Minnesota Passes Adult Use Cannabis Legislation

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On June 6, 2023, Governor Tim Waltz signed into law a bill legalizing marijuana in the state of Minnesota (the “Bill”).[1] The Bill created Minnesota’s Office of Cannabis Management (“OCM”) which is responsible for designing and implementing the states cannabis regulations.[2] The Bill also mandates expungement of all misdemeanor marijuana offenses and creates a Cannabis Expungement Board to review felony offenses on a case-by-case basis.[3]

The Bill also relaxed some of the provisions of Minnesota’s medical cannabis program. First, the Bill eliminated the enrolment fee for patients, effective July 1, 2023.[4] Second, patients will be able to be certified for the medical marijuana program by a heath care practitioner via telemedicine, effective August 1, 2023.[5] Third, patients will recertify their qualifying medical condition every three years instead of on an annual basis, effective March 1, 2025.[6] Fourth, patients enrolled in another state’s medical marijuana program will be able to purchase medical cannabis in Minnesota under a “visiting patient option,” effective March 1, 2025.[7] Fifth, the age for registered caregivers to purchase cannabis flower will be reduced from 21 to 18, effective March 1, 2025.[8] Finally, the Bill establishes an alternative certification procedure for veterans who receive care from the U.S. Department of Veteran Affairs to confirm that the veteran has been diagnosed with a qualifying medical condition, effective January 1, 2024.[9]

With regard to recreational use, residents 21 and older will now be able to consume and possess marijuana recreationally however, retail sales will not likely begin until early 2025.[10] Resident may legally possess or transport up to 2 ounces of cannabis flower, 8 grams of concentrate, and 800 milligrams of edible product.[11] An adult may also possess up to two pounds of cannabis flower in their private residence.[12] Retail sales of cannabis are taxed at 10% while medical sales will not be subject to an additional tax.[13] Starting on August 1, 2023, adults can grow up to eight cannabis plants at the same time with no more than four being mature. Plants being grown at privately must be grown in an enclosed, locked space that is not open to public view.[14] A cultivation license is required to grow more than eight plants at a time.[15]

The OCM is responsible for issuing licenses pursuant to the new legislation. Some licenses created by the Bill include: (1) cultivator; (2) manufacture, (3) retailer, (4) wholesaler, (5) transporter, (6) testing facility, (6) event organizer, and (7) cannabis delivery service. The application fees range up to $10,000 and the initial license fees range up to $20,000.[16] The OCM expects to publish in the coming months a timeline outlining the application process and requirements.[17]

The Bill took effect July 1, 2023.

[1] https://www.startribune.com/minnesota-marijuana-legalization-bill-law-cannabis-cultivation-dispensaries-business-pot-weed-legal/600275325/?refresh=true

[2] Id.

[3] Id.

[4] https://cannabis.mn.gov/patients.html

[5] Id.

[6] Id.

[7] Id.

[8] Id.

[9] Id.

[10] https://cannabis.mn.gov/consumers.html

[11] Id.

[12] Id.

[13] Id.

[14] Id.

[15] Id.

[16] https://mn.gov/elicense/a-z/?id=1083-578672#/list/appId//filterType//filterValue//page/1/sort//order/

[17] Id.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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