NAC453A.332. Registration certificates: Grounds for denial, suspension or revocation; notice.

     1. The Division will deny an application for or an application to renew a medical marijuana establishment registration certificate if:

     (a) The application or the medical marijuana establishment is not in compliance with any provision of this chapter or chapter 453A of NRS; or

     (b) An owner, officer or board member of the medical marijuana establishment:

          (1) Is an employee or contractor of the Division;

          (2) Has an ownership or financial investment interest in an independent testing laboratory and also is an owner, officer or board member of a medical marijuana dispensary, cultivation facility or facility for the production of edible marijuana products or marijuana-infused products; or

          (3) Provides false or misleading information to the Division.

     2. The Division will revoke a medical marijuana establishment registration certificate if:

     (a) The medical marijuana establishment engages in an activity set forth in NRS 453A.340;

     (b) An owner, officer or board member of the establishment has been convicted of an excluded felony offense; or

     (c) The Division receives formal notice from the applicable local government that the medical marijuana establishment has had its authorization to operate terminated.

     3. The Division may deny an application for or an application to renew a medical marijuana establishment registration certificate or may suspend or revoke any medical marijuana establishment registration certificate issued under the provisions of this chapter and chapter 453A of NRS upon any of the following grounds:

     (a) Violation by the applicant or the medical marijuana establishment of any of the provisions of this chapter or chapter 453A of NRS.

     (b) The failure or refusal of an applicant or medical marijuana establishment to comply with any of the provisions of this chapter or chapter 453A of NRS.

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

     (d) Operating a medical marijuana establishment without a medical marijuana establishment registration certificate.

     (e) The failure or refusal to return an adequate plan of correction to the Division within 10 days after receipt of a statement of deficiencies pursuant to NAC 453A.330.

     (f) The failure or refusal to correct any deficiency specified by the Division within the period specified in a plan of correction developed pursuant to NAC 453A.330.

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

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

     4. If the Division denies an application for or an application to renew a medical marijuana establishment registration certificate or revokes a medical marijuana establishment registration certificate, the Division must provide notice to the applicant or medical marijuana establishment that includes, without limitation, the specific reasons for the denial or revocation.

     5. Before denying an application for or an application to renew a medical marijuana establishment registration certificate or revoking a medical marijuana establishment registration certificate as a result of the actions of an owner, officer or board member of the medical marijuana establishment pursuant to paragraph (b) of subsection 1 or paragraph (b) of subsection 2, the Division may provide the medical marijuana establishment with an opportunity to correct the situation.

     6. The Division will not deny an application to renew a medical marijuana establishment registration certificate or revoke a medical marijuana establishment registration certificate based on a change in ownership of the medical marijuana establishment if the medical marijuana establishment is in compliance with the provisions of this chapter and chapter 453A of NRS.

     (Added to NAC by Div. of Pub. & Behavioral Health by R004-14, 3-28-2014, eff. 4-1-2014)