Committee Report 7-18(3) May 29, 2018 18th Legislative Assembly of the Northwest Territories Standing Committee on Government Operations Standing Committee on Social Development Report on the Review of Bill 6: Cannabis Legalization and Regulation Implementation Act Chairs: Mr. Kieron Testart Mr. Shane Thompson MEMBERS OF THE STANDING COMMITTEE ON GOVERNMENT OPERATIONS AND THE STANDING COMMITTEE ON SOCIAL DEVELOPMENT Kieron Testart Shane Thompson MLA Kam Lake MLA Nahendeh Chair, Government Operations Chair, Social Development R.J. Simpson Julie Green MLA Hay River North MLA Yellowknife Centre Deputy Chair, Government Operations Deputy Chair, Social Development Tom Beaulieu Frederick Blake, Jr. Daniel McNeely MLA Tu Nedhé-Wiilideh MLA Mackenzie Delta MLA Sahtu Michael M. Nadli Herbert Nakimayak Kevin O'Reilly MLA Deh Cho MLA Nunakput MLA Frame Lake COMMITTEE STAFF Jennifer Franki-Smith, Michael Ball, Sarah Kay Committee Clerks April Taylor, Megan Welsh, Gustavo Oliveira, Lee Selleck Committee Advisors Northwestij Territories Legislative Assembly Territoires du Assemblee legislative Nord-Ouest May 29, 2018 SPEAKER OF THE LEGISLATIVE ASSEMBLY Mr. Speaker: Your Standing Committees on Government Operations and Social Development are pleased to provide their Report on the Review of Bill 6, Cannabis Legalization and Regulation Implementation Act and commend it to the House. Shane Thompson Kieran Testart Chair, Chair, Standing Committee on Standing Committee on Social Development Government Operations P.O. Box 1320. Yellowknife. Northwest Territories X1A 2L9 • Tel: 867-767-9130 • Fax: 867-920-4735 c. P. 1320. Yellowknife. Territoires du Nord-Ouest X1A 2L9 · Tel.: 867-767-9130 • Telecopieur: 867-920-4735 www.assembly.gov.nt.ca Litr'iljil 1\\\ I' I cnjit • fkgha ldck'ctct..:d.5hbekc • (,ohdli :\,kh ·-'1, 1- 'aodle I C.:nagedch Gok'ch • l·k'c tdllso Dop \\enipht .. ' e kop • llaSI\H'\\In \ 1.'imfi,, 1 pa~ h' 111 • Beba ·1dcgeth D<:nc Dcltth'i • \ 1ahgahuqllt • \1ahrulllmqtiqp:ut Knt1111a\ iat • Lc-L.d>~bnboc STANDING COMMITTEE ON GOVERNMENT OPERATIONS STANDING COMMITTEE ON SOCIAL DEVELOPMENT REPORT ON THE REVIEW OF BILL 6: Cannabis Legalization and Regulation Implementation Act TABLE OF CONTENTS Introduction ................................................................................................................1 Our Review of Bill 6....................................................................................................1 What We Heard..........................................................................................................2 Economic Growth and Job Creation.. .....................................................................2 Support for private-sector cannabis stores..........................................................2 Impacts of the liquor commission model on small communities..........................3 Record suspension..............................................................................................4 Revenues and taxation........................................................................................4 Public education......................................................................................................5 Public health and safety..........................................................................................5 Addictions treatment............................................................................................5 Alcohol and drugs in our communities.................................................................6 Co-location of cannabis and alcohol. ..................................................................7 Enforcement capacity and community resources................................................8 Impaired driving and road safety.........................................................................8 Medical cannabis. ..............................................................................................9 Possession limits............................................................................................... 9 Regulating cannabis use in public places. ........................................................10 Regulating cannabis use in licensed establishments. .......................................10 Workplace use and impairment.........................................................................11 Youth.....................................................................................................................11 Legal age ...........................................................................................................11 Purchase and possession by minors.................................................................12 Other Issues..........................................................................................................12 Page i of ii Community control .......................................................................................... 12 Jurisdiction ...................................................................................................... 13 Mandatory review of legislation ....................................................................... 13 What We Did .......................................................................................................... 13 Clause-by-clause review of Bill 6........................................................................ 14 Recommendations.............................................................................................. 18 Conclusion ............................................................................................................. 22 Appendix – Public Engagement on Bill 6 ............................................................... 23 Public Hearings .................................................................................................. 23 Other Meetings ................................................................................................... 24 Page ii of ii Committee Report 7-18(3) May 29, 2018 STANDING COMMITTEE ON GOVERNMENT OPERATIONS STANDING COMMITTEE ON SOCIAL DEVELOPMENT REPORT ON THE REVIEW OF BILL 6: Cannabis Legalization and Regulation Implementation Act INTRODUCTION In April 2017, the federal government introduced two bills to legalize cannabis in Canada. Bill C-45 deals with federal licensing and oversight of the cannabis supply chain, including all production and distribution, and sets regulatory standards to protect public health and safety. Bill C-46 sets out offences and procedures relating to impaired driving. To avoid having this default federal framework imposed on the Northwest Territories, when the Government of Canada legalizes cannabis across the country, it is necessary for the Government of the Northwest Territories (GNWT) to adopt its own framework. To create these rules, which pick up where federal legislation leaves off, the GNWT introduced Bill 6, the Cannabis Legalization and Regulation Implementation Act. Bill 6 proposed two new laws for cannabis control: the Cannabis Products Act and the Cannabis Smoking Control Act. To address drug-impaired driving, it also proposed amendments to current provisions of the territorial Motor Vehicles Act. This omnibus bill is the proposed legislation under review here. OUR REVIEW OF BILL 6 On March 1, 2018, Bill 6 received second reading in the Legislative Assembly of the Northwest Territories and was referred to standing committee for review. The Standing Committee on Government Operations reviews activities of the Department of Finance, which will administer the Cannabis Products Act once it becomes law. Similarly, the Standing Committee on Social Development reviews activities of the Department of Health and Social Services, which will administer the Cannabis Smoking Control Act once it becomes law. These committees also share membership with the Standing Committee on Economic Development and Environment, which reviews activities of the Department of Infrastructure, which in turn administers the Motor Vehicles Act. For this reason, the standing committees, operating as the “joint committee” – with no pun intended – have worked together to review the bill. Between April 23 and May 4, 2018, we travelled to 16 communities, holding 16 public hearings. We also met with students at six schools to gather input from Northerners. These communities and schools are listed in an appendix. We received 15 written submissions, and have undertaken our own research, including a review of proposed cannabis legislation and best practices across the country. Standing Committee on Government Operations Standing Committee on Social Development Page 1 of 24 Committee Report 7-18(3) May 29, 2018 In our review, we have assumed that the federal enabling legislation will be passed. Neither the standing committees nor the Government of the Northwest Territories may change or overrule this federal legislation. As Regular Members, our approach to Bill 6 has focused on the need to ensure that as much as possible, territorial cannabis legislation best reflects the wishes of the people of the Northwest Territories. Our report is divided into two portions. First, we discuss what we heard from the public during our tour. Then we discuss what we did – a combination of motions to amend the bill and policy recommendations to the GNWT. The bill debated in the House after we have formally submitted our report to the Speaker of the Legislative Assembly will reflect the changes we have made. WHAT WE HEARD Economic Growth