(a) There is established within the state treasury the medical cannabis registry and regulation special fund. The fund shall be expended at the discretion of the director of health:

(1) To establish and regulate a system of medical cannabis dispensaries in the State;
(2) To offset the cost of the processing and issuance of patient registry identification certificates and primary caregiver registration certificates;
(3) To fund positions and operating costs authorized by the legislature;
(4) To establish and manage a secure and confidential database;
(5) To fund public education as required by § 329D-26;
(6) To fund substance abuse prevention and education programs; and
(7) For any other expenditure necessary, consistent with this chapter and chapter 329D, to implement medical cannabis registry and regulation programs.
(b) The fund shall consist of all moneys derived from fees collected pursuant to subsection (c) and section 329D-4. There is established within the medical cannabis registry and regulation special fund:

(1) A medical cannabis registry program sub-account, into which shall be deposited all fees collected pursuant to subsection (c); and
(2) A medical cannabis dispensary program sub-account, into which shall be deposited all fees collected pursuant to section 329D-4.
(c) The department, upon completion of the transfer of the medical use of cannabis program, shall charge a medical cannabis registration fee to each qualifying patient, other than a qualifying out-of-state patient, of no more than $35 per year.