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(1) If a person that is a cannabis production establishment or a cannabis production establishment agent violates this chapter, the department may:
(a) revoke the person's license or cannabis production establishment agent registration card;
(b) decline to renew the person's license or cannabis production establishment agent registration card; or
(c) assess the person an administrative penalty that the department establishes by rule in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
(2) The department shall deposit an administrative penalty imposed under this section into the General Fund.
(3)
(a) The department may take an action described in Subsection (3)(b) if the department concludes, upon investigation, that, for a person that is a cannabis production establishment or a cannabis production establishment agent:
(i) the person has violated the provisions of this chapter, a rule made under this chapter, or an order issued under this chapter; or
(ii) the person produced cannabis or a cannabis product batch that contains a substance, other than cannabis, that poses a significant threat to human health.
(b) If the department makes the determination about a person described in Subsection (3)(a), the department shall:
(i) issue the person a written administrative citation;
(ii) attempt to negotiate a stipulated settlement;
(iii) seize, embargo, or destroy the cannabis or cannabis product batch;
(iv) order the person to cease and desist from the action that creates a violation; and
(v) direct the person to appear before an adjudicative proceeding conducted under Title 63G, Chapter 4, Administrative Procedures Act.
(4) The department may, for a person subject to an uncontested citation, a stipulated settlement, or a finding of a violation in an adjudicative proceeding under this section, for a fine amount not already specified in law, assess the person, who is not an individual, a fine of up to $5,000 per violation, in accordance with a fine schedule that the department establishes by rule in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
(5) The department may not revoke a cannabis production establishment's license without first directing the cannabis production establishment to appear before an adjudicative proceeding conducted under Title 63G, Chapter 4, Administrative Procedures Act.
(6) If within 20 calendar days after the day on which a department serves a citation for a violation of this chapter, the person that is the subject of the citation fails to request a hearing to contest the citation, the citation becomes the department's final order.
(7) The department may, for a person who fails to comply with a citation under this section:
(a) refuse to issue or renew the person's license or cannabis production establishment agent registration card; or
(b) suspend, revoke, or place on probation the person's license or cannabis production establishment registration card.
(8)
(a) Except where a criminal penalty is expressly provided for a specific violation of this chapter, if an individual:
(i) violates a provision of this chapter, the individual is:
(A) guilty of an infraction; and
(B) subject to a $100 fine; or
(ii) intentionally or knowingly violates a provision of this chapter or violates this chapter three or more times, the individual is:
(A) guilty of a class B misdemeanor; and
(B) subject to a $1,000 fine.
(b) An individual who is guilty of a violation described in Subsection (8)(a) is not guilty of a violation of Title 58, Chapter 37, Utah Controlled Substances Act, for the conduct underlying the violation described in Subsection (8)(a).
(9) Nothing in this section prohibits the department from referring potential criminal activity to law enforcement.