject of an event or circumstances which could impair the health, safety or welfare of the public; or

     (e) Has an approved or court appointed cannabis receiver who has died or become incapacitated or disabled,

Ê the Board may order a summary suspension of the license or licenses of a cannabis establishment pursuant to subsection 3 of NRS 233B.127, or in the alternative to said summary suspension and to allow the cannabis establishment to continue operations, may order the placement of a cannabis receiver over the cannabis establishment or approve an application for a cannabis establishment agent registration card for a cannabis receiver, if such an application is pending.

     6.  If an application for a cannabis establishment agent registration card for a cannabis receiver is pending as described in subsection 5, the Board may hold a hearing and hear from any owners of the cannabis establishment and other interested parties. After such hearing, the Board shall decide whether to approve an application for a cannabis establishment agent registration card for a cannabis receiver thereby placing the cannabis receiver over the cannabis establishment. The Board may allow for an emergency meeting if the Executive Director, or in his or her absence, the Deputy Director, determines there could be an impairment of the health, safety or welfare of the public.

     7.  If an application for a cannabis establishment agent registration card for a cannabis receiver is not pending as described in subsection 5, and the Board determines a cannabis receiver is necessary pursuant to subsection 5, any owner of the cannabis establishment or interested party, including a creditor, may propose a person to act as cannabis receiver and that person may file an application for a cannabis establishment agent registration card for a cannabis receiver with the Board pursuant to NAC 678B.164. The Board may then consider approval of such person to receive a cannabis establishment agent registration card for a cannabis receiver and set a hearing to consider such approval as set forth in subsection 6.

     8.  If the Board does not approve an application for a cannabis establishment agent registration card for a cannabis receiver appointed by the court, the person or party who obtained the court appointment must propose a different natural person for cannabis receiver, that new proposed cannabis receiver must submit an application to the Board for approval and, upon approval by the Board, that person or party who proposed the new cannabis receiver, or the person now holding the cannabis establishment agent registration card for a cannabis receiver must apply for their appointment with a court of competent jurisdiction as set forth in subsection 3. This process must be repeated, as needed, until final Board approval and court appointment of the appropriate cannabis receiver is achieved.

     9.  If the Board approves an application for a cannabis establishment agent registration card for a cannabis receiver, thereby placing the applicant as cannabis receiver over the cannabis establishment before court appointment, and the court subsequently does not approve appointment of said cannabis receiver, the person or party who requested the application and appointment of that cannabis receiver must propose a different natural person for cannabis receiver, that new proposed cannabis receiver must submit an application to the Board for approval and, upon approval by the Board, that person who proposed the new cannabis receiver must petition or move the court for appointment of the new proposed cannabis receiver. This process must be repeated as needed until final Board approval and court appointment of the appropriate cannabis receiver is achieved.

     10.  If the Board orders the placement of a cannabis receiver pursuant to this section and no person has applied for approval of a cannabis establishment agent registration card for a cannabis receiver or no person is able or willing to act as cannabis receiver, within 10 calendar days of the Board’s order for placement of a receiver, the Board shall hold a hearing, with notice to the cannabis establishment, to determine if summary suspension of the license is warranted, pursuant to NAC 678A.550 and NRS 233B.127, and may suspend the license of the cannabis establishment at issue until such time as a natural person is willing and able to act as a cannabis receiver over said cannabis establishment. If no person is able or willing to act as a cannabis receiver after 90 days from the Board’s order of suspension, all licenses of the subject cannabis establishment must be deemed voluntarily surrendered. The Board may extend the deadlines in this subsection for good cause shown.

     11.  Before holding a hearing to approve the application of a cannabis receiver, the Chair of the Board may issue a conditional approval for a cannabis receiver applicant to receive a cannabis establishment agent registration card for a cannabis receiver. The Board delegates such conditional approval to the Chair in circumstances in which the cannabis receiver applicant holds a valid certificate of qualification under NAC 678B.170, has been appointed by a court of competent jurisdiction, has been approved to be a cannabis receiver over one or more licensees in the last 2 years, when exigent circumstances exist that require the cannabis receiver applicant to begin exercising his or her duties as soon as possible or in other circumstances that the Chair deems appropriate. Such conditional approval shall be valid until a subsequent regular Board meeting, at which time the Board will hold a vote for final approval. A cannabis receiver with conditional approval may commence his or her duties as a cannabis receiver on receipt of a temporary cannabis establishment agent registration card for a cannabis receiver.

     12.  Unless exigent circumstances exist, in situations in which interested parties dispute whether a cannabis establishment should be placed into a receivership, the Board will defer to the findings of a court of competent jurisdiction on the issue as to whether a receivership is appropriate for the cannabis establishment at issue.

     [Cannabis Compliance Bd., §5.175, eff. 1-4-2024]

      NAC 678B.164  Cannabis receivers: Cannabis establishment agent registration card for a cannabis receiver required to act as cannabis receiver; requirements to obtain registration card. (NRS 678B.355, 678B.383)

     1.  A person who wishes to act as a cannabis receiver for a cannabis establishment must first apply for a cannabis establishment agent registration card for a cannabis receiver and comply with all requirements for obtaining a cannabis establishment agent registration card under NRS 678B.340.

     2.  If the court has appointed a receiver over a cannabis establishment before the Board’s approval of said receiver, the receiver must notify the point of contact of the cannabis establishment, and all known owners of the cannabis establishment, of the court appointment, before the Board approves an application for a cannabis establishment agent registration card for a cannabis receiver over the cannabis establishment.

     3.  Before the consideration of approval of a cannabis receiver, the Board’s agents may conduct a physical inspection, audit or investigation with or without notice of the subject cannabis establishment to determine whether the cannabis establishment is in compliance with Nevada law.

     4.  In addition to the procedures in subsection 1, a natural person who wishes to act as a receiver for a cannabis establishment must complete an application on a form approved by the Board, which provides all information required in paragraphs (a) to (g), inclusive, of subsection 2 of NRS 678B.355, and must comply with all requirements of NRS 678B.355, as well as provide the following documents with the application:

     (a) A resume or curriculum vitae updated within 1 month of submittal which describes and details the proposed receiver’s experience as a court-appointed receiver and business experience in the cannabis industry in Nevada or any other state. Should the receiver applicant have no experience in the Nevada cannabis industry, said applicant shall identify personnel or consultants with Nevada cannabis industry experience who will assist the applicant during the course of the receivership.

     (b) Proof of liquid assets in at least the amount of $250,000, proof of professional or E & O liability insurance covering the acts or omissions of the receiver for his or her duties as a cannabis establishment receiver or proof of ability to finance the receivership through receivership certificates or other secure sources of funding.

     (c) Proof that the proposed receiver has notified, or has made a good faith effort to notify, the point of contact and owners of record with the Board for the subject cannabis establishment of the proposed receiver’s application or court appointment as a receiver.

     (d) An affirmation that the proposed receiver does not hold an ownership interest in any cannabis establishment in Nevada and that the proposed receiver will not hold a cannabis establishment agent registration card for a cannabis receiver for more than 10 percent of the cannabis establishments allocable in any one county.

     (e) A list of all other Nevada cannabis establishments over which the proposed receiver has acted as a cannabis receiver, with an affirmation that the new placement as cannabis receiver will not result in any conflicts of interests with any prior or concurrent cannabis receiver placements.

     (f) An affirmation that the proposed receiver is fully independent and will not retain counsel who has represented the subject cannabis establishment or any of its owners within the past 5 years.

     5.  The Board may request and require the proposed receiver to provide any additional documents or information to assist the Board in determining the suitability of the receiver.

     6.  Upon receipt of all the required information and documents, the Board shall set and hold a hearing to consider approval of the cannabis receiver. At the discretion of the Executive Director, said hearing may take place on an emergency basis or may be held during a regularly scheduled Board meeting.

     [Cannabis Compliance Bd., §5.180, eff. 1-4-2024]

      NAC 678B.167  Cannabis receivers: Duties; retention of counsel authorized; responsibility for fees and costs; cannabis receiver is subject to same requirements and disciplinary action as holder of other registration card; responsibility for civil penalties; removal or replacement. (NRS 678B.383)

     1.  A cannabis receiver’s duties include, without limitation, the following:

     (a) To take possession and control of the subject cannabis establishment and manage the operations of the cannabis establishment in the best interests of the cannabis establishment;

     (b) To provide monthly reports of the receiver’s activities and recommendations to the Executive Director;

     (c) To prepare monthly financial reports and recommendations on disposal of assets, advise of any issues which could be detrimental to the financial health of the cannabis establishment, liquidation or license surrender, as appropriate;

     (d) To manage and make decisions for any pending litigation involving the cannabis establishment;

     (e) To manage and make decisions regarding any administrative proceedings, including the authority to settle any disciplinary proceedings with the Board or any other regulatory agency;

     (f) To respond to requests for information and documents from the Board’s staff regarding any investigation of regulatory violations or transfer of interest requests;

     (g) To ensure the cannabis establishment complies with this chapter, chapters 678A and 678D of NAC, title 56 of NRS, and any other provisions of Nevada law;

     (h) To facilitate transfer of interest requests necessary to conclude the receivership, or other appropriate transfer of interest requests, where applicable;

     (i) To retain and employ consultants, attorneys, contractors, management companies, or any other persons or entities to assist in operating the cannabis establishment as necessary, provided said persons obtain prior Board approvals or cannabis establishment agent registration cards when required by law;

     (j) To ensure that there is adequate cash flow to operate the cannabis establishment in a compliant manner;

     (k) Any other duties as ordered by a court of competent jurisdiction; and

     (l) Any other duties set forth in the Board’s order approving the application of the cannabis receiver and thereby placing the applicant as cannabis receiver over the cannabis establishment.

     2.  A cannabis receiver may retain counsel to represent the cannabis receiver. A receiver may retain other counsel separate and apart from the receiver’s designated counsel to represent the cannabis establishment in disciplinary actions, business matters or any other matters in which the cannabis establishment requires legal representation.

     3.  A cannabis receiver shall remain in place and continue with his or her duties and responsibilities until the Board issues an order discharging the cannabis receiver. Any owner of the cannabis establishment in receivership or the cannabis receiver may apply for discharge of the cannabis receiver at any time, but the Board must approve the removal of the cannabis receiver by a majority vote at a public meeting. If the cannabis establishment license or licenses over which the receiver has been placed are sold or transferred to another person or entity, the Board may issue an order discharging the cannabis receiver on or after the Board’s approval of that transfer of interest without a further vote.

     4.  The cannabis establishment subject to the receivership is responsible for the payment of all fees and costs of the cannabis receiver, unless a court or the Board orders otherwise or designates another person or entity to be responsible for payment of the receiver’s fees and costs.

     5.  A cannabis receiver, as the holder of a cannabis establishment agent registration card, is subject to all the requirements of this chapter, chapters 678A and 678D of NAC and title 56 of NRS and is subject to disciplinary action for the receiver’s violations of any statutes or regulations in the same manner as any holder of cannabis establishment agent registration card. The receivership estate for the cannabis establishment under receivership shall be responsible for any civil penalties imposed upon the cannabis establishment that do not involve the direct statutory or regulatory violations by the cannabis receiver.

     6.  The Board, or any other interested party, may seek the removal or replacement of a Board-approved, or court-appointed, receiver upon proof sufficient to the Board that the Board-approved, or court-appointed, receiver has not satisfied, or is otherwise unable to satisfy, those duties provided in this section.

     [Cannabis Compliance Bd., §5.190, eff. 1-4-2024]

      NAC 678B.170  Cannabis receivers: Application requirements for certificate of qualification; review of suitability; Board to list holders of certificate on Internet website of Board; procedures for holder of certificate to be placed as cannabis receiver; suspension and revocation of certificate. (NRS 678B.355, 678B.383)

     1.  A natural person who wishes to be deemed qualified as a cannabis receiver may apply to the Board for a certificate of qualification as a cannabis receiver.

     2.  To apply for a certificate of qualification, a person shall complete a form approved by the Board for this purpose, which provides all information required in paragraphs (a) to (g), inclusive, of subsection 2 of NRS 678B.355 as well as the following documents:

     (a) A resume or curriculum vitae updated within 1 month of submittal which describes and details the proposed receiver’s experience as a court-appointed receiver and business experience in the cannabis industry in Nevada or any other state;

     (b) An affirmation that the proposed receiver does not hold an ownership interest in any cannabis establishment in Nevada; and

     (c) A list of all other Nevada cannabis establishments over which the proposed receiver has acted as a cannabis receiver, if any.

     3.  Upon receipt of the application materials set forth in subsection 2, the Board’s staff shall complete a review of the applicant’s suitability, after which the Board shall set a date for a hearing, which may take place at a regularly scheduled Board meeting. At said hearing, the Board may question the applicant and shall then vote on whether to award a certificate of qualification.

     4.  A certificate of qualification is valid for 2 years from the date of issuance and may be renewed thereafter every 2 years on a form approved by the Board.

     5.  The Board shall list on its Internet website all current holders of certificates of qualifications.

     6.  Should a person who holds a certificate of qualification apply as a cannabis receiver over a specific cannabis establishment, said person shall do so via a form approved by the Board and submit the required documents and materials listed in paragraphs (b) to (f), inclusive, of subsection 4 of NAC 678B.164, as well as an application for a cannabis establishment agent registration card for a cannabis receiver for the specific cannabis establishment.

     7.  On receipt of the application and materials set forth in subsection 6, the Board shall delegate approval of the placement of the applicant as a cannabis receiver to the Chair. At the Chair’s discretion, the Chair may set a hearing on the application before the entire Board.

     8.  The certificate of qualification is not confidential and may be submitted when any interested party petitions or moves a court for the appointment of a cannabis receiver.

     9.  The Board may suspend any certificate of qualification issued, if the Board files and serves a disciplinary action against the cannabis receiver’s cannabis establishment agent registration card and may revoke any certificate of qualification issued if the Board disciplines the cannabis receiver’s cannabis establishment agent registration card. The Board may revoke any certificate of qualification on application by any interested party and on good cause shown for such revocation.

     [Cannabis Compliance Bd., §5.195, eff. 1-4-2024]

      NAC 678B.173  Cannabis receivers: Required procedures upon death, incapacity or disability of certain owners of cannabis establishment; plan of succession; authority of Executive Director and Board upon death, incapacity or disability of owner of cannabis establishment; notice to Executive Director required upon death, incapacity or disability of cannabis receiver; penalties. (NRS 678B.383, 678B.650)

     1.  If a natural person who holds an ownership interest in a cannabis establishment of 5 percent or more on a fully diluted basis dies or becomes incapacitated or disabled, which thereby prevents said person from operating or managing a cannabis establishment in compliance with Nevada law:

     (a) The cannabis establishment must notify the Executive Director as soon as reasonably practicable of the death, incapacity or disability of said natural person, but in no event less than 5 business days after discovery of said death, incapacity or disability. Such notice must include the full legal name of the natural person at issue and a description of the ownership interest held, including the percentage of ownership interest on a fully diluted basis. In addition, the cannabis establishment shall provide proof satisfactory to the Board of the death, incapacity or disability. On such notice, the Executive Director may seek further information or documents to further investigate the deceased or incapacitated person’s role in operating or managing the cannabis establishment. If the Executive Director determines said individual exercised significant control in operating or managing the cannabis establishment, the Executive Director may seek an order from the Board for the cannabis establishment to show cause why a cannabis receiver should not be placed over the cannabis establishment to take possession of, manage the operations of and take any other actions necessary and authorized by the Board.

     (b) On the death of any natural person holding an ownership interest in a cannabis establishment of greater than 50 percent, whether directly or indirectly through one or more legal entities, said cannabis establishment must apply to the Board within 7 days of the discovery of the death for approval of a cannabis receiver over the cannabis establishment to take possession of, manage the operations of and take any other actions necessary and authorized by the Board or a court, unless or until such time the Board determines such cannabis receiver is no longer needed. Said cannabis establishment must also file an action with the appropriate court seeking court appointment of a cannabis receiver within those 7 days.

     (c) In cases where a successor or successors, as set forth in subsection 2, have undergone a successful suitability evaluation by the Board within the 6 months before the death, incapacity or disability, the Board, at its discretion, may waive the receivership requirements of this section.

     2.  Within 120 days of January 4, 2024, for a natural person who holds an ownership interest in a cannabis establishment of greater than 50 percent, whether directly or indirectly through one or more legal entities, said cannabis establishment must provide the Board with a plan of succession of the ownership interest on said person’s death, incapacity or disability. Such a cannabis establishment must provide notice of any change to said plan of succession of the ownership interest within 5 business days of such change. The plan of succession and any subsequent changes thereto are not public documents and are confidential.

     3.  If the Executive Director or, in the Executive Director’s absence, the Deputy Director determines there could be an impairment of the health, safety or welfare of the public due to the death, incapacity or disability of a cannabis establishment owner, the Executive Director or, in his or her absence, the Deputy Director may convene an emergency Board meeting either in person, via telephone or via video conference, to determine whether to approve an application for a cannabis establishment agent registration card for a cannabis receiver to take possession or control of the subject cannabis establishment or whether a summary suspension must be imposed pursuant to subsection 3 of NRS 233B.127. If the deceased, incapacitated or disabled cannabis establishment owner was holding an ownership interest of greater than 50 percent, it will be assumed that there could be an impairment of the health, safety or welfare of the public.

     4.  Within 30 calendar days, or longer if good cause is shown, of the death, incapacity or disability of any natural person set forth in this section, the cannabis establishment at issue must seek approval for the transfer of the ownership interest from such natural person or their estate to another natural person or entity pursuant to NAC 678B.119, and the natural person or entity proposed to receive the deceased, incapacitated or disabled natural person’s ownership interest must meet all requirements of NAC 678B.119. Depending on the level of ownership interest, the degree of control of the cannabis establishment by the deceased, incapacitated or disabled natural person or any other factors the Executive Director deems relevant, the Executive Director may take measures to expedite the processing of the transfer of interest, if appropriate and feasible.

     5.  If the current cannabis receiver over a cannabis establishment has died or become incapacitated or disabled, the cannabis establishment must so notify the Executive Director as soon as reasonably practicable of the death, incapacity or disability of said cannabis receiver, but in no event less than 5 business days after discovery of said death, incapacity or disability.

     6.  Each violation or instance of failure to comply with any of the requirements of this section is a category III violation, subjecting the offender or offenders to disciplinary action under NAC 678A.500 to 678A.620, inclusive.

     [Cannabis Compliance Bd., §5.170, eff. 1-4-2024]

Requirements and Procedures for Operation

      NAC 678B.190  Posting of licenses and other authorization to conduct business in conspicuous place. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  A cannabis establishment shall post its license for a cannabis establishment, business license and any other authorization to conduct business in a public view within the cannabis establishment.

     [Cannabis Compliance Bd., §6.050, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.400, 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.400, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.193  Requirements of dual licensee. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  A dual licensee shall:

     1.  Comply with the provisions of this chapter, chapters 678A and 678D of NAC and title 56 of NRS with respect to the medical cannabis establishment operated by the dual licensee; and

     2.  Combine the location and operations of the medical cannabis establishment and adult-use cannabis establishment operated by the dual licensee as provided in NAC 678B.280.

     [Cannabis Compliance Bd., §6.055, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from former NAC 453D.405, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.196  Operation in accordance with plans and specifications included in application; deviation from plans and specifications; documentation of change to facilities; inspection or audit of change to facilities; time period for becoming operational; plan for inactivity. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Except as otherwise provided in this section, a cannabis establishment shall operate according to the plans and specifications included within the application for a license for the cannabis establishment submitted pursuant to NRS 678B.210 or 678B.250.

     2.  A cannabis establishment may operate in a manner that deviates from the plans or specifications included within its application for a license if the change would comply with state and local laws, regulations and ordinances and the cannabis establishment provides the Board with a written notification of its intent to make the change which includes, without limitation:

     (a) The name, physical address and license number of the cannabis establishment; and

     (b) A description of the proposed change.

     3.  Upon receipt of a written notification pursuant to subsection 2, the Board will add the information to the file that the Board maintains on the cannabis establishment and send a letter of approval or denial.

     4.  A cannabis establishment which has completed a change to its facilities, pursuant to subsection 2, shall submit documentation of the change to the Board as soon as practicable, but in no event later than the date of the next scheduled inspection of the cannabis establishment by the Board.

     5.  The Board agents will inspect or audit any change to the facilities of a cannabis establishment that the Executive Director deems necessary of inspection or auditing at the next inspection of the cannabis establishment by the Board agents or at such other time as the Executive Director determines to be appropriate after the date that the cannabis establishment projects for completion of the change or notifies the Board of the completion of the change, whichever is earlier.

     6.  A cannabis establishment shall not commence the operation of any material change to the facilities or operations of the cannabis establishment until the Board agents complete an inspection or audit of the change or notifies the cannabis establishment that an inspection or audit is not necessary. Material changes include, without limitation, modifications to:

     (a) The infrastructure of the facilities of the cannabis establishment, including, without limitation, modifications requiring demolition or new construction of walls, plumbing, electrical infrastructure, heating, ventilation or air conditioning; and

     (b) The operating capability of the cannabis establishment, including, without limitation, the implementation of a new extraction device or removal of an existing extraction device, a change to the growing method from the method previously used and inspected or a change to the lighting technology, hydroponic system, pod or other contained growing system. The addition of one or more new pods which are identical to a pod that has already been inspected is not a material change.

     7.  A cannabis establishment must be operational within 30 days of receiving its final inspection and is issued a license to operate, and must maintain all minimum requirements at all times. If a facility plans to be inactive for more than 30 days, a plan must be presented to the Board for approval.

     [Cannabis Compliance Bd., §6.060, eff. 8-5-2020; A 11-15-2021]

REVISER’S NOTE.

      The provisions of this section were derived in part from former NAC 453D.410, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.199  Written request for move to new location; issuance of new amended license upon approval of request. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  A cannabis establishment may move to a new location under the jurisdiction of the same locality as its original location and regardless of the distance from its original location if the operation of the cannabis establishment at the new location has been approved by the locality. A locality may approve a new location pursuant to this subsection only in a public hearing for which written notice is given at least 7 working days before the hearing.

     2.  Except as otherwise provided in subsection 1, a cannabis establishment that wishes to move to a new location or commence operations at a location other than the location contained in the application of the cannabis establishment must submit a written request for relocation to the Board. The written request for relocation must include, without limitation:

     (a) The name, current physical address, proposed new physical address and license or application number of the cannabis establishment;

     (b) Documentation of a public meeting in which the locality of the proposed new location considered the relocation request;

     (c) Documentation of land use approval for the new location by the locality;

     (d) A professional survey demonstrating that the proposed location meets the distance requirements set forth in sub-subparagraph (II) of subparagraph (2) of paragraph (a) of subsection 3 of NRS 678B.250;

     (e) A signed, written attestation that the operation of the cannabis establishment at the new address will meet or exceed the merits of the location specified in the application submitted by the cannabis establishment;

     (f) If the cannabis establishment is operational, a detailed inventory report and plan to transfer inventory to new location; and

     (g) Documentation that proves the applicant has secured a lease or other property agreement that allows operation of a cannabis establishment on the property, or a letter from the landlord of the property stating the licensee is authorized to operate a cannabis establishment on the property.

     3.  The Board will consider each request received pursuant to subsection 2 and, after reviewing the documentation contained in the request, determine whether the request should be approved. Upon approval, the Board will issue to the cannabis establishment a new license which is amended to reflect the new address.

     [Cannabis Compliance Bd., §6.065, eff. 8-5-2020; A 8-13-2021]

REVISER’S NOTE.

      The provisions of this section were derived in part from former NAC 453D.413, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.202  Adoption and implementation of policies and procedures prohibiting discrimination and harassment; inspection and review of policies and procedures; deficiencies in policies and procedures. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each licensed cannabis establishment that employs 15 or more employees shall adopt and implement written policies and procedures prohibiting workplace discrimination or harassment of a person based on the person’s race, color, religion, sex, sexual orientation, gender identity or expression, age, disability or national origin, including, without limitation, sexual harassment. Such written policies and procedures must include, without limitation:

     (a) The procedures and methods available to a person seeking to report an instance of workplace discrimination or harassment; and

     (b) The procedures the licensed cannabis establishment will follow when investigating a report of workplace discrimination or harassment.

     2.  The written policies and procedures required by this section shall address and apply to workplace discrimination or harassment, including, without limitation, sexual harassment, committed by:

     (a) A person within the cannabis establishment, including, without limitation, an owner, manager, employee or independent contractor; or

     (b) A person outside the cannabis establishment, including, without limitation, a customer, client, vendor, contractor, consultant or other person that does business with the organization.

     3.  The Chair, the Chair’s designee, a Board member or a Board agent may, at any time, inspect the written policies and procedures required pursuant to this section, and all records related thereto of a licensed cannabis establishment.

     4.  The Chair or the Chair’s designee may require a licensed cannabis establishment to submit the written policies and procedures adopted and implemented pursuant to subsection 1 for the Chair’s, or the Chair’s designee’s, review. If the Chair or the Chair’s designee makes an administrative determination that the licensed cannabis establishment’s written policies and procedures do not adequately address the requirements set forth in subsection 1, the Chair or the Chair’s designee may issue a determination identifying the deficiency and specifying a time certain within which the deficiency must be cured. Any licensed cannabis establishment affected by such an administrative determination may request a hearing from the Board.

     [Cannabis Compliance Bd., §14.010, eff. 8-5-2020]

      NAC 678B.205  Persons authorized on premises; visitor identification badge and other requirements for other persons; maintenance and availability of visitor log; conditions under which live animals authorized on premises. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Except as otherwise provided in this section, the only persons who may be on the premises of a cannabis sales facility are:

     (a) A registered cannabis establishment agent for a cannabis sales facility;

     (b) A patient who holds a valid registry identification card or letter of approval;

     (c) The designated primary caregiver of a patient who holds a valid registry identification card or letter of approval;

     (d) A person who is not a resident of this State but is deemed to hold a valid registry identification card pursuant to NRS 678C.470;

     (e) A person inspecting the cannabis establishment, including, without limitation, a local government authority or emergency personnel, pursuant to this chapter, chapter 678A or 678D of NAC or title 56 of NRS; or

     (f) Any person not listed in paragraphs (a) to (e), inclusive, who is at least 21 years of age.

     2.  Except as otherwise provided in this section, the only persons who may be on the premises of a cannabis consumption lounge are:

     (a) A registered cannabis establishment agent for a cannabis consumption lounge;

     (b) A person inspecting the cannabis establishment, including, without limitation, a local government authority or emergency personnel, pursuant to this chapter, chapter 678A or 678D of NAC or title 56 of NRS; or

     (c) Any person not listed in paragraph (a) or (b) who is at least 21 years of age.

     3.  The only persons who may be on the premises of a cannabis establishment other than a cannabis sales facility or a cannabis consumption lounge are:

     (a) A registered cannabis establishment agent for that facility type; or

     (b) A person inspecting the cannabis establishment, including, without limitation, a local government authority or emergency personnel, pursuant to this chapter, chapter 678A or 678D of NAC or title 56 of NRS.

     4.  Any person other than a person authorized to be on the premises of a cannabis establishment pursuant to subsections 1, 2 and 3 must obtain a visitor identification badge from a cannabis establishment agent before entering the premises of the cannabis establishment.

     5.  A person who obtains a visitor identification badge pursuant to subsection 4, including, without limitation, an outside vendor or contractor:

     (a) Must be escorted and monitored by a cannabis establishment agent at all times he or she is on the premises of the cannabis establishment;

     (b) Must visibly display his or her visitor identification badge at all times he or she is on the premises of the cannabis establishment;

     (c) Must not handle any cannabis or money whatsoever; and

     (d) Must return the visitor identification badge to a cannabis establishment agent upon leaving the premises of the cannabis establishment.

     6.  Each cannabis establishment shall maintain a visitor log which includes the name of the visitor and the date, time and specific purpose of each visit by a person other than a person authorized to be on the premises of the cannabis establishment pursuant to subsections 1, 2 and 3. The cannabis establishment shall make its visitor log available to the Board or Board agents upon request.

     7.  Each regular, seasonal or temporary employee of, volunteer or person who provides labor as a cannabis establishment agent at a cannabis establishment must obtain a cannabis establishment agent registration card pursuant to the provisions of chapter 678B of NRS and may not be authorized to be on the premises of the cannabis establishment by obtaining a visitor identification badge pursuant to the provisions of this section.

     8.  Live animals shall be allowed on the premises only under the following conditions:

     (a) Decorative fish in aquariums.

     (b) Patrol dogs accompanying police or security officers.

     (c) In areas that are not used for cannabis storage or preparation, and that are usually open for customers, including, without limitation, sales areas, service animals that are controlled by the disabled employee or consumer, if a health or safety hazard will not result from the presence or activities of the service animal.

     9.  Nothing in this section shall be construed to supersede, or be in conflict with, the Americans with Disabilities Act of 1990, 42 U.S.C. §§ 12101 et seq.

     [Cannabis Compliance Bd., §6.070, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.406, 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.418, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.208  Training and instruction required before cannabis establishment agent may begin work, volunteer or provide labor. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  A cannabis establishment shall ensure that training is provided to a cannabis establishment agent before that person begins to work or volunteer at or provide labor as a cannabis establishment agent at the cannabis establishment. Such training must include, without limitation:

     (a) The proper use of security measures and controls that have been adopted by the cannabis establishment for the prevention of diversion, theft or loss of cannabis;

     (b) Procedures and instructions for responding to an emergency; and

     (c) State and federal statutes and regulations related to the use of cannabis.

     2.  In addition to the training set forth in subsection 1, a cannabis sales facility shall ensure that instruction is provided to a cannabis establishment agent, including delivery drivers, before that person begins to work or volunteer at or provide labor as a cannabis establishment agent to the cannabis sales facility. Such instruction must include, without limitation:

     (a) The different strains of cannabis;

     (b) The different methods of using cannabis and cannabis products;

     (c) Learning to recognize signs of cannabis abuse, impairment or instability in the use of cannabis by a consumer;

     (d) Clinical effects of cannabis on the human body and how THC affects the consumer;

     (e) Required warnings and literature which must be supplied to the consumer;

     (f) Methods of refusing entry or sales to prohibited persons, including, without limitation:

          (1) Verifying identification and using age verification devices;

          (2) Education on the effects of cannabis on persons under 21 years of age; and

          (3) Recognition of false or altered identification;

     (g) Understanding the role of law enforcement in confirming compliance with laws and regulations relating to cannabis;

     (h) Applicable state and local laws and regulations regarding cannabis;

     (i) Preventing unlawful consumption of cannabis, including, without limitation, information regarding laws which prohibit open or public consumption of cannabis;

     (j) Preventing the use of cannabis by persons under the age of 21 years, including, without limitation, laws which prohibit such use and the penalties for the violation of such laws;

     (k) How to prevent and address disturbances; and

     (l) The responsibility of the cannabis establishment agent to put into effect strategies adopted by the cannabis establishment to prevent the diversion of cannabis.

     3.  In addition to the training set forth in subsection 1, a cannabis independent testing laboratory shall ensure that instruction is provided to a cannabis establishment agent before that person begins to work or volunteer at or provide labor as a cannabis establishment agent to the cannabis independent testing laboratory. Such instruction must include, without limitation:

     (a) The good laboratory practices adopted by the cannabis independent testing laboratory; and

     (b) The standard operating procedures and the quality control and quality assurance programs of the cannabis independent testing laboratory.

     4.  In addition to the training set forth in subsection 1, a cannabis cultivation facility shall ensure that instruction is provided to a cannabis establishment agent before that person begins to work or volunteer at or provide labor as a cannabis establishment agent to the cannabis cultivation facility. Such instruction must include, without limitation:

     (a) The methods of cultivation used by the cannabis cultivation facility;

     (b) The methods of fertilization used by the cannabis cultivation facility;

     (c) Methods for recognizing the signs of insect infestation, pathogens and disease in cannabis plants, and the procedures for eradication and the safe disposal of plants so affected;

     (d) The nutritional requirements of cannabis plants at various growth stages, including, without limitation, proper mixing and dispersal of fertilizer, flushing procedures and procedures for postharvest trimming, drying and curing; and

     (e) The safe handling of equipment, including, without limitation, high-intensity discharge lamps, electrical ballasts, pumps, fans, cutting implements and other equipment for cultivation.

     5.  In addition to the training set forth in subsection 1, a cannabis production facility shall ensure that instruction is provided to a cannabis establishment agent before that person begins to work or volunteer at or provide labor as a cannabis establishment agent to the cannabis production facility. Such instruction must include, without limitation:

     (a) Understanding the difference between concentrated cannabis, topical products and cannabis products, as applicable to the operations of the cannabis production facility;

     (b) The procedures used by the cannabis production facility to create concentrated cannabis and cannabis products; and

     (c) The proper procedures for handling concentrated cannabis and cannabis products, including, without limitation, the procedures used to prepare, produce, package and store such products as required by the provisions of this chapter, chapters 678A and 678D of NAC and chapters 678C and 678D of NRS.

     6.  In addition to the training set forth in subsection 1, an adult-use cannabis distributor shall ensure that instruction is provided to a cannabis establishment agent before that person begins to work or volunteer at or provide labor as a cannabis establishment agent to the adult-use cannabis distributor. Such instruction must include, without limitation:

     (a) Procedures for the proper handling of cannabis plants, usable cannabis, concentrated cannabis and cannabis products;

     (b) Procedures for the proper transportation and storage of cannabis plants, usable cannabis, concentrated cannabis and cannabis products; and

     (c) Information regarding the type of driver’s license which must be maintained for the loads expected to be transported.

     7.  In addition to the training set forth in subsection 1, cannabis consumption lounges shall ensure that instruction is provided to a cannabis establishment agent before that person begins to work or volunteers or provides labor as a cannabis establishment agent at the cannabis consumption lounge. Such instruction must include, without limitation:

     (a) Methods for identifying signs of visible overconsumption of cannabis or impairment from alcohol or other drugs;

     (b) Resources to mitigate impaired driving, including safe transportation options available to consumers;

     (c) Strategies for inquiring about and understanding a consumer’s varying experience with cannabis and options for lower dose cannabis products;

     (d) Policies for ceasing all consumption and other activities until law enforcement, firefighters, emergency medical service providers or other public safety personnel have completed any investigation or services and vacated the cannabis establishment;

     (e) Guidelines for employees and licensees to identify themselves during an interaction with law enforcement, Board agents or local regulators;

     (f) Signs of poly-substance interactions, including, without limitation, interactions of cannabis with alcohol, prescription and over-the-counter medications and other substances;

     (g) Risks and potential responses to adverse events such as overconsumption, dehydration, poly-substance use or other similar events;

     (h) Procedures to de-escalate interactions with intoxicated consumers and potentially dangerous situations, which include, without limitation, development of an emergency action plan;

     (i) Approaches for sexual assault prevention associated with overconsumption or poly-substance intoxication;

     (j) Resources available for responsible cannabis use;

     (k) Resources for understanding the difference between concentrated cannabis, topical products and cannabis products, as applicable to the operations of the consumption lounge; and

     (l) Proper methods of destruction of single-use cannabis products and ready-to-consume cannabis products.

     [Cannabis Compliance Bd., §6.072, eff. 12-7-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.336, 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.352, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.211  Development, documentation and implementation of certain policies and procedures; maintenance and availability. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  A cannabis establishment shall:

     1.  Develop, document and implement policies and procedures regarding:

     (a) Job descriptions and employment contracts, including, without limitation:

          (1) The duties, authority, responsibilities and qualifications of personnel;

          (2) Supervision of personnel;

          (3) Training in and adherence to confidentiality requirements;

          (4) Periodic performance evaluations;

          (5) Disciplinary actions; and

          (6) Disclosure of potential health risks involved with the performance of job duties.

     (b) Business records, such as manual or computerized records of assets and liabilities, monetary transactions, journals, ledgers and supporting documents, including, without limitation, agreements, checks, invoices and vouchers.

     (c) Inventory control, including, without limitation:

          (1) Tracking;

          (2) Packaging;

          (3) Acquiring cannabis from other cannabis establishments;

          (4) Disposing of waste containing cannabis or unconsumed cannabis and cannabis product rendered unusable in accordance with NAC 678B.475; and

          (5) Returning for a refund of cannabis or cannabis products to the cannabis establishment from which the cannabis or cannabis products were acquired.

     (d) If applicable, consumer education and support, including, without limitation:

          (1) The availability of different strains of cannabis and the purported effects of the different strains;

          (2) Information about the purported effectiveness of various methods, forms and routes of administering cannabis;

          (3) The prohibition on the smoking or consumption of cannabis in public places, places open to the public, within a cannabis sales facility, except within licensed cannabis consumption lounges, and places exposed to public view;

          (4) Education on how cannabis impairs a person’s ability to operate a moving vehicle and that driving, operating or being in actual physical control of a vehicle while under the influence of cannabis or while impaired by cannabis is unlawful; and

          (5) That possession of cannabis exceeding a certain quantity remains a felony with various legal consequences.

     2.  Maintain copies of the policies and procedures developed pursuant to subsection 1 at the cannabis establishment and provide copies to the Board or Board agents for review upon request.

     [Cannabis Compliance Bd., §6.075, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.408, 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.422, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.214  Inventory control system; authorized sources for acquisition of cannabis and cannabis products; duties of establishment if loss incurred; maintenance and availability of documentation. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis establishment shall designate in writing a cannabis establishment agent who has oversight of the inventory control system of the cannabis establishment.

     2.  Except as otherwise provided in subsection 4, a cannabis establishment shall only acquire cannabis or cannabis products from another Nevada licensed cannabis establishment, including, without limitation, a cannabis cultivation facility, a cannabis production facility or a cannabis sales facility.

     3.  Pursuant to title 56 of NRS, a cannabis consumption lounge may only acquire single-use cannabis products, cannabis and adult-use cannabis products needed for ready-to-consume cannabis products from a cannabis sales facility.

     4.  A cannabis cultivation facility may acquire seeds for the cultivation of cannabis from any person if the acquisition of the seeds does not violate the provisions of title 56 of NRS. A cannabis cultivation facility may also acquire cannabis or cannabis products from a consumer if the acquisition does not violate the provisions of title 56 of NRS.

     5.  With the exception of a cannabis consumption lounge, a cannabis establishment shall not acquire concentrated cannabis or products containing concentrated cannabis from another cannabis establishment, except that a cannabis sales facility or a cannabis production facility may acquire concentrated cannabis or products containing concentrated cannabis from a cannabis production facility. A cannabis cultivation facility may sell crude collected resins to a cannabis sales facility if the crude collected resins are:

     (a) From a single batch;

     (b) Unaltered; and

     (c) Not combined, except as otherwise provided in subsection 6.

     6.  A cannabis cultivation facility may combine lots of crude collected resins which have been collected in accordance with subsection 5 and have passed all testing pursuant to NAC 678B.554 before combining.

     7.  Each cannabis establishment, except a cannabis independent testing laboratory, shall establish and implement an inventory control system that documents:

     (a) Each day’s beginning inventory, acquisitions, harvests, sales, disbursements, disposal of unusable cannabis and ending inventory, including, without limitation, the:

          (1) Number of plants and cuttings;

          (2) Weight of flowers, measured in grams;

          (3) Weight of trim, measured in grams;

          (4) Quantity of THC, measured in milligrams; and

          (5) Weight of seeds, measured in grams.

     (b) When acquiring cannabis from another cannabis establishment:

          (1) A description of the cannabis acquired, including the amount, strain and batch number, lot number and production run number, or any combination thereof;

          (2) The name and identification number of the license of the cannabis establishment providing the cannabis;

          (3) The name and the number of the cannabis establishment agent registration card of the cannabis establishment agent providing the cannabis;

          (4) The name and the number of the cannabis establishment agent registration card of the cannabis establishment agent receiving the cannabis on behalf of the cannabis establishment; and

          (5) The date of acquisition.

     (c) When acquiring cannabis from a medical cannabis establishment licensed pursuant to the Act:

          (1) A description of the cannabis acquired, including the amount, strain and batch number, lot number and production run number, or any combination thereof;

          (2) The name and identification number of the medical cannabis establishment license of the medical cannabis establishment providing the cannabis;

          (3) The name and the number of the cannabis establishment agent registration card of the cannabis establishment agent providing the cannabis;

          (4) The name and the number of the cannabis establishment agent registration card of the cannabis establishment agent receiving the cannabis on behalf of the cannabis establishment; and

          (5) The date of acquisition.

     (d) For each batch of cannabis cultivated:

          (1) The batch number, lot number and production run number, as applicable.

          (2) Whether the batch originated from cannabis seeds or cannabis cuttings.

          (3) The strain of the cannabis seeds or cannabis cuttings planted.

          (4) The number of cannabis seeds or cannabis cuttings planted.

          (5) The date on which the cannabis seeds or cuttings were planted.

          (6) A list of all chemical additives used in the cultivation, including, without limitation, nonorganic pesticides, herbicides and fertilizers.

          (7) The number of cannabis plants grown to maturity.

          (8) Harvest information, including, without limitation:

               (I) The date of harvest;

               (II) The final yield weight of processed usable cannabis, in grams; and

               (III) The name and the number of the cannabis establishment agent registration card of the cannabis establishment agent responsible for the harvest.

          (9) The disposal of cannabis that is not usable cannabis, including:

               (I) A description of and reason for the cannabis being disposed of, including, if applicable, the number of failed or other unusable cannabis plants;

               (II) The date of disposal;

               (III) Confirmation that the cannabis was rendered unusable before disposal;

               (IV) The method of disposal; and

               (V) The name and the number of the cannabis establishment agent registration card of the cannabis establishment agent responsible for the disposal.

     (e) When providing cannabis to another cannabis establishment:

          (1) The amount, strain, batch number, lot number and production run number, as applicable, of cannabis provided to the cannabis establishment;

          (2) The name and license number of the other cannabis establishment;

          (3) The name and the number of the cannabis establishment agent registration card of the cannabis establishment agent who received the cannabis on behalf of the other cannabis establishment; and

          (4) The date on which the cannabis was provided to the cannabis establishment.

     (f) When receiving edible cannabis products from another cannabis establishment:

          (1) A description of the edible cannabis products received from the cannabis establishment, including the total weight of each edible cannabis product and the amount of THC, measured in milligrams, and the production run number of the cannabis in each edible cannabis product.

          (2) The total amount and production run number of cannabis in the edible cannabis products.

          (3) The name and:

               (I) License number of the cannabis establishment providing the edible cannabis products to the receiving cannabis establishment;

               (II) The number of the cannabis establishment agent registration card of the cannabis establishment agent providing the edible cannabis products to the receiving cannabis establishment; and

               (III) The number of the cannabis establishment agent registration card of the cannabis establishment agent receiving the edible cannabis products on behalf of the receiving cannabis establishment.

          (4) The date on which the edible cannabis products were provided to the cannabis establishment.

     (g) When receiving cannabis products from another cannabis establishment:

          (1) A description of the cannabis products received from the cannabis establishment, including the total weight of each cannabis product and the amount of THC, measured in milligrams, and production run number of the cannabis in each cannabis product.

          (2) The total amount and production run number of cannabis in the cannabis products.

          (3) The name and:

               (I) License number of the cannabis establishment providing the cannabis products to the receiving cannabis establishment;

               (II) The number of the cannabis establishment agent registration card of the cannabis establishment agent providing the cannabis products to the receiving cannabis establishment; and

               (III) The number of the cannabis establishment agent registration card of the cannabis establishment agent receiving the cannabis products on behalf of the receiving cannabis establishment.

          (4) The date on which the cannabis products were provided to the cannabis establishment.

     (h) When receiving concentrated cannabis or products containing concentrated cannabis from a cannabis production facility:

          (1) A description of the concentrated cannabis or products containing concentrated cannabis received from the cannabis production facility, including the total weight of each product, the amount of THC, except a cannabis independent testing laboratory, measured in milligrams, and the production run number for each product;

          (2) The name and:

               (I) License number of the cannabis establishment providing the concentrated cannabis or products containing concentrated cannabis to the receiving cannabis establishment;

               (II) The number of the cannabis establishment agent registration card of the cannabis establishment agent providing the concentrated cannabis or products containing concentrated cannabis to the receiving cannabis establishment; and

               (III) The number of the cannabis establishment agent registration card of the cannabis establishment agent receiving the concentrated cannabis or products containing concentrated cannabis on behalf of the receiving cannabis establishment; and

          (3) The date on which the concentrated cannabis or products containing concentrated cannabis were provided to the cannabis establishment.

     8.  Each cannabis establishment shall:

     (a) Establish and maintain a seed-to-sale tracking system which adequately documents the flow of materials through the manufacturing process.

     (b) Establish procedures which reconcile the raw material used to the finished product on the basis of each job. Significant variances must be documented, investigated by management personnel and immediately reported to the Executive Director and to the cannabis establishment that ordered the concentrated cannabis or cannabis product.

     (c) Provide for quarterly physical inventory counts to be performed by persons independent of the manufacturing process which are reconciled to the perpetual inventory records. Significant variances must be documented, investigated by management personnel and immediately reported to the Executive Director.

     9.  If a cannabis establishment identifies a reduction in the amount of cannabis in the inventory of the cannabis establishment which is not due to documented causes, the cannabis establishment shall determine where the loss has occurred and take and document corrective action. If the reduction in the amount of cannabis in the inventory of the cannabis establishment is due to suspected criminal activity by a cannabis establishment agent, the cannabis establishment shall report the cannabis establishment agent to the Board and to the appropriate law enforcement agencies within 24 hours. The Board may require the cannabis establishment to provide additional information as it determines necessary to conduct an investigation.

     10.  A cannabis establishment shall:

     (a) Maintain the documentation required by subsections 7, 8 and 9 at the cannabis establishment for at least 5 years after the date on the document; and

     (b) Provide the documentation required by subsections 7, 8 and 9 to the Board or Board agents for review upon request.

     [Cannabis Compliance Bd., §6.080, eff. 8-5-2020; A 8-13-2021, 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.414, 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.426, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.217  Use of seed-to-sale tracking system; payment of fees; tagging of cannabis and cannabis products. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  A cannabis establishment shall:

     1.  Use the seed-to-sale tracking system managed by the independent contractor selected by the Board;

     2.  Connect to the seed-to-sale tracking system using the independent contractor’s application programming interface;

     3.  Pay any fees assessed by the independent contractor for using the seed-to-sale tracking system, including, without limitation, user fees or application programming interface fees; and

     4.  Ensure cannabis and cannabis products are tagged as required using the seed-to-sale tracking system.

     [Cannabis Compliance Bd., §6.082, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.415, 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.430, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.220  Required security measures, equipment and personnel; location of outdoor cultivation facility must allow for response by local law enforcement; requirements concerning possession of firearms; duty to operate in respectable manner; requirements concerning criminal activities; consumption of cannabis by employees at work prohibited. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  To prevent unauthorized access to cannabis at a cannabis establishment, the cannabis establishment must have:

     (a) One single, secure entrance of the physical building.

     (b) No cannabis or cannabis products visible from outside the establishment.

     (c) Security equipment to deter and prevent unauthorized entrance into limited access areas that includes, without limitation:

          (1) Devices or a series of devices to detect unauthorized intrusion, which may include a signal system interconnected with a radio frequency method, such as cellular or private radio signals, or other mechanical or electronic device, and which, for a cannabis cultivation facility which engages in outdoor cultivation, covers the entirety of the cultivation area and the perimeter and exterior area of the cannabis cultivation facility.

          (2) Exterior lighting to facilitate surveillance which, for a cannabis cultivation facility which engages in outdoor cultivation:

               (I) When the lighting would not interfere with the growing cycle of a crop, covers the entirety of the cultivation area and the perimeter and exterior area of the cannabis cultivation facility.

               (II) When the lighting would interfere with the growing cycle of a crop, covers the perimeter and exterior area of the cannabis cultivation facility.

          (3) Electronic monitoring, including, without limitation, each of the following:

               (I) At least one call-up monitor that is 55 inches or more.

               (II) A printer capable of immediately producing a clear still photo from any video camera image, which photo must be provided to the Board or Board agents for review upon request.

               (III) Video cameras with a recording resolution of at least 1920 x 1080, or the equivalent, at a rate of at least 15 frames per second which provide coverage of all entrances and exits of the building, any room or area that holds a vault and any point-of-sale location, which record 24 hours per day, which are capable of being accessed remotely by a law enforcement agency in real time and which may record motion only. The information necessary to remotely access the camera footage must be entered into the cannabis establishment’s Accela portal. A video camera providing coverage of a point-of-sale location must allow for the identification of any person purchasing cannabis. In a cannabis consumption lounge, the entire area that is used by consumers must be covered by video cameras.

               (IV) Video cameras with a recording resolution of at least 720 x 480, or the equivalent, at a rate of at least 15 frames per second which provide coverage of all limited-access areas not described in sub-subparagraph (III) and any activity in or adjacent to the establishment, which record 24 hours per day, which are capable of being accessed remotely by a law enforcement agency, the Board and Board agents in real time upon request, which may record motion only and which, for a cannabis cultivation facility which engages in outdoor cultivation, cover the entirety of the cultivation area and the perimeter and exterior area of the cannabis cultivation facility. The information necessary to remotely access the camera footage must be entered into the cannabis establishment’s portal within the Board’s electronic licensing system.

               (V) A video camera which is capable of identifying any activity occurring within the cannabis establishment in low light conditions 24 hours per day.

               (VI) A method for storing video recordings from the video cameras for at least 30 calendar days in a secure on-site or off-site location or through a service or network that provides on-demand access to the recordings and providing copies of the recordings to the Board and Board agents for review upon request, on portable, external hard drives or other media as directed by the Board or Board agents, at the expense of the cannabis establishment, and within a reasonable time frame as determined by the Board or Board agents. Adequately sized, portable external drives must be immediately available to store a minimum of 7 days, or 168 hours, of video from a minimum of seven cameras. External drives must be USB 3.0 or greater and formatted with FAT32 or exFAT and will not be returned to the establishment.

               (VII) A failure notification system that provides an audible and visual notification of any failure in the electronic monitoring system.

               (VIII) Sufficient battery backup for video cameras and recording equipment to support at least 5 minutes of recording in the event of a power outage.

          (4) Immediate automatic or electronic notification to alert local law enforcement agencies of an unauthorized breach of security at the cannabis establishment in the interior of each building of the cannabis establishment.

          (5) For a cannabis cultivation facility which engages in outdoor cultivation:

               (I) An alarm system and video cameras which are monitored 24 hours per day.

               (II) An exterior barrier, determined to be appropriate by local law enforcement, which is located around the perimeter of the cannabis cultivation facility and which consists of a solid block wall or chain link fence with a height of at least 8 feet and an additional fence with a height of at least 8 feet located at least 10 feet and not more than 20 feet inside of the solid block wall or chain link fence.

               (III) A secure brick and mortar building which is approved by the appropriate Board agent as suitable to dry and store cannabis and which meets the security and sanitation requirements for a cannabis cultivation facility which engages in indoor cultivation of cannabis.

     (d) Policies and procedures:

          (1) That restrict access to the areas of the cannabis establishment that contain cannabis to persons authorized to be in those areas only.

          (2) That provide for the identification of persons authorized to be in the areas of the cannabis establishment that contain cannabis.

          (3) That prevent loitering, other than consumers already admitted to a cannabis consumption lounge.

          (4) For conducting electronic monitoring.

          (5) For the use of the automatic or electronic notification to alert local law enforcement agencies of an unauthorized breach of security at the cannabis establishment.

          (6) For limiting the amount of money available in any retail areas of the cannabis establishment and for training employees on this practice.

          (7) For notifying the public of the minimal amount of money available, which may include, without limitation, the posting of a sign.

          (8) For maintaining communication with law enforcement agencies.

          (9) For providing and receiving notifications regarding burglary, attempted burglary, robbery, attempted robbery and other suspicious activity.

     2.  Each video camera used pursuant to subparagraph (3) of paragraph (c) of subsection 1 must:

     (a) Include a date and time generator which possesses the capability to display the date and time of recorded events on the recording in a manner that does not significantly obstruct the recorded view; and

     (b) Be installed in a manner that will prevent the video camera from being readily obstructed, tampered with or disabled.

     3.  In a cannabis consumption lounge, security personnel are required to monitor real-time security camera footage while the facility is open for business as prescribed by the Board.

     4.  A cannabis establishment shall make a reasonable effort to repair any malfunction of security equipment within 72 hours after the malfunction is discovered. A cannabis establishment shall notify the Board and local law enforcement within 24 hours after a malfunction is discovered and provide a plan of correction. Failure to correct a malfunction within 72 hours after the malfunction is discovered is a violation of this section.

     5.  If a video camera used pursuant to subparagraph (3) of paragraph (c) of subsection 1 malfunctions, the cannabis establishment shall immediately provide alternative video camera coverage or use other security measures, such as assigning additional supervisory or security personnel, to provide for the security of the cannabis establishment. If the cannabis establishment uses other security measures, the cannabis establishment must immediately notify the Executive Director, and the Executive Director will determine whether the other security measures are adequate.

     6.  Each cannabis establishment shall maintain a log that documents each malfunction and repair of the security equipment of the cannabis establishment pursuant to subsections 4 and 5. The log must state the date, time and nature of each malfunction, the efforts taken to repair the malfunction and the date of each effort, the reason for any delay in repairing the malfunction, the date the malfunction is repaired and, if applicable, any alternative security measures that were taken. The log must also list, by date and time, all communications with the Board, Board agents or Executive Director concerning each malfunction and corrective action. The cannabis establishment shall maintain the log for at least 1 year after the date of last entry in the log.

     7.  Each cannabis establishment must employ a security manager or director who must be responsible for:

     (a) Conducting a semiannual audit of security measures to ensure compliance with the state procedures of the cannabis establishment and identify potential security issues;

     (b) Training employees on security measures, emergency response and robbery prevention and response before starting work and on an annual basis; and

     (c) Evaluating the credentials of any third party who intends to provide security to the cannabis establishment before the third party is hired by or enters into a contract with the cannabis establishment.

     8.  Each cannabis establishment shall ensure that the security manager or director of the cannabis establishment, at least one employee of the cannabis establishment or the employees of any third party who provides security to the cannabis establishment has completed or will complete within 3 months of being hired, to be proven by written attestation from the employee and the training officer, the following training:

     (a) Training in theft prevention or a related subject;

     (b) Training in emergency response or a related subject;

     (c) Training in the appropriate use of force or a related subject that covers when the use of force is and is not necessary;

     (d) Training in the use and administration of first aid, including cardiopulmonary resuscitation;

     (e) Training in the protection of a crime scene or a related subject;

     (f) Training in the control of access to protected areas of a cannabis establishment or a related subject;

     (g) Not less than 8 hours of on-site training in providing security services; and

     (h) Not less than 8 hours of classroom training in providing security services.

     9.  A cannabis cultivation facility which engages in the outdoor cultivation of cannabis must be located in such a manner as to allow local law enforcement to respond to the cannabis cultivation facility within 15 minutes after being contacted unless the local law enforcement agency determines some other response time is acceptable.

     10.  Cannabis establishments must ensure that armed security officers do not violate the provisions of NRS 202.257, possessing a firearm while under the influence of a controlled substance. In addition, a cannabis consumption lounge shall prohibit consumers from bringing firearms into a cannabis consumption lounge, including the posting of signs providing notice of same.

     11.  A cannabis establishment shall operate the business in a decent, orderly and respectable manner. A licensee shall not knowingly permit any activity or acts of disorderly conduct, nor shall a licensee permit rowdiness, undue noise or other disturbances or activity offensive to a reasonable person, neighboring business or to the residents of the neighborhood in which the business is located.

     12. If an emergency requires law enforcement, firefighters, emergency medical service providers, Board agents or other public safety personnel to enter the premises of the business, the cannabis establishment is responsible for ensuring that all consumption of inhalable cannabis, if allowed, and other activities if requested, cease until such personnel have completed their investigation or services and have left the premises.

     13.  A cannabis establishment must report directly to the Board any criminal activity requiring an in-person response from law enforcement within 24 hours after an owner or employee of the business learns of the event.

     14.  If the Board learns of an increase in criminal activity at or near the location of a particular cannabis establishment, the Board may require the licensee to create an appropriate risk mitigation plan and submit it to the Board.

     15.  Employees are prohibited from consuming cannabis while on duty and at work. The cannabis establishment shall create appropriate procedures to ensure employees do not show up to work or remain at work intoxicated.

     [Cannabis Compliance Bd., §6.085, eff. 8-5-2022; A 1-1-2023]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.420, 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.434, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.223  Duties relating to cannabis establishment agents. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  A cannabis establishment shall:

     1.  Ensure that each cannabis establishment agent has his or her valid cannabis establishment agent registration card or temporary authorization in his or her immediate possession when the cannabis establishment agent:

     (a) Is employed by or volunteering at or providing labor as a cannabis establishment agent at the cannabis establishment;

     (b) Is transporting cannabis or cannabis products for the cannabis establishment, regardless of the type of license held by the cannabis establishment; or

     (c) Is delivering cannabis or cannabis products for a cannabis sales facility.

     2.  Not allow a person who does not possess a cannabis establishment agent registration card which is valid at the cannabis establishment to:

     (a) Serve as an officer or board member for the cannabis establishment or hold an ownership interest of more than 5 percent in the cannabis establishment;

     (b) Be employed by or have a contract to provide services for the cannabis establishment;

     (c) Volunteer at or on behalf of the cannabis establishment; or

     (d) Contract to provide labor at or be employed by an independent contractor to provide labor at the cannabis establishment.

     3.  Provide written notice to the Board, including the date of the event, within 10 working days after the date on which a cannabis establishment agent begins:

     (a) Service as an officer or board member for the cannabis establishment;

     (b) Employment by the cannabis establishment or providing services for the cannabis establishment pursuant to a contract;

     (c) Volunteering at or on behalf of the cannabis establishment; or

     (d) Providing labor at or beginning employment by an independent contractor to provide labor at a cannabis establishment pursuant to a contract.

     4.  Provide written notice to the Board, including the date of and reason for the event, within 10 working days after the date on which a cannabis establishment agent no longer:

     (a) Serves as an officer or board member for the cannabis establishment;

     (b) Is employed by or has a contract to provide services for the cannabis establishment;

     (c) Volunteers at or on behalf of the cannabis establishment; or

     (d) Contracts to provide labor at or is employed by an independent contractor to provide labor at a cannabis establishment.

     5.  Provide written notice to the Board, including the date of the event, within 10 working days after the date on which the person designated by the cannabis establishment to provide written notice to the Board relating to cannabis establishment agents ceases to serve in that capacity at the cannabis establishment.

     [Cannabis Compliance Bd., §6.087, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.410, 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.438, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.226  Cleanliness of cannabis establishment agents; requirements and restrictions concerning cannabis establishment agents with certain health conditions. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis establishment must ensure that each cannabis establishment agent who is employed by, volunteers at or provides labor as a cannabis establishment agent at the cannabis establishment:

     (a) Cleans his or her hands and exposed portions of his or her arms in a handwashing sink pursuant to NAC 678B.229:

          (1) Immediately upon entrance to the cannabis establishment;

          (2) Immediately before working with cannabis plants;

          (3) Immediately before preparing concentrated cannabis or cannabis products, including, without limitation, working with exposed cannabis products, clean equipment and utensils or unwrapped single-service and single-use articles;

          (4) After touching any bare human body parts other than his or her clean hands and exposed portions of arms, including, without limitation, surrogate prosthetic devices for hands and arms;

          (5) After using the toilet facilities;

          (6) After coughing, sneezing, using a handkerchief or disposable tissue, using tobacco, eating or drinking;

          (7) After handling soiled equipment or utensils;

          (8) During preparation or extraction of concentrated cannabis or cannabis products, as often as necessary to remove soil and contamination and to prevent cross-contamination when changing tasks;

          (9) When switching between working with unprocessed cannabis products or uncooked food products and working with finished concentrated cannabis or cannabis products;

          (10) Before donning gloves for working with cannabis products; and

          (11) After engaging in other activities that contaminate the hands.

     (b) If working directly in the preparation of concentrated cannabis or cannabis products:

               (1) Keeps his or her fingernails trimmed, filed and maintained so that the edges and surfaces are cleanable;

               (2) Unless wearing intact gloves in good repair, does not have fingernail polish or artificial fingernails on his or her fingernails; and

               (3) Wears a hair net.

     (c) Wears clean clothing appropriate to the tasks assigned to him or her.

     2.  If the person designated by a cannabis establishment to address health conditions at the cannabis establishment determines that a cannabis establishment agent who is employed by or volunteers at or provides labor as a cannabis establishment agent at the cannabis establishment has a health condition that may adversely affect the safety or quality of the concentrated cannabis or cannabis products at the cannabis establishment, that cannabis establishment agent is prohibited from having direct contact with any cannabis or equipment or materials for processing concentrated cannabis or cannabis products until the designated person determines that the health condition of the cannabis establishment agent will not adversely affect the concentrated cannabis or cannabis products.

     3.  A cannabis establishment agent shall not work directly with concentrated cannabis or cannabis products if the cannabis establishment agent has:

     (a) A symptom of gastrointestinal infection, including, without limitation, diarrhea or vomiting;

     (b) A sore throat with fever;

     (c) Jaundice; or

     (d) A lesion that appears inflamed or contains pus, including, without limitation, a boil or infected wound that is not covered with:

          (1) An impermeable cover and a single-use glove if the lesion is on a hand or wrist, both of which must be changed at any time that hand washing is required;

          (2) An impermeable cover if the lesion is on an arm; or

          (3) A dry, durable, tight-fitting bandage if the lesion is on another part of the body.

     4.  A cannabis establishment agent shall immediately report to the person in charge if the agent knows he or she has:

     (a) A symptom of gastrointestinal infection, including, without limitation, diarrhea, vomiting or jaundice, except as otherwise provided in subsection 9;

     (b) A diagnosed infection by a disease agent that can be transmitted from a person through food or cannabis, including, without limitation, Salmonella species, Shigella species, Shiga toxin-producing Escherichia coli, Hepatitis A virus or Norovirus; or

     (c) A lesion that appears inflamed or contains pus and that is not covered as described in paragraph (d) of subsection 3.

     5.  The cannabis establishment shall, within 24 hours, notify the Board about any cannabis establishment agent known to have:

     (a) Jaundice, except as otherwise provided in subsection 9; or

     (b) A diagnosed infection by a disease agent that can be transmitted from a person through food or cannabis, including, without limitation, Salmonella species, Shigella species, Shiga toxin-producing Escherichia coli, Hepatitis A virus or Norovirus.

     6.  The person in charge shall exclude or restrict a cannabis establishment agent from working in or around any place where bulk or unpackaged food, beverages, cannabis or cannabis products are prepared, sold or offered for sale if the agent is known to have a lesion that appears inflamed or contains pus and that is not covered as described in paragraph (d) of subsection 3.

     7.  The person in charge shall exclude a cannabis establishment agent from working in or around any place where bulk or unpackaged food, cannabis or cannabis products are prepared, sold or offered for sale if the agent is known to have:

     (a) A diagnosed infection by a disease agent that can be transmitted from a person through food or cannabis, including, without limitation, Salmonella species, Shigella species, Shiga toxin-producing Escherichia coli, Hepatitis A virus or Norovirus;

     (b) A symptom of gastrointestinal infection, including, without limitation, diarrhea, vomiting or jaundice, except as otherwise provided in subsection 9;

     (c) An infection by Salmonella typhi within the last 3 months, unless approved to be released from exclusion by the health authority; or

     (d) An infection by Shigella species, Shiga toxin-producing Escherichia coli, Hepatitis A virus, Norovirus or a Salmonella species other than Salmonella typhi, within the last 30 days, unless the food employee is approved to be released from exclusion by the health authority.

     8.  The person in charge and the cannabis establishment agents of a cannabis establishment shall comply with any order issued by the health authority or Board for excluding agents from the cannabis establishment or restricting agent activities because of a diagnosed or suspected infection by a disease agent that can be transmitted from a person through food or cannabis until the health authority or Board rescinds the order.

     9.  Upon approval from the health authority, a cannabis establishment agent with a symptom of gastrointestinal illness, including, without limitation, diarrhea or jaundice, may work in a cannabis establishment without special restriction, provided that the agent furnishes written medical documentation to the health authority and Board from a health practitioner that the symptom is due to a medical condition not transmissible from the agent through food or cannabis, including, without limitation, Crohn’s disease, irritable bowel syndrome, ulcerative colitis or Hepatitis C.

     [Cannabis Compliance Bd., §6.090, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.422, 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.442, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.229  Procedures for hand washing. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis establishment agent shall, when required pursuant to paragraph (a) of subsection 1 of NAC 678B.226, clean his or her hands and the exposed portions of his or her arms for at least 20 seconds, using a cleaning compound in a handwashing sink that is appropriately equipped.

     2.  Each cannabis establishment agent shall use the following cleaning procedure in the order stated to clean his or her hands and the exposed portions of his or her arms, including, without limitation, surrogate prosthetic devices for hands and arms:

     (a) Rinse under clean, running warm water.

     (b) Apply an amount of cleaning compound recommended by the manufacturer of the cleaning compound.

     (c) Rub together vigorously for at least 15 seconds while:

          (1) Paying particular attention to removing soil from underneath the fingernails during the cleaning procedure; and

          (2) Creating friction on the surfaces of the hands and arms, fingertips and areas between the fingers.

     (d) Thoroughly rinse under clean, running warm water at a minimum temperature of 100°F (37.8°C).

     (e) Immediately follow the cleaning procedure with thorough drying using a clean paper towel.

     [Cannabis Compliance Bd., §6.092, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.556, 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.640, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.232  Requirements for building used as cannabis establishment; use of commercial weighing and measuring equipment. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  A building used as a cannabis establishment or by a dual licensee must have:

     (a) At least one toilet facility which must contain:

          (1) A flushable toilet;

          (2) Mounted toilet tissue;

          (3) A hand sink with running water which is capable of delivering hot water at a minimum temperature of 100°F (37.8°C);

          (4) Soap contained in a dispenser;

          (5) Disposable, single-use paper towels in a mounted dispenser; and

          (6) A conveniently located trash can.

     (b) Except for an adult-use cannabis distributor, at least one fully stocked handwashing sink, which is designated for hand washing only, not located in a toilet facility and located away from any area in which edible cannabis products are cooked or otherwise prepared to prevent splash contamination. Additional handwashing sinks may be required to facilitate hand washing as required.

     (c) Designated storage areas for concentrated cannabis and cannabis products or materials used in direct contact with such items separate from storage areas for toxic or flammable materials.

     (d) At least one mop sink or dump sink to dispose of liquid waste.

     (e) If preparation or packaging of concentrated cannabis or cannabis products is done in the building, a designated area for the preparation or packaging that:

          (1) Includes workspace that can be sanitized;

          (2) Is only used for the preparation or packaging of concentrated cannabis or cannabis products; and

          (3) Has a fully stocked handwashing sink conveniently located and designated for hand washing only.

     2.  For any commercial weighing and measuring equipment used at a cannabis establishment, the cannabis establishment must:

     (a) Ensure that the commercial device is licensed pursuant to chapter 581 of NRS;

     (b) Maintain documentation of the license of the commercial device; and

     (c) Provide a copy of the license of the commercial device to the Board or Board agents for review upon request.

     [Cannabis Compliance Bd., §6.095, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.424, 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.446, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.235  Quality assurance testing required before sale or transfer of cannabis or cannabis products. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  A cannabis establishment shall not sell or transfer a lot of usable cannabis, concentrated cannabis or cannabis products until all required quality assurance testing has been completed.

     [Cannabis Compliance Bd., §6.100, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.404, 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.450, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.238  Requirements for preparation or sale of edible cannabis products; cannabis production facility exempt from provisions governing food establishments. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  A cannabis establishment that prepares or sells edible cannabis products must:

     (a) Before preparing an edible cannabis product, obtain written authorization from the appropriate Board agent to prepare edible cannabis products;

     (b) If the cannabis establishment prepares edible cannabis products, ensure that the edible cannabis products are prepared according to the applicable requirements set forth in this chapter, chapters 678A and 678D of NAC and title 56 of NRS and the operating procedures included in its application pursuant to NRS 678B.210 or 678B.250;

     (c) If the edible cannabis products are not prepared at the cannabis establishment, obtain and maintain at the cannabis establishment a copy of the current written authorization to prepare edible cannabis products from the cannabis establishment that prepares the edible cannabis products;

     (d) If the cannabis establishment is a cannabis production facility, package all edible cannabis products produced by the cannabis establishment on the premises of the cannabis establishment; and

     (e) If the cannabis establishment sells edible cannabis products, ensure that the edible cannabis products are sold according to the applicable requirements set forth in this chapter, chapters 678A and 678D of NAC and title 56 of NRS.

     2.  A cannabis establishment is responsible for the content and quality of any edible cannabis product sold by the cannabis establishment.

     3.  A cannabis production facility is not subject to the provisions of chapter 446 of NRS or chapter 446 of NAC.

     [Cannabis Compliance Bd., §6.105, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.426, 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.454, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.241  Prohibition on dispensing or selling cannabis or cannabis products from vending machine. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  A cannabis establishment shall not dispense or otherwise sell cannabis or cannabis products from a vending machine or allow such a vending machine to be installed at the interior or exterior of the premises of the cannabis establishment.

     [Cannabis Compliance Bd., §6.110, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from former NAC 453D.458, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.244  Prohibition on treating or adulterating usable cannabis with chemical or other compound. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  A cannabis establishment may not treat or otherwise adulterate usable cannabis with any organic or nonorganic chemical or other compound whatsoever to alter the color, appearance, weight or smell of the usable cannabis.

     [Cannabis Compliance Bd., §6.115, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.430, 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.462, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.247  Restrictions on advertising; required posting of signs in cannabis sales facility. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  A cannabis establishment:

     (a) Shall not engage in advertising which contains any statement or illustration that:

          (1) Is false or misleading;

          (2) Promotes overconsumption of cannabis or cannabis products;

          (3) Depicts the actual consumption of what appears to be cannabis or cannabis products; or

          (4) Depicts a child or other person who appears to be less than 21 years of age consuming cannabis or cannabis products or objects suggesting the presence of a child, including, without limitation, toys, characters or cartoons, or contains any other depiction which is designed in any manner to be appealing to or encourage consumption of cannabis or cannabis products by a person who is less than 21 years of age.

     (b) Shall not advertise in any publication or on radio, television or any other medium if 30 percent or more of the audience of that medium is reasonably expected to be persons who are less than 21 years of age.

     (c) Shall not place an advertisement:

          (1) Within 1,000 feet of a public or private school, playground, public park or library, but may maintain such an advertisement if it was initially placed before the school, playground, public park or library was located within 1,000 feet of the location of the advertisement;

          (2) On or inside of a motor vehicle used for public transportation or any shelter for public transportation;

          (3) At a sports or entertainment event to which persons who are less than 21 years of age are allowed entry;

          (4) On or inside of a motor vehicle used by a cannabis establishment for private transportation;

          (5) On signs carried by a natural person, including, without limitation, handbills, pamphlets, cards or other types of advertisements that are distributed to the general public, but excluding an advertisement placed in a newspaper of general circulation, trade publication or other form of print media; and

          (6) Where prohibited by local ordinance.

     (d) Shall not advertise or offer any cannabis or cannabis product as “free” or “donated” without a purchase.

     (e) Shall ensure that all advertising by the cannabis establishment contains such warnings as may be prescribed by the Board, which must be visible, be legible and include, without limitation, the following words:

          (1) “Keep out of reach of children”; and

          (2) “For use only by adults 21 years of age and older.”

     2.  A cannabis sales facility shall post signs in prominent locations inside the cannabis sales facility which state activities that are strictly prohibited and punishable by law, including, without limitation, the following statements:

     (a) “No minors permitted on the premises unless the minor holds a letter of approval and is accompanied by a designated primary caregiver”;

     (b) “No on-site or public consumption of any cannabis or cannabis products”;

     (c) “Distribution to persons under the age of 21 is prohibited”;

     (d) “Except for medical cannabis patients, possession of over 1 ounce of usable cannabis, a cannabis product containing more than 3,543 milligrams of THC or a combination of the two which exceeds the legal limit is prohibited”; and

     (e) “Transportation of cannabis or cannabis products across state lines is prohibited.”

     [Cannabis Compliance Bd., §6.120, eff. 8-5-2020; A 8-13-2021]

REVISER’S NOTE.

      The provisions of this section were derived from former NAC 453D.470, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.250  Restrictions on promotion of cannabis and cannabis products; provisions governing labeling and testing apply to all cannabis and cannabis products. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  A cannabis establishment:

     (a) May only promote cannabis or a cannabis product through marketing the laboratory results on the label of the cannabis or cannabis product;

     (b) Must not use a cannabis independent testing laboratory or other laboratory to promote any other attributes of cannabis or a cannabis product; and

     (c) Must not make any health claims, including, without limitation, healing, curing, treating or reducing risk of any illness or health-related condition.

     2.  The provisions of this chapter governing labeling and testing of cannabis and cannabis products apply to all cannabis and cannabis products, including, without limitation, pre-rolls.

     [Cannabis Compliance Bd., §6.020, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.708, 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.466, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.253  Required warnings and disclosures in advertising; prohibition on advertising in manner appealing to children. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  A cannabis establishment shall ensure that all advertising by the cannabis establishment contains:

     (a) Such warnings as may be prescribed by the Board, which must include, without limitation, the following words:

          (1) “Keep out of reach of children”; and

          (2) “For use only by adults 21 years of age and older”;

     (b) The name of the cannabis establishment; and

     (c) The adult-use cannabis establishment identification number assigned to the cannabis establishment by the Board. If a cannabis establishment holds more than one license, the cannabis establishment must include any one of the adult-use cannabis establishment identification number or medical cannabis establishment identification number in all of the cannabis establishment’s advertisements.

     2.  A cannabis establishment shall not engage in advertising that in any way makes cannabis or cannabis products appeal to children, including, without limitation, advertising which uses an image of a cartoon character, mascot, action figure, balloon, fruit or toy. The cannabis establishment shall ensure that the advertisement is not modeled after a brand of products primarily consumed by or marketed to children.

     [Cannabis Compliance Bd., §12.070, eff. 11-15-2021; A 5-1-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from former NAC 453D.470, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.256  Responsibility for costs relating to clean-up, mitigation or remedy of environmental damage. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  A cannabis establishment is responsible to the State or a locality for all costs incurred by the State or locality in cleaning up, mitigating or remedying any environmental damage caused by the cannabis establishment.

     [Cannabis Compliance Bd., §6.125, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.428, 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.477, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.259  Documentation and reporting of loss or theft; maintenance of documentation. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  A cannabis establishment shall:

     1.  Document and report any loss or theft of cannabis from the cannabis establishment to the appropriate law enforcement agency and to the Board within 24 hours after discovery of the loss or theft; and

     2.  Maintain copies of any documentation required pursuant to this chapter, chapters 678A and 678D of NAC and title 56 of NRS for at least 5 years after the date on the documentation and provide copies of the documentation to the Board or Board agents for review upon request.

     [Cannabis Compliance Bd., §6.130, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.418, 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.480, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.262  Quarterly report by cannabis cultivation facility, cannabis production facility and cannabis sales facility concerning production, purchases and sales of cannabis and cannabis products. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  Each cannabis cultivation facility, cannabis production facility and cannabis sales facility shall submit the report required pursuant to NRS 372A.285 to the Board on or before the 30th day of each January, April, July and October containing information concerning the 3 months immediately preceding the date of the report. Each cannabis cultivation facility, cannabis production facility and cannabis sales facility shall submit such a report regardless of whether any purchases or sales have occurred.

     [Cannabis Compliance Bd., §6.135, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from former NAC 453D.485, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.265  Board to send survey concerning demographic information; recipient required to complete and return survey. (NRS 678A.450)

     1.  A survey approved by the Board will be sent out at a minimum of once per year in order to gather comprehensive demographic information, including, without limitation, information regarding race, ethnicity, age and gender.

     2.  The following four categories of personnel must be included in the survey:

     (a) Owners of cannabis establishments. For publicly traded companies only consider owners who hold a 5 percent share or greater ownership in the company.

     (b) Managers of cannabis establishments.

     (c) Officers and board members of cannabis establishments.

     (d) Other holders of a cannabis establishment agent registration card.

     3.  The recipients of this survey are required to fully complete the survey and return their completed survey according to the survey instructions provided and within the deadline provided in the instructions. The survey may contain options for declining to respond to one or more questions, but a completed survey must still be returned, even if the recipient has declined to respond where that is an option.

     [Cannabis Compliance Bd., §6.140, eff. 12-7-2020]

Miscellaneous Provisions

      NAC 678B.280  Component cannabis establishment: Legal status as separate entity; issuance of license by Board; shared secured storage area; requirements for buildings and location; inspection and other requirements to commence operations; expansion of operations; powers and duties in operation. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each component cannabis establishment retains its individual legal status as a separate entity from the combined cannabis establishment of which it is a part and each other component cannabis establishment which is a part of the same combined cannabis establishment.

     2.  The Board will not issue to a combined cannabis establishment a license for a cannabis establishment, but the combined cannabis establishment will instead be deemed to exist for the efficient operation and regulation of the component cannabis establishments which are a part of the combined cannabis establishment and will be issued a license by the Board upon a determination by the Board that the combined cannabis establishment has complied with the provisions of this section.

     3.  The component cannabis establishments of a combined cannabis establishment may share a single, secured storage area if the inventory from each component cannabis establishment is securely segregated within the secured storage area apart from the inventory of all other component cannabis establishments.

     4.  The building infrastructure, security systems and other facilities, including, without limitation, common entrances, exits, break rooms, locker rooms, loading docks and other areas determined by the Board to be expedient for business and appropriate for the site, may be combined and shared among the component cannabis establishments of a combined cannabis establishment.

     5.  Each component cannabis establishment must be located in a commercial or industrial zone or overlay as approved by the locality and comply with all local ordinances and rules pertaining to zoning, land use and signage.

     6.  Each component cannabis establishment within a combined cannabis establishment must be inspected before commencing operations. A component cannabis establishment need not actually commence or intend to immediately commence operations to satisfy the requirements of this subsection.

     7.  For the purposes of subsection 6, a component cannabis establishment is ready to commence operations if the component cannabis establishment:

     (a) Is a cannabis cultivation facility and has demonstrated the successful installation and operation of lights, plumbing, heating, ventilation and air-conditioning systems, humidity control systems, carbon dioxide control systems and all other growing technical facilities, including all related control systems, for at least one growing unit. A growing unit must:

          (1) Be serviced by all building facilities and technology and have all other features described to perform growing operations at all stages of growth in the application for a license for the cannabis cultivation facility;

          (2) Have the capacity to nourish clones, germinate seedlings, attain vegetative growth, flower plants to maturity, dry and cure cut plants, trim and package finished plants and store finished cannabis product in compliance with this chapter, chapters 678A and 678D of NAC and title 56 of NRS, as applicable; and

          (3) Consist of one or more growing tables, enclosed pods or rooms.

     (b) Is a cannabis production facility and has demonstrated the proper, safe installation of all extraction, cooking or other equipment and all plumbing, ventilation, solvent lines, electricity, electrical lines, refrigerators and all other production equipment.

     8.  A component cannabis establishment which has demonstrated that it is ready to commence operations pursuant to subsection 7 may expand operations within a previously inspected and approved space to the level described in its application for a license for a cannabis establishment without further inspection or approval. The Board and Board agents may inspect such a component cannabis establishment as often as the Board determines to be necessary.

     9.  Before the Board will issue a license for a combined cannabis establishment, all walls, ceilings, floors, electrical cabling, plumbing, general lighting for purposes other than cultivation and ducting for heating, ventilation or air-conditioning systems for each component cannabis establishment must be completed as specified in the floorplan submitted to the Board as part of the application for a license for a cannabis establishment for the component cannabis establishment at a level sufficient to obtain a license of occupancy issued by the locality.

     10.  Each license issued by the Board to a combined cannabis establishment must specify which types of cannabis establishments are approved to operate at the location of the combined cannabis establishment.

     11.  A combined cannabis establishment may:

     (a) Allow the cannabis establishment agents of each component cannabis establishment to move between the component cannabis establishments of the combined cannabis establishment if each such cannabis establishment agent holds and carries on his or her person a cannabis establishment agent registration card for each kind of cannabis establishment to be entered.

     (b) Allow a cannabis establishment agent of any component cannabis establishment to perform work functions for any component cannabis establishment if each such cannabis establishment agent holds and carries on his or her person a cannabis establishment agent registration card for each kind of cannabis establishment at which work functions are performed.

     (c) Share equipment which is not specific to the operation of a component cannabis establishment, including, without limitation, motor vehicles, among all component cannabis establishments.

     (d) Not allow a component cannabis establishment to share equipment which is specific to the operation of the component cannabis establishment, including, without limitation, extraction devices which are specifically used by a cannabis production facility or cultivation lights which are specifically used by a cannabis cultivation facility, with another component cannabis establishment.

     12.  Each component cannabis establishment shall maintain separate operations from other component cannabis establishments and the combined cannabis establishment of which the component cannabis establishment is a part by:

     (a) Holding a license for a cannabis establishment and being individually approved, separate from all other cannabis establishments operating on the same parcel of real estate, to operate as a business by all relevant jurisdictions and authorities, as applicable.

     (b) Maintaining separately from all other component cannabis establishments and being able to present financial records which comply with generally accepted accounting principles.

     (c) Filing all financial disclosures and tax documents separately from all other component cannabis establishments.

     [Cannabis Compliance Bd., §5.155, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from former NAC 453D.330, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.283  Collection of assessment by Board for oversight; amount; activities for which Board will not bill. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  For the ongoing activities of the Board relating to the oversight of cannabis establishments the Board will collect an assessment from each cannabis establishment for the time and effort attributed to the oversight of the cannabis establishment at an hourly rate established by the Board. Necessary travel accommodations accrued by Board agents, including airfare and hotel stays, will also be billed to the cannabis establishment. These activities where the hourly rate for time and effort will be charged include, without limitation:

     (a) Any type of routine inspection;

     (b) Any type of routine audit;

     (c) Hearing preparation and attendance for Board agents;

     (d) Investigations of complaints submitted to the Board by a consumer, or any other outside person or entity, if said complaint is substantiated;

     (e) Investigations based on any type of requested transfer of interest;

     (f) Investigations based on any type of requested waiver;

     (g) Investigations based on an application for a new cannabis establishment license; and

     (h) Any other type of inspection, audit or investigation deemed necessary by the Board.

     2.  The assessment for time and effort will be based upon the hourly rate established for the Board agents as determined by the budget of the Board. Licensees will be notified of any fee changes.

     3.  Cannabis establishments and its cannabis establishment agents will not be billed for an investigation regarding an application for a registration card. Furthermore, cannabis establishments will not be billed for petitions filed pursuant to NAC 678A.615 or 678A.620.

     4.  As used in this section, “substantiated” means supported or established by evidence or proof.

     [Cannabis Compliance Bd., §6.025, eff. 8-5-2020; A 3-18-2021; 11-15-2021]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.352, 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 453A.710, 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)”

      3.  Former NAC 453D.200, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

      4.  Former NAC 453D.210, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.286  Requirements for submission of certain information by publicly traded company holding interest in cannabis establishment. (NRS 678A.450)

     1.  Within 7 days following notice of the annual meeting or general meeting of shareholders, each publicly traded company having an ownership interest in a cannabis establishment shall notify the Board of the date of its next annual meeting and shall provide a copy of the shareholder notice and meeting information circular to the Board.

     2.  A publicly traded company having an interest in a cannabis establishment, or cannabis establishment registered with a stock exchange or each cannabis establishment offering, having offered or planning to offer shares for sale or portions of a company for sale, must submit disclosures annually within 30 days following the company’s annual meeting and also at any other time when a general shareholders meeting is required relating to changes of control of the public company. Such disclosures must include:

     (a) An updated list of all officers and board members, and an updated list of all owners with an ownership interest of 5 percent or more as of the record date disclosed to the Board under subsection 1, whether voting or beneficial interest, including a valid and current name and address of each person disclosed; and

     (b) An updated list of all beneficial owners regardless of amount or type of ownership. If a list of all beneficial owners cannot be obtained through reasonable cost or effort, the publicly traded company must provide an updated list of all non-objecting beneficial owners having an ownership interest in the cannabis establishment as of the record date disclosed to the Board under subsection 1, and explain why it cannot obtain a full list of all beneficial owners through reasonable cost and effort.

     3.  These are minimum requirements and do not in any way abridge or impact the Board or Board staff from requesting further information or documentation. This section does not remove any requirements that would otherwise apply to a publicly traded company or any other entity subject to regulation by the Board.

     [Cannabis Compliance Bd., §5.127, eff. 11-5-2020]

      NAC 678B.289  Contracts or agreements with certain unsuitable or unlicensed persons prohibited; termination of contract or agreement. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  A person who has:

     (a) Been denied a license or registration card by the Board;

     (b) Been found unsuitable by the Board; or

     (c) Had a license, registration card or other approval revoked by the Board,

Ê shall not enter or attempt to enter into any contract or agreement with a licensee, either directly or indirectly, through any business organization under such a person’s control that involves the operations of a licensee without the prior approval of the Board. This provision does not prohibit any person from purchasing any goods or services for personal use from a licensee at retail prices that are available to the general public.

     2.  Every contract or agreement with a person that is subject to the provisions of subsection 1 shall be deemed to include a provision for its termination without liability on the part of the licensee. Failure to expressly include that condition in the contract or agreement is not a defense in any action brought pursuant to this section to terminate the agreement.

     [Cannabis Compliance Bd., §5.115, eff. 8-5-2020]

      NAC 678B.292  Notification to Board of certain events. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  All cannabis establishment agent registration card holders must provide notification to the Board of the following within 5 days of occurrence:

     (a) A conviction of any felony offense;

     (b) A civil penalty or judgment entered against the cannabis establishment agent registration card holder; and

     (c) The initiation by a federal, state or local government of an investigation or proceeding against the cannabis establishment agent registration card holder.

     2.  The point of contact must provide notification to the Board of the following within 5 days of becoming aware of:

     (a) A civil penalty or judgment entered against a cannabis establishment agent registration card holder; or

     (b) The initiation by a federal, state or local government of an investigation or proceeding against the cannabis establishment.

     [Cannabis Compliance Bd., §5.160, eff. 8-5-2020]

CANNABIS SALES FACILITIES

      NAC 678B.300  Requirements for operation; posting of hours of operation. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  Each cannabis sales facility shall:

     1.  Ensure that the cannabis sales facility is operating and available to sell cannabis or cannabis products to consumers during, and only during, the designated hours of operation of the cannabis sales facility as provided to the Board in the application for a license submitted by the cannabis sales facility and the hours authorized by the locality in which the cannabis sales facility is located; and

     2.  Post, in a place that can be viewed by persons entering the cannabis sales facility, the hours of operation during which the cannabis sales facility will sell cannabis or cannabis products to consumers.

     [Cannabis Compliance Bd., §7.010, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.450, 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.550, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.303  Duties of cannabis establishment agent before sale to consumer. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  Before a cannabis establishment agent sells cannabis or cannabis products to a consumer, the cannabis establishment agent shall:

     1.  Verify the age of the consumer by checking a government-issued identification card containing a photograph of the consumer using an identification scanner approved by the appropriate Board agent to determine the validity of any government-issued identification card;

     2.  Offer any appropriate consumer education or support materials; and

     3.  Enter the following information into the inventory control system:

     (a) The amount of cannabis or cannabis product sold;

     (b) The date and time at which the cannabis or cannabis product was sold;

     (c) The number of the cannabis establishment agent registration card of the cannabis establishment agent; and

     (d) The number of the license for the cannabis establishment.

     [Cannabis Compliance Bd., §7.015, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from former NAC 453D.555, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.306  Valid proof of identification of age of consumer required. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Except as otherwise provided in this subsection, a cannabis sales facility shall refuse to sell cannabis or cannabis products to any person unless the person produces a form of valid identification showing that the person is 21 years of age or older. A dual licensee may sell cannabis or cannabis products to a person who is less than 21 years of age if the sale complies with the provisions of this chapter, chapters 678A and 678D of NAC and title 56 of NRS.

     2.  Identification presented to satisfy subsection 1 must contain a photograph and the date of birth of the person.

     3.  Identification presented to satisfy subsection 1 must be a valid and unexpired:

     (a) Driver’s license or instruction permit issued by this State or any other state or territory of the United States;

     (b) Identification card issued by this State or any other state or territory of the United States for the purpose of proof of age of the holder of the card;

     (c) United States military identification card;

     (d) Merchant Mariner Credential or other similar document issued by the United States Coast Guard;

     (e) Passport issued by, or recognized by, the United States Government or a permanent resident card issued by the United States Citizenship and Immigration Services of the Department of Homeland Security; or

     (f) Tribal identification card issued by a tribal government, as defined in NRS 239C.105, which requires proof of the age of the holder of the card for issuance.

     [Cannabis Compliance Bd., §7.020, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from former NAC 453D.558, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.309  Prohibition on sale of cannabis or cannabis products that exceed certain amounts. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  A cannabis sales facility shall not sell to any consumer an amount of cannabis or cannabis products which exceeds:

     1.  One ounce (28.35 grams) of usable cannabis other than concentrated cannabis;

     2.  One-eighth ounce of concentrated cannabis or cannabis products containing not more than 3,543 milligrams of THC; or

     3.  A combination of usable and concentrated cannabis not to exceed the legal limit.

     [Cannabis Compliance Bd., §7.025, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from former NAC 453D.562, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.312  Products required to be offered for sale; restrictions on sale of other products; restrictions on advertising; prohibition on recommending products to women who are pregnant or breastfeeding. (NRS 678A.450, 678B.520, 678B.650, 678C.490, 678D.500)

     1.  A cannabis sales facility shall only offer for sale cannabis, cannabis products, cannabis paraphernalia, cannabis-related accessories, products containing CBD and products containing hemp which are related to cannabis.

     2.  Each cannabis sales facility shall offer for sale containers for the storage of cannabis and cannabis products which lock and are designed to prohibit children from unlocking and opening the container.

     3.  A cannabis sales facility shall not sell any food, beverage or personal care item that does not contain cannabis.

     4.  A cannabis sales facility shall not sell any product that contains nicotine.

     5.  A cannabis sales facility shall not sell any product that contains alcohol if the product would require the cannabis sales facility to hold a license issued pursuant to chapter 369 of NRS.

     6.  A cannabis sales facility shall not sell cannabis or cannabis products to a consumer through the use of, or accept a sale of cannabis or cannabis products from, a third party, intermediary business, broker or any other business that does not hold a license for a cannabis sales facility in this State.

     7.  A cannabis sales facility shall not contract with a third party or intermediary business to advertise delivery to consumers. This subsection applies to advertising only and not delivery services.

     8.  A cannabis sales facility shall not recommend products to women who are pregnant or breastfeeding.

     [Cannabis Compliance Bd., §7.030, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from former NAC 453D.565, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.315  Storage and location of products; disclosure of cannabis independent testing laboratory performing quality assurance tests upon request of consumer; approved sources of products for sale; maintenance and availability of certificate of analysis; exemption for hemp. (NRS 678A.450, 678B.520, 678B.650, 678C.490, 678D.500)

     1.  A cannabis sales facility must store all usable cannabis, concentrated cannabis and cannabis products behind a counter or other barrier to ensure a consumer does not have direct access to the cannabis, concentrated cannabis or cannabis products.

     2.  Upon the request of a consumer, a cannabis sales facility must disclose the name of the cannabis independent testing laboratory which performed the required quality assurance tests for the cannabis sales facility and the corresponding certificate of analysis.

     3.  A cannabis sales facility may only sell usable cannabis obtained from a cannabis cultivation facility in this State.

     4.  Except as otherwise provided in subsection 6, a cannabis sales facility may only sell concentrated cannabis and cannabis products obtained from a cannabis production facility in this State.

     5.  Except as otherwise provided in subsection 6, a cannabis sales facility may not sell a product other than usable cannabis, concentrated cannabis or cannabis products which contain any level of THC or CBD without the approval of the appropriate Board agent. Each cannabis sales facility shall maintain a file which contains a certificate of analysis for any such approved product at the cannabis sales facility and shall make the file available for review upon request.

     6.  The provisions of subsection 4 do not apply to hemp, as defined in NRS 557.160, which is certified and registered with the State Department of Agriculture.

     [Cannabis Compliance Bd., §7.035, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.456, 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.568, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.318  Requirements for curbside pickup. (NRS 678B.535)

     1.  Cannabis sales facilities may only offer curbside pickup after submitting and receiving approval from the appropriate Board agent.

     2.  All orders must be placed in advance. Any form of in-person or onsite ordering will not be permitted. Consumers and patients shall be instructed to not exit their vehicle.

     3.  Each cannabis sales facility offering curbside pickup shall develop, and submit to the Board for approval, standard operating procedures for curbside pickup that address the following:

     (a) Security plan.

     (b) Curbside pickup plan.

     (c) Curbside pickup designation.

     (d) Transaction protection measures.

     [Cannabis Compliance Bd., §7.060, eff. 11-15-2021]

      NAC 678B.321  Delivery to consumer: General requirements. (NRS 678A.450, 678B.650, 678C.450, 678C.490, 678D.500)  Except for a delivery made pursuant to NAC 678A.465, a cannabis establishment or a third party shall not deliver cannabis or cannabis products to a consumer unless:

     1.  The delivery is made by a cannabis establishment agent who holds a cannabis establishment agent registration card in the category of cannabis sales facility.

     2.  The delivery is made by a cannabis establishment agent employed by a cannabis sales facility or by an independent contractor:

     (a) Which has entered into a service agreement with a cannabis sales facility to perform deliveries to consumers using only cannabis establishment agents who hold a cannabis establishment agent registration card in the category of cannabis sales facility; and

     (b) Whose name has been disclosed to the Board before any deliveries are made.

     3.  The name of the cannabis sales facility and all independent contractors who perform deliveries on behalf of the cannabis sales facility has been published on the Internet website of the Board.

     4.  The Board has received confirmation from the cannabis sales facility, before a person engages in the delivery process, including, without limitation, accepting an order or physically delivering cannabis or cannabis products, that the person is employed by, volunteers at or provides labor as a cannabis establishment agent at the cannabis sales facility and holds a valid cannabis establishment agent registration card in the cannabis sales facility.

     5.  The cannabis establishment agent who delivers cannabis or cannabis products to a consumer obtains verification of the identity and age of the consumer at the point of delivery by scanning a document described in NAC 678B.306 before providing the cannabis or cannabis products to the consumer.

     6.  The cannabis establishment agent who delivers cannabis or cannabis products to a consumer does not also deliver any other item to the consumer unless the item is cannabis paraphernalia or merchandise, packaging or a promotional item directly related to the cannabis or cannabis product.

     7.  The cannabis establishment agent who delivers cannabis or cannabis products to a consumer does not first purchase the cannabis or cannabis product from the cannabis sales facility and then obtain reimbursement from the consumer.

     8.  The delivery is conducted only during the hours that the cannabis sales facility is open for business.

     9.  The delivery is conducted only within the borders of this State.

     10.  The cannabis establishment agent who delivers cannabis or cannabis products only travels to and from the cannabis sales facility and the delivery destination and does not make any unnecessary stops that are not disclosed in the trip plan and delivery manifest. If the cannabis establishment agent makes a stop for fuel, the stop must be documented in the trip plan and maintained for review by the Board and Board agents.

     11.  If the cannabis sales facility contracts with a service that provides a digital or other platform used in conjunction with an agreement to facilitate deliveries to consumers, the digital or other platform is approved by the Board.

     [Cannabis Compliance Bd., §7.040, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from former NAC 453D.572, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.324  Delivery to consumer: Duties of cannabis sales facility. (NRS 678A.450, 678B.650, 678C.450, 678C.490, 678D.500)

     1.  A cannabis sales facility delivering cannabis or cannabis products to a consumer pursuant to NAC 678B.321 shall:

     (a) Ensure that all cannabis and cannabis products are secured at all times during delivery; and

     (b) Maintain a physical or electronic copy of a delivery manifest generated using the seed-to-sale tracking system that contains all the information required by this section in a format approved by the Board.

     2.  A cannabis sales facility may deliver cannabis or cannabis products to more than one consumer in a single trip if the delivery manifest correctly reflects the specific inventory destined for each specific consumer and location.

     3.  Before delivering cannabis or cannabis products to a consumer, the cannabis sales facility shall enter the information required to indicate that the cannabis or cannabis products will be delivered to a consumer into the seed-to-sale tracking system.

     4.  A cannabis sales facility shall not alter the information which has been entered into the seed-to-sale tracking system pursuant to subsection 3.

     5.  If a cannabis establishment agent is not able to deliver cannabis or cannabis products directly to the consumer who ordered the cannabis or cannabis products, the cannabis establishment agent shall return the cannabis or cannabis products to the cannabis sales facility.

     6.  A cannabis sales facility shall provide a receipt to the consumer generated by their own point-of-sale system.

     7.  The delivery manifest generated using the seed-to-sale tracking system must include, without limitation:

     (a) The date and approximate time of the delivery;

     (b) The name, location, address and license number of the cannabis sales facility;

     (c) The name, location and address of each consumer;

     (d) The name and quantity, by weight and unit, of each item to be delivered to each consumer;

     (e) The make, model, license plate number and number of the identification card issued pursuant to NAC 678B.330 of the vehicle used for delivery; and

     (f) The name, number of the cannabis establishment agent registration card and signature of each cannabis establishment agent performing or accompanying the delivery of the cannabis or cannabis products.

     8.  In addition to the requirements of this section, the cannabis sales facility shall ensure that each delivery satisfies the requirements of NAC 678B.211 and 678B.223.

     9.  Before cannabis or cannabis products leave the cannabis sales facility for delivery, the cannabis sales facility shall adjust its records to reflect the removal of the cannabis or cannabis products in a manner that reflects the information included in the delivery manifest generated using the seed-to-sale tracking system and that can be easily reconciled, by the name and quantity of the cannabis or cannabis products, with the delivery manifest.

     10.  After delivery of cannabis or cannabis products, the cannabis sales facility shall ensure that the trip plan, including any changes to the trip plan made pursuant to subsection 10 of NAC 678B.321, is accurate.

     11.  Any cannabis or cannabis product which is damaged, undeliverable to the consumer or refused by the consumer must be delivered back to the cannabis sales facility and reconciled by the cannabis sales facility in the seed-to-sale tracking system.

     12.  A cannabis sales facility shall not deliver any cannabis or cannabis products unless the cannabis sales facility can reconcile the delivery of cannabis or cannabis products with the seed-to-sale tracking system and all associated transaction history and order receipts.

     13.  A cannabis sales facility must reconcile all transactions to the seed-to-sale tracking system at the close of business each day.

     14.  A cannabis sales facility shall ensure that all information contained in a delivery manifest generated using the seed-to-sale tracking system is accurate for each delivery that is completed.

     15.  A cannabis sales facility shall maintain all documents required by this section and provide a copy of any such document to the Board or Board agents for review upon request.

     [Cannabis Compliance Bd., §7.045, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from former NAC 453D.575, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.327  Delivery to consumer: Restrictions; duties of cannabis establishment agent making delivery. (NRS 678A.450, 678B.650, 678C.450, 678C.490, 678D.500)

     1.  A cannabis sales facility shall not deliver more than 5 ounces (141.75 grams) of cannabis or an equivalent amount of cannabis products to any combination of consumers within a single trip.

     2.  A medical cannabis dispensary shall not deliver more than 10 ounces (283.50 grams) of cannabis, edible cannabis products or cannabis-infused products, or any combination thereof, when making a sales delivery exclusively to persons who hold a valid registry identification card or designated as a primary caregiver.

     3.  A cannabis sales facility shall not deliver cannabis or cannabis products to a consumer at any location that has been issued a gaming license, as defined in NRS 463.0159.

     4.  A cannabis sales facility shall not knowingly deliver more than 1 ounce (28.35 grams) of cannabis or cannabis products to a consumer in a private residence in one calendar day.

     5.  A cannabis sales facility shall not deliver cannabis or cannabis products to any person other than the consumer who ordered the cannabis or cannabis products. Before delivering cannabis or cannabis products to a consumer, the cannabis establishment agent delivering the cannabis or cannabis products for a cannabis sales facility shall:

     (a) Confirm by telephone that the consumer ordered the cannabis or cannabis products and verify the identity of the consumer; and

     (b) Enter the details of such a confirmation in a log which must be made available for inspection by an appropriate law enforcement agency, the Board and Board agents.

     6.  A cannabis sales facility shall not allow a cannabis establishment agent to deliver cannabis or cannabis products unless the cannabis or cannabis products are:

     (a) Stored in a lockbox or locked cargo area within the vehicle being used for delivery;

     (b) Not visible from outside the vehicle; and

     (c) Contained in sealed packages and containers which remain unopened during delivery.

Ê For the purpose of this subsection, the trunk of a vehicle is not considered to be a lockbox or locked cargo area unless the trunk cannot be accessed from within the vehicle and can only be accessed using a key which is different from the key used to access and operate the vehicle.

     7.  A cannabis sales facility shall ensure that a cannabis establishment agent delivering cannabis or cannabis products for the cannabis sales facility has a means of communicating with the cannabis sales facility while he or she provides delivery.

     8.  A person shall not be present within any vehicle while it is being used for the delivery of cannabis or cannabis products unless the person is a cannabis establishment agent for the cannabis sales facility providing delivery of the cannabis or cannabis products or an independent contractor retained by the cannabis sales facility to provide delivery.

     9.  Each cannabis establishment agent delivering cannabis or cannabis products must:

     (a) Report to a person designated by the cannabis establishment to receive such reports any motor vehicle crash that occurs during the delivery as soon as reasonably possible after the crash occurs, but in no instance shall such time to report exceed 12 hours;

     (b) Report to Board agents any unauthorized stop; and

     (c) Report to a person designated by the cannabis establishment to receive such reports any loss or theft of cannabis or cannabis products that occurs during the delivery immediately after the cannabis establishment agent becomes aware of the loss or theft. A cannabis sales facility that receives a report of loss or theft pursuant to this paragraph must immediately report the loss or theft to the appropriate law enforcement agency, to the Board and to the Executive Director.

     [Cannabis Compliance Bd., §7.050, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.416, 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.578, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.330  Delivery to consumer: Requirements for motor vehicles used to make deliveries; adequate temperature control of products required; inspection of motor vehicles authorized. (NRS 678A.450, 678B.650, 678C.450, 678C.490, 678D.500)

     1.  A cannabis sales facility may use any motor vehicle, not to include two-wheeled motor vehicles, that can legally be operated on the highways of this State and that meets the requirements of this section to deliver cannabis and cannabis products.

     2.  Before using a motor vehicle to deliver cannabis or cannabis products, a cannabis sales facility must obtain the approval of the appropriate Board agent for the use of the motor vehicle. Upon approving a motor vehicle for use to deliver cannabis or cannabis products, the Board will issue an identification card containing such information as the Board determines to be necessary, which must be kept inside the motor vehicle at all times.

     3.  A cannabis sales facility shall ensure that each motor vehicle used to deliver cannabis or cannabis products:

     (a) Has no advertising, signage or other markings relating to cannabis; and

     (b) Is equipped with an audible car alarm.

     4.  A cannabis sales facility shall provide adequate care for perishable cannabis products, including, without limitation, refrigeration during delivery, if required. Any method for temperature control used during delivery must be approved by the appropriate Board agent before use. If a potentially hazardous cannabis product is being delivered, the potentially hazardous cannabis product must be maintained at a temperature of less than 41°F (5°C) throughout delivery.

     5.  Board agents may inspect each motor vehicle used for delivery of cannabis or cannabis products by a cannabis sales facility pursuant to NAC 678B.101.

     [Cannabis Compliance Bd., §7.055, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from former NAC 453D.582, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

CANNABIS CULTIVATION FACILITIES

      NAC 678B.350  Required written disclosure with each lot of usable cannabis; provision of free samples to cannabis sales facility; applicability of provisions governing excise tax on cannabis to free samples. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  A cannabis cultivation facility must disclose in writing with each lot of usable cannabis provided to a cannabis sales facility:

     (a) All soil amendments, fertilizers, pesticides and other crop production aids applied to the growing medium or cannabis plant included in the lot; and

     (b) The name of the cannabis independent testing laboratory which performed the required quality assurance tests and the certificate of analysis for the lot.

     2.  A cannabis cultivation facility may provide to a cannabis sales facility free display samples of usable cannabis packaged in a sample jar protected by a plastic or metal mesh screen to allow consumers to smell the product before purchase. A sample jar may not contain more than 3.5 grams of usable cannabis. The sample jar must not be left unattended and must be sealed shut. The sample jar and the usable cannabis within may not be sold to a consumer and must be either returned to the cannabis cultivation facility which provided the usable cannabis and sample jar or destroyed by the cannabis sales facility after use and documented by the cannabis sales facility using its inventory control system pursuant to NAC 678B.214. A cannabis production facility may provide uninfused edibles as display samples.

     3.  The provisions of chapter 372A of NRS and chapter 372A of NAC regarding the excise tax on cannabis apply to free samples of usable cannabis provided pursuant to subsection 2.

     [Cannabis Compliance Bd., §8.010, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.470, 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.605, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.353  Restrictions on access to facility and persons authorized on premises; location of cannabis growing at facility. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Except as otherwise provided in subsection 2, a cannabis cultivation facility must ensure that access to the enclosed, locked facility where cannabis is cultivated is limited to the officers, board members and authorized cannabis establishment agents of the cannabis cultivation facility.

     2.  Each cannabis cultivation facility shall ensure that an authorized cannabis establishment agent accompanies any person other than another cannabis establishment agent associated with that cannabis establishment when the person is present in the enclosed, locked facility where cannabis is cultivated or produced by the cannabis cultivation facility.

     3.  Each cannabis cultivation facility shall ensure that any cannabis growing at the cannabis cultivation facility:

     (a) Cannot be observed from outside the cannabis cultivation facility and is not visible from a public place by normal, unaided vision; and

     (b) Unless the cannabis cultivation facility cultivates cannabis outdoors, does not emit a strong odor that is clearly detectable from outside the cannabis cultivation facility.

     [Cannabis Compliance Bd., §8.015, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.472, 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.608, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.356  Requirements for outdoor cultivation; verification of adequate isolation. (NRS 678A.450, 678B.650, 678C.490, 678D.400, 678D.500)

     1.  If an applicant for a license for a cannabis cultivation facility wishes to engage in the cultivation of cannabis outdoors or if a cannabis cultivation facility wishes to begin to cultivate cannabis outdoors, the applicant or cannabis cultivation facility must, before engaging in any outdoor cultivation, submit a verification issued by the State Department of Agriculture that the outdoor cultivation will be adequately isolated from all other outdoor cannabis and hemp cultivation locations to prevent the cross-pollination of cannabis crops.

     2.  A request for verification of adequate isolation described in subsection 1 must be submitted to the State Department of Agriculture and:

     (a) Be on a form prescribed by the State Department of Agriculture;

     (b) Include documentation that verifies that the applicant or cannabis cultivation facility has obtained:

          (1) Appropriate licensing;

          (2) Approved zoning; and

          (3) Any other approvals required by the locality;

     (c) Include a map or GPS coordinates that define the proposed location of outdoor cultivation by the applicant or cannabis cultivation facility; and

     (d) Include any other information that the State Department of Agriculture determines to be necessary.

     3.  The applicant or cannabis cultivation facility shall not begin outdoor cultivation until the State Department of Agriculture provides verification of adequate isolation described in subsection 1, the applicant or cannabis cultivation facility transmits the verification of adequate isolation to the Board and the Board issues a license for a cannabis cultivation facility to the applicant or approves the modification of operations of the cannabis cultivation facility to begin outdoor cultivation.

     [Cannabis Compliance Bd., §8.020, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from former NAC 453D.615, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

PRODUCTION OF CANNABIS PRODUCTS

General Requirements

      NAC 678B.370  Hand and arm contact of cannabis establishment agent while engaged in extraction of concentrated cannabis or production of cannabis products. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis establishment agent engaged in the extraction of concentrated cannabis or production of cannabis products shall keep his or her hands and the exposed portions of his or her arms clean.

     2.  A cannabis establishment agent engaged in the extraction of concentrated cannabis or production of cannabis products shall not have contact with exposed, finished cannabis products with his or her bare hands and shall use suitable barriers, including, without limitation, deli tissue, spatulas, tongs, single-use gloves or dispensing equipment, when handling exposed, finished concentrated cannabis or cannabis products.

     3.  A cannabis establishment agent engaged in the extraction of concentrated cannabis or production of cannabis products shall minimize bare hand and arm contact with exposed cannabis products that are not in a finished form.

     [Cannabis Compliance Bd., §9.010, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.554, 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 453A.560, 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)”

      3.  Former NAC 453D.646, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.373  Requirements and restrictions on use of non-cannabis ingredients; approval of Board agent required for new menu items produced by cannabis production facility; approval of processing authority required for menu items requiring HACCP plan. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis establishment shall ensure that it obtains non-cannabis ingredients, including hemp and CBD, for cannabis products from sources that comply with the requirements of federal and state law and regulations and are approved by the Board, including, without limitation, commercial and retail businesses.

     2.  A cannabis establishment shall not use or prepare non-cannabis ingredients prepared or stored in a private home.

     3.  A cannabis production facility must submit all new menu items and their ingredients to the appropriate Board agent for approval on a form prescribed by the Board before production and sale of new products. A cannabis establishment may not produce nasal spray, inhalers, eye drops or medical devices.

     4.  A cannabis establishment preparing menu items that require a HACCP plan as determined by the appropriate Board agent must be approved by a processing authority before submission. Special processes requiring a HACCP plan include, without limitation, canning, reduced oxygen packaging and other processes as determined by the appropriate Board agent.

     [Cannabis Compliance Bd., §9.025, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.562, 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.658, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.376  Requirements concerning sinks and running water for cannabis establishment handling cannabis that is not prepackaged. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis establishment that handles cannabis which is not prepackaged shall ensure that it provides:

     (a) A sink with at least three compartments for manually washing, rinsing and sanitizing equipment and utensils;

     (b) Sink compartments that are large enough to accommodate immersion of the largest equipment and utensils; and

     (c) Running water that reaches a minimum temperature of 120°F (49°C).

     2.  If equipment or utensils are too large for the warewashing sink, a cannabis establishment must use a warewashing machine or alternative equipment.

     [Cannabis Compliance Bd., §9.050, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.572, 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.676, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.379  Requirement to maintain cleanliness of surfaces of equipment and utensils. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  Each cannabis establishment shall ensure that:

     1.  The surfaces of equipment and utensils that have direct contact with cannabis or cannabis products are clean to sight and touch;

     2.  The surfaces of cooking equipment and pans that have direct contact with cannabis or cannabis products are kept free of encrusted grease deposits and other soil accumulations; and

     3.  The surfaces of equipment that do not have direct contact with cannabis or cannabis products are kept free of an accumulation of dust, dirt, residue and other debris.

     [Cannabis Compliance Bd., §9.085, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.578, 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.692, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.382  Requirements for sanitation of surfaces and utensils. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  Each cannabis establishment shall ensure that:

     1.  The surfaces and utensils that have direct contact with cannabis or cannabis products are adequately washed, rinsed and sanitized.

     2.  After being cleaned, surfaces of equipment and utensils that have direct contact with cannabis products are sanitized in:

     (a) Hot water manual operations by immersion for at least 30 seconds with a temperature of 170°F (77°C) or above;

     (b) Hot water mechanical operations by being cycled through equipment that is set up and achieving a utensil surface temperature of 160°F (71°C) as measured by an irreversible registering temperature indicator; or

     (c) Chemical manual or mechanical operations, including, without limitation, the application of sanitizing chemicals by immersion, manual swabbing, brushing or pressure spraying methods using a solution as specified on the manufacturer’s label use instructions that are approved by the United States Environmental Protection Agency, by providing an exposure time of at least 30 seconds unless the manufacturer’s label use instructions provide otherwise.

     [Cannabis Compliance Bd., §9.095, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.582, 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.696, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

Requirements for Cannabis Production Facilities

      NAC 678B.400  Creation of cannabis extracts; development of standard operating procedures, good manufacturing practices and training plan. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  A cannabis production facility may only use the methods, equipment, solvents, gases and mediums set forth in this section when creating cannabis extracts.

     2.  A cannabis production facility may use the hydrocarbons N-butane, isobutane, propane, heptane or other solvents or gases exhibiting low to minimal potential human health-related toxicity approved by the Board. These solvents must be of at least 99 percent purity and a cannabis production facility must, when using such solvents:

     (a) Use the solvents in a professional grade, closed-loop extraction system designed to recover the solvents;

     (b) Work in a spark-free environment with proper ventilation; and

     (c) Follow all applicable local fire, safety and building codes in the processing and storage of the solvents.

     3.  A cannabis production facility may use a professional grade, closed-loop CO2 gas extraction system where every vessel is rated to a minimum of 900 pounds per square inch and it follows all applicable local fire, safety and building codes in the processing and the storage of the solvents. The CO2 must be of at least 99 percent purity.

     4.  A cannabis production facility may use heat, screens, presses, steam distillation, ice water and other methods without employing solvents or gases to create kief, hashish, bubble hash, infused dairy butter or oils or fats derived from natural sources and other extracts.

     5.  A cannabis production facility may use food-grade glycerin, ethanol and propylene glycol solvents to create cannabis extracts.

     6.  A cannabis production facility which creates cannabis extracts must develop standard operating procedures, good manufacturing practices and a training plan before producing cannabis extracts for the marketplace. Any person using solvents or gases in a closed-looped system to create cannabis extracts must be fully trained on how to use the system, have direct access to applicable material safety data sheets and safely handle and store the solvents and gases.

     [Cannabis Compliance Bd., §9.020, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.592, 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.654, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.403  Edible cannabis products: Testing to ensure homogeneity of potency; requirements for sale; approval of Board agent required for certain changes. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis production facility shall contract with a cannabis independent testing laboratory to perform testing to ensure the homogeneity of the potency of the product on each edible cannabis product produced by the facility. A cannabis production facility shall not sell an edible cannabis product unless the appropriate Board agent has preapproved the production of the edible cannabis product and a cannabis independent testing laboratory has verified the homogeneity of the potency of the product as described in NAC 678B.560.

     2.  A cannabis production facility shall not sell an edible cannabis product other than a multiple-serving edible cannabis product or a single-serving edible cannabis product. An edible cannabis product sold as a multiple-serving edible cannabis product must not contain more than 100 milligrams of THC. An edible cannabis product sold as a single-serving edible cannabis product must not contain more than 10 milligrams of THC.

     3.  A cannabis production facility shall not sell an edible cannabis product unless the appropriate Board agent has approved that:

     (a) The recipe and production procedures for the edible cannabis product will ensure consistent concentration of THC for the edible cannabis product; and

     (b) The cannabis production facility has demonstrated that its process for producing the edible cannabis product produces a homogenous product.

     4.  Any change in the recipe, production run size or equipment used to produce an edible cannabis product must be approved by the appropriate Board agent. The Board agent may require new approval or testing pursuant to this section for such a change.

     [Cannabis Compliance Bd., §9.045, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from former NAC 453D.672, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.406  Requirements for sanitizers. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  Each cannabis production facility shall ensure that:

     1.  In a mechanical operation, the temperature of the fresh hot water sanitizing rinse as it enters the manifold is not more than 194°F (90°C) or less than 180°F (82°C).

     2.  A chemical sanitizer used in a sanitizing solution for a manual or mechanical operation at contact times is used in accordance with the manufacturer’s label use instructions that are approved by the United States Environmental Protection Agency, and as follows:

     (a) A chlorine solution must have a concentration between 50 parts per million and 100 parts per million or be otherwise prepared in accordance with the manufacturer’s label.

     (b) An iodine solution must have a concentration between 12.5 parts per million and 25 parts per million or be otherwise prepared in accordance with the manufacturer’s label.

     (c) A quaternary ammonium compound solution must have a concentration between 150 parts per million and 400 parts per million or be otherwise prepared in accordance with the manufacturer’s label.

     3.  If a chemical sanitizer other than chlorine, iodine or a quaternary ammonium compound is used, it is applied in accordance with the manufacturer’s label use instructions that are approved by the United States Environmental Protection Agency and the use of the chemical sanitizer is approved by the appropriate Board agent.

     4.  A sanitizer bucket or spray bottle is readily available during all hours of operation and kept at the proper concentration.

     5.  Test strips which are appropriate for the type of chemical sanitizer in use are available and used properly.

     [Cannabis Compliance Bd., §9.055, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.576, 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.680, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.409  Requirements for filters for liquid filtration; prohibition on asbestos-containing filter. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis production facility shall ensure that filters for liquid filtration used in the extraction of concentrated cannabis or manufacture, processing or packaging of cannabis products intended for human use do not release fibers into such products.

     2.  A cannabis production facility shall not use an asbestos-containing filter.

     [Cannabis Compliance Bd., §9.070, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.590, 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.686, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

Requirements for Cannabis Production Facilities and Cannabis Consumption Lounges

      NAC 678B.420  Qualifications and duties of persons responsible for managing cannabis production facility or cannabis consumption lounge that serves food. (NRS 678A.450, 678B.650, 678C.490, 678D.480, 678D.500)  Based on the risks inherent to the operation of a cannabis production facility and a cannabis consumption lounge which serves food, the persons responsible for managing each such facility shall demonstrate to the Board knowledge of disease prevention, and the requirements of this chapter, chapters 678A and 678D of NAC and title 56 of NRS, by:

     1.  Complying with the provisions of this chapter, chapters 678A and 678D of NAC and title 56 of NRS and having no category I, II or III violations pursuant to NAC 678A.515, 678A.520 and 678A.525 during inspections.

     2.  Ensuring that at least one employee is available during all operating hours in which food is being prepared or served, who is a certified food protection manager who has shown proficiency in the required information through passing a test that is part of a program which certifies a person to be a food protection manager and which:

     (a) Has been evaluated and listed by an accrediting agency as conforming to national standards for organizations that certify persons as food protection managers; or

     (b) Provides to such persons other training acceptable to the Board.

     3.  Responding correctly to the questions of an inspector of cannabis establishments regarding:

     (a) The relationship between the prevention of disease and the personal hygiene of a cannabis establishment agent engaged in the extraction of concentrated cannabis or production of cannabis products.

     (b) The prevention of the transmission of disease by a cannabis establishment agent engaged in the extraction of concentrated cannabis or production of cannabis products who has a disease or medical condition that may transmit disease.

     (c) The symptoms associated with the diseases that are transmissible through cannabis products and ingredients.

     (d) The significance of the relationship between maintaining the temperature for a certain amount of time for potentially hazardous cannabis products and ingredients and the prevention of illness transmission.

     (e) The hazards involved in the consumption of raw or undercooked meat, poultry and eggs.

     (f) The required temperatures and times for safe cooking of potentially hazardous cannabis products and ingredients, including, without limitation, meat, poultry and eggs.

     (g) The required temperatures and times for the safe refrigerated storage, hot holding, cooling and reheating of potentially hazardous cannabis products and ingredients.

     (h) The relationship between the prevention of illness transmission and the management and control of:

          (1) Cross contamination;

          (2) Hand contact with finished cannabis products and ingredients;

          (3) Hand washing; and

          (4) Maintaining the establishment in a clean condition and in good repair.

     (i) The correct procedures for cleaning and sanitizing utensils and the surfaces of equipment that have direct contact with cannabis products and ingredients.

     (j) The identification of poisonous or toxic materials in the facility and the procedures necessary to ensure that those materials are safely stored, dispensed, used and disposed of according to applicable state and federal laws and regulations.

     [Cannabis Compliance Bd., §9.015, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.552, 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.650, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.423  Protection of products and ingredients from cross-contamination. (NRS 678A.450, 678B.650, 678C.490, 678D.480, 678D.500)

     1.  Except as otherwise provided in subsection 2, each cannabis production facility and cannabis consumption lounge shall ensure that cannabis products and ingredients are protected from cross-contamination by:

     (a) Separating raw animal ingredients during storage, preparation, holding and display from raw cannabis products, or other raw finished ingredients such as fruits and vegetables, and from concentrated cannabis and cooked or baked and finished cannabis products which are ready to eat or otherwise use.

     (b) Except when combined as ingredients, separating types of raw animal ingredients from each, including, without limitation, meat, poultry and eggs, during storage, preparation, holding and display by preparing each type of raw animal ingredient at a different time or in a different area and:

          (1) Using separate equipment for each type of raw animal ingredient; or

          (2) Arranging each type of raw animal ingredient in equipment so that cross-contamination of one type of raw animal ingredient with another is prevented.

     (c) Preparing each type of raw animal ingredient at different times or in separate areas.

     2.  The provisions of subsection 1 do not apply to items stored frozen in a freezer.

     3.  Cannabis products must be protected from contamination by storing the product in a clean, dry location:

     (a) Where the products are not exposed to splashes, chemicals, dust or other contamination; and

     (b) Fifteen centimeters or more above the floor.

     4.  Cannabis products and direct contact surfaces of equipment and utensils must be stored and handled in a manner that prevents any biological, chemical or physical contamination at all times.

     5.  Chemical sanitizer must be available for immediate use at the proper concentration during all hours of operation in a location other than a three-compartment sink.

     [Cannabis Compliance Bd., §9.030, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.564, 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.662, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.426  Use of pasteurized eggs and egg products; cleanliness of equipment, utensils and articles; requirements for temperature controls. (NRS 678A.450, 678B.650, 678C.490, 678D.480, 678D.500)  Each cannabis production facility and cannabis consumption lounge shall ensure that:

     1.  Pasteurized eggs or egg products are substituted for raw eggs in the preparation of cannabis products.

     2.  Cannabis products and ingredients only have contact with the surfaces of:

     (a) Equipment and utensils that are cleaned and sanitized; or

     (b) Single-service and single-use articles that have not previously been used.

     3.  Ingredients such as eggs, meat, poultry and cannabis containing these raw animal ingredients are cooked to heat all parts of the cannabis product to a temperature and for a time that complies with one of the following methods based on the product that is being cooked:

     (a) At 145°F (63°C) or above for 15 seconds for meat, including, without limitation, commercially-raised game animals.

     (b) At 155°F (68°C) or above for 15 seconds for:

          (1) Mechanically tenderized and injected meats; and

          (2) Meat and commercially raised game animals if it is comminuted.

     (c) At 165°F (74°C) or above for 15 seconds for poultry, stuffed meat, stuffed pasta, stuffed poultry or stuffing containing meat or poultry.

     4.  Except during preparation, cooking or cooling, potentially hazardous cannabis products and ingredients are maintained:

     (a) At 135°F (57°C) or above; or

     (b) At 41°F (5°C) or less.

     5.  During the thawing process, potentially hazardous cannabis products and ingredients are:

     (a) Maintained at 41°F (5°C) or less; and

     (b) Thawed:

          (1) Under refrigeration;

          (2) Under cool running water;

          (3) As part of the cooking process; or

          (4) In a microwave, only if the potentially hazardous cannabis products and ingredients will be cooked immediately thereafter.

     [Cannabis Compliance Bd., §9.035, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.566, 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.664, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.429  Requirement to ensure that potentially hazardous cannabis products are clearly marked; determination of expiration date and shelf life of perishable products. (NRS 678A.450, 678B.650, 678C.490, 678D.480, 678D.500)

     1.  Each cannabis production facility and cannabis consumption lounge shall ensure that:

     (a) Potentially hazardous cannabis products and ingredients prepared and held by the facility for more than 24 hours are clearly marked to indicate the date or day by which the item must be consumed, sold or discarded when held at a temperature of 41ºF (5ºC) or less for a maximum of 7 days or, if the item is frozen, when the item is subsequently thawed and held at a temperature of 41ºF (5ºC) or less for a maximum of 7 days.

     (b) Potentially hazardous cannabis products and ingredients that are prepared and packaged by a commercial processing plant are clearly marked at the time that the original container is opened and, if the item is held for more than 24 hours, indicate the date or day by which the item must be consumed, sold or discarded, based on the temperature and time combination set forth in paragraph (a). The day on which the original container is opened in the cannabis establishment must be counted as “day 1.” The day or date marked by the cannabis production facility may not exceed a use-by date of the manufacturer if the manufacturer determined the use-by date.

     (c) Products are not held past the expiration, sell by or use-by date.

     2.  If a cannabis production facility produces a cannabis product which is perishable, the expiration date for the cannabis product must:

     (a) Be determined as a result of shelf-life testing pursuant to subsection 3; or

     (b) Not exceed 7 days, including the date of preparation of the cannabis product if the cannabis product is refrigerated.

     3.  A cannabis production facility shall perform testing, as specified by the Board, to determine the shelf life of each cannabis product which is perishable for the first production run of each such cannabis product. The appropriate Board agent will determine which cannabis products require testing to determine shelf life during the review and approval of each cannabis product. New testing pursuant to this subsection must be performed for any change in the recipe, production run size or equipment used to produce a cannabis product.

     [Cannabis Compliance Bd., §9.040, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.568, 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.668, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.432  Requirements for materials used in construction of utensils and contact surfaces. (NRS 678A.450, 678B.650, 678C.490, 678D.480, 678D.500)  Each cannabis production facility and cannabis consumption lounge shall ensure that the materials that are used in the construction of utensils and the contact surfaces of equipment:

     1.  Do not allow the migration of deleterious substances or impart colors, odors or tastes to cannabis products; and

     2.  Under normal use conditions are:

     (a) Safe;

     (b) Durable, corrosion-resistant and nonabsorbent;

     (c) Sufficient in weight and thickness to withstand repeated warewashing;

     (d) Finished to have a smooth, easily cleanable surface; and

     (e) Resistant to pitting, chipping, crazing, scratching, scoring, distortion and decomposition.

     [Cannabis Compliance Bd., §9.060, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.570, 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.682, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.435  Requirements for lighting. (NRS 678A.450, 678B.650, 678C.490, 678D.480, 678D.500)  Each cannabis production facility and cannabis consumption lounge shall ensure that the light intensity in the facility or lounge is:

     1.  At least 20-foot candles (215 lux):

     (a) At a distance of 30 inches (75 cm) above the floor in walk-in refrigeration units and areas for storage of dry cannabis products and in other areas and rooms during periods of cleaning;

     (b) Inside equipment such as reach-in and under-counter refrigerators; and

     (c) At a distance of 30 inches (75 cm) above the floor in areas used for hand washing, warewashing and equipment and utensil storage and in toilet rooms.

     2.  At least 50-foot candles (540 lux) at a surface where a cannabis establishment agent engaged in the extraction of concentrated cannabis or production of cannabis products is working with cannabis products or working with utensils or equipment, including, without limitation, knives, slicers, grinders or saws, where employee safety is a factor.

     [Cannabis Compliance Bd., §9.065, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.586, 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.684, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.438  Sufficiency of ventilation hood systems and devices. (NRS 678A.450, 678B.650, 678C.490, 678D.480, 678D.500)  Each cannabis production facility and cannabis consumption lounge shall ensure that its ventilation hood systems and devices are sufficient in number and capacity to prevent grease or condensation from collecting on walls and ceilings.

     [Cannabis Compliance Bd., §9.075, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.574, 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.688, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.441  Sufficiency of mechanical ventilation. (NRS 678A.450, 678B.650, 678C.490, 678D.480, 678D.500)  Each cannabis production facility and cannabis consumption lounge shall ensure that it provides mechanical ventilation of sufficient capacity as necessary to keep rooms free of excessive heat, steam, condensation, vapors, obnoxious odors, smoke and fumes.

     [Cannabis Compliance Bd., §9.080, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.588, 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.690, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.444  Frequency of and activities requiring cleaning of surfaces of equipment and utensils. (NRS 678A.450, 678B.650, 678C.490, 678D.480, 678D.500)  Each cannabis production facility and cannabis consumption lounge shall ensure that:

     1.  The surfaces of equipment and utensils that have direct contact with cannabis or cannabis products are cleaned:

     (a) Before each use with a different type of raw animal ingredient, including, without limitation, beef, pork or poultry;

     (b) Each time there is a change from working with raw cannabis products to working with finished cannabis products;

     (c) Between uses with raw fruits and vegetables and with potentially hazardous cannabis products and ingredients, using the appropriate time and temperature controls to ensure the safety of the cannabis products; and

     (d) At any time during operation when contamination may have occurred.

     2.  If the surfaces of equipment or utensils come into contact with potentially hazardous cannabis products and ingredients, the surfaces and utensils are cleaned throughout the day at least once every 4 hours.

     3.  The surfaces of utensils and equipment that have direct contact with cannabis products and ingredients that are not potentially hazardous are cleaned:

     (a) At any time when contamination may have occurred; and

     (b) In equipment, including, without limitation, ice bins and beverage-dispensing nozzles, and enclosed components of equipment, such as ice makers, cooking oil storage tanks and distribution lines, beverage and syrup dispensing lines or tubes, coffee bean grinders and water vending equipment:

          (1) At a frequency specified by the manufacturer; or

          (2) If the manufacturer does not specify a frequency, at a frequency necessary to prevent the accumulation of soil or mold.

     [Cannabis Compliance Bd., §9.090, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.580, 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.694, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.447  Cleaning of surfaces of cooking and baking equipment and door seals of microwave ovens. (NRS 678A.450, 678B.650, 678C.490, 678D.480, 678D.500)  Each cannabis production facility and cannabis consumption lounge shall ensure that:

     1.  The surfaces of cooking and baking equipment that have direct contact with cannabis products are cleaned at least once every 24 hours; and

     2.  The cavities and door seals of microwave ovens are cleaned at least once every 24 hours by using the recommended cleaning procedure of the manufacturer.

     [Cannabis Compliance Bd., §9.100, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.584, 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.698, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

MANUFACTURING PRACTICES FOR CULTIVATION AND PREPARATION OF CANNABIS AND CANNABIS PRODUCTS

General Requirements

      NAC 678B.460  Requirements for building used to manufacture, process, package or hold cannabis or cannabis products. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis establishment shall ensure that any building used to manufacture, process, package or hold cannabis or cannabis products:

     (a) Is of suitable size, construction and location to facilitate cleaning, maintenance and proper operations;

     (b) Has adequate space for the orderly placement of equipment and materials to prevent miscalculation or misuse of any component in any step of the manufacture, control, packaging, labeling or distribution of cannabis or cannabis products between different components, product containers, closures, labels, in-process materials and cannabis or cannabis products and to prevent contamination; and

     (c) Contains interior surfaces which are not constructed of bare, painted or coated wood or wood product unless:

          (1) The bare, painted or coated wood is within a building used only as a cannabis sales facility and all cannabis or cannabis products are packaged or protected at all times; or

          (2) The wood is sealed and coated with an epoxy paint which renders the surface:

               (I) Safe;

               (II) Durable, corrosion-resistant, nonporous and nonabsorbent;

               (III) Finished to have a smooth, easily cleanable surface; and

               (IV) Resistant to pitting, chipping, crazing, scratching, scoring, distortion and decomposition.

     2.  Each cannabis establishment shall ensure that:

     (a) The flow of components, product containers, closures, labels, in-process materials and cannabis and cannabis products through any building used to manufacture, process, package or hold cannabis or cannabis products is designed to prevent contamination;

     (b) The operations of the cannabis establishment are performed within specifically defined areas of adequate size;

     (c) All items are stored at least 6 inches (15 cm) off the floor;

     (d) All access points to outside areas are sealed, including, without limitation, by use of door sweeps; and

     (e) There are separate or defined areas or such other control systems for the operations of the cannabis establishment as are necessary to prevent contamination or miscalculation or misuse of any component in any step of the manufacture, control, packaging, labeling or distribution of cannabis or cannabis products during the course of the following procedures:

          (1) Receipt, identification, storage and withholding from use of components, product containers, closures and labels, pending the appropriate sampling, testing or examination by the quality control unit before release for manufacturing, processing or packaging;

          (2) Holding rejected components, product containers, closures and labels before disposition;

          (3) Storage of released components, product containers, closures and labels;

          (4) Storage of in-process materials;

          (5) Processing operations;

          (6) Packaging and labeling operations;

          (7) Quarantine storage before the release of cannabis or cannabis products;

          (8) Storage of cannabis or cannabis products after release;

          (9) Cannabis independent testing laboratory operations; and

          (10) Sanitary processing, which includes as appropriate:

               (I) Floors, walls and ceilings made of smooth, hard surfaces that are easily cleanable;

               (II) Temperature and humidity controls;

               (III) An air supply filtered through high-efficiency particulate air filters under positive pressure;

               (IV) A system for monitoring environmental conditions;

               (V) A system for cleaning and sanitizing rooms and equipment; and

               (VI) A system for maintaining any equipment used to control sanitary conditions.

     [Cannabis Compliance Bd., §10.055, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.606, 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.732, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.463  Requirement to maintain building used to manufacture, process, package or hold cannabis or cannabis products in good state of repair. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  Each cannabis establishment shall ensure that any building used to manufacture, process, package or hold cannabis or cannabis products is maintained in a good state of repair.

     [Cannabis Compliance Bd., §10.060, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.616, 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.734, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.466  Requirements for water, plumbing and drains in building used to manufacture, process, package or hold cannabis or cannabis products. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  Each cannabis establishment shall ensure that:

     1.  Any building used to manufacture, process, package or hold cannabis or cannabis products supplies potable water under continuous positive pressure in a plumbing system free of defects that could contribute to the contamination of any cannabis or cannabis products. Potable water must meet the standards prescribed in the Primary Drinking Water Regulations, 40 C.F.R. Part 141. Water not meeting such standards is not permitted in the potable water system.

     2.  Drains are of adequate size and, where connected directly to a sewer, are provided with an air break or other mechanical device to prevent back-siphonage.

     [Cannabis Compliance Bd., §10.065, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.612, 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.736, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.469  Adequate lighting required; establishment of policy for area requiring dim or no lighting. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis establishment shall ensure that adequate lighting is provided in all areas of the cannabis establishment.

     2.  If it is necessary for a cannabis establishment to have dim or no lighting in a certain area of the cannabis establishment for a specific reason, the cannabis establishment must have a written policy which specifies:

     (a) The area needing dim or no lighting; and

     (b) The reason the area needs dim or no lighting.

     [Cannabis Compliance Bd., §10.070, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.608, 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.738, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.472  Establishment of and adherence to written procedures for sanitation; requirement to retain person who is certified applicator of pesticides. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis establishment shall ensure that it has written procedures:

     (a) Assigning responsibility for sanitation and describing in sufficient detail the cleaning schedules, methods, equipment and materials to be used in cleaning the buildings and facilities of the cannabis establishment; and

     (b) For the use of appropriate rodenticides, insecticides, fungicides, fumigating agents and cleaning and sanitizing agents by the cannabis establishment.

     2.  Each cannabis establishment shall ensure that the written procedures described in subsection 1 are followed. A copy of these procedures shall be provided promptly to the Board or Board agents upon request.

     3.  All sanitation procedures of a cannabis establishment apply to work performed by contractors or temporary cannabis establishment agents for the cannabis establishment as well as work performed by full-time cannabis establishment agents during the ordinary course of operations.

     4.  Each cannabis cultivation facility shall retain at least one person who is a certified applicator, as defined in NRS 555.2618, who is authorized to use pesticides for:

     (a) If the cannabis cultivation facility engages in the cultivation of cannabis indoors, greenhouse and nursery pest control pursuant to subparagraph (2) of paragraph (c) of subsection 1 of NAC 555.640; and

     (b) If the cannabis cultivation facility engages in the cultivation of cannabis outdoors, agricultural pest control of animals or plants pursuant to paragraph (a) or (b) of subsection 1 of NAC 555.640.

     [Cannabis Compliance Bd., §10.075, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.614, 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.740, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.475  Storage, management and disposal of waste. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Except as otherwise provided in subsection 2, a cannabis establishment shall:

     (a) Store, manage and dispose of all solid and liquid waste and wastewater generated during the processing of cannabis or production of cannabis products in accordance with all applicable state and local laws and regulations; and

     (b) Render waste containing cannabis unusable before the waste leaves the cannabis establishment. Such waste includes, without limitation:

          (1) Waste from cannabis plants, including, without limitation, roots, stalks, leaves, stems, flower, trim or solid plant material and any plant material used to create an extract;

          (2) Solvents used in the processing of cannabis or extraction of concentrated cannabis;

          (3) Any plant material or solvents discarded as a result of quality assurance testing or any other testing performed by a cannabis independent testing laboratory; and

          (4) Any other waste as determined by the Board.

     2.  An adult-use cannabis distributor or cannabis sales facility may return a cannabis product to a cannabis cultivation facility or cannabis production facility to be rendered unusable.

     3.  Unless another method approved by the Board is used, waste containing cannabis must be rendered unusable by grinding and incorporating the waste with:

     (a) For disposal using an organic method other than composting, the following kinds of compostable mixed waste:

          (1) Food waste;

          (2) Yard waste;

          (3) Soil; or

          (4) Other waste as approved by the Board; or

     (b) For disposal in a landfill or other method not described in paragraph (a), the following kinds of noncompostable mixed waste:

          (1) Paper waste;

          (2) Cardboard waste;

          (3) Plastic waste; or

          (4) Other waste as approved by the Board.

Ê The amount of waste containing cannabis in the resulting mixture must be less than 50 percent by volume. Such waste may be disposed of by composting. Such methods must comply with the USDA National Organic Standards Board (NOSB) guidance document “NOSB Recommendation for Guidance: Use of Compost, Vermicompost, Processed Manure and Compost Tea”, available at https://www.ams.usda.gov/sites/default/files/media/NOP%20Final%20Rec%20Guidance%20use%20of%20Compost.pdf, and be approved by the appropriate Board agent. Compost must never be used as compost or soil outside of the licensed cannabis establishment.

     4.  A cannabis establishment shall provide notice to the Board using the seed-to-sale tracking system before rendering unusable and disposing of cannabis or cannabis products.

     [Cannabis Compliance Bd., §10.080, eff. 8-5-2020; A 1-4-2024]

REVISER’S NOTE.

      The provisions of this section were derived in part from NAC 453D.745, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

Requirements for Cannabis Cultivation Facilities, Cannabis Production Facilities, Cannabis Consumption Lounges and Cannabis Sales Facilities

      NAC 678B.490  Requirement to have quality control unit; establishment of and adherence to written responsibilities and procedures applicable to quality control unit. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility shall have a quality control unit that:

     (a) Has the responsibility and authority to approve or reject all components, product containers, closures, in-process materials, packaging materials, labeling and cannabis or cannabis products;

     (b) Has the authority to review production records to assure that no errors have occurred or, if errors have occurred, that the errors have been fully investigated and resolved;

     (c) Is responsible for approving or rejecting cannabis or cannabis products manufactured, processed, packaged or held under contract by another cannabis establishment; and

     (d) Is responsible for approving or rejecting all procedures or specifications which may impact the identity, strength, quality and purity of the cannabis or cannabis products.

     2.  Each cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility shall:

     (a) Set forth the responsibilities and procedures applicable to the quality control unit in writing, a copy of which shall be provided promptly to the Board or Board agents upon request; and

     (b) Follow the written responsibilities and procedures set forth pursuant to paragraph (a).

     [Cannabis Compliance Bd., §10.015, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.602, 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.705, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.493  Adequate ventilation, filtration systems and related equipment required for building. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility shall ensure that any building used to manufacture, process, package or hold cannabis or cannabis products:

     (a) Has adequate ventilation; and

     (b) Contains equipment for adequate control over air pressure, microorganisms, dust, humidity and temperature when appropriate for the manufacture, processing, packaging or holding of cannabis or cannabis products.

     2.  Each cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility must use filtration systems, including, without limitation, prefilters and particulate matter air filters, when appropriate on air supplies to production areas. If air is recirculated to production areas, the cannabis establishment must take measures to control recirculation of dust from production. In areas where air contamination occurs during production, the cannabis establishment must ensure that there are adequate exhaust systems or other systems adequate to control contaminants.

     [Cannabis Compliance Bd., §10.020, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.610, 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.708, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.496  Establishment of and adherence to written procedures for labeling and packaging materials. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility shall establish and follow written procedures describing in sufficient detail the receipt, identification, storage, handling, sampling and examination of labeling and packaging materials. A copy of these procedures shall be provided promptly to the Board or Board agents upon request.

     2.  Any labeling or packaging materials that meet the appropriate written specifications established pursuant to subsection 1 may be approved and released for use. Any labeling or packaging materials that do not meet the specifications established pursuant to subsection 1 must be rejected to prevent their use in operations for which they are unsuitable.

     3.  Each cannabis cultivation facility, cannabis production facility and cannabis sales facility shall:

     (a) Store separately with suitable identification the labels and other labeling materials for each type of cannabis or cannabis product, and the different strength, dosage form or quantity of contents;

     (b) Limit access to the storage area described in paragraph (a) to authorized personnel of the cannabis establishment; and

     (c) Destroy obsolete and outdated labels, labeling and other packaging materials.

     [Cannabis Compliance Bd., §10.025, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.624, 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.712, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.499  Establishment of and adherence to written procedures for production and process control to assure quality of cannabis and cannabis products; review and approval of procedures; recording and justification of deviation from procedures. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility shall have written procedures for production and process control that are designed to assure that the cannabis or cannabis products have the identity, strength, quality and purity they purport or are represented to possess. A copy of these procedures shall be provided promptly to the Board or Board agents upon request.

     2.  The written procedures required pursuant to subsection 1 and any changes to those procedures must be drafted, reviewed and approved by the appropriate organizational units of the cannabis establishment and reviewed and approved by the quality control unit of the cannabis establishment.

     3.  Each cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility shall follow written production and process control procedures in executing various production and process control functions and shall document these procedures at the time of performance. Any deviation from the written procedures must be recorded and justified by the cannabis establishment. A copy of these procedures shall be provided promptly to the Board or Board agents upon request.

     [Cannabis Compliance Bd., §10.030, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.622, 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.715, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.502  Components, product containers and closures: Establishment of and adherence to written procedures; storage and handling. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  Each cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility shall ensure that:

     1.  It has written procedures describing in sufficient detail the receipt, identification, storage, handling, sampling, testing and approval or rejection of components, product containers and closures and that it follows those procedures. A copy of these procedures shall be provided promptly to the Board or Board agents upon request.

     2.  Components, product containers and closures are at all times handled and stored in a manner so as to prevent contamination.

     3.  Bagged or boxed components, product containers or closures are stored at least 6 inches (15 centimeters) off the floor and are suitably spaced to permit cleaning and inspection.

     [Cannabis Compliance Bd., §10.035, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.620, 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.718, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.505  Appropriateness, cleanliness and maintenance of equipment, utensils and substances; maintenance of records. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility shall ensure that any equipment used to manufacture, process, package or hold cannabis or cannabis products:

     (a) Is of appropriate design and adequate size and is suitably located to facilitate operations for its intended use and for its cleaning and maintenance;

     (b) Is constructed so that surfaces which have direct contact with components, in-process materials, cannabis or cannabis products are not reactive, additive or absorptive so as to alter the safety, identity, strength, quality or purity of the cannabis or cannabis products beyond the official or other established requirements; and

     (c) Is submitted to the appropriate Board agent on a form prescribed by the Board for approval before use.

     2.  Each cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility shall ensure that:

     (a) Any substances required for its operation, such as lubricants or coolants, do not come into contact with components, product containers, in-process materials, cannabis or cannabis products so as to alter the safety, identity, strength, quality or purity of the cannabis or cannabis products beyond the official or other established requirements;

     (b) Equipment and utensils are cleaned, maintained and, as appropriate for the nature of the cannabis or cannabis products, sanitized and sterilized at appropriate intervals to prevent malfunctions or contamination that would alter the safety, identity, strength, quality or purity of the cannabis or cannabis products beyond the official or other established requirements; and

     (c) Written procedures are established and followed for the cleaning and maintenance of equipment and utensils used to manufacture, process, package or hold cannabis or cannabis products. A copy of these procedures shall be provided promptly to the Board or Board agents upon request. These procedures must include, without limitation:

          (1) Assignment of responsibility for cleaning and maintaining equipment;

          (2) Maintenance and cleaning schedules, including, sanitizing schedules;

          (3) A description in sufficient detail of the methods, equipment and materials used in cleaning and maintenance operations and the methods of disassembling and reassembling equipment as necessary to assure proper cleaning and maintenance;

          (4) Protection of clean equipment from contamination before use; and

          (5) Inspection of equipment for cleanliness immediately before use.

     3.  Each cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility must maintain records of any maintenance, cleaning, sanitizing and inspection carried out pursuant to this section.

     [Cannabis Compliance Bd., §10.040, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.618, 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.720, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

Requirements for Cannabis Cultivation Facilities, Cannabis Production Facilities, Adult-use Cannabis Distributors, Cannabis Consumption Lounges and Cannabis Sales Facilities

      NAC 678B.520  Requirement to ensure cleanliness of employees and volunteers. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  Each cannabis cultivation facility, cannabis production facility, adult-use cannabis distributor, cannabis consumption lounge and cannabis sales facility shall ensure that:

     1.  Each cannabis establishment agent who is employed by or volunteers at the cannabis establishment and who is engaged in cultivating, manufacturing, processing, packaging or holding cannabis or cannabis products wears clean clothing appropriate for the duties he or she performs;

     2.  Protective apparel, such as head, face, hand and arm coverings, are worn as necessary to protect cannabis or cannabis products from contamination; and

     3.  Each cannabis establishment agent who is employed by or volunteers at the cannabis establishment practices good sanitation and health habits.

     [Cannabis Compliance Bd., §10.045, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.604, 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.725, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.523  Restrictions on salvaging cannabis and cannabis products; maintenance of records. (NRS 678A.450, 678B.650, 678C.490, 678D.500)

     1.  Each cannabis cultivation facility, cannabis production facility, adult-use cannabis distributor, cannabis consumption lounge and cannabis sales facility shall ensure that cannabis or cannabis products that have been subjected to improper storage conditions, including, without limitation, extremes in temperature, humidity, smoke, fumes, pressure, age or radiation due to natural disasters, fires, accidents or equipment failures, are not salvaged and returned to the marketplace.

     2.  Whenever it is unclear whether cannabis or cannabis products have been subjected to the conditions described in subsection 1, a cannabis cultivation facility, cannabis production facility, cannabis consumption lounge or cannabis sales facility may conduct salvaging operations only if:

     (a) The cannabis or cannabis products are salvaged for use only for the purpose of extraction;

     (b) Evidence from tests and assays performed by a cannabis independent testing laboratory indicates that the cannabis or cannabis products meet all applicable standards of quality and purity; and

     (c) Evidence from inspection of the premises indicates that the cannabis or cannabis products and their associated packaging were not subjected to improper storage conditions as a result of the disaster or accident, if any.

     3.  A cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility must maintain records, including, without limitation, the name, lot number, production run number and disposition for cannabis or cannabis products salvaged pursuant to subsection 2.

     [Cannabis Compliance Bd., §10.050, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.626, 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.728, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

CANNABIS INDEPENDENT TESTING LABORATORIES

      NAC 678B.530  Employment, qualifications and duties of scientific director; testing prohibited without employment of director; appointment of interim director; notice to Board upon appointment of new director. (NRS 678A.450, 678B.290, 678B.650)

     1.  Each cannabis independent testing laboratory must employ a scientific director who must be responsible for:

     (a) Establishing and maintaining a quality control and quality assurance program that ensures the quality of the cannabis independent testing laboratory’s services, and that is capable of identifying any failure of quality when it occurs;

     (b) Supervising all staff of the cannabis independent testing laboratory; and

     (c) Actively participating in the operation of the testing laboratory to the extent necessary to assure compliance with the provisions of this Act.

     2.  The scientific director of a cannabis independent testing laboratory must have earned:

     (a) A doctorate degree in science from an accredited college or university and have at least 2 years of post-degree laboratory experience;

     (b) A master’s degree in science from an accredited college or university and have at least 4 years of post-degree laboratory experience; or

     (c) A bachelor’s degree in science from an accredited college or university and have at least 6 years of post-degree laboratory experience.

     3.  If a scientific director is no longer employed by a cannabis independent testing laboratory, the cannabis independent testing laboratory shall not be permitted to conduct any testing. An interim director that meets the minimum qualifications may be appointed for not more than 90 days.

     4.  A cannabis independent testing laboratory shall immediately inform the Board upon the appointment of a new scientific director.

     5.  A scientific director shall be available to the personnel of a testing laboratory, in person or by telephonic or other electronic means, for any necessary consultation.

     6.  The scientific director must be on the premises of the testing laboratory at least 5 workdays each month.

     [Cannabis Compliance Bd., §11.010, eff. 8-5-2020; A 8-13-2021]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.650, 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 Dep’t of Taxation by R092-17, 2-27-2018)”

      2.  Former NAC 453D.755, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.533  Requirements for testing laboratory to handle, test or analyze cannabis; implementation of business practices to safeguard impartiality in testing; use of distributor not required to collect or move samples for testing. (NRS 678A.450, 678B.290, 678B.650)

     1.  A cannabis independent testing laboratory shall not handle, test or analyze cannabis unless:

     (a) The cannabis independent testing laboratory has been issued a license;

     (b) The cannabis independent testing laboratory is independent from all other persons involved in the cannabis industry in Nevada; and

     (c) No person with a direct or indirect interest in the cannabis independent testing laboratory has a direct or indirect financial interest in:

          (1) A cannabis sales facility;

          (2) A cannabis production facility;

          (3) A cannabis cultivation facility;

          (4) An adult-use cannabis distributor;

          (5) A provider of health care who provides or has provided written documentation for the issuance of registry identification cards or letters of approval;

          (6) Any other entity that may benefit from the cultivation, manufacture, dispensing, sale, purchase or use of cannabis or cannabis products; or

          (7) A cannabis consumption lounge.

     2.  A cannabis independent testing laboratory shall implement business practices which are structured and managed so as to safeguard impartiality in testing including that:

     (a) A cannabis independent testing laboratory may not offer a different fee schedule or waive payment in the event of failing or otherwise undesirable test results; and

     (b) Refunds, rebates or any other return of payment in the form of alternate compensation is not permitted for the reason of failing or otherwise undesirable test results.

     3.  A cannabis independent testing laboratory is not required to use an adult-use cannabis distributor to collect or move samples for testing.

     [Cannabis Compliance Bd., §11.015, eff. 8-5-2020; A 12-1-2021, 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.656, 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; A by Dep’t of Taxation by R092-17, 2-27-2018)”

      2.  Former NAC 453D.758, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.536  Agreement to become accredited within 1 year after licensure; provision of annual inspection report to Board; inspection by accrediting organization is not substitute for inspection by Board. (NRS 678A.450, 678B.290, 678B.650)

     1.  Each cannabis independent testing laboratory must agree to become accredited pursuant to standard ISO/IEC 17025 of the International Organization for Standardization within 1 year after licensure. The scope of accreditation must cover all analytes pursuant to NAC 678B.554.

     2.  Each cannabis independent testing laboratory that claims to be accredited must provide the Board with copies of each annual inspection report from the accrediting organization, including, without limitation, any deficiencies identified in and any corrections made in response to the report.

     3.  Inspection by an accrediting organization is not a substitute for inspection by the Board or Board agents.

     [Cannabis Compliance Bd., §11.020, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.664, 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 Dep’t of Taxation by R092-17, 2-27-2018)”

      2.  Former NAC 453D.760, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.539  Adherence to general laboratory standards, practices, procedures and programs; inspection by Board or authorized third party; adoption of publications by reference. (NRS 678A.450, 678B.290, 678B.650)

     1.  Each cannabis independent testing laboratory must:

     (a) Follow the most current version of the Cannabis Inflorescence: Standards of Identity, Analysis, and Quality Control monograph published by the American Herbal Pharmacopoeia.

     (b) Follow the Recommendations for Regulators — Cannabis Operations published by the American Herbal Products Association.

     (c) Be accredited pursuant to standard ISO/IEC 17025 of the International Organization for Standardization by an impartial organization that operates in conformance with standard ISO/IEC 17011 of the International Organization for Standardization and is a signatory to the Mutual Recognition Arrangement of the International Laboratory Accreditation Cooperation.

     (d) Follow the Guidelines for Laboratories Performing Microbiological and Chemical Analyses of Food, Dietary Supplements, and Pharmaceuticals — An Aid to the Interpretation of ISO/IEC 17025:2005 (2015) published by AOAC International.

     2.  Each cannabis independent testing laboratory shall demonstrate proficiency in testing samples using the analytical methods approved by the Board or the appropriate Board agent by participating in the approved proficiency testing program for all required analytes within 6 months after the date upon which the cannabis independent testing laboratory is issued a license.

     3.  The Board may require an independent third party to inspect or monitor the analytical testing methodologies and technical competence of the cannabis independent testing laboratory on an ongoing basis.

     4.  Each cannabis independent testing laboratory shall:

     (a) Adopt and follow minimum good laboratory practices which must, at a minimum, satisfy the OECD Series on Principles of Good Laboratory Practice (GLP) and Compliance Monitoring published by the Organisation for Economic Co-operation and Development.

     (b) Become certified by the International Organization for Standardization and agree to have the inspections and reports of the International Organization for Standardization made available to the Board or Board agents.

     (c) Maintain internal standard operating procedures. A copy of these procedures shall be provided promptly to the Board or Board agents upon request.

     (d) Maintain a quality control and quality assurance program.

     5.  The Board agents or an independent third party authorized by the Board may conduct an inspection of the practices, procedures and programs adopted, followed and maintained pursuant to subsection 4 and inspect all records of the cannabis independent testing laboratory.

     6.  A cannabis independent testing laboratory must use, when available, testing methods that have undergone validation by the Official Methods of Analysis of AOAC International, the Performance Tested Methods Program of the Research Institute of AOAC International, the Bacteriological Analytical Manual of the United States Food and Drug Administration, the International Organization for Standardization, the United States Pharmacopeia, the Microbiology Laboratory Guidebook of the Food Safety and Inspection Service of the United States Department of Agriculture or an equivalent third-party validation study approved by the Board. If no such testing method is available, a cannabis independent testing laboratory may use an alternative testing method or a testing method developed by the cannabis independent testing laboratory upon demonstrating the validity of the testing method to and receiving the approval of the Board.

     7.  All quality assurance tests pursuant to NAC 678B.554 shall be validated or verified by the cannabis independent testing laboratory observing the guidelines of the most recent version of standard ASTM D8282: “Standard Practice for Laboratory Test Method Validation and Method Development”, published by the American Society for Testing and Materials (ASTM) and available at www.astm.org, or any subsequent standard as approved by the appropriate Board agent.

     8.  The Board hereby adopts by reference:

     (a) The Cannabis Inflorescence: Standards of Identity, Analysis, and Quality Control monograph published by the American Herbal Pharmacopoeia. A copy of that publication may be obtained from the American Herbal Pharmacopoeia, P.O. Box 66809, Scotts Valley, California 95067, or at the Internet address http://www.herbal-ahp.org/.

     (b) The OECD Series on Principles of Good Laboratory Practice (GLP) and Compliance Monitoring published by the Organisation for Economic Co-operation and Development. A copy of that publication may be obtained free of charge from the Organisation for Economic Co-operation and Development at the Internet address http://www.oecd.org/env/ehs/testing/oecdseriesonprinciplesofgoodlaboratorypracticeglpandcompliancemonitoring.htm.

     (c) Standard ISO/IEC 17025 published by the International Organization for Standardization. A copy of that publication may be obtained from the American National Standards Institute at the Internet address https://webstore.ansi.org/RecordDetail.aspx?sku=ISO%2fIEC+17025%3a2005.

     (d) The Guidelines for Laboratories Performing Microbiological and Chemical Analyses of Food, Dietary Supplements, and Pharmaceuticals — An Aid to the Interpretation of ISO/IEC 17025:2005 (2015) published by AOAC International. A copy of that publication may be obtained from AOAC International at the Internet address https://www.aoac.org/aoac-accreditation-guidelines-for-laboratories-alacc/.

     [Cannabis Compliance Bd., §11.025, eff. 8-5-2020; A 8-13-2021]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.652, 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; A by Dep’t of Taxation by R092-17, 2-27-2018)”

      2.  Former NAC 453D.764, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.542  Establishment of policies for adequate chain of custody and requirements for samples of products provided to testing laboratory. (NRS 678A.450, 678B.290, 678B.650)  Each cannabis independent testing laboratory must establish policies for an adequate chain of custody and sample identification requirements for samples of products provided to the cannabis independent testing laboratory for testing or research purposes, including, without limitation, policies and requirements for:

     1.  Issuing instructions for the minimum sample and storage requirements.

     2.  Documenting the condition of the external package and integrity seals utilized to prevent contamination of, or tampering with, the sample.

     3.  Documenting the condition and amount of the sample provided at the time of receipt.

     4.  Documentation of any pertinent sample identifiers, including, without limitation, product type, product name, strain name, seed-to-sale tracking number, batch/lot number and production run number, as appropriate.

     5.  Documenting all persons handling the original samples, aliquots and extracts.

     6.  Providing adequate identification on sample containers throughout all phases of testing, including, without limitation, aliquots, dilutions, tubes, slides, culture plates, extracts, data files, images and other secondary samples created during the processing or testing of a sample. The sample identifier on any sample container must be indelible, legible and able to withstand all stages of processing and conditions of storage.

     7.  Documenting all transfers of samples, aliquots and extracts referred to another cannabis independent testing laboratory for additional testing or whenever requested by a client.

     8.  Maintaining a current list of authorized cannabis establishment agents and restricting entry to the laboratory to only those authorized.

     9.  Securing the cannabis independent testing laboratory during nonworking hours.

     10.  Securing short- and long-term storage areas when not in use.

     11.  Utilizing a secured area to log-in and aliquot samples.

     12.  Ensuring samples are stored appropriately.

     13.  Documenting the disposal of samples, aliquots and extracts.

     [Cannabis Compliance Bd., §11.030, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.662, 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.766, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.545  No limitation on amount of usable cannabis and cannabis products on premises of testing laboratory; maintenance of records to prove amount on premises is for testing purposes only. (NRS 678A.450, 678B.290, 678B.650)  A cannabis independent testing laboratory is not limited in the amount of usable cannabis and cannabis products it may have on the premises of the cannabis independent testing laboratory at any given time, but the cannabis independent testing laboratory must maintain records to prove that all usable cannabis and cannabis products on the premises are there for testing purposes only.

     [Cannabis Compliance Bd., §11.035, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.670, 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.768, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.548  Proficiency testing program: Establishment by Board; required participation by testing laboratory; conditions for successful participation; unsuccessful participation grounds for limitation, suspension or revocation of license; proficiency testing inter-laboratory communication and referral prohibited. (NRS 678A.450, 678B.290, 678B.650)

     1.  The Board will establish a proficiency testing program for cannabis independent testing laboratories. A proficiency testing program must include, without limitation, providing rigorously controlled and standardized proficiency testing samples to cannabis independent testing laboratories for analysis, reporting the results of such analysis and performing a statistical evaluation of the collective demographics and results of all cannabis independent testing laboratories.

     2.  Each cannabis independent testing laboratory must participate in the proficiency testing program established pursuant to this section.

     3.  A cannabis independent testing laboratory must successfully participate in one of the approved proficiency testing programs that covers all required analytes a minimum of every 12 months in order to maintain continued licensure.

     4.  To maintain continued licensure as a cannabis independent testing laboratory, a cannabis independent testing laboratory must participate in the designated proficiency testing program with continued satisfactory performance as determined by the appropriate Board agent.

     5.  A cannabis independent testing laboratory must analyze proficiency testing samples using the same procedures with the same number of replicate analyses, standards, testing analysts and equipment as used for product testing. All proficiency testing samples must be integrated within the routine laboratory workload whenever possible.

     6.  The scientific director of the cannabis independent testing laboratory and all testing analysts that participated in proficiency testing must sign corresponding attestation statements.

     7.  All proficiency testing results received must be reviewed by the scientific director and appropriate staff members. Upon receipt of results from the proficiency testing provider, the testing laboratory shall do the following:

     (a) Evaluate the testing laboratory’s performance and perform corrective action for any unsatisfactory results received. Failure to provide a result for a required analyte shall be considered an unacceptable result.

     (b) Investigate any unsatisfactory results, to include a retrospective review of potentially affected cannabis samples whenever applicable.

     (c) Document investigation findings and any resultant corrective actions, if applicable, and maintain the documentation for a period of at least 5 years.

     8.  Successful participation includes an acceptable score for each and every target analyte that the cannabis independent testing laboratory reports to include quantitative results when applicable. Issues related to samples provided by the proficiency testing company will be reviewed on a case-by-case basis.

     9.  A cannabis independent testing laboratory that fails to achieve an acceptable score for a required quality assurance test shall:

     (a) Notify the appropriate Board agent in writing within 24 hours.

     (b) Repeat the proficiency testing of any failed tests within 30 calendar days or as otherwise approved by the appropriate Board agent. If the cannabis independent testing laboratory fails to perform satisfactorily for the same required quality assurance test in two consecutive proficiency testing events, or two out of three proficiency testing events, the cannabis independent testing laboratory may be required to cease the performance of testing for those analytes until it demonstrates to the satisfaction of the appropriate Board agent that the nonconformances have been corrected in such a manner as to ensure that they will not recur.

     10.  Unsuccessful participation in proficiency testing may result in limitation, suspension, denial of renewal of license, or revocation of the license of the cannabis independent testing laboratory.

     11.  The Board will select a proficiency testing provider to conduct the proficiency testing program and determine the schedule that the proficiency testing provider will follow when sending proficiency testing samples to cannabis independent testing laboratories for analysis.

     12.  In addition to achieving the standard required pursuant to subsection 8, a cannabis independent testing laboratory successfully participates in the proficiency testing program only if the cannabis independent testing laboratory:

     (a) Obtains single-blind proficiency testing samples from the proficiency testing provider;

     (b) Analyzes the proficiency testing sample for all analytes listed in NAC 678B.554 to 678B.563, inclusive;

     (c) Reports the results of its analysis to the proficiency testing provider;

     (d) Successfully performs proficiency testing for all required analytes pursuant to this Act not less frequently than once each 12 months;

     (e) Pays the costs of subscribing to the proficiency testing program; and

     (f) Ensures the proficiency testing provider submits to the appropriate Board agent the results of any test performed pursuant to this section.

     13.  A cannabis independent testing laboratory shall not communicate with another cannabis independent testing laboratory about proficiency testing samples for a proficiency testing event until after the deadline for submission of results to the proficiency testing provider.

     14.  Proficiency testing samples shall not be referred to another cannabis independent testing laboratory for analysis and shall not be accepted from other cannabis independent testing laboratory for analysis.

     [Cannabis Compliance Bd., §11.040, eff. 8-5-2020; A 8-13-2021]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.660, 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 Dep’t of Taxation by R092-17, 2-27-2018)”

      2.  Former NAC 453D.772, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.551  Procedures and requirements for limited testing for research and development purposes. (NRS 678A.450, 678B.290, 678B.650)

     1.  A cannabis cultivation facility or a cannabis production facility may conduct operations and request limited laboratory testing by a cannabis independent testing laboratory for research and development purposes.

     2.  A cannabis cultivation facility or cannabis production facility described in subsection 1 shall:

     (a) Notify the appropriate Board agent of its intent to conduct research and development on a form prescribed by the Board by electronic mail before sending a sample to a cannabis independent testing laboratory;

     (b) Receive approval from the appropriate Board agent for the requested research and development studies;

     (c) Quarantine each batch, lot or production run in a separate quarantine area and label each batch, lot or production run with a distinctive label containing “R&D QUARANTINE” as a header and footer in 20-point white font and a red background;

     (d) Account for all cannabis subject to quarantine pursuant to paragraph (c) in the seed-to-sale tracking system;

     (e) Limit all research and development operations to clearly segregated and designated areas or rooms marked “R&D CULTIVATION AREA” or “R&D PRODUCTION AREA” on 8 1/2 by 11-inch signs with a red background and white lettering, posted at the entrance to the area or room and along the walls of the area or room, with a minimum of one sign for every 300 square feet of the area or room; and

     (f) Perform research and development operations in a grow room only if the plants used for such operations are designated and separated from other plants.

     3.  A cannabis cultivation facility or cannabis production facility operating as described in subsection 1 may request limited testing protocols from a cannabis independent testing laboratory for research and development purposes. A cannabis independent testing laboratory shall not perform any laboratory tests on research and development samples which were not specifically indicated as part of the approved study.

     4.  A cannabis independent testing laboratory that performs testing for a cannabis cultivation facility or cannabis production facility described in subsection 1 shall report the results of the testing to the cannabis establishment and to the Board by electronic mail. The cannabis independent testing laboratory shall clearly mark the test results with “R&D TESTING ONLY -- NOT FOR RESALE” on the top of each page of the report in 20-point white font and a red background.

     5.  A batch, lot or production run produced for research and development purposes pursuant to this section which fails quality assurance testing need not be destroyed.

     6.  A batch, lot or production run originally produced for research and development purposes pursuant to this section may not be sold to a cannabis sales facility until the batch, lot or production run has undergone and passed all testing required by NAC 678B.235.

     [Cannabis Compliance Bd., §11.045, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.655, 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.776, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.554  Required quality assurance tests; requirements for samples and the transportation of samples; submission of wet cannabis for testing; provision of certificate of analysis. (NRS 678A.450, 678B.290, 678B.650)

     1.  Each cannabis independent testing laboratory must use the sampling protocols and the general body of required quality assurance tests for usable cannabis, as received, concentrated cannabis and cannabis products set forth in this section. Such tests may include moisture content, potency analysis, foreign matter inspection, microbial screening, pesticide and other chemical residue and metals screening and residual solvents levels. A cannabis independent testing laboratory may request permission from the appropriate Board agent to obtain additional sample material for the purposes of completing required quality assurance tests but may not use such material for the purposes of resampling or repeating quality assurance tests. A cannabis independent testing laboratory may retrieve samples from the premises of another cannabis establishment and transport the samples directly to the cannabis independent testing laboratory. A cannabis independent testing laboratory transporting samples may make multiple stops if:

     (a) Each stop is for the sole purpose of retrieving a sample from a cannabis establishment; and

     (b) All samples remain secured at all times.

     2.  The tests required pursuant to subsection 1 by a cannabis independent testing laboratory are as follows:

 

Product

Tests Required

Action Levels

Usable cannabis, infused pre-rolls and crude collected resins, as received, excluding wet cannabis

1.  Moisture content

2.  Potency analysis

3.  Terpene analysis

4.  Foreign matter inspection

5.  Mycotoxin screening

6.  Heavy metal screening

7.  Pesticide residue analysis

8.  Herbicide screening

9.  Growth regulator screening

10.  Total yeast and mold

11.  Total Enterobacteriaceae

12.  Salmonella

13.  Pathogenic E. coli

14.  Aspergillus fumigatus

15.  Aspergillus flavus

16.  Aspergillus terreus

17.  Aspergillus niger

18.  Total coliform

1.  < 15%

2.  N/A

3.  N/A

4.  None detected

5.  < 20 μg/kg for the total of Aflatoxins B1, B2, G1 and G2 combined and < 20 μg/kg for Ochratoxin A

6.  Arsenic: < 2 ppm

Cadmium: < 0.82 ppm

Lead: < 1.2 ppm

Mercury: < 0.4 ppm

7.  See NAC 678B.563

8.  See NAC 678B.563

9.  See NAC 678B.563

10.  < 10,000 colony forming units per gram

11.  < 1,000 colony forming units per gram

12.  None detected per gram

13.  None detected per gram

14.  None detected per gram

15.  None detected per gram

16.  None detected per gram

17.  None detected per gram

18.  < 1,000 colony forming units per gram

Wet cannabis, as received, which is destined for extraction

1.  Potency analysis

2.  Terpene analysis

3.  Foreign matter inspection

4.  Mycotoxin screening

5.  Heavy metal screening

6.  Pesticide residue analysis

7.  Herbicide screening

8.  Growth regulator screening

9.  Total yeast and mold

10.  Total Enterobacteriaceae

11.  Salmonella

12.  Pathogenic E. coli

13.  Aspergillus fumigatus

14.  Aspergillus flavus

15.  Aspergillus terreus

16.  Aspergillus niger

17.  Total coliform

1.  N/A

2.  N/A

3.  None detected

4.  < 20 μg/kg for the total of Aflatoxins B1, B2, G1 and G2 combined and < 20 μg/kg for Ochratoxin A

5.  Arsenic: < 2 ppm

Cadmium: < 0.82 ppm

Lead: < 1.2 ppm

Mercury: < 0.4 ppm

6.  See NAC 678B.563

7.  See NAC 678B.563

8.  See NAC 678B.563

9.  < 10,000 colony forming units per gram

10.  < 1,000 colony forming units per gram

11.  None detected per gram

12.  None detected per gram

13.  None detected per gram

14.  None detected per gram

15.  None detected per gram

16.  None detected per gram

17.  < 1,000 colony forming units per gram

Extract of cannabis (nonsolvent) like hashish, bubble hash, infused dairy butter, mixtures of extracted products or oils or fats derived from natural sources, including concentrated cannabis extracted with ethanol or CO2

1.  Potency analysis

2.  Foreign matter inspection

3.  Mycotoxin screening

4.  Heavy metal screening

5.  Pesticide residue analysis

6.  Total yeast and mold

7.  Total Enterobacteriaceae

8.  Salmonella

9.  Pathogenic E. coli

10.  Aspergillus fumigatus

11.  Aspergillus flavus

12.  Aspergillus terreus

13.  Aspergillus niger

1.  N/A

2.  None detected

3.  < 20 μg/kg for the total of Aflatoxins B1, B2, G1 and G2 combined and < 20 μg/kg for Ochratoxin A

4.  Arsenic: < 2 ppm

Cadmium: < 0.82 ppm

Lead: < 1.2 ppm

Mercury: < 0.4 ppm

5.  See NAC 678B.563

6.  < 1,000 colony forming units per gram

7.  < 100 colony forming units per gram

8.  None detected per gram

9.  None detected per gram

10.  None detected per gram

11.  None detected per gram

12.  None detected per gram

13.  None detected per gram

Extract of cannabis (solvent-based) made with any approved solvent, including concentrated cannabis extracted by means other than with ethanol or CO2

1.  Potency analysis

2.  Foreign matter inspection

3.  Residual solvent test

4.  Mycotoxin screening

5.  Heavy metal screening

6.  Pesticide residue analysis

7.  Total yeast and mold

8.  Total Enterobacteriaceae

9.  Salmonella

10.  Pathogenic E. coli

11.  Aspergillus fumigatus

12.  Aspergillus flavus

13.  Aspergillus terreus

14.  Aspergillus niger

1.  N/A

2.  None detected

3.  < 500 ppm

4.  < 20 μg/kg for the total of Aflatoxins B1, B2, G1 and G2 combined and < 20 μg/kg for Ochratoxin A

5.  Arsenic: < 2 ppm

Cadmium: < 0.82 ppm

Lead: < 1.2 ppm

Mercury: < 0.4 ppm

6.  See NAC 678B.563

7.  < 1,000 colony forming units per gram

8.  < 100 colony forming units per gram

9.  None detected per gram

10.  None detected per gram

11.  None detected per gram

12.  None detected per gram

13.  None detected per gram

14.  None detected per gram

Edible cannabis product, including a product which contains concentrated cannabis

1.  Potency analysis

2.  Foreign matter inspection

3.  Total Enterobacteriaceae

4.  Salmonella

5.  Pathogenic E. coli

6.  Total aerobic count

7.  Water activity or pH

1.  N/A

2.  None detected

3.  < 1,000 colony forming units per gram

4.  None detected per gram

5.  None detected per gram

6.  < 100,000 colony forming units per gram

7.  Water activity < 0.86 or pH < 4.6

Liquid cannabis product, including, without limitation, soda or tonic, including a product which contains concentrated cannabis

1.  Potency analysis

2.  Foreign matter inspection

3.  Total Enterobacteriaceae

4.  Salmonella

5.  Pathogenic E. coli

6.  Total aerobic count

7.  Water activity or pH

1.  N/A

2.  None detected

3.  < 1,000 colony forming units per gram

4.  None detected per gram

5.  None detected per gram

6.  < 100,000 colony forming units per gram

7.  Water activity < 0.86 or pH < 4.6

Topical cannabis product, including a product which contains concentrated cannabis

1.  Potency analysis

1.  N/A

 

     3.  A sample of usable cannabis must be at least 10 grams. A sample of a production run must be the lesser of 1 percent of the total product weight of the production run or 25 units of product, but not less than 5 grams of the production run. Before testing, all samples must be homogenized by the testing laboratory using a homogenization process which has been approved by the appropriate Board agent and in a manner that prevents contamination of test samples or analytical portions.

     4.  The analytical portion that is used for the purposes of any microbial test must be a minimum of one gram, unless otherwise approved by the Board.

     5.  A cannabis establishment shall not submit wet cannabis to a cannabis independent testing laboratory for testing unless the wet cannabis is destined for extraction and weighed within 2 hours after harvest. The plant must not undergo any further processing, including, without limitation, drying the plant and subsequently selling separately the cannabis bud and cannabis trim from the plant, before being weighed.

     6.  A cannabis independent testing laboratory shall provide the final certificate of analysis to the Board and to the cannabis establishment from which the sample was collected within 2 business days after obtaining the results.

     7.  The certificate of analysis shall include a photo of the product, as received.

     8.  As used in this section, “as received” means the unaltered state in which a sample was collected, without any processing or conditioning, which accounts for all mass, including moisture content. A cannabis independent testing laboratory shall not report the results of usable cannabis on a dry weight basis.

     [Cannabis Compliance Bd., §11.050, eff. 8-5-2020; A 8-13-2021, 11-15-2021]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.654, 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; A by Dep’t of Taxation by R092-17, 2-27-2018)”

      2.  Former NAC 453D.780, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.557  Performance of potency analysis or terpene analysis. (NRS 678A.450, 678B.290, 678B.650)  When performing potency analysis or terpene analysis pursuant to NAC 678B.554, a cannabis independent testing laboratory shall test for and accurately quantify the presence of the following:

     1.  Cannabinoids:

     (a) THC;

     (b) Tetrahydrocannabinolic acid;

     (c) CBD;

     (d) Cannabidiolic acid; and

     (e) Cannabinol; and

     2.  Terpenoids:

     (a) Alpha-bisabolol;

     (b) Alpha-humulene;

     (c) Alpha-pinene;

     (d) Terpinolene;

     (e) Beta-caryophyllene;

     (f) Beta-myrcene;

     (g) Beta-pinene;

     (h) Caryophyllene oxide;

     (i) Limonene; and

     (j) Linalool.

     [Cannabis Compliance Bd., §11.055, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.6544, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, 2-27-2018)”

      2.  Former NAC 453D.782, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.560  Performance of testing to verify homogeneity of potency of edible cannabis products. (NRS 678A.450, 678B.290, 678B.650)

     1.  Except as otherwise provided in subsection 2, a cannabis independent testing laboratory shall perform testing to verify the homogeneity of the potency of an edible cannabis product by testing multiple samples from a single production run.

     2.  A cannabis independent testing laboratory that tests an edible cannabis product which has previously had the homogeneity of the potency of the edible cannabis product verified by a cannabis independent testing laboratory and which has not undergone a change in recipe may verify the homogeneity of the edible cannabis product by testing one or more single units or servings from a production run of the edible cannabis product.

     3.  The cannabis independent testing laboratory will verify the homogeneity of the potency of the edible cannabis product only if:

     (a) The concentration of THC and weight of each sample is within 15 percent above or below the intended concentration of THC and weight; and

     (b) No combination of samples which comprise 10 percent or less of the cannabis product contain 20 percent or more of the total THC in the cannabis product.

     [Cannabis Compliance Bd., §11.060, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.6546, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, 2-27-2018)”

      2.  Former NAC 453D.784, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.563  Use of approved pesticides by cannabis establishment; performance of pesticide residue analysis by testing laboratory. (NRS 678A.450, 678B.290, 678B.650)

     1.  A cannabis establishment shall only use a pesticide in the cultivation or production of cannabis or cannabis products if the pesticide appears on the list of pesticides published by the State Department of Agriculture pursuant to NRS 586.550.

     2.  When performing pesticide residue analysis pursuant to NAC 678B.554, a cannabis independent testing laboratory shall analyze for the pesticides which occur on the list of pesticides published by the State Department of Agriculture pursuant to NRS 586.550 at the detection levels specified by the State Department of Agriculture and for any other substances required by the Board. If:

     (a) A pesticide which occurs on the list of pesticides published by the State Department of Agriculture pursuant to NRS 586.550 is detected at a level which exceeds the level specified by the State Department of Agriculture; or

     (b) A pesticide which does not occur on the list of pesticides published by the State Department of Agriculture pursuant to NRS 586.550 is detected in any amount which is positively verified,

Ê the pesticide residue analysis is failed.

     [Cannabis Compliance Bd., §11.065, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.6548, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, 2-27-2018)”

      2.  Former NAC 453D.786, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.566  Testing: Selection of representative samples and random samples; segregation period for entire lot; duties of testing laboratory; disposal of lot if sample fails test; release of lot if sample passes test; filing of electronic copy of certificate of analysis for tests performed by testing laboratory; grounds for disciplinary action for failure to comply; Board authorized to publish certificates of analysis. (NRS 678A.450, 678B.290, 678B.650)

     1.  Immediately before packaging:

     (a) Usable cannabis for sale to a cannabis sales facility, cannabis production facility or another cannabis cultivation facility, a cannabis cultivation facility shall segregate all harvested cannabis into homogenized lots of flower and trim, respectively, and allow a cannabis independent testing laboratory to select a homogenous representative sample for testing from each lot the cannabis cultivation facility has segregated. The cannabis independent testing laboratory which performs the test must collect the samples. If the cannabis cultivation facility has segregated the lot of harvested cannabis into packages or container sizes smaller than the entire lot, the cannabis cultivation facility must present all packages comprising the lot to the cannabis independent testing laboratory, and the testing laboratory must sample and test each package containing harvested cannabis from the lot.

     (b) Concentrated cannabis or cannabis products, a cannabis production facility shall allow a cannabis independent testing laboratory to select a random sample from each lot or production run for testing by the cannabis independent testing laboratory. The cannabis independent testing laboratory performing the testing must collect the samples.

     (c) The cannabis independent testing laboratory selecting a sample shall seal the sample within the package to ensure sample integrity. The sample shall be collected in a tamper resistant package or in a package that is sealed with tamper resistant tape immediately after the sample is placed in the package.

     (d) The cannabis independent testing laboratory shall ensure the seed-to-sale identification tag is affixed to the sample package. The batch, lot or production run number and the weight or quantity of the sample shall be documented on the sample package and on the chain of custody.

     2.  A cannabis independent testing laboratory that collects a sample pursuant to this section shall test the sample as provided in NAC 678B.554.

     3.  From the time that a lot or production run has been homogenized for sample testing and eventual packaging and sale to a cannabis sales facility, cannabis production facility or, if applicable, another cannabis cultivation facility, the cannabis establishment which provided the sample shall segregate and withhold from use the entire lot or production run, except the samples that have been removed by the cannabis independent testing laboratory for testing, until the cannabis independent testing laboratory provides the certificate of analysis from its tests and analysis. During this period of segregation, the cannabis establishment which provided the sample shall maintain the lot or production run in a secure, clearly designated, cool and dry location so as to prevent the cannabis from becoming contaminated or losing its efficacy. Under no circumstances shall the cannabis establishment which provided the sample sell the cannabis or cannabis products, as applicable, to a cannabis sales facility, cannabis production facility or, if applicable, another cannabis cultivation facility before the time that the cannabis independent testing laboratory has completed its testing and analysis and provided the certificate of analysis to the cannabis establishment which provided the sample.

     4.  Except as otherwise provided in subsection 5, a cannabis independent testing laboratory shall immediately return or dispose of any sample received pursuant to this section upon the completion of any testing, use or research. If a cannabis independent testing laboratory disposes of a sample received pursuant to this section, the cannabis independent testing laboratory shall document the disposal of the sample using its seed-to-sale tracking system pursuant to NAC 678B.214 and 678B.217.

     5.  A cannabis independent testing laboratory shall keep any sample which fails testing, or which is collected by the Board for confirmation testing for 30 days after failure or collection. A sample which is kept pursuant to this subsection must be stored in a manner approved by the appropriate Board agent. A cannabis independent testing laboratory shall dispose of a sample kept pursuant to this subsection after 30 days have elapsed after failure or collection.

     6.  Except as otherwise provided in NAC 678B.569, if a sample provided to a cannabis independent testing laboratory pursuant to this section does not pass the testing required by NAC 678B.554, the cannabis establishment which provided the sample shall dispose of the entire lot or production run from which the sample was taken and document the disposal of the sample using its inventory control system pursuant to NAC 678B.214 and 678B.217.

     7.  If a sample provided to a cannabis independent testing laboratory pursuant to this section passes the testing required by NAC 678B.554, the cannabis independent testing laboratory shall release the entire lot or production run for immediate manufacturing, packaging and labeling for sale to a cannabis sales facility, a cannabis production facility or, if applicable, another cannabis cultivation facility.

     8.  A cannabis establishment shall not use more than one cannabis independent testing laboratory to test the same lot or production run of cannabis without the approval of the appropriate Board agent.

     9.  A cannabis independent testing laboratory shall file with the Board, in a manner prescribed by the Board, an electronic copy of the certificate of analysis for all tests performed by the cannabis independent testing laboratory, regardless of the outcome of the test, including all testing required by NAC 678B.554 to 678B.563, inclusive, at the same time that it transmits those results to the facility which provided the sample.

     10.  An electronic mail message transmitted pursuant to subsection 9 must be formatted as follows:

     (a) The subject line of the electronic mail message must be the name of the cannabis establishment from which the sample was collected.

     (b) The name of the electronic file containing the certificate of analysis must be:

          (1) Except as otherwise provided in subparagraph (2) or (3), the Facility ID assigned by the Board to the cannabis independent testing laboratory, followed by an underscore, followed by the four-digit identifier assigned by the Board to the cannabis establishment from which the sample was collected, followed by an underscore, followed by:

               (I) If the sample was from a production run, the production run number; or

               (II) If the sample was not from a production run, the batch number, followed by an underscore, followed by the lot number.

          (2) If the certificate of analysis is from a retesting of a previously failed sample, an underscore followed by the word “Retest” must be appended to the end of the name of the electronic file.

          (3) If the certificate of analysis has been amended, an underscore followed by the word “Amended” must be appended to the end of the name of the electronic file.

     (c) If the certificate of analysis has been amended, the electronic copy of the certificate of analysis must state “Amended” in 20-point bold red font at the center of the top of the first page of the report and must contain a statement of the reason for the amendment that clearly and completely describes the change in 10-point font.

     11.  The Board will take immediate disciplinary action against any cannabis establishment which fails to comply with the provisions of this section or falsifies records related to this section, including, without limitation, revoking the license of the cannabis establishment.

     12.  A cannabis independent testing laboratory may subcontract its testing of cannabis or cannabis products only to another cannabis independent testing laboratory.

     13.  The Board may publish on their website all certificates of analysis issued to them in the preceding time.

     [Cannabis Compliance Bd., §11.070, eff. 8-5-2020; A 8-13-2021, 11-22-2023]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.658, 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; A by Dep’t of Taxation by R092-17, 2-27-2018)”

      2.  Former NAC 453D.790, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.569  Testing: Authorized use of cannabis upon failure of certain tests; automatic failure to pass; request for retest; retest for pesticide residue must be performed by State Department of Agriculture; effect of passing or failing retest. (NRS 678A.450, 678B.290, 678B.640)

     1.  Upon approval of the appropriate Board agent, a lot or production run of cannabis that fails a residual solvents, pH, water activity (aw), homogeneity or microbial screening test may be remediated or used to make an extract. After processing, the remediated lot or extract must pass all required quality assurance tests.

     2.  If a sample from a cannabis production facility fails a quality assurance test, the entire production run from which the sample was taken automatically fails the quality assurance test.

     3.  At the request of a cannabis cultivation facility or a cannabis production facility, the appropriate Board agent may, on a case-by-case basis, authorize a retest to validate the results of a failed test. The cannabis cultivation facility or cannabis production facility is responsible for all costs involved in a retest performed pursuant to this section.

     4.  A cannabis cultivation facility or a cannabis production facility may not request a retest pursuant to this section if the lot or production run has undergone any type of remediation since the time samples were initially taken for testing.

     5.  A cannabis cultivation facility or a cannabis production facility shall submit a request for retesting to the appropriate Board agent in writing and on a form designated by the Board.

     6.  If the appropriate Board agent grants a request for retesting, the Board agent will select the cannabis independent testing laboratory that will perform the retest.

     7.  Except as otherwise provided in this subsection, a cannabis cultivation facility or a cannabis production facility may submit a request for retesting of not more than 50 lots or production runs each calendar year. For any subsequent failure of a quality assurance test in a calendar year, the facility shall request permission from the Board for an additional 50 tests, destroy the lot or the entire production run, or request to send the lot or production run to extraction or remediation. The Board may extend authority to the Executive Director to approve such requests. If the additional 50 retests are approved, a cannabis cultivation facility or a cannabis production facility must obtain the results of 2 retests in the category which failed, from two different cannabis independent testing laboratories. For the retested lot or production run to be approved for sale, both retests must provide passing results. If both retests provide passing results, the certificate of analysis with the higher quantifiable results will be recorded. If it is not clear which certificate has higher results, the appropriate Board agent will select the one to be recorded. No more than one such request for additional tests is permitted within a calendar year. A lot which only fails a quality assurance test for moisture content must not be counted for the purpose of this subsection.

     8.  To request permission from the Board for an additional 50 tests pursuant to subsection 7, a cannabis cultivation facility or a cannabis production facility must file a petition with the Board which must include the following:

     (a) Request for the additional 50 tests;

     (b) List the prior 50 lots or production runs that failed, what they failed for, and which cannabis independent testing laboratory performed the test; and

     (c) List whether the prior 50 lots or production runs passed pursuant to a retest, and which cannabis independent testing laboratories performed the retests.

     9.  A failed quality assurance test for pesticide residue must be retested by the State Department of Agriculture unless otherwise approved by the Board or appropriate Board agent.

     10.  If a sample passes the same quality assurance test upon retesting, the cannabis cultivation facility or cannabis production facility need not destroy the lot or production run and may sell the lot or production run to a cannabis cultivation facility, cannabis sales facility or cannabis production facility, as applicable.

     11.  If a sample fails the same quality assurance test upon retesting, the Board agent denies a request for retesting or a cannabis cultivation facility or a cannabis production facility does not request retesting after a sample fails a quality assurance test, the facility shall destroy the entire lot or production run from which the sample was taken.

     [Cannabis Compliance Bd., §11.075, eff. 8-5-2020; A 8-13-2021]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.672, 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.790, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.572  Collection and testing of random samples from cannabis establishments for comparison with results reported by testing laboratories. (NRS 678A.450, 678B.290, 678B.650)  At the request of the Board, a testing laboratory chosen by the Board may collect and test random samples from cannabis establishments and compare the results of its testing to the results reported by cannabis independent testing laboratories.

     [Cannabis Compliance Bd., §11.080, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.678, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, 2-27-2018)”

      2.  Former NAC 453D.796, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.575  Random quality assurance compliance checks; costs for screening or testing. (NRS 678A.450, 678B.290, 678B.650)

     1.  Upon the request of the Board, a cannabis cultivation facility or cannabis production facility must provide a cannabis independent testing laboratory designated by the Board with a sample of cannabis or a cannabis product in an amount determined by the cannabis independent testing laboratory to be sufficient for random quality assurance compliance checks in a secure manner such that the cannabis independent testing laboratory can confirm that it has received and is testing the correct sample.

     2.  The cannabis independent testing laboratory that receives a sample pursuant to subsection 1 shall, as directed by the Board:

     (a) Screen the sample for pesticides, chemical residues, herbicides, growth regulators and unsafe levels of metals;

     (b) Perform any other quality assurance test deemed necessary by the Board; and

     (c) Report its results to the Board.

     3.  The cannabis cultivation facility or cannabis production facility is responsible for all costs involved in screening or testing performed pursuant to this section.

     [Cannabis Compliance Bd., §11.085, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived from:

      1.  Former NAC 453A.668, 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.798, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

PACKAGING AND LABELING OF CANNABIS AND CANNABIS PRODUCTS

      NAC 678B.590  Packaging required to be approved by Board agent before use. (NRS 678A.450, 678B.650, 678C.490, 678D.500)  A cannabis establishment shall not use packaging unless the packaging has been approved by the appropriate Board agent.

     [Cannabis Compliance Bd., §6.123, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from former 453D.473, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.593  Requirements for single packages. (NRS 678A.450, 678B.520, 678B.650)

     1.  Unless preparing bulk packages only for delivery to another cannabis establishment and not for sale to a consumer, a cannabis establishment that packages cannabis or cannabis products must individually package, label and seal the cannabis or cannabis products in a single package for sale. A cannabis sales facility shall only sell cannabis or cannabis products in a single package which must not contain:

     (a) More than 1 ounce (28.35 grams) of usable cannabis.

     (b) For a cannabis product sold as a capsule, more than 100 milligrams of THC per capsule or more than 800 milligrams of THC per package.

     (c) For a cannabis product sold as a tincture, more than 800 milligrams of THC.

     (d) For a cannabis product sold as an edible cannabis product, more than 100 milligrams of THC.

     (e) For a cannabis product sold as a topical product, a concentration of more than 6 percent THC or more than 800 milligrams of THC per package.

     (f) For a cannabis product sold as a suppository or transdermal patch, more than 100 milligrams of THC per suppository or transdermal patch or more than 800 milligrams of THC per package.

     (g) For any other cannabis product, more than 800 milligrams of THC.

     2.  An edible cannabis product must be packaged in a manner which indicates the number of servings of THC in the product, measured in servings of a maximum of 10 milligrams of THC per serving, and include a statement that the edible cannabis product contains cannabis and its potency was tested with an allowable variance of plus or minus 15 percent of the allowable limit.

     3.  For cannabis or cannabis products that are intended to be sold to a consumer, the text used on all labeling must be printed in at least 8-point font and may not be in italics.

     [Cannabis Compliance Bd., §12.010, eff. 8-5-2020]

REVISER’S NOTE.

      The provisions of this section were derived in part from former NAC 453D.800, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.596  Requirements for packaging of cannabis and cannabis products. (NRS 678A.450, 678B.520, 678B.650)

     1.  Any edible cannabis product containing cannabis must:

     (a) Be clearly and unambiguously packaged as cannabis with the words “THIS PRODUCT CONTAINS CANNABIS” and include the warning “KEEP OUT OF REACH OF CHILDREN” in bold type that clearly identifies that the product contains cannabis;

     (b) Be packaged in a manner which is not modeled after a brand of products primarily consumed by or marketed to children;

     (c) Be presented in packaging which does not contain an image of a cartoon character, mascot, action figure, balloon or toy, except that such an item may appear in the logo of the cannabis production facility which produced the product;

     (d) Not be packaged or marketed as candy; and

     (e) Include:

          (1) A Nevada universal cannabis symbol approved by the Board to indicate that the product contains cannabis;

          (2) The net weight of the product;

          (3) A list of all ingredients and all major food allergens as identified in 21 U.S.C. § 343; and

          (4) A notice that the actual amount of THC may be within 15 percent of the stated amount for the edible cannabis product.

     2.  When sold at a cannabis sales facility, any cannabis or cannabis product must be placed into a package or directly packaged in opaque, child-resistant packaging in accordance with 16 C.F.R. Part 1700 and the standards specified in subsection 3 or 4. The child-resistant packaging must maintain its effectiveness for multiple openings before leaving the cannabis sales facility with the consumer.

     3.  Except as otherwise provided in subsection 4, cannabis products in solid or liquid form must be packaged in a food-grade material or container.

     4.  Edible cannabis products in liquid form containing more than 10 milligrams of THC must be packaged using a resealable cap in a container that:

     (a) Clearly demarks each serving of cannabis in a way that enables a reasonable person to intuitively determine how much of the product constitutes a single serving of THC; or

     (b) Includes a device that allows a reasonable person to intuitively measure and serve a single serving of THC.

Ê The portion of such a container that demarks each serving of cannabis need not be opaque.

     5.  Any container or packaging containing usable cannabis, concentrated cannabis or cannabis products must protect the contents from contamination and must be of a food grade material.

     6.  An edible cannabis product must be sealed in a container which is not transparent and sold in packaging which is opaque.

     7.  Each single serving in a multiple-serving edible cannabis product must be physically demarked in a way that enables a reasonable person to intuitively determine how much of the edible cannabis product constitutes a single serving. Each demarked serving must be easily separable in a manner that allows an average person who is 21 years of age or over to physically separate, with minimal effort, an individual serving of the edible cannabis product.

     8.  If an edible cannabis product is of a kind that is impracticable to clearly demark each serving of cannabis with the dose in milligrams of THC, the edible cannabis product must:

     (a) Contain not more than 10 milligrams of THC per unit of sale; or

     (b) Be sold in a package that contains more than one individually wrapped single-serving edible cannabis product.

     [Cannabis Compliance Bd., §12.015, eff. 8-5-2020; A 8-13-2021, 11-15-2021, 5-1-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from former NAC 453D.805, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.599  Stamp or mold required for edible cannabis products; exception. (NRS 678A.450, 678B.520, 678B.650)

     1.  Except as otherwise provided in subsection 3, each single-serving edible cannabis product and each individual serving containing not more than 10 milligrams of THC of a multiple-serving edible cannabis product must be stamped or molded with a Nevada universal cannabis symbol approved by the Board to indicate that the product contains cannabis.

     2.  For an edible cannabis product that is impractical to stamp or mold with a Nevada universal cannabis symbol, including, without limitation, bulk goods or powders, each individual serving must be individually wrapped with the Nevada universal cannabis symbol on the wrapper. Exemption from stamping or molding product must be requested on a form prescribed by the Board.

     3.  An edible cannabis product in liquid form which is packaged as required by NAC 678B.596 need not be stamped or molded as described in this section.

     [Cannabis Compliance Bd., §12.020, eff. 8-5-2020; A 11-15-2021]

REVISER’S NOTE.

      The provisions of this section were derived in part from former NAC 453D.808, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.602  Requirements for labeling cannabis or cannabis products “organic.” (NRS 678A.450, 678B.520, 678B.650)  A cannabis cultivation facility, cannabis consumption lounge or cannabis production facility shall not label usable cannabis, concentrated cannabis or cannabis products as “organic” unless the cannabis plants and all ingredients used are produced, processed and certified in a manner that is consistent with the national organic standards established by the United States Department of Agriculture in accordance with the Organic Foods Production Act of 1990, 7 U.S.C. §§ 6501 et seq.

     [Cannabis Compliance Bd., §12.025, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.504, 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.812, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.605  Cannabis cultivation facility: Required labeling before sale of cannabis to another cannabis establishment. (NRS 678A.450, 678B.520, 678B.650)

     1.  A cannabis cultivation facility shall label all cannabis before it sells the cannabis to another cannabis establishment and shall securely affix to or include with the package a label that includes, without limitation, in legible English:

     (a) The name of the cannabis establishment and its cannabis establishment ID;

     (b) If the cannabis establishment is operated by a dual licensee, the cannabis establishment ID number of the medical cannabis cultivation facility operated by the dual licensee;

     (c) The batch number;

     (d) The lot number;

     (e) The date of final harvest;

     (f) The date of final testing;

     (g) The date on which the product was packaged;

     (h) The cannabinoid profile and potency levels and terpenoid profile of the top three terpenes as determined by the cannabis testing facility, which may include the potential total THC but must not include any other calculated level of THC;

     (i) The quantity of cannabis being sold;

     (j) A warning that states: “THIS PRODUCT CONTAINS CANNABIS”; and

     (k) A warning that states: “Keep out of Reach of Children.”

     2.  The label required by subsection 1 for a container or package containing usable cannabis sold by a cannabis cultivation facility must be in substantially the following form:

 

T&M NURSERY

License Number 123 456 789 001 0001

Medical License Number 543 210789 000 0100

(if applicable)

 

THIS PRODUCT CONTAINS CANNABIS

Keep out of Reach of Children

Batch Number:

1234

Lot Number:

1234

 

Final Harvest Date:

01/01/2020

 

Final Testing Date: 01/15/2020

Packaged on: 01/17/2020

 

16.7% THC     1.5% CBD  0.3% CBN

Myrcene 5.6 mg/g Limonene 5.1 mg/g Valencene 3.5 mg/g

 

Net Weight: 2 lbs.

 

     [Cannabis Compliance Bd., §12.030, eff. 8-5-2020; A 11-15-2021, 11-22-2023]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.508, 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.816, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.608  Cannabis production facility: Required labeling of cannabis products before sale to cannabis sales facility or another cannabis production facility. (NRS 678A.450, 678B.520, 678B.650)

     1.  A cannabis production facility shall label all cannabis products before it sells the cannabis products to a cannabis sales facility or another cannabis production facility and shall securely affix to or include with the package a label that includes, without limitation, in legible English and in a manner which must not mislead consumers:

     (a) The name of the cannabis establishment and its cannabis establishment ID;

     (b) If the cannabis establishment is operated by a dual licensee, the cannabis establishment ID number of the medical cannabis production facility operated by the dual licensee;

     (c) The production run number;

     (d) A warning that states: “Keep out of reach of children”;

     (e) The date of production;

     (f) The cannabinoid profile and potency levels as determined by the cannabis testing facility;

     (g) If the product is an edible cannabis product, the expiration date;

     (h) The total amount of THC in the cannabis product, measured in milligrams;

     (i) The total amount of THC in each serving of the edible cannabis product;

     (j) A list of all ingredients and all major food allergens as identified in 21 U.S.C. § 343;

     (k) The net weight of the product;

     (l) If concentrated cannabis or a cannabis extract was added to the product, a disclosure of the type of extraction process used and any solvent, gas or other chemical used in the extraction process or any other compound added to the concentrated cannabis;

     (m) If the product is an edible cannabis product other than extracts and tinctures, the serving size; and

     (n) A warning that states: “THIS PRODUCT CONTAINS CANNABIS.”

     2.  The label required by subsection 1 for a container or package containing edible cannabis products sold by a cannabis production facility must be in substantially the following form:

 

TK’s Cannabis Products

cannabis establishment ID: RCXXX

medical cannabis establishment ID: CXXX

(if applicable)

 

Production Run Number: 1234

 

THIS PRODUCT CONTAINS CANNABIS

 

Keep out of Reach of Children

 

Produced on: 01/01/2020

Best if used by: 03/17/2020 (for edibles only)

Cannabinoid profile:

 

Total THC content (mg):

THC content per serving +/- 15%: (for edibles only) Serving size – 1 piece

This product contains concentrated cannabis produced with butane.

 

Ingredients: Wheat, Sugar, Milk Chocolate

Allergy Warning: Peanuts, Tree Nuts, Eggs, Wheat, Soy

Net Weight: 100mg

 

     [Cannabis Compliance Bd., §12.035, eff. 8-5-2020; A 11-15-2021, 11-22-2023]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.509, 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.820, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.611  Cannabis sales facility and cannabis consumption lounge: Required labeling of usable cannabis, single-use cannabis products and ready-to-consume cannabis products before sale. (NRS 678A.450, 678B.520, 678B.650, 678D.480)

     1.  A cannabis sales facility and cannabis consumption lounge must affix to, include with, or supply through an electronic medium approved by the appropriate Board agent each container or package containing usable cannabis sold at retail or ready-to-consume cannabis product and single-use cannabis product sold at consumption lounges, if not already included on the container or package, a label which must include, without limitation:

     (a) The business or trade name and the cannabis establishment ID of the cannabis cultivation facility that cultivated and sold the usable cannabis;

     (b) If the cannabis cultivation facility is operated by a dual licensee, the cannabis establishment ID number of the medical cannabis cultivation facility operated by the dual licensee;

     (c) The batch number;

     (d) The lot number;

     (e) The quantity sold, including the net weight measured in ounces and grams or by volume, as appropriate;

     (f) The name and address of the cannabis sales facility or cannabis consumption lounge;

     (g) The cannabinoid profile and potency levels and terpenoid profile as determined by the cannabis independent testing laboratory, which may include the potential total THC but must not include any other calculated level of THC;

     (h) A warning that states: “This product may have intoxicating effects and may be habit forming”;

     (i) The statement: “This product may be unlawful outside of the State of Nevada”;

     (j) The date on which the cannabis was harvested;

     (k) A warning that states: “THIS PRODUCT CONTAINS CANNABIS”; and

     (l) A warning that states: “Keep out of Reach of Children.”

     2.  The label required by subsection 1 for a container or package containing usable cannabis sold at retail must be in substantially the following form:

 

We Care Cannabis sales facility or cannabis consumption lounge

123 Main Street, Carson City, NV 89701

THIS PRODUCT CONTAINS CANNABIS

 

16.7% THC     1.5% CBD  0.3% CBN

Myrcene 5.6 mg/g    Limonene 5.1 mg/g

Valencene 3.5 mg/g

 

MM’s Plant Emporium

cannabis establishment ID: RCXXX

medical establishment ID: CXXX

(if applicable)

 

Keep out of Reach of Children

Batch #: 1234

Lot #: 1234

Final harvest: 01/01/2020

 

WARNING:

This product may have intoxicating effects and may be habit forming.

 

Net Weight: .25 ounces (7 grams)

 

This product may be unlawful outside the State of Nevada.

 

     [Cannabis Compliance Bd., §12.040, eff. 8-5-2020; A 11-15-2021, 7-14-2022, 11-22-2023]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.510, 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.824, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.614  Cannabis sales facility and cannabis consumption lounge: Required labeling of cannabis products. (NRS 678A.450, 678B.520, 678B.650, 678D.480)

     1.  A cannabis sales facility and cannabis consumption lounge must affix to, include with, or supply through an electronic medium approved by the appropriate Board agent each container or package containing cannabis products sold at retail or ready-to-consume cannabis product and single-use cannabis product sold at consumption lounges, if not already on the container package, a label which must not mislead consumers and must include, without limitation:

     (a) The business or trade name and the cannabis establishment ID of the cannabis production facility that manufactured and sold the product;

     (b) If the cannabis production facility is operated by a dual licensee, the cannabis establishment ID number of the medical cannabis production facility operated by the dual licensee;

     (c) The production run number that accounts for all lot numbers of all cannabis used in the extraction of the concentrated cannabis or contained in the product, as recorded in the inventory control system of the cannabis production facility that sold the concentrated cannabis or product;

     (d) The name and address of the cannabis sales facility or cannabis consumption lounge;

     (e) The date on which the cannabis product was manufactured;

     (f) If the product is an edible, a suggested use-by date;

     (g) The cannabinoid profile and potency levels of the product, as determined by the cannabis independent testing laboratory that tested the product;

     (h) For edible cannabis products, the total amount of THC in each serving of the product and a notice that the actual amount of THC in each serving may be within 15 percent of the stated amount;

     (i) A list of all ingredients and all major food allergens as identified in 21 U.S.C. § 343;

     (j) The concentration of THC in the product, measured in milligrams;

     (k) The net weight of the cannabis or cannabis product;

     (l) For edible cannabis products, a warning that states: “Caution: When eaten or swallowed, the intoxicating effects of this product may be delayed by 2 or more hours”;

     (m) If concentrated cannabis or a cannabis extract was added to the product, a disclosure of the type of extraction process and any solvent, gas or other chemical used in the extraction process, or any other compound added to the concentrated cannabis or the cannabis extract;

     (n) A warning that states: “This product may have intoxicating effects and may be habit forming”;

     (o) A warning that states: “Keep out of Reach of Children”;

     (p) A statement that: “This product may be unlawful outside of the State of Nevada”; and

     (q) A warning that states: “THIS PRODUCT CONTAINS CANNABIS.”

     2.  The label required by subsection 1 for a container or package containing concentrated cannabis or cannabis products sold at retail must be in substantially the following form:

 

We Care Cannabis Sales Facility or cannabis consumption lounge

123 Main Street, Carson City, NV 89701

 

THIS PRODUCT CONTAINS CANNABIS

 

Cookie

Net Weight: 2 ounces (56 grams)

Produced on: 1/1/2020

Best if used by: 6/3/2020

Cannabinoid profile:

THC content per serving +/- 15%:

 

CAUTION: When eaten or swallowed the intoxicating effects of this product can be delayed by 2 or more hours.

Keep out of Reach of Children

 

This product may be unlawful outside the State of Nevada.

 

Manufactured at: KC’s Kitchen

cannabis establishment ID: RCXXX

medical cannabis establishment ID: CXXX

(if applicable)

 

Production Run #5463

 

INGREDIENTS: Flour, Butter, Canola Oil, Sugar, Chocolate, Cannabis, Strawberries

 

CONTAINS ALLERGENS: Milk, Wheat

Contains cannabis extract processed with butane.

 

WARNING: This product may have intoxicating effects and may be habit forming.

 

     [Cannabis Compliance Bd., §12.045, eff. 8-5-2020; A 8-13-2021, 11-15-2021, 7-14-2022, 11-22-2023]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.512, 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.828, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.617  Cannabis sales facility and cannabis consumption lounge: Required disclosures and warnings. (NRS 678A.450, 678B.520, 678B.650, 678D.480)

     1.  Upon consumer request, a cannabis sales facility and cannabis consumption lounge must provide, with all usable cannabis and cannabis products sold at retail or ready-to-consume cannabis products and single-use cannabis products sold at cannabis consumption lounges, accompanying material that discloses any pesticides applied to the cannabis plants and growing medium during production and processing.

     2.  A cannabis sales facility and cannabis consumption lounge must provide, with all usable cannabis and cannabis products sold at retail or ready-to-consume cannabis products and single-use cannabis products sold at cannabis consumption lounges, a written notification or an electronic notification through an electronic medium approved by the appropriate Board agent which contains the following warnings:

     (a) That cannabis and cannabis products must be kept out of the reach of children;

     (b) That cannabis and cannabis products can cause severe illness in children;

     (c) That allowing children to ingest cannabis or cannabis products or storing cannabis or cannabis products in a location which is accessible to children may result in an investigation by an agency which provides child welfare services or criminal prosecution for child abuse or neglect;

     (d) “THE INTOXICATING EFFECTS OF CANNABIS MAY BE DELAYED BY 2 HOURS OR MORE AND USERS OF CANNABIS PRODUCTS SHOULD INITIALLY INGEST A SMALL AMOUNT OF THE PRODUCT CONTAINING NO MORE THAN 10 MILLIGRAMS OF THC, THEN WAIT AT LEAST 2 HOURS BEFORE INGESTING ANY ADDITIONAL AMOUNT OF CANNABIS”;

     (e) “Cannabis or cannabis products may have intoxicating effects and may be habit forming. Smoking is hazardous to your health.”;

     (f) “Ingesting cannabis or cannabis products with alcohol or other drugs, including prescription medication, may result in unpredictable levels of impairment and a person should consult with a physician before doing so.”;

     (g) “There may be mental or physical health risks associated with consumption of cannabis or cannabis products, including but not limited to cardiovascular problems, psychosis or exacerbation of anxiety or depression. People with health concerns should consult with a physician before ingesting cannabis.”;

     (h) “WARNING: Pregnant or breastfeeding people should not use cannabis or cannabis products. Using cannabis during pregnancy or while breastfeeding may be harmful to your baby’s development.”;

     (i) “Cannabis or cannabis products can impair concentration, coordination and judgment. Do not operate a vehicle or machinery under the influence of cannabis or cannabis products”;

     (j) “Ingestion of any amount of cannabis or cannabis products before driving may result in criminal prosecution for driving under the influence”; and

     (k) “Overconsumption of cannabis or cannabis products may cause negative health effects such as nausea, vomiting, anxiety, agitation, paranoia and psychosis. Individuals with symptoms of overconsumption should seek immediate medical attention.”

     3.  For cannabis consumption lounges that allow inhalation of cannabis, the following warning must be included with the warnings listed in subsection 2: “WARNING: This is a smoking lounge. Occupants will be exposed to secondhand smoke. Secondhand smoke is hazardous to your health.”;

     4.  The text used on all accompanying material and warnings must be printed in at least 12-point font and may not be in italics.

     [Cannabis Compliance Bd., §12.050, eff. 8-5-2020; A 11-15-2021, 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.512, 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.832, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.620  Cannabis cultivation facility, cannabis production facility, cannabis consumption lounge, and cannabis sales facility: Use of standard label required; duties with respect to labeling materials; establishment of and adherence to written procedures concerning labeling. (NRS 678A.450, 678B.520, 678B.650, 678D.480)  Each cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility shall:

     1.  Use for labeling all cannabis and cannabis products the standard label described in NAC 678B.593 and 678B.605 to 678B.614, inclusive;

     2.  Exercise strict control over labeling materials issued for use in labeling operations for cannabis and cannabis products;

     3.  Carefully examine labeling materials issued for a batch for identity and conformity to the labeling specified in the applicable production or control records; and

     4.  Have and follow written procedures describing in sufficient detail the control procedures employed for the issuance of labeling.

     [Cannabis Compliance Bd., §12.055, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.502, 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.836, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.623  Cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility: Examination of products during finishing operations; collection of representative sample of units; recording of results. (NRS 678A.450, 678B.520, 678B.650, 678D.480)  Each cannabis cultivation facility, cannabis production facility, cannabis consumption lounge and cannabis sales facility shall:

     1.  Examine packaged and labeled products during finishing operations to provide assurance that the containers and packages have the correct labels;

     2.  Collect a representative sample of units at the completion of finishing operations and ensure that the samples are visually examined for correct labeling; and

     3.  Record the results of the examinations performed pursuant to subsections 1 and 2 in the applicable production or control records.

     [Cannabis Compliance Bd., §12.060, eff. 8-5-2020; A 7-14-2022]

REVISER’S NOTE.

      The provisions of this section were derived in part from:

      1.  Former NAC 453A.514, 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.838, which had the following regulatory history:

      “(Added to NAC by Dep’t of Taxation by R092-17, eff. 2-27-2018)”

 

      NAC 678B.626  Labeling of cannabis treated with radiation. (NRS 678A.450, 678B.520, 678B.650)  If any cannabis or cannabis product has been treated with radiation at any time, any and all packaging of the irradiated cannabis or cannabis product must include labeling that contains the following statement: “NOTICE: This product contains ingredients that have been treated with irradiation” in bold lettering, along with the radura symbol as used by the United States Food and Drug Administration.

     [Cannabis Compliance Bd., §12.065, eff. 8-5-2020]