| (a) A licensee may only perform regulated functions
at a department approved location. Any change in location must be
approved by the department prior to operation in a regulated capacity.
(b) Licensees shall notify the department within five
(5) business days of a registrant's termination of employment.
(c) All licensees shall display in a conspicuous location
a copy of the department issued license and information on how to
submit a complaint to the department.
(d) Licensees must establish and implement a drug-free
workplace policy consistent with the Texas Workforce Commission's
"Drug-Free Workplace Policy," and shall maintain in each registrant's
file a copy of the company's policy signed or otherwise acknowledged
by the registrant.
(e) Licensees and registrants must cooperate fully
with any inspection or investigation conducted by the department,
or by a state fire marshal, or local designee of the state fire marshal,
including but not limited to the provision of any laboratory test
results, employee records, inventory and destruction records, or other
records required under the Act or this chapter, and the compliance
with any lawfully issued subpoena.
(f) Licensees and registrants may not cultivate, process,
or dispense low-THC cannabis or possess any raw material used in or
by-product created by the production or cultivation of low-THC cannabis
if the respective license or registration has expired, or has been
suspended or revoked.
(g) Licensees and registrants may not dispense to an
individual other than a patient for whom low-THC cannabis is prescribed
under Chapter 169, Occupations Code, or the patient's legal guardian.
(h) Licensees and registrants may not permit or fail
to prevent the diversion of any controlled substance.
(i) Those registered with the department as directors,
managers, or employees of a licensed dispensing organization may only
perform functions regulated under the Act for the licensee(s) with
whom they are registered.
(j) If arrested, charged, or indicted for a criminal
offense above the level of Class C misdemeanor, a registrant shall
within seventy-two (72) hours notify the employing licensee. When
notified by the registrant or otherwise informed, the licensee shall
notify the department in writing (including by email) within seventy-two
(72) hours of notification. The notification shall include the name
of the arresting agency, the offense, court, and cause number of the
charge or indictment. The registrant and licensee must supplement
their respective notifications as further information becomes available.
(k) Registrants must carry on their person or otherwise
display their department issued registration card while performing
any functions regulated under the Act involving contact with or exposure
to patients or the general public, including the dispensing of low-THC
cannabis to patients and the transportation of low-THC cannabis on
behalf of a licensee.
(l) All advertisements for functions regulated under
the Act must contain the dispensing organization's license number
in a font of the same size as the primary text of the advertisement.
(m) Licensees must comply with all applicable local,
state and federal regulations and permitting requirements relating
to air and environmental quality, advertising, business and occupancy,
building, plumbing, electrical, fire safety, noise, and odor or other
nuisances. This subsection does not require compliance with a regulation
that conflicts with the Act or this chapter.
(n) Licensees must use applicable best practices to
limit contamination of the product including but not limited to residual
solvents, metals, mold, fungus, bacterial diseases, rot, pests, pesticides,
mildew, and any other contaminant identified as posing potential harm.
(o) Licensees must have a plan for establishing a recall
of their products in the event a product is shown by testing or other
means to be, or potentially to be, defective or have a reasonable
probability that their use or exposure to will cause adverse health
consequences. At a minimum, the plan should include the method of
identification of the products involved; notification to the processing
or dispensing organization or others to whom the products were sold
or otherwise distributed; and how the products will be disposed of
if returned to or retrieved by the licensee.
(p) Licensees shall retain the registration card of
all terminated registrants for two (2) years after termination, unless
the card is seized or destroyed by department personnel.
(q) Licensees shall maintain commercial general liability
insurance coverage, as described in §12.11 of this title (relating
to Application for License), and maintain current proof of such insurance
on file with the department.
(r) Licensees' regulated premises must annually pass
an inspection conducted by the state fire marshal or local designee
of the state fire marshal. Proof of the passing inspection must be
submitted to the department on a form approved by the department.
(s) Licensees' regulated premises shall be protected
by a fire alarm and sprinkler system that complies with local ordinances
and applicable Texas Department of Insurance administrative rules,
28 TAC Chapter 34, concerning State Fire Marshal.
(t) Licensees shall install an exterior wall-mounted
building key safe at the main entrance to any processing facility,
to enable emergency access for fire departments and emergency medical
services.
(u) To the extent there is a conflict between the requirements
of this chapter, or a conflict between this chapter and the Act, the
more restrictive requirement governs. To the extent any requirement
of this chapter or the Act conflicts with a regulation incorporated
herein, this chapter or the Act shall govern.
(v) Research or development beyond that which is necessary
for the cultivation or production of low-THC cannabis is prohibited.
(w) Only low-THC cannabis may be dispensed or sold.
By-products must be destroyed.
(x) Registrants must be at least twenty-one (21) years
of age at the time of application.
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