Emergency Medical and Retail Marijuana Rules Adopted

On June 18, 2018, the State Licensing Authority adopted emergency Medical and Retail Marijuana rules, for which the Statement of Emergency Justification and Adoption can be found on our MED Rules website. The purposes of the revisions and/or additions to the Medical and Retail Marijuana rules on an emergency basis are to establish requirements and procedures to implement the following legislation, all of which became effective immediately upon the Governor’s signature pursuant to a safety clause:

House Bill 18-1280
House Bill 1280 requires persons appointed by a court to take possession of, operate, manage, or control a Medical Marijuana Business or Retail Marijuana Establishment to notify the State Licensing Authority and apply for a finding of suitability. Further, it requires the State Licensing Authority, upon notification of such court appointments, to issue a temporary registration to the court appointee. The amended M and R 100, 200, and 1700 Series Rules establish definitions, fees, procedures, and temporary registration requirements for persons authorized by court order to take possession of, operate, manage, or control a Medical Marijuana Business or Retail Marijuana Establishment.

House Bill 18-1389
House Bill 1389 establishes a centralized distribution permit to be issued to Medical Marijuana Optional Premises Cultivation Operations (“Medical Cultivation”) and Retail Marijuana Cultivation Facilities (“Retail Cultivation”), authorizing temporary storage of medical and retail marijuana, concentrate, and product, for the purpose of transfer to the permit holder’s commonly-owned Medical Marijuana Centers and Retail Marijuana Stores. The amended M and R 100 and 500 Series Rules establish definitions, fees, requirements, and procedures for Medical Cultivations and Retail Cultivations applying for and issued a Centralized Distribution Permit.

Senate Bill 18-271
Senate Bill 271 authorizes Marijuana Research and Development Facility and Marijuana Research and Development Cultivation (“Licensed Research Businesses”) to share licensed premises with a Medical Marijuana-Infused Products Manufacturer and Retail Marijuana Products Manufacturing Facility. Under prior law, such co-location was restricted, as medical and retail marijuana products could only be prepared on licensed premises used exclusively for the manufacture and preparation of medical and retail products and using equipment exclusively for the manufacture and preparation of such products. As a result, research activities of a Licensed Research Business could not occur at the same premises of a medical or retail manufacturing licensee, and the rules had not to date set forth the process for a Licensed Research Business to share a licensed premises with other types of Medical Marijuana Businesses and Retail Marijuana Establishments. The amended M and R 100 200, 300, 600, and 1300 Series Rules, and amended M 1900 Series Rules establish fees, requirements, and procedures for Licensed Research Businesses sharing licensed premises with another Medical Marijuana Business or a Retail Marijuana Establishment. Further, Senate Bill 271 authorizes the State Licensing Authority to establish requirements for transfer of marijuana by Licensed Research Businesses. The amended M 1900 Series Rules permit the transfer of Immature Plants to other Medical Marijuana Businesses, so long as the plants have not been exposed to prohibited chemicals.

The emergency rules are effective immediately. Following the adoption of these emergency rules, the State Licensing Authority will initiate permanent rulemaking proceedings, which will include the opportunity for substantial stakeholder and public participation. 

As part of the State Licensing Authority’s permanent rulemaking proceedings, the Division is facilitating workgroup meetings.  The Stakeholder work groups include :
  1. Intended Use Categories and Designation of Certain Non-Conforming Marijuana Products
     
  2. Legislation Implementation: Waste Recycling, Court Appointees, Vertical Integration, and Centralized Distribution
     
  3. Legislation Implementation and Testing: Samples for Quality Control, Testing Standards, and R&D Co-Location
     
  4. General Catch-All: Other Rule Updates
Additional information regarding the work groups,  meeting dates and opportunities for participation can be located on the Division’s 2018 Rulemaking website.
 
Regards,

The Marijuana Enforcement Division